HomeMy WebLinkAboutRM 04-07-78SOUTH BEND REDEVELOPMENT COMMISSION
County -City Building Room 1200
227 West Jefferson Boulevard
South Bend, Indiana 46601
COMMISSIONERS' REGULAR MEETING
Friday, April 7, 1978 10:00 A.M.
PRESIDING OFFICER: F. Jay Nimtz, President
1. ROLE. CALL
ssioners: F. Jay Nimtz, President
Donald A. Wiggins, Vice President
Robert Cira, Asst. Secretary
1 Counsel: Edward A. Chapleau
New Media: Dave Anderson, Reporter, WNDU -TV
J. Scott Brink, WNDU Photographer
Steve Neher, Photographer, WSBT -TV
Nancy Sulok, Reporter, South Bend Tribune
John Wright, WSBT
Gue ts: E. L. Cavanaugh
John Kagel
LPA Staff: C. Wayne Brownell
.Gertrude E. Barth
Marc Brammer
Jane A. Zimmerman
At this point Mayor Peter J. Nemeth arrived and was recognized by Mr.
Nimtz ... then made the following comments concerning the announcement by
Congressman Brademas of the award of the $7,600,000 UDAG grant to South Bend:
My reason for coming down was to express our thanks to the Redevelopment
Com iision for all your efforts - we are enjoying the happiness and the
joy of the announcement yesterday, as well as the Crowe - Chizek announce-
ment today and I think that these events of the past couple of days
justify the positions that you have been taking over the past few years.
I k ow you have been through a lot of hassle and struggle and we are
still going through it. I have been through some of the same but I
thi k that these events are proving that you people had the foresight
and vision and all I can say is "thank you and keep up the good work! ".
Als on behalf of our Community Development Department, they wanted me
to top by and thank you for all of your assistance in getting the plan
pre ared•. It was kind of like practicing for that Saturday football
gam , everybody sees just the game itself and they don't realize the
hours, the days and the weeks of practice that went before it. We know
the complicated application procedure that we had to go through and
we �ppreciate your help.
Chair:
rks by Mayor Nemeth, continued:
Your Honor, we appreciate your confidence in us and the backing
you have given us always - it has been a great team effort and I
hope this is just the beginning of a great development in South
Bend. I know that Don Wiggins- as the senior member on the
Commission- has anticipated this for a long time and Don has probably
taken more heat through the years than anybody in the community
concerning this whole plan.
Mr. Wi gins: We are glad you share our faith in South Bend and the future
of South Bend. There were times that people thought we were just
crazy but they found out that we are just crazy about this community.
Chair:
Mayor
Chair:
Mayor
Your Honor, do you wish to say anything about the Crowe - Chizek.
thing? I was going to tell about it this morning - do you want
to say anything further about that?
Nemeth: I think everybody knows about this - or had an inkling about
it already, but Crowe - Chizek is going to construct a building on
Block 6, there where Western Avenue turns into Jefferson, taking
about 5.8 acres and when it is completed, Block 6 will be well on
its way to being a successful development. Again, that indicates
the wisdom in the type of planning and the type of procedures that
we followed. We are seeing right now the difficulty we are having
in downtown in clearing land for a project that is waiting to go.
I know you received criticisms when buildings were torn down and
land was cleared in Block 6, however it is turning out that is
much easier to sell that land and move it because of the fact
that it was cleared. We have the twelve story King Towers going
up, Whitcomb & Keller has already opened, Lowe °s getting ready to
open and now, Crowe - Chizek getting ready to break ground. I think
again, this is testament to the fact that we are on the right track.
Sometimes I know that we ourselves must have wondered, with some
of the criticism we have had, whether we are on the right track
so it has been especially nice to have things happen as they have,
to justify the actions we have taken. Keep it up and one question:
When and what is the next announcement? Oh yes, the St. Joe Bank
Building (on Block 6) the Quality Inn blocked our view there.
We hope it is soon. Your Honor, I might say that the day Mr. Lowe
was here for Kitty Litter, I think the three of us were talking
to him that day and he predicted exactly what was going to happen
on Block 6 - that land would become a premium. He thought the plan
was excellent and he said he was sure that Block 6 was going to
fill up rapidly. "There will be a need for more land ".
meth: I see John Kagel here, the Executive Director of the Downtown
Council and John, we want to thank you and the Downtown Council
. who have been most cooperative and helpful to us in getting
things going and I know that no one has had more faith in getting
the downtown going than you personally, as well as the members of
the Council.
