Residents press city officials at Prew Woods TIF hearing over private-road benefits

KETTERING, Ohio — City staff told residents at a June 24 public hearing that a proposal to extend the Prew Woods Tax Increment Financing (TIF) incentive district from 10 to 30 years is intended to fund public infrastructure and would not be used to pay for private-road maintenance or routine snow removal.

Economic Development Manager Kairen Gant opened the hearing and described how a TIF works: the county continues to tax property at a baseline assessment while increases in assessed value inside the TIF are captured and held to pay for public improvements that support development. He said the original Prew Woods TIF plan (approved in 2015 under Ordinance 4248-15) covered roughly 8.4 acres for a 38-lot residential development and that staff is proposing an amendment to extend the district’s term. Gant told the council the city estimates the extended exemption period could yield about $1.2 million over the additional 20 years, based on 2023 values and rates.

Gant also explained the proposed TIF boundary and an overlay 'box' required by state statute. He said the graphic is used to identify parcels that will be included and to satisfy the statutory limit that an overlay cannot exceed 300 acres; property owners receive notice and, where applicable, can opt in or out as allowed by statute.

Several residents asked how the extension would affect homeowners and what direct benefits homeowners would see. Mark Martin, who identified himself as president of the Prew Woods homeowners association and a member of the local school board, said his HOA currently pays for plowing and resurfacing of private roads and asked whether the TIF would change those obligations. Gant and city staff responded that TIF dollars are restricted to public infrastructure projects that benefit the district as a whole. They described two TIF approaches — an active-spend model and a collect-and-hold model — and said Kettering anticipates using a collect-and-hold approach for Prew Woods so funds can accumulate and be dedicated later to capital projects (for example, improvements to the public access street connecting the subdivision to Dorothy Lane), not to private interior drives or seasonal maintenance.

When asked specifically about snow removal and private-drive repaving, staff reiterated that the city would not use TIF funds to satisfy private maintenance obligations and that private streets built below public standards historically remain HOA responsibilities. Gant said the practical benefit to homeowners is that funds dedicated to public streets and amenities they rely on — such as the public segment of Prew Woods Drive or upgrades to Dorothy Lane that provide access — would be available when council later identifies and approves specific capital projects.

A second resident, Bernie M., asked whether taxes on undeveloped common areas within the overlay would be captured and how those increments would be used. Staff said increment from common parcels would be placed in the TIF fund and used only for qualifying public improvements determined by council. Another resident, Beth Mday, asked what happens after the 30-year limit; staff said state law caps districts at 30 years and any unallocated TIF funds at the end of that period are transferred to the city’s general fund if not otherwise assigned to projects.

Gant said the ordinance schedule calls for first reading on Aug. 12 and second reading and final adoption on Aug. 26, subject to the statutory waiting period for adoption after a public hearing. The hearing closed after council took the public comments under advisement.

What’s next: Council will consider first reading of TIF legislation in August; if council votes in favor after required readings and notices, council would later identify qualifying projects and appropriate funds to specific capital improvements. Residents who want to comment on any future project appropriations may do so when legislation is brought forward.