HomeMy WebLinkAboutRM 06-28-85SOUTH BEND REDEVELOPMENT COMMISSION
REGULAR SCHEDULED MEETING
June 28, IQ A5
10:00 a.m.
Presiding 0 ficer: Mr. F. Jay Nimtz
President
1. ROLL CA
Members
Members
Legal Cc
2.
3.
Bureau
News
Others:
1200 County -City Building
227 W. Jefferson Boulevard
South Bend, Indiana 46601
Present: Mr. F. Jay Nimtz, President
Ms. Paula N. Auburn, Vice - President
Mr. Roman J. Piasecki, Secretary
Mr. Sandy Combs, Member
Absent:
1:
Mr. Michael Donoho, Assistant Secretary
Ms. Eugenia Schwartz
Staff: Mr. Jon R. Hunt, Executive Director
Mrs. Ann Kolata, Executive Deputy Director
Ms. Hedy Robinson, Econ. Dev. Specialist
Ms. Denise Sullivan, Office Manager
Housing Staff:
OF MINUTES
Ms. Mary Richmond, Project Director
Mr. Ted Leverman, Project Director
Ms.
Mr.
Mr.
Mr.
Ms.
Mr.
Mr.
Jeanne Derbeck, South Bend Tribune
Gary Sieber, WNDU -TV
Scott Brink, WNDU -TV
Norm Stangland, WSBT -TV
Beth Martin, WZZP Radio
Mark Schirippa, WSJV -TV
Dick Maginot, WSBT Radio
Ms. Glenda Rae Hernandez
Upon a motion made by Mr. Piasecki, seconded
by Ms. Auburn and unanimously carried, the
minutes of the Regular Meeting of Friday, June
14, 198 were approved.
OF CLAIMS
Upon a motion made by Ms. Auburn, seconded by
Mr. Combs and unanimously carried, the
Commission formally approved the claims
submitted June 20 and June 26, 1985, and
ordered checks dated June 26 and July 3, 1985
to be r leased.
MINUTES OF THE REGULAR
MEETING OF FRIDAY, JUNE 14,
1985, WERE APPROVED
CLAIMS SUBMITTED JUNE 20
AND JUNE 26, 1985, WERE
FORMALLY APPROVED AND CHECKS
DATED JUNE 26 AND JULY 3,
1985, WERE ORDERED TO BE
RELEASED
South Bend I
Regular Meei
3. APPROVAI
91
development Commission
.ng - June 28, 1985
OF CLAIMS ( font . )
EAST BAI 4K
Seifer Safe & Lock, Inc. $ 59.50
Abstract & Title Corporation 249.00
Total $ 308.50
P.E.A. R -66
CD Publications
$ 16.00
Compute
land
463.13
General
Fund
5.92
Jon R.
Hunt
259.64
Indiana
Bell Communications
296.69
Makiels
i Art Shop
53.20
Gretchem
Matthews
161.90
Schilli
g's Sales Co., Inc.
24.51
South
nd Tribune
42.86
St. Joseph
Bankcard Division
67.61
Coffee
Time Services
26.70
SCL Communications
41.55
Servoma
ion Corp.
293.12
Am ericam
Institute of
Real
Estate Appraisers
550.00
Aslan Press
17.00
Kaplon's
Nursery & Greenhouse
305.00
Dictaphone
530.00
Abstract
& Title Corporation
100.00
Business
Communication Center
620.00
Century
Center Board of Managers
27.50
General
Fund - Legal Services
2,200.43
Indiana
Bell Communications
628.10
C.E. Lee
Company
279.56
Luann M
rris - Petty Cash
134.89
Travel
re
638.00
Indiana
Regional Minority
Supplier
Development Council
250.00
Star Temporary
Services, Inc.
294.50
Payroll
Fund: 5 -27 thru 6 -7 -85
10,019.49
Payroll
Fund: 6 -8 thru 6 -21 -85
10,169.43
Total $28,516.73
Grand Total $28,825.23
There were no communications.
-2-
THERE WERE NO COMMUNICATIONS
South Bend I
Regular Meei
5. OLD BUS:
a.
6. NEW
elopment Commission
- June 28, 1985
for a proposal
oan in
jeo Program in accordance with the
recomiendation from the Bureau of Housing.
Contractor
Boruiie Rae Martsolf Hanks Enterprise
927 E. Sorin
This item was continued from the June 14,
198"), Commission meeting to allow the staff to
report on the status of the possible
ref nancing of Ms. Martsolf's land contract.
