The Star Beacon; Ashtabula, Ohio

March 7, 2007

Groundbreaking day

Work begins on JEDD to help with Nordic Air expansion

MARGIE TRAX PAGE

HARPERSFIELD TOWNSHIP - - Local dignitaries dodged bulldozers and snowflakes Monday morning as they broke ground for the Geneva/Harpersfield Joint Economic Development District II.

The group, including state, county and local government leaders, met at LaFever and Bishop roads to rest their shovels on the frozen ground just before a snow squall sent everyone running for their cars.

"I am going to be brief so we can all get out of the cold," said Director of Growth Partnership Joseph Mayernick, director of Growth Partnership for Ashtabula County. "This partnership in Ashtabula County is very unique and sometimes challenging. We came here to overcome those challenges," he said.

The agreement, now two years in the making, was sparked when Nordic Air secured a five-year, $45 million contract with the U.S. Marine Corps, leaving the company with plenty of work, but no sewer system for the needed plant expansion.

Nordic Air owner Ron Clutter's need turned into a joint economic development district (JEDD), which is a partnership between a township and a municipality (village or city) which allows the separate entities to combine efforts within a geographic area without annexing any property. A JEDD allows the governments to impose income taxes on businesses and employees located within the specified JEDD. This money, which Geneva and Harpersfield will share, also will pay for road improvements, sewer work and other infrastructure improvements. However, residential and agricultural properties cannot be included in the JEDD.

This sharing of tax dollars will extend the Geneva sewer system to Harpersfield, running a new system from LaFever Road and under Route 90 to the JEDD. This sewer hookup will allow for Nordic Air's needed expansion and bring at least 100 jobs to the area, Harpersfield Township Trustee Ed Demshar said.

Geneva will take 70 percent of tax dollars generated from the agreement, with Harpersfield collecting 25 percent; 5 percent will be used for the business of the JEDD itself, including infrastructure needs, maintenance and to compensate the JEDD board. Geneva will assume $800,000 to $900,000 in debt for the project but will collect a portion of Harpersfield's bed tax in the future, the agreement states.

The sewer line will allow for industry, businesses and recreation in the JEDD area, Mayernick said.

"Now we can open up 200 acres of development and give the people of Ashtabula County a place to work and to play," he said.

The governments still have a lot of compromising and communicating to do, as the agreement will link the two governments financially and physically for the next 99 years. The JEDD includes 28 properties on both sides of Route 534, and it covers 330 acres. The 11,5000 linear feet of sanitary sewer will cost more than $1.84 million.

- - MARGIE TRAX PAGE - Staff Writer

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