THE VIRGINIAN-PILOT
Copyright (c) 1996, Landmark Communications, Inc.
DATE: Thursday, September 5, 1996 TAG: 9609050351
SECTION: LOCAL PAGE: B3 EDITION: FINAL
SOURCE: BY LINDA MCNATT, STAFF WRITER
DATELINE: SMITHFIELD LENGTH: 56 lines
This small town, battling to expand its boundaries and its tax revenues by annexation, has reached a compromise with Isle of Wight County.
The upscale Gatling Pointe subdivision would remain in the county, and Isle of Wight would share tax revenue from the annexed area, which would decrease from 5.43 square miles to 3.89 square miles.
Included in the proposed annexation area are the Waterford Oaks subdivision, Smithfield Plaza Shopping Center, with a Farm Fresh grocery store, Peebles Department Store, several eateries and smaller businesses, and the proposed Cypress Creek subdivision. Cypress Creek, near the intersection of Routes 10 and 258, is projected to eventually include more than 400 single-family homes.
Gatling Pointe's 500-plus residents have opposed annexation and vowed to fight it.
County approval could keep the matter out of court, Town Manager Peter M. Stephenson said Wednesday.
Stephenson said the proposal would enable about 300 county residents to claim citizenship in a town famous worldwide for its hams.
``The proposed agreement is not an optimal solution, but (it) is fair to the town and the county,'' Smithfield Mayor James B. Chapman said. ``The agreement provides the town with additional tax revenue, so we can continue to provide a high level of services to our citizens at a low tax rate.''
Smithfield and Isle of Wight would share consumer utility tax revenues for 10 years, with the town paying the county half of its tax revenues from the annexed area. Stephenson estimated it at $15,500 next year and a projected $250,000 in the next nine years. The town also would agree not to pursue annexation again for 10 years.
``The agreement recognizes the minor loss in the county's revenue and provides a reasonable mechanism for revenue sharing,'' Stephenson said.
The town manager said that committees representing Smithfield and Isle of Wight would meet again before the Isle of Wight Board of Supervisors meets Sept. 19, to formally consider the proposal.
Once an agreement is finalized, it must be reviewed by the state Commission on Local Government. After a public hearing, the commission will issue its opinion.
Isle of Wight and Smithfield then must agree to accept any changes that might be recommended and to hold public hearings before adopting any ordinance.
The final agreement must be approved by a three-judge panel.
A voluntary annexation can take effect at the first of the calendar year or at the first of a fiscal year. With the county's cooperation, Stephenson said, his council's goal is to add the new area by June 30. ILLUSTRATION: AREA INVOLVED
Included in the proposed annexation area are: the Waterford Oaks
subdivision, Smithfield Plaza Shopping Center, with a Farm Fresh
grocery store, Peebles Department Store, several eateries and
smaller businesses, and the proposed Cypress Creek subdivision. by CNB