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Home My WebLink AboutRM 07-20-79JuVt,_20, 19; 10:00 A.M. Presiding 01 1. ROLL CAL SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING cer: F. Jay Nimtz, President Members Present: Mr. Mr. Mr. Mr. Ms. Legal Counsel Mr. 1200 County -City Building 227 W. Jefferson Boulevard South Bend, Indiana 46601 F. Jay Nimtz, President Lloyd E. Robinson, Sr., Vice President A. Peter Donaldson, Secretary Robert J. Cira, Assistant Secretary Paula N. Auburn, Member Kevin J. Butler Redevelopment Staff: Mr. Carl Ellison, Director Mr. Timothy K. Eckerle, Assistant Director Ms. Ann Bathon, Research Associate Mrs. Jane Zimmerman, Executive Secretary Ms. Denise Fleming, Secretary Communit Development Sta f: News Med- Guests : 2. APPROVAL On motior and unani Meeting c Mr. Thane Wilson, Asst. Project Director, Bureau of Housing Mr. James Johnson, Project Director, Bureau of Housing Ms. Kathryn Baumgartner, Project Director, Bureau of Housing Ms. Shirley McCoy, Labor Standards Officer Ms. Barbara Radican, Performance Standards Monitor a: Mr. James Strauss, Reporter, WNDU -TV Mr. Scott Brink, Photographer, WNDU -TV Ms. Deborah Domine, Reporter, WSBT -TV Mr. Tim McClure, Photographer, WSBT -TV Mr. Larry Ford, Reporter, WSJV -TV Mr. Bill Hentch, Photographer, WSJV -TV Ms. Jeanne Derbeck, Reporter, South Bend Tribune Ms. Glenda Rae Hernandez, South East PAC OF MINUTES MINUTES OF by Mr. Robinson, seconded by Mr. Donaldson REGULAR MEETING mously carried, the Minutes of the Regular OF JULY 6, 1979 f July 6, 1979, were approved. APPROVED South Bend gedevelopment Commission Regular Mee ing - July 20, 1979 3. APPROVAU OF CLAIMS On moti n by Mr. Robinson, seconded by Mr. Donaldson, APPROVAL OF and una imously carried, the claims totalling CLAIMS $290,965.20, were allowed and ordered to be paid. The authorized claims are: REDEVELOPMENT REVOLVING FUND Payroll: 6 -30 -79 to 7 -13 -79 $ 4,682.62 Business Systems, Inc. 12.08 Dorothy Deane - Petty Cash 88.17 Timothy K. Eckerle 25.00 Nat -Lea, Inc. 164.00 Nat --Lea, Inc. 82.49 Postmas t r 46.72 Postmast r 15.00 White Ra iator Co., Inc. 101.00 Amoco Oil Company 30.10 TOTAL $ 5,247.18 REDEVELOPMENT DISTRICT CAPITAL Abstract Co. of St. Joseph County, Inc. $ 57.50 Abstract Co. of St. Joseph County, Inc. 100.00 Community Development Program (Transfer of Funds) 8,401.00 Marvin C ayton 121; nn TOTAL $ 8,798.50 P. E. A. IND. R -66 Communit Development Program (Transfer of Funds) $163,148.00 Economic Development Corp.,(Transfer of Funds from E6 to E.D.C.) 19,543.60 Forest Sign & Display Inc. 385.00 Orra S. Frame & Son, Inc. 25.00 Northern Indiana Public Service Co. 278.59 Redevelopment Revolving Fund 11,369.81 South Bend Tribune 103.20 Urban Redevelopment Fund (Transfer of Closed Accounts) 2,965.97 South Bend Water Works 24.75 S. M. Dix Associates, Inc. 338.95 S. M. Dix Associates, Inc. 1,837.50 Ray Brede 35.90 Michiana oving & Storage, Inc. 25.00 James Sco t Hauling 6.00 -2- South Bend Redevelopment Commission Regular Meeting - July 20, 1979 3. APPROVALS OF CLAIMS (continued) P. E. A.1 IND. R -66 (continued) Mean's Service Center $ 9.36 Mean's Service Center 9.36 Edwin Voss 35.00 Newman's Department Store 20,732.00 Newman's Department Store 17,346.00 Paul Jams Newman 377.27 Hilda Sa vari 35.00 Odd Fell ws Maintenance Contract (6-30-79 to 7- 13 -79) 1,850.90 Ann Bath 3n (contract) 6 -30 -79 to 7 -13 -79 288.00 Paul J. Falduto (contract) 6 -30 -79 to 7 -13 -79 224.00 TOTAL $240,994.16 312 LOA Abstract Company of St. Joseph County, Inc. Big "C" umber Big "C" umber Factory rile Inc. Indiana 31ass Company Bruner C ssady Neeser Insurance Agency Campbell Electric Company Southhold Heritage Foundation, Inc. Southhold Heritage