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HomeMy WebLinkAboutRM 02-19-82February 19 10:00 a.m. Presiding 0 1. ROLL CA Members Members Legal C SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING 1982 1200 County -City Building 227 W. Jefferson Boulevard fficer: Mr. Lloyd E. Robinson, Sr., South Bend, Indiana 46601 Vice'Pr.esident LL Present: Mr. Lloyd E..Robinson, Sr., Vice President Mr. A. Peter Donaldson, Secretary Ms. Paula N. Auburn,.Assistant Secretary Mr. Roman J. Piasecki, Member Absent: )unsel : Redevelopment Staff: Communi Staff: News Me Guests: 2. APPROVE Development iia: L OF MINUTES Mr. F. Jay Nimtz, President Mr. Kevin J. Butler Mr. Patrick M. McMahon, Executive Director Mrs. Ann Kolata, Deputy Director, Redevelopment Mr. Kevin Horton, Deputy Director, Economic Development Mr. Donald E. Inks, Fiscal Officer Mr. Herman Lee, Administrative Assistant Mrs. Angela Coar, Executive Secretary Ms. Fines Mosby, Secretary M,,rs. Kathryn Baumgartner, Director, Bureau of Housing Ms. Jeanne Derbeck, Reporter, South Bend Tribune Mr. Richard L. Hill, City Attorney Mrs. Eugenia Schwartz, Assistant City Attorney Mrs. GlendaRae Hernandez Mr. Charles Pomeroy, South Bend Toy, Inc. Mr. John Voorde, Councilman Mr. Don McManus, Southold Heritage Foundation, Inc. Upon a otion made by Ms. Auburn, seconded by Mr. Donald - son and unanimously carried, the minutes of the Regular Meeing f Friday, February 5, 1982 were approved. 3. APPROVAL OF CLAIMS Upon a otion made by Ms. Auburn, seconded by Mr. Donald - so.n and unanimously carried, the claims totalling $122,15 .39 were allowed and ordered to be paid. The authori ed claims are: MINUTES OF REGULAR MEETING OF FEBRUARY 5, 1982 WERE APPROVED CLAIMS APPROVED South Bend Redevelopment Commission Regular Meeting - February 19, 1982 3. APPROV, REDEYE' South Tri -Co Traveli Clyde L OF CLAIMS (continued) _OPMENT DISTRICT CAPITAL end Tribune my News ore E. Williams & Associates REDEVELOPMENT DISTRICT CAPITAL 1972 The Am rican City Corporation Peat, Marwick, Mitchell & Company PROJECI EXPENDITURE A Community Development LINT MONROE-SAMPLE AREA PROJECT The Abstract Y Title Corporation of South Bend - Parcel 7 -24 The Abstract & Title Corporation of South Bend - Parcel 11 Community Development Indian & Michigan Electric Company Lang, eeney & Associates South end Tribune EAST BE Lifesp� K AREA PROJECT e Designs, Inc. $ 29.81 34.54 232.00 TOTAL $ 346.00 TOTAL $ 13,909.32 1,400.00 15,309.32 $ 90,000.00 TOTAL $ 90,000.00 $ 28.00 100.00 50.00 15.01 170.00 TOTAL $ 448.56 $ 720.00 TOTAL $ 720.00 4 South Bend Commission Regular Mee�edevelopment ing - February 19, 1982 3. APPROVAL OF CLAIMS (continued) Communi Smi th S LaFree Adams -R Kevin J Busines Credit First A I.B.M. I.B.M. Indiana Makiels Smi th P Fund -Ra Mortgag Communi I.B.M. .. ty Development tandard Heating & Cooling xcavating, Inc. 2mco, Inc. . Butler s Systems, Inc. 3ureau of South Bend - Mishawaka ito Lease, Inc. Bell Telephone Company ki Art Shop, Inc. etroleum, Inc ising Institute e Banking ty Development Training Institute P.E.A. 1- 312 LOANS Communi Communi Big "C" ty Development ty Development Lumber & Victoria Duggan 4. COMMUNIICATIONS $ 11,709.02 28.50 500.00 189.00 200.00 69.15 10.00 212.76 66.00 55.00 383.30 22.35 44.82 26.70 20.00 500.00 .cr nn TOTAL $ 14,092.10 $ 636.50 531.03 .cn Cl TOTAL $ 1,237.06 GRAND TOTAL $122,153.39 Mr. McMahon brought to the Commission's attention a col- lage of South Bend Tribune articles related to the open- ing of the First Bank Center. The collage was made by Bill Screes and will be framed and hung in the office. 5. PUBLIC (HEARING Mr. Mc the Ru of the area a the st ahon explained that this is a public hearing on PUBLIC HEARING ON RUM Village Industrial Park. It is a confirmation VILLAGE INDUSTRIAL PARK initial Resolution, establishing the Rum Village a Redevelopment Area. It allows us to pursue ndard redevelopment activity in the Rum Village 3 South Bend Redevelopment Commission Regular Meeting - February 19, 1982 5. PUBLIC SHEARING (continued) area and also establishes the area as a tax incremental area. Mr. McMahon entered into the record the Notice of Public Hearing; affidavits from the South Bend Tri- bune and Tri- County News with respect to publication; an affidavit pertaining to the Notice of Public Hear- ing being delivered to the Area Plan Commission, the Board of Public Works, Board of Zoning Appeals, the Park Department and other agencies for which we are re- quired to serve such notices; a copy of