HomeMy WebLinkAbout08-06-04 Redevelopment Commission Minutes14
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SOUTH BEND REDEVELOPMENT COMMISSION
REGULAR MEETING
August 6, 2004
10:00 a.m. 227 West Jefferson Boulevard
Presiding: Philip J. Faccenda, Vice President South Bend, Indiana
1. ROLL CALL
Members Present: Mr. Philip J. Faccenda, Vice President
Mr. Matt Kahn, Secretary
Mr. Hardie Blake, Jr.
Mr. Robert W. Hunt
Members Absent: Ms. Marcia Jones, President
Legal Counsel: Ms. Cheryl Greene, Esq.
Redevelopment Staff: Mr. Bill Schalliol, Economic Development Specialist
Ms. Cheryl Phipps, Recording Secretary
Mr. Andy Laurent, Economic Development Specialist
Mr. Tim Williams, Economic Development Specialist
Mr. Terry O'Brien, Loan Officer
Ms. Jennifer Hughes, Economic Development Specialist
Others Present: Ms. Pam Paluszewski, Legal Dept.
Mr. Jim Tuesley
Mr. Roger DePoy
Mr. Richard Deahl, Barnes & Thornburg
Mr. Jason Pettinelli
2. APPROVAL OF MINUTES
A. Approval of Minutes of the Regular
Meeting of June 4, 2004.
Upon a motion by Mr. Hunt, seconded by Mr.
Kahn and unanimously carried, the
Commission approved the Minutes of the
Regular Meeting of June 4, 2004.
C, 1
COMMISSION APPROVED THE MINUTES OF THE
REGULAR MEETING OF JUNE 4, 2004.
Redevelopment Commission Meeting
Regular Meeting — July 16, 2004
2. APPROVAL OF MINUTES (CONT.)
B. Approval of Minutes of the Regular
Meeting of June 18, 2004.
Upon a motion by Mr. Hunt, seconded by Mr. COMMISSION APPROVED THE MINUTES OF THE
Kahn and unanimously carried, the REGULAR MEETING OF JUNE 18, 2004.
Commission approved the Minutes of the
Regular Meeting of June 18, 2004.
C. Approval of Minutes of the Regular
Meeting of July 2, 2004.
Upon a motion by Mr. Hunt, Seconded by Mr. COMMISSION APPROVED THE MINUTES OF THE
Kahn and unanimously carried, the REGULAR MEETING OF JULY 2, 2004.
Commission approved the Minutes of the
Regular Meeting of July 2, 2004.
D. Approval of Minutes of the Regular
Meeting of July 16, 2004.
Upon a motion by Mr. Hunt, seconded by Mr. COMMISSION APPROVED THE MINUTES OF THE
Kahn and unanimously carried, the REGULAR MEETING OF JULY 16, 2004.
Commission approved the Minutes of the
Regular Meeting of July 16, 2004.
E. Approval of Minutes of the Special
Meeting of July 27, 2004.
Mr. Kahn noted that he was not in attendance
at the July 27 meeting and asked that the
minutes for July 27th be corrected to indicate
same.
Upon a motion by Mr. Hunt, seconded by Mr. COMMISSION APPROVED THE MINUTES OF THE
Kahn and unanimously carried, the SPECIAL MEETING OF JULY 27, 2004 AS
Commission approved the Minutes of the CORRECTED.
Special Meeting of July 27, 2004 as
corrected.
G
Redevelopment Commission Meeting
Regular Meeting — July 16, 2004
3. APPROVAL OF CLAIMS
Redevelopment Commission Claims submitted August 6, 2004 for approval.
FUND 305 SBCDA 2003 BOND
Abonmarche Consultants of Indiana LLC $ 1,900.00
324 FUND - AIRPORT
Jerome E. Michaels, MAI
1,500.00
Kenney Outdoor Solutions
613.65
Abonmarche Consultants
3,500.00
FM Stone Commerical
1,200.00
RE Pitts & Associates
2,250.00
CFH Landscape Services, Inc.
