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HomeMy WebLinkAboutSM 12-16-87December 16 4:00 p.m. Presiding O 1. ROLL CAJI SOUTH BEND REDEVELOPMENT COMMISSION SPECIAL MEETING 1987 ficer: Mr. F. Jay Nimtz President Members Present: Members Absent: Legal C Redevel News Others: Lacking a qL from Leroy Z business. 6. NEW BUSI g. Repcc Assc Buil 1200 County -City Building 227 W. Jefferson Boulevard South Bend, Indiana 46601 Mr. F. Jay Nimtz, President Mr. Roman J. Piasecki, Secretary Mr. Sandy Combs Ms. Paula N. Auburn, Vice President Mr. Michael Donoho, Assistant Secretary Ms. Eugenia Schwartz Staff: Mr. Jon R. Hunt, Executive Director Mrs. Ann E. Kolata, Deputy Executive Director Mrs. Cheryl Phipps, Office Manager Ms. Gretchen Matthews Mr. Rick Pitts Mr. James Wensits, South Bend Tribune Mr. Dick Maginot, WSBT -TV Mr. Kevin Burke, WNDU -TV Mr. E. Walton, WNDU -TV Ms. Leigh Engelhardt, WSJV -TV Mr. Gary Weinstein, WSBT -ST Mr. Matt Storub, WSJV -TV Mr. David C. Brown, LeRoy Troyer & Associates Ms. Kathleen Mullins, Northern Indiana Historical Society Mr. Carter Wolf, Center City Associates Mr. Joseph Dillon, Cole Associates Mr. Richard Hill, Parker & Jaicomo Mayor Roger 0. Parent the Commission heard the report and Associates before conducting to Commission tes Roy Troyer and Robertson's -1- REPORT TO COMMISSION BY LEROY TROYER AND ASSOCIATES CONCERNING THE ROBERT- SON'S BUILDING FEASIBILITY STUDY South Bend Special Mee 6. NEW BUS g. Con elopment Commission - December 16, 1987 ( font . ) Mr. Hunt introduced the report by noting that the department had been meeting with the Northern Indiana Historical Society and Studebaker Museum representatives ovei a period of five or six months to fin suitable facilities for relocation. The feasibility study of the Robertson's Building was a part of this process. The charge to LeRoy Troyer and Associates was twofold: (1) to determine the physical capabilities of the building for housing a museum or other use; (2) to define preliminary cost estimates to pro ide a basis on which to proceed. Mr. iunt noted that if the preliminary cost estimates would have been unreasonable, the department would have stepped back from the proposal and looked to other alternatives. However, the concerns of the department are: (1) that the enney's Building is the most desirable building on the block and most likely to be developed privately while the obertson's Building is not likely to be developed without help from the public sect r; and (2) if the Robertson's Buil ing remains vacant while the Penn y's Building is filled, it will cast a shadow over reaching the full deve opment potential of the block. He cm-mended the Northern Indiana Hist rical Society for their position that if a private developer should cone forward for the Penney's Building prior to taeir finalizing arrangements for the buil ing, they would step away and find another location. Mr. Hunt reviewed the planning process which began with the feasibility study. The next step would be to move into a development concept, which would address the physical layout, organizational aspe ts, and ownership and legal issues. -2- South Bend edevelopment Commission Special Meeting - December 16, 1987 6. NEW BUSINESS (Cont.) g. Con4inued... Then we would need to refine the cost estiffate, develop a financing plan to take to the community, address the legal and organizational aspects, develop some pro forms on the building, and seek the financing. The process is one used with any proposed development. The consultant was not instructed to address the issue of asbestos. That will be addressed in the future. The cost of asbEstos removal has not been included in these cost estimates. The cost of acquiring the building has alsc not been addressed or included in this report. Mr. Brown summarized the report as fol ows: 1. The building is a physically sound facility. Both the exterior envelope and the structural system e in good condition. 2. In the past, it has been costly in terms of dollars per square foot to keep the facility maintained and Aerating. Included in the work are provisions to replace mechanical �quipment and insulate walls to nimize this handicap. 3. rhe structural requirements for archival loading of a museum are ssible to accomplish, but will be xDensive. 4. it is possible to meet the varying security needs and varying operating ours for different tenants by levator controls that limit floor access. 5. current condition of the ding will deteriorate rapidly, -3- South Bend qedevelopment Commission Special Mee ing - December 16, 1987 6. NEW BUSINESS (Cont.) g. Lon- inuea... should it continue to remain 6. Due to code classification, we do not recommend the use of the seventh floor. Use of the seventh floor changes the facility from mid -rise to high rise and requires additional life /safety standards. 7. Within the constraints of the existing structural system the facility can accon iodate either a new escalator system or an enlarged atrium in the vicinity of the escalator opening. However, to attempt to include both probably will overstress the structural system. 8. We recommend closing all openings to the southernmost portion of the facility (wood frame). It is not compatible due to construction type. This could be treated as a separate facility. Mr. Brown continued with the report, covering existing building conditions and the recommendations for correcting problems. He noted that the suggested improvements would yield a fully ope ational, good condition finished space. But it would not be museum space or Epace for any other specific use. A pot ntial occupant would have to look at additional costs to make it meet specific Mr. Hunt noted that the answers to the two threshold questions are: (1) yes, the building is physically able to house a MUSE-um; and (2) the costs are within the realm of feasibility. However, the proEosed use of the building as a museum center may not move ahead fast enough to satisfy either or both of the museums. -4- South Bend edevelopment Commission Special Meeting - December 16, 1987 6. NEW BUSINESS (Cont.) g. Con-4inuect... Mr. Nimtz commended Mr. Brown for a very down-to-earth report on the condition of the building. He noted that the Corrmission has not taken the position that-either museum should use the building, but is interested in locating themwhere they can benefit the community and attract visitors. Mr. Hunt noted that the staff has discussed with Mr. Brown other possible uses for the building. Office use was discussed and there are hindrances to that use, specifically, the lack of win ows and the net to gross square footlaqe. Mr. Combs arrived during Mr. Brown's presentation and since there was now a quorum, Mr. Nimtz called the meeting to order at 5:00 p.m. 2. APPROVAL OF MINUTES 3. There were no minutes for approval. APPROVAL OF CLAIMS Upon a motion made by Mr. Piasecki, seconded by Mr. Combs and unanimously carried, the Commission formally approved the claims submitted December 14, 1987 and ordered checks dated December 18, 1987 to be released. " • l Burke Te hnologies, Inc. Indiana nors Alliance Insty- Pr'nts Jo's Del' Robert J hnson Nations Business Parker & Jaicomo Norfolk Southern Corp. South Bend/Mishawaka Area - Chamber of Commerce Springst Inc. -5- r THERE WERE NO MINUTES FOR APPROVAL COMMISSION APPROVED THE CLAIMS SUB- MITTED DECEMBER 14, 1987 AND ORDERED CHECKS DATED DECEMBER 18, 1987 TO BE RELEASED $ 508.70 40.00 62.80 76.43 256.00 15.99 375.00 3,919.00 72.50 $ 13,445.12 $ 13,445.12 South Bend edevelopment Commission Special Meeting - December 16, 1987 4. COMMUNICATIONS There wdre no communications. 5. OLD BUSINESS There was no old business. 6. New a. Revenue THERE WERE NO COMMUNICATIONS sed PUBLIC HEARING CONCERNING PROPOSED City of APPROPRIATION OF PROCEEDS OF THE ct Tax CITY OF SOUTH BEND REDEVELOPMENT DISTRICT TAX INCREMENT REVENUE BONDS OF 1988 Mr. Nimtz opened the Public Hearing. Mrs. Kolata entered the following items intc the record: 1. An Affidavit of Carol Smith, Classified Manager of the South Bend Tribune, that the Notice of Public Baring Concerning Appropriation of Proceeds of the City of South Bend Redevelopment District Tax Increment Revenue Bonds of 1988 was published in the South Bend Tribune on November 13, 1987. 2. roof of Publication from David ollar, editor of the Tri- County ews, that the Notice of Public earing Concerning Appropriation of roceeds of the City of South Bend edevelopment District Tax Increment evenue Bonds of 1988 was published 'n the Tri - County News on November 3, 1987. 3. affidavit of Carol Smith, lassified Manager of the South Bend ribune, that the Notice of Public Baring Concerning Appropriation of Proceeds of the City of South Bend edevelopment District Tax Increment evenue Bonds of 1988 was published �cen-ber the South Bend Tribune on 4, 1987. South Bend 4edevelopment Ccnn- ission Special Mee ing - December 16, 1987 6. NEW BUSINESS (Cont.) a. uonn-inuea... 