Explanation
BACKGROUND: The Columbus Department of Development is proposing to enter into a Jobs Growth Incentive Agreement with Telamon Corporation equal to twenty-five percent (25%) of the amount of personal income tax withheld on new employees for a term of three (3) years. The company will invest approximately $450,000 in leasehold improvements and create 34 new full-time permanent.
Telamon Corporation is proposing to expand into the City of Columbus by opening a warehouse distribution facility of 5,000 square feet to meet its increased growth and demand. The company will enter into a 5-year lease agreement on a vacant building located at 3691 Interchange Road.
Telamon Corporation, an Indianapolis-based company, provides a variety of services to the ever-changing telecommunications industry and its customers. Telamon provides turnkey materials for management services, assembly, configuration and integration engineering services for communications OEMs and service providers. Established in 1985, Telamon has grown to a $455 million company, with over 300 employees across 8 locations (6 domestic, and 2 international). Telamon Corporation is a certified Minority Business Enterprise (MBE), which is certified in every state in the United States by the National Minority Supplier Development Council.
FISCAL IMPACT: No funding is required for this legislation.
Title
To authorize the Director of the Department of Development to enter into a Jobs Growth Incentive Agreement with Telamon Corporation equal to twenty-five percent (25%) of the amount of new income tax withheld on employees for a term of three (3) years in consideration of the company's proposed investment of $450,000 and the creation of 34 new permanent full-time jobs.
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 Telamon Corporation; and
WHEREAS, Telamon Corporation is proposing to enter into a 5-year lease located at 3691 Interchange Road, to accommodate expansion; and
WHEREAS, Telamon Corporation 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 Telamon Corporations' future growth at the project site by the creation of new jobs; and
WHEREAS, in consideration of Telamon Corporations' proposed investment of $450,000 and the creation of 34 new permanent full-time jobs; 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 equal to twenty-five percent (25%) of the amount of new income tax withheld on employees for a term of three (3) years with Telamon Corporation beginning February, 2010.
Section 2. Each year of the term of the agreement with Telamon Corporation 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 of Columbus Jobs Growth Incentive Agreement is signed by Telamon Corporation within 90 days of passage of this ordinance, or this ordinance and the credit 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.