Agenda Item # 3
Columbus Consolidated Government
Council Meeting
August 25, 2009
Agenda Report #415
TO: Mayor and Councilors
SUBJECT: Enterprise Zone Tax Abatement ? Glover-Auten Foods
1333 Cusseta Road
INITIATED BY: Department of Community Reinvestment
Recommendation: Approval is requested of a resolution authorizing tax
abatements for Glover-Auten Foods, a wholesale food service company, located at
1333 Cusseta Road under the Enterprise Zone Act.
Background: In July 2005, Glover-Auten Foods, a division of Glover Wholesale
Company, consolidated their operations of their division to their current
location at 1333 Cusseta Road. The division invested approximately $3,000,000
into the current location to accommodate the consolidation and expansion. The
consolidation created and/or retained 125 jobs with an estimated payroll of
$6,512,126.
This project located at 1333 Cusseta Road a/k/a tax map 024 004 001 is within
the boundaries of the Enterprise Zone. The project meets the Enterprise Zone
criteria for job creation and/or retain of a minimum of 5 jobs. The tax
abatement will be for ad valorem taxes only.
Analysis: Glover-Auten is requesting tax abatements under the Enterprise Zone
Act. The company had discussions during the consolidation of the company
dealing with the filing of an Enterprise Zone application. Due to an oversight
of the company, the application was never completed and filed with the City.
The Company is now requesting the abatements be retroactive to July 1, 2005,
which was the beginning date of the consolidation. The tax abatements would
begin in year 5 of the tax abatements schedule. The company would only receive
one year of 100% abatement.
Financial Considerations: With the proposed retroactive tax abatements, the
abatements would being in Year 5 (2010) at 100%, 80% for Year 6 and 7, 60% for
Year 8, 40% for Year 9 and 20% for Year 10.
Legal Considerations: Council must approve tax abatement under the Enterprise
Zone Act.
Recommendations: Approve the resolution authorizing tax abatements for
Glover-Auten Foods, a wholesale food service company, located at 1333 Cusseta
Road under the Enterprise Zone Act.
A RESOLUTION
NO. _____
A RESOLUTION AUTHORIZING TAX ABATEMENTS, AS ALLOWED UNDER THE
ENTERPRISE ZONE ORDINANCES) 98-30; 00-106; AND 01-29 FOR GLOVER-AUTEN FOODS, A
WHOLESALE FOOD SERVICE COMPANY, LOCATED AT 1333 CUSSETA ROAD.
WHEREAS, City Council created the Enterprise Zone with Ordinance #98-30 to
induce the investment of private resources in effort to revitalize the area?s
residential neighborhoods and businesses through creation and retaining jobs;
and,
WHEREAS, the project meets the Enterprise Zone criteria for job creation by
creating and/or retaining a minimum of 5 jobs; and,
WHEREAS, the tax abatements are retroactive to July 1, 2005; and,
WHEREAS, the tax abatements will be for advalourm taxes only and begin in Year
5 of the tax abatement schedule; and,
WHEREAS, the wholesale food project is located 1333 Cusseta Road is located
within the Enterprise Zone boundaries.
NOW, THEREFORE, THE COUNCIL OF COLUMBUS, GEORGIA, HEREBY RESOLVES AS FOLLOWS:
That Glover-Auten Foods is hereby granted tax abatement as allowed under the
Enterprise Zone ordinance(s) 98-30; 00-106; and 01-29 for a wholesale food
service company located at 1333 Cusseta Road beginning in Year 5 of the tax
abatement schedule.
Introduced at a regular meeting of the Council of Columbus, Georgia,
held the _______day of ______________, 2009 and adopted at said meeting by the
affirmative vote of _______ members of said Council.
Councilor Allen voting __________.
Councilor Anthony voting __________.
Councilor Baker voting __________.
Councilor Barnes voting __________.
Councilor Davis voting __________.
Councilor Henderson voting __________.
Councilor Hunter voting __________.
Councilor McDaniel voting __________.
Councilor Turner Pugh voting __________.
Councilor Woodson voting __________.
_______________________________ ____________________________
Tiny B. Washington, Clerk of Council Jim Wetherington, Mayor
Attachments
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