City of Columbus - File #: 1915-2004

• File #: 1915-2004
• Version: 2
• Type: Ordinance
• Status: Passed
• File created: 10/21/2004
• In control: Jobs and Economic Development Committee
• On agenda: 11/1/2004
• Final action: 11/4/2004
• Title: To authorize the Director of the Department of Development to amend the Enterprise Zone with Crane to allow the Remedy contract workers to be part of the job count and to require that the job retention goal must be met and that the number of new jobs must average at least 71 for each of the remaining 3-year periods after 2004 (i.e., 2005-2007 and 2006-2008) or the company will repay the amount of property taxes exempted in those 3 years. ; and to declare an emergency.

Date	Ver.	Action By	Action	Result
11/4/2004	2	ACTING CITY CLERK	Attest
11/3/2004	2	MAYOR	Signed
11/1/2004	1	Columbus City Council	Approved as Amended	Pass
11/1/2004	1	Columbus City Council	Waive the 2nd Reading	Pass
11/1/2004	1	Columbus City Council	Amended to 30 day	Pass
11/1/2004	2	COUNCIL PRESIDENT	Signed
10/28/2004	1	Dev Drafter	Sent to Clerk's Office for Council
10/27/2004	1	City Clerk's Office	Sent back for Clarification/Correction
10/25/2004	1	Dev Drafter	Sent for Approval
10/25/2004	1	CITY ATTORNEY	Reviewed and Approved
10/25/2004	1	Dev Drafter	Sent to Clerk's Office for Council
10/22/2004	1	DEVELOPMENT DIRECTOR	Reviewed and Approved
10/21/2004	1	Dev Drafter	Sent for Approval

Explanation

BACKGROUND: This legislation authorizes the Director of Development to amend the existing Enterprise Zone Agreement (EZA) between the City of Columbus and seven Crane entities that operate divisions: Crane Plastics Company Limited Partnership, TimberTech Limited, CPC Tooling Technologies LLS, Crane Plastics Siding LLC, Crane Blending Center LLC, Crane Plastics Manufacturing Ltd., and Crane Products, Ltd (hereinafter referred to as "Crane"). Columbus City Council approved the EZA by Ord. No. 1194-97, passed May 12, 1997, and approved an amendment to the EZA by Ord. No. 917-00, passed April 17, 2000. The EZA granted Crane a 50%/10-year abatement on real property improvements and new machinery, equipment and inventory (1999-2008). Crane committed to invest $7.9 million in real property improvements, $13.1 million in new machinery and equipment, $2.8 million in new inventory, to retain the existing 675 jobs and create 95 new jobs. Crane is located at 2141 Fairwood Avenue in the city's Southside. Crane had invested more than twice the EZA goal by December 2003. At the same time, however, the number of jobs was 147 jobs short of the goal (job retention was short by 52 jobs and job creation was short by 95 jobs). Only full-time permanent jobs were counted as per the EZA, though 73 full-time equivalent (FTE) Remedy contract workers were employed at Crane in 2003.

The TIRC recommended that the City amend the EZA to require that in the last 4 years of the abatement (2005-2008) the job retention goal must be met (675 jobs) and the number of new jobs must average at least 71 for each of the 3-year periods after 2004 (i.e., 2005-2007 and 2006-2008). Seventy-one (71) jobs equals 75% of the original goal of 95 new jobs. Only full-time permanent jobs would be counted. If this minimum goal is not met in a 3-year period, the company will repay the amount of property taxes exempted in those 3 years. The City wishes to modify the TIRC recommendation to ...