Mediation fails in annexation lawsuit against Hamilton

Mediation has failed in a lawsuit cash-strapped St. Clair Twp. filed against Hamilton seeking 12 years of taxes lost due to annexations.

The Ohio Supreme Court ordered the city of Hamilton and St. Clair Twp. to settle, but those efforts ended when Hamilton “quit” mediation, according to the township’s legal advisor Gary Sheets. He said the mediator from the Ohio Department of Taxation produced a document for the city and then they stopped negotiating.

FIRST REPORT: Hamilton sued by township over annexations

“The mediator said based on what the Department of Taxation has indicated to Hamilton they are withdrawing from the mediation,” Sheets told the Journal-News.

The city of Hamilton did not return requests Tuesday for comment.

Over the years as Hamilton has annexed land from St. Clair, Fairfield, Hanover and Ross townships, the city did not get county commissioner approval for boundary adjustments, meaning residents in those townships should have been able to vote for both city council and township trustees, and the townships should have retained their property taxes.

However, the auditor’s office adjusted the boundaries and thus the taxes, and the Board of Elections disallowed multiple jurisdiction voting because both believed the annexations were finalized.

When the city was told about the probe, it received permission from commissioners last October to create a “paper township,” which adjusted the city’s boundaries to include the annexed properties.

Sheets says that action triggered a law that says townships must be compensated for 12 years for the money lost due to the annexation.

The Supreme Court has returned the case to the original docket and Hamilton has 21 days to file an answer to the complaint Sheets filed in April.

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