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ty

of Troy

•

Wednesday March 16 2016 4:30 p.m.

Finance Committee

TROY CITY COUNCIL

COMMITTEE MEETING NOTICE

COUNCIL

CHAMBERS CITY HALL

100

S.

MARKET

STREET TROY

OHIO

Kendall [Chm.]. Schweser, Tremblay)

1. Provide a

recommendation to

Council regarding

acceptance

of the recommendations

of the

Enterprise Zone Tax Incentive Review Counc il that six Enterprise Zone Agreements

be

continued

that two withdrawal requests for two Agreements nearing their expiration dates be approved

and

that the Troy Towne Park TI

be

continued

2.

Provide a

recommendation

to

Council

regarding authorizing

the

Director

of

Public Service

and

Safety of

the

City of Troy Ohio

to enter

into a lease with

the Community Improvement

Corporation

of Troy Ohio CIC) regarding the CIC handling the lease of the marina building

and

surrounding

property, not inc luding Treasure Island.

Other Committees/items may

be

added

3-

11-2016

Cc :

Mayor

Mr. Titterington

Mr. Kerber

Mr. Frigge

Department Heads

Chamber

of

Commerce

media



TO:

FROM:

DATE:

SUBJECT:

MEMORANDUM

Patrick E.

J .

Titterington

Troy, Ohio 45373

phone: 937) 335-1725/fax: 937) 339-8601

[email protected]

Mrs. Baker, President of Council

Patrick E. J. Titterington, Director of Public Service and a f e t y ~

March 10 2016

ANNUAL REVIEW ENTERPRISE ZONE PROGRAM

ANNUAL REVIEW TROY TOWNE PARK TIF

RECOMMENDATION:

That City Council accepts the recommendations of the Tax Incentive Review Council regarding current Enterprise

Zone Agreements and the Troy Towne Park TIF

so

that the required annual reports

can

be

filed with

the

Ohio

Development Services Agency.

BACKGROUND:

The Tax Incentive Review Council TIRC) met March 10 2016 to review the current Enterprise Zone Agreements and

the Troy Towne Park TIF and provide recommendations

on

the status of each to City Council.

In

this regard, I provide

the following summary

o

information:

• There were eight active

EZ

agreements representing six companies

as

of December

31

2015.

• All eight

EZ

agreements are

in

full compliance with their terms and conditions.

• Two EZ agreements are nearing their expiration dates. The related tax benefits have been

exhausted and the companies have requested withdrawal from the remainder of their effective time

The TIRC recommended acceptance of the following two withdrawal requests:

EZA 25 F &P America Mfg., Inc.

EZA 31 Clopay Building Products Company, Inc.

• The TIRC recommended continuance of the following six agreements;

EZA 28 American Honda Motor Co. Inc.

EZA 29 Ishmael Precision Tool Corporation

EZA 33 ConAgra Foods Packaged Foods, LLC

EZA

34

ConAgra Foods Packaged Foods, LLC

EZA

35

Clopay Building Products Company, Inc.

EZA

36

Arc Abrasives, Inc.

• The TIRC recommended continuance of the Troy Towne Park TIF Agreement

Additional information is attached, including summary pages listing the status of each agreement.

REQUESTED ACTION:

It would be appreciated i

you

would assign to a Committee of Council considering the acceptance of the

recommendations of the Tax Incentive Review Council

so

the annual reports can be filed with the Ohio Developmen

Services Agency. The annual reports are required

to be

filed by the end of March.

encl.

cc: Mayor Beamish



Tax Incentive Review Council

Enterprise Zone Agreements

Summary and Review Recommendations

March 10, 2016

American Honda Motor Co., Inc. - EZA 28

2005 agreement)

In compliance with all pledges. The TIRC recommended continuation

o

the agreement.

rc

Abrasives, Inc. - EZA 36 2015 agreement)

This new project s

n

its early investmenUconstruction phases. The TIRC recommended continuance of

the agreement.

Clopay Building Products, Inc. - EZA 3

2006 agreement)

In compliance with all pledges. The company also requested withdrawal from the remainder of the

effective time of the agreement due to its impending expiration and the current lack

o

additional benefit

to the company. The TIRC recommended acceptance of the request and termination of the agreement.

Clopay Building Products, Inc. - EZA 35

2015 agreement)

This new project s

n

its early investmenUconstruction phases. The TIRC recommended continuance of

the agreement.

ConAgra Foods Packaged Foods, LLC - EZA 33 2010 agreement)

In compliance with all pledges. The TIRC recommended continuation

o

the agreement.

ConAgra Foods Packaged Foods, LLC - EZA 34

2012 agreement)

In compliance with all pledges. The TIRC recommended continuation of the agreement.

F P America Mfg., Inc - EZ 25

2004 agreement)

In compliance with all pledges. The company also requested withdrawal from the remainder o the

effective time of the agreement due to its impending expiration and the current lack of additional benefit

to the company. The TIRC recommended acceptance of the request and termination of the agreement.

Ishmael Precision Tool Corporation - EZA 29

2005 agreement)

In compliance with all pledges. The TIRC recommended continuation o the agreement.

