Explanation
Background: The need exists to enter into an Enterprise Zone and Jobs Creation Tax Credit Agreement with Core Molding Technologies, Inc. Ohio Enterprise Zone law (O.R.C. Section 5709.62) and Jobs Creation Tax Credit law (O.R.C. Section 718.08) require the City to enter into a Council-approved agreement with a participating company.
Core Molding Technologies, Inc. is a manufacturing company that employs 1,094 employees in the United States and Mexico. The company produces reinforced plastic molded products and sheet molding compound. Core Molding Technologies, Inc. is headquartered in Columbus at 800 Manor Park Drive where truck hoods and plastic products have been manufactured since 1980. The company also has plants located in Gaffney, South Carolina and Matamoros, Mexico. Core Molding's customers include International, Freightliner, Peterbilt and Yamaha.
Core Molding Technologies, Inc. is proposing an expansion to launch new product lines of hoods and roofs for over the road semi-trucks. If Columbus is selected as the site for the expansion, the company would make a total investment of $4.7 million, retain 380 jobs and create 52 new positions. Other locations in contention for this expansion project are Ottawa, Canada, South Carolina and Mexico.
The Columbus Department of Development is proposing a 10-year, 75% Enterprise Zone incentive on real property improvements and personal property under the City's Enterprise Zone Program and a 7-year, 60% Jobs Creation Tax Credit. The State of Ohio Tax Credit Authority has offered Core Molding Technologies, Inc. a 60%/5 year State jobs tax credit to attract the expansion project to locate in Columbus.
This legislation is being submitted as an emergency in order to allow Core Molding Technologies, Inc. to make a decision on the location of the proposed project as quickly as possible.
Fiscal Impact: No funding is required for this legislation.
Title
To authorize the Director of the D...
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