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Home My WebLink AboutRM 09-30-85September 3 10:00 a.m. Presiding 0 1. ROLL CA Members Legal G Redevelc Bureau c News Me( Others: 2. APPROVAI SOUTH BEND REDEVELOPMENT COMMISSION RESCHEDULED REGULAR MEETING ), 1985 ficer: Mr. F. Jay Nimtz President 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. Michael Donoho, Assistant Secretary Mr. Sandy Combs, Member Staff : Housing Staff: OF MINUTES Ms. Eugenia Schwartz Mrs. Ann Kolata, Executive Deputy Director Ms. Gretchen Matthews, Econ. Dev. Specialist Ms. Denise Sullivan, Office Manager Mr. Ted Leverman, Project Director Mr. Wayne Falda, South Bend Tribune Mr. Gary Sieber, WNDU -TV Mr. Robb Jones, WNDU -TV Mr. Beth Martin, WZZP Radio Ms. Glenda Rae Hernandez Mrs. Janet Allen Upon a motion made by Ms. Auburn, seconded by Mr. Co s and unanimously carried, the minutes of the Regular Meeting of Friday, September 13, 1985 were approved. 3. APPROVAI$ OF CLAIMS Upon a MX. Coi Commis submit 19 and dated ; and Oc- ion made by Mr. Donoho, seconded by and unanimously carried, the formally approved the claims September 5, September 12, September Member 26, 1985, and ordered checks ember 11, September 18, September 25 r 2, 1985 to be released. MINUTES OF THE REGULAR MEETING OF FRIDAY, SEPTEMBER 13, 1985 WERE APPROVED CLAIMS : • pE��! is - SEPTEMBER • I: Wf• • FORMALLY AND SEPTEMBER 26, 1985 WERE APPROVED DATED SEPTEMBER 11, SEPTEMBER SEPTEMBER OCTOBER 1985 WERE ORDERED TO BE RELEASED South Bend redevelopment Commission Rescheduled Regular Meeting - September 30, 1985 3. APPROVA� OF CLAIMS (Cont.) RID PMENT DISTRICT BONDS - 1972 St. Joseph Bank & Trust Co. $ 139.00 Kaser -S Draker Construction 15,423.00 Mathews Purucker Anella, Inc. 4,557.50 Total $20,119.50 EAST BAqK Marcia Ullrey - Petty Cash $ 6.50 Geyer C nstruction 22,136.95 Total $22,143.45 Century1Center Board of Managers $ 100.00 Federal Express 47.00 Jon R. Hunt 150.17 Nat. Council for Urban Econ. Dev. 500.00 Postmaster 199.93 South Bend Street Dept. 714.09 St. Joseph Bankcard Division 95.93 Marcia Ullrey - Petty Cash 144.94 Coffee Time Services 24.70 Working Smart 95.76 New Yor. Carpet World 1,990.21 Indiana Starr 55.44 Ralph D Lauver 3,000.00 Makiels i Art Shop 6.50 Petroleum Traders Corp. 48.50 Schilli gs Sales Co., Inc. 13.07 South Bend Tribune 131.58 Tri -Co ty News 53.57 James B'xler 31.40 A -1 Coffee Service 8.00 City of South Bend Parking Garage 134.76 Indiana Bell Communications 275.86 Ann Kol to 17.33 South B nd Tribune 42.41 St. Jos ph Bankcard Division 159.45 Tri -Co ty News 30.82 Marcia Jllrey - Petty Cash 136.40 Action Business Equipment 572.00 Busines3 Systems, Inc. 387.06 lst Soucce Auto Lease, Inc. 243.30 General Fund 563.21 -2- South Bendedevelopment Commission Rescheduled Regular Meeting - September 30, 1985 3. Q OF CLAIMS (Cont.) Indiana Business Magazine R.E. Mc loskey & Associates St. Joseph Bankcard Division Federal Financial Institutions Self-Funded Employee Benefit Prog. Payroll: 8 -17 thru 8 -30 -85 Payroll: 8 -31 thru 9 -13 -85 FICA Tak Deduction Fund Total Grand Total 22.05 3,400.00 170.89 125.00 1,136.86 12,786.43 12,053.73 1,691.69 $41,360.04 $83,622.99 Mr. Ni *z noted that there will be three additio s to the agenda. There wore no communications. 5. OLD THERE WERE NO COMMUNICATIONS a. Comnission a royal requested for bids and loans in connection with the Rental Rehab Loan Pr ram for property located at 606 W. Colfax and 608 -610 W. Colfax in accordance with the recimmndation from the Bureau of Housing. Mrs Kolata explained that this is the first loan submitted under the federal Rental Rehab Pr ram. Both properties are owned by Roland W. and Angie Chamblee. Each property has four rem al units. The Commission is being asked to approve a federal Rental Rehab loan, app ove a local Community Development Rental Rehib loan, and award a rehab contract for eacb of these properties. The first property located at 608 -610 W. Colfax is proposed to have a 50% federal Ren 1 Rehab loan in the amount of $8,700.00, forgiven over a ten year period. The Co unity Development Rental Rehab loan would be or 25% in the amount of $4,350.00 at 3% for ten years. Mr. Chamblee is bringing in private financing in the amount of $4,350.00 for a total project cost of $17,400.00. There were two bids received for the work and the -3- South Bend 1tedevelopment Commission RescheduledlRegular Meeting - September 30, 1985 5. OLD BUSMSS (Cont.) a. uon*r-inuea... Bureau is recommending B &C Construction for $16 641.00. This was the low bid. The other property located at 606 W. Colfax is proposed to have a 50% federal Rental Rehab in the amount of $11,700.00. The Community Development Rental Rehab loan would be $5,1350.00 at 3% for ten years. The private firiancing is in the amount of $5,850.00 for a total project cost of $23,400.00. There were two bids received for this work and the Bureau is reconmiending the low bie of K &C Construction in the amount of $22,468.00. The Commission is being asked to approve these to s, award the contracts and authorize the Pre ident and Secretary to enter into the nec ssary documents for the different loans. Boti properties are covered currently with an exi ting mortgage with St. Joseph Mortgage Co any. It is the intent that the loan do nts cover both properties rather than separate documents for each property. Mrs Kolata noted that the local Rental Rehab guidelines were recently amended to make the pr ram more affordable in accordance with the federal guidelines which require 50% private and 50% federal funds. Community Development loais are available for up to 25% of the total project cost. As of October 1, 1985 there wilL be a moratorium on accepting applications for the Rental Rehab Program. There are pre ently 28 properties that are being wn idered for this program. Upon a motion made by Ms. Auburn, seconded by Mr. Piasecki and unanimously carried, the Comnission awarded bids to K &C Enterprises for 606 W. Colfax and to B &C Construction for 608-610 W. Colfax, approved loans in connection with the federal Rental Rehab Pr ram, and approved loans in connection with the Community Development Rental Rehab Program in e amounts listed above. -4- THE COMMISSION AWARDED BIDS TO K &C ENTERPRISES'FOR 606 W. COLFAX AND TO B &C CON- STRUCTION FOR 608 -610 W. COLFAX, APPROVED LOANS IN CONNECTION WITH THE FEDERAL RENTAL REHAB PROGRAM, AND APPROVED LOANS IN CONNECTION WITH THE COMMUNITY DEVELOPMENT RENTAL REHAB PROGRAM IN THE AMOUNTS LISTED ABOVE South BE ReschedL 6. NEW a. nd Redevelopment Commission .led Regular Meeting - September 30, 1985 BUS NESS hearing on the South Bend Central Public Development Area with respect to Resolution No. 745 and approval of Commission Resolution No. 750 ratifying and confirming Resolution No. 745 redeclaring the South Bend Central Development Area to be blighted and amending the Development Plan. Kolata entered the following items into Mrs the record: 1. An original of the Notice of Public Hearing of the South Bend Central Development Area. 2. An Affidavit of Carol Smith, Classified Manager of the South Bend Tribune, that Notice of Public Hearing was published is that daily newspaper on September 13, 1985. 3. An Affidavit of Steve Kollar, owner of the Tri- County News, that Notice of Public Hearing was published in that weekly newspaper on September 13, 1985. 4. An Affidavit of Hedy Robinson that a Notice of Public Hearing was delivered t, Ms. Sharon Roth of the Area Plan Commission, Ms. Maryrose Putz of the Board of Public Works, Ms. Blanche M. Ra of the Board of Zoning Appeals and South Bend Building Department, and Ms. Florence Brown of the Park Department on September 16, 1985. 5. An original copy of the Area Plan Commission's Resolution No. 85, which deals with the subject of the Public Hearing. 6. A certified copy of Resolution No. 1341 -85 of the Common Council of the Cit of South Bend relative to the subject of the Public Hearing. -5- South Bend Pedevelopment Commission Rescheduled Regular Meeting - September 30, 1985 6. NEW BUSINESS (Cont.) a. Uonitinuea... 