The Atlanta Journal-Constitution
Published on: 06/26/08
Dropping property values, the driving force for so much economic misery in metro Atlanta, are also reviving talk of annexation in two central DeKalb County cities.
Decatur, which put the brakes on the discussion last winter, plans several meetings later this summer to offer information and gather input on the prospect of adding more land to the city.
And Avondale Estates, which created an annexation committee to examine its ambitions to tack on more land, expects to bring the issue back after the July primary election.
A key issue: as home values plummet, commercial and industrial additions to the tax base could help stabilize property taxes.
"Quite honestly, you're talking about survival as a city, when 60 percent of our income comes from property taxes," said Decatur Mayor Bill Floyd.
Decatur was able to hold its millage rate steady this year despite the dropping property values by taking nearly $500,000 out of its savings.
The situation in Avondale Estates is even more difficult. The city is more than 90 percent residential, and officials said a mix of increased costs and lower values forced them to raise taxes 5 percent for the coming year.
"Our focus from the beginning has been increasing the commercial tax base," said Avondale Estates Mayor Ed Rieker. "We want to make sure we do it right for the city."
The two cities met in February to discuss the potential for their borders to meet at Sams Crossing on College Avenue.
Decatur considered gobbling both commercial and residential land east of its current borders, while Avondale Estates wants only the commercial strip between Sams Crossing and its current border at Maple Street.
Decatur had backed off from annexation, in part because of concerns of up to 500 new students in its school district if the city expanded its borders in the residential area between Decatur and Avondale Estates.
It also has eyed extending its northern boundary to take in three shopping centers, including Suburban Plaza.
Avondale Estates has a similar situation with another potential annexation area on Laredo Avenue. The developer, who is buying the former Fenner Dunlop mill, has talked to the city about annexing his project, which calls for restoring the conveyor belt factory into an office-residential project.
Unless a property owner approaches a city directly about being included, annexation would require legislative approval for a referendum. That allows voters in the proposed annexation area to decide their fate.
Decatur hopes to have a recommendation to state Rep. Stephanie Stuckey Benfield (D-Atlanta) by late fall to get the needed legislative approval. Any annexation could not take place until 2009, at the earliest.
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