Auroraadvocate.com - Officials may revise JEDD plan

by Miles Jung-Kilbreath

Reporter

Aurora -- Bainbridge Township Trustee Linda White said the township may revive the idea of creating a joint economic development district (JEDD) for the Marketplace at Four Corners with the city if Aurora is willing to pay the entire $1.2 million in deferred income taxes to Marketplace owners the McGill Property Group.

"Our legal counsel said it is illegal for a township to pay a private business, but Aurora could if they wanted to," said White, explaining why Bainbridge voted against entering into the JEDD in April.

Mayor Lynn McGill said the original agreement between Aurora and Bainbridge would have had each entity paying a one-time upfront sum of $600,000 from future income tax collections to the McGill Property Group to help with new development and renovations at the Marketplace.

He said the only way a township can collect income tax is through a JEDD.

The Marketplace encompasses shopping strips on both sides of Route 43 across from and north of the former Geauga Lake amusement park.

The mayor noted he is not related to or associated with the Marketplace developer.

White has suggested the original JEDD area be expanded to include the Cedar Fair-owned land formerly occupied by Geauga Lake and Sea World.

McGill said June 22 he had not spoken with Bainbridge trustees except to set up a June 23 meeting with them.

"They have not talked to me about that [prior to June 22]," McGill said about the suggestion to expand the JEDD's area and having Aurora pay the entire $1.2 million.

McGill declined to comment on the Bainbridge's new ideas until he spoke to trustees.

Because townships can't receive income tax from businesses or a commercial development, McGill explained forming a JEDD with an adjacent city or village is the only way to collect tax revenues.

White said the idea to expand the JEDD is only that right now, and more work is needed to see if it would be feasible and beneficial for all parties involved.

McGill said Aurora's law department had reviewed the previous agreement and found it to be legal, while White stands by the township's legal counsel.

McGill said the city could bring in an additional $250,000 annually in income tax from the Marketplace once the level of the deferred funds is reached.

E-mail:
mjung-kilbreath@recordpub.com

Phone: 330-688-0088 ext. 3152