In April 2010, the Ohio General Assembly passed legislation that created county land reutilization corporations (LRCs), or land banks. The legislation empowers communities to establish land banks as nonprofit corporations. However, with the creation of these entities, communities have struggled with how to properly fund operations in a manner that allows them to be successful in executing their missions.
One example of funding can be seen in Lake County where county commissioners have recently taken steps to support their land bank by creating a dedicated funding stream for the organization through “penalty and interest collected on delinquent property taxes,” The News-Herald reports. According to the county’s website, the purpose of the land bank is, among other things, to “promote and facilitate the reclamation, rehabilitation, and reutilization of vacant, abandoned, tax-foreclosed, or other real property in the County.” With 1,596 foreclosures recorded in 2011, communities in the county have submitted a list of 51 properties to be demolished, the article said.
