Loading...
HomeMy WebLinkAbout2 MinutesSOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING June 14, 2011 4:00 p.m. 227 West Jefferson Boulevard Presiding: Marcia I. Jones, President South Bend, Indiana 1. ROLL CALL Members Present: Ms. Marcia Jones, President Dr. David Varner, Vice President Ms. Nancy King, Secretary Mr. Donald Alford Ms. Stephanie Spivey Members Absent: Mr. Greg Downes Legal Counsel: Mr. Charles S. Leone, Esq. Mr. Lawrence Meteiver, Esq. Redevelopment Staff: Mr. Jeff Gibney, Executive Director Mr. Don Inks, Director Mrs. Cheryl Phipps, Recording Secretary Mr. Bill Schalliol, Economic Development Specialist Mr. David Relos, Economic Development Specialist Mr. Matthew Sikora, Economic Development Specialist Ms. Debrah Jennings, Property Manager Others Present: Mayor Stephen Luecke Mr. Tom Price, Mayor's Office Ms. Mikki Dobski, Mayor's Office Mr. Carl Littrell, Division of Engineering Ms.Beth Leonard Inks, Community & Economic Dev. Ms. Rita Kopala Ms. Linda Wolfson, Community Forum for Economic Dev Mr. David Matthews Ms. Mo Miller, Prism Science Mr. Jim Bognar Mr. David Brenner, Innovation Park Ms. Karen Moscato Mr. David Divine Ms. Regina Emberton, CB Richard Ellis Mr. Nick Molnar Mr. Tony Fitts Mr. Andy Lemberis Ms. Ann Carol Nash Mr. Chris Morales South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Ms. Valerie Schey, CARE Ms. Mandy Lehman Mr. Greg Jones Mr. James Dally, Mavcon Mr. Joe Agostinelli, Mavcon Mr. Steve Sielatycki, Mavcon Ms. Patti Lesniewicz, Economic Development Ms. Geri Hathaway, Hathaway2 Mr. Mark Peterson, WSBT Mr. Dan Jones Ms. Jones noted that Mayor Luecke was present at the meeting to make the presentation for Item 6.D.(1). She asked that that item be moved to the top of the Agenda due to the Mayor's tight schedule. There was no objection and the item was so moved. 6. NEW BUSINESS D. Airport Economic Development Area (1) Memorandum of Understanding between Innovation Park, Notre Dame, Inc. and the City of South Bend, Indiana on behalf of Ignition Park Mayor Luecke, noted he is a board member for Innovation Park and that there has been a wonderful partnership between the University of Notre Dame's Innovation Park and the city's sister tech park, Ignition Park. The Mayor's term is coming to an end and staff wanted to memorialize the relationship in a Memorandum of Understanding. Innovation Park will facilitate an introduction to future graduates of Innovation Park as potential clients for Ignition Park. The role of Innovation Park is to accelerate client companies to develop suitable milestones, to maintain ongoing communication with Ignition Park, and to promote the potential merits and suitability of Ignition Park. The city's part is to continue to develop Ignition 2 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Park, provide public transportation, publicity, marketing campaigns and to generally support the partnership that has developed. As Ignition Park matures the city may construct a building and develop software systems compatible with one another so that it is seamless for clients to move from Innovation Park to Ignition Park. Mayor Luecke asked for favorable consideration of the Memorandum of Understanding. Mr. Varner asked if Innovation Park would also partner with Ignition Park for some of the advertising costs. The Mayor answered that Innovation Park does some of its own marketing, including working with Blue Waters Group for promotion and marketing. In the future, yes, the city will expect to do joint advertising with Innovation Park. Upon a motion by Mr. Varner, seconded by Ms. King, and unanimously carried, the Commission approved the Memorandum of Understanding between Innovation Park, Notre Dame, Inc. and the City of South Bend, Indiana on behalf of Ignition Park. 2. APPROVAL OF MINUTES A. Approval of Minutes of the Regular Meeting of Tuesday, May 24, 2011. Upon a motion by Ms. King, seconded by Mr. Varner, and unanimously carried, the Commission approved the Minutes of the Regular Meeting of Tuesday, May 24, 2011. 3. APPROVAL OF CLAIMS COMMISSION APPROVED THE MEMORANDUM OF UNDERSTANDING BETWEEN INNOVATION PARK, NOTRE DAME, INC. AND THE CITY OF SOUTH BEND, INDIANA ON BEHALF OF IGNITION PARK COMMISSION APPROVED THE MINUTES OF THE REGULAR MEETING OF TUESDAY, MAY 24, 2011. Redevelopment Commission Claims submitted June 14, 2011 for approval. South Bend Redevelopment Commission Regular Meeting —June 14, 2011 324 AIRPORT AEDA Dore & Associates Contracting 121,458.10 Studebaker Area A Demolition Ph IV DLZ 4,345.00 Underground Pipe and Valve Demolition Weaver Boos Consultants 94,924.00 Studebaker Area A Demolition Ph IV Lehman & Lehman Inc 2,720.00 Voorde Park Master Plan DHA 1,330.00 Meridian Title Corporation 1,800.00 Richard J. Svobode 350.00 609 Columbia St Blue Water Group Inc. 58,887.75 Ignition Park Marketing Davis Ford & associates 28,800.00 Profession Services BSA LifeStructures 10,620.00 Ignition Park Marketing Grauvogel & Associates 5,970.00 Ignition Park South Michaels Appraisal Services 1,800.00 Appraisal 109 -111 N Taylor St. DHA 16,187.00 Mayflower Road - Cleveland to Brick Plew, Shadley Racher 2,894.40 Studebaker /Oliver Christopher B. Burke 10,308.50 Demo of 236 Sample DLZ 34,050.00 US 31 /Adam Abonmarche 7,000.00 Mayflower Road Sanitary Sewer Ancon Construction, Inc. 264,017.44 Memorial Hospital Streetscape Indiana & Michigan Power Co 296.65 LaSalle Hotel Tri County News 113.78 South Bend Tribune 50.81 Hathaway 2, Inc. 8,434.80 Ignition Park Jackson Trucking & Excavating 14,725.00 Demo of Commercial Properties Tri County News 14,725.00 R.E. McCloskey & Associates, Inc. 2,000.00 Appraisal 109 -111 N Taylor St. South Bend Tribune 224.07 Lehman & Lehman Inc 7,280.00 Voorde Park Master Plan Oliver Plow Memorial /Oliver Trail /Oliver L.L. Gean Construction Co. 75,229.86 Industrial Park Entry Sign DHA 2,550.00 Oliver Trail System along Oliver Plow DLZ 2,160.00 Oliver Rd Demo DLZ 1,260.00 Trade Dr Improvements DLZ 25,410.00 Olive Corridor DHA 2,709.00 Road & Storm Drainage Const Appraisal 604 S Scott R.E. Pitts & Associates, Inc. 4,990.00 St ./Western/Williams/Taylor/Wayne St Ken Herceg & Associates, Inc 13,182.00 Sheridan Ave & Lincoln Way West Christoper B Burke 10,308.50 Demo 236 Sample 420 FUND TIF DISTRICT -SBCDA GENERAL Daktronics, Inc 47,634.00 Coveleski Stadium Scoreboard 4 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Jack J. Kary DHA Northern Indiana Public Service Downtown South Bend, Inc Indiana Michigan Power Indiana Michigan Power Abonmarche Downtown South bend Inc Indiana Earth Inc. David Waszak Appraisals, Inc 2,100.00 Appraisal 3,370.00 32.10 329 S Lafayette Blvd 15.91 325 S Lafayette Blvd 177.42 329 Lafayette 296.65 237 N Michigan St. 4,800.00 621 East Jefferson Streetscape 23,125.00 Beautification Program 50,091.89 Demo Fred's Transmission & Clutch 4,380.00 Appraisal 430 FUND SOUTH SIDE DEVELOPMENT TIF AREA #1 Meridian Title Corporation 50,739.54 748 Hawbaker Jackson Trucking & Excavating 14,000.00 Demo 4215 S Main St Lawson - Fisher Associates P.C. 73,922.68 Main St/Lafayette Blvd Connector Christoper B Burke 2,000.00 Corridor & Intersection Improvements 438 FUND COVELESKI BOND J.E.M Morris Construction, Inc 108,299.22 Coveleski Stadium $ 1,238,096.07 Upon a motion by Ms. King, seconded by Mr. Varner and unanimously carried, the Commission approved the Claims submitted June 14, 2011, and ordered checks to be released. 4. COMMUNICATIONS A. Communication from 97 taxpayers of South Bend/Mishawaka regarding additional funding for South Bend Animal Care and Control. Mr. Inks noted that the Commission received the following letters from Valerie Schey and Pam Wesolowski in support of funding of the City of South Bend's own animal care facility. At the last meeting the Commission decided this was a policy issue for the mayor and Council to decide. Following a decision at that level, the Redevelopment Commission could consider the use of TIF funding for a new facility if that's the COMMISSION APPROVED THE CLAIMS SUBMITTED JUNE 14, 2011, AND ORDERED THE CHECKS TO BE RELEASED. South Bend Redevelopment Commission Regular Meeting —June 14, 2011 direction the city wanted move in. The Commission will continue to wait for further direction from the Mayor and the Council. The Communications from Ms. Schey and Ms. Wesolowsi are included here in their entirety. 618111 E -mail: Dear President Jones, I am writing in regard to next Tuesday's (6114) Redevelopment Commission Agenda (attached). Respectfully, I would like to ask if you would be willing to reintroduce agenda item 6c. (4) from the 5124111 agenda to the 6114111 agenda. This issue has been the source of on going debate since 1996. Further debate will only lead to more adoptable animals being euthanized due to the significant space constraints at the current South Bend Animal Care and Control (SBA CC) facility. I am not alone in my desire to see this funding request and this construction project move forward. For you reference, I have attached a citizens letter of request with the corresponding signatures to support our request. Due to the logistics of doubling the intake at one facility, the suggestion of merging the animal control agencies would likely only increase the number of adoptable animals euthanized and not decrease that number as some have suggested. Finally, we respectfully ask that you consider our sense of urgency regarding this request. For every additional month that this project gets delayed, another estimated 223 * animals will be euthanized. Please provide us with the courtesy of a reply to this e-mail. Thank you for your understanding in this matter. Sincerely, 2 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Valerie Schey 1314 E. Wayne St. North South Bend, IN 46615 618111 Letter: June 8, 2011 South Bend Redevelopment Commission 1200 County City Building 227 W. Jefferson South Bend, IN 46601 Dear Honorable President Jones, We, the undersigned South Bend taxpayers, respectfully request that the South Bend Redevelopment Commission reintroduce agenda item 6.c. (4) from the 5124111 agenda to the 6114111 agenda. This issue has been the source of on -going debate since 1996. Further debate will only lead to more adoptable animals being euthanized due to the significant space constraints at the current South Bend Animal Care and Control (SBA CC) facility. Respectfully, we urge the Redevelopment Commission to support the request for additional funding for the new SBACC facility for the following reasons: • SBA CC manages over 4, 000 animals each year. Due to the severely limited holding space in the current facility, we are faced with having to euthanize approximately 65% of those animals every year. Many of these animals are healthy, adoptable animals that we simply can no longer hold. • SBA CC welcomes thousands of visitors every year. The current building is a poor reflection of what our community is capable of and; sadly for our handicap visitors the building is not handicap accessible. • SBACC has several structural issues as a result of its age. For example, the building has appalling drainage