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HomeMy WebLinkAbout6D (1)� 6 ( 1) � Community & Economic Development 227 West Jefferson, Suite 1200, South Bend, Indiana 46601 -1830 a Phone 574/235 -9371 Fax 574/235 -9021 To: South Bend Redevelopment Commission From: Jitin Kain, Senior CED Specialist Subject: SBCDA Expansion Date: October 20, 2011 The Redevelopment Commission on 9 -27 -11 approved a request by staff to bring forward a declaratory resolution to begin the process of expanding the South Bend Central Development Area (SBCDA). This memo outlines the steps necessary to accomplish the area expansion. The new area to be added to the SBCDA includes a portion of the Transpo property (a portion of Transpo is inside the SBCDA) as well as several adjacent parcels that are either non - compatible uses or dilapidated structures which could be acquired for redevelopment at a future date. Addition of the new area to the current SBCDA boundary will allow the Commission to provide infrastructure assistance for the redevelopment of a 10 acre site vacated by Transpo when they moved into their new facility by Ignition Park in fall of 2010. A study of the Howard Park Neighborhood which includes the former Transpo site was completed by the Commission in March 2009. This study, The Howard Park Neighborhood Master Plan, concluded that the best and highest use of the former Transpo site was for residential development. Additionally, the Master Plan called for new infill residential uses throughout the neighborhood and the enhancement of the Transpo site infrastructure to make it suitable for private sector development. Staff requests Commission approval of the declaratory resolution to begin the process of expanding the SBCDA. A schedule of the process to amend the development area boundary is as follow: SCHEDULE Tuesday, October 25: Tuesday, November 15: Monday, November 28: Wednesday, November 30: Friday, December 2: Tuesday, December 13: Present Declaratory Resolution to Redevelopment Commission Present Resolution to Area Plan Commission Present Resolution to Common Council Notification to area stakeholders Public Hearing Notice Published Redevelopment Commission Confirming Resolution What We Do Today Makes A Difference 1 RESOLUTION NO. 2951 A RESOLUTION OF THE SOUTH BEND REDEVELOPMENT COMMISSION EXPANDING THE BOUNDARIES OF THE SOUTH BEND CENTRAL DEVELOPMENT AREA, EXPANDING THE ALLOCATION AREA FOR PURPOSES OF TAX INCREMENT FINANCING AND AMENDING THE DEVELOPMENT PLAN FOR THE SOUTH BEND CENTRAL DEVELOPMENT AREA WHEREAS, the South Bend Redevelopment Commission ( "Commission "), governing body of the City of South Bend Department of Redevelopment ( "Department "), on May 10, 1985, adopted Resolution No. 737 declaring the South Bend Central Development Area ( "Area ") in the City of South Bend, Indiana ( "City ") to be a blighted area within the meaning of the Redevelopment of Cities and Towns Act of 1953, as amended, I.C. 36 -7 -14 ( "Act "); and WHEREAS, Resolution No. 737 and the South Bend Central Development Area Development Plan ( "Development Plan ") adopted by Resolution No. 737 on May 10, 1985, were confirmed by Resolution No. 739 adopted on June 14, 1985; and WHEREAS, Resolution No. 737 was amended by Resolution No. 745, adopted on August 9, 1985 and confirmed by Resolution No. 750, adopted on September 30, 1985; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 751, adopted on November 8, 1985 and confirmed by Resolution No. 757, adopted December 20, 1985; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 795, adopted on February 27, 1987, and confirmed by Resolution No. 798, adopted on April 10, 1987; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 800, adopted on April 24, 1987, and confirmed by Resolution No. 803, adopted on June 26, 1987; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 834, adopted on March 11, 1988 and confirmed by Resolution No. 836, adopted on April 15, 1988, and said resolutions expanded the South Bend Central Development Area by adding Expansion Area No. 1; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 867, adopted on February 10, 1989, and confirmed by Resolution No. 874, adopted on March 24, 1989; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 881, adopted on July 28, 1989; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 893, adopted on October 27, 1989 and said Resolution No. 893 expanded the South Bend Central Development Area by adding Expansion Area No. 2 and Expansion Area No. 3; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 921 adopted on March 23, 1990; and WHEREAS, Resolution No. 737 was further amended by Substitute Resolution No. 944 adopted on July 27, 1990; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 974 adopted on January 25, 1991; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 1019 adopted on October 11, 1991; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 1077 adopted on July 24, 1992; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 1205 adopted on January 4, 1994; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 1284 adopted on September 2, 1994; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 1547 adopted on November 21, 1997; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 1559 adopted on December 19, 1997; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 1562 adopted on February 24, 1998; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 