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HomeMy WebLinkAbout08-03-07 Redevelopment Commission MinutesSOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING August 3, 2007 10:00 a.m. 227 Walt Jefferson Boulevard Presiding: Marcia I. Jones, President South Bend, Indiana 1, ROLL CALL Members em ers Present: Legal Counsel Ms. Marcia Jones, President Mr. Karl King, Vice President Mr. Greg Downes, Secretary Mr. Hardie Blake, Jr. Mr. Ken Peezkowski Mr. Charles S. Leone, Esq. Redevelopment Staff: Mr. Don hiks, Director Mr. Jeffrey Gibney, Executive Director Mrs. Cheryl Phipps, Recording Secretary Mr. Bill Scha.11iol, Economic Development Specialist Mr. Andrew Laurent, Economlc Development Specialist Ms. Jenn.lfer Laurent., Economic Development ment eciall.st Mr. Nicholas vit ver, Economic Development Specialist others Present: Ms. Jamie Loo, South Bend Tribune Mr. Michael I ivita, Community Development Mr. David Fecteau, Community Development Ms. Debrah Jennings, Property Manager Ms. Rita Koala Ms. Glenda Rae Hemandez Ms. Linda Wolfson, Community Fonim for Economic Dev Mr. Tom Price, Mayor's Office Mr. Pal ela. Meyer, Community 'Development Mr. Steve Infalt, United Beverage Mr. Nevin Siqueir a, value Production. Mr. Scott Singer, Irnagineerin Mr. Mile Conn, Corporate Services Mr. Gerald Lerman, Steel Warehouse Mr. Mark Miller, Grubb & Ellis Cressy & Everett Mr. Jeff McGowan, Kruggel & Lawton South Bench Redevelopment Commission Regular Meeting —August 3, 2007 2. APPROVAL OF MINUTES A. Approval of Minutes tes o the Regular Meeting of Friday, July 20, 2007. Upon a motion by Mr. Downes, seconded by Mr. Pee ko vski and unanimously carried., the Commission approved the Minutes of the Regular Meeting of Friday, .Tiny 20, 2007. 3. APPROVAL of CLAIMS COMMISSION APPROVED 'rI -ip MINUTES OF THE REGULAR MEETINCY OF FRIDAY, Juj-Y 20, 2007 Redevelo nient Commission Claims subm.1tted A gLlst. 3, 2007 for approval.. 324 AIRPORT A T A Vitt Appraisal Services, Inc. Michaels Appraisal Service Meridian Title Corporation Ken Herceg & Associates, I11c. D A Selge Co. str ctlon Co., Inc . Selge Construction Co., Inc. Selge Construction Co., Inc. CFH Landscape Services 414 SAMPLE EWING GENERAL 1,000.00 700.00 00.0 23,188.00 1,284.50 1.3,91.8.07 514,0 6.07 Expansion of Olive & Brick Rd. 389,224.57 Expansion of Olive & Brick Rd. 769.00 CFH Landscape Services 11)969.50 420 FUND TIF DISTRICT -SBIA GENERAL CFH Landscape Services 3 24.5 0 422 FUND WEST CFH Landscape Services 178.50 428 FUND AIRPORT 2003 Walsh & Kelly 251,944.88 430 FUND SOUTH SIDE V L PMENT CFH Landscape Services 205.00 1,199 "P312.59 2 South Bend Redevelopment Commission Regular Meeting — August 3, 200 3. APPROVAL OF CLAIMS (CONY.) Upon a motion by Mr. Downes, seconded by Mr. King and unanimously carried, the Commission approved the Claims submitted August 3, 2007, and ordered checks to be released. 4. COMMUNICATIONS There were no Con- imunications. 5. OLD BUSINESS A. Public Hearings (1) Continuation of 7120107 Public Hearing on Resolution No. 2354 expanding the boundaries of the Airport Economic Development Area., expanding the allocation area for purposes of tax increment financing and amending the Airport Economic Development Area Development Plan. Aiding Miami Corridor to the AIA Mr. Inks Doted that considerable comments were made during the public hearing last meeting, and after discussions with the Mayor and Common Council, staff recon- emends the AH-port Economic Devclo meat Area not be expanded to include the Miami Corridor. Instead, staff' requests authon'zation to investigate establishing the Miami Corridor as an Urban Renewal Area. The purpose is to continue the Facade Matching Grant program in the Commercial Corridors. The Legal Department has advised that this program needs to be run under the authority of the Redevelopment Corns- .fission. Redevelopment has specific statutory authority to do this type of program, but it 3 COMMISSION APPROVED THE CLAIM UBMITTED AUGUST 3, 2007 5 AND ORDERED ED THE CHECKS TO BE RELEASED Ti-i FR E WERE NC COM MU IC ATION South Bend Redevelopment CommissiO . Regular Meeting — August 3, 2007 needs to be done in a certain fashion. It can be don in a redevelopment area, in an economic development area., in an urban renewal area, or by a neighborhood development corporation. Where are six commercia. l corridors in the City of South Bend, Westem Avc, Lineolnway west, and Portage .Ave. will continue their Fa ade Matching Grant programs through neighborhood development corporations. Miami St. and Mishawaka Ave. coma rs will he run through urban renewal areas. Since the South Gateway S. Michigan S. Main) corridor runs through the South Bend Central Development