4. Proof of Publication from David Kollar, owner of the Tri- County News, that the Notice of Public Hearing Concerning Appropriation of Proceeds of the City of South Bend Redevelopment District Tax Increment Revenue Bonds of 1988 was published in the Tri- County news on December 4, 1987. Mrs Kolata noted that there were no wri ten remonstrances received as of 4:0 p.m. December 16, 1987. Mr. Nimtz asked if there was any obj ction to these items being entered into the record. There was no objection and the items were entered into the Mr. Nimtz stated that there were no written remonstrances as of 4:00 or 5:00 p.m today. Mrs Kolata explained that at the time of the initial Public Hearing held on Friday, November 27, 1987, at 10:00 a.m., the Proofs of Publication entered into the record at that meeting related to the Notice of Determination to Issue Bonds of the City of South Bend Redevelopment District instead of the Appropriation of Proceeds of the City of South Bend Redevelopment District Tax Increment Revenue Bonds of 1988 although the Proofs of Publication of the Notice of Public Hearing Concerning Appropriation of Proceeds of the City of South Bend Redevelopment District Tax Increment Revenue Bonds of 1988 were available at that. time. Mrs. Kolata further stated that. she filed these Proofs of Publication at today's meeting. Mrs Kolata explained that the Public Hea . ing today concerns appropriation of the proceeds of the tax increment revenue -7- South Bend qedevelopment Commission Special Mee ing - December 16, 1987 6. NEW BUSINESS (Cont.) a. Uonitlnuecl .. . bond issue of 1988. This is a bond in the amount of $1.8 million for the South Bend Central Development Area. The proceeds from the bonds will be used for (1) public works improvements throughout the area, primarily in the Niles Avenue area, to create better lighting, angle str et parking, sidewalk and curb imp ovements and widening of a portion of the street; (2) public improvements at Union station to allow for railroad passenger service; (3) acquisition of some vacant lots in Monroe Park; (4) pedestrian walkways in the East Bank area, and (5) improvements to some Redevelopment-owned parking lots which hav not been improved. Oth uses of proceeds will be to es lish a debt service reserve and to pay i ssuance costs. Mrs. Kolata stated that the Commission will approve the Official Statement for this bond issue at the December 30 meeting of the Commission. Also, today's acti n maintains the schedule of having the oond sale on January 19, 1988. Finally, we will be in Indianapolis this Friday for a hearing before the Local Pro party Tax Control Board on the bond issu . Mr. iimtz asked if anyone present desired to bD heard concerning this matter. Ther was no one present who wished to comm ant and Mr. Nimtz concluded the Public Hearing on this matter for what ver action the Commission desired to take b. Commission approval requested for Reso A r riation Resolution TWO, City of S21Lth Bend Redevelopment District Tax Revenue Bonds of 1988. South Bend 4edevelopment Commission Special Mee ing - December 16, 1987 6. NEW BUSINESS (Cont.) b. Conitinued... Mrs Kolata noted that there was a minor err r in the title of Resolution No. 823 as isted on the agenda. Mrs.1 Kolata explained that this is the res lution which appropriates the money for use once the bonds have been sold. Up o a motion by Mr. Piasecki, seconded by . Combs and unanimously carried, the Co 'ssion approved Resolution No. 823. c. Commission approval reque Ame dment to Contract wit Ass ciates, Inc. for en i Niles Avenue in the South Dev lotcment Area. ed for Ken Herceg and erina work on Mrs. Kolata noted that we have asked Ken Herceg and Associates to do some additional design work on the north end of the Niles Avenue project, along the property for the East Bank Trail and the East Race Inn. The amendment covers costs for the additional work. She note J, however, that we would be accepting his proposal for only items A. and 3. The Department of Engineering woul do the walk and curb replacement desi Therefore, the total cost of the addi ional work will be $2,500. COMMISSION APPROVED RESOLUTION NO. 823 Upon a motion by Mr. Piasecki, seconded COMMISSION APPROVED ITEMS A AND by Mr. Combs and unanimously carried, the B IN THE AMENDMENT TO CONTRACT