Explanation
BACKGROUND: The Department of Development is proposing to enter into a Columbus Downtown Office Incentive with Jeffrey P. Norman, Standing Chapter 13 Trustee for the Southern District of Ohio (herein after Jeffrey P. Norman).
The Trustee is a duly appointed Standing Chapter 13 Trustee for the Southern District, Eastern Division of Ohio, vested with the duties as set forth in U.S.C. Section 1302(b), including the duty to furnish information concerning debtors' estates, and the administration of these estates. There are currently 198 Chapter 13 Trustees in the United States. In this capacity the United States Trustee appoints a Standing Chapter 13 Trustee, who operates as trustee in each Chapter 13 case that is filed in a judicial district. Jeffrey P. Norman was appointed Standing Chapter 13 Trustee for the Southern District of Ohio, Eastern Division and desires to expand into the Downtown Business District. Frank M. Pees has been the only Chapter 13 Trustee in the Southern District of Ohio for the past 27 years, which is located in Worthington, Ohio. Jeffrey P. Norman, Standing Chapter 13 Trustee, will expand, own, and operate a second location for the Southern District of Ohio, Eastern Division.
Jeffrey P. Norman is proposing to expand in the Downtown Business District by opening a second Chapter 13 Trustee office for the Southern District of Ohio and create nineteen (19) new full-time permanent positions with an annual payroll of approximately $921,000. The City of Columbus will receive approximately $23,000 in new City income tax revenue. Based on this estimate, Jeffrey P. Norman would qualify for the Columbus Downtown Office Incentive of an amount equal to fifty percent (50%) of the payroll taxes paid on the new positions or $34,500 over a term of three (3) years. The Development Department recommends granting the Columbus Downtown Office Incentive program to Jeffrey P. Norman.
FISCAL IMPACT: No funding is required for this legislation.
Title
To authorize the Director of Development to enter into a Columbus Downtown Office Incentive Agreement of 50% for a period of three years with Jeffrey P. Norman, Standing Chapter 13 Trustee for the Southern District of Ohio, as provided in Columbus City Council Resolution Number 0088X-2007, adopted June 4, 2007.
Body
WHEREAS, the City desires to increase employment opportunities and encourage the establishment of new jobs in the City in order to improve the overall economic climate of the City and its citizens; and
WHEREAS, Resolution Number 0088X-2007, adopted June 4, 2007, authorized the Department of Development to establish the Columbus Downtown Office Incentive program as amended; and
WHEREAS, the Department of Development has received a completed application for the Columbus Downtown Office Incentive program from Jeffrey P. Norman.; and
WHEREAS, Jeffrey P. Norman is proposing to expand its operation into the Downtown Business District by entering into a 5-year lease agreement and create 19 new full-time permanent positions located at 10 West Broad Street, 9th FloorColumbus, Ohio, with an estimated annual payroll of $921,000 generating an estimated City of Columbus income tax revenue of $23,000 annually; and NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. Columbus City Council authorizes the Director of Development to enter into a Columbus Downtown Office Incentive Agreement with Jeffrey P. Norman pursuant to Columbus City Council Resolution Number 0088X-2007, for an annual cash payment equal to fifty percent (50%) of the amount of City withholding tax withheld on new employees for a term of three (3) years on the estimated job creation of 19 new full-time permanent positions at 10 W. Broad Street, 9th Floor Columbus, Ohio.
Section 2. As provided in the program guidelines, leasing of the project site qualifies Jeffrey P. Norman for a three (3) years incentive term. The term beginning in calendar year 2012, with the incentive payment made in the second quarter of the following year based on actual City of Columbus income tax withholding paid by the new positions for the preceding year.
Section 3. Each year of the term of the agreement with Jeffrey P. Norman that a payment is due, the City's obligation to pay the incentive is expressly contingent upon the passing 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 4. That the City of Columbus Downtown Office Incentive Agreement is signed by Jeffrey P. Norman within 90 days of passage of this ordinance, or this ordinance and credits herein shall be null and void.
Section 5. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.