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HomeMy WebLinkAboutRM 05-10-91wwoMEVOIN 9i • • Iii • I 1 • May 10, 199 10:00 a.m. Presiding O ficer: Ms. Paula N. Auburn President 1. ROLL CAIL Members Present: 2. Members Absent: Legal Counsel: Redevelopment Staff: News Mec Lia: Others: a. 1200 County-City Building 227 W. Jefferson Boulevard South Bend, Indiana 46601 Ms. Paula N. Auburn, President Mr. Michael Donoho, Secretary Mr. Sandy Combs, Assistant Secretary Mr. Philip J. Faccenda Mr. Roman J. Piasecki, Vice President Ms. Jenny Pitts Manier Mrs. Ann Kolata, Director Mrs. Cheryl Phipps, Office Manager Mr. David Norris, Economic Dev. Specialist Mr. Don Porter, South Bend Tribune Mr. Stan Blenke, Schafer Gear Mr. Bipen Doshi, Schafer Gear Mr. Larry E. Williams Mr. John H. Bivens Ms. Lois Dokins Ms. Opal Dokins Ms. Ida M. Bivens Mr. John R. Bivens Mr. Charlie Archibald Mr. Mike Janek Mr. Rick Bell Mr. Irvin H. Goldberg Mr. Robert Baker Mr. Leroy Kingsberry Mr. Carl L. Works, WWCRP Mr. Jeff Gibney, South Bend Heritage Mr. Sean Coleman, South Bend Common Council Ms. Sherry Shane, Minority Business Development Council -1- South Bend Redevelopiient Commission Regular Meeting - May 10, 1991 2. APPROVAL OF MD UI'ES (Cont.) a. con inuea... Calvin Upon a motion made by Mr. Combs, seconded COMMISSION APPROVED THE NMURTIFES by Mr. Donoho and unanimously carried, OF THE REGULAR MEETING OF FRIDAY, the minutes of the Regular Meeting of APRIL 26, 1991 Fri y, April 26, 1991, were approved. Herron, 3. APPROVAL OF CLAIMS A. ADMIN 1991 Louis St. Jos Abstract: & Title Corp $ 45.00 General Fund 2,870.45 P.D.H. Office Products 814.40 South amd Human Rights Commission 40.00 Spe -Dee Print 21.90 St. Joseph County Recorder 28.00 St. Joseph Title Corp. 75.00 Trave re- Carlson Travel Network 178.00 National Development Council 695.00 BOMA Midhiana 50.00 Historic landmarks Foundation of Indiana 25.00 Indiana Notary Association 40.00 Koepfle Larry 48.01 Makielski Art Shop 10.12 Rasheck Judy K. 75.00 United Parcel Service 18.00 TOTAL AIKEN 1991 $ 5,033.88 Harriet Daskaloff Calvin Wirdock Ralph & Dorothy Rtmyel Abstract: & Title Corp. St. Joseph County Auditor St. Joseph County Recorder St. Joseph County Treasurer Herron, Steve L. James Richard A. Klatch, Louis St. Jos ph Title Corp. GCS WNW- i ►i001:j��1: -2- $ 821.84 4,591.17 19,146.34 350.00 3.00 21.00 1,490.65 4,010.00 5,800.00 50.00 600.00 $ 36,884.00 $ 41,917.88 South Bend Regular Me 3. 4. 5. M elopment Commission - May 10, 1991 (Cont.) Upon a motion made by Mr. Donoho, seconded by COMMISSION APPROVED THE CLAIMS Mr. s and unanimously carried, the SUBMITTED APRIL 30 AND Commission formally approved the claims MAY 7, 1991 AND ORDERED CHECKS submitbd April 30 and May 7, 1991 and DATED MAY 3 AND MAY 10, 1991 TO ordered checks dated May 3 and May 10, 1991 BE RELEASED to be r leased. There wire no conmunications. There was no old business. a. Mrs Kolata asked that the following items be entered into the record: 1) An original of the "Notice of Hearing on Ammvlment to the West Washington - Chapin Development Area Development Plan;" 2) An affidavit of Carol Smith, Classified Man ger of the South Bend Tribune, that the Notice of Hearing was published in that daily newspaper on April 19, 1991; 3) im affidavit of Cherie Jolly, managing editor of the Tri- County News, that the Notice of Hearing was published in that weeltly newspaper on April 19, 1991; 4) A list of property owners affected by Resolution No. 990. These property owners were sent a copy of the Legal Notice on April 17, 1991; 5) Copies of letters sent to four affected Nei ftiborhood Organizations on April 19, 199 (Near West Side Neighborhood Organization, South Bend Heritage Fouidation, West Washington - Chapin Revitalization Project and Urban En rise Association); 6) A copy of Resolution No. 990 which is the subject of the public hearing; 7) As of 10:00 a.m. on May 10, 1991, 0 written r nstrances were received. -3- 0i01; NI THERE VMS NO OLD BUSINESS South Bend Regular Me a. coi elopment Commission - May 10, 1991 Ms. Auburn asked if there were any objections to entering these items into the record. There were no objections and the items were so entered. Mr. Norris explained that Resolution No. 990 amends the Development Plan for the 6. ITEW BUSINESS (Cont.) Wes Washington - Chapin Development Area by adding 13 properties to the accuisition list. Mr. Norris explained that the Development Plwi for the West Washington - Chapin Dev cement Area is based on a Corprehensive Plan developed by the neigbborhood. The process began in 1986 by determining what the neighborhood saw as is needs and its vision for the ara i. The amendment to the Development Plemi is the next step in that rehensive Plan. The WWCRP has app owed the acquisition list. Phase one acquisition along West Washington Street is nearly complete. Phase two acquisition is along the 100 to 300 block of Chapin Street. Most of