HomeMy WebLinkAboutOrdinance 77-21
To: Members of Dublin City Council
From: Dana L. McDaniel, City Manager
Date: November 2, 2021
Initiated By: Matthew L. Stiffler, Director of Finance
Re: Ordinance No. 77-21 – Establishing a Tax Increment Financing District for Bridge
Park Block G
Summary
Ordinance 77-21 proposes the establishment of the Bridge Park Tax Increment Financing District
for Block G within the Bridge Park development.
This particular Ordinance would establish a TIF under the provision of ORC 5709.41 on the parcels
within Block G (identified in Exhibit A to the Ordinance). This section of ORC permits the
legislative authority of a municipal corporation to declare any improvement to a parcel of real
property to be a public purpose if (1) the municipal corporation held fee title to the parcel prior to
the adoption of the ordinance and (2) the parcel is leased, or the fee of the parcel is conveyed, to
any person either before or after adoption of the ordinance. Service payments generated on
improvements to parcels within this type of TIF are permitted to be used to finance public and
private improvements.
City Council approved the final plat for Block G on April 15, 2021.
TIFs created under 5709.41 are the base TIFs for the Bridge Park development with the Incentive
District TIF (created under ORC 5709.40(c) – Ordinance 45-15) being ‘layered’ on top, applying
only to those ‘residential’ properties. It is acceptable that the geography of these two TIF overlap
which will allow flexibility in the future for any of the owner-occupied residential units (i.e.
condominiums) to be converted to apartments without losing TIF revenues.
The service payments generated within the Bridge Park TIFs will be used to fund the public
roadway improvements, parking garages and a conference/events facility. The modified
Development Agreement approved by City Council on October 22, 2018 stipulates indicates how
the service payments generated from the improvements will be applied.
This proposed TIF is within the defined area covered by the Bridge Street District Cooperative
Agreement between the Dublin City School District (DCS) and the City. As a reminder, the
Cooperative Agreement permits the City to authorize various tax incentives, including TIFs, within
the BSD that provide for the following (for each incentive authorized):
Office of the City Manager
5555 Perimeter Drive • Dublin, OH 43017-1090
Phone: 614-410-4400 • Fax: 614-410-4490 Memo
Memo re. Ordinance No. 77-21 – Establishing a Tax Increment Financing District for Bridge Park Block G
November 2, 2021
Page 2 of 2
Years 1-15 – DCS agrees to forego 100% of the applicable real estate taxes in respect of
the improvements to any particular parcel within the applicable tax incentive district.
Years 16-30 – DCS will receive 10% of what it would have received if the applicable tax
incentive district had not been in place.
In exchange for this TIF structure, the City will pay $50 million to DCS over a 33 year time period
(from 2014 – 2046 with $1.5 million paid annually in years 2014 through 2045, and $2 million paid
in 2046). Additionally, as part of the Cooperative Agreement, DCS waived any right to receive
notification of the passage of any Ordinance or legislation authorizing the real property tax
exemptions. However, staff has notified Dublin City Schools that this new TIF within the Bridge
Street District is being considered by City Council.
Recommendation
Staff recommends that Ordinance 77-21 be adopted by City Council at the second reading/public
hearing on November 15, 2021.
A-1
EXHIBIT A
IDENTIFICATION AND MAP OF THE PARCELS
The outlined area on the following map specifically identifies and depicts the Parcels and
constitutes part of this EXHIBIT A. The Parcels include, without limitation, the following tax
parcels: 273-012471 and 273-009155, (as they existed in the County Auditor’s records on October
28, 2021), and are included for ease of reference only.