HomeMy WebLinkAboutRM 07-16-76July 16,
10:00 A.
Presidin
SOUTH BEND REDEVELOPMENT COMMISSION
REGULAR MEETING
1976
M.
Officer: Mr. F. Jay Nimtz,
President
1. Roll ICall
1200 County -City Building
217 West Jefferson Blvd.
South Bend, Indiana 46601
Commissioners Mr. F. Jay Nimtz, President
Present: Mr. Donald A. Wiggins, Vice President
Mr. Robert J. Cira, Assistant Secretary
Mr. Lloyd E. Robinson, Sr., Member
Commissioner Mr. A. Peter Donaldson, Secretary
Absent:
Counsel:
NewslMedia:
0th
Mr. Kevin J. Butler
Mr. George T. Patton
Ms. Jeanne Derbeck, South Bend Tribune Reporter
Ms. Jennifer James, WNDU -TV Reporter
Mr. Dan Caesar, WSBT -TV Reporter
Mr. Dale Lamb, WSBT -TV Photographer
Mr. Larry Ford, WSJV -TV Reporter
Mr. Bill Cressler, WSJV -TV Photographer
Present: . Mr. John R. Kagel, Executive Director, Downtown
South Bend Council
Mr. William C. Gilkey, Director, Human Resources
& Economic Development
Mr. Bill E. Slabaugh, Dept. of Public Works
Mr. Rozell Newbill, Jr., Newbill Construction Co.
Comm ni t
Development
Staf :
LPA Staff:
2. APPR VAL OF MINUTES
Mr. Keith P. Crighton
Mr. James L. Johnson, Jr.
Mr. Kenneth J. Schaller
Mr. C. Wayne Brownell Mr. Edwin R. Bauer
Ms. Helen S. King Mr. James J. Rowan
a. Minutes of Special Meeting of July 1, 1976, held in lieu of
e ular Meeting of July 2, 1976: Motion that these Minutes
b e accepted and approved as mailed was made by Mr. Robinson,
seconded by Mr. Wiggins and carried.
b. Minutes of Special Meeting of July 9, 1976: Motion that these
Minutes be accepted and approved as mailed was made by Mr. Wiggins,
seconded by Mr. Cira and carried.
- 1 -
MINUTES
APPROVED
3. APPRdVAL OF CLAIMS
Motion that the claims be approved, as submitted, and be allowed and CLAIMS
ordered-to be paid -- totalling $10,690.78- -was made by Mr. Wiggins, APPROVED
seconded by Mr. Cira and carried. The authorized claims are:
PROJECT EXPENDITURES ACCOUNT, INDIANA R -66
Kevin J. Butler $ 1,066.45
Robert F. Gonderman, Attorney 11 3M0.00
Total 4,066.45
PROJECT EXPENDITURES ACCOUNT, INDIANA R -57
Abst act Co. of St. Joseph County $ 52.50
Kevin J. Butler 40.00
Total 92.50
REDEVELOPMENT REVOLVING FUND
Playroll: June 12 to June 25, 1976 $ 5,955.23
Business
Systems
21.96
Credit
Bureau of South Bend - Mishawaka
5.00
I.B.M.
Corporation
279.36
Muszynski
Insurance Agency, Inc.
215.00
Offic
Engineers, Inc.
21.96
Postmaster
3.32
Total
6,501.83
BUREAU
OF HOUSING E -7
Pest Control
$ 30.00
Aacme
Total
$� 30.00
GRAND TOTAL
$ 10,690.78
REIMBURSEMENT
TO REVOLVING FUND
Indiana R -57
$ 2,287.13
P.E.A.
P.E.A.
Indiana R -66
5,334.64
Total
7,621.77
4. CORRESPONDENCE
a.
H D Area Office letter dated June 30, 1976: This letter is from
-Mr. Stephen J. Havens, Director, Community Planning and Develop -
m nt Division, advising HUD concurrence of Change Order No. 2 to
C ntract No. 1, Colfax Pier /Park Dredging, for an increase in
c ntract amount of $500.60, or amended total contract price of
$#9,786.60, with the Nautilus Construction Corporation.
- 2 -
HUD CONCURS,
C.O. NO. 2
TO CONTRACT 1,
COLFAX PIER/
PARK DREDGING,
R -66
4. CORREISPONDENCE (Cont'
e Ietter requests the proposed date of completion so they can
range for a final inspection, possibly in conjunction with the
lance of the Plaza Park contract with.Nautilus Construction
rporation.
resident Nimtz asked the Project Engineer,,-Mr. Bill E. Slabaugh,
ith the Department of Public Works, if everything on this contract
s complete? Mr. Slabaugh advised they have had their final inspec-
ion and everything is complete and the next phase of construction
sunder way. We are now ready for HUD to inspect the work. Also,
he severe flood that we had has satisfied all the requirements in
he State of Indiana, as far as holding the bank back. It has stayed
n place.
he President requested a motion that the above letter be received
nd placed on file, and the Executive Director, Mr. C. Wayne Brownell,
e directed to advise HUD that we are ready for final inspection.
he requested motion was so made by Mr. Wiggins, seconded by Mr.
obinson and carried.
b. IUD Area Office letter dated Jul 13, 1976: This letter is from
Mr. Keith W. Lerch, Area Counsel, advising an original of Project
N R- 66(LG)'s July 12, 1976, Fourth Amendatory Contract is enclosed
with the letter.
r. Brownell advised this is the contract that was signed by the
ommission in the Special Meeting of July 9, 1976, was taken down
o HUD, and HUD has now signed the Four Amendatory Contract and
eturned an executed copy to us. The date of execution is July 12,
976, by Mr. James E. Armstrong, Area Director. This now gives us
he $2 -1/2 Million that we have been talking about.