Foundation, Inc. Edward J White Ace Alum num Home Improvement Co. Dan Hori e Lawrence Dwyer The Old Building Recycling Co. Bob Grant Construction Fidencio Bueno, Sr. Joni Lad wski Hamilton Distributing Co. P & R Ca pet All Stat Builders Jerry Wa son T. Brook Brademas 4. COMMUNICI There wei $ 102.50 140.46 421 .88 186.32 46.24 130.00 1,820.00 72.54 545.75 669.85 5,790.00 94.38 234.24 436.00 3,607.84 1,860.00 30.00 345.00 322.36 7,420.00 1,720.00 9,930.00 TOTAL $ 35,925.36 GRAND TOTAL $290,965.20. no communications to present to the Commission. -3- NO COMMUNICATIONS PRESENTED South Bend R development Commission Regular Meet ng - July 20, 1979 5. OLD BUSINESS There wa4 no old business to present to the Commission. 6. NEW BUSINESS a. Commission approval requested for the following 312 loan applications: Name Amount Loan No. Clarz T. Gapinski $ 3,750.00 18 /SOU- 2/58/1 714 S. Brookfield St. South Bend, IN. 46619 Bish p & Armenter Miller $ 3,300.00 18 /SOU- 2/59/1 1622 W. Sibley Avenue Soutt Bend, IN. 46628 Lindz L. Mason $15,000.00 18 /SOU- 1/57/1 1305 Woodward Street Sout Bend, IN. 46616 Douglas W. Way $13,000.00 18/SOU- 1/56/1 503 est Ewing Sout Bend, IN. 46613 Olet4 Hayes $ 9,450.00 18 /8MC- 0011/59/1 828 . Wellington Street Sout Bend, IN. 46619 Glor a Gray $12,050.00 18 /8MC- 0011/64/1 137 . Olive Street Sout Bend, IN. 46628 Doro by Ivy $12,450.00 18 /8MC- 0011/62/1 1413 E. Miner Street Sout Bend, IN. 46617 TherE were no questions raised concerning the above 312 loan applications, therefore, Mr. Donaldson made a motion to approve 312 loans to Clara T. Gapinski, 714 S. Brookfield St. for 3,750.00, Bishop & Armenter Miller, 1622 Sibley Avenue for 3,300.00, Linda L. Mason, 1305 Woodward Street for $15,(00.00, Douglas W. Way, 503 West Ewing, for $13,000.00, OletE Hayes, 828 S. Wellington Street for $9,450.00, Gloria Gray, 137 P. Olive Street for $12,050.00, and Dorothy Ivy, 1413 E. Miner Stre t for $12,450.00, seconded by Ms. Auburn, and the motion was Onanimously carried. -4 NO OLD BUSINESS PRESENTED 312 LOAN APPLI- CATIONS APPROVED South Bend R development Commission Regular Meeting - July 20, 1979 6. NEW BUSI$ESS (continued) b. Commission approval requested for Change Order #4, CHANGE ORDER with Jurtin's Construction Company for an increase in #4 WITH cont act price of 250.00 'for an amended contract JURTIN'S CON - tota of 3,923:00, at the address of '1502 Virginia, STRUCTION CO. as set forth in °letter from Mr. James Harcus, Director, APPROVED Bure u of Housing. Mr. Johnson: While servicing home located at 1502 Virginia, contractor observed that basement door suffered dry rot. Bureau Inspector verified observation and judged that replacement of door was necessary. The Commission is requested to approve Change No. 4 auth rizing' installation of a new exterior basement door at a cost of $250.00. Mr. Robinson made a motion to approve Change Order #4 with Jurtin's Construction Company authorizing installation of a new exterior basement door at a cost of $250.00, seconded by Mr. Cira, and the motion was unanimously carried. c. Commission approval requested for Change Order #1, with CHANGE ORDER #1 Rive bend Remodeling, Inc., for an increase in contract WITH RIVERBEND ri I ce I of $300.00, for an amended contract total of REMODELING, INC. $5,80.80, at the address of 541 Cleveland, as set forth APPROVED in 10tter from Mr. James Harcus, Director, Bureau of Hous nq. Mr. ohnson: In preparation to service an Emergency Repair roofing order, General Construction contractor, Rive bend, Inc. removed gutters and observed loose fascia and soffit boards. Such was not discernable when old gutters were in place. Observation was confirmed by Bureau Inspector. The Commission is requested to approve Change