7. A copy of Resolution No. 745 of the Redevelopment Commission with a copy of the Development Plan attached. Wit no objection heard, the Chair received the items for Public Hearing and entered them int the record. Mrs. Kolata explained that the amendment to the South Bend Central Development Plan is the addition of certain properties to the list of procerties to be acquired. There are approximately 22 -23 properties being added. All properties are located in the area where the proposed Stanley Coveleski Stadium is to be bonstructed. Mrs. Kolata noted that Findings of Fact were prepared and attached to Resolution No. 750 whi h indicates that the South Bend Red velopment Commission has conducted a study of the South Bend Central Development Area (Area) and has found that the area is blighted to an extent that cannot be corrected by re latory process or by the ordinary operations of private enterprise without resorting to the Indiana Redevelopment Law, I.C. 36- 7 -14 -1, et. seq. Blight was found in the area based on the Findings of Fact that were adopted by the Redevelopment Commission on June 14, 1985, a copy of which is attached to this Findings of Fact, which facts are sti 1 true and correct and which conditions are still found to exist. Mr. Nimtz noted that this concluded the staff pre entation and opened the Public Hearing for public comment. Mrs Janet Allen asked why Resolution No. 745 of 3eptember 30, 1985 stated the amount of ac isition to be $338,000 is now indicated to be 750,000. Mrs Kolata responded that the costs in ReSIDlution No. 745 for properties to be ac ired is estimated at $338,000. In pl ing for the Tax Incremental Financing South Bend edevelopment Commission Rescheduled Regular Meeting - September 30, 1985 6. NEW BUSINESS (Cont.) a. uonl-lnuea... (TI F) Bond we estimated $750,000 which inc Ludes acquisition along with relocation and deMlition costs. It also includes the acqjisition costs of properties that have not be added to the acquisition list at this poi t, but may if the plan is further amended. The actual acquisition costs for the pro rties being added to the acquisition list are estimated at $338,000. Mrs. Allen asked if that estimate included ac isition of the Greater Christian Ta rnacle Church located in the area of the proposed stadium. Mrs. Kolata responded that the $338,000 does not include acquisition of the Church. Discussions have been held with Church representatives, but no firm decision has been made on acquisition. If the decision is de to acquire the Church, the Development Plan would have to be amended through the Red6velovment Commission. Ms. Glenda Rae Hernandez voiced her personal protest to the redeclaring of the South Bend Central Development Area because she feels the taxpayers should not be underwriting the or lect. . Allen also made her personal objection to redeclaring of the plan. Chair noted their objections. Mrs. Kolata stated that the TIF Bond that is being proposed will not raise the tax levy. It is a use of tax dollars but it will not increase the tax levy. no further objections, the Public was concluded. Upcn a motion made by Mr. Donoho, seconded by Mr. Piasecki and unanimously carried, the Commission approved Resolution No. 750 and ad pted the Findings of Fact attached as Exhibit A to Resolution No. 750. -7- COMMISSION APPROVED RESO- LUTION NO. 750 AND ADOPTED THE FINDINGS OF FACT ATTACHED AS EXHIBIT A TO RESOLUTION NO. 750 South Bend Pedevelopment Commission Rescheduled Regular Meeting - September 30', 1985 6. NEW BUSMSS (Cont.) b. Co ssion a and grants.in for proposals in accordance with the from the Bureau of Housing. Contractor Geo ge & Lucille Grueger V.V. Engle Construction 826 N. St. Louis Hil a Boney 102 Campeau Braunsdorf, Inc. Mr. Piasecki expressed concern over the cost of the water heater replacement at the property located at 826 N. St. Louis. Mr. Don ho also noted the cost seemed excessive. The Commission asked that Mr. Leverman review the bid as to how