Motion was made by Mr. Wiggins that the above letter be received
and placed on file, seconded by Mr. Cira and carried.
c. Verbal Communications: Mr. Brownell reported on two (2) verbal
ommunications he has:
) The Area Office has advised him by telephone that our land
use changes are acceptable and approved. They will send us
a letter verifying this in about a week to ten (10) days.
The telephone conversation was with Ms. Eleanor Granger.
') Mr. Andy Anderson with the Regional Office called and advised
that this $2 -1/2 Million we just received under the Fourth
Amendatory Contract, IN R- 66(LG), will be applied on our
Project Notes on September 17, 1976, when they become due.
President Nimtz advised he talked to Mr. Brownell about this
the other day when the message came through and Mr. Brownell
said this will be_ deposited in the proper account to be paid
to the paying agent.
- 3 -
FOURTH
AMENDATORY
CONTRACT
APPROVED,
PROJECT
IN R- 66(LG)
HUD VERBALLY
APPROVED
LAND USE
CHANGES, R -66
$2 -1/2
MILLION TO
BE APPLIED
TO PROJECT
NOTES, R -66
5. OLD
a.
a
INESS
hange Order No. l to Rehabilitation Contract No. SECD /PR /CS -2/17,
n Southeast Community Development Housing Program: Action was
eferred to this Commission meeting and staff requested to negotiate
ith the contractor, Fleming Masonry Construction Company, for
ossible deletion of some items to bring the amended contract total
equest of $8,204.00 below the $8,000.00' limit.
he Chair requested Mr. Keith P. Crighton, Director, Bureau of
Housing to respond. Mr. Crighton advised after many hours of
egotiation between Mr. James L. Johnson, Jr. -, Chief Inspector;
Mr. Kenneth J. Schaller, Project Director; and representatives
from Fleming Masonry Construction Company, the contractor; they
were able to delete some items to get the total amended price
down to $7,860.00. The deleted items primarily were wrought
iron handrails on the front steps, lower rear and upper rear
steps, and the replacement of two (2) treads on upper rear steps,
i amount of $145.00. He said he presumes the homeowner will
a sume the responsibility to correct these items. The staff was
v ry happy to get this amended contract under $8,000.00.
P�esident Nimtz thanked the staff and extended his congratulations.
M tion was made by Mr. Wiggins, seconded by Mr. Cira and carried,
f r the approval of Change Order No. 1 to Rehabilitation Contract
N). SECD /PR /CS -2/17, with Fleming Masonry Construction Company,
f r an increase in contract amount of $395.00, or an amended cones,
tract total of: $7,860.00, for rehabilitation work at: 415
E st Ohio Street, in the Southeast Community Development Housing
P ogram.
Order No. 5 to Rehabilitation Contract No. SECD /HR /CS -1 /O
heast Community Development Housin Program: Mr. Browne
r. Crighton to explain this change for the Commission.
Mi4. Crighton advised the numerical figures entered on the front
page of the contract were incorrect, but the written figures on
the second page were correct, and that it was an error on their
part. A new Change Order No. 5 is being submitted for Commission
s-1 gnature with the correct numerical figures inserted for Commis
s on consideration. The work involved for Change Order No. 5
was approved by the Commission in July 1 meeting, which was an
i crease to the contract in amount of $655.00. However, the total
c ntract price reads:. "$39,391.00' whereas it should read:
"J39,591.00." This would bring the correct total to "$40,246.00.'"
T e individual contract price is correct: "$3,006.00 plus C.O.
i crease of $655.00 to amended amount of: $3,661.00. "
C ange Order No. 4 was approved in Commission meeting of June 18
for an increase in contract amount of $200.00, amending the total
contract price from $39,391.00 to amended contract total of
$ 9,591.00; and, inadvertently, for Change Order No. 5, the
$ 9,391.00 figure was picked up in lieu of the amended total of
$39,591.00, accounting for the difference noted in the above para-
graph. (C.O. No. 4 to Rehabilitation Contract No. SECD /HR /CS- 1/14).
- 4 -
C.O. NO. 1
TO REHAB.
CONTRACT
SECD /PR /CS-
2/17 AP-
PROVED, SE
CD HOUSING
PROGRAM
C.O. NO. 5
TO REHAB.
CONTRACT
SECD /HR /CS-
1/05 AP-
PROVED,
AMENDED CON-
TRACT TOTAL,
SECD HOUSING
PROGRAM
5. OLD BOSINESS (Cont'd)
Motion was made by Mr. Wiggins, seconded by Mr. Cira and carried,
to rescind the action taken on the previous Change Order No. 5
to Rehabilitation Contract No. SECD /HR /CS -1/05, in Commission
Meeting of July 1, 1976, Item 6d, page 8, and approve the corrected
Change Order No. 5, for an increase in contract amount of $655.00
and an amended contract total of $40,246.00. This met with Legal
Counsel approval.
c. Can a Order No. 4 to Contract No. 1; Plaza Park; with Nautilus STATUS
C nstruction Com an , Project Indiana R -66v Mr. Brownell advised ON PLAZA
t is Change Order was approved by the Commission in meeting of May PARK CON -
7 1976, for a thirty (30) day extension of time, (from May 15 to TRACT, R -66
J ne 15), or a contract completion date of June 15, 1976, with no
a ditional dollars noted in Change Order No. 4. It is on Agenda
t day to explain the status of this contract to the Commission.
M
z. Brownell advised Mr. Slabaugh informed him the contract is
s bstantially completed, with two (2) things left to do;
Pre -final inspection of the Plaza Park was made by Pat McMahon
and Stan Burzynski with the City; George Batchelder of Nautilus
Construction; and Jerry Kinyon of Lawson - Fisher Associates, and
a summary of the items discussed on the inspection of June 29
were made. Also, Mr. Slabaugh outlined his observations re-
quiring attention before final inspection can be considered.