Area, the newly expanded Airport Economic Development Area, and the South Side Development Area, it is already included in either a redevelopment area or an economic development area. The :Facade Matching Grant progrann for those corridors can, therefore, be run under the authority of the edevc1 pment Commission. Mr. King made a. motion to wi.thdraw PUBLic HEARING CANCELED Resolution No. 2354 and cancel the public bearing on Resolution No. 2354. Mr. Downes seconded the motion, The motion carried with a un mmous vote. Mr. Ding made a motion to authorize staff to proceed w1th necessary steps to analyze and make a reconimcndation regarding the esta lisbment of an Urban Renewal Area covering Miami Corridor. Mr. Downes seconded the motion. The motion carried with a unanimous vote. (2) Commission approval requested for Resolution No. 2354. Item withdrawn. 4 RESOLUTION Igo. 2354 WITFIDRAWN South Bend Redevelopment Con ission Regular Meeting — August 3, Zoo 5. OLD BUSINESS (CONY.) B. Airport Economic Development Area (1) Commission approval requested for proposal for professional services in the Airport Economic Development Area. (Survey work, Miami corridor expansion) Mr. Wit er noted that Wightman Petrie subm.1tted a proposal to write the legal description for the Miami CoiTidor. . The original intent was that it was needed to be incorporated into the Alrport Economic De elopmcnt Area. Since Resolution No. 2354 was withdrawn with the intention of making the Mlanu Corridor an Urban Renewal Area, the legal description will be needed for that action. The cost for services 1s K300. Upon a motion try 'Mr. King, seconded by Mr. Downes and unanimously call ied the Comm.i.sston approved the request for proposal for professional services in the Airport Economic Development Area and accepted the proposal from Wightman Petrie in the amount of $1,300 for the scope of serVlces proposed. 6. NEW BUSINESS A. Tax Abatements (1) Commission approval requested for Resolution Igo, 2363 approving an application for real property tax deduction for property located at 220 West Colfax Ave in the South. Bernd Central Development Area. (Colfax Place condominiums) 5 OMMISSTON APPRL VEI) `I -I -1F REQUEST FOR PROPOSAL F- R PROFFSSIONAL SERVICES IN THE AIRi' >oi "I' E ON OM ic D E'V EI -0PI TENT- AREA AN ACCEPTED THE PROPOSAL FROM WK 31 AN PETRIE IN THE AMOUI T OF 1 ? {(R THE SCOPE OF SERVICES PROPOSED South Bead Redevelopment Commission Regular Meeting —August 3, 2007 6. NEW BUSINESS (CONY.) A. Tax Abatements (1) continued... Mr. Schalliol gave the staff report on the project. Colfax Place Associates .intends to convert a 28,059 sft office building to condominjuni.s. 24,783 sft will be used for condominiums nd through t" floors)'. ma imunn of twelve units will be constructed. 3,276 sft wi.11. be retal ed for commercial use. The condos will range in size from 1,544 sft to 3,800 sft and will contain two or more bedrooms (buyer's preference), two to three bat .rooms, fiving room and kitchen. on site parking will be provided. The condos will range from $259,000 for a 1,544 sft unit on the 2nd floor to $850,000 for a 3,800 sft unit on the top floor. Total project cost is estimated to be $,1 00,000. Mr. Sch lliol noted that the total taxes to be abated over five rears is estimated at S 10, 2 62 for any size unit. For the largest unit, the taxes estimated to be paid is 50,495. The smallest unit will pay approximately $16,072 in taxes over the five gears. The property is properly zoned for the proposed use. However, the Building Commissioner noted that two building pen -nits have been issued to prepare showrooms. The showrooms will eventually be demolished for the construction of condos. The abatement will not include the value of that construction. The property is within the South Bend Central Development opment Area.; therefore, 6 South Bend Redevelopment Commission Regular Meeting —August 3, 2007 approval of the tax abatement petition by the South Bend Redevelopment Commission is required. The project qualifies for a five year residential tax abatement under the tax abatement ordinance. Mr. Downes made a motion to approve Resolution No. 2363 approving an application for real property tax deduction for property located at 220 West Colfax Ave in the South fiend Central Development Area. Mr. King seconded the notion. The vote was four to one with Mr. Peczkowsl i opposed. The motion Carried. (2) Commission approval requested for Resolution No, 2371 approving an application for personal property tax deduction for property located at 3722 Foundation Court in the Airport Economic Development Area. (Imagineering Enterprises, Inc.) Mr. Sehalli l gave the staff r port on the pr 01 ect. Ina inccrin Enterprises, .Inc. intends to acquire a vacant 59,000 sft building at 3 722 Foundation Court to use as a processing facility and South Bend office. The total projeCt Cost Is estMiated at $5.1 m1 lion with new equipment being installed at a cost of $5.3 million. The processing facility will provide eleCtroless nickel plating, phosphate coatings, passivation processes, non destruction testing and quality assurance testing for clients' components as the final step in the manufacturing process. The new equipment for manufacturing will include lab equipment, wet processing and phosphate passivation equipment, paint line, N T equipment, and waste treatment equipment. 