the cost for the water heater replacement was estimated and double check the cost estimate for the same item with other contractors. Upon a motion made by Mr. Donoho, seconded by Ms. Auburn and unanimously carried, the Comnission approved proposals and grants in corwiection with the Emergency Repair Program as fisted above. c. Comnission approval requested for a Release and Reciprocal Settlement Agreement in coruiection with Slatile Roofing and Sheet Metal Company, Inc., against Slutsk -Peltz PlLurbinq.and Heatinq Co=anv, Inc., et al. Ms. Schwartz explained that the Commission previously approved a similar Settlement Agreement in connection with this law suit but all parties were not willing to enter into that Agreement at that time. This is a sli htly modified Agreement that Ms. Schwartz can still recommend to the Commission. Ms. Schwartz further explained that the City of South Bend and the Redevelopment Commission are part of a law suit by virtue of being the owner of the land on which the 1st Source $2,500.00 $ 460.00 COMMISSION APPROVED PROPOSALS AND GRANTS IN CONNECTION WITH THE EMERGENCY REPAIR PROGRAM AS LISTED ABOVE South Bend Pedevelopment Conunission Rescheduled Regular Meeting - September 30, 1985 6. NEW BUSINESS (Cont.) c. uonr-inuea... Cen er is located. Other parties to the law sui are the owner of the building itself inc uding lst Source Bank, the Marriott Hotel own r, South Bend Joint Venture, and the con ractors Slutsky -Peltz and Slatile Roofing. Thi3 arises over a disagreement of a con truction contract where Slatile was supplying and installing certain ventilating and sheet metal work. A dispute arose among the parties which resulted in the filing of a mechanics lien against the building. This sui has been going on since about 1980. The parties feel that they have finally come to a conclusion. The Settlement Agreement will clear the title to the property which the Red velopment Commission owns. Upon a motion made by Mr. Combs, seconded by Mr. Donoho and unanimously carried, the Comnission approved a Release and Reciprocal Settlement Agreement in connection with Sla ile Roofing and Sheet Metal Company, Inc., aga nst Slutsky-Peltz Plumbing and Heating Co any, Inc., et al. d. Comqission authorization requested to file a ication for registration of East Race service mark with the Commissioner of Patents and Trade Marks. Mrs Kolata explained that approximately one year ago the Commission began preparation of a brochure for the East Bank Development Area. As part of that brochure, a logo was designed to represent the East Bank Development Area. The Commission is being asked to authorization app ication for a trade mark registration for the logo which would give the Commission the au ority to oversee how the logo is used. Upon a motion made by Mr. Combs, seconded by Ms. Auburn and unanimously carried, the Commission authorized the staff to file app ication for registration of East Race se ice mark with the Commissioner of Patents and Trade Marks. -9- COMMISSION APPROVED A RELEASE AND RECIPROCAL SETTLEMENT AGREEMENT IN CONNECTION WITH SLATILE ROOFING AND SHEET METAL COMPANY, INC., AGAINST SLUTSKY -PELTZ PLUMBING AND HEATING COMPANY, INC., ET AL COMMISSION AUTHORIZED THE STAFF TO FILE AN APPLICATION FOR REGISTRATION OF EAST RACE SERVICE MARK WITH THE COM- MISSIONER':OF PATENTS AND TRADE MARKS South Bend pedevelopment Commission Rescheduled Regular Meeting - September 30, 1985 6. NEW BUSINESS (Cont. e. Award of bid for Parcel El -1 in the South Bend Area. Mrs. Kolata explained that this is the procerty commonly referred to as the Mill Race procerty. Two bids were received for the property. One bid was received from Mill Race Recreational Associates, a partnership co rised of representatives of the Holladay Co ration. Mill Race Recreational Ass ciates proposed building 121 residential units with a combination of apartments and to ouses, a 15,000 square foot health club with an outdoor swimming pool, and 1,500 square foot commercial building. Their project