Explanation
BACKGROUND: Columbus City Council, by Ordinance 0795-2008, passed May 12, 2008, authorized the Director of Development to enter into a Jobs Growth Incentive (JGI) Agreement of twenty-five percent (25%) for a period of five (5) years with Express, LLC and Express Holding, LLC (collectively known as “Express” and hereinafter referred to as the “Grantee”), based on the company’s commitment to expand its corporate headquarters by investing approximately $7,900,000.00 in leasehold improvements and personal property, the retention of 359 jobs and the creation of 120 new full-time permanent positions with an annual payroll of $7,800,000.00.
Subsequent to the execution of the agreement, the Grantee determined that several new employees would be employed by two additional affiliates. Columbus City Council, by Ordinance 1915-2008, passed December 1, 2008 amended Ordinance 0795-2008 to add Express Topco, LLC and Express Parent, LLC as additional grantees to the JGI Agreement.
The JGI Agreement was made and entered into by the City and Express, LLC, Express Holding, LLC, Express Topco, LLC and Express Parent, LLC, effective January 19, 2010 to commence January 1, 2008 for a term of five (5) consecutive years to end December 31, 2012.
The agreement was amended for the first-time to revise the calculation method used for the tax incentive baseline (the JGI Agreement called for a baseline figure from Form IT-13, which did not exist). Council authorized the Director of Development to enter into an agreement with Grantee; therefore, it was deemed that no other Council actions and/or approvals were needed to amend the JGI Agreement. This First Amendment was made and entered into effective January 19, 2010, but executed by City Attorney on April 3, 2011.
On April 12, 2011 the Department of Development received a letter from Grantee, dated March 24, 2011, requesting that Express Parent, LLC be removed as a grantee to the JGI Agreement and to be replaced w...
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