06/17/1993 Meeting Minutes - Laserfiche WebLink

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`,.. MINUTES OF THE SPECIAL COUNCIL MEETING OF THE CITY OF NORTH OLMSTED THURSDAY, JUNE 17, 1993 7 A.M. Present: Council President Boehrner, Council Members Babas, Leonard, Lind, McKay, Musial, Nashar, Beringer Also Present: Mayor Ed Boyle, Law Director Michael Garesu, Clerk of Council Barbara Semen Council President Boet~mer called the special meeting to order at 7:01 a.m. in Council Chambers, 5200 Dover Center Road, North Olmsted, Ohio. Mayor Boyle reported: 1) The company that is being considered for tax abatement under the city enterprise zone is a merger of four banks and will u~ the name Money Access Service Corporation. It will be located at the Technology II Center on Country Club Boulevard. Th~± company currently has an installatiom in Columbus. It will be orie of the largest in the country in automatic teller machine transactions. Approximately $50 billion worth of work will be going through the city. Initially, the company will have 91 employees. The tax abatement program is for personal property tax on equipment never before used in Ohio. The tax abatement program is 60x of the personal property tax, so the city will still receive approximately $10,000. The North Olmsted schools will receive approximately $50,000. In addition, the city will receive about $70,0()0 in income taxes. No real estate property tax is being abated; and the property owner, Biskind Development, has said that they would not apply for it. Also, Biskind Development is offering a good lease rate. The company has chosen to locate here because of the coam~mications that we have available through our fiber optics loop that was installed by Ameritech. Also, CEI and Ameritech are providing lower rates for services. The State of Ohio is very interested in this project and has offered to assist on the cost of installation of redtmdant power, possibly in the area of $100,000 or more. The cost of bringing in this power should have been in the $800,000 range. However, since CEI is using a different type of boring device, the cost will be in the area of $230,000. This entire project is an off-shoot of Issue 2 funds. During the construction of Country Club Boulevard, improvements were made to the infrastructure by the utilities. These improvements have resulted in attracting this co~t~ariy to North Olmsted.. Our studies indicate that by attracting this type of business to North Olmsted, our tax base will be improved. The agreement was presented to the school board on Monday evening, acid the board gave it unanimous approval. If Council passes the legislation today, it will be presented to the county for approval on Tuesday, June 29. Mr. Nashar asked if the agreement called for a definite term that the company would stay in North Olmsted. Mayor Boyle replied that the agreement is for a 10- year term of tax abatement on new equipment brought in during the first 24 months. If the company chooses to move in the future, they will mrnte within the enterprise zone of North Olmsted. Any future incentives will be negotiated. {