Approving an Interlocal agreement with the City of Mishawaka, RE: the construction of public improvements to Douglas Rd

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1200 COUNTY-CITY BUILDING 227 W. ~EFFERSON BOULEVARD SODTH BEND, INDIANA 46601-1830 PxoNE574/235-9371 FAx 574/235-9021 TDD 574/ 235-5567 CITY OF SOUTH BEND STEPHEN J. LUECKE, MAYOR COMMUNITY ~ ECONOMIC DEVELOPMENT ,JEFFREY V. GIBNEY EXECUTIVE DIRECTOR January 7, 2009 South Bend Common Council Fourth Floor Council Chambers 400 County-City Building South Bend, IN 46601 Dear Council Member: The attached bill for your consideration and approval will approve the Interlocal Agreement between South Bend and Mishawaka for the widening of Douglas Road. Financing for this project is in part coming from a loan from Mishawaka in the amount of $1,150,000. This loan will be repaid over 20 years with 5% interest from TIF revenues generated by development in the Douglas Road TIF area. Mishawaka will also provide $250,000 for payment of project expenses directly related to Mishawaka. City of South Bend Major Moves funds in the amount of $1,000,000 and $700,000 of South Bend Sewer Capital will also be used to fund this project. The Major Moves funds are to be reimbursed with 5% interest from the area's TIF revenues. You may recall when this TIF area was established it was for the purpose of stimulating development and to pay for the widening of Douglas Road which was necessary to spur the development. I, will make the presentation to the Council at your January 12th meeting. If you have any questions, please call me at 235-9339. Sin relyp ,, .-vim L ~ / Donald E./Inks Director Economic Development cc: Jeff Gibney Filed In Clerk's Qf~ice JA~d - 7 2009 JOHN VOORDE CfTY CLERK, S0. BEPtD, IN. COMMUNITY DEVELOPMENT ECONOMIC DEVELOPMENT FINANCIAL HC PROGRAM ~t , PAMELA C. MEYER DONALD E. INKS MANAGEMENT 'V 574/235-9660 - 5741235-9371 ELIZABETH LEONARD ~ FAX: 574/235-9697 574/235-9371