HomeMy WebLinkAbout10-24-11 Common Council Meeting Minutes
REGULAR MEETING OCTOBER 24, 2011
Be it remembered that the Common Council of the City of South Bend, Indiana met in
the Council Chambers of the County-City Building on Monday, October 24, 2011 at 7:00
p.m. The meeting was called to order by Council President Dieter and the Invocation and
Pledge to the Flag were given.
ROLL CALL
COUNCILMEMBERS:
Present: Derek D. Dieter 1st District, President
Henry Davis, Jr. 2nd District
Thomas LaFountain 3rd District
Ann Puzzello 4th District
David Varner 5th District
Al “Buddy” Kirsits At-Large
Timothy Rouse At-Large, Chairperson Committee of the Whole
Absent: Oliver Davis 6th District, Vice-President
Karen L. White At-Large
OTHERS PRESENT:
Kathleen Cekanski-Farrand Council Attorney
John Voorde City Clerk
Janice I. Talboom Deputy City Clerk
Mary Beth Wisniewski Chief Deputy
REPORT FROM THE SUB-COMMITTEE ON MINUTES
To the Common Council of the City of South Bend: The sub-committee has inspected
the minutes of the October 10, 2011 Meeting of the Council and found them to be correct.
Therefore, we recommend the same be approved.
s/Derek D. Dieter
s/David Varner
Councilmember Puzzello made a motion that the minutes of the September 26, 2011
Meeting of the Council be accepted and placed on file. Councilmember LaFountain
seconded the motion which carried by a voice vote of seven (7) ayes.
SPECIAL BUSINESS
There was no special business to come before the Council at this time.
RESOLVE INTO THE COMMITTEE OF THE WHOLE
At 7:03 p.m. Councilmember LaFountain made a motion to resolve into the Committee
of the Whole. Councilmember David Varner seconded the motion which carried by a
voice vote of (7) ayes. Councilmember Timothy Rouse, Chairperson, presiding.
Councilmember Rouse explained the procedures to be followed for tonight’s meeting in
accordance with Article 1, Section 2-11 of the South Bend Municipal Code.
Councilmember Rouse stated that a brochure may be found on the railing in the Council
Chambers explaining those procedures.
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REGULAR MEETING OCTOBER 24, 2011
PUBLIC HEARINGS
BILL NO. 64-11 PUBLIC HEARING ON A BILL OF THE
COMMON COUNCIL OF THE CITY OF SOUTH
BEND, INDIANA, AUTHORIZING THE CITY
OF SOUTH BEND TO ISSUE ITS ECONOMIC
DEVELOPMENT REVENUE BONDS OF 2011
AND APPROVING AUTHORIZING OTHER
ACTIONS IN RESPECT THERETO $1,500,000
SOUTH BEND ECONOMIC DEVELOPMENT
REVENUE BONDS, SERIES 2011 SOUTH BEND
CAREER ACADEMY PROJECT
Councilmember Rouse, Chairperson, Community & Economic Development Committee,
reported that this Committee met this afternoon and voted to send it to the full Council
with no recommendation.
Mr. Steve Hartz, Vice-President, South Bend Career Academy, residing at 63551 Miami
Road, South Bend, Indiana, made the presentation for this bill.
Mr. Hartz advised that the bonds are being issued to finance the construction of a 106,000
square foot charter school located at 3801 Crescent Circle in the Blackthorn Office Park.
He noted that the South Bend Economic Development Commission adopted their
resolution on September 19, 2011, finding that the financing of certain economic
development facilities of the South Bend Career Academy, Inc. complies with the
purposes and provisions of Indiana Code 36-7-11.9 and Indiana Code 36-7-12, and that
such financing will be of benefit to the health and welfare of the City of South Bend,
Indiana and its citizens.
Councilmember Henry Davis asked Mr. Hartz how many times have they asked the
South Bend Community School Corporation to do this.
Mr. Hartz stated they have asked the school corporation numerous times to no avail.
This being the time heretofore set for the Public Hearing on the above bill, proponents
and opponents were given an opportunity to be heard.
There being no one present wishing to speak to the Council either in favor of or in
opposition to this bill, Councilmember Dieter made a motion for favorable
recommendation to full Council concerning this bill. Councilmember Kirsits seconded
the motion which carried by a voice vote of seven (7) ayes.
RISE AND REPORT
Councilmember Henry Davis made a motion to rise and report to the full Council.
Councilmember Kirsits seconded the motion which carried by a voice vote of seven (7)
ayes.
