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HomeMy WebLinkAboutRM 02-04-77SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING February 4, 1977 10:50 a.m. Presiding Officer: Donald A. Wiggins, Vice President 1. ROLL Commissioners Present Leqal Counsel News Medi Others Priesent Communit 1200 County -City Building 217 West Jefferson Blvd. South Bend, Indiana 46601 Mr. Donald A. Wiggins, Vice President Mr. A. Peter Donaldson, Secretary Mr. Lloyd E. Robinson, Sr., Member Mr. Kevin J. Butler Mr. Edward Chapleau Mr. George Patton Ms. Jeanne Derbeck, South Bend Tribune Reporter Note: Also in attendance, but obliged to leave before commencement of the meeting, were: Mr. Scott Brink, WNDU Photographer Mr. Dick Nemeth, WNDU Photographer's Assistant Mr. Terry O'Reilly, WNDU Reporter Ms. Karen Gleason, Exec. Dir., South Bend Civic Planning Association Mr. Bill Slabaugh, City Engineer's Office Development Staff Mr. Mr. Mr. Mr. Mr. LPA Staff Mr. Ms. Mr. Ms. Ms. 2. APPROVALIOF MINUTES Keith Crighton John Davis J. Johnson Richard Pfeifer Kenneth Schaller C. Wayne Brownell Gertrude Barth Marc Brammer Pat Lodyga Susan Ragland On motion by Mr. Donaldson, seconded by Mr. Robinson and carried, the MINUTES OF Minutes f the Regular Meeting of January 21, 1977 were approved as 1 -21 -77 mailed. APPROVED 3. APPROVAL IOF CLAIMS On motio by Mr. Robinson, seconded by Mr. Donaldson and carried, the CLAIMS claims w re approved, as submitted, and were allowed and ordered to be APPROVED paid . . . totalling $52,078.35. REDEVELOOMENT DISTRICT CAPITAL Abstract Co. of St. Joseph County, Inc. Abstract Co. of St. Joseph County, Inc. South Be d Exterminating Co. PROJECT q XPENDITURES ACCOUNT, INDIANA R46 $ 25.00 25.00 30.00 Total $ 80.00 Kevin J. Butler Robert F egley Landscape Design & Contracting, Inc. Indiana Michigan Electric Co. G.R. Nun maker Construction Ritschard Brothers, Inc. George A Wing Nautilus Contruction Co., Inc. South Bend Exterminating Co. Edward A Chapleau REDEVELOPMENT REVOLVING FUND Payroll: 1 -15 -77 to 1 -28 -77 The Bobbs Merrill Co., Inc. Business Communication Center Kevin J. Butler Credit Bureau of South Bend - Mishawaka Jack's Conoco Service Postmaster Stan and Ted's Lawnmower Shop Jetstart Graphic Corp. NEIGHBOR$OOD DEVELOPMENT PROGRAM, E -7 Acme Pest Control -2- Total $ 999.55 3,344.11 7.23 1,996.00 38,292.49 1,250.00 1,122.48 30.00 568.00 $47,609.86 $ 3,816.95 65.17 50.65 200.00 5.00 24.15 7.36 15.84 188.37 Total $ 4,373.49 $ 15.00 Total $ 15.00 GRAND TOTAL $52,078.35 4. COMMUNICATIONS a. Letter dated February 1, 1977, signed by E. J. Sowala, Superinten- COLIP CORP. dent, Colip Electric Corporation, re Plaza Park Fixture Damage which LETTER RE occurred during the week of J01Y 26, 1976. Mr. Brownell read this PLAZA PARK letter regarding their claim for repair of damaged light fixtures FIXTURE in Plaza Park, in the amount of $262.10. DAMAGE Mr. rownell: The way we understand it, this damage occurred on July 26, 1976 and, obviously, we would not._have paid them the contract priCE if they had not been replaced and fixed. We paid them on September 26, 1976 as we felt that this was damage that was done duri g the time the contractor was doing his work, that there was no claim for additional money against us; so we paid him the contract price. I talked to Mr. Butler this morning about this and he sug- gest d we might write them a letter along these lines and get their repl. . Mr. Robinson moved that C. Wayne Brownell be instructed to write a letter in line with the opinion of our attorney to deal with this matter. Motion was seconded by Mr. Donaldson, and carried. b. HUD Regional Office letter of January 26, 1977, signed by Thomas P. HUD LETTER O'Malley, Attorney re Elderly Hi -Rise, FHA Project No. RE ELDERLY 073-1 5217, South Bend, Indiana. Mr. Brownell read Mr. O'Malley's HI- RISE,- lett r in its entirety. FHA PROJECT 073 -35217 Mr. Brownell: This is in reference to the twelve story elderly housing building they plan to put on Block 6. Since I have re- ceiv d this letter, I have also received another letter from the same man, with a different set of suggestions. It is a short let- ter caying that we would have to amend the following phrase in our ontract for disposition: rovided, that if a mortgage securing money loaned to finance t e Improvements, or any part thereof, is insured by the Secre- t ry of Housing and Urban Development, then the aforesaid com- p etion time shall not apply, but instead the construction of t e Improvements, or any part thereof, shall be completed with - i the time specified in the applicable Building Loan Agreement a proved by