Explanation
BACKGROUND: The Tax Incentive Review Council (the "TIRC") reviewed the Weiler-Bowen/City Park Place Enterprise Zone project on August 25, 2006, and recommended that the City meet with the property owner and negotiate an amended Enterprise Zone Agreement with terms the City deems realistic and appropriate. The meeting took place and modifications have been identified that are realistic and appropriate given the history of the project and the current real estate market. This legislation authorizes the Director of Development to amend the existing Weiler-Bowen/City Park Place Enterprise Zone Agreement (the "EZA") to (1) reduce the job requirement to 86 jobs, (2) reduce the payroll requirement to $2.9 million, (3) eliminate the personal property investment goal and reporting requirements, and (4) emphasize the importance of the property owner reporting annually to the City on the tenant jobs and payroll.
Columbus City Council approved the EZA by Ord. No. 2329-97, adopted September 29, 1997. The project entailed renovating two derelict structures into a multi-tenant facility with 54,000 square feet of Class-A office space. The project is located at 79 E. Thurman Avenue near the intersection with City Park Avenue. The EZA granted a real property tax abatement of 10 years (2000-2009), at 100% for the first 5 years and 50% the second 5 years, and a project investment of $3.5 million in real property and $2.75 million in personal property and the creation of 150 jobs with an annual payroll of $5 million. City Council approved a first amendment in 2003 and a second amendment in 2004. The 2003 amendment allows multiple tenants to fulfill the jobs goal and for the jobs and payroll to be either retained or new. The need for the first amendment was due to the loss of the original anchor tenant (CallTech), which had outgrown the facility even before it was completely renovated. The 2004 amendment reduced the real property exemption from 100% to 5...
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