Ms. Mary Richmond reported that lst Source
Ban], is reviewing an application from Ms.
Martsolf to finance a loan for a mortgage on
the property located at 927 E. Sorin, but
haven't made a recommendation at this time.
Mr. Hunt asked that the Conmission continue
this, item until the next regularly scheduled
ComAssion meeting for a report on the
possible refinancing.
The Commission continued the proposal and loan
in connection with the Affordable Loan Program
for Bonnie Rae Martsolf, 927 E. Sorin, until
the next regularly scheduled Commission
mee inq.
a. Co ssion a
and I grant in
oval requested for a propos
nnection with the Emergency
in accordance with the
from the Bureau of Housing.
Contractor
$14,560.00 $11,400.00
Maurine Allen V.V. Engle Construction Co.
504 E. Dubail
Upoii a motion made by Mr. Combs, seconded by
Mr. Piasecki and unanimously carried, the
Co, ' ssion approved a proposal and grant in
co ction with the Emergency Repair Program
as isted above.
Qcc
ITEM 5a WAS CONTINUED UNTIL
THE NEXT REGULARLY SCHEDULED
COMMISSION MEETING
$1,200.00
COMMISSION APPROVED A
PROPOSAL AND GRANT IN
CONNECTION WITH THE EMERGENCY
REPAIR PROGRAM AS LISTED
ABOVE
South BE
Regular
6. NEW
0,
C.
end
Redevelopment Commission
Meeting
- June 28, 1985
BUSINESS
(Continued)
approval requested for a contract
Comnission
With
Denisa Lynk, 813 S. Meade, in the amoun
of
$200.00 in connection with the
stead /Section 312 Loan Pr ram in
H
accordance
with the recommendation from the
Bureau
of Housing.
Hunt explained that the property in
Mr.
question
is a Homestead unit that involves a
Section
312 loan previously approved by the
ComrLission.
In connection with the 312 loan
there
was some extra work to be done by the
Homesteader,
Denisa Lynk. Ms. Lynk requeste
to
take on the responsibility of completing
required
painting herself. This contract
formalizes
that the Commission is paying for
the
paint and requires Ms. Lynk to meet
certain
performance standards required of al
Bureau
of Housing contractors.
Upon
a motion made by Ms. Auburn, seconded b.
Mr.
Combs and unanimously carried, the
ComrLission
approved a contract with Denisa
Ly
, 813 S. Meade, in the amount of $200.00
in
connection with the Homestead /Section 312
Loai
i Program.
Corriiission
a roval requested for Resolution
No.
743 approving an application for real
property
tax deduction.
Hedy Robinson gave the staff report
Ms.
relating
to the application for real propert,
tax
deduction for the Old South Bend Lathe
Works
project of Mr. T. Brooks Brademas. It
will
be a mixed use project staged over a
period
of five years. The proposed project
involves
a number of historically significan
stnictures
containing 275,000 square feet on
approximately
five acres. The property is ti
be
redeveloped to include multi - family renta
and
sales housing, restaurants, a motel,
speciality
shops, a marina and offices. The
total
project is estimated to cost
$10,000,000.
The project will create 750 nei
permanent
full -time jobs, representing a new
annual
payroll of $9,000,000 and will marnta:
150
existing permanent full -time and 50
existing
permanent part -time jobs with an
annual
payroll of $2,500,000.
-4-
in
COMMISSION APPROVED A
CONTRACT WITH DENISA LYNK,
813 S. MEADE, IN THE AMOUNT
OF $200.00 IN CONNECTION
WITH THE HOMESTEAD /SECTION
312 LOAN PROGRAM
South Bend edevelopment Commission
Regular Meeting - June 28, 1985
6. NEV BUSINESS (Cont.)
c. wnT-lnuea...
Mr. Hunt reminded the Commission that only tax
abatement petitions within a Tax Incremental
Finincing area appear before the Commission
witli final approval of the petition by the
Cominon Council.
Upo a motion made by Mr. Piasecki, seconded
by 4s. Auburn and unanimously carried, the
Comnission approved Resolution No. 743
app oving an application for real property tax
1
ed for Resolution
re -use value of
lan4 in the South Bend Central Development
Mr. Hunt stated that Items d, e and g were all
related and would be discussed at the same
time. Mr. Hunt explained that the parcel in
question is Parcel El-1 commonly referred to
as the Mill Race site. A proposed re -use
valuation of $300,000 has been established for
the parcel. The proposed re -use is
residential and mixed use. The predominent
use would be residential with apartments
and/or condominium combination. The Bid
Specifications and Design Considerations call
for a minimum number of 150 residential units
with a minimum height of two stories above
groimd level. The City of South Bend will
re in an easement along the St. Joseph River.
