97-116 Ordinance - Laserfiche WebLink

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,, ~. AGREEMENT This Agreement (the "Agreement") is made and entered into this day of 1997 by and between the City of North Olmsted, Ohio (the "City") and the North Olmsted City School District (the "School District"). WITNESSETH WHEREAS, pursuant to Sections 3735.66 through 3735.70 of the Revised Code, and by Ordinance No. 91-175 passed February 18, 1992, as since amended by Ordinance No. 94-79, the Schirmer Construction Co. project, to be located in the Industrial Park, [hereinafter, "the Project"] will be eligible for a real property tax exemption; and WHEREAS, pursuant to Section 5709.82 of the Revised Code, the City may agree to compensate the School District for any loss of property tax revenue resulting from those real property tax exemptions; and WHEREAS, the School District determined that this Agreement is in the vital and best interests of the City and will improve the health, safety and welfare of the citizens of the City of North Olmsted; NOW, THEREFORE, in consideration of the premises and covenants contained herein, the parties agree as follows: SECTION 1: Amount of City Payments. During each of the years in which the School District would have received enhanced property tax payments derived from the Project but for the tax exemptions referred to above, the City hereby agrees to pay the School District an annual amount equal to the percentage abated in real estate property tax, not exceeding 50% in municipal income tax revenues received by the City in that year from its levy on the wages, salaries, commissions and other compensation of persons for work done or services performed in or at the Project and on the net profits derived from or attributed to the Project from the Lessor, the Company or any other lessee of the Project; provided, however, in no event shall the payment to the School District in any one year exceed the additional amount of real property tax revenues the School District would have otherwise derived from the Project for that year, but for the tax exemptions related to the Project. SECTION 2: Timing of Payments. Beginning with the first year in which the School District would have received enhanced property tax payments derived from the Project but for the tax exemptions referred to above, the City shall make payments described under this agreement to the School District by check mailed on or before the last day of each June and December, or as soon thereafter as is reasonably possible following prompt determination of the amount owed under this Agreement. The first semiannual payment in each year shall be equal to one half of the amount the City reasonably projects will be owing for that year under this Agreement. The final semiannual payment in each year will be equal to the remaining amount owing under this Agreement for that year.