7 OMMIS SION APPROVED RESO LUTION No. 2363 APPROVING VING AID APPLICATION FOR EAL PROPERTY TY TAX DEDUCTION FOR PROPERTY TY LOCATED M* 220 WEST COLFAx AVE INTH OUTI-I BEND CE T At. DEVELOPMENT AREA (COLFAX PLACE Assoc "KITES) South Bend Redevelopment Commission Regular Meeting —August 3, 2007 Total taxes to be abated during the five-year abatement are estimated t $213,238. Total taxes to be paid during the five year abatement are estimated to be $ 110,964. Ima i .eering estimates that the project will create six new pen anent, full-time jobs within the first year with a new annual Payroll of $190,000. The project will also maintain sixty -nine existing full -tinge and two existing part time jobs representing an annual payroll of $2,687,738. .Iragineering has been granted two previous real property tax abatements ents and one previous personal property abatement. The two real property abatements were for projects to be constructcd on Nip tz Parkway. way. The projects were never built and the tax abatements were not instituted. Irnagineering will move to 3722 Foundation Court instead The property is properly zoned for the proposed use. The property is within the Airport Economic Development Area, a tax increment allocation area; therefore the petition for personal property tax abatement must first be approved by the South Bend Redevelopment Commission. The project qualifies for five years of personal property tax deduction under the tax abatement ordinance. Mr. Scott Singer, Imagineering, noted that the parts to be processed with the new equipment will be used on the new AMG Humvee. Mr. King made a motion to approve Resolution No. 2371 approving an application for personal property tax deduction for property located at 3722 0 COMMISSION APPROVED RFsoLUTION No. 2371 APPROVING AN APPLICATION FOR PERSONAL NAL PROPERTY TAX DEDUCTION FOR PROPERTY LOCATED AT 3722 FoUNDATION C URT IN THE AIRPORT ECONOM IC DEvF LOP I IE€ I 'I' A R A South Bend Redevelopment Commission Regular Meeting –August 3, 200' Foundation Court in the Airport Economic Development Area. Mr. Downes seconded the motion. The motion carried on a vote of four to one with Mr. l ec l owski opposed. (3) Commission approval requested for Resolution No. 2355 approving an application for real property tax deduction for property located at 5855 Carbonmill Dr. In the Airport Economic Development Area. (GWSB—Corporate Services, lessee) Mr. Schalliol gave the staff report on the project. GWSB owns the property and leases to Corporate Services. The building is not air conditioned. Corporate Services provides print materials and needs a climate controlled environment. So the project.].s to install a new HVAC system to control humidltyfor the tenant, Corporate Services. The estimated cost is $300,000 to $500,000. The project qualifies for six years of abatement tinder the tax abatement ordinance. The amount to be abated would be $36,944 to $60,157, depending on the ultimate project cost. Taxes to be paid would be $25,430 to $42,380. The project is expected to create eighteen permanent full- -tine obs in the first year w1th an annual payroll of $465,000 and will maintain six existing full -tine jobs with an annual payroll of $1 56,000. 1r. Downes made a notion to approve Resolution No. 2355 approving an application for real property tax deduction for property located at 5855 Carbonrnxll Dr. in the Airport Economic Development Area. Mr. Ding seconded the motion. The motion passed on vote of four to one with Mr. Pec kows i opposed. (4) Commission approval requested for X I A I EERING COMMISSION APPROVED RESOLUTION No. 2355 APPROVING AN APPLICATION FOR REAL PROPERTY TAX DEDUCTION FOR PROPERTY LOCATED AT 5 85 5 C R C NM ii-i_ DR. 1N TH E AIRPORT ECONOM i ` DEVELOP EM, AREA. WB, CORPORATE SEIMCES, LESSEE) South Bend Redevelopment Commission Regular Meeting —August 3, 2007 Resolution No. 2356 approving an application for personal property tax deduction for property located at 2629 Foundation Drive in the Airport Economic Development elopmen Area, (Value