HomeMy WebLinkAbout12-19-11 Special Meeting Minutes
SPECIAL MEETING DECEMBER 19, 2011
Be it remembered that the Common Council of the City of South Bend met in the Council
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Informal Meeting Room 4 Floor County-City Building, 227 W. Jefferson Blvd., South
Bend, Indiana, on Monday, December 19, 2011, at 5:00 p.m. The meeting was called to
order and the Invocation and Pledge to the Flag was 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
Oliver Davis 6th District, Vice-President
Al “Buddy” Kirsits At-Large
Timothy Rouse At-Large, Chairperson Committee of the Whole
Karen L. White At-Large
Absent: None
Council Attorney Kathleen Cekanski-Farrand read into the record:
December 19, 2011 Special Meeting of the South Bend Common Council
Pursuant to the requirements of South Bend Municipal Code, Section 2-5, the following
information is required to be shown in the Council minutes of this Special Meeting of the
South Bend Common Council.
The “CALL OF SPECIAL MEETING OF THE SOUTH BEND COMMON COUNICL”
was signed by Mayor Stephen J. Luecke and duly attested by City Clerk John Voorde on
December 6, 2011 calling for a special meeting of the South Bend Common Council on
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Monday, December 19, 2011, 5 p.m. in the Council Information Meeting room, 4 Floor
County-City Building, 227 W. Jefferson Blvd., South Bend, Indiana 46601 for the “sole
and only purpose”:
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“To have 2 and 3 readings and public hearing on Bill No. 81-11, an ordinance
of the Common Council of the City of South Bend, Indiana appropriating up to five
million seven hundred dollars ($5,700,000.00) for a garage interest in the Chase Tower
Building to assist rehabilitation”
with the original of this one (1) page document on file in the Office of the City Clerk.
Uniform Division Chief Jeffrey D. Walters of the South Bend Police Department
confirmed that he was the “Serving Officer” who served notice of the Call of Special
Meeting of the South Bend Common Council” to each of the nine (9) members of the
Council as required by the South Bend Municipal Code. All of that information is on file
in the Office of the City Clerk.
“Notice to Taxpayers of Proposed Additional Appropriations” was published in the South
Bend Tribune and the Tri-County News on December 9, 2011, on Bill No. 81-11, with a
copy of those publications being on file in the Office of the City Clerk.
The “AMENDED CALL OF SPECIAL MEETING OF THE SOUTH BEND COMMON
COUNCIL” was signed by Mayor Stephen J. Luecke and duly attested by City Clerk
John Voorde on December 12, 2011 calling for a special meeting of the South Bend
Common Council on Monday, December 19, 2011, 5 p.m. in the Council Information
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Meeting room, 4 Floor County-City Building, 227 W. Jefferson Blvd., South Bend,
Indiana 46601 for the “sole and only purpose”:
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SPECIAL MEETING DECEMBER 19, 2011
“To hear and act upon Bill No. 11-78. a Resolution approving the Board of
Works’ sale of real estate under Indiana Code Section 36-1-11-4.
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To have 2 and 3 readings and public hearing on Bill No. 81-11, an ordinance
of the Common Council of the City of South Bend, Indiana appropriating up to five
million seven hundred dollars ($5,700,000.00) for a garage interest in the Chase Tower
Building to assist rehabilitation”
with the original of this one (1) page document on file in the Office of the City Clerk.
Captain Scott Ruszkowski of the South Bend Police Department confirmed that he was
the “Serving Officer” who served notice of the Amended Call of Special Meeting of the
South Bend Common Council” to each of the nine (9) members of the Council as
required by the South Bend Municipal Code. All of that information is on file in the
Office of the City Clerk.
RESOLVE INTO THE COMMITTEE OF THE WHOLE
At 5:07 p.m. Councilmember Oliver Davis made a motion to resolve into the Committee
of the Whole. Councilmember White seconded the motion which carried by a voice vote
of eight (8) 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.
PUBLIC HEARINGS
BILL NO. 81-11 PUBLIC HEARING ON A BILL OF THE
COMMON COUNCIL OF THE CITY OF SOUTH
BEND, INDIANA, APPRROPRIATING UP TO
FIVE MILLION SEVEN HUNDRED
THOUSAND DOLLARS ($5,700,000.00) FOR A
GARAGE INTEREST IN THE CHASE TOWER
BUILDING TO ASSIST REHABILITATION
Councilmember Rouse, Chairperson, Community & Economic Development Committee,
reported that this Committee met this afternoon and it was the consensus of the
Committee to continue this bill until the January 9, 2012, meeting of the Council.
