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discussion ensued over topics related to housing and included: predatory lending, redevelopment strategies, crime, and funding challenges to name a few. As an FYI, South Bend's Code Enforcement Department classifies a vacant property as abandoned after a six-month period. The City of South Bend estimates that the vacancy rate for non -apartment dwellings is somewhere between 6.3% and 6.8%. Although both officials did not rebut public assessments that pockets of housing stock in the inner city could exceed vacancy levels of 30% or even 40%. City officials were actively inviting input and suggestions from the public. On Saturday, I attended the Annual membership Meeting of the Near -Northwest Neighborhood, Inc. (a local Community Development Corporation) here in South Bend. Many of South Bend's public officials were in attendance. Mayor Luecke had an opportunity to thank and encourage the efforts of the Near Norwest Neighborhood in reclaiming blighted neighborhoods. However, he also revealed that funding opportunities for this work and mission would soon be at a premium. Harmonious with the meeting earlier in the week, the Mayor reinforced the property tax relationship and disparity between the suburbs and the inner city. Recent legislation down state enacted a 2% circuit breaker designed to limit the hardship for those that pay a rate higher than that — beginning in 2008. Unfortunately, this will have a negative effect upon City and County operating budgets. I wanted to report on these events this evening as the implications of these hardships may severely impact this office. It is conceivable (likely) that we will find opportunities as well as challenges for residential properties that will be affected. As you know large concentrations of inner city housing stock are also inside Local Historic Districts. I will recommend and explore opportunities for this Commission to assist other agencies assuming a more proactive rehabilitation strategy. Similarly, we must be on guard against, changes that will adversely affect our domain. We must also beware of imminent and drastic limits to our own funding. Since this marks a large limit our own mission success. As more information becomes apparent I will relay it to all of you. South Bend Civic Theater On a more positive note, I attended the ribbon -cutting ceremony and tour of the South Bend Civic Theater on January 4`i'. It's an outstanding example of architectural recycling and meticulous restoration. I wish to commend the SBCT for their dedication and vision toward that project and encourage the public to support their devoted artistic efforts in both theater and community. C. STAFF REPORTS Director — Catherine Hostetler Due to current budget situations, Director Hostetler suggested that the HPC move to rescind the request to increase the Director's salary. Request was Bill#005-07, to be heard by the Land Use Planning Committee. Move to rescind request: Patrick Second: Riley Approved Unanimously. Assistant Director — Amy Herdman Report distributed to Commissioners, including invitations to City Celebration kick off event on January 29, 2007. ADJOURNMENT Moved: Patrick Second: Chase Approved: Unanimously. 2