Explanation
BACKGROUND:
The goal of designating Community Reinvestment Areas is neighborhood revitalization and stabilization. The designation will help to stabilize neighborhoods, increase school enrollment and increase the supply of affordable housing in the city.
This Ordinance will create the Weinland Park-University/Area F Community Reinvestment Area (see Exhibit B) and provide for real property tax exemptions for residentially-zoned parcels and residentially-used; previously commercial building which will be converted to owner-occupied dwelling units, within the target area.
FISCAL IMPACT:
No funding is required for this legislation.
Title
To create the Weinland Park-UniversityArea /Area F Community Reinvestment Area and to authorize real property tax exemptions, as established in Sections 3735.65 to 3735.70 of the Ohio Revised Code; and to declare an emergency. (AMENDED BY ORD. 2156-2011 PASSED 12/5/2011) (AMENDED BY ORD. 2933-2020; PASSED 12/14/2020)
Body
WHEREAS, the council of the City of Columbus (hereinafter "Council") desires to pursue reasonable and legitimate incentive measures to assist and encourage development in specific areas of the City of Columbus that have not enjoyed reinvestment from remodeling or new construction; and
WHEREAS, Resolution No. 1698-78, approved August 3, 1978, authorized the Department of Development to carry out a Community Reinvestment Program, pursuant to Sections 3735.65 to 3735.70 of the Ohio Revised Code, and approved certain administrative procedures for the program; and
WHEREAS, a survey of housing (see Exhibit A) as required by Ohio Revised Code (ORC) Section 3735.66 has been prepared and included in this proposed Community Reinvestment Area; and
WHEREAS, the remodeling of existing buildings for residential use and construction of new residential structures in this Community Reinvestment Area would serve to encourage economic stability, maintain real property values, and generate new employment opportunities; and
WHEREAS, the remodeling of existing buildings for residential use and the construction of new owner-occupied residential structures in this Community Reinvestment Area constitutes a public purpose for which real property exemptions may be granted; and
WHEREAS, the City of Columbus intends to undertake supporting public improvements in the designated area; and
WHEREAS, this proposal is a public/private partnership intended to promote and expand conforming uses in the designated area; and
WHEREAS, emergency passage is necessary to meet the State's deadline for certification for an effective date of January 1, 2007, thereby keeping the effective date consistent with the other Community Reinvestment Areas in the City; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development, in that it is immediately necessary to pass said Ordinance to authorize real property tax exemptions as established in Section 3735.65 to 3735.70 of the Ohio Revised Code thereby preserving the public peace, health, safety and welfare; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. The area depicted as the Weinland Park-University Area/Area F Community Reinvestment Area constitutes an area in which housing facilities or structures of historical significance are located; and in which new construction or repair of existing facilities has been discouraged.
Section 2. Pursuant to ORC Section 3735.66, Weinland Park- University Area/Area F Community Reinvestment Area is hereby established, bounded by the following landmarks:
North: Bounded by Hudson Street (including by the rear property lines on
the north side of Hudson).
South: Bounded by East Fifth Avenue (including rear property lines on the
south side of East Fifth Avenue)
East Interstate 71
West: Bounded by Pearl Alley, east of High Street (including rear property
lines on the west side of Pearl Alley)
The Community Reinvestment Area is approximately depicted as the area on the map attached to this Ordinance, marked Exhibit B; by parcel number, marked Exhibit B (1); and by this reference incorporated herein.
The Ordinance will provide for real property tax exemptions for residentially-zoned parcels and residentially-used; previously commercial building which will be converted to owner-occupied housing units, within the target area.
Only residentially zoned properties and residentially-used conversion properties consistent with the applicable zoning regulations and variances thereto within the designated Community Reinvestment Area will be eligible for exemptions under this Program.
