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South Bend Commission <br />Regular Mee �edevelopment <br />ing - February 20, 1981 <br />6. NEW BUSINESS <br />c. continued... <br />Mrs. Baumgartner: I have no problem with that. <br />Mr. Cira: The think I don't like about it, and I am <br />not saying that it is going on, is I feel there could <br />be some conniving going on between the contractor and <br />whoever is releasing the loans. If it were a bid <br />Situation, there would be no possible way that could <br />hap en. <br />Mrs Baumgartner: I have no problem with that. The <br />onl3 thing I can mention is that when HUD came in on <br />the 312 review, they felt we had taken the fairness <br />sta Bard to the absurd by bidding the 312 Loans. I <br />agr e with you wholeheartedly, and I do want to say <br />that once again we will deal with the problem that <br />you brought up. I would like to meet with you (Mr. <br />Brown) whenever it is convenient for you and I will <br />address the problem that may or may not exist at the <br />Bur au and report back to the Commission. <br />Mr. Nimtz: The Chair will direct that Mr. McMahon <br />meet with Kathy and review this entire situation and <br />give us a report within the next two meetings, if at <br />all possible. Kevin, I think you should have your <br />thoughts in on this matter too because I think there <br />might be some question in that these are private <br />loans and the part of government is guaranteeing the <br />loan, just like a VA loan, and if it isn't repaid <br />how much you can tell the private lender and the <br />bor owes as to how he can spend his money. <br />Mr. Butler: I would imagine that the Legal:'Depart- <br />ment is reviewing all of this and it probably would <br />be a duplication for me. <br />Mr. McMahon: They are in the process of going through <br />the whole thing and coming up with some guidelines. <br />Let me talk with them and I will sit down with Kevin <br />and we will review it. <br />Mr. Nimtz: Mr. Brown, we are pleased to have had you <br />here this morning and bring this to our attention. <br />We have had some difficulty with inspectors who really <br />are not our employees, but who we supervise as well as <br />the entire program, and the quality of some of these <br />inspectors has been lacking. I think the City Admini- <br />str tion has made a number of changes, but I am in- <br />ter sted in who this inspector might be who you have <br />24 <br />