Explanation
BACKGROUND
This Ordinance authorizes the Director of the Department of Development to enter into a capital contribution agreement with West Granville Road Owner LLC to pay for required public infrastructure improvements in an amount up to $2,000,000.00 and authorizes the expenditure prior to the issuance of the purchase order beginning September 1,2023.
OSU Airport East, at 2555 W Dublin Granville Rd, is a proposed 336-unit workforce housing development in the City of Columbus. The project is a residential community consisting of eleven (11) three-story garden-style buildings and a centrally located clubhouse, offering a mix of one-, two-, and three-bedroom units to serve a range of households. The development expands access to high-quality housing options across a range of price points, which are increasingly limited in this growing area of Columbus.
The capital contribution agreement is critical to advancing necessary off-site infrastructure improvements that directly support both the OSU Airport East development and the City of Columbus’ broader public infrastructure goals. Specifically, the grant funding will be used to complete:
• Off-site sanitary sewer improvements, including sewer lining for 35+ mains and laterals in the surrounding neighborhood
• Roadway widening to accommodate increased traffic and improve circulation on SR 161
• Installation of a traffic signal and signalized crosswalk to enhance safety and accessibility, at the direct request of neighborhood residents
• Construction of an 11-ft wide shared-use path to support pedestrian and bicycle connectivity
These improvements are essential to making the site viable for residential development. While they are required to support the project, they extend beyond the boundaries of the development and provide significant public benefit. Notably, the sewer lining and shared-use path improvements have already been identified as part of the City of Columbus’ capital improvement planning efforts. Through the OSU Airport East development, the project team is advancing these improvements ahead of the City’s anticipated timeline and delivering them as part of the project scope. This approach accelerates critical infrastructure delivery while reducing the City’s future financial burden.
Emergency Designation: Emergency action is requested to meet the project’s timeline and to ensure timely receipt of the grant agreement to allow the developer to close on their construction loan. Without emergency action, the necessary improvements in infrastructure would further delay the workforce housing development project.
FISCAL IMPACT: An amendment to the 2025 Capital Improvement Budget is required to transfer funding between project and align spending within the proper project.
CONTRACT COMPLIANCE: Vendor contract compliance number is CC-055420 and expires 06/09/2028.
Title
To authorize the Director of the Department of Development to enter into a capital contribution agreement with West Granville Road Owner LLC for required public infrastructure improvements supporting the development of workforce housing; to amend the 2025 Capital Improvement Budget; to authorize the expenditure prior to the issuance of the purchase order beginning September 1, 2023; to authorize the transfer and expenditure in an amount up to $2,000,000.00 from the Development Taxable Bonds Fund for the required public infrastructure improvement benefiting the community’s broader infrastructure goals; and to declare an emergency. ($2,000,000.00)
Body
WHEREAS, OSU Airport East, at 2555 W Dublin Granville Rd, is a proposed 336-unit workforce housing development in the City of Columbus; and
WHEREAS, this ordinance authorizes the Director of the Department to enter into a capital contribution agreement with West Granville Road Owner LLC in an amount up to $2,000,000.00 for public infrastructure improvements; and
WHEREAS, it is necessary to amend the 2025 Capital Improvement Budget to match cash and establish authority within the correct project; and
WHEREAS, it is necessary to authorize a transfer of funds between projects within the Development Taxable Bonds Fund (7739) to establish sufficient cash to pay for the project; and
WHEREAS, expenses incurred by the Developer prior to execution of the purchase order, starting September 1, 2023, will be reimbursable; and
WHEREAS, an emergency exists in the usual and daily operation of the Department of Development in that it is immediately necessary to authorize the Director of Development to enter into a Capital Grant agreement in an amount up to $2,000,000.00 from the Development Taxable Bonds Fund for the immediate improvement of critical infrastructure needed for the future development of workforce housing that is desperately needed due to the housing shortage for the immediate preservation of the public health, peace, property, safety, and welfare; NOW, THEREFORE
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the 2025 Capital Improvements Budget authorized by Ordinance No. 1790-2025 be amended as follows to establish sufficient authority for this project:
Fund / Project / Project Name / Current / Change / C.I.B. as Amended
7739 / P441768-100009 /North Market CFA Contribution (Unvoted Carryover) / $2,000,000/( $2,000,000) /$0
7739 / P590415-100000 / Economic & Community Development (Unvoted Carryover) / $0.00 / $2,000,000 / $2,000,000
SECTION 2. That the Director of the Department of Development is hereby authorized to enter into a capital contribution grant agreement with West Granville Road Owner LLC for the required public infrastructure improvements, and to authorize the reimbursement of expenditures prior to the issuance of the purchase order beginning September 1, 2023.
SECTION 3. That the transfer of $2,000,000.00, or so much thereof as may be needed, is hereby authorized within Fund 7739 (Development Taxable Bonds Fund), from Dept-Div 4402 (Economic Development), P441768-100009 (North Market CFA Contribution, Object Class 06 (Capital Outlay) to Dept-Div 4402 (Economic Development), Project P590415-100000 (Economic & Community Development), Object Class 06 (Capital Outlay) per the account codes in the attachment to this ordinance.
SECTION 4. The expenditure of $2,000,000.00, or so much thereof as may be needed, is hereby authorized in Fund 7739 (Development Taxable Bonds Fund), in Dept-Div 4402 (Administration), Project P590415-100000 in Object Class 06 (Capital Outlay) per the account codes attached to this ordinance.
SECTION 5. That the funds necessary to carry out the purpose of this Ordinance are hereby deemed appropriated, and the City Auditor shall establish such accounting codes as necessary.
SECTION 6. That the City Auditor is hereby authorized and directed to transfer any unencumbered balance in the project account to the unallocated balance within the same fund upon receipt of certification by the Director of the Department administering said project that the project has been completed and the monies no longer required for said project; except that no transfer shall be made from a project account by monies from more than one source.
SECTION 7. That the City Auditor is authorized to establish proper project accounting numbers as appropriate.
SECTION 8. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this Ordinance.
SECTION 9. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this Ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.