Title
A RESOLUTION AUTHORIZING THE CITY MANAGER TO ENTER INTO A JOB CREATION GRANT AGREEMENT WITH CLEVELAND STEEL CONTAINER CORPORATION; AND DECLARING AN EMERGENCY. (As Amended 4/6/2021)
Brief Description: Cleveland Steel Container Corporation is requesting a 50% income tax credit for 9 years. The company will establish a headquarters for their corporate offices in Hudson, bringing 85 jobs with a three-year benchmark of $9.3M in payroll.
Body
Legislative History
None
Purpose & Explanation
The Hudson Economic Development Incentive Committee met on February 23, 2021, and voted unanimously to recommend to Council approval of a 50% Job Creation Grant for a period of nine (9) years, which would cover income taxes paid by the 80 employees being transferred from Glenwillow, Ohio (Cuyahoga County) and all new hires (5 new employees over 3 years).
The company is finalizing the purchase and sale of 100 Executive Parkway, and the purchase and sale assumes this job creation incentive.
Legal Authority for Proposed Legislation
Pursuant to Charter Section 6.04, Contracts & Purchasing:
Competitively bid and advertised for two consecutive weeks; bid tab attached: [Yes/No/NA])
Joint or Cooperative Purchase Program
Professional Services
X Other with adoption of Ordinance No. 05-39, passed May 4, 2005 (later amended via Ordinance No. 13-122, passed October 2, 2013), Council created the Job Creation Grant Program pursuant to Article XVIII, Section 3 and Article VIII, Section 13 of the Ohio Constitution.
Fiscal Impact
Currently Budgeted (Account #, $)
Supplemental Appropriation Required (Account #, $)
X Appropriation Not Required
Does this legislation require use of an emergency clause?
X Yes, to provide a more timely transition for the company's construction and relocation.
No
Recommendation
Suggested Action
Staff recommends that City Council follow the unanimous recommendation of the Economic Development Incentive Committee and approve this ...
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