Ordinance 061-17RECORD OF ORDINANCES
Dayton Legal Blank, Inc.
Form No. 30043
Ordinance No. 61 -17 (Amended) Passed 20
AN ORDINANCE LEVYING SPECIAL ASSESSMENTS FOR
THE PURPOSE OF ACQUIRING, CONSTRUCTING, AND
IMPROVING CERTAIN PUBLIC IMPROVEMENTS IN THE
CITY OF DUBLIN, OHIO IN COOPERATION WITH THE
COLUMBUS REGIONAL ENERGY SPECIAL IMPROVEME(T
DISTRICT, AND DECLARING AN EMERGENCY.
WHEREAS, this Council (the "Council's of the City of Dublin, Ohio (the "City's duly adopted
Resolution No. 61 -17 on August 14, 2017 (the "Resolution of Necessity's and declared the
necessity of acquiring, constructing, improving and installing energy efficiency
improvements on its real property, including, without limitation, interior high - efficiency LED
lighting upgrades, exterior high - efficiency LED lighting upgrades, DDC controls, boiler
upgrades, variable speed pumping, and related improvements (the "Project', as described
in the Resolution of Necessity and as set forth in the Petition requesting those
improvements; and
WH REAS, this Council duly passed Ordinance No. 60-I1 (Amended) on
L' = it 2017 and determined to proceed with the Project and adopted the
estimat d Special Assessments (as defined in the Resolution of Necessity) filed with the
Clerk of Council and the Director of Finance pursuant to the Resolution of Necessity; and
W111EREAS, the actual costs of the Project have been ascertained and have been certified
to the City in the Petition and the Supplemental Plan for the Project;
NOW THEREFORE, BE 77 ORDAINED by the Council of the City of Dublin, State of Ohio,
of the elected members concurring that:
Section 1. Each capitalized term not otherwise defined in this Ordinance or by reference
to another document shall have the meaning assigned to it in the Resolution of Necessity.
Section 2. The list of Special Assessments to be levied and assessed on the Property in
an amount sufficient to pay the costs of the Project, which is $792,079.67, including other
related financing costs incurred in connection with the issuance, sale, and servicing of
securities, nonprofit corporate obligations, or other obligations issued to pay costs of the
Project in anticipation of the receipt of the Special Assessments, capitalized interest on, and
financing reserve funds for, such securities, nonprofit corporate obligations, or other
obligations so issued, including any credit enhancement fees, trustee fees, and District
administrative fees and expenses, which costs were set forth in the Petition and previously
reported to this Council and are now on file in the offices of the Clerk of Council and the
Director of Finance, is adopted and confirmed, and that the Special Assessments are levied
and assessed on the Property. The interest portion of the Special Assessments, which shall
accrue at the annual rate of 4.95 %, together with amounts used to pay administrative
expenses, has been determined by the Columbus - Franklin County Finance Authority (the
"Authority ") to be substantially equivalent to the fair market rate that would have been
borne by notes or bonds been issued by the Authority, which Authority is working
cooperatively with the District and the City to facilitate the financing of the costs of the
Project.
The Special Assessments are assessed against the Property commencing in tax year 2017
for collection in 2018 and shall continue through tax year 2031 for collection in 2032;
provided, however, if the proceedings relating to the Special Assessments are completed
at such time that the County Auditor of Franklin County, Ohio determines that collections
shall not commence in 2018, then the collection schedule may be deferred by one year.
The annual installment of the Special Assessments shall be collected in each calendar year
equal to a maximum annual amount of Special Assessments as shown in Exhibit A, attached
hereto and incorporated into this Ordinance.
All Special Assessments shall be certified by the Director of Finance to the bounty Auditor
pursuant to the Petition and Ohio Revised Code Chapter 727.33 to be placed on the tax
RECORD OF ORDINANCES
Dayton Legal Blank, Inc.
Form No. 30043
No. a . 61- 17(Amended) Passed 2 Page 2 of 2
Ordinance 0
list and duplicate and collected with and in the same manner as real property faxes are
collected and as set forth in the Petition.
The Special Assessments shall be allocated among the parcels constituting the Property as
set forth in the Petition and the List of Special Assessments attached hereto and
incorporated into this Ordinance as Exhibit A.
