Explanation
Background
The goal of a Community Reinvestment Area is neighborhood revitalization and stabilization.
This Ordinance will amend the Columbus Housing Community Reinvestment Area (the “CHCRA”) to incorporate recent annexations and transfers out of existing commercial CRAs, as well as standardizing the minimum investment amount required for eligibility of the incentive. The real property tax exemptions provided herein will be available only for parcels that are residentially zoned, or parcels where residential use is permitted by variance, and only for properties that are actually used for residential purposes.
FISCAL IMPACT: Not applicable.
Title
To amend Ordinance No. 3448-2023, as amended by Ordinance Nos. 1393-2024 and 1908-2025; to modify the Columbus Housing Community Reinvestment Area (the “CHCRA”); to authorize real property tax exemptions as authorized by Chapter 3735 of the Ohio Revised Code (ORC); and to provide that the City’s existing Community Reinvestment Area Housing Council shall serve as the Housing Council for the modified CHCRA. ($0.00)
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WHEREAS, recent annexations and housing development opportunities in existing commercial CRAs have been identified to incorporate into the Columbus Housing CRA; and
WHEREAS, a housing survey (Exhibit A) and a map of the proposed CRA (Exhibit B), as required by ORC Section 3735.66, have been prepared and are attached to this Ordinance; and
WHEREAS, it has become necessary in the usual daily operation the minimum investment amounts for eligibility of the incentive will be adjusted to the minimums prescribed by ORC; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That Sections 2, 3, 6, 7, 10, and 15 of Ordinance No. 3448-2023 (including Exhibits A, B, D, and E thereto), as amended by Ordinance Nos. 1393-2024 and 1908-2025, is hereby amended as follows:
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Section 2. That City Council finds that the housing survey in Exhibit A, attached hereto and incorporated herein, reflects that the area depicted in Exhibit B, attached hereto and incorporated herein, constitutes an area in which housing facilities or structures of historical significance are located and new housing construction and repair of existing facilities or structures are discouraged. City Council finds that the construction of new structures and the remodeling of existing structures are declared to be a public purpose for which exemptions from real property taxation may be granted as set forth hereinafter.
Section 3. That pursuant to ORC Section 3735.66, the CHCRA boundary is hereby established in the area as described in this Section:
(a) General Boundary of CHCRA. All parcels within the City of Columbus corporate boundary shall be within the CHCRA boundary, except as provided for this Section.
(b) CRAs Absorbed into Boundary of CHCRA. The following CRAs, as defined by Exhibit C, which is hereby incorporated herein by reference, and as previously approved by City Council are hereby dissolved and absorbed into the CHCRA: 161; AC Humko; Brewers Yard; Brookwood; Cassady/I- 670; Cleveland Avenue; Crosswoods; Far East; Far South; Far West Broad; Fifth by Northwest; Franklinton / Area G; Front Street/West Street; Gibbard Avenue; Grandview Crossing; High and Second; Hilltop / Area D; Hubbard and High; Jeffrey Square; Kenny and Henderson; Linden / Area A; Livingston and James; Milo Grogan; Nazarene; Near East; North Central; Northeast; Northland; Oak Street; Petzinger Road; Quarry; Riverside; South of Main / Area E; Southeast; Southside / Area C; Weinland Park / Area F; West Scioto; Wilson Road (Residential) (“Absorbed CRAs”);
(c) CRAs Excluded from Boundary of CHCRA. The following currently existing CRAs, as defined by Exhibit D, which is hereby incorporated herein by reference, shall be excluded from the boundary of the CHCRA:
1) Airport Drive, except for parcels 010-062833-00 and 010-218054-00;
2) Brewers District
3) Downtown
4) Easton Square Place
5) Hickory Ridge
6) Jeffrey Residential
7) Leonard/Taylor
8) Norton-Crosswind, except for parcel 570-154751-00 and the public right-of-way on said parcel’s north side
9) Old State Road
10) Rickenbacker, except for where the territory of the Far South CRA overlaps the Rickenbacker CRA, and except for the territory of the Rickenbacker CRA east of Parsons Avenue and south of Williams Road, and except for the area bounded by I-270 to the north, Parsons Avenue to the east, Rathmell Road to the south, and US-23 to the west
11) Roberts Road
12) Short North
13) Southside Investment District, except for parcels 010-035183-00, and 010-007536-00, 510-180714-00, 510-221591-00, 510-180716-00 (and the area between said parcel and parcel 010-111594-00), 010-066158-00, 010-066159-00, 010-008499-00, 010-112264-00, 010-066659-00, the public right-of-way on the east and west sides of South High Street over the CSX Transportation, Inc. railway and Norfolk Southern Railway, the public right-of-way on South Wall Street bounded by West Morrill Avenue to the north and West Hinman Avenue to the south, and for where the territory of the Far South CRA overlaps the Southside Investment District;
14) Stelzer-Stygler
15) Wilson Road (Commercial)
16) Worthington Galena
17) Worthington Industries
(d) The following currently existing tax increment financing areas (“TIFs”), as defined by Exhibit E, which is hereby
incorporated herein by reference, shall be excluded from the boundary of the CHCRA:
1) 3rd Ave. and Olentangy River Road TIF except for where the territory of the Fifth by Northwest CRA overlaps the 3rd Ave. and Olentangy River Road TIF;
2) Easton TIF;
3) Innovation District TIF;
43) New Easton TIF;
54) Polaris TIF;
65) Polaris II TIF;
76) Polaris III TIF;
87) Riverside Methodist Hospital OhioHealth TIF, except for parcels 010-305900-00, 010-305899-00, and 010-305901-00;
98) University TIF;
109) Sugar Farm 40(B) TIF
110) Sugar Farm Incentive District
112) Renner South Incentive District
(e) The following currently existing areas shall by excluded from the boundary of the CHCRA:
1) Any parcel partially or wholly within the planning area of the Big Darby Accord, pursuant to the Big Darby Accord Watershed Master Plan as adopted by Ordinance 1330-2006, except for which planning areas of the Big Darby Accord the CHCRA already overlays this area as of Ordinance 1393-2024; however, parcels in the aforementioned overlap area located south of Alkire Road are excluded from the boundary of the CHCRA.