A punchlist of the items are noted.
The ladders to the boat docks were not correctly specified.
The installation was made as shown in the plans and the materials
were apparently to the specifications. Detail revision and ap-
propriate sketches will be forthcoming from Lawson Associates.
r. Slabaugh, Project Engineer, explained when the ladders were placed
n the field, they didn't appear as they did on paper, and they do
Dt appear to be ladders that would last 20 years, such as this Com-
ission would like to have. He stated it would be more like a three or
our year ladder under those conditions, so they are arranging to get
credit, at least most of the money spent on most of the installation,
nd either beef those up by welding or put in a different type of
adder. That is going to take design time. The contractor is not de-
aying the contract at all. He has substantially completed the con -
ract, but has little items to complete, such as..painting and some
rosion that has to be corrected, so that the next contractor can get
he seeding done. Mr. Slabaugh advised he was measuring some items
esterday when they were rained out. The final results will be sub-
itted for the next Commission meeting. The final Change Order,
o. 5, will be submitted for the over -runs and and the under -runs.
ommissioner Wiggins raised various questions on the ladders and Mr.
labaugh advised the ladders are from the floating docks up to the
tationary docks, to be used by people who presumably tie their
oats to the floating dock. The Commissioner also asked, "If the
adders are that inadequate, isn't there a potential hazard? What
f the ladder collapses under somebody?-" Mr. Slabaugh advised he
=10
5. OLD BUSINESS (Cont'd
lked to the designer and they indicated that the ladders will
what they were designed for, but will not last long enough.
other words, if there is a hazard there, it would be his
zard. Commissioner Wiggins stated, "It sounds like a cope -out.
mmissioner Robinson asked if it was in the bid specifications that
ese ladders should last for 20 years, and Mr. Slabaugh advised
the negative for the ladders; the whole park was designed for
years, and that he was just saying what the designer had said.
mmissioner Wiggins again expressed his opinion, that in short
was a design goof. Mr. Slabaugh felt that it's an under-
sign; it didn't look the same out in the field as it did on
per.
. Dan Caesar, WSBT -TV Reporter, said that he went out to the Plaza
rk last night and did an extensive purview of what was out there
d noted extensive erosion along the banks that will further erode
less there is something done, and it will erode right up to the
dewalk.- Mr. Brownell stated that this is one of the punchlist
ems, but Mr. Caesar stressed this is one erosion that won't be
ntrolled after the other erosion is controlled. This is along
e banks, and the ladders at the boat docks are extremely hazardous
d very flimsy. He stated we are going to have a problem along the
nd of the river, just north of the bridge, and that erosion is a
sult of water action in the river. Also the water running into the
ver edge all along that bank. There are deep ruts in there already
next year it will be up the sidewalk. He didn't know what we can
about that, but the sidewalk is going to bellow unless something is
ing to be done.
M% Slabaugh advised that we didn't tear up the old Lincolnway because
w were afraid of that; now we are going to tear the old Lincolnway
o t and will correct that drainage under the next contract (Contracts
N). 39 and 39 -A) coming up.
C mmissioner Wiggins asked Mr. Slabaugh if there is proposed planting
o erosion control by this means along that bank area, and Mr. Sla-
b ugh advised that we are at the mercy, right now, of the street being
ii where it is, so we can't control it, but we definitely will nail
i down to the flat areas and it won't.go over the side and erode out
the way it is now.
M% Caesar further commented the foot bridge is very nice, but on the
o her end of the foot bridge, what is going to happen there? It cer-
t inly is a very hazardous situation over there, where the bridge ends
u at the other end of the river, at the other side of the river, but
ft. goes no where and it is not protected. Mr. Slabaugh said that is
b ing taken into consideration on the demolition contract; we are going
t fill that and bring it up so that it can be seeded_, but we won't be
pitting a sidewalk in, it will be just a grassy slope. The land on
tie other side is owned by the Park Department, and they are working
oi that but he didn't know to what extent.
Mt. John R. Kagel, Executive Director, Downtown South Bend Council,
s ated last week there was a ground breaking ceremony for Block 6,
._4. 1
djoinjng the Park area, and he believes that Mr. Caesar's comments
n reference to that ladder is very important. Mr. Brownell had
old him he was going to look at the area yesterday, but from the
iability standpoint, as far as the City is concerned, "I am in
greement with Mr. Caesar that the ladders should be looked at."
r. Brownell stated the City's engineers and Lawson's engineers
ave already inspected these ladders. Mr. Caesar added the River
ueen docked there last night and approximately 50 people used
hose ladders, and he couldn't see how anyone, unless they are
hysically fit, can really make it up those ladders and down.
hey are very hazardous.
resident Nimtz referred to a safety cable that had been dis-
ussed in several meetings of various organizations to warn that
dam was there, or a power boat with an outboard motor that lost
is power, whether the River Queen could go under the bridge or not.
ommissioner Wiggins stated that it probably would be advisable,.
nasmuch as we have been responsible for creating the docking
acility, that the very least we could do would be to provide
ome kind of a signage, signal, or whatever, under the bridge
arning that there is a dam on the other side of this. "I think
e owe the people a warning."
resident Nimtz requested Mr. Brownell to discuss this with Mr.
ames Seitz, Superintendent of the Department of Public Parks, and
t least bring it to their attention, as it 'is probably not our
esponsibility to put up a cable or anything like that.
ommissioner Wiggins asked Mr. Slabaugh if it would be possible
to get a report back to the Commission at the next meeting regard-
ing the ladders, and Mr. Slabaugh said he will have those reports
efinitely. He also advised that the body of water belongs to the
state, in reference to Mr. Caesar's suggestion, and the men were here
rom the state and made a survey of all the recreational facilities
hat is possible to have. It is possible they may have made a con -
ession where the funds could come from to have something like that,
as Elkhart has it. "If we are going to tell the people to come in
nd enjoy our river, then we should make it safe. If the state
ants us to develop, then-they should tell us what we should do
ecreationwise. Mr. Seitz can also advise as to what is available."
d. Dainty Maid Bake Shop Liti ation, Cause No. H =698, Project Ind. R -66;
he Chair called on Mr. George Patton, Commission Legal Counsel,
to report on the settlement of the Dainty Maid lawsuit.
Patton advised he has been in negotiations with the attorney for
e Plaintiff, Mr. Gonderman, for the last several months and have
ached an out -of -court settlement of $3,000. This was a lawsuit
at arose many years ago. The lawsuit was filed by Dainty Maid
ainst the City of South Bend, Department of Redevelopment, Rieth-
ley Construction Co., Inc. and Clyde E. Williams & Associates,
c., concerning Dainty Maid's warehouse building on Monroe and
rroll.
7-
DAINTY
MAID BAKE
SHOP CLAIM
AUTHORIZED,
R -66
5. OLD BUSINESS (Cont'd
esident Nimtz advised that this litigation has been discussed by
e Commission previously in camera, and.now requests a motion that
is claim be authorized and ordered to be paid, settling the lawsuit.
M% Wiggins moved for the approval that the claim be authorized and
o dered to be paid, in settlement amount of.$3,000.00, payable to
M% Robert F. Gonderman, Attorney for Plaintiff, Dainty Maid Bake
S op. Motion was seconded by Mr. Cira and carried.
6. NEW BUSINESS
a. Parking request, Disposition Parcels 8 -9 and 8 -11; Project Ind. R -66:
T is request is from Mr. William C. Gilkey, Director, Human Resources
aid Economic Development, to utilize the parking area located in the
r ar of the former First Christian Church building located on South
M in Street, per his Ietter of July 14, 1976.
Tie summer CETA Program is operating out of the former First Chris-
tian Church building that was rented to alleviate the tremendous
aTiount of traffic that formerly filtered in and out of the County-
City Building causing congestion and problems. The parking area
w )uld be utilized to accommodate the CETA supervisors and coordina-
t rs working in the program who are required to be there throughout
tie day. Two police officers are on duty at the site and the con-
trol of parking in the requested area can very easily be monitored
b these officers eliminating serious parking problems which could
d velop.
. Brownell advised that he talked to Mr. Gilkey last evening and
e possibility of a lease to the City, in lease amount of One ($1.00)
llar per month, on a month -to -month basis, to run through the 20th
August. Mr. Gilkey was in the audience and confirmed the statement.
esident Nimtz stated the Commission has two concerns on this that
s discussed informally prior to the start-of this meeting:
1) Legal liability, in case someone is injured-on-the
lot, so we would request the lease be with the Board
of Public Works, so that this would come under their
insurance program.
2) The parking be controlled so that we don't get com-
plaints from the merchants downtown and the people
parking helter - skelter and every which way.
Commissioner Wiggins related our experience with parking on that
lot after it was cleared, as people were parking without authority,
and we had the pipes installed to control the parking. The rela-
tively soft fill placed in over previous building sites created
problems in parking cars. He suggested placing cinders, gravel,
o something in the area to be used for the parking to eliminate
encounterfhc that problem. Since it is for only a short period
of time, he said he sees no reason why it cannot be handled, but
PARKING
REQUEST
APPROVED,
R -66
6. NEW OUSINESS (Cont'd
hat he doesn't want anyone.to get the idea that we want to en-
ourage any kind of long =term parking or use of that property other
han the use for which it is intended as a proposed building site.
r. Gilkey advised that he had discussed this extensively with Mr.
rownell and he had also pointed out the same problems mentioned
ow, and that he does plan to talk to Mr. Farrand or Mr. Joe
awrysiak about getting some cinders placed on the lot. This will
lleviate the parking meter situation the staff presently has.
his is for a short time and with the police officers he felt the
arking can be monitored and not create a problem.
r. Brownell advised he has discussed this with the Board of Works,
nd if approved by the Commission would come on the Board's Agenda
onday morning.
r. Wiggins moved for the approval of the Commercial Lease and the
of be leased to the City on a month -to -month basis, in lease amount
f $1.00 per month, and that provision be made to monitor the park -
ng and also to condition the ground surface so that there will be
o difficulty in cars getting in or out. Motion was seconded by Mr.
ira and carried.
Mr. Caesar asked if this Board is setting a precedent in allowing
free parking on lots, and Mr. Gilkey advised it will be leased
through the Board of Works and they then will be providing parking
as a fringe benefit to the supervisors, etc of CETA. It will not
be free parking.
b. Demolition & Site Clearance Contract'Nos. 39'and 39 -A, Project
Indiana R =66; Commission authorization was requested to authorize
advertising for Demolition & Site Clearance Contract Nos. 39 and
9 -A, on Disposition Parcel No. 6 -1, Project Indiana R -66. Plans
and specifications are being prepared by the Bureau of Public Con-
struction using Clyde E. Williams & Associates, Inc. Phase I plans
with revisions. Portions of Block 6 in the area of the new building
must be done sooner than can be expected by conventional HUD contract
outline, so the Guide Form HUD -6211, for use in $2,000 or less con-
sideration, will be used and the contract number will read "39 -A"
i that case.
ntract 39 -A is not to exceed $2,000 and consists of curb demoli-
on, sidewalk and driveway approach demolition, pavement demolition
sphalt), pavement demolition (concrete), vault demolition, inlet
molition, light bases demolition, hauling off site and backfill,
ading, topsoil and seeding. Contract No. 39 is in the process of
ing prepared.
