Loading...
HomeMy WebLinkAboutRM 11-17-89November 17, 1989 10:00 a.m. Presiding Officer: Mr. F. Jay Nimtz President 2. Member Present: Bureau News Mr. a. Absent: 1200 County -City Building 227 W. Jefferson Boulevard South Bend, Indiana 46601 Mr. F. Jay Nimtz, President Ms. Paula N. Auburn, Vice President Mr. Roman J. Piasecki, Secretary Mr. Sandy Combs, Assistant Secretary Mr. Michael Doncho Ms. Carolyn Pfotenhauer Staff: Mrs. Ann Kolata, Director Mrs. Cheryl Phipps, Office Manager Ms. Hedy Robinson, Economic Dev. Specialist Mr. Larry Koepfle, Economic Dev. Specialist Housing Staff: Ms. Kathryn Baumgartner, Director Mr. Ted Leverman, Rental Rehab Specialist Mr. Don Porter, South Bend Tribune Mr. 'Than Howell, U -93 Mr. Dick Maginot, WSBT-TV Mr. Carter Wolf, Center City Associates Mr. Steve Luecke, South Bend Common Council Mr. Kevin Joyce Mr. Karl Schram, Schramm Development Co. Ms. Pat Schramm, Schramm Development Co. Mr. Kevin Butler Mr. Mike Dobson announced that the Executive Session held prior to the meeting would be following adjourrnnent of the Regular Meeting. a motion made by Ms. Auburn, ded by Mr. Piasecki and unanimously ed, the minutes of the Regular -1- C• I 1 • •••• ED TBE NINUTES OF I REGULAR MEE=G • • ••�I• 27, 1989 South Bend Redevelopment Commission Reschedule4 Regular Meeting - November 17, 1989 2. a. cont-inuea... b. (Cont.) of Friday, October 27, 1989, were Mt . Kolata noted that as the staff was 1 king through the record for ormation for item 6.e., they noticed t the minutes of the February 24, 19 9, meeting indicated that the price 'tted by Niles/Washington Associates for Parcels E9 -8a and E9 -8b was listed as $1-),950 and the price for E9 -14 and E9 -15 was listed as $12,375. Those prices are re erred. The correct price for Parcels E9 8a and E9 -8b was $12,375 and the price for Parcels E9 -14 and E9 -15 was $17,950. We would like to correct the minutes of that meeting with those figures. Upon a motion by Mr. Piasecki, seconded by Ms. Auburn and unanimoulsy carried, the! Commission approved the correction to the minutes of the February 24, 1989, meeting. 3. APPROVAL OF CLAIMS ADMIN 1989 Peggy F orrest Gene's Store Makiel-Oki, Inc. David South United VISA South Petty David Tribune - Ask Mr. Foster el Service nd City Clerk Fund Association of Cities & Towns Business .sh Reimbursement -2- IMMSSION APPROVED THE HERECTION TO THE VBN= OF TIU �I. 24, 1989, ME=G 670.00 9.30 5.90 104.40 72.04 311.00 25.50 118.20 4.72 429.25 110.00 21.00 60.84 181.78 South Bend Redevelopnent Commission Rescheduled Regular Meeting - November 17, 1989 3. APPROWL OF CLAIMS (Cont.) S. C. L. Comiunications Equiprffi nt Services Federal Express Gene's Camera Store Gary Mster Photography Larry I oepfle Natiorml Civic League Petroleum Traders Warren, Gorham & Lamont, Inc. Forbes,j Inc. ADR' Security Systems Indiana Michigan Power Total T.I.F. 1988 Grand Thtal Upon a Mr. Pi Coamnis submit Novemb Novemb 1989 t Mrs. Kolat the agenda objection 4. CCHM UN. Mrs. Ki ccnziun: and wi: item. 5. OLD BU: a. Coi eotion made by Ms. Auburn, seconded by ,ecki and unanimously carried, the .on formally approved the claims d October 30, November 6, and 13, 1989, and ordered checks dated 3, November 10, and November 17, be released. asked permission to add an item to etween 6.d. and 6.e. 'There was no d the item was added to the agenda. to noted that there was one tion which was related to item 5.a. be read in conjunction with that -3- 72.50 306.00 25.75 19.80 40.00 30.00 5.00 42.27 150.15 48.00 $ 2,863.40 1,072.93 s COMMISSION A...• ED THE CLAIMS AND NOVEMBER ORDERED C i ED NOVEMBER ... TO BE RELEASED OCMMCATION TO BE READ UNDER ITEM 5.A. South Bend Redevelopment Commission Rescheduled Regular Meeting - November 17, 1989 5. OLD "INESS (Cont.) a. contznueca... Mrs. Kolata noted that Dennis Cripe had suhmitted a bid for two properties at the coiner of Columbia and Bronson Streets for the purpose of moving a house that is cutrently located on Lincolnway East. B & R Oil Co., owner of the Burger Dairy Store on Lincolrnaay East wishes to purchase the property on which the house is located in order to expand their par king lot. B & R Oil would have Mr. Cr 's house moved to the new location. Kolata noted that the Commission recuested additional information from bo B & R Oil and Mr. Cripe. The staff met with both parties and has received inf rmation outlining the responsibilities of both parties, a site plan for the house move, and a letter from Trustcorp Bank indicating that B & R Oil has the financial ability to carry out the project. B & R Oil Co. will pay for the purchase of the properties from the Ccnmiission, pay for the cost of moving the house, hook up the utilities at the new location, and construct an entrance sidewalk to the front door from the sidewalk on Columbia Street. Mr. Cripe will repair the altnni.num siding on the house