Respectfully Submitted

City

o

Troy Tax Incentive Review Council



Date: March 10 2016

To: Patrick Titterington, Director of Public Service Safety

From: James Dando, Enterprise Zone Manager

Copy: Sue Knight, Clerk

of

Council

Re: Annual Enterprise Zone Program Reviews

Please ask City Council to consider a resolution to accept and approve the recommendations

of

the Tax

Incentive Review Council (TIRC) regarding the existing Enterprise Zone Agreements. The TIRC made

these recommendations at its meeting on March 10, 2016.

The TIRC is charged with annually reviewing each of the existing Enterprise Zone agreements in order to

make a recommendation to City Council. City Council then reviews the recommendations and

determines whether the agreements should be continued. Ohio Revised ode§§ 5709.85(C)(l) states:

Annually, the TIRC shall review all agreements granting exemptions from property taxation under

Chapter 725, or 1728, or under§§ 3735.671, 5709.62, 5709.63, or 5709.632

of

the revised code, and any

performance or audit reports required to be submitted pursuant to those agreements. With respect to each

agreement, the council shall determine whether the owner of the exempted property has complied with the

agreement, taking into consideration any fluctuations in the business cycle unique to the owner's

business, and, on the basis of such determinations, submit to the legislative authority written

recommendations for continuation, modification, or cancellation of the agreement.

This year, the TIRC reviewed 8 agreements representing 6 companies, and found all of the companies in

compliance with their investment and employment goals. The TIRC recommended continuance ofEZAs

for American Honda Motor Co., Inc.; Clopay Building Products, Inc.; ConAgra Foods Packaged Foods,

LLC; Ishmael Precision Tool Corporation; and Arc Abrasives, Inc. The TIRC also recommended

accepting requests from F P America Mfg., Inc. and Clopay Building Products Company, Inc. for

withdrawal from the remainder of the effective time of two older agreements which are nearing their

expiration date and have no additional benefit to the companies.

Council should act on these recommendations so that a final annual report can be made to the Ohio

Development Services Agency

by

the March 31st deadline.



Date:

To:

From:

Copy:

Re:

March

10

2016

Patrick Titterington, Director o Public Service Safety

Gregg Harris, Development Department

Jim Dando, Development Director; Sue Knight, Clerk o Council

Troy Towne Park TIF

Please ask City Council to consider a resolution to accept and approve the recommendation

o

the City o

Troy Tax Incentive Review Council (TIRC)

to

continue the Troy Towne Park Tax Increment Financing

(TIF) Agreement. This recommendation was made at the TIRC meeting on March 10, 2016.

The TIRC is charged with annually reviewing any TIF agreement and recommending continuation,

modification, or cancellation

o

the agreement. City Council then votes on the recommendation.

This was the twelfth annual review o the Troy Towne Park TIF. Current Miami County Auditor's

records show the TIF property valuations increased approximately 2.35% from 13,190,700 in last year's

review to 13,508,800

as

o the end o 2015. Future TIF property valuations are expected to further

increase with the new 20 million senior housing facility currently under construction.

The TIF was organized with financially conservative estimates, so it still is paying o the bond-financed

road improvements

as

planned. The new businesses there also have generated significant sales taxes for

Miami County and city income taxes for Troy. The TIF is operating as planned.

The TIRC unanimously voted

to

recommend to City Council that the TIF be continued in 2016.



TO:

FROM:

DATE:

SUBJECT:

MEMORANDUM

Patrick E. J Titterington

100 S. Market Street, P. 0 Box 3003

Troy, Ohio 45373

phone: 937) 335-1 725/fax: 937) 339-8601

patrick .titte

ri

ngton@troyohio .gov

Mrs. Baker, President of Council

/

Patrick

E

J. Titterington, Director of Public Service and Safety

March

11

2016

UTHORIZING LE SE BETWEEN THE CITY ND THE COMMUNITY

IMPROVEMENT CORPOR TION

O

TROY OHIO REL TED

TO

LE SING THE

M RIN BUILDING

RECOMMENDATION:

That City Council authorizes the Director

o

Public Service and Safety of the City

o

Troy, Ohio, to enter int

a lease with the Community Improvement Corporation

o

Troy, Ohio CIC) regarding the CIC handling th

lease

o

the marina building and surrounding property, not including Treasure Island

BACKGROUND:

The renovation of the City-owned property referred to as the Marina Building, located within Treasur

Island Park, is nearing completion. The next step would be selecting a tenant s) to whom to lease the

building.

It is not uncommon for municipalities to use their CICs as the entity that handles much of the leasing

o

municipal properties as the CIC can do so much more quickly and efficiently. A lease will still meet a

municipal requirements.

The Board of the CIC met March

11

and approved the concept of a lease between the City and the CIC

related to the Marina Building, and recommended that Council consider this. The lease would be for a five

year period, and provides for two five-year mutually agreeable renewal periods. The CIC would bear no on

going costs for the building and would be a party to any tenant agreement. The City would also be a part

to any agreement.

REQUESTED ACTION:

It would be appreciated

i

you would assign to a Committee

o

Council consideration of recommending tha

the Director

o

Public Service and Safety

o

the City

o

Troy, Ohio be authorized to enter into a lease with

the Community Improvement Corporation o Troy, Ohio CIC) regarding the CIC handling the lease of the

marina building and surrounding property, not including Treasure Island.

cc: Mayor Beamish

council committee 3 16 16

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