Project platform incentive 4 25 14

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Project Platform Supporting Documentation Revised April 25th, 2014


We would like to take a moment to thank you for considering Hamilton, Ohio as you look to expand and possibly relocate your operations. We hope that you can visit us and witness first-hand the revitalization that is happening throughout our City. There is much to be excited about in Hamilton. Buildings are being renovated, people are moving in, and the business community is growing. As we aggressively pursue companies in our target industries, the energy and excitement continues to grow throughout the city. As Butler County’s urban alternative, Hamilton stands out from neighboring communities by providing a vibrant, walkable downtown for urban living. By focusing and capitalizing on our unique downtown, we have created an atmosphere that is not easily duplicated. And people are starting to notice. Some of our recently completed projects include the RiversEdge amphitheater, the Mercantile Lofts, the Robinson-Schwenn building (home to a coffee shop, an IT company, and a technology center), and the Journal-News building (home to the Butler Tech School of the Arts and the Miami Valley Ballet Theatre). Furthermore, companies are investing in Hamilton.

View of the Butler County Courthouse during the 4th of July celebration which is held on the river. Over 15,000 people were in attendance in 2013

ThyssenKrupp Bilstein, a manufacturer of automobile parts which is headquartered in Hamilton, recently announced a new capital investment of $11.2 million that will further expand their operations and create 100 new jobs. Moreover, Valeo, a global automotive parts supplier, announced a $15 million capital investment and they plan to hire an additional 105 jobs. Because we own and operate all four utilities, we are able to be extremely aggressive with our attraction and retention efforts, and companies are choosing to locate in Hamilton. iMFLUX, a wholly-owned subsidiary of Procter & Gamble, has chosen to locate in Hamilton, relocating their 30 current employees and creating 221 new jobs as they invest $50 million in capital improvements.


We are prepared to offer an incentive package that totals approximately $22.8 million dollars. This includes a Local Job Creation Tax credit of 75% for all existing and new employees, totaling $9.9 million over 10 years, as well as a 75% Enterprise Zone abatement that would provide a savings of $7.5 million over 10 years on a $47 million dollar investment. Furthermore, we can offer 100% renewable energy certification as well as provide a 60% kWh tax rebate worth approximately $420,000 over the course of the next 7 years.

Our reliable, low-cost utilities allow us to be extremely aggressive with business attraction, and we feel that our proposal demonstrates how devoted we are to this project. We hope that your organization sees firsthand the projects that put Hamilton on the region’s radar. With the successes of our public-private partnerships and aggressiveness of our utilities, the revitalization of our city has taken off over the past few years. Our strong partnerships and “can-do” attitude make Hamilton a dynamic place to live, work, and play. Let’s have a conversation about the possibilities that are abundant in Hamilton. We look forward to hearing from you soon. Sincerely,

Joshua Smith Pat Moeller City Manager Mayor

‘The Cape’ a statue of Founding Father Alexander Hamilton U.S. Secretary of the Treasury, whom the city is named after, located in the heart of downtown Hamilton.


$22.8 Million in total incentives

$9.9 million

Annual Local Job Creation Credit for 1,250 jobs

60%

$7.5

Rebate on the kWh tax for 7 years worth over $420,000

Estimated Enterprise Zone savings on real estate tax

million

$2.8 million

Value of job training available for 250 employees

CityBUT ofL ERHamilton C O UN T Y O HI O

$1. 9 million

Value of 35 Acres of land Offered for $1


Local Incentives Local Job Creation Tax Credit

Offers eligible companies a tax credit against their local corporate earnings tax. This program is similar to the Ohio Job Creation Tax Credit, with the exceptions that the tax credit is granted at the local level and it is typically a non-refundable credit. In this case, it will be refundable. Currently, by State law, eligibility for this credit is dependent upon the State of Ohio granting a tax credit through the Ohio Job Creation Tax Credit Program.

Utility Development Agreement

With municipally-owned and operated utilities, the City of Hamilton is not only one of Ohio’s lowest-cost providers of electricity, natural gas, water & wastewater, but additionally, the City is committed to working with your company from the beginning to ensure that service to the site is ample and will explore ways to control and lower utility costs as you grow.

Enterprise Zone

The City of Hamilton may grant real property tax incentives to enterprises that agree to establish, expand, renovate, or occupy a facility within a designated enterprise zone and agree to retain or create employment at the project’s location. A business must finalize an agreement prior to project commencement.

Real Estate Discount

Hamilton Enterprise Park is owned by the City of Hamilton, providing the City the opportunity to work with prospective businesses, including the ability to offer discounted real estate.

Incentive Proposed The City of Hamilton is prepared to offer a local job creation tax credit in the amount of 75% over 10 years. Over 10 years, this incentive totals $9,915,750. Credits in excess of the corporate earnings tax due will be reimbursed to the company during the term of the local JCTC. The City of Hamilton is prepared to offer an exceptional utility incentive upon receiving energy usage from the company. We will guarantee reliable, low-cost energy, and will certify that your company is operated with 100% renewable energy. Additionally, based upon an annual electric load of 27,580,699 kWh, the City of Hamilton will offer the company a 60% rebate for 7 years on its kWh tax. This incentive is estimated to be a benefit of $420,495 over the term of the agreement. The City would provide 75% property tax abatement on new valuation for a period of 10 years. The actual increase in valuation is determined by the Butler County Auditor. Example: $47 million Estimated Annual Property Tax savings on a $47 million investment: $747,000 Total Estimated Savings: $7,470,000

The City of Hamilton owns approximately 160 acres at the Hamilton Enterprise Park, valued at $55,000 per acre. Should the company choose to locate here, the City is prepared to offer 35 acres for $1, for a total incentive of $1.92 million.

Hamilton Business Development Team Serves as a single point of contact and direct one-onone communication to businesses throughout the process rather than requiring businesses to navigate a

The gateway at the north entrance of Hamilton Enterprise Park includes stone signage, native vegetation, and a water feature . A similar gateway is currently being developed for the south entrance.


Local Incentives... continued Revolving Loan Fund Incentive

The City of Hamilton’s Revolving Loan Fund (RLF) provides low interest loans for expansion projects by private, for-profit businesses occurring in Hamilton. Loans are made primarily for the purchase of machinery and equipment, although purchase, renovation and /or construction of buildings are also eligible.

Incentive Proposed Based on the creation of 250 new positions, the City would provide a $100,000.00 forgivable loan to the company. The terms of the loan would be outlined in an economic development agreement.

Port Authority

The Port Authority is not required to pay certain state and local sales taxes on construction materials used to construct projects owned by the Port Authority. In order to claim ownership of a project, the Port Authority must have an ownership interest in the project to be constructed and an ownership interest in the real property on which the project is located.

Hamilton Business Development Team Serves as a single point of contact and direct one-onone communication to businesses throughout the process rather than requiring businesses to navigate a

Synergy is a leading manufacturer and supplier of flavors, extracts, and essences for the food and beverage industries.

Transfer arrangements and leasing arrangements can be utilized to allow a private businesses to share the benefit of the Port Authority’s state and local sales tax exemption for its construction project. This is a savings of $52,000 per million dollars spent.

The City of Hamilton’s Business Development Team will waive construction permitting fees as well as expedite the plan review process for your company at no charge - an estimated value of over $90,000.


