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HomeMy WebLinkAboutRM 09-11-81September 11, 1981 10:00 a.m. Presiding Officer: 1. ROLL Members SOUTH BEND REDEVELOPMENT COMMISSION RESCHEDULED REGULAR MEETING Mr. F. Jay Nimtz President 1200 County -City Building 227 W. Jefferson Boulevard South Bend, Indiana 46601 Present: Mr. F. Jay Nimtz, President Mr. Lloyd E. Robinson, Sr., Vice President Mr. A. Peter Donaldson, Secretary Mr. Robert J. Cira, Assistant Secretary Ms. Paula N. Auburn, Member Legal Cc unsel: Redevel pment Staff: Communi y Development Staff: News Guests: 2. APPROV4 OF MINUTES Mr. Kevin Butler Mr. Patrick M. McMahon, Executive Director Mrs. Angela Coar, Executive Secretary Pairs. Mary Dockter, Secretary Mrs. Kathryn Baumgartner, Director, Bureau of Housing Ms. Janet Satterthwaite Ms. Jeanne Derbeck, Reporter, South Bend Tribune Mr. Stephen J. Luecke Mr. T. Brooks Brademas Mr. John Hill Mrs. GlendaRae Hernandez On a motion by Mr. Robinson, seconded by Ms. Auburn and MINUTES OF RESCHEDULED unanimo sly carried, the Minutes of the Rescheduled REGULAR MEETING OF FRIDAY, Regular Meeting of Friday, August 28, 1981 were approved. AUGUST 28, 1981 WERE APPROVED 3. APPROVAU OF CLAIMS Mr. Nimtz placed Mr. Robinson in the chair due to claims for Sou hold'fleritage Foundation and the Indiana Land- marks Foundation. Mr. Nimtz cannot approve these claims as he is a member of their respective boards. On a motion by Ms. Auburn, seconded by Mr. Cira and CLAIMS APPROVED unanimo sly carried, the claims totalling $65,804.47 were allowed and ordered to be paid. The authorized claims re: South Bend redevelopment Commission Rescheduled Regular Meeting - September 11, 1981 3. APPROVAL OF CLAIMS (continued) REDEVELOPMENT DISTRICT CAPITAL Albert Kahn Associates, Inc. TOTAL P.E.A. 4 MONROE- SAMPLE AREA Judy Ro heck Edward Christine Showers - Parcel 14 -25 St. Jos ph County Treasurer - Parcel 1 -5 St. Jos ph County Treasurer - Parcel 14 -25 St. Jos ph County Treasurer - Parcel 14 -25 Isaiah 8 Verneice Steed and Highland Park Realty - Parcel 16 -28 William R. & Kathryn Screes - Parcel 1 -5 Esther aldon and Anchor - Doolittle Realty Parc 1 6 -1.1 Lorenzo Rogers - Parcel 14 -2 Lorenzo Rogers - Parcel 14 -2 Josephine Kutch - Petty Cash Josephine Kutch - Petty Cash Peggy Forrest Walter S. & Lennis L. Stuglik - Parcel 14 -40 and 14 -32 Abstract Company of St. Joseph County - Parcel 16 -11, 12 -21, 7 -35 and 15 -4 Abstract Company of St. Joseph County - Parcel 15 -15, 14 -19, 7 -32 and 7 -29 Abstract Company of St. Joseph County - Parcel 16 -42A, 14 -2 and 15 -14 Historic Landmarks Foundation of Indiana P.E.A. - Josephin Josephin EAST BANK Kutch - Petty Cash Kutch - Petty Cash TOTAL $ 361.26 $ 361.26 $ 250.00* 906.33* 20.51* 27.68* 65.99* 15,000.00* 10,829.49* 14,927.50* 350.00* 4,000.00* 8.00* 21.00* 300.00* 75.00* 75.00 62.50 62.50 400.00 ** $47,381.50 $ 7.60* 12.50* TOTAL $ 20.10 South Bend edevelopment Commission Rescheduled Regular Meeting September'll, 1981 3. APPROVAL OF CLAIMS (continued) P.E.A. 4 IND. R =66 Northea t- Midwes Josephi e Kutch Josephi e Kutch Credit Eureau of Postmas er Smith P troleum, t Institute - Petty Cash - Petty Cash South Bend - Mishawaka Inca TOTAL P.E.A. 4 312 LOANS Southolc Heritage Foundation, Inc. Charles Brown Maintenance Co.., Inc. and Tom S Linda Dobbrastine Warren Flumbing Service & Willie Howell Tri-State Home Improvement and'Willie Houiell Barry K ine Floor Sanding Contractor and Paul Hayden Ritter lecorating & Construction Company and Lawrence & Deborah Dwyer Alexani n Brothers and Paul Hayden Ritter lecorating & Construction Company and Lawrence Dwyer Charles Brown Maintenance Co., Inc. and Arde is Rogers TOTAL GRAND TOTAL $ 5.00* 21.00* 23.48* 10.00 69.02 Pi AA $ 209.94 $ 6.45.68 ** 3,122.00 210.00 10,145.00 558.00 613.00 729.00 622.00 1,186.99 $17,831.67 $65,804.47 Upon mo ion by Mr. Cira, seconded by Mr. Donaldson and unanimo sly carried, the claims signed prior to the meeting and denoted with an asterisk ( *) were ratified and confirmed. Mr. Nim z did not approve claims for Historic Landmarks Foundation of Indiana or Southold Heritage Foundation, Inc. since he is a member of their 'respective boards. The claims are noted with a double asterisk ( * *). 