Explanation
BACKGROUND: The need exists to amend the City of Columbus Job Creation Tax Credit Agreement (the “JCTC Agreement”) between the City of Columbus (“City”) and BBI Logistics, LLC (hereinafter referred to as “Grantee”). Columbus City Council (“Council”), per Ordinance No. 2009-2022, passed July 25, 2022, authorized the Director of the Department of Development of the City to enter into the Agreement that granted a non-refundable tax credit allowed against the tax imposed under Section 362.06, “Income Subject to Net Profit Tax” of the Columbus City Codes of sixty-five percent (65%) of the new income tax revenue received by the City for a calendar year from New Employees for a period of ten (10) consecutive years, based on a total project investment of approximately $56,527,136.00 to create a new corporate headquarters (“HQ”) in the Arena District. The proposed corporate HQ would be located at 600 W. Nationwide Boulevard, Columbus, Ohio 43215, parcel number 010-301902 though operations will remain at 80 E. Rich Street, Suite 200, Columbus, Ohio 43215, parcel number 010-296465 during construction (collectively, both addresses are the “Project Site”). Additionally, BBI Logistics proposes to create approximately 953 net new full-time permanent positions with an annual payroll of approximately $80,577,408.00 over the full ten (10) year term of the incentive and retain 175 full-time positions with an annual payroll of approximately $12,867,400.00 at the Project Site. The JCTC Agreement was made and entered into effective October 14, 2022 with the incentive term to begin January 1, 2024 through December 31, 2033 for a 10-year credit.
Paragraph six within Section 17 (Miscellaneous) of the JCTC Agreement states, “Either party may at any time during the term of the JCTC Agreement request amendments or modifications, but such changes or amendments shall not be effective until executed by the parties hereto. Any requested amendment or modification to any of the t...
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