|
The developers of the proposed Promenade of
Hudson promise "tax relief" to the residents of Hudson ...
... but
DON'T EXPECT YOUR TAXES TO GO DOWN!
"We're going to have future tax levies whether we have the Promenade or not."
- Andrew Duff, School Board President, Hudson
City Schools
While each community is unique - there are two overwhelming facts:
- Mass-market, big-box retail is NOT the highest and best use of land, and
- Mass-market, big-box retail COSTS communities MORE than it brings in.
What about statewide or national Fiscal Impact Analysis?
Fiscal impact analysis tests the annual costs and benefits of development on local government budgets. Fiscal Impact Analyses attribute budgetary costs (provision of infrastructure, delivery of services, administration, etc) and benefits (taxes, fees, etc) to each land use.
Examples of typical land-use costs and benefits generated to communities are:
BENEFIT: Real and personal property taxes, fees, income taxes, estate taxes, user charges, etc.
COST: Infrastructure, schools, parks, police, social programs, sanitation, emergency medical services, fire, administrative services, etc.
In the August 2, 2004 study entitled Understanding the Fiscal Impacts of Land Use in Ohio, Randall Gross / Development Economics of Washington, DC detailed their findings from studying seven (7) Ohio communities. The report was prepared for the Mid-Ohio Regional Planning Commission. The excerpts from the study are below:
City of Upper Arlington, Ohio
Fiscal Impact Analysis & Fiscal Conditions Assessment
Randall Gross / Development Economics
2000
For every $1 of revenue generated by retail, Upper Arlington experienced a cost of $2.25.
"The importance of income taxes is noted further when commercial uses are disaggregated into office and retail, since office employees have higher average wages than retail employees office space generates substantially higher revenues and lower fiscal costs than does retail use."
- Randall Gross / Development Economics
City of Dublin, Ohio
Prototype Fiscal Analysis
Tischler and Associates, Inc.
& Fiscal Impact Analysis
April & September 1997
"As typical of the other
Ohio communities assessed through these fiscal analyses, office and industrial use produced the highest net return to the City, while retail generated a significant loss."
- Randall Gross / Development Economics
City of Delaware, Ohio
Prototype Fiscal Analysis
Tischler and Associates, Inc.
& Fiscal Impact Analysis
August 2002
In Delaware: While the revenue brought in by retail was $1,671 per 1,000 sq. ft., the cost of retail was $2,301 per 1,000 sq. ft., yielding a deficit of $630 per 1,000 sq. ft.
City of Newark, Ohio
Fiscal Impact Analysis
Randall Gross /Development Economics
February 2001
In this instance, while retail shows a marginal return, it is clearly not the highest and best commercial use of property.
City of Sidney, Ohio
Fiscal Impact Analysis
Randall Gross /Development Economics
2001
Fiscal Impact Analysis
Randall Gross /Development Economics
2000
"As typical of the other
Ohio communities assessed through these fiscal analyses, office and industrial use produced the highest net return to the City, while retail generated a significant loss."
- Randall Gross / Development Economics
Centerville-Washington Township, Ohio
Market Potentials & Fiscal Impact Analyses
Randall Gross / Development Economics
2002-3
Finally, here are the nationally recognized results from Barnstable, Massachusetts. Barnstable is often chosen as a model for comparison to historic, unique communities throughout the Northeast and Midwest. It is comparable in size and character to Hudson, Ohio.
The Barnstable study further breaks out "specialty retail." This definition includes retailers unique to the region and those located in or near attractions, like downtowns and tourist venues.
Barnstable, Massachusetts
Land Use Fiscal Analysis Study
2002
| 
