06-09-69 Council Committee of the Whole Meeting Minutes

Home Browse Search

COMMITTEE OF THE WHOLE JUNE 9, 1969 ORDINANCE AN ORDINANCE OF THE CITY OF SOUTH BEND CONCERN- ING THE PURCHASE OF LAND AND THE CONSTRUCTION, MAINTENANCE, OPERATION AND FINANCING OF OFF - STREET PARKING FACILITIES THEREON, THE ISSUANCE OF REVENUE BONDS TO PROVIDE THE COST THEREOF, THE COLLECTION, SEGREGATION AND DISTRIBUTION OF THE REVENUES OF SAID PROJECT, THE SAFEGUARDING OF THE INTERESTS OF THE HOLDERS OF SAID BONDS, AND OTHER MATTERS CONNECTED THEREWITH, _� This being the time heretofore set for public hearing on the above Ordinance, proponents and opponents were given an opportunity to be heard thereon. City Controller, James A. Bickel was first to speak for the Ordinance and gave a detailed explanation of the flow of funds of the revenue bonds. He first reviewed the background leading up to the public hearing on the Ordinance, His review was as follows: (1) The Area Plan Commission and Harlan Bartholomew & Associates recommended the construction of two parking structures. (2) The Board adopted a resolution on Feb. 21st, 1968 to proceed in accordance with the Indiana Statutes to acquire land and construct two parking structures. The Board further resolved to seek approval or rejection of this resolution by the Common Council. (3) On March 26, 1968, the Common Council adopted a resolution approving the Board's resolution and authorized the Board to proceed. Next, after plans and specifications were developed and approved, the Board advertised for construction bids. Bids were received on May 20, 1969 and the total estimated costs were developed. All Parking Fees from the Garages are deposited in the "Parking Fund. An amount equal to two months operation and maintenance expenses is credited to the M/O Account. The balance is credited to the Net Revenue Account. The Sinking Fund is a fund established to insure payment of bond principal and interest. The Ordinance specifies the manner in which deposits are to be made. Upon delivery of the bond proceeds, the bid premium, accrued interest and the amount as shown in a previous slide - called capitalized interest - are to be deposited to the sinking fund and credited to the;Bond and Interest Account. This will assure interest payments on the Bond issue for the first 18- months. In addition, monthly deposits are made to the sinking fund, transferred from the net revenue account - to assure fulfillment of requirements to meet schedul- ed payments on time. After meeting requirements of the Parking Fund and the Sinking Fund, any residual revenues are to be transferred to the Replacement and and Improvement Fund. These funds may be used to pay the cost of replacements, additions, extraordinary repairs, extensions and improvements to the project 1969 facilities. Unobligated net revenues from the On- Street Parking meters shall be pledged, to the extent required, to make up any deficiencies in annual deposits to the Sinking Fund. If there is no deviciency, these net revenues may be used for any authorized purpose, including transfer to the City's General Fund. Mayor Lloyd M. Allen spoke on behalf of the Ordinance and pointed out how important this Ordinanc was as part of a plan for the South Bend renewal project, that has been developed over a period of seven years. He stated that it is the responsibility of governments to create a favorable economic climate and he urged "with all the sincerity I can muster, that you approve this bond issue." Mx. Donald Wiggins, President, South Bend Redevelopment Commission stated that the decision of the Common Council will clearly determine the future of this community. He asserted that these parking structures are an integral part of the downtown redevelopment program., Mr. Richard A. Rosenthal, President, South Bend - Mishawaka Area Chamber of Commerce, Inc., read the following statement from the Organization: TO THE HONORABLE CITY COUNCIL OF THE CITY OF SOUTH BEND: During the past several months, the South Bend - Mishawaka Area Chamber of Commerce repeatedly has reviewed the proposed construction by the City of South Bend of two parking garages in the downtown area. The detailed studies have confirmed the belief of the Chamber that the parking struct project is in the best interests of the total community. The additional parking will stimulate further private investment in downtown South Bend, provide needed local credit for the downtown renewal program and add additional element of convenience and stability to the central core of the city. Perhaps most importantly, the new structures will tell the world that our people are determined to keep South Bend moving forward. The South Bend - Mishawaka Area Chamber of Commerce strongly endorses the proposed parking structures and respectfully urges the members of the South Bend Common Council to vote in support of the revenue bond issue that will finance those structures. /s/ Richard A. Rosenthal President DATED: June 9, 1969