HomeMy WebLinkAboutRM 09-14-90SOLIIH SEND REDEVELDPMENT C)CHMISSION
September 14, 1990 1200 County-City Building
10:00 a.m. 227 W. Jefferson Boulevard
Presiding officer: Ms. Paula N. Auburn South Bend, Indiana 46601
Vice President
1.
Members
Present:
Ms.
Paula N. Auburn, Vice President
Mr.
RaLnan J. Piasecki, Secretary
Mr.
Michael Donoho
Members
Absent:
Mr.
F. Jay Nimtz, President
Mr.
Sandy Combs, Assistant Secretary
Legal Counsel:
Ms.
Carolyn Pfotenhauer
Redeve7
t Staff:
Mrs.
Ann Kolata, Director
Mrs.
Cheryl Phipps, Office Manager
Ms.
Cleone Hickey, Economic Dev. Specialist
Ms.
Hedy Robinson, Economic Dev. Specialist
Mr.
Laxly Koepfle, Economic Dev. Specialist
News Mec
Lia:
Mr.
Thom Howell, U -93
Mr.
Howard Dukes, South Bend Tribune
others:
Mr.
Richard Bradford
Mrs.
Helen Bradford
Mr.
John Pendl
Mrs.
Betty Pendl
Mrs.
R. Hannah
Mr.
Elige Hannah
Mr.
V. P. Green
Mr.
Richard Sheehan
Ms. Aubizn
announced that the Executive Session held prior to the meeting would be
continued
following
adjourrnnent of the Regular Meeting.
I •I
Upon ,a motion made by Mr. Piasecki, seconded
by Mr. Dondho and unanimously carried, the
minutes of the Regular Meeting of Friday,
August 24, 1990 and the Special Meeting of
Friday, August 31, 1990 were approved.
-1-
COMMISSION APPROVED MINC]TES OF
THE REGULAR NEE=G OF FRIDAY,
AUGUST 24, 1990, AND SPECIAL
MEETING OF FRIDAY, AUGUST 31,
1990 WERE APPROVED.
South Bend Redevelcpwent Caamnission
Regular Meeting - September 14, 1990
3. APPROVAL OF CLAIMS
Busines
Systems
St. Joseph
County Chamber of Ccmurlerce
Day Tinx
Ts
March, Z
'chn
Rcbinsoi
i, Hedy
State Bk
idget Agency
United
1 Service
VISA
G.O. Bond
Americcui
Planning Association
Tri-CouOty
News
Divisiot
of Equipment Services
Total A0min 1990
Baker &
Daniels
Horka,
Thcmas
Lauver,
Ralph
Peirce
& Associates
Williams,
Todd & Barbara
Bainbri
Ige Banknote Co., Inc.
Horka, rhonaS
Total Studebaker
G.O. Bond
4.
Walshh& Kelly, Inc.
GRAND
Upon a motion made by Mr. Doncho, seconded by
Mr. Pi and unanimously carried, the
Cc mniss on formally approved the claims
submithd August 27, September 4, and
Septenbox 10, 1990 and ordered checks dated
August 1, September 7 and September 14, 1990
to be eased.
There ti
no communications.
-2-
$ 294.00
500.00
27.40
17.26
7.90
93.00
8.50
26.75
31.95
22.19
39.95
$ 1,068.90
2,761.50
6,500.00
13,650.00
275.00
250.00
2,130.10
4.000.00
$ 29,566.60
21,284.12
$ 51,919.62
vp
21• D 1:1 1 D I: 21■ -
..• • •••N law 210
• r �1• a 1' a�• •
THERE WERE NO CCHMUNICATIONS
South Bend elopment Ccm fission
Regular Mee ing - September 14, 1990
5.
a.
a.
Mrs Kolata noted that that this was a
tax abatement that was carried forward
frai a previous meeting and Mrs. Kolata
jus& learned that the attorney for the
business has asked that this be continued
Ms. Auburn directed that item 5.a. be
con#inued to the next meeting.
Mrs Kolata entered the following
doctments into the record: 1) proof of
pub Lication from the South Bend Tribune
that the Notice of Public Hearing was
printed on August 31, 1990; 2) proof of
pub ication from the Tri- County News that
the Notice of Public Hearing was
published on August 31, 1990; 3) as of
10:00 this morning there were no written
nstrances received; and 4) a copy of
Re�solution No. 957 and the lease which
adopted by the Ccm ission on August
31, 1990.