1,650.00
City of South Bend
4,816.69
414 SAMPLE -EWING GENERAL
3,275.73
CFH Landscape Services, Inc.
2,262.50
Meridian Title Corporation
250.00
Baker General Maintenance
200.00
Wightman Petrie Inc.
1,715.00
Schopf & Weiss
130.12
Plew Shadley Racher & Braun
2,251.60
420 FUND TIF DISTRICT -SBCDA GENERAL
City of South Bend
3,275.73
NIPSCO
6.88
CFH Landscape Services, Inc.
200.00
Harmon Inc.
993.00
Schindler Elevator Corp.
105.00
Rose Exterminator Company
80.00
David J. Sassano
3,000.00
SBC
29.39
Harmon Inc.
993.00
CB Richard Ellis
658.98
424 FUND TIF SBCDA - BUILDING OPERATIONS
Mikolajewski & Associates, Inc. 1,397.34
3
Redevelopment Commission Meeting
j Regular Meeting — July 16, 2004
3. APPROVAL OF CLAIMS
428 FUND AIRPORT 2003 BOND
Ramadan Salameh
The Troyer Group
DLZ
Reith Riley Construction
619 BLACKTHORN
Meadowbrook Golf Group, Inc.
Mr. Hunt asked about the claim from Reith Riley
Construction for $266,394.08. Mr. Schalliol responded
that it was for the Olive Road project.
Upon a motion by Mr. Hunt, seconded by Mr. Blake
IL and unanimously carried, the Commission approved the
Claims submitted August 6, 2004, and ordered checks
to be released
4. COMMUNICATIONS
There were no Communications.
5. OLD BUSINESS
There was no Old Business
6. NEW BUSINESS
A. Tax Abatements
(1) Commission approval requested for
Resolution No. 2076 approving an
application for real property tax deduction
for property located at 211 -213 West
Washington Street in the South Bend
Central Development Area. (Dillingham
Hill RE, LLC)
4
150.00
5,490.00
3,210.00
266,394.08
7,500.00
$ 317,722.96
COMMISSION APPROVED THE CLAIMS
SUBMITTED AUGUST 6, 2004, AND ORDERED THE
CHECKS TO BE RELEASED
THERE WERE NO COMMUNICATIONS.
THERE WAS NO OLD BUSINESS
. Redevelopment Commission Meeting
Regular Meeting — July 16, 2004
6. NEW BUSINESS
A. Tax Abatements
(1) continued...
Mr. O'Brien gave the staff report on the
project. The petitioner recently purchased
the City Center Building in downtown South
Bend. Upon completion of this project the
building name will be will changed to The
Chase Building. The rehabilitation includes
remodeling of the lobby area of the hotel
portion of the building, repairing the
swimming pool, making improvements to the
office portion of the building and to the
parking area and elevators, and repairing and
improving the heating, cooling and other
services provided to guests and tenants of the
building. The cost to rehabilitate the building
is estimated to be between $1,200,000 and
$1,700,000
It is estimated that this project will help
retain fifty full -time jobs and forty part time
jobs representing an annual payroll of
$1,296,000. A review of the tax abatements
previously granted, finds that the petitioner
has not received previous tax abatements.
However, the building under previous
ownership has received one previous 6 -yr.
abatement in 1987.
The following real property taxes have been
paid at the location in the last three years.
Year Real Personal
2003 $158,255.67 $39,804.56
2002 $171,638.46 $43,961.72
2001 $323,614.26 $27,633.48
L5
Redevelopment Commission Meeting
Regular Meeting — July 16, 2004
6. NEW BUSINESS
A. Tax Abatements
(1) continued...
All tax obligations at this location are
current. The building commissioner has
reviewed the petition and finds the property
to be properly zoned for the proposed
project. The property is located in the South
Bend Central Development Area, which is a
Tax Increment Allocation Area; therefore,
the petition for real property tax abatement
must first be approved by the South Bend
Redevelopment Commission. The petitioner
meets the qualifications for a six (6) year real
property tax abatement under the tax
abatement ordinance.
