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CITY OF SOUTH BEND OFFICE OF THE CLERK Committeemember Dr. Davis followed up, So, basically you are still waiting on that but there is still the possibility but, in the meantime, the $7 million is what you're talking about. Mr. Matthews replied, Right, so, we don't want to get caught in a year and a half and not have a grocery store. I need to have a backup plan. If we can't get somebody who makes it easy for us, signs a lease and takes care of it, we still know that we have to provide it. So,what do we want me to provide, specifically? How do we want to define full service grocery store with pharmacy? There has been discussion from the City saying the pharmacy needs to be located in the grocery store. I think the entire development counts. Can I put the pharmacy where the pharmacist wants to go? Along the hallway in the Commerce Center with better signage? How do we want to have these conversations? Councilmember White asked,Are you asking the Council,based on your presentation,to give you feedback on how we vision a full-service grocery store? Or are you just giving us an update on the challenges? Mr. Matthews replied, I basically see two (2)paths. One (1)path is the assumption and intent that we had. The other is what do we put in the legal document and the attorneys say, ok. I must satisfy the legal document because, if I don't, that is incredibly lethal. But then I also want to satisfy as much of the intent as practical. It's been years. So, we wanted to come to the City and see what you guys know, let you know what is going on, and let you in on our current situation to see what is really important to you. Councilmember White followed up, Is there a timeframe on that in terms of giving feedback? Mr. Matthews replied, You can call me, text me. You can give it here. Committee Chair Ferlic stated, I would say since Community Investment is leading the discussion, I would say reach out if you do have thoughts about what the definition of a full-service grocery store is. Committeemember Copelin asked, How does the definition of that affect the overall project funding? Mr. Matthews replied, We've always budgeted for the grocery store to not pay much rent, to incentivize them to get in. So,on the plus side,it doesn't really affect our financials no matter what we do because we weren't expecting to get much from all the conversations we had with Martin's. They saw it as a civic community long-term investment more so than a no-brainer decision. That is part of the reason why,to get them to the table,there was the conversation about all the different funding sources. From a banking standpoint, our lender Centier Bank does have concerns. They mostly stem from the marketability of the apartments without having a grocer lined up. They've asked us to make some concessions and make them feel confident with their private investment. So, they are secure. The State and the Regional Cities funds, they feel confident so long as we meet the terms of our agreement and open up the grocery and pharmacy that are good. Committeemember Dr. Davis asked, Can you also include our attorney in those discussions, as you look for those definitions and as we work on that? That would be helpful. Mr. Matthews replied,Yeah,we have the two(2)paths.We have the intent and then the document. EXCELLENCE I ACCOUNTABILITY i INNOVATION INCLUSION EMPOWERMENT 455 County-City Building 227W.Jefferson Bvld South Bend,Indiana 46601 p 574.235.9221 f 574.235.9173 TTD574.235.5567 www.southbendin.gov 10