header-left
File #: 1691-2007    Version:
Type: Ordinance Status: Passed
File created: 10/15/2007 In control: Development Committee
On agenda: 11/5/2007 Final action: 11/8/2007
Title: To authorize the Director of Development to enter into a Jobs Growth Incentive agreement with Red Roof Inns, Inc. and Red Roof Franchising, LLC (Red Roof Inn) equal to thirty percent (30%) of the amount of personal income tax withheld on new employees for a term of four (4) years in consideration of Red Roof Inn's proposed investment of $500,000, the retention of 37 full-time positions and the creation of 80 new permanent full-time jobs; and to declare an emergency.
Explanation

Background: The Department of Development is proposing to enter into a Jobs Growth Incentive Agreement with Red Roof Inns, Inc. and Red Roof Franchising, LLC (Red Roof Inn) equal to thirty percent (30%) of the amount of personal income tax withheld on new employees for a term of four (4) years.

The Red Roof Inn chain began in Columbus in 1972 with the intention of providing clean, comfortable rooms at an affordable price. Today there are over 325 Red Roof locations, including 34 in Ohio, employing over 6,000 people.

In 1999 Accor North America acquired Red Roof Inn and moved its headquarters to Carrollton, Texas. Recently Red Roof was purchased by a consortium made up of Citigroup Global Markets Holdings Inc.'s Global Special Situations Group and Canada-based Westbridge Hospitality Fund II LP.

Red Roof Inn currently has 37 employees in Columbus and is proposing to relocate the Red Roof headquarters from Texas to Columbus.

Fiscal Impact: No funding is required for this legislation.


Title

To authorize the Director of Development to enter into a Jobs Growth Incentive agreement with Red Roof Inns, Inc. and Red Roof Franchising, LLC (Red Roof Inn) equal to thirty percent (30%) of the amount of personal income tax withheld on new employees for a term of four (4) years in consideration of Red Roof Inn's proposed investment of $500,000, the retention of 37 full-time positions and the creation of 80 new permanent full-time jobs; and to declare an emergency.


Body

WHEREAS, the City desires to increase employment opportunities and encourage the creation of new jobs in the City in order to improve the overall economic climate of the City and its citizens; and

WHEREAS, the Department of Development has received a completed application for the Jobs Growth Incentive from Red Roof Inn; and

WHEREAS, Red Roof Inn is currently headquartered in Carrollton, Texas and is proposing to relocate to Columbus and enter into a 7 ye...

Click here for full text