the properties to be acquired are vacant laryR. The Comprehensive Plan calls for ccn#excial development in that area. Mr. Norris noted that the Connnission is also acquiring two pieces of property on Jefferson Street and Thomas Street which will be sold to the Northern Indiana Historical Society to be used in co ection with Copshaholm. Ms. IAuburn opened the Public Hearing. LAMZY WILLSAMS: Address, 2206 Prast Blvd. Mr. Norris said he wants to acqtdre the two pieces of property on Jefferson and Thomas. Does anyone know the reason why that property has not been -4- PUBLIC HEARING ON RESOLUTION NO. 990 South Bend development Coimnission Regular Meeting - May 10, 1991 6. NEW BUS =S (Cont.) a. continues... MRS KOLATA: No, all I know is that it has not been acquired by the Northern Indiana Historical Society. MR. WILCSAMS: I won't tell you the reason, because I don't think now is the appropriate time to tell you the reason. But there's a reason that property hasn't been acquired because of the hassle I wen through for them to acquire it. The didn't try to acquire it right in the first place. That's why I refused. But see, I'm down here at the meeting because they want to take the property and no one knows why they haven't accILLired the property. But apparently they've acquired all the other property up there. It's not on the board. Point two is that, when the City was going to a e it years back and the Historical Society asked them not to mess with it, to let them go after it, it was fine. Now they are talking about a whole different ball game and I don't app fate the fact that I'm down here in a ting and they are going to tell me the are going to take away my property wi out hearing me out. MRS KOLATA: Sir, I would assume that the reason they haven't bought it is they hav 't reached an agreement with you. MR. WILLIAMS: No kind of agreement. GOLDBERG: Address, 1027 Woodbine Way Curious question: Where's the money coming from and what is your time table? 1 of MRS the NORRIS: The money is coming from two ion 108 loan guarantees, which n't mean much to many people in this but, it's money from the Department ousing and Urban Development. KOLATA: It is basically a loan to City and the City repays the loan -5- South Bend edevelopment Commission Regular Mee ing - May 10, 1991 6. NEW BUSM S (Cont.) a. continued... through Camiunity Development funds that they get every year. We make an agreement to pay it back over a period of time. There have been two loans to the City of South Bend. The first one was used primarily in the blue area (on the map) and the second one will be used on Chapin S t. The second part of the question—when will. this begin -we're taking the action today to add the properties to the acqUiSition list, amending our Plan to say "yes, we want to acquire these properties." After that the properties wo d have to be appraised, we will do rev ew appraisals and bring to the Com tission a resolution that says here is the fair market value of the property. Thal. resolution would also authorize the sta f to send purchase offers. MR. GOIDBERG: I understand they have already been appraised. According to the Tribune, the bids have been accepted. MRS KOLATA: That's for hiring the apppaisers. The appraisers have not done the work yet. What is the timing on the MR. NORRIS: I would like to give them the notice to proceed today. MRS KOLATA: OK, so we have not given thep the notice to proceed. We've accepted their contract and their price for doing the work. We have not given them the notice to proceed. My guess is that. it would take approximately two months for them to do all the appraisals and for us to get the paperwork through before we would authorize a purchase offer. The authorization for a purchase offer would come through another public meeting of the Comi.ssion, at which time the would adopt the resolution and say, "offer this amount for this piece of South Bend edevelcpment Coimnission Regular Mee ing - May 10, 1991 6. NEW BUSOMS (Cont.) a. continued... .y." So it will be a couple of before purchase offers are sent. RICK BRIT: Address, 1441 Sutherland. I'm representing the property at 230 S. Cha in. We happen to not be an empty lot We are a going operation. on empty property, the timetable isn't quite as rtant as when you have an operation tha is going to have to relocate. My Board of Directors is concerned with loo dng for properties to relocate, but also finding out some kind of time tab e. Is it going to be six months before we have to be out, a year before we love to be out, two months before we have to be out? We've got a lot of work on our end to do before that. But the ing price and relocation funds are also very important to us. We want to be able to work hand in hand with you, but also make everything kind of mesh toq ther at the same time. i•i. 180 KOIATA: If the purchase offers It go out for two months, it is very )rtant that you not move before that ;base offer comes out. 'There are )cation benefits available to property xs, and to tenants if you have net :ain residency requirements (usually days for a homeowner and 90 days for ants). Hedy Robinson is our )cation specialist and will be working i every homeowner, tenant and business : is in the area to bring to them the )cation benefits that they are Ltled to. But you should not move ire the purchase offer is sent to you fuse that is your eligibility for )cation benefits. once we send a Phase offer, then Hedy will start ping with you, helping you to identify x locations and letting you know how i money would be available to you from )cation. That is somewhat independent 1 the purchase price. -7- South Bend evelopment Commission Regular Mee i.ng - May 10, 1991 6. NEW BCJMMS (Cont.) a. continues... You are with the food bank, is that correct? I don't know that we have the exact date by which people must get out. We vent sent purchase offers yet. Obviously we don't have any right to tell you to get out at this point. But, if you were to find some piece of property tha you liked, you might want to tie that up or secure an option on it. Until the offers are sent, you aren't eligible for relocation. We would be glad to have Hedby discuss with you at a later point exa y what those benefits are. There's generally several months in order to find a p ace and make the move. It really de a lot on you and what you find and what your housing or business needs are as to how long it will take. We will not let it drag on forever. There will be an 4nid point. But it's not going to be s thing like 30 days. There will be opportunity for you to find something else. On the other hand, if you find something and you get a purchase offer, you may choose to move very rapidly. Th# 's really up to you. MR. =ELL: I'm not asking for a specific da . I just wonder if we're talking fo quarter 1991, first quarter 1992? MRS KOLATA: Probably. We're talking sexxiing a purchase offer sometime this It's very possible that most of you could move before the end of the year. It depends on what your cixtumstances, are, what you find, whether we agree on price and you agree on relocation, and how that all works tog then. The relocation can be handled se tely. It probably will be the end of #iis year or the first of next year. JOIRT BIVENS: Address, 1741 N. Johnson. Co my father's property at 306 S. Chapin Street. My main question is what is the time limit that you would have to -8- South Bend evelopment Commission Regular Mee ing - May 10, 1991 6. NEW BUSINESS (Cont.) a. continuea... to after you get your purchase and what would be the deadline> it be a year to date? MRS KOLATA: Probably less than a year fran now. Once a purchase offer comes you should start working with Hedy, identifying whether you are going to buy another house, move to an apartment... are you in an apartment and moving to a house? What are those kinds of things and making arrangements for it. MR. BIV.ENS: Will she help in relocation? MRS KOLATA: Yes. Hedy will let you knaq what amount of money is available for each particular tenant, homeowner or business. She will also provide some information on what is available in the market place. We usually find that most peq)le will work either independently or witli a realtor to find other housing opportunities. OP DOKINS: Address, 306 S. Chapin S t. Are you talking restoration here or zwe you considering tearing all of this property down? Are you considering any restoration? Or are you just acquiring the property to be torn down. MR. NORRIS: That particular prcperty--a laitle green house. I know the nei rhood is interested in seeing that restored. I can't say it won't be dendlished. But I know they are looking v hard at restoring that and finding another use for it. That's the wishes of the WWCRP. MR. WILLIAMS: I guess when I say this you have to take it with a grain of salt and understand that I haven't been in a meeting like this. I don't know anything about this. So when it comes out, it 97a's sound a little bit harsh. But just the way I feel. As far as my -9- South Bend evelopment Commission Regular Meeting - May 10, 1991 6. NEW BUSMESS (Cont.) a. continued... property goes, I guess the meeting here, I'm set aside from that to a certain t, except that instead of the Historical Society continuing this fight, whith is really not a fight, like I said, frcmi point blank, they didn't work with me at all. As a matter of fact, for them to have offered me a hundred dollars for my property from day one, that was bad enough. My point is that they are no lorxfer going to spend their money to take me an, so they are going to let the City do t. And I don't think it's fair because the City didn't come to me. No one from the City came to me to find out why they couldn't acquire my property. But the minute they needed the City behind them, they wanted the City to purctkise the property so the City