and make landscape and lawn improvements beginning in the spring of staff met with Mr. Dobson, Mr. Cripe Steve Luecke of South Bend Heritage idation to discuss what improvements Ld be made to the house once it has i moved. The house has five rental s, one of which is an addition onto back of the house. Zhat addition can be moved with the house, so there . be four units after the move. Mr. )e is not certain whether he will put unwm siding on the house where the Ltion connected to the house, or her he will remove all the aluminum -4- south Bendevelopment Corrnmission Rescheduled Regular Meeting - November 17, 1989 5. OLD BUS (Cont.) a. corrcinueu... rig. In either case, he will paint entire house. Mr. Dobson indicated , he would guarantee that either the e or the siding would be painted. If curbs or sidewalks are damaged in the 4 B & R Oil will have them repaired. . Kolata noted that there are a couple of issues remaining. The site plan is not adequate for design review, there is no im 'cation of what Color the house will be painted, and no indication of how will be handled. Also, City requires one off - street parking p1_ l ce for each residential unit and the si plan does not show a parking area. a-s. Kolata also noted that the entire project is contingent upon a rezoning of 71E Lincolnlaay East to allow a parking to to be built on it. That item is on the Area Plan Cc mission agenda November 21 and will came before the Ccmnon it at their December meeting. . Kolata read a letter from Kevin oe to the Ccmuission. November 15, 1989 Ann Kolata 1200 County -City Building South Bend, IN 46601 Dealr Mrs. Kolata: This letter is in response to the proposal to move the house at 718 Lincolnway East to the northeast corner of Bronson Street and Columbia Street. As a property owner and a resident of Monroe Park, I am very much opposed to the proposal as it now exists. According to the present proposal, Mr. Cripe has -5- South Bendevelopmexit Commission Rescheduled Regular Meeting - November 17, 1989 5. OLD " INESS (Cont.) a. co»tinuea... made no commitment to improve the structure after it is moved, except to "repair aluminum siding where needed." Based on this, I would question Mr. Cripe's commitment to the neighborhood. The site plan does not propose any paved off - street parking. The structure currently contains seven units. Section 21-89 of the South Bend Municipal Code requires one off - street parking space per unit. Section 21 -99Cc> requires those parking spaces to be paved. The adjacent property to the north of the proposed site is on the Department of Redevelopment's acquisition list. I understood that it was to be acquired and cleared so that the entire half block could be marketed for new development. Finally, after having invested a great deal of time and money in my property based on certain expectations and plans, I am concerned that the integrity of those plans may be compromised by short sightedness simply because someone wants to save his income property. Thank you for your time. Sincerely, Kevin Joyce Mrs. Kolata noted that Mr. Joyce lives at 61E Fellows Street which is behind and a qLiarter of a block dawn frcm. the property in auestion. Mr.1 Dobson, B & R Oil Co., indicated that father had met with the staff and he unfamiliar with the outstanding -6- South Bend Redevelopment Commission Reschedule4 Regular Meeting - November 17, 1989 5. OLD BUSINESS (Cant.) a. conrinuea... Mr Nimtz expressed his concern that the sl#e plan did not show off - street y in it Luecke noted that the Council expects rezoning to be approved. He also d that a building permit would not be ted for the house move if there was provision for off - street parking. Auburn asked if there was any program could help Mr. Cripe improve this :al income property. Mr. Cripe's zest is in preserving the income he :fives from the house and is reluctant x mnit additional resources to :awing the house. Ms. Auburn agreed : Kevin Joyce has legitimate concerns rt what the house will look like once .s moved. The Coamnission needs to tre that those concerns are addressed. Mr. Piasecki asked about Mr. Joyce's reference to the Canmission's having an adjoining property on its acquisition list. Mrs. Kolata responded that our intent for this area is residential ill and this project would support that intent if it is cleaned up to be an asset to the neighborhood. Mr. in the The is of a a motion by Ms. Auburn, seconded by Piasecki and unanimously carried, the nission awarded Parcels M4 -12 and L5 to Dennis Cripe contingent upon the Lowing requirements which must be nitted to in writing: 1) The project approved by the Design Review nittee; 2) The legal parking zirements are met; 3) The rezoning of Lincolnway East lot is approved; 4) exterior of the house after the move ipproved by the Design Review dttee; 5) Mr. Dobson is the guarantor fr. Cripe's cc m