the Area Plan Commission Resolution approving our Resolution No. 650; a copy of the Common Council approving our Resolution No. 650; and a copy of Resolution No. 650 from the Redevelopment Commission which is to be confirmed today. Mr. McMahon stated that no written remonstrances were received. Mr. McMahon explained that the area constituting the Rum Village Industrial Park has been blighted and zoned heavy industrial for a number of years; however, there has been very little industrial activity, if any, in the area. There is a primary deterrent to that activity having taken place, the topsoil conditions which exist in the area. In light of the recent construction of the U. S. 20 Bypass and with the availability of rail sidings, we felt that by introducing it as a redevelopment area and including the tax incremental package, we would establish a mechanism that could offset this basic deterrent to de- evelopm nt. That basically follows the whole rationale behind the redevelopment designation in order to offset some ty e of deterring factor that cannot be overcome by the nor al course of business activities, hence the blighteJ designation. Upon a ilotion made by Ms. Auburn, seconded by Mr. Donald- son and unanimously carried, the Rum Village Industrial Park was determined to be blighted and in need of urban renewal, and Resolution No. 654 was adopted. 6. OLD BUSINESS There s no old business to present to the Commission. 4 RESOLUTION NO. 654, CON- FIRMING RESOLUTION NO. 650 WITH RESPECT TO THE RUM VILLAGE INDUSTRIAL PARK, WAS APPROVED THERE WAS NO OLD BUSINESS TO PRESENT TO THE COMMISSIOI South Bend Redevelopment Commission Regular Meeting - February 19, 1982 7. NEW BUSIINESS a. Commission approval requested for Resolution No. 654, confirmin Resolution No. 650 with respect to the Rum Village Industrial Park. idered at the end of public hearing. b. Commission consideration requested for a tax at ment request for personal property for South "BE To v. Inc.. located at 404 lest Samole Street. Mr. McMahon stated that we have received a request for tax abatement from South Bend Toy, Inc., located in the Studebaker Corridor at 404 West Sample Street. We have reviewed their petition and found that it qualifies for tangible personal property tax abate- ment. This relates to machinery and equipment. We found that the existing facility is technologically and economically obsolete and the obsolescence may lead to a decline in employment and tax revenues. The tangible personal property is to be used in the direct production of other tangible personal property. We have no:ted.that South Bend Toy is the oldest manu- facturing business in the community and it intends to purchase manufacturing equipment in order to pro- duce croquet lawn games. This will enable them to continue employment and business activity in the loc 1 area. The site of the facility is located in the Stude- baker Corridor, which has previously been declared a tax abatement impact area by the Redevlopment Com- mission and the Common Council. The administrative staff will initially be five persons and will grow as the demand increases; the direct manufacturing group will consist of some 17 or 18 people at the first and second year operating levels, and even- tually the company expects to employ approximately 28 to 30 people in the South Bend community. We have listed what the effects of the tax abate- ment will be. This is a little bit different schedule than you have seen in respect to property tax abatement in that one has to take into con- sideration the depreciation of tangible personal .property per the tax laws that we operate under in the State of Indiana. The abated taxes will be $6,808.00 as estimated by our office, taxes paid South Bend Redevelopment Commission Regular Me ting - February 19, 1982 7. NEW BUSINESS (continued) b. continued... during that period will be $1,799.39. This is again, I would like to note, a tax abatement on personal property tax as it applies to manufacturing equipment, and it does not address any other aspects. Mr. Charles Pomeroy, a principal with South Bend Toy, is here this morning representing the petitioner. Mr � Pomeroy stated he would be willing to answer any qu stions the Commissioners might have. Ms. Auburn complimented Mr. Pomeroy on the purchase of the South Bend Toy factory, keeping that productive facility within South Bend. Upon a motion made by Ms. Auburn, seconded by Mr. Donaldson and unanimously carried, the request for personal property tax