can around and sell it back to them. I don t think that's fair at all. And, l I said, no one had come to me to exp -ain to me what was going on. I went to meeting at the Historical Society. The r made me an offer. They didn't even wan me to come. They wanted me to take the offer. I didn't think that was fair. I walked out of the meeting and I said, "When you can talk to me like I shoiLld be talked to..." I don't know all this legal stuff. My job doesn't consist of that. I'm a construction worker. I kna,7 my job, as far as that goes. Anytiing beyond that, I don't know an ing about. But I thought if I paid tax on a property, then I think the property is mine. But I realize one thing in life, it's a lie. You don't own anyllAng. You own it until somebody else n it. When they need it, you have to get up off of it. Whether you want to or not Like I explained to them, I didn't want to sell my property. I still don't want to sell my property. I went down there and I told them before I left, I said, "Let me explain something to you. Before you put another brick up on this -10- South Bend evelopment Comission Regular Mee ing - May 10, 1991 6. NEW BUSINESS (Cont.) a. conuinuea... conier anywhere, you need to write a letter to everyone in the neighborhood explaining to them what's going on. Let thex i come and see what you are doing." Two weeks later there came a letter in the mail. Who was at that meeting? I thilk it was three people in there from the time I was in there. But the fact of the matter is, like I said, I told them I didn't want to sell. They got a nice idea. They got a nice plan. But don't share with me. Don't have the City take my property. They told me from day one, like I said, I knew the City was going to buy the property years ago. And the Historical Society said, "Well, back off and let us try to handle it. Then, if we can It handle it, in so many words, we'll and get you to save us? That's just wha the City's doing today. I'm going to save them because, the bottom line is, the r created the problem with me that the want the City to resolve. Like I sai if they came to me fair, we could hav gotten it done. 'Then I tried to tal them into a deal where, my lots are bac to back. Let me have one of your lots, I'll give you the lot you want. Then we'll be fine. They didn't even wan to talk about that. "Why can't you buy a lot somewhere else ?" I said, "Why can I t you buy a lot somewhere else? Thal: 's my property." And like I asked thed, I got some property across the street. I said, "Well, OK, give me in writing that you won't, in a few years, decide you want the house across the street and you're going to tear that down and keep moving." They said, "Well, right now, we don't have any plans, but we 't tell you what the future is." Thai: 's a cop out because I got a feeling the got plans, but they are only going as ar they are going now, as far as they can get away with to get the City to back them up. Originally they only wanted -11- South Bend edevelopment Commission Regular Meeting - May 10, 1991 6. NEW BUSDNESS (Cont.) a. continued... Jef erson Street, then they decided, afb x they tore down the house on Jefferson Street, "We didn't like the way the ones on Thomas Street looked. We neat to tear them down." Well, after the.r started acquiring that property, her they go. They got to step on Larry Williams I feet again and they were right the e to step on my feet so they decided, "We want both pieces of property." I said, "Why, you only asked for one at first. Now you're going to take them both." "Yes, well if we don't get them one way, we'll get them another. The City will take them for us." MRS KOLATA: You're right, we have not tall nd with you at all. This is our preliminary towards beginning negotiations with you. I don't know the details of all of the conversations you ve had with the Historical Society. Wh we were first approached by the His gor ca1 Soc iety, we were interested in see their plans for the neighborhood. We interested in making sure the nei_ rhood, through the West Washington-Chapin Revitalization Project, kneir about their plans for the nei rhood and would endorse this, and their have done that. I expect that we wild be able to deal fairly with you, on appraisals of your property. But I don't know of any deal where we were going to buy the property before and we backed off. I don't know that that's ever been discussed. I just am not aware of that. MR.IWILLIAMS: Personally. KOLATA: Personally, but also from Redevelopment Commission's dpoint. I just don't know of hing along those lines where we were g to buy it and we backed off. We -12- South Bend development Commission Regular Meeting - May 10, 1991 6. NEW BUSINESS (Cont.) a. continuea... not planning on buying this property ago. MR :IWILLIAMS: Property in that area. So.! MRS KOLATA: Well, way, way, way.... Ten twelve years ago there were plans to do a project on the West Jefferson