Attorney Richard Deahl, speaking on behalf
of the Petitioner, explained that two building
permits had been pulled in early 2004 prior
to Dillinham's purchase of the building. One
recent building permit was related to repairs
to a structural floor as an emergency
measure.
Ms. Greene noted that the Commission's role
in the tax abatement approval process is a
determination as to whether the Commission
is agreeable to waive the tax increment that
would be abated by the granting of the
petiton. Ms. Greene further advised that the
Common Council has final approval as to
whether the abatement is granted. She
explained to Mr. Deahl that he would need to
be prepared to make explanation about the
building permits to the Council attorney. Mr.
Deahl indicated he has already been in
consultation with Ms. Cekanski- Farrand
about the issue.
t, 6
Redevelopment Commission Meeting
Regular Meeting — July 16, 2004
6. NEW BUSINESS
A. Tax Abatements
(1) continued...
Upon a motion by Mr. Kahn, seconded by
Mr. Hunt and unanimously carried, the
Commission approved Resolution No. 2076
approving an application for real property tax
deduction for property located at 211 -213
West Washington Street in the South Bend
Central Development Area. (Dillingham Hill
RE, LLC)
B. Housing
(1) Commission approval requested for Loan
and Grant in connection with the South
Bend Home Improvement Loan Program
for property located at 728 E. Fairview
Avenue. (Lorri J. Bidlack)
Mr. Schalliol noted that the loan is in the
amount of $4,450. The grant is in the
amount of $7,500.
Upon a motion by Mr. Hunt, seconded by
Mr. Kahn and unanimously carried, the
Commission approved the Loan and Grant in
connection with the South Bend Home
Improvement Loan Program for property
located at 728 E. Fairview Avenue. (Lorri J.
Bidlack)
(2) Commission approval requested for Loan
and Grant in connection with the South
Bend Home Improvement Loan Program
for property located at 535 S. Pulaski
Street. (Selestina & Lupe Bueno)
G7
COMMISSION APPROVED RESOLUTION No. 2076
APPROVING AN APPLICATION FOR REAL
PROPERTY TAX DEDUCTION FOR PROPERTY
LOCATED AT 211 -213 WEST WASHINGTON
STREET IN THE SOUTH BEND CENTRAL
DEVELOPMENT AREA. (DILLINGHAM HILL RE,
LLC)
COMMISSION APPROVED THE LOAN AND GRANT
IN CONNECTION WITH THE SOUTH BEND HOME
IMPROVEMENT LOAN PROGRAM FOR PROPERTY
LOCATED AT 728 E. FAIRVIEW AVENUE. (LORRI
J. BIDLACK)
Redevelopment Commission Meeting
Regular Meeting — July 16, 2004
6. NEW BUSINESS
B. Housing
(2) continued...
Mr. Schalliol noted that the loan is in the
amount of $2,300. The grant is in the
amount of $7,500.
Upon a motion by Mr. Hunt, seconded by
Mr. Kahn and unanimously carried, the
Commission approved the Loan and Grant in
connection with the South Bend Home
Improvement Loan Program for property
located at 535 S. Pulaski Street. (Selestina &
Lupe Bueno)
C. South Bend Central Development Area
(1) Commission approval requested for
Management Agreement with Ampco
Systems in the South Bend Central
Development Area. (Parking lot at St.
Joseph & Jefferson)
Mr. Williams noted that the parking lot at St.
Joseph and Jefferson has been undergoing
construction for the last two weeks. It is
approaching completion. The Management
Agreement for this lot is the same as the one
we currently have with Ampco for the
former l" Source lot on Main Street.