1723 adopted on December 17, 1999; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 1737 adopted on February 18, 2000 and said Resolution No. 1737 expanded the South Bend Central Development Area by adding Expansion Area No. 4; WHEREAS, Resolution No. 737 was further amended by Resolution No. 1758 adopted on July 7, 2000: and WHEREAS, Resolution No. 737 was further amended by Resolution No. 1783 adopted on August 4, 2000; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 1843 adopted on September 7, 2001; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 1901 adopted on September 6, 2002; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 1922 adopted on December 6, 2002; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 1952 adopted on March 7, 2003; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 1973 adopted on June 6, 2003; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 2001 adopted on October 3, 2003; and said Resolution No. 2001 expanded the South Bend Central Development Area by adding Expansion Area No. 5; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 2014 adopted on November 17, 2003; and said Resolution No. 2014 expanded the South Bend Central Development Area by adding Expansion Area No. 6; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 2015 adopted on December 19, 2003; and said Resolution No. 2015 contracted the South Bend Central Development Area by removing Reduction Area No. 1; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 2105 adopted on November 5, 2004; and said Resolution No. 2105 expanded the South Bend Central Development Area by adding Expansion Area No. 7; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 2145 adopted on March 4, 2005; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 2185 adopted on October 7, 2005; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 2192 adopted on December 2, 2005; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 2328 adopted on May 18, 2007; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 2374 adopted on July 7, 2004; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 2385 adopted on November 2, 2007; and said Resolution No. 2385 expanded the South Bend Central Development Area by adding Expansion Area No. 8; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 2425 adopted on January 18, 2008; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 2441 adopted on March 28, 2008; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 2467 adopted on July 18, 2008; and WHEREAS, Resolution No. 737 was further amended by Resolution No. 2595 adopted on August 26, 2009; and WHEREAS, on September 27, 2011, the Commission authorized the Department to conduct surveys and investigations and to thoroughly study the South Bend Central Development Area within the City; and WHEREAS, pursuant to the Act, the Department has conducted surveys and investigations and has thoroughly studied the South Bend Central Development Area and the Development Plan; and WHEREAS, upon such surveys, investigations and studies having been made, the Commission finds that the Development Plan cannot be achieved by regulatory processes or by the ordinary operations of private enterprise without resort to the powers allowed under the Act and that the public health and welfare will be benefited by the expansion of the South Bend Central Development Area which shall include the area identified in Exhibit A; and WHEREAS, consistent with the Act, the Commission has previously caused to be prepared certain maps and plats of the South Bend Central Development Area, and has supplemented said maps and plats of the South Bend Central Development Area by causing to be prepared additional maps and plats depicting a blighted area that is located adjacent to the South Bend Central Development Area and herein referred to as "Expansion Area No. 9 "; and WHEREAS, said maps and plats of the South Bend Central Development Area and Expansion Area No. 9 show the boundaries of said areas, the location of the various parcels of property, streets, alleys and other features affecting the acquisition, clearance, replatting, replanning, rezoning or redevelopment of said areas and parts of the areas that are to be devoted to public ways, levees, sewerage, parks, playgrounds and other public purposes under the plan for the redevelopment of the South Bend Central Development Area and Expansion Area No. 9 as described above; and WHEREAS, Section 17.5 of the Act provides for the means for amending a resolution or plan in a way that enlarges the boundaries of a redevelopment area by not more than twenty percent (20 %) of the original redevelopment area or adds one (1) or more parcels to the list of parcels of property to be acquired; and WHEREAS, in accordance with the Act, the Commission desires to amend Resolution No. 737 by expanding the South Bend Central Development Area to add the following described area hereinafter referred to as "Expansion Area No. 9" in order to facilitate and enhance the replanning and redevelopment of the South Bend Central Development Area, which Expansion Area No. 9 is more particularly described as follows: See Exhibit A Expansion Area No. 9 WHEREAS, the Commission desires to further amend Resolution No. 737 by expanding the South Bend Central Development Area to include Expansion Area No. 9 in order to facilitate and enhance the replanning, redevelopment and disposition