04-24-78 Council Meeting Minutes

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Be it remembered that the Common Council of the City of South Bend met in the Council Chambers of the County -City Building on Monday, April 24, 1978, at 6:00 p.m. Council President Parent presiding. The meeting was called to order, and the Pledge to the Flag was given. ROLL CALL PRESENT: Council Members Serge, Szymkowiak, Miller, Taylor, Kopczynski, Adams, Dombrowski, Horvath and Parent. ABSENT: None REPORT FROM THE SUB - COMMITTEE ON MINUTES To the Common Council of the City of South Bend: Your sub - committee on the inspection and supervision of the minutes would respectfully report that it has inspected the minutes of the April 10, 1978 meeting of the Council and found them correct. The sub - committee, therefore, recommends that the same be approved. /s/ Roger 0. Parent COMMITTEE OF THE WHOLE Be it remembered that the Common Council of the City of South Bend met in the Committee of the Whole on Monday, April 24, 1978, at 6:00 p.m. with nine members present. Chairman Frank Horvath presiding: BILL NO. 30 -78 A BILL APPROVING THE FORM AND TERMS OF LEASE AND TRUST INDENTURE AND INDUSTRIAL DEVELOPMENT REVENUE BONDS, AND AUTHORIZING THE EXECUTION THEREOF PERTAINING TO THOMAS S. DREISBACH AND LORIE DREISBACH. This being the time heretofore set for public hearing on the above bill, proponents and opponents were given an opportunity to be heard. Mr. Kenneth Fedder, attorney for the Economic Development Commission, made the presentation for the bill. He indicated that this $525,000.00 bond issue was to finance the Navarre Cadillac /Oldsmobile dealership. Council Member Kopczynski made a motion to recommend this bill tip, Council favorable, seconded by Council Member Dombrowski. The motion carried. BILL NO. 31 -78 A BILL APPROVING THE FORM AND TERMS TRUST INDENTURE AND INDUSTRIAL DEVE BONDS AND AUTHORIZING THE EXECUTION TAINING TO ROBERT JOHN DeNOOYER AND DENOOYER AND JERRY LEE DENOOYER AND DENOOYER. OF LEASE AND LOPMENT REVENUE THEREOF PER - ANITA RUTH JOANE GRACE This being the time heretofore set for public hearing on the above bill, proponents and opponents were given anopportunity to be heard. Mr. Kenneth Fedder, attorney for the Economic Development Commission, made the presentation for the bill. He indicated this $600,000 bond issue was to finance the construction of a Datsun dealership on U. S. 31 north. He indicated this had been approved by the County Council. He said there would be twenty new jobs created. Council Member Szymkowiak made a motion to recommend this to the Council favorable, seconded by Council Member Dombrowski. The motion carried. BILL46 -78 A BILL WITH RESPECT TO CERTAIN OFF-STREET PARKING FACILITIES OF THE CITY OF SOUTH BEND, INDIANA, AND THE REFINANCING OF THE CITY'S OFF- STREET PARKING REVENUE BONDS, SERIES 1969 PROJECT: AND AUTHORIZING THE CONVEYANCE OF SAID PARKING FACILITIES TO PARKING FACILITIES OF SOUTH BEND, INC., AND THE EXECUTION OF A LEASE AGREEMENT. This being the time heretofore set for public hearing on the above bill proponents and opponents . were given an opportunity to be heard. Mayor Peter J. Nemeth indicated that the present parking garages have been an albatross around the neck of the City. Mr. Peter Mullen, City Controller, made the presentation for the bill. He passed out a new page 4 to the lease agreement, as well as a copy of the articles of incorporation. He asked that the blanks be filled in on the lease agreement: On page 3 - enter St. Joseph Bank, as trustee; on Page 8 insert the figure-6f- $1,000,000 for the insurance liability; on page 23 insert St. Joseph Bank, 200 S. Michigan St., South Bend. He said the 1969 parking garage bonds have been in technical default since issue. He said the ordinance for the 1969 bond prevented the removal of the parking meters. He indicate( that the City would realize a one -half million dollar savings on the life of the issue. The City will sell the parking garages to the corporation and it will lease the facilities back for approximately thirty years. He said the City will have the same control. He said when the lease ends the title will revert back to the City. He said that Mr. Michael Borge, senior counsel for the bond company,Mr. Bud Deahl, Mr. Bob Parker and Mr. Gordon Medlock were in the Chambers. Council Member Adams questioned the language on page 15, section 13.02. Mr. Robert Parker, Deputy City Attorney, indicated that this was standard language as recommended by the bond counse= She indicated that in Section I of the Ordinance it does not indicate that the lease should go to the Board of Works. Mr. Parker indicated that this lease has been submitted to the Board of Works and approved -. He said the lease does not actually have to be signed by the Board of Works. She indicated that any changes in the lease ..should be approved by the Board of Public Works. Mr. Michael Borge indicated that permiting the mayor to make minor changes is standard language, but there was no objection to permiting the Board of Works to approve any change. She made a motion to add "and the Board of Works" after approval by the mayor in Section I, seconded by Council Member Kopczynski. The motion carried. Council President Parent asked what changes were made on page 4. Mr. Parker indicated the change is the advance rental payment. Council President Parent asked why this provision was made. Mr. Parker indicated that it was necessary that the initial payment go into the Sinking Fund. Mayor Nemeth indicated the $425,000 comes from differ- ent sources. He said there is approximately $345,000 in that fund and the City will have to add around $80,000. He said the $425,000 will be invested and the City will earn interest on this money. Council Attorney Cathy Cekanski - Farrand, asked if the present ordinance would be amended or repealed. Mr. Mullen indicated that when they get the consent required a new bill would be filed regarding the present ordinance. Council President Parent made a motion to