Townships move to get future data center tax revenue as Trenton eyes annexation

Madison and St. Clair townships in Butler County, Ohio, have moved to establish tax increment financing (TIF) districts on 600 acres of land targeted for a proposed Amazon Web Services data center. This action aims to secure millions in future property tax revenue for the townships, creating a significant dispute with the City of Trenton, which is simultaneously pursuing annexation of the same land. Township officials, including Madison Twp. Trustee Jeff Willoughby and St. Clair Twp. Trustee Dustin Gadd, state they are protecting their interests and ensuring local schools, such as Edgewood City Schools, are made whole.

Trenton officials, led by Mayor Ryan Perry and Finance Director Matthew Mesisklis, advocate for annexation to apply city development standards, provide public services like water and sewer, and collect municipal taxes. They propose a different 30-year, 100% TIF structure if annexation occurs, arguing it would offer better oversight and benefits. The dispute highlights the differing financial and regulatory approaches between the city and townships, with both sides presenting conflicting projections for school funding.

The larger context involves a proposed AWS data center campus, estimated at $690 million, planned across two sites: 141 acres already within Trenton and the contentious 600 acres. While some residents oppose the project due to concerns, city officials emphasize the economic impact and the question of which jurisdiction will benefit from the tax revenue. The Ohio Department of Development is currently assessing whether the AWS project meets economic development criteria for an expedited annexation petition, and Butler County has an existing six-month moratorium on data centers which could potentially be repealed.