Explanation
BACKGROUND: Columbus City Council (Council), by Ordinance No. 0559-2005, passed April 11, 2005, authorized the City to enter into an Enterprise Zone Agreement (the Agreement) with Morrison Medical LTD (Enterprise) and MJ Paragon LLC (Landlord) for a tax abatement of sixty percent (60%) for a period of seven (7) years in consideration of a $1,000,000 investment in real property improvements by Landlord, a $250,000 investment in personal property, the retention of 25 permanent full-time jobs, and the creation of 5 permanent full-time jobs by Enterprise related to the construction of an approximately 14,000 square foot facility on parcel number 560-274685 at 3735 Paragon Drive in Columbus, Ohio and within the City of Columbus Enterprise Zone. The Agreement was made and entered into to be effective January 2, 2006 (EZA# 023-06-02). This Agreement was subsequently authorized by Council to be amended for the first time to remove any and all language pertaining to personal property investment and tax abatements related to this personal property investment from the Agreement by Ordinance No. 0614-2009, passed May 11, 2009.
The 2010 Columbus Tax Incentive Review Council (TIRC) reviewed the Morrison Medical LTD & MJ Paragon LLC Enterprise Zone project on August 19, 2010, and recommended that the Agreement be continued and that City send Enterprise a job creation warning letter and request a meeting with Enterprise to (1) discuss the job situation, (2) discuss likely job retention goals in light of the nature of employment needs, and (3) amend Agreement if need be to reflect revised job numbers. Both City and Enterprise have been compliant with the requests of the TIRC. This legislation seeks to authorize amendment of the Agreement to amend the job creation and job retention requirements as set forth in the Agreement, removing specific requirements for the creation and retention of jobs and replacing that with achieving and maintaining an overall job leve...
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