Marysville, OH Forges Ahead: Amazon Data Center Deal and Key Infrastructure Investments

Marysville, Ohio – The City of Marysville is solidifying its position as a burgeoning hub for industrial and commercial development, most notably through its ongoing partnership with Amazon Data Services, Inc. This collaboration, aimed at fostering economic growth and job creation, recently saw a significant milestone on July 28, 2025, with the Marysville City Council's approval of a Development Agreement and the granting of crucial easements to Amazon. This follows earlier agreements, including a Community Reinvestment Area (CRA) Agreement approved in March 2025, and a Joint Economic Development District (JEDD) expansion in September 2023.

The Latest Chapter: July 28, 2025 Development Agreement

The July 28, 2025, City Council meeting authorized a Development Agreement and the granting of temporary and permanent easements with Amazon Data Services, Inc., specifically Oakhills Properties, LLC as the buyer and Amazon as its assignee. This comprehensive agreement is a vital step in promoting economic development as part of the 33 Innovation Park development. The City views this as an emergency measure, necessary to secure funds from the property sale and enable construction of the project before the end of the current year's construction season.

Key aspects of this agreement include:

• Property Acquisition: Amazon (via Oakhills Properties, LLC) acquired approximately 55 acres of undeveloped real property in 33 Innovation Park, identified as a portion of Permanent Parcel Number 2900230570000.
• Public Infrastructure Commitment: Amazon has agreed to undertake the construction of certain public infrastructure improvements. This collaboration between the City and Amazon is crucial for the success of the project, requiring significant resource commitment and coordination.
• Financial Contributions: Amazon will make a one-time payment of $3.1 million to the City as a Developer’s Contribution towards the City Improvement Costs, with the City covering any excess costs. Additionally, Amazon will be responsible for Developer Improvements Costs, capped at $5 million. The total estimated cost for infrastructure improvements in the broader Marysville Southeast New Community Authority area is over $106 million, with the Authority expected to provide over $24 million in public financing.
• Easement Grants: The City will grant essential temporary and permanent easement rights over adjacent city-owned properties to facilitate the construction and use of Amazon's planned improvements and infrastructure. This includes an Access Easement and a Temporary Access and Construction Easement.
• Community Benefits: Entering into this agreement and granting these easements is seen by the City as promoting the health, safety, morals, and general welfare of its inhabitants by supporting industrial, commercial, distribution, and research development. It is expected to stabilize the economy, provide employment, and offer additional opportunities for gainful employment for Marysville residents.

Community Reinvestment Area (CRA) Agreement and Tax Incentives

The Development Agreement follows the Community Reinvestment Area Agreement, which was approved by the City Council on March 10, 2025, after being discussed at meetings on February 10 and February 24, 2025. This agreement amends the Marysville Community Reinvestment Area No. 2 to include extended exemptions for commercial or industrial structures qualifying as "Megaproject Sites" or owned by "Megaproject Suppliers".

Key details of the CRA Agreement and associated benefits include:

• Significant Tax Exemption: Amazon Data Services, Inc. will receive a 30-year, 100% real property tax exemption for the assessed value of new structures (buildings) constructed at the Project Site. The exemption period for the project as a whole may extend beyond 30 years, though individual exemptions start when the property would typically become taxable, but not after tax year 2035 or beyond tax year 2065.
• Payments in Lieu of Taxes (PILOT): In consideration of the tax exemptions, Amazon will make annual payments to the Community Improvement Corporation (CIC) of Union County. These PILOT payments will amount to $1,041,500 annually for 15 consecutive years, totaling $15,622,500.
• School District Compensation: The Marysville Exempted Village School District (MEVSD) and Ohio Hi-Point Career Center (OHPCC) approved this project. The Schools specifically requested the PILOT payment be spread out over 15 years instead of 30. Without abatements, the property would have generated approximately $75 million, with about $55 million going to the Schools. The PILOT and additional payments represent about a 71% abatement for Amazon over 30 years. The City will also share 50% of municipal income taxes collected from employees working at the Project with the Marysville Schools until the tax exemption expires. Importantly, the land value will not count against the Schools for the State Funding Formula.
• Investment and Job Creation: The project represents a $1 billion investment by Amazon. Amazon estimates creating approximately 25 new, full-time employee positions with an aggregate annual payroll of $2.25 million by December 31, 2028, in addition to non-construction contractor positions. While the official job delivery estimate is conservative, Amazon anticipates many more than 25 jobs, including those from construction workers and updates every three to five years.

Water Usage and Environmental Considerations

Concerns about water usage for the data center were addressed during council discussions. The City has capped Amazon's water usage at 50,000 gallons per day. To put this in perspective, on hot summer days, the local area can use about 5 million gallons per day, making Amazon's cap less than 1% of that total. This daily cap is roughly equivalent to the normal water usage of 250 to 300 houses. Amazon confirmed its pledge to be water positive by 2030, utilizing a non-contact cooling system that reuses and recycles water multiple times, making it one step below potable water. The Marysville site will also feature significant on-site water storage to allow tanks to be filled on off-peak days for use during peak demand.

Regarding land impact, Amazon has committed to participating in a tree replacement program and limiting the cutting of trees as much as possible in woodland/wetland areas.

Joint Economic Development District (JEDD) Expansion

Prior to these agreements, the City of Marysville and Jerome Township expanded their Joint Economic Development District (JEDD) on September 11, 2023, to include Amazon's and Primrose's additional properties.

• Income Tax Sharing: Within the JEDD, participating commercial businesses pay a 1.5% annual income tax. Of this, 60% goes to the JEDD Board for infrastructure improvements in the area, 20% to Jerome Township, and 20% to the City of Marysville. This tax is specifically for commercial properties.
• Strategic Growth: The JEDD expansion aims to foster business growth and create/preserve jobs across Union County, enhancing the economic welfare of residents. The District is strategically located along the US-33 Smart Mobility Corridor, identified as a growth priority area, and benefits from Marysville providing municipal water and sewer services.

Why Ohio?

Ohio has become a "hot spot" for data centers, including Amazon's facilities. Key factors contributing to this appeal are state-level incentives, the availability of water and electricity, and the consistent weather patterns compared to other regions. Amazon's positive experiences building in Ohio also contribute to their continued investment in the state. The Columbus Metropolitan Statistical Area (MSA), which includes Union County, is experiencing rapid population and job growth, with Union County being one of the fastest-growing counties in Ohio.

Overall, these agreements underscore a concerted effort by Marysville and Amazon to drive significant economic development, balancing large-scale corporate investment with community benefits and environmental considerations.