would include 240 parking spaces. The residential units were proposed to be 2 -3 stories tall. The project was proposed in two pha es, Phase I being 61 units and the health cluD built in 1986, and Phase II being 60 uni s built in 1987. The total bid amount was $30),001 subject to the following conditions: release of the public access easement, the purchase price to be reduced dollar for dollar for the cost of site preparation, and approval of the proposed two phase construction The second bid was received from Clinton E. Hut hcraft on behalf of an Indiana partnership to be formed. Mr. Hutchcraft is an architect/developer from the Indianapolis area. They proposed constructing 204 residential units including a clubhouse, sw-brming pool, and a parking structure with to is courts on the top. They would provide a total of 286 parking spaces including surface spaces. The residential units would be three stories. They expected to do all of the construction in one phase beginning in 19813 with the possibility that it could carry over into early 1987. The total bid amount was $300,000. Mrs Kolata noted that following the receipt of bids the Commission met in Executive Session with both developers to discuss their proposals for the project. Subsequently, two -10- South Bend edevelopment Commission Rescheduled Regular Meeting - September 30, 1985 6. NEW BUSINESS (Cont.) e. uonl -inuea .. . Comnissioners and staff made site visits to other existing apartment projects of Mr. Hut hcraft's in Indianapolis and Lafayette. Mrs Kolata noted the minimum specifications for the sale of land. The minimum purchase price was $300,000. The primary use of the property must be for residential development. The minimum number of residential units shall be L50. Any residential building shall have a minimum height of two stories above ground level. The City of South Bend shall retain an easement along the St. Joseph River, the loc tion of which is indicated on the survey of he property. Any development must make full use of the site. If a development is to be phased, a development plan and schedule MIA be submitted for each phase. All pro isions of the South Bend Central Dev lopment Plan and East Bank Design Guidelines should be met. The Commission also included some other design considerations that were put into the bid specifications. They reflect the Redevelopment Commission's planning and urban design principals for the offered land. They are not requirements of the bid spe ifications. Proposals would be evaluated by the Commission on a case -by -case basis as to low these items were to be addressed. The 3e items included that the total number of residential units should not exceed 350 units; that any commercial use on the property should be Planned primarily for the service and con enience of the residents of the dev lopment and should not exceed 10% of the total area of the improvements on the pro ' rty; a seven story height maximum; that the existing stone retaining wall along the nor east boundary remain intact and if the bid er wanted to alter or remove the wall they mus provide the Commission with an explanation of their plans; that structures be set back at least 25 feet from the raceway; that any development include landscaped open spa es and that consideration be given to the pub is open space of the East Race Park; arc itectural design of the development should -11- South Bend Pedevelopment Commission Rescheduled Regular Meeting - September 30, 1985 6. NEW BUSINESS (Cont.) e. cont -inuea .. . be 3ensitive to height, lay out and material of idjacent renovated structures; and, if a pro sal includes any commercial space, its spe ific location and use should be identifed. The bidders were also instructed in the specifications that the Commission will judge any proposal based upon the following criteria and reserves the right to reject any or all bids. The criteria includes the amount of the purchase price; the development plan's conformance to the specifications; the quwitity and