Street bl and I don't know all of the details on that. But that's the last plan that I kne r of prior to the 1986 planning effort tha Dave was referring to at the beg imung of the meeting. That was pro ly 1978. There hasn't been any 2Ling that I know of since then, until now MR. WILLIAMS: OK. I guess your plans was... Since the area was depleted, you jus planned to, well, slums, actually, is part of what they considered it to be in the meeting. I used to live there. So, I watched everything go and come. I watched people move out. I watched the on that stayed. I watched the ones tha moved back in. The ones decided that this is what they wanted and this is where it's going to be. Like I said, wh they started this plan, the City had no Tans. All they had was a target area tha they wanted to revitalize. They had no lans for that property in particular. MRS KOLATA: Correct. Back in 1986 when the planning effort started, it really was from the neighborhood that the p1mming effort started. We declared thi a Redevelopment Area, but it was witli the provision that we would not acquire property without the agreement and recommendation from the neighborhood group. What happened was that there was a fairly lengthy planning process where the neighborhood looked at its strengths and its weaknesses and what were the good about the neighborhood and what -13- South Bend development Commission Regular Mee ing - May 10, 1991 6. NEW BUSINESS (Cont.) a. continued... were the areas that needed work, and came up with the plan as Dave pointed out. There were two areas of concentration: the 1200 and 1300 blocks of West WaslLington and this portion of Chapin Street. Those were the areas that were s' led out. Subsequent to the plan be' developed, the Northern Indiana Historical Society was given the Oliver MarLsion. And they started doing their pl for that. They approached us in helping to assemble the land necessary for completing that project. And that is how the Commission got involved in that. I said, the Commission would not hav done that if the neighborhood association had not agreed to that MR. WILLIAMS: Oh, so part of my problem is the neighborhood ... what did you say the name of that.... MRS KOLATA: It's the West Washington-Chapin Revitalization Project, which I believe ... when did they meet on this? Several months ago. MR.NORRIS: January, I think. MS. AUa)RN: Mr. Gibney wants to be reaxgnized. I'll switch the floor and he may have something to say about that. GIBNEY: I'm a board member for the tP which is the neighborhood )ciation that we referred to. Carl :s is here. He is the president of : association. Sherry Shane is also a d member. I would just like to :irm some of the things that Mr. Liams has said. There has been a Ithy process in attempting to )tiate a purchase agreement between ;elf and the Historical Society. It brought to our attention that there -14- South Bend evelopment Commission Regular Meeting - May 10, 1991 6. NEW BUSINESS (Cont.) a. conzinuea... were some difficulties in agreeing or in having a satisfactory negotiation, so we decided to participate and sit down. People from our board have met with Larry a uple of times. I think Gladys and Sherry Shane met with him to get Mr. Williams side of the story, his persj�ective on it, and our board, in addition to that, met with Mr. Williams and representatives from the Board of Directors of the Historical Society. So our organization has played an active role in opening up a dialogue to make sure Mr. Williams is getting a fair In addition to that, the WWCRP is in support of the development of the museum. We do want to say that. The firu Ll vote, and I think the way that pro ect was left, was for the Historical Soc ety to ca mnxnicate with Mr. Williams and within a certain amount of time, to try to renegotiate a purchase so that we wouldn't have to go through the redevelopment process as we are today. It's our understanding that an agreement has not been reached and our board did vote to pursue with eminent domain red velcpment process so that we could force some kind of negotiation. We are very aware of the fact that Mr. Williams has been trying to negotiate, unsuccessfully. We did try to play some kind of mediation role and we were not su=essful in doing that to this point. There has been neighborhood participation in this issue. MRS AUBURN: Is there anyone else who wo d like to be addressed on the public h ing portion? MR. GOLDBERG: What type of commercial development do you envision? Is this l stores or one big outfit? -15- South Bend edevelopment Commission Regular Meeting - May 10, 1991 6. NEW BUSMESS (Cont.) a. continued... MR. NORRIS: I don't know whether we've looked at it that closely. In my own I'm thinking of smaller stores. But the options are open. MR. GOLDBERG: But same of this property you are going to restore. MR. NORRIS: At least we are looking really hard at the green house. MR. GOLDBERG: But the rest of it will be all torn down. MRS KOLATA: A lot of it is vacant land already. Like between Wayne and the alley across from Thomas is pretty vacant - w ll, actually almost to Jefferson. MR. NORRIS: Most of it. 232 will be dei0lished. 