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40 CITY OF SOUTH BEND I OFFICE OF THE CLERK
<br /> Committeemember John Voorde made a motion to send Bill No. 08-19 to the full Council with a
<br /> favorable recommendation. Committeemember Williams-Preston seconded this motion which
<br /> carried by a voice vote of four(4) ayes.
<br /> Bill No. 09-19- March 2019 Appropriation Ordinance- Enterprise Funds
<br /> Mr. Parker stated, This is the same as the previous bill, but this is for the Enterprise Funds as
<br /> opposed to the Civil City Funds.Again,we try to get buckets.The first(1st)unanticipated expenses
<br /> is the $200,000 which will augment the clean-up for the former Drewry's Brewery site. So,
<br /> $200,000 is requested and will go before the Redevelopment Commission Thursday of this week
<br /> and then $200,000 is being requested from the Enterprise Fund, specifically, the Consolidated
<br /> Building Fund. That represents a spend-down from reserves but will kick-off the clean-up for the
<br /> Drewry's Brewery. The rest of the items on there, under the administrative items, the first (1st)
<br /> bucket of those are related to debt payments that were due in January of this year. Traditionally,
<br /> those debt payments are made in December of the year prior to them being due. So, these were
<br /> budgeted in December of 2018, but they were not actually made until January 2nd, 2019. So, they
<br /> were budgeted in 2018 and we just need to carry that budget forward into 2019. The last item on
<br /> there is actually a reduction in appropriations related to the storm water fees. That won't start until
<br /> midway through the year, so we are reducing expenses that are to be paid from those storm water
<br /> fees, accordingly. I'm happy to answer any questions you have.
<br /> Committee Chair White stated, I know for the Drewry's site, I know citizens have really, for a
<br /> long period of time, been requesting we respond to the unsafe condition. Will we, as a City,
<br /> actively go after the developer so we can get some of these funds back?
<br /> Dan Buckenmeyer, Director of Business Development for the Department of Community
<br /> Investment with offices located on the 14th floor of the County-City Building,replied,As Dan said,
<br /> this is part of a funding stack.We are requesting$200,000 here,another$200,000 will be requested
<br /> from the Redevelopment Commission out of TIF Funds and then some Code funding will cover
<br /> any over and above that when we go to bid. Anything we spend in cleaning up and remediating
<br /> this property, those funds will be applied to the property tax bill of this property. Another thing
<br /> important to note is that we are working right now to assure that on the property owner's May bill,
<br /> in addition to taxes due right now, $70,000 in civil penalties will be applied to it. So, one (1) of
<br /> two (2) things will happen. The land owner will pay for all the work we have done, to the tune of
<br /> about,by the end of this year, $500,000, or, the process will start to ensue in which taxes have not
<br /> been paid and the property will eventually revert back to the City.
<br /> Committeemember Broden asked, With regard to the reserves in the Consolidated Building Fund,
<br /> will those be at an adequate level? How would this change that?
<br /> Mr. Parker replied,Yes. There is close to $2 million in reserves in the Consolidated Building Fund
<br /> so, this will bring that down slightly,but they will still be well-above their reserve requirements.
<br /> Committeemember Broden followed up, Ok, great, and then is there any salvage potential for the
<br /> bricks and items that are there?
<br /> EXCELLENCE ACCOUNTABILITY I INNOVATION j INCLUSION I EMPOWERMENT
<br /> 455 County-City Building 227 W.Jefferson Bvld South Bend,Indiana 46601 p 574.235.9221 1574.235.9173 TD574.235.5567 www.southbendin.gov
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