M . Wiggins moved for the approval to authorize advertising for
D molition & Site Clearance Contract Nos. 39 and 39 -A, seconded
b Mr. Robinson and carried.
ADVER-
TISING
APPROVED,
CONTRACT
NOS. 39
& 39 -A,
R -66
6. NEW �USINESS (Cont'd
C. emolition & Site:Clearance Contract NO.'36�'Project Indiana R-66:
Authorization was requested to award this Contract.. The Contract
as advertised in The South Bend Tribune and Tri- County News, on
une 4 and 11, 1976, with bid opening on July 7, 1976, in the Office
of the Department of Redevelopment, at 10:00 a.m., E.S.T. Five (5)
ontractors picked up bid documents, with four (4) contractors sub-
mitting bids, as follows, on the old gasoline station at former 330
I.incolnway East: -
tame of Contractor Bid Amount
Warner & Sons $ 1,994.00
F.D. Box 87.(3126 W. Franklin St.)
Elkhart, IN 46514
ony Tomich & Sons, Inc. 4,250.00
924 N. Oakland Ave.
oliet, IL 60435
ulius O'Neal Trucking Co. 2,800.00
104 W. Donald Street
outh Bend, IN 46613
itschard Bros., Inc. 4,974.00
204 West Sample Street
outh Bend, IN 46621
. Brownell explained this office has recently been used by
utilus Construction Corporation for their local office.
rner & Sons is the low bidder for this contract. Jackson
ecking Company picked up bid documents but did not submit
bid.
Mr. Wiggins made the motion Demolition & Site Clearance Contract
No. 36 be awarded to the low bidder, Warner & Sons, for their
Lid amount of $1,994.00, subject to Legal Counsel and HUD approval.
Potion was seconded by Mr. Robinson and carried.
d. D molition & Site Clearance Contract No.'37, Project Indiana R -66:
T is Contract was advertised in The South Bend Tribune and Tri-
C unty News, on May 21 and 28, 1976, with bid opening on June "29,
1)76, in the Office of the Department of Redevelopment, at 10 :00
a.m., E.S.T. Seven (7) contractors picked up bid documents. De-
m lition is for building on 112 -114 South Michigan Street, portion
c rrently being used by our River Bend P1aza.Office.
Mr. Brownell explained Warner & Sons submitted a very low bid that
was marked for Contract No. 37, but actually was an error in their
office and was intended for Contract No.'36. , Mr. Jack Warner imme-
diately hand - carried a letter to us dated June 29 explaining their
e ror, and requesting they be permitted to withdraw the bid sub-
m'tted that date. Mr. Brownell said he discussed this with Mr.
K vin J. Butler, our attorney, and in view of the fact that Warner's
- 10 -
DEMOLI-
T ION
CONTRACT
NO. 36
AWARDED
TO:
WARNER &
SONS,
R -66
DEMOLI-
TION
CONTRACT
NO. 37
AWARDED
TO:
JULIUS
O'NEAL
TRUCKING
CO. R -66
6. NEW BUSINESS (Cont'd)
romptly came in with their letter stating that it was purely
n error, we understand under.the.law we cannot hold him liable.
he bids received were:
ame of Contractor Bid'Amount
iebert & Associates Contracting, Inca
g $ 23,477.00
P.O. Box R
Michigan City, IN 46360
Tony Tomich & Sons, Inc. 18,274.00
l924 N. Oakland Ave.
oliet, IL 60435
ulius O'Neal Trucking Co. 15,999.00
104 W. Donald Street
outh Bend, IN 46613
ckson Wrecking Co. 19,633.00
ute #4, Box 233A
chester, IN 46975
itschard Bros., Inc. 27,850.00
1204 West Sample Street
South Bend, IN 46621
rthern Virginia Demolition Corp. 29,000.00
0. Box 726
shawaka, IN 46544
Mr. Brownell advised on this Contract, No. 37, we desire to delay
ping ahead with the contract at this time, because this is the
office being used for the River Bend Plaza Office, and they want
to use the office for a while yet. The next low bidder (eliminating
Warner & Sons bid that was immediately withdrawn by letter) is
J lius O'Neal Trucking Company, who has agreed to hold his price
f r the demolition until January 15, 1977, with no change in price,
b d amount being $15,999.00.
In response to discussion on whether to delay the award or make a
conditional award, Mr. Butler, Commission Legal Counsel, recommended
the Commission make the award now, but not issue a Notice to Proceed
uritil we are ready for the actual demolition. The award is not a
notice to proceed with the work.
Mr. Wiggins made the motion Demolition & Site Clearance Contract
No. 37 be awarded to the low bidder, as noted above, Julius O'Neal
Trucking Company, for their bid amount of $15,999.00, subject to
Legal Counsel and HUD approval. Motion was seconded by Mr. Cira.
Commissioner Robinson asked, "On this particular job, are the pre-
vailing rates supposed to be established on this project ? "; Mr.
