06-27-73 Council Meeting Minutes

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REGULAR MEETING JUNE 27, 1973 COMMITTEE OF THE WHOLE MEETING (CONTINUED) Councilman Kopczynski seconded the motion to amend. The motion carried. Mr. Robert Parker, Chief Deputy City Attorney, made the presentation for the ordinance. The general description of the proposed annexation is as follows: A tract of land generally described as the south and central part of Clay Township and bounded on the north by Brick Road, on the south by the Indiana Toll Road, on the west by the city limits and Lilac Road, on the east by Hickory Road, also a mile wide section along U.S. 31 from the state line to Brick Road. _ Mr. Parker indicated that, between 1865 and 1972, the city has annexed 142 times by ordinance. In 1973, there have been two such annexation ordinances. He indicated that the territory to be annexed consists of 3,452 acres of land. The area contains 5.39 square miles, 72 miles of streets and 2.6 miles of state highway. Based on the 1970 census, the population of the area is 10,830. The area is primarily residential with 2,991 residential units, 120 commercial and business structures and 7 industrial structures. Mr. Parker indicated that the boundary change by the proposed amendment occurs in the northeast part of the area and follows section lines and recorded plats. He also indicated that the primary purpose of the amendment is to assure that there are three persons per acre in order to meet statutory requirements of the annexation law. The requirements for annexation are as follows: (1) there must be one - eighth contiguity to the existing city limits, and the area proposed to be annexed is 13.5% contiguous to the present city limits of South Bend; (2) there must be three persons per acre, and the area proposed to be annexes contained 3.13 persons per acre. Since 1970, 400 to 500 houses have been constructed in the area; and (3) the city must have a definite policy for servicing governmental and proprietary services to the area within three years and must be similar to other areas of the city that have similar population, and land use, etc. The services to be furnished the proposed annexed area have been included in the resolution adopted by the Board of Safety. Mr. Parker indicated certain pro- visions may be inserted into the ordinance and the effective date of annexation may be postponed. He indicated that the Common Council may also, by ordinance, impound taxes for a period not to exceed three years and use the impounded taxes for improvements and supplying services to the area This provision has been contained in the proposed ordinance. Mr. Parker indicated that the pro- visions are not mandatory. He briefly talked about the merits of annexation and inquiries into annexation in order to determine if the annexation is in the best interests of the city and the area to be annexed. He indicated that the city had guidelines that can be followed and have been followed. He talked briefly on the cases in Indiana and the findings of the courts. The findings upholding annexation are as follows: (1) the city and the area to be annexed are economically and socially joined; (2) the business, church life, social and educational facilities are used by the residents of both areas; and (3) the economic and social factors are an intregal part of'the city. Mr. Parker indicated that a few of the services in the best interests of the area to be annexed are a better control of the environment, a superior street repair and maintenance program, better snow removal, city police and fire protection, street lighting, reduced fire insurance rate city ambulance service, city sewer and water service as the nature of the soil in certain areas is not conducive to septic tanks. The benefits to be received by the city would be environmental control in health standards, uniform building codes, traffic control, bonding power, additional residential building sites and a guide and protection for future growth. He mentioned that a city cannot annex for the sole purpose of increasing its tax revenues. He briefly explained about the fire insurance rating, indicating that Clay Township is Class 9 in insurance rating and South Bend is Class 3. He used, for an example, a $20,000 dwelling with a rate of $95 in Clay and $68 in South Bend. He indicated that there was a 30% differential between Class 9 and Class 3. He touched briefly on the assessed valuation and indicated that the total assessed valuation for the proposed area is $18,368,822. He indicated that the increase in the bonding capacity for South Bend would be $367,000. Mr. Parker then talked about the resolution adopted by the Board of Public Safety and the services to be provided to the annexed area. He indicated that the city would have employed 264 policemen with additional men included in the budget for future years. The present proposal called for four police cars in the proposed area for various shifts during the day. Therc would be one sergeant for the area and each patrol car would have a coverage of less than two mile; He indicated that the County Sheriff's Department only has two patrol cars in Clay Township. Mr. Parker indicated that fire protection would be based upon the present proposals of two stations. One of the stations might possibly be the acquisition of the present Clay Fire Station on'Clevelanc Road. He indicated that if the acquisition of this station was not desirable, a new station would be constructed in that area. The second station would probably be on U.S. 31 near Auton Road. He indicated that the cost of this would be $400,000, funded by general obligation bonds of the City of South Bend, or $28,380 per year. The equipment allocation had been figured at $285,000 for an annual cost. Manpower had been estimated at $340,000, which would result in 12 full -time firemen on duty at all times within the area on two shifts. He indicated that the city has 260 firemen on duty at the present time. Mr. Parker again briefly talked about the fire insurance rates and indicated that police and fire protection for the proposed area would be immediate upon the effective date of the annexation. On the proprietary services to be provided to the proposed area, the Board of Public Works established a time table for furnishing the servic( There would be street maintenance at an annual cost of $290,952 provided immediately upon the effective date of the annexation. Street lighting would be undertaken over a three -year period of time at an annual cost of $86,400. There would be no allocation made for sanitation, trash and garbage removal because the city has instituted a trash pick -up program. A separate corporation would furnish bus service to the proposed area at an expense to the city of $40,411. Mr. Parker indicated that the tax rate of $5.04 had been used, and the service would be provided to the pro- posed area almost immediately. As far as sewers, he indicated that the city was primarily con- cerned about the trunk sewers and two lift stations. The total cost of the construction of the trunk sewers would be $1,070,000. The project would be completed within a three -year period. The financing for the project would occur through federal sewer and water grants, 75% funded by the federal government, 10% on the state level and 15% on the local level, with the local level cost being $160,500. Mr. Parker indicated that the sewers would be constructed under the Barrett Law, and he mentioned that most of the sewers installed in the city in the past have utilized that pro- cedure. If financing could not be obtained from federal funds, the city would have the bonding capacity to float loans based on 5% interest for a 25 -year term and an annual cost of $75,919. Acquisition of the Clay Utilities, Inc. was estimated at $120,000. For capital improvements in the area of parks, a cost of $82,000 was estimated over a three -year period. Mr. Parker indicated that the Board of Water Works Commissioners adopted a resolution providing for feeder mains to serve the proposed area. If needed, additional water supply would be available within 18 months of the effective date of annexation. The estimated cost would be $819,000 financed through a Is.