The URL can be used to link to this page

Home My WebLink About44-09 OrdinanceRECORD OF ORDINANCES 44-09 Orclirzance No. P~tssecl 20 AN ORDINANCE AUTHORIZING THE CITY MANAGER TO ENTER INTO A MODIFICATION OF THE WATER AND SEWER AGREEMENTS WITH THE CITY OF COLUMBUS, OHIO, AND DECLARING AN EMERGENCY WHEREAS, the City of Columbus and City of Dublin entered into an agreement for sanitary sewer service on April 13, 1993, pursuant to Ordinance No. 136-92 passed by the City of Dublin on December 21, 1992, and pursuant to Ordinance No. 2692-92 passed by the City of Columbus on December 14, 1992; and WHEREAS, the City of Columbus and City of Dublin entered into an agreement for water service on April 13, 1993, pursuant to Ordinance No. 135-92 passed by the City of Dublin on January 4, 1993, and pursuant to Ordinance No. 2693-92 passed by the City of Columbus on December 14, 1992; and WHEREAS, the water and sewer agreements included an Exhibit "A," which delineated areas as the "Exclusive Columbus Expansion Area," "Exclusive Dublin Expansion Area," and "Negotiated Expansion Area;" and WHEREAS, as to the "Negotiated Expansion Area," the agreements provide that this area is a shared future growth area, and that neither party shall initiate or accept annexation from that area without the mutual agreement of the Columbus and Dublin City Councils; and WHEREAS, the City of Dublin desires to allow any owners of parcels located within an approximate 277-acre area, located north of State Route 161/Post Road and west of Hyland-Croy Road to pursue annexation of their land to the City of Dublin; and WHEREAS, the Columbus City Council, pursuant to Ordinance No. 0448-2009, passed by the City of Columbus on July 13, 2009, has authorized the Columbus Director of Public Utilities to enter into a modification of the Water and Sewer Agreements with the City of Dublin, Ohio, and to consent to the annexation of approximately 277 acres located north of State Route 161/Post Road and west of Hyland-Croy Road to the City of Dublin. NOW, THEREFORE, BE IT ORDAINED by the Council of the City of Dublin, State of Ohio, ~ of the elected members concurring: Section 1. That the City Manager be, and hereby is, authorized to enter into a modification of the Water and Sewer Agreements with the City of Columbus, Ohio to include a modified Exhibit "A," which would add approximately 277 acres, located north of State Route 161/Post Road and west of Hyland-Croy Road to the Exclusive Dublin Expansion Area and which then maybe annexed to the City of Dublin. Section 2. That this Ordinance is declared as an emergency necessary for the immediate preservation of the public peace, health, safety or welfare, and in addition, this legislation directly impacts pending litigation. Therefore, this ordinance shall be effective immediately upon passage. Passed this l -f day of , 2009 Mayor -Presiding Officer ATTEST: Clerk of Council Office of the City Manager 5200 Emerald Parkway • Dublin, OH 43017-1090 M e m o CITY OF DUBLIN. Phone: 614-410-4400 • Fax: 614-410-4490 To: Members of Dublin City Council From: Terry Foegler, City Manager Date: July 30, 2009 Initiated By: Marsha I. Grigsby, Deputy City Manager/Finance Director Paul A. Hammersmith, P.E., Director of Engineering/City Engineer Re: Ordinance 43-09 Economic Development Agreement with City of Columbus Ordinance 44-09 Modification of Water and Sewer Contracts with City of Columbus Background This proposed Economic Development Agreement (EDA), and associated modification to the Water and Sewer Service Agreements, is in regard to a 277-acre area depicted on the exhibit attached to the proposed EDA (see both as attached). The area is located within the Negotiated Expansion Area, as defined within the 1993 Columbus and Dublin Water and Sewer Service Agreements, and is adjacent to the US Route 33 Corridor at its intersection with State Route 161 and Post Road. In the 1993 Agreements, both Columbus and Dublin agreed that the Negotiated Expansion Area would constitute a shared future growth area for both entities. Additionally, other areas in the 1993 Agreement were identified as either Exclusive Dublin or Exclusive Columbus Expansion Areas. Furthermore, the 1993 Agreements provided that neither entity would