Granville superintendent warns city annexation without boundary adjustment could create $9M annual deficit

3717113 · May 27, 2025

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Summary

Jeff Brown, superintendent of Granville Exempted Village Schools, told the Senate Finance Committee that a recent annexation by the city of Heath and planned high-density development in annexed land will add more than 800 students and create an operating deficit of nearly $9 million per year for Granville.

Jeff Brown, superintendent of Granville Exempted Village Schools, warned the Senate Finance Committee that a recent municipal annexation by the city of Heath, combined with high-density development on annexed farmland that lies within Granville School District boundaries, would saddle Granville with more than 800 additional students and create an operating deficit approaching $9 million per year under current state funding formulas.

Nut graf: Brown said the annexation allows the city to approve dense, high-priced housing without local Granville voters having a say; because Granville's district wealth formula and the guarantee calculations limit new per-pupil state aid, the district expects a substantial operating shortfall even accounting for increased property and income taxes generated by the development.

Brown said the developer plans homes selling well above $600,000 and that the district would still face a near-$9 million annual operating gap after projected new tax and income revenues. He asked the Senate to adopt an amendment similar to Senate Bill 173 (SC 2932) requiring school district lines to move with an annexation unless the receiving district agrees to educate the annexed students.

Ending: Granville urged the Senate to adopt statutory changes that would prevent municipalities from annexing territory in ways that shift student loads and fiscal burdens onto districts without local consent or fiscal mitigation; no committee vote took place during the hearing.