Section 3. All properties identified in Exhibit B as being within the designated Weinland Park/ University Community Reinvestment Area, are eligible for this abatement if they meet the criteria stated in Sections 3 and 4 of this Ordinance: including vacant residentially-zoned parcels; owner occupied residential properties; commercial properties being converted to owner-occupied housing units; or existing residential rental properties. Pursuant to ORC Section 3735.66, it is hereby stipulated that all of the foregoing uses are classified as residential uses for purposes of ORC Sections 3735.65 to 3735.70 and for purposes of the exemptions authorized there under.
Section 4. Participation on the program is by application only. A pre-application will be required to insure the compatibility of the new construction with neighborhood plans and to insure the maintenance of existing streetscape lines, style, scale setbacks and landscaping features compatible with neighborhood. Applications must be completed and filed with the Housing Division upon completion of the new construction or renovation activity. A tax exemption on the increase in the assessed valuation resulting from improvements as described herein shall be granted upon proper application by the property owner and certification thereof by the designated Housing Officer for the following periods:
(a) One hundred percent (100%) for ten (10) years for the remodeling of:
• owner-occupied dwellings containing not more than two housing units and upon which the remodeling cost is at least twenty percent (20%) of the current assessed value of the existing structure (excluding land) as determined by the County Auditor for the tax year prior to the improvement;
• rental housing containing not more than two housing units, upon which the remodeling cost is at least fifty percent (50%) of the current assessed value of the existing structure (excluding land) as determined by the County Auditor for the tax year prior to the improvement;
• conversion of rental housing to owner-occupied housing, containing not more than two units, upon which the remodeling cost is at least fifty percent (50%) of the current assessed value of the existing structure (excluding land) as determined by the County Auditor for the tax year prior to the improvement.
• conversion of previously commercial buildings to owner-occupied housing units containing not more that two units, upon which the remodeling cost is at least fifty percent (50%) of the current assessed value of the existing structure (excluding land) as determined by the County Auditor for the tax year prior to the improvement.
(b) One hundred percent (100%) for twelve (12) years for the remodeling of:
• owner-occupied dwellings containing more than two housing units and upon which the remodeling cost is at least twenty percent (20%) of the current assessed value of the existing structure (excluding land) as determined by the County Auditor for the tax year prior to the improvement;
• rental housing, containing more than two housing units, upon which the remodeling cost is at least fifty percent (50%) of the current assessed value of the existing structure (excluding land) as determined by the County Auditor for the tax year prior to the improvement;
• conversion of rental housing to owner-occupied housing, containing more than two units, upon which the remodeling cost is at least fifty percent (50%) of the current assessed value of the existing structure (excluding land) as determined by the County Auditor for the tax year prior to the improvement.
• conversion of previously commercial buildings to owner-occupied housing units containing more that two units, upon which the remodeling cost is at least fifty percent (50%) of the current assessed value of the existing structure (excluding land) as determined by the County Auditor for the tax year prior to the improvement.
(c) One hundred percent (100%) for fifteen (15) years for newly built:
• construction of new owner-occupied dwellings;
• construction of new owner-occupied dwellings containing more than two housing units.
Section 5. Subsequent to the effective date of this legislation, owners of residential investment delineated within this legislation and completed after the date of this Ordinance, and before December 31, 2011 will be eligible to apply for this property tax abatement.
Section 6. To administer and implement the provisions of this Ordinance, the Department of Development Housing Administrator, is designated as the Housing Officer as described in Sections 3735.65 through 3735.70.
Section 7. That a Community Reinvestment Area Housing Council shall be created, consisting of a minimum 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 the members shall then appoint two additional members who shall be residents within the Weinland Park- University Area Community Reinvestment Area. The terms of the members of the Council shall be for three years. An unexpired 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 8. Eligibility for abatement under this Ordinance shall terminate on December 31, 2011 and the Housing Division and Housing Officer is hereby directed not to accept any applications after that date.
Section 9. 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 10. The Mayor of the City of Columbus is hereby authorized to submit such documentation to the Ohio Director of Development as is necessary to confirm the findings herein.
Section 11. 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.