Utilities & Sustainability The City of Hamilton is unique in that it owns and operates all four major utilities: electric, natural gas, water, and wastewater. It is consistently among the most affordable providers of utilities in the entire state of Ohio and has abundant water and energy capacities. The City has consistently invested in its utility systems over the years to ensure that it provides the most cost-effective, responsive, and reliable service possible. As a result of the City’s consistent efforts to continuously improve its systems, Hamilton’s low-cost power provides its customers with highly competitive and stable electric rates as compared to other electric energy providers in the region. Along with its affordability, Hamilton is among the most progressive in sustainable electric power generation. Presently, 50% of Hamilton’s electric supply is provided by green hydroelectric power. In 2015, the amount of Hamilton’s power generation from renewable, non-carbon emitting sources will be 70%. Consequently, Hamilton’s utilities will not be subject to the market fluctuations of fossil fuels, creating stable and competitive rates. The City

is leveraging these assets to build an innovative and sustainability-driven economy. Because of the City’s renewable energy resources, the

City of Hamilton is prepared to offer 100% green energy to interested companies at no additional cost. Utility Information for Both Proposed Locations Electric

Hamilton’s electric system has both excess capacity and generation. Installed substation capacity is at 175% of peak demand and there is a projected 100+megawatt supply surplus in the next 4 years. Hamilton is well prepared to handle substantial additional loads. In 2014, the City of Hamilton updated its electric rate structure to more closely reflect the actual cost of service for electric customers and to provide a competitive advantage to attracting new development. With the completion of several generation initiatives in the very near future, It is anticipated that approximately 85% of the costs of energy used by our customers will be fixed. It is estimated that only 15% of the electric consumed will be subject to market conditions. This will ensure a stable pricing structure now and in the future. The 50 megawatt substation that serves this area is 0.6 miles from the site and is easily capable of serving the projected load for this site. This substation is fully enabled with a new state-of-the-art PRISM SCADA package ensuring increased reliability and reduced response time to outages. In the next few years, the City plans to invest hundreds of thousands of dollars to reinforce the circuits off this substation, greatly increasing reliability and redundancy. These improvements will include the installation of an additional distribution feeder as well as systematic undergrounding of existing overhead facilities. The primary distribution voltage is 13,800 volts. The secondary voltage is dependent upon the customer requirements, with all standard secondary voltages available.

Natural Gas

Hamilton’s natural gas system is consistently the most affordable for customers in Ohio. For the month of April 2014, Hamilton was 11% cheaper than East Ohio. Additionally, Hamilton was 30% cheaper than Duke in April. At Enterprise Park there is a 8” medium pressure gas main and a 12” medium pressure gas main located at N Gilmore. Each of these locations have looped gas infrastructure which increases the reliability and stability of our delivery infrastructure. Additionally, these sites are located within one-half mile of the City citygate connection to Texas Gas Transportation.

Water

Hamilton is situated on top of one of the largest and highest quality aquifers in the U.S. Hamilton’s water system has abundant capacity. In 2010, Hamilton’s water was ranked “The Best Tasting Tap Water in the World” at the Berkeley Springs International Water Tasting Competition and placed again in 2014 with the Silver Metal among municipal water. The City of Hamilton Water Production Division’s drinking water meets or exceeds all federal and state drinking water standards. There is a brand new 16” water main on Symmes Rd. to serve the N Gilmore location and a 12” looped water main in Enterprise Park. The City’s water department has a total capacity of 46 mgd and current daily demand only averages about 20 mgd.

Wastewater/ Sanitary

There is a 12” sanitary main which serves each site. The water reclamation facility is about 4.8 miles away from the sites. The water reclamation plant treats an average of 7.5 million gallons of wastewater each day. This plant has a biological treatment capacity of 32 million gallons per day, allowing the plant to treat an additional 24.5 million gallons per day.

Fiber Optic

Hamilton has an extensive fiber optic network that the City intends to utilize for economic development. The City has over 60 miles of city-wide, loop-fed fiber optics. The fiber optic network’s ring topology provides important distribution network redundancy, which is sometimes lacking in commercial broadband networks. The topology of Hamilton’s network will offer redundancy throughout the majority of the distribution network as well which provides overall higher reliability and improved service levels for customers connecting to the network. In most cases, the existing fiber network overlays directly onto the pole infrastructure which will allow for easy and cost-effective transitions and interconnections with new last-mile fiber. Butler County’s fiber network also serves Hamilton.


