TITLE
AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE A COMMUNITY REINVESTMENT AREA INCENTIVE AGREEMENT WITH BURNS AND SCALO OHIO LLC TO FACILITATE RELOCATION OF ITS CORPORATE HEADQUARTERS TO A NEW FACILITY ON TECH CENTER DRIVE, PART OF COMMUNITY REINVESTMENT AREA #3
BODY
WHEREAS, the Department of Economic Development requests that this Council authorize the Mayor to enter into a Community Reinvestment Area (CRA) Agreement with Burns and Scalo Ohio LLC to facilitate the planned relocation of its corporate headquarters presently located in Delaware, Ohio, to a new facility contemplated for development on an 8.48-acre parcel (025-013634) on Tech Center Drive, part of Community Reinvestment Area #3; and
WHEREAS, the Burns and Scalo company plans to invest $8.8 million in the purchase and development of the above-referenced parcel to include construction of a 34,500 sq. ft. building comprising 10,000 sq. ft. of office space; and
WHEREAS, the Burns and Scalo company would, as a result of the approval of a 12-year, 80 percent tax abatement on the improvements, and subsequent relocation, bring 34 employees to the City, consisting of an anticipated $2.228 million in annual payroll and nearly $56,000 in annual payroll taxes; and
WHEREAS, the Burns and Scalo company expects to grow to 52 employees within the first six years after relocation to Gahanna, generating an anticipated $85,000 or more in annual income taxes; and
WHEREAS, the incentive is anticipated to result in a net of $477,000 in new payroll taxes to the City over 12 years, and with the increase in land taxes and new building taxes, the City would receive about $41,000 in revenues per year, as compared to about $664 collected annually on only land taxes currently.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF GAHANNA, COUNTY OF FRANKLIN, STATE OF OHIO:
Section 1. That the Mayor is authorized to execute a Community Reinvestment Area Agreement with Burns and Scalo Ohio LLC, for its facility...
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