(f) Inclusion of Specific Parcels and Areas Within the CHCRA Boundary. For the avoidance of doubt, the following areas are expressly included within the boundary of the CHCRA:
(i) Williams Road Right-of-Way. The CHCRA boundary includes the public right-of-way on Williams Road bounded by the intersection of Williams Road and South High Street on the west and the intersection of Williams Road and Alum Creek Drive on the east;
(ii) Performance Way Right-of-Way. The CHCRA boundary includes the public right-of-way on Performance Way bounded by the terminus of Performance Way on the west and the intersection of Performance Way and Alum Creek Drive on the east;
(iii) Frank Refugee Expressway Right-of-Way. The CHCRA boundary includes the public right- of-way on Frank Refugee Expressway bounded by the intersection of Frank Refugee Expressway and Lockbourne Road on the west and the intersection of Frank Refugee Expressway and Alum Creek Drive on the east;
(iv) Stygler Road Right-of-Way. The CHCRA boundary includes the public right-of-way on Stygler Road North bounded by the intersection of Stygler Road North and Morse Road on the north and the intersection of Stygler Road and Wendler Boulevard on the south;
(v) Currently Existing Far South CRA Overlap with Southside Investment District CRA. The CHCRA boundary includes the area of the currently existing Far South CRA that overlaps with the Southside Investment District CRA.
(vi) Currently Existing Far South CRA Overlap with Rickenbacker CRA. The CHCRA boundary includes the area of the currently existing Far South CRA that overlaps with the Rickenbacker CRA as well as the area of the Rickenbacker CRA east of Parsons Avenue and south of Williams Road.
(vii) Currently Existing Fifth by Northwest CRA Overlap with 3rd Ave. and Olentangy TIF. The CHCRA boundary includes the area of the currently existing Fifth by Northwest CRA that overlaps with the 3rd Ave. and Olentangy TIF.
(g) Effect of Combining Parcels. In the event that an owner of a parcel combines a parcel within the CHCRA with an adjoining parcel(s) outside the CHCRA, the resultant combined parcel shall be deemed to be within the CHCRA only if:
(1) the parcel that was within the CHCRA prior to the parcel combination constitutes at least fifty percent of the total parcel area of the combined parcel; (2) the parcels were combined into a parcel included in the CHCRA at the time of this ordinance; and (3) the parcel(s) that were combined with the parcel inside of the CHCRA are all contiguous with and adjacent to the parcel within the CHCRA.
(h) Ordinance Limited to Residential Parcels. Only properties that are residentially zoned pursuant to the Columbus City Codes or parcels for which a variance permitting residential use has been granted will be eligible for exemptions under the CHCRA as established by this Ordinance. For purposes of ORC Sections 3735.65 to 3735.70, rental housing, including without limitation rental housing located in a structure containing multiple residential housing units, is classified as residential.
(i) Non-contiguous Areas. Any and all portions within the City of Columbus corporate boundary that are rendered non- contiguous per the above boundary descriptions and/or existing tax incentive district boundaries not impacted by this ordinance shall not be included within the boundary of the CHCRA.
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Section 6.
That in the event that an owner of a parcel within the CHCRA combines a parcel within a given census tract with an adjoining parcel(s) in an adjoining census tract, the resultant combined parcel shall be deemed to be within said given census tract only if: (1) the parcel that was within the given census tract prior to the parcel combination constitutes at least fifty percent of the total parcel area of the combined parcel; (2) the parcels were combined into a parcel included in the CHCRA at the time of this ordinance;
and (3) the parcel(s) that were combined with the parcel inside the given census tract are all contiguous with and adjacent to the parcel within the CHCRA.
Only properties that are residentially zoned pursuant to the Columbus City Codes or parcels for which a variance permitting residential use has been granted will be eligible for exemptions under this program. For purposes of ORC Sections 3735.65 to 3735.70, rental housing, including without limitation rental housing located in a structure containing multiple residential hHousing uUnits, is classified as residential.