234 will also be demolished. MR. GOLDBERG: Strictly on the east side. Nothing on the west. MR. NORRIS: Yes. MRS KOLATA: Well, there are those two to on the west side, but not a -16- South Bend jZedevelqpnent Commission Regular Mee ing - May 10, 1991 6. NEW BUSMESS (Cont.) a. continued... ARCEIIBArD: Address, 306 S. Cha in. I'd like to know how to start the process of all the papers for MRS KOIATA: When the purchase offer is sen to the building owner, you will be sen , right around the same time, but it is effective the day the purchase offer g out, you are sent a Notice of Relocation Eligibility. At that point it tel s you to comma in and start talking to Hed r Robinson. That's when you would sta tt looking at what are your options and where are you going to move to. There really is no paperwork until you fini another location. Minimal paperwork until then. So, you don't move before you get that notice. MS. AUBURN: Is Hedy there? Hedy, would you come in here? I wanted to make sure eve one got to meet you. This is Hedy Robinson. She's the person that, if you are going to be relocating at all, you will be working with. She's very nice and very kind, and very understanding, and very good at what she does. So, at point all of you will probably get to ]maw Hedy. 'Thanks Hedy. MS. AUBURN: Is there anyone else who would like to make a comment? I would like to thank all of you for taking the t' to come down and attend. I know it is difficult when we meet during the day, dur normal working hours for some of YOU I really do appreciate the time and v effort. was no one else who wished to be concerning Resolution No. 990. Ms. i closed the public hearing for ,er action the Commission desired to -17- South Bend edevelopment Commission Regular Mee ing - May 10, 1991 I C. Upon a motion by Mr. Donoho, seconded by Mr. Combs and unanimously carried, the 'Commission approved Resolution No. 990 the Development Plan for the Wes Washington - Chapin Development Area. Mrs Kolata explained that the Commission sent a purchase offer some time ago to the owner of the Colfax Theater. The owner, through their attorney, has co mitered with an offer of $35,000. Thene are a number of judgements and mor.gage liens on the property. Tony Kowals, attorney for the owner, has worced to get the mortgages and liens released. They are currently in escrow at the title company subject to 'ssion approval of the counter off . The staff recommends accepting the counter offer. We would proceed with cl inq before the end of the month. Upon a motion by Mr. Donoho, seconded by Mr. Combs, the Commission approved the co ter offer of $35,000 for the lien free Parcel C27 -7 in the South Bend Cenlxal Development Area. Mrs Kolata noted that we would like to have the Board of Public Works act as the C 'ssion's agent for demolition of the Cof ax Theater. We request that they hire Ken Herceg Associates to prepare d lition specifications. •• I 1 • ••'• �� '�.• • • ••1 � 1�1 • 1 � • � •• Iii M►�•1 � �i •• Iii si 16c • :N • s e t • - 1 N8i X18 la • Upoi i a motion by Mr. Combs, seconded by COMMISSION REQUESTED BOARD OF Mr. Donoho and unanimously carried, the PUBLIC WORKS TO ACT AS ITS AGENT Ccmmission requested that the Board of FOR DEMOLITION OF PROPERTY IN THE Public Works act as its agent for SOUTH BEND CENTRAL DEVEIAPMENT denplition of property in the South Bend AREA Cen�ral Development Area. -18- South Bend evelopment Commission Regular Meeting - May 10, 1991 e. f. Mrs Kolata noted that Mr. Norris met witli John Oxian and Jim Pastor of Historic Preservation and Todd Zieger of Historic Landmarks Foundation, touring the buildings along the 1200 and 1300 blocks of West Washington. They wanted to identify architecturally significant iteds which could be salvaged. They were intixested in salvaging from two buildings in particular: the terra cotta fa de of the former Slutzky -Feltz office and the tudor style building on the no west corner of West Washington and WalAut. The Commission has not closed on the Slutzky - Peltz building yet, so that salvage will not be done until the Ccm.assion purchases the property. Sou old Restoration will be responsible for the salvage effort. Ms. Manier will prelkare waivers for the workers. The staff recc mnends approval of this Upon a motion by Mr. Combs, seconded by Mr. Donoho and unanimously carried, the 'ssion accepted the staff report and recxxmiendation that Scuthhold Restoration be lowed to salvage properties in the West Washington - Chapin Development Area. Mrsl Kolata noted that Dan Pierotti has bemi the consultant for the Entertainment District. This proposal is an extension of his contract for a twelve month period, beginning March 1 at the rate