×

City OKs annexation of storage unit property

WARREN — City council unanimously approved a measure Friday to annex a storage unit property in Howland after the fifth meeting on the legislation and a reversal for council members who initially opposed the move.

The Type 2 annexation of the Extra Space Storage property at 3942 Youngstown Road allows Howland to retain property tax revenue, while Warren will receive income tax from the site’s sole employee and corporate income tax from the business. The decision, finalized at a special meeting on Friday, follows a failed vote May 16, where the measure was rejected 5-4.

Council members Greg Greathouse, D-3rd Ward, and Honeya Price, D-6th Ward, both voted “no” in the earlier session but changed their positions after gathering more information. Price said she initially lacked sufficient details about the annexation and sought input from a businessman, another city’s mayor, and Warren’s mayor, who “explained it very thoroughly.”

“I didn’t know we were going to get the profit income tax either,” Price said, referring to the corporate income tax. “That made a big difference for me.”

Greathouse echoed Price’s concerns about inadequate initial information, noting he believed a Type 1 annexation would yield more revenue. However, after a 45-minute conversation with Mike Keys, director of the Community Development Department, he learned a Type 1 annexation would require Warren to reimburse Howland for lost property tax revenue over 12 years on a sliding scale — starting at 80% and dropping to 25%.

“That just wasn’t worth it,” Greathouse said, citing annual property taxes of $23,000 — a portion of which Howland receives.

The corporate income tax amount remains unclear. Greathouse said a representative from Warren’s Income Tax Department couldn’t provide figures since the business wasn’t previously in the city. Price noted the business, established in 2022, was a recent acquisition, not a remodel as she initially thought.

Price added that Extra Space Storage sought annexation to access Warren’s services, including police, fire and water, and was willing to share its corporate profits.

“They really wanted to be with us,” she said.

The annexation brings Warren an estimated 2.5% income tax on the employee’s annual salary plus an undetermined corporate income tax. Howland will continue receiving its share of property taxes.

Starting at $3.23/week.

Subscribe Today