Section 3. This Council finds and determines that the Special Assessments are in
proportion to the special benefits received by the Property as set forth in the Petition and
are not in excess of any applicable statutory limitation.
Section 4. The Owner has waived its right to pay the Special Assessments in cash, and
all Special Assessments and installments of the Special Assessments shall be certified by
the Director of Finance to the County Auditor of Franklin County, Ohio as provided by the
Petition and Ohio Revised Code Section 727.33 to be placed by him or her on the tax list
and duplicate and collected with and in the same manner as real property taxes are
collected and as set forth in the Petition.
Section 5. The Special Assessments will be used by the City to pay the cost of the Project
in cooperation with the District in any manner, including assigning the Special Assessments
actually received by the City to the District or to another party the City deems appropriate,
and the Special Assessments are appropriated for such purposes.
Section 6. The Director of Finance shall keep the Special Assessments on file in the office
of the Director of Finance.
Section 7. In compliance with Ohio Revised Code Section 319.61, the Clerk of the Council
is directed to deliver a certified copy of this Ordinance to the County Auditor of Franklin
County, Ohio within 20 days after its passage.
Section 8. This Council finds and determines that all formal actions of this Council
concerning and relating to the passage of this Ordinance were taken in an open meeting
of this Council, and that all deliberations of this Council and of any of its committees that
resulted in such formal action, were in meetings open to the public, in compliance with all
legal requirements including Ohio Revised Code Section 121.22.
Section 9. Under Section 4.04 of the Charter of the City, this ordinance is an Ordinance
for improvements petitioned for by owners of the requisite majority (100 %) of the front
footage or the area of the prop rty benefited and to be assessed, and declared to be an
emergency measure necessa for the immediate preservation of the public peace, health,
safety or welfare of the City and for the further reason that this Ordinance is required to
be i rediately effective ' order to facilitate the construction of the Project; wherefore,
thisdinance shall b full force and effect immediately upon its passage.
MEW=
yor — Pr#iding Officer
Attest
Clerk of Council
Passed: d , 2017
Effective: , 2017
Ordinance 61-17Amended
To: Members of Dublin City Council
Ce,
From,,, Dana L. McDaniel, City Managef/l.
Date.* September 7, 2017
Initiated By: Colleen Gilger,, Director of Economic Development
Jeremiah Gracia, Economic Development Administrator
Ordinances 60-17, 61-17 and 62-17 -- for Property Assessed Clean Energy (PACE)
Special Improvement for 5500 Frantz Scioto Corporate Center
Ail!
W7
The Ordinance titles and minor language modifications have been updated to reflect the same and
presented for review and approval.
Staff recommends Council passage of Ordinances 60-17,, 61-17, and 62-17 as emergency on
September 11, 2017. Please feel free to contact Colleen Gilger or Jeremiah Gracia with question
Memo re. Ord. 60-17, 61-17 and 62-17 - PACE for 5500 Frantz Road
September 7, 2017
Page 2 of 2
01I
WHAT IS PACE?
Property Assessed Clean Energy (PACE) is a financing mechanism that enables
low-cost, long-term funding for energy efficiency, renewable energy and water
conservation projects. PACE financing is repaid as an assessment on the property's
regular, tax bill, and is processed the same way as other local public benefit
assessments (sidewalks, sewers) have been for decades- [depending on local
legislation, PACE can be used for commercial, nonprofit and residential properties,
HOW DOES IT WORK .7
PACE is a national initiative, but pf ogra ms are established locally and tailored to meet
regional market needs. State legislation is passed that authorizes municipalities
to establish PACE programs, and local governments have developed a variety of
program mode4s that have been successfully implemented. Regardless of model,
there arse several keystones that hold true for every PACE program.
• PACE is voluntary for all parties involved.
PACE can covet 100% of a project's hard and soft costs.
Long financing terms up to 20 years.
Can be combined with utility, local and federal incentive programs.
Energy projects are permanently affixed to a property.
The PACE assessment is filed with the local municipality as a lien on the property.
WHY IS IT SO POPULAR?
Property owners love PACE because they can fund projects With no out-of-pocket
costs- Since PACE financing terms extend to 20 years, it's possible to undertake deep,
comprehensive retrofits that have meaningful energy savings and a significant
impact on the bottom IiAe. The annual ene-irgy savings for a PACE project usually
excc-►eds the annual assessment payment, so property owners are cash now positive
immediately. That means there are increased dollars that can be spent on other
capital projects, budgetary expenses, or business expansion_
Local governments love PACE because it's an Economic Development initiative that
lowers the cost of doing business in their community. It encourages new business
owners to invest in the area, and creates jobs using the local workforce. PACE
projects also have a positive impact ot air quality, creating healthier, more livable
neighborhoods.
HOW CAN I GET PACE?
www.PACENation.us has all the tools and resources you need to get started with
PACE Check to see if your state has passed a PACE statute, and if your area has an
active program. If not, contact us to find out if there is a local initiative in development
and we may be able to put you in touch with a working coalition. We look forward
to hearing from you!
BENEFITS OF PACE
DArNENation
V roW.,
13.1i el" r*k%
PACENation 1i the natiotial,
nonprofit advocate few PACE
financing. We ptoode leadershlp,
data. support and resouices for-
the 9-fowing marketplace.
vANwpacef\ai*on.us
onfoopacei-)ow.org
Ordinance 61 -17
of 1JUU11H Office of the City Manager
5200 Emerald Parkways Dublin, OH 43017 -1090
Phone: 614-410.4400 o Fax: 614. 410.4490
To., Members of Dublin City Council
From; Dana L, McDaniel, City Mana `
Date; August 24, 2011
Initiated By; Colleen Gilger, Director of Economic Development
Jeremiah Gracia, Economic Development Administrator
Re: Ordinances for Property Assessed Clean Energy (PACE) Special Improvement
for 5500 Frantz Road — Scioto Corporate Center (Ordinances 60 -11, 61 -17
and 62-17)
Background
The City of Dublin is focused on setting appropriate conditions to encourage investment and
economic development, City Council continues to suppork our strategies and tactics to ensure
Dublin's office space remains competitive in the market, One particular tool the economic
development team has brought to our existing building owners' attention is the use a favorable
financing tool for major building energy efficiency improvements,
Property Assessed Clean Energy (PACE) programs represent a great mechanism available for
financing energy efficiency and renewable energy improvement projects, PACE - enabling legislation
is active in 33 states plus the District of Columbia, and PACE programs are now active (launched
and operating) in 19 states plus DC. PACE allows qualifying energy improvements to be financed
through assessments on a property owner's real estate tax bill. A summary of PACE is provided as
an attachment to this memo,
PACE special assessments are used to secure local government bonds issued to fund the
improvements without requiring the borrower or the sponsoring local government to pledge its
credit 8y allowing participating property owners to pay for energy improvements to their
properties via a bond issue tied to a special assessment an their property tax bill, PACE financing
enables property owners to reduce energy casts with no upfront investment,
Financing far PACE eligible projects In Centro! Ohia is provided by the Columbus - Franklin County
Finance Authority (Finance Autharity) The Finance Authority established the Columbus Regional
Special Improvement District that allows for additional properties within the City of Columbus, Ohio
and within any municipal corporation or township that is adjacent to any other municipal