Order #1 for 541 Cleveland, authorizing replacement of c own molding to remedy above condition. Cost increase is $K0.00. Mr. Cira made a motion to approve Change Order #1 with Rive bend Remodeling, Inc. authorizing replacement of crowr molding at a cost increase of $300.00, seconded by Ms. Auburn, and the motion was unanimously carried. d. Commission approval re uested for Change Order #7, with CHANGE ORDER #7 Plai Construction Company, for an 'increase in contract WITH PLAIA CON - ric of $575.00, for an amended contract total of STRUCTION CO., 3,9 2.00, at the address of 420 South Arnold, as set REJECTED forts in letter from Mr. James Harcus, Director, Bureau of H using. -5- South Bend R development Commission Regular Meet.ng - July 20, 1979 6. NEW BUSI ESS (continued) d. continued... Mr. Johnson: Upon installation of new water closet at 4 0 S. Arnold Street it was determined that sloping bathroom floor resulted in excessive tilt of said unit. Participating plumber and bureau staff founi it impossible to safely shim- balance unit as was pparently'accomplished for the replaced defective water closet. The Commission is requested to approve Chan ]e Order #7 authorizing correction to bathroom floor so that key fixture may afford residents use with safety. Cost of remedy is $575.00. This is a complicated situation and it seems that the floo was unlevel to begin with and it went unnoticed by everyone involved. A new floor was put down (under - laym nt tile) then the plumber set in the water closet, and found it to be at an angle. Now the contractor is prop sing to tear up the floor at his own cost; replace the inderlayment, and tile; but he wants the change order for something he should have noted in the first plac which is the sub - floor. There was about 4 square feet of sub -floor replaced on the inspection but it wasp t included on the bid packet. Ms. uburn: What you are saying is that the contractor went in, refloored it, and missed the tilt on the entire floor? How can you miss a tilt on the entire floor? Mr. Johnson: It was beyond my comprehension also. What will happen is that the plumber will be held responsible beca se he made a bad installation without making the Bure u of Housing aware of it, and Mr. Plaia must also repl ice the underlayment tile. Mr. lobinson made a motion to reject Change Order #7 with Plaia Construction Company, which was for an increase of $ 75.00, seconded by Mr. Donaldson, and the motion was unanimously carried. e. Comm ssion a F & F Electr of � at t in 1 Hous proval requested for Change Order #1, with c, Inc. for an increase in contract price or an amended contract 'total of $1,115.00 e address of 1014 East Dayton Street, as set f tter from Mr. James Harcus, Director, Bureau o nq. Mr. ohnson: While servicing 1014 East Dayton Street, F & 7 Electrical contractor discovered extensive knob and ube wiring in the basement and attic. Bureau Insp ctor verified finding. The Commission is requested to a prove Change Order #1 with F &F Electric, authorizing the eplacement of said old wiring at a cost of $450.00. CHANGE ORDER #1 WITH F & F ELEC- TRIC, INC. REJECTED South Bend R development Commission Regular Meet ng - July 20, 1979 5. NEW BUSINESS (continued) e. continued... Ms. uburn: Do you know for a fact that the wiring is n t frayed, and that they simply want to replace it? Mr. Robinson: If the tube wiring was put in properly, I am sure that it was at that time, in my estimation it is better than what it is today, but it is cost prohibited. In other words, whenever wiring is run through rafters, there is a protection put around the wiring with a porcelain knob and this was protection enough. The wires are separated enough that it is almost impossible for a