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HomeMy WebLinkAbout08-13-18 Community Investment PEACE X X 1865 OFFICE OF THE CITY CLERK KAREEMAH FOWLER, CITY CLERK COMMUNITY INVESTMENT AUGUST 13, 2018 3:00 P.M. Committee Members Present: Gavin Ferlic, Regina Williams-Preston, Oliver Davis Committee Members Absent: Sharon L. McBride Other Council Present: Tim Scott, Jo M. Broden, John Voorde, Jake Teshka, Karen White Other Council Absent: None Others Present: Kareemah Fowler, Bianca Tirado, Graham Sparks, Bob Palmer, Gabriel Murei, Elivet Navarro Presenters: Richard Doolittle Agenda: Bill No. 18-37-Rew, LLC Designating Tax Abatement Committee Chair Gavin Ferlic called to order the Community Investment Committee meeting at 3:00 p.m. He introduced members of the Committee and proceeded to give the floor to the presenters. Bill No. 18-37- Rew, LLC Designating Tax Abatement Richard Doolittle, 4100 Edison Lakes Parkway, stated, I am representing Rew LLC whom is the owner of the real estate. This is the US-31 Industrial Park phase two (2). In your information,there is a typographical error. It is, in fact, Lot twelve (12) and not Lot two (2). Committeemember Oliver Davis made a motion to change `Lot 2' to `Lot 12'. Committeemember Regina Williams-Preston seconded this motion which carried by a voice vote of three (3) ayes. Mr. Doolittle continued, This is a consolidation of several entities. 13,500 of new build is proposed. Fifty percent(50%)of that will be office and the other half will be warehouse and minor assembly. Shambaugh & Son locally employs eighty (80) some employees. About thirty (30) of them will be in the site building and the rest are out in the field. That number varies from day-to- day. They use union labor from the different organizations. They searched other locations in northern Indiana and nothing seemed to fit quite like South Bend. Committee Chair Ferlic then opened the floor to questions from Committee and Council Members. Committee Chair Ferlic asked, Does this result in net job growth? INTEGRITY1 SERVICE1 ACCESSIBILITY JENNIFER M.COFFMAN BIANcA L.T>RADo JOSEPH R MOLNAR CHIEF DEPUTY/DIRECTOR OF OPERATIONS DEPuTy/DmE=R OF PoucY ORDINANCE VIOLATION CLERK. EXCELLENCE I ACCOUNTABILITY I INNOVATION I INCLUSION I EMPOWERMENT 455 County-City Building 1 227 W.Jefferson Blvd.I South Bend,Indiana 466011 p 574.235.92211 f 574.235.9173 1 www.southbendin.gov ®CITY OF SOUTH BEND i OFFICE OF THE CLERK Mr. Doolittle replied, It will be a net job increase in South Bend but we anticipate to increase employment. Committee Chair Ferlic followed up, And what is the total amount being invested into capital projects? Mr. Doolittle replied, It is $3.7 million and $3.9 million for other things. Also mentioned was the level of pay for these employees. In-house employees will start around fifteen or eighteen dollars an hour($15/hr. or$18/hr.) and it goes up to twice as much as that. Councilmember Jo M. Broden asked, What is your current location in Mishawaka? Mr. Doolittle replied, It is in the I&M Industrial park off of Jefferson. Councilmember Broden followed up, And then within your petition for incentives, it says, `...Shambaugh plans to occupy an initial 13,500 square feet.' The word initial is used. Is this kind of the first (1")? Mr. Dootlittle replied, Well there is room on the site to expand. Committeemember Broden then asked, Can you explain the real and personal property tax section of your petition? Mr. Doolittle replied, The only real property tax would be on the land. I can't tell you what that might be off the top of my head. Committee Chair Ferlic then opened the floor to members of the public wishing to speak in favor of or in opposition to the legislation. Bill Dunn, 1620 Southwood Avenue, stated, I just had one (1) question on the anticipated wages. The report from Community Investment shows that the $425,000 annual salaries are for the twenty-five (25)people. The problem is, with my math, that came out to be about ten dollars and ten cents an hour ($10.10/hr.). And yet, later on in the application, it does say the salary range is $30,000 to $110,000. I'm just throwing that out there and I want to be sure the report from DCI is in-sync with the application. Committee Chair Ferlic then gave the floor to the presenters for rebuttal. Mr. Doolittle stated, There was a typographical error in the original application and we changed that prior to the deadline. It is, in fact, the $30,000 to $110,000 that is projected. Committeemember Williams-Preston made a motion to send Bill No. 18-37 to the full Council with no recommendation. Committeemember Davis seconded this motion which carried by a voice vote of three (3) ayes. With no further business, Committee Chair Ferlic adjourned the Community Investment Committee meeting at 3:08 p.m. Respectfully Submitted, Gavin Ferlic, Committee Chair EXCELLENCE I ACCOUNTABILITY I INNOVATION I INCLUSION I EMPOWERMENT 455 County-City Building 227W Jefferson Bvld I South Bend,Indiana 466011 p 574.235.9221 1`574.235.9173 ITTD 574.235.5567 lwww.southbendin.gov 2