Explanation
BACKGROUND: Columbus City Council (“COUNCIL”), by Ordinance No. 2627-2016, passed November 21, 2016, authorized the City of Columbus (“CITY”) to enter into an Enterprise Zone Agreement (the “AGREEMENT”) with JBG Enterprise, LLC and America’s Floor Source, LLC (collectively, and hereinafter referred to as “ENTERPRISE”) for a tax abatement of seventy-five percent (75%) for a period of ten (10) years in consideration of a total investment of approximately $3,500,000.00, which included $2,923,000.00 in new construction and approximately $577,000.00 in acquisition cost for machinery, equipment, furniture and fixtures to construct a 40,000 square-foot office, warehouse and training facility on a vacant land parcel located at 3374 Millennium Court, Columbus, Ohio, parcel number 010-261507 (the “PROJECT SITE”), in Columbus Ohio, within the Columbus City School District, and the Columbus Enterprise Zone (the “PROJECT”). The ENTERPRISE committed to create sixteen (16) net new full-time permanent positions with an estimated annual payroll of approximately $639,280.00 and to retain of 119 full-time jobs with an estimated annual payroll of approximately $7,130,000.00. The ENTERPRISE also acquired a 9,839 square-foot office facility at 2360 Citygate Drive, Columbus, Ohio 43219 (located next to the vacant land parcel), which will be used for additional office space creating a business park campus in three separate facilities (Millennium Court, parcel no. 010-261507, 2360 Citygate Drive and 3442 Millennium Court; collectively, the "CAMPUS"), to house the 119 retained positions and created positions. The AGREEMENT was made and entered into effective February 15, 2017, (EZA #023-17-02). The AGREEMENT stated that construction on the improvements of the PROJECT, were expected to begin October 2016 with all real property improvements expected to be completed by October 2017, and that no real property exemption was to commence after 2018 nor extend beyond 2027.
The CIT...
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