ATTEST: ATTEST:
_________________________ _________________________
John Voorde, City Clerk Timothy Rouse, Chairperson
Committee of the Whole
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REGULAR MEETING OCTOBER 24, 2011
REGULAR MEETING RECONVENED
Be it remembered that the Common Council of the City of South Bend reconvened in the
Council Chambers on the fourth floor of the County-City Building at 7: 12 p.m. President
Derek Dieter presided with seven (7) members present.
BILLS – THIRD READING
ORDINANCE NO. 10127-11 AN ORDINANCE OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND, INDIANA,
AUTHORIZING THE CITY OF SOUTH BEND
TO ISSUE ITS ECONOMIC DEVELOPMENT
REVENUE BONDS OF 2011 AND APPROVING
AUTHORIZING OTHER ACTIONS IN RESPECT
THERETO $1,500,000 SOUTH BEND
ECONOMIC DEVELOPMENT REVENUE
BONDS, SERIES 2011 SOUTH BEND CAREER
ACADEMY PROJECT
This bill had third reading. Councilmember Puzsello made a motion to pass this bill.
Councilmember Varner seconded the motion which carried. The bill passed by a roll call
vote of seven (7) ayes.
RESOLUTIONS
BILL NO.11-57 A RESOLUTION SUPPORTING THE
INVESTMENT OF CAGIT, TIF, UDAG AND
CEDIT MONIES IN THE CHASE TOWER IN
DOWNTOWN SOUTH BEND
Councilmember Henry Davis made a motion to continue this bill until the November 14,
2011 meeting of the Council. Councilmember Kirsits seconded the motion which carried
by a voice vote of seven (7) ayes.
RESOLUTION NO. 4123-11 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND, INDIANA,
PROVIDING PRELIMINARY APPROVAL OF
THE ISSUANCE OF BONDS FOR THE
PURPOSE OF PROVIDING FINANCING OF
CERTAIN ECONOMIC DEVELOPMENT
FACILITIES $1,500,000 SOUTH BEND
ECONOMIC DEVELOPMENT REVENUE
BONDS, SERIES 2011, SOUTH BEND CAREER
ACADEMY PROJECT
WHEREAS, the City of South Bend, Indiana (the “City”) is authorized by I.C.
36-7-11.9 and 12, as supplemented and amended (the “Act”), to issue revenue bonds for
the financing of economic development facilities, the funds from said financing to be
used for the acquisition, construction, installation and equipping of said facilities, and
said facilities to be either leased to another person or directly owned by another person;
and
WHEREAS, South Bend Career Academy, Inc., an Indiana not-for-profit
corporation, or its assigns (the “Applicant”) has requested of the South Bend Economic
Development Commission (the “Commission”) and the City issue and sell its economic
development revenue bonds (the “Bonds”) for the purpose of providing financing to the
Applicant in an amount not to exceed $1,500,000 of certain economic development
facilities consisting of the acquisition, construction, installation and equipping of a
building and related facilities consisting of a 106,000 square foot charter school located at
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REGULAR MEETING OCTOBER 24, 2011
3801 Crescent Circle3 in the Blackthorn office park on South Bend’s northwest side (the
“Project”) and the City wishes to induce the Applicant to acquire, construct, install and
equip the Project; and
WHEREAS, the Project will be owned and operated by the Applicant and will be
used as a charter school; and
WHEREAS, the South Bend Redevelopment Commission (“Redevelopment
Commission”) has approved a pledge of Pledged Tax Increment (as defined in the
Resolution adopted by the Redevelopment Commission on September 12, 2011) to be
used to pay debt service on the Bonds to offset payments required to be made by the
Applicant; and
WHEREAS, it appears from the application submitted to the Commission that the
creation and retention of opportunities for gainful employment, the creation of business
opportunities and the providing of secondary education to be achieved by the Project in
the City will serve a public purpose and will be of benefit to the health and general
welfare of the City, and that the proposed financing complies with the provisions of the
Act; and
WHEREAS, the Applicant will, subsequent to the adoption of this Resolution and
before sale of the Bonds, seek the approval of the Commission and request the
Commission to issue its report regarding the Project as required by Section 23 of Chapter
12 of the Act; and
WHEREAS, it appears that the Project will not have an adverse competitive effect
on any similar facility already constructed or operating in the City;
NOW THEREFORE, BE IT RESOLVED, by the Common Council (the
“Common Council” of the City as follows, based upon the application received by the
Commission and the evidence submitted and presentations made by the Applicant, its
agents and counsel as required by the Act:
SECTION I. The Common Council finds, determines, ratifies and confirms that
the creation and retention of opportunities for gainful employment, the creation of
business opportunities and the providing of secondary education to be achieved by the
Project in the City will be of benefit to the health and general welfare of the citizens of
the City; and that it is in the public interest that this Common Council take such action as
it lawfully may to encourage the creation or retention of opportunities for gainful
employment and the creation of business opportunities in and near said City.