Mrs Auburn asked if there were any
objections to entering those docLm►ents
into the record. Hearing none the items
were entered into the record.
-3-
South Bend evelopment Commission
Regular Meeting - September 14, 1990
6. NEW BUSINESS (Cont.)
a. continuea...
Mrs Kolata stated that the purpose of
the public hearing is to have a hearing
on the proposed lease. It's a lease
be een the Redevelopment Authority and
the Redevelopment Coiramission for the
Ccmaission to make certain lease payments
on a. semi - annual basis to the Authority
for certain public improvements to be
constructed in the Airport Economic
Development Area. The activities being
Proposed and that are included in the
1 are in four primary areas. The
f' t is financing the construction of
in roads in the Airport Economic
De lopment Area to open up land for the
bus ess caws and corporate office
The Proposal is to construct two
1 •roads. One is in the Northwest
ion off of relocated Old Cleveland
Row and the second is to extend
May lower Rd. south of Old Cleveland and
to nstruct a loop road off of that.
The total construction cost is estimated
at S4.2 million dollars.
The second is the acquisition of
approximately 10 parcels of land with
accimisition and relocation estimated to
cost between $1.2 million and $1.6
is the extension of Viridian Dr.
approximately 200 feet and improvements
to Viridian Lake. Viridian Lake is a man
made drainage lake which has not been
ccupleted yet and our intent is to finish
tha construction. The cost of the road
ext:ension is estimated at $160,000 and
the improvements to the lake are
est ted to cost $215,000.
The fourth set of public improvements is
the extension of water and sewer and the
corLst,ruction of a sewage lift station
near the intersection of Brick Rd. and
New Cleveland Rd. to open up the light
-4-
South Bend evelcpwnt CcmAssion
Regular Meeting - September 14, 1990
6. NEW BUS S5 (Cont.)
a. conTinueu...
ind trial park that is proposed in the
are i north of New Cleveland Rd. The cost
of these improvements is estimated to be
$15),000 and we are currently working on
an pplication to the State of Indiana
for approximately half of that amount.
The total cost of these projects is
probably more than we'll be able to
finance and we will have to refine the
pro ects and cost estimates and to crane
down from that. None of the plans are
100 definite. Under the terms of the
1 , we are determining that lease
payi ents from the Comnission to the
Autliority are reasonable. That is the
subject of`the public hearing. The lease
has a maximm+ semi - annual rental
installnent of $900,000. The lease may
not exceed 22 years and the lease
payments would begin when the project is
ccq)leted or January 28, 1992. The
p semi annual lease payments are
graduated and are listed in the lease.
The first payment would be approximately
$14 ,400.
Ms. Auburn opened the Public Hearing for
anyone who desired to be heard regarding
the proposed lease between the South Bend
Redevelopment Connnission and the South
Berxi Redevelopment Authority in the
AirJ)ort Economic Development Area.
: discussion on the public hearing
Mr. Piasecki asked Mrs. Kolata
what land was being considered for
Ms. Kolata stated that we will need to
buy land before we can construct the
pub Lic improvements. There are two
possibilities. One is acquisition of just
exxxxgh land for the right -of -way. The
second would be to purchase as many as 10
coq)lete parcels of land.
-5-
South Bend Redevelopment Commission
Regular Meeting - September 14, 1990
6. NEW BUS (Cont.)
a. continued ..
Ms. Auburn: Opened the discussion to the
Mr.
m
UP
pla
it,
con
crm
I t
on.
CCU
har.
cou
IN
YOU
C`_W
me
Pendl: How much experience does the
;nission have in acquiring property?
Commission expects the property owner
Give up their potential rights as
Blcpers and hand the property over to
City. You are planning to create
asands of jobs, millions of tax
enue. That's even more reason that
se people should have their proper
ant of money. (Mr. Pendl asked to go
to the map.) I have lived at this
m for 25 years. Right after I bought
after I was told I could zone it
nercial, the County denied me
nercial zoning. I have ten acres that
nought I would put into homes later
George Cunningham, was the Building
nissioner at that time. He said to
T onto that ground and sometime I
Ld develop it into commercial use.
a paid city taxes, you people took me
the city, I went from $600 a year
s up to nearly $2,000 a year. I have
iing for it. No city water, no city
ige, no pick up of trash. But we
i't complain about it because we are
)y where we are at. Now, you have
)le to cote in and to develop this
u)d. I own this ground and you don't
s to look for a developer. You can
a to me and I'll be part of this with
and I'm sure the neighbors would be
gable because it is prime ground for
dopment. But, I am a developer; you
't have to take my property, my
its, away from me and set it up for
Obody else. I'll give my life up
>re I let you come in here, bulldoze
)ut and set up a place for other
South Bend evelopnent Commission
Regular Mee ing - September 14, 1990
6. NEW BUSS (Cont.)
a. continuea...
le to make big money on. You're not
goiig to do it. I came in here trying to
myself quiet, but I cannot do it,
bec use you guys are doing the wrong
I'm being taken advantage of.
You haven't even told me that you want my
property. I want South Bend to grow, but
I t it to be done in an honest way.
You're not taking it.
Mrs Kolata: Thank you for your cmmients
and we appreciate them. I met with Mrs.
PerxLl yesterday and I think we awe all of
the property owners an apology that we
di 't meet with them before our meeting
on August 31st. However, none of this
is efinite. This project is not a done
d and it is not a definite decision
tha we are going to buy this property.
I atpreciate your. cxm worts.
You asked about our experience. Our
expBrience is in two areas, one is the
acqnsition and the other is relocation.
We have had a lot of experience in
different project areas doing relocation
of le. We try to treat everyone
fa' ly. We know we don't always agree on
the acquisition price but try to handle
it Ln a non adversarial way. We try to
treit people as sensitively as possible,
knadmg that they are in a difficult
si tion. I think we do an excellent job
of that. However, that doesn't lessen
the impact on someone who is being asked
to move. But we will always treat people
fa' ly, honestly, and give them what they
are entitled to and do the best we can
for them.
I 't tell you today if we are
def Lnitely going to buy your property. I
minimally, we are interested and
are planning on buying property for the
ri t-of -way. Our experience in a lot of
-7-
South Bend edevelcpment Commission
Regular Mee ing - September 14, 1990
6. NEW BUSDNFSS (Cont.)
a. continuea...
project areas is different in that we
hav dealt with more urban settings as
o to rural settings. There's no
qu tion that those of you living out
th have more land and it's a different
of situation than a lot of the
pro ect areas we have been dealing with.
So i a have less experience in looking for
and helping you relocate to more rural
of locations.
In terms of acquisition, I'd like to
poi lit out that we hire qualified
appraisers, we review their appraisals
and are willing to negotiate with any
p owner who has appraisals of
the property. Sometimes we don't agree
on i i purchase price and we let the courts
dec de on what that value might be. I
thmik we will try to be open and honest
as ire go into this project.
Mr. I Pendl: Why can't the Commission
dev lop the ground it has already
Mrs Kolata: We are working to do that
and there is no question that we have
oth land available. We are currently
worlang in the Studebaker Corridor. We
a maxinum of about 30 acres of
land for industrial development, most of
it 1 or 2 acre parcels. The Studebaker
Co n -idor does not appear to be a location
for the type of business office caupus
that we are trying to develop out there.
The whole concept behind the airport
pro eat is that it's a longer range
pro ect, that it allows for various kinds
of c levelcpment to take place. A lot of
it s for licit industrial and some of it
is for office development. We would like
to see more offices downtown because we
still think it is the center of the
coutty and the center of the office
con�unity, but there are some businesses
tha# we work with that absolutely don't
-8-
South Bend evelcpment Cmimission
Regular Mee ing - September 14, 1990
6. NEW BUSSS (Cont.)
a. continues...
wan a downtown location and under those
cir=stances we would like them to have
a location that they can find acceptable
witiin the city limits of South Bend.
is an ideal location because of the
trwisportat system already in place,
ber-Ause of the airport and because of the
larxi quality.
Mr. Pendl: The Airport bought ply
a the road froan me 10 or 12 years
ago They moved the house. That ground is
still there. The house is boarded up on
it cuid nothing has been done on it.
Mrs Kolata: The airport is involved in
the planning for the entire project area.
(She pointed to a map showing the one
ami that is designed to be corporate
harxjers.) The airport plans on building
corporate hangers and then having the
office sites built around the roads that
d be down in this area and built
h , and cmpanies could have both the
off ce building and the corporate hanger
for their airplanes at the same location.
So, to some extent they are involved in
the planning.
Mr. Pendl: TAiy is the Commission so
de to take the land that we've
got that's our personal investment. Why
not have these developers and us work
togoyther and develop that ground.
Mrs Kolata: We certainly can talk about
Mr. Pendl: What you are trying to do is
t, if you weren't hurting these
le by the way you are doing it.
