HomeMy WebLinkAboutSM 06-12-80SOUTH BEND REDEVELOPMENT COMMISSION
SPECIAL MEETING
June 12, 1980 1200 County -City Building
9:00 A.M 227 W. Jefferson Boulevard
Presidin Officer: Mr. F. Jay Nimtz, South Bend, Indiana 46601
President
1. ROLLICALL
rs Present: Mr. F. Jay Nimtz, President
Mr. Lloyd E. Robinson, Sr., Vice President
Mr. Robert J. Cira, Assistant Secretary
Ms. Paula N. Auburn, Member
s Absent:
Legal) Counsel:
Redevelopment Staff:
News
Mr. A. Peter Donaldson
Mr. Kevin J. Butler
Mr. Carl Ellison, Executive Director
Mrs. Ann Kolata, Director
Mr. Kevin Horton, Assistant Director
Ms. Ann Bathon, Acquisition Specialist
Mr. Bill Fox, Relocation Specialist
Mr. Paul Falduto, Employment Targeting Asst.
Mrs. Jane Zimmerman, Executive Secretary
Mrs. Hedy Robinson, Secretary
Mr. Derrick Campbell, Work Study Student
Media: Ms. Jeanne Derbeck, Reporter, South Bend Tribune
Mr. Ed Ballotts, Photographer, South Bend Tribune
Mr. Brent Speraw, News Director, WRBR Radio
Mr. Pat Scanlon, Reporter, WNDU
Guests:
2. APPROVAL OF MINUTES
Mr. Ernest J. Szarwark, Attorney at Law
Mr. William Rigney, Vice President of Mossburg & Co.
The Chair announced that the Minutes
of t e Regular Meeting of Friday,
June 6, 1980, are not completed, as
they are in draft form. Therefore,
no action will be taken on them
at t is meeting.
3. APPROVAL OF CLAIMS
Ther were no claims to present
to t e Commission.
MINUTES NOT COMPLETED
FOR REGULAR MEETING
OF JUNE 6, 1980
THEREFORE NO ACTION
WAS TAKEN
NO CLAIMS
PRESENTED FOR APPROVAL
South Bed Redevelopment Commission
Special eeting - June 12, 1980
4. COMMUNICATIONS
Ther were no communications to present
to t e Commission.
5. OLD BUSINESS
Ther were no old business to present
to t e Commission.
6. NEW BUSINESS
a. ommission authorization requested for
e otiation and execution of "A reement
For Professional & Technical Services"
etween the City of South Bend, Depart
nent of Redevelopment and Craig Hill, R
onroe- Sample, pending legal review.
rs. Kolata: This is for a contract for
he preparation of maps for the Monroe -
ample project that we can use to print
ff of and have parcels delineated.
r. Craig Hill will complete the work
or us. The estimated value of the
ontract is about $250.00 or slightly
ore than that on an hourly basis.
r. Ellison: Are negotiations still
oing on?
rs. Kolata: No. The draft of the
ontract is being studied by legal
ounsel.
r. Butler: I have no comments at this
ime because I haven't quite finished
eading it, but I should have it com-
leted by the end of the day.
Ms. Auburn made a motion to approve
the negotiation and execution of
"Agreement for Professional & Technical
Services" between the City of South
Bend, Department of Redevelopment and
Craig Hill, Re: Monroe - Sample, pending
legal counsel review, seconded by Mr. Cira,
and the motion was unanimously carried.
2
NO COMMUNICATIONS
WERE PRESENTED
NO OLD BUSINESS
PRESENTED TO THE
COMMISSION
COMMISSION APPROVAL
GRANTED FOR AGREEMENT
FOR PROFESSIONAL &
TECHNICAL SERVICES
WITH MR. CRAIG HILL
RE: MONROE- SAMPLE
South Bed Redevelopment Commission
Special eeting - June 12, 1980
6. NEW OUSINESS (continued)
b, ax abatement request from Mossber & Co.
elative to an area commonly referred to
e street.
r. Ellison: As the Commission is aware
he Common Council a month or so ago,
aased an ordinance which established a
ew procedure for the consideration of
etitions for tax abatement. The Council
rdinance was designed to make more clear
he local process to be used in considering
hose petitions. Under the ordinance a
roperty owner petitions the Council for
ax abatement. The Council through the
ity Clerk, then refers the petition to
he Commission. The Commission has a
0 -day period in which to report its
indings to the Human Resources Committee
f the Council. Our job is to examine the
rea in question and make a finding of
hether the area in question qualifies
or a tax abatement from a condition
tandpoint. The staff undertook an
nvestigation and prepared a report
hat is included in your packet. The
rea in question is further delineated
n the back of the report on a map. When
e say area, we are referring to the exact
rea for which tax abatement was petitioned.
