Preddy Creek rezoning won't be a 'benefit'

This letter is written to refute the Fried Company's grossly misleading claim reported in the Greene County Record (reference page A9, Dec. 15 edition) that approval of the Preddy Creek PUD Rezoning will generate a $11 million "benefit" to Greene County.

The rezoned project might generate additional revenues, but most of the so called "benefit" is already provided by the current "by right" zoning. The $1.6 million in road improvements that Fried is counting as a "benefit" would eventually have to be provided under current zoning, and the PUD zoning will generate only $4.7M more in water and sewer connection fees than the current zoning (see page 17 of the current BZA meeting packet).

Furthermore, Fried's alleged $1.1 million in "benefits" from additional property taxes are not a "benefit" unless and until one deducts the additional costs of providing county services to the additional households. Fried's own fiscal study (see page 28 of the current BZA packet) shows that the net total "benefits" (i.e., additional taxes collected the minus the cost of providing county services) provided by the PUD rezoning will be $97,300 per year less than the net annual "benefit" received from the current zoning (i.e. $153,200 per year from PUD zoning versus $250,200 from current zoning.)

In addition, the fiscal study's property tax projections are overstated because they assume that the new townhouses will have an average sales price of $230,000. That projected sales price is not supported by any specific comparables and the true average price will almost certainly be less than $200,000.  And, if the average townhouse sales price falls below $190,000, the county will incur a net loss evert year (i.e. property tax collections will be $160,000 less per year at the current tax rate and completely wipe out the projected net "benefit" of $153,000).

And it gets even worse. Fried's cost projections do not factor in the cost of constructing new schools. Greene County will probably have to build a new middle school and elementary school at some time in the future, anyway. But approving this request increases the risk that Greene County will have to build one or both of those new schools before the current school bonds are paid off.  Each new school will probably cost more than $25 Million and result in annual double digit increases to county property taxes.

In summary, approving Fried's rezoning request will result in additional service costs that exceed the additional tax revenues. And this shortfall will put more pressure on the county budget and eventually lead to increased property taxes on every county property owner.

The new members of the Board of Supervisors all promised keep taxes in check during their election campaigns. Their vote on this request will demonstrate whether they really meant what they said or were just engaging in election year rhetoric.