SECTION II. The Common Council further fins, determines, ratifies and
confirms that the issuance and sale of the Bonds of the City under the Act in an amount
not to exceed $1,500,000 for the Project and the loan of the proceeds of the Bonds to the
Applicant will serve the public purposes referred to above, in accordance with the Act.
SECTION III. In order to induce the Applicant to proceed with the Project, the
Common Council hereby finds, determines, ratifies and confirms that:
(i)It will take or cause to be taken such actions pursuant to the Act as
may be reasonably required to implement the aforesaid financing,
or as it may deem reasonably appropriate in pursuance thereof;
provided that all of the foregoing shall be mutually acceptable to
the City and the Applicant; and
(ii)It will adopt such ordinances and resolutions and authorize the
execution and delivery of such instruments and the taking of such
action as may be reasonably necessary and advisable for the
authorization, issuance and sale of said Bonds, provided that all of
the foregoing shall be mutually acceptable to the City and the
Applicant.
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REGULAR MEETING OCTOBER 24, 2011
SECTION IV. All costs of the Project, including but not limited to, costs incurred
for planning, engineering, interest paid during construction, underwriting expenses,
attorney and bond counsel fees, and the acquisition, construction, installation and
equipping of the Project, including reimbursement or repayment to the Applicant of
moneys expended after the date which is sixty (60) days prior to the date of adoption by
the Applicant’s Board of Directors of its Reimbursement Resolution will be permitted to
be included as part of the costs of the Project to be financed out of the loan of the
proceeds from the sale of the Bonds to the extent permitted by the Act and applicable
regulations promulgated under the Internal Revenue Code of 1986, as amended.
SECTION V. All action taken and approvals given by the City with regard to the
Applicant are based upon the evidence submitted and representations made by the
Applicant, its agents or counsel to the Commission and the City. No independent
examination, appraisal or inspection of the Project was made, requested, or is
contemplated by the City.
SECTION VI. The City does not, by this or any other approval or finding,
guarantee, warrant or even suggest that the Bonds, coupons or series thereof will be a
reasonable investment for any person, firm or corporation.
SECTION VII. The City shall not be obligated, directly or indirectly, to see to the
application or use of the proceeds from the sale of the Bonds or to see that the
contemplated improvements, if any, are constructed. The City is in no way responsible to
the holders of any Bonds for any payment obligation created by the Bonds.
SECTION VIII. The City does not warrant, guarantee or even suggest that
interest to be paid to or income to be received by the holders of any Bond, coupon, or
series thereof is exempt from taxation by any local, state or federal government.
SECTION IX. The Bonds hall be special, limited obligations of the City payable
solely from the funds provided therefore as described in the indenture authorizing the
Bonds, and shall not constitute an indebtedness of the Commission or the City or the City
or a loan of the credit thereof.
SECTION X. This resolution does not constitute a binding obligation of the
Commission or the City to issue the Bonds, but instead, is a commitment by the City to
proceed with negotiations for the financing described herein with the Applicant and is
subject to the adoption of a bond ordinance by the City in accordance with the provisions
of the Act.
SECTION XI. This resolution shall be in full force and effect upon adoption and
compliance with I.C. 36-4-6- et. seq.
s/Derek D. Dieter
Member of the Common Council
Councilmember Rouse, Chairperson, Community and Economic Development
committee, reported that this committee held a Public Hearing on this bill this afternoon
and voted to send it to the full Council with no recommendation.
Mr. Stephen Hartz, 63551 Miami Road, South Bend, Indiana, made the presentation for
this bill.
Mr. Hartz advised the bonds are being issued to finance the construction of a 106,000
square foot charter school located at 3801 Crescent Circle in the Blackthorn Office Park.
He noted that the South Bend Economic Development Commission adopted their
resolution on September 19, 2011, finding that the financing of certain economic
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REGULAR MEETING OCTOBER 24, 2011
development facilities of the South Bend Career Academy, Inc. complies with the
purposes and provisions of Indiana Code 36-7-11.9 and Indiana Code 36-7-12, and that
such financing will be of benefit to the health and welfare of the City of South Bend,
Indiana and its citizens.
