HomeMy WebLinkAboutRM 09-17-76September 7, 1976
10:00 A. M.
Presiding fficer:
1. ROLL CALL
SOUTH BEND REDEVELOPMENT COMMISSION
REGULAR MEETING
Mr. F. Jay Nimtz,
President
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. A. Peter Donaldson, Secretary
Mr. Robert J. Cira, Assistant Secretary
Commissioner
Absent:
Legal (Counsel:
News *di a :
Mr. Lloyd E. Robinson, Sr., Member
Mr. Kevin J. Butler
Mr. George T. Patton
Ms. Jeanne Derbeck, South Bend Tribune Reporter
Mr. Stephen M. Highsmith, WJVA /WRBR Reporter
Mr. James L. Marchelewicz, WNDU -TV Reporter
Mr. Terry O'Reilly, WNDU -TV Photographer
Mr. Dan Caesar, WSBT -TV Reporter
Mr. Frank Vellner, WSBT -TV Photographer
Others Present: Mr. Carl Ellison, Assistant Director, Human Resources
& Economic Development
Mr. Gene Evans, Executive Secretary, Civic Planning Assn.
Community
Development
Mr.
Keith P.
Crighton
Staff:
LPA Staff:
Mr.
C. Wayne
Brownell Mr. Marc Brammer
Mr.
Helen S.
King Miss Pat Joers
Mr.
Edwin R.
Bauer Mr. James J. Rowan
2. APPROV8L OF MINUTES
On motion by Mr. Wiggins, seconded by Mr. Cira and carried, the MINUTES
Minute3 of Regular Meeting of September 3, 1976, were approved as APPROVED,
mailed with amendment thereto as requested: ITEM 6g
AMENDED
"Tie motion made to rescind the conditional award of Rehabili-
t tion Contract Nos. 11, 12 and 13, to Newbill Construction
C mpany, in the Southeast Community Development Housing
Program, should be changed, in all references in Item 6g,
Page 7, to read: 'Contract Nos. 11, 12 and 18,' per memo-
r ndum from Mr. Keith P. Crighton, Director, Bureau of Housing."
3. APPRO�AL OF CLAIMS
On motion by Mr. Wiggins, seconded by Mr. Cira and carried, the claims CLAIMS
were approved, as submitted, and were allowed and ordered to be paid -- APPROVED
totalling $70,973.66. The authorized claims are:
PROJECT TEMPORARY LOAN, R -57
Eddie ampbell - Refund Parcel No. 18 -7 $ 474.00
Amrie arris - Refund Parcel No. 16 -16 and 16 -17 20.00
Total 494.00
PROJECT EXPENDITURES ACCOUNT, INDIANA R -57
Abstract and Title Corporation
Abstract Ccmpany of St. Joseph County
Kevin J. Butler
Curley's Sales & Service
Stanlev Walczak
Total
PROJECT EXPENDITURES ACCOUNT. INDIANA R -66
Kevin 3. Butler
Colip 3ros. Electric, Inc.
Colip lectric, Incorporated
Redevelopment Revolving Fund - Transfer
Harry 1. Verkler, Inc.
Total
REDEVE(OPMENT REVOLVING FUND
11: August 21, 1976 to September 3, 1976
Amoco it Company
Amoco it Company
Credit Bureau of South Bend - Mishawaka
Intern tional Business Machines
James 1. Meehan
Model ities Program
Pence- ickens- Heeter, Inc.
Total
BUREAUJOF HOUSING E -7
Slatil Roofing & Sheet Metal Co., Rehabilitation Contract No. 16
Total
GRAND TOTAL
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$ 50.00
52.00
308.15
92.30
62.50
564.95
$ 790.14
7,002.68
563.69
51,398.50
293.41
$ 60,048.42
$ 5,163.52
10.99
70.20
5.00
279.36
2.36
1,984.06
3.80
7,519.29
$ 2,347.00
2,347.00
$ 70,973.66
4. CORRESPONDENCE
a. HUD
Area Office letter dated September 7, 1976: This letter is
COLFAX
f
om Mr. Stephen J. Havens, Director, Community Planning and De-
PIER /PARK
v
lopment Division, advising the final inspection of the Colfax
DREDGING
Pier
/Park.Dredging site made by Mr. Bassett of their office on
SITE WORK,
September
1, 1976, shows the work to be completed and acceptable,
COMPLETE &
subject
to the 24 -month General Guaranty cited in the General
ACCEPTED
Conditions.
BY HUD,
R -66
Also
stated was that they are pleased that the work has been
successfully
completed and that it will add its share to the
improvement
of the St. Joseph River in the project area.
b. HUD
Area Office letter dated September 8, 1976: This letter is
PLAZA PARK
also
from Mr. Stephen J. Havens, confirming Mr. C. Wayne Brownell's
SITE WORK,
co
versation with Mr. Bassett, who represented the HUD Indianapolis
INCOMPLETE,
Ara
Office at the final inspection held September 1, and they can-
R -66
not
find the work to be complete and acceptable on the Plaza Park
Co
tract at this time. The following items or actions will be re-
quired:
1) Submission of a final Change Order to establish the
total cost of the contract, based on final measure-
ments and unit costs.
2) Completion of punch -list items.
Mr.
Havens' letter stated no further inspection by their office will
be
necessary -- merely our verification that the items have been com-
pl
ted in accordance with the contract requirements.
Al
o, he suggested that, if funds are available, subsurface storm
drainage
be provided in the Jefferson Plaza area to collect surface
drainage
and conduct it to the river. In view of the problems,
which
the contractor apparently experienced during construction
with
regard to erosion of seeded and sodded areas, it is believed
that
destructive erosion will become a real problem when the re-
sp
nsibility for maintenance is transferred to the Park Department,
Zun
ess such storm drainage is installed in the immediate future.
Th letter also states the impact of this contract on the project
ar a is very favorable and will be a valuable asset for many years
to come.
On the recommendation for the drainage, Mr. Brownell advised he
wi 1 ask the engineer to submit a proposal and estimated cost,
an if the cost would not be too high that we can handle it.
c. Cii Engineer letter dated September 9, 1976: Mr. Brownell read PARCELS 2 -6A
this letter in its entirety from Mr. Rollin E. Farrand, P.E., & 2 -6B, R -66
Director of Public Works, to Mr. F. Jay Nimtz, President, Redevelop-
ment Commission, regarding disposition of Parcel No. 2 -6, in the
Central Downtown Urban Renewal Project, R -66, in which he stated he
ha reviewed the plat forwarded with his memorandum dated September
8, 1976. The disposition of Parcels 2 -6A and 2 -6B will not adversely
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r
4. CORRESPONDENCE (Cont'
a fect the proposed expansion of the Morris Civic Auditorium, and
t at the expansion can be adapted to conform with this proposed dis-
p sition.
his letter, Mr. Farrand advised because of the compatibility of
eir plans with our proposed disposition, he has no objections to
e Department of Redevelopment proceeding with these property sales.
President Nimtz advised that we had an inquiry concerning some of
the land on the old City Hall block which was discussed with the
Commissioners. We were concerned that there might be some future
plans for the expansion of the Morris Civic Auditorium, and that
in some of the meetings he attended recently, it was discussed
that they may desire to move back the west wall of the Morris
Civic Auditorium. He stated he didn't want anything we may do
here to interfere with any expansion plans they may have and had
directed Mr. Brownell to discuss this with Mr. Donald A. Dake,
wh3 is Chairman of the Advisory Committee for the Morris Civic
Au itorium; and he directed his letter to Mr. Farrand. We can
now proceed to establish our procedures for the disposition of
the parcels. Parcel No. 2 -6 is the real estate located and in
back of the Katz building, People's First Federal Savings & Loan
Association, and the Sonneborn's Sport Shop. This Parcel 2 -6 is
be ng divided into three parcels: 2 -6A, 2 -6B and 2 -6C. The Parcel
designated as 2 -6C is the piece of land we will hold and will be
la yid banked until the City or Morris Civic or someone else desires
to purchase it. This will allow for the Morris Civic to expand
th i r stage area.
A lengthy discussion ensued in which Mr. Brownell explained Morris
Civic had discussed this with him at least a year ago, and this
parcel was platted to allow Morris Civic to expand, as they need
more space for dressing rooms, dock space, and it involves the 14
ft. alley directly behind them. In order to either close the alley
or 'push' the alley over, whichever the City should decide to do,
it will come into Redevelopment land, and Morris Civic wants some
fo tage to expand.
Mr.
q ue
2 -6
he
and
spl
the
abi
sio
don
cri
The
the
Gene Evans, Executive Secretary, Civic Planning Association,
stioned if the Morris Civic does not use the parcel designated
the only access to that piece of land is the alley, and that
is concerned about the planning, as you cannot operate a business
ask customers to come into the business off of an alley. By
itting that land, we are actually reducing the marketability of
remaining parcels. We definitely need to keep in mind the market -
lity of any land that we may or may not be selling. The Commis -
iers agreed with the statements. President Nimtz stated, if we
't allow for the expansion, he believes we would be severely
:icized. Mr. Brownell stated he wanted to make it clear that the
is Civic theatre people are definitely interested in expansion.
reason they can't carry out their plans is that they don't have
money at this time.
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4. CORRE$PONDENCE (Cont'd
d. John G. Pence Associates, Inc., letter dated September 15, 1976:
Tr. Brownell read this letter in its entirety, in which Mr. Pence
stated he was asked to review his recent appraisals and make a
study of the market in Block 6 to determine whether or not the
values as submitted in his most recent Re -Use Appraisal would be
altered if the uses of a portion of the land were to be changed
sc that a motel could be constructed on a portion of it and hous-
ing for the elderly on another portion.
Mr. Pence has completed an analysis which will be submitted under
separate cover and which indicates that under current conditions
there is no reason to believe that there would be any change in
value due to this change in use.
Motion was made by Mr. Wiggins, seconded by Mr. Cira and carried, to
recei the above letters and that they be placed on file.
5. OLD BUSINESS
None.
6. NEW BUISINESS
a. Deilolition and Site Clearance Contract No. 39 -A, Project Indiana
R-56: Post approval was requested for the award of Demolition
anJ Site Clearance Contract No. 39 -A, to the low bidder, Ritschard
Br )s., Inc., in bid amount of $1,246.74, and the President and
Se retary be authorized to execute said Contract, subject to Legal
Co nsel approval, in the Central Downtown Urban Renewal Project
In Tana R -66.
Mr
s
co
co
th,
Brownell advised this is a small contract that involves the
:e clearance in the Block 6 area so that the Whitcomb and Keller
itractors could get the land ready for their building. We
ildn't wait for the time to execute a large contract to do the
ale site so we made the small contract. We got quotations from
•ee (3) contractors as follows:
Contractor Bid Amount
Ritschard Bros., Inc. $ 1,246.74
1204 West Sample Street
South Bend, IN 46621
Warner and Sons, Inc. 1,371.00
29099 U.S. 33 West
Elkhart, IN 46514
Harvey Jackson (doing business as) 1,499.00
Jackson Wrecking Co.
Route 4, Box 233A
Rochester, IN 46975
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BLOCK 6
RE -USE
APPRAISAL,.
R -66
POST APPROVAL,
CONTRACT 39 -A
AWARDED TO:
RITSCHARD
BROS., INC.,
R -66
6. NEW BWSINESS (Cont'd
. Brownell advised we have gone ahead with the award, the
ntractor has done the work, and we are now seeking Commission
proval at this meeting for the contract.
M tion was made by Mr. Wiggins, seconded by Mr. Cira and carried,
f r post approval to award Demolition and Site Clearance Contract
3 -A, to the low bidder, Ritschard Bros., Inc., in bid amount of
$ ,246.74, and the President and Secretary also authorized to
e ecute said Contract, subject to Legal Counsel approval, R -66.
b. Resolution No. 534 and Proclaimer Certificate No. 10, Project
I liana R -66: Commission approval was requested of the Reviewing
A praiser's Report of the Fair Re -Use Value for the eighteen (18)
disposition parcels in the Central Downtown area, Indiana Project
R-66.
Mr. Brownell advised we have the report from.the Reviewing Ap-
praiser, Real Estate Research Corporation, our consultants. Mr.
Nicholas C. Jannotta is Executive Vice President of the firm. He
is an M.A.I. and C.R.E., as is Mr. Joseph M. West, and both of
these appraisers reviewed the appraisals.
Resolution No. 534 approves the fair Re -Use Value of the land and
approves the Reviewing Appraiser's Report in the Downtown Urban
Area in Project Indiana R -66. The parcels are noted on Exhibit
"A" attached to the Resolution and made a part thereof, is esta-
blished as shown thereon and all documentation related to such
determination is contained in the Local Public Agency files.
Proclaimer Certificate No. 10, relative to establishment of Fair
Re Use Value, is also attached thereto, and authorization is re-
quested for the Executive Director to execute said Proclaimer.
Mr. Brownell requested adoption of Resolution No. 534, approving
the values on the attached Exhibit "A." This is a confidential
li t of the values that is not to be made public until later, as
al appraisals are confidential.
Mr. Dan Caesar, WSBT -TV Reporter, questioned why this information
ca not be released, as these are the Re -Use Appraisals; he is
aw re that the first appraisals are confidential. Mr. Brownell
ad ised these appraisals are submitted to HUD on a confidential
ba is and reviewed by them before we can release the information.
Generally, this will do just what we expected and told the public
be ore. The value of the land downtown was estimated approximately
at 5 Million Dollars and it has been reduced to just under 2 -1/2
Million Dollars for the 18 parcels that we own in the downtown
area. The Urgent Needs Funds we received for 2 -1/2 Million Dollars
makes up for this gap. Ms. Jeanne Derbeck, South Bend Tribune
Reporter, quipped: "So, in other words, it is half -price now."
Motion was made by Mr. Wiggins, seconded by Mr. Cira and carried,
fo the adoption of Resolution No. 534, and the Executive Director,
Mr C. Wayne Brownell, be authorized to execute Proclaimer Certifi-
ca a No. 10, with the attached Exhibit "A."
RESOLUTION
NO. 534
ADOPTED &
PROCLAIMER
CERTIFICATE
NO. 10
AUTHORIZED,
R-66
6. NEW BUSINESS lCont'd
Mr. Brownell stated he wanted to report at this time, and as ex-
plained prior to the Commission, that we were going to issue new
Notes, in the amount of $4,221,000 and we were going to pay the
Trustee $2,785,190 and that has been accomplished. They have now
refunded to us $1,045 which was the overpayment. That transaction
is now complete.
c. LaSalle
Park Urban Renewal Project Audit Contract, R -57: The
LASALLE
following
firms submitted proposals for
audit of the LaSalle Park
PARK AUDIT
Pr
ject, Indiana R -57, for period from
July 1, 1973 to October 31,
CONTRACT
1976:
AWARDED TO:
CROWE,
Company
Bid Proposal
CHIZEK & CO.,
R -57
Crowe, Chizek and Company
$ 1,500.00
Goodson - Tyler & Associates
3,000.00
Peat, Marwick, Mitchell & Company
5,000.00
Mr
Brownell advised the recommendation
is that the contract for
th
audit be awarded to the low bidder,
Crowe, Chizek and Company,
in
bid amount of $1,500.00.
Th recommended motion was made by Mr. Wiggins, seconded by Mr.
Ci a and carried, and the contract award is to go to Crowe,
Chizek and Company, in bid amount of $1,500.00, and the President
anJ Secretary be authorized to enter into contract, subject to
HU and Legal Counsel approval.
d. Change Order No. 1 to Contract No.
pr val was requested of Change Orde
wi h.Colip Electric, Incorporated,
R- 56.
Mr. Brownell advised Colip has had
bu they are the same contractor we
Pa k Project, Contract No. 3.
3, Project Indiana R -66: Ap-
r No. 1 to Contract No. 3,
Plaza Park, in Project Indiana
a change in the firm's name,
presently have for the Plaza
Mr. Brownell explained the items on the change order: The over-
runs on additional concrete in three bases for $180.05, and in
the rigid conduit for $582.40; and then there was an underrun of
$1026.14. So we are now asking for this change order to ener-
gize the three lights on the East Ramp by the bridge, at a cost
of $563.69, which will bring this contract out to exactly the
am unt that it was originally negotiated at: $32,394.80. In
of er words, Colip Electric has reduced the price of doing the
en rgizing work so that it will come out to the contract amount.
Mo
fo
Co
:ion was made by Mr. Wiggins, seconded by Mr. Cira and carried,
the approval of Change Order No. l to Contract No. 3, with
ip Electric, Incorporated, Plaza Park, as noted above.
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CHANGE
ORDER NO. 1
TO CONTRACT
NO. 3 AP-
PROVED, R -66
6. NEW BUSINESS (Cont'd
e. Resolution No. 532, Merry Avenue Project: This Resolution
authorizes the execution of Quit- Claim Deed for the transfer of
title in and to be disposed of in the Merry Avenue Project to the
Economic Development Corporation.
Mr. Brownell advised that we have been working under a contract
with the Model Cities people to do the work of acquiring the
property in the Merry Avenue Project_ We have completed that
work and we have title to all of the land and the alleys. Merry
Avenue has been vacated. There are one, two or three condemna
ti ns where we got the Clerk's Deed and paid the money into Court
where the matter is still pending to. determine whether or not we
will have to pay any additional funds. He stated he has apprised
Mr. Carl Ellison of that fact and that we will be glad to come
before the Commission for the authorization and to execute a
Quit-Claim Deed to the property, but we wanted him to know that
there might be some additional expenses that they may have to
pa us under the contract if the Court should find that we owe
any additional funds. The Chair asked Mr. Carl Ellison if he
hao any objections to that, and Mr. Ellison advised he had none.
Mr. Dan Caesar, WSBT -TV Reporter, asked if that involves approxi-
ma tely four acres and Mr. Brownell stated there are two pieces
of land involved here: One is the land that was deeded by the.
So th Shore Railroad to the City of South Bend, and by the City
of South Bend to the Economic Development Corporation; and the
of er is the piece of land that we acquired as the Merry Avenue
Pr ject which we will transfer to them. The parcel we have is
ap roximately six acres and Mr. Brownell advised he did not know
th size of the other parcel.
Mo ion was made by Mr. Wiggins, seconded by Mr. Cira and carried,
fo the adoption of Resolution No. 532.
f. Invitation for Bids, Demolition & Site Clearance Contract Nos.
39 and 39 -B, Project Indiana R -66: Mr. Brownell advised he
wanted to talk to the Commission about two,things that are not
on the Agenda: One is an invitation for bids on the large con-
tract to clean up Block 6, Demolition & Site Clearance Contract
No 39; and the other item is for a small contract which will be
for cleaning up some of the debris on Block 6 that we want to
get out of the way for the Bank to proceed, which will be Demoli-
tion & Site Clearance Contract No. 39 -B. We are getting quotations
on that right now and hope to have all of them in today.
Mr. Brownell said he is requesting a motion for Commission authori-
zation to advertize for the invitation for bids on the site clear-
ance and demolition in Block 6, on Demolition & Site Clearance
Co tract No. 39, Project Indiana R -66.
Mr.
car
Wiggins moved for the approval, seconded by Mr. Cira and
ied.
RESOLUTION
NO. 532
ADOPTED,
MERRY AVE.