Ms. Greene noted that the City is undergoing
a study of downtown parking. In connection
with that study the City has been reviewing
the various agreements for the many parking
structures and lots. The City is considering a
recommendation that all parking property be
brought into one ownership and the
management agreements consolidated into
one blanket agreement. She recommended
c, 8
COMMISSION APPROVED THE LOAN AND GRANT
IN CONNECTION WITH THE SOUTH BEND HOME
IMPROVEMENT LOAN PROGRAM FOR PROPERTY
LOCATED AT 535 S. PULASKI STREET.
(SELESTINA & LUPE BUENO)
Redevelopment Commission Meeting
Regular Meeting — July 16, 2004
6. NEW BUSINESS
C. South Bend Central Development Area
(1) continued...
that the Commission authorize staff to make
changes to the agreement so that its term
would be only one year which would give the
City time to consider the broader picture of
parking in the downtown.
Mr. Williams noted that the agreement
contains a 30 -day "out" clause for either side,
with written notice.
Upon a motion by Mr. Kahn, seconded by
Mr. Blake and unanimously carried, the
Commission approved the Management
Agreement with Ampco Parking Systems for
Ic a term of one year or other such terms as
recommended by Legal Counsel. (Parking lot
at St. Joseph St. & Jefferson Blvd.)
(2) Commission authorization requested to
Publish Notice of Intended Lease of
Property with publication dates of
August 13, 2004 and August 20, 2004 and
Receipt of Bids at 10:00 a.m. on
September 17, 2004. (Wayne Street Retail
Space 1)
Mr. Schalliol noted that Items 6.C.(2) and
6.C.(3) are related.
Mr. Williams explained that at the July 16
meeting the Commission approved
Resolution No. 2071 approving the Fair
Reuse Value of Land for the Retail Space in
the Wayne Street Garage. We are now
requesting permission to advertise for bids to
c
COMMISSION APPROVED THE MANAGEMENT
AGREEMENT WITH AMPCO PARKING SYSTEMS
FOR A TERM OF ONE YEAR OR OTHER SUCH
TERMS AS RECOMMENDED BY LEGAL COUNSEL.
PARKING LOT AT ST. JOSEPH ST. & JEFFERSON
BLVD.)
GRedevelopment Commission Meeting
Regular Meeting — July 16, 2004
6. NEW BUSINESS
C. South Bend Central Development Area
(2) continued...
lease both Retail Space 1 and Retail Space 2
and will take bids on September 17.
Upon a motion by Mr. Hunt, seconded by
Mr. Kahn and unanimously carried, the
Commission authorized publication of the
Notice of Intended Lease of Property with
publication dates of August 13, 2004 and
August 20, 2004 and Receipt of Bids at
10:00 a.m. on September 17, 2004. (Wayne
Street Retail Space 1)
(3) Commission authorization requested to
Publish Notice of Intended Lease of
44�1 Property with publication dates of August
13, 2004 and August 20, 2004 and Receipt
of Bids at 10:00 a.m. on September 17,
2004. (Wayne Street Retail Space 2)
Upon a motion by Mr. Hunt, seconded by
Mr. Kahn and unanimously carried, the
Commission authorized publication of the
Notice of Intended Lease of Property with
publication dates of August 13, 2004 and
August 20, 2004 and Receipt of Bids at 10:00
a.m. on September 17, 2004. (Wayne Street
Retail Space 2)
D. Sample -Ewing Development Area
(1) Commission approval requested for
Resolution No. 2080 related to acquisition
of property in the Sample -Ewing
Development Area by eminent domain.
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COMMISSION AUTHORIZED PUBLICATION OF THE
NOTICE OF INTENDED LEASE OF PROPERTY WITH
PUBLICATION DATES OF AUGUST 13, 2004 AND
AUGUST 20, 2004 AND RECEIPT OF BIDS AT
10:00 A.M. ON SEPTEMBER 17, 2004. (WAYNE
STREET RETAIL SPACE 1)
COMMISSION AUTHORIZED PUBLICATION OF THE
NOTICE OF INTENDED LEASE OF PROPERTY WITH
PUBLICATION DATES OF AUGUST 13, 2004 AND
AUGUST 20, 2004 AND RECEIPT OF BIDS AT
10:00 A.M. ON SEPTEMBER 17, 2004. (WAYNE
STREET RETAIL SPACE 2)
Redevelopment Commission Meeting
Regular Meeting — July 16, 2004
6. NEW BUSINESS
D. Sample -Ewing Development Area
(1) continued...
