Explanation
Background:
The goal of a Community Reinvestment Area is neighborhood revitalization and stabilization.
This Ordinance will create the Livingston and James Community Reinvestment Area and provide for real property tax exemptions for residentially-zoned and used parcels within the area.
The Ordinance will provide for exemption from an increase in real property tax for construction of new, owner-occupied and rental, single family homes built on vacant lots, construction of new owner-occupied and rental multi-family housing, on the increase in valuation of building conversions from commercial use to residential use; and on the increase in property taxes due to the renovation of existing single and multi-family housing units, within the established boundaries.
Emergency action is requested to allow construction to begin in the summer building season.
Fiscal Impact:
No fiscal impact. No funding is required for this legislation.
Title
To create the Livingston and James Community Reinvestment Area and to authorize real property tax exemptions as established in Section 3735.65 to 3735.70 of the Ohio Revised Code; and to declare an emergency. (AMENDED BY ORD. 1084-2010 PASSED 7/19/2010)
Body
WHEREAS, The council of the City of Columbus (hereinafter "Council") desires to pursue reasonable and legitimate incentive measures to assist and encourage development in specific areas of the City of Columbus that have not enjoyed benefit of reinvestment from remodeling or new construction; and
WHEREAS, Resolution No. 1698-78, approved August 3, 1978, as amended by Ordinance No. 1345-02, approved July 29, 2003, authorized the Department of Development to carry out a Community Reinvestment Program, pursuant to Sections 3735.65 to 3735.70 of the Ohio Revised Code, and approved certain administrative procedures for the program; and
WHEREAS, a survey of housing (see Exhibit A) as required by Ohio Revised Code (ORC) Section 3735.66 has been prepared and included in this proposed Community Reinvestment Area; and
WHEREAS, the remodeling of existing buildings for residential use and construction of new residential structures in this Community Reinvestment Area would serve to encourage economic stability and maintain real property values; and
WHEREAS, the remodeling of existing buildings for residential use and the construction of new residential structures in this Community Reinvestment Area constitutes a public purpose for which real property exemptions may be granted; and
WHEREAS, the proposal is a public/private partnership intended to promote and expand conforming uses in the designated area; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development in that it is immediately necessary to approve the tax abatement for this area to allow construction to begin in the summer building season, all for the preservation of the public peace, property, health safety and welfare; now, therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. The area depicted in Exhibit B constitutes an area in which housing facilities or structures of historical significance are located, and in which new construction or repair of existing facilities has been discouraged.
Section 2. Pursuant to ORC Section 3735.66, The Livingston and James Community Reinvestment Area boundary is hereby established in the following described area:
N: Astor Ave. continuing to Towers Ct. and reconnecting with Astor Ave. (including all properties on
the north of Astor
Ave. and Towers Ct.)
S.: Langfield Dr. continuing to Quigley Rd then connecting with
Zettler Rd continuing to Scotwood and connecting with Livmoor
Dr. (excluding all rear property lines)
E: Couright to Livingston Ave. connecting with Brookway Rd. (including properties on the east side of
Brookway Rd.) connecting with Olney Drive (including all properties on the east and northeast side of
Olney)
W: James Rd. (excluding rear property lines on the west side of James Rd)
The Community Reinvestment Area is approximately depicted as the area on the map marked B, attached to this Ordinance; on the list of parcel numbers marked Exhibit C, and by this reference incorporated herein.
Only residential properties consistent with the applicable zoning regulations and variances thereto within the designated Community Reinvestment Area will be eligible for exemptions under this Program.
Section 3. A tax exemption on the increase in the assessed valuation, resulting from improvements as described herein, shall be granted upon proper application by the property owner and approval by the designated Housing Officer.