corporation ortownship toopt -into the District, Projects between $200,000 - $6,000,000 maybe
financed through the Finance Authority's band fund Eligible uses of funds include LED lighting,
energy management and controls that includes, 11VAC and boiler replacement, building envelope,
and other improvements that result in bottom line operation savings far building owners and
tenants,
The building ownership at 5500 Frantz Road is requesting the use of PACE Financing for its energy
efficiency improvement project totaling $515,883, A signed PACE Project Development Agreement
Memo re. PACE for 5500 Frantz Road (Ordinances 60 -17, 61 -17 and 62.17)
Rugust 24, 2017
Page 2 of 4
has been executed between the owner, Frantz Investments, LLC, and the project manager, Plug
Smart, The scope of work includes interior and exterior LEG lighting upgrades, boiler replacement,
and other temperature control upgrades In order to satisfy this request, the City of Dublin must
consider a series of Resolutions and Ordinances at the August 14 and August 28 Council meetings
to allow building ownership to petition to opt-in to the Regional Special Improvement District, The
City has no financial obligations with the establishment of a Special Improvement District for this
project,
Below is a summary of the current and future resolutions, ordinances, and special assessments
City Council will review at the August 14 and August 2$ Council meetings. Timing is of the
essence for these documents so that the building owner may schedule a closing and complete the
necessary energy improvements to their office building
August 14 Council Meeting;
I. A RESOLUTION APPROVING THE PETITION FaR SPECIAL ASSESSMENTS FOR
SPECIAL ENERGY IMPROVEMENT PROJECTS UNDER OHIO REVISED CODE
CHAPTER 1710 (5500 FRANTZ ROAD PROJECT)
� A RESOLUTION APPROVING THE NECESSITY OF ACQUIRING, CONSTRUCTING,
AND IMPROVING CERTAIN PUBLIC IMPROVEMENTS IN THE CITY OF DUBLIN,
OHIO IN COOPERATION WITH THE COLUMBUS REGIONAL ENERGY
SPECIALIMPROVEMENT DISTRICT (5500 FRANTZ ROAD PROJECT)
August 28 Council Meeting;
1, AN ORDINANCE DETERMINING TO PROCEED WITH THE ACQUISITION,
CONSTRUCTION, AND IMPROVEMENT aF CERTAIN PUBLIC IMPROVEMENTS IN
THE CITY aF DUBLIN, OHIO IN COOPERATION WITH THE COLUMBUS REGIONAL
ENERGY SPECIAL IMPROVEMENT DISTRICT
�, AN ORDINANCE LEVYING SPECIAL ASSESSMENTS FOR THE PURPOSE OF
ACQUIRING, CONSTRUCTING, AND IMPROVING CERTAIN PUBLIC IMPROVEMENTS
IN THE Cl•fl' OF DUBLIN, OHIO IN COOPERATION WITH THE COLUMBUS
REGIONAL ENERGY SPECIAL IMPROVEMENT DISTRICT
3. AN ORDINANCE AUTHORIZING AND APPROVING AN ENERGY PROJECT
COOPERATIVE AGREEMENT BY AND BETWEEN THE CIrY OF DUBLIN, OHIO, THE
COLUMBUS REGIONAL ENERGY SPECIAL IMPROVEMENT DISTRICT, FRANTZ
INVESTMENTS, LLC, AND THE COLUMBUS-FRANKLIN COUNTY FINANCE
AUTHORITY', A SPECIAL ASSESSMENT AGREEMENT BY AND BETWEEN THE CITY
OF DUBLIN, OHIO, THE COUNTY TREASURER OF FRANKLIN COUNTY, OHIO, THE
COLUMBUS REGIONAL ENERGY SPECIAL IMPROVEMENT DISTRICT, AND FRANTZ
INVESTMENTS, LLC, AND RELATED AGREEMENTS, ALL OF WHICH PROVIDE FOR
Memo re. PACE for 5500 Frantz Road (Ordinances 60-17, 61 -17 and 62.17)
August 24, 2817
Page 3 of 4
THE FINANCING OF SPECIAL ENERGY IMPROVEMENTS PROJECTS (55QQ FRANTZ
ROAD PROJECT)
a. Energy Project Cooperative Agreement
b. Special Assessment Agreement
Recommendation
Staff recommends Council passage of Ordinance 6Q -17, Ordinance 61 -17, and Ordinance 62.17 at
their second reading�public hearing September 11, ZQ17. Staff aiso wili recommend that Council
pass these ordinances by emergency (waiving the thirty -day waiting period) at the second reading
on September 11, ZQ17, Please also feet free to contact Colleen Giiger (41Q- 4615} or Jeremiah
Gracia (41Q -4655} with questions,
for 5500 Frantz Road (ordinances 60 -17, 61 -17 and 62.17)
Memo re. PACE
August 24, 2017
Page 4 of 4
�e
WHAT 15 PACE?