problems due to the aging plumbing. • Another issue with the building is the lack of 7 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 adequate ventilation and airflow. Air flow and ventilation become a particular problem when there are sick animals in the shelter. Many of the common pathogens that affect animals are airborne pathogens. Without adequate airflow and /or the space to quarantine sick animals; diseases spread rapidly throughout the building. We believe that in addition to the direct benefits that SBA CC customers and the animals in our care will enjoy; there are many indirect benefits that the surrounding neighborhood will experience as well. Some of these benefits include: • The new facility will be an attractive addition to our City's Westside. As a public facility, the new building will be "an attraction " that will draw visitors to the Westside whom may not regularly visit these neighborhoods otherwise. As these visitors and volunteers spend time in this neighborhood, they will likely seek retail and restaurant outlets in this area. This will bode well for local businesses. This is currently true for volunteers and staff who seek lunch options during (or after) their shifts. • Having a public facility that operates on a 365, 24 x 7 schedule will increase neighborhood surveillance. This will be good for neighborhood safety. • On a weekly basis, SBA CC staff is responsible for monitoring several juvenile offenders as they complete their community service requirement at our facility. With a newer, safer facility, we will be better able to work with these children in a 2 way that is more constructive for the children's development and supportive of our staff. • Incorporated into the new building's design is a spay /neuter clinic. We have already received commitments from local veterinarians who will be donating their time to perform free spay /neuter surgeries for our animals. This would remove the South Bend Redevelopment Commission Regular Meeting —June 14, 2011 expense from potential adopters. We also hope to utilize the surgical suite to continue the already very popular Neuter Scooter service, for the community. • An attractive, more welcoming facility will provide us with ample opportunities to host community classes in the building. These classes can range from basic obedience classes to more advanced workshops lead by local animal health and welfare leaders such as Dr. Jocelyn Rudman, DVMM, As South Bend taxpayers, we appreciate the oversight and scrutiny your committee applies to requests made for TIF funding. We all need to be responsible stewards of the City's resources. Here are the reasons why we are opposed to the suggestion made by the South Bend Common Council to outsource our City's animal care and Control services to a private, third party agency: • The outsourcing public services to private, third party agencies results in a loss of transparency and accountability for the taxpayer. • The issues that lead to the development of an internal animal control agency would likely develop again if the City were to return to outsourcing this service. • If the aforementioned issues were to arise once again, it is an ineffective public safety model to have South Bend Police and Fire having to respond to animal care and control calls. • Over the anticipated 40 year life cycle of the proposed new facility, SBA CC will be the home of approximately 4,000 — 4,500 animals per year. With construction costs estimated at a total of $1.8 Million; the estimated upfront capital cost per animal served is only about $10. Finally, we ask respectfully that you consider our sense of urgency regarding this request. For every additional month that this project gets delayed, another estimated 223 * animals will be euthanized. 0 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Thank you for your understanding in this matter. Cordially, Valerie Schey CARE Ms. Jones noted that the Commission is a voluntary board and not an elected board. Policy decisions rightfully belong to the elected officials and for the Commission to make policy decisions would be inappropriate. Therefore, the Commission will await direction from the Council. B. Communication from Pam Wesolowski regarding additional funding for South Bend Animal Care and Control Dear President Jones, I recently heard about the South Bend Common Council's decision to table a request from Code Enforcement Director Catherine Toppel for an additional $300,000 to build South Bend's new animal shelter. The new shelter building is long overdue for South Bend whose officials keep billing it as a "21s' Century City. " I strongly oppose the Common Council suggestion that South Bend Animal Control merge with the St. Joseph County Humane Society, and I applaud Council President Derek Dieter's refusal to sign on to that. It doesn't consolidate "duplicate " services as common council members have stated in a letter dated May 25, 2011 to the Redevelopment Commission. That would be like saying that South Bend didn't need an airport because Chicago has one. We have thousands of animals that enter each separate animal control facility each year and we need to support the most humane response to animal care and control as we can. South Bend Animal Care and Control has a track record of working with rescue groups such as Pet 10 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Refuge and Heartland Small Animal Rescue to keep from having to euthanize healthy, adoptable animals. SBA CC has also worked with Michiana Feral Cat Initiative to help humanely reduce stray cat overpopulation in South Bend through TNR. (The St. Joseph County Humane Society will not even work with local rescue groups who are willing to pull dogs and cats, even though it would save the lives of hundreds of animals within the system). A new shelter, at a cost of an additional $300, 000, would do much to allow SBA CC to improve their efforts and would improve the environment for employees, potential adopters and the animals alike. How we treat the animals in our community goes to the heart of us as a community and has a huge impact on our image to residents and non - residents alike. SBA CC, as well as SJCHS both display "compassion fatigue" and the euthanasia numbers for each entity reflect that. If South Bend Animal Care and Control services are contracted out to the St. Joseph County Humane Society, any ground that has been gained will be lost in the efforts that have been made to make us a better, more progressive community as it relates to animal welfare. The St. Joseph County Humane Society has a track record of misleading the public and do so to this day. They state they are no -kill when you ask, yet their euthanasia rates are still around 69% and higher. And at the suggested costs proposed to merge, South Bend will end up spending more for services than they ever would with a new shelter under the City of South Bend's control. $300, 000 is not a lot to spend for a building that will service us for many years to come. (Just think about how much money has been spent on Coveleski stadium alone! $300, 000 is a small cost to do a better job at saving lives and providing 11 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 safety for more of our animals. It's time for this community to take a step forward with animal welfare and show that sentient lives do indeed matter. If you consolidate SBACC's services with the Humane Society, you will do a serious disservice to the animals and the citizens who care about them. Please support South Bend Animal Care and Control. I urge you to vote to fund the new shelter for SBA CC so they can become a model for our animal control facilities on more compassionate care. Sincerely, Pam Wesolowski 1102 South 32nd Street South Bend, IN 46615 5. OLD BUSINESS There was no Old Business. 6. NEW BUSINESS A. Public Hearing THERE WAS NO OLD BUSINESS (1) Public Hearing on Resolution No. 2881 appropriating tax increment financing revenues from Allocation Area No. 1 Fund for the payment of certain obligations and expenses related to the Airport Economic Development Area Allocation Area No. 1 Ms. Leonard Inks noted that Resolution No. 2881 requests an additional of $8,500,000 in the Airport TIF. Staff expects sufficient revenue in the Airport TIF to cover these additional costs. Mr. Inks provided a report showing how the original appropriation has been allocated 12 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 among various projects, and the intended uses of the additional appropriation including replenishment of a reserve so that as projects are ready to move ahead, there will be funds available to pursue those projects. Mr. Varner questioned if this was the statutory annual notice that TIF funds are needed in the TIF area. Mr. Inks replied that, no, that notice will be made at the June 28 meeting. It is due by mid -July each year. Mr. Inks noted that the public hearing file is complete, containing (1) a copy of Resolution No. 2880 determining to make the appropriation and public hearing on Resolution No. 2881; (2) a copy of the notice of the hearing; (3) a copy of Resolution No. 2881; Mr. Inks noted that we do not yet have the affidavit from the South Bend Tribune verifying a notice was published in the newspaper on June 3, 2011, but staff did personally verify that notice was made in the South Bend Tribune on that day and we are expecting an affidavit delivered from the SBT shortly. We did receive (4) the affidavit from the Tri- County News that the notice of hearing was published on June 3, 2011. Ms. Jones opened the public hearing for anyone who wished to speak for or against Resolution No. 2881. There was no one who wished to speak. Ms. Jones closed the public hearing for whatever action the Commission wished to take. (2) Consideration of Resolution No. 2881 Upon a motion by Ms. King, seconded by Mr. Alford and unanimously carried, the Commission approved Resolution No. 2881 appropriating tax increment financing 13 PUBLIC HEARING ON RESOLUTION NO. 2881 COMMISSION APPROVED RESOLUTION NO. 2881 APPROPRIATING TAX INCREMENT FINANCING REVENUES FROM ALLOCATION AREA NO. I FUND FOR THE PAYMENT OF CERTAIN OBLIGATIONS AND EXPENSES RELATED TO THE South Bend Redevelopment Commission Regular Meeting —June 14, 2011 revenues from Allocation Area No. 1 Fund for the payment of certain obligations and expenses related to the Airport Economic Development Area Allocation Area No. 1. (3) Public Hearing on Resolution No. 2876 confirming a resolution amending the Development Plan of the West Washington- Chapin Development Area and adding one or more parcels to the List of Parcels to be Acquired (803 W. Washington) Mr. Varner pointed out a scrivner's error on the Agenda: the public hearing is on Resolution No. 2876, not Resolution No. 2899. Mr. Inks noted that the public hearing file is complete, containing (1) A copy of Resolution No. 2860 amending the Development Plan for the West Washington - Chapin Development Area and adding one or more parcels to the List of Parcels to be Acquired.; (2) A copy of Area Plan Commission