JEFFERSON — The Ashtabula County Board of Commissioners passed on Tuesday its version of an economic stimulus package for area developers.
The board voted unanimously to place a moratorium on the capital-improvement facilities fee it charges to tap into the county-owned water system. The portion of the permit fee being waived is a minimum of $500. The moratorium became effective Tuesday and continues through the end of the year.
Commissioners said the action came out of a work session, which was held with local real-estate developer Jim Carlson.
“This is our way of trying to make Ashtabula County a little more business-friendly,” Commissioner Daniel Claypool said.
“It’s a great way to encourage economic development growth,” said Commissioner Joseph Moroski, who hopes it will push those sitting on the sidelines to make their move this year.
The tap-in fees applies to water facilities operated by the county in Geneva-on-the-Lake and the townships of Geneva, Saybrook, Ashtabula, Plymouth, Harpersfield, Austinburg and Jefferson, which is the former Consumers Water system purchased by the county in 2002 and operated as the Ashtabula County Water System.
Larry Meaney, director of the Ashtabula County Environmental Services Department, said the moratorium reduces by about one-third the cost of hooking a single-family residence to the system, not including the line from the curb to the inside meter.
For commercial developments, the fee is based upon $1.25 per gallon of anticipated use. For example, a hotel tapping into the system would pay $125 per room.
Meaney said he projected a $60,000 drop in revenues by implementing the moratorium. The projection anticipates fees from commercial projects, including the new Lake Erie Vista condominiums at Indian Creek.
The fee portion being waived normally would be set aside to make improvements to the system. Frequently, the money is leveraged by using it as a match for federal and state grants. Although the moratorium will cut off some of this revenue, it also could result in adding more customers and monthly revenue.
“I think it’s something worthy of putting out there and seeing if it works,” Meaney said.
Carlson says the reduced fee is a good start but more needs to be done to make the county’s water system developer-friendly. He said the county system’s fees are higher than those of private water companies and, as a result, are stifling development in the areas where the county operates.
As a developer, Carlson said he can’t pay as much for that real estate serviced by the county’s system because he knows it will cost him hundreds of thousands of dollars in tap-in fees and infrastructure costs. He recently walked away from a potential project because of the water costs that would have been associated with it.
He is encouraged to see commissioners take a step to remedy the situation and encourage development.
Carlson, whose most recent project is Vanna Shores Condominiums on Lake Road West, Saybrook Township, said the county needs to lift the moratorium for five years.
“You can only build so much in one year,” he said.
Carlson explained that a development like Vanna Shores can take years to build, sell and occupy, and the developer needs to have his tap-in fee price locked in during that period.
“You get involved in a seven to 10-year project, the economy falls off, they raise interest rates and you go up against an ugly housing market,” Carlson said, explaining some of the variables facing a developer. He said the county has been raising its water permit fees, adding to the volatility.
Local News
County eliminates part of water permit fee
Commissioners want to encourage commercial development, including residential construction
- Local News
-
-
Conneaut’s development headquarters takes shape
A small building two blocks from Lake Erie could become Conneaut’s economic development headquarters before the start of summer.
-
Sheriff’s detectives net two active meth labs
Acting on a tip, Ashtabula County Sheriff’s detectives and deputies uncovered an active methamphetamine lab Friday afternoon, according to Lt. Van Robison.
-
Former Ashtabula resident killed in car crash Tuesday
Ashley N. Penwell, 22, formerly of East Fourth St., Ashtabula, was pronounced dead at the scene of a Tuesday car crash on Charleston Pike Road in Chillicothe.
-
Ashtabula County is near top in 2011 bear sightings
Ashtabula County finished second in the number of black bear sightings reported in Ohio last year, according to a report from the Ohio Department of Natural Resources’ Division of Wildlife.
-
Break-in results in felony charges
A Conneaut man faces two felony charges stemming from a break-in at a vacant Cleveland Court house earlier this week, according to Conneaut Municipal Court records.
-
Conneaut Middle School’s Goodwill drive big success
Students and staff at Conneaut Middle School responded in a big way to a plea for donations issued late last month by Goodwill Industries of Ashtabula.
-
ACMC teams up with Goodwill on Valentine’s Day
This Valentine’s Day, area residents are encouraged to show their love by cleaning out their closets and heading over to Ashtabula County Medical Center.
-
Presses stopped: Updated with video
It was June 23, 1969.
-
Murder suspect kills self at mother’s grave
Madison Township police officers found the body of a murder suspect in the Alexander Harper Cemetery on Thursday afternoon, ending a day-long, multi-county manhunt.
-
Commissioners pay to get the business
Commissioners on Tuesday approved a $15,000 contract with Growth Partnership for Ashtabula County to provide business service representation on behalf of the county’s One-Stop job training center.
- More Local News Headlines
-