.6zl U%J , Y
HOW DOES IT WORK
J,
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I t kJ d I
j w u;k
EXHIBIT A
LIST OF SPECIAL ASSESSMENTS AND
SCHEDULE OF SPECIAL ASSESSMENTS
LIST OF SPECIAL ASSESSMENTS
Frantz Investments, 273- 005366 -00 100%
LLC
A -1
Amount of
Special
Assessments
$792,079.67
Portion of
Assessed
Benefit and
Properties
Special
Name Description
Assessment
Frantz Investments, 273- 005366 -00 100%
LLC
A -1
Amount of
Special
Assessments
$792,079.67
SCHEDULE OF SPECIAL ASSESSMENTS
FOR FRANKLIN COUNTY PARCEL NOS.:
273- 005366 -00*
The following schedule of Special Assessment charges shall be certified for
collection in 30 semi - annual installments to be collected with first -half and second -half
real property taxes in calendar years 2018 through 2032:
Special Assessment
Payment Date **
Special Assessment
Installment Amount * **
January
31 2018
$26,402.66
July 31
2018
26
402.66
January
31 2019
26
402.66
July 31
2019
26
402.66
January
31 2020
26
402.66
July 31
2020
26
402.66
January
31 2021
26
402.66
July 31
2021
26
402.66
January
31 2022
26
402.66
July 31
2022
26
402.66
January
31 2023
26
402.66
July 31
2023
26
402.66
January
31 2024
26
402.66
July 31
2024
26
402.66
January
31 2025
26
402.66
July 31
2025
26
402.66
January
31 2026
26
402.66
July 31
2026
26
402.66
January
31 2027
26
402.66
July 31
2027
26
402.66
January
31 2028
26
402.66
July 31
2028
26
402.66
January
31 2029
26
402.66
July 31
2029
26
402.66
January
31 2030
26
402.66
July 31
2030
26
402.66
January
31 2031
26
402.66
July 31
2031
26
402.66
January
31 2032
26
402.66
July 31
2032
26
402.66
* As identified in the records of the County Auditor of Franklin County, Ohio as of July 6,
2017.
A -2
** Pursuant to Ohio Revised Code Chapter 323, the Special Assessment Payment Dates
identified in this Schedule of Special Assessments are subject to adjustment by the County
Auditor of Franklin County, Ohio under certain conditions.
* ** The County Auditor of Franklin County, Ohio may impose a special assessment
collection fee with respect to each semi - annual Special Assessment payment. If imposed,
this special assessment collection fee will be added by the County Auditor of Franklin
County, Ohio to each semi - annual Special Assessment payment.
A -3
CERTIFICATE
The undersigned Clerk of Council hereby certifies that the foregoing is a true copy
of Ordinance No. 61 -17 (Amended), duly adopted by the Council of the City of Dublin, Ohio
on 2017, and that a true copy of such Ordinance was certified to the
County Auditor of Franklin County, Ohio within 20 days after its passage.
Clerk of Council
City of Dublin, Ohio
RECEIPT OF COUNTY AUDITOR FOR
LEGISLATION LEVYING SPECIAL ASSESSMENTS
FOR THE PURPOSE OF ACQUIRING, CONSTRUCTING,
AND IMPROVING CERTAIN PUBLIC IMPROVEMENTS
IN THE CITY OF DUBLIN, OHIO IN COOPERATION WITH
THE COLUMBUS REGIONAL ENERGY
SPECIAL IMPROVEMENT DISTRICT
I, Clarence E. Mingo II, the duly elected, qualified, and acting Auditor in and for
Franklin County, Ohio hereby certify that a certified copy of Ordinance No. 61 -17
(Amended), duly adopted by the Council of the City of Dublin, Ohio on ,
2017 levying special assessments for the purpose of acquiring, constructing, and improving
certain public improvements in the City of Dublin, Ohio in cooperation with the Columbus
Regional Energy Special Improvement District, including the List of Special Assessments
and Schedule of Special Assessments, which Special Assessment charges shall be certified
for collection in 30 semi - annual installments to be collected with first -half and second -half
real property taxes in calendar years 2018 through 2032, was filed in this office on
2017.
WITNESS my hand and official seal at Columbus, Ohio on , 2017.
Auditor
[SEAL] Franklin County, Ohio