Explanation
BACKGROUND:
The City of Columbus currently has an excessive amount of vacant office space in our downtown market. This high vacancy rate is having a negative impact on all business activity downtown and throughout the city. FirstMerit Bank is currently exploring downtown Columbus as a potential site for the relocation of their regional office. FirstMerit Bank is a $10.5 billion bank holding company headquartered in Akron, Ohio. They anticipate employing 25 people downtown as a result of this relocation. This new job creation is estimated to generate $1,300,000 of payroll and $26,000 annually in City income tax revenue. Based on this estimate, they would qualify for the Columbus Downtown Office Incentive of an amount equal to 50% of the payroll taxes paid or $13,000 each year for three (3) years. The Downtown Development Office recommends granting the Columbus Downtown Office Incentive program to FirstMerit Bank.
FISCAL IMPACT:
No funding is required for this legislation.
Title
To authorize the Director of Development to enter into a Columbus Downtown Office Incentive Program agreement with FirstMerit Bank as provide in Columbus City Council Resolution 075X-2004 adopted March 29, 2004.
Body
WHEREAS, the City desires to increase employment opportunities and encourage establishment of new jobs in the City in order to improve the overall economic climate of the City and its citizens; and
WHEREAS, Resolution 075X-2004, adopted March 29, 2004, authorizing the Department of Development to establish the Columbus Downtown Office Incentive program as amended; and
WHEREAS, The Department of Development has received a completed application for the Columbus Downtown Office Incentive program from FirstMerit Bank; and
WHEREAS, FirstMerit Bank estimates they will create 25 new jobs at the Bicentennial Plaza Building at 250 West Civic Center Drive, with a projected payroll of $1,300,000 generating estimated City of ...
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