11/26/07 Council Meeting Minutes

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REGULAR MEETING NOVEMBER 26, 2007 ordinance, but just some of its contents. He stated that this property is vacant and his hands are tied because he can't do anything with it. He stated that he has the resources to keep the property up, but that seems foolish to him, because he can't even rent out the property much less sell it to anyone. The odor smells just like wastewater treatment plant on Riverside Drive. He referred to the new Walgreen's Drugstore that was just built at Cleveland and Bendix Drive having the same odor problem, because it is the same sewer line that passes from his home on Meade Street connects to the new Walgreen's store. He stated that he has an office on Portage and Cleveland and when the Meijer and Wal- Mart stores were built the same odor problem occurred. The City replaced the entire sewer system east to Riverside to alleviate the problem. He urged the Council to table this ordinance to refine it to make exceptions for those impossible situations. Mr. Steve Eslinger, 517 Triagon Building, stated that he is an attorney licensed to practice in this State and is not here tonight to speak on behalf of any client, he is here to speak on behalf of himself. He stated that he has great concerns for the future of South Bend. He resides here, has his business here, and has several rental properties in the City. He stated that he is very concerned about the impact of this ordinance on the back on the extraordinary increase in property taxes in this area. This city is struggling as are many cities are struggling with vacant and abandoned properties and there is absolutely nothing in this ordinance that will stop that. The abandoned properties in this community just like all other communities are being caused by economic circumstances. He noted that there cannot be legislation against economics. These vacant and abandoned homes are that way because of the people who own them. The economics are not such as they can continue to maintain them. Passing this ordinance is not going to help in that regard. There is a state statute in Indiana concerning safe housing and that statute is very well handled by the Department of Code Enforcement. He stated that he has the greatest respect for these people; they are the finest in the State. They do an excellent job and that statute gives them the mechanism that they already need in order to enforce safe housing in this city. Registering people who have let their properties go abandoned because of economic circumstances is counter productive and it is going to drive away investment capital from this which is exactly what is not needed. Ms. Pam Colen, owner, Deb Thompson Real Estate, 1104 Mishawaka Avenue, South Bend, Indiana, stated that she currently is handling quite a few bank foreclosed properties in the area. She stated that she agrees with some parts of this bill; however there are other parts that she disagrees with like boarding up of homes is not going to fix the problem in this area. She stated that she has fifty properties that she is currently trying to get Code Violations from Martha. She stated that she doesn't get any help from the Department of Code Enforcement. Ms. Colen stated that she has two properties that are supposed to close tomorrow and because of the past fines that are on these properties from Code Enforcement they won't be able to close because Code Enforcement won't work with her. This bill won't fix the problem, property taxes in this area are high, something needs to done with the properties that are vacant and abandoned, but the way that this bill is written is not going to help. Mr. Larry Limpkee, Homeworks Investments, Inc. 2913 Mishawaka Avenue, South Bend, Indiana, stated that he is a local investor that buys sells and rehabs property in the South Bend area. He stated that does feel sorry for those people who have to live by the vacant and abandoned properties. However, when the civil penalties exceed the value of the home it make no sense in fixing up the home because there are thousands of dollars in civil penalties cited by Code Enforcement, who stated to him that they would like to see the banks pay for it because it is their own fault for loaning the money on these homes. Mr. Limpkee stated that he would like to something change in the way Code Enforcement goes about penalizing the old owner versus the new owner. Mr. Limpkee stated that when a new owner buys the home she or she should not be penalized for a prior owner's violations. He stated that he just recently paid to the Department of Code Enforcement violations on a home he just purchased going back to 1982 and 1983. He noted that is going back too far and that is one of the reasons that vacant and abandoned homes are not being sold and fixed up because people trying to purchase these homes are being penalized for a prior owner's violation. He stated that this bill is not going to have the effect that the City thinks it is going to have. 11