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Cleveland State Law Review

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The Ohio Supreme Court's Perverse Stance On Development Impact Fees And What To Do About It, Alan C. Weinstein Jan 2012

The Ohio Supreme Court's Perverse Stance On Development Impact Fees And What To Do About It, Alan C. Weinstein

Cleveland State Law Review

Ohio is among the twenty-two states that have no enabling legislation for development impact fees. But in a 2000 ruling, Homebuilders Association of Dayton and the Miami Valley v. City of Beavercreek, a divided Ohio Supreme Court ruled that municipalities could lawfully enact impact fees under their police and “home rule” powers, provided that the fees could pass constitutional muster under a “dual rational nexus test.” On May 31, 2012, however, the court ruled in Drees Company v. Hamilton Township, that a development impact fee enacted by an Ohio township with “limited home rule” powers was an unconstitutional tax. The …