Production) Mr. Schaiiiol gave the staff report on the project. Value Production is interested in increasing the a.ront of the five -year personal property tax abatement granted in Resolution No. 2273 0D October 201, 2006. The amount requested was $500,000. They are now planning to add four vertical CNC machines and a CNC lathe which have a total cost of $750,000, thus bringing the project total to l ,25000. This latest phase of the project will create five new permanent Jobs within the first year representing a new am-lual. payroll of $175,000 and maintaining nineteen full -time and one part -time job with an annual payroll of $500,000. Value Production Is asking that this abatement be moved through the process and aided to the above mentioned Council resolution. Mr. Sigiera. noted that the company has a great opportunity to get a contract with the military and would appreciate approval of this request. Mr. King made a motion to approve Resolution No. 2356 approving an application for personal property tax deduction for property at 2629 Foundation Drive. Mr. Downes seconded the motion. The motion passed on a vote of four to one w1th Mr. Peczkowski opposed. (5) Commission approval requested for Resolution No. 2357 approving an application for real property tax deduction for property located adjacent to Soo 1 COMMISSION APPROVED RESOUrrION No. 2356 APPROVING AN APPLAC'ATI N FOR PERSONAL PROPERTY TY TAX DEDUCTION 1CTION FO PROPERTY TY LOCATED ON 2629 FOUNDATION DRIVE IN THE AIRPORT T EC N is DEVELOPMENT AREA (VALUE PRODUCTION) South Bend Redevelopment Commiss.1e11 Regular Meeting — August 3, 2007 United Drive in the Airport Economic Development Area. (Nelson Dee, LLC United Beverage) Mr. Schalliol gave the staff report on the proiect. United Beverage has beers a beer wholesaler for 75 years. They have been at their current location for 40 years. The market for beer has been shifting from can to bottles, so they reed to expand their storage capacity. They want to acid 15,000 sft to their warehouse space. The estimated value of the project is $2,500,000. Taxes to be abated during the ten -year ab temcnt are estimated at $424,000. The amount of new taxes expected to be paid during that time is $432,000. The project is estimated to create between five and seven new jobs over the first five years. Sixty -three existing Jobs will also be retain ed with an annual payroll of $3.2 million. Mr. Downes made a motion to approve Resolution No. 2357 approving an application for real property tax dedLICtxon for property located adjacent to 840 United Drive in the Airport Economic Development Area. Mr. King seconded the motion.. The motion passed on a vote of four to one with Mr. Pcczkowski. opposed. (6) Commission approval requested for Resolution No. 2360 approving an application for personal property tax deduction for property located at 2722 W. Tucker Dr. in the .Airport Economic Development Area. (Steel Warehouse) Mr. Schalhol gave the staff report on the project. Steel Warehouse is applying for three abatements. One at 2722 Tucker Drive, one at 1400 Riverside Drive and one at 1217 1i COMM ION APPROVFi) RF.S0 LtY1"10N No. 2357 APPROVING AN APPIK'1'A'FIOI FOR REAL, PROPERTY TAX DEDUCTION FOR PROPERTY LOCATED A.DJAC H'NT T 840 UNITED DRIVE IN THE A.I.RPORfr ECONOMic DEVELOPMENT AREA.. (NELSON Da, LLC UNITED BEVERAGE) ;E South Bend Redevelopment Commissioll Regular Meeting --August 3, 2007 Walnut Street. They are installing new equipment at each of these locations. The total estimated cost of equipment for all three locations will range from $4,400,000 to $11,000,000. Depending on the exact amount of the investment, taxes to be abated during the five years of abatement are expected to range from $268,000 to $672,000. Taxes to be paid during that time are estimated to range from $149,000 to ,o. The reason for the wide range is that there is a two year time period for installing the new equipment, Depending on the market and the cost of equipment, t, they aren't sure how much equip�ent they will purchase during that time. Asking for tine range allows them to be flexible and not have to conic back for additional abatement during that time. The project is expected to create up to five n.cw full -time jobs at the Tucker St. location, and five to tweet -five jobs at the walnut St. location and to retain 481 full time jobs with an. annual payroll of $22..7 ��nil.lio at all. three facilities. Mr. hale noted that he will abstain from the vote on the Steel warehouse tax abatements as his company does business with Steel 'Warehouse. He noted that Steel warehouse makes a point of trying to use minority businesses. Mr. King made a motion to approve Resolution No. 2360 approving an application for personal property tax deduction for property located at 2722 W. Tucker Ir. in the Airport Economic Development. Area. Mr. Downes seconded the motion. The motion passed on a vote of three to one with Mr. Peclowsli opposed. 