A Public Hearing was held on the Resolution at this time.
There being no one present wishing to speak to the Council either in favor of or in
opposition to this Resolution, Councilmember Varner made a motion to adopt this
Resolution. Councilmember Henry Davis seconded the motion which and the Resolution
was adopted by a roll call vote of seven (7) ayes.
BILL NO. 11-60 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND, INDIANA,
SUPPORTING THE APPROPRIATION OF
$179,100 FOR THE CREATION OF THE
MINORITY AND WOMEN BUSINESS
DEVELOPMENT PROGRAM IN SOUTH BEND,
INDIANA
Councilmember Varner made a motion to continue this bill until November 14, 2011,
meeting of the Council. Councilmember Puzzello seconded the motion which carried by
a voice vote of seven (7) ayes.
RESOLUTION NO. 4124 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND, INDIANA,
APPROVING AN ORDER OF THE ST. JOSEPH
COUNTY AREA PLAN COMMISSION
APPROVING A CERTAIN DECLARATORY
RESOLUTION AND AN AMENDMENT TO THE
SOUTH BEND CENTRAL DEVELOPMENT
AREA DEVELOPMENT PLAN ADOPTED BY
THE SOUTH BEND REDEVELOPMENT
COMMISSION
WHEREAS, the South Bend Redevelopment Commission (the
“Commission”), the governing body of the South Bend Department of Redevelopment
and the Redevelopment District of the City of South Bend, Indiana, pursuant to Indiana
Code 36-7-14 (the “Act”), on September 13, 2011, approved and adopted its Resolution
No. 2932 (the “Declaratory Resolution”), Exhibit A, amending the acquisition list in the
South Bend Central Development Area Development Plan (the “Plan”) for the South
Bend Central Development Area (the “Area”) and amending the South Bend Central
Development Area Development Plan (the “Plan Amendment”); and
WHEREAS, the Plan Amendment calls for the addition of 318 East
Colfax Avenue, South Bend, Indiana, to the Acquisition List contained within the Plan;
and
WHEREAS, the St. Joseph County Area Plan Commission (the “Plan
Commission”), which is the duly designated and acting official planning body for the
City of South Bend, Indiana (the “City”), on October 18, 2011, adopted and approved a
resolution, a copy of which is attached hereto as Exhibit B, determining that the
Declaratory Resolution and the Plan Amendment conform to the plan of development for
the City and approving, ratifying and confirming the Declaratory Resolution and the Plan
Amendment, and designating such resolution as the written order of the Plan Commission
approving the Declaratory Resolution and the Plan Amendment as required by Section 16
of the Act (the “Plan Commission Order”); and
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REGULAR MEETING OCTOBER 24, 2011
WHEREAS, Section 16 of the Act prohibits the Commission from
proceeding until the Plan Commission Order is approved by the municipal legislative
body of the City; and
WHEREAS, the Common Council of the City is the municipal legislative
body of the City and now desires to approve the Plan Commission Order in order to
permit the Commission to proceed with the redevelopment of the Area;
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the
City of South Bend, Indiana, as follows:
1. The Plan Commission Order attached hereto is in all respects
hereby approved, ratified and confirmed.
2. This Resolution shall be in full force and effect from and after its
adoption by the Common Council of the City and compliance with procedures required
by law.
PASSED AND ADOPTED by the Common Council of the City of South
Bend, Indiana, this 24th day of October, 2011.
s/Derek D. Dieter
Member of the Common Council
Councilmember Rouse, Chairperson, Community and Economic Development
committee, reported that this committee held a Public Hearing on this bill this afternoon
and voted to send it to the full Council with no recommendation.
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Mr. Matt Sikora, Planner, Economic Development Department, 12 Floor County-City
Building, 227 W. Jefferson Blvd., South Bend, Indiana, made the presentation for this
bill.
Mr. Sikora advised that on September 13, 2011, the Redevelopment Commission
approved Declaratory Resolution No. 2932, which began the process to amend the
Development Plan of the South Bend Central Development Area, to allow for the
acquisition of property located at 318 E. Colfax Avenue (the former Wharf Restaurant
site.) This proposal was further considered and approved (as Resolution No. 221-11)
during the October 18, 2011 meeting of the Area Plan Commission. The site has been
sitting vacant for approximately 10 years, and in the interest of spurring additional
development along the east bank of the St. Joseph River and to be more responsive and in
a position to negotiate a potential purchase given the current owners’ revived interest in
selling it will be necessary to add the property to the acquisition list. Staff has assed this
property and found its acquisition and proposed plan of reuse to be consistent with the
goals and objectives of the East Bank Village Master Plan.
