REGULAR MEETING JULY 9, 1979
<br />REGULAR MEETING RECONVENED (CONTINUED
<br />WHEREAS, the City.of South Bend has entered into a Development Agreement with FBT BANCORP,
<br />Inc. of South Bend, Indiana, and Marriott Hotels of Washington, D.C.; by its nominee RAHN
<br />Properties. II, and parties to the proposed construction of the multi -use project; and,
<br />WHEREAS, the Department of Housing and Urban Development has required the City to begin
<br />construction of the project before July 18, 1979.
<br />NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of South Bend, Indiana,
<br />as follows:
<br />SECTION I. The Mayor of the City of South Bend, through its Board of Public Works and its
<br />Redevelopment Commission, hereby is authorized to expend all funds necessary for construction
<br />costs for the public portions of the project up to and including October 1; 1979.
<br />SECTION II. This Resolution shall be in full force and effect from and after its passage
<br />by the Common Council, and its approval by the Mayor.
<br />/s /Roger O. Parent
<br />Member of the Common Council
<br />A public hearing was held on the resolution at this time. Mayor Peter J. Nemeth indicated this
<br />was phase two of a resolution passed in March, which related to architectural, engineering and
<br />development management costs. He said this resolution will cover construction fees. He said
<br />construction will commence tomorrow morning, if this resolution is adopted. He said the
<br />Marriott Hotel cannot sell the bonds until after October 1, 1979, however, if we wait to start
<br />construction there will be an inflation problem. He said the hotel was on a strict budget,
<br />and if they had to wait one year a ten percent increase in costs will.kill the project. Mr.
<br />James Grummell, 1146 Cleveland, spoke against this resolution, because the City does not have
<br />a firm commitment from the Marriott or the First Bank. Council Member Dombrowski asked if there
<br />was an established timetable for this construction. Mr. Doyle Baum, vice president of Sollitt
<br />Construction, indicated the City had a letter from Sollitt which generally answered the question.
<br />He said the garage will start now and finish in April of 1980; the hotel will start in March of
<br />1980, as well as the bank, and the construction completion will be in 1981. Council Member
<br />Szymkowiak made a motion to adopt this resolution, seconded by Council Member Dombrowski. The
<br />resolution was adopted by a roll call vote of seven ayes.
<br />BILLS, FIRST READING
<br />ORDINANCE NO. 6605 -79
<br />AN ORDINANCE AUTHORIZING THE ISSUANCE AND SALE OF $10,000,000
<br />REVENUE OBLIGATIONS OF THE CITY OF SOUTH BEND, INDIANA, FOR
<br />THE PURPOSE OF MAKING A LOAN TO RAHN PROPERTIES II IN ORDER
<br />TO FINANCE THE ACQUISITION AND CONSTRUCTION OF CERTAIN ECONOMIC
<br />DEVELOPMENT FACILITIES; AUTHORIZING EXECUTION OF A LOAN AGREE-
<br />MENT, INDENTURE OF TRUST, BOND PURCHASE AGREEMENT AND OTHER
<br />DOCUMENTS IN CONNECTION THEREWITH.
<br />This bill had first reading. Council Member Kopczynski made a motion to suspend the rules and
<br />have public hearing and second reading on this bill, seconded by Council Member Taylor. The
<br />motion carried on a roll call vote of seven ayes. This being the time heretofore set for public
<br />hearing on the above bill, proponents and opponents were given an opportunity to be heard. Mr.
<br />Kenneth Fedder, attorney for the Economic Development Commission, made the presentation for the
<br />bill. He indicated this bond issue would finance the acquisition of real estate and constructior
<br />of a facility in the "hole ". He said when the new facility is completed, the partnership will
<br />enter into an agreement with the Marriott Corporation for the operation of a hotel facility. He
<br />said it was anticipated that employment will be between 300 to 400 employees. Council Member
<br />Szymkowiak made a motion to pass this bill, seconded by Council Member Taylor. The bill passed
<br />by a roll call vote of seven ayes.
<br />BILL NO. 73 -79
<br />A BILL AMENDING ORDINANCE NO. 4990 -68, AS AMENDED, COMMONLY KNOWN
<br />AS THE ZONING ORDINANCE OF THE CITY OF SOUTH BEND, INDIANA (CHAPTER
<br />21, MUNICIPAL CODE) (WEST OF JACKSON MIDDLE SCHOOL ATHLETIC FACILITIES.)
<br />This bill had first reading. Council .Member Taylor made a motion to send this bill and petition
<br />to Area Plan, seconded by Council Member Dombrowski. The motion carried.
<br />BILL NO. 74 -79 A BILL APPROPRIATING MONIES FOR THE PURPOSE OF DEFRAYING THE EXPENSES
<br />OF THE YOUTH SERVICE BUREAU "SHELTER ", A PROGRAM OPERATED THROUGH THE
<br />CITY OF SOUTH BEND, INDIANA, FOR THE FISCAL YEAR BEGINNING 7 -1 -79 AND
<br />ENDING 6- 30 -80, INCLUDING ALL OUTSTANDING CLAIMS AND OBLIGATIONS, AND
<br />FIXING A TIME WHEN THE SAME SHALL TAKE EFFECT.
<br />This bill had first reading. Council Member Miller made a motion to set this bill for public
<br />hearing and second reading July 23, 1979, seconded by Council Member Dombrowski. The - motion
<br />carried.
<br />BILL NO. 75 -79 A BILL APPROPRIATING $50,000.00 FROM THE FEDERAL ASSISTANCE GRANT FUND,
<br />COMMONLY REFERRED TO AS THE GENERAL REVENUE SHARING GRANT FOR MOTOR
<br />EQUIPMENT TO BE ADMINISTERED BY THE CITY OF SOUTH BEND THROUGH THE
<br />DEPARTMENT OF PUBLIC PARKS.
<br />This bill had first reading. Council Member Miller made a motion to set this bill for public
<br />hearing and second reading July 23, 1979, seconded by Council Member Taylor. The motion carried.
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