Explanation
Background: The Department of Development determined to facilitate the redevelopment of certain parcels of real property in the area formally known as the Columbus Coated Fabrics Site, now known as the Weinland Park Area. In connection with that redevelopment the City entered into an Economic Development Agreement with Wagenbrenner Development, Inc., by Ordinance 1966-2008, passed January 26, 2009, by which the City agreed to create three tax increment financing areas pursuant to Sections 5709.40 (B), (C) and 5709.41 of the Ohio Revised Code. On October 19, 2009 Columbus City Council passed Ordinance 1283-2009 that created two Tax Increment Finance Areas, and on December 13th, 2010 Columbus City Council passed Ordinance 1799-2010 creating a Tax Increment Finance Incentive District.
The attached Ordinance approves and authorizes two separate tax increment financing agreements, one designated "Weinland Park Improvements", the other designated "Weinland Park Public Service Improvements", each between the City of Columbus and Wagenbrenner Development, Inc. (or its designee) to provide for the construction and financing of improvements within and around the tax increment financing areas, including improvements pursuant to Ohio Revised Code 5709.41.
Fiscal Impact: No City funding is required for this legislation.
Title
To approve and authorize the execution of two separate tax increment financing agreements between the City of Columbus and Wagenbrenner Development, Inc. (or its designee) to provide for the construction and financing of improvements within and around the tax increment financing areas and incentive district created by Ordinance 1283-2009, passed by the City Council October 19, 2009 and Ordinance 1799-2010 passed by the City Council on December 13, 2010; and to declare an emergency.
Body
WHEREAS, Sections 5709.40(B), 5709.41, 5709.42 and 5709.43 of the Ohio Revised Code authorize this Council, by ordinance, to declare the improvement to certain parcels of real property located within the corporate boundaries of the City of Columbus, Ohio (the "City"), to be a public purpose and exempt from taxation, require the owner of each parcel to make service payments in lieu of taxes, and specify public infrastructure improvements made, to be made or in the process of being made that directly benefit, or that once made will directly benefit, those parcels; and
WHEREAS, pursuant to Ordinance No. 1283-2009 passed by the City Council October 19, 2009 and Ordinance 1799-2010 passed by the City Council on December 13, 2010 (the "TIF Ordinances"), this Council created tax increment financing areas and an incentive district in the Weinland Park area (the "TIF Areas") (Exhibit A Map); and
WHEREAS, Wagenbrenner Development, Inc. and its affiliates have commenced making or causing to be made private improvements within the TIF Areas (collectively, the "Private Improvements"); and
WHEREAS, the City has determined that it is in the best interest of the City and its residents that certain public infrastructure improvements and improvements pursuant to Ohio Revised Code 5709.41 (the "Improvements") be made in support of those Private Improvements, which Improvements were included in the description of improvements in the TIF Ordinances and are necessary and appropriate in connection with the development of the TIF Areas and will directly benefit the TIF Areas; and
WHEREAS, the City desires Wagenbrenner Development, Inc. (or its designee, hereinafter referred to as the "Developer") to construct or cause to be constructed the Improvements; and
WHEREAS, the City intends to enter into two Tax Increment Financing Agreements with the Developer to provide for, among other things, (i) the construction of the Improvements, (ii) the payment of service payments in lieu of taxes pursuant to the TIF Ordinances, and (iii) disbursement of monies on deposit in the TIF Funds to the Developer to pay costs of construction of the Improvements; and
WHEREAS, an emergency exists in that this Ordinance is required to be immediately effective in order to facilitate the continuing development of the TIF Areas, such immediate action being necessary for the preservation of the public health, peace, property and safety; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the Director of the Department of Development (the Director), for and in the name of the City, is hereby authorized to execute the two separate Tax Increment Financing Agreements (the TIF Agreements) presently on file with the Director along with any changes or amendments thereto not inconsistent with this Ordinance and not substantially adverse to the City and which shall be approved by the Director and the City Attorney. This Council hereby waives the requirements of Chapter 329 of the City Codes with respect to the TIF Agreements.
Section 2. That the service payments made in lieu of real property taxes and deposited in the Weinland Park Area Public Improvement Tax Increment Equivalent Funds, as established by Ordinance 1283-2009 (Fund No. 456 & 457) and Ordinance 1799-2010 (Fund 460) shall be deemed appropriated for the purposes set forth in the TIF Agreements and the City Auditor is hereby authorized to make payments to the Developer upon receipt of invoices submitted in accordance with the TIF Agreements and approved by the Director.
Section 3. 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 passage and approval by the Mayor or ten days after the passage if the Mayor neither approves nor vetoes the same.