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HomeMy WebLinkAbout10-11-11 Redevelopment Commission Minutes SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING October 11, 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. Greg Downes Mr. Donald Alford Members Absent: Ms. Stephanie Spivey Legal Counsel: Mr. Charles S. Leone, Esq. Mr. Lawrence Meteiver, Esq. Redevelopment Staff Mr. Bill Schalliol, Economic Development Specialist Mrs. Cheryl Phipps, Recording Secretary Mr. David Relos, Economic Development Specialist Mr. Matthew Sikora, Economic Development Specialist Ms. Debrah Jennings, Property Manager Mr. Jitin Kain, Senior CED Specialist Others Present: Mr. Tom Price, Mayor's Office Mr. Jeffrey Gibney, Executive Director Ms. Tamara Nicholl-Smith, DTSB Ms. Geri Hathaway, Hathaway2, Inc. Mr. Gary Gilot, Department of Public Works Mr. Richard Nussbaum Ms. Rita Kopala Ms. Mo Miller Mr. Jim Bognar Mr. Kevin Allen, South Bend Tribune Ms. Patti Lesniewicz, Economic Development Ms. Barbara Harrington, WNDU Ms. Jillian Mahen, WBND Mr. Chris Miller, Fox 28 Ms. Colleen Ferriera, WSBT-TV South Bend Redevelopment Commission Regular Meeting—October 11, 2011 2. APPROVAL OF MINUTES A. Approval of Minutes of the Regular Meeting of Tuesday, September 27, 2011. Upon a motion by Ms. King, seconded by Mr. COMMISSION APPROVED THE MINUTES OF THE Downes and unanimously carried, the Commission REGULAR MEETING OF TUESDAY, approved the Minutes of the Regular Meeting of SEPTEMBER 27,2011 Tuesday, September 27, 2011. 3. APPROVAL OF CLAIMS Redevelopment Commission Claims submitted October 11, 2011 for approval. 305 FUND SBCDA BOND Abonmarche 10,780.00 Jefferson Blvd&Niles Ave Streetscape 324 AIRPORT AEDA DLZ 45,743.75 On-Site Bid Package B Indiana Dept. of Environmental MGMT 31.82 Oliver Plow Plews Shadley Racher&Braun LLP 101.33 ARG Corp Litigation Plews Shadley Racher&Braun, LLP 224.90 Legal services Meridian Title Corporation 600.00 721, 725-727, 729-731 W. Indiana; 1509 S Scott Jackson Services, Inc. 156,750.00 Ignition Park South Demolition, Phase I DHA 5,175.00 101 Lot Minor Subdivision for Properties on LWE, Rush, & South St. L.L. Gean Construction Co. 10,370.69 Franklin/Jefferson Streetscape DLZ 23,390.00 US 31/Adams RE Pitts &Associates, Inc. 1,575.00 721 W Indiana Ave. Heppenheimer&Korpal 90.00 Legal Services—Tax Sale Acquisitions Oliver Plow Partners, LP 370,941.00 Removal of Unsuitable Soils found on site for new building, ABC Plumbing WITT Appraisal Services Inc. 700.00 1521 Kemble Ave Michaels Appraisal Services 725.00 1521 Kemble Ave DLZ 9,645.00 Olive/Pine Rd Blue Waters Group 91,569.40 Ignition Park Marketing & Other Ken Herceg &Associates, Inc. 175.00 Sheridan Ave &Lincoln Way West Design DLZ 4,625.00 So. Bend Olive Corridor Abonmarche 20,264.36 Mayflower Blvd Christopher B. Burke Engineering 2,603.25 Demo 1503 / 1505 Prairie Ave Fuerbringer Landscaping &Design, Inc. 3,971.23 Oliver Plow Memorial Oliver Trail 2 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 3. APPROVAL OF CLAIMS (CONT.) 324 AIRPORT AEDA continued... L.L. Gean Construction Co. 23,715.93 Oliver Plow Memorial Oliver Trail Industrial Park Entry Signs Abonmarche 9,000.00 Nimtz Parkway Multi-Use Path C &E Excavating 94,218.24 Demolition, Environmental Remediation and Site Restoration Of AirGas Property 420 FUND TIF DISTRICT-SBCDA GENERAL South Bend Water Works 35.91 325 S Lafayette Blvd Brown&Brown General Construction 36,959.01 Morris Performing Arts Center Entry Doors, Windows &Restroom Renov. Indiana Michigan Power 199.48 329 Lafayette Indiana Michigan Power 7.91 325 S Lafayette Blvd Schindler Elevator Corp 157.17 LaSalle Hotel Elevator Inspection DTSB 24,375.00 Beautification Program Wightman Petrie 5,850.00 Former Michiana Lock&Key Environmental Assessment&Demo Specs L.L.Gean Construction Company 24,840.00 Coveleski Walls 426 FUND SOUTH BEND CENTRAL MEDICAL DISTRICT DLZ 41,945.00 Engineering 429 FUND NORTHEAST DISTRICT Burkhart 31,352.00 Corridor Upgrades - South Bend Ave. east of Eddy Tri County News, Inc. 94.97 Notice of Public Hearing 717 E LaSalle Ave 430 FUND SOUTH SIDE DEVELOPMENT TIF AREA 41 Christopher B Burke 4,358.01 Erskine Detention Construction Observation Jackson Trucking &Excavating 10,000.00 Demolition of 748 Hawbaker Christopher B Burke 5,942.25 Fellows Street Corridor Improvements 435 FUND DOUGLAS ROAD Abonmarche 2,000.00 SR 23 and Douglas -Added Right Turn Ln $ 1,064,322.61 Upon a motion by Mr. Downes, seconded by Mr. Alford COMMISSION APPROVED THE CLAIMS and unanimously carried, the Commission approved the SUBMITTED OCTOBER 11,2011,AND ORDERED Claims submitted October 11, 2011, and ordered checks to THE CHECKS TO BE RELEASED be released. 