Explanation
BACKGROUND: The purpose of this ordinance is to authorize the Director of the Department of Development to apply for $300,000 in grant assistance from the Roadwork Development (629) Account of the Ohio Development Services Agency and $250,000 in grant assistance from the Ohio Department of Transportation, contingent on State Controlling Board approval, for improvements to a public roadway near West Schrock Road (Parcel ID 610-291371) to benefit the expansion of operations of SEA, Ltd. (Scientific Expert Analysis, Ltd.).
This request for authorization is part and parcel of an incentive package to allow SEA, Ltd. to expand in Columbus. SEA, Ltd. will invest an estimated $9.4 million at the site with $9 million toward building construction and $400,000 in machinery, equipment, furniture and fixtures. A total of 96 existing full-time positions will be retained and 30 new full-time permanent positions will be created within three years.
In a letter dated June 13, 2013, the Ohio Development Services Agency and JobsOhio extended a total of $550,000 in public roadwork development grant assistance to the City of Columbus in support of the proposed investment by SEA, Ltd. The Director of the Department of Development responded to the Ohio Development Services Agency and JobsOhio on October 10, 2013 accepting the offer of assistance.
Total infrastructure costs to accommodate the construction of a new global corporate headquarters for SEA, Ltd. are estimated to be approximately $1.224 million and will be shared by the State of Ohio and SEA, Ltd.
This legislation is submitted as an emergency in order to meet the state roadwork grant application deadline.
FISCAL IMPACT: No funding is required for this legislation. There is no cost to apply for the state roadwork development grants. If successful, the City will receive a total of $550,000 to apply towards public roadway improvements near West Schrock Road.
Title
To authorize and direct the Director of the Department of Development to apply for $300,000.00 in grant assistance from the Ohio Development Services Agency and $250,000.00 in grant assistance from the Ohio Department of Transportation for public roadway improvements near West Schrock Road to benefit the construction of a new global corporate headquarters for SEA, Ltd.; and to declare an emergency. ($0)
Body
WHEREAS, SEA, Ltd. desires to construct and equip a new facility on West Schrock Road, Parcel ID 610-291371; and
WHEREAS, SEA, Ltd. proposes to invest approximately $9.4 million, with $9 million toward the new construction of a 90,000-100,000 square foot facility and $400,000 for equipment, furniture and fixtures; and
WHEREAS, SEA, Ltd. will create 30 new full-time permanent jobs with an annual payroll of $3 million and will retain 96 full-time positions to be relocated to the project site; and
WHEREAS, infrastructure improvements in and around West Schrock Road to accommodate the construction of a new global corporate headquarters for SEA, Ltd. are estimated to cost approximately $1.224 million; and
WHEREAS, the Columbus Department of Development was invited to apply for $300,000 in grant assistance from the Roadwork Development (629) Account of the Ohio Development Services Agency and $250,000 in grant assistance from the Ohio Department of Transportation to facilitate improvements to a public roadway near West Schrock Road to benefit the SEA, Ltd. project; and
WHEREAS, an emergency exists in the usual daily operation of the City of Columbus in that it is immediately necessary to apply for a total of $550,000 in state roadwork grants to benefit the SEA, Ltd. expansion project in order to meet the state roadwork grant application deadline, all for the preservation of public health, peace, property, safety and welfare; NOW THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the Director of the Department of Development is hereby authorized and directed to apply for $300,000 in grant assistance from the Roadwork Development (629) Account of the Ohio Development Services Agency and $250,000 in grant assistance from the Ohio Department of Transportation to facilitate improvements to a public roadway near West Schrock Road.
Section 2. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.