he report concludes that the area does
of qualify because the area does not
eet the condition tests that are called
or under the tax abatement statute.
he petitioner provided some photographs,
long with their petition, and we took
ome color photographs of the site as well.
r. Ellison pointed out the area in question
the Commissioners from a colored aerial
otograph). The site is located on East
nroe a couple of lots West of Fellows
reet. The site includes Mossberg's Office/
ctory facility, a warehouse, small commercial
ructure, an improved parking lot, and an
improved vacant lot on which the small
mmercial structure, sits. The project
lls for an erectjon of a 14,000 sq.ft.
dition apparently on the improved parking
t and on the east of the factory /office
cility. Based on our investigation of
3
South Be d Redevelopment Commission
Special eeting - June 12, 1980
6. NEW BUSINESS
b. continued....
Mr. Rllison continues...
the area, the report contains an
explanation section in which we
indicated that a visual inspection
of tat area took place and that
conc usions from that inspection
was hat conditions appear to be
well maintained and neat. In fact,
Moss erg appears to be an excellent
corporate citizen within the community.
In a dition we looked at the tax
assessment history of the property
from 1968 to the last assessment
and iound that while the increase
in valuation lagged the city as a
whole, we felt that the valuation was
not that significant. Based on that
and cther information as delienated
herein, the report then concludes
that the area does not qualify
because conditions exist on the
area in question which can be
corrected by the regulatory process
or b3 private enterprise, the area
in question has not been bypassed
or u derutilized, economic circum-
stances have not deterred normal
development, and the area in question
has rot become undesirable for or
possible of normal development
because of lack of development or
cessation of growth, deterioration
of improvements, and character of
occu ancy, age, obsolesence, sub -
stan and buildings or other factors
whic have impaired value or have
prevented normal development of the
property or use of the property.
The staff would recommend that the
Chair recognize Mr. Ernest Szarwark
who is the attorney for the petitioner.
Mr. I
you
at a
imtz: Mr. Ellison let me interrupt
or just one moment. Do you remember
meeting of the Council one evening
4
South Be d Redevelopment Commission
Special eeting - June 12, 1980
6. NEW BUSINESS
b. dontinued...
r. Nimtz continues...
hen a gentleman from Crowe Chizek
poke with us and we determined that
hey weren't eligible? Now was that
ecause they had already started their
uilding and this differs from that
articular abatement?
r. Ellison: In their situation they
ad constructed a building on urban
enewal land and the start of their
onstruction period was prior to the
ime the Council implemented the
batement process, and also prior
o the time of any ten years abatement
eing granted locally. Our advice to
hem was to rely on the previous statute.
he Chair recognized Mr. Ernest Szarwark,
ttorney for the petitioner (Mossberg & Co.):
r. Szarwark: Thank you very much Mr. Chairman.
ssentially Mossberg has no qualms as to the
actual findings in the staff's excellent
eport. Mossberg feels that it has been
good corporate citizen, rather the question
hat we are posing, and I think it is going
o be a rather important one, in terms of
ther people asking for tax abatement. "What
s the area at which you are going to look when
ou determine whether a particular parcel
f real estate is entitled to tax abatement ?"
ssentially, Mr. Ellison's report, looks at
ust the property owned by Mossberg & Co.,
hich shows a very small parcel of real estate
hat we own. It is true, we have kept up our
eal estate very well, and we have always tried
o modernize and keep the building in the best
ossible condition, to keep it clean, and as
r. Ellison said, a good corporate citizen.
hat we are saying, however, is that you can't
ust look at an isolated parcel of real estate
ou have to look at the surrounding neighborhood.
f you do look at the surrounding neighborhood,
ou are going to find that there are a lot of
roblems with it. The Southeast Area Planning
rofile calls this a troubled neighborhood,
5
South Ben Redevelopment Commmission
Special M eting - June 12, 1980
6. NEW BUSINESS
b. continued...