abatement for South Bend Toy, Inc. at 404 West Sample Street was approved. c. Com ission a os is in co ro ement Lo men ation fr Name proval requested for awardi nection.with the South Bend n Program in accordance wit m the Bureau of Housinq. of ro- ome Im- recom Contractor Amount Kenneth & Lula Taylor Bockaj Construction Co. $4,749.00 242 North Wellington Elizabeth Belcher Jefferson Builders 4,675.00 1801 Fa snacht St. Mrs. Baumgartner mentioned that eight or nine con- tractors submitted proposals on each of these. These con racts are being awarded to the low bidders. TAX ABATEMENT REQUEST FOR PERSONAL PROPERTY FOR SOUTH BEND TOY, INC. WAS APPROVED (404 WEST SAMPLE STREET) COMMISSION APPROVED TWO Upon a motion made by Mr. Donaldson, seconded by Mr,. (2) SOUTH BEND HOME IMPROVE Pia ecki and unanimously carried, the South Bend MENT LOAN PROGRAM PROPOSALS Home Improvement Loan Program proposals were awarded. d. Comilission approval r io i 312 Loan Program rec mmen ation of the uested for the followi roposa s in accordance ureau of ousing. M Sec- South Bend Redevelopment Commission Regular Meeting - February 19, 1982 7. NEW BUSINESS_ (continued) d. conitinued... Name Callye Carpenter 425 S. Brookfield Carl is Priscilla Phi l l ips 1106 W. Washington Neil Sh mbry 328 North Cushing Contractor Amount Bockaj Construction Co. $425.00 Mosby's Painting. & 620.00 Decorating Campbell Electric Co. 106.00 Upo a motion made by Ms. Auburn, seconded by Mr. Don ldson and unanimously carried, the Section 312 Loa Program proposals were awarded. e. Commission approval requested to amend by-laws re- latIng to commission meeting dates, establishing cominission meetings for the second and fourth Fri- of each month. Mr. McMahon explained that the change would move commission meeting dates from the first and third Friday to the second and fourth Friday of each month in order to avoid the conflicts that the President of the:Commission has. Upoi a motion made by Mr. Donaldson, seconded by Mr. Pia ecki and unanimously carried, the commission meelling dates were approved for the second and fou th Friday of each month. f. Com ission a Review Commi )ointment to the Monroe- Sample Desi Mr. McMahon explained that the Monroe - Sample Design Review Committee has been expanded to seven members. We would -like to add someone representing restora- tion or historic efforts in the community, particu- larly in light of the activity by Historic Landmarks Fou elation of Indiana and Southold Heritage Founda- tio , Inc. in the area. It has been recommended to us hat we appoint Mr. Bruce Huntington, who is a 7 COMMISSION APPROVED THREE (3) SECTION 312 LOAN PROG PROPOSALS COMMISSION BY -LAWS AMENDED TO REFLECT CHANGE IN MEET - ING DATES (SECOND AND FOURTH FRIDAY OF EACH MONTH) South Bend Redevelopment Commission Regular Meeting - February 195' -1982 7. NEW BUSINESS (continued) f. continued... a Southold Heritage Board Member and real estate develop- ment planner for the St. Joseph Bank, to that Design Review Committee. We also intend to add another per- son to the Committee. We would like to name one of the industrial owners that will be moving into the area, however, in light of the fact that people that are coming in right now are currently under re -. vie of the Design Review Committee, we thought it would be appropriate to wait until they get through that hurdle before we appoint anyone to that posi- tion. So in light of that, we would suggest that Mr. Huntington be appointed to one of the two open positions. Upon a motion made by Ms. Auburn, seconded by Mr. Donaldson and unanimously carried, Mr. Bruce Huntington's appointment to the Monroe - Sample Design Review Committee was approved. N ission a proval re uested to amend the current ement for Professional Services with The Ab- ct and Title Cor oration to reflect an increase om ensation of 1,398:25, as it relates to a iminar title search of certain properties in the Studebaker Corridor. Mr. McMahon explained that The Abstract and Title Cor oration is currently under contract to do some title work for us on all of the properties in the Stu ebaker Corridor. They have discovered that there are 17 more properties than we had previously ide tified for divisions of existing parcels. This has created a separate situation and, as a result, The Abstract and Title Corporation is requesting additional compensation of $1,398.25 for this work. We feel this is reasonable and recommend the Com- mis ion's approval. Upoi a motion made by Mr. Donaldson, seconded by Mr. Piasecki and unanimously carried, the amend- ment to the contract with The Abstract and Title Cor oration, in the amount of $1,393.25, was approved. 