of $2,167 per month. That fee includes ordinary reimbursable expenses, including moni hlY trips to South Bend for one or two day work sessions. The scope of senrices would include fund raising ass stance for the renovation work on the -19- COMMISSION AM - E1 THE STAFF I -EP•RT AND RECOMMENDATION THAT SOCT=OI.D RESTORATION • TO SALVAGE PROPERTIES IN THE WEST ,-WHINGION-0-1APIN DEVELOPMENT AREA South Bend Regular Me elopment Commission - May 10, 1991 6. NEW BUSINESS (Cont.) f. continued... i. Pal is Royale and Morris Civic Theater; worlang with the Entertainment District Board to define their role; to work with the architect; and to prepare an endcwmt fund. Mrs. Kolata noted that Mr. PierottiIs services have been uable to date. Upon a motion by Mr. Donoho, seconded by Mr. Combs and unanimously carried, the Coim 'ssion approved the Contract with el L. Pierotti and Company for consulting services in the South Bend Cen#al Development Area. Ms. Robinson read the staff report on the tax abatement. The petitioner proposed to purchase and install a Mitsubishi Mod SC25 CNC gear shaping machine costing approximately $250,000, and a Koe fer Model 1538 gear hobbing machine costing approximately $275,000. Both ma es are to be used directly in the production of gears. The project will result in two new permanent full time jobs, representing an ampal payroll of $44,000 and will mahitain fifty -eight existing permanent full. time and part time jobs with an annual payroll of $1,300,000. The total estimated cost of the equipment is $525,000. The property is properly zoned for the pro use. The property is located in an area presently designated as a Tax Abatement Impact Area and is also located in EL Tax Incremental Financing Area. The pet tioner qualifies for five years of -20- COM4ISSION APPROVED THE •• WITH DANIELL. PIERCITTI AND CCHPANY FOR CONSULTING SERVICES IN i THE SOUIH BEND CENTRAL DEVEIOPMENT AREA South Bend redevelopment Ccmi.ssion Regular Mee ing - May 10, 1991 6. NEW BUSINESS (Cont.) i. continued... nal property tax abatement under S ion 2 -84.2 of the Tax Abatement O . The amount of taxes to be pa' over the five year period is est ted to be $10,145. Without aba ement the estimated taxes for the f'v year period would be $48,530. Th efore, the amount of taxes to be aba is estimated at $38,385. Mr. Stan Blenke, Schafer Gear, noted that they have owned Schafer Gear for three and one half years. They have made approximately $500,000 per year investment in the company. Sales have increase 60% during that time. In order to be competitive in the market, e3qxxience has shown that they need to have the latest equipment. They have recently acquired a new customer whose wor will require this new equipment. Upon a motion by Mr. Donoho, seconded by Mr. Combs and unanimously carried, the Com.ussion approved Resolution No. 995 approving an application for personal property tax deduction for property 1 ted at 814 S. Main in the Studebaker Co idor Development Area. Mrs pre of . Cen rew Was: Stu the Kolata noted that the Commission iously adopted a Policy of Management cqaired Property for the South Bend xal Development Area. We have itten the policy to include the West ington-Chapin Development Area, the ebaker Corridor Development Area, and Airport Economic Development Area. :her change is that tenants will begin rent to the Commission the month wing acquisition instead of the 60 allowed owner - occupants. The sixty rent free was a disincentive to r finding another place to live. The -21- U folk, •• •�I• • r� M ••••P • 1 • •. .44.214 • m A O •" ••' • .91 •' 1.91 South Bend evelopment Conmti.ssion Regular Meeting - May 10, 1991 6. NEW B1JSn4ESS (Cont.) g. conTinuea... h. 7• new1policy will supercede and replace all exi ting policies. Upon a motion by Mr. Combs, seconded by Mr. Donoho and unanimously carried, the Coimiission approved the Policy of gement of Acquired Property. Mrs Kolata noted that the Commission approved a Relocation Policy in 1985. The revisions to the policy are as follows: 1) it includes the West W on- Chapin Development Area, the Studebaker Corridor Development Area, and the Airport Economic Development Area; 2) it includes the statement the the Commission will follow the Uniform Relocation Act and that the policy is a supplement to the Uniform Relocation Act; 3) it increases the relocation benefits to those outlined in the Uniform Relocation Act; and 4) it eliminates a prarision to pay $15,000 of improvements to businesses relocating in the South Bend city limits because the Uniform Relocation Act now provides for $10,000 for re- establishment improvements to the new location. The new policy will sup#cede and replace all existing Dol cies. Ups a motion by Mr. Combs, seconded by Mr. Donoho and unanimously carried, the ConnLission approved the Relocation Th a was no staff report on acquisition of Oroperty in the Studebaker Corridor DevOlovment Area. -22- COMMISSION APPROVED THE RELOCATION POLICY South Bend redevelopment Commission Regular Meeting - May 10, 1991 k. Mrs Kolata explained that the Red velcpment Commission leases two panmls of land in Monroe Park from the Redevelopment Authority. The land was purclkised by the Authority with proceeds frai the lease purchase bond. Therefore, the Authority must hold title to the land for the life of the bond. We want to put that land up for re -use through lease-purchase. One tract of land is on the west side of Fellows Street just north of South Street and is approximately 21,780 square feet. The othex parcel is almost an entire block boLuided by Fellows, South, Old Monroe and Rush Streets and is approximately 98,906 saLu e feet. We would like to put the property up for bid for residential re -use. The lease pun.hase value for the smaller property would be $1,302 per year for 21 years. The lease purchase value for the larger property would be $5,879 per year for 21 years. The bid packet would include the pos ibility of the successful bidder pur ing the property in less than 21 years if the bond with which the land was pur4hased was paid off in less than 21 Mrs Kolata noted that there are several developers interested in these parcels. The bid specifications set the size specifications, but leave the Commission the flexibility to judge the proposals basod on the quality, and size of the pro ect as well as the developer's abi ity to get the project done. Mr. Donoho asked how the lease purchase arrangement would affect the developer's ability to get financing for the project. Mrs. Kolata responded that she -23- South Bend evelopment Commission Regular Mee ing - May 10, 1991 k. continued... 1. M. d1dh 't expect it to be a problem, but tha we would be willing to explain the si tion to the financial institutions if 't was a problem. Ups a motion by Mr. Donoho, seconded by Mr. Combs and unanimously carried, the Comrassion approved the Fair Lease Purliase Value for re -use of land in the South Bend Central Development Area. Mrs Kolata noted that the bid specifications for this lot is that the development be a minimum of six residential units. They call for a one and one -half story minimum height and thr, story maximum height. There is no sti ulation as to whether they be at shed units or single family homes. Upon a motion by Mr. Combs, seconded by Mr. Donoho and unanimously carried, the 'Commission approved the Bid Specifications for Parcels M2 -13, M2 -14, M[2-15, M2 -16, M2 -17, M2 -18 in the South Beriq Central Development Area. Mrs Kolata noted that the bid specifications for this lot is that the dev opment be a minimum of twenty -four residential units. The other nifications are the same as for the sma ler parcel. -24- • • «r• •• • �• -ICI COMMISSION APPROVED THE BID SPECIFICATIONS FOR PARCELS M2 -13, M2 -14, M2 -15, M2 -16, M2 -17, M2 -18 IN THE SOUTH BEND CENTRAL DEVELOPMENT AREA South Bend evelopment Commission Regular Mee ing - May 10, 1991 8. m. continuea... n. Ups a motion by Mr. Doncho, seconded by Mr. Combs and unanimously carried, the. Comnission approved the Bid ifications for Parcels M9 -1, M9 -2, M9- , M9 -4, M9 -5, M9 -6, M9 -7, M9 -8, M9 -9, E--ilorment 0, M9 -11, M9 -12, M9 -13, M9 -14, M9 -16, 7, M9 -18 in the South Bend Central Area. Upon a motion by Mr. Donoho, seconded by Mr. Combs and unanimously carried, the Comnission authorized the publication of the Notice of Intended Lease- Purchase of Par4mls M2 -13, M2 -14, M2 -15, M2 -16, M2-17, and M2 -18 and Parcels M9 -1, M9 -2, N9-3, M9 -4, M9 -5, M9 -6, M9 -7, M9 -8, M9 -9, N9-10, M9 -11, M9 -12, M9 -13, M9 -14, M9 -16, N9-17, and M9 -18 in the South Bend Cen Development Area with publication da to be May 17 and May 24, 1991 and ript of proposals to be at 10:00 a.m. 14, 1991. There wore no progress reports. The next Regular Meeting of the Redevelopment Ccmmiss on is scheduled for May 24, 1991 at 10:00 alm. -25- C VMSSION APPROVED THE BID SPECIFICATIONS FOR PARCELS M9 -1, M9 -2, M9 -3, M9 -4, M9 -5, M9 -6, M9 -7, M9 -8, M9 -9, M9 -10, M9 -11, M9 -12, M9 -13, M9 -14, M9 -16, M9 -17, M9 -18 IN THE SOUTH BEND CEN'T'RAL DEVELOPMENT AREA COMiUSSION AUTHORIZED THE PUBLICATION OF NOTICE OF INTENDED LASE- PURCHASE OF PARCEIS M2 -13, M2 -14, M2 -15, M2 -16, M2 -17, M2 -18 AND PARCELS M9 -1, M9 -2, M9 -3, M9 -4, M9 -5, M9 -6, M9 -7, M9 -8, M9 -9, M9 -10, M9 -11, M9 -12, M9 -13, M9 -14, M9 -16, M9 -17, M9 -18 IN THE SOUTH BEND CENTRAL DEVELOPMENT AREA WITH PUBLICATION DATES TO BE MAY 17 AND MAY 24, 1991 AND RECEIPT OF PROPOSALS TO BE AT 10:00 A.M. JUNE 14, 1991 NEXT CONUSSION MEETING South Bend edevelopment Commission Regular Meeting - May 10, 1991 9. There baing no further business to come before rhe Commission, Mr. Combs made a motion that the meeting be adjourned. Mr. Donoho seconded the motion and the meeting was adjourned at 11:18 a.m. Paula -It,Gc - /v. 1. Auburn, -26- P.11 0-Itkil�iu -NikA 1 Anti-YE. Kolata, Director