Resolution No. 218 -11 approving declaratory Resolution No. 2860 of the Redevelopment Commission.; (3) A copy of South Bend Common Council Resolution No. 4107 -11 approving declaratory Resolution No. 2860 of the Redevelopment Commission; (4) A copy of the Notice of Hearing; (5) A copy of Resolution No. 2876; (6) An affidavit from Jacki Krolczyk, Advertising Director of the South Bend Tribune, that the Notice of Hearing was published in that newspaper on May 27, 2011; (7) An affidavit from Richard Andrysiak, Classified Manager of the Tri- County News, that the Notice of Hearing was published in that newspaper on May 27, 2011; (8) A statement from David Relos that 14 AIRPORT ECONOMIC DEVELOPMENT AREA ALLOCATION AREA NO. I South Bend Redevelopment Commission Regular Meeting —June 14, 2011 on May 27, 2011 affected property owners and registered neighborhood associations were sent notice of the Public Hearing; and (9) The mail was checked prior to this meeting. As of 4:00 p.m., June 14, 2011, there were no written remonstrances received related to Resolution No. 2876. Mr. Relos noted that on April 26, 2011, the Commission approved declaratory Resolution No. 2860. On May 17, 2011, the St. Joseph County Area Plan Commission, approved its Resolution No. 218 -11, which approved, ratified, and confirmed Resolution No. 2860, determining that it conforms to the plan of development for the City. On May 23, 2011, the South Bend Common Council, approved its Resolution No. 4107- 11, which approved, ratified, and confirmed the Area Plan Commission's Resolution No. 218 -11. The final process in amending the Development Plan is the public hearing and consideration of confirming Resolution No. 2876. Mr. Varner questioned whether the Council Resolution No. 4107 -11 was the correct number. Staff assured him that was the number on the certified copy of the Council resolution. Ms. Jones opened the public hearing on PUBLIC HEARING ON RESOLUTION No. 2876 Resolution No. 2876 for anyone who wished to be heard. MR. JIM BOGNAR, 805 W. Washington St.; My property is adjacent to 803 W. Washington, and this October will have been there for fifty years. The first question I want to ask as you are as you were going through clarification, I noticed on the agenda 6.A (3), when it notes a public hearing on the 15 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 resolution, it talks about the Airport Economic Development Area. I believe that should be the West Washington- Chapin Development Area. (Staff agreed.) I don't know whether that causes a problem with anything else, but I wanted to note that. I'd like to thank the Commission for their education, and the Area Plan and the City Council for their support. I'd also like to thank Jeff Gibney for his work with this particular property owner as there's been a long history of this. I would also like to thank Don Inks for his time and his energy. There's been a lot of negativity in the press and in a lot of areas lately. We have done a lot of things right in this community. I'm very privileged to be in the museum district, Copshaholm (Mr. Oliver's house), the Center For History, readapted use of the old Court House, the Studebaker Museum, the Civil Rights Museum, Natatorium, and soon the Kroc Center. These are very positive parts of our community and I'm very proud to live in this community. I'm very proud of the work everybody does. You've heard the name of Mr. Kizer. Briefly, I wanted to mention that he was a life -long resident of South Bend, from 1846 until 1917. Seventy years. He was educated in the local school system. He was a revenue collector for the United States during the Civil War. In 1871, he married a woman from a prominent family. He was a City Commissioner which was the forerunner of the City Council. And I hope that this doesn't cause it to be voted down: he was President and a Republican. He formed a lifetime business partnership with his childhood friend, Jacob Wolverton. He had an office for a time in the northwest corner of 1G South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Washington and Michigan. He was the director of two local banks and part of a group of businessmen who created the South Bend Malleable Steel Range Manufacturing Company. He was an advocate of South Bend at an important time of its history and, finally, I think that Mr. Inks and Mr. Gibney would find that he was part of the earliest efforts of community and economic development. And while he's 150 years from being active, really, in this community, a lot of what everyone is trying to do today goes back to this. I would think that we'd be looking for people like Kizer and Wolverton and others today. I ask you to support this but also to challenge Redevelopment to rehabilitate this property. In the short run it will benefit me. I mentioned to Mr. Inks. I said that there are two kinds of folks that get up here (meaning the podium), people who want something and people who are against something. In the short run, it will benefit me. In the long run, I believe it will benefit this community. I hope that you will pass it, but more importantly, I hope that you will pay attention to how Community & Economic Development works with it. I think it's a wonderful way to start a lot of positives that everybody's here for, for other things for our community. I wanted to mention a few things about this great man and the building that I've been privileged to be next to for a long time. Does anybody have any questions? Thank you for everything. I appreciate it very much. Mr. Leone noted that he checked the Notice of Hearing that was published and the notice gave the correct resolution number. So there is no problem with the public hearing. Ms. Jones asked if there was anyone else 17 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 who wished to speak regarding Resolution No. 2876. There was no one who wished to speak. Ms. Jones closed the public hearing for whatever action the Commission wished to take. (4) Consideration of Resolution No. 2876 Mr. Varner asked what the plans were for the property. Mr. Gibney answered that staff is having active conversation with The Center For History which is located across the street. One of the uses being considered is for additional archive storage. Secondly the very top floor contains small apartments. Mr. Gibney's suggestion was to leave them as apartments and as the opportunity rolls around for internships at all of the museums in that neighborhood, they could be used as affordable housing for college student interns working at the various museums. He noted that we are still in the planning stage. Upon a motion by Ms. King, seconded by Mr. Varner and unanimously carried, the Commission approved Resolution No. 2876 confirming a resolution amending the Development Plan of the West Washington - Chapin Development Area and adding one or more parcels to the List of Parcels to be Acquired (803 W. Washington) B. Housing (1) Loan and Grant in connection with the South Bend Home Improvement Program for property located at 425 LaMonte Terrace (Mark & Katherine Garwood). Mr. Inks noted that the loan is $6,350. The grant is $6,156.50. 18 COMMISSION APPROVED RESOLUTION No. 2876 CONFIRMING A RESOLUTION AMENDING THE DEVELOPMENT PLAN OF THE WEST WASHINGTON- CHAPIN DEVELOPMENT AREA AND ADDING ONE OR MORE PARCELS TO THE LIST OF PARCELS TO BE ACQUIRED (803 W. WASHINGTON) South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved the Loan and Grant in connection with the South Bend Home Improvement Program for property located at 425 LaMonte Terrace (Mark & Katherine Garwood). (2) Loan and Grant in connection with the South Bend Home Improvement Program for property located at 544 N. Sunnyside Avenue (Traci Gammage). Mr. Inks noted that the loan is $8,000. The grant is $7,822. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved the Loan and Grant in connection with the South Bend Home Improvement Program for property located at 544 N. Sunnyside Avenue (Traci Gammage). C. South Bend Central Development Area (1) Staff report on proposal for disposition of property (Northeast corner Jefferson & Niles). Mr. Relos noted we have a preliminary development plan for the corner of Jefferson and Niles, referred to as the Troegger (Sheet Metal) site. It is a 1.266 acre site, which was acquired by the Commission in December 2010. This property was put through the disposition process in 2011, concluding with the receipt of no bids on April 26, 2011. Mr. David Matthews has now approached staff with development plans for this site. Similar to Mr. Matthew's site plan for the Rink site, this development would include 10 19 COMMISSION APPROVED THE LOAN AND GRANT IN CONNECTION WITH THE SOUTH BEND HOME IMPROVEMENT PROGRAM FOR PROPERTY LOCATED AT 425 LAMONTE TERRACE (MARK & KATHERINE GARWOOD) COMMISSION APPROVED THE LOAN AND GRANT IN CONNECTION WITH THE SOUTH BEND HOME IMPROVEMENT PROGRAM FOR PROPERTY LOCATED AT 544 N. SUNNYSIDE AVENUE (TRACI GAMMAGE). South Bend Redevelopment Commission Regular Meeting —June 14, 2011 townhouse style condominiums with two potential commercial buildings. Expected starting prices will be in the $200,000 range. Units will be approximately 1,400 square feet, 2 `/2 stories, all brick, with 3 bedrooms, 3 '/z baths and with 2 car attached garages. Mr. Relos noted that the Contract for Sale is currently being drafted by our Legal Department, and will include the requirement for Commission approval of the final site plan and development specifications, and will define use restrictions and set a completion date of 36 months. The selling price of the parcel is $10, with the developer agreeing not to seek tax abatement for the project (5 years tax savings on 10 units has an estimated value of $93,000). Under this plan, the developer is requisitioning no further Commission financial participation. The site plans call for 77 guest and street parking spaces along Jefferson, Washington, and behind the building. Staff recommends accepting the proposal from David Matthews and authorizing legal counsel to proceed with the Contract for Sale of Land. Mr. Matthews noted that about 14 months ago he received approval for his Eastbank Townhomes on Colfax Avenue. Since then six townhomes are under construction with four of them sold. The initial expectation was to build three immediately and the remaining three within three years. He has built all six at once, so that site will be developed three times faster than expected, with very positive feedback from the community. Mr. Matthews would like to repeat the process again and try to develop a market for denser living in downtown South 20 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Bend. He is aware of the city's intent to develop housing at the former Transpo site on Northside Blvd. He said there's not a market in the area for anything other than single family detached homes. He would like to provide an urban housing option for people in the area and increase demand for urban housing. He's gotten a lot of positive feedback on the East Bank Townhomes. Some people have said they