accept any annexation of property within the Negotiated Expansion Area without the mutual agreement of each respective City Council. Summary "1'he proposed EDA being presented for Council's consideration establishes the terms and conditions under which the 277-acre area will become part of the Exclusive Dublin Expansion Area (as shown on the attached revised Exhibit A). The terms and conditions relate largely to the sharing of the income tax revenues, which will result from the development in this area. Once the proposed EDA and modifications to the existing water and sewer service agreements are executed, Dublin would be able to accept annexations sought by any of the owners of the parcels of land located within the 277-acre area. The 277-acre area constitutes approximately six percent of the Negotiated Expansion Area, as depicted on the exhibit attached to the proposed EDA. The water and sewer service agreements always contemplated that this area would be served by the Columbus and Dublin water and sewer systems, subject to a future negotiated agreement, such as the one being proposed at this time. The site is located just north of State Route 161, at its intersection with US Route 33. As Council is aware, Dublin has been considering making a very substantial investment in the improvement of this interchange, where a significant portion of the abutting property is still located outside of Dublin's corporate limits. The rate at which this interchange improvement occurs will likely be affected by the rate at which annexations provided for in this proposed EDA occur. As is the case with the areas currently designated as Exclusive Dublin Expansion Area in the 1993 Agreements, the proposed EDA would pt'ovide the opportunity (but not Memo re. Ord. 43-09 and Ord 44-09 - Colwnbus 13DA & Modification of Columbus Water-Sewer Agreements July 30, 2009 Page 2 of 3 t7re requirement) for owners of property within the 277-acre area to annex to the City of Dublin, and thereby be provided with Dublin's water and sanitary sewer services. The proposed EDA and modifications to the existing water and sewer service agreements facilitate the orderly development of this area by: • Allowing for the annexation of properties adjacent to, and part of, areas planned for substantial economic development investments. • Providing the opportunity for greater influence over the development of properties located adjacent to both existing Dublin neighborhoods and a proposed major interchange improvement. • Providing utilization of Dublin utility infrastructure, which has been sized and located to serve the area. The key components of the proposed EDA are as follows: Annexatimr and Shared Revenue Considerations • Columbus and Dublin agree the 277 acres designated as t11e Revenue Sharing Area will allow property owners to pursue annexation of their land to Dublin. • Dublin will pay to Columbus au Equity Share of $1 million upon final acceptance of annexations within the 277 acres. • The Equity Share shall be obtained by dividing the acreage of the amrexation parcel by the acreage of the proposed EDA (277 acres) times $1 million. • Dublin and Columbus will equally share (50/50) the net income tax revenues derived from the proposed EDA. • Net income tax reve~rues will be gross income tax revenues less the percentage to Dublin for governmental services (26 percent), less the percentage to Dublin for capital improvements (25 percent),lcss refwrds. Nmt Compete Considerations • If a company, other than a restaurant, hotel or retail establishment, currently located in Columbus and which currently pays income taxes to Columbus relocates its operations to the Revenue Sharing Area, then Dublin will pay to Columbus one hundred percent (100%) of the gross income tax revenues generated by that company in the Revenue Sharing Area, up to the amount of income tax paid to Columbus during the most recent calendar year, and one hundred percent (100%) of the net income tax revenues generated by that company on new jobs created in the Revenue Sharing Area. • If a company currently located in Dublin and which currently pays income taxes to Dublin relocates its operations to within the Revenue Sharing Area, then Dublin will retain one hundred percent (100`%,) of the net income tax revenues generated by that company iu the Revenue Sharing Area. • It is the intent of the Dublin administration to avoid the targeting and relocating of any such Columbus-based operations to the subject area. Water and Sanitary Sewer Services Provisio^ • The 277 acres will be served by Dublin with existing water and sanitary sewer capacities within the Dublin utility system, and as such Dublin would be the exclusive provider of utility services within the 277 acres. Memo re. Ord. 43-09 and Ord 44-09 -Columbus EDA & Modification of Columbus Water-Sewer Agreements July 30, 2009 Page 3 of 3 • Dublin would require annexation of those properties within flee 277 acres requesting utility services. Capital Improvement Plan • Dublin and Columbus will establish a Capital hmprovement Plan (Plan) for the 277 acres to identify necessary transportation and utility iufi~astructure improvements. • Dublin shall be responsible for the cost of design, acquisition and construction of all capital improvements identified in the Plan, including project costs directly attributable to the 277 acres. • An amount equal to 25 percent of gross income tax revenues derived fiom the proposed EDA shall be credited to Dublin each year to reimburse Dublin for all improvements and provide for the cost of on-going maintenance of the improvements. Governmental Services • Dublin shall provide all governmental services to the District, including water services, sanitary sewer services, transportation-related construction and maintenance, police protection, recreatimr, planning, engineering and administration. • An amount equal to 26 percent of gross income tax revenues derived from the proposed EDA shall be credited to Dublin each year as reimbursement for the provision of governmental services, other than utility and bansportafion services. • 'T'his credit shall account for the fact that lands within the Revenue Sharing Area will be in Dublin, requiring Dublin fo manage all concerns thereof, including resolving unforeseen issues that cannot be quantif ed in any operating cost calculation. Joint ;Economic Development District (JEDD) • Columbus and Dublin agree to use t9ieir best efforts to form a JEDD for areas located north and west of the 277 acre area within the next two years. • Columbus and Dublin agree that neither party will enter into a JEDD contract for areas located north and west of the Revenue Sharing Area unless both entities are party to the JEDD contract. Agreement Term • "the initial Perm of this Agreement shall temlinate on April 13, 2043, unless otherwise terminated prior to That date. On July 13, 2009, Columbus City Council approved ordinances authorizing the proposed EDA and the associated modification to the existing water and sewer service agreements. Recommendation Staff recommends the adoption of Ordinance 43-09 authorizing the City Manager to enter into an Economic Development Agreement wit7r the City aF Columbus. Furthermore, staff recommends the adoption of Ordinance 44-09 authorizing the City Manager to enter into a modification of the water and sewer service agreements with the City of Columbus, to include a modified Exhibit A which would add approximately 277 acres, located north of State Route 161/Post Road and west ofHyland-Croy Road, to the Exclusive Dublin Expansion Area and which then maybe annexed to the City of Dublin. 2~~ ., m y A 9 y ~ SH0.YNEE MILLS d < v ~ EXHIBIT A ~Q z ' ~~' ~ ~ DUBLIN I COLUMBUS SANITARY SEWER AND ~ ~ ~ ~ ~`~••~~~•~ 5 `°"~U5 ~~ WATER CONTRACT SERVICE AREA 9: ~~:` DELAWARE COt1NTY L g . ~•~ '''~ r ~' ': ~. r' ~j+ ~' ~. D UBI y. IN R~ ~ ~~:~~:~~~ ~ CORPORATED r•.'• , A A REA :~;• .~•~'•~ :,~ • :'~~:` •4 µ'• a ;'~:. COLUMBUS ~ ~ tq~::. TWA CORPORATED .a"5 ~ }~~ •: ~:: AREA ~ E....; :~~ . ' ' EXCLUSIVE DUBLIN .~.;: ~'~LjIMBUS':~:•~''' EXPANSION -~~~'~'~~ .B ~ AREA ~~.~::~ • EXCLUSIVE ~, ,0 CL ~:;~: U MB S U al, ubtls'iG~rtisvgii:~o• ~ - ,~ - I~ ". • .~: ~;.,': ""'S''° ;°~ - EXPANSION AREA ,; _ ~ ~ NEGOTIATED ~ EXPANSION f _.~.- •''' TMP !, ~ •.s~.• ~~• ,~,,,. •, p. i • AREA ;;. i L I •x • ,'~~', ' ~, ~1 Rmcs P~ ~• FuLyNBUS .•'~' ~'' f~SkN W p' .•,•'''''''~'~''.• r Si CITY OF DUBLIN PREPARED BY THE CITY Or DUBLIN DEPAR'PMENT Or DEVELOPMENT 3-20-93