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Home My Public Portal About020-1993 - SOUTHEAST AREA ANNEXANATIONExhibit B Ordinance No. 20-1993 The City of Richmond is those areas within the corporate boundaries, as legally defined on the official city map, and those non-contiguous areas annexed for Recreational and Airport use. The Richmond Community is comprised of a much larger area consisting of the incorporated municipality and of contiguous unincorporated fringe areas which have close physical, social, economic, and cultural ties to the City. Development occurring in these unincorporated fringe areas bears a reasonable relationship to the development of the City. Many of the fringe areas within the Richmond Community presently receive City services such as electrical power and sanitation . The contiguous unincorporated fringe areas of the City of Richmond constitute the City's natural growth area. The State of Indiana recognizes the contiguous unincorporated area as the future growth area of the City and permits the exercise of planning and zoning jurisdiction in the area to ensure compatibility of the infrastructure and neighborhoods once annexation or the redefinition of Corporation boundaries occurs. The Indiana Code sets forth the criteria which a City must follow in determining which portions of the Community may legally be annexed to the City (1.C. 36-4-3-1 et. seq.). Simply stated, the State Law reflects the policy, that which is "urban" in character should be municipal. The statute also allows for the annexation of areas that are still rural in nature when it can be demonstrated to be necessary to the future growth of the City. The City of Richmond, Indiana wishes to annex a certain area adjacent to the southeast sector of the City. The area is bounded on theeast by the State of Indiana boundary line, the south right- of-way line of Hodgin Road on the south, and the present municipal boundaries on the west and north. This area, because of the large undeveloped acreage, is not physically comparable to any present area within the City. The City of Richmond, Indiana needs the proposed annexed area in the reasonably near future for 5 the growth and development of the City. Upon becoming a part of the City of Richmond, governmental and proprietary services will be made available to the annexed area in conformance with the time periods prescribed by relevant state law and utility policies and in the same manner as those services are provided to areas within the corporate boundaries that have similar topography, patterns of land use and population density. The annexed area meets the necessary criteria for annexation in the manner stipulated by Indiana Code 36-4-3-1 et. seq. The area sought to be annexed is contiguous to the present corporate boundary and approximately 67% of the aggregate external boundaries of the territory to be annexed coincide with the boundaries of the City. Gas and water utilities may be made available to this area through private companies regulated by the Indiana Utility Regulatory Commission. Portions of the proposed annexed area are served with electricity by Richmond Power & Light, a municipally owned utility. Within 60 days after the annexation becomes final, Richmond Power & Light must file a petition with the Indiana r Utility Regulatory Commission for approval to provide electric service within the remainder of the annexed area. Indiana Code 8-1-2.3-6(1 ) provides that the annexing municipality shall pay the other electricity supplier the reconstruction cost new depreciated value for its utility property located in the annexed area plus severance damages, normally calculated at 2 1/2 times the previous year's gross revenues from sales to customers in the annexed area. The estimated cost for such acquisition shall be developed by Richmond Power & Light based upon information to be obtained from Wayne County REMC. Such costs are subject to order of the Indiana Utility Regulatory Commission and shall be paid from Richmond Power & Light revenues or retained earnings, not from City funds. Presently South 37th Street is being extended to Backmeyer Road to open that area for additional commercial and residential growth. At this point in time the extension as far south as South "A" Street is expected to be completed in 1994. Ultimately this roadway will be extended to Hodgin Road by the end of 1995. Council recently rezoned approximately one hundred thirty five (135) acres to M-1 light industrial just south of Old National Road to encourage industrial growth within the proposed annexation area. The City of Richmond has installed a major sanitary sewer line along Hodgin Road to service the future growth of this area. The sewer is utilized at about 10% of capacity. Additionally the Backmeyer Road area north and south is serviced by sanitary sewers running south to Niewoehner Road and tying into the Short Creek interceptor. The southeast area will continue to be a major growth area for the commmunity for the next several decades. A definite policy and fiscal plan for providing services to the area has been developed. The following report describes the area, sets forth a municipal service plan, summarizes the financial impact of annexation upon the City, and recommends a course of action. BASIC DATA Southeast of the city, north of Hodgin Road, and west of the State boundary line. 2. Total A .rye Approximately 1080 acres 2 Approximately 4.1 miles 1990 Census of population; Census Tract 11 shows the annexation area has 2.52 persons per household. Sixty households are presently within the annexation area. The approximate population is 151 persons. 