rodent or something else to knaw at both of them at the same time, etc. Mr. Ellison: Mr. Johnson, could the Bureau check the condition of the wiring so that we can determine if indeed there is something wrong with it so that we may re -i itiate another change order if the commission should reject this change order? Mr. Oohnson: Yes, we could. Mr. Robinson made a motion to reject Change Order #1, with F & F Electric, Inc., which was for an increase in contract price of $450.00, seconded by Mr. Donaldson, and the motion was unanimously carried. f. Commission approval requested for Chanqe Order #2, with Jurt n's Construction Company for a decrease in contract price of $450.00, for an amended contract total of $95198.00, at the address of 741 South Kaley Street, as set orth in letter from Mr. James Harcus, Director, Bureau of Housinq. Mr. Johnson: The commission is requested to approve Change Order #2 deleting from grant rehabilitation specifications, service to roof trim and porch ceiling. These items will be serviced under a separate 312 loan contract specifying the installation of aluminum siding of p operty at 741 S. Kaley. Mr. ira: I don't understand why there is a total price of s ffit and ceiling price of $575.00, and yet he is only asking for $450.00, why is that? Mr. 4ohnson: Evidently, this contractor has the grant port on of the contract and a loan; but, I am not sure. -7- CHANGE ORDER #2 WITH JURTIN'S CONSTRUCTION CO., TABLED South Bend R development Commission Regular Meeting July 20, 1979 6. NEW BUSINESS (continued) f. contfinued... Mr. ira made a motion to table Change Order #1 with Jurtin's Construction Company, for a decrease in contact price of $450.00, pending further report by the Bureau of Housing, seconded by Mr. Robinson, and the inotion ' was unanimously carried. g. Commission approval requested for Resolution #584, authorizing commencement of condemnation action on Acquisition Parcel #9 =22, Indiana R -66. Mr. utter: This is 'a resolution pertaining to the Raitt Corporation property which was tentative by Lane Bryant. I am hopeful that this will be the last of tie condemnation requests, as it looks like every- one Ise is ready for closing, or about to be settled. Mr. Robinson made 'a motion to approve Resolution #584, authorizing commencement of condemnation action on Acqu sition Parcel #9 -22, Ind. R -66, seconded by Mr. Cira, and the motion was unanimously carried. h. Comm ssion approval requested for Resolution #585, #586, #587 #588, and #589, authOrilin the execution of Rede-elopment Agreement for disposition of land and the execution of quit-claim deed" s for the transfer of t tle thereto in connection with land to be disposed of i the LaSalle Park Project, Indiana R -57. Reso ution Parcel # Name Amount 58 11 -2 Shelby Little $172.80 58 1 -21 Rosie L. Miller $ 96.00 58 36 -14 Paula Ramirez $261.60 588 22 -42 James Gunn $300.00 589 18 -15 & 18 -16 Jonathan Davis $120.00 Mr. Donaldson made a motion to approve Resolution #585, #5862 #587, #588, and #589, authorizing the execution of Redevelopment Agreement for disposition of land and the execution of quit - claim deed(s) for the transfer of title thereto in connection with land to be disposed of in the LaSalle Park Project, Indiana R -57, parcel number 11 -2 to Shelby Little in the amount of $172.80, parcel number 1 -21 to Rosie L. Miller in the amount of $96.00, parcel number 36 -14 to Paula Ramirez in the amount of $261.60, parcel number 22 -42 to James Gunn in the amount of $300.00, and arcel numbers 18 -15 & 18 -16 to Jonathan Davis in the amou t of $120.00, seconded by Mr. Cira, and the motion was Qnanimously carried. RESOLUTION #584 AUTHORIZING CON- DEMNATION ACTION ON PARCEL #9 -22 IND. R -66 APPROVED