City of Columbus - File #: 0908-2011

• File #: 0908-2011
• Version: 1
• Type: Ordinance
• Status: Passed
• File created: 6/6/2011
• In control: Development Committee
• On agenda: 6/27/2011
• Final action: 6/28/2011
• Title: To authorize and direct the City Auditor to transfer $1,480,499.22 within the General Fund; to authorize and direct the City Auditor to appropriate and transfer $370,124.81 in cash from the Special Income Tax Fund to the General Fund; to authorize and direct payment to the Columbus City School District, Hilliard City School District, and the Olentangy Local School District for income tax revenue sharing; to authorize the expenditure of $1,480,499.22 from the General Fund; and to declare an emergency. ($1,480,499.22)

Date	Ver.	Action By	Action	Result
6/28/2011	1	MAYOR	Signed
6/28/2011	1	CITY CLERK	Attest
6/27/2011	1	Columbus City Council	Taken from the Table	Pass
6/27/2011	1	Columbus City Council	Approved	Pass
6/27/2011	1	COUNCIL PRESIDENT	Signed
6/20/2011	1	Columbus City Council	Tabled to Certain Date	Pass
6/10/2011	1	Auditor Reviewer	Reviewed and Approved
6/10/2011	1	CITY AUDITOR	Reviewed and Approved
6/10/2011	1	Dev Drafter	Sent for Approval
6/10/2011	1	CITY ATTORNEY	Reviewed and Approved
6/10/2011	1	Dev Drafter	Sent to Clerk's Office for Council
6/9/2011	1	Finance Reviewer	Reviewed and Approved
6/9/2011	1	Finance Reviewer	Reviewed and Approved
6/9/2011	1	FINANCE DIRECTOR	Reviewed and Approved
6/9/2011	1	Dev Drafter	Sent for Approval
6/8/2011	1	Finance Reviewer	Reviewed and Approved
6/7/2011	1	Dev Drafter	Sent for Approval
6/6/2011	1	Dev Drafter	Sent for Approval
6/6/2011	1	DEVELOPMENT DIRECTOR	Reviewed and Approved

Explanation

BACKGROUND: By authority of ORC Section 5709.82, the City is required to pay affected school districts 50 percent (50%) of the municipal income tax revenue attributable to tax abated projects where the annual 'new employee' payroll for a project is one million dollars or more, in a given tax year, during the abatement. This municipal income tax revenue sharing with affected school districts applies to all property tax abatements approved by the legislative authority after July 1, 1994 and is based on the 'new employee' wages paid in a tax year, during the years of tax exemption, and also on the wages of the construction workers.

For tax year 2010, the City of Columbus has a total of nineteen (19) projects requiring revenue sharing and the total amount of revenue to be shared is $1,480,499.22. The nineteen (19) projects are located in three different school districts with the revenue share subtotals as follows: $1,291,938.46 to Columbus City School District for 16 projects; $56,701.26 to Hilliard City School District for 2 projects; and $131,859.50 to the Olentangy Local School District for 1 project.

Emergency action is requested in order to expedite payment to the three school districts to compensate them for property tax revenues forgone due to tax abatements.

FISCAL IMPACT: The 2011 General Fund budget (citywide account) includes funding for these payments. A transfer equal to 25 percent (25%) of the payment will be transferred from the Special Income Tax Fund. The transfer amount of $370,124.81 has been factored into the current special income tax analysis and resultant capital capacity.


Title

To authorize and direct the City Auditor to transfer $1,480,499.22 within the General Fund; to authorize and direct the City Auditor to appropriate and transfer $370,124.81 in cash from the Special Income Tax Fund to the General Fund; to authorize and direct payment to the Columbus City School District, Hilliard City School District, and...