PROJECT
DEMOLITION
& SITE CLEAR-
ANCE CONTRACT
NOS. 39 &
39 -B, R -66
6. NEW BUSINESS (Cont'd
g. Parcels
2 -6A and 2 -6B,
Central Downtown Urban Renewal Project.,
PUBLICATION
Indiana
R -66: Parcel
No. 2 -6 was discussed earlier, under
OF LEGAL
Rem
4c.
NOTICE TO
RECEIVE BID
Mr.
Brownell requested
Commission authorization to approve the
PROPOSALS
publication
of a Legal
Notice to receive bid proposals for the
APPROVED,
development
of Parcels
2 -6A and 2 -6B for Service Commercial Use.
PARCELS 2 -6A
& 2 -6B,
Motion
was made by Mr.
Cira, seconded by Mr. Wiggins and carried,
R -66
authorizing
the publication
of Legal Notice for bid proposals for
de
elopment of Parcels
2 -6A and 2 -6B of Parcel 2 -6 of the Downtown
Re
ewal Plan, Project
Indiana R -66.
7. NEXT COMMISSION MEETING
The net regularly - scheduled meeting of the Redevelopment Commission NEXT .
will be Friday, October 1, 1976, at 10:00 a.m., E.S.T., in the offices COMMISSION
of the Department of Redevelopment. MEETING,
10 -1 -76
I W IIID►MI"M
There eing no further business for discussion, motion was duly made ADJOURN -
for ad.ournment, at 10:30 a.m., by Mr. Cira, seconded by Mr. Wiggins MENT
and ca ried.
9. MEETING RECONVENED
Presid nt Nimtz advised he has a matter that we have been directed COMMISSION
to bri g to the Commission's attention, and we would like to reconvene MEETING
the me ting. RECONVENED
The Ch it directed the meeting be reconvened at 10:43 a.m., and to
let th record show that Commissioners Cira, Wiggins, Donaldson and
Nimtz re present. We have a quorum to proceed.
10. OTHER OUSINESS FOR DISCUSSION
a. Re olution No. 533
to be blighted and
er inaiana K -bi
n Renewal Plan.
_re-declaring the LaSalle Park Renewal Area RESOLUTION
re- approving an Urban Renewal Plan for Project NO. 533,
and for the making of certain changes to the R -57
Mr Brownell advised Mr. Kevin J. Butler, Commission Legal Counsel,
has Resolution No. 533 that we would like to present to the Com-
mission for consideration, which is to amend the acquisition list
to drop the parcels which we have deleted from the acquisition
list. We will have to go through an amendatory action which will
ne d to also be approved by the Area Plan Commission, City Council,
an MACOG. This will be the first Resolution on this action that
wi 1 be put through.
10. OTHQI BUSINESS FOR DISCUSSION (Cont'd
Mr. Brownell further explained the purpose of the Resolution is to
amend the "...application in behalf of the City of South Bend,
Department of Redevelopment, deleting from the acquisition list
of the LaSalle Park Urban Renewal Plan those acquisition parcels
not yet acquired, which are specifically enumerated on Attachment
'A' which is attached hereto and incorporated by reference herein,
and amending the Cost Estimate and Financing Plan and the Project
Expenditure Budget to reflect the decrease in expenditures caused
by this deletion is hereby approved and that the Executive Director
is hereby authorized and directed to execute and file such applica-
ti )n with the Department of Housing and Urban Development, to pro-
vile such additional information and to furnish such documents as
mat be required in behalf of this Department and to act as the
au horized correspondent of the City of South Bend, Department of
Re level opment."
Mo ion was made by Mr. Donaldson, seconded by Mr. Cira and carried,
fo the adoption of Resolution No. 533.
11. ADJOU
As th's concluded the business before the Commission, motion was duly
made for adjournment, at 10:50 a.m., by Mr. Cira, seconded by Mr.
Donal son and carried.
.-,�g yne,�owne i i , Executive uirec .,_ r'. jay Nirktz,
(SEAT )
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ADJOURNMENT