A Public Hearing was held on the Resolution at this time.
There being no one present wishing to speak to the Council either in favor of or in
opposition to this Resolution, Councilmember Puzzello made a motion to adopt this
Resolution. Councilmember Varner seconded the motion which and the Resolution was
adopted by a roll call vote of six (6) ayes and one (1) nay (Councilmember Rouse.)
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REGULAR MEETING OCTOBER 24, 2011
BILLS - FIRST READING
BILL NO.65-11 FIRST READING ON A BILL OF THE
COMMON COUNCIL OF THE CITY OF SOUTH
BEND, INDIANA, APPROPRIATING $250,000
FOR MAINTENANCE OF ALONZO WATSON
PEDESTRIAN BRIDGE TRAVERSING CHAPIN
AVENUE IN THE CITY OF SOUTH BEND IN
2011
This bill had first reading. Councilmember Henry Davis made a motion to refer this bill
to the Personnel & Finance Committee and set it for Public Hearing and Third Reading
on November 14, 2011. Councilmember Varner seconded the motion which carried by a
voice vote of seven (7) ayes.
BILL NO. 66-11 FIRST READING ON A BILL OF THE
COMMON COUNCIL OF THE CITY OF SOUTH
BEND, INDIANA, APPROPRIATING $60,000 IN
CITY GENERAL FUND #101 CODE
ENFORCEMENT DEPARTMENT FOR
ILLEGAL DUMPING CLEANUP ACTIVITIES
TO BE PERFORMED BY SOLID WASTE
DEPARTMENT AND REIMBURSED FROM
GENERAL FUND #101 TO SOLID WASTE
OPERATING FUND #610 IN 2011
This bill had first reading. Councilmember Henry Davis made a motion to refer this bill
to the Personnel & Finance Committee and set it for Public Hearing and Third Reading
on November 14, 2011. Councilmember Varner seconded the motion which carried by a
voice vote of seven (7) ayes.
UNFINISHED BUSINESS
REPORT FROM AREA PLAN COMMISSION
BILL NO. 58-11 AN ORDINANCE AMENDING THE ZONING
ORDINANCE FOR PROPERTY LCOATED AT
717 EAST LASALLE STREET, SOUTH BEND,
INDIANA 46617, COUNCILMANIC DISTRICT
NO. 4, IN THE CITY OF SOUTH BEND,
INDIANA
Councilmember Henry Davis made a motion to refer this bill to the Zoning and
Annexation Committee and set it for Public Hearing and Third Reading on November 14,
2011. Councilmember Varner seconded the motion which carried by voice vote of seven
(7) ayes.
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REGULAR MEETING OCTOBER 24, 2011
REPORT FROM AREA BOARD OF ZONING APPEALS
BILL NO. 11-59 A RESOLUTON OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND, INDIANA,
APPROVING A PETITION OF THE AREA
BOARD OF ZONING APPEALS OF ST. JOSEPH
COUNTY, INDIANA, FOR THE PROPERTIES
LOCATED AT (618, 622, 626, 636
LINCOLNWAY EAST, VACANT LAND
ADJACENT TO AND EAST OF 701 SOUTH
STREET AND 611, 613, 701 SOUTH STREET
AND 514 AND 518 RUSH STREET, SOUTH
BEND, INDIANA)
Councilmember Henry Davis made a motion to refer this bill to the Zoning and
Annexation Committee and set it for Public Hearing and Third Reading on November 14,
2011. Councilmember Varner seconded the motion which carried by voice vote of seven
(7) ayes.
NEW BUSINESS
There was no new business to come before the Council at this time.
PRIVILEGE OF THE FLOOR
COMMENTS FROM REV. LAWRENCE GRANT REGARDING THE OLD
TRANSPO LOT
Rev. Lawrence Grant, 721 E. Broadway, South Bend, Indiana, questioned what was
going to be done with the old TRANSPO lot on Northside Boulevard.
ADJOURNMENT
There being no further business to come before the Council, President Derek D. Dieter
adjourned the meeting at 7:23 p.m.
ATTEST: ATTEST:
____________________________ ____________________________
John Voorde, City Clerk Derek D. Dieter, President
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