Ohio § 5709.632

§ 5709.632.

(A)(1) The legislative authority of a municipal corporation defined by the United States

office of management and budget as a principal city of a metropolitan statistical

area may, in the manner set forth in section 5709.62 of the Revised Code , designate one or more areas in the municipal corporation as a proposed enterprise

zone. (2) With the consent of the legislative authority of each affected municipal corporation

or of a board of township trustees, a board of county commissioners may, in the manner

set forth in section 5709.62 of the Revised Code , designate one or more areas in one or more municipal corporations or in unincorporated

areas of the county as proposed urban jobs and enterprise zones, except that a board

of county commissioners may designate no more than one area within a township, or

within adjacent townships, as a proposed urban jobs and enterprise zone. (3) The legislative authority or board of county commissioners may petition the director

of development services for certification of the area as having the characteristics

set forth in division (A)(3) of section 5709.61 of the Revised Code .  Within sixty days after receiving such a petition, the director shall determine

whether the area has the characteristics set forth in that division and forward the

findings to the legislative authority or board of county commissioners.  If the director certifies the area as having those characteristics and thereby certifies

it as a zone, the legislative authority or board may enter into agreements with enterprises

under division (B) of this section.  Any enterprise wishing to enter into an agreement with a legislative authority or

board of county commissioners under this section and satisfying one of the criteria

described in divisions (B)(1) to (5) of this section shall submit a proposal to the

legislative authority or board on the form prescribed under division (B) of section 5709.62 of the Revised Code and shall review and update the estimates and listings required by the form in the

manner required under that division.  The legislative authority or board may, on a separate form and at any time, require

any additional information necessary to determine whether an enterprise is in compliance

with an agreement and to collect the information required to be reported under section 5709.68 of the Revised Code . (B) Prior to entering into an agreement with an enterprise, the legislative authority

or board of county commissioners shall determine whether the enterprise submitting

the proposal is qualified by financial responsibility and business experience to create

and preserve employment opportunities in the zone and to improve the economic climate

of the municipal corporation or municipal corporations or the unincorporated areas

in which the zone is located and to which the proposal applies, and whether the enterprise

satisfies one of the following criteria: (1) The enterprise currently has no operations in this state and, subject to approval

of the agreement, intends to establish operations in the zone; (2) The enterprise currently has operations in this state and, subject to approval of

the agreement, intends to establish operations at a new location in the zone that

would not result in a reduction in the number of employee positions at any of the

enterprise's other locations in this state; (3) The enterprise, subject to approval of the agreement, intends to relocate operations,

currently located in another state, to the zone; (4) The enterprise, subject to approval of the agreement, intends to expand operations

at an existing site in the zone that the enterprise currently operates; (5) The enterprise, subject to approval of the agreement, intends to relocate operations,

currently located in this state, to the zone, and the director of development services

has issued a waiver for the enterprise under division (B) of section 5709.633 of the Revised Code . (C) If the legislative authority or board determines that the enterprise is so qualified

and satisfies one of the criteria described in divisions (B)(1) to (5) of this section,

the legislative authority or board may, after complying with section 5709.83 of the Revised Code and, in the case of a board of commissioners, with the consent of the legislative

authority of each affected municipal corporation or of the board of township trustees,

enter into an agreement with the enterprise under which the enterprise agrees to establish,

expand, renovate, or occupy a facility in the zone and hire new employees, or preserve

employment opportunities for existing employees, in return for the following incentives: (1) When the facility is located in a municipal corporation, a legislative authority

or board of commissioners may enter into an agreement for one or more of the incentives

provided in divisions (C)(1), (2), and (3) of section 5709.62 of the Revised Code,

subject to division (D) of that section, or for the incentive provided in division

(C)(4) of that section if the enterprise is the owner of real property constituting

the site of a megaproject or is a megaproject supplier; (2) When the facility is located in an unincorporated area, a board of commissioners

may enter into an agreement for one or more of the incentives provided in divisions (B)(1)(b) and (B)(2) of section 5709.63 of the Revised Code , subject to division (C) of that section, or for the incentive provided in division

(B)(3) of that section if the enterprise is the owner of real property constituting

the site of a megaproject or is a megaproject supplier. (D) All agreements entered into under this section shall be in the form prescribed under section 5709.631 of the Revised Code .  After an agreement under this section is entered into, if the legislative authority

or board of county commissioners revokes its designation of the zone, or if the director

of development services revokes the zone's certification, any entitlements granted

under the agreement shall continue for the number of years specified in the agreement. (E) Except as otherwise provided in this division, an agreement entered into under this

section shall require that the enterprise pay an annual fee equal to the greater of

one per cent of the dollar value of incentives offered under the agreement or five

hundred dollars;  provided, however, that if the value of the incentives exceeds two

hundred fifty thousand dollars, the fee shall not exceed two thousand five hundred

dollars.  The fee shall be payable to the legislative authority or board of commissioners

once per year for each year the agreement is effective on the days and in the form

specified in the agreement.  Fees paid shall be deposited in a special fund created for such purpose by the legislative

authority or board and shall be used by the legislative authority or board exclusively

for the purpose of complying with section 5709.68 of the Revised Code and by the tax incentive review council created under section 5709.85 of the Revised Code exclusively for the purposes of performing the duties prescribed under that section.  The legislative authority or board may waive or reduce the amount of the fee charged

against an enterprise, but such waiver or reduction does not affect the obligations

of the legislative authority or board or the tax incentive review council to comply

with section 5709.68 or 5709.85 of the Revised Code , respectively. (F) With the approval of the legislative authority of a municipal corporation or the

board of township trustees of a township in which a zone is designated under division

(A)(2) of this section, the board of county commissioners may delegate to that legislative

authority or board any powers and duties of the board to negotiate and administer

agreements with regard to that zone under this section. (G) When an agreement is entered into pursuant to this section, the legislative authority

or board of commissioners authorizing the agreement shall forward a copy of the agreement

to the director of development services and to the tax commissioner within fifteen

days after the agreement is entered into.  If any agreement includes terms not provided for in section 5709.631 of the Revised Code affecting the revenue of a city, local, exempted village, or joint vocational school

district or causing revenue to be forgone by the district, including any compensation

to be paid to the school district pursuant to section 5709.82 of the Revised Code , those terms also shall be forwarded in writing to the director of development services

along with the copy of the agreement forwarded under this division. (H) After an agreement is entered into, the enterprise shall file with each personal

property tax return required to be filed while the agreement is in effect, an informational

return, on a form prescribed by the tax commissioner for that purpose, setting forth

separately the property, and related costs and values, exempted from taxation under

the agreement. (I) An agreement entered into under this section may include a provision requiring the

enterprise to create one or more temporary internship positions for students enrolled

in a course of study at a school or other educational institution in the vicinity,

and to create a scholarship or provide another form of educational financial assistance

for students holding such a position in exchange for the student's commitment to work

for the enterprise at the completion of the internship.