1998-09-21 Redevelopment Authority Minutes

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• The South Bend Redevelopment Authority September 21, 1998 Meeting Treasury Bills will mature a week before the payment on the Century Center bonds is required, so if the money from the Treasury Bills is needed for the payment it would be available. Upon a motion by Mr. Alvarez, seconded by Ms. Pfotenhauer, the Authority unanimously approved the purchase of the Treasury Bills. c. Approval of Certification of the South Bend Redevelopment Authority concerning Insurance and Tax Liability for the Airport Economic Development Area Public Improvement Project. (Taxable Improvement Project) Mrs. Kolata stated that the Bond Trustee requires a certification that insurance is in place and all taxes have been paid on property associated with this bond issue. The City does not pay property tax, but must check to make sure no outstanding taxes are due. Mr. Alvarez asked about the insurance for the properties the City owns: is it an umbrella policy for the City? Mrs. Kolata stated that the City is self insured, and reviews its holdings with its insurance company every year. For a typical bond issue with an improvement such as a parking garage, the insurance proceeds would pay to replace the garage if the garage was destroyed during the • life of the bond. This is basically replacement policy insurance. Most of the money from this bond issue is used for buying land, which is not likely to be destroyed. The terms of the bond issue are such that payments cannot be made unless the project is operational, and the insurance enables a project to be rebuilt so that the payments can be resumed. Most of the bond issue was used to purchase land, which is undeveloped, but street construction was also part of the bond issue and the streets would need to be replaced if they were destroyed for some reason. Upon a motion by Mr. Alvarez, seconded by Ms. Pfotenhauer, the Authority unanimously approved the Certification of Insurance and Tax Liability for the Airport Economic Development Area Public Improvement Project. 4. CLAIMS BLACKTHORN GOLF COURSE OPERATION AND RESERVE ACCOUNT Norwest Bank Indiana, N.A. Trustee Fees for 9-1-97 through 8-31-98 $1,091.60 Upon a motion by Ms. Pfotenhauer, seconded by Mr. Alvarez and unanimously carried, the Authority approved the claim submitted September 21, 1998. • 5. NEXT MEETING DATE: October 5, 1998.