Mrs Kolata: Our preference is always to
let the private sector do what the
priirate sector can do. Our involvement
begins when that is not happening. If
you are saying you want to develop it in
South Bend evelopnent Commission
Regular Mee ing - September 14, 1990
6. NEW BUS (Cont.)
a. conipinuea...
a rdanc:e with the master plan and ideas
tha we have, we are certainly willing to
about that. one concern would be
over the multiple land owners. How do
you combine it, how do you make it work.
We'M not adverse to talking with you
abot it that.
Mr. Pendl: I don't want to speak for
anyone else but I'm sure all that are
involved in this property know that
YOU" re going to take it by eminent daaain
so they have no choice as far as whether
they give it up or they don't. But they
shoald have a choice about how you
devcdcp it and get their fair amount.
Mrs Kolata: The Commission is prepared
to pay a fair amount for the property. I
knmT you've had agencies take portions of
y property before and all I can tell
you is that we hire qualified appraisers.
We o not tell them what to come back
witl i as a number and they go out and they
are totally independent from us.
Mr. Pendl: I called one of the top
appraisers of South Bend and he said he
kriew nothing about this.
Mrs Kolata: We haven't hired anyone for
this yet. This is still in the proposal
stac e. This is not definite and we
haven't hired any appraisers. If we
dec de that we are moving forward, I
we will be hiring appraisers fairly
soon. But first we'll have to decide
whether we are only going to buy
right-of-way for the road or whether we
are we going to buy all of these
prc4erties. We need to be able to tell
our appraisers what we want them to
appiuise and we haven't made that
decision yet.
Mr. Pendl: Would you agree to consider
taking us in as partners instead of
buvim us out.
-10-
South Bend
Redevelcpykent Cm nission
Regular Meeting
- September 14, 1990
6. NEW BUS
(Cont.)
a. continued...
Mrs
Kolata: I think we would be willing
to
talk to you about that. I don't think
we
can make a commitment one way or
another,
but it's something that we can
certainly
talk about.
Mrs
Pendl: Would the property owners
rece�ive
a registered letter when the
appraisers
are hired?
Mrs
Kolata: Normally what we do is send
you
a letter saying who has been hired.
Thep
the appraisers will contact you. We
ask
them to contact you directly to set
up
a time to come see your property.
We
can make sure our letters are sent
certified.
I'm not sure what the
appraisers
normally do.
Mr.
Pendl: I want each one of you that's
part
of this program to come out to my .
h
and walk the grounds with me to see
what
we actually have and what you're
taking
away to give to big business. I'm
not
against the big business, I would be
for
it if I could be part of it and get
what's
coming to me.
Mrs
Kolata: I'll be perfectly glad to
set
that up.
Mr.
Pendl: That includes Mayor Kernan
too
Mrs
Kolata: I'll extend the invitation.
Rid1iard
Bradford: I'm here because... I
don't
know why I'm here. I recently read
about
this in the paper and I thought I
ought
to make statements to go
record.
I don't know what I'm opposing,
for
or against. It is sad - very sad!
Ms.
Auburn: Are there any other
-11-
South Bend evelopment Commission
Regular Mee ing - September 14, 1990
6. NEW BUSS (Cont.)
a. conninuea...
Riclard Sheehan: I live on Mayflower
Road - north of the airport. I'm
Presc ident of the German Township
Neichborhood Association. Over the last
y or so we've invited a number of
pec4de to our meetings, including
Co=tissioner Larrison, Mr. Johnson, the
May Or and Mr. Hunt. In particular, we
had Mayor Kernan and Mr. Hunt at our last
meeting to talk about the Airport 2010
pro ect. No one in the area had been
notified of the project until it came out
in rhe newspaper - that was not
appmpriate. I felt it was inappropriate
the and I don't feel its appropriate
that between the meeting and now there's
been no additional input, no additional
information. We were told by the Mayor
and by Mr. Hunt that there would be
nei rhood representatives on whatever
they would be working on. I'm not asking
to make any decisions but I think all of
us I iere are asking to have input into
those decisions. The fact is that the
onl time we have that opportunity is in
an apen meeting like this. I don't think
that speaks very highly about the way the
p has been conducted to this
point. I would hope that would change
imtnEdiately. It's simply inappropriate
for a democratically elected govenm -ent.