moved here three or four years ago and there weren't any urban condos available, so they bought single - family homes in and around South Bend. By doing these projects, he would like to show that there is demand and a market for denser housing. Then, perhaps, the Transpo site and other East Bank infill could be developed as condos, resulting in more people living downtown. Mr. Matthews noted that he's proposing to construct ten townhomes, each with two car garages, and two parking spaces outside. The northern -most lot on the corner of Washington and Niles will be reserved for future commercial use, as will be the triangular- shaped piece on the south corner of Niles and Jefferson. Mr. Matthews doesn't believe there is much demand for commercial buildings in the area at this time. He will landscape the lot to the south as a piazza or a park. There will be plenty of extra parking on the site. Currently people park haphazardly on the lot. He believes he can get 121 parking spaces on the site by striping it. The development will be called the River Race Townhomes. Mr. Varner asked Mr. Relos what the disposition offering price was. Mr. Relos responded that it was $339,500. Mr. Varner did not like the sale price to Mr. Matthews of 21 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 $10. He expects Mr. Matthews will find there is a good market for condos at that site and they may even sell with more amenities and for more than $200,000, similar to how the market was for the East Bank Townhomes. Mr. Matthews said the East Bank Townhomes are twice as large as these will be. His intent with these is to see if there is a market for the $200,000 price range condos. That prorates to a $900 per month payment which is about the monthly payment that can be made on a $40,000 a year salary. An average salary. The downtown is physically attractive, but it needs a lot more people on the streets to become vibrant. Everyone wants to see a grocery store downtown. The only way that will happen is for a lot of moderate income people to want to live downtown. We're never going to hit that density level to attract a grocery store otherwise. In his mine, this is an experiment. Mr. Varner conveyed his concern that with a purchase price of $300,000 - $400,000 per unit and ten units, the city would be subsidizing each unit at $40,000. The city can't afford that kind of subsidy. It needs the cash return to be able to invest somewhere else. It's difficult to understand how we could buy something in January for $400,000 and sell it for $10. Mr. Matthews noted that at the East Bank Townhomes site he spent $200,000 preparing the site. He hauled in 1,500 truckloads of fill and a built a $100,000 wall. Instead he could have paid for the land, got a tax abatement and then had the Commission raise the site so it was buildable. That is the harder way to do it. Then, when the wall ended up getting a lot more expensive than he expected, it was his responsibility. 22 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Mr. Gibney added that it was very important that Mr. Matthews spoke to his cash investment in the Rink site. The city could have done a very convoluted Board of Public Works process where we might have sold Mr. Matthews the land at an appraised price and then the city would make all the improvements. The Rink site, no matter what it was appraised for, was sitting empty for ten years. It could be appraised at any dollar amount, but if nobody wants to buy it, it has no value. We purchased the Niles Avenue site in January as part of our negotiations with l st Source Bank. That property has been on the market for five to six years while 1st Source Bank owned it and there was not one offer on that property. The city was pressured to buy that as part of its negotiations to keep 1st Source in the downtown. A third site, the Wharf site, one of the most desirable sites in the Eastbank, facing the river, facing Century Center, has been on the market for more than a decade. The city plan, the Eastbank village plan and the Howard Park neighborhood plan all call for housing in these downtown areas. The best thing we can do is to get housing put there. So, we can hold this land for its offering price, or we can lower the price and get people living downtown, working downtown and we can collect property taxes again on these properties. Mr. Gibney noted that The Emporium did not want to purchase that Niles /Jefferson site. It was their customers who were using it for parking. The property is also extremely unsightly. We are willing to prime the pump and get the kind of quality housing that Mr. Matthews has proposed to bring people downtown. Ms. King asked what the timeline is for this 23 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 project. Mr. Matthews answered that his Contract for Sale of Land stipulates that he construct at least three units beginning in the fall. Then he must have the remaining seven of units built within three years. Even if there is no market, Mr. Matthews is still obligated to build ten townhomes and to get them sold. Mr. Alford made a motion to accept the development proposal from David Matthews for the Northeast corner Jefferson & Niles. Ms. King seconded the motion. The motion passed on a vote of three in favor. Mr. Varner was opposed. (2) Commercial Purchase Agreement with Mavcon Properties of Kalamazoo, Michigan (LaSalle Hotel). Mr. Relos noted that staff has over the years worked with many interested parties, from various parts of the country, for the rehabilitation of the Hotel La Salle (Hotel). The Hotel has sat empty for approximately 10 years, and has been maintained by the Commission in the hopes that one day the right group would step forward, that has both the ability and capacity to return the Hotel to a productive use and asset to the downtown. We feel that developer has emerged. Mavcon Properties, of Kalamazoo, Michigan, would like to enter into a Purchase Agreement with the Commission to acquire the Hotel. Mavcon has experience in redeveloping urban properties, with its latest project being the Metropolitan Center in downtown Kalamazoo, an $11.3 million historic rehab of four connected commercial buildings that were constructed in the late 1800's. 24 COMMISSION ACCEPTED THE DEVELOPMENT PROPOSAL FROM DAVID MATTHEWS FOR THE NORTHEAST CORNER OF JEFFERSON & NILES AND DIRECTED STAFF TO PREPARE THE CONTRACT FOR SALE OF LAND South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Prior to closing this transaction, much due diligence must be completed. Mavcon, at its own expense, will hire architectural, engineering, and environmental consultants to study and plan for the eventual rehabilitation of the Hotel into 45 — 65 market rate apartments, with commercial space likely on the 1St and 2 "d floors. In addition, and again at their own expense, they will put together a funding package that will include both Historic and New Market Tax Credits. Highlights of the purchase agreement include: $5,000 purchase price, to be paid at closing • $2,000 deposit within 3 days of the acceptance of this agreement • 180 day inspection period • 180 day inspection period extension, with an additional $2,000 deposit • Closing within 90 days after the inspection period or the extension thereof • 90 day closing extension, with additional $2,000 deposit. Because of the complicated nature of putting together the Historic and New Market Tax Credit package, and the extensive architectural, engineering, and environmental studies that need to be completed, staff feels the above schedule is acceptable and necessary. Ms. King asked what will occur after the closing, if the Commission approves the proposal. She noted there doesn't seem to be a timetable for completion, or an opportunity to buy it back if Mavcon does not move forward. She asked if the Commission will 25 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 have any recourse? Mr. Meteiver responded that the Commission has a lengthy period prior to closing (a 180 - day initial period, then 90 days, and another 90 days). Mavcon will be, potentially, a year and a half into the project by then. The expense they will incur to develop the financial package that has to go with this, he expects, will be in excess of $100,000. They will have a very significant investment in the project by the time it closes. If they get to that point and determine the project can't go forward, then the project won't close. If the financial package is ready and Mavcon is ready to go forward, then the project will close. The investment they will have made by that time will be a strong incentive to complete the project. Ms. King said that she understands what Mr. Meteiver said, but still feels the Hotel will be totally out of the Commission's control after closing. She noted that deals fall apart. She'd like to make sure that Mavcon would not get into the position of owning the property for $5,000 and then not moving forward on the project. Mr. Alford said that he shared Ms. King's concern about the Purchase Agreement not providing the Commission recourse. If Mavcon has invested a large amount of money doing its due diligence, it will not be willing to sell the hotel back to the Commission for $5,000. They will want a lot more. Mr. Relos asked if he understood Ms. King's concern correctly, that there needs to be a timeline for project completion after closing or the Commission has recourse, such as 26 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 reclaiming the building. Ms. King confirmed his understanding. Mr. Relos agreed that that should be a concern and asked counsel for Mavcon to respond. Mr. Dally said they've not put out a lot of proposals, hoping they'll get one or two accepted. They've already spent countless hours analyzing whether they want to participate in redeveloping this project in South Bend. The more time they've spent, the more excited they become. They like South Bend as a city and believe it's a place they'd like to invest their money. As a company, you wouldn't have lots of this type of project going on at one time. You have one or two, and you give them your full concentration. Mavcon intends to make monthly reports to staff on the progress of its analysis. The city will know if, and as soon as, Mavcon begins to have any doubt about its interest in the project. By the time we close on the property, we'll know we can and will complete it. Mr. Dally showed some slides of other projects Mavcon has done. Metropolitan Center has had a lot of different challenges. They put in a lot of unique features on that property, ones that most developers would see as roadblocks. Mavcon believes there's always a solution, if you've got a team that works with you. Many of the things needed in renovation are not available to buy. Mavcon manufactures those things itself. It is a problem solving company. Mr. Dally also said that all of their projects have a lot of pride; Mavcon intends to own them for 20 years. They intend to make the LaSalle Hotel a LEED certified project. 