WITH`' CommLssion approved items A and B in the KEN HERCEG AND ASSOCIATES FOR Amendment to Contract with Ken Herceg and ENGINEERING WORK ON NILES AVENUE Associates for engineering work on Niles Aven e. d. CommLssion approval requested for Contract with CWA Walker, Inc. for engineering services related to the St. N Mrs. Kolata noted that CWA Walker, Inc. had qone the preliminary work on the gara e, including a schematic and floor &'m South Bend qedevelopuent Commission Special Meeting - December 16, 1987 6. NEW BUS] SS (Cont.) d. Continued... plan. We have asked them for a proposal for design services and documents nec ssary to go out for bids on the con traction work. There are some minor issues that still need to be resolved bef re signing the contract, but CWA Wal er needs authorization to proceed wi the early phases. Mrs. Kolata noted that the study and report phase will be complete within 21 days, the preliminary design complete 30 days later, final design 70 days after that. These phases will be complete, then, within 17 weeks. The cost will not exceed $149,000 for basic services plus the fee for the resident project representative which is $7,000 per month. Cole and Associates has been designated by CWA Walker, Inc. as the resident project representative. Ms. Schwartz noted that these engineering costs would be paid for out of the bonds to be sold by the yet to be created Redevelopment Authority. Mr. Piasecki asked what would happen to these costs if the garage is not built. Mrs. Kolata responded that we would have to find another source of funds, possibly tax increment financing funds. Mr. lunt noted that the Redevelopment Authority has the ability to sell bonds, but not the ability to tax. They would enter into a lease with the Redevelopment Commission to rent the garage and use the rent monies to pay off the bonds. Mr. biasecki asked what other areas the Rede elopment Authority can get into. Ms. Schwartz responded that it is basically a service agency to the Rede elopment Commission to sell bonds for funding a project and leasing the stru tune back to the Commission. SOS South Bend #edevelopment Commission Special Meeting - December 16, 1987 6. NEW BUSINESS (Cont.) d. Continued... Upon a motion by Mr. Piasecki, seconded COMMISSION APPROVED THE CONTRACT by Mr. Combs and unanimously carried, the WITH CWA WALKER INC. Cormdssion approved the contract with CWA Walker Inc. subject to approval by staff and legal counsel. e. CormLission approval requested for Resolution No. 825 commending and tharking Mayor Roger 0. Parent for his South Bend. Mr. Nimtz thanked Mayor Parent for his suprort for the Commission throughout his yea is as Mayor. He read Resolution No. 825: AS, many people express concern urban problems and their impact the community; and some people demonstrate their by personal involvement in the of seeking solutions; and WHEREAS, a very few people are both willing and able to bring a degree of dedication and leadership that culminates in real measurable progress enriching the life of the community; and the City of South Bend has been fortunate to have been served by Roger 0. Parent as Mayor of the City of South Bend from 1980 -1987; and WHEREAS, during his tenure the City of Sou Bend has seen more than $100,000,000 of private investment in the Sout Bend Central Development Area repr renting nearly 2,000,000 square feet of n construction or rehabilitation; and w WHEREAS, Mayor Roger 0. Parent has shown this leadership and dedication even when it was not a popular thing to do; and -11- COMMISSION APPROVED RESOLUTION NO. 825 COMMENDING AND THANKING MAYOR ROGER 0. PARENT FOR HIS LEADERSHIP AND SUPPORT OF REDEVELOPMENT ACTIVITIES IN SOUTH BEND South Bend edevelopment Commission Special Mee ing - December 16, 1987 6. NEW BUSINESS (Cont.) e. L;onQinuea... Mayor Roger 0. Parent has steadfastly represented the interests of all citizens of South Bend; and the quality of life of the residents of South Bend has improved as a result of the contributions of his time, kno ledge, dedication, good judgement and steadfast efforts. NOW, THEREFORE, BE IT RESOLVED, that the South Bend Redevelopment Commission hereby commends and thanks Mayor Roger 0. Parent for his untiring efforts and support and cooperation given to the South Bend Redevelopment Commission. Adopted at a Special Meeting of the South Bend Redevelopment Commission held on December 16, 1987, at the Office of the