9735-07 Appropriating Fund # 434 $1,000,000

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ORDINANCE NO. ~ 35-0 AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, APPROPRIATING $1,000,000.00 OF INDIANA COMMUNITY REVITALIZATION ENHANCEMENT DISTRICT INCREMENT FUNDS WITHIN THE INDUSTRIAL DEVELOPMENT FUND, FUND 434, FOR THE PURPOSE OF DEVELOPMENT AND REDEVELOPMENT WITHIN THE CITY OF SOUTH BEND STUDEBAKER/OLIVER COMMUNITY REVITALIZATION ENHANCEMENT DISTRICT Statement of Purpose and Intent: This Council approved a Resolution on June 10, 2002 authorizing the mayor to submit an application to the South Bend Advisory Commission on Industrial Development (Commission) that would allow for the designation of a Community Revitalization Enhancement District (CRED). The South Bend Advisory Commission on Industrial Development approved and designated a CRED entitled the "City of South Bend Studebaker/ Oliver Community Revitalization Enhancement District" on July 13, 2002. The City of South Bend received $1,000,000.00 of gross retail sales tax and income tax revenue for Fiscal Year 2006 from the Indiana Department of Revenue for use in the South Bend CRED. According to Indiana Code 36-7-13-5(c), the Council may not conduct any business requiring expenditures from the Industrial Development Fund without the approval, in writing, of a majority of the members of the South Bend Advisory Commission on Industrial Development. The Commission met on November 8, 2005 and adopted Resolution No. 3-2005 pledging income tax and gross retail incremental amounts received from the State of Indiana to repayment of the Section 108 Loan between the City of South Bend and the U.S. Department of Housing and Urban Development. The Commission subsequently met on December 7, 2006 and adopted Resolution 6-2006 making recommendations to the South Bend Common Council on the expenditure of income tax and gross retail incremental amounts received from the State of Indiana for Fiscal Year 2006. It is necessary to appropriate these funds for the purpose of revitalization work in the Studebaker/Oliver CRED. NOW, THEREFORE, BE IT ORDAINED by the Common Council of the City of South Bend, Indiana, as follows: Section I. The sum of $1,000,000.00, plus interest earned thereon, from the tax increment revenues from the CRED is hereby appropriated and set aside within Fund 434 for repayment of the Section 108 Loan for the Studebaker/Oliver Redevelopment Project.