3 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 4. COMMUNICATIONS A. West Washington-Chapin Development Area (1) Letter from South Bend Heritage Foundation's Director, Marco Mariani, to Redevelopment Commission President, Marcia Jones Mr. Schalliol noted that the Commission received the following letter from South Bend Heritage Foundation: October 17, 2011 Re: The Historic Rushton Apartments Dear Commissioners, South Bend Heritage Foundation (SBHF) and Historic Landmarks Foundation of Indiana are collaborating to acquire and rehabilitate The Rushton into a 23-unit rental housing development for seniors. As developer and owner, SBHF will form a new single-asset entity to apply for Low Income Housing Tax Credits (LIHTCs) by the November 1, 2011 deadline established by the Indiana Housing & Community Development Authority (IHCDA). The project is proposed as a 23- unit, $3.4 million (total development costs), with $2.8 million in LIHTC equity and $277,700 in Historic Tax Credits (HTCs). Upon completion of the project in 2013, The Historic Rushton Senior Apartments Limited Partnership (LP) will be a wholly owned, managed and operated subsidiary of South Bend Heritage Foundation for no less than fifteen (15) years. We are respectfully requesting a partnership with the South Bend Redevelopment 4 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 4. COMMUNICATIONS (CONT.) A. West Washington-Chapin Development Area (1) continued... Commission to transform this long-standing problem property into a signature development for downtown and the historic West Washington Neighborhood. As you are probably aware, the building is in need of a complete "gut" rehab. As a result of the extensive work required, a funding gap has resulted. To overcome this challenge, we are proposing that roughly $322,300 (detailed below) from the West Washington TIF be invested in the project. The request represents slightly less than 10% of the total development costs of the project. Please know the TIF funds would not be needed until late 2012, but a"soft" commitment from the Redevelopment Commission is required in order for the project to receive a LIHTC reservation from IHCDA. LIHTC reservations are scheduled to be announced in February 2012, following the review of applications submitted by the November 1, 2011 deadline. As such, the LIHTC application for This Historic Rushton Apartments depends upon receiving conditional approval from the Redevelopment Commission for the aforementioned TIF request. Summary of Costs CATEGORY AMOUNT Site Utilities/Fire Tap $30,000 Sidewalks/Curbs $35,000 Parking Lots Improvements $50,000 5 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 4. COMMUNICATIONS (CONT.) A. West Washington-Chapin Development Area (1) continued... Exterior Lighting $20,000 Landscaping $7,000 Exterior Masonry Repair/Cleaning $35,000 Windows---including replacement of frames $116,000 Subtotal $293,000 Contingency (10%) $29,300 Total Request $322,300 We are excited about the opportunity to serve a growing senior population in need of high quality, well managed, affordable housing in our community. Given its great location adjacent to downtown South Bend amenities, medical services and historic district attractions like the Northern Indiana Center for History, the Rushton is perfectly situated to be a highly sought after senior housing project. It is also important to note that should this project receive an award, it will provide local construction jobs and bring much needed private investment (via tax credit investors)to one of our most important downtown neighborhoods. Thank you for considering this important request. If you have questions or require additional information, please contact me at 289-1066 ext 216. Sincerely, Marco Mariani Executive Director 6 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 4. COMMUNICATIONS (CONT.) A. West Washington-Chapin Development Area (1) continued... Mr. Varner questioned whether South Bend Heritage will expect action at the next Commission meeting. Mr. Schalliol responded that they would be looking for soft action. Ms. Jones clarified soft action as a soft commitment in order to file the documents. Mr. Gibney added that they would be looking for a Memorandum of Understanding if they get their tax credits. They would be expecting the city to participate with West Washington TIF for upgrades to the adjacent parking lot and some facade work. The application would get points for municipal participation. They may or may not be awarded tax credits. So we're not committing money right now, but promising participation if they are awarded tax credits. There is no remaining TIF in the WWCDA in 2011, so funding would have to take place in 2012. 5. OLD BUSINESS There was no Old Business. THERE WAS No OLD BUSINESS 6. NEW BUSINESS A. South Bend Central Development Area (1) Request for funds to support an infrastructure improvement project at 113 E. Wayne Street. 7 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) A. South Bend Central Development Area (1) continued... Ms. Nicholl-Smith noted that the Commission has been asked to partner with the Board of Public Works and a private investor in the extension of a water main and attendant sidewalk and street repair for the adaptive re-use of a vacant second floor space. The Blarney Stone, located in the Annex of the former Penney's store, needs access to the water main to install a required fire protection system. The Board of Public Works has agreed to an in-kind contribution of labor and equipment (valued at approximately $10,000) and is asking Redevelopment to provide the materials at a cost not-to-exceed $10,000. The building owner will invest $17,000 for the fire suppression system and an additional $25,000 for facade improvements. Staff is requesting approval of a not-to- exceed amount of$10,000 (based on materials list and scope of