Section 7. That a tax exemption on the increase in the assessed valuation of the Property resulting from improvements as described herein, shall be granted upon proper application by the Project Sponsor, which application must be filed with the Housing Officer no later than two years after construction completion, and certification thereof by the designated Housing Officer for the following periods:
For a Development Project involving the remodeling of a structure, or construction of a new structure, containing not more than three (3) family Housing uUnits:
One hundred percent (100%) for fifteen (15) years for Affordable Housing Units (as that term is defined in CCC Section 4565.02) in areas designated Ready for Revitalization Areas or Market Ready Areas, subject to and contingent upon the owner of the structure and the City entering into a written agreement as described in CCC Section 4565.05, 4565.07, or 4565.08. The Incentive abatement is revocable upon the First Owner (as the term is defined in CCC Section 4565.02) transferring title to the structure to a third party following the First Owner’s initial occupancy.
One hundred percent (100%) for fifteen (15) years in areas designated Ready for Opportunity Areas. As described in CCC Section 4565.09, a written agreement is not required for Ready for Opportunity Areas.
For a Development Project involving the remodeling of a structure, or construction of a new structure, containing four (4) or more hHousing uUnits:
One hundred percent (100%) for fifteen (15) years in areas designated Ready for Opportunity Areas, Ready for Revitalization Areas or Market Ready Areas, subject to and contingent upon the owner of the structure and the City entering into a written agreement as described in CCC Section 4565.05, 4565.07, 4565.08, or 4565.09.
Designation of census tracts within the CHCRA as a Ready for Opportunity Area, a Ready for Revitalization Area, or a Market Ready Area shall be made by the City’s Director of the Department of Development pursuant to CCC Section 4565.03.
The CRA tax exemptions provided for herein shall further be governed by the terms and conditions contained in Chapter 4565 of the CCC, including any amendments thereto, as well as the requirements contained in Sections 3735.65 to 3735.70 of the ORC, including the minimum investment requirements set forth therein. For a remodeling Development Project, including one with multiple structures, the cost of remodeling of any structure containing not more than two (2) family Housing uUnits, the cost of construction must be at least two thousand five hundred dollars ($2,500.00). For a remodeling Development Project containing three (3) or more Housing Units, or for a new construction Development Project containing any number of Housing Units, the cost of construction must be at least five thousand dollars ($5,000.00), or twenty percent (20%) of the assessed value of the structure, whichever is more. For a remodeling Development Project, including one with multiple structures, the cost of remodeling any structure containing more than two (2) family units must be at least five thousand dollars ($5,000.00) or twenty percent (20%) of the assessed value of the structure, whichever is more.
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Section 10. That, for purposes of this Ordinance and Sections 3735.65 through 3735.70, inclusive, of the ORC, a multiple units structure is hereby deemed to be a “residential” structure. The term “multiple unit” shall mean a new structure or remodeling incorporating both residential and commercial uses, provided, however, that only those portions of the newly constructed structure or remodeling that are used for residential purposes will qualify for the Incentive abatement under this Ordinance. The entire new or remodeled structure does not need to be abated or qualify for the Incentive abatement in order for the Incentive abatement to apply to the qualifying portions of the structure. Incentives Abatements may be claimed for, and will only apply to, portions of a structure meeting the required criteria.
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Section 15. That, under ORC Section 3735.66, the CRA Housing Council shall make an annual inspection of the properties within the CHCRA for which an Incentive exemption has been granted, and shall hear appeals as required by ORC 3735.70.
SECTION 2. That existing Sections 2, 3, 6, 7, 10, and 15 of Ordinance No. 3448-2023 (including Exhibits A, B, and D thereto), as amended by Ordinance Nos. 1393-2024 and 1908-2025, are hereby repealed:
SECTION 3. That City Council finds that the housing survey in Exhibit A, attached hereto and incorporated herein, reflects that the area depicted in Exhibit B, attached hereto and incorporated herein, constitutes an area in which housing facilities or structures of historical significance are located and new housing construction and repair of existing facilities or structures are discouraged. City Council finds that the construction of new structures and the remodeling of existing structures are declared to be a public purpose for which exemptions from real property taxation may be granted as set forth hereinafter.
SECTION 4. That the City Clerk is directed to cause notice of the passage of this Ordinance to be published in a newspaper of general circulation in the City once a week for two consecutive weeks immediately following its passage, as required by Section 3735.66 of the ORC.
SECTION 5. That upon adoption of this Ordinance, the City’s Director of the Department of Development shall send one copy of the Ordinance and a map of the CHCRA in sufficient detail to denote the specific boundaries of the area, to the State Director of Development.
SECTION 6. That this City Council further authorizes and directs the Mayor, the Clerk of Council, the City’s Director of the Department of Development and/or other appropriate officers of the City, to prepare and sign all agreements and documents and to take any other actions as may be appropriate or necessary to implement this Ordinance.
SECTION 7. That, per ORC Section 3735.69, the current Community Reinvestment Area Housing Council formed by City Council by the passage of Ordinance No. 2412-2003 on November 10, 2003, and any subsequent amendments thereto, including re-appointments and new appointments of members as authorized by that legislation, is appointed as the CRA Housing Council for the modified CHCRA.
SECTION 8. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.