Hamilton Enterprise Park At approximately 265 acres, the Hamilton Enterprise Park is one of the largest industrial/office parks in the tri-state (OH, KY, IN) region. It is owned by the City of Hamilton, providing the City the opportunity to work with prospective businesses, including the ability to offer discounted real estate prices and utility rates. Dayton

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Fast Facts 170+

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3

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6

Miles to the nearest Interstate (I-275 and 8 miles to I-75)

1

Property owner and low-cost, reliable provider for electric, natural gas, water, and sewer


Enterprise Park ... Continued

The Tri-Heath Medical Complex, located in Hamilton Enterprise Park, offers a wide variety of medical services to the region.

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Fast Facts

Site Detail Price Per Acre: Zoning:

$75,000. Price is negotiable with Schumacher Dugan as the contractor Industrial

Owner: Acreage:

Schumacher Dugan 32.6 Acres

32.6

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Interstate Warehousing

DBS Stainless Steel Fabricators

City of Hamilton, Butler County, Ohio DEPARTMENT OF ECONOMIC DEVELOPMENT JODY GUNDERSON, DIRECTOR

Site Photos

PREPARED BY: SEAN PEDERSON

DATE: OCTOBER 25th, 2012

Plas-Tanks Industries

ND DE

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Municipal Utility Recognition

Utilities for N. Gilmore Site

Utility Map for North Gilmore

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Legend Sanitary Main Electric Lines Gas Main Fiber Optic Cable Water Main Railroads Road

• Hamilton won the 2013 Earth Day Environmental Award in the government category from the Greater Cincinnati Earth Coalition. The award was given to the City for its current use of renewable energy, for our renewable energy goal of 100% in 2015, and for converting a power plant to natural gas. • Hamilton was recognized by the Cincinnati Business Courier’s Green Business Awards as an Honorable Mention in the Green Building Category in 2013. This was for the construction of the Meldahl Hydroelectric Facility. Once completed, 70% of the City’s energy will be from renewable sources. • Hamilton received Environmental Stewardship Award in 2012 from American Municipal Power for the Electric Department’s two hybrid bucket trucks.

Electric

12"

N. Gilmore Site

Sustainability

0

150

300

600 Feet

• Hamilton’s electric system won the platinum-level award for Reliable Public Power Provider (RP3) from American Public Power Association in 2012, the 4th consecutive time the City of Hamilton has received this award. This award recognizes the top 5% of all public power providers for reliability, safety, system improvement, and workforce development. • In 2012, Hamilton’s electric system won the System Improvement Award for its Highland Park transmission and distribution upgrade project and the Public Power Safety Award for zero incidents at generation facilities. These awards were given from American Municipal Power.

Natural Gas

• Hamilton’s natural gas system received the Public Gas System Achievement Award from the American Public Gas Association in 2010. This is one of the highest honors a public gas system can receive and is given to only one gas system annually out of over 700 public gas systems nationally.

Water

• Hamilton’s water was ranked “The Best Tasting Tap Water in the World” at the Berkeley Springs International Water Tasting Competition in 2010 and also won the “Silver Metal” among municipal water in 2014 • Hamilton water was named “Best of the Best” by Ohio section of American Water Works Association in 2010 and 2012 • Hamilton’s water system received the 2012 Award of Merit from International Concrete Repair Institute for the quality of a major renovation project at one of its water treatment plants.


Transportation The proposed sites are well connected by road and air, and have easy access to main roads as they are located only a half mile from State Route Bypass 4, recently improved to a four and six lane limited access highway that provides access north to State Route 129 (approximately 3 miles). In this area, State Route 129 was constructed to freeway standards and it provides access to I-75 (approximately 7 miles to the east). The proposed sites are located approximately 45 minutes from both the Cincinnati Site Map andMcBride Dayton international airports. Furthermore, these sites are within 3095 Ct Latitude: 39.3767023 miles of the Butler County Regional Airport.

Hamilton, OH 45011

October 25, 2005

Longitude: -84.515253

Butler County Regional Airport

State Route Bypass 4 is a 4 to 6 lane highway that is less than a mile from the site. Photo courtesy of Nick Daggy at the Journal News.