fitments. —7— COMMISSION AliP ■ • EI• PARCELS / TO DENNIS •i' • e• 1 Hsi UPON THE • • 1 PIWIPMENTS WHICH MUST BE CCUR41TTED TO IN 1 I PRO= BE APPROVED BY THE DESIGN REVIEW C• 1 I IEGAIi PAIUMG RBQUIREMENTS ARE MET; THE • 1 OF E IiINCOLNWAY EAST LOT IS APPROVED; 4) THE EX =OR • • • E HOUSE AFTER THE MOVE IS APPROVED BY THE DESIGN IS THE GUARANTOR • I■ CRIPEIS CONMITHENTS South Bend evelopment Coarnmission Rescheduled Regular Meeting - November 17, 1989 W a. ing Development HDC $54,000.00 2391 LaPorte Ave. Ms. Baumgartner explained that the prcperty owner, George McKissick, asked the Bureau of Housing/Housing Development Co ration to renovate the units. He caLld not afford to maintain the property or rehabilitate it. The house at the frc nt of the property has two units, is vacant and has no utility service. He liv es in a house on the back of the prcperty and wishes to remain there. The prc perty is located on a conspicuous co#ier of the Orange - Colfax Connector. The staff developed a creative solution fox this problem property. The HDC has accepted donation of the property and granted a life estate to Mr. McKissick on the portion he inhabits. The other home on the property will be rehabilitated by the HDC and the two units rented and used to 3ay off the loan which will be ed to Mr. McKissick for the ren tion of his property. The portion of Property on which Mr. McKissick lives willl revert to the HDC upon his death. Th is a barn on the property which will be repaired and a garage which is of no value and will be demolished. The $54,000 Rental Rehab loan is for the rehibilitation of the house at the front of a property. Mr. McKissick will ive a $24,000 revolving loan for the rehibilitation of his residence and an $8,P00 loan which is forgivable upon the -8- $14,000.00 (Public) $40,000.00 (Private) South Bend Redevelopment Coumtission Reschedule4 Regular Meeting - November 17, 1989 6. NEW BUZINESS (Cont.) a. conrinuea... payment of the $24,000 loan. The ssion is not being asked to approve ng for Mr. MoKissick's house (that come from the Housing Development ,ration), but only for the two unit Ms Auburn asked how much it would cost to tear the house dawn rather than zettabilitate it. Mrs. Baumgartner rec.ponded that the demolition cost would be approximately $3,000. . Kolata noted that the rehabilitation is are high, but the property is in West Washington target area and on a hly visible corner. If the home was olished, the view on that corner would 11 be undesirable. Ms. Baumgartner noted that there is sutstantial renovation planned for other prcperties in the area which would ccapliment this rehab. . Kolata pointed out that the Ccx mission is asked to approve the Rental portion of the loan which is $1 ,000 or $7,000 per unit. She reminded the Cannission that under the conditions of the Rental Rehab Program ten percent of the loan is forgiven each year if the haL se is kept up to code, is made available to law /mod income tenants, and tw es are kept current. Mr. Piasecki declared a conflict of interest because he is a member of the Housing Development Corporation Board. Upon a motion by Ms. Auburn, seconded by CESSION APPROVED THE PROPOSAL Mr. Nintz and unanimously carried, the AND IRAN IN CONNECTION WITH THE Coamission approved the proposal and loan RENTAL REHAB PROGRAM FOR PROPERTY in coraiection with the Rental Rehab LOCATED AT 239 LAPORTE AVE. Program for property located at 239 LaPprte Ave. Mr. Piasecki voted present. South Bend Redevelcpament Ccmnission Rescheduled Regular Meeting - November 17, 1989 6. NEW BUSINESS (Cont.) a. continuea... IM Mr. Piasecki stated that he thought the effect of this rehab would be similar to the effect on the neighborhood fram the reilab of three homes across from the Colfax Cultural Center. He noted that th-6 Housing Development Corporation has awn construction cc npany and asked . Baumgartner to explain how it works. L . Kolata noted that the rehab of those ee homes would not be possible without cooperation of the trade unions and Job Training Program. Ms. Baumgartner explained that the construction company has been in existence for about one year. It is essentially a carpenter crew, consisting of eleven workers. The Construction ger arranges for necessary subcontractors. The construction company has done all of the Emergency Repair roofing jobs this stormier. As a result, the y have been able to bring the cost dmn and do more repairs. 'Ihe company al renovates all of the units that the HaL sing Development Corporation puz chases. It also serves as an employer fox, residents of the area. Mr. Nimtz asked if the Bureau of Housing hass been able to capture any unused funds frcm. other cities this year. Ms. Baumgartner responded that Ted Leverman applied for an additional $325,000 of Rental Rehab funds if they become available. He has projects that are to move as soon as they have additional money. Kolata noted that this Subordination anent relates to a Rental Rehab Loan -1.0- South Bend Redevelopment C=TLission Reschedule4 Regular Meeting - November 17, 1989 b. C. d. (Cont.) for property located at 423 Arthur Stz-eet. The rehab has been caanpleted and the construction loan is being converted to a mortgage. 1st Source requires that their mortgage be in first position. Upon a motion by Ms. Auburn, seconded by CXHM ISSION APPROVED THE Mr. Piasecki and unanimously carried, the SUBORDINATION A�� WITH 1ST Ccmmission approved the Subordination SOURCE BANK FOR PROPERTY LOCATED Aigreement with 1st Source Bank for AT 423 ARTHUR STREET Drcoertv located at 423 Arthur Street. Mrs. Kolata explained that the Ceitificate, of Waiver waives the 10% palment that is due each year under the Rental Rehab Program. The requirements of the program have been met and the $500 patwmt for January 28, 1987, $500 for Ja#uary 28, 1988, and $500 for January 28 1989, are being waived. n a motion by Mr. Piasecki, seconded by Ms. Auburn and ply carried, the Cc mission approved the Certificate of Waiver for Leonard E. Leffel. . Kolata noted that this certificate ves the $500 payment for January 28, 7, $500 for January 28, 1988, and $500 January 28, 1989. n a motion by Mr. Piasecki, seconded by Ms. Auburn and unanimously carried, the C=iission approved the Certificate of Waiver for Sarah F. Moody. -11- CCVMSSION APPROVED THE CERTIFICATE OF WAIVER FOR LEONJ E. IEFFEL CONNISSION APPROVED THE CERTIFICATE OF r• E• FOR V:•6D_ South Bend Redevelopment Cmud scion Reschedule4 Regular Meeting - November 17, 1989 6. d1. e. a I (Cont.) and Thelma 1/2 S. Fellows . Kolata noted that a Rental Rehab n in the amount of $6,705 was viously approved for Clarence and lna Allison for this property. itional electrical work is required at ost of $493. The new Rental Rehab n will be $7,198. . a motion by Ms. Auburn, seconded by Piasecki and unanimously carried, the fission rescinded the Rental Rehab , in the amount of $6,705 for property ted at 1216 1/2 S. Fellows and oved a Rental Rehab Loan in the nt of $7,198. Mrs. Kolata read a letter from Jahn Phair, President of Holladay Corporation to the Commission: November 15, 1989 South Bend Redevelopment Department Roo 1200 County-City Building South Bend, IN 46601 Dear Commission Members: Niles /Washington Associates, LP, an Ind'ana Limited Partnership, hereby -12- $7,198.00 (Public) $7,198.00 (Private) CCHMISSION RESCINDED TBE RENTAL $6,705 FOR ..• -aRT • :1� AT IHME .'}1 • ....• .91� O .. South Bend edevelop mnt Cam d ssion Rescheduled Regular Meeting - November 17, 1989 6. NEW " INESS (Cont.) e. cominuea... notifies you of its desire to transfer and assign to Schramm Development Company Inc. its rights and interests in its proposal to develop Disposition Parcels E9 -8a and E9-8b in the South Bend Central Development Area, which proposal was accepted by the South Bend Redevelopment Commission. Schramm Development Company Inc. is a reputable developer in the area with a notable track record and is prepared to commence immediately the apartment project proposed for the site. We request that you take the necessary action to effect the transfer and assignment of our rights and interest in said Parcels with a release and termination of our further responsibility for the acquisition and development of the parcels. Verly truly yours, Niles /Washington, L.P. By: Holladay Partners - Midwest, Inc. Its: Sole General Partner By:1 John T. Phair, President Mr. Butler spoke to the Ccuunission on behalf of Jobn Phair. He noted that in th eir bid docL mmits, Niles/Washington Associates proposed to build an apartment ccmplex on this site by summer, 1990. This was part of a larger bid which luded the construction of the AM General office building on the south west coiner of Niles and Washington Streets. That project is nearing ccupletion. They ha %e subsequently discussed with the staff the purchase of the property on the noithwest corner of Niles and Washington Stieets, for an additional office 'lding. If that project materializes, -13- South Bend Redevelopnent Commission Rescheduled Regular Meeting - November 17, 1989 6. NEW WAINESS (Cont.) aday Corporation would not be in a tion to move ahead on schedule with apartments. Schramm Development is .y to move ahead with their proposed tment project on the property. John r is very pleased to have someone of quality of Mr. Schramm involved in development of this site. We have received all of the necessary bid docunents from Schramm Development. Mrs. Ko ata explained the development that ScftraTm Development proposes for the pkm-cels. The property in question is 1 ted on Hill Street, just north of the fo er Mint Julep restaurant. They have Id igned a project that has sixteen ts. Eight units back up to Hill S t and eight units back up to the king lot for the AM General office Mr Schramm noted that their cxanpany l' to do small developments and are ing completion of a twenty to wnhame lex in Mishawaka. He showed a conceptual drawing of the project. Each unit will have a one car ganage four feet below grade level, a basement that could be finished as a tion room, living roam, kitchen, o and one half baths, and two lame The full bath will have a Mr. Schramm explained that he expects to rer t the units for at least one year and evE ntual1v sell them as condominiums. . Kolata asked about the project edule. Mr. Schramm indicated that y would begin construction in March Mr Piaseaki asked about the danger of tho steps in winter. Mr. Schramm noted -14- South Bend lRedevelopmnt Cammi.ssion Rescheduled Regular Meeting - November 17, 1989 6. NEW BU8 (Cont.) e. continues... the most ccumn entry to the unit is tgh the garage. Mr. Schramm asked the Coumii.ssion to confirm his understanding that this prcject is not subject to Davis- Bacon. Kolata responded that since no federal funds were going toward coostruction of the project, Davis -Bacon wo4ld not apply. Mr. Schramm requested that the City pave the two alleys adjacent to the property. He also notified the Ccmmission that he woLld like to apply for a three year tax abatement for the project. Mrs. Kolata nded that the Cc mission could not pr 'se to grant these requests, but that Une staff had indicated that they would iij to find funds to pave the alleys. Mr. Luecke stated that South Bend Hea itage Foundation has worked with the S& ramns for several years on a couple of prcjects and noted that they do quality Mr. Wolf asked Mr. Schrammm if this project would replace the one he had considered doing in Monroe Park. Mr. ScIrainm responded that he believes that the Monroe Park residential neighborhood car be turned around, but they do not want to be the first investor in the neigbborhood. Also, that project is not on a fast enough schedule for their pre0ent interest. They would be intprested in looking at a project in Konkm Park at a later time. 0 i a motion by Mr. Piasecki, seconded CCMIISSION TRANSFERRED AND Es. Auburn and unanimously carried, ASSIGNED NIIES/WASIiIN= Ccamission transferred and assigned ASSOCIATES' INTEREST IN /Washington Associates' interest in DISPOSITION PARC,EIS E9 -8A AND )osition Parcels E9 -8a and E9 -8b in E9 -8B TO PAT AND KARL SC RAM, South Bend Central Development Area AND RELEASED NILES/QASHINGTaN -15- South Bend Redevelopment Commission Rescheduled Regular Meeting - November 17, 1989 6. NEW BU MESS (Cont.) e. continues... f. g' to rat and Karl Schramm, and released Niles/Washington Associates from any ftnther responsibility concerning said Kolata asked the Commission to table item, since negotiations on the ment have not been completed. Mr Nimtz asked if there was any ob ection to tabling this item. There was no objection and the item was tabled until the next meeting. . Kolata noted that this agreement is related to the skywalk that is to be built between the IBM building and the St. Joseph/Wayne parking garage. It is an agreement whereby the Redevelopment Authority will construct the walkway and will make structural changes to the building to allow the walkway to be 'lt. The owner of the building is required to do the interior finish work to the building. She showed plans for connecting the walkway to the IBM building. Zhere will be a hallway constructed along the west side of the third floor of the IBM building to allow public access to both the garage skywalk and the skywalk connecting the IBIS! building and Trustcorp Bank building. owner of the building is responsible day to day maintenance and operation -16- ASSOCIATES -• RINE RESPONSIBILITY CONCERNING SAID PROJECT South Bend I Redevelopment Commission Reschedulco Regular Meeting - November 17, 1989 6. NEW BU$INE.SS (Cont.) g. continued... h. of the skywalk. The Redevelopment Authority will be responsible for major repairs. There is no heating or air corditioning in the skywalk, only ventilaton. The ventilation system will be connected to utilities in the IBM building They will be responsible for locking and unlocking the doors, and can, upon written approval, institute other security measures. term of the agreement is twenty and half years, beginning the date the age is c mpleted and ready for . Kolata noted that the Redevelopment aority approved the agreement at their tincq on November 16th. Mr. Piasecki asked if the cost of the skywalk was included in the original cost of the garage. Mrs. Kolata responded that the cost was being paid from the original bond issue. We estimated a 10% cor, t ingency and did not spend very much of that, so the contingency will cover the cost of the skywalk. a motion by Ms. Auburn, seconded by Mr. Piasecki and unanimously carried, the Ccu ion approved the Walkway Cor struction, Easement and Operating Agx t with Combined Capital fates VII, an Indiana Limited 'p dba Century Plaza Office -17- • MCI • • N " � 1 South Bend Redevelaanent Caamnission Reschedule4 Regular Meeting - November 17, 1989 6. NEW BUSDESS (Cont.) h. continued... Kcs. Kolata explained that the Cmmission is considering Resolution No. 898 and a prcposed form of lease for a bond issue that would fund a number of projects in th downtown area. She explained the p jests that are planned. Th first project is Niles Avenue corstruction, which includes reconstruction of Niles Avenue from north of LaSalle Street to Washington Street improvements to the north part of the Rec evelopment owned parking lot used by the Emporium, new curbs, walks, traffic islands, public parking areas, trees, lichting, draining and related work. The es#imated cost of this project is $610,200. The second project is Madison Street paiking and landscaping improvements between Niles Avenue and the East Race. It includes new curbs, gutters, parking walks, trees, lighting, drainage, repair and leveling of the brick stzeet on Madison. The total distance olved is 335 linear feet. The estimated cost of the project is $314,500. Of third project is improvements to ington Street between Niles Avenue Hill Street, approximately 320 linear nm improvements would include bilitating and relaying the existing k roadway, and the construction of concrete, curbs, gutters, parking s, traffic islands, and the addition Tees, lighting and drainage. The mated cost of the project is ,900. South Bend IRedevelcpment Commission Rescheduled Regular Meeting - November 17, 1989 6. NEW BUSINESS (Cont.) h. coritinued... Kolata noted that when those three ects are completed, we will have d approximately 400 parking spaces g Niles Avenue and in the East Bank the equivalent of the St. ph/Wayne parking garage. Th fourth project is the Riverbank Li frog project. It includes rovements to the lighting fixtures on th west side of the river between le Street and Karl King Towers. A nimber of the fixtures and poles in this area have been damaged and deteriorated or hidden by trees. The estimated cost of this project is $128,800. The fifth project is Morris Civic Plaza rovements. It includes reconstruction of existing improvements and construction of new improvements. It includes partial demolition of the existing plaza, mostly cutting down the height of the brick walls, and creating some seating areas. Although the park is attractive, it is riot a "people place." The inprovements may include some reworking of the f fain, the brick areas and the li ts. The estimated cost of this p 'ect is $456,350. is at sixth project is construction of the rd Park Wall. The concrete wall g the St. Joseph River at Howard Park everely deteriorated. The project d involve tearing out the existing and constructing a new wall of oximately 1000 linear feet. It would involve capping the foundation of wall and the installation of rip -rap he base of the wall to protect the from the effects of the river. It includes the replacement of scene walk next to the wall. The cost of project is estimated at $288,200. -19- South Bendel Redevelcipiient Coanission Resdiedule4 Regular Meeting - November 17, 1989 6. NEW " INESS (Cont.) h. continued... The seventh project is the construction of a walkway along the Rink Riverside prcperty. All of the East Bank and the datintown are connected by riverfront walkways with the exception of the poition behind Rink Riverside Printing. This project would construct the missing poition between the alley by the doctor's of ice to Colfax Street, at grade level, approximately 230 linear feet. It would also include the repair or demolition of the chimney on the Rink Riverside building. 'Ihe estimated cost of this prcject is $275,000. eighth project is Viewing Park. The eat would include continuing the way at Howard Park down to Sample yet, repair of the old WPA wall and allieater, patting in some lighting, making improvements to the driveways parking area. The estimated cost of ; project is $165,203. Tbo ninth project is a variety of curbs and sidewalk improvements in the town. Mrs. Kolata noted that some of th projects may not be done. We are in splitting the costs of curb sidewalk improvements with the owner of adjacent property and in using curb and sidewalk improvements to leverage otter private improvements. We would not necessarily invest our money if we could no get such commitments from the DrcOertv owners. The sections of curb and sidewalks prcposed to be repaired are as follows: apEroximately 55 linear feet in front of thE City parking lot on Lafayette Street; along Lafayette Street from where the Valley American Bank drive -in ends to bebind the Bath Building; approximately 35 linear feet along the property at 312 W. Colfax; along PM Tire Service on -20- South BenddlRedevelopment Commission Reschedul Regular Meeting - November 17, 1989 6. NEW BU.5 INFSS (Coat.) h. continued... x; along the front of the Colfax .er; along both sides of the ,tman Building; along IaSalle and Streets next to the South Bend ng Ict north of the Christman Ling; along Washington Street ,ent to Business Systems, Van Horne .ers, and Fannie Mae Candy Store; a on in front of the Summit Bank at tx and Main; and approximately 198 Lr feet in front of the Trigon Ling at Lafayette and Jefferson. The iated cost of our portion of all of curb and sidewalk work is $91,000. last project is Monroe Park isition. It is divided into three gories: 1) eight parcels that are nt land; 2) eleven properties that houses and the clearance of those es; 3) eleven parcels with houses e we would have rehab of the houses. estimated cost of the Monroe Park eat is $770,000. Mrs. Kolata noted . we have begun the acquisition using unity Development Block Grant funds h we will reimburse with bond funds .they are available. The total cost of all projects is estimated at $3,349,153. Mrs. Kolata noted that to arrive at these estimates, a cenercus contingency was added to the contractors' estimates because we did not warit to underestimate the costs. . ata noted that the estimated bond et $4,895,000. The lease provides fox, the Redevelopment Authority to acquire the property, which means that scue will cane from the Park Department to the Authority and some will coarse from Jhbond ard of Public Works to the rity. The Commission would then the property from the Authority. payments would be made annually beginning in July 1991 with -21- South Bend Redevelopment Commission Reschedule4 Regular Meeting - November 17, 1989 6. NEW DWINESS (Cont.) a i aximum semi - annual lease payment of $2 5,500. She pointed out that these are p , maximum payments. We expect thi t when the final numbers are plugged in:1 o the lease that they will be less that. We have used high cor struction costs and high interest rate ficures and high lease payments in the document so that we can start the prccess. once the process is begun, it is possible to lower costs and the '- annual payment, but not raise them. Th next step in the process is a Dec ember 8th Public Hearing on the prc posed lease. Then the City Council will consider the proposed lease. If the Council approves the proposed lease between the Ccu mission and the Authority, the proposed lease will be considered by th State Tax Board, probably in late January. Also, after Ccgmnon Council apr naval, the projects will be put out for bid with the Board of Public Works to get. actual construction estimates. The bond sale will probably not tape place until March 1990. We expect the construction estimates, the bond size, th semi - annual bond payment, and other costs related to the sale to be less than the projected figures listed in the form of lease. Met Ccemnission is not being asked to approve the lease at this time, but to approve Resolution No. 898 approving the form of lease with the understanding that it will be amended, scheduling a Public He4ring on it and authorizing the Notice of Public Hearing. Mrs. Kolata explained that the bonds will be paid back with tax increment that is y in the income stream of our otter projects. There are three revenue bords and the parking garage that are -22- South Bend Redevelopment Commission Rescheduled Regular Meeting - November 17, 1989 6. NEW " INESS (Cont.) h. continued... tly being paid with tax increment. No taxes will be levied to pay for this bord, but we will seek the ability to 1 taxes if there is ever a shortfall. TW.s fall back option allows us to have leos coverage and to make better use of th4 tax increment. term of the bond is proposed as ty-two years. Mr. Piasecki remarked that this is a very aubitious program. Mr luecke noted that the Council continues to have questions about the ownership/lease of park land by the Redevelopment Commission. He expects the t issue to creme up again when this item is before the Common Council. Mrs. Ko ata responded that the Authority will only acquire a small strip of Howard Park al ng the river for construction of the wall. At Viewing Park, because of the driveway and parking lot work, the acquisition will be more extensive. In order to use this kind of financing, the Au�hority must own the land. It is ev one's intention that the park p revert back to the Park t when these projects are . Kolata noted that the staff has done a very detailed work on a tight eline to have this ready for the mission at this meeting, including ting some of the legal descriptions. noted that Martha Lantz, secretary the Redevelopment staff, came in on ember 10, a holiday for the office, to e all of the legal descriptions for s lease. She did a very accurate job the sacrifice of her holiday was much -23- South Bend Redevelopment Commission Rescheduled Regular Meeting - November 17, 1989 6. NEW BUSINESS (Cunt.) h. coritinued... i. Kolata noted that some of these Is are preliminary. For example, we three possible designs for the x d Park wall. We may find that it is possible to do all of the projects. noted that projects may be dropped, not added after the form of lease is Mr. Uuecke stated that he believes the infusion of funds into the Monroe Park neighborhood is important to the solidifying of the neighborhood. Mr. Uuecke also stated that he thinks it is important to begin planning for the TIF funds to return to the tax rolls. a motion by Mr. Piasecki, seconded by Ms. Auburn and unanimously carried, the Cm nission approved Resolution No. 898 approving a proposed lease between the South Bend Redevelopment Authority ard the South Bend Redevelopment Ccx mission for certain public iq rovements, property acquisition and rec evelcpuent, setting a public hearing on the proposed lease pursuant to I.C. 36 7 -14 -25.2, and authorizing publication of oti_ce of the Public Hearing. Mrs. Kolata explained that when the N' /Washington Associates bought the prcperty for the AM General office building, they offered $190,000 for all of the property they bid on. $28,000 of tha was a donation for the vacation of W on Street east of Niles Avenue. -24- •• 1 • - '-• 0ID '�.• •� -�� � •- ICI •- � I 11 -• D IV - '•'�1� • �• • � ' air � • ' I� • • • « • i ' I � South Bend pedevelopiient cmuission Rescheduled Regular Meeting - November 17, 1989 6. NEW BW IlIFSS (Cont.) i. continued... j• We wish to use $14,020 to purchase the prcperty c cumonly Down as the East Sector Substation. The City has been pLuchasuig that property on land co tract. This will pay off the land contract and reimburse the City for some of the expenditures it has made this yezr. Title will come to the City of South Bend through the Board of Public Wo ks which will then transfer title to the Redevelopment Ca ussion. When the Ccomission has title to the property it will enter into a lease with the Park Derartment which is using the building fo its East Race operations. Upon a motion by Ms. Auburn, seconded by Mr. Piasecki and unanimously carried, the Ccomission approved Resolution No. 899 declaring its intention to purchase real estate caromonly known as 126 Niles Avonue, South Bend, Indiana, and aporcpriating money for said purchase. Kolata noted that this is similar to two other resolutions approved earlier %ihich authorized reimbursement to the City for UDAG money spent in the Rum Village ' area several years ago. We have aheady reimbursed the City approximately $5(0,000. Resolution No. 900 would authorize the reimbursement of an additional $32,000. It is our intention that $2,000 of that will be appropriated by the Council to cover some increased coEts on the road nprovements in connection with the Caamammi.cation Test Design project in the Airport Industrial Peuk. The other $30,000 is intended to -25- M• 6161 RMN Kell •••• �� •�.• • • ... • IM Us • •ter ati ••i• South Bend Redevelopment Commission Reschedule4 Regular Meeting - November 17, 1989 6. 7. 8. (Cont.) j. continued... k. und eYwrite the hiring of our own engineer in the Department of Engineering because of the heavy engineering workload urciects in the 1990 bond issue will Upon a motion by Mr. Piasecki, seconded by Ms. Auburn and unanimously carried, the Commission approved Resolution No. 90C authorizing reimbursement to the City of South Bend for expenditures made wit4in the Rum Village Industrial Park. . Kolata informed the Coammission that th outlet mall which was expected to loc ate in the Brick,/olive Econarnic Do elopment Area will not be locating thEre. The developer notified Mayor Keinan that they have had a complete change of corporate policy relating to hcr,A, they select their sites. This came as a ccuplete surprise to the staff. Moot of the documents were finalized and ready to be signed when we received this We have expressed our regrets to th . We thought the location was good aro that the project would do extremely 1. The area will remain as an economic ' development tax increment financing area, but we will not be capturing the increment unless there is a Drc iect there. There ufere no progress reports. The Commission cancelled its next Regular Meeting scheduled for November 22. The next Regular Meeting of the Coimmissicn is therefore scheduled for Decenlber 8, 1989, at 10:00 -26- ••' f 1 • • •'' • alb ' ati • • • • 1/ •' I 1 I. � Ia1 • I Wd • a &i*l 0 •- a►�` 1 rI u I .e 1 r . REMPT CN TM S=S OF THE BRIWO= ECONCHIC DEVELOPMENT AREA .. South Bend elapm nt Cmmiission Resdledulo Regular Meeting - November 17, 1989 a There heing no further business to come ADJNT before the C umiission, Ms. Auburn made a motion that the meeting be adjourned. Mr. Piaseclki seconded the motion and the meeting was adjourned at 12:10 p.m. F imtz, ident Ann E. Kolata, Director 1 -27-