Brownell advised we have to follow the rates that are established
by HUD. Commissioner next asked, "The Davis Bacon rates are in the
- 11 -
6. NEW OUSINESS (Cont'd
id specifications on this job? ", Mr. Slabaugh advised definitely,
nd Mr. Brownell added that we have to get a wage update ten (10)
ays before the contract is awarded, Commissioner Robinson stated
e is highly skeptical about the difference in price.
s. Derbeck referred to change orders the Commission authorized
or another demolition contractor on one of the buildings, and
ommissioner Wiggins defended those increases as they found four
oundations under there with double reinforced concrete walls and
assive footings located under elevator shaft. It turned out it
as built on quicksand in the beginning.
r. Edwin R. Bauer, Assistant Director, Department of Redevelopment,
ointed out with regard to the River Bend Plaza Office that we have
ad trouble in the past and had repair bills and improvements in
he plumbing, and wanted to point out again that the plumbing appears
aulty and it might become expensive to maintain that building just
o keep it operable. Also heating problems. Mr. Brownell stated
e can handle that with the City. The Chair concurred.
ommissoner Robinson said, "Since we are somewhat compelled to go
long with the low bidders on these various projects,I would like
o go on record that if we award this contract to this Julius O'Neal
rucking concern- -about two or three- =nths down the road when he
omes back for an increase in his price, he is not going to get it."
he Chair requested the record show Commissioner Robinson's comments.
he "Ayes" were unanimous for the vote the contract be awarded to
ulius O'Neal Trucking Company. Motion carried.
e. Application for Section 312 Loan: Approval was requested for this APPLICATION
pplication, in amount of 1,300.00, to Walter C. & Alfreda Baran- 18 /SOU-
wski of 143 Villageway, South Bend, located within Section 810 2/1/1 -76
approved Project Area. Applicaton No. 18 /SOU- 2/1/76. APPROVED,
STIPULATIONS
Yr. Keith P. Crighton, Director, Bureau of Housing, advised this is OUTLINED,
Section 312 money that was given to the City last fall to be used 312 LOAN
in unison with our Homesteading Program to assist persons living
in the homesteading areas, not necessarily just the homestead pro-
perty occupant, in borrowing low interest money. This is 3% loan
1POrrk ney under Section 312 in the 1964 Housing Act. The Section 312
ogram was in operation for approximatehy five_y_ears in theLa alle Projeci- as we— as the Northeast ProJ ect and the Model Cities
ea and we had a- great deal of acceptance program, so much so that
were granted self approval ;ment ot Housifd r an
velopment. The Commissi n, in fact, approves these loan applica-
ons and the staff merely sends the approved loan applications along
th the fund request to HUD. _ He said that he he1ri --` -tP ar-p the
ly city in Indiana right now that does have self a 1 and wP
e sl with WUD_
r first loan of approximately 25 that the Commission will be getting
thin the next few months`.
- 12 -
G'�►I1J
61
INESS (Cont'd
1. Butler raised various.ques,tions on the program.with Mr. Crighton
applying the answers;
Q. What is the contractual,relationships among the contractor,
Commission, and the homeowner? Is it . similar to the E -7
Project?
A. No, not really. We have a loan closing after we get the
check from the Federal Reserve Bank'in Chicago, and at
the time the homeowner endorses that check over to their
escrow I account which Redevelopment will manage, and when
the work has been completed and all other contractual ob-
ligations have been satisfied, then the claim for the
check will be processed.
Q. Will be contracts be let for bid?
A. They already have been. This loan application contains
the lowest bidder. We try to get at least two estimates.
Q. What kind of control will the department or staff have
over the contractors? Will the contracts be between the
homeowners and the contractor?
A. No. Three parties. At the loan closing, Mr. Brownell will
serve as agent for the Commission. He will sign the contract;
the contractor will sign the contract; so will the homeowner.
We are acting as third party of the contract.
Q. What powers does the contract give to the Commission?
A. We act in the interest of the homeowner. The homeowner is
project party, and he has no supervisory or managerial re-
sponsibility as far as assuring that the contract is complete
and what have you. We handle all of that, although the
homeowner's responsibility, obviously is to repay the money.
Q. Is there a possibility of a recurrence of the problems that
have occurred in other Projects on the 312 Loan Programs?
A. I would like to think not, but the potential is always there.
(The Chair said, "Very aptly put.) We do carefully screen
our applicants.
Q. How about a performance bond?
A. It is not required under Section 312 Loans because the loans
are under $10,000; they do.not come under interstate require -
ments.
ommissioner.Wiggins suggested that we be very sure that the job is
ompleted, to both our and the homeowners` satisfaction. In addition,
r. Butler stated that it is very important the contractors we are
eating with in each of these cases are of known quality, and not get
ome of the types we have in the past.
- 13 -
6. NEW BUSINESS (Cont'd
r. Crighton advised that we are staying pretty much with established
ontractors who have proven themselves in our other projects. Any-
ody who is even slightly doubtful will not be accepted.
Mr. Wiggins made the motion, "In view of all the conditions, I move
we approve the above application for Section 312 Loan, in amount
f $1,300.00, and Mr. Brownell be authorized to sign the application
or approval." Motion was seconded by Mr. Robinson and carried.
.. _.. ... .. .
f. qeject bids received for Contracts 10, 12, 13 and 14; th'NOrthwest
ommunity Develo ment'Pro ram: Per recommendation of the Northwest
dvisory Committee, Commission authorization was requested to reject
he bids received for Contracts 10, 12, 13 and 14, per bid.tabulation,
end staff be authorized to revise the specifications and re- advertise
or bids as soon as possible.
my one contractor, Slatile Roofing & Sheet Metal, Inc., submitted
ids on these contracts, and they "are:-
ntract No.
Address
Bid Amount
CD /PR /CS -2/10
502
N.
Euclid Avenue
$ 6,829. -00
CD /PR /CS -2/12
536
N.
Blaine Avenue
6,520.00
CD /PR /CS -2/13
537
N.
Blaine Avenue
6,060.00
CD /PR /CS -2/14
636
N.