Mr. Williams explained that this is a request
to make a purchase offer for 722 E. Ohio
with an offering price of $36,500 based on
the average of two appraisals. The owner of
the property is Norman Dotson. The
property is being acquired to complement the
Southeast Park.
Upon a motion by Mr. Kahn, seconded by
Mr. Hunt and unanimously carried, the
Commission approved Resolution No. 2080
related to acquisition of property in the
Sample -Ewing Development Area by
eminent domain.
(2) Commission approval requested for
Resolution No. 2081 related to acquisition
of property in the Sample -Ewing
Development Area by eminent domain.
Mr. Williams explained that this is a request
to make a purchase offer for 725 E. Ohio
with an offering price of $31,500 based on
the average of two appraisals. The owner of
the property is Leonard Clay. The property
is being acquired to complement the
Southeast Park.
Upon a motion by Mr. Kahn, seconded by
Mr. Hunt and unanimously carried, the
Commission approved Resolution No. 2081
related to acquisition of property in the
Sample -Ewing Development Area by
eminent domain.
C 11
COMMISSION APPROVED RESOLUTION NO. 2080
RELATED TO ACQUISITION OF PROPERTY IN THE
SAMPLE -EWING DEVELOPMENT AREA BY
EMINENT DOMAIN.
COMMISSION APPROVED RESOLUTION NO. 2081
RELATED TO ACQUISITION OF PROPERTY IN THE
SAMPLE -EWING DEVELOPMENT AREA BY
EMINENT DOMAIN.
Redevelopment Commission Meeting
Regular Meeting — July 16, 2004
6. NEW BUSINESS (CONT.)
E. Airport Economic Development Area
F. South Bend Medical Services District
G. West Washington- Chapin Development Area
(1) Commission approval requested for
proposal for professional services in the
West Washington- Chapin Development
Area. (Survey work, Basic Machine)
Mr. Williams noted that three proposals were
received for the survey work: Wightman
Petrie proposed to do the work for $750,
Danch, Hamer & Assoc. for $950 and Lang
Feeney & Assoc. for $1,200. Staff
recommends accepting the proposal from
Wightman Petrie.
Upon a motion b Mr. Hunt seconded b
p Y � Y
Mr. Blake and unanimously carried, the
Commission approved the request for
proposals for professional services in the
Sample -Ewing Development Area and
accepted the proposal from Wightman Petrie
for the scope of services and fee proposed.
(2) Commission approval requested for
Resolution No. 2079 related to acquisition
of property in the West Washington -
Chapin Development Area by eminent
domain.
Mr. Williams explained that staff would like
to acquire the Basic Machine property in
order to remove a non - compatible land use
from this residential target area. Resolution
No. 2079 authorizes staff to send a purchase
offer to Basic Machine based on the average
of two appraisals. James McCune is the
12
COMMISSION APPROVED THE REQUEST FOR
PROPOSALSFOR PROFESSIONAL SERVICES IN THE
SAMPLE -EWING DEVELOPMENT AREA AND
ACCEPTED THE PROPOSAL FROM WIGHTMAN
PETRIE FOR THE SCOPE OF SERVICES AND FEE
PROPOSED.
Redevelopment Commission Meeting
Regular Meeting — July 16, 2004
6. NEW BUSINESS
G. West Washington- Chapin Development Area
(1) continued...
owner. The offering price is $115,000.
Upon a motion by Mr. Kahn, seconded by
Mr. Hunt and unanimously carried, the
Commission approved Resolution No. 2079
related to acquisition of property in the West
Washington- Chapin Development Area by
eminent domain.
H. South Side Development Area
(1) Commission approval requested for
Resolution No. 2077 related to acquisition
of property in the South Side Development
Area by eminent domain.