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Mayor Ne eth (continued): It has been tough the last few years and we have
had to scratch and scrape and push and pull but it looks like we
have reached the peak - and perhaps we will have a little easier
sledding than we have had in the past..and we are grateful to people
like yourself who have maintained confidence in downtown and been
willing to put in the amount of work and effort to get things going.
That is not to say that we have reached Valhalla, we have a lot to
do yet. .
Chair: We have a lot to do:
Mr. Kage : I think the Commission will attest that the Downtown Council stood
the firing line with the Commission at great odds on the activities,
at one time, the Associates, followed by Gulf & Western, followed
by First Bank, and I think the Commission and the Downtown Council
were about the only ones that said "Let's have faith, let's stay
with this..."
Chair: Very truly. Thank you again Mayor, all the criticisms and noise in
in the background are now sub - marginal, when we get these good
announcements we forget the bad things.
Mr. Wigg ns: With about two more announcements, our critics will be saying
"that's the way we said you should do it all the time ":
Mayor Ne eth: The next criticism will be that we don't have enough land
downtown.
The Chair thanked the Mayor for coming... applause.
2. APPROVAL OF MINUTES
Mr. Brownell pointed out that the word "excursions" on page 8 of the
Minutes of the Regular Meeting of March 17, 1978 should read "aspersions ".
With this correction noted, motion was made by Mr. Cira, seconded by
Mr. Wiggins and carried for approval of said Minutes, as mailed.
3. APPROVAL OF CLAIMS
On otion by Mr. Wiggins, seconded by Mr. Cira and carried, claims in
the amount of $9,264.17 were approved as submitted, and were allowed
and ordered paid, as follows:
RED17VELOPMENT REVOLVING FUND
Payroll: 3 -11 -78 to 3 -24 -78
Kevin J. Butler
Business Systems, Inc.
Credit Bureau of South Bend - Mishawaka
Ind ana Bell Telephone Co.
Postmaster
mm
$ 3,046.30
200.00
17.48
7.00
141.47
29.29
3. APPROVAL OF CLAIMS, continued
REDEVELOPMENT REVOLVING FUND (cont
Sch lling's Sales Company, Inc.
Smith Petroleum Co.
Total
P.EIA. R -66
James R. Meehan & Associates
Rea Estate Research Corporation
Singer General Tire, Inc.
Clyde E. Williams & Associates, Inc.
11 11 11 11
Total
312 LOANS
Pla a Construction Company
Ray Bockay
Midwest Aluminum Siding Co., Inc.
J & R Insulation
Total
REDEVELOPMENT DISTRICT CAPITAL
Abstract Co. of St. Joseph County, Inc.
Curly's Sales & Service
Total
Grand Total
4, COMMUNICATIONS
There were no communications to bring before the Commission.
$ 37.10
4.92
6.15
65.08
$ 3,554.79
$ 15.20
141.09
50.47
3,097.76
646.67
$ 3,951.19
$ 108.00
250.00
608.00
639.74
$ 1,605.74
$ 15.00
137.45
$ 152.45
$ 9,264.17
5. OLD BUSINESS
Mr. Brownell stated that the Controller's office has filed an ordinance
with the City Council to take $251,591.24 in revenue sharing money to
pay the Redevelopment Department the City's indebtedness on Projects
E -3 and E -5. That ordinance will have the first reading before the Council
on Monday, April 10th, and then will be carried over for second reading..
"I wanted to bring this to your attention because you should have this
information before we take up the relocation claim review of the Indiana
Bell Telephone Company ".
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Mr. Nimtz: I will not be able to be there on the 10th.
Mr. Brownell: Its the first reading — they will probably refer it on to
the 24th for second reading.