4. COMMUN1CATIONS There ware no communications to be presented to the Commission. 3 THERE WERE NO COMMUNICATIONS TO PRESENT TO THE COMMISSION South Bend edevelopment Commission, Rescheduled Regular Meeting - September 11, 1981 5. OLD BUSINESS There was no old business to present to the Commission 6. NEW BUSINESS a. Commission approval;reouested for the following lease 1n the Monroe-�56mple Name Address Enid Sp hnholz 718 Carroll St. 8 -13 THERE WAS NO OLD BUSINESS TO PRESENT TO THE COMMIS- SION 'Area. Parcel No. Amount 1st Payment Da $96.25 12 -1 -81 Mr. McMahon stated that this lease is consistent with our policy and guidelines. On z motion by Mr. Cira, seconded by Mr. Donaldson COMMISSION APPROVED LEASE and unanimously carried, the request for the lease WITH RESIDENT IN MONROE- in the Monroe- Sample Development Area was approved. SAMPLE DEVELOPMENT AREA b. Commission approval requested for the followinc Non Profit Rehabilitation Grants to Renew, Inc. Address Amount 162E Kendall $8,093.00 921 North Hill 8,856.00 Mr. McMahon stated that the request before the Com- mis ion will bring the number of non- profit rehabil- ita i.on grants awarded to Renew, Inc. this year to eig t. From a monitoring standpoint of their activity their programs have been starting and completing in a ver satisfactory time period. On z motion by Mr. Donaldson, seconded by Ms. Auburn and unanimously carried, the request for the Non Pro it Rehabilitation Grants to Renew, Inc. was approved. c. Commission approval requested for the following Non - Profit Rehabilitation Grants to Neighborhood Hou ina Service. Inc. Addrfess 714 736 North Cleveland North Blaine Amount $10,000.00 9,442.00 4 NON- PROFIT REHABILITATION GRANTS TO RENEW, INC., FOR 1625 KENDALL 'AND .921.NORTH HILL WERE APPROVED South Bend redevelopment Commission Rescheduled Regular Meeting - September 11, 1981 6. NEW BUSINESS (continued) c. continued... Mr. McMahon stated that Mr. LaMar Wilson heads the Nei hborhood Housing Service, Inc., in conjunction witi local banks, and they are responsible for similar types of improvements as explained in Ite 6(b). On z motion by Mr. Donaldson, seconded by Mr. Robin- son and unanimously carried, the request for the Non Profit Rehabilitation Grants to Neighborhood Housing Service, Inc., were approved. d. Com ission approval requested for a Non- Profit Reh bilitation Grant to South Bend Homeowners Of he Near'Northwest, Inc., in the amount of $10 000.00.for a house located at 1042 Van Buren StrE et. Mr. McMahon stated that this group has worked wit two other houses and completed them in a tim ly fashion. On a motion by Mr. Robinson, seconded by Mr. Donaldson and unanimously carried, the request for a Non- Profit Grant to South Bend Homeowners of the Near Northwest, Inc., was approved. e. nom Sec wit Name ission aooroval recommendation Reynald & Glenda Hernandez 702 Eas South Street Willie Catherine Howell 814 Nor h St. Peter Street Bruce & Vivian Langdon 906 -908 Corby Blvd. Carlis Priscilla Phillips 1106 West Washington Ave. uested for the followi m proposals in aecorda the Bureau of Housinq. Contractor NON- PROFIT REHABILITATION GRANTS TO NEIGHBORHOOD HOUSING SERVICE, INC., FOR 714 NORTH CLEVELAND AND 736 NORTH BLAINE WERE APPROVED NON- PROFIT REHABILITATION GRANT TO SOUTH BEND HOME- OWNERS OF THE NEAR NORTH- WEST, INC., FOR 1042 VAN BUREN STREET WAS APPROVED Amount Shamrock Exteriors $10,670.00 Jack Frost Company, Inc. 449.00 Plaia Construction Co. 13,451.00 Famco Construction Co. 3,487.00 b1 South Bend edevelopment Commission Rescheduled Regular Meeting - September 11, 1981 6. NEW BUSINESS (continued) e. continued... Name Michele Pietraszewski 828 Sou h Brookfield Street Edward Merle Soltesz 715 North Blaine Street Alma Trtwick 326 Nor h O'Brien Street Contractor Aardvark Construction Co. Warren Plumbing Service Shamrock Exteriors Mr. McMahon stated that these proposals are for construction contracts. We normally see requests from individuals two times, for the loan and for the construction contract. As we noted at an earlier meeting, Section 312 money this year has beeri released on a limited basis state -wide. Of the $400,000 released, South Bend has applied for an amount in excess of $100,000. This morning Mrs Baumgartner received word that the State has only $4,000 left in this fund and, as a result,I am requesting that three (3) proposals be dropped from this list and also from the Section 312 Loan app icationslisted under Item (f). They are: Reynaldo and Glenda Hernandez, Bruce and Vivian Lan don, and Velma Trawick. The other requests lis ed under this item, with the exception of Michele Pietraszewski, have been previously ap- proved on loans so the contract money is there. With respect to Michele Pietraszewski, we would like to have this proposal approved subject to the amount being revised downward to about $4,000. Cosmetic items will be eliminated and only code items will be addressed. We will sub- mit the revised contract_ amount for your approval at he next meeting. Mr. Robinson asked whether this fund would receive additional money at a later point in time. Mr. McM hon stated that the 312 Program has been core letely eliminated by the Reagan Administration and we do not expect to see it again. Amount $ 5,530.00 1,200.00 9,900.00 On a motion by Mr. Donaldson, seconded by Ms. Auburn COMMISSION APPROVED FOUR (4) and unanimously carried, the request for Section 312 SECTION 312 LOAN PROGRAM Loar Program proposals were approved for Howell, PROPOSALS Phillips, Pietraszewski`, and Soltesz. me South Bend edevelopment Commission Rescheduled Regular Meeting - September 11, 1981 6. NEW BUS NESS (continued) f. Commission approval requested for the following 'Section 312 Loan applications. Name Amount Loan No. GlendaR e & Reynaldo Hernandez $10,500.00 18 /OMC 0011/302/1 702 East South Street Bruce & Vivian Langdon 14,750.00 18 /OMC 0011/309/1 906 Cory Street Michele Pietraszewski 16,050.00 18 /OMC 0011/307/1 828 South Brookfield Street Alma TrIwick 10,750.00 18 /OMC 0011/308/1 326 Nor h O'Brien Street Mr. McMahon stated that the only Section 312 Loan application under consideration for approval is for Mic ele Pietraszewski,in the amount of approximately $4, 00, as explained under Item 6(e). On motion by Mr. Robinson, seconded by Ms. Auburn COMMISSION APPROVED SECTION and unanimously carried, the application for a 312 LOAN APPLICATION FOR Sec ion 312 Loan was approved for Michele Pietra- MICHELE PIETRASZEWSKI sze ski. g. Com i;s_s.ion approval requested ' for the following Section 312 Loan applications as part of the Rental Rehabili- tation Demonstration Project. Name Amount Loan No. T. Brooks Brademas 222 Broadway T. Brooks Brademas 230 East Broadway T. Brooks Brademas 626 Broa way T. Brooks Brademas 636 East Broadway T. Brooks Brademas 229 East Dubail $6,667.00 18 /OMC- 0011/317 -1 6,667.00 18 /OMC- 0011/318/1 6,667.00 18 /OMC- 0011/319/1 6,667.00 18 /OMC- 0011/320/1 6,667.00 18 /OMC- 0011/321/1 7 South Bend edevelopment Commission Rescheduled Regular Meeting - September 11, 1981 6. NEW BUS$NESS (continued) g. continued... Name 1 1. 1 Amount Loan No. T. Broo s Brademas 318 Eas Dubail T. Broo s Brademas 226 Eas Haney T. Brooks Brademas 625 Haney T. Brooks Brademas 202 East Indiana Avenue T. Broo s Brademas 206 Easi Indiana Avenue T. Broo s Brademas 221 East Indiana Avenue T. Broo s Brademas 227 Easi Indiana Avenue T. Broo s Brademas 1408 Marietta T. Broo s Brademas 1612 South St. Joseph T. Broo s Brademas 1614 South St. Joseph $6,667.00 18 /OMC- 0011/322/1 6,667.00 18 /OMC- 0011/323/1 6,667.00 18 /OMC- 0011/324/1 6,667.00 18 /OMC- 0011/325/1 6,667.00 18/OMC- 0011/326/1 6,667.00 18/OMC- 0011/327/1 6,667.00 18 /OMC- 0011/328/1 6,667.00 18/OMC- 0011/329/ 1 6,667.00 18 /OMC- 0011/330/1 6,667.00 18 /OMC- 0011/331/1 Mr. McMahon stated that the Federal government selected South Bend as one of 7 or 8 demonstration cities to participate in a Rental Rehabilitation Demonstration Project. It will be concentrated in the southeast portion of the City and it is all directed toward tenant occupied rental units. The concept of the ppro ram is that we deposit $100,000 of our Community Dev lopment funds this year and the Government will giVE us $100,000 in 312 Loans. We have received bids fron a number of individuals who expressed