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File #: 0811-2019    Version:
Type: Ordinance Status: Passed
File created: 3/14/2019 In control: Finance Committee
On agenda: 4/8/2019 Final action: 4/11/2019
Title: To authorize the Mayor or the Director of Finance and Management to execute and deliver, on behalf of the City, the First Supplement To The Cooperative Agreement Dated As Of January 1, 2010 with the Franklin County Convention Facilities Authority and Franklin County pertaining to the construction of a convention center hotel expansion. ($0.00) Section 44-1(b) of the City Charter.
Attachments: 1. FCCFA - FIRST SUPPLEMENT TO HOTEL COOPERATIVE AGREEMENT V7.pdf, 2. AMENDED - FRANKLIN COUNTY CFA - FCCFA - FIRST SUPPLEMENT TO HOTEL COOPERATIVE AGREEMENT V8
Explanation

The Franklin County Convention Facilities Authority (FCCFA) presently owns a convention facility known as the “The Greater Columbus Convention Center” (Existing Convention Facility) and a 532 room full service hotel (Existing Hotel), providing meeting space, restaurants, and support facilities for Columbus visitors. Under the Cooperative Agreement dated as of January 1, 2010 (Cooperative Agreement) with the Franklin County Board of Commissioners and the FCCFA to support the financing of the Existing Hotel, the City of Columbus (City) pledged to transfer to the FCCFA an amount equal to the Hotel-Motel Excise Tax, as defined in Columbus City Code Chapter 371, generated by the Existing Hotel to pay debt service on bonds issued by the FCCFA.

Additionally under the Cooperative Agreement, the City pledged to transfer to the FCCFA up to $1.4 million from the City of Columbus Parking Meter Fund to pay debt service on the Existing Hotel in the event the FCCFA and Franklin County (County) were unable to meet their respective obligations. To date, performance of the Existing Hotel has surpassed projections, the revenue generated from the Existing Hotel has exceeded that required to meet debt service, and significant reserve funds have accrued. As such, the $1.4 million remains on account with the City.

Columbus has attracted large national and international conferences and sporting events, and continues to be a destination for business and leisure travel. To provide an adequate number of full service hotel rooms necessary to attract additional and larger conferences, conventions, and sporting events, the FCCFA has proposed the construction of an expansion (Hotel Expansion) to the Existing Hotel. The Hotel Expansion would add approximately 470 full service guest rooms and an estimated 54,100 square feet of convention meeting space, restaurants, and support facilities, at an estimated cost $210 million. The Hotel Expansion would increase the capacity of the Exi...

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