. Szarwark continues...
ting that one problem it had was a
rge number of vacancies both in terms
42 vacant structures and 120 vacant
rcels of real estate located within
nsus tract 17. The report futher
nt on to state that vacant properties
e (I am quoting here) "perhaps the
st significant land uses in the entire
ighborhood More recent Polk data
s a tendency to rate neighborhoods on
basis of a 1 - 4 scale. The four being
e best possible area. In the Polk
ting the particular portion of area
which we are located, came out with
1 rating, which indicated a very troubled
ighborhood. They also noted that there
re a decline in commercial units, and
increase in vacancies within this area.
you take a look at the pictures that we
ve passed around you can see that
ecifically, just between the very small
ea along Sample Street where we are
cated, looking north to the right of
ssberg's there is an empty building
d to the left there is a service station
at had apparently been abandoned and
nverted to a retail outlet which is now
osed. To the left there is a "junk
rd" actually a demolition company.
rectly in back of Mossberg's across
tt Street there is a lot that is now
ing rented for used trucks and vehicles
ich are apparently in delapidated
ndition. In other words, if you look
the broad neighborhood, you will see
at it is one that is severely troubled.
st year this Commission and the City
uncil determined that two pieces of
al estate within a five block radius
re entitled to tax abatement. I
lieve that one of the pieces of real
tate was the South Bend Toy Company.
question is that, do we look at the
rcel of real estate that Mossberg owns,
do we look at the neighborhood. I would
y that you ought to look at the neighborhood,
herwise, we are going to be saying that
O
South Ben Redevelopment Commission
Special M eting - June 12, 1980
6. NEW BOSINESS
b. Mlr. Szarwark continues....
people who take care of their
property and take care of their
real estate but who otherwise
just happen to be located in a
ad neighborhood to try to fight
he trend, aren't going to be given
any incentive to expand or to keep
p their property or to build new
ood additions. Whereas, someone
ho has additionally traditionally
let his property run down but
Bally hasn't cared about keeping
p the land quality that has contribut-
d to area blight is going to be per -
itted to invest more funds to rebuild,
to expand and I feel it is unfair to
enalize someone who has kept up their
roperty. It is unfair to say that
benefits only go to those people
who have let their property run
own or who have bought run down
roperty. I think that is the
arrow question before this Commission
end I hope that it will adopt a more
xpansive reading of that taken by
he staff report.
r. Cira: How much land do you plan
n purchasing?
r. Szarwark: We already own the land.
r. Cira: Well, you have the present
arking lot on it is that correct?
r. Szarwark: Yes sir, that is correct.
r. Robinson: Is it your position that
ecause of the other elements on the
ther side of Mossberg's that the
aluation of that property has gone
own?
Ir. Szarwark: Yes sir. If you take a
look at the entire neighborhood, you
vill find that the entire neighborhood...
7
South Bead Redevelopment Commission
Special Meeting - June 12, 1980
6. NEW BUSINESS
b. Mr. Robinson: I am not talking about
he neighborhood, I am talking about
our neighbor. Do you feel they have
ecreased the value ofthe property
that Mossberg owns?
. Szarwark: Certainly.
. Cira: I can see why you are that
chnical, because if you are going
be purchasing some additional
operty, but you are not, you are
st going to utilize the property
at you presently own. What are
u going to use for parking if you
e going to build on your parking lot?
Mr. Szarwark: We have directly behind
ossberg some additional real estate
which has been rented out. The lease
xpires in December of this year, and
at that point in time the lease will
not be renewed and that land is already
suitable for parking space, as a matter
of fact, it is paved. I believe there
is a fence surrounding the lot also.
It is just a question of repairing
he fence and using that as property.
There is also a parcel of land across
he street. It is vacant. And it
will be leased for parking while the
building is being built.
Mr. Cira: What is the cost of your
planned project?
Mr. Szarwark: It is $750,000, exactly.
Mr. Cira: Over ten years what will that
save in taxes?
Mr. Szarwark: $12,500 a year approximately.
Mr. Butler: That, of course, would be
the average.
Mr. Ellison: That information is purely
illustrative. As I see it the Commission's
job is not to determine public benefits
directly. As I understand it, it is
8
i
South B
Special
6. NEW
b.
