Explanation
BACKGROUND: This legislation authorizes the Director of Development to amend the existing Weiler-Bowen/City Park Place Enterprise Zone Agreement (EZA). Columbus City Council approved the EZA by Ordinance No. 2329-97, adopted September 29, 1997 and amended as approved by Ordinance 2707-2003 December 8th, 2003. The project is located at 79 E. Thurman Avenue near the intersection with City Park Avenue. The property owner, Weiler-Bowen Ltd., proposed to renovate/restore two derelict industrial/commercial structures into 54,000 square feet of Class A office space. The tax abatement would allow lease rates in the renovated structure to be competitive with office space in suburban areas, where development typically enjoys a cost advantage.
On August 11, 2004 the TIRC recommended to reduce the rate of exemption on the real property from 100% to 50% for 2004, one year earlier than originally scheduled. The original abatement scheduled was 100% for 2000-2004 and 50% through 2005-2009. The TIRC's recommendation would result in the following abatement schedule; 100% in 2000-2003 and 50% in 2004-2009.
The reason for the TIRC's recommendation is because of lack of attainment in the personal property investment. The City concurs with the TIRC's recommendation.
This legislation is presented as an emergency measure in order to meet the new deadline under State law for City Council vote on TIRC recommendations.
FISCAL IMPACT: No funding is required for this legislation.
Title
To authorize the Director of the Department of Development to amend the Weiler-Bowen/City Park Place Enterprise Zone Agreement to reduce the rate of exemption on the real property from 100% to 50% for 2004, one year earlier than originally scheduled. The original abatement scheduled was 100% for 2000-2004 and 50% through 2005-2009; and to declare an emergency.
Body
WHEREAS, the Columbus City Council approved the Weiler-Bowen/City Park Place Enterprise Zone Agreement
(EZA) on September 29, 1997 by Ordinance No. 2329-97 and amended the EZA on December 8th, 2003 by Ordinance
2507-2003; and
WHEREAS, the project has lacked attainment of the personal property goal the TIRC recommended on August 11th,
2004 that the abatement be modified from 100%/5 years and 50%/5 years to 100% 4 years and 50%/6 years; and
WHEREAS, the City concurs with the TIRC recommendation to amend the Weiler-Bowen/City Park Place Enterprise
Zone Agreement and believes it is in the best interest of job preservation and economic development to amend the
EZA; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development in that it is immediately
necessary to obtain City Council's vote in order to meet the new deadline under State law for voting on the TIRC
recommendations, thereby preserving the public health, peace, prosperity, safety and welfare; 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 amend the Weiler-Bowen Ltd./City Park Place Enterprise Zone Agreement (EZA) by changing the original abatement scheduled from 100% for 2000-2004 and 50% through 2005-2009 to 100% in 2000-2003 and 50% in 2004-2009, and to notify as necessary the local and state authorities concerning this change in the rate of exemption.
Section 2. That for the reasons stated in the preamble thereto, which is made a part hereof, this Ordinance is declared to be an emergency measure and shall be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.