I 't believe that it has gone on this
way
I ar i troubled by the notion of you saying
that you let market economies work. You
let the market take care of who gets paid
how much or how its developed or whatever
and that you only get involved when "it's
not happening ". The question I would
turn around and ask you is, "why isn't it
hanening here or why doesn't it happen
in the Studebaker Corridor." Presumably
you've owned or have pieces or options or
wha ever on most of the property in the
Studebaker Corridor. The development
hasn't happened there. You have to ask
-12-
South Bend evelapment Om nission
Regular Mee ing - September 14, 1990
6. NEW BUS S (Cont.)
a. conxinuea...
the question why hasn't it happened. If
you just buy out the people there without
giv them the option and first putting
in I he roads and five years from now you
haven't gotten any development out there
and you put in the roads, then it's a
reasonable question to ask, "OK, why
don It you have development out there the
way you have it set up according to the
master plan. But for you to go in and
buy out ten parcels now seems to me to be
conixary to the market mechanism that
pres=tably we all endorse. So, as far as
a decision on whether you buy just enough
for internal roads or whether you buy
enoUgh to undertake the development or
1 to developers, it would seem to me
if ou readily believe markets are
eff cient, that you don't have a choice
and that your only choice and only option
is buy just enough for the roads and
if ou buy any more, you're doing
thing that's inappropriate for
gov entity at this point in the
dev orment out there.
'Ihe last awmnent I have is on providing
water and sewer and there are rules and
regiLlations when property gets annexed.
How soon does water and sewer have to be
p ided? From the sound of it those
rules have not been followed in this
particular area. I find that peculiar.
I also find peculiar when you look at the
map there you look at the purple or light
industrial north of Brick. Mr. Tarrison
and Mr. Johnson both said that there
wo d be no industry north of Brick. Mr.
Jchi Lson and the Mayor both said that
and water was already in out there
and there were no further expenditures
Mrs Kolata: That's not totally true.
Wab x and sewer lines are not shown on
particular drawing. Water and sewer
cms out Old Cleveland Road but stops
-13-
South Bend evelcpnent Cca nission
Regular Mee ing - September 14, 1990
6. NEW BUS$NESS (Cont.)
a. conrinuea...
sho of the Pendl's property and so it
doesn't serve them but it is extended out
Old Cleveland Road. Water and sewer is
out to the industrial areas that are
already developed. There's water and
sewex out at Ameritech. There's water
and sewer out over there on this site as
development has occurred within the city
1' 'ts. And to some extent some of the
indistrial projects which are not in the
ci limits have also had water and sewer
ed to them through funding of the
State of Indiana and on an agreement that
the are going to be coming into the city
and we're looking at that happening. So
it' 0 not totally spotty.
To 1 let to the issue of whether there was
go' to be acquisition or light
indistrial development north of Brick
Roa , I can't speak for Dick Johnson or
Mr. Iarrison. I think what we were
try' to say, and our project boundary
is drawn that way, is that there 's a
large residential area here and we don't
int2rd to do anything to change that land
use from residential. However, these
areLs in purple are privately owned and
the--e is currently nothing built on them.
Th 's a site plan for light industrial
dev opment for one of these properties
no of New Cleveland Road. And that is
wh a we are looking at doing the sewer.
Wa and sewer is nearby and all we're
do' is taking water and sewer to the
Mr. Bradford: When that rezoning was
approved and both of these hearings the
sta was made that water and sewer
already in and there would be no
fur�her cost to the city. That's what
was said at those meetings.
FVM
M
Kolata: I don't know who made that
:esentation, because there is water
sewer to here, but it certainly isn't
-14-
South Bend evelcpment Commission
Regular Mee ing - September 14, 1990
6. NEW BUSA S (Cont.)
a. con'inuea...
all the way in the site. There has to be
some public improvements and there has to
be it lift station put in to handle the
sewage. It does have to happen. The
Ci 's responsibility would basically end
at the property lines. That's all we
wculd be talking about doing. Some more
of the work that we're proposing to do is
modifying the intersection where
C1 eland Rd. comes in with Brick Rd.,
makinq it a safer intersection.
To c let to your comment on the market
fo and what we are doing and how much
larxi we own in the Studebaker Corridor.
We own one building that was given to us
a couple of years ago that is 550,00
square feet on 4 stories. That has been,
until just now, the only thing that we
have owned in the Studebaker Corridor. We
are now sending out purchase offers. We
are acquiring property and have agreement
on about 10 parcels but I don't know if
any have closed yet. We haven't had land
in the Studebaker Corridor. We will be
as ling land but only expect to have
about 30 acres.