5. The annexation area has a perimeter of 10.97 miles with 7.63 miles, or 69.5%, of the boundary contiguous to the municipal boundaries. Present Proposed 6. L= Use land Usp, a. 900 acres in agricultural use-------- 0 b. 130 acres in residential use--------- 487 C. 21 acres in commercial use-------- 86 d. 5 acres in industrial use--------- 507 Present Proposed 7. Zonil]g Zoning a.430 0 acres A-1 Agricultural b.19 5 208 acres R -1 Single Family c. 5 7 0 acres R- 2 Single Family d. 158 279 acres R - 4 Multi -Family e. 4 16 acres C- 2 Commercial f. 22 70 acres C- 4 General Commercial g. 135 507 acres M -I 'Light Industrial h. 79 0 acres M- 2 General industrial SERVICES TO BE PROVIDED TO THE ANNEXED TERRITORY Several methods are generally utilized to derive a criteria for police service in a given area. a. Ratio of officers per population. b. Cost of police service per acre. C. Cost of police service per call. d. Administrative judgement of the Police Chief. e. Acreage of the area. 3 Each method has utilized the basic cost of putting a police officer in the field with all required equipment and necessary supportive service according to 1993 budget expenditures. Using the average of these four formulas, the Police Department has determined the estimated cost of providing police service to the annexation area is minimal based on the number of residents in the area and the fact the area is already adjacent to the corporate limits. Total Estimated Annual Cost: FIRE PRQIEOON $14,951.00 This annexation area is currently serviced by the Richmond Fire Department through a fire protection contract with Wayne Township. This fire protection service will continue after the area is annexed. Since the area is presently served, there are no direct cost increases to the Richmond Fire Department. However, the fire protection contract will, in all likelihood, be reduced; therefore, this anticipated reduction has been treated as a cost in this fiscal plan. Based on assessed valuation of the annexation area the costs are as follows. Total Estimated Annual Cost: $15,746.00 The Richmond Park and Recreation Department currently makes available all existing municipal park facilities and services to the residents of the annexation area. At this time, there are no plans for constructing parks in the annexation area as the current need does not require it. Total Estimated Annual Cost: $6,209.00 The proposed annexation area contains 4.1 miles of streets which must be maintained by the City of Richmond, Street Division, Public Works Department. Annual maintenance service will include sweeping, snow removal, pavement sealing and marking. Presently many of the households in this area are on individual contracts with the sanitary district. As this area is annexed the district will be expanded to accomodate them as taxpayers rather than through the contracts. The only additional cost expected is a one-time expense to the Sanitary District for purchase of individual trash carts for residences in the area. Total Estimated Annual Cost: Aosle rollers=$439+$7585 for street Division = $8,024.00 J These services are those provided primarily by the City Departments located within the municipal building. The City Engineer, Law Department, Planning and Redevelopment Department and Economic Growth -and Development are currently providing services to the area as a result of the two (2) mile fringe jurisdictional area. All these City Departments will provide necessary support services to the newly annexed areas at the following costs. Total Estimated Annual Cost: $4,561.00 Total Estimated Annual Annexation Cost: $49,491.00 GENERAL FUND General Revenue Excise Tax $1701.60 Alcohol Beverage Gallonage Tax $289.92 Cigarette Tax $172.14 Real and Personal Property Taxes $42,849.21 Cumulative Capital Development Fund $631.18 Total Revenue General Fund; $45,644.05 The General Fund is used to offset expenses of all departments except the Department of Transportation. 5 TRANSPORTATION FUND Gob, LeMIN iaL 1:1 MotorVehicleVehicle Highway Fund (100% population derived) n/a Local Roads- and Streets Fund { 60% population derived) n/a Local Roads and Streets Fund ( 40% based on miles of streets )"' $2,969.72 Total Revenue Transportation Fund $2969.72 "Note: Wayne County's Transportation Fund would record a reduction in receipts as a result of annexation. Total Annual Annexation Revenue: $48,613.77 Cost In Excess of Revenue $877.23 *12ote: The General Fund for the City of Richmond would be utilized to cover the excess costs of providing services to the annexation area. The Planning staff recommends that this area be annexed for the following reasons: The Master Plan designates this area as a future growth sector of the community, allocating the land for Commercial Industrial and Residential uses. 2.) Our analysis of the costs of annexation indicates that the City can provide all necessary services within the time parameters set by state law. 3.) We presently have two road projects, South 37th Street from National Road to Hodgin Road and South "A" Street extended, which extend past present City limits into the proposed annexation area. These projects are vital to providing for the future economic growth of our southeast business area. We cannot spend City dollars for road projects outside our corporate limits. 4 .) The Norfolk Southern Railroad is our best remaining active line. Future economic development requiring rail service will be limited severely to the northwest of town and to the small remaining area within the boundaries of this proposed annexation this location is further enhanced by its' proximity to 1-70. 6 CITY OF RICHMOND 50 NORTH FIFTH STREET • RICHMOND, INDIANA 47974 PHONE (317) 983-7232 • FAX (317) 983-7212 NORMA SCHROEDER City Clerk CLERK'S CERTIFICATE State of Indiana, County of Wayne, ss: I, Norma Schroeder, Clerk of the City of Richmond, Wayne County, and State of Indiana, do hereby certify that the foregoing is a true and valid copy of the judgment ordering annexation to take place as is stated in Ordinance No. 20 - 1993. WITNESS my hand and seal of the City of Richmond, Indiana this 19th day of August, 1996. L Nor a Schroeder, Cikf Clerk Rich ond, Indiana DISPOSITION OF ORDINANCE NO. ;?,o RESOLUTION NO. -799 Iby Common Council Ordinance No.2 Resokuti4n No. _ Elstro Lundy Brookbank Donat McBride Parker Dickman Allen Hutton Date_ �3 Susp. rules Ist read Title only Seconded -------- ----- -------- ------ ......................... ------------------ Proof of Publicaton Seconded ................................................. --------- Move to 2nd read Seconded - ................ ------- Engrossment ..........................................................---- Seconded ------ ---- ---.... Susp rules 3rd read ..................................-------- Seconded ---- ------ ................ ---- ------- Passage ✓ ;/ ------ --O R- ----- --------- ------------- ------ ----------------------------- Rejection V/ V Date Passed 19 -3 COMMITTEE ASSIGNMENTS: Committee Date Commitee Hearing Date Reassigned to Council Agenda PUBLICATION DATES: AMENDMENTS: COMMENTS: