HomeMy WebLinkAboutRM 06-14-91June 14, 19'.
10:00 a.m.
Presiding O
1. ROLL CA
Members
2.
3.
Members
Legal a
Bureau
News Mi
Sig- -
Eficer: Mr. Raman Piasecki
Vice President
LL
Present:
Absent:
)unsel:
)pment Staff:
)f Housing Staff:
lia:
• Dr IDI 1
1200 County -City Building
227 W. Jefferson Boulevard
South Bend, Indiana 46601
Mr. Roman J. Piasecki, Vice President
Mr. Michael Donoho, Secretary
Mr. Sandy Combs, Assistant Secretary
Mr. Philip J. Faccenda
Ms. Paula N. Auburn, President
Ms. Jenny Pitts Manier
Mrs. Ann Kolata, Director
Mrs. Cheryl Phipps, Office Manager
Mr. John Fonash, Economic Dev. Specialist
Mr. Ted Leverman, Assistant Director
Mr. James Wensits, South Bend Tribune
Mr. Than Howell, U -93
Mr. Carter Wolf, Center City Associates
Mr. Christopher Matteo, Taripp Development Corp.
Mr. Philip Panzica, The Panzica Group
Mr. James Cronk
Mr. Steve Luecke, South Bend Heritage
Mr. John Sullivan, Solvay Automotive
Mr. Lawrence Hall, Solvay Automotive
Upon a motion made by Mr. Faccenda, seconded
by Mr. Combs and unanimously carried, the
minutes of the Regular Meeting of Friday, May
24, 1991, were approved.
South Pkmd Tribune
Tri-Coubty News
Tribune Business Weekly
United Parcel Service
-1-
Xt,MSSION APPROVED THE NINU ES
OF THE REGULAR MEETING OF FRIDAY,
MAY 24, 1991
45.42
42.77
26.00
8.50
South Bend I Zedevelopment Ccamtission Meeting
Regular Mee ing - June 14, 1991
3. OF CLAIMS (Cont.)
A= 1591 continued...
BOMA Miqhiana
Construction
15.00
Kinkos
a Copy Center
28.50
Dolphin
Photo Labs
122.86
Comwrc
al Office Products
182.07
Cleo Hickey
i Lock & Key
95.69
Petty Ctsh
organ
44.60
United
1 Service
18.00
Valley
ican Bank VISA
327.54
Center
for Urban Policy Research
30.50
General
Fund - Telephone
326.65
Indiana
Area Development Council
150.00
Equipmit
Services
90.86
Ken Heximg
& Associates
306.42
TOTAL A124IN
1991
$ 1,771.38
Allied
Construction
$ 585.36
Ida B.
Owens
377.63
K & R E
ectric & Yvonne Tharbs
830.00
Clean &x
Systems, Inc.
6,475.00
Michian
i Lock & Key
64.70
Harold
organ
14,720.00
George
's
1,520.90
St. Joseph
County Auditor
4.00
St. Joseph
County Recorder
28.00
St. J
ph County Treasurer
405.13
James Woods
17,081.57
Warner
c Sons
79,272.75
Dorothy
Watson
219.00
Tamera Jones
5,606.00
Delta Consultant
975.00
EBAKER BOND 1991 $ 128,165.04
Kaser-Spraker Construction $ 2,924.00
TOTAL T.I.F. 1991 $ 2,924.00
Daniel L. Pierotti & Co. $ 2.167.00
TMAL 41.9 T.I.F. $ 2,167.00
GRAND TQIAL $ 135,027.42
-2-
South Bend evelopment Commission Meeting
Regular Meeting - June 14, 1991
3. APPRM OF CLAIMS (Cont.)
4.
5.
Upon a motion made by Mr. Combs, seconded by
Mr. Faamnda and unanimously carried, the
Commission formally approved the claims
submittAd May 29, June 5 and June 12, 1991
and ord checks dated May 31, June 7, and
June 14 1991 to be released.
There w6re no communications.
a.
C KIISSION FORMALLY APPROVED THE
CLAIMS SURIITTED MAY 29, JUNE 5,
AND JUNE 12, 1991 AND ORDERED
aiFOG DATED MAY 31, JUNE 7, AND
JUNE 14, 1991 TO BE RELEASED
THERE WERE NO COMMUNICATIONS
e Woodworth Northern Oak Homes $53,038.00*
Woodworth
hern Oak Homes
S. William
* includes $2,746 contingency
Mrs Kolata noted that this Rental Rehab
is structured so that Northern Oak Homes,
as part owner, would share in the profits
from. the operation of the rental units as
well as be the contractor. As originally
presented to the Commission, the profit
margin was higher than allowed by HUD.
The Rental Rehab was tabled while we
sought a recommendation from HUD. It
comes before the Commission now
structured so that Northern Oak Homes can
make a 10% profit. Also, Northern Oak
Hams is now included as an owner due to
the profit sharing arrangement that has
been established. The financing
s cture has been approved by HUD.
Mrs Kolata noted that the property
presently contains four units. It will
be converted to two three - bedrooms units.
-3-
$17,000.00 (Public)
$36,038.00 (Private)
South Bend evelopment Camussion Meeting
Regular Mee ping - June 14, 1991
5. OLD BUSDTFJSS (Cont.)
C'1
a. continued...
a.
Ups a motion by Mr. Donoho, seconded by
Mr. Combs and unanimously carried, the
Ccmnission approved the loan of $17,000
to Wayne Woodworth, Earl Woodworth and
Northern Oak Homes in connection with the
Ren Rehab Program for property located
at 107 S. William.
Upon a motion by Mr. Donoho, seconded by COMMISSION AWARDED THE CONTRACT
Mr. Combs and unanimously carried, the IN CONNECTION WITH THE RENTAL
Comnission awarded the contract in REHAB PROGRAM TO NORTHERN OAK
connection with the Rental Rehab Program HOMES IN THE AMOUNT OF $53,038.00
to Northern Oak Homes in the amount of FOR PROPERTY LOCATED AT 107 S.
$53 038.00 for property located at 107 S. WILLIAM
Mrs Kolata noted that, as of 10:00 a.m.
tod6y, two bids were received for the
offered parcels. The parcels were
offered for lease /purchase instead of for
sale because the property was purchased
witli bