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Home My WebLink AboutRM 10-14-88October 14 1988 10:00 a.m. Presiding Office 1. ROLL CALL 2. 3 Mr. F. Jay Nimtz President Members Present: Members Absent: Legal . Redeve om ent Staff: Bureau News Me Others W4 z Mill 0 1200 County -City Building 227 W. Jefferson Boulevard South Bend, Indiana 46601 Ms. Paula N. Auburn, Vice President Mr. Roman J. Piasecki, Secretary Mr. Sandy Combs, Assistant Secretary Mr. F. Jay Nimtz, President Mr. Michael Donoho Ms. Carolyn Pfotenhauer Mrs. Ann Kolata, Deputy Executive Director Mrs. Cheryl Phipps, Office Manager Ms. Hedy Robinson, Economic Development Specialist of Housing Staff: Mr. Ted Leverrman dia: Mr. Thom Howell, U -93 Ms. Jeanne Derbeck, South Bend Tribune Ms. Debbie Burns, WAOR Janis Dowell, ZIP 104 Mayor Kernan Mr. Lester Fox, Real Services Mr. Jerry Hammes Upon a motion made by Mr. Piasecki, seconded by Mr. Combs and unanimously carried, the minutess of the Regular Meeting of Friday, SeptAmter 26, 1988, were approved. CD Publications Computer Specialists Federal Express General Fund Goverroant Finance Office -1- CCHMISSION APPROVED i NINUTES OF THE RE=-AR MEE=G OF FRIDAY, SE- BE. 1988 R 8.00 99.90 140.25 556.36 15.00 South Bend Redevelopment Commission Regular Meeting - October 14, 1988 3. APFROMM OF CLAIMS (Cont.) Indiana Bell Telephone MakieLski, Inc. P.D.H. South Bend Tribune Chicago Tribune First Source Auto Lease Gary Moter Photography Jon R. Hunt Indiand Bell Communications Spee Dee Print Centuiy Center Compu Net, Inc. Contract Design Group General. Fund P.D.H. Office Supplies Petroleum Traders Social Science Training Research St. Joseph Title Corp. Urban Iand Institute Pathfirders Advertising Total Admin 1988 Nickle & Piasecki Interst ate Glass Greater-Christian Tabernacle Total I.I.F. 1985 Osco Dr C. & S. Thomas R. E. Mc Ken Her A.D.T. Landsca u9s Service Horka Closkey oeg & Associates Security Systems Inc. pe Design Co., Inc. Total T.I.F. 1986 Ken H & Associates Total T.I.F. 1988 -2- 296.68 20.00 14.70 162.24 377.00 231.71 355.70 294.30 171.74 39.80 97.50 506.62 3,621.00 63.73 319.45 27.23 100.00 107.00 107.50 369.00 $ 8,102.41 803.75 218.06 2,500.00 $ 3,521.81 $ 16.38 785.00 4,500.00 4,500.00 1,560.00 2,034.00 1.250.00 $ 14,645.38 $ 1,600.00 $ 1,600.00 $ 27,869.60 South Bend I Redevelopment Commission Regular M ting - October 14, 1988 3. (Cont.) Upon a motion made by Mr. Combs, seconded by Mr. Piasecki and carried, the Commission formally approved the claims submitted Sept 26, October 3, and October 10, 1988 and oxxtered checks dated October 1, October 7, and October 17, 1988 to be released. Ms. Auburn declared a conflict of interest and voted bresent. 4. CCMMUNICM There werE 5. OLD BU SINE There 6. NEW BU INE a. cogmis Rec. olu to be rel ate redeve De elc I.. rk by no coYmuunications . no old business. . Kolata explained that there are is related to the acquisition and evelopment in Studebaker Corridor for k which needs to be done prior to the e of the bond. The Commission will tiorize this work, paying for it out of er funds, but intends to reimburse se funds with bond proceeds when the :1 is sold. Those costs include such rigs as appraisal and survey work and i.ronmental studies. ri a motion by Mr. Piasecki, seconded !qtr. Combs and unanimously carried, the nission adopted Resolution No. 858 icating its intent to be reimbursed preliminary costs related to the Asition and redevelopment of the iebaker Corridor Development Area or issuance of bonds. -3- • 1 • • Z' V X11 I • f WV • 0I1 Di• •r M 1,• X11 • • ::NI [O•-M- • • •:�- •• THERE WERE NO CONM[JNI=ONS [IILI�IC /• • • / 4� •• i 1 • • •• - X11 - • • • 1 1 1 1 � • 1 r, X11 • - - - �i 1 n i- • . 