Explanation
Background: The Department of Development is proposing to enter into a Jobs Growth Incentive agreement for a term of five years with Limbach Company LLC in consideration of their proposed investment of $1,350,000, the relocation/retention of 110 full-time permanent employees, which will be new to Columbus, with an annual payroll of $5.5 million and the creation of 35 full-time permanent positions with an annual payroll of $1,750,000. The first two years of the incentive will be for an amount equal to 25% of the employees' withholding, while the remaining three years will be for an amount equal to 35% of employees' withholding.
Limbach is proposing to relocate and expand its central Ohio operation. Currently located in Grandview, this project would include updating an existing structure with leasehold improvements and relocating its operation into Columbus. Limbach would lease 50,000 square feet of space on a 10 year lease.
Limbach was founded in 1901 and is based in Pittsburgh, Pennsylvania. The company provides mechanical and sheet metal contracting services. Limbach has locations in Ann Arbor and Detroit, Michigan, Boston, Massachusetts, Los Angeles, California, Philadelphia and Pittsburgh, Pennsylvania, Tampa and Orlando, Florida and here in central Ohio.
Limbach's services include plumbing, HVAC piping and sheet metal fabrication and installation, stainless steel specialty piping, design build and energy retrofit/management systems. The company provides design assist, constructability evaluation, equipment and material selection and controls and system performance parameters. In addition, Limbach provides facility services, which include full service maintenance, building automation, test, and inspection, emergency repairs and tenant fit-out services.
Fiscal Impact: No funding is required for this legislation.
Title
To authorize the Director of Development to enter into a five-year Jobs Growth Incentive agreement with Limbach Company LLC in consideration of the proposed investment of $1,350,000, the relocation/retention of 110 full-time permanent employees and the creation of 35 full-time permanent positions.
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 has received a completed application for the Jobs Growth Incentive from Limbach Company LLC; and
WHEREAS, Limbach has indicated that a Jobs Growth Incentive is crucial to its decision to locate the aforementioned expansion in Columbus; and
WHEREAS, the City of Columbus desires to facilitate Limbach Company LLC's future growth at the project site by the creation of new jobs; and
WHEREAS, the Department of Development is proposing to enter into a Jobs Growth Incentive agreement for a term of five years with Limbach Company LLC in consideration of Limbach Company LLC's proposed investment of $1,350,000, the relocation/retention of 110 full-time permanent employees, which will be new to Columbus, with an annual payroll of $5.5 million and the creation of 35 full-time permanent positions with an annual payroll of $1,750,000; 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 Limbach Company LLC for a term of five years. Years one and two will be for an amount equal to 25% of the employees' withholding while years three, four and five will be for an amount equal to 35% of employees' withholding.
Section 2. Each year of the term of the agreement with Limbach Company 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 Job Creation Tax Credit Agreement must be signed by Limbach Company LLC within 30 days of receiving the Agreement for signature, or this Ordinance and the incentive provided herein shall be null and void.
Section 4. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.