Explanation
BACKGROUND:West Edge Business Center has been in operation for 3 years since the former Sullivant Gardens housing site was acquired and converted for business use. It is anticipated that up to 1,200 jobs will be located at the site at the end of its 7 year build out period.
The City of Columbus and the Columbus Urban Growth Corporation, desire to create a Tax Increment Financing (TIF) District under Ohio Revised Code Section 5709.41 to pay for certain public infrastructure improvements and to otherwise support the West Edge development while protecting the Columbus Public School District from any loss of tax revenues.
Revised Code § 5709.41 requires that the City own the property at some time prior to passing an ordinance to establish the TIF. Therefore, this legislation is necessary to authorize the City to accept title to the land comprising the West Edge Business Center project, and then to transfer the property back to the owners. The TIF ordinance will then be submitted for consideration by the City Council within the next 30 days.
This ordinance is submitted as an emergency to facilitate creation of the TIF.
FISCAL IMPACT:There is no expenditure of City funds associated with the transfer of the property.
Title
To authorize the Director of the Department of Development to execute documents to allow the City to accept title to certain property generally known as West Edge Business Center; to transfer the property back to the original owners; and to declare an emergency.
Body
WHEREAS, the City of Columbus (the "City") is committed to improving existing neighborhoods and providing quality commercial development; and
WHEREAS, Columbus Urban Growth Corporation ("Columbus Urban Growth") proposes to provide commercial uses through the urban redevelopment of the former Sullivant Gardens housing site now commonly referred to as West Edge Business Center (the "Project"); and
WHEREAS, the City desires to support and facilitate the urban redevelopment of the Project by passing an Ordinance under Ohio Revised Code §5709.41 (the "TIF Ordinance") declaring the development of the Project to be a public purpose; and
WHEREAS, the City of Columbus must hold fee title to the real estate comprising the Project site prior to enacting the TIF Ordinance; and
WHEREAS, it is necessary for the City to execute certain documents to accomplish the acceptance and subsequent transfer back to the current owners of title to the real estate comprising the Project site, all prior to the City's enactment of the TIF Ordinance; and
WHEREAS, it is necessary to complete these actions as quickly as possible so that the Project may proceed; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development in that it is necessary to proceed as quickly as possible with the transfer of the property described herein to facilitate without delay the urban redevelopment of the property through the Project for the preservation of the public health, peace, property, 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 and directed to accept on behalf of the City of Columbus title to the real property comprising the Project site and cause such ownership interest to be transferred according to State of Ohio law; provided, however, that no interest in that real property shall be accepted without execution of an agreement providing indemnification on terms acceptable to the City for any liability that may arise from the City holding title to that property.
Section 2. That the Director of the Department of Development is hereby authorized and directed to execute in accordance with this ordinance all documents necessary, and to take any other required measures to cause the transfer back to the current owners of the City's ownership interest in the real property constituting the Project site, which transfer thereof shall occur immediately following the City's acceptance of the fee simple interest in that property.
Section 3. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this Ordinance is declared to be an emergency measure and shall take effect (the "Effective Date") and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves or vetoes this Ordinance.