The Butler County Regional Airport offers high quality facilities including:

©2005 ESRI

• 5500x100’ runway with a full length parallel taxiway • Ample number of T-hangars, and corporate/executive hangars with the capability for overnight storage Page 1 of 1 On-demand reports and maps from Business Analyst Online. Order at www.esri.com/bao or call 800-795-7483 • ILS, Localizer/DME, and RNAV (GPS) approaches • On-site weather station (ASOS) • Clearance delivery frequency • State-of-the-art general aviation terminal, completed in May of 2002

Butler County Regional Airport Runway Butler County Regional Airport Terminal


Workforce Fast Facts

The City of Hamilton, located in the northernmost section of the Cincinnati MSA, is situated in the heart of the Cincinnati-Dayton metroplex. This means that companies located in Hamilton can draw from the region’s 3 million+ people.

435k

Site Map

15, 30, and 60 minute drive time to Hamilton 401 High St, Hamilton Drive Time: 15, 30, 60 Minutes

Latitude: 39.39825 Longitude: -84.55824

Workforce within 30 minute drive time from Hamilton

Top Occupations 30 minute drive time Blue Collar Services Administrative Support

White Collar

Sales Management/ Business/ Financial Professional

Top Industries

Total Population 15 minute drive 30 minute drive 60 minute drive Source: Esri Community Analyst Š2014 Esri

30 minute drive time

233,450

50%

929,023 2,932,061

Made with Esri Community Analyst www.esri.com/ca 800-447-9778 Try it Now!

April 01, 2014

40%

Page 1 of 1

30%

20%

10%

0%

Services Manufacturing Retail Trade Source: Esri Community Analyst

Finance/ Insurance/ Real Estate


Zoning & Permitting Our business development team will arrange appointments, facilitate interdepartmental communication, and lead through the zoning and permitting process. The following illustrates the steps that our team will guide you through during these processes.

Permitting Process

Step 1: Our Business Development Team schedules a meeting with Construction Services and any other potential plan reviewers from each department/division early in the process so that everyone can discuss the information that they need. This is the most important part as it identifies potential issues (including zoning conflicts) so that they can be corrected early on and it helps the review process go much faster after the application and drawings are submitted. Step 2: Identify if the location requires any approval from a special committee such as BZA, City Council, Planning Commission, ADRB, etc. If so, our team will start this process on your behalf. Step 3: Plan is reviewed and feedback, if any, is communicated through your Business Development Team members. This typically takes 3 weeks for large scale developments, however, permitting will be expedited for this project. Step 4: Upon plan approval, construction begins and inspections are scheduled. The Business Development Team communicates regularly during construction to increase the efficiency of the inspection. Step 5: Certificate of Occupancy is issued once inspections are completed and passed. All construction permitting fees will be waived for this project as a part of our incentive package.

Zoning Process

Step 1: Planning Commission review of Preliminary Plan/Public Hearing – requires 10 day mail notification to all property owners within 500 feet. Step 2: Planning Commission review of Final Plan/Public Hearing - requires 10 day mail notification to all property owners within 500 feet.

Fast Facts Big Savings

By waiving the construction permitting fees it is estimated that there will be a savings of over $90,000.

2 Week

average turnaround for permitting submissions which is one week faster than most communities in our region.

One-Stop-Shop

On top of having our Business Development Team to help streamline and navigate the process with you any time you have business with the City you can find everything you need in one location. Our City Hall houses services which not only includes Construction Services, Zoning, Fire and Public Works; but also includes all Utilities and is directly adjacent to Butler County’s offices, making the process even more efficient.

Zoning

Industrial Planned Development (IPD): The purpose of the IPD District is to encourage industrial development by coordinating industrial activities, providing location and design flexibility, and ensuring suitably served sites (by both transportation and utility systems). The site design must be submitted to the Planning Commission for approval. The full zoning regulation is attached as an appendix.