Abatement terms and percentages are as follows:
a) One hundred percent (100%) for ten (10) years for the remodeling of:
· owner-occupied dwellings containing not more than two housing units and upon which the remodeling cost is at least twenty percent (20%) of the current assessed value of the existing structure (excluding land) as determined by the County Auditor for the tax year prior to the improvement and upon which the cost of remodeling is at least $2500.00, as described in ORC Section 3735. 67;
· existing rental housing, containing not more than two housing units, upon which the remodeling cost is at least fifty percent (50%) of the current assessed value of the existing structure (excluding land) as determined by the County Auditor for the tax year prior to the improvement and upon which the cost of remodeling is at least $2500.00, as described in ORC Section 3735.67;
· conversion of rental housing to owner-occupied housing, containing not more than two units, upon which the remodeling cost is at least fifty percent (50%) of the current assessed value of the existing structure (excluding land) as determined by the County Auditor for the tax year prior to the improvement;
· conversion of existing commercial property containing not more than two units, to owner-occupied housing units upon which the remodeling cost is at least fifty percent (50%) of the current assessed value of the existing structure (excluding land) as determined by the County Auditor for the tax year prior to the improvement.
b) One hundred percent (100%) for twelve (12) years for the remodeling of:
· owner-occupied dwellings containing more than two housing units and upon which the remodeling cost is at least twenty percent (20%) of the current assessed value of the existing structure (excluding land) as determined by the County Auditor for the tax year prior to the improvement and upon which the cost of remodeling is at least $5000.00 as described in ORC Section 3735.67;
· existing rental housing, containing more than two housing units, upon which the remodeling cost is at least fifty percent (50%) of the current assessed value of the existing structure (excluding land) as determined by the County Auditor for the tax year prior to the improvement and upon which the cost of remodeling is at least $5000.00 as described in ORC Section 3735.67;
· conversion of rental housing to owner-occupied housing, containing more than two units, upon which the remodeling cost is at least fifty percent (50%) of the current assessed value of the existing structure (excluding land) as determined by the County Auditor for the tax year prior to the improvement.
· conversion of existing commercial property containing more than two units, to owner-occupied housing units upon which the remodeling cost is at least fifty percent (50%) of the current assessed value of the existing structure (excluding land) as determined by the County Auditor for the tax year prior to the improvement.
(c) Eighty percent (80%) for ten (15) years for:
· construction of new owner-occupied and rental dwellings.
· construction of new owner-occupied and rental dwellings containing more than two housing units.
A pre-application will be required to insure the compatibility with neighborhood plans and to insure the maintenance of existing streetscape lines, style, scale setbacks and landscaping features compatible with neighborhood
Section 4. That City Council reserves the right to re-evaluate the designation of the Livingston and James Community Reinvestment Area after December 31, 2015, at which time Council may direct the Housing Officer not to accept any applications for exemptions as described in Section 3735.67 of the Ohio Revised Code.
Section 5. That a Community Reinvestment Area Housing Council shall be created, consisting of two members appointed by the Mayor of the City of Columbus, two members appointed by the Council of the City of Columbus and one member appointed by the Planning Commission of Columbus. The majority of those members shall then appoint two additional members who shall be residents within the area. Terms of the members of the Council shall be for three years. An un-expired term resulting from a vacancy in the Council shall be filled in the same manner as the initial appointment was made for the remainder of the term of the vacated seat.
Section 6. The Community Reinvestment Area Housing Council shall make an annual inspection of the properties within the district for which an exemption has been granted under Section 3735.66 of the ORC. The council shall also hear appeals under 3735.70, of the ORC.
Section 7. That this Council further hereby authorizes and directs the Mayor, the Clerk of Council, the Director of Development, or other appropriate officers of the City to prepare and sign all agreements and instruments and to take any other actions as may be appropriate to implement this Ordinance.
Section 8. To administer and implement the provisions of this Ordinance, the Administrator of the Department of Development's Housing Division is designated as the Housing Officer as described in Sections 3735.65 through 3735.70 of the Ohio Revised Code.
Section 9. That 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 passage if the Mayor neither approves nor vetoes the same.