the Secretary of Housinq and Urban Development." This letter also provides an assignment and an assignment acceptance as w ll as a consent to an approval of,the consignment of the con- traci by this department. I have talked to Mr. Butler about this matt Er this morning and he suggests that we take no action at this momer t. Mr. E taki i the c tion utler: Until we talk to Mr. O'.Malley, the action that we were g under item 6(b) here was (approval of) a resolution authorizing eed of the property to St. Joseph River Bend Development Corpora - which conflicts with the O'Malley request. -3- ram N COMMUNICATIONS b. Continued In response to a suggestion by the Chair, Mr. Donaldson moved that the 'letter from Mr. O'Malley be received and placed on file. Motion was teconded by Mr. Robinson and carried. c. S. M Dix letter dated January 31, 1977, concerning proposed meeting on February 9 with attorneys on the "Philadelphia" claim and possible meeting the same date with Indiana Bell Telephone officials concernin thei relocation claim. Mr. Brownell indicated he had just talked to Mr. William C. Banta, Vice President of S.M. Dix on the telephone and he said they will be here at 9 :00 a.m, on February 9 to meet with our attorneys. On question by Ms. Derbeck as to "who is S. M. Dix ? ", Mr. Brownell explained that S. M. Dix is a manufacturing and marketing consultants (firm) who estimate costs of moving expense on business relocation and then do all the fixture inventories, etc. A motion to receive the S. M. Dix letter of January 31, 1977 and plac( it on file was made by Mr. Robinson, seconded by fir. Donaldson, and carried. OLD BUSINESS no old business. There was NEW BUSIPIESS authorization to approve payment in full under Plaza Park a. Commission Contract for park railing, to G. R. Nunemaker Construction Co. and acknowledge receipt of executed Certificate of Completion dated February 2, 1977, contract amount of .:11996.00. The hair: According to Bill Slabaugh, the work is completed -- it has been checked and everything is satisfactory and the voucher to p y Nunemaker was in with the claims this morning. Mr. Donaldson moved to approve payment and Mr. Robinson seconded the motion. PIr. Brownell then asked that the Commission authorize signature of the Froject Completion Affidavit which has been signed by Pat McMahon of t e Engineering Department and by Mr. Nunemaker and Mr. Leszcynski, the Issistant City Engineer. Motion was re- stated by Mr. Donaldson to approve payment of the vouch( to N nemaker Construction Company and authorize signature by the Com- mission on the Project Completion Affidavit. Motion was seconded by Mr. Fobinson and motion carried. -4- r FEB. 9 MEETING OF S. M DIX AND REDEV. ATTORNEYS RE PHILADELPHIA AND INDIANA BELL CLAIMS NO OLD BUSINESS APPROVE PAYMENT TO NUNEMAKER RE PLAZA PARK RAILING & AUTHORIZE SIGNATURE ON PROJECT COMPLETION AFFIDAVIT 6. NEW a c. BUSIPIESS authorization to approve Resolution 540, authorizing Commission the execution of Redevelopment Agreement for the Disposition of Land and the execution of Quit Claim Deed for the transfer of title they to in connection with land to be disposed of in the downtown prof ct Indiana R -66, Parcel 6 =1E and 6 =1F to St. Joseph River Bend Develo ment Corporation. hair: In light of the action taken on 4(b), suggestion is made The that we table item 6(b). Mr. Donaldson so moved with second by Mr. Robinson. Motion carried. Change Order No. 1 to Plaza Park Contract 2, Lawson - Fischer Asso- ciates in the amount of .270. For Foegley Landscaping for black dirt nd see - nq during very rainy weather an erosion prevention e- aFsure. This Change Order ,produces a total adjusted contract price ,593.75. C. Wayne Brownell read this in Its entirety. This Change Order for Foegley Landscaping has been Mr. Brownell: approved by Lawson- Fischer Associates, who were the engineers on the job. This is a matter of putting in sod to prevent soil erosion because they had a lot of rain at that time and it was requested by the o ner. This is actually Bill Slabaugh's suggestion to them, asking them to put in in, which we approved orally at that time. The C air: Yes, I personally went down and took a look at this and shot i series of pictures of the erosion of the bank which was prett, serio s. I did some hollering at the time, and this is the result - they ouldn't hold it with seeding so they sodded it. '9r. Wiggins was asked if he had seen it since and he said he had, though not lately. He saw it after they sodded it. He said he had iot made a close inspection, but was concerned about the fact that the erosion had created some qulleys and he wanted those patched JP. The only way they could hold it was with sod -- so, it should )e al right. Ir. Brownell: I wanted to report further that with this change order this is included in (if you approve it) the contract price of this :ontr ct, which is up for your approval for payment today. Ir. R`binson: It's no extra money? 9r. Brownell: Yes, $270.00 for the sod, that is included in the :laim. 1r. Robinson moved to approve Change Order No. l to Plaza Park Co n- :ract 2 in the amount of $270.. . and to approve payment to Foegley L capin of $26,593.75, payment in full under the above named contract !otion was seconded by Mr. Donaldson and carried. -.5- and -- TABLE AUTHORIZATION TO APPROVE RES. 540 APPROVAL OF CHANCE ORDER NO. 1 TO PLAZA PARK CONTRACT NO. 2 FOR $270 AND PAYMENT IN FULL OF THIS CONTRACT $26,593.75 R NEW BUSINESS d. Chan Order No. 2 to Contract NWCD /PR /CS -1/04 for increase in con- work at 612 APPROVAL OF CHANGE tract rice of $154.00 to cover additional electrical . for an amended contract ORDER NO. T.—Walnut Street, Lee of 3,361.00. Watson, owner . . Mr. Brownell read the items covered under the CONTRACT amoun Change Order, as follows: NWCD /PR /CS- Elec rical - Install a service drop to meter (1) plug 84.00 35.00 1/04 AT 612 N. WALNUT Electrical Electrical - Kitchen - - Basement Install grounded - Install (1) grounded plug 35.00 Total $ 154.00 The Chair asked Mr. Robinson (as the resident expert) if the prices are fai r. Mr. Robinson: The prices are all right, I just have a question. Was electrical work supposedly done before we got this change orde 1he ? Mr. Brownell: Actually, we really don't know how this work got done. It was done and this showed up when the inspection was made. The service was not put in by us and these things were needed to bring that 100 amp. service up to code. The hair: It looks like somebody did some bootlegging and they had to fix it. Mr. Robinson moved that the Change Order be allowed, Mr. Donaldson seconded and the motion carried. e. Change Order No. 1 to Contract SECD /PR /CS -2/19 for a net increase of APPROVAL T-54.00, as the result of deletions of .490.00 and additions of OF CHANGE $544.00. Homeowner has requested deletion of several items so she ORDER NO. may ave eight feet (8') additional cabinets in her kitchen. This 1 TO CON - Change Order has been recommended for approval by the Chief In- TRACT spe tor, Mr. James L. Johnson, Jr., of southeast Community Develop- SECD /PR /CS- men Project. Dwelling location: 409 E. Paris Street. 2/19 AT 409 E. PARIS Mr. Brownell: What the lady wants to do is have these kitchen cabi- nets and kitchen window and eliminate a basement handrail, a kitchen door, and bedroom work as follows: secure loose board; replace 3 square feet of subfloor in southwest corner; replace regular floor and paint two coats; and paint bedroom walls and ceiling. She wants to qliminate those items so she can have her kitchen cabinets. The Mr. Chair: Does she propose to do these items in some other manner? Brownell: I can't answer that. 102 6. NEW BUSINESS e. Conti ued Mr. J hnson: No. The C air: As I recall, the housing program, this is what this is connected with, isn't it? To qualify for the housing allowance pro- gram? Mr. Brownell: No, this is just part of the rehabilitation. The air: The handrail thing is part of their requirements . . . Mr. Brownell: These people were very much upset that they weren't goin., to get this kitchen fixed that the lady wanted. Her daughter called me and I explained to her that the only way they could get something more was to eliminate something, because you can't in- crease the contract. The hair: So they want to do a trade off? Mr. Brownell: That's what they want to do. Mr. Donaldson: I am concerned more or less about the price on this deletion, $100 to secure loose boards. Isn't that quite a bit of money just to secure loose boards? Mr. rownell: It says in here "do:not' damage linoleum;" I take it they had to take up the linoleum to get at it, is that right? Mr. ohnson: In one room, yes. Mr. Brownell: Are these the amounts that were on the contract? They deleted the amounts that were on the contract, Pete. I agree with you. Mr. onaldson: My concern is with the price. Mr. rownell: They were going to secure one and replace sub floor and egular floor and paint two coats. The hair: What is your pleasure on this? Motion was made by Mr. Donaldson, seconded by Mr. Robinson and carried, to approve Change Order No. 1 to Contract SECD /PR /CS -2/19 for a net increase of $54.00, amended contract price -- $7,999.00. -7- 6. NEW BUSIlUSS f. Chan_,,e Order No. 1 to Contract SECD /PR /CS -5/39 for a net decrease of $85.00, amended contract .price of 4,481,00. This decrease is the result of the deletion of a proposed new water heater and the addition of a new front door, Change Order recommended for approval by the Chief Inspector of Southeast Development Project, Mr. James John on - dwelling location: 606 E. Dayton. Comm nt was made that there is seldom any trouble with a reduction in c ntract. Motion was made to approve Change Order No. 1 to Contract SECD /PR/ CS-5/39, for a net decrease of $85.00, amended contract price of $4,481.00 by �`,'r. Robinson. Mr. Donaldson seconded the motion and it carried. �?. Change Order No. 1 to Contract SECD /PR /CS -5/40 for increase in con- tract rice of 986.00 for an amended contract total of 7199.00. This Change Order represents the addition of front and rear door replacements as well as installation of an aluminum storm combina- tion door, installation of marlite on bathroom walls and ceiling the on bathroom ceiling. Approval of Change Order requested by t1r. Johnson, Chief Inspector for Southeast Development Project . 1151 S. Carroll. Mr. Robinson: Has the work been done yet? Mr, Johnson: No, these items were conformed on.the original speci- fica ion, and we are not sure exactly how that happened, but they should have been included. Because generally, the only roomps that we are able to work in, under our new guidelines, is the kitchen and the bathroom and we hardly touch any other room in the house. Mr. obinson: What concerns me is this type of project not only had to hive the approval of this board, but it also had to have the appr val of the council of the City of South Bend, and now we are Budd nl y jacking it up another thousand dollars. I am beginning to wood r. . . some place along the line, I would think someone would have to sacrifice or else they are going to have to be more realistic when they make these proposals. Mr. ohnson: We are trying a new method, which will give me, as Chief Insp ctor, an opportunity to go out to the structure before it is bid, so t at, hopefully, we can keep down these types of change orders in the future. From now on, before all bids are let, I will personally have gone through them myself, and, hopefully, we will alleviate some of these items. The marl ;hair: Is it standard practice to cover bathroom walls with to ? APPROVAL OF CHANCE ORDER 1 TO CONTRACT SECD /PR /CS- 5-39 AT 606 E. DAYTON FOR DECREASE OF $85.00 APPROVAL OF CHANGE ORDER 1 TO CONTRACT SECD /PR /CS- 5/40 AT 1151 S. CARROLL FOR INCREASE IN CONTRACT PRICE OF 1986.00 6. NEW BUSI g. Continued Mr. ohnson: No, we find it is about the cheapest thing we can do. We c n dry wall them, but most contractors say it is better to do some type of panelling or marlite because it is easier for them to buy End it's easier for installation. It lasts a lot longer than dry wall would, and then you have to paint and sand it . . . The hair: There are an awful lot of houses in this town with dry wall bathrooms, and they have lasted for ,years. Mr. Johnson: But the charge is about the same now. The hair: It just seems a little out of place really -- that we are goin into a long -term type of fix on a building that is not all that good And the rest of it . . the building will fall down and the bath oom walls will look great. Mr. obinson: Is there any way there can be any costs cut in this orig nal venture that they got into on rehab with this house? The hair: What else is involved in this thing . . for $7,199.00? They have a thousand dollars worth here, what does the other $6,0 0 buy? Mr, ohnson: I have the specs here. Normally, the amount of work to be done is very small on most of these. By the time we do a roof, electrical, heating and plumbing, we are in the area of $7,000 to $8,000 and we haven't touched the house cosmetically. So, I will read to you what we have done, but it won't sound like much. We replaced one door that I can recall, and some work done on the electrical system. Most of the money was spent in the kitchen. We are finding that the contractors who are bidding on these contracts are bidding $1,500 to $2,000 over our cost estimates at this point. Mr. utler: J.J., on the Change Orders, are you finding more reas nable, or lower "per item" prices than you are on the original bids Mr. Johnson: Not really, our cost estimate on this was $901.00. Mr. 0ohnson then read the line items of the specs and their respective amounts. The hair: Any plumbing or roof work in that? Mr. ohnson. No. I am still reading, there is more. Now in the bath oom. . . Mr. abou they 2obinson: Let me ask a question. Do you have any nuts and bolts t that cost item on the electrical work for $1,200.00? What did do, re -wire the entire house? &fls 6. NEW BUSINESS g. Continued Mr. ohnson: We don't have the power to negotiate the itemized pric s with the contractor. We accept the lowest bidder. This is to s y, their line item price can exceed ours by $100 to $200. Mr. 4obinson: All this other work has been done then? Mr. ohnson: They are in the process of doing the work, yes. It is unde way. The hair: Does Slatile do the plumbing and electrical work? Mr. ohnson: They subcontract it. We do find it i.n the body of�the contract, you can see the difference between the sub prices and the overhead that the general is paying. Mr. �obinson: Let me ask one more question. Does the council have to a prove this added increase too? Mr. rownell: They don't take it back to the council after it leaves here It has already been approved as being over $5,000. Mr. utler: If we have something like $4,500,that is not approved by t e council initially. If we get a change order that takes it over $5,000, then it has to go back to the council. Mr. rownell: You don't take change orders back to the council, once the council has approved it. Motion was made by Mr. Robinson and seconded (reluctantly) by Mr. Dona dson, to approve Change Order No. 1 to Contract SECD /PR /CS- 5/40 for a net increase in contract price of $986.00 for an amended contract total of $7,199.00. Motion carried. Mr. �obinson stated that he hoped the new policy would work out bett r than this item. The hair: As a matter of overall policy, it seems to me that there is a limited amount of money to do this kind of work, and a lot of home in this community that need work done on them. I would hate to s e us going past what would be a reasonable and almost minimum kind of approach on this thing, so that as many of the homes as possible can be handled under the amount of money we have to spend. It w uld seem to me that it would be something of a neglect of our resp nsibility if we were to wind up with a few people having better than average places out of this, and a lot of people sitting there "han ing" with nothing. -10- 6. NEW BUSINESS g. Contilnued Mr. ohnson: We already have cut back. We used to try to get storm windows throughout the structure, and now we are finding we can only put them in the kitchen and bathroom, So we are trying to cut down, but as we cut down, prices are rising. The hair: Well, rather than'go the Cadillac route, we better start thinling about the Toyota . Mr. ohnson: We will have the cost estimators look into further re- sear h on material used for the walls. Maybe we can come up with something better than Marlite. The last time we checked it, they said it was just as cheap (as dry wall), but we will look again. The hair: They may tell you that, but by golly, there is a world of Jiff rence in material costs. Mr. �rownell: I think the problem is the cost of labor. Mr. Butler: I think you commented on this some time ago, but, would it create too many problems to break these contracts down per home -- so that we are not getting into the sub - contracting? In other.words, if WE, have electrical work, we would simply take bids from electrical contractors on these? Mr. righton: Ken and I have been working on that for six months or a year and the problem essentially is one of bonding. Say we put together maybe six houses and put just the electrical work on one contract; just the plumbing on another contract; and the carpentry and miscellaneous work on another. We would theoretically have three or four contracts for a group of five or six houses. The problem is the sub-contractors are unable to get bond -- performance bonds -- for this work, because their capital isn't that large and they don't have enough assets to liquidate . . . Mr. Butler: Would it be possible to net some of the larger specialty contractors? Mr. righton: That's one aspect. The other is, we are trying to see what we can do about getting the bond requirements down. I have re ques ed some assistance from the Controller':s office and the City Atto ney, in terms of information only, on what we can do about it. I ho )e to get an answer sometime within the next month. You realize it is a problem. We are losing contractors because the bonding re- quirements are going up, and it's not because the smaller contractors are iiot complying, but the larger contractors (on a nationwide aspect) are not complying with many contracts. So the bonding companies have to raise their rates and raise their requirements. -11- 6. NEW BUSINESS g. Continued Mr. utler: Or simply refuse to issue bonds on contractors in a cert in category. The hair: Let me recommend a whole new idea that you might explore. We had some problems in the LaSalle Park area, as you are well aware, and when we finally were done with it, we had a batch of contract deficiencies with "evaporated" contractors. In essence, this depart- ment became its own contractor and hired a guy who went out and did what had to be done in each one of these things to bring them up to whero they were satisfactory to both us and the property owner. I wond r if there would be any possibility of the city in some manner beco ing "the" general contractor. Mr. righton: That more or less ties in with what Kevin was saying -- that we would act as the general and sub out the various categorical form of work. The hair: If the general contractor under the current terms provides the bonding and the City becomes the general contractor, why could they not then be in effect doing the same thing that is being done now? Mr ' righton: That is one of the questions I asked the City Attorney and ontroller. "Is it possible for the City to act as the general cont actor and bond the work ?" The hair: Because it seems to me you are doing a lot of the super- visory work that the contractor ought to be doing -- and that we are paying the contractor to do. -- and that we are paying double here. If you are going to do it anyway, we ought to be able to save the contractor's fee . . . or profit. Mr. righton: That seems to be the way we may have to go. We want to keep away from hiring technicians or mechanics as City employees. We don't want to do that because there are a number of statutory problems. But to act as a general contractor and hiring subs, there is a good possibility -that can be done. It's a matter of getting the mech nics worked out. The hair: I would appreciate it if you would look into the idea. Mr. righton: I hope, as I said, to have an answer in a month. I will then report back to the Commission on that. The hair: It looks. like it may have some possibilities. Mr. Robinson: Keith, approximately how many of these rehab homes . what is the percentage that you do rehab from all the requests that you have. You certainly aren't able to fix up a person's home when the need arises, just because they make a request, are you? -12 6. NEW BUSINESS 9. h. Continued Mr. Crighton. No, they have to qualify -- to meet the guidelines, etc. Mr. Robinson: That percentage of these requests does this group take care of? Mr. Crichton: Keeping in mind that our programs are all concentrated in areas of low to moderate incomes under the Community Development Regulations, we are approving, I would say, between 65% and 70% of all people who request assistance. This is from all projects. The remain- der either have an income that is too high, or they have an adequate income to make repairs to their home . . for any number of reasons they do not qualify, or they are renters, for instance. The primary thin is that we are reaching at least 70% of those people who do live in t ese areas. The new development of Community Development is to concentrate not only in areas that are severely blighted, but in areas that could go either way, transitional areas. The idea being the City is receiving less Community Development funds year after year so the City has to concentrate in areas that will cost less money per house. This is what the planning department is trying to do. I don't imagine the regulations will change any, but I imagine the per- cent ge of approval will remain approximately the same. Mr. rownell: In the last meeting we approved seven and rejected seve . Chan (e Order No. 1 to Contract SECD /PR /CS -5/38 for increase in APPROVAL OF contract amount of $719.00 . for an amended contract total of CHANGE ORDER 7,9 3.00. This Change Order covers installation of underlayment 1, CONTRACT and lile in the living room, two aluminum storm combination windows SECD /PR /CS- on t o (2) north windows in the living room, installation of under - 5 -38 FOR laym nt and tile in the dining room, installation of door jamb and CONTRACT casi g plus paint or stain and varnish two coats, repairs to bath- TOTAL OF room floor and replacement of cap on tub trap. Approval of Change $7,943.00 Order recommended by Mr. Johnson, Chief Inspector for Southeast AT 1312 Development Project. Dwelling location: 1312 Marietta Street. MARIETTA ST. Mr. How long was it between the initial inspection and when Jobinson: you came back and decided this extra work needed to be done? [1r. �johnson: Approximately four months. They were revised the end of the summer, somewhere between August and September. The chair: Here are two rooms that required underlayment. Mr. Johnson: Under normal circumstances, we would not have in- cluded those two rooms. This house is a little.below normal. Under normal circumstances, unless a floor is completely deteriorated in another part of the house, we won't touch it. except in the kitchens and bathrooms. This particular house . we have had a major problem. Actually, they had to wait several months so they coul clean up the debris around the house so they could participate in o r program. -13- 6. NEW BUSINESS h. Continued Mr. obinson: In other words, originally, there was some negligence on t e inspection tour, the first time around, or something, in order for ill of a sudden four months later -- the floor certainly didn't dete iorate in that short a period of time to that degree, so therq had to be negligence someplace. The hair: I think you have to bear in mind in any of these circum- stances, that the occupants of the houses are not all that well versed in how to maintain property, and there is an accelerated rate of dete ioration. Mr. righton: As far as. the adding, for instance, the floor in this unit I'm not too sure it's a question of negligence as it is that on t e original bid we were trying to keep the price as low as possible. When we find the bid is coming in at a relatively low amount, we will want to add something to it., Or, if it becomes absolutely necessary to a d something to it, I think is:what brought about'this Change'Order. J.J. says that floor is in really bad condition. We are trying to corr ct all major violations. The hair: A lot of these older homes in that area, and in many other area for that matter, they did not install sub flooring, then hard- wood flooring on top of it. Many of them are just a single floor oper tion. The thing I always wonder about this is, I can under - stan putting a 3/8" underlayment, although I think most of the arch tects' minimum specs call for 5/8 ", what kind of shape are the floo joists in? Mr. ohnson: This house is on a slab. There is some crawl space under the bathroom where we had to replace some of the sub floor. The rest of it should be on a slab. The hair: Then you are putting a 3/8" underlayment on top of the slab? Mr. ohnson: There must be some sub floor on top of it. I have not look Ed underneath the floor. They hadn't taken it up when they gave us t e bid. So, we look at the condition from the top of it and the ontractor gives us an estimate of what he is going to do. Ile has indicated for some reason they do need underlayment in this in- stan e. The hair: It's a good deal. He can put his tile down a lot easier on a smooth sheet of underlay and collect the price for putting the underlayment down. Mr . and get ohnson. Then they have to guarantee these things for a year, hell have a lot of trouble with tile popping up ff they don't t down there securely, but a slab should do in most cases. -14- 6. NEIi! BUSINESS h. Continued Mr. Robinson: At the same time, when the original contract price, if all this had been added into the original cost, there might have been a realm of possibility that it would not have been approved. The house might not have been "rehabbed" to start with. Mr. rig!hton: That is why we cut it down originally. !r. ohnson: We have to hold our contracts a thousand or two thousand dollars under what we expect the contractors to bid. Mr. righton: ij,!e are advertising bids now, an average, I think, of 2.5 times; because the cost is too high when it comes back. This, obviously, costs us a lot of man- hours, and we are duplicating our- selves administratively. When you have to advertise that many times in the hope of getting a decent bid, every time we go back to re- advertise, we have to cut the specs down again. The hair: Yes, but it's kind of a . . . deal, when you cut it down in order to get it passed, then come back at a later date with a change order and put it all back in. The left hand doesn't know what the right hand is doing. Mr. Brownell: I don't think it's quite that. We have a limit, or we did have a limit of $8,000.00. They try to cut the specs down to where the bid will come in within the $8,000.00, and then when they find it comes down quite a little bit under that, they say, "well, here's some things we shouldn't have taken off that should be fixed." The hair: They are still under the $8,000.00 limitation, including the chance. Mr. Brownell: Now it has gone up to $9,000.00. Mr. Donaldson: When did that change when did they make that change? Mr. righton: I think in September. Mr. Brownell: Yes, we were there that night. The hair: You have heard the evidence, gentlemen. ►.What is the verdict? Motion was made by Mr. Donaldson, seconded (reluctantly) by Mr. Robinson, and carried, to approve Change Order No. 1 to Contract SECD PR /CS -5/38 for an increase in contract amount of $719.00, for an amended contract total of $7,943.00. -15- 7. PRO( a. L c. d. 