Mrs Pendl: If I heard correctly, you
are estimating $1,200,000 to $1,600,000
to acquire 10 parcels of ground.
Kolata: That's correct.
Mrs Pendl: What is that per acre. It
less then $5,000.
Mrs Kolata: I don't have the worksheets
pre4ent and the estimates could be wrong.
Mrs Pendl: That was far below what
other ground has sold for. Ground behind
and in front of us.
Mrs Kolata: That's one of the reasons
why we want to hire appraisers, to see if
that's realistic or not.
-15-
South Bend edevelopment Commission
Regular Mee ing - September 14, 1990
6. NEW BUSUMS (Cont.)
a. contlnuea...
Mrs Pendl: I think your estimates are
way off.
MrsL Kolata: We haven't had it
Mr. Pendl: You're looking at acquiring
more than 250 acres for a million
dollars, plus there are all the homes out
there. Even with an average of $100,000
for each one of our places, that's
rid'culcus!
Mrs Kolata: That's one reason why we
wan to get some appraisals and see if we
are wrong. Then we would have to adjust
the numbers.
Mr. Pendl: Who here is the Authority and
who is the Commission? I'd like to see
their faces so I can remember them.
Ms. Auburn introduced herself, Roman
Pi ki and Mike Donoho and two other
comnission members who are not here with
us "ay, Sandy Combs and F.J. Nimtz.
The Authority is a separate body.
Mrs Kolata: The Authority does not meet
on a regular basis. They meet on an "as
nealed" basis. They may go months
without meeting or they may meet every 2
to 3 weeps. At this point they don't
hav another meeting scheduled. The
Aut iority is a three person body, one
per.on recently resigned, so there are
onl r two members, Joe Wroblewski is the
Pr ident and Don Fewell is the
Sec 7etary-Treasurer. We don't have a
Vi President at this point. We can
cer:ainly convey your thoughts or let you
when their next meeting would be.
Ms.IAAuburn: Are there any other cc aunts
or estions from the public?
-16-
South Bend evelcpment Commission
Regular Mee ing - September 14, 1990
6. NEW BUSDTFSS (Cont.)
rtx�G_r•)0l0a416IZQ4 �!
IM
I w uld like to thank all of the folks
tha came and participated in the public
hearing and the purpose of it is to meet
and see what some of the issues are and
wha some of your concerns are and what
of the questions are. We really do
appreciate that because it takes time out
of our schedule to come during the
nornal work day like today.
Meeting was recessed at this point due to
a tornado warning. It recessed at 10:55.
The meeting reconvened at 11:15 a.m.
Mrs Kolata stated that the resolution
d s with the matter discussed at the
pub is hearing. It states that you intend
to ikake those lease rental payments as I
mentioned earlier in an amount not to
ex $900,000 per semi- annual
ins zl1ment and it authorizes the
off cers of the Commission to execute
cer.ain documents and to transmit to the
it a copy of this resolution and to
fil an ordinance with the Council. The
Cou it will need to hold a public
h ing on the appropriateness of the
lea 5e and we expect that to be at the
8 Council meeting. I expect
fir reading to be at the next
mee ing. Also, the officers are
aut iorized to file a petition for
app for the execution of the lease
wit the State Board of Tax
Com�issicners. Basically that's the
intOnt of the resolution.
Mr. I Piasecki asked if this leasing is
scobthim new?
-17-
South Bend evelopament Cmuission
Regular Mee ing - September 14, 1990
6. NEW BUSJNE'SS (Cont.)
b. continued...
C.
Mrs Kolata said no, we have financed
Uiroe projects using this method.
The ability to do the lease was part of
the 1987 or 1988 legislation through the
Sta m of Indiana. It allows a
Redevelopment Authority to issue bonds
tha are payable from the lease rental
pa is coming from the Commission. We
f' the parking garage on Wayne
Stn�et, the refinancing on the stadium,
and the downtown improvements with
1 /burchase bonds.
Mr. I Piasecki asked if we we're the only
Ci doing this at this time.
Mrs Kolata said that Noblesville has
done a similar bond issue and there are
others in process.
