Explanation
BACKGROUND: The need exists to enter into an Enterprise Zone Agreement with Greenlawn Realty Co. The Ohio Enterprise Zone law O.R.C. Section 5709.62 (3) requires the City to enter into a Council-approved agreement between the City and participating companies.
Greenlawn Realty Co. plans to build a 10,000 square foot facility to accommodate expansion/consolidation. The project will include an investment of $1,800,000 in real property improvements, the retention of 23 (twenty-three) full-time permanent jobs, the relocation/retention of 19 (nineteen) full-time permanent jobs, that will be new to Columbus, and the creation of 2 (two) full-time permanent jobs.
The Department of Development recommends a 60%/6 year tax abatement on real property improvements. The proposal is consistent with Columbus Tax Incentive Policy under Core Central City projects.
The Columbus Public School District has been advised of this project.
Emergency action is requested of City Council in order to facilitate a project start in October 2004.
FISCAL IMPACT: No funding is required for this legislation.
Title
To authorize the Director of the Department of Development to enter into an agreement with Greenlawn Realty Co. for a tax abatement of sixty percent (60%) for a period of six (6) years in consideration of a proposed $1,800,000 investment in real property improvements, the retention of 23 (twenty-three) full-time permanent jobs, the relocation/retention of 19 (nineteen) full-time permanent jobs that will be new to Columbus and the creation of 2 (two) full-time permanent jobs; and to declare an emergency.
Body
WHEREAS, the Columbus City Council authorized the designation of the Enterprise Zone by legislation, Ordinance Number 779-85, dated April 22, 1985; and subsequently amended the Zone by Ordinance Nos. 2722-85 in 1986; 2080-89 in 1989; 1949-92, 2609-92 and 2249-92 in 1992; 1079-94 and 1228-94 in 1994; 2196-95 and 2817-95 in 1995; 533-99 in 1999; 1785-00 in 2000; 1464-02 in 2002; and 225-03 in 2003; and
WHEREAS, the Director of the Development Department of the State of Ohio determined that the Columbus Enterprise Zone as amended by the aforementioned Ordinances continued to contain the characteristics set forth in Section 5709.61(A) of the Ohio Revised and recertifed said Zone in 1986, December 20, 1989, September 28, 1992, October 22, 1992, December 17, 1992, May 31, 1994, June 24, 1994, June 16, 1995, October 5, 1995, December 19, 1995, April 1, 1999, September 25, 2000, January 27, 2003 and most recently on August 19, 2003 as an "urban jobs and enterprise zone" under Chapter 5709 of the Ohio Revised Code; and
WHEREAS, Greenlawn Realty Co. plans to build a 10,000 square foot facility to accommodate expansion; and
WHEREAS, Greenlawn Realty Co. agrees to invest approximately $1,800,000 in real property improvements within the City; and
WHEREAS, Greenlawn Realty Co. agrees to retain 23 full-time permanent jobs, relocate/retain 19 (nineteen) full-time permanent jobs new to Columbus and create 2 (two) new full time permanent jobs; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development in that it is immediately necessary to enter into contract with Greenlawn Realty Co. to facilitate a project start in October, 2004, all for the preservation of public health, peace, property and safety, and; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the Director of Development is hereby authorized to enter into an Enterprise Zone Agreement with Greenlawn Realty Co. and to provide therewith an exemption of sixty percent (60%) on real property improvements for a term of six (6) taxable years in association with the project's proposed $1,800,000 investment and job retention and creation.
Section 2. 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.