Explanation
BACKGROUND: The Columbus Department of Development is proposing to enter into a Jobs Growth Incentive Agreement with FIS Management Services, LLC in an amount equal to twenty-five percent (25%) of the City of Columbus income tax withheld on the Columbus payroll of new employees for a term up to five (5) consecutive years.
FIS Management Services, LLC, is a subsidiary of Fidelity National Information Services (“FIS”), providing operational and administrative support for the company's global financial technology platform. FIS delivers core banking, payments, and capital markets solutions to financial institutions and businesses in more than 100 countries. The operations under this entity include customer communications, print production, and computer-aided design (CAD) functions that support FIS's broader technology and business operations.
FIS Management Services, LLC is proposing to invest a total project cost of approximately $25,000,000.00, which includes $21,000,000.00 in machinery & equipment and $4,000,000.00 in leasehold improvements for a nationwide consolidation of its operations and expansion of their existing 200,000 square foot warehouse/production facility at 1500 Boltonfield St. Columbus, OH 43228, Parcel No. 570-244167 (the “Project Site”). The proposed project will allow FIS Management Services, LLC to expand in the Columbus region and create one hundred (100) net new full-time permanent positions with a cumulative associated estimated annual payroll of approximately $6,085,000.00 and retain one-hundred twelve (112) full-time permanent positions with an estimated annual payroll of approximately $6,500,000.00 at the proposed Project Site.
This legislation is presented as 30-day legislation.
FISCAL IMPACT: No funding is required for this legislation
Title
To authorize the Director of the Department of Development to enter into a Jobs Growth Incentive Agreement with FIS Management Services, LLC for a term of up to five (5) consecutive years in consideration of the company’s proposed expansion, the creation of one hundred (100) net new full-time permanent positions with an estimated annual payroll of approximately $6,085,000.00 and the retention of one-hundred twelve (112) full-time permanent positions with an estimated annual payroll of approximately $6,500,000.00 at the proposed Project Site. ($0.00)
Body
WHEREAS, the City desires to increase employment opportunities and encourage the creation of new jobs in the City in order to improve the overall economic climate of the City and its citizens; and
WHEREAS, the Department of Development received a completed Jobs Growth Incentive Application from FIS Management Services, LLC; and
WHEREAS, FIS Management Services, LLC proposes a nationwide consolidation of its operations and expansion of their existing 200,000 square foot warehouse/production facility at 1500 Boltonfield St. Columbus, OH 43228, Parcel No. 570-244167 (the “Project Site”); and
WHEREAS, FIS Management Services, LLC proposes to create one hundred (100) net new full-time permanent positions with a cumulative associated estimated annual payroll of approximately $6,085,000.00 and retain one-hundred twelve (112) full-time permanent positions with an estimated annual payroll of approximately $6,500,000.00 at the proposed Project Site; and
WHEREAS, FIS Management Services, LLC has indicated that a Jobs Growth Incentive is crucial to its decision to consolidate its operations and expand its existing facility in the City of Columbus; and
WHEREAS, it has become necessary in the usual daily operation the City of Columbus desires to facilitate the future growth of FIS Management Services, LLC, at the proposed Project Site by providing a Jobs Growth Incentive; and NOW THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Director of the Department of Development is hereby authorized to enter into a Jobs Growth Incentive Agreement with FIS Management Services, LLC equal to twenty-five percent (25%) of the City of Columbus income tax withheld on the Columbus payroll of new employees at the end of each calendar year, for a term up to five (5) consecutive years.
SECTION 2. Each year of the term of the agreement with FIS Management Services, LLC the City’s obligation to pay the incentive is expressly contingent upon the passage of an ordinance appropriating and authorizing the expenditure of monies sufficient to make such payment and the certification of the City Auditor pursuant to Section 159 of the Columbus City Charter.
SECTION 3. That the City of Columbus Jobs Growth Incentive Agreement is signed by FIS Management Services, LLC, within 90 days of passage of this ordinance, or this ordinance and the credit herein shall be null and void.
SECTION 4. The Columbus City Council hereby extends authority to the Director of the Department of Development to amend FIS Management Services, LLC’s City of Columbus Jobs Growth Incentive Agreement for certain modifications to the agreement requested in writing by the company and or the City and deemed appropriate by the Director of Development with these certain modifications being specifically limited to reductions in length of term, methods of calculating the incentive, or adding or deleting business entities associated with the employment commitments related to this incentive. Columbus City Council must approve all other requested amendments.
SECTION 5. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.