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Farms and open land in Marshall and Newton townships contribute more in tax revenues than they receive in public services, according to a recent study. The study also found that revenues from residential development fall far short of supporting the cost of services demanded by such land use.
The study, which looked at the costs and revenues associated with different land uses, found that for every $1 in revenue generated by residential development in Marshall Township, $1.47 was required in public services (e.g. schools, fire and police protection, infrastructure and road maintenance). For every $1 generated by farms and open land in that township, only 27 cents was required for associated services, and for every $1 of revenue from commercial/industrial uses, 20 cents was spent in services.
For Newton Township, residential development required $1.16 in services for every $1 generated. Farmland/open space was a net contributor to the community, requiring just 37 cents for every dollar in revenue, as was commercial/industrial uses, requiring 35 cents for every dollar collected.
The Calhoun County Board of Public Works and the Calhoun County Farm Bureau, with financial support from the Battle Creek Foundation, commissioned American Farmland Trust to conduct a Cost of Community Services (COCS) study to gain a better understanding of the financial impact of existing land uses in Marshall and Newton townships in Calhoun County. The study is a snapshot of current revenues and expenditures on a land-use basis.
Between 1982 and 1992, Michigan lost approximately 854,000 acres of farmland, or 85,000 acres per year, which is comparable to losing the area of 3.75 Michigan townships per year.
For further information on this study, or to learn more about AFT's consulting services and how to have a study done in your area, contact Jane Kirchner at 202-331-7300 ext. 3031.
More information: Cost of Community Service Studies (PDF), Planning for Agriculture
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