an interest in in this program to rehabilitate those ten �articipating nt occupied structures. We ill receive a Section 8 Certificate for every `10,000 that we are injecting from the Community De- vel pment Program. For the $100,000 we are putting South Bend edevelopment Commission Rescheduled Regular Meeting - September 11, 1981 6. NEW BUSINESS (continued) g. continued... in this year, we will receive 10 certificates. We are committed to put in another $100,000 next year out of our 1982 money. That will allow us to re- ceive approval for a total of twenty (20) Section 8 Certificates. These certificates then can be issued to ligible parties occupying these structures and they wil receive the benefits associated with being declared rec pient of the certificate. The certificate enables the recipient to pay an amount equivalent to 25% of the r total income for rent. The balance is then paid by 4he Federal government through the Section 8 Program. Mr. T. Brooks Brademas has worked with us quite closely throughout the project and submitted a list of 15 houses that we recommend for approval. (We had two other in- dividuals submit quotations to us and one of them, Andrew Place, will receive funding for 10 units from another source, not utilizing the 312 loans themselves, but through a combination of our money. tJe'.wi l;l be') coming forward at a later date to the Commission.) We are asking Commission approval for Mr. Brademas' 15 units so that we can send the appropriate paperwork dowr State for approval. We will then have to complete somE additional paperwork and submit it to the HUD Was ington office no later than September 30. Mr. Brademas explained that his architects prepared the inf rmation on the 15 units. Presently title searches are in progress and we have an option -to- purchase on all of the properties. Mr. Brademas further explained that his organization will use an average of $25,000 on Each unit for rehabilitation work. They will put in 115,000 of their own money and will look for assis- tance from Community Development and Rehabilitation Pro rams for the additional money. Mr. Brademas stated that it should not take any longer than six months tot alto to renovate each house. Two of the units con- tall two apartments each, the rest are single - family dwellings. We have a responsibility, as part of this program, to insure that all of the existing tenants are properly rehoused. One of the thrusts of the program is to try to rehouse them in the same building or in the same neighborhood. We anticipate that the rent for a 3 or 4 bedroom house will be around $300 per month, with about $65 of that being allocated for utilities and the balance to cover maintenance and taxes and to pay South Bend edevelopment Commission Rescheduled Regular Meeting - September 11, 1981 6. NEW BUSINESS (continued) g. continued... off the loan. The tenant would pay 25% of their adj sted gross income and the balance would be picked up y the Section 8 Certificate. Mr. Brademas stated that his organization is going to carry out the maintenance and management programs. We will ask for meetings with several churches in the area in lopes of recruiting several of the younger men from the area to work with us during the actual rehabilita- tio process and hope to retain one or more of them to rem in in the neighborhood to handle the day -to -day mai tenance tenants may require. On z motion by Mr. Robinson, seconded by Mr. Cira and una imously carried, the 312 Loan applications for the Rental Rehabilitation Demonstration Project were approved. 7. PROGRESS REPORTS There arfe no additional progress reports to present. 8. NEXT COMMISSION MEETING 312 LOAN APPLICATIONS FOR RENTAL REHABILITATION DEMON- STRATION PROJECT APPROVED The next Commission Meeting will be held on Friday, NEXT COMMISSION MEETING WILL Septemb r 25, 1981. BE FRIDAY, SEPTEMBER 25, 1981 9. ADJOURNMENT There b ing no further business to come before the Com- ADJOURNMENT mission, Mr. Robinson made a motion that the meeting be adjourn d. The motion was seconded by Mr. Cira and unanimo sly carried. The meeting was adjourned at 10 :58 a.m. f President P �k M. McMahon, rxecutive Director 10