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Common Council <br />June 3, 1963 <br />page 3 <br />land in question, were the foregoing amendment allowed <br />to become law, would result in a possible termination of <br />the projects by the agencies of the United States Government. <br />The resulting consequences would be a great financial loss <br />to the City. The South Bend Housing Authority has already <br />expended in engineering and staff time and efforts a sum <br />amounting from $80,000 to $90,000 for this project. Should <br />the City, by reason of change in zoning requirements, be <br />prohibited from proceeding, we could well subject ourselves <br />to a demand by the United States Government for the repayment <br />of these funds. <br />5. Ultimate failure to provide proper zoning for Public Housing <br />lands will also affect the Chapin Street Redevelopment Project. <br />Our Department of Redevelopment has spent two years in develop- <br />ing this project. $10,000 has been paid for appraising the <br />lands in question and while the additional costs cannot be <br />exactly calculated, they are already in excess of $20,000. <br />Failure to proceed with the Chapin Street Project would <br />result in the waste of these funds and the time and energy <br />involved by the staff. <br />Further, the owners of the real estate in the Chapin Street <br />Area would be subjected to a great loss due to their inability <br />to rent or sell property in the area, and the City would be <br />compelled to retain its last major blighted area. <br />6. The proposed amendment excluding public housing from the <br />provisions of Section 17 -A is not in the best interests of <br />the City of South Bend at this time. <br />Very truly yours, <br />F ruggner <br />Mayor <br />FJB:ES <br />