of property within said combined areas; and WHEREAS, there was also presented to this meeting of the Commission for its consideration and approval a proposed amendment to the South Bend Central Development Area Development Plan entitled "Expansion of South Bend Central Development Area (SBCDA)" (the "Plan Amendment "), which said Amendment is attached hereto and incorporated herein as Exhibit B; and WHEREAS, Section 39 of the Act permits the creation of an allocation area within a redevelopment area to provide for the allocation and distribution, as provided by the Act, of the proceeds of taxes levied on property situated in the allocation area; and WHEREAS, the Commission, in accordance with the Act, has previously established the South Bend Central Allocation Area (South Bend Central Allocation Area No. 1 A); and WHEREAS, the Commission, in accordance with the Act, expanded the boundaries of the South Bend Central Allocation Area (South Bend Central Allocation Area No. IA) to include Expansion Area No. 1 by the adoption of Resolution No. 834, adopted on March 11, 1988, and confirmed by Resolution No. 836, adopted on April 15, 1988, and to include Expansion Area No. 2 and Expansion Area No. 3 by the adoption of Resolution No. 893, adopted on October 27, 1989, and to include Expansion Area No. 5 by the adoption of Resolution No. 2001, adopted on October 3, 2003, and to include Expansion Area No. 6 by the adoption of Resolution No. 2014, adopted on November 17, 2003, and to include Expansion Area No. 7 by the adoption of Resolution No. 2105, adopted on November 5, 2004, and to include Expansion Area No. 8 by the adoption of Resolution No. 2385, adopted on November 2, 2007, and to exclude Reduction Area No. 1 by the adoption of Resolution No. 2015, adopted on December 19, 2003 (collectively referred to herein as "Allocation Area No. 1 A "), and WHEREAS, Allocation Area No. IA does not include Expansion Area No. 4 as described and approved in Resolution No. 1737, adopted on February 18, 2000; and WHEREAS, the Commission desires to amend Allocation Area No. I A to include Expansion Area No. 9; and WHEREAS, the Plan Amendment conforms to other development and redevelopment plans for the City, NOW, THEREFORE, BE IT RESOLVED BY THE SOUTH BEND REDEVELOPMENT COMMISSION, GOVERNING BODY OF THE CITY OF SOUTH BEND DEPARTMENT OF REDEVELOPMENT, AS FOLLOWS: 1. The Commission hereby determines that to accomplish the redevelopment of the Area, it is necessary to expand the boundaries of the Area, as shown on Exhibit A attached hereto and incorporated herein. 2. The Commission hereby determines that the public health and welfare will be benefited by the accomplishment of the Plan Amendment. 3. The Commission hereby determines that the accomplishment of the Plan Amendment will be of public utility and benefit as measured by: a) the attraction or retention of permanent jobs; b) an increase in the property base; C) improved diversity of the economic base; d) other similar public benefits. 4. The South Bend Central Development Area Allocation, Area No. IA is hereby expanded to include Expansion Area No. 9, as described herein (collectively, "Allocation Area No. IA"), so that the boundaries of Allocation Area No. 1A are coterminous with the boundaries of the South Bend Central Development Area, with the exception of Expansion Area No. 4, which is excluded from Allocation Area No. IA. Any taxes levied on the property imposed under IC 6 -1.1 in Allocation Area No. IA shall be allocated, distributed and used as provided in Resolution 737, as amended, and by the Act. The base assessment date for Expansion Area No. 9 for the purposes of the Act shall be March 1, 2009. Allocation Area No. IA, as expanded, shall be known as the "South Bend Central Allocation Area (South Bend Allocation Area No. 1 A)." 5. The Commission hereby determines that the Plan Amendment conforms to other development and redevelopment plans for the City. 6. The maps and plats of the South Bend Central Development Area, showing the boundaries, the location of the various parcels of property, streets, alleys and other features affecting the acquisition, clearance, replatting, replanning, rezoning or redevelopment of the Area, that are to be devoted to public ways, levees, sewerage, parks, playgrounds and other public purposes under the Plan, which maps and plats were previously adopted by the Commission, are hereby confirmed by the Commission. 7. The Secretary is hereby directed to file a certified copy of said Development Plan, as amended, with the minutes of this meeting. 8. The officers of the Commission are hereby directed to submit this Resolution, together with supporting data, to the Area Plan Commission and the South Bend City Common Council, as provided by Section 16 of the Act, for the approval of this Resolution and the Plan Amendment, and if approved by both bodies, the Resolution and the Plan Amendment shall be submitted to public hearing and remonstrance as provided by Section 17 and Section 17.5 of the Act and IC 5 -3 -1 and after all required filings have been made pursuant to Section 17(b) and (c) of the Act. 9. All orders or resolutions in conflict herewith are hereby rescinded, revoked and repealed in so far as such exist. 10. This Resolution does not affect any rights or liabilities accrued, penalties incurred, offenses committed or (except as otherwise provided herein) proceedings begun before the effective date of this Resolution. 