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Human Resources and Economic Development Committee <br /> March 11, 1991 <br /> Page 3 <br /> renovation is completed, the project will provide 15 <br /> apartments for low and moderate income tenants. The proposed <br /> improvements will contribute to the rejuvenation of the West <br /> Washington-Chapin Revitalization area as well as to continue <br /> to provide affordable housing within the area. The project <br /> cost is estimated at $677,500.00. <br /> She noted that the property qualifies for a 10 year real <br /> property tax abatement under Section 2-77(d) (2) of the South <br /> Bend Municipal Code. <br /> Mr. Jeffery V. Gibney, the Executive Director of South Bend <br /> Heritage Foundation, then provided additional information <br /> with regard to the proposed project. He noted that the <br /> appearance of the southeast corner of LaPorte and Colfax <br /> will change dramatically, as the aluminum and asphalt <br /> sidings are removed and the traditional porches are <br /> recreated and the original style of the homes are restored. <br /> He further noted that this project will be financed in part <br /> through the syndication of Low-Income Tax Credits and <br /> Historic Preservation Tax Credits. The owners are committed <br /> to renting the apartments to low-income tenants for 30 <br /> years, and thus will result in controlled rents over that <br /> period of time. He noted that over 14 attorneys are involved <br /> in reviewing the various legal documents involved in the <br /> transaction. A maximum income to live in the apartments <br /> would be $20,700.00. He noted that Society Bank and Standard <br /> Federal Bank are two local banking institutions involved in <br /> the project. <br /> Council President Niezgodski congratulated South Bend <br /> Heritage for undertaking this project, which he believes <br /> will be a definite compliment to this historic area. Council <br /> Member Slavinskas questioned the formula used by the <br /> Department of Economic Development in determining the amount <br /> of taxes to be abated. He was advised that the Department <br /> utilizes the 1/3 formula to show the maximum amount of taxes <br /> that could be abated. <br /> Following further discussion, Council President Niezgodski <br /> made a motion seconded by Council Member Duda, that <br /> Resolution No. 91-18 be recommended favorably. The motion <br /> passed. <br /> Council Member Luecke then questioned whether the Council <br /> Members each desired to continue to receive an individual <br /> copy of the tax abatement reports from the Department of <br />