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A resolution Approving the Petition for Special Assessments for Special Energy Improvement Projects and Affidavit Under Ohio Revised Code Chapter 1710 and DECLARING the Necessity of Acquiring, CONSTRUCTING, INSTALLING, EQUIPPING, and Improving Certain Public Improvements in the City of GAHANNA, Ohio in Cooperation with the COLUMBUS REGIONAL ENERGY SPECIAL IMPROVEMENT District (817 N. HAMILTON ROAD PROJECT).
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WHEREAS, as set forth in Ohio Revised Code Chapter 1710, the Ohio General Assembly has authorized property owners to include their properties within energy special improvement districts (“ESIDs”) upon a petition to a municipal corporation or township, which ESIDs are voluntary organizations of property owners who undertake special energy improvement projects for their properties and finance such special energy improvement projects by way of voluntary special assessments; and
WHEREAS, the Bexley, Columbus, Dublin, Grove City, Hilliard, Marble Cliff, Perry Township, Sharon Township, Whitehall, Worthington Regional Energy Special Improvement District (the “District”) was created under Ohio Revised Code Chapters 1702 and 1710 as an ESID and established pursuant to Resolution No. 0261X-2015 of the Council of the City of Columbus, Ohio approved on November 23, 2015 (the “Creation Resolution”); and
WHEREAS, pursuant to the Creation Resolution, the Columbus Regional Energy Special Improvement District Program Plan (as amended and supplemented from time to time, the “Program Plan”) was adopted as a plan for public improvements and public services under Ohio Revised Code Section 1710.02(F), which Program Plan allows for additional properties within the City of Columbus, Ohio and within any municipal corporation or township which is adjacent to any other municipal corporation or township in which a portion of the District’s territory is located to be added to the territory of the District; and
WHEREAS, One Church (the “Owner”), as the owner of certain real property located within the City of Gahanna, Ohio (the “City”), has identified certain real property located at 817 N. Hamilton Road, Gahanna, Ohio and having tax parcel identification number 025-001918-00 (the “Property”) as identified by the County Auditor of Franklin County, Ohio (the “County Auditor”), as an appropriate property for a special energy improvement project pursuant to Ohio Revised Code Chapter 1710; and
WHEREAS, the Owner has determined to submit to the Mayor and the City Council of the City (the “Council”), a Petition for Special Assessments for Special Energy Improvement Projects and Affidavit (the “Petition”), together with a Columbus Regional Energy Special Improvement District Program Plan Supplement to Plan for 817 N. Hamilton Road, Gahanna, Ohio Project (the “Supplemental Plan”), all in accordance with Ohio Revised Code Section 1710.02, each of which are now on file with the Clerk of Council; and
WHEREAS, the Petition is for the purpose of developing and implementing special energy improvement projects in furtherance of the purposes set forth in Section 2o of Article VIII of the Ohio Constitution, including, without limitation, the Project, and further, the Petition identifies the amount and length of the special assessments to be imposed with respect to the Project; and
WHEREAS, the Petition on file with the Clerk of Council has been signed by the Owner, as the owner of one hundred percent (100%) of the Property; and
WHEREAS, by the Petition, the Owner requests that (i) the Property be added to the District; (ii) the City levy special assessments on the Property in an amount sufficient to pay the costs of a special energy improvement project to be constructed on the Property, all as described in the Petition and Supplemental Plan (the “Project), which amount is estimated to be $1,433,736.80 and includes the costs identified in Section 5 of this Resolution (the “Special Assessments”); and (iii) the Project be undertaken cooperatively by the City, the District, and such other parties as the City may deem necessary or appropriate; and
WHEREAS, in furtherance of the future addition of any real property in any municipal corporation or township contiguous to the municipal corporations or townships in which a portion of the territory of the District is located, it is necessary, and this Council has determined, to approve the addition of such real property to the territory of the District, all in accordance with Ohio Revised Code Chapter 1710; and
WHEREAS, Ohio Revised Code Section 1710.02(F) provides that a political subdivision which has approved a petition for special assessments for public improvements in an energy special improvement district and a plan pursuant to Ohio Revised Code Sections 1710.02(F) and 1710.06 shall levy the requested special assessments pursuant to Ohio Revised Code Chapter 727; and
WHEREAS, this Council, as mandated by Ohio Revised Code Chapter 1710, must approve or disapprove the Petition within 60 days of the submission of the Petition; and
WHEREAS, this Council has determined to approve the Petition and the Supplemental Plan, the Program Plan, and the District’s Amended Articles of Incorporation now on file with the Clerk of Council.
Now, therefore, BE IT RESOLVED by the Council of the City of GAHANNA, County of FRANKLIN, State of Ohio:
SECTION 1. That each capitalized term not otherwise defined in this Resolution or by reference to another document shall have the meaning assigned to it in the Petition.