Diamond Avenue
7,723.00
r. Brownell advised this is a case where the Northwest Advisory
ommittee reviewed the bids, and they thought the bids were exception -
lly high, and recommended the bids be rejected! also, in view of the
act that only one contractor bid on these.
otion was made by Mr. Robinson, seconded by Mr. Cira and carried,
o reject the above bids received, and authorize the staff to revise
he specifications and re- advertise for bids.
g. DECD /HR /CS Contract Set 2/18 through 2/53, in the Southeast Communi
evelo ment Elderly & Handicapped HAO Referral Program: Per recom-
endation of the Southeast Advisory Committee, Commission approval
as requested for contract award to Charles Brown Maintenance
Service, for HAO Contract Set #2, Contracts #18 through #53, in bid
amount of $15,103.00, per explanation in memorandum dated July 14,
1976, and the bid tabulation that was attached, in the Southeast
Community Development Elderly & Handicapped HAO Referral Program.
Total bids received for Contract Set #2 was:
ontractor Total Bid
Charles Brown Maintenance Service $15,103.00
ewbill Construction Company 12,194,00 **
latile Roofing & Sheet Metal Co. .23,727.00
*- Actual total from Document C -3 $12,094.00.
tractors, A & J Electric, Fleming Masonry Construction Company and
icon Builders, did not submit bids.
- 14 -
6 . NEW BIOS IN ESS ( Cont' d
ntract Set #2 is for rehabilitation of.the following;
antract No. Address
ECD /HR /CS -2/18
....
510
S. 24th.Street
ECD /HR /C$ -2/19
....
3902
Western Avenue
ECD /HR /CS -2/20
....
338
N. Olive Street
ECD /HR /CS -2/21
....
824
S.' Jackson Street
ECD /HR /CS -2/22
....
1235
E. Campeau Street
ECD /HR /CS -2/23
....
1701
S. Scott Street
ECD /HR /CS -2/24
:..;
1311
Hine Street
ECD /HR /CS -2/25
....
1314
Hine Street
ECD /HR /CS -2/26
....
219
E. Donald Street
ECD /HR/CS- 2/27
....
2214
Chapin Street
ECD /HR /CS -2/28
....
1229
W. Napier Street
ECD /HR /CS -2/29
....
1225
Eastbrook Drive
ECD /HR /CS -2/30
....
1134
S. Franklin Street
ECD /HR /CS -2/31
....
617
Cottage Grove
ECD /HR /CS -2/32
....
617
N. Walnut Street
ECD /HR /CS -2/33
....
1306
E. Miner Street
ECD /HR /CS -2/34
....
1921
S. Brookfield Street
ECD /HR /CS -2/35
....
1909
S. Ironwood Drive
ECD /HR /CS -2/36
....
721
24th Street
ECD /HR /CS -2/37
....
1114
N. Burns Street
ECD /HR /CS -2/38
....
1157
E. Fox Street
ECD /HR /CS -2/39
..
220
E. Indiana Avenue
ECD /HR /CS -2/40
....'729
N. Cushing Street
ECD /HR /CS -2/41
....
733
S. Kaley Street
ECD /HR /CS -2/42
....
714
S. Brookfield Street
ECD /HR /CS -2/43
....
2609
Western AVenue
ECD /HR /CS -2/44
....
221
N. O'Brien Street
ECD /HR /CS -2/45
....
1019
Woodward Avenue
ECD /HR /CS -2/46
....
1813
W. Linden Avenue
ECD /HR /CS- 2/47
....
709
N. St. Louis Boulevard
ECD /HR /CS -2/48
....
809
E. Fairview Street
ECD /HR /CS -2/49
....
838
S. Webster Street
ECD /HR /CS -2/50
....
502
31st Street
ECD /HR /CS -2/51
....
1854 E. Randolph Street
ECD /HR /CS -2/52
....
1306
S. Main Street
ECD /HR /CS -2/53
....
1050
N. Burns Street
r. Brownell advised in this situation the recommendation for the
ward is not for the low bidder and he called on Mr. Crighton to
urther explain this award to the Commission. Mr. Crighton stated
fter much discussion with the Southeast Advisory Committee, which
erves as the recommending body for the Housing Allowance Referral
ontracts, because of the Newbill Construction Company's previous
ommitments and contracts that they have just started, it was felt
hat they would not be the best bidder in this particular instance.
e believed the Commission had expressed the desire to see exactly
hat Newbill's performance would be, prior to any additional contracts
eing awarded to that firm. The agreement for the four contracts
hey have right now is that they are to complete one house within
en (10) days, at which time they then will receive the Notice to
roceed on the second house,, and so on until they finish the four
- 15 -
6. NEW BUSINESS (Cont'd
ontracts that they have been conditionally awarded. Owing to this,
e recommend Charles Brown Mainenance Service be awarded this Con -
ract Set #2, in total bid amount of $15,103.00, for the above - listed
6 contracts. Mr. Brown has worked in the E -6 Program successfully
or about 1-112 years. He has just recently obtained a bond and
his is his first time bidding on the Community Development Program.
e is a reliable contractor and has performed extremely well in the
ast with little or no dispute in the E -6 Project, and he was also
ble to come up with a performance bond for this Project, which is
equired.
resident Nimtz asked Mr. Butler if we would be in any difficulty
n not giving this to the low bidder, and Mr. Butler advised that
ere again, one of our goals is to get the work done as quickly as
e can to avoid the need to approve additional work due to delays.
t certainly is in line with that and always will be.
r. Wiggins said in view of the tract record and we are certainly
ustified, I move we award Contract Set #2, (Contracts 2/18 through
/53), to Charles Brown Maintenance Service, in total bid amount of
15,103.00, in the Southeast Community Development Elderly & Handi-
apped HAO Referral Program. Motion was seconded by Mr. Robinson
nd carried.