Upo a motion made by Mr. Piasecki,
seoxided by Mr. Donoho and unanimously
led, the Ccmmti.ssion approved
lution No. 959 authorizing the
ex 'on of a lease for certain land and
public improvements on behalf of the City
of Bend and regarding other related
Mrs Kolata explained that the Ccnnission
preriously approved the final bond
resolution for tax increment revenue
borxLs for the airport area in the amount
of $950,000 and authorized execution of
the purchase agreement with
Raf eFized!.ZThe , Hughes & Co. Since that
1 all details have been
f' bonds are being sold at a
-18-
•• I � • "' • i alb � • ii •
KIM
South Bend evelcpYkent Counnission
Regular Mee ing - September 14, 1990
6. NEW BUSS (Cont.)
r-A
c. continuea...
pri of $942,875. The interest rate is
7 1 2 percent and the Closing on the
bo is to be no later than September
Upom a motion made by Mr. Doncho,
seconded by Mr. Piasecki and unanimously
can-ied the Commission ratified the
Puntiase Agreement between Raffensperger,
Hughes and Co., Inc. and the City of
South Bend Redevelopment Commission
related to the issuance of $950,000 of
Tax Increment Revenue Bonds for the
Ajxport Economic Development Area.
Robinson explained that the
:ioner intends to construct a 6,400
e foot addition to its current
ding to be used for a warehouse
ibution center. The facility is
ted to create 6 new permanent full
jobs. The total project cost is
ated to be $300,000.
Bill Panzica, who is one of the partners
at r
Tech Centre, brought along
co ction plans for the building. The
can-ent tenant is Smithkline Beecham
Health Products. They will be
va ting the south half of the existing
bui ding once the addition to the North
hal is complete.
Mrs Kolata stated that this design has
been approved by the Design Review
Comittee.
-19-
COMMISSION RATIFIED THE PURCHASE
AGREEMENT BETWEEN RAFFENSPERGER,
HUGHES AND CO., INC., AND THE
CITY OF • BEND REDEVELOPMENT
Ca,1MISSICIN RELATED TO THE
ISSUANCE OF ••• OF
INCP01ENT REVENUE BONDS FOR THE
AIRPORT C• • t DEVELOPMENT
South Bend evelcpment Camnission
Regular Mee ing - September 14, 1990
6. NEW BUS (Cont.)
d. continued...
e.
a motion made by Mr. Piasecki
ded by Mr. Doncho and unanimously
ed, the Camni.ssion approved
ution No. 960 approving an
cation for three years of real
rty tax deduction for property
ed at 710 Fellows (Tech Centre
ership) .
H Robinson stated that the petitioner
p to construct an 8,000 square
foo single story office building to be
1 ted at 419 S. Main St. The building
wil be leased to the Social Security
'stration. The project will retain
36 ent full time jobs. The cost
estimate is $400,000.
Jim Cook introduced himself and said he
was representing Tan McCauley from
Indianapolis. Mr. McCauley still has to
brbig before the Design Review Committee
a 1 ping plan. Mr. McCauley also
pl to rehab the existing building on
the I corner of Main and Western.
Mrs Kolata stated that this has also
go through the Design Review Committee
witli the exception of the landscaping and
it is a nice looking building.
a motion made by Mr. Donoho,
Ided by Mr. Piasecki and unanimously
.ed, the Camdssion approved
.ution No. 961 approving an
.cation for three years of real
xty tax deduction for property
:ed at 419 S. Main (Briazwood /South
Partnership) .
-20-
••: I / • "'':• i a . i� •
CCM=ION APPROVED - E. • •
NO. 961 APPROVING AN APPUCATION
FOR REAL PROPERTY TAX DEIXJCITON
FOR PROPERTY 10CATED AT 419 S.
NA /N ( :i- UAT&MD/SOUTH :E •
PARTNERSHIP)
South Bend
Regular Me
6. NEW BU.
f. St
ge
elopnent Commission
- September 14, 1990
(Cont.)
Mrs Kolata stated there are two parcels
of property we'd like to take action on.
The first is Parcel 14 -5 which is located
at 1408 S. Main St. We would like to
recxmmiend accepting a counter offer of
$11 000 for this property.
upon a motion by Mr. Donoho, seconded by
Mr. Piasecki and unanimously carried, the
ssion accepted the counter offer of
$11,000 for parcel 14 -5.
Mrs Kolata stated that the second is
panml 4 -46, located at 1139 S.
Lafayette. We sent the purchase offer to
Gunther Jordan Corp. Mr. Jordan is now
the owner of Exacto Corp. and he has
req ested that we withdraw our offer. The
staff recommends withdrawing our offer
since the lot would be used by Exacto.
Upo a motion by Mr. Piasecki, seconded
by b1r. Donoho and imanimously carried,
the camni.ssion wig it's offer on
Paruel 4 -46.