Redevelopment Commission
ting —June 12, 1980
INESS
. Ellison continues....
hat the Commission's job is
o look at conditions and make
report to the Council with
espect to the conditions. Then
he Human Resouces Committee of the
ouncil, based on additional informa-
ion provided by the petitioner,
etermines whether to then suggest
o the Common Council that it pass
declaratory resolution. This would
lean that the Committee would find
ur findings and evidence to be suffi-
ient. The Public Hearing process
,ould have to follow the same process
s we would follow in the case of a
leclaratory resolution. At a public
gearing; public benefits as well as
:he cost of the abatement to the city
could be considered. We did decide
:o provide some information however
n our report purely for information
purposes.
r. Robinson: We are not supposed to
ake biased position as taxpayers in
his community that if they relieve
ome of theirs, that we are going to
ick up the added expense?
r. Ellison: That is correct. The
ssue, as Mr. Szarwark presents it,
s a policy one and it is a legislative
ntent one. The way we read the
rdinance our job is to look at the
onditions in the area for which abate -
ent is petitioned, which is what the
eport does. Mr. Szarwark is indicating
hat we may be in error from a policy
tandpoint if the abatement is denied
s we would penalize a good corporate
itizen who is operating in an.area
hat is otherwise perhaps in trouble.
Ir. Szarwark's conclusion therefore
s that the Council may have intended
shat we look at the broader area.
Mr. Nimtz: Refresh
Area Plan also have
tion or report?
my memory, does
to make a recommenda-
0
South Bead Redevelopment Commission
Specialf�eeting - June 12, 1980
6. NEW BUSINESS
b. dontinued....
r. Ellison: They do, however, there
s a strategic problem here as I see
t. If the Commission finds that the
rea does not qualify from a condition
tandpoint, in order to satisfy the
tate statute, the Human Resources
ommittee or someone would have to
ind that the conditions warrant the
batement. Conditions are the "kicker"
or the abatement; not economic need.
r. Cira: Mr. Ellison, if you apply
or tax abatement you must reside in
"blighted" area.
r. Ellison: The exact property that
ossberg owns that is being petitioned
n our opinion is not blighted.
r. Cira: They aren't going to purchase
ny of the area which is "blighted" area
or their addition so how can they qualify?
r. Nimtz: Mr. Szarwark's position is
hat the strip along there by Good
ousekeeping looks good, but his
osition is that if you look down Fellows
treet and Tutt Street ect, things
ren't too good, isn't that right
r. Szarwark?
. Szarwark: That is exactly right.
r. Ellison: I think I concur
ith him. I don't think there is
ny question, in fact, the report
escribes the a_rea,`for which the.abate-
ent is petitioned as a pocket of
ealth in an otherwise declining
esidential neighborhood. I think
t is a rather precise and exact
escription and it is accurate.
r. Robinson: If we were to reject
his petition could the other agencies
ive a plus vote and the project be
ent back to us for re- consideration.
. Butler: It would not have to come
10
South Bed Redevelopment Commission
Special �eeting - June 12, 1980
6. NEW OUSINESS
b. Mr. Butler continues....
ck to us for re- consideration.
. Nimtz: The City Council can
whatever they want to.
r. Ellison: I do think that the City
ouncil will have to in any event
ake a finding which suggests that
onditions that the statute require
o exist. That has to happen first
efore you can proceed further in
he process. If in fact the Common
ouncil's intent was to look at
broad area then I presume the
uman Resources Committee would
to that and would come to its own
'inding.
Hr. Szarwark: The problem is that if
this committee gives a negative vote
on it, I would think that tax abatement
probably would be dead, because certainly
the Common Council has decided to look
to this group as a body of expertise
when it comes to the quality of neighbor-
hoods and the quality of land with the
City. If you take.a look at the procedures
for tax abatement, it is long and involved
but it is fairly precise. This group
is looked upon as having a body of
expertise with respect to specific
quality of the environment, of the
neighborhood, and of land within the
City. Area Plan is looked upon as having
a body of expertise in terms of the
overall land use. It might be that a
piece of property is very badly
delapidated and should be redeveloped
but not in a particular way that
somebody is proposing. For example,
building a smelting plant in downtown
South Bend. On the other hand, the
Human Resources Committee presumably
was put in the process because it has
the duty of laying benefits weighing
benefits to be done by the Redevelopment
against the taxpayer's cost. I think
that if you had a negative report from
11
South Bed Redevelopment Commission
Special eeting - June 12, 1980
6. NEW BUSINESS
b. Mr. Szarwark continues.....
ne of these third groups it
s very unlikely that the City
ouncil is going to approve the
ax abatement, simply because
he procedures are very laid out.
hey are looking to people for their
xpertise. As I said before, I don't
hink it was the intention of either
he City Council or the state when
t passed the neighboring legislation
o just a specific local parcel of real
state.
r. Ellison: Mr. Szarwark, I believe
he problem is that I don't think the
ouncil intended to look at broad areas,
ecause if we look at broad areas and
etermine that conditions exist for an
batement, what we would wind up doing
s abating the entire area. I think
he Commission's attitude previously,
nd I believe the Council's as well,
as to consider abatements on a case
y case basis not on an area by area
asis.
r. Szarwark: That is because you
ave to consider other things when you
re giving an abatement. Namely, for
xample, is the particular use of real
state which is going to be made by
he person seeking abatement consistent
ith the overall development of the
ity. Is the project one which for
ne reason or another because of the
mall number of jobs to be created or
ecause of potential disadvantageous
spects of the development plan one
hich the taxpayer benefit is just
oing to be outweighed by other aspects.
think these are the reasons why the
ouncil decided to go on a case by case
asis rather than for example as Elkhart
as done, just declare areas of the town
edevelopment areas. They have followed
hat route by the way. I don't think
he City Council wanted to just look at
ndividualized parcels. What happens
12
South Bed Redevelopment Commission
Special eeting - June 12, 1980
6. NEW BUSINESS
b. Mr. Szarwark continues...
hen you have situations like
his where you have good corporate
itizens who want to expand in a
eighborhood which beautification
xpansion would be highly desirable
specially given the declining area
f surrounding property, the values
nd make up of the surrounding property.
r. Cira: But, you are not purchasing
ny additional property, that is the
ig hang up. If you purchase a block
could understand why you would
ualify, but you own the present pro -
erty there and you are just going to
dd on to the parking lot, and you
ave an option across the street. I
an't see where it is going to be any -
ore of an asset to the neighborhood
han you are right now. You are an
sset to the neighborhood, there is
o question about that.
r. Szarwark: Certainly they plan on
eeping up their property and they are
oing to beautify it.
Cira: We have to be careful because
will leave the door open to some other
titioners, who are businessmen in
is community.
r. Szarwark: If you have someone who
as a good establishment in a good area,
it seems that they shouldn't be entitled
to a tax abatement, and there is no
ay they would be entitled to it. Under
he program we have a situation in which
r. Ellison has asked the Council to
accept. When you have the situation,
let us say you have a prime piece of
real estate, in a very good area of
own, one which is welded up, something
like an Industrial Park for example,
he land is selling like hotcakes, but...
you have one individual corporation there
ho is letting his land run down, the
uilding run down, everything is not
in good shape, everything is outmoded,
13
South Bed Redevelopment Commission
Special eeting - June 12, 1980
6. NEW OUSI
b. Mr. Szarwark continues...
t is an eyesore in the neighborhood...
ou are going to say granted it is
11 very good, prime industrial ground
nd somebody else would be glad to buy
t and move in, but it is run down,
herefore it is entitled to abatement.
Ir. Ellison: No, Mr. Szarwark. In that
ituation what you would do is enforce
he codes. If an area is otherwise
pwardly trnasitional with respect to
is overall condition, and if there
s an isolated property that is deterior-
ted, and stands out like the eyesore,
he typical governmental response is
o undertake code enforcement to use
he regulatory process. As I see it
he problem is that neither the
ommunity nor the Council or Commission
ants to provide disincentives to
usiness, certainly not to Mossberg.
t has indeed been a very good corpor-
te citizen, and it does indeed have
ery well maintain property as was
oted. Tax abatement from a legis-
ative standpoint, a state legislative
ne, is not primarily a business de-
elopment ingentive. What it is,
s an incentive that is designed
o correct blighted conditions. The
undamental problem that we have is
hat the project will not address
lighted conditions because we
ind that there do not substantial
onditions which might be considered
lighted ones in the area.
Ir. Szarwark: The extent to which
,ou show development in an area, in
broader area, that is going downhill,
nd to the extent that you show expan-
ion, you show that none of these
properties are going to be kept up
.re going to be improved. You do
reate an atmosphere within an area
therein development can occur. Certainly
f corporations or executives looking
.or persons to locate their corporations
14
South Bed Redevelopment Commission
Special eeting - June 12, 1980
6. NEW 3USINESS
b. Mr. Szarwark continues...
ee that within their neighborhood
re building, standing, and keeping
p thier property, the firm will
ikely say that this is a good place
o go in. The property values would
e low because they have been tradition -
lly run down, the people are keeping
hem up and they are probably going
o do a continuing investigation in
here, so lets buy some real estate
hile it is low; let us build here
ather than someplace else where
verything looks just great, but
eal estate prices are higher. So,
ou create an incentive, you create
n atmosphere where corporations are
illing to take the gamble on the
est. On the other hand, if you
ust say that people are keeping up
heir property in a blighted neighbor -
ood.that is fine, but no tax abatement
o expand or improve, you are going to
nd up with a certain type of stagnation.
don't think that this Commission wants
o see these areas.
r. Ellison: The problem I see is that
he businesses incentive-is not tax abate -
ent. It is probably some other form
f public assistance. The fundamental
urpose of tax abatement is to cause
he cessation of elimination of deterio-
ating conditions which when added together
ommonly are called "blighted ". Theoretical -
y, a redevelopment treatement which would
resumably have to address those kinds of
onditions. The proposed project or
edevelopment treatment will not directly
ffect those conditions. Certainly, it
ould add to the area but it is not
mproving unimproved real estate, eliminat-
ng substandard buildings that exist on
he site correcting land use, or any
f the traditional things that the
ommission has to consider in considering
edevelopment plans of its own. The
uestion is not whether business incentive
s necessary. Rather, the question
efore the Commission is whether the
rea (the abatement area) from a condition
15
South Be d Redevelopment Commission
Special eeting - June 12, 1980
6. NEW BUSINESS
b. Mir. Ellison continues....
tandpoint exhibits those qualities
hich warrant an incentive to cause
edevelopment treatment to take place.
r. Butler: This is the first petition
hich has been filed with the Council
nd submitted to the Redevelopment
epartment for its review under the
ew procedures. It is my interpreta-
ion of the ordinance that we are to
ook at the specific property on which
he project is going to be redeveloped.
n the ordinance itself I believe there
s considerable language that leads to
hat conclusion. Beyond that, the
epartment was involved in the develop -
ent of the process itself. This matter
as considered during the development
f the process, and it is my understanding
hat the intent was to limit the review
y the department and then ultimately
y other bodies who are going to be
ooking at it, to the specific
arcel in question when it comes to
he issue of whether the project is
oing to be developed or going to occur
n land that has been bypassed or under -
tilized due to economic circumstances
hich have deterred normal development.
s Mr. Szarwark i rtdi Cates as a rule the
ouncil when ultimately making the
ecision, is going to look to our recom-
endation along with recommendations
y other bodies. However, our recommend -
tion as based upon the report is directly
elated to that interpretation. If the
ouncil determines that our interpreta-
ion is wrong then of course, they are
of going to follow, that is,:assuming
f the Commission were to adopt the
taff's report.
r. Szarwark: May I ask the Commission
or this, then? I think that there is
general agreement with respect to the
acts, namely that our parcel of real
state is not blighted but that the
eighborhood is such that general
onditions....
16
South Belnd Redevelopment Commission
Special Meeting - June 12, 1980
6. NEW BUSINESS
b. continues...
r. Ellison: I did not say that.
r. Szarwark: Generally, the conditions
f the neighborhood are such that economic
incentives are appropriate for the neighbor -
ood, and if the Council would be willing
to do that I would appreciate it if
they would make that sort of finding.
ssentially, it would be up to the City
ouncil,to say—well, our intention
hen we passed the original ordinance
as to look at the individual parcel,
herefore they can pick up your finding,
nd the individual parcel does not merit
ax abatement, or that our intention
hat is, the intention of the City Council,
as to look at the broader area in which
ase they could pick up on your findings
n the broader areas. Otherwise, it is
ertually impossible for the City Council
o come to the conclusion that tax
batement would be proper since they
ould have no opinion from this group
s to the character of the broader area.
r. Ellison: Mr. Szarwark, I would
ust note that we did discuss the areas
omewhat. We referred to the community
evelopment plan and the overall NSA.
think that examination of that plan
ould back up the comment that the
SA has experienced steady residential
ecline for at least fifteen years and
hat the overall area is certainly
eclining.
Ir. Szarwark: What I would like,
Ir. Ellison is a specific statement
hat the general area is such that
conomic consentives are appropriate
f we focus on the general area,
ather than on'the narrow parcel. If
e would have that then essentially
he next step would be to get an
pinion or to go before the Human
esources Committee, which would
ave some of the same people on it
o draft the ordinance, and probably
17
South Beld Redevelopment Commission
Special eeting - June 12, 1980
6. NEW BUSINESS
b. Mr. Szarwark continues...
