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A <br /> 'lCommitt a import <br /> 4ommuntt3 anti Commit aelozloinntnt (Camilla <br /> The March 25,2002 meeting of the Community and Economic Development Committee was called <br /> to order by its Chairperson, Council Member Karl King at 4:05 p.m. in the Council Informal <br /> Meeting Room. <br /> Persons in attendance included Council Members Varner, White, Ujdak, Coleman, Aranowski, <br /> King, and Pfeifer; Michael Beitzinger,Director of Economic Development Jon Hunt, Beth <br /> Leonard, Mr. Timothy D. Hernly of Barnes & Thornburg, Thomas J. Hall, Sean E. Kenyon, <br /> Larry Magliozzi Assistant City Attorney, Cheryl Greene,Michael J. Anderson,Peter J. Augustino <br /> Terry Bland of the 0410Uj t1$ IrDibttitU and Kathleen Cekanski-Farrand, Council Attorney. <br /> Council Member King noted that the first item on the agenda was to review Bill No. 02-19 which <br /> is a real property tax abatement request for the property located at 212 East I Salle for the project <br /> known as SBL Building Co.,LLC. <br /> Mr. Michael Beitzinger,Community&Economic Development Assistant Director summarized his <br /> report dated February 13, 2002. The petitioner is SBL Building Co., LLC which is a recently <br /> formed Indiana limited liability company composed of two(2) member limited liability companies, <br /> namely DS Building Co., LLC which has two (2) shareholders Konopa, Reagan & Kenyon, PC <br /> and TH Building Co., LLC, the equity owners of which are the partners of Tuesley &Hall, LLP. <br /> The petitioners plan to rehabilitate and convert the former South Bend Orthopedics Professional <br /> Office Building from a single medical user and medical rehabilitation tenant into a multi-user <br /> professional office building. The cost of renovation is estimated to be $685,000. Mr. Beitzinger <br /> noted that a building permit was issued on February 8th. <br /> Mr. Timothy D. Hernly of Barnes & Thornburg made a presentation on behalf of the petitioners. <br /> He presented a "Brief of SBL Building Co., LLC in Support of Petition" (copy attached) to the <br /> Committee. He contended that there is no legal requirement in Indiana law addressing the building <br /> permit issue,and that that issue is a matter of local policy. He noted that the petitioners have many <br /> qualifications which merit tax abatement consideration even though they may have "put the cart <br /> before the horse". He further noted that the Konopa law firm is near the end of their lease and that <br /> they are living on "borrowed time". He noted that he had discussed this matter with the County <br /> Auditor and the Portage Township Assessor. He noted that neither voiced any concern that <br /> petitioners did not qualify for the real property tax abatement. <br /> The Council Attorney then summarized her memorandum. <br /> Assistant City Attorney Cheryl Greene noted that she had reviewed this matter. They have read <br /> Mr. Hernly's brief and agree with the Council Attorney that there must be a finding of facts and <br /> compelling reasons in order for the Council to go forward on the tax abatement request. <br /> Sean E. Kenyon, a shareholder and local attorney, noted that their lease ran out in February of <br /> 2002, and that they are currently renting on a month to month basis. She noted that other tenants <br /> are examining her space for possible leasing. <br /> Mr. Hernly noted that the building permit was addressed in the instructions which accompany the <br /> tax abatement documents, however it is not addressed in state law. In light of the historical <br /> perspective presented by Mr. Beitzinger and the Council Attorney,if a waiver resolution is <br />