Explanation
BACKGROUND: The City of Columbus (“CITY”) entered into Incentive Agreements (hereinafter “AGREEMENTS”) with a number of companies during the past few years that were approved by Columbus City Council based on new Columbus withholding tax and new investments in fixed assets and property improvements. Through several types of communication related to annual reporting for these incentives, it has been concluded that for various reasons these Incentive Agreements must be dissolved. The Job Creation Tax Credit Agreement with Columbus Steel Castings Co. dba Columbus Castings and OneSource Employee Management, LLC; the Job Creation Tax Credit with International Business Machines Corporation; the Jobs Growth Incentive Agreement with Unique Leasing, Inc. and Reynolds Transportation, Inc.; and the Jobs Growth Incentive Agreement with The Sophic Group, Inc. dba Improving Enterprises, Inc. (collectively known as “GRANTEES”) are to be dissolved through this legislation approval.
The Job Creation Tax Credit Incentive for Columbus Steel Castings Co. dba Columbus Castings and OneSource Employee Management, LLC was approved by City Council on December 8, 2014 by Ordinance No. 2189-2014. The incentive agreement became effective as of May 14, 2015 with a rate of sixty-five percent and a seven year term to run from January 1, 2013 through December 31, 2018. The operations of Columbus Steel Castings has since been closed and it is the desire of the Development Department to dissolve the agreement and remove it from its annual reporting requirements. No incentive benefit was ever received by the GRANTEE.
The Job Creation Tax Credit Incentive for International Business Machines Corporation was approved by City Council on December 17, 2012 by Ordinance No. 2690-2012. The incentive agreement became effective as of March 25, 2013 with a rate of sixty-five percent and a six year term to run from January 1, 2013 through December 31, 2018. International Business Machines C...
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