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HomeMy WebLinkAboutSM 06-23-6123 Jun _1961 11:30 .M. SOUTH BEND REDEVELOPMENT COMMISSION Special Meeting Redevelopment Commission Office 129 West Colfax Avenue This meting was called to order by Mr. Fred J. Helmen, Secretary. Commis0ioners present and answering to roll call: Absent: Also DT Mr. Fred J. Helmen, Secretary Mr. Virgil A. Place Mr. Frank G. Koczan Mr. James G. Louis, President Mr. Clyde E. Williams, Sr., Vice President asent: Mr. Henry Sucher, Executive Director Mr. Frederick K. Baer, Attorney I. RESIOLUTION No. 33 RESOLUTION OF THE SOUTH BEND REDEVELOPMENT COMMISSION, GOVERNING BODY OF THE CITY OF SOUTH BED, DEPARTMENT OF REDEVELOPMENT, RESOLVING THAT THE PRESENT PROCEDURE BY INTERSTATE DEMOLITION CORPORATION OF SELLING UNITS TO INDIVIDUAL WRECKERS OR DEMOLISHERS FOR SALVAGE BE HENCEFORTH TERMINATED. Mr. Sucher, Executive Director, advised the members of the Redevelop- ment Commission that Interstate Demolition Corporation has been following 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 advertise that certain dwellings were for sale intact and that the buyer would have to demolish the dwellings and retain the salvage t materials in consideration for the payment of a fixed fee. The form of contract used by the Interstate Demolition Corporation with such purchasers both as to the nature of the work to be done and wages t be paid to employees was submitted and examined by the members of the Redevelopment Commission. I. kE OLUTION NO. 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 provisions authorizing sales of this type, except that the con- tractox had the right to sub- contract work with the written approval of the Redevelopment Commission. He also stated that approximately 50 dwellings had been sold by the Interstate Demolition Corporation under the foregoing arrangement, all withou 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 in 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 constituted a violation under the contract, on June 1, 1961 the interstate Demolition Corporation was advised in writing that its actions were being reviewed by the Commission. A copy of the letter sent on June 1, 1961 to the Interstate Demolition Corporation was submitted to the Commissioners for examination and ordered made a part f these minutes. After the co was in cease. full discussion of the procedure _heretofore followed by ractor, the Commission decided that this manner of demolition iolation of the letter and intent of the Contract and should On motion duly made, seconded and unanimously passed, it was RESOLVED: That the Interstate Demolition Corporation be permitted to proceed with contracts of sale now in effect, of which the Executive Secretary of the Redevelopment Commission had notice at the date of this meeting. That the authority to proceed is given subject to each purchaser qualifying as a sub - contractor and complying with all the terms and conditions with which any sub - contractor or Interstate Demolition Corporation is charged. -2- I. SOLUTION NO 33 - Continued THER RESOLVED: That the present procedure by Interstate olition Corporation of selling units to individual wreckers demolishers for salvage shall henceforth be terminated and t notice of this resolution be forwarded to the contractor. URTHER RESOLVED: That any further sales of units for wreck - ng by private persons shall be deemed a violation of the rovisions of the contract entered into between Interstate emolition Corporation and the Redevelopment Commission and in he event same shall recur-.",.the appropriate penalty clauses under he contract will be invoked. Meeting adjourned 12:15 p.m. G. BdVis, President J r d J. lmen, Secretary Frank J. Br4gner, mayor Henry Sucher Executive Director C I T Y 0 T S O U T H B E N D , I N D I A N A D E P A R T M E N T OF R E D E V E L O P M E N T Phone: ce 2 -5807 1 :29 west co fax ave. C I& 1 Jane 1%1 Mr. M. B. Lynch, Field !tanager Interstate Demolition Ccup"y 1021 sample street Routh bead, Indiana Dear Mr. ".ynch x this will advise you th &L yo wrecking buildings wbd,, -r our review by both our own legal legal and engineering staffs Office of the Housing and He u r procrdurw in oontract is undo= ooursel and th4i of the Rogional as Finance .igoiiay. . You are further advised that no payment will be made if it is determined that work is being carries: o�._ in violation of any provisions of the contract documents. Sincerely, James O. Louis, President 'nuth Deno Redsvolopment Coamiasio- JdL1iu Zc I titans Of f ice Y Xr . P. 2.0 -ztin Mr. 1P. K. Baer Registered Kai' EXHIBIT C