quality of the residential units; the developer's response to the design considerations; the ability and past per ormance of the bidder; and, the proposed tim table for commencing and completing Mrs Kolata added that, in terms of the two bids received, the Commission has had a great deal. of experience with the past performance of the Mill Race Recreational Associates. The have a proven track record. The Comiission was not familiar with Clinton Hut hcraft's past performance in other cities. Ms. Schwartz noted that, since one of the bidders was not known initially to the ConmLission, she advised the Commission that the investigate into the background, crediability, financial capability, and whe ewithal of Clinton Hutchcraft to determine whe her or not he would meet the requirements. Mr. Piasecki noted that the Commission and staff inspected some of Mr. Hutchcraft's apartment complexes and found the work done to be cf top quality. The interiors were also first quality. Mr. Donoho stated that he found Mr. Hutchcraft to he very qualified in that his projects were of high quality. The apartments were very well maintained. The grounds were immaculate in comparison to some of the other dev lopments around his apartments. Mr. Don ho stated the upkeep of the grounds for 1 -12- South Bend edevelopment Commission Rescheduled Regular Meeting - September 30, 1985 6. NEW BUSIINESS (Cont.) e. Conitinued... the Mill Race project would be of utmost importance. Mr. Hutchcraft is an out of town developer, but has pledged as much as possible to involve the community with respect to suppliers, local contractors, labor, etc., so th the community will see a nice multiplier eff ct out of his development. Mrs. Schwartz entered into the record that Mill Race Recreational Associates failed to meet the basic bid specifications. Specifically, Mill Race Recreational Associates did not meet the minimum number of residential units, the retention of the public access easement, and the minimum purchase price. The effect of their proposed dollar for dollar decrease in purchase price for site pr ation would have brought their price bel w the minimum bid level. Upon a motion made by Ms. Auburn, seconded by COMMISSION AWARDED THE BID Mr. Piasecki and unanimously carried, the FOR PARCEL El -1 IN THE SOUTH Commission awarded the bid for Parcel El -1 in BEND CENTRAL DEVELOPMENT AREA the South Bend Central Development Area to TO CLINTON E. HUTCHCRAFT ON Clinton E. Hutchcraft on behalf of a BEHALF OF A PARTNERSHIP TO BE pa ership to be formed under Indiana law. FORMED UNDER INDIANA LAW Kolata thanked the Commission for the they devoted to preparation of the fications for the Mill Race project, ng with the two proposed developers, and ling to look at the other Hutchcraft Chair also thanked the other Commissioners traveling to visit other Hutchcraft sites. f. Commission approval to dispose of surplus le. Mrs. Kolata explained that the Redevelopment Commission owns a 1973 Ford van that has been used by the River Bend Plaza Crew for the downtown area. The van has not been running for several years and its present value is $50.00. The Commission is being asked to sell the vehicle at a public auction being held by the Board of Public Works on October 5, 1985. -13- South Bend Pedevelopment Commission Rescheduled Regular Meeting - September 30, 1985 6. NEW BUSMSS (Cont.) f. Continued... Upo a motion made by Mr. Piasecki, seconded by Mr. Donoho and unanimously carried, the Comnission authorized the disposal of a su lus vehicle at the Board of Public Works auc ion according to public law. g. Comnission approval of Homesteading Agreements in accordance with the recommendation from the Bureau of Housing. Mrs Kolata explained that the Commission is being asked to award and enter into agreements witi Homesteaders for properties awarded on Sep ember 24, 1985, which was officiated by Mr. Combs. There are five Urban Homesteading pro.Derties in accordance with the Federal pr ram with a five year residency required prior to