Council Member Henry Davis Jr., asked Mr. Bowens, Alderman from Harvey, Illinois,
and a member of the Economic Development Committee, to speak regarding a
development that Mr. Satish Gabhawala is doing in Harvey, Illinois.
Mr. Mike Bowens, City of Harvey, Illinois and the Economic Development
Committeeman for the City of Harvey advised that Hotel Hospitality, Mr. Satish
Gabhawala has completely gutted the former Holiday Inn in Harvey and the City has
invested 9 million dollars into the project. Mr. Bowens stated that is how much the City
of Harvey believes in this project. He stated that the project is at 70% completion. Mr.
Bowens noted that the location of the project is at I-70 and Halstead.
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Mayor Stephen Luecke, 14 Floor County-City Building, 227 W. Jefferson Blvd., South
Bend, Indiana, made the presentation for this bill.
Mayor Luecke advised that the administration is not ready for the presentation tonight.
He stated that there are some concerns and questions that have not been answered and
asked the Council to continue the bill until the January 9, 2012 meeting of the Council
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SPECIAL MEETING DECEMBER 19, 2011
Councilmember Oliver Davis asked about the stipulation of the bank issues.
Mayor Luecke stated that the deadline is from the bank. The City did not set the deadline
and does not have a package fully ready to discuss. He stated that the new administration
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will be in place on January 9 and if they are ready they will ask the Council for their
vote at that time.
Councilmember White asked for three items: 1. An outline of the issues concerning the
administration. 2. That the administration share the difference between the project with
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1 Source Bank and the Chase Tower. 3. The funding source such as Rainy Day Funds,
can they be used.
Councilmember Oliver Davis asked if there are any other individuals who are willing to
share their statements with the Council to come to the January 9, 2011 meeting.
Councilmember LaFountain made a motion to continue this bill until the January 9, 2012
meeting of the Council. Councilmember Puzzello seconded the motion which carried by
a voice vote of eight (8) ayes and one (1) nay (Councilmember Oliver Davis.)
RISE AND REPORT
Councilmember Oliver Davis made a motion to rise and report to the full Council.
Councilmember White seconded the motion which carried by a voice vote of nine (9)
ayes.
ATTEST: ATTEST:
_________________________ _________________________
John Voorde, City Clerk Timothy Rouse, Chairperson
Committee of the Whole
REGULAR MEETING RECONVENED
Be it remembered that the Common Council of the City of South Bend reconvened in the
Council Informal Meeting Room on the fourth floor of the County-City Building at 5:14
p.m. Council President Derek D. Dieter presided with nine (9) members present.
BILLS – THIRD READING
There were no bills for third reading at this time.
RESOLUTIONS
RESOLUTION NO. 4143-11 A RESOLUTION OF THE COMMON COUNICL
OF THE CITY OF SOUTH BEND, INDIANA,
APPROVING THE BOARD OF WORKS’ SALE
OF REAL ESTATE UNDER INDIANA CODE
SECTION 36-1-11-4
,
WHEREAS On November 14, 2011, the South Bend Board of Public
Works approved Resolution No. 76-2011, a copy of which is attached hereto and
incorporated herein as Exhibit 1, which Resolution authorizes the sale of real estate
located at 717 East LaSalle Avenue, South Bend, St. Joseph County, Indiana, pursuant to
Indiana Code Section 36-1-11-4; and
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SPECIAL MEETING DECEMBER 19, 2011
WHEREAS, under I.C. 36-1-11-4, such real estate can be sold by the
Board of Public Works following a public hearing and favorable recommendation of the
Board of Public Works, as appointee of the City Executive; and
,
WHEREAS the subject matter of this Resolution was litigated in the U.S.
