Explanation
BACKGROUND: Columbus City Council, by Ordinance 1209-2008, passed July 14, 2008, authorized the City to enter into a Jobs Growth Incentive Agreement (the Agreement) with JD Equipment, Inc. (Enterprise) for twenty-five percent (25%) for a period of five (5) years in consideration of a $3.8 million investment to purchase, renovate and equip a facility and for the relocation and retention of 17 full-time permanent jobs and the creation of 23 full-time permanent jobs related to property at 2745 Business Park Drive within the City of Columbus. The Agreement was made and entered into to be effective October 20, 2008.
As per the most recent reporting period ending December 31, 2010, Enterprise had not yet begun construction and no new jobs had been created. Enterprise has related through written communication with the City that market conditions have resulted in the inability to initiate construction and begin new employment at this facility as per the Agreement and at that this time Enterprise has no immediate plans to do so. As the Agreement is now out of compliance both the City and Enterprise have agreed to dissolve the Agreement.
This legislation is presented as an emergency measure.
FISCAL IMPACT: No funding is required for this legislation.
Title
To authorize the Director of Development to dissolve the Jobs Growth Incentive Agreement with JD Equipment, Inc.; to direct the Director of the Department of Development to notify as necessary the local and state tax authorities; and to declare an emergency.
Body
WHEREAS, the Columbus City Council approved the Jobs Growth Incentive Agreement with JD Equipment, Inc. (Agreement) on July 14, 2008 by Ordinance No. 1209-08 and entered into effective October 20, 2008; and
WHEREAS, the Agreement grants JD Equipment, Inc. a 25%/5-Year Jobs Growth Incentive; and
WHEREAS, the Agreement requires JD Equipment, Inc. to invest $3.8 million in real property, improvements, machinery and equipm...
Click here for full text