RESOLUTIONS #585, #586, #587, #588, AND #589 FOR DIS- POSITION OF LAND IN IND. R -57, LASALLE PARK PROJECT APPROVED South Bend R development Commission Regular Meet'ng July 20, 1979 6. NEW BUSINESS (continued) i. Commission approval requested to 'authorize staff to a are and enter into "an agreement for ro- fess'onal services 'with "Gruen Associates, Inc. in conn ction with land disposition activities in Ind. R -66 Centur Y Mall). _ Mr. �llison read the following memorandum: Comm- zzione.As : M yon Pettit J. Nemeth has asked the Department to MteA into an agteement with Gruen Aszoai.ates a4 Nm Yo&k City to ptepate a basic concept plan and ielsign ittustAated by apptopAia>te gtaphics and a mo e.2 4ot the CentuAg MaU P&o ee t. Gruen' s ,sety "cets w.Ut cast $95,000 - $112,000. By this memo andum, then, the ta44 tequest6 Commis zion authoAization to ptepate and execute an agteemenvt 4ot the above dens etr ib ed z etvicels . As ups uat, the ag,teement would be 'subject to the ptiot teview o4 the omm- zzion',s tegat eouwse.C. 14 apptoved, Gruen w,iU eomptete wo&k by OctobeA 1979. The sta44 &ecoinmen6 youA 4avotabte cawsidetati>on o4 this matter. S/ CaAt F.?.P,us on Mr. imtz: I believe a number of the Commissioner's were polled about this subject. Mr. Wiggins (who used to serve on the Commission), and Mr. Robinson, served on an architect's committee which met a number of times concerning this matter. I was unable to reach Mr. Zobinson last week, so I contacted Mr. Wiggins, and it i now my understanding that there were two firms whici were rated high by your committee, and Gruen was one f them. Mr. Robinson: That is correct. Ms. Auburn: May I assume that Gruen Associates will be' work ng with Rouse Corporation, so that there is some carr over from the Rouse study, which would go into the lesign work of Gruen? Mr. betw St. Comm rel a So f with :llison: The arrangement with Rouse involved a contract )en the Commission and a private institution, namely the Joseph Bank. The contract with Gruen is only between the ission, and Gruen; thus, there is no client consultant -ionship between Gruen and anybody except the Commission. )r practical purposes, we cannot compel them to cooperate Gruen, but we expect that to happen. COMMISSION APPROVAL GRANTED TO STAFF TO PREPARE AND ENTER INTO AN AGREEMENT FOR PROFESSIONAL SERVICES WITH GRUEN ASSOCIATES, INC. (Ind. R -66) South Bend Redevelopment Commission Regular Meeting - July 20, 1979 6. NEW BUSINESS (continued) i. continued... Ms. uburn: Was Rouse competing with Gruen for the development and design of Century Mall? Why was Gruei chosen over Rouse? Mr. Alison: Rouse's reputation for doing shopping cent rs is not so much from the design standpoint, but rom the market standpoint. They know how to get peop a into the stores, and how to have the merchants make money. Part of the concern at this point, in putting the project together, is to assure that it func ions as a component within a larger downtown. At 1 ast initially it requires more of an architect's kind of services. What will likely happen is that Grue will take off on Rouse's concept plan, and will refl ct much of that, but they will also look at the mall project from a physical development standpoint, and o a degree, utilize Rouse's market information to d termine what site uses. Ms. uburn: I have had the opportunity to read the market feasibility study completed by the Rouse Corporation, and from what I have said in Redevelop- ment Commission meetings before, I support what they developed, in that there has to be some kind of Jiff rent, local, specialty shops in this project. I thin the cost configuration is very important. Mr. imtz: This question was directed to Mr. Molinaro, President of the