Explanation
BACKGROUND: The need exists to enter into a Jobs Creation Tax Credit Agreement with Value Recovery Group, Inc. 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.
Value Recovery Group, Inc. plans to expand their business. The project will include an investment of $147,500, the retention of 8 (eight) full-time jobs and the creation of 15 (fifteen) full-time jobs.
The Department of Development recommends a 50%/5 year jobs creation tax credit.
FISCAL IMPACT: No funding is required for this legislation.
Title
To authorize the Director of the Department of Development to enter into an agreement with Value Recovery Group, Inc. for a Jobs Creation Tax Credit of fifty percent (50%) for a period of five (5) years in consideration of a proposed $147,500 investment, the retention of eight (8) new full-time jobs and the creation of fifteen (15) new full-time jobs.
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 their corporate franchise or
income tax, which tax credits are provided to create new jobs in the State
of Ohio; and
WHEREAS, the State of Ohio Tax Credit Authority has granted Value Recovery Group, Inc. a 55% /6 year Jobs Creation Tax Credit; and
WHEREAS, pursuant to Section 718.08 of the Ohio Revised Code (the "City Act") a municipal corporation is authorized to grant local income tax credits to taxpayers who have received tax credits from the State; and
WHERE...
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