Supervisors join housing plan legal challenge
Published 6:00 pm Tuesday, April 19, 2011
Lincoln County supervisors Monday opted to join a pending legalchallenge to a state law governing the taxing structure forconstruction of low- to moderate-income housing developments.
The county officials’ action follows a similar move byBrookhaven aldermen earlier this month regarding so-called Section42 housing. The Mississippi Municipal League and the MississippiAssociation of Supervisors are in the process of having the lawsuitfiled.
“It’s still in the drafting stage,” said board attorney BobAllen, who reviewed information before the board vote to join thechallenge. “It obligates us to do nothing except be a party toit.”
Allen expects the suit to be ready in about two weeks.
The MML and MAS are challenging the Section 42 rule becauseproperties developed under the measure are not taxed based on theproperty value, but on the rental income the propertygenerates.
“It’s taxed according to the income stream,” Allen said.
The concern for city and county officials across the state isthe lost revenue from property taxes. Therefore, to cover thegovernment services provided to the development, the burden ofpaying for them is shifted to other taxpayers.
Board of Supervisors President Doug Moak said the issue is amatter of how the Section 42 rules have been interpreted at thestate level.
“It’s not to repeal anything,” Moak said of the legal challenge.”It’s to get the Tax Commission to interpret it how it wasintended.”
Locally, developers are looking at using the Section 42 rules toconstruct housing in Brookhaven’s Ward Six on North Jackson Streetnear Montgomery Street. In voting at their April 5 meeting to jointhe lawsuit, Brookhaven aldermen also approved a moratorium onSection 42 housing developments until the lawsuit is resolved.
Also Monday, supervisors moved closer to the county’s joiningthe National Flood Insurance Program.
Only Lincoln and Franklin counties in the state are not part ofthe NFIP. Among the program’s benefits are insurance availabilityto homes in flood plains and disaster assistance funds, butmembership also requires more regulations and requirementsaddressing homes in the flood plains.
Those measures, including some zoning issues, were targeted forremoval in a leaner version of an NFIP ordinance approved Monday bysupervisors. The ordinance will be submitted to the MississippiEmergency Management Agency and, if approved, supervisors will holda public hearing before becoming an NFIP member.
“It’s ready to go as best I can do it and the engineers can doit,” Allen said prior to the vote on the ordinance.
Allen and County Engineer Ryan Holmes questioned whether theordinance would pass MEMA muster. The attorney pointed out theordinance has no zoning provisions.
“It was not your intention to implement zoning ordinances forLincoln County,” Allen told the board.
Holmes expressed similar comments.
“We tried to strip it down as much as we could,” he said.
District Three Supervisor Nolan Earl Williamson remainedskeptical and voted against the motion on the ordinance. Hisconcerns focused on potential bureaucracy involved in homeimprovements for homeowners in flood plains, which Allen said theytried to minimize.
“I just don’t want a bunch of red tape,” Williamson said.
In other matters, supervisors will hold a public hearingWednesday at 10 a.m. in the boardroom to hear comments on thepossibility of the county joining a regional railroadauthority.
Area officials – particularly those in Adams County – areconcerned that a railroad line between Brookhaven and Natchez couldbe torn up, although the new owners have said that would nothappen.
Supervisors in Adams and Franklin counties have voted to join aregional authority that would acquire and operate the rail line ifit is ever targeted for removal. Lincoln County supervisors havebeen supportive of the effort and are considering joining theauthority provided it does not obligate the county to any fundingsupport.
Lincoln County Solid Waste Coordinator Ronnie Durr updated theboard on the ongoing Great American Clean-up Campaign, in whichtrash bins are being placed are various locations around the countyon weekends in April and early May. The bins were in District Twothis past weekend.
“We’ve had a good cleanup,” Durr said. “They’ve all beengood.”
Durr was also appreciative of the Hazardous Waste Collection Dayheld two weeks ago. In it, residents were allowed to bringhard-to-dispose-of paint, chemicals and other items to the landfillfor a special handling.
“It was a big help,” Durr said. “It has curtailed just about allthe paint.”