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Annexation

Annexation. An Association of Indiana Counties Perspective August 22, 2007 David A. Bottorff Executive Director. Problems. Cities’ annexation efforts related to tax base and not service delivery needs Changes in land use of annexed territory beyond the officially annexed property (fringe)

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Annexation

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  1. Annexation An Association of Indiana Counties Perspective August 22, 2007 David A. Bottorff Executive Director

  2. Problems • Cities’ annexation efforts related to tax base and not service delivery needs • Changes in land use of annexed territory beyond the officially annexed property (fringe) • Disregard for jointly developed Service Delivery Strategy and Comprehensive Plans

  3. Problems • Annexing only land and not roadsnot legal but often not challenged • Cities racing to annex so other cities are landlocked

  4. Problems • Annexation takes certain revenues away from county government • Income tax dollars • Excise Tax dollars • Road Money • Annex only commercial land leaving lower AV poverty out • Cities “stack” annexation, disregarding the intent of the statute. Taxpayers must mobilize, hire an attorney to challenge annexation

  5. Problems • Increased service delivery and infrastructure costs to county when the county is still providing services • County remains obligated to finance debt of annexed area.

  6. Framing the Issue • Leveling the playing field • Needed to counter the property rights argument advanced by the cities and towns • An unincorporated body’s wish to remain un- annexed should be given the same consideration as a city’s desire to annex.

  7. Framing the Issue • Unincorporated property owners have no avenue for relief at the local level other than the courts

  8. Solution Is Annexation a problem everywhere in Indiana? No, most counties and their cities work together for the benefit of all citizens, but the problem is growing as cities/towns search for more revenue.

  9. Why is it so difficult to get county officials involved in dealing with the issue? We believe there are several reasons: Summary

  10. Summary • Some commissioners/councilors who represent incorporated areas view their role as representing the city government rather than the citizens in county matters. • Problems often develop very quickly. Intergovernmental relations between a county and city are sometimes only stable until the next election.

  11. Solutions • Arbitration Panel • Clear all proposed annexations through a panel that will give all citizens affected a voice • Consisting of a representative of the City, the County, and the Department of Local Government Finance. • Ensure that money that is shifted due to an annexation is in proportion to the services lost by the other units and now performed by the city.

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