Mr. Ni�tz:' Then you and I had both better plan to be there on the 24th.
a. Indiana Bell Telephone Company, Relocation Claim Review: The matter
of the S. M. Dix findings in their last letter was brought up in
our previous meeting: that $239,711.84 was documented and $23,510.24
as not documented. That situation remains unchanged, but in view
of the fact that we are getting some money and we might then be able
to close this claim, I think they will renew their efforts to either
et the items documented or have the company admit they cannot
document them and drop that part of the claim. I am going to urge
them to proceed that way so we can get rid of this claim.
b. Damage to lighting fixtures on Plaza Park: Mr. Brownell: You will
recall that when we entered into a lease with the Park Department
or $1.00 a year we agreed that the Lessor would repair all the lights
on the premises now damaged and hereafter, during the term of this
lease, the Lessee shall maintain and repair all lights and other
improvements to and landscaping of, the premises. The reason I
brought this up is that I wanted your permission or authorization
to attempt to get quotations and bids on fixing the lights in Plaza
Park..to carry out our obligation.
Mr. Wiggins moved to authorize Mr. Brownell to get such quotations and
bids for the repair of the lighting fixtures in Plaza Park. Motion
as seconded by Mr. Cira and carried.
6. NEW BUSINESS
a.
Commission consideration of a proposed Resolution No. 550 for the
Plan Change which covers land use changes permitted in the area
bounded by E. Colfax Avenue, St. Joseph Street, East Washington
Street, and the Michigan Street Pedestrian Mall.
Mr. Brownell said that with the exception of Mr. Cira and Mr. Donaldson
the Commissioners were present at the Press Conference on Thursday
(April 6th) so they all know about the UDAG grant..it has been in
all the papers, etc. He had a copy of the press release in case any-
one wished to have a copy. Our next item of business is considera-
tion of Resolution No. 550 which was prepared by Mr. Butler for a
Plan Change to cover the land included in the development area as
described above. He also indicated copy of the letter from Mr. Janotta
of Real Estate Research, dated October 5, 1977, entitled "Review of
Retail Development Proposal, Central Business District" with attached
Exhibits A, B and C and memo of the same date from Marc Brammer,
Real Estate Officer which listed the properties of the four block
area which houses stores that have either relocated or closed their
doors permanently..these various exhibits have been made a part of
the original Minutes file of the meeting date of April 7, 1978.
Mr. Brownell then read a draft regarding the purpose of the resolution
and indicated that the remaining local steps in the procedure include
action by the Area Plan Commission and said he has arranged to have this
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6. (a)
continued-
put on their agenda for Tuesday the 18th of April, then the Common
Cou cil, then the public hearings before this Commission, then the MACOG
approval is required so I would like to present to you Resolution No.
550 as prepared by Mr. Butler, together with Attachment A. In Attach-
ment A under Paragraph B, we have limited the effect of this Resolution
on land use "as indicated above, this area will be devoted to a broad
ran e of compatible retail and service uses, hotel -motel use which
is oriented to and supports the city's Cultural Center development
in Prea D, is also permitted in the block bounded by E. Colfax Avenue,
St. Joseph Street, E. Washington Street and Michigan Street Pedestrian
Mall ". Mr. Brownell continued:
The purpose of limiting it to this area is to indicate that we are in
no way trying to interfere with our last resolution that is before the
court and it covers the entire Area C. We are limiting this resolution
to this square block as defined above. We should not get involved with
that lawsuit.
Mr.
b.
Wiggins: I move for the adoption of Resolution No. 550 covering
land use changes in the area as defined. Motion was
seconded by Mr. Cira and carried.
Commission approval requested for changes to be made on the Land
Disposition Plan Map, as outlined in letter from John C. Pettigrew
of Trkla, Pettigrew, Allen and Payne, in relation to the afore-
mentioned area.
Mr. Brownell: I would like to suggest to you that a motion be made
to approve changes to be made on our Land Disposition Plan Map as
they have been suggested to us by Mr. Pettigrew. The idea is to change
the land uses for this area so that it would read like this map (Mr.
Brownell then pointed to the revised Land Disposition Plan Map which
had been prepared by Clyde E. Williams, incorporating the new land
use "Retail/ Service - Commercial /Parking ")..we have had this map
prepared for your approval. You will recall we vacated that street
when we put the last plat of streets through.
Mr. Wiggins: In other words, we are changing the map to match what
we did in Resolution #550.
Mr. Brownell: That's right. We also had them (Clyde Williams) put in
the overhead walkway in the land use map.
Mr. Wiggins: Is there any other action that we need to take?
