Explanation
BACKGROUND: The City of Columbus (the “City”) entered into a Downtown Office Incentive Agreement (hereinafter “Agreement”) with Duncan Simonette, Inc. effective August 1, 2011. Columbus City Council approved the Agreement by Ordinance 0572-2011, approved April 25, 2011 and granted a tax incentive based on an amount equal to 50% of the withholding tax paid by the new employees (as that term was defined in Section 5 of the Agreement) located at the downtown project site, to commence January 1, 2012 and for a period of five (5) consecutive taxable years thereafter based on $400,000 in leasehold improvements and personal property investment, the relocation/retention of 5 full-time positions and the creation of 13 new full-time positions under a 7-year lease of 7,000 square feet of vacant office space at 155 E. Broad Street, Suite 2200 (the “Project Site”) within the Downtown District of the City of Columbus.
Annual Reporting documents for Report Year 2012 were sent to Duncan Simonette, Inc. on February 1, 2013 and completed reporting materials were received by the City on March 29, 2013. Payment for Report Year 2012 was authorized to be made through Ordinance 1616-2013, approved on July 15, 2013 with the invoice for payment submitted to the Fiscal Section within the Office of the Director of the Department of Development on July 24, 2013. A check in the amount of $1,354.52, dated September 9, 2013, was sent to Duncan Simonette, Inc. at the Project Site but was returned as undeliverable, with the indication that Duncan Simonette, Inc. had moved to a new location, namely 600 S. High St., Suite 100, which is outside of the Downtown District. It was confirmed by staff that the company was no longer in business at the Project Site and that they had moved outside the Downtown District. Attempts to reach Duncan Simonette, Inc. were unsuccessful. Based on this, the decision was made to cancel payment for Report Year 2012 and to dissolve the Agreement. This legi...
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