12 COMMISSION APPROVED E OLI` TI N No. 2360 APPROVING AN APPLICATION FOR PERSONAL PROPERTY T TAX DEDUCTION FO PROPERTY LOCATED AT 2722 w. TUCKER i. IN "I "H E AIRPORT T C'ONOM.IC DEVELOPME T AR-F.-A. (STEEL WAREHOUSE) OUSE South Bend Redevelopment Commission Regular Meeting —August 3, 2007 Mr. Blare abstained. (7) Commission approval requeste d for Resolution No. 2359 approving an application for personal property tax deduction for property located at 1215, 1217 S. Walnut St. in the Sample -Ewing Development Area. (Steel warehouse) Mr. Icing madc a motion to approve Resolution No. 2359 approving an application for personal property tax deductlon for property located at 1.215 and 121 S. Walnut St. in the Airport Economic Development Area. Mr. Downes seconded the motion. The motion passed on a vote of three to one w1th Mr. Pecz o vs i opposed. Mr. Blake abstained. B. Housing 1. Commission approval requested for loan and grant In connection with the South Bend Home Improvement Program for property located at 2604 Woo moat Dr. (Jodie Cruickshank) Ir. Inks noted that this ls the first of the SBHIP loans /grants to come through the Commission this year. The loan is in the ai ount of $2,650. The grant is $2,532.75. :Mr. Peclovsli asked for ail explanation of the South Bend Hone Improvement Program. Ms. Pamela Meyer, Director of Community Development, explained that the program. has been in operation for at least twenty years. It allows low income people to receive a loan, grant, or combination of the two for safety related (roofing, furnace, water beater, etc.) 13 COMMISSION APPROVED RESOLUTION No. 2359 APPROVING AN APPL.ICATION FOR PERSONAL PROPERTY ]"AX DEDUCTION FOR PROPERTY LOCATED AT 1215 AND 1217 S. WALNUT ST. I THE AIRPORT ECONOMic DEVELOPMENT AREA (STEEL WAREHOUSE) South Bend Redevelopment Commission Regular Meeting — August 3, 2007 repairs to their hones. Applicants apply and are awarded on a first come, first served basis until the year's money is gore. This is the first loan grant this year because we did not get access to the federal CDG finds until late; then the employee who had been managing the programs. resigned. Typically, Comm- ,uilty Development does about fifty of the loans per year. Upon a. motion by :Mr. Downes, seconded by Mr. Peczl ows i and unanimously carried, the Commission approved the loan and grant in connection with the South Bend Home Improvement Program for property located at 2604 Woodmont Dr. Jodi Cruickshank) C. South Bend Ventral Development Area (1) Commission approval requested for Authorization for Entry Upon and the Temporary use of public property located within the South fiend Central Development Area. (Rink site by DTSB for rtBeat Ms. Jennings noted that Downtown Soutb Bend has rcquested use of the foriner Rink site for Art eat 2007 on Thursday, September 6, 2007 from. 4:00 to 8:30. They will be placing a professional stage for musical dance per or nances, visual art displays as well as food and drink stands. The event has become more popular each year and has been a great way to bring people and life to the downtown. 1r. Ding noted that the document provided in the Commission's packet states that the site is needed for the event from 4:00 p.m. to 6:00 p.m. He asked if that was a mistake and needed to be amended. GIs. ,kennings agreed 14 O M M I S S I ON A1)1)R VED TIJ F L.OAN AND GRANT IN CONNECTION WITH T] IE oti- I -I..I BEND HOME IMPROVEMENT PROGRAM FOR 1)ROP1-:RTY LOCATED Ai- 2604 WOODMONT DR. JODIE RU IC T] South Bend Redevelopment Commission Regular Meeting — August 3, 2007 that they need it for the event until 8:30 p.m. They Would also need time for setup and teardoWn. Upon. a notion by Mr. King, seconded by Mr. Downes and unanimously carried, the Commission authorized use of the fomier Rink Riverside site by Downtown South Bend on September 6, 2007 for Artl eat, as well as before and after event hours for setup and tear down. (2) Commission approval requested for contract for consulting services for East 'Bank Planning. R, LLB} :Mr. Inks noted that this follows the proposal that was previously approved and accepted by the Commission. It calls for a Phase I planning effort for $50,000, including a fact finding trip to South Bend by the consultant, design cl arrette to be coordinated by the consultant, preparation of a Master Plan and presentation of that Master Plan. Mr. Pcczko ski asked if the sites represented by numbcrs on page 8 of the contract are the only