work)to support the project. Ms. Jones asked Mr. Kain what the facade improvement grant provides. Mr. Kain responded that the DTSB facade improvement grant contributes 50% (up to $25,000) of the cost of facade improvements that are not considered maintenance, including building enhancements that are new architectural features. Ms. Nicholl- Smith explained that the garage door will be replaced with a glass/steel door and the garage area will be turned into a three-season 8 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) A. South Bend Central Development Area (1) continued... patio. Mr. Varner questioned whether the facade grant would cover replacing the curb to remove the curb cut. Mr. Kain responded that the facade grant is a facade and streetscape grant. It does apply to streetscape and landscape improvements Mr. Varner asked if the money is committed, whether there is commitment from all parties that all this work will be done. Ms. Nicholl- Smith responded that the work will be done in two phases. The first phase will bring the water across the street so the building can be sprinkled. We have commitment that the owner will put the risers in and Public Works will provide the labor and equipment to get that done. Once that is done, DTSB will release the facade grant to the building owner; each paying 50% of the $50,000 worth of improvements. Upon a motion by Ms. King, seconded by COMMISSION APPROVED THE REQUEST FOR Mr. Downes and unanimously carried, the $10,000 PARTICIPATION TO SUPPORT THE Commission approved the request for INFRASTRUCTURE IMPROVEMENT PROJECT AT 113 E.WAYNE STREET. $10,000 participation to support the infrastructure improvement project at 113 E. Wayne Street. B. Airport Economic Development Area (1) Proposal from BSA LifeStructures for Ignition Park Phase 1B design development. 9 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (1) continued... Ms. Hathaway noted that on July 26, 2011, the Commission approved the BSA proposal for development of Ignition Park's Phase I construction documentation to provide road access and utilities to Lot#4, enabling Data Realty to construct its 50,000 sq. ft. building in 2012. She showed a rendering of the park's streets with a circle road at the center, around a development lot and retention pond, access roads to that circle from each side street, and an access road concentric to the circle which would be constructed later behind development. Phase IA is only the first step in the development of Ignition Park. Construction documents for the entire park are required to define the roadways and utilities, including pedestrian green boulevards, canals and a retention basin. The full build-out of the ecosystem components of the Master Plan (grey water reuse, energy center, solar& wind) will be implemented in phases as the products selected and the overall systems are deemed sufficiently tested, maintainable, cost effective, and when they provide added value to the city and park tenants. Phase 1B provides for development of the entire Certified Technology Park's 84 acres, minus the road designed to access buildings between Sample and the circle, as well as widening of Cotter and Scott. Phase 1B includes design of the ecosystem rainwater harvesting system with boulevard rain gardens to the north and east, pedestrian 10 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (1) continued... green boulevards with water canals from the northeast and northwest to the circle, as well as the circle's canal and retention pool. Other utilities will be designed as standard construction with the ability to add ecosystem components in the future. The construction cost estimate for Phase 1B is $9,230,186. Architectural services for the development of the 1B Infrastructure can be broken into phases comprised of design development, construction documentation, and bidding and construction administration. Ms. Hathaway noted that at this time staff would like to proceed with the design development phase, including 3rd party pricing. BSA's proposal for that phase is only $335,000. If the 3rd party construction estimate is acceptable, Economic Development will return to the Commission requesting authorization for BSA to accomplish the remaining phases. Ms. Hathaway noted that if the Commission expects to attract innovative and entrepreneurial businesses, we must act in a similar fashion. Approving this next step in the process to develop Ignition Park, as a park differentiated from other technology parks, will move us forward in that direction. The Department of Economic Development requests approval of this BSA Life Structures proposal for Phase 1B design development in the amount of$335,000. 