Explanation
This ordinance is intended to create a Job Creation Incentive Programs Employer Minimum Wage. This will create a fifteen-dollar ($15.00) minimum hourly wage for all employees to which the incentive applies.
FISCAL IMPACT: No funding is required for this legislation.
Title
To enact new Section 4565.11 of the Columbus City Codes, in order to provide for a Job Creation Incentive Program Employer Minimum Wage.
Body
WHEREAS, the City of Columbus uses tax incentives to encourage local, regional, national, and international companies to expand the number of employees they locate within the boundaries of the city; and
WHEREAS, the creation of new jobs in Columbus helps attract new residents while simultaneously expanding the tax base from which city revenue is collected, thereby enhancing the city’s ability to provide services to residents; and
WHEREAS, it is in the best interest of the City of Columbus and its residents for the city to offer incentives only for jobs that pay a living wage, which allow employees to afford basic necessities such as housing, food, and transportation for themselves and their families; and
WHEREAS, the public benefit of using tax dollars to support the creation of a new job is significantly diminished if employees earn less than a living wage, making it difficult for a family to achieve financial stability; and
WHEREAS, the fifteen-dollar minimum wage created in this ordinance will apply only to positions that are otherwise eligible under the city’s job incentive program as sought by the employer; and
WHEREAS, by establishing this Job Creation Incentive Program Employer Minimum Wage, the City of Columbus reinforces its commitment to supporting broad-based economic prosperity by only providing tax incentives for jobs that provide a living wage; now, therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. The new section 4565.11 of the Columbus City Codes is hereby enacted as follows:
4565.11 - Job Creation Incentive Programs Employer Minimum Wage
(A) In order to qualify for a Jobs Growth Incentive, a Downtown Office Incentive, and/or a Jobs Creation Tax Credit from the department of development, a recipient of such financial incentive must pay the employees to which the incentive applies a minimum wage of no less than fifteen dollars ($15.00) per hour. All agreements authorized by city council for these programs shall require continued compliance with this minimum wage requirement throughout the term of the agreement.
(1) Upon the recommendation of the director of development, this provision may be waived only by a vote of city council.
(B) Any project receiving an offer letter or executed agreement from the department of development prior to December 31, 2018 is exempted from this requirement if the agreement includes terms materially different than those required in this section.
(C) The director of development shall provide a report annually to city council on or before September 1st detailing the wages of jobs incentivized by the aforementioned programs.
(D) The Job Creation Incentive Programs Employer Minimum Wage shall be reassessed every three (3) years.
SECTION 2. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.