'TRESS REPORTS Exec tion of Contract for Sale of Land, Ind. R -66, Parcel 2 -6B to C arles F. Sonneborn and Catherine E. Sonneborn, individuals, bit e Redevelopment Commission. yne Brownell reported that this contract has been received C. !4 from Texas, where the Sonneborns are vacationing. Fina payment to nautilus Construction Co. in the amount of $1122.4 for Plaza Park Contract being presented today for approval under C. Wayne Brownell explained that claim for final payment to Nautilus Cons ruction on the Plaza Park Contract, that this is the money tha was left over after we settled with the lumber company. Rec?u )st from St. Joseph River Bend Development Corporation that the Dena tment of Redevelopment be a party to easement grant in B lock 6 was abled since the November 19th meeting, pending review and approval by legal counsel and the Department of Engineering, City of S uth Bend. Mr. Butler has rendered a legal opinion and recom- mendation for grant in joinder and Mr. Slabaugh has been requested to review this matter with Mr. McMahon. Mr. Brownell referred to the earlier discussion regarding the ease- ment in Block 6 and indicated that we are waiting for a written re- port from the City Engineer and the President of the Board of Works as t suggestions, before we submit it to the Commission for signa- ture Mr. Slabaugh indicated he would brine back a written review from Pat McMahon. The hair: Will it then be necessary to negotiate this easement in the form that we desire with the I &M? Mr. Butler: In the event that our City Engineering Department make! that kind of a request, I think that we can anticipate they will want us to. Mr. rownell: I think primarily what they are interested in is thai ther be no overhead wires, and that they agree to take care of any If t ey dig up -- they put it back in the condition that they found it i . f1onthly Reports: E -6, Northwest and Northeast Housing, Programs Jan ar . John Davis yne Brownell read the progress report from Mr. Davis. There C. We are our remaining structures to be completed in the E -6 Code En- forc ment Area. During the month of January, 1977, a total of $9,40.00 was expended as follows: harles Brown Maintenance Service $ 3,848.00 ack Powell Construction Co. $ 5,601.00 Therc were five final inspections under rehabilitation in the North- west area. -16- EXECUTION OF CONTRACT FOR SALE OF LAND TO SONNEBORNS PARCEL 2 -6B FINAL PAYMENT TO NAUTILUS OF $1122.48 JOINDER IN EASEMENT BLOCK 6 REPORT ON N.W. & N. E. HOUSING PROGRAMS 7. PROGRESSIREPORTS d. Continued Ther4 are 11 structures under rehabilitation in the Northwest area. The first contract for the Northeast Project was advertised this moot and consisted of six structures to be rehabilitated. Due to bid amounts, it will be recommended to the Advisory Board that these stru tures be reviewed, revised and re- advertised at a later date. Mr. Davis mentioned the fact that progress is slow in all projects for hich weather is only partly responsible. On tion by Mr. Donaldson, seconded by Mr. Robinson, and carried, the rogress Reports were received and placed on file. 8. NEXT COMMISSION MEETING The Chair: There being nothing further, the next Commission Meeting NEXT COMM. will be n Friday, February 18, 1977, at 10:00 a.m. MEET 2 -18 -77 9. TRIBUTE TO MR. DAN CLARK TRIBUTE TO DAN CLARK P9r. Wias ns: I think it would be well if this Commission were to take some off cial action on the record in recognition of the contribution of Dan Clark, who has just been deceased, in terms of the action and the work of rhis Commission, and in specific reference to our downtown pro- ject. Dan was long active and very important in the beginning in the work of his Commission, and particularly in the downtown project, and his inte est, his help and counsel will all be sorely missed. Mr. Robinson moved to make this tribute a part of the record, with some notification to his family of our recognition of his friendship and help over the past years. Motion was seconded by Mr. Donaldson and carried. 10. ADJOURNMENT ADJOURNVENT There be n« no further business before the Commission, motion was made for adjo rnment at 11:50 a.m. by Mr. Donaldson, seconded by „'r. Robinson and carr ed. , Lxecutive (SEAL) , President