11 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (1) continued... Mr. Gilot noted that Phase 1B moves Ignition Park forward with the infrastructure beyond the first tenant. We need to analyze the park in three dimensions. The X and Y coordinates of where the various infrastructures will go, but also the Z, the vertical, so we don't paint ourselves into a corner with utility conflicts. We need to lay out an orderly plan for delivering all the utilities so that we don't have design faults down the road that cost us money. There are some progressive elements of this design to be an ecosystem and we want to keep that concept in this design with an eye toward our pocketbook so it's done cost effectively, but we will not pull the trigger on those elements until it makes economic sense. Mr. Varner said that he's not sure the high cost of designing these "progressive elements" would be worth it if the tech park isn't successful, if it turns into a simple industrial park. He thinks there's a good chance that will be the outcome. Mr. Gilot responded that water is always an issue on any site, especially one of this magnitude. We could carry the storm water away to the river. He's computed the cost to be in excess of$2.9 million to do that. Another possibility would be to percolate the water into the ground. Unfortunately, we have some environmental issues: we're not going to drink the shallow ground water, we're not going to spread it around for irrigation, and we don't want to concentrate 12 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (1) continued... it in a retention basin. We have designed an ecosystem, a sustainable system, partly in recognition that this is not a greenfield site. It is a Brownfield site. It wouldn't be a problem for industrial development, but we don't want to do things to change the pathway of low level groundwater contamination and maybe steer it toward the river. Mr. Gilot thinks the approach of harvesting rainwater into a storm water system of channels, using some plants that are water loving, takes advantage of our unique climate. In South Bend we get 35 inches of rain each year and 35 inches of evaporation. The trouble is that it doesn't come along uniformly. We can have several inches of rain to store and then have drought periods where it would be really expensive to meet all the needs for potable water on a 90-acre site. We think with appropriate design sensitivities, this ecosystem design doesn't have to cost a premium. This is something that can be done at a cost comparable to the conventional approach. Staff believes this is good, forward thinking planning. Mr. Gilot mentioned some other public works projects where South Bend has already been a leader, along with Notre Dame, or working with Purdue, where we have done some things that have not been done anywhere else in the world, such as CSO net. We invested $6 million in that technology to fully implement it, to make all the smart 13 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (1) continued... valves work within the city sewer system. By doing that, we avoided $120 million of conventional civil engineering solutions for storage of excess storm water and a combined sewer systems. Mr. Varner wondered if the city will be creating a new utility for Ignition Park to provide heat and water to tenants and whether we would then expect to get a premium price for the lots. Our first site sale was clearly not sold for a premium price. Mr. Gilot responded that we are not asking to construct these improvements now; we are just wanting to design reserved right-of-way space. You can't consider doing these things later if you don't plan for them now. Mr. Varner said that he is concerned that when the time comes to decide whether to go with the ecosystem or not, we'll feel like we've invested the planning money and can't not do it. Mr. Gilot and Ms. Hathaway assured him that would not be the case. The design they are asking for does not cost more. Ms. King noted that what she particularly likes is that Mr. Gilot has broken this down into pieces. The city is not yet committing to the next step because the technology may not be there and may never be there. Ms. Hathaway agreed that it may never be maintainable. The technology may be there, but the cost to maintain it may be prohibitive. 14 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (1) continued... Staff has purposely proceeded so that the city doesn't get headed down a path it can't afford to take. Mr. Varner said that perhaps the need is really to fill the space with good quality small light manufacturing. Ms. Hathaway responded that"cloud computing," which is what Data Realty is, really is a generator in and of itself, but if we have a number of cloud computing companies there, we would draw data analytics companies. Whether this is to be a high-tech office park, or manufacturing, or industrial, you want to look at the land plan as responding to the surrounding area. This is a real good land plan. It brings people in from four directions. It highlights a center piece. It doesn't matter that the city gets the huge industrial building. Phase 1B doesn't put this road in. We would be able to take this entire block and turn it over to some very large company. The flexibility is there to provide for lots of small businesses or to provide for very large businesses. When we talk about planning for those potential ecosystem components, those very wide easements and the ability to plunk in more duct banks for power if we need to, we'll have the space. We won't have to come back later and tear roads up. Mr. Varner asked whether we have defined what a suitable tenant would be for Ignition Park. Ms. Hathaway responded that we have 15 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (1) continued... a Planned Use Development designation and architectural guidelines. In considering