Mr. Brownell: All that I know of is that we need a motion to approve
these changes in this map, even though its not part of our urban
renewal plan. You can change it anytime but we would like to have it
changed now.
Mr. Wiggins: The point I raise is: are there any prohibitions against
the land bridge, the connection between the Century Center and the
development? I would hate for us to stumble over a rock there later
on.
. Brownell: I know of none.
The
Chair recognized Mr. Kagel.
Mr. Kagel: The map that I have is not too clear, could I see where that
pro'ected walkway will be?
The area where the walkway is proposed was pointed out to Mr. Kagel and
Mr. Brownell noted that it doesn't necessarily mean it will be built
at that precise location, but somewhere in that block—generally, it
is a walkway to go from Area C over to the Century Center.
Mr. Kagel: In other words, this walkway would not be moved more than a
half block in either direction?
Mr. Brownell: I suppose that it would stay within this block—the idea
I believe - I don't really know since we have no architect's drawings
yet - but I assume that there will be a walkway south (he pointed to
the map) and another from "here to here ".
Mr. Wiggins: In that same connection, if you recall some time back when
the Michigan Street traffic was diverted to St. Joe and St. Joe was
dev loped, they put a tunnel in there. The expectation was that it
would provide access to Century Center for delivery purposes, that sort
of thing, and also one of the other purposes was that we expected to
dev lop the hole to incorporate subterranean parking and that would create
an ccess that would be available to both pedestrian and vehicular traffic,
not cars....
Mr. Brownell: I think there has been some change on the part of the
dev loper, from the thinking the Commission originally had, in that they
are now thinking of using the elevators from the parking garage up and
taking the overhead enclosed parkway.
Mr.lWiggins: There is certainly a possibility of working it both ways.
Mr. Brownell: I think the problem with the tunnel is that there is a high
wat r table in that area. I am not sure that is the problem, but I think
it is.
Don Wiggins then moved for the approval of changes in the Land Disposition
Pla Map as outlined above, motion seconded by Mr. Cira and carried.
c. ICommission approval requested for Contract for Review Appraisal with
Ralph C. Michaels, MAI, SREA, for ten 10 additional review
appraisals, five for each of the two acquisition appraisers who are
working. He has a rate of $70.00 per review in his first contract,
this is the same rate, for a total additional contract price of $700.00.
Mr. Wiggins moved for the approval of Review Appraisal Contract with Mr.
Michaels, for additional contract price of $700.00, motion seconded by
Mr. Cira and carried.
d. Commission approval requested for execution of Contract for Reuse
Appraisal Services with Mr. John Pence and'Mr. Ron Cettel, to cover
proposed reuse appraisals in Indiana R -66. at $250.00 per parcel.
Mr. (Brownell: If you will recall, about two years ago or more, we had Mr.
Ralph Lauver and Mr. John Pence make reuse appraisals of some eighteen (18)
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par els downtown. We need to have another set of reuse appraisals at
this time for two reasons: one, the earlier ones are now out of date and
sec nd, we have made some land use changes so I contacted Mr. Gettel, who
is doing acquisition appraisals for us, and Mr. John Pence also, and
ask d them if they would be interested in providing reuse appraisals
and on what basis they would do them. They have both agreed to do this
wor on the same basis that Mr. Pence and Mr. Lauver performed the re-
use work last time, namely, they received $4500.00 each for the eighteen
app aisals, which figures out to a rate of $250.00 each. The only thing
thelt have stipulated is that they would not wish to do one parcel at a
tim . They want.to do several parcels at one time so they won't lose
tim , effort and money. I believe we can arrange it that way. I would
the efore ask you to authorize and approve the execution of a contract
for reuse appraisals with Mr. both Mr. John Pence and Mr. Ron Gettel.
Mr.
his
Mr.
and
do i
par(
wi ti
suci
the
Cira: Wayne, you referred to $250.00 per parcel and Mr. Pence in
letter says 1250.00 to $300.00
Brownell: Mr. Gettel and I have a verbal agreement over the phone
I have Mr. Pence's letter here, which indicate that they will both
;his work providing the contract does not limit them to doing one
:el at a time but will be able to do several, at $250.00 per parcel,
i a "minimum fee of about $1500.00 ". So I assume we can work out
i a contract.at the same rate Mr. Lauver and Mr. Pence received for
original appraisals.
Mr. Wiggins moved for approval of execution of appraisal contracts with
bot Mr. Pence and Mr. Gettel to cover approximately 18 parcels in R -66
dow town, at a rate of $250.00 per parcel. Motion was seconded by Mr.
Cir and carried.
7. PRO�RESS REPORTS
Mr. Brownell: Since Mr. Chapleau is here, I thought he might like to
bri g you up to date on the law suit - is there anything you wish to
rep rt?
Mr. Chapleau: Only that the transcript is due to be filed this month..
in about a week, and when that transcript is filed I anticipate trying
to transfer the case from the Court of Appeals to the Supreme Court,
the reason being to bypass the delay that would entail two appeals.
Mr. Wiggins: Does this transfer require the consent of the other parties
i nvXed?
Mr. Chapleau: No it does not, the petition is filed and then the court
act on it. They either grant it or deny it.
Chair: It is discretionary with the court.
Mr. Chapleau: The Court of Appeals has indicated
the feel it is important and they would have a
the didn't act on the motion for a stay so that
Mr.
that if they hear it,
speedy hearing - and
is a good thing.
Wiggins: How are we proceeding with the appraisals?
The
Mr. Brownell: I shall be glad to tell you that - the two appraisers have
completed the real estate appraisals of all the parcels from Washington
Street to Jefferson and they have been submitted to the reviewing
appraiser, Mr. Ralph Michaels. Also he is going to get from Mr. Banta
of S. M. Dix Associates, Inc., the places where there is conflict. For
example, if one real estate appraiser included a heater to boost the
hot water in a particular place and the other appraiser did not in-
clude it in his appraisal, S. M. Dix comes along to do the fixture appraisal
and they would say that the heater would have to go on both of the
appraisals, or appear on neither of them. This problem is submitted
to the reviewing appraiser so that S. M. Dix will know whether to
inc ude the item under fixtures - or if it is considered real estate.
In uch a case, the owners of a building are also the tenants so its
really just a matter of getting it straightened out.
Mr.lWiggins: To make sure that we don't pay for the same thing twice.
Mr. Brownell: Then we have a letter from one owner who had to fix his
roo and he sent a letter and a copy of a bill and said he thought he
ought to include that in the amount of money we pay him for his building.
I have nothing to say about whether it is included or not, that is up to
the appraiser. In other words, the reviewing is being done and the re-
view appraiser will then report to the Commission, the value he thinks
should be assigned to each parcel.
The review appraisals north of Washington Street have not been started
yet because we have just authorized that contract work this morning ... work
to begin when the real estate appraisals are completed.
Mr. Wiggins: On the reusie appraisals, I assume these will cover the
pro erty known as the hole.
Mr. Brownell: Yes, these are parcel Nos. 4 -1, 4 -31 and 4 -32. Then there
will be three other parcels added so the appraisers will have a group
of six.
Mr. Wiggins: It will be necessary to have reuse appraisals of all the
pro erty in the area between Washington and Jefferson Sts?
Mr. Brownell: We cannot do any of that until after we acquire it.
Ch it recognized Mr. John Kagel.
Mr. President, before your go on to Item No. 8 on your agenda, you should
have or will be receiving, personal invitations to attend a very, very
important seminar that is taking place here, with which we are involved,
alotig with Indiana University School of Public and Environmental Affairs
which is being held on April 21 and 22. I see that your next Commission
Meeting is scheduled for 10 o'clock the morning of the 21st. May I point
out to you that this particular seminar will be concerned with strategies
for community conservation, having to do with both downtown and the
neighborhoods—the very thing you are working on..I will discuss your
rol in this in a minute Don—The individuals who are involved in this
par icular seminar are..chiefly, one of the individuals is Mr. Embry, the
man you sent your UDAG application to. Don, if you will recall a few
years ago, this Commission and the city sent an official delegation to
Cincinnati..
Mr.lWiggins: I remember it well.
Mr. Kagel: Right, we do, how well we remember because of the outstanding
program they have in Cincinnati, for neighborhoods. While we are singing
these praises and basking in the glories this morning, it would behoove
us to give very serious thought about this seminar that is.going to be
held here, under the auspices of Indiana University and the Chamber of
Com erce, especially in view of the cast of characters who are coming
here, from Washington and elsewhere. To consider the neighborhood
programs, the direction the administration is taking on self -help,
citizen and community involvement, involvement by business, industry,
com erce, etc ... perhaps you might consider this before you set the time
for your next meeting because the seminar is going to be on two days,
Aprl 21 and 22. Did you get a copy of that notice Wayne?