SECTION 2. That this Council approves the Petition, the Program Plan, the Supplemental Plan, and the District’s Amended Articles of Incorporation now on file with the Clerk of Council. The Property is hereby added to the territory of the District.
SECTION 3. That this Council hereby approves and consents to (i) any addition of real property to the territory of the District within the boundaries of any municipal corporation or township in which a portion of the territory of the District is located or any municipal corporation or township which is contiguous to the municipal corporations or townships in which a portion of the territory of the District is located; (ii) the addition of the municipal corporation or township in which such real property is located as a “participating political subdivision,” as defined in Ohio Revised Code Section 1710.01(E), of the District; and (iii) any amendment to the Articles of Incorporation necessary to recognize or effect such addition.
SECTION 4. Pursuant to Ohio Revised Code Section 1710.02(G)(4), this Council determines that the Project is not required to be owned exclusively by the City for its purposes, for uses determined by this Council, as the legislative authority of the City, as those that will promote the welfare of the people of such participating political subdivision; to improve the quality of life and the general and economic well-being of the people of the City; to better ensure the public health, safety, and welfare; to protect water and other natural resources; to provide for the conservation and preservation of natural and open areas and farmlands, including by making urban areas more desirable or suitable for development and revitalization; to control, prevent, minimize, clean up, or mediate certain contamination of or pollution from lands in the state and water contamination or pollution; or to provide for safe and natural areas and resources. This Council accordingly authorizes the Board of Directors of the District (the “Board”) to act as its agent to sell, transfer, lease, or convey the Project. The consideration the Board must obtain from any sale, transfer, lease, or conveyance of the special energy improvement project on the Property is any consideration greater than or equal to One Dollar and Zero Cents ($1.00).
SECTION 5. That this Council determines and declares that the Project is an essential and vital public, governmental purpose of the City as a Special Energy Improvement Project, as defined in Ohio Revised Code Section 1710.01(I); and that in order to fulfill that essential and vital public purpose of the City, it is necessary and proper to provide, in cooperation with the District, for the acquisition, installation, equipment, and improvement of the Project by the Owner, as set forth in the Petition, and providing for the payment of the costs of the Project, including any and all architectural, engineering, legal, insurance, consulting, energy auditing, planning, acquisition, installation, construction, surveying, testing, and inspection costs; the amount of any damages resulting from the Project and the interest on such damages; the costs incurred in connection with the preparation, levy and collection of the special assessments; the cost of purchasing and otherwise acquiring any real estate or interests in real estate; expenses of legal services; costs of labor and material; trustee fees and other financing costs incurred in connection with the issuance, sale, and servicing of securities, nonprofit corporate obligations, or other obligations issued or incurred to provide a loan or to secure an advance of funds to the Owner or otherwise to pay costs of the Project in anticipation of the receipt of the Special Assessments, capitalized interest on, and financing reserve funds for, such securities, nonprofit corporate obligations, or other obligations so issued or incurred, including any credit enhancement fees, trustee fees, program administration fees, financing servicing fees, and District administrative fees and expenses; an amount to reflect interest on unpaid Special Assessments which shall be treated as part of the cost of the Project for which the Special Assessments are made at an interest rate which shall be determined by the District or the Columbus-Franklin County Finance Authority as its conduit financing entity to be substantially equivalent to the fair market rate that would have been borne by notes or bonds if notes or bonds had been issued by the District or the Columbus-Franklin County Finance Authority as its conduit financing entity to pay the costs of the Project; together with all other necessary expenditures, all as more fully described in the Petition, and profiles, specifications, and estimates of cost of the Project, all of which are on file with the Finance Director and open to the inspection of all persons interested.
SECTION 6. That this Council determines that the Project’s elements are so situated in relation to each other that in order to complete the Project’s elements in the most practical and economical manner, they should be acquired, installed, equipped, and improved at the same time, with the same kind of materials, and in the same manner; and that the Project’s elements shall be treated as a single improvement, pursuant to Ohio Revised Code Section 727.09, and the Project’s elements shall be treated as a joint improvement to be undertaken cooperatively by the City and the District pursuant to Ohio Revised Code Section 9.482 and Ohio Revised Code Chapter 1710.
SECTION 7. That the plans and specifications and total cost of the Project now on file in the office of the Clerk of Council are approved, subject to changes as permitted by Ohio Revised Code Chapter 727. The Project shall be made in accordance with the plans, specifications, profiles, and estimate of costs for the Project.
SECTION 8. That pursuant to and subject to the provisions of a valid Petition signed by the Owner, as the owner of one hundred percent (100%) of the Property, the entire cost of the Project shall be paid by the Special Assessments to be assessed and levied against the Property, as described in EXHIBIT A to the Petition, all of which lots and lands are determined to be specially benefited by the Project. The provisions of the Petition and the Supplemental Plan are ratified, adopted, approved and incorporated into this Resolution as if set forth in full in this Resolution. The portion of the costs of the Project allocable to the City will be zero percent (0%). The City does not intend to issue securities in anticipation of the levy or the collection of the Special Assessments.