whether a prospect is suitable, an architectural review board would look at how many semi-trailer trucks would be pulling in and out of there every day. What kind of waste disposal. What's the outside going to look like? We certainly wouldn't want someone here today in the park that required a lot of outside storage. In that case Oliver Park would be more suitable. Ms. Hathaway's 30-year suggestion to Economic Development has been that when Brownfield money is available, to start buying across Prairie Avenue, so we would have nearby industrial land to steer someone to. Mr. Varner stated that, philosophically, if you make a huge investment in this, you look for ways to fill it up, not ways to keep it empty by making it too difficult to meet the standards. We don't want the word on the street to be that you can't get into Ignition Park because their requirements are too tight, the cost too expensive. Investors will have other choices of where to locate. Mr. Gibney added that Economic Development agrees. We will talk to anybody, but that doesn't mean everybody is the right tenant. All prospective tenants are welcome to discuss the appropriateness of being in Ignition Park. Mr. Varner asked if the Park will list with private developers or private real estate 16 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (1) continued... companies, or will the city try to manage it all. Mr. Gibney replied that Graham Allen Partners is going make some recom- mendations about that. Staff generally feels that the broader exposure we get the better. Most of the properties that Redevelopment owns are commercially listed at this time. Ms. King's stated that the real value of our land is not the sales price it brings, but the employment and assessed value (taxes) it brings. Mr. Gibney agreed. That site, were Ignition Park will be built, was a million square feet of abandoned, polluted real estate that was for a long time the City's responsibility. Maintaining slums, dilapidated property, is not inexpensive. It's not free to maintain property like that. Studebaker Corridor cost the city a fortune over the years,just like our poorest neighborhoods are continuing to cost us a fortune. If Economic Development is not proactive, instead of just reactive, that checkbook is writing out checks all day long. The biggest piece of the city budget, public safety, police, fire, those dollars are spent in our poorest, dilapidated neighborhoods. That is our budget. So Ms. King's comments are right on. When Ms. Hathaway speaks of the land to the west, a lot of that is also vacant and abandoned and people aren't paying taxes and we are doing some level of maintenance, from code enforcement and particularly public safety. It's very expensive. 17 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (1) continued... Mr. Downes stated that looking at this from a positive standpoint this is real exciting stuff, world-class stuff Upon a motion by Mr. Downes, seconded by COMMISSION APPROVED THE PROPOSAL FROM Ms. King and unanimously carried, the BSA LIFESTRUCTURES FOR IGNITION PARK Commission approved the proposal from PHASE IB DESIGN DEVELOPMENT IN THE BSA LifeStructures for Ignition Park Phase AMOUNT of$335,000. 1B design development in the amount of $335,000. Ms. Hathaway took the opportunity to mention what a value Mr. Gilot is to, not only this project, but to the city. He brings an innovative and prudent approach to projects. You don't often see that at the municipal level. You don't see it in the private sector very often. We are very, very fortunate. This potential eco-system plan would not be possible without Mr. Gilot, and, in her opinion, will be the main differentiator for Ignition Park. (2) Proposal for professional services related to nine properties in the Airport Economic Development Area (Asbestos inspection reports). Mr. Relos noted that in the Ignition Park South expansion area, there are currently nine properties with structures on them that have not yet had asbestos reports completed. Seven of those properties have houses of varying sizes, with the remaining two having smaller commercial buildings. 18 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (2) continued... Before demolition specs can be written for the properties, an asbestos inspection report must be completed for each of them. The Commission previously approved 41 properties to have asbestos reports completed. Because of nearby houses not yet under Commission ownership, only 24 of those 41 were authorized for demolition. It is anticipated that once these asbestos reports are completed, most of the remaining 26 structures will be bid out for demolition. Grauvogel& Associates, who completed asbestos reports for many of the original 41 properties, provided a proposal for the nine remaining properties in the amount of $2,930. Staff requests approval of this Professional Services Agreement with Grauvogel & Associates. Upon a motion by Mr. Downes, seconded by COMMISSION APPROVED THE PROPOSAL FOR A Mr. Varner and unanimously carried, the PROFESSIONAL SERVICES AGREEMENT WITH Commission approved the proposal for a GRAUVOGEL&AsSOCIATES RELATED TO NINE PROPERTIES IN THE AIRPORT ECONOMIC professional services agreement with DEVELOPMENT AREA IN THE AMOUNT OF Grauvogel& Associates related to nine $2,930. properties in the Airport Economic Development Area in the amount of$2,930. (3) Request authorization to pursue amendment to the Airport Economic Development Area Development Plan. (Adding properties to the Acquisition List) Mr. Sikora noted that staff is requesting permission to begin the statutory process to 19 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (3) continued... amend the development plan of the Airport Economic Development Area (AEDA), to add four parcels to the acquisition list. The first parcel is located at 401 N. Bendix and is adjacent to the Bosch complex. The ability to add this parcel would allow for the broadening of development possibilities for the exiting Bosch. The additional three parcels are located in the 1300 block of S. Michigan Street. This is an area where the city owns a number of individual parcels within the block, and acquisition of these sites would allow for better site control and a more developable/marketing of the site. Staff requests that the Commission authorize preparation of plans, maps, and related property information for this property. Once this information is gathered, staff will present it to the Commission, and then, upon approval of the planning information, will present a declaratory resolution to amend the acquisition list of the AEDA. Upon a motion by Mr. Downes, seconded by COMMISSION AUTHORIZED STAFF TO PURSUE AN Mr. Alford and unanimously carried, the AMENDMENT TO THE AIRPORT ECONOMIC Commission authorized staff to pursue an DEVELOPMENT AREA DEVELOPMENT PLAN. amendment to the Airport Economic (ADDING PROPERTIES TO THE ACQUISITION LIST Development Area Development Plan. (Adding properties to the Acquisition List) (4) Proposal for professional services related to James Oliver Memorial in the Oliver Industrial Park. 20 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (4) continued... Mr. Schalliol noted that the City of South Bend, through the financial participation of the Redevelopment Commission, recently constructed and dedicated the James Oliver Memorial within the Oliver Industrial Park. The project was built on a parcel that was planned from the inception of the park to be used for the memorial. At a point in time, the parcel was transferred to Rose Brick, the adjacent property owner, as they were going to assist in the memorial development and it was believed at that time that the memorial could be developed privately and on a private parcel. With the city's participation in the development of the plaza and memorial, and more importantly the statue, it is imperative that the parcel be returned to the city so that the memorial can remain and be charged as a city asset. The scope of work to be provided by Danch, Harner and Associates includes the following work items: • Survey fieldwork to delineate plaza and all features to be rededicated to the City of South Bend • Prepare a Special Use exception and multiple variances • Prepare a Subdivision Plat The fee for this scope of work is $12,875. Staff requests approval of a total project amount of$14,000 to include incidental expenses (title work, documentation, etc.). 21 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (4) continued... Staff also requests Commission approval to allow the plat and any related documentation to be signed by Don Inks in his capacity as Director of Economic Development. Staff also requests Commission approval to allow Danch, Harner and Associates to represent the Commission at the various approval meetings related to this project. Ms. Jones asked if Rose Brick contributed to the memorial. Mr. Schalliol responded that the way the project was originally proposed, it was going to be done by the City. Then it was going to be done by a private group. And then the City got back involved to build it. At a point, the triangle was given to Rose Brick which is where the principal amount of the plaza sits. Apparently now there are tax and insurance issues. J. R. Wood has been asked to insure the statue at his expense and he doesn't want to do that. Upon a motion by Mr. Downes, seconded by COMMISSION APPROVED THE PROPOSAL FOR Ms. King and unanimously carried, the PROFESSIONAL SERVICES RELATED TO JAMES Commission approved the proposal for OLIVER MEMORIAL IN THE OLIVER INDUSTRIAL PARK IN THE NOT TO EXCEED AMOUNT OF professional services related to James Oliver $14,000. Memorial in the Oliver Industrial Park in the not to exceed amount of$14,000. Upon a motion by Mr. Downes, seconded by COMMISSION AUTHORIZED DON INKS TO SIGN Ms. King and unanimously carried, the ANY DOCUMENTS RELATED TO THE REPLAT Commission authorized Don Inks to sign any documents related to the replat. 