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01-16-14 Redevelopment Commission Minutes
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01-16-14 Redevelopment Commission Minutes
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South Bend Redevelopment Commission <br />Regular Meeting — January 16, 2014 <br />6. NEW BUSINESS (CONT.) <br />B. Airport Economic Development Area <br />(3) continued... <br />vacated. This document says that the Commission will support that effort. Mr. Relos signed <br />the document at closing, so ratification is needed now. <br />Upon a motion by Ms. Schey, seconded by Mr. Downes and unanimously carried, the <br />Commission ratified the Post - Closing Undertaking related to the Curtis Products, Inc. <br />purchase of the former Bosch facility. <br />(4) Staff report on negotiations with EMU Solutions, Inc. <br />Mr. Relos noted that Emu Solutions is a high tech computer hardware /software company <br />born from Intellectual Property being licensed out of Innovation Park. Emu Solutions, Inc. <br />develops hardware and software technologies used for Big Data analytics. The company's <br />patented technologies eliminate the bottleneck that occurs when data flows between a <br />computer's processor and its memory. This problem, referred to as the "memory wall," is <br />particularly important when working with Big Data users. <br />Emu's founders, including Peter Kogge, PhD., Jay Brockman, Phd., and Ed Upchurch, <br />PhD., have more than 75 years of combined experience in both industry and academia in <br />numerous areas related to high end computing. Dr. Kogge, developer of the space shuttle I/) <br />processor, the world's first multicore processor, and a number of other important <br />innovations, was named the recipient of the prestigious IEEE Computer Society's 2012 <br />Seymour Cray Computer Engineering Award. <br />Emu Solutions has submitted a Petition for Incentives through 2017 pledging to create 25 <br />new jobs with hourly wages ranging from $20 to $70 per hour for technical staff, $20 to $75 <br />per hour for managerial staff and $15 to $30 for administrative staff. In addition, Emu <br />Solutions commits to investing $3,978,000 in South Bend for space and equipment to <br />establish a headquarters here. <br />Staff has been in negotiations with Emu leadership and is requesting permission to move <br />forward with the preparation of a development agreement committing $500,000 of AEDA <br />TIF funding to purchase two servers to be leased back to Emu for a nominal fee after <br />disposition procedures are completed. The Commission would retain ownership of the <br />equipment through the three year lease period, and upon proof of satisfying total investment <br />and job creation projections shall sell the equipment to the company for the sum of $I. It is <br />anticipated that standard clawback provisions will be built into the development agreement <br />that would require cash penalties in the event either commitment should fall short of <br />promises. Upon approval by the Commission today, a development agreement will be <br />drafted by the city's Legal department and brought back for approval by the Commission in <br />February. <br />X <br />
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