Mrs Kolata stated that we have two
counter offers to consider. The first is
for Parcel W38 -10 located at 1306 W.
WaslLington. The owners are Bobby &
Deborah Newbill and the staff is
acceptance of their counter
off of $11,000.
Upon a motion by Mr. Piasecki, seconded
by 11r. Donoho and unanimously carried,
the counter offer of $11,000 for Parcel
W38-10 was accepted.
-21-
•• I I • • «M• :I• I I i� i } al•
• al- • ••s •• -• . am
1 • �I: •
all •• 11 •• -
• � • • ICI
CIOMMISSICIN WITHDREW PURCHASE
OFFER ON PARCEL 4-46 IN THE
COMMISSION AC«@I• TED, THE COUNTER
O EI• OF ••0 FOR PARCEL
• IN THE WEST
WASHINGION-03APIN DEVELOPMENT
AREA.
South Bend evelopwzrt Commission
Regular Meeting - September 14, 1990
6. NEW BUSINESS (Cont.)
g. con�inuea...
h.
i.
Mrs Kolata stated the second counter
offer is for Parcel W32 -15 located at
1327 W. Washington. The owner is Frances
Watson and we are reccmmending acceptance
of her counter offer of $17,500.
Upon a motion by Mr. Piasecki, seconded
by Mr. Donoho and unanimously carried,
the counter offer of $17,500 for Parcel
W32-15 was accepted.
Mrs Kolata stated that we issued our
Cer:ificate of Completion earlier this
y because it was needed for the
pernanent financing, but we withheld the
guarantee deposit because of outstanding
iteans. The Commission said it would
release the $30,000 when all items were
ccq)lete. Larry Koepfle reported that
all items were now complete.
Upon a motion by Mr. Donoho, seconded by
Mr. Piasecki and unanimously carried the
Ccxmftission authorized the return of the
deposit of $30,000 related to the Pointe
at t. Joseph Apartments.
Mrs Kolata stated that there are a
of roads that need to be
des grid. We've hired Cole Associates
to do our internal road design which we
are funding with the bond issue. The
f' bond issue was also to pay for
des gn of roads that we hope will be
ed by the State of Indiana and Toll
Roa Authority and we would like to ask
-22-
CXHMISSION ACCEPTED THE OFFER OF
$17,500 FOR PARCEL W32 -15 IN THE
WEST WASHINGPON- CHAPIN
DEVELOPMENT AREA.
South Bead evelopnent Ccamnission
Regular Mee ing - Septmber 14, 1990
6. NEW BUSS (Cont.)
i. continued...
the I Board of Works to handle the
sel ion of engineers. We will work
wi them as plans are developed.
Upozi a motion by Mr. Donoho, seconded by CQMMISSION DESIGNATED THE BOARD
Mr. Piasecki and unanimously carried the OF WORDS AS ITS REPRESENTATIVE
Board of Works was designated as the FOR DESIGN OF PUBLIC IMPROVE( iTS
'Commission's representative for the IN THE AIRPORT ECONOMIC
design of public improvements in the DEVEIDPMENT AREA.
rt Economic Development Area.
j. Mrs Kolata asked if item 6.j. could be
add to the agenda. There was no
ition and Ms. Auburn added item
6.j to the agenda.
Mrs Kolata said that the Joint
Dev opment Committee, provided for in
our Contract for Sale of Land with
TRAITSPO, needed to meet to consider a
possible proposal that might be submitted
by it developer involving use of the
TRAITSPO lot. According to the agreement,
the Joint Development Committee is to be
cha by the Mayor and have two
Commissioners and two TRANSPO board
members on it.
Upon a motion by Mr. Piasecki, seconded
by k1r. Donoho and unanimously carried,
the Ccemnission appointed Paula Auburn and
Mike Donoho to the Joint Development
Ccmmittee.
7. Progress
The]
8. NEXT CO?
The next
Con miss:
28, 199(
were no progress reports.
Regular Meeting of the Redevelopment
In is scheduled for Friday, September
-23-
Oil ��j•`•
South Bend
Regular Me
9. ADJOURI
eloment Commission
- September 14, 1990
There Ndng no further business to came
before the Redevelopment Canmi.ssion, Mr.
Donoho miade a motion that the meeting be
adjourn (d. Mr. Piasecki seconded the motion
and the meeting was adjourned at 11:50 a.m.
Paula 1
1. Auburn, Vice President
-24-
B� �
E. Kolata, Director