Explanation
BACKGROUND: The goal of a Community Reinvestment Area is neighborhood revitalization and stabilization
This Ordinance will amend the AC Humko Community Reinvestment Area, created by Ordinance 1841-2005, passed by City Council on November 14, 2005, and amended by Ordinance 1913-2008, passed by City Council on December 8, 2008, to provide for real property tax exemptions for residentially-zoned parcels within the area.
Emergency action is requested so that current residential tax abatement applications from eligible property owners can continue to be eligible.
FISCAL IMPACT: No funding is required for this legislation.
Title
To amend the AC Humko Community Reinvestment Area to authorize real property tax exemptions as established in the Ohio Revised Code; and to declare an emergency.
Body
WHEREAS, Ordinance 1841-2005 passed November 14, 2005 creating the AC Humko Community Reinvestment Area (CRA); and
WHEREAS, Ordinance 1913-2008, passed December 8, 2008, to extend the completion date for the AC Humko CRA to December 31, 2015; and
WHEREAS, the slow recovery of the housing market has prevented the project from being completed by the previously established deadline although the developer believes that the project will be complete within the next few years; and
WHEREAS, the tax incentive provided is still a necessary component of the project so extension of the completion deadline will facilitate prompt completion of the project; and
WHEREAS, an updated survey of housing (Exhibit A) and list of parcels (Exhibit C) as required by Ohio Revised Code (ORC) Section 3735.66 has been prepared and included in this proposed Community Reinvestment Area; and
WHEREAS, the continued remodeling of existing buildings for residential use and construction of new residential structures in this Community Reinvestment Area would serve to encourage economic stability and maintain real property values; and
WHEREAS, an emergency exists in the usual daily operations of the Development Department in that it is immediately necessary to amend said Ordinance to continue to authorize real property tax exemptions as established in Sections 3735.65 to 3733.70 of the Ohio Revised Code, thereby preserving the public health, property, peace, safety, and welfare, NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. Section 1 of Ordinance 1913-2008 is hereby amended to read in its entirety as follows:
That within AC Humko Community Reinvestment Area tax exemptions for new construction as described in Section 3735.67 of the Ohio Revised Code will be granted for the following periods:
a. A 75% abatement, for 10 years, for new construction of owner occupied and rental residences as described in Division D of Section 3735.67.
b. For purposes of clarification, the tax abatement will be only granted for new construction work completed by December 31, 2020, and for each tax parcel or residence will be for ten years from the completion of the construction to be abated; provided, however, that in order to achieve a ten year abatement as provided in the CRA Ordinance the abatement shall extend through the eleventh year from the year of completion of the construction for any new owner occupied and rental residence completed prior to December 31, 2020 and for which an abatement application was filed and the abatement commenced in the year following the completion of construction resulting in the new residential structure being subject to taxation in its year of completion when the first year of abatement should otherwise have applied.
SECTION 2. Section 2 of Ordinance 1841-2005 is hereby amended as follows:
Pursuant to ORC Section 3735.66, The AC Humko Community Reinvestment Area is hereby established in the following described area:
North - Bounded by the property lines on the south side of Second Avenue from the Olentangy River to Perry Street.
South - Bounded by the property lines on the north side of Quality Place from the west side property lines of Ingleside Avenue to the Olentangy River.
West - Bounded by the east side of the Olentangy River.
East - Bounded by the rear property lines of Perry Street but inclusive of parcel 010-286141 on Oregon Avenue to First Avenue, going east on First Avenue to Ingleside Avenue.
The Community Reinvestment Area is approximately depicted as the area contained in the Exhibit marked A, on the map attached to this Ordinance, marked Exhibit B, and by this reference incorporated herein.
SECTION 3. Section 3 of Ordinance 1913-2008 is amended as follows:
This Council reserves the right to reevaluate the designation of the AC Humko Community Reinvestment Area after December 31, 2020, at which time Council may direct the Housing Officer not to accept any new applications for exemptions as described in Section 3735.67 of the Ohio Revised Code.
SECTION 4. That a Community Reinvestment Area Housing Council shall be created, consisting of two members appointed by the Mayor of the City of Columbus, two members appointed by the Council of the City of Columbus and one member appointed by the Planning Commission of Columbus. The majority of those members shall then appoint an additional member who resides within the area. Terms of the members of the Council shall be for three years. An un-expired term resulting from a vacancy in the Council shall be filled in the same manner as the initial appointment was made for the remainder of the term of the vacated seat.
SECTION 5. The Community Reinvestment Area Housing Council shall make an annual inspection of the properties within the district for which an exemption has been granted under Section 3735.66 of the ORC. The council shall also hear appeals under 3735.70, of the ORC.
SECTION 6. That this Council further hereby authorizes and directs the Mayor, the Clerk of Council, the Director of Development, or other appropriate officers of the City to prepare and sign all agreements and instruments and to take any other actions as may be appropriate to implement this Ordinance.
SECTION 7. The Clerk of this Council 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 Ohio Revised Code.
SECTION 8. 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.