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<br /> The May 24, 2004 meeting of the Community and Economic Development Committee was
<br /> called to order by its Chairperson,Council Member Roland Kelly at 4:07in the Council Informal
<br /> Meeting Room.
<br /> Persons in attendance included Council Members Dieter,Pfeifer,Kelly,Puzzello,Varner,
<br /> Kuspa,Coleman,Kirsits and White;Mayor Stephen J. Luecke, City Clerk John Voorde, City
<br /> Attorney Charles Leone,Terry O'Brien, Community and Economic Development Director
<br /> Sharon Kendall, City Controller Rick 011ett,Ray Konc,Dan Stikowski,Phil Panzica,Gladys
<br /> Kopola,John Cower,Police Chief Thomas Fautz,Robert Henry,Michael Beitzinger,Randy
<br /> Rompola,members of the South Bend Fire Department,Tiberius Mihalache and Kathleen
<br /> Cekanski-Farrand,Council Attorney.
<br /> Council Member Kelly noted that the first item on the agenda was to review Bill No. 04-52
<br /> which is a proposed resolution which would designate the property located at 3902 West Sample
<br /> Street as an economic revitalization area for purposes of a five(5)year personal property tax
<br /> abatement for Hubbell Electrical Products,a division of Hubbell,Incorporated(Delaware).
<br /> Mayor Luecke made the presentation. He began by introducing the new Executive Director of
<br /> Community and Economic Development, Sharon Kendall.
<br /> Terry J. O'Brien,an Economic Development Specialist with the Department of Community&
<br /> Economic Development reviewed his report dated May 17,2004(copy attached). He noted that
<br /> the petitioner proposes to purchase manufacturing equipment to relocate a steel box line from
<br /> Arden,North Carolina to South Bend. The project is estimated to be$5,000,000. No new
<br /> full-time jobs would be created however the project will retain 260 full-time jobs with an annual
<br /> payroll of$13,500,000. The report concluded that the petitioner meets the qualifications for a
<br /> five(5)year personal property tax abatement under Section 2-84.2 of the South Bend Municipal
<br /> Code addressing tangible personal property tax abatement.
<br /> Mr. John Cower,Vice-President of Hubbell Incorporated made the presentation. He noted that
<br /> they have operations located in England, Scotland,and St. Louis. When he was hired he was to
<br /> close the RACO operation,however management focused on major competitive restructuring of
<br /> operations in the hope of regaining work and retaining jobs at this facility. They focused on
<br /> work skill enhancement,work reorganization, and facility improvements all of which are aimed
<br /> at expanding work and employment in South Bend During their turn-around they have gone
<br /> from a 4-day work week with limited hours to significant increased work-days and more lines
<br /> being added. He noted that the employee,manufacturing,and warehousing plans which have
<br /> been implemented are further addressed in the handouts. All of the initiatives in the
<br /> restructuring of the South Bend operations have focused on internal and external growth
<br /> opportunities. He noted that they have worked closely with the unions who have supported the
<br /> new initiatives.
<br /> Ray Konc,President of the local union representing the workers at the South Bend plant noted
<br /> that he is a 2nd generation worker at the plant,with his father having worked there for 33 years.
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