22 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (4) continued... Upon a motion by Mr. Downes, seconded by COMMISSION AUTHORIZED RANCH HARNER& Ms. King and unanimously carried, the ASSOCIATES TO REPRESENT THE COMMISSION AT Commission authorized Danch Harner& VARIOUS HEARINGS RELATED TO THE REPLAT Associates to represent the Commission at various hearings related to the replat. (5) Staff report on Commission's involvement in Fire Station #5. Mr. Schalllol noted that on August 9, 2011, STAFF REPORT ON COMMISSION'S INVOLVEMENT staff presented Resolution No. 2916 and an IN FIRE STATION#5 Addendum to the Master Agency Agreement as a mechanism to provide financing for predevelopment activities related to the Fire Station#5 project. On October 3, the Board of Public Works acted on the Addendum and approved a revised project proposal and scope of work. Then, the city wanted to consider a new site southwest of the intersection of Olive and Prairie. The earlier contract approved was for MPA architects to do the work. They will still do their work, but with different funds. We now wish to have Abonmarch use the previously approved funds to do the following work: • Boundary Survey for the new parcel • Phase 1 Environmental Assessment of the new parcel • Replat of the new parcel • Special Use Exception for the new parcel • Boundary Survey of the existing parcel 23 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (5) continued... • Phase 1 Environmental Assessment of the existing parcel The original request of the Commission in the Addendum was for a not-to-exceed amount of$15,000 and the approved proposal in the amount of$14,800. So, this is just an update on the project. No approval is needed. (6) Proposal for professional services for an emergency Response Time Study for the proposed Fire Station #5. Mr. Schalliol noted the need for a professional service proposal to complete an Evaluation of Emergency Response Time Frame for Fire Stations #5 and #9 (replacement for the Mishawaka Ave. station). The original response time survey was completed in 2004 but with the passage of time, proposed change in station sites and changes in response time practices, it's important to update the study based on the two stations being proposed. At the present time, staff is working with the Fire Department and other team members to identify sites for a new Station#5 and #9. Existing fire Station#5 is located on a triangular parcel bounded by Prairie, Olive and Ewing. Fire Station#9 is currently located between 25th and 26th Streets on Mishawaka Avenue. The city is considering a new Station#5 site southwest of the intersection of Olive and Prairie along State 24 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (6) continued... Road 23. The city is considering two sites on Mishawaka Avenue for a new station site. In the case of#5, the triangular parcel is too small to accommodate new construction and #9 is a locally historic designated structure that is landlocked and because of the designation, the building cannot be removed. The proposal is necessary to finalize a station location for these two projects. The cost of the study is $5,200 and staff requests Commission approval of this request. Upon a motion by Mr. Downes, seconded by COMMISSION APPROVED THE PROPOSAL FOR Mr. Varner and unanimously carried, the PROFESSIONAL SERVICES FOR AN EMERGENCY Commission approved the proposal for RESPONSE TIME STUDY FOR THE PROPOSED FIRE professional services for an Emergency STATION#5 AND#9 IN THE AMOUNT OF$5,200. Response Time Study for the proposed Fire Station#5 and #9 in the amount of$5,200. (7) Proposal for close-out of the AirGas and Ziolkowski demolition projects. Mr. Schalliol noted that the city had hired Wightman Petrie to provide onsite oversight of the demolition projects for AirGas and Ziolkowski Construction. In the process of demolition, extra tanks were found, and there were complications removing the AirGas building due to the fact that it was nearly physically adjoined to the Hamilton Towing building to the immediate north. The total amounts of overage for the professional services were $9,522.50. Staff requests approval of the additional costs. 25 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (7) continued... Upon a motion by Mr. Downes, seconded by COMMISSION APPROVED THE PROPOSAL FOR Mr. Varner and unanimously carried, the CLOSE-OUT OF THE AIRGAS AND ZIOLKOWSKI Commission approved the proposal for close- DEMOLITION PROJECTS IN THE AMOUNT OF out of the AirGas and Ziolkowski demolition $9,522.50. projects in the amount of$9,522.50. (8) Staff report on Commission's involvement in Regional Fire Training Center. Mr. Schalliol gave an update on the Commission's involvement in the Regional Fire Training Center project. The proposal and the Master Agency Agreement presented previously included three components: site design, utility design and the actual fire tower building design. At the September 27 meeting, the Commission authorized approval, subject to final understanding of the funding. The city and airport are close to agreement on the funding sources. Staff is requesting approval to fund the above items. Contractors are ready to proceed; proposals will come before the Commission at either the October 25 or November 8 meeting with a full proposal of the Commission's involvement in the project. The total amount of funding being asked for is $206,900. Staff is working with legal to require reimbursement of TIF funds for the expenses as they are expended. Mr. Varner asked if approval is requested based upon the understanding that it be refunded. Mr. Schalliol replied yes, as it is able to be refunded throughout the project. 