sites for Which planning will be done. He noted that there are many other businesses that consider thcros lvcs to be in the East Bank area. Mr. Gibney responded that the intent of the master plan is to look at vacant or underutilized parcels and what night be done With those sees. The plan Will not address properties Where there is currently an appropriate use. Mr. Peczkowski noted that the Hall of Fame and Century Center are represented by numbers. He asked if they are considered underutilized? Mr. Gibney responded that those properties are numbered because 1 COM M ISSION AUTHOR ZED USE OF THE FDIME RI'N K RIVES SIDE SITE B Y DOWNTOWN SOUTH BEND ON SEPTEMBER 6, 2007 FOR A.RTBEAT, AS WELL AS BEFORE AND AFTER THE EVENT FOR SETUP AND TEAR DOWN South Bend Redevelopment Commission Regular Meeting — August 3, 2007 additional cultural and entertainment venues will be discussed as potential uses for the underutilized properties and the relationship of °these sites will impact such discussion. Mr. Peclosli asked what Phase 11 will fie. Mr. Gibney responded that Phase 11 will begin immediately after completion of Phrase I and will go from Jefferson. St., sweeping around the Howard Park area over along the riverbank side to Eddy St. Hopefully there will be consensus on the vision for East Bank development. Then the Redevelopment Commission will have a comprehensive plan that it can use as a guide as it loops at potential investment in support of development acti.vibes on the East Bank. Upon a motion by Mr. Downes, seconded by Mr. Ding and unanimously carried, the Commission approved the contract with JJ , LLC for East Bank planning. I. Airport Economic Development Area 1 Commission approval requested for Resolution No. 2366 approving and accepting a counter offer for the acquisition of property in the Airport Economic Development Area. (1633 Knoblock) Mr. witwer noted that the Commission sent a purchase offer for this property. .A counter offer has been received in the amount of $65,500. The property owners had the i.r own appraisal done which valued the property at $65,500. Staff recomi-needs approval. Upon a motion by Mr. King, seconded by Mr. Downes and unanimously carried, the Commission accepted the counter offer in the 16 OMM ISS ION APFP VF- D TI- IF- C'ONI RAC T wl111 .RJR, LLC I- )R EAs- i' BANK PLANNING COMMISSION ACCEPTED THE COUNTER TER OFFER IN TI-II" AMOUNTOF $65,500 FOR 1633 KN I I -OC K South Bend Redevelopment Coy missioll Regular Meeting —August 3, 2007 amount of $65,500 for 1633 Knoblock. . (2) Commission approval requested for Purchase Agreement with Stephen K. and Teri A. Freela (1 633 Knoblock) Upon a, motion by Mr. King, seconded by COMMISSION APPROVED THE PURCHASE Mr. Downes and unanimously ca1Tled, the AGREEMENT WITH STEPHEN K. AND TEi I A. Commission. approved the Purchase REEL.. FOR 1633 KNOBLOC Acrreement with Stephen K. and Teri A. Preel for 1633 Knoblock) (3) Commission approval requested for Confidential Settlement with as insurance carrier of the White Farm Equipment Company. Mr. Leone noted that the confidentiality of this agreement relates to the specific terms of the agreement. ent. Staff may comment on the issues that gave rise to this particular dispute. It is the subject of environmental litigation which has been filed by special counsel, Ple vs Shadley, in Indianapolis courts. Mr. 'Laurent explained that the confidential settlement is related to the city and Commission's claim for past environmental damages at the site of the former Oliver Chilled Plow Works. That suit was filed against previous owners of the site, White Pam Equipment Company and the Oliver company. This settlement is related to a similar effort with the Studebaker properties of environmental cost recovery. There were environmental policies that these companies had, gcneral comprehensive liability policies that for a time inclidcd environmental damages that occurred while the companies owned the property and while these insurance policies were in place. It has been our effort over the past five or six years to try 17 South Bend Redevelopment Commission. Regular Meeting — August 3, 2007 and recover some of our costs, past and future, for the environmental damages. We care -iot talk about the terns of the confidential settlement, other than that legal. counsel and staff feel this is in the best interest of the city, adjacent residents, and future property owners. Any funds that are provided as a result of the settlement will be used to address these environmental conditions and for redevelopment of the property. Upon a notion by Mr. King, seconded by Mr. Downes and unanimously carried, the Commission approved the Confidentla.i Settlement with an insurance