Explanation
BACKGROUND: The Columbus Department of Development is proposing to enter into a Downtown Office Incentive (DOI) Agreement with ANS Geo, LLC in an amount equal to fifty percent (50%) of the City of Columbus income tax withheld on the Columbus payroll of new employees for a term up to five (5) consecutive years.
ANS Geo, LLC is a multidisciplinary engineering consulting firm founded in 2004. Since its establishment, the company has provided specialized engineering, testing, inspection, and consulting services to clients across the energy, infrastructure, industrial, commercial, and public sectors throughout the U.S. ANS Geo LLC’s primary lines of business include: Geotechnical Engineering, Civil Engineering, Structural Engineering, Electrical and High Voltage Engineering, Geotechnical Drilling and Subsurface Exploration, Construction Observation and Quality Assurance Services, and Laboratory Testing Services.
ANS Geo, LLC is proposing to invest a total capital expenditure of approximately $750,000.00 to relocate and expand its offices by entering into a new lease agreement on a vacant downtown office space consisting of approximately 16,000 square feet at 34-38 W. Gay St. Columbus, OH 43215, Parcel No. 010-052293 (“Project Site”), to grow their presence in the Columbus market and to meet its consumer sales growth. Additionally, the company will create thirteen (13) net new full-time permanent positions with an associated estimated annual payroll of approximately $1,750,000.00 and retain and relocate forty-three (43) full-time permanent positions with an estimated associated payroll of approximately $3,664,800.00 at the proposed Project Site.
ANS Geo, LLC is requesting a Downtown Office Incentive from the City of Columbus to assist in the relocation and expansion of this project.
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 Downtown Office Incentive Agreement with ANS Geo, LLC for a term of up to five (5) consecutive years in consideration of the company’s proposed capital investment of approximately $750,000.00, the creation of thirteen (13) net new full-time permanent positions with an estimated associated payroll of approximately $1,750,000.00, and the retention and relocation of forty-three (43) full-time permanent positions with an estimated associated annual payroll of approximately $3,664,800.00, as provided in Columbus City Council Resolution Number 0088X-2007, adopted June 4, 2007. ($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 overall economic climate of the City and its citizens; and
WHEREAS, Resolution Number 0088X-2007, adopted June 4, 2007, authorized the Department of Development to establish the Columbus Downtown Office Incentive program as amended; and
WHEREAS, the Department of Development has received a completed application for the Downtown Office Incentive program from ANS Geo, LLC; and
WHEREAS, ANS Geo, LLC is a multidisciplinary engineering consulting firm founded in 2004. Since its establishment, the company has provided specialized engineering, testing, inspection, and consulting services to clients across the energy, infrastructure, industrial, commercial, and public sectors throughout the U.S. ANS Geo’s primary lines of business include: Geotechnical Engineering, Civil Engineering, Structural Engineering, Electrical and High Voltage Engineering, Geotechnical Drilling and Subsurface Exploration, Construction Observation and Quality Assurance Services, and Laboratory Testing Services; and
WHEREAS, ANS Geo, LLC is proposing to invest a total capital expenditure of approximately $750,000.00 to relocate and expand its offices from their current location to a new location consisting of approximately 16,000 square feet of vacant downtown office space located at 34-38 W. Gay St. Columbus, OH 43215, Parcel No. 010-052293 (“Project Site”); and
WHEREAS, additionally, the company will create thirteen (13) net new full-time permanent positions with an associated estimated annual payroll of approximately $1,750,000.00 and retain and relocate forty-three (43) full-time permanent positions with an estimated associated payroll of approximately $3,664,800.00 at the Project Site; and
WHEREAS, ANS Geo, LLC has indicated that a Downtown Office Incentive is crucial to its decision to expand and relocate operations within City of Columbus Downtown; and
WHEREAS, the City of Columbus desires to facilitate the future growth of ANS Geo, LLC at the Project Site by providing a Downtown Office Incentive, 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 City of Columbus Downtown Office Incentive Agreement with ANS Geo, LLC pursuant to Columbus City Council Resolution Number 0088X-2007, for an annual cash payment equal to fifty percent (50%) of the amount of City withholding tax withheld on new employees for a term up to five (5) consecutive years on the estimated job creation of thirteen (13) net new full-time permanent positions with an associated estimated annual payroll of approximately $1,750,000.00, and the retention and relocation forty-three (43) full-time permanent positions with an estimated associated payroll of approximately $3,664,800.00 at the Project Site.
SECTION 2. That each year of the term of the agreement with ANS Geo, 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 Downtown Office Incentive Agreement is signed by ANS Geo, LLC within 90 days of passage of this ordinance, or this ordinance and the credit herein shall be null and void.
SECTION 4. The City Council hereby extends authority to the Director of the Department of Development to amend the ANS Geo, LLC City of Columbus Downtown Office Incentive Agreement for certain modifications to the agreement requesting 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. All other requested amendments must be approved by City Council.
SECTION 5. That this Ordinance shall take effect and be in force from and after the earliest period allowed by law.