Keating Muething & Klekamp Won an Ohio Supreme Court Decision for Home Builders Association of Greater Cincinnati in a Warren County Township “Impact Fee” Dispute

Following a five-year legal battle, the Ohio Supreme Court rendered a unanimous decision which provides clarity to the differences between impact fees and taxes

CINCINNATI--()--Keating Muething & Klekamp PLL (KMK®) attorneys Joseph L. Trauth, Jr., Charles M. Miller, and Thomas M. Tepe, Jr. were instrumental in obtaining a favorable decision for its clients, The Home Builders Association of Greater Cincinnati and numerous builders, from the Supreme Court which concluded that a Hamilton Township “Impact Fee” constitutes an illegal tax.

The impact fee was imposed on new residential and commercial development projects in Hamilton Township for the purpose of paying for police and fire protection, roads and parks. From the implementation of this “fee” by the Township, The Home Builders believed that the fee was an illegal tax. In a 7-0 decision, the Supreme Court unanimously agreed that the “fee” was a tax not allowed to be imposed by townships.

“This Supreme Court decision is good for all residents of Ohio and persons interested in building or purchasing a new home. Additionally, we have heard that local governments across the country have been paying close attention to this case to determine if they could safely enact similar ‘impact fees’ as a means to collect additional revenues. We are very pleased with the Court’s decision as it has a direct and positive impact on the developers and the homeowners in Warren County, saving the average new home purchaser in Hamilton Township approximately $6,250 – and it serves to clearly define for others across the country what constitutes a valid impact fee versus what truly is an illegal tax,” stated KMK partner Joe Trauth.

Charles M. Miller is a litigation partner with KMK. He is particularly adept at fast paced, legally intensive cases and matters that present novel issues of law. Miller successfully handled expedited election law cases, challenges to state legislation, and injunction matters. Miller regularly returns as counsel for appellate litigants to the Ohio Supreme Court where he worked as a law clerk. Miller has represented parties in 10 cases in front of the Ohio Supreme Court in the past four years. In addition to traditional engagements, Miller has been appointed by the Court to represent pro se parties in merit cases on which the Court has ordered briefing and oral argument. Miller acutely understands the types of arguments that have the highest likelihood to persuade or dissuade the Supreme Court of Ohio to decide a case. He clerked for two years at the Supreme Court of Ohio and worked closely with the justices and the staff involved with the operations of the Court. Through this experience, Miller gained a level of familiarity with the institution and the justices that few practitioners have achieved.

Thomas M. Tepe, Jr. is a partner in KMK’s real estate development practice, and has helped clients successfully obtain real estate tax reduction throughout Ohio and in several other states. He has achieved significant reductions for property owners of major office complexes, downtown office buildings, retail and other commercial developments, large apartment complexes, and industrial and distribution facilities. Tepe's representation of real estate developers covers all facets of a property’s development. He successfully has litigated zoning cases throughout Ohio, as well as Kentucky and Indiana on behalf of local and national developers. He also successfully represented land developers in opposing zoning referenda before area Boards of Election. Tepe is listed in The Best Lawyers in America, and has been named an Ohio Super Lawyer.

KMK partner Joseph L. Trauth, Jr. serves clients with issues related to civil litigation, land use, zoning and planning law and real estate law. He has been extremely successful in major rezoning for local and national clients and in obtaining real estate property tax reductions for major commercial properties in this region. He has handled major eminent domain cases and construction cases. Trauth is listed in The Best Lawyers in America®, and has been named a Cincy Leading Lawyer and Ohio Super Lawyer®.

Serving as co-counsel on this case were Richard A. Paolo, Kevin L. Swick, and Edward P. Akin of Aronoff Rosen & Hunt, LPA.

About Keating Muething & Klekamp PLL

The law firm of Keating Muething & Klekamp PLL (KMK®), based in Cincinnati, Ohio, is a nationally-recognized law firm delivering sophisticated legal solutions to businesses of all sizes — from Fortune 100 corporations to start-up companies. Chambers USA: America’s Leading Business Lawyers® 2012 recognized KMK as a leading law firm in Ohio in Bankruptcy & Restructuring, Corporate and Mergers & Acquisitions, and General Commercial Litigation. KMK was named the Commercial Litigation Firm of the Year—USA by Finance Monthly's Law Awards 2011. The 2011 Super Lawyers® Business Edition named KMK the Top Large Law Firm in Ohio in Business and Transactions Law. KMK received 28 first tier rankings in the 2011-12 Best Law Firms survey (Metropolitan Cincinnati) by U.S. News and Best Lawyers. Founded in 1954, KMK has approximately 105 lawyers and a support staff of 150 employees. Additional information is available at www.kmklaw.com.

Contacts

Keating Muething & Klekamp PLL
Susan M. Kurz, Director, Business Development & Marketing, 513-579-6544
Mobile/Text: 513-502-8950
skurz@kmklaw.com

Release Summary

Keating Muething & Klekamp PLL attorneys were instrumental in obtaining a favorable decision from the Ohio Supreme Court which concluded that a township's "impact fee" was, in fact, an illegal tax.

Contacts

Keating Muething & Klekamp PLL
Susan M. Kurz, Director, Business Development & Marketing, 513-579-6544
Mobile/Text: 513-502-8950
skurz@kmklaw.com