SECTION 9. That the method of levying the Special Assessments shall be in proportion to the benefits received, allocated among the parcels constituting the Property as set forth in the Petition and the Supplemental Plan.
SECTION 10. That the Special Assessments shall be levied and paid in forty (40) semi-annual installments pursuant to the list of estimated Special Assessments set forth in the Petition and the Supplemental Plan (which list is incorporated herein by reference), and the Owner has waived its option to pay the Special Assessments in cash within 30 days after the first publication of the notice of the assessing resolution or ordinance.
The aggregate amount of Special Assessments estimated to be necessary to pay the costs of the Project is $1,433,736.80. Each semi-annual Special Assessment payment represents payment of a portion of the principal of and interest on obligations issued or incurred to pay the costs of the Project and of administrative expenses. The interest portion of the Special Assessments, if any, together with amounts used to pay administrative expenses, shall be treated as part of the cost of the Project for which the Special Assessments are made at an interest rate which shall be determined by the District to be substantially equivalent to the fair market rate that would have been borne by notes or bonds had notes or bonds been issued by the City or another issuer of notes or bonds to pay the costs of the Project. In addition to the Special Assessments, the County Auditor may impose a special assessment collection fee with respect to each semi-annual payment, which amount will be added to the Special Assessments by the County Auditor.
SECTION 11. That the Finance Director is authorized and directed to prepare and file in the office of the Clerk of Council the estimated Special Assessments for the cost of the Project in accordance with the method of assessment set forth in the Petition, the Supplemental Plan, and this Resolution, showing the amount of the assessment against each lot or parcel of land to be assessed.
SECTION 12. That the Owner has waived the requirement that notice of the adoption of this Resolution and the filing of the estimated Special Assessments upon the owner of the property to be assessed as provided in Ohio Revised Code Section 727.13 be delivered promptly following adoption of this Resolution.
SECTION 13. That the Finance Director is authorized, pursuant to Ohio Revised Code Section 727.12, to cause the Special Assessments to be levied and collected at the earliest possible time including, if applicable, prior to the completion of the Project.
SECTION 14. That the Special Assessments will be used by the City to pay the costs of the Project in cooperation with the District in any manner, including assigning the Special Assessments actually received by the City to the District or to another party the City deems appropriate, and the Special Assessments are appropriated for such purposes.
SECTION 15. That this Council accepts and approves the waiver of all further notices, hearings, claims for damages, rights to appeal and other rights of property owners under the law, including but not limited to those specified in the Ohio Constitution, Ohio Revised Code Chapter 727, Ohio Revised Code Chapter 1710, and the Charter of the City of Gahanna, Ohio (the “City Charter”), and consents to the immediate imposition of the Special Assessments upon the Property. This waiver encompasses, but is not limited to, waivers by the Owner of the following rights:
(i) The right to notice of the adoption of the Resolution of Necessity under Ohio Revised Code Sections 727.13 and 727.14;
(ii) The right to limit the amount of the Special Assessments under Ohio Revised Code Sections 727.03 and 727.06, including the right to consider the Special Assessments authorized by the Petition within the limitations contained in Ohio Revised Code Section 727.03 and 727.06 applicable to the Special Assessments and any other special assessments properly levied now or in the future;
(iii) The right to file an objection to the Special Assessments under Ohio Revised Code Section 727.15;
(iv) The right to the establishment of, and any proceedings by and any notice from an Assessment Equalization Board under Ohio Revised Code Sections 727.16 and 727.17;
(v) The right to file any claim for damages under Ohio Revised Code Sections 727.18 through 727.22 and Ohio Revised Code Section 727.43;
(vi) The right to notice that bids or quotations for the Project may exceed estimates by 15%;
(vii) The right to seek a deferral of payments of Special Assessments under Ohio Revised Code Section 727.251;
(viii) The right to notice of the passage of the assessing resolution or ordinance under Ohio Revised Code Section 727.26; and
(ix) Any and all procedural defects, errors, or omissions in the Special Assessment process.
SECTION 16. That this Council hereby appoints _____________ to serve on the Board, as provided in Ohio Revised Code Section 1710.04(A).
SECTION 17. That this Council finds and determines that all formal actions of this Council relating to the adoption of this Resolution have been taken at open meetings of this Council, and that deliberations of this Council and of its committees, resulting in such formal action, took place in meetings open to the public, in full compliance with all statutory requirements including the requirements of Section 121.22 of the Ohio Revised Code.
SECTION 18. That, pursuant to Section 4.14 of the City Charter, this Resolution shall be in full force and effect upon its approval by the Mayor.