caiTicr of the White Farm Equipment Company. E. South Bend Medical Services District There was no business in the South Bend Medical. Services District. F. West Wash inggtc n- Chap 'in Development Area (1) Quarterly report from South Bend Heritage Foundation on activities in the West Washington-Chapin Development Area. Mr. Schalliol gave the report on behalf of South Bend Heritage Foundation. The report covers April to June 2007 for the West Washington- Chapin Development Area. Most of the activities were related to the Natatorium. The project hooks considerably different now than three months ago. Mr. King made a- motion to acknowledge receipt of the Quarterly Report from South Bend Heritage Foundation on activities i. the West Wash m gton- Chapin Development is COMMISS]ON APPROVE T1-1E CONFIDENTIAL ETTLI:..Ml"NT W1 -11.1 AN INSU ANC'E CARRIER OF THE WI FA] M EQUIPMENT COMPANY CO M M I S S ION ACKNOWLEDGED ]RECEIPT CAF THE QUARTERLY LY EPO1 T FROM BOOTH BEND HERITAGE FOUNDATION ON ACTIVITIES IN THE WEST WASHI GTON- CHAPIN DEVELOPMENT AREA South Bend Redevelopment Commission. Regular Meeting - ~August 3, 2007 Area. Mr. Downes seconded the motion the vote was four in favor. Ms. Jones abstained. G. Borah Site Development Area There was no business in the South Side Development Area. H. Northeast Neighborhood Development Area (1) Filing of Resolution No. 2370 amending the Northeast Neighborhood Development Area Development Plan (adding Triangle redevelopment area parcels to the acquisition list) Mr. Scha .liol asked the Commission to set a public hearing on Resolution No. 2370 for September 7, 2007 at 10:00 a.m. 'Mr. Pcczkowski asked if the current owners of the properties are all private individuals, Mr. Schalliol responded that they are. Resolution No. 2370 will contain a complete list of the property owners. 'Upon a motion by Mr. ling, seconded by Mr. Downes and unanimously carried, the Commission accepted for filing Resolution No. 2370 and set a public bearing on Re olut .] on No. 2370 for 10:00 a.m., September 7, 2007. 1. Douglas Road Economic Development Area There was no business in the Douglas Road Economic Development Area.. J. other 1 Commission approval requested for Agreement for Services by and between N COMM ISS ]ON AC'C'EPTED FOR FILM RESOLUTION No. 2370 AND SET A PUB LI ' HEARIN G ON RESOLUTION No. 2_370 FOP, 1 0:00 A. I., SEPTEMBER 7, 2007 South Bend Redevelopment Commission Regular Meeting -August 3, 2007 the City of South Bend, Department of Redevelopment, acting by and through the South Bend Redevelopment Commission. and South Bend Heritage Foundation. (For implementation of Me Dollar House Program) Mr. Inks noted that items 63(1), . J 2 and 6J3 are all related to the sane vacant housing initiative that the city is undertaking. That initiative included a million dollars set aside in 2007: one -half on for demolition of abandoned properties and one- half million allocated to a `dollar house" program. The contracts in item 6J (I) with South Bend Heritage Foundation and 6J(2) with the Northeast Neighborhood orhood ev.italizati.on organization Ine. are for implementation of that dollar house program. Each agreement provides for service fees and stipulates in t he scope of services what those non- profit agencies will provide. Essentially, they will. provide acquisition, rehabilitation and disposing of the property through the dollar ome program. They would be acting on the Commission's behalf to acconnplish those activities. The total amount available to each non - profit, including their service fee, is $166,000. The service fee is the only part that goes to the NFP. The balance of the funds will bc spent by the city paying for the appraisals, acquisition, renovation and cleanup. Mr. Peczkowski asked the relationship between South Bend Heritage Foundation and the Northeast Neighborhood Revitalization organization Inc. since they share the same address. Mr. Inks responded that South Bend Heritage Fo n atIOD. is under contract to the NNI o to administer programs in the NNRO's efforts in the 20 South Bead Redevelopment Commissi.o Regular Meeting — August 3, 2007 Northeast Neighborhood. Mr. Peczkowshx asked if, there, South Bend Heritage Foundation is doing the work of NN .0, Mr. Gibney responded that NRo is a separate community unity development corporation. Thcy have been contracting wits South Bead Heritage Foundation for approximately five years for planning and development activities. They are completely separate corporations, but they are paid an annual fee to carry out those community development activities. Mr. Peczlovsli : Why do they have the same address Mr. Gibney: N'NRO does not have an office in the Northeast Neighborhood. They