Mr.lBrownell: Yes.
Mr. Kagel: I believe that's enough said - we have been so fortunate and
ble sed here with these good announcements, let's take a look at this
pro ram..there is a small registration fee.
Mr. Brownell: Thanks very much John. I have a notice from IUSB with the
pro ram schedule and I have talked to Dr. Hojnacki about this matter
because Mr. Nimtz and I are on as discussion leaders in one of the sessions,
alo g with Howard Bessire.
Mr. Kagel: I am on the panel too but we have people coming in from around
the nation.
Mr. Brownell: I talked to Dr. Hojnacki about the fact
fli t in the morning and he said, "Oh, that won't make
you are scheduled in the afternoon" so he doesn't seem
us iearing what they say in the morning.
Mr.
Mr.
Dr.
the
at
mun
ret
Kagel: Who is speaking in the morning?
that we have a con -
any difference,
to worry about
Brownell: In the morning they have the welcome by Mayor Nemeth and
Wolfson, the Chancellor of IUSB and Dr. Frank Steggert, Director of
Department of Public and Environmental Affairs, IUSB. At 9 :00 A.M.
r have Dr. Hojnacki on with "Urban Conservation: The Time is Now ",
):15 the Hon. John Brademas with "Congressional Initiatives in Com-
ity Conservation" and at 9:30, Mr. Robert Embry, the Assistant Sec -
try for Planning and Community Development, HUD.
Mr.lKagel: You recall who the UDAG application went to?
Mr. Brownell: Oh sure, he's in charge of planning, we know him well and
he' a very important man in our projects.
Mr.
mat -
has
Brownell went on to relate the names of the speakers and subject
er for the afternoon session. He also mentioned the fact that he
a University of Michigan Class Reunion on the 28th of April, which
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is a problem in changing the next meeting date.
Mr. Wiggins: As a Commission we ought to authorize the attendance of staff
that can attend and cover the fees for their attendance I would include
the members of the Commission along with the staff.
Chair: Can we get along without you (Mr. Brownell) on the 28th?
Mr. Cira suggested that we change the date to Thursday, April 20th.
Mr. Wiggins then restated his motion that the regular meeting be changed
to Thursday, April 20th at 10:00 A.M. and that the members of the Commission
and staff that desire to attend this seminar be authorized to do so and
their registration fee be paid. Motion was seconded by Mr. Cira and carried.
Mr. Ni tz: John, I don't know whether you know this or not but Mr. Carl
Westmoreland from Cincinnati is being brought here by Southhold Historic
Preservation Commission and Southhold Heritage Foundation on this neighbor-
hood thing during Historic Preservation Week. He will be here to speak to
Rotary and I think he will be here for the entire day. He apparently is
nationally recognized on this neighborhood thing that you and Don were
talking about.
Mr. Kagel: I am not a Rotarian but I would be very happy to go as a guest
of a Rotarian.
Mr. Brownell: I will be glad to invite Mr. Nimtz and Mr. Kagel..anyone else
on the Commission who wants to attend. The date on that is the 10th of May.
Mr. K gel: We found in Cincinnati that it is a very conservative community,
and they have magnificent neighborhood activities going on downtown, which
is the heart of the thing, and they they spread out into the community.
Isn't that right Mr. Wiggins?
Mr. Brownell: We have been very fortunate because Real Estate Research has
been very active there - and they do consulting work for us.
8. NEXT IMEETING
As established in the previous discussion, the next regular meeting of the
Redevelopment Commission has been re- scheduled to Thursday, April 20, 1978
at 10:00 a.m. in the office of the Redevelopment Department, 1200 County
City Building.
9. ADJOURNMENT
TherE
adj oL
carri
being no further business to come before the Commission, meeting was
rned at 10:37 on motion by Mr. Wiggins, seconded by Mr. Cira and
ed.
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Commis,sione s Regular t ting
April 7, 19 8
President C. ltavn' -e � e1l, Executive Director
t Commission
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