8 COMMISSION APPOINTED MR. BRUCE HUNTINGTON AS A MEMBER OF THE MONROE- SAMPLE DESIGN REVIEW COMMITTEE COMMISSION APPROVED AMEND- MENT TO CONTRACT WITH THE ABSTRACT AND TITLE CORPORA- TION IN AMOUNT OF $1,398.25 South Bend Redevelopment Commission Regular Me ting - February 19, 1982 7. NEW BU�INESS (continued) h. Co mission authorization re uested for Project Conplefion Affidavit and Maintenance Bond with La ree Excavating, Inc., in relation t0 Demoli- ti n ana Site Clearance Contract "No. 4 west si e of 100 block of South Michigan Street). Mr. McMahon explained that approval of a Project Completion Affidavit and recording of a Mainten- ance Bond is a routine procedure and asked the Commission to approve these documents for Demo- lition and Site Clearance Contract No. 42, as su mitted by the contractor, LaFree Excavating, In The final cost of this project is $9 ,415.80. Up )n a motion made by Mr. Donaldson, seconded by Ms Auburn and unanimously carried, the Project Co pletion Affidavit and Maintenance Bond were ap roved and accepted. i. COmission approval requested for Resolution No. Mr McMahon stated that Resolution No. 655 pertains to acquisition of property in the Rum Village In- du trial Park, and Mr. Richard Hill, City Attorney, is present this morning to explain this document. Mr. Hill explained that the Commission previously declared the Rum Village Industrial Park a re- development area. This resolution will approve the adoption of a list of three parcels of property to be acquired in that area which will constitute the site for the ethanol plant. This will also authorize a purchase offer which, as provided by State Law, constitutes the average of the two ap- praisals, and will be submitted to the owner of thp property. Mr Piasecki asked how sure are we of acquiring th s property. Mr Hill responded that at this point we are pro- ceeding through all of the steps necessary, and that Mr. McMahon told me this morning New Energy Corporation of Indiana advised us that things are getting much more certain with the Department of En rgy that certain dates have been set.. An April E 15 COMMISSION APPROVED PROJEC" COMPLETION AFFIDAVIT AND MAINTENANCE BOND FOR DEMO- LITION AND SITE CLEARANCE CONTRACT NO. 42 South Bend Redevelopment Commission Regular Me ting - February 19, 1982 7. NEW BU INESS (continued) i. cohtinued... cl sing date for the loan guarantee has been antici- pated. There are many pieces that still need to fall in place, but things are progressing on a daily basis. We have no reason to believe at this point that it wo 't. Mr McMahon stated that the Board of Public Works is cu rently advertising for bids for site preparation wo k and will be opening bids on March 1. Mr. Hill explained that the City is taking steps to as ure that should there not be any closing, that the City and the Commission are not holding the property. Th owner, Mr. Homer Fitterling, has indicated that he will fully cooperate with an agreement that would ad quately protect all of us in terms of the reacqui- si ion of the property back by him if necessary. Up n a motion made by Mr. Piasecki, seconded by Mr. Do aldson and unanimously carried, Resolution No. 65 was adopted. 8. PROGRE�S REPORTS Mr. McMahon presented two renderings of the East Race Way that have been drawn. One shows the location at the head waters of the East Race Way, just below the Jefferson Bridge The second view that we.have is at LaSalle Street. I thinK these drawings accurately show the relationship to existing street buildings. I wanted to note to the Commission that they are here and we will be using them as we give talks about the Race Way to help people con - ceptua ize what it is exactly that we are trying to do in that area. 9. NEXT COMMISSION MEETING Upon a motion made by Mr. Piasecki, seconded by Ms. Auburn and unanimously carried, the next Commission Meetin was set for March 12, 1982 at 10:00 a.m. 10 RESOLUTION NO. 655 APPROVED MEETING DATE SET FOR MARCH 12, 1982 South Bend Redevelopment Commission Regular Me ting - February 19, 1982 10. ADJOU NMENT There being no further business to come before the Com- ADJOURNMENT missi n, Ms. Auburn made a motion that the meeting be adjou ned. The motion was seconded by.Mr. Donaldson and u animously carried. The meeting was adjourned at 10:52 a.m. i ent ;z?""` is c a on, xecutive irector 11