Why Hamilton? Located in the heart of the Cincinnati-Dayton metroplex, Hamilton is Butler County’s Seat of government and its center for finance, industry, and arts and culture. Hamilton, Ohio is the second largest city in the tri-state Cincinnati region. The City of Hamilton is unique in that it owns and operates all four major utilities: electric, natural gas, water, and wastewater. It is consistently among the most affordable providers of utilities in the entire state of Ohio. Along with its affordability, Hamilton is among the most progressive in sustainable electric power generation. Approximately 70% of its power generation will come from renewable resources in 2014. Hamilton is located 26.2 miles north of Cincinnati, Ohio (Cincinnati metro population 2,128,603) and approximately 40 minutes south of Dayton, Ohio (metro population 141,359), which allows for easy access from two larger cities. Furthermore, the city is within 600 miles of 54% of US population, including 27 major metro areas.

Urban Renaissance

Hamilton has experienced a rebirth in character as we have returned to our urban origins. The City of Hamilton has concentrated much of its revitalization efforts on the downtown and urban core neighborhoods, to create places where people want to live, work, and play. It’s not hard to see why the urban core is the focal point. The heart of the city is surrounded by historical neighborhoods with incredible character that remains largely intact, providing a strong foundation for creating a sense of place.

Investment

Hamilton’s urban core has realized significant investment in the past few years. The Mercantile Lofts, The Journal-News building, the Robinson-Schwenn building, and RiversEdge amphitheater represent approximately $16 million in investment in a 4-block area. Furthermore, the Hamilton Core Fund has recently acquired the former Elder-Beerman building, which will allow for the redevelopment of this 167,000 square foot space.

About the Cover

The cover photo shows Downtown Hamilton during Operation Pumpkin, a fall festival featuring 200-pound pumpkin carving, live entertainment, and even a pumpkin boat race. This 3-day festival draws people from all over southeastern Ohio to experience the diverse offerings within the City of Hamilton. Other similar special events in Hamilton include IceFest, a German Village Christmas Walk and Christmas Market (Christkindlmarkt) as well as a Summer Concert Series featuring local and national performers.

Utilities

The City of Hamilton owns and operates all four of its utilities systems and works to provide superior service at a competitive cost. When the latest hydroelectric facility is completed in 2015, approximately 70% of the city’s energy will be from renewable sources. It’s more reliable too, as our utilities have won four consecutive Reliable Public Power Provider (RP3) Platinum level awards. Additionally, our water has been recognized for providing the “Best Tasting Water in the World.” All of these accolades are achieved while providing a cost that is 11% lower than our regional competitors.


Excellence in Economic Development PUBLIC PRIVATE PARTNERSHIP

SPECIAL PURPOSE BROCHURE

City of Hamilton & Coon Restoration

Strategic Initiative Update

The redevelopment of three downtown properties - the $8.6 million renovation of the of the Historic Mercantile Lofts, the $2.5 million renovation of the former JournalNews building into a cultural hub, and the $1.5 million renovation of the Robinson-Schwenn building, the 147 year old former opera house.

The brochure is a 28 page brochure that communicates the City's vision and the projects currently undertaking, including information such as project description, timeline, status, projected investment, partners, and project pictures.


Hamilton, Ohio 465

Proximity to Major Markets

Available Buildings IN

OH

KY

CITY Cincinnati, OH Dayton, OH Columbus, OH Indianapolis, IN Lexington, KY Louisville, KY Toledo, OH Detroit, MI Cleveland, OH Chicago, IL Pittsburgh, PA

MILES 25 35 98 110 110 140 190 247 248 274 281

February 7, 2013 Hamilton, Ohio

Contact Joshua Smith

City Manager City of Hamilton (513) 785-7002 smithja@hamilton-oh.gov

Jody T. Gunderson

Economic Development Director City of Hamilton (513) 785-7070 gundersoj@hamilton-oh.gov

CityBUofTL ERHamilton C O U NT Y O HIO


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