obtaining title to the property. There are also five Local Homesteading pro rties that were acquired by Community Dev lopment funds that require a three year res deny prior to obtaining title to the Mrs Kolata pointed out that one of the Local Ho steading awards was made to Doris Brown who is an employee of the City of South Bend, Neighborhood Code Enforcement. Redevelopment will seek a waiver from the Department of Housing and Urban Development clarifying that there is no conflict of interest. Upon a motion made by Mr. Piasecki, seconded by Mr. Combs and unanimously carried, the Comaission approved Homesteading Agreements for the following individuals, and authorized the President and Secretary to execute any nec ssary documents. Name Chester A. Baldwin Rocco Simeri Terri L. Tamandli Revena D. Harmon Barbara J. Griffin Andre Shurn Doris J. Brown Address 1822 S. Brookfield 1209 Bruce Street 1317 N. College 3619 W. Ford 425 S. Warren 429 S. Carlisle 517 Kosciusko -14- COMMISSION AUTHORIZED THE DISPOSAL OF A SURPLUS VEHICLE AT THE BOARD OF PUBLIC WORKS AUCTION ACCORDING TO PUBLIC LAW COMMISSION APPROVED HOMESTEAD- ING AGREEMENTS INDIVIDUALS LISTED AND AUTHORIZED THE PRESIDENT AND SECRETARY TO EXECUTE;'ANY NECESSARY DOCU- MENTS South BE Reschedi: 6. NEw 9- h. i !nd Redevelopment Commission sled Regular Meeting - September 30, 1985 BUSINESS (Cont.) Continued... Diana L. Grounds 1712 S. Nash Virginia A. Shikoski 918 N. Cleveland Fannie M. Chambers 1125 Harvey Ccmnission authorization requested for an Agreement with Dr. John Harrington relating t. pro:)erty located in Block 6 of the South Bend Central Development Area. Schwartz explained the Commission is bein, Ms. ask d to authorize the President and Secretar to execute an agreement tying Dr. John Harrington into the Department of Housing and Urban Development and Redevelopment re irenents with respect to the development of roperty located in Block 6 of the South Beni Central Development Area. The property in question was sold by the Commission to the Riv r Bend Development Corporation in October of 977. They sold it to a subsidiary of Lowe's, Inc., in September of 1981. Now Dr. Harrington wishes to acquire title to the property so that he can proceed with financin, the construction of his project. This agr ement would also take care of some out tanding requirements with respect to Lo 's and the River Bend Development Co ration which originally bought the pro rty from Redevelopment. This property has never been developed in terms of a building. It is vacant land that has been landscaped by Lowe's. Lowe's has never come before the Commission for a Certificate of Co letion which is required in order to release all of the HUD requirements still on the deed. Upon a motion made by Ms. Auburn, seconded by Mr. Combs and unanimously carried, the Comnission authorized the President and Sec etary to enter into an Agreement with Dr. Jo Harrington relating to property located in Block 6 of the South Bend Central Development Area. Ccmuission approval requested for Addendum I to a contract with Community Development for Studebaker Corridor Development Activity (CD 5 -609). -15- COMMISSION AUTHORIZED THE PRESIDENT AND SECRETARY TO ENTER INTO AN AGREEMENT WITH JOHN HARRINGTON RELATING TO PROPERTY LOCATED IN BLOCK 6 OF THE SOUTH BEND CENTRAL DEVELOPMENT AREA South Bend pedevelopment Commission Rescheduled Regular Meeting - September 30, 1985 6. NEW BUSINESS (Cont.) 7. i.. uoDip nueu.. . Mrs. Kolata explained this was a minor contract addendum expanding eligible cost categories by adding the wording "construction retainage payment ". This will allow coverage of $1,000 retainage fee for a construction Fn ract that was awarded under the Jobs Bill ram. When the Jobs Bill monies were o ed out, the retainage fee payback was Upo a motion made by Ms. Auburn, seconded by Mr. Combs and unanimously carried, the Comnission approved Addendum I to a contract wit-1 Community Development for Studebaker Cor idor Development Activity (CD85 -609). The Char