Connission, 1200 County -City Building, 227 West Jefferson Boulevard, South Bend, CITY OF SOUTH BEND, INDIANA REDEVELOPMENT COMMISSION Upon a motion by Mr. Combs, seconded by Mr. Piasecki and unanimously carried, the Convission approved Resolution No. 825. Mr. Nimtz noted that a framed copy of the res lution was being prepared and would be presented to him at the Common Council mee inq December 21. Maycr Parent thanked the Commission and stated that he believes the City has gained from the cooperation of his office and the Commission. He noted that it is difficult for an elected body to make the harl decisions the volunteer Commission has de. He also thanked the staff for the' efforts. -12- South Bend edevelopment Commission Special Meeting - December 16, 1987 6. NEW BUSINESS (Cont.) f. Cornniission approval rectuested for members of the South Bend Common anent activities in South Bend. AS, many people express concern urban problems and their impact the community; and some people demonstrate their by personal involvement in the of seeking solutions; and W HER S, a very few people are both willing and able to bring a degree of dedication and leadership that culminates in real measurable progress enriching the life of the community; and the City of South Bend has been fortunate to have been served by Joseph T. Sergej Eugenia Braboy, Beverlie J. Beck, Ann Puzello, Robert G. Taylor, Thomas Zakrzewski, James Barcome, Al Pas ek and John Voorde as members of the Sou Bend Common Council; and these members of the South Bend Co on Council have shown leadership in making difficult decisions that have ultimately benefitted South Bend's redevelopment efforts and the city as a whole; and they have shown this leadership in decisions concerning tax abatement, authorization to apply for grant monies, support for development plans and appropriations for redevelopment and ecoriamic development activities; and AS, the members of the South Bend n Council have steadfastly sented the interests of the ibutions of their time, knowledge, judgement and steadfast efforts. -13- South Bend edevelopment Commission Special Meeting - December 16, 1987 6. NEW BUSINESS (Cont.) f. Continued... NOW THEREFORE, BE IT RESOLVED, that the South Bend Redevelopment Commission hereby commends and thanks Joseph T. Ser e, Eugenia Braboy, Beverlie J. Beck, Ann Puzzello, Robert G. Taylor, Thomas Za zewski, James Barcome, Al Paszek and Joluj Voorde for their support and Adopted at a Special Meeting of the South Bend Redevelopment Commission held on Dec r 16, 1987, at the Office of the CormLission, 1200 County -City Building, 227 West Jefferson Boulevard, South Bend, CITY OF SOUTH BEND, INDIANA REDEVELOPMENT COMMISSION Upo a motion by Mr. Piasecki, seconded by Mr. Combs and unanimously carried, the Co ssion approved Resolution No. 826. Mr. Nimtz added item 6h. to the agenda. h. Con ssion approval dum II to the act for Redeve itv, CD87 -601. Communi ted for Administration Mrs. Kolata explained that $50,000 was recently reprogrammed from unused Fredrickson Park monies through the Department of Community Development. $25,000 will be used to cover the 1987 bud et reduction that occured in November wher. the Civil City portion of our budget was reduced. The second $25,000 will be us& to cover 1988 cuts. This Addendum alsc extends the term of the 1987 con ract through March 1988. COMMISSION APPROVED RESOLUTION NO. 826 COMMENDING AND THANKING MEMBERS OF THE SOUTH BEND COMMON COUNCIL FOR THEIR SUPPORT OF REDEVELOPMENT ACTIVITIES IN SOUTH BEND Upor a motion by Mr. Combs, seconded by COMMISSION APPROVED ADDENDUM II TO Mr. Piasecki and unanimously carried, the THE COMMUNITY DEVELOPMENT CONTRACT Convission approved Addendum II to the FOR REDEVELOPMENT ADMINISTRATION Cormunity Development contract for ACTIVITY, CD87 -601 Redevelopment Administration Activity, CD8 -601. -14- South Bend Redevelopment Commission Special Meeting - December 16, 1987 7. PROGRESE REPORTS There w re no progress reports. 8. NEXT COMMISSION MEETING The next meeting of the Redevelopment Commission will be a Rescheduled Regular Meeting December 30, 1987, at 1 0:00 a.m. 9P THERE WERE NO PROGRESS REPORTS NEXT COMMISSION MEETING There being no further business to come before ADJOURNMENT the Conwission, Mr. Combs made a motion that the meeting be adjourned. Mr. Piasecki seconded the motion and the meeting was adjourn at 5:35 p.m. ::Z� -15- . rnunt, hxecutive