11• of • - ia+ • i 1 : • ��- •••- ••' • Si •- Iii •- • •- South Bend IRedevelopment Commission Regular Meoting - October 14, 1988 W IM ;0 (Cont.) Ward Const. $ 36,501 Cottage Grove Because of his membership on the Board of the Housing Development Corporation, Mr. Piasecki declared a conflict of interest on this item. Kolata noted that after this contract was awarded to Wand Construction on November 12, 1987, the Housing De elopment Corporation had difficulty obtaining clear title on the property at 433. Cottage Grove. A contractor's prcposal is considered valid for only six mo ths, after which time new proposals are obtained. The Housing Development Co ration has since acquired the carability to do the work themselves and wishes to do so. Ward Construction is currently at contract capacity. $17,400 (public) $11,775 (public CD) $ 9,725 (private) Upon a motion by Mr. Combs, seconded by COMMISSION RESCINDED THE CONTRACT Ms. Auburn and carried, the Commission IN CONNECTION WITH THE RENTAL rescinded the contract with Ward REHAB PROGRAM Construction in connection with the Rertal Rehab Program. Mr. Piasecki voted pr t. 431 Cottage Grove HDC $ 36,000 -4- $17,400 (public) $21,500 (private) South BenddlRedevelcpment Commission Regular M ting - October 14, 1988 6. NEW BWINE55 (Cont.) JJ W- 0)il *aVA4C 4i Luse of his position on the Board of Housing Development Corporation, Mr. ,ecki, again, declared a conflict of LTpcn a motion by Mr. Combs, seconded by Ms Auburn and carried, the Commission approved the proposal and loan in cornection with the Rental Rehab Pr . Mr. Piasecki voted present. Ms. Aiturn recognized Mayor Kernan who introduced Mr. Lester Fox and Mr. Jerry Hammes co- chairmen of the Citizen's Committee for the Studebaker Corridor Bond Petition drive which is to begin later today. He thanked them for their willingness to e the community in this way. . South Lathe) Ms.1 Robinson read the staff report rejarding the application. Petitioner proposes to rehabilitate r existing building at 400 W. Sample et. The rehabilitation will include windows, roof, and a new entrance to building. The project also includes purchase of new manufacturing project will create one hundred (100) permanent full time jobs within the ,t year with an annual payroll of $1.5 .ion and will maintain 200 existing ianent full time and 6 existing anent part time jobs with an annual oll of $4 million. The total project is estimated to be $7,000,000, uding equipment. -5- AN �• • • r �- - r• i i 1110 CAN, LOW V - 4 D-*J Za : • big! N • 0. South Bend Regular Mee elcpment Commission - October 14, 1988 6. NEW MINESS (Cont.) d. Continued... e. property is properly zoned for the posed use. It is located in an area gnated as a tax abatement Impact L, and in a tax incremental financing cation area. The project qualifies for ten years of real property tax deduction and five yezrs of personal property tax decuction. Without abatement, the real property taxes are estimated at $417,060 over the ten year period. With abatement, the taxes are estimated to be $2 0,615. Therefore, the amount amount of real property taxes to be abated is estimated to be $206,445. Without abatement, the personal property taxes are estimated at $27,032 over the five ye, r period. With abatement, the taxes are estimated to be $5,651. Therefore, the amount amount of personal property $21es to be abated is estimated to be ,281. . Kolata noted the significance of s project, a $7,000,000 investment in redevelopment of the Studebaker ridor. Upon a motion by Mr. Combs, seconded by Mr. Piasecki and unanimously carried, the Commission approved Resolution No. 859 approving an application for real and personal property tax deduction for pr located at 400 W. Sample Street. to Kolata explained items 6.e., 6.f, 6.g. together since they all relate he offering of the Transwestern 1=9 COMMISSION APPROVED RESOLUTION NTO. 859 APPROVING AN APPIATCATION FOR REAL AND PERSONAL PROPERTY TAX DEDUCTION FOR PROPERTY LOCATED AT 400 W. SAMPLE STP EET South BenddIRedevelopment Commission Regular M ting - October 14, 1988 6. NEW BU$INE.SS (Cont.) e. comti.nuea... for sale. The actions are all nts in the public offering of ment -owned land. elution No. 860 sets the mininum xing price for the property, based i the appraisals of two experienced -aisers. Both of them determined that building was obsolete. The cost of �liticn, subtracted from the value of land, yields a negative n mber. efore, the property has no value. recommendation set forth in olution No. 860 is that the offering e be set at $1.00 and the re-use be tiable. All offers will be The Bid Specifications and Design Corsiderations define in more detail the considerations which will be used to weigh the proposals. Mrs. Kolata noted changes which need to be made in the pr posed Bid Specifications: Item number 2 Ehould state the minimum offering price of $1.00, the Redevelopment Commission will be willing to demolish either the Noith or South portions