Explanation
BACKGROUND: The need exists to amend the Jobs Growth Incentive Agreement with DSW Inc., DSW Shoe Warehouse, Inc., eTailDirect LLC, DSW Information Technology LLC and Brand Card Services LLC (collectively known as "DSW" and hereinafter referred to as the "Grantee"). Ordinance 1884-2012, approved by Columbus City Council on September 24, 2012, granted a twenty-five percent (25%) five (5) year Jobs Growth Incentive based on the commitment to expand its corporate headquarters and distribution fulfillment centers by investing approximately $17 million, including $14 million in new machinery and equipment, $3 million in new construction and create approximately 200 new full-time permanent positions with an estimated annual payroll of $10 million at 810 DSW Drive, the company's corporate headquarters, 4150 and 4314 E. Fifth Avenue, the company's distribution centers.
An amendment is now required to add the following affiliates of DSW as grantees to the Agreement: DSW Leased Business Division LLC and 810 AC LLC. Therefore, DSW Inc., DSW Shoe Warehouse, Inc., eTailDirect LLC, DSW Information Technology LLC, Brand Card Services LLC, DSW Leased Business Division LLC, and 810 AC LLC, (henceforth, all seven entities will collectively be referred to hereinafter as "DSW"), will become the new grantees on the amended Jobs Growth Incentive Agreement.
This legislation is requested to be considered as an emergency in order to allow DSW to begin investing and creating jobs as quickly as possible.
FISCAL IMPACT: No funding is required for this legislation.
Title
To amend the Jobs Growth Incentive Agreement with DSW Inc. et al, for the purpose of adding DSW Leased Business Division LLC and 810 AC LLC as grantees to the Agreement; and to declare an emergency.
Body
WHEREAS, on September 24, 2012, Columbus City Council passed Ordinance 1884-2012 for a five (5) year, twenty five percent (25%) Jobs Growth Incentive for DSW Inc., DSW Shoe Warehouse, Inc., eTailDirect LLC, DSW Information Technology LLC and Brand Card Services LLC, in connection with the project; and
WHEREAS, DSW has committed to expanding its corporate headquarters at 810 DSW Drive and its distribution fulfillment centers at 4150 and 4314 E. Fifth Avenue, respectively, by investing approximately $17 million and creating 200 new full-time permanent positions with an estimated annual payroll of $10 million; and
WHEREAS, the Grantee determined that two newly created entities, DSW Leased Business Division LLC and 810 AC LLC, will hire new employees as part of its corporate expansion plans; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development in that it is immediately necessary to amend the Jobs Growth Incentive Agreement with DSW in order to allow DSW to begin investing and creating jobs as quickly as possible, thereby preserving the public health, peace, property and safety; NOW THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the Jobs Growth Incentive Agreement is hereby amended to add DSW Leased Business Division LLC and 810 AC LLC as grantees to the Agreement.
Section 2. That City Council hereby finds and determines that the project meets all the requirements of the City Act.
Section 3. That the City of Columbus Jobs Growth Incentive Amendment is signed by DSW Inc., DSW Shoe Warehouse, Inc., eTailDirect LLC, DSW Information Technology LLC, Brand Card Services LLC, DSW Leased Business Division LLC and 810 AC LLC within 90 days of passage of this ordinance, or this ordinance and the credit herein shall be null and void.
Section 4. That for reasons stated in the preamble hereto, which is hereby made a part hereof, the ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor or ten days after the passage if the Mayor neither approves nor vetoes the same.