I
ould give us some idea what their
ntention was. This is a very important
uestion and it is something which is
robably going to come up again and
gain, and if you would be willing to
ive that sort of report we could let
he body that enacted the legislation
ecide what its intention was for future
urposes.
r. Nimtz: To refresh everyones recollect -
on Mr. Ellison and I were meeting before
he Council defending Mr. Szarwark on
ome other project before the tax abate -
ent was completed. It was at that time
hat the Council decided upon our recom-
endation to go by project by project
asis rather than area.
r. Szarwark: I wish to thank the Commission
or your time.
r. Nimtz: Do you have any comments regarding
r. Szarwark's last recommendation?
r. Butler: I do believe that the language
n the last printed page of the draft
eport does really provide that kind
f information to the council......
pecifically that "deterioration and under -
tilization conditions that exist within
he NSA as a whole, do not specifically
xist within the area in question. Indeed
he industrial area for which tax abatement
ansideration is petitioned is clearly a
ocket of health within and otherwise
eclining residential neighborhood ".
. Nimtz: We will be having a hearing
is summer concerning the Monroe - Sample
. Ellison: The NSA includes much more
an Monroe - Sample; it is basically every -
ing from Monroe Street to Ewing, over
Miami and back down to Main Street.
is a large area.
South Bed Redevelopment Commission
Special eeting - June 12, 1980
6. NEW OUSINESS
he Chair recognized Mr. Rigney,
ice President of Mossberg & Co.
r. Rigney: We have not only been
good commercial neighbor but we
ave been a good neighbor to the
eople in that area. That is in
pite of the fact that we have
omplete glass windows that are
bout 25 ft. high, and in the past
5 years since that new addition to
he building was added on, there have
een only two occasions whereby damage
as done to the windows or to our
roperty. I think the people in that
rea appreciate us for keeping up
ur property in the way that we do.
am asking your indulgence to
onsider our request for tax abatement.
r. Ci'ra: What effect does that area
ave on your business? Saying that
ou are in active area and you would
ove out to the Airport Industrial
ark would not affect your buying
usiness now would it?
r. Rigney: What we originally put
n our new addition (I believe it
as in 1958) we had considered looking
t property elsewhere, but Mr. Mossberg
ad roots here and he absolutely refused
o let an architecture or anyone else
alk him into moving anywhere else. We
ave had reluctance from people who have
anted to come to us, especially if
hey had to come at night. I really
on't feel this has affected our business
n any way.
r. Nimtz: The record shows that you
ave been good citizens and good neighbors.
r. Cira made a motion to approve the
eport of the Redevelopment Staff that
he area commonly referred to as 301 East
ample Street does not qualify for tax
batement, seconded by Mr. Robinson and
he motion was unanimously carried.
19
COMMISSION REJECTION
OF TAX ABATEMENT
REQUEST FROM MOSSBERG & CO
South Bead Redevelopment Commission
Special eeting. June 12, 1980
6. NEW OUSINESS
b. dontinued....
r. Nimtz: Mr. Rigney let me say this
o you, I thine there -has been a good
iscussion here and.I think under the
nterpretation of the ordinance, it is
he only thing we can do. I presume
hat when we have the hearing, that
he whole area there is going to be
ound to be blighted. I feel the
taff is right under.the strict inter -
retation of the ordinance. I would
e pleased to talk to the Council as
o what the area is down ther if Mr.
zarwark would like me to, but under
he strict interpretation of the
rdinance, the staff report is correct.
7. PROGRESS REPORTS
here were no progress reports to present
o the Commission.
8. NEXTICOMMISSION MEETING
The ext regularly scheduled South Bend Re-
development Commission Meeting will be held
on J ne 20, 1980, at 10:00 A.M.
9. ADJ
There
befor
moti c
by Mr
carri
MENT
being no further business to come
the Commission, Mr. Robinson made a
n that the meeting be adjourned, seconded
. Cira and the motion was unanimously
ad. The meeting was adjourned at 10:18 A.M.
ME
NO PROGRESS REPORTS
PRESENTED
NEXT COMMISSION
MEETING
ADJOURNMENT
South BE
Special
;nd Redevelopment Commission
Meeting- June 12, 1980
A a.,L�
L end Carl Ellison, Executive Director
21