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File #: 20-144    Version: 1 Name:
Type: Resolution Status: Second Reading
File created: 10/29/2020 In control: City Council
On agenda: 11/17/2020 Final action: 11/17/2020
Title: A RESOLUTION AUTHORIZING THE CITY MANAGER TO ENTER INTO A JOB CREATION GRANT AGREEMENT WITH DIEBOLD NIXDORF, INC.; AND DECLARING AN EMERGENCY. Brief Description: Diebold Nixdorf, Inc. is requesting a 50% income tax credit for 10 years. The company will relocate to Hudson, bringing 314 jobs with a benchmark of $31.4 million in payroll.
Sponsors: Craig Shubert
Indexes: Economic Development
Attachments: 1. Resolution No. 20-144
Related files: 24-0111, 24-0106

Title

A RESOLUTION AUTHORIZING THE CITY MANAGER TO ENTER INTO A JOB CREATION GRANT AGREEMENT WITH DIEBOLD NIXDORF, INC.; AND DECLARING AN EMERGENCY.

Brief Description:  Diebold Nixdorf, Inc. is requesting a 50% income tax credit for 10 years.  The company will relocate to Hudson, bringing 314 jobs with a benchmark of $31.4 million in payroll.

Body

Legislative History

None.

Purpose & Explanation

The Hudson Economic Development Incentive Committee met on October 26, 2020, and voted unanimously to recommend to Council approval of a 50% Job Creation Grant for a period of Ten (10) years which would cover income taxes paid by employees being transferred from Green (314 employees).

The company is moving into the old Windstream building located at 50 Executive Parkway, East.

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 Resolution No. 05-39, passed May 4, 2005, 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, Final transfer of property, lease and construction are contingency upon incentive approval.  Desire to relocate in second quarter could be delayed significantly without the emergency.

                       No

 

Recommendation

 

Suggested Action

Staff recommends that City Council follow the unanimous recommendation of the Economic Development Incentive Committee and approve this Job Creation Grant incentive.

Submitted by,

Jane Howington, City Manager

Jim Stifler, Economic Development Director