07-25-83 Council Meeting Minutes

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r,_ a_ , 0 REGULAR MEETING JULY 25, 1983 BILL NO. 72 -83 A BILL APPROVING THE FORM AND TERMS OF THE LOAN AGREEMENT, INDENTURE OF TRUST, AND ECONOMIC DEVELOPMENT REVENUE BONDS, AND AUTHORIZING THE EXECUTION THEREOF, AND APPROVING THE RESOLUTION OF THE SOUTH BEND ECONOMIC DEVELOPMENT COMMISSION RELATING TO THE PARK CENTER ASSOCIATES PROJECT. This being the time heretofore set for public hearing on the above bill, proponents and opponents were given an opportunity to be heard. Kevin Butler, attorney representing Park Center Associates, made the presentation for the bill. He indicated the facility would be located in the Monroe Park Urban Renewal Area at Marietta and Sample. He indicated the project would cost $820,000 and they were asking for a $650,000 bond issue. He indicated they would hire approximately 22 new employees. Council Member Szymkowiak made a motion to recommend this bill to the Council favorable, seconded by Council Member Harris. The motion carried. Council Member McGann indicated that due to the fact that the Council had prior documenta on Bill No. 71 -83 he felt there should be public hearing and second reading on the bill at this meeting. He made a motion to reconsider Bill No. 71 -83 for public hearing and second reading, seconded by Council Member Serge. The motion carried. Kenneth Feddef,- attorney for the Economic Development Commission, described the changes made in th.e- ,substitute bill on file with the City Clerk. He indicated the bond issue was for St. Paul's Retirement Center, in order to refinance the construction indebtedness to fund a debt service reserve fund to pay certain principal and interest on the original bonds. He indicated the original bonds were in default and in order to alleviate the financial deficiencies it was necessary to refinance. Kevin Butler, attorney representing Brethren Care, spoke in favor of this bill. Council Member McGann made a motion to recommend this bill to the Council favorable, as amended, seconded by Council Member Taylor. The motion carried. BILL NO. 70 -83 A BILL OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, AMENDING CHAPTER 2, ARTICLE 6 OF THE MUNICIPAL CODE OF THE CITY OF SOUTH BEND, INDIANA, ENTITLED TAX ABATEMENT PROCEDURES. This being the time heretofore set for public hearing on the above bill, proponents and opponents were given an opportunity to be heard. Council Member Taylor made the presentation for the bill. He indicated a substitute bill had been filed with the City Clerk. Council Member Beck made a motion to accept the substitute bill, seconded by Council Member Harris. The motion carried. Council Member Taylor indicated that due to a change in State law, the Council was mandated to change our tax abatement procedure. He indicated that through a series of Committee meetings the original bill has been streamlined; such as, eliminating Area Plan and the Redevelopment Commissi however, the Redevlopment staff has been retained to handle the process. Council Member Voorde indicated that the bill should be amended on page 4, paragraph (g) in order to grandfather personal property abatements. Kathy Cekanski- Farrand, Council attorney, indicated after the word "expire" the following should be added: "so that new improvements in the urban economic revitalization area are eligible for tax abatment only if said new improvements are substantially completed and certified within a three - -(3) year period commencing with the effective date of the declaratory resolution." Council Member Voorde made a motion to amend the bill, seconded by Council Member Beck. The motion carried. Council Member Voorde indicated he would like to further amend the bill. He made a motion to continue this bill until August 8, seconded by Council Member Harris. The motion failed. - Council Member Taylor made a motion to recommend this bill to the Council favorable, seconded by Council Member Beck. The motion carried. Council Member Beck made a motion to recess, seconded by Council Member McGann. The motion carried and the meeting was recessed at 8 :02 p.m., and reconvened at 8:30 p.m. BILL NO. 73 -83 A BILL FIXING MAXIMUM SALARIES AND WAGES OF APPOINTED OFFICERS AND EMPLOYEES OF THE CITY OF SOUTH BEND, INDIANA, FOR THE YEAR 1984. This being the time heretofore set for public hearing on the above bill, proponents and opponents were given an opportunity to be heard. Joseph Kernan, City Controller, made the presentation for the bill. He indicated that 1984 salaries for union employees were established last year. He indicated that non -union employees were proposed at a 4% increase over the 1983 level. He indicated the positions of City Attorney, City Engineer, Superintendent of Parks, Redevelopment Director and City Controller will receive no increase. He indicated that several other positions are proposed to have additional adjustments for 1984 in order to correct disparities, these positions include: chief inspector and inspection II in Neighborhood Code Enforcement; director of museums, senior curator, theatre director, assistant City attorney; personnel coordinator; front -line supervisors of union personnel, manager of the Bureau of Waste - Water, Manager of the Bureau of Sanitation and several positions in Community Devlopment. He indicated that because Community Development is on the same fiscal year their salary ordinance has been incorporated into this bill. He indicated that total salaries are now shown for each position eliminating the confusion of footnotes on multi- funded positions. Joseph Simeri, attorney for the School Crossing Guards, indicated this bill was going to provide a four percent increase for all non -union employees. He indicated the grossing guards were not getting the four percent increase. He indicated the Crossing Guards had enter into an agreement with the City two years ago, and the City was not honoring this contract. He asked the Council to vote no on this bill. Terry Miller, .on 1 1 I �J