own a piece of real estate, the old fire station. Thell, meetings are held at Madison Center. The people who are caiT ing out the contract are South Bend Heritage Foundation at that 803 Lincolnway Nest address. Mr. Downes made a motion to approve the Agreement for Services by and between the City of South BeDd, Department of Redevelopment, acting by and through the South Bend Redevelopment Commission and South Bend Heritage Foundation for implementation of the Dollar House Program. Mr. King seconded the notion. The motion passed on a vote of fir in favor. Mr. Peczlowsi abstained. (2) Commission approval requested for Agreement for Services by and between the City of South Bend, Department of Redevelopment, acting by and through the South Bench Redevelopment Commission and Northeast Neighborhood 21 COMMISSION APPRO ED THE AGREEMENT FOR SERVICES BY AND BET E1EN - 1 -1 -IE CITY Or SOUTH BEND, DEPARTMEN'-I' OE REDEVELOPM ENT, ACTING BY AND T1- R tJGH THE SO nx i BEND REDEVELOPMENT COMMISSION AND SO T11 BEND HERITAGE FOUNDATION. (FOIE IMPLEMENTATION CAE THE DOLLAR HOUSE PROGRAM South Bend Redevelopment Commission Regular Meeting -- August 3, 2007 Revitalization Organization. (For implementation of the Dollar House Program Mr. Downes made a nnotion to approve the Agreement for Services by and between the City of South Bend, Department of Redevelopment, acting by and through the ut .. end .Redevelopment Commission ission and the Northeast Neighborhood Revitalization Organization hic. for implementation of the Dollar House Program. Mr. King seconded the motion. The motion passed on a Note of four in favour. Mr. Pec l o Vski abstained. (3) Commission approval requested for Resolution No. 2372 approving and authorizing certain actions including the execration of an agency agreement by and between the South Bend redevelopment Commission and the City of South Bend, Indiana, Board of Public 'works relating to redevelopment activities within the City of South Bend, Indiana, Northwest Neighborhood Area. Mr. Inks noted that this is the same dollar louse program, but because it's for the Portage Avenue area, it doesn't fall within a redevelopment area, so the Board of Works will have an agreement w tb the Near Northwest Neighborhood Organization for their services. Resolution No. 2372 authorizes the Commission to act as the Board of Works" agent on behalf of the city because of the Commission's expertise in the lousing area. COMMISSION APPROVED THE AGREEMENT FOR SERVICES BY AND BETWEEN THE CITY OF SOUTH BEND, DEPARTMENT OF REDEVELOPMENT, ACTING BY ANDTHROUGFITHE SOUTH BEND REDEVEL PMENT COMMISSION AND THE NORTHEAST NEIGHBOi I-tooi REVITALIZATION ORGANIZATION FOR IMPLEMIINTATION OF THE DOLLAR HOUSE ROGI�,AM Mr. Downes made a notion to approve COMMISSION APPROVE[ RESOLUTION No. 2372 Resolution No. 2372 approving and APPROVING AND AUTHORIZING CERTAIN authorizing certain actions including the ACTIONS rNCLUDING INCLUDING THE EXECUTION OF AN execution of an agency agreement by AGENCY AGREEMENT BY AND BETWEEN THE and SOUTH BEND REDEVELOPMENT COMMISSION 22 South Bend Redevelopment Commission Regular fleeting — August 3, 2007 between the South Bend Redevelopment Commission and the City of South Bead, Indiana, Board of Public Works relating to Redevelopment activities within the City of South Bead, Indiana., Northwest Neighborhood Area. Mr. King seconded the motion. The motion passed on a vote of four in favor. Mr. Peczkowski abstained. 7. PROGRESS REPORTS Mr.Laurent reported on the former South Bend Lathe site at 400 W. Sample St. The United States 1 A;s Emergency Response Section has demobilized from the site as of Tuesday, July 31. They moved all the underground storage tans, the trans fon-ners, pails, drLIms, any immediate threats to the health and environnnent that were there. 'they figured they spent approximately $500,000 on the site, cost savings to the Commission and to the city. They will now pursue past owners for those costs. 'We are now free and dear to begin our demolition project. We lope to get that out for bid within four to six weeps. 8. NEXT COMMISSION MEETING The next meetincr of the .Redevelopment Commission is scheduled for Friday, August 17, 2007 at 1 0:00 a.m. 9. ADJOURNMENT There being no further business to come before the Redevelopment Commisslon, 1 r. King made a motion that the meeting be adjourned. Mr. Downes seconded the motion and the meeting was adjourned at 10:54 a.m. AND THE CITY OF SOUTH BEND, INDIANA, BOARD OF PUBLIC WORKS RELATING TO REDEVELOPMENT ACTIVITIES WITHIN THE CITY OF SOUTH BEND, INDIANA, RTF)W ST NEIGHBORHOOD AREA PROGRESs REPORTS Tiy rl- COMMISSION MEETING ADJOURNMENT Do a1d E. Ink ,Director Marcia I. T silent IX 23