27 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Mr. Dally noted that rehabilitation of the LaSalle Hotel is not a project for amateurs. The interior will be selectively dismantled and reassembled to Historic Preservation guidelines. To Nancy's question, "Will the project get off the ground ?" Mr. Dally responded that Mavcon does its thorough research early and tries to avoid finding "skeletons in the closet" late in the game. They are not on a "fishing expedition." They have done a lot of research into the building already, which has brought them to the level of confidence to be before the Commission today with this proposal. They are confident they can do the project, but need the purchase agreement signed to continue to move forward. Mr. Sielatycki spoke to the company's experience. They have five attorneys between in -house attorneys and its consultant, Varnum, plus four accountants. The team they've assembled has been doing New Market Tax Credit (NMTC) deals since there were NMTC deals to be done. The NMTC program was developed by the federal government in 2000. The first deals didn't start happening until about 2003. Mavcon's team has been involved in between fifteen and twenty NMTC deals of this type and of those, seven or eight include the historic preservation element. Mr. Sielatycki described the project as mixed use historic redevelopment with commercial space on the first two floors. Some of those things are the regulatory requirements of the NMTC model. The balance will be market rate apartments (45- 65 apartments). W. South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Mr. Sielatycki said that the total cost for the project is $15M. That is not sustainable by private equity investment only. That is why they will be looking at the NMTC program and historic tax credits (HTC), and then local TIF and tax abatement. Ms. King asked what kind of use the Metropolitan Center is. Mr. Sielatycki responded that it is currently under construction, but will also be mixed use. It has 24 apartments on four floors, 20 of which will be market rate for income qualified residents, and 10,000 sq. ft. of retail space. Ms. King asked now many of the projects they used the NMTC for have been for apartments. Mr. Sielatycki responded that all of the seven projects that used both NMTC and HTC included residential units. Mr. Varner asked what portion of the financing will be NMTC, HTC and TIF funds. Mr. Agostinelli responded that they create a financial pro forma, estimating how much it is going to cost to do the selective demolition, the cost to reinforce the building, then how much for the development itself. Then they work backwards from there: what financial incentives are available, what federal, state and local programs are available that could help fill that gap. That's the approach they take. And, frankly, that's why the purchase price is $5,000, because the overall pro forma couldn't justify a bigger purchase price. The NMTC program will cover approximately 22 -23 %; the amount HTC will provide depends on what it will be spent it on. Mavcon doesn't really have a feel for that. Mavcon expects the man hours 29 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 they put in prior to construction will be its primary investment in the project, particularly because the NMTC take so much work. They'll spend in excess of $500,000 on the NMTC application, including the regulatory piece, the financial modeling, and the document preparation. With architectural and environmental expenses as well, he expects Mavcon's expenses prior to closing will be in excess of $1 M. Stephanie: When looking at the purchase agreement, #8 and #9, the local incentives to Mavcon. Will Mavcon work with our local organized labor, stimulating our local economy? Mr. Sielatycki responded that they always use local contractors. They will use South Bend contractors. Mr. Varner asked Mr. Gibney what his expectations were for the city's contribution to the project: whether it would be only the building at $5,000 or is more expected. Mr. Gibney responded that there has not yet been anything else requested. As they layer their financing, there could be a request for a parking deck (which could also be used for the Morris Performing Arts Center). Mr. Gibney stressed that the $5,000 sales price is a small incentive for a $15M project. As a comparison, when South Bend Heritage Foundation bought the Robertson's Building to do a $12M project, they bought it for $1. South Bend Heritage used Low Income Tax Credits for that project. Mr. Gibney also stressed that staff has been working with Mavcon for about six months. Unlike all the other developers who have expressed interest in the building, Mavcon has kept staff informed of what they are doing. Mavcon has taken the initiative to 30 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 keep us informed, instead of staff needing to take the initiative to follow up. Mr. Dally noted that as soon as the Commercial Purchase Agreement is signed, they will begin to complete their due diligence and determine what their funding gap will be. To be sure, that site has a parking problem, so they will definitely need to solve that. Mr. Gibney noted that every developer who has looked at the hotel has mentioned the parking problem. There is no way for the city to get this site redeveloped without funding a parking deck. Mr. Varner made a motion to approve the, Commercial Purchase Agreement with Mavcon Properties of Kalamazoo, Michigan. Ms. King seconded the motion. The motion passed with three votes in favor. Mr. Alford was opposed. (LaSalle Hotel). (3) Proposal from Radiant Networks to investigate the feasibility of a wireless network downtown. Mr. Inks noted that currently there are a few wireless hotspots in the downtown, but we would like to investigate the possibility of making the whole downtown a hotspot. Below is the Executive Summary of the proposal from Radiant Networks to investigate the feasibility of providing a wireless canopy for the downtown. Executive Summary The City of South Bend has requested that Radiant Networks engage in providing Survey and Installation Resources to provide for Wireless "Last Mile" Resources as well 31 COMMISSION APPROVED COMMERCIAL PURCHASE AGREEMENT WITH MAVCON PROPERTIES OF KALAMAZOO, MICHIGAN (LASALLE HOTEL. South Bend Redevelopment Commission Regular Meeting —June 14, 2011 as "Wireless Public Access" to the Metronet for multiple locations as defined by the Metronet. An RF Survey will be performed by Radiant Networks throughout all outlined areas. We will perform Spectrum Analysis and provide our recommendations using Cisco Best Practices to engineer the Wireless Network to provide maximum coverage throughout outlined areas. We will provide a full reporting based upon the findings of the RF Survey performed and the best approach to deploy the Wireless Network. Radiant Networks will provide a quotation for services to install the WLAN and associated networking equipment. Radiant Networks will also provide a line item quote for Consulting Services to provide for the design of the overall Architecture of the Wireless Network and it's interconnections to the Metronet and the Metronet's interconnections to the internet. The City is looking at a broader effort to investigate other parts of the City for a possible wireless canopy, and this project is being spear headed by Gary Gilot, Director of Public Works. The downtown portion of the feasibility, to be funded by TIF, would cost $18,000 plus expenses. Staff recommends $22,000 be approved to cover the full cost of this study. Mr. Varner asked whether the Metronet will be charging a fee for access and whether this canopy will require the city to pay a fee to Metronet. Mr. Littrell noted that a "hotspot" would be a misnomer for what's being proposed. The Commission has supported many Metronet installation costs: provided facilities, 32 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 extended conduit around the city. It's very expensive to connect to the Metronet. Large, industrial /commercial /institutional/ educational users who have Metronet connection are physically connected with a 12 -cable fiber (lateral). Construction of that type costs about $10,000 for each facility. There are further costs for the company to have its own internal wiring for its connections. The proposal that Radiant has made is to see if we can make those connections by radio instead of with fiber cables. The operating costs would be much higher, but the initial installation to connect with the Metronet would be relatively inexpensive. So this service would be for smaller users who could connect without that $10,000 initial cost. They'd have a subscription fee, then a monthly service fee. It would be a service for more than just the casual gamer or individual e-mail user in a downtown apartment. It is for small businesses that need the broader bandwidth, but cannot afford the initial outlay of $ l OK for the Metronet. We would hire Radiant to do a radio atmosphere /environment assessment to see how many radios would be needed to give adequate coverage to the large downtown area and at what expense that might be. Mr. Varner asked if the Metronet will then look to the Redevelopment Commission to provide the funding for installing the radios. Mr. Littrell responded that that is not expected. The Metronet was looking for a location where they might try such a system out. Gary Gilot, who is on the Metronet Board, suggested downtown South Bend as the initial place where this service could be offered. So, rather than provide that benefit to one of the industrial parks or office parks 33 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 we're asking the Commission to pay for the study to see what it would take. Downtown would then have this new service that will be an advantage over the others areas that have Metronet access. Mr. Varner wanted to note for the record that the Metronet operates as a non - profit agency. They are heavily subsidized by the city. At the same time they are in competition with companies that are paying taxes and supporting the city. Mr. Littrell responded that the Metronet is a dark fiber provider. It is a local company. The users of the Metronet select whatever internet service provider would be able to give them the best service cross - country. Mr. Varner said he objects that the city is cut out of the deal completely. He feels the Metronet needs to start paying something in the way of a fee to the city, as does AT &T, as do other vendors. Instead, we continue to subsidize it. If they are going to be a viable operation and compete with the other companies that are paying taxes, they need to start paying the city instead of constantly requesting more money. He thinks this radio access is a nice idea, but some of those revenues that flow to the Metronet need to come to the city. He doesn't want the next request to be that the Commission buy $200,000 4300,000 worth of radios. If the Metronet is going to compete with the regular vendors, they need to pay like the regular vendors do. Mr. Littrell responded that the Metronet is not