11. All other findings, determinations and conclusions in Resolution No. 737, as amended, shall remain as stated therein. 12. The United States of America is hereby assured of full compliance by the South Bend Redevelopment Commission with regulations of the Department of Housing and Urban Development effectuating Title VI of the Civil Rights Act of 1964, as amended. (Balance of page intentionally left blank) ADOPTED at a regular meeting of the South Bend Redevelopment Commission held on October 25, 2011, at 1308 County -City Building, 227 West Jefferson Boulevard, South Bend, IN 46601. CITY OF SOUTH BEND, DEPARTMENT OF REDEVELOPMENT Signature Printed Name and Title South Bend Redevelopment Commission ATTEST: Signature Printed Name and Title South Bend Redevelopment Commission EXHIBIT A TO RESOLUTION NO. 2951 DESCRIPTION OF EXPANSION AREA NO. 9 Beginning at a point on the East right -of -way line of Notre Dame Avenue which is South 205 feet from the South right -of -way line of Wayne Street; thence East 173 feet; thence North 102.5 feet; thence East 171.07 feet to the West right -of -way line of Frances Street; thence South along said West line 102.5 feet to a point of intersection with the North right - of -way line of Quimby Street extended West; thence East along the North right -of -way line of Quimby Street and its Westerly extension to the West right -of -way line of Eddy Street; thence South along said West line to the South line of the Plat of Parry's Addition; thence West along the said South line and the South line of the Plat of Beck's l" Addition to the West right -of -way line of Frances Street; thence South along said West line to the Northeasterly right -of -way line of Northside Boulevard; thence Northwesterly along said Northeasterly line to the East right -of -way line of Notre Dame Avenue; thence North along said East line to the point of beginning. Map of Expansion Area EXHIBIT B TO RESOLUTION NO. 2951 AMENDMENT TO THE SOUTH BEND CENTRAL DEVELOPMENT AREA DEVELOPMENT PLAN EXPANSION OF THE SOUTH BEND CENTRAL DEVELOPMENT AREA (SBCDA) 1. AREA EXPANSION STATEMENT Redevelopment staff proposes the expansion of the South Bend Central Development Area (SBCDA) to include portions of the former South Bend Public Transportation Corporation ( TRANSPO) property as well as adjacent properties. Addition of these properties to the SBCDA will allow for the establishment of new public infrastructure to support the proposed residential development per the Howard Park Neighborhood Master Plan, a study completed by the Commission in 2009. 2. DESCRIPTION OF PROJECT Summary In the fall of 2010, TRANSPO relocated its operations to a new facility by Ignition Park, leaving behind approximately 10 acres of prime land in the Howard Park Neighborhood. A study conducted by the Redevelopment Commission, The Howard Park Master Plan, envisions new residential development (primarily single family with potential for townhomes) at this site. It is the City's vision that the development proposed on the TRANSPO site will serve as a catalyst for future private investment in the Howard Park and East Bank Village area of downtown. TRANSPO currently owns approximately 10 acres of property in the downtown area. Of these 10 acres, 5.5 acres lie within the SBCDA while 4.33 acres lie outside of the SBCDA. Some uses adjacent to TRANSPO are of an industrial nature and are considered non - compatible with the proposed residential development. The new boundary will include the 4.33 acre TRANSPO owned parcels as well as a few adjacent non - compatible parcels. Redevelopment Planning in the Downtown Since 1968 three areas near the center of South Bend have been declared to be redevelopment areas by the South Bend Redevelopment Commission. These three areas - the Central Downtown Urban Renewal Area, the East Bank Development Area and the Monroe Sample Development Area- were each found to be blighted areas and plans were adopted to eliminate that blight and bring about new growth and redevelopment. Although each area had its own individuality in terms of land use, zoning, public improvements and plans for revitalization and redevelopment, it eventually became clear that all these areas were related to each other. The Redevelopment Commission in time merged the three areas into the South Bend Central Development Area to facilitate better planning and redevelopment. The three sub areas have had their own plans, some more specific than others. The South Bend Central and Monroe - Sample areas have seen their share of redevelopment activity over the years with the East Bank Development Area seeing the least amount, if any. Keeping this in mind, the Redevelopment Commission began the process of creating strategic plans for the East Bank Area of the downtown in 2007. The area was divided into two phases — Phase I & Phase II given their unique characteristics. JJR, a nationally acclaimed architecture and planning firm was commissioned to create strategic Master Plans for both the phases by the South Bend Redevelopment Commission. Phase I or East Bank Village Master Plan was completed in 2008 and includes the neighborhood that lies to the North of Jefferson Blvd in the East Bank. The boundaries of Phase II include the neighborhood known as the Howard Park Neighborhood which is an urban residential neighborhood with commercial, light industrial, residential and mixed uses. Phase