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File #: 1664-2022    Version: 1
Type: Ordinance Status: Passed
File created: 6/6/2022 In control: Economic Development Committee
On agenda: 6/27/2022 Final action: 6/30/2022
Title: To appropriate and authorize the expenditure of: (1) the minimum service payment obligation received by the City pursuant to Section 5709.91 of the Ohio Revised Code, and (2) the service payments in lieu of taxes generated by the parcels owned by the 1489 Rohr Holding, LLC or its affiliates, subject to the Rickenbacker-317 TIF, and deposited in the Rickenbacker-317 Municipal Public Improvement Tax Increment Equivalent Fund pursuant to the Tax Increment Financing Agreement and Cooperative Agreement (the “Cooperative Agreement”); to authorize the Director of the Department of Development (the “Director”) to execute and deliver the Cooperative Agreement by and among the City of Columbus, the Columbus-Franklin County Finance Authority, the Development Finance Authority of Summit County, and 1489 Rohr Holding, LLC for the bond financing of certain regional roadway, sewer, and water public improvements; to authorize the Director or other appropriate officers of the City to agree to the terms...
Explanation
Background: City Council passed Ordinance No. 1447-2020 on July 6, 2020 as amended by Ordinance No. 2563-2020 passed November 23, 2020 (together, the “TIF Ordinance”) creating and then later expanding the “Rickenback-317 TIF,” requiring the deposit of service payments generated by parcels subject to the TIF Ordinance (the “Service Payments”) into a special TIF fund, and designating authorized public improvements to be financed by those Service Payments. Within the Rickenbacker-317 TIF, 1489 Rohr Holding, LLC (the “Developer”) and its affiliate own Franklin County Tax Parcel Nos. 495-303782, 495-303783, 495-303784, and 495-303785 (collectively, the “Site”). Pursuant to Ordinance No. 1460-2020 passed by City Council on June 6, 2020, the City entered into a Tax Increment Financing Agreement dated as of December 31, 2020 (the “Prior TIF Agreement”) with the Developer. Under the Prior TIF Agreement, the City agreed to reimburse the Developer for its costs of certain regional roadway, sewer, and water public improvements (the “Public Improvements”) benefiting the development of the Rickenbacker-317 TIF using the Service Payments from the Site (the “Site TIF Revenue”). Provided, if the Developer desired to pledge the Site TIF Revenue to a port authority to issue bonds prior to the commencement of the design and construction of those Public Improvements, the parties agreed a separate cooperative agreement would be necessary.

This Ordinance approves and authorizes a new Tax Increment Financing and Cooperative Agreement (the “Cooperative Agreement”) by and among the City, the Columbus-Franklin County Finance Authority (the “CFCFA”), the Development Finance Authority of Summit County (“DFA”) and the Developer pursuant to which the CFCFA and DFA will issue bonds to finance a portion of the Public Improvements. The City will pledge: (1) the “Minimum Service Payment Obligation” received by the City pursuant to Section 5709.91 of the Ohio Revised Code and (2) the S...

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