Tax cut ordinance to bring Texas Roadhouse to Zanesville going to council

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By Christine Holmes, News Director

It will ultimately be the decision of City Council if the tax incentive to potentially draw Texas Roadhouse to Zanesville will be granted.

Members of the Community Development Committee voted Tuesday evening to send the ordinance to council without any recommendation, after an initial split vote on a motion that would kill the ordinance at committee.

Meridian Realty Capital, LLC is asking the City of Zanesville to grant a 15 year tax abatement at 75 percent through the creation of a Tax Increment Financing (TIF) District for the purpose of urban redevelopment. Originally the company was asking for a 100 percent tax abatement for 30 years.

Council members on the Community Development Committee weighed the potential impact — both positive and negative — during Tuesday’s special meeting and left still unsure.

Committee chair Mark Baker said a representative from the developer met with the city and needs a firm answer.

“The pitch that he was making is that if Roadhouse comes in, then other businesses will follow, perhaps entertainment complexes, because that’s a very desirable part of town, right near downtown,” said Baker. “As a result, that will bring more businesses in, thus more foot traffic, thus the businesses in the immediate area will be positively impacted.”

But Baker also noted that there is no guarantee that the chain would help push visitors to the adjacent downtown district.

“We’ve heard from business owners that have a problem with that because they’re unconvinced that it would actually bring more customers into their own businesses than the new business would take away their own customers,” said Baker.

Baker added that many businesses have been operating for decades, through all types of business climates, without the assistance of tax abatements.

Council member Jan Bradshaw firmly expressed her firm opposition to the tax break, motioning to kill the ordinance at committee level before it could ever be presented to council.

Backing her motion was Constance Norman, with Baker and Sandy Gentry in disagreement.

Bradshaw said it is unjust to local businesses to give the chain restaurant such a sizable tax break.

“To me it seems like ever since they contacted us, they’ve been trying to ram it down our throats that we want to do this,” said Bradshaw.

Bradshaw explained that she may have felt differently if the demands weren’t so high.

“I felt that wasn’t the right amount,” said Bradshaw. “ If they would have come down to what we normally negotiate to, then it would have been a different story. They’re not offering any infrastructure.”

In the past, TIF Districts have been implemented within the City, especially along Northpointe Drive, but those districts were created with the intention that the city would directly benefit from infrastructure improvements, explained Community Development Director Jay Bennett during a prior meeting.

Baker explained that the developer is, however, offering to address environmental problems near the project site so other businesses can also use the land.

“So that’s what the city would get in-part in exchange for the 75-15 agreement,” said Baker.

However, Baker also said the persisting environmental issues have not been shared with the city.

“I think it’s important to have the input of representative from all over the wards and hear their ideas,” said Baker, who initiated a second motion to send the ordinance to council without a committee recommendation.

During the second vote, all members but Bradshaw agreed.