Title
A RESOLUTION AUTHORIZING THE CITY MANAGER TO ENTER INTO A COMMUNITY REINVESTMENT ACT AGREEMENT WITH MANNESCHI & BENEDETTI PROPERTIES, LLC AND CEIA USA LTD. FOR PARCEL #6 AT HUDSON CROSSING PARKWAY; AND DECLARING AN EMERGENCY.
Executive Summary: Manneschi & Benedetti Properties, LLC desires to relocate CEIA USA Ltd. from Twinsburg to Hudson and to construct an approximate 100,000 square-foot commercial / industrial corporate headquarters building on Lot #6 of Hudson Crossing Parkway in Hudson Crossing Business Park, provided the appropriate development incentives are available to support the economic viability of their project.
Body
Legislative History
None.
Purpose & Explanation
To provide real property tax abatement to support the construction of an approximate 100,000 square-foot commercial/industrial building at an approximate cost of $5,000,000. This new construction will provide office and warehouse building space for CEIA’s company headquarters, allowing for the transfer of 37 full-time and 0 part-time employees from Twinsburg with an existing annual payroll of $2,900,000, as well as the hiring of 20 new full-time and 0 new part-time employees over the course of 10 years, estimated to result in an additional annual payroll of $1,400,000.
Timing Considerations
The company would like to break ground in Fall 2018, which would allow for construction completion by late Spring 2019.
Pursuant to Ohio Revised Code Section 5709.83, a copy of the Community Reinvestment Area Tax Incentive Application (Exhibit 1 of this Resolution) was timely delivered to the Board of Education Office. A copy was also timely delivered to the Clerk of Council for the City of Twinsburg, and a copy was timely received by the Ohio Development Services Agency via Certified Mail.
At its meeting on September 10, 2018, the Board of Education passed Resolution #18-09-10-07 (Exhibit 2 of this Resolution), approving the Tax Abatement and CRA Agreement, subject to the condition that a Tax Sharing Agreement be entered into between the City and School District.
Fiscal Impact
Currently Budgeted
Supplemental Appropriation Required
X Appropriation Not Required.
Recommendation
Suggested Action
Staff recommends that City Council pass this Resolution, authorizing the City Manager to enter into the Community Reinvestment Agreement with CEIA USA Ltd., as was approved by the Board of Education on September 10, 2018.
Submitted by,
Jane Howington, City Manager
James Stifler, Economic Development Director