recognized Mr. Ken Fedder reures tina Colonial Caterers. Mr. Fedder asked, on behalf of his client, that Colonial Caterers be excused from any further contract performance for the purchase of the L. Keen building. Mr. Alfred Rubin had previously expressed desire to develop the L. Keen bu lding. Mr. Rubin had intended to execute a contract for the development of the building but, due to circumstances such as the loss of the caterering contract with Century Center, is unable to do so. A possible joint venture was discussed but was unable to be develo d within a reasonable amount of time. Mr. Rubin asked that Mr. Fedder extend his appreciation to the Commission for the cooperation extended to him thus far. Mr. Rubin has been ill for the past couple of months, and the individual that Mr. Rubin had hoped to operate this new facility is no longer with Colonial Caterers. Mr. Fedder asked that the Commission consider refunding the $2,700 deposit to Colonial Caterers. Mr. Rubin felt the continuation of the start of the pro te ct for another few months would be a dissery to the Commission. Mrs. Ko ata clarified to the public that the Commission did award the bid for the L. Keen -16 COMMISSION APPROVED ADDENDUM I TO A CONTRACT WITH COMMUNITY DEVELOPMENT FOR STUDEBAKER CORRIDOR DEVELOPMENT ACTIVITY (CD85 -609) PROGRESS REPORTS South Bend edevelopment Commission Rescheduled Regular Meeting - September 30, 1985 7. PROGRESS REPORTS (Cont.) buildinj to Colonial Caterers in May of 1985. The tit Le for the property has not been transferred. It was in the executing of the documen s that the staff realized there was a problem. The documents had not been returned by Colonial. It was upon following up on the documents with Mr. Fedder that the staff was informel that the bidder was unable to proceed with the project and would ask to be released from th it obligations. The staff recommendation is to rescind the award oE the bid to Colonial Caterers for the L. Keen building and ask the other two bidders if they would still be interested in the project. Ms. Aub= stated that it was regretful that ColoniaL Caterers must withdraw their bid because it was a good project. Ms. Auburn further stated that it is the policy of the ConTniss ' on that performance bids not be returneo if a developer withdraws from a bid. Upon a motion made by Ms. Auburn, seconded by Mr. Don ho and unanimously carried, the Commission rescinded award of the bid to ColoniaL Caterers for the L. Keen building, directe3 that the bid bond be forfeited, and that the staff approach the other two bidders to see if they are still interested in the project. Mr. Nimtz noted the regrets of the Commission due to great anticipation about the Colonial Caterer E;' project. The Commission is hopeful that Mr. Rubin will appear again before the Commission based on his good reputation within the co unity. Mrs. Ko ata further reported that Jon Hunt, F. Jay Ni z, Richard Hill, Eugenia Schwartz and some of ers from the City represented the Redevelopment Commission in front of the Local Propert Tax Control Board on September 27, 1985 co cerning the Tax Incremental Financing Bond. The hearing went well and the Local Propert Tax Control Board is going to make a -17- South Bend Redevelopment Commission Rescheduled Regular Meeting - September 30, 1985 7. PROGRESS REPORTS (Cont.) re'cbftnaidatiob to thO State Board of Tax Comniss'oners in favor of the TIF Bond issue as presented. Mr. Nimtz noted that Mr. Howard Goodhew, Chairman of the Local Tax Control Board, was very supportive of this effort. 8. NEXT COMMISSION MEETING The next Regular Meeting of the Commission will be held on Friday, October 11, 1985 at 10:00 a.m. 91 NEXT COMMISSION MEETING There bAng no further business to come before ADJOURNMENT the Comnission, Mr. Combs made a motion that the meeting be adjourned. Mr. Donoho seconded the motion and it was unanimously carried. The mee ing was adjourned at 11:00 a.m. , PreNdent 46n R. Hunt; .executive 4 �_ Cf�14 Ann E. Kola a, E W ve Director an