Any development must make full use of the site
although construction can be phased. All of
the provisions of the South Bend Central
Development Area Plan recently adopted by the
Co ssion would have to be met. The design
considerations are not binding but offer
suggestions as to how the site might be
developed. They are included with the bid
sDecifications.
Mr. Hint explained that there has been
interest in the East Bank area and the Mill
Race site. By putting the parcel up for
public bid the Commission will be able to test
what interest there may be in the site.
-5-
COMMISSION APPROVED
RESOLUTION NO. 743 APPROVING
AN APPLICATION FOR REAL
PROPERTY TAX DEDUCTION
South Bend
Regular Me
6. NEW BU
d. Co
elopment Commission
- June 28, 1985
(Cont.)
Upom a motion made by Ms. Auburn, seconded by
Mr. Combs and unanimously carried, the
Commission approved Resolution No. 744
approving the fair re-use value of land in the
South Bend Central Development Area.
e. C ssion approval requested for Bid
Specifications and Desi n Considerations for
Parcel El -1 in the South Bend Central
Dev6lopment Area.
Upom a motion made by Ms. Auburn, seconded by
Mr. Combs and unanimously carried, the
Commission approved Bid Specifications and
Design Considerations for Parcel E1 -1 in the
South Bend Central Development Area.
f. Commission approval requested for contract
with S rin sted Incorporated for financial
con ultina services.
Mr. Hunt explained that the staff has been
working on the merger and expansion of the
three redevelopment areas that are now
co ined into the South Bend Central
Development Area. Part of that strategy
included assessing the possibility of a tax
incremental financing bond for activities
wit1iin the new Redevelopment area. The staff
has taken this process as far as possible with
our expertise and now require some
professional assistance within the financial
consulting areas. The staff is recommending
that the Commission approve a contract with
Spr ngsted Incorporated for financial
consulting services associated with the tax
increment financing possibilities. By moving
int the consulting services agreement it will
allow the Commission to make a decision as to
whether a tax incremental bond is feasible and
should be pursued.
Ms. Schwartz outlined the scope of services
provided by the contract. She explained that
the selection was made from a number of public
finincial advisory firms who had expertise
within the public financing area. The various
aro ps were contacted and asked to submit
COMMISSION APPROVED
RESOLUTION NO. 744 APPROVING
THE FAIR RE -USE VALUE OF
LAND IN THE SOUTH BEND
CENTRAL DEVELOPMENT AREA
COMMISSION APPROVED BID
SPECIFICATIONS AND DESIGN
CONSIDERATIONS FOR PARCEL
El -1 IN THE SOUTH BEND
CENTRAL DEVELOPMENT AREA
South Bend Redevelopment Commission
Regular Meeting - June 28, 1985
6. NEW BUSINESS (Cont.)
f. Continued...
their qualifications to the Department. Based
on those qualifications several firms were
selected and asked for specific proposals.
Spr ngsted Incorporated was selected among
those firms based upon their experience,
pro essional approach, reputation, and their
pro sal as a whole. Springsted's
res nsibilities will include looking at the
ov all financial resources for the
red velopment district in the future,
identifying known sources of funds,
determinating the amount that will be
available for the Commission based on what is
knam specifically now, and a reasonable
projection of income including increment based
on current projects that are underway or
coming up. They will also project future tax
revenues as existing tax abatements decrease
over the next few years. Springsted will
specifically look towards the feasibility of
using various financial tools, including tax
increment financing, in the South Bend Central
Development Area. They have been asked to
look at a tax incremental financed revenue
bond, rather than one that is also dependant
upon the general obligation of the
Redevelopment district. If their work does
not lead towards a bond issue that is actually
sold, because of the fact that this is the
first tax increment financing bond in Indiana,
the have agreed not to charge for the first
fifteen hours of the services they will
pro ide. They have also agreed to a cap on
the balance of their services, and funds have
beem appropriated to pay for that cap in the
event that bond issue is not sold. If a bond
issue is sold, their services will be
reimbursed out of the proceeds of the bond
issue.
Upon a motion made by Mr. Combs, seconded by
Ms. Auburn and unanimously carried, the
Comnission approved a contract with Springsted
Incorporated for financial consulting
g. Con!4ssion authorization requested to publish
Not ce of Intended Sale of Parcel El -1 in the
-7-
COMMISSION APPROVED A
CONTRACT WITH SPRINGSTED
INCORPORATED FOR FINANCIAL
CONSULTING SERVICES
South Bend
Regular Me,
C:PNERM
elopment Commission
— June 28, 1985
(Cont.)
g. Con inuea...
