Explanation
BACKGROUND: The need exists to enter into a Job Creation Tax Credit Agreement with Ascena Retail Group, Inc. The Ohio Tax Credit Legislation (Section 718.15 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.
Ascena Retail Group, Inc. (NASDAQ - ASNA), is a leading national specialty retailer of apparel for women and tween girls, operating, through its wholly-owned subsidiaries, the Catherines, Dress Barn, Justice, Lane Bryant and Maurices brands. The company operates through its subsidiaries over 3,800 stores throughout the United States and Canada, with annualized revenues of over $4.5 billion. Ascena Retail Group, Inc. is headquartered in New York, with satellite operations in Mahwah, New Jersey and New Albany, Ohio. Since its acquisition of Charming Shoppes, Inc. in July 2012, the Ascena Retail Group, Inc. has been working to leverage its infrastructure and expertise across brands and develop synergies through a shared services group.
Ascena Retail Group, Inc. is proposing to relocate its shared services real estate professionals from out-of-state to Columbus, Ohio by making an investment of approximately $200,000 in furniture and fixtures, including stand-alone computers, and create approximately 15 new full-time permanent positions with an estimated annual payroll of $1.93 million.
FISCAL IMPACT: No funding is required for this legislation.
Title
To authorize the Director of Development to enter into a Job Creation Tax Credit Agreement of sixty percent (60%) for a period of seven (7) years with Ascena Retail Group, Inc. in consideration of the company’s proposed investment of $200,000.00 and the creation of 15 new full-time permanent positions.
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...
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