Explanation
Background: The Department of Development is proposing the establishment of a tax increment financing area (TIF) within the Easton Town Center area pursuant to Section 5709.40(B) of the Ohio Revised Code to be known as the New Easton TIF Area. This ordinance establishes this TIF and provides for a 100% exemption from real property taxation on all nonresidential development on the TIF parcels for a period of not more than thirty (30) years.
MORSO Holding Co. is planning to build in the proposed New Easton TIF 1,165,000 square feet of office, 500,000 square feet of retail and 2,400 rental units, with a total investment of $452 million. The Columbus City Schools, Gahanna-Jefferson Public Schools and the Eastland-Fairfield Career & Technical Schools (School Districts) will receive, in the same manner as usual, all amounts they would have received in real property taxes had the tax exemption not been granted. Annual service payments in lieu of taxes will be made with respect to new development on the TIF parcels. The applicable portion of those service payments will be distributed directly to the School Districts, with the remaining non-school portion of those service payments paid to the City for deposit into the existing TIF fund established in Ordinance 1704-1996 to be used to fund public improvements benefiting the TIF parcels. This ordinance removes the unimproved parcels of the Easton TIF from the existing TIF area and incorporates them into the New Easton TIF area, thereby allowing a full 30 year TIF program on those TIF parcels.
Fiscal Impact: No funding is required for this legislation. The City is foregoing real property tax revenue that it would have received with respect to development on the TIF parcels. Instead, the non-school portion of that revenue will be diverted to the specified TIF fund to be used for public infrastructure improvements benefiting the TIF parcels.
Title
To remove parcels from the existing Easton Tax Increment F...
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