Explanation
BACKGROUND: The need exists to enter into a Jobs Creation Tax Credit Agreement with Abbott Laboratories, Ross Products. The Ohio Tax Credit Legislation (Section 718.08 of the Ohio Revised Code) authorizing such agreements became effective January 14, 1993 and requires the City to enter a Council-approved agreement between the City and a participating company.
The Ross Products Division, Columbus Manufacturing Site has been located in Columbus since 1903. The current location was originally the site of the Franklin Brewery which was used by the Moores and Ross Milk Company and subsequently became Ross Laboratories. Ross Laboratories was created to continue the development of Similac Infant Formula, which continues to be their flagship brand. Ross Laboratories was purchased by Abbott Laboratories in 1964 and became the Ross Products Division of Abbott Laboratories. Abbott is a broad-based health care company based in north suburban Chicago.
Abbott Laboratories, Ross Products plans to expand a manufacturing line to accommodate expansion. The project will include an investment of $58,650,000.00, retention of 1856 full-time jobs and the creation of 92 full-time jobs.
The Department of Development recommends a 65%/8 year Jobs Creation Tax Credit.
FISCAL IMPACT: No funding is required for this legislation.
Title
To authorize the Director of Development to enter into an agreement with Abbott Laboratories, Ross Products for a Jobs Creation Tax Credit of 65% for a period of 8 years in consideration of a proposed $58,650,000.00 investment, the retention of 1856 new full-time jobs and the creation of 92 new full-time jobs; and to declare an emergency.
Body
WHEREAS, pursuant to Section 122.17 of the Ohio Revised Code, the State of Ohio is authorized to establish the Tax Credit Authority and to execute agreements with taxpayers of the State of Ohio for the purpose of granting these taxpayers job creation tax credits against...
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