II Master Plan of the East Bank Area (or the Howard Park Neighborhood Master Plan) was completed in the summer of 2009. Howard Park Neighborhood Master Plan The Howard Park Neighborhood of South Bend has the potential to become an exciting, dynamic urban neighborhood with its own unique identity. Located east of the historic Howard Park on the banks of the St. Joseph River, the neighborhood is poised for private sector investment and development of its infill properties. The Howard Park Neighborhood is bounded by Jefferson Blvd. to the north, Eddy Street to the East and the St. Joseph River to the SW. The Howard Park Neighborhood Master Plan was completed by JJR, a planning firm from Chicago, IL. The consultants used a charrette process to develop the master plan which included several focus group meetings with residents, businesses and downtown stakeholders. The resulting master plan focuses on a number of development strategies and amenities. The Catalyst for a Strategic Development Plan: The relocation of the South Bend Public Transportation Corporation (TRANSPO) facility has made approximately 10 acres of land available for development along the St. Joseph River. In addition, other non - compatible uses would offer more opportunity for infill type development in the neighborhood. Some of the considerations for a new master plan included: • Private and public sector investment in the Howard Park Neighborhood planning area had been limited for the past decade. • The river frontage and Howard Park were identified as underutilized assets of the community and could act as a catalyst for residential development projects. Along the river there was prime vacant land, currently owned by Transpo, available for immediate development consideration. • Several areas within the neighborhood were not being utilized for their highest and best use in addition to opportunities presented by several vacant and prime "in -fill" sites. • Opportunities for development within the Howard Park area were poised for success due to significant investments in the contiguous Downtown: Innovation and Ignition Park, the St. Joseph Regional Medical Site and Eddy Street Commons. • There was some positive momentum in the Howard Park neighborhood due to the construction of "in -fill" single family homes, on Notre Dame Avenue, by Weiss Homes. 3. ECONOMIC IMPACT OF PROJECT The new residential development at the TRANSPO site will generate new tax revenue for the City in return for the provision of additional infrastructure and services. Residential developments increase population of a community and have an effect on the schools, libraries, parks and other community services. The proposed development project will result in two types of revenue streams: direct and indirect revenue. 1. Direct Revenue: This revenue will be generated from property taxes, impact fees and utility fees. 2. Indirect Revenue: This revenue may not be directly traced back to the development but is a very important component of the overall fiscal impact. New residents in the development project will pay sales taxes toward the purchase of goods and income taxes to their respective employers. The revenue generated will have a positive impact on the region. The graphic below explains this impact to the region. Direct vs. Indirect Revenue Direct Revenue New Residential Development • Property Taxes • Impact Fees ■ ■ ■ w • Utility Charges Indirect Revenue /I A' New Residents attract + new businesses that pay taxes New Residents have jobs and pay income taxes. Employers also pay taxes st>I±u' New residents purchase goods and services and pay sales taxes Impact on Municipal Services The City of South Bend is financially able to support city services to the proposed project in the Transpo site. City utilities are currently present in the area so the only additional cost would be to upgrade the water and sewer connections when the new development takes place. Additionally, Police and Fire protection is already provided for this area. The new development is not expected to impact the existing budget of the Police or Fire Departments with any significance. However, this area, as well as all other areas of the City, will continually be monitored for level of service demands and other criteria that would necessitate additional resources through budgetary increases or possibly shifting of existing resources, such as a beat restructure. The new development at the TRANSPO site will need new public infrastructure such as new streets, sidewalks and street lighting. It is estimated that this new infrastructure will be paid for with SBCDA TIF revenue. 4. ESTIMATE OF INFRASTRUCTURE COSTS AT TRANSPO SITE The Howard Park Neighborhood Master Plan calls for infrastructure improvements at the former Transpo site to enable the proposed residential development on the 10 acre site. The plan calls for new roadway development, new alleys, sidewalk, decorative street lighting and landscaping to enhance the appeal of the neighborhood. The following is an estimate of the infrastructure costs: Total length of roadway: 5,200 LFT Total length of new alleys: 2,600 LFT ITEMS ESTIMATED COST Curb $312,000 Sidewalk $184,000 Street Paving / Construction $110,000 Alley Paving / Construction $58,000 Decorative Lighting $410,000 New Landscpaing / Restoration $100,000 ROW Services (Survey/Platting) $85,000 Total $1,259,900 Contingency (20 %) $251,980 Grand Total $1,511,880