04-23-73 Council Meeting Minutes

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REGULAR MEETING APRIL 23 197 REGULAR MEETING - RECONVENED (CONTINUED) Councilman Kopczynski indicated that Allied was a stock corporation, and he wondered why the corporation had not tried to obtain the bonds through the open market. Mr. Fedder indicated that this was strictly a matter of funding. Councilman Kopczynski asked if the bonds would be subject to the Securities and Exchange Commission, and Mr. Fedder indicated they would be. He also mentioned that there are certain requirements that have to be maintained, and, because of the size of the bond, there was no local institution able to handle that large an amount. He indicated that the amount could be possibly prorated through all the local banks. Councilman Kopczynski asked about the advantage of going through the Economic Development Commission. Mr. Fedder indicated that the State of Indiana was one of the last states to allow the use of Economic Development Revenue Bonds for these purposes and that there are certain benefits to be derived by the bondholder. He mentioned that this was also an inducement to businesses and there was a tax savings on the bonds. Councilman Kopczynski asked about the monetary advantage, and Mr. Fedder indicated that the monetary value would come to the people holding the bonds. Councilman Kopczyns asked if the bondholder paid income tax on the interest received, and Mr. Fedder indicated that they did not. Councilman Parent made a motion that the resolution be adopted, seconded by Councilman Taylor. T resolution passed by a roll call vote of nine ayes (Councilmen Serge, Szymkowiak, Miller, Parent, Taylor, Kopczynski, Horvath, Newburn and Nemeth). RESOLUTION NO. 370 -73 A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND APPROVING THE URBAN RENEWAL PLAN AND THE FEASIBILITY OF RELOCATION FOR THE NEIGHBORHOOD DEVELOPMENT PROGRAM PROJECT NUMBER IND. A -10. WHEREAS, under the provisions of Title I of the Housing Act of 1949, as amended, the Department of Housing and Urban Development Administrator is authorized to provide financial assistance to Local Public Agencies for undertaking and carrying out urban renewal projects; and WHEREAS, it is provided in such Act that contracts for financial aid thereunder shall require that the Urban Renewal Plan for the respective project area be approved by the governing body of the locality in which the project is situated and that such approval include findings by the governing body that: (1) the financial aid to be provided in the contract is necessary to enable the project to be undertaken in accordance with the Urban Renewal Plan; (2) the Urban Renewal Plan will afford maximum opportunity, consistent with the sound needs of the locality as a whole, for the rehabilitation or redevelopment of the urban renewal area by private enterprise; (3) the Urban Renewal Plan conforms to a general plan for the development of the locality as a whole; and (4) the Urban Renewal Plan gives due consideration to the provisions of adequate park and recreational areas and facilities, as may be desirable for neighborhood improvement, with special consideration for the health, safety, and welfare of children residing in the general vicinity of the site covered by the Plan; and WHEREAS, the City of South Bend, Department of Redevelopment (herein called the "Local Public Agency "), is now operating under a letter to proceed which will lead to a loan and grant contract for financial assistance under such Act with the United States of America, acting by and through the Secretary of Housing and Urban Development, pursuant to which Federal funds were provided for the urban renewal projects within the Neighborhood Development Program (herein called the "Project "), identified as "Model Neighborhood #1 and Southeast Neighborhood #1" and encompassing an area respectively by a line drawn as follows: Model Neighborhood #1 Beginning at a point on the southerly right -of -way line of Orange Street and the westerly right -of -way line of Olive Street; thence in a northerly direc- tion along the westerly right -of -way line of Olive Street to the northerly right -of -way line of Linden Avenue; thence in an easterly direction along the northerly right -of -way line of Linden Avenue to the easterly right -of -way line of Sadie Street; thence in a southerly direction along the easterly right -of- way line of Sadie Street to the southerly right -of -way line of Orange Street; thence in a westerly direction along the southerly right -of -way line of Orange Street to the westerly right -of -way line of Olive Street which is the place of beginning, containing approximately 319,000 sq. ft. Southeast Neighborhood Area #1 Part of the Northwest 1/4 Section 13, Township 37 North, Range 2 East in the City of South Bend, Indiana, more particularly described as follows: Beginning at the intersection of the West line of the North -South alley adjacent and East of lots AF, AG, and AH in the Plat of the Commissioner's Subdivision of Lots 1 and C and the North line of Paris Street; thence southerly along the West line of said North -South alley extended to the south line of the East -West alley between Paris Street and Pennsylvania Street; thence easterly along the south line of said East -West alley to the intersection of the east line North -South alley adjacent and east of lot 73 in the Plat of Elder Place extended southerly; thence northerly along the east line of said North -South alley extended southerly and the east line of the North -South alley adjacent and east of lots 73, 52, 35, and 19 in the Plat of Elder Place to the intersection with the north line of the East -West alley adjacent and north of said lot 19 extended easterly; thence westerly along the north line of said East -West alley extended and the north line of the East -West alley adjacent and north of lots 2 through 19 in the Plat of Elder Place and the north line of said East -West alley extended westerly to the intersection with the west line of the North -South alley adjacent and east of lots AF, AG, and AH in the Plat of the Commissioner's Subdivision of lots 1 and C extended northerly; thence southerly along the west line of said North -South alley extended northerly and the west line of said North -South alley to the point of beginning, containing approximately 481,000 sq. ft.