YOUR BUSINESS AUTHORITY
Springfield, MO
YOUR BUSINESS AUTHORITY
Springfield, MO
Five tracts of land are being targeted for annexation as Springfield city leaders aim to carry out one of the top 10 initiatives of its Forward SGF comprehensive plan.
At its July 16 luncheon meeting, Springfield City Council members heard a report that focused on the first five areas – four in southwest Springfield and one on the east side – to bring into the city through the voluntary annexation process.
Council and city staff reached consensus at the luncheon that the property owners in the annexation target areas would receive at least 30 days’ advance notification of a public hearing to be held at an upcoming council meeting, followed by a vote at the subsequent meeting. A date has not been set, but council plans to move forward as soon as it can.
The owners, who hold deeds to commercial rather than residential properties, will be sent copies of the consent to annex their property.
The areas chosen for annexation are part of the city’s urban service area, which is the area to which the city may extend its services, like sanitary sewer and transportation, without crossing negotiated boundaries with outlying cities.
Areas targeted
Alana Owen, principal planner with the city’s Department of Planning & Development, introduced the properties under consideration for annexation:
As commercial properties, the annexation targets are a source of potential sales tax revenue, the primary funding mechanism for the city. By contrast, residential properties generate property tax, which funds schools, fire districts, libraries and social services.
According to the presentation, the city is prioritizing annexation of areas with the potential to bring in revenue without requiring extra expenditures for infrastructure maintenance. Priority is also given to areas that are contiguous – that is, connected to the city’s existing boundary.
Most importantly, the areas are ones where property owners have signed agreements giving consent to annex in exchange for city sewer service, officials say. Some of the consent agreements were signed by developers for property that has changed hands, possibly multiple times, in the intervening years.
Owen also pointed out three areas next in line for annexation consideration, and those are city-owned property. One is located near the Springfield-Branson National Airport, one is the Rutledge-Wilson Farm Park and one is a property west of town that serves as a buffer area for the Southwest Wastewater Treatment Plant.
Another consideration in deciding which areas to annex is the potential for redevelopment or additional development, Owen said, highlighting the West Bypass annexation area as an example.
“With the new Target going in here, we see this as a good area with opportunities for redevelopment or additional development,” she said, describing the potential as enticing.
County cooperation
Owen said the city is working on enhancing its consent to annex agreements, and Greene County officials are cooperating with the intention of updating their own codes to reflect the city’s requirements.
“They are really interested in changing their requirements and regulations to mimic ours so that there is a seamless approach when things are developed in the county,” she said.
Springfield Fire Department Chief David Pennington said rural fire chiefs are aware of the city’s discussions about annexation and are discussing the matter among themselves.
In recent Springfield Business Journal reporting, a group of rural fire chiefs expressed concern about the potential loss of tax revenue if residential properties are annexed, and about the possible fracturing or interruption of their districts.
While the upcoming round of annexations applies to commercial tracts, annexing housing developments could remove a funding source that is vital to fire districts.
Willard Fire Protection District Chief Ken Scott said the property owners may not even realize their property is subject to an annexation agreement signed years ago.
“In the areas that are subject to be annexed, has anyone asked the homeowner if they want to be in the city? Or have they gone off of a contractor’s signature who signed an agreement 30 years ago to get the city to extend the city services?” Scott asked.
He added that the prospect of annexation impacts the ability of departments to engage in long-range planning.
Residential annexation is coming
At the luncheon meeting, City Manager Jason Gage signaled that residential annexation is on the horizon. He pointed out that a goal of annexation is not just the financial gain some properties can provide, but also to impact data that describes the community. Those types of annexation will carry more of a policy benefit than a financial one.
Owen presented data showing the net impact if all property, contiguous and noncontiguous, that have consent to annex agreements, were to be brought into the city. The population would expand by approximately 25,000, or 14%.
Springfield’s poverty level would drop by 4 percentage points to 17% if the entire urban service area was annexed, and the population would grow by 61,000, or 35%.
Councilmember Craig Hosmer said planned annexation is the smart approach, compared with what he called the hodgepodge of annexation in response to requests.
Hosmer added that City Utilities charges extra for gas and electricity when it provides services outside the city limits. He suggested Springfield charge a surcharge for the sewer service it provides outside of the city to offer an extra incentive for annexation.
City Planning Director Steve Childers agreed that a sewer surcharge would provide an extra level of motivation, and he added that the state allows municipalities to assess up to 1.5 times the sewer rate.
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