26 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) B. Airport Economic Development Area (8) continued... Mr. Meteiver is working on how and when the refunding will take place. Ms. Jones asked if funds for this were in the planning budget. Mr. Schalliol responded yes, it's been in the planning budget for years and has now come to the forefront due to the project being back on the table. Upon a motion by Mr. Downes, seconded by COMMISSION APPROVED FUNDING FOR THE Mr. Alford and unanimously carried, the REGIONAL FIRE TRAINING CENTER PROJECT IN Commission approved funding for the THE AMOUNT OF$206,900. Regional Fire Training Center project in the amount of$206,900. C. West Washington-Chapin Development Area There was no business in the West Washington- Chapin Development Area. D. South Side Development Area There was no business in the South Side Development Area. E. Northeast Neighborhood Development Area (1) Request authorization to pursue amendment to the Northeast Neighborhood Development Area Development Plan. Mr. Sikora noted the Northeast Neighborhood Development Area Development Plan was originally adopted in 2003, with an amendment completed in 2007 27 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) E. Northeast Neighborhood Development Area (1) continued... which created the Residential TIF Allocation Area. Since the Northeast Neighborhood Development Area was established there have been a number of significant changes in the area that should be considered when moving forward with future development. This amendment will make the Development Plan better reflect the future goals for the area by taking into account recent, or soon to be completed developments such as, but not limited to, Eddy Street Commons (Phase I and II), State Road 23 improvements, and construction of the St. Joseph High School. The amendment will not modify the existing NNDA boundary. Staff requests that the Commission authorize it to begin preparation of the NNDA Plan Amendment. The proposed Plan Amendment will update the narrative portion of the document and modify existing plan exhibits. Once the Amendment is completed, staff will present a declaratory resolution to amend the Development Plan to the Commission. Separate resolutions will also be submitted for approval to the Area Plan Commission and the Common Council before a final public action before the Commission in the form of a public hearing and Confirming Resolution. Upon a motion by Mr. Downes, seconded by COMMISSION AUTHORIZED STAFF TO PURSUE AN Mr. Varner and unanimously carried, the AMENDMENT TO THE NORTHEAST Commission authorized staff to pursue an NEIGHBORHOOD DEVELOPMENT AREA DEVELOPMENT PLAN. amendment to the Northeast Neighborhood Development Area Development Plan. 28 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) F. Douglas Road Economic Development Area There was no business in the Douglas Road Economic Development Area. G. Ratification of Services Contracts Commission Role in Service Contract Staff Transaction Contractor Provided Amount Member Parcels to be added Add Danch, Create $575 Kain to SBCDA near and property to Harner& legal including portion of acquisition Associates description former Transpo list facility 505 E Ireland Acquisition Meridian Title Work $200 Schalliol (Ireland Greens Title Trucking) 913-915 W Indiana Acquisition Meridian Title Work $100 Relos Title 1522 Prairie Ave Acquisition Meridian Title Work $100 Relos Title 1504 S Kemble Acquisition Meridian Title Work $100 Relos Title 1509 Scott St Acquisition Witt Appraisal $350 Relos Appraisal Services 1509 Scott St Acquisition Michaels Appraisal $375 Relos Appraisal Services 725-731 W Indiana Acquisition Michaels Appraisal $600 Relos Appraisal Services 725-731 W Indiana Acquisition Witt Appraisal $550 Relos Appraisal Services 29 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 6. NEW BUSINESS (CONT.) G. continued... Upon a motion by Mr. Downes, seconded by Ms. COMMISSION APPROVED RATIFICATION OF King and unanimously carried, the Commission SERVICE CONTRACTS. approved Ratification of Service Contracts. 7. PROGRESS REPORTS Mr. Varner and Ms. Jones requested an update on PROGRESS REPORTS 803 W. Washington and Hansel Center. Related to 803 W. Washington, Mr. Gibney noted that staff has had appraisals done and is in negotiation for purchase of the building. We thought the Center for History might be a potential user for the building, but its board has decided it does not have funds to rehab it. Staff does not want to acquire the property without a viable reuse in mind. The Historic Landmarks Foundation is another possibility, but they don't do development. If we get any commitment for its reuse, we will come back to the Commission for authorization to proceed. Regarding Hansel Center, a conference call is scheduled for Friday, October 14, 2011, to finalize the Memorandum of Understanding (MOU). The funds are all raised or committed and the project should move forward soon. Ms. Downes asked for an update and timeline on the Graham-Allen Partners feasibility study. Mr. Inks responded that the study has been promised by November 1, 2011. 8. NEXT COMMISSION MEETING The next meeting of the Redevelopment Commission is NEXT COMMISSION MEETING scheduled for Tuesday, October 25, 2011 at 4:00 p.m. 30 South Bend Redevelopment Commission Regular Meeting—October 11, 2011 9. ADJOURNMENT There being no further business to come before the ADJOURNMENT Redevelopment Commission the meeting was adjourned at 5:00 p.m. 31