competing with the regular vendors. Users of the Metronet still need those other providers for cross - country access. Metronet 34 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 is a link to that access. Mr. Varner said he would like more information on this. Mr. Inks tried to clarify the issue. This proposal from Radiant is not for the Metronet. This is to the City of South Bend. We are considering an eventual improvement in the downtown that makes the downtown a more appealing place to do business and hopefully increase the number of businesses we have in the downtown. The Metronet allows us to take this approach to addressing the issue. So, in essence, we're saying that the Metronet is an asset that allows us to do something that, without the Metronet, wouldn't be possible. With the radios we could tie into the Metronet and accomplish what we want. Without the Metronet, this approach doesn't work. So, the Metronet becomes an asset we're taking advantage of in the downtown. He isn't sure if there is a fee arrangement. He hasn't heard of one yet. Mr. Varner said that there is. If you want to get on the AT &T site through the Metronet, AT &T has to buy fiber access from Metronet. It is the same with any of the other providers. And they are all paying taxes. Metronet does not. He thinks we're allowing some unfair competition for people that are paying taxes. If one of these large providers (Comcast or AT &T) decided to go somewhere else because South Bend is undercutting them, it wouldn't surprise him. Mr. Leone said that he thinks that not only is there an advantage to local business, but also to local government as well, because the city, through its use of fiber, will also be able to use this wireless canopy as well. 35 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Mr. Littrell said that the benefit he sees it is that the city would not have to dig up sidewalk for each business that wants access to the Metronet. The access could be wireless. Mr. Varner sees that advantage. But if the Metronet is going to use that to sell subscriptions to compete with others... that's where he has an issue. And if this is step one of a request for "umpteen hundred thousand dollars" in addition to what the city has already spent... Unless Metronet is prepared to start paying some sort of fee to the city. Mr. Littrell said that Mr. Gilot said the deal is that, for Metronet to do the radio system in downtown South Bend first, the city would cover the cost of this feasibility study. Ms. Spivey asked if the radio canopy would offer a hotspot to anyone who has a laptop in a downtown business. Mr. Litrell said it is not intended for laptop users. It's much more capable than you would need for a laptop computer. It will be an expensive connection. It will be more than you would want to pay, or that a business would give for free to its customers. It's intended for more high powered telecommunications than is necessary to operate devices that we carry around in our pockets. Mr. Varner asked if they would then pay a subscription fee for that Metronet access. Mr. Littrell responded that, yes, businesses would pay a monthly fee. Item 6.C.(3) died for lack of a motion. ITEM 6.C.(3) DIED FOR LACK OF A MOTION. 36 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 (4) Resolution No. 2895 approving the fair market value of property in the South Bend Central Development Area (502 W. Western Ave., former Harmon Glass) Mr. Sikora noted that this revised Resolution No. 2895 sets the offering price for the former Harmon Glass property on Western Ave at $45,000, the average of two independent appraisals. This action begins the disposition process for the former Harmon Glass property at 502 Western Ave. Staff recommends approval. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved Resolution No. 2895 approving the fair market value of property in the South Bend Central Development Area (502 W. Western Ave., former Harmon Glass) (5) Bid Specifications and Design Considerations for 502 W. Western Avenue. Mr. Sikora noted that the Bid Specifications include a requirement that the user must include a basic reuse plan for the site and a project timeline detailing aspects of the site redevelopment and site improvements. During the review process, emphasis will be placed on compatibility with the goals and objectives of the Coveleski Park Neighborhood as well as the Development Plan for the South Bend Central Development Area. Additional consideration will be given to proposals that incorporate community outreach, educational programming or technical instruction as part of a reuse plan. 37 COMMISSION APPROVED RESOLUTION NO. 2895 APPROVING THE FAIR MARKET VALUE OF PROPERTY IN THE SOUTH BEND CENTRAL DEVELOPMENT AREA (502 W. WESTERN AVE., FORMER HARMON GLASS) South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved the Bid Specifications and Design Considerations for 502 W. Western Avenue. (6) Authorization to publish Notice of Intended Disposition of Property with publication dates of June 24 and July 1, 2011 and receipt of bids at 10:00 a.m., July 12, 2011. (502 W. Western Ave.) Upon a motion by Ms. King, seconded by Mr. Alford and unanimously carried, the Commission authorized publication of the Notice of Intended Disposition of Property with publication dates of June 24 and July 1, 2011 and receipt of bids at 10:00 a.m., July 12, 2011. (502 W. Western Ave.) D. Airport Economic Development Area (2) Resolution No. 2883 related to acquisition of property in the Airport Economic Development Area (1518 S. Chapin St.) Mr. Relos noted that 1513 Chapin, 1518 Chapin and 1518 Scott Street were all added to the Airport Economic Development Area Acquisition List by Resolution No. 2668 on May 21, 2010. 1518 S. Chapin St. is a two story, three bedroom single family residence. Resolution No. 2883 sets the acquisition value of the property at $25,000, the average value as determined by two independent appraisals. Staff requests approval of Resolution No. 2883. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved Resolution No. 2883 38 COMMISSION APPROVED BID SPECIFICATIONS AND DESIGN CONSIDERATIONS FOR 502 W. WESTERN AVENUE COMMISSION AUTHORIZED PUBLICATION OF THE NOTICE OF INTENDED DISPOSITION OF PROPERTY WITH PUBLICATION DATES OF JUNE 24 AND JULY 1, 2011 AND RECEIPT OF BIDS AT 10:00 A.M., JULY 12, 2011. (502 W. WESTERN AVE.) COMMISSION APPROVED RESOLUTION NO. 2883 RELATED TO ACQUISITION OF PROPERTY IN THE AIRPORT ECONOMIC DEVELOPMENT AREA (1518 S. CHAPIN ST.) South Bend Redevelopment Commission Regular Meeting —June 14, 2011 related to acquisition of property in the Airport Economic Development Area (1518 S. Chapin St.) (3) Resolution No. 2884 related to acquisition of property in the Airport Economic Development Area (1513 S. Chapin St.) Mr. Relos noted that 1513 S. Chapin St. is a two story, four bedroom single family residence. Resolution No. 2884 sets the acquisition value of the property at $29,500, the average value as determined by two independent appraisals. Staff requests approval of Resolution No. 2884. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved Resolution No. 2884 related to acquisition of property in the Airport Economic Development Area (1513 S. Chapin St.) (4) Resolution No. 2885 related to acquisition of property in the Airport Economic Development Area (1518 S. Scott St.) Mr. Relos noted that 1518 S. Scott St. is a two story, four bedroom single family residence. Resolution No. 2885 sets the acquisition value of the property at $12,750, the average value as determined by two independent appraisals. Staff requests approval of Resolution No. 2885. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved separately Resolutions 2883, 2884, and 2885 all acquisition properties, personal properties (1518 and 1513 S. Chapin and 1518 S. Scott) in the Airport Economic Development Area. 39 COMMISSION APPROVED RESOLUTION NO. 2884 RELATED TO ACQUISITION OF PROPERTY IN THE AIRPORT ECONOMIC DEVELOPMENT AREA (1513 S. CHAPIN ST.) COMMISSION APPROVED SEPARATELY RESOLUTIONS 2883, 2884, AND 2885 ALL ACQUISITION PROPERTIES, PERSONAL PROPERTIES (1518 AND 1513 S. CHAPIN AND 1518 S. SCOTT) IN THE AIRPORT ECONOMIC DEVELOPMENT AREA. South Bend Redevelopment Commission Regular Meeting —June 14, 2011 (5) Administrative Settlement for 1518 S. Scott St. Mr. Relos noted that Resolution No. 2885 set the acquisition offering price for 1518 S. Scott at $12,750. The property owner has expressed her interest in selling this property, which she grew up in, but feels that based on the size of the house, and the fact that it has a two car garage with shop area, the value placed on it should be higher. The assessed value of this property is $46,900. The owner has agreed to accept $26,000. Mr. Relos put this value in context by noting that prices paid for the surrounding four houses were from $25,500 - $35,000, three of which had smaller square footage and no garage. The average value paid for these four houses is $29,500. The owner of 1518 S. Scott does not currently live in the house, but if she did, acquisition and relocation costs would be approximately $25,000. In light of the above considerations, staff feels the counter offer of $26,000 is reasonable and recommends approval. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved the Administrative Settlement for 1518 S. Scott St. (6) Administrative Settlement for 1525 S. Kemble Avenue. Mr. Relos noted that Resolution No. 2718 set the acquisition offering price at $29,000 for 1525 S. Kemble Ave. The owner of this .m COMMISSION APPROVED THE ADMINISTRATIVE SETTLEMENT FOR 1518 S. SCOTT ST. South Bend Redevelopment Commission Regular Meeting —June 14, 2011 property died without a will, and staff has been working with her heirs since July of last year to work through the process of setting up an estate so this property could be acquired. Since the property owner's death, one son has lived in the house, making payments on the mortgage, paying the taxes, and maintaining the property. According to the attorney for the estate, this son has a pending petition to receive the first $80,000 of the estate's proceeds (primarily this property). Under the relocation act, this son is eligible for relocation benefits. Following the Act, the estimated acquisition and relocation costs associated with this property would be $47,000. Instead of being relocated under the Act, the son would prefer to receive a lump sum payment of $50,000. This payment would be made to the estate. The approximate mortgage payoff is $11,000. The remaining $39,000 would be used as a down payment by the son and his wife toward a new home. Staff feels the total acquisition cost of $50,000 is reasonable for this property, and requests your approval of the administrative settlement for 1525 S. Kemble Ave. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved separately Administrative Settlement for properties at 1518 S. Scott St. and 1525 S. Kemble Avenue. (7) Resolution No. 2888 approving and authorizing the execution of an Addendum 41 COMMISSION APPROVED SEPARATELY ADMINISTRATIVE SETTLEMENT FOR PROPERTIES AT 1518 S. SCOTT ST. AND 1525 S. KEMBLE AVENUE. South Bend Redevelopment Commission Regular Meeting —June 14, 2011 to the Master Agency Agreement (Ignition Park South Expansion Area Demolitions). Mr. Relos noted that to date, there have been two emergency demolitions along this area of Indiana Avenue and one demo by Code Enforcement. Staff would like to proceed with demolishing more of the properties the Commission has acquired over the last year. This Addendum covers twenty -four structures in areas where the Commission owns properties that are not adjacent to non - owned structures, thereby making it easier for asbestos abatement and to demolish and clear the properties. Another addendum will be presented for additional demolitions when key properties are acquired to allow for easier abatement and property clearance. It is estimated that the total cost of this project will be $300,000, which includes asbestos abatement prior to demolition, plus demolition and property clearance. Staff requests Commission approval of this project, in a not -to- exceed amount of $300,000. Upon a motion by Mr. Alford, seconded by Mr. Varner and unanimously carried, the Commission approved Resolution No. 2888 approving and authorizing the execution of an Addendum to the Master Agency Agreement (Ignition Park South Expansion Area Demolitions). (8) Resolution No. 2891 approving and authorizing the execution of an Addendum to the Master Agency Agreement (Adams Road Estates Land Purchase) Mr. Schalliol noted that staff intends to M COMMISSION APPROVED RESOLUTION NO. 2888 APPROVING AND AUTHORIZING THE EXECUTION OF AN ADDENDUM TO THE MASTER AGENCY AGREEMENT (IGNITION PARK SOUTH EXPANSION AREA DEMOLITIONS). South Bend Redevelopment Commission Regular Meeting —June 14, 2011 extend Olive Road from Brick to Adams. A right -of -way is needed through Adams Road Estates, owned by Steve Cooreman. The right -of -way will be 100' wide and roughly 2700' in length. The total purchase price for the right -of -way is $271,073.50 including all closing costs. The purchase will be handled through an Addendum to the Agency Agreement we have with the Board of Public Works. Staff recommends approval of the Addendum. Mr. Varner questioned the timeline for completing the road. Mr. Schalliol answered that the city is acquiring the right -of -way and completing constructions plans up to 60% so that when an interchange is built at Adams Road, we'll have the land corridor necessary. Mr. Varner asked what if the interchange is never built. Mr. Schalliol responded that won't extend Olive Rd if the interchange is never built. Mr. Inks said that construction of the interchange is dependent on development. With some major projects there is enough lead time to get state involvement for funding for the interchange. That's where the state is now. The Indiana Economic Development Corporation has looked at this, expressed interest, but said until we have a project with significant investment and jobs, they're not going to put any money in. So, at this point, we're waiting for that significant project. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved Resolution No. 2891 approving and authorizing the execution of an Addendum to the Master Agency Agreement (Adams Road Estates Land 43 COMMISSION APPROVED RESOLUTION NO. 2891 APPROVING AND AUTHORIZING THE EXECUTION OF AN ADDENDUM TO THE MASTER AGENCY AGREEMENT (ADAMS ROAD ESTATES LAND PURCHASE South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Purchase) (9) Memorandum of Understanding with Brick Road LLC ( Hutsfield Square Subdivision) Mr. Schalliol noted that the purpose of the Memorandum of Understanding is to establish a binding agreement concerning commitments of the Brick Road LLC and the Commission. Brick Road LLC will be donating to the City of South Bend all land necessary to construct the Mayflower sewer project as well as constructing Mayflower Boulevard from Cleveland to Brick Road. The property donation equates to approximately 6 acres of the total 43.3 acre Hutsfield Square subdivision. In exchange for the land donation, the Commission will construct Mayflower Boulevard from Cleveland to Brick and construct all related infrastructure improvements including sewer, storm retention, walks, lighting and a signal at Cleveland and Mayflower. The city will also use a portion of the western side of the site along Mayflower Road to construct a new regional trunk sewer line. Both of these projects are part of a Master Agency Addendum that is before the Commission as Resolution No. 2893. In the event that the Commission determines to not do the project, the land would revert back to Brick Road LLC by December 31, 2011. Hutsfeed Square subdivision is proposed to be a mixed use development of housing and retail located on Cleveland Road. The developer is working with a senior housing project developer to use a third of the site for a housing village that will contain a variety of housing options for a senior population. The site is also laid out with room for a large ., South Bend Redevelopment Commission Regular Meeting —June 14, 2011 "big box" store and smaller outlot development. Coupled with a proposed mixed use commercial development south of the site on the south side of Cleveland Road, this project will create a strong compliment to the other developments happening around Cleveland Road in the AEDA. Staff requests approval of Memorandum of Understanding by and between Brick Road LLC and the City of South Bend Redevelopment Commission to advance this project. Mr. Varner asked what Hutsfield's commitment is. Mr. Schalliol responded that Hutsfield will start the residential component this fall; they have interested retail tenants that they hope to soon secure contracts with, and they are dedicating the land. Upon a motion by Mr. Alford, seconded by Mr. Varner and unanimously carried, the Commission approved the Memorandum of Understanding with Brick Road LLC (Hutsfield Square Subdivision) (10) Resolution No. 2893 approving and authorizing the execution of an Addendum to the Master Agency Agreement (Mayflower/Hutsfield Square Infrastructure Project) Mr. Schalliol noted that the Mayflower/ Hutsfield Square Infrastructure Project consists of two projects. The first is the Mayflower Boulevard Construction with a contract amount of $2,499,736.21. The work will include construction of a new roadway, all related drainage and utility work, street lights and pedestrian trail, and a new traffic signal at Mayflower Boulevard and 45 COMMISSION APPROVED THE MEMORANDUM OF UNDERSTANDING WITH BRICK ROAD LLC (HUTSFIELD SQUARE SUBDIVISION) South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Cleveland Road. The second project is the Mayflower sewer construction with a contract amount of $1,868,743.50. That work will include the construction of a new sewer force line that will intercept sewage at the intersection of Mayflower and Brick and force the material to the Blackthorn Lift Station located on Nimtz Parkway. There will be additional sewer network configuration as part of this project that will free up capacity in the existing network on the northwest side of town. The Addendum includes a copy of a professional services proposal Abonmarche to provide Project Oversight/Inspection for a fee of $86,740.00. The city will assign an inspector to this project but Abonmarche will serve as an additional inspector and be in the field to deal with project construction issues. Staff requests approval of Resolution No. 2893. Upon a motion by Mr. Alford, seconded by Mr. Varner and unanimously carried, the Commission approved Resolution No. 2893 approving and authorizing the execution of an Addendum to the Master Agency Agreement (Mayflower /Hutsfield Square Infrastructure Project) (11) Resolution No. 2897 approving the Fair Market Value of Property in the Airport Economic Development Area (604 S. Scott Street, former Millennium Environmental, Inc.) Mr. Sikora noted that the city picked up this property at 604 S. Scott St. at tax sale. We were able to use some environmental COMMISSION APPROVED RESOLUTION NO. 2893 APPROVING AND AUTHORIZING THE EXECUTION OF AN ADDENDUM TO THE MASTER AGENCY AGREEMENT (MAYFLOWER/HUTSFIELD SQUARE INFRASTRUCTURE PROJECT) South Bend Redevelopment Commission Regular Meeting —June 14, 2011 remediation funds from IDEM to do environmental cleanup at the property. Now we would like to put it on the market. Resolution No. 2897 sets the fair market value at $42,500, the average of two independent appraisals. The property is 2.6 acres. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved Resolution No. 2897 approving the Fair Market Value of Property in the Airport Economic Development Area (604 S. Scott Street, former Millennium Environmental, Inc.) (12) Bid Specifications and Design Considerations for 604 S. Scott Street Mr. Sikora noted that the Bid Specifications and Design Considerations include that proposals must include a basic reuse plan for the site and a project timeline. Projects must be compatible with the goals and objectives of the Development Plan for the Airport Economic Development Area. COMMISSION APPROVED RESOLUTION NO. 2897 APPROVING THE FAIR MARKET VALUE OF PROPERTY IN THE AIRPORT ECONOMIC DEVELOPMENT AREA (604 S. SCOTT STREET, FORMER MILLENNIUM ENVIRONMENTAL, INC.) Upon a motion by Mr. Varner, seconded by COMMISSION APPROVED THE BID Mr. Alford and unanimously carried, the SPECIFICATIONS AND DESIGN CONSIDERATIONS Commission approved the Bid Specifications FOR 604 S. SCOTT STREET and Design Considerations for 604 S. Scott Street. (13) Authorization to publish Notice of Intended Disposition of Property with publication dates of June 24 and July 1, 2011 and receipt of bids at 10:00 a.m., July 12, 2011. (604 S. Scott Street) Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission authorized publication of the 47 COMMISSION AUTHORIZED PUBLICATION OF THE NOTICE OF INTENDED DISPOSITION OF PROPERTY WITH PUBLICATION DATES OF JUNE 24 AND JULY 1, 2011 AND RECEIPT OF BIDS AT South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Notice of Intended Disposition of Property with publication dates of June 24 and July 1, 2011 and receipt of bids at 10:00 a.m., July 12, 2011. (604 S. Scott Street) (14) Resolution No. 2898 approving and authorizing the execution of a Master Agency Agreement by and between the South Bend Redevelopment Commission and the City of South Bend, Indiana, Board of Park Commissioners relating to 2011 projects. Mr. Schalliol noted that a Master Agency Agreement is needed with the Board of Park Commissioners to do the work we've anticipated at Voorde Park. Resolution No. 2898 approves the Master Agency Agreement. The next agenda item approves the first Addendum to the master agreement assigning that project to the master agreement. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved Resolution No. 2898 approving and authorizing the execution of a Master Agency Agreement by and between the South Bend Redevelopment Commission and the City of South Bend, Indiana, Board of Park Commissioners relating to 2011 projects. (15) Resolution No. 2894 approving and authorizing the execution of an Addendum to the Master Agency Agreement ( Voorde Park Planning and Construction) Mr. Schalliol noted that the Commission previously approved Addendums to the Master Agency Agreement to contract with Lehman & Lehman for initial site planning, 10:00 A.M., JULY 12, 2011. (604 S. SCOTT STREET COMMISSION APPROVED RESOLUTION NO. 2898 APPROVING AND AUTHORIZING THE EXECUTION OF A MASTER AGENCY AGREEMENT BY AND BETWEEN THE SOUTH BEND REDEVELOPMENT COMMISSION AND THE CITY OF SOUTH BEND, INDIANA, BOARD OF PARK COMMISSIONERS RELATING TO 2011 PROJECTS South Bend Redevelopment Commission Regular Meeting —June 14, 2011 and then a second contract to do survey work and prepare and complete a rezoning for a parcel of land adjacent to Voorde Park to be transferred to Hoosier Tank. This Addendum is for a contract with Lehman & Lehman to finalize the planning work for the entire property and prepare construction and bid documentation. Lehman & Lehman has submitted a proposal in the amount of $27,000. Construction of the park improvements will cost $350,000. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved Resolution No. 2894 approving and authorizing the execution of an Addendum to the Master Agency Agreement ( Voorde Park Planning and Construction) E. West Washington- Chapin Development Area (1) Resolution No. 2886 related to acquisition of property in the West Washington - Chapin Development Area (601 -605 W. Washington) Mr. Relos noted that 601 — 605 W. Washington was added to the West Washington Chapin Development Area Acquisition List by Resolution No. 2852 on March 22, 2011. It was added in an effort to clear the non - conforming buildings on this corner in preparation for more appropriate infill housing or a historic house move. The property has a one story, three unit, brick building built in 1960. The building contains 1,680 square feet on a 68' x 93' lot, across the street from Tippecanoe Place Restaurant. 49 COMMISSION APPROVED RESOLUTION NO. 2894 APPROVING AND AUTHORIZING THE EXECUTION OF AN ADDENDUM TO THE MASTER AGENCY AGREEMENT (VOORDE PARK PLANNING AND CONSTRUCTION) South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Resolution No. 2886 sets the acquisition value of the property at $72,000, the average value as determined by two independent appraisals. Staff recommends approval. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved Resolution No. 2886 related to acquisition of property in the West Washington- Chapin Development Area (601- 605 W. Washington) (2) Resolution No. 2887 approving and accepting a counteroffer for the acquisition of property (601 -605 W. Washington) Mr. Relos noted that the owner of 601 -605 W. Washington has submitted a counter offer in the amount of $87,000. When valuing this property, the appraisals did not consider the income approach since only one of the three units is currently leased. The property owner states that in anticipation of this sale, he has not actively pursued leasing the units. Using the income capitalization method of valuing this property based on its historic rental income, with a capitalization rate of 11 %, the value would be $126,000. This building had a new roof put on 3 years ago, with the center unit recently remodeled. Staff feels the acquisition cost of $87,000 for this property is reasonable, and requests your approval of Resolution No. 2886. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved Resolution No. 2887 approving and accepting a counteroffer for the acquisition of property (601 -605 W. 50 COMMISSION APPROVED RESOLUTION No. 2886 RELATED TO ACQUISITION OF PROPERTY IN THE WEST WASHINGTON- CHAPIN DEVELOPMENT AREA (601 -605 W. WASHINGTON) COMMISSION APPROVED RESOLUTION NO. 2887 APPROVING AND ACCEPTING A COUNTEROFFER FOR THE ACQUISITION OF PROPERTY (601 -605 W. WASHINGTON) South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Washington) (3) Resolution No. 2889 related to acquisition of property in the West Washington - Chapin Development Area (109 -111 N. Taylor) Mr. Relos noted that 109 — 111 N. Taylor St. was added to the West Washington Chapin Development Area Acquisition List by Resolution No. 2852 on March 22, 2011. It is adjacent to the above property on West Washington Street. It is a one story office / commercial building with full basement built in 1956. The building contains 2,026 square feet on a 56' x 93' lot, across the street from Tippecanoe Place Restaurant. Resolution No. 2889 sets the acquisition value of the property at $57,500, the average value as determined by two independent appraisals. Staff recommends approval. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved Resolution No. 2889 related to acquisition of property in the West Washington- Chapin Development Area (109- 111 N. Taylor) (4) Resolution No. 2890 approving and accepting a counteroffer for the acquisition of property (109 -111 N. Taylor) Mr. Relos noted that the owner of 109 -111 N. Taylor has made a counter offer in the amount of $65,000. The owners of this property bought it in 1992 for approximately $60,000. Over the years they have invested in a new rubber roof, furnace, and office upgrades. The property is assessed at 51 COMMISSION APPROVED RESOLUTION NO. 2889 RELATED TO ACQUISITION OF PROPERTY IN THE WEST WASHINGTON- CHAPIN DEVELOPMENT AREA (109 -111 N. TAYLOR) South Bend Redevelopment Commission Regular Meeting —June 14, 2011 $93,100, and is listed for sale at $79,000. Staff feels the acquisition cost of $65,000 for this property is reasonable, and requests approval of Resolution No. 2890. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved Resolution No. 2890 approving and accepting a counteroffer for the acquisition of property (109 -111 N. Taylor) F. South Side Development Area (1) Resolution No. 2892 approving and authorizing the execution of an Addendum to the Master Agency Agreement (748 Hawbaker Demolition Planning) Mr. Schalliol noted that this Addendum To Master Agency Agreement is for contracting with Christopher B. Burke Engineering to provide demolition and project design services for the demolition and reuse of 748 Hawbaker Street. On May 27 the Commission purchased 748 Hawbaker, located north of Menards and south of the Mutual Bank on Ireland and High Street, for uses consistent with the Erskine Plaza Pond project and the Ireland and High intersection improvement project. The lot will be cleared and a sidewalk will be constructed along the eastern edge of the property that will connect the Mendards property and the western end of Erskine Plaza to Ireland Road. The property will also be "land banked" to potentially provide drainage relief if conditions require extra storm water management solutions in that western end of the project area. The cost of 52 COMMISSION APPROVED RESOLUTION No. 2890 APPROVING AND ACCEPTING A COUNTEROFFER FOR THE ACQUISITION OF PROPERTY (109 -111 N. TAYLOR) South Bend Redevelopment Commission Regular Meeting —June 14, 2011 the planning proposal with Christopher B. Burke Engineering, Ltd. is $3,440.00. Mr. Varner asked if we hadn't decided we didn't need this parcel when we decided to not build the new pond(s). Mr. Schalliol responded that, as large as the pond is that the Commission excavated, there is extra water coming off of the church site at the top. And from the intersection of Ireland and Miami. We thought all the church water was going into the pond. It is not. It is going into a separate pipe that runs right next to this parcel, so we're going to have to use this parcel for water detention. We're going to put some holding tanks on the side of the parcel. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved Resolution No. 2892 approving and authorizing the execution of an Addendum to the Master Agency Agreement (748 Hawbaker Demolition Planning) G. Northeast Neighborhood Development Area There was no business in the Northeast Neighborhood Development Area. H. Douglas Road Economic Development Area There was no business in the Douglas Road Economic Development Area. I. Ratification of Services Contracts COMMISSION APPROVED RESOLUTION NO. 2892 APPROVING AND AUTHORIZING THE EXECUTION OF AN ADDENDUM TO THE MASTER AGENCY AGREEMENT (748 HAWBAKER DEMOLITION PLANNING 53 Commission Role in Service Contract Staff Transaction Contractor Provided Amount Member 53 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 601 -605 W Acquisition Wightman Petrie Phase I $1,500 Relos Washington June 16, 2011 Hall of Fame Environmental Enshrinement Festival through July 17, 109 -111 N Acquisition Wightman Petrie Phase I $1,500 Relos Taylor June 18-19,2011 Intruders Environmental (band group) The Blues Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission ratified the Services Contracts approved by staff since May 24, 2011. J. Ratification of Temporary Use Agreements COMMISSION RATIFIED THE SERVICES CONTRACTS APPROVED BY STAFF SINCE MAY 24, 2011 Use /Agency Lot Event Dates of Use College Football Leighton Parking Hanging Hall of Fame June 16, 2011 Hall of Fame Garage Enshrinement Festival through July 17, Banner 2011 The Blues 123 S Michigan Auditions and Practice by June 18-19,2011 Intruders (Michigan Street (band group) The Blues Shops) Intruders Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission ratified the Temporary Use Agreements approved by staff since May 24, 2011. 7. OTHER A. Resolution No. 2900 adopting contract language in accordance with the Minority and Women's Business Enterprise Diversity Development Program of the City of South Bend, Indiana Mr. Leone noted that this is language that results from an ordinance passed by the South Bend Common Council promoting minority and women's business enterprise diversity within the City of South Bend. That ordinance requires certain language to be part of all city contracts. This is the standard language that the Legal 54 COMMISSION RATIFIED THE TEMPORARY USE AGREEMENTS APPROVED BY STAFF SINCE MAY 24,2011 South Bend Redevelopment Commission Regular Meeting —June 14, 2011 Department has developed. Staff recommends it be included in Redevelopment Commission contracts as well. Upon a motion by Mr. Varner, seconded by Mr. Alford and unanimously carried, the Commission approved Resolution No. 2900 adopting contract language in accordance with the Minority and Women's Business Enterprise Diversity Development Program of the City of South Bend, Indiana 7. PROGRESS REPORTS There was no report. 8. NEXT COMMISSION MEETING The next meeting of the Redevelopment Commission is scheduled for Tuesday, June 28, 2011 at 4:00 p.m. 9. ADJOURNMENT There being no further business to come before the Redevelopment Commission, Mr. Varner made a motion that the meeting be adjourned. Mr. Alford seconded the motion and the meeting was adjourned at 6:20 p.m. Donald E. Inks, Director 55 COMMISSION APPROVED RESOLUTION NO. 2900 ADOPTING CONTRACT LANGUAGE IN ACCORDANCE WITH THE MINORITY AND WOMEN'S BUSINESS ENTERPRISE DIVERSITY DEVELOPMENT PROGRAM OF THE CITY OF SOUTH BEND, INDIANA PROGRESS REPORTS NEXT COMMISSION MEETING ADJOURNMENT