Annexation
and years’
The de-annexation would mean 2.3 square miles of South Cordova would be removed from the city. The area is located south of Walnut Grove Road in the vicinity of Sanga Road and Forest Hill Road, extending south to the Wolf River. It has about 4,000 residents in about 1,800 housing units.
It would also mean the city losing around $3 million in annual tax revenue, but Mcgowen said the city won’t see a net reduction in money due to annual population growth and not having to pave roads or offer other services in de-annexed areas.
Jon and Cathy Bascom, South Cordova residents for the past 23 years, said it was “refreshing” to see that city officials had come to a determination that they should reverse the decision to annex the area.
“The area we live in didn’t want to be annexed,” Jon Bascom said. “We fought it for years and years and years. … It looks like there’s a light at the end of the tunnel. By and large, the lion’s share of South Cordova is going to be very happy about it.”
How taxes will work going forward
After the de-annexation vote, residents of the area will pay city taxes through 2020. In 2021-22, they will pay a supplemental city tax bill of the same amount. In 2023 they will pay a supplemental city tax in a reduced amount.
“So more alimony,” joked one resident.
Those taxes will cover South Cordova’s portion of the City of Memphis’ unfunded pension liability and debt from capital projects, Mcgowen said.
In 2024, residents of the area will stop paying city taxes.
“That is the best practice we’ve come up with across the country when I’ve asked what is the fairest thing to do,” Mcgowen said.
Carl Elliott, another South Cordova resident, said no one in the area wants to pay the additional years of Memphis tax, but that they’ll be glad to no longer be part of the city.
“Everybody’s willing to pay it to get out,” he said.
Overall, the atmosphere at Jan. 31’s meeting was one of excitement from people in the de-annexation area.
Some residents asked Mcgowen what the likelihood is of City Council approving the ordinance. City Councilman Frank Colvett said he and others would “push it with everything we have.”
“It’s gonna happen,” one woman said as she left the meeting. “It’s gonna happen.”
Katherine Burgess can be reached at katherine.burgess@commercialappeal.com.