Proposal would no longer require city council to approve most commercial tax abatements

CINCINNATI (WKRC) - City Councilmember Jeff Pastor wants to let the city administration handle all commercial tax abatement requests for projects costing less than $10 million.


They currently go in front of council, along with a recommendation from the city on whether to approve the request.





"We're literally rubber-stamping it," Pastor said.





Pastor says there is no need for the requests to go in front of the city council.





"Every project since 2010, all 296, [the] Community Reinvestment Act, have been approved, under $10 million," Pastor said.





Pastor says his proposal would not change any requirements, only eliminate the unnecessary step of council approving the abatements.





"It's just saying that this small stuff that we've approved, that the administration is capable of handling, they should do it. And then what comes before council are typically the things that citizens are concerned about. So, FC Cincinnati for example, Children's Hospital comes to mind. Any big, huge project," Pastor said.





Sheila Rosenthal, who is against the proposal and offered comments against it during a committee meeting Monday, says those abatement requests being publicized is critical.





"If a project merits public investment, then it merits public scrutiny," Rosenthal said.





Rosenthal worries that if the decisions on these abatements are made behind closed doors, there will be no accountability.





"We wouldn't have any awareness at all as taxpayers as to what abatements were being approved, what abatements were being given away or even how much abatements had been given away in total," Rosenthal said.





Rosenthal also says the public has a right to know how much property value is abated.





"We really need some more transparency and clarity around how much money are we really talking about? How much money are we giving away? And then, what is the return to the city?" Rosenthal said.





Local 12 News made a public records request with the city on Nov. 11 to know how much abated property is in the city. The city has not provided that information as of this writing.

abatements