Explanation
BACKGROUND: This legislation authorizes the Director of Development to amend the existing Enterprise Zone Agreement (EZA) with Commodity Logistics and CIVFI-OH1BO1, LLC. Columbus City Council approved Ordinance No. 36-00, adopted January 10, 2000 to grant an EZA to Commodity Logistics (tenant), and Commodity One and CalEast Industrial Investors (investors). On 7/28/03 Council approved Ordinance No. 1920-2003 assigning the interests of Commodity One and CalEast Industrial Investors in the EZA to CIVFI-OH1BO1, LLC. The project is located at 1518 London-Groveport Road. The Columbus Tax Incentive Review Council recommended on November 13, 2003 that the City amend the EZA to extend the period of time to meet the job creation requirement.
The tax incentive is 60% on real property tax for seven (7) taxable years and will run through 2007. The project investment was to be $9.8 million in real and personal property. The project has met its investment commitment.
Due to the economic recession and subsequent reduction of customer base, Commodity Logistics has not been able to fulfill its job creation goal. The EZA states that 200 jobs would be created within 3 years. At the end of 2002 the total number of new jobs was 58 (fifty-eight). The EZA will be modified to extend the period of time to meet the job creation goal to 12/31/2005. The rate and years of the tax abatement will not be modified.
FISCAL IMPACT: No funding is required for this legislation.
Title
To authorize the Director of the Department of Development to amend the Commodity Logistics Enterprise Zone Agreement to extend the period of time for meeting the job creation goal to 12/31/05; and to declare an emergency.
Body
WHEREAS, Columbus City Council approved the EZA by Ordinance No. 36-00, adopted January 10, 2000 and by old Ordinance No. 1920-2003 assigned the original landowners interests in the EZA to CIVFI-OH1BO1, LLC; and
WHEREAS, the EZA calls for the ...
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