of the building, in addition to the wooden middle section, in order to make renovation feasible, and the addition of a requirement that all bidders submit a $5,000 deposit to ensure Kolata noted that the period of time between publication of the Notice of Intended Sale on October 21 and October 28 and the date of receipt of bids on December 2 is longer than usual in order to allow sufficient time for developers to tour and evaluate the building. Mrs. Kolata also requested permission to advertise in other publications, in addition to the South Bend Tribune and the Tri- County News. We would like to do -7- South BenddIRedevelopment Commission Regular M ting - October 14, 1988 6. NEW BUSINESS (Cont.) e. conrinuea... W 2 estate ads in the South Bend ne, the Chicago Tribune, and the Lnapolis Star on October 23rd, er 30th, and November 5th, and in is Chicago Business the weeks of er 24th, October 31st and November as well as an ad in the November of Midwest Real Estate News. Upon a motion by Mr. Piasecki, seconded COMMISSION ADOPTED RESOLUTION NO. by Mr. Combs and unanimously carried, the 860 APPROVING THE FAIR RE USE Ccmmission approved Resolution No. 860 VALUE OF LAND IN THE STUDEBA= approving the Fair Re Use Value of land CORRIDOR DEVELOPMENT AREA in the Studebaker Corridor Development Upc n a motion by Mr. Combs, seconded by Mr. Piasecki and unanimously carried, the Conmission approved the Bid Specifications and Design Considerations fox Parcel 16 -1 in the Studebaker Co idor Development Area, as amended. Upon a motion by Mr. Piasecki, seconded by Mr. Combs and unanimously carried, the Comnission authorized publication of the Notice of Intended Sale of Parcel 16 -1 in the Studebaker Corridor Development Area wi publication dates to be October 21 and October 28, 1988 and receipt of bids tobe at 10:00 a.m. December 2, 1988. COMMISSION APPROVED BID SPECIFICATIONS AND DESIGN CONSIDERATIONS FOR PARCEL 16 -1 IN THE STUDEBAFER CORRIDOR DEVELOPMENT AREA COMMISSION AUTHORIZED PUBLICATION OF NOTICE OF INTENDED SALE OF PARCEL 16 -1 IN THE S'IUDEBAKA'R CORRIDOR DEVELOPMENT AREA WITH RECEIPT OF BIDS TO BE AT 10:00 A.M. DECEMBER 2, 1988 South BenddIRedevelopment Commission Regular Meting - October 14, 1988 r-T 7. (Cont.) 1107 . Kolata noted that the other documents relating to the conveyance of the Skywalk were approved a the September 23 meeting. This document needed a lecal description of the Skywalk which was still being prepared. It is now ccx lete and ready for approval. If approved by the Commission, the r olution will be considered by the Bcx rd of Works on October 17. LTpc)n a motion by Mr. Combs, seconded by COrM ISSION ADOPIED RESOILMON NO. Mr. Piasecki and unanimously carried, the 861 AUTHORIZING CONVEYANCE OF THE Ccmmission adopted Resolution No. 861 SKYWALK BETWEEN 1ST SOURCE CENTER authorizing conveyance of the Skywalk AND M TTURY CENTER TO THE BOARD between 1st Source Center and Century OF PUBLIC WORKS Ceriter to the Board of Public Works. Mrs. is R the has Shilts to do the se will s of the their Street Lta reported that the Can Am project f ahead. The architect is working on . drawings. Lawson - Fisher Associates hired by Can Am to do the civil ng work on the site. That should be around the first week of November. aves and Associates has been hired soil engineering work. Beginning d week of November the contractor t taking bids for the construction oject. They expect to close on ancing on November 30th and to begin ion of the building on LaSalle early December. Ms. Dexbeck asked about the status of the Kirco project. Mrs. Kolata noted that the staff has asked for a meeting to be brought up to date on the project. Kirco is pursuing a number of leasing possibilities. They are going to need to revise their schedule, but still nsider it a viable project. M IT"- 114NYM��l�i C�4. South BenddIRedevelopment Commission Regular M ting - October 14, 1988 8. a The n Regular Meeting of the Redevelopment Commis ion is scheduled for October 28, 1988 at 10:00 a.m. There being no further business to come before the Commission, Mr. Combs made a motion that the meeting be adjourned. Mr. Plasecki seconded the motion and the meeting. was ad-, ourned at 10:35 a.m. I P�� Paula f. Auburn, Vice President -10- 0100:40 CO),01� I • U N yIofN V \ WkIN18JR Zld, Ann E. Kolata, putt' Executive Director