RM 02-20-76 - Laserfiche WebLink

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4. COMMUNICATIONS a. HUD Area Office letter dated February 4, 1976: This letter is STATUS over the signature of Mr. Stephen J. Havens, Director, Community AND CLOSE - Planning and Development Division, Department of Housing and OUT OF Urban Development, Indianapolis Area'Office. PROJECTS A-10, Mr. C. Wayne Brownell, Executive Director, Department of Redevelop- R -66 & ment, read the letter in its entirety in the Commission meeting. R -57 In summary, Mr. Brownell advised the letter of February 4, 1976, purports to document conclusions reached in a meeting with Ms. Jeanne Meggs and Ms. Peggy Hudgens on January 20, 1976, regarding the status and close -out of Project A -10, which is scheduled for close -out on March 31, 1976; requesting a financial plan be sub- mitted in connection with Project R -66 by February 20, 1976; and a status report on Project Indiana R -57 by May 1, 1976. A financial plan was presented to the Commission in their packets along with a copy of the February 4th letter. Mri Brownell advised this financial plan for Project Indiana R -66 has been submitted to to the Department of Housing and Urban Development, attention of Mr. Steven J. Havens, Director, Community Planning and Development Division. The Chair advised that he and Mr. Brownell worked on this financial plan last Friday and last Monday, and essentially there is no way that we can meet HUD's deadline to close out this Project: 1) Because we have some lawsuits pending that need to be settled, and 2) I believe we need the approval of the City Council in regard to this plan. The Chair further stated that if we do sell the land, we are not going to get the full amount of money to pay off the project, and that the overall original plan called for five (5) parking garages, which, of course, have not come about, and additional parking garages is something we do not need right now. He said the reason this whole thing has come up at this time is that HUD is requesting we close out these particular projects, which the Chair said'he felt cannot be done at this time -- mainly because we have some lawsuits pending. The Chair called on Commissioner Wiggins to comment, being the senior member of the Commission, whose response was: "Well, obviously, our crystal ball was cloudy as to what was to be expected in the begin- ning on this, and we have not been able to market a good bit of the deal. There are several other factors: The part of the City's share on this was predicated upon the building of parking garages- -five in number - -two of which have been constructed--the others have not, and until disposition is made of the land - -as Jay said -- there really is not the need existing for the parking garages. There is also the additional fact that in part of this, there has been some City cash money which has not been paid, and this also tends to complicate and cloud the issue. It would seem to me that the request for close -out, - 3 -