Rouse Corporation, at our last meeting and ie mentioned that whoever has it will rent it as chew as they possibly can, but the rental figure today is b sed on "how much do you have in it ", and he admitted that someone starting out on a shoestring may not be able to a ford the rent. Ms. uburn: If they are not going to be able to allow peop a to rent the space starting out with limited budg ts, can we determine some alternative financing mech nism that will not automatically shut out local peop e, who do not have a lot of capital consignments behi d them? Mr. 711 ison: What Rouse Corporation has done before is set ip a merchant on a cart, in what would be a public area of a mall. What their experience has been is that some mere ants who have new products, and have a chance to test them out, gain confidence, and eventually move into a store. -10- South Bend R development Commission Regular Meeting — July 20, 1979 6. NEW BUSINESS (continued) i. continued... Ms. uburn: I think that it would be appropriate for 3ome products, but I don't think it would be appr priate for everything that might seem to meet local needs. I am suggesting that Gruen be aware of our oncerns as a Commission that the rental space not a so exhorbitant`so that it would price out local people. Also, we should look at some alternatives for financing mechanisms or some alternative methods to allo# local people to meet the rental costs. Mr. imtz: We all agree with you. What we are saying is t at the guy who puts up the money has to pay his inte est, etc. Mr. ira: He is going to want a return on his money. You are going to have people moving in and out of the mall. As far as independence goes it is good, but unless the person is established and has a good line of credit, it will be hard for him to get money from the bank to len up a business, unless he has some collateral to put P_ Ms. uburn: I think if we use a traditional approach it will open us up to some problems, because I don't feel there are an overwhelming number of local businesses that have been termed "successful ". I think we really do deal with a lot of out -of -town business structures. Mr. llison: Gruen is aware of our desire for the mall to be something unique. But remember that the mall project is n t just a "mall project." There is more involved here. So m ch of Gruen's attention will go beyond how the retail portion should be done, but also how "from a design stand- point" this site can be related to everything else down- town so that it will function as a unit. Gruen's work is necessary to put together a project of this nature. I believe they will have some preliminary concepts that may be a ailable to the Commission sometime in early August. Mr. ente Grue acti to b revi carr ,obinson made a motion that the staff prepare and into an agreement for professional services with i Associates, Inc. in connection with land disposition Fities in Ind. R -66 (Century Mall) with estimated cost from $95,000 $11.2,000, subject to legal counsel �w, seconded by Ms. Auburn, and the motion was unanimously led. -11- South Bend R development Commission Regular Meeting July 20, 1979 7. PROGRESS REPORTS There were no progress reports to present to the Commission. 8. NEXT COW ISSION MEETING The next regularly scheduled South Bend Redevelopment Commission Meeting will be held on August 3, 1979, at 10:00 A.4. 9 . ADJOURNM NT There being no further business to come before the Commission, Mr. Donaldson made a motion that the meeting a adjourned, seconded by Ms. Auburn, and the motion w s unanimously carried. The meeting was adjourne at 10:49 A.M. mtz, President -12- NO PROGRESS REPORTS PRE- SENTED NEXT COMMISSION MEETING ADJOURNMENT /� 166 1 Carl Ellison, Executive Director