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HomeMy WebLinkAboutRM 01-08-88January 8, 1988 10:00 a.m. Presiding O fic 1. ROLL CALL 2. Members Members Legal Bureau News SOUTH BEND REDEVELOPMENT COMMISSION REGULAR SCHEDULED MEETING 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. Sandy Combs, Assistant Secretary Absent: Mr. Michael Doncho 1: Ms. Carolyn Pfotenhauer Staff: Mr. Jon R. Hunt, Executive Director Mrs. Ann E. Kolata, Deputy Executive Director Mrs. Cheryl Phipps, Office Manager Housing Staff: Ms. Kathy Baumgartner, Director Ms. Jeanne Derbeck, South Bend Tribune Mr. Dick Maginot, WSBT -TV Others: Mr. James Cronk APPROVA 1, OF MINUTES a. Upo a motion made by Mr. Piasecki, COMMISSION APPROVED THE MINUTES seconded by Mr. Combs and unanimously OF THE RESCHEDULED REGULAR MEETING carried, the minutes of the Rescheduled OF WEDNESDAY, DECEMBER 30, 1987 Re lar Meeting of Wednesday, December 30, 1987 were approved. b. Mr. Nimtz noted that Mr. Piasecki had seconded the nomination of Mr. Combs for Assistant Secretary during the Election of Officers and asked that the minutes be corrected. Upo a motion made by Mr. Combs, seconded COMMISSION APPROVED THE MINUTES by Ms. Auburn and unanimously carried, OF THE ANNUAL ORGANIZATIONAL the minutes of the Annual Organizational MEE`T'ING OF JANUARY 4, 1988 Meeting of January 4, 1988 were approved wi the correction noted above. -1- South Bend Regular Mee 3. APPROV 4. development Commission ng - January 8, 1988 OF CLAIMS Upon a inotion made by Ms. Auburn, seconded by Mr. Co s and unanimously carried, the Commission formally approved the claims submitted January 4, 1988 and ordered checks dated January 8, 1988 to be released. ADMIN 1987 Warren, Gorham & Lamont Tbtil Admin 1987 GRAM TOTAL There were no communications. 5. OLD BUSINESS There was no old business. 6. NEW BUSINESS a. Comaission approval requested for a proposal and loan in connection with the Rental Rehabilitation Program in accordance with the recommendation from the Bureau of Housing. Nam Contractor Mad son Center Madison Center 130 S. Taylor St. Ms. Baumgartner noted that this loan was on e agenda for the November 12, 1987 Comaission meeting, but continued due to so title problems. Those have been resolved. Madison Center will acquire the house with their own funds and put up half of the cost of the rehabilitation. The home will be used for supervised living for up to eight mentally ill individuals. Upon a motion by Ms. Auburn, seconded by Mr. Piasecki and unanimously carried, the Co ssion approved the proposal and -2- COMMISSION APPROVED THE CLAIMS SUBMITTED JANUARY 4, 1988, AND ORDERED CHECKS DATED JANUARY 8, 1988 TO BE RELEASED $ 143.50 $ 143.50 THERE WERE NO COMMUNICATIONS THERE WAS NO OLD BUSINESS 1 Loan $29,832.00 $15,066.00 (Public) 15,066.00 (Private) COMMISSION APPROVED THE PROPOSAL AND RENTAL REHAB LOAN IN CONNECTION WITH THE RENTAL REHAB PROGRAM AS LISTED ABOVE South Bend Redevelopment Commission Regular Meeting - January 8, 1988 6. NEW BUSINESS (Cont.) a. Conttinued... 1 Rehab loan in connection with the 1 Rehab Program as listed above. Comnission approval requested for S rdination Agreement with Leonard Leffel for property located at 730 N. Cleveland St. Ms. Baumgartner explained that Mr. Leffel received a Rental Rehab loan approximately one and one -half years ago. At 1hat time he had private financing and has paid about $5,000 of that off. He wishes to borrow additional money from a private lender who requires that all other loans be subordinated to theirs. This Agreement would subordinate our Rental Rehab loan to the new private loan which is the same position we were originally in. upon a motion by Mr. Combs, seconded by Mr. Piasecki and unanimously carried, the Commission approved the Subordination Agreement with Leonard Leffel. 7. PROGRESSIREPORTS Mr. Hunt asked Ms. Baumgartner to give an update o the Broadway Hotel project. Ms. Baumgartner explained that the Stuart B. McKinney Homeless Assistance Act, which was passed late last summer, has brought a coalitiom of people together to make the best use of the various sources of money that are available for assistance to the homeless. One part of the City's contribution to this effort was to Pitt together the Comprehensive Homeless Assistance Plan. The Plan proposed a three-phased approach to the needs of the homeless. The first phase is a 24 -hour shelter/multi-service center (Gilberts Bldg.) where the immediate need for shelter would be met as well as personal counselling, job/educational counselling, counselling for substanO abuse. The second phase is a transiticInsal housing site (Broadway Hotel), -3- COMMISSION APPROVED THE SUBORDIN- ATION AGREEMENT WITH LEONARD LEFFEL PROGRESS REPORTS South Bend Regular Me, elopment Commission - January 8, 1988 7. PROGRESS REPORTS (Cont.) where individuals could live while going through their self - sufficiency program. This stage is projected to be about an eighteen month process. During this time, the clients would continue to use the counselling services provided at the multi - service center. The third p ase would be rental housing (such as New Hope Housing owned by the HDC). Mr. Pia ecki asked if the concerns of the South Gateway businessmen who were opposed to the idea of the Gilberts Building being used for a homeless shelter had been met. Ms. Baumgartner indicated that the HDC has not yet receiv a list of specific concerns. When they do they will address those concerns as part of the plan. Ms. Derleck asked how the Madison Center project (Item 6a) qualifies as a Rental Rehab project Ms. Baumgartner responded that within the Rental Rehab regulations, congregate and group homes are an eligible catego The users have no ownership in the units a d they pay a fee, even if it is Mr. Nimtz asked Mr. Cronk if he had any comment . Mr. Cronk expressed concern over the apparent plans to demolish the Transwe tern Building. His opinion is that as long as a building is standing it remains an opporturity to an entrepreneur. Mr. Hunt noted that the cost of even demolition is prohibi ive at the present time. There are no firm pl4ns regarding the building. Mr. Wolf noted that Center City Associates supports the project but is concerned about the ima e that South Bend has as it is approac ed from the south. Ms. Baumgartner noted that the Michigan Street image of the Broadway Hotel whould be derived from whatever commercial uses rent the commercial space. The name of the hotel will indicate a residence. The Gilberts Project will not emphasi e the 10% of the structure used for a shelter but will have the appearance of an office ouilding reflecting the 90% usage of the mul i- service center. -4- South Bend Re(5 Regular Mee ir. 8. NEXT COWI The next. Regular Meeting of the Redevelopment NEXT COMMISSION MEETING Commission will be Friday, January 22, 1988 at 10:00 a.m. 9. ADJOUMENT There being no further business to come before ADJOURNMENT the CormLission, Mr. Piasecki made a motion that the meeting be adjourned. Ms. Auburn seconded the motion and it was unanimously carried The meeting was adjourned at 10:50 a.m. R ay tz, esident Jo Hunt, Executive irector evelopment Commti.ssion g - January 8, 1988 SSION MEETING -5-