Inequitable By Design: The Strategic Distribution of Costs and Benefits by Business Improvement Districts and Special Assessments

Authors

Molly GillespieFollow

Volume

72

Abstract

Business Improvement Districts (BIDs) are most commonly credited for their innovative strategies in rejuvenating the economic vitality in American cities. However, their implementation raises concerns about fairness and equity. The current practice of financing BIDs through special assessments, particularly applying the front footage method, disproportionately burdens certain property owners for the benefit of others. Consequently, property owners face a range of issues, including financial strain, involuntary annexation, and potential threats to property ownership. However, the existing framework of state constitutions lack the necessary provisions to adequately address these challenges, underscoring the need for significant reform.

This Note addresses these concerns within the context of national BID standards, with a specific focus on Ohio’s BID framework. It asserts that Ohio should defend its property owners against unjust assessments and suggests integrating such protections into the State’s Constitution. Through the inclusion of a provision requiring consent for taxation and clarifying the definition of “special benefit” in the assessment procedure, Ohio’s Constitution will be better equipped to safeguard its residents from economic oppression imposed by BIDs.

Recommended Citation

Molly Gillespie, Inequitable By Design: The Strategic Distribution of Costs and Benefits by Business Improvement Districts and Special Assessments, 72 Clev. St. L. Rev. Et Cetera 64 (2024)
available at https://engagedscholarship.csuohio.edu/etcetera/vol72/iss1/4