02-28-00 Community & Economic Development

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Community and Economic Development Committee February 28,2000 Page 2 for additional service bays and storage for an estimated construction cost of$ 329,000. Seven(7)new permanent jobs will be created the first year with a new annual payroll of $ 181,000 and twelve(12) existing permanent full-time jobs will be maintained. Mr. Beitzinger noted the the petitioner has not been granted any previous tax abatements. The Resolution is requesting the tax abatement as a special exception under § 2-84 of the South Bend Municipal Code. Mr. G.D. McDaniels made the presentation. He noted that due to the construction of the underpass over the past 3 year period that his business declined 25-30%. The addition will more than double the size of his facility and will allow him to have additional show room space which are needed for an increase in new unit sales. The project should be completed in August 2000. Dr. Varner,the District Council Member for the area noted that this business does not have access on the west and south due to the new underpass. It was noted that McDaniels Harley Davidson has been in business since 1968 and moved to their present location in 1989. Council Member Kelly noted that the reasons set forth in § 6 noting the long standing family-owned business in the City, the economic hardship during the construction of the Ironwood underpass, the decreased access to the business among other things more than justifies favorably consideration. Mr. Beitzinger also noted that due to his location, the business brings many people from outside of the city limits into the city to do business. Following discussion, Council Member Ujdak made a motion, seconded by Council Member Kirsits that Bill No. 00-20 be recommended favorably to Council. The motion passed. The Committee then reviewed Bill No. 00-21 which is a reconfirming resolution of the declaratory resolution for the southeast corner of Niles Avenue and Corby Boulevard for a three(3)year real property tax abatement for C.D.T., L.L.C. Mr.Beitzinger reviewed his February 21,2000 report (copy attached)would would extend the designation period for nine(9) months for CDT. The extension is necessary in light of the numerous delays experienced due to contractor problems for this multi-family housing project for a total of fifteen (15)townhouses. The reconfirming resolution would give the developer another six (6) months on top of the nine (9) months for a total of 1 year 3 months to complete the first building. If the developer decides to go forward with the two (2) remaining buildings, the developer will be required to submit a new tax abatement application. Mr. Beitzinger presented a letter dated February 28, 2000 requested by the Council Attorney which verifies that the former spokesperson for the project, Dan Thorsberg,is no longer with the company, and that the new spokesperson will be Zvonko Barbalic(copy attached). In response to a question raised by Council Member King, Mr. Beitzinger verified that once the extension period is past that the petitioner will be required to submit a new tax abatement application if the project is to go further, since once the designation expires it would not be eligible.