Explanation
BACKGROUND: The need exists to amend the City of Columbus Jobs Growth Incentive Agreement (“AGREEMENT”) between the City of Columbus (“CITY”) and Hollingsworth Logistics Group, LLC dba Hollingsworth, LLC and Hollingsworth Management Services, LLC (collectively and hereinafter referred to as “GRANTEE”). Columbus City Council (“COUNCIL”), by Ordinance No. 2751-2021, passed on November 15, 2021, authorized the Director of the Department of Development to enter into an AGREEMENT with the GRANTEE for an annual cash payment equal to (i) twenty-five percent (25%) of the City of Columbus income tax withheld on the Columbus payroll of new employees and (ii) thirty percent (30%) of the City of Columbus income tax withheld on the Columbus payroll of those employees who are also City of Columbus residents at the end of each calendar year, for a term up to five (5) years. The GRANTEE proposed a total project investment of approximately $850,000 in machinery and equipment to expand its operations at 2450 Spiegel Drive, Groveport, Ohio 43215, parcel number 495-249651 (the “PROJECT SITE”). Additionally, the GRANTEE committed to retain sixteen (16) full-time positions with an estimated payroll of approximately $700,000 and create ninety-five (95) net new full-time permanent positions with an estimated annual payroll of approximately $3,302,140 at the proposed PROJECT SITE. The AGREEMENT was made and entered into effective March 29, 2022.
In a letter received by the CITY from the GRANTEE dated June 2, 2023, and through additional correspondence, the GRANTEE confirmed that Crown Staffing Solutions, LLC, a third party employer recognized as a Professional Employer Organization (“PEO”), will be the employer of record for some of the new employees hired at the PROJECT SITE. Additionally, in a letter from Crown Staffing Solutions, LLC dated June 9, 2023, it was validated that the company will serve as the GRANTEE’s employer of record. As a result, the GRANTEE is reque...
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