2000-057 Ordinance - Laserfiche WebLink

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WHEREAS, Duke Realty and the City believe that the foregoing tax exemption will annually result in a tax savings to Duke Realty of approximately $87,626.00 in real property taxes in the first and second years, $110,624.00 in the third and fourth years, and $98,980.00 in years five through ten; and that the new jobs created as a result of the construction of the office building, once the building is fully leased, will generate approximately $70,000.00 in new income tax revenues to the City annually in the first two years of the abatement period, and approximately $180,000.00 in years three through ten; and WHEREAS, the City has, as required by R.C. Section 5709.83, given fourteen (14) days' notice to the North Olmsted Board of Education (hereinafter the "Board of Education") of its intent to enter into an agreement with Duke Realty, and has submitted to the Board of Education a copy of the Application of Duke Realty and the proposed Tax Exemption Agreement, prior to taking final action on this Ordinance; and WHEREAS, pursuant to Section 5709.82 of the Ohio Revised Code, the City has negotiated with and intends to enter into a separate agreement with the Board of Education in order to compensate the School District for the loss of real property tax revenues to it which will occur as a result of the Tax Exemption Agreement proposed with Duke Realty; and WHEREAS, this Council desires to approve and authorize the execution of a Tax Exemption Agreement with Duke Realty., in order to it to undertake construction of the said office building and create additional office jobs in the community; NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF NORTH OLMSTED, COUNTY OF CUYAHOGA, STATE OF OHIO: SECTION 1: That the Council hereby approves and hereby authorizes the Mayor, in the name of and on behalf of the City of North Olmsted, to execute and deliver the Tax Exemption Agreement with Duke Realty in substantially the form attached hereto as Exhibit A. The said Agreement is hereby approved and authorized with changes therein not inconsistent with this Ordinance, not substantially adverse to the City, and approved by the Director of Law. The approval of those changes as not being substantially adverse to the City shall be conclusively deternuned by the approval of the Director of Law and the execution of the Agreement by the Mayor. In no event, however, shall the Agreement provide for real property tax abatement for a period longer than ten years; nor shall the percentage of abatement exceed sixty percent (60%) in either of the first two years of the abatement period, seventy-six percent (76%) in either the third or fourth years of the said period, or sixty-eight percent (68%) in any of the remaining years of the abatement period. SECTION 2: That, upon execution of the Tax Exemption Agreement by the Mayor, the Housing Officer designated in Section 171.04 of the Codified Ordinances of the City of North Olmsted, shall be and hereby is directed to forward a certified copy of the Agreement, together with the Application for Tax Exemption, to the following officials and boards: the Cuyahoga County Auditor, the North Olmsted Board of Education, the Director of Development for the State of Ohio, and the Tax Commissioner for the State of Ohio.