South Bend Central Development Area with
publication dates to be July 5 and July 12,
1985, and receipt of bids to be at 10 :00 a.m.
on August 19, 1985_
Upon a motion made by Mr. Combs, seconded by
Ms. Auburn and unanimously carried, the
Comnission authorized the staff to publish
Notice of Intended Sale of Parcel El -1 in the
South Bend Central Development Area with
publication dates to be July 5 and July 12,
1981"), and receipt of bids to be at 10:00 a.m.
on August 19, 1985.
h. C 'ssion approval requested for a contract
with Community Development for Redevelopment
Mr. Hunt stated that Item h and i were related
items. Mr. Hunt explained that the Common
Co cil has approved an additional
appropriation for the Department as part of
the Community Development reprogramming. This
contract will amend the amount that
Redevelopment would be allowed to spend and
clam-up our 1984 contract. It is an increase
of $10,852 which finalize costs from 1984.
Upon a motion made by Mr. Piasecki, seconded
by Mr. Combs and unanimously carried, the
Coranission approved a contract with Community
Development for Redevelopment Administration
Budget (CD84 -601).
i. Coiniission approval requested for a contract
with Community Development for Redevelopment
Adrranistration Budget (CD85 -601).
Mr. Hunt explained that this contract will
take Redevelopment through 1985. The Common
CoLuicil has taken action to appropriate
$128,500 for the Department because of some
extraordinary expenses that have and will be
inairred in terms of projects related to the
do town, the baseball project and general
economic development functions. Sane specific
items would be the Springsted contract; the
tax increment financing bond costs;
-8-
COMMISSION AUTHORIZED THE
STAFF TO PUBLISH NOTICE OF
INTENDED SALE OF PARCEL
E1 -1 IN THE SOUTH BEND
CENTRAL DEVELOPMENT AREA
WITH PUBLICATION DATES TO
BE JULY 5 AND JULY 12, 1985
AND RECEIPT OF BIDS TO BE
AT 10:00 A.M. ON AUGUST 19,
1985
COMMISSION APPROVED A CONTRACT
WITH COMMUNITY DEVELOPMENT
FOR REDEVELOPMENT ADMINISTRA-
TION BUDGET (CD84 -601)
South Bend
Regular Me
6. NEW BU
i. Co.
7.
elopment Commission
- June 28, 1985
(Cont.)
appraisals, survey and title work associated
with acquisition within the downtown including
the baseball project; monies associated with
the facade study which has been completed by
Hur t- Kenrick Associates; and a $25,000 match
to the Downtown Technical Advisory Committee
relating to a project management possibility
for the downtown.
Upon a motion made by Mr. Piasecki, seconded
by 14s. Auburn and unanimously carried, the
Comnission approved a contract with Community
Development for Redevelopment Administration
Budget (CD85 -601).
Mr. Hunt reported that the barricades are
going up on the Teachers Credit Union. He
also e ressed thanks to several staff
members in particular Denise Sullivan for the
fine work she did on the extensive minutes of
the June 14th Commission meeting establishing
the record for the Redevelopment merger and
expansion. He also expressed thanks to
Eugenia Schwartz and Rich Hill for the wcrk
they did on the selection of the financial
consultants for the tax incremental financing
project and the Springsted contract.
8. NEXT COMMISSION MEETING
a
The ne Regular Meeting of the Commission
will be held on Friday, July 12, 1985 at 10:00
a.m.
Mr. Nimtz appointed Mr. Piasecki as the
presiding officer for the next regular
Commission meeting scheduled for July 12,
1985, since Mr. Nimtz and Ms. Auburn will be
unable to attend that meeting.
There being no further business to come before
the Co scion, Mr. Piasecki made a motion
that the meeting be adjourned. Ms. Auburn
second the motion and it was unanimously
MIC
COMMISSION APPROVED A CONTRACT
WITH COMMUNITY DEVEMPMENT
FOR REDEVELOPMENT ADMINISTRA-
TION BUDGET (CD85 -601)
NEXT COMMISSION MEETING
pall-we" iWak
South Bend edevelopment Commission
Regular Mee ing - June 28, 1985
9. ADJOURN T ( font . )
carried The meeting was adjourned at 10:35
a.m.
32'r-8-
i
1 9
Roman J. Pi secki Secretary on R. Hunt, Executiv Director
-10-