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05/15/2015

Delaware JEDD Prevails

By THOMAS GALLICK

Berkshire Township officials say they hope the decision by voters to keep a special tax district in place ends the tug-of-war over a planned outlet mall.

The township forged an agreement with the city of Delaware last year to create a joint economic development district, or JEDD. The agreement allows for the collection of the city's 1.85 percent income tax from workers at the planned Simon Property Group and Tanger Factory Outlet Centers mall and for revenue to be divided between the city and township.

The 350,000-square-foot mall is planned for a site southeast of Interstate 71's interchange in the township. According to Delaware County Auditor's records, an entity named Columbus Outlets LLC closed on a $6.8 million deal for the 66-acre site on Election Day, Tuesday, May 5.

Township voters that day chose to keep the district by a vote of 619 (80 percent) to 156 (20 percent), according to final, unofficial results from the Delaware County Board of Elections.

Township Trustee Rod Myers said residents made the correct decision to keep the JEDD in place.

"Berkshire Township realized this is something that can be an important financial (tool) for the township," he said.

Township officials previously have suggested revenue from the JEDD could be used to maintain infrastructure and construct a substation for use by area first-responders. Delaware officials have pledged to use JEDD revenue to improve traffic conditions at the intersection of East William Street (U.S. Route 36) and East Central Avenue (state Route 37), also known as the Point.

The JEDD could take in about $340,000 in income taxes per year, according to payroll figures provided by Simon/Tanger. The township would receive 60 percent of the revenue after administrative costs, while the city would receive 40 percent.

Myers said he blamed forces from outside the community for leading the referendum effort and a wider campaign against the mall project.

"I'm hoping this will be the end of it, but who knows," he said.

Petitioners Gus Comstock of Delaware, Colleen Mann of Huron and Mary Ann Williamson of Berkshire Township led the petition drive and participated in an ensuing legal battle to place the referendum on the ballot. Comstock, the former economic development director for Delaware County, previously said he thought the mall was a "bad project" for the area that would not stimulate future development.

Comstock declined further comment following the vote.

The referendum on the JEDD was the second time voters in the township faced a ballot issue related to the proposed mall. Residents in 2013 voted against overturning a decision by the township's zoning commission necessary for the mall's development.

Simon Property Group announced in a statement in late April that the firm planned to break ground on the mall this month.

http://www.thisweeknews.com/content/stories/delaware/news/2015/05/11/outlet-mall-jedd-tax-sharing-deal-easily-survives-referendum.html

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