Explanation
Background: The City Department of Development is proposing the establishment of three residential tax increment financing (TIF) incentive districts in the Gay Street neighborhood in the City pursuant to Section 5709.40(C) of the Ohio Revised Code. The attached Ordinance establishes those residential incentive districts and provides for a 100% exemption from real property taxation on all residential development within each incentive district for a period of not more than 30 years. The Columbus City School District will receive, in the same manner as usual, all amounts that it would have received in real property taxes had that tax exemption not been granted. Annual service payments in lieu of taxes will be made with respect to residential improvements to the TIF parcels. The applicable portion of those service payments will be distributed directly to the Columbus City School District, with the remaining non-school portion of those service payments paid to the City for deposit into the TIF fund established in the attached Ordinance. The money in the TIF fund will be used to fund public improvements benefiting or serving the incentive districts. The attached Ordinance also amends Ordinance No. 0973-2008 passed by the Columbus City Council on July 7, 2008.
Fiscal Impact: No City funding is required for this legislation.
Title
To create three residential tax increment financing incentive districts encompassing certain parcels of real property; to declare improvements to the parcels within each incentive district to be a public purpose and exempt from real property taxation; to require the owners of those parcels to make service payments in lieu of taxes; to require the distribution of the applicable portion of those service payments to the Columbus City School District; to establish a municipal public improvement tax increment equivalent fund for the deposit of the remainder of those service payments; to specify the public infrastructure i...
Click here for full text