District Court, Northern District of Indiana, Case #3:11CV 325RM resulting in an Order
of Judge Robert L. Miller, Jr., dated November 21, 2011, which approves of the use of
Indiana Code Section 36-1-11-4 for disposition of the property located at 717 East
LaSalle Avenue for a price of not less than $545,000.00, which procedure for sale of 717
East LaSalle Avenue under the terms, conditions, and procedures authorized by I.C. 36-1-
11-4 will cure the federal constitutional defect identified by Judge Miller in his
Memorandum and Order dated September 7, 2011; and
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the
City of South Bend, Indiana, as follows:
SECTION I. The Board of Public Work’s sale of real estate located at 717 East
LaSalle Avenue, South Bend, St. Joseph County, Indiana is approved at a price of not
less than $545,000.00 and in accordance with the provisions of Indiana Code Section 36-
1-11-4 and pursuant to Board of Public Works Resolution No. 76-2011 dated November
14, 2011.
The legal description of the property to be sold is:
The East 130.00 feet of Lots Numbered Two Hundred Thirteen (213),
Two Hundred Fourteen (214) and Two Hundred Fifteen (215) as shown
on the recorded Plat of Samuel L. Cottrell’s Addition to the Town of
Lowell, now a part of the City of South Bend recorded in Plat Book 1,
page 49, in the Office of the Recorder of St. Joseph County, Indiana.
SECTION II.In its sale of the subject real estate, the Board of Public Works shall
comply fully with the terms and conditions of I.C. 36-1-11-4.
SECTION III. This Resolution shall be effective from and after its passage by the
Common Council.
PASSED AND ADOPTED by the Common Council of the City of South
Bend, Indiana, this 19th day of December, 2011.
s/Derek D. Dieter
Member of the Common Council
Councilmember Kirsits disclosed that he has on file with the Office of the City Clerk, St.
Joseph County Clerk and the State of Indiana his disclosure statement. He stated that he
is a graduate of St. Joseph High School and that a relative is an employee of the high
school. Mr. Kirsits stated that he contributed to the building fund and left the
contribution in escrow. Councilmember Kirsits stated that after discussion with Council
Attorney Kathleen Cekanski-Farrand it was determined that no conflict exists.
Councilmember Dieter disclosed that he has his disclosure statement on file with the
Office of the City Clerk, St. Joseph County Clerk and the State of Indiana. He stated that
he is a graduate of St. Joseph High School. Councilmember Dieter stated that after
discussion with Council Attorney Kathleen Cekanski-Farrand it was determined that no
conflict exists.
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Charles Leone, City Attorney, 14 Floor County-City Building, 227 W. Jefferson Blvd.,
South Bend, Indiana, made the presentation for this bill.
Mr. Leone advised that this bill would approve the sale of real estate located at 717 E.
LaSalle Avenue. On November 14, 2011, the South Bend Board of Public Works
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SPECIAL MEETING DECEMBER 19, 2011
approved Resolution No. 7602911 which authorizes the sale of real estate located at 717
East LaSalle Avenue, South Bend, St. Joseph, County, Indiana, pursuant to Indiana Code
Section 36-1-11-4. Pursuant to I.C. 36-1-11, sale of this real estate must be approved by
the Mayor and by the Common Council. The Mayor appointed the Board of Works to
hold a public hearing on this matter. Following that public hearing, the Board made its
recommendation to the Mayor to sell this real estate. The Mayor adopted that
recommendation and has approved the sale of this real estate. The real estate was sold by
auction on Monday, December 12, 2011. The sale was subject to the Council taking
action tonight. Mr. Leone not3ed that the subject matter of this Resolution was litigated
in the U.S. District Court, Northern District of Indiana, Case #3:11CV 325RM resulting
in an Order of Judge Robert L. Miller, Jr., dated November 21, 2011, which approves of
the use of Indiana Code Section 36-1-11-4 for disposition of the property located at 717
East LaSalle Avenue for a price of not less than $545,000.00, which procedure for sale of
717 East LaSalle Avenue under the terms. Conditions, and procedures authorized by I.C.
36-1-11-4 will cure the federal constitutional defect identified by Judge Miller in his
Memorandum and Order dated September 7, 2011.
Councilmember Rouse asked how many bidders there were.
Mr. Leone stated only one (1).
Councilmember Oliver Davis asked when it comes to legal matters will the court have to
deal with the issue of attorney fees
Mr. Leone stated that is a matter that is yet to be resolved.
ADJOURNMENT
There being no further business to come before the Council, President Derek D. Dieter
adjourned the meeting at 5:19 p.m.
ATTEST: ATTEST:
____________________________ ____________________________
John Voorde, City Clerk Derek D. Dieter, President
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