Mr. Schalliol explained that Resolution
No. 2077 authorizes the sending of a
purchase offer for property at 4201 S. Main
Street John and Myra Schwartz are the
owners. The offering price is $117,500,
based on the average of two appraisals. The
property is needed for future right -of -way in
the corridor.
Upon a motion by Mr. Kahn, seconded by
Mr. Hunt and unanimously carried the
Commission approved Resolution No. 2077
related to acquisition of property in the South
Side Development Area by eminent domain.
I. Northeast Neighborhood Development Area
(1) Commission approval requested for
Resolution No. 2078 relating to the
acquisition of real property in the
Northeast Neighborhood Development
Area.
13
COMMISSION APPROVED RESOLUTION NO. 2079
RELATED TO ACQUISITION OF PROPERTY IN THE
WEST WASHINGTON- CHAPIN DEVELOPMENT
AREA BY EMINENT DOMAIN.
COMMISSION APPROVED RESOLUTION NO. 2077
RELATED TO ACQUISITION OF PROPERTY IN THE
SOUTH SIDE DEVELOPMENT AREA BY EMINENT
DOMAIN.
IL Redevelopment Commission Meeting
Regular Meeting — July 16, 2004
6. NEW BUSINESS
I. Northeast Neighborhood Development Area
(1) continued...
Mr. Laurent noted that Resolution No. 2078
relates to property at 1340 South Bend
Avenue, owned by Mach Development Inc.
(Sears Warehouse Facility). The resolution
sets an offering price of $687,500 based on
the average of two appraisals. The property
is needed for the Fredrickson Park
redevelopment project.
Upon a motion by Mr. Hunt, seconded by
Mr. Blake and unanimously carried, the
Commission approved Resolution No. 2078
relating to the acquisition of real property in
the Northeast Neighborhood Development
Area.
(2) Commission approval requested for
professional services in the Northeast
Neighborhood Development Area.
(Appraisal of 604 N. Hill)
Ms. Hughes noted that appraisals two are
needed for 604 N. Hill (Kay Equipment).
Two proposals were. Staff recommends
accepting the proposals from Jerome
Michaels and Rick Pitts for $3,900 and
$3,400 respectively.
Upon a motion by Mr. Hunt, seconded by
Mr. Kahn and unanimously carried, the
Commission approved the request for
proposals for professional services in the
Northeast Neighborhood Development Area
and accepted the proposal from Jerome E.
Michaels and R.E. Pitts & Associates for the
scope of services and fee proposed.
IL 14
COMMISSION APPROVED RESOLUTION NO. 2078
RELATING TO THE ACQUISITION OF REAL
PROPERTY IN THE NORTHEAST NEIGHBORHOOD
DEVELOPMENT AREA.
COMMISSION APPROVED THE REQUEST FOR
PROPOSALSFOR PROFESSIONAL SERVICES IN THE
NORTHEAST NEIGHBORHOOD DEVELOPMENT
AREA AND ACCEPTED THE PROPOSAL FROM
JEROME E. MICHAELS AND R.E. PITTS &
ASSOCIATES FOR THE SCOPE OF SERVICES AND
FEE PROPOSED.
%W�' Redevelopment Commission Meeting
Regular Meeting — July 16, 2004
A
6. NEW BUSINESS (CONT.)
J. Other
7. Progress Reports
Mr. Schalliol noted that the Commission approved
today the purchase of five properties to move projects
ahead.
8. Next Commission Meeting
The next meeting of the Redevelopment Commission is
scheduled for Friday, August 20, 2004 at 10:00 a.m.
9. Adjournment
There being no further business to come before the
Redevelopment Commission, Mr. Kahn made a motion
that the meeting be adjourned. Mr. Hunt seconded the
motion and the meeting was adjourned at 10:25 a.m.
Donald . Inks, Director
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PROGRESS REPORTS
NEXT COMMISSION MEETING
ADJOURNMENT
Marcia I. Jones sident