02-14-41 Council Special Meeting Minutes

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Be it remembered that the Common Council of the City of South Bend, Indiana, met in special session, Friday, Feb 14, 1941, in the Council Chambers, City Hall, with all members present. President Richardson presided. SPECIAL CALL We the undersigned members of the Common Council of the City of South Bend, hereby call a special meeting of the Council to convene at 7:00 P.M. on the 14th day of February, 1941, for the purpose of considering a RESOLUTION AUTHORIZING THE MAYOR TO APPOINT A HOUSING AUTHORITY, said resolution to meet with the requirements of the United States Housing Authority. William F. Pulaski J. M. McCarthy Melton 0. Brannan Leo M. Jordan George H. Heideman Dated this 10th day of February, 1941. The Clerk read the special call. President 'Richardson stated that Mayor had a message for the Council which was presented by the Mayor.- South Bend, Indiana Friday, February 14 -1941 MR. PRESIDENT AND HONORABLE MEMBERS OF THE COMMON COUNCIL:- At the outset I would like to state that the proper housing of our citizens is &.matter in which I am vitally in- terested. I am favorable to and in sympathy with the creation of a housing authority in South Bend, if a complete, comprehensive and factual survey of our housing conditions indicate there is a need of a housing project in our city. In giving consideration to the matter of housing, we must differentiate between defense housing for defense workers and slum clearance, or group housing for low income earners. There is to be built in South Bend by the Public Buildings Administration five hundred houses for defense workers. Bids for the sites on which these houses are to be erected were taken yesterday, and a site will be selected by the site Committee within a few days. These houses are being erected for.the use of workers coming into this community to work on defense products and people, who are now residents of South Bend, will,not be eligible to live in these houses. In other words, these houses are for the use of transients rather than permanent workers, who in the ordinary course of events, will probahly leave the community at the conclusion of the present emergency. Just what will happen to these houses following the emergency is rather indefinite. I am told that depending upon conditions, they may be used as a slum clearance project following the emergency and shacks, or sub - standard hous- ing, would then be razed, or they may be used to house residents in the low income brackets. From the standpoint of taxes, property selected for the location of these houses, will be only taxed on the assesse( valuation at the time of purchase of this land by the Government, and any values created by improvements are not taxable. However, there are certain fees which can be eollectedin lieu of taxes, and these fees are figured on the basis of a formula established by the Government depending on the type and amount of service rendered by the munici. pality. The maximum fee to be collected cannot exceed 15% if there is a house renting for $30.00 per month, the maximum fee to be collected, would be $4.50 per month, and that would be for full service rendered by the municipality; in othe words for sanitaryrand storm sewers, schools, street lights, care of streets, etc. This is a type of housing entirely separate and apart.from slum clearance or housing for low income workers. For this latter type project, should one be deemed advisable for South Bend, it is necess ary that a housing authority be created. Your honorable body at a recent meeting directed that Irappoint a Committee to make a survey and report to you the results of said survey this survey to cover the intangible as well as tangible factors enterin; into our housing conditions. The survey of factual conditions was to be made through a W.P.A. survey. The application for this survey was made immediately after your direction that a Committee be appointed and the application is now in Washington before the Review Committee. While in Washington this week, I contacted Mr. Divers, who is the Fifth Area Administrator with the United States Housing Authority, and I told him of the-situation existing in South Bend, and that I had been directed by your body to name a Committee to study the housing situation, with the understanding that if the survey made under the supervision of this Committbe`- indicated, -the--need of a housing project, andyour body concurred with the Committee, that a housing project was necessary, then this Committee would become the housing authority for the City of South Bend. I explained to Mr. Divers that this survey had been delayed awaiting Federal approval of the W.P.A. project, and it would be perhaps a period of ninety days before the survey was complete; but that, however, the survey of intangi- bles was in progress and that the Committee was concerned as to whether or not money would be available for a proje in case it was determined one was necessary, at the conclusion of a complete survey. Mr. Divers stated that he understood the situation in South Bend and that similar conditions existed in two M�ohi communities, and that he felt the results of the survey would indicate the need of a project, and as a result"of his conclusions, money was being held for their use in South Bend. Therefore, it becomes the duty of your body to determine whether or not the survey, which has been presented, is sufficiently complete and comprehensive for your consideration, and indicates the need for establishing a Housing Authority. In case there are any questions that I am in position to answer, I will be only too happy to do so. Concluding, however, I will state that this afternoon I was handed a letter by Rev. Edward Sausaman, Secretary of the St. Joseph County Ministerial Association, and which I was asked to read. The letter is as follows: "Mayor Jesse I. Pavey South Bend, Indiana Dear Mr. Pavey: The Ministerial Association of St. Joseph County are unanimously agreed that it is to the immediate interest and welfare of our community that a Housing Authority be established with a view, of building proper homes for the citizens of our community.