HomeMy WebLinkAboutNo. 0033 the form of contract used by the Interstate Demolition Corporation with such purchasers both as to the nature of work to be done and wages to be paid to employees was submitted and examined by the members of RCSOUTH BEND REDEVELOPMENT COMMISSION
Special Meeting
James G. Louis, President
. Clyde E. Williams, Sr., Vice President
Also p esente
M . Henry Sucher, Executive Director
Frederick K. Baer, Attorney
I. MSOkMON NO. 33
Mr. Sucher, Executive Director, advised the members of the Redevelop-
ment Commission that Interstate Demolition Corporation has been
follow`ng a practice of selling dwellings in the Sample Street area,
assigned for demolition, to private persons under "Contracts of Sale."
Under this procedure, Interstate Demolition Corporation would
advert' se tliat certain 'dwellings w:rt for sale intact and that the `
buyer would have to demolish the dwelling and retain the salvage
materi is . 1n cons - ideration for' the payment `of 'a fixed fee. The
form o contract used by the Interstate Demolition Corporation with
such p rchasers both as to`the nature of the work to be done and
wages o be paid'to employees was submitted and examined by the
member of the Redevelopment Commission.
I. RESOLUTION N0: 33 Continued
Mr. Baer, attorney for the Commission' advised that under the
original contract entered into with the Interstate Demolition
Corporation, dated the 20th day of April, 1961, there were no
provis ons authorizing sales 'of this type, except that thecon-
tracto had the right to sub - contract work with the written
approval of. the Redevelopment Commission. He also stated that
approx mately'501dwellings had been sold'by the Interstate
Demoli ion Corporation under the foregoing arrangement, all
without approval of the'Commission, the contractor taking the'
position that the purchasers were not sub- contractors, but
purchasers of salvage materials. Mr. Baer stated that An his
opinion such sales constituted sub - contracting and,that in'the
future written requests for` the approval of the Commission should
be required from the contractor before authorizing him to enter
into any agreement with individuals for the demolition of dwellings.
Mr. Baer further stated that since the present procedure of contractor
consti uted a violation under the contract, on June 1, 1361 the
Inters ate Demolition Corporation was advised in writing that its
action5 were being reviewed by the Commission. A copy of the letter
sent on June 1, 1 61 to the Inters tate'Demolition Corporation
was s mitted to the Commissioners.for examination and ordered made
a part of these minutes.
After a full.discussion of the procedure heretofore followed by
the contract or, the Commission decided that this manner of demolition
was in violation of the letter and intent of the Contract.aind should
cease. '.an motion duly made," seconded And unanimously passed, it was
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;SOLVED: That the Interstate Demolition Corporation be
:rmitted'to proceed with contracts of sale now in effect,
which the Executive Secretary of the Redevelopment
)mmission had notice at the date of this meeting..)That
ze authority to proceed is given` subject' to each purchaser
zalif -ying as a sub -- contractor and complying with all the
arms and con.'.. itio- is with which any sub- contractor or,
iterstate Demolition Corporation is charged.
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