h. Montessori School of South Bend, Inc., Non - Profit Group: Commission
pproval was requested for the non - profit group fund allocation,
he Montessori School of South Bend, Inc., for rehabilitation of
property at 1605 South Leer Street, South Bend, per recommendation
f the Southeast Advisory Committee, in the Community Development
ousing Rehabilitation Assistance Program.
r. Brownell advised this house is directly across the street from
he Montessori School and they are asking for this grant to rehabi-
itate this house as a non - profit group. Mr. Crighton added the
ouse would be used for residential purposes only, and he believed
t would be for a director they will be hiring who will be living
here. Their primary interest is that the house is vacant now
nd are afraid the house may be demolished and they would rather
of have a vacant lot across the street. Since they do have an
pportunity and they do qualify -for assistance as a non - profit
roup for this rehabilitation program, and since their house is
djacent to the southeast neighborhood, they are very interested
n saving it. They do meet the requirements and they have agreed
-
o the various stipulations .involved. Our cost estimate, in fact,
as in excess of $6,000 and the group stated that they will invest
hatever funds are necessary of their own, along with our grant, to
ring the house up to code. The Charter the school has is a not -
or- profit corporation, and we have copies of their tax forms from
RS stating it as such.
Mr. Wiggins moved for the approval of authorizing the grant, in
a ount of $5,000.00, for the non- profit group fund alioca'tion,
r the Montessori School of South Bend, Inc., for rehabilitation
at 1605 South Leer Street, South Bend, in the Community Develop -
nt Housing Rehabilitation Assistance Program. Motion was seconded
b Mr. Cira and carried.
- 16 -
GRANT
AUTHORIZED
FOR NON-
PROFIT GROUP.
MONTESSORI
SCHOOL, CD
HOUSING
REHAB.
ASSISTANCE
PROGRAM
6. NEW BUSINESS (Cont'd
i. han a Order No. 2 to Rehabilitaton Contract SECD /PR CS-2 13.1 in CHANGE
,omrhuhity Develo ment'Housin Program: Commission approval was ORDER NO.2
equested of Change Order No. 2 to Rehabilitation Contract SECD/ TO REHAB.
R /CS -2/13, with the Fleming Masonry Construction Company, for CONTRACT
n increase in contract amount of $58.00, (Contract: $5,785.00), SECD /PR /CS-
r an amended contract total of $5,843.00, with contract time 2/13 APPROVED,
nchanged, for rehabilitation work at: 408 East Keasey Street, CD HOUSING
n the Community Development Housing Program. PROGRAM
r. Crighton advised the specifications called for the installa-
ion of a stainless steel sink and a 5` bathtub. While install -
ng the plumbing items, the plumber found the main trunk line to
he sewer clogged, and requested this change order to clean out
he drain.
r. Wiggins moved for the approval of Change Order No. 2 to
ehabilitation"Contract SECD /PR /CS- 2/1`3, for an increase in
ontract amount of $58.00, or an amended contract total of
5,843.00, with Fleming Masonry Construction Company, in Com
unity Development Housing Program. Motion was seconded by Mr.
obinson and carried.
j. Change Order No.'2 to Rehabilitation Contract SECD /PR CS =2/20, in CHANGE
ommunit Development Housing Program: Commission approval was ORDER NO. 2
equested of Change Order No. 2 to Rehabilitation Contract SECD / TO REHAB.
FR/CS-2/20, with the Fleming Masonry Construction Company, for CONTRACT
an increase in contract amount of $295.00, (Contract: $5,653.00), SECD /PR /CS-
lr an amended contract total of $5,948.00, with contract time 2/20 APPROVED,
nchanged, for rehabilitation work at: 310 East Dubail Street, CD HOUSING
in the Community Development Housing Program. PROGRAM
Mr. James L. Johnson, Jr., Chief Inspector, advised the speci-
fications called for covering the entire structure with 3 -in -1
seal-down asphalt shingles, and install metal edging, including
porches. The basement entrance door was conformed. While in
the process of inspecting the roof, they ran into a lack of
s eathing on the rear porch - -70 square feet- -that should be
r placed with new shingles. Also, the rear basement door since
tie inspection has deteriorated, so we are asking the Commission
f r a change order for the basement door, (exterior door, frame,
j mb, threshold, lite or peephole, cylindrical lockset, weather-
s ripping, and paint or stain and varnish two coats, using poly
-
u ethane varnish. Install an aluminum storm combination door),
a d sheathing for the rear porch.
C mmissioner Robinson asked if this is under our new policy or
if it is still existing under our old policy, between inspection
aid the actual beginning of work- -about a year or so? Mr. Crighton
a vised it is under the new policy. Mr. Johnson added it was a
r cent inspection.
- 17-
6. NEW OUSINESS (Cont'd
ommissioner Wiggins stated that they can't tell about the sheathing
rider the old roof until they actually start the roof, that's for
ure, and made the motion for the approval of Change Order No. 2
o Rehabilitation Contract SECD /PR /CS -2/20, for an increase in
ontract amount of $295.00, or an amended contract total of $5,948.00,
ith Fleming Masonry Construction Company, in the Community Develop-
ent Housing Program. Motion was seconded' -by Mr. Robinson and
arried.
7.
None.
8. NEXT COMMISSION MEETING NEXT
COMMISSION
The next regularly- scheduled meeting of the Redevelopment Commission MEETING,
will be Friday, August 6, 1976, at 10 :00 a.m., E.S.T., in the Offices 8 -6 -76
of the Department of Redevelopment.
9. ADJOURNMENT
There being no further business before the Commission, motion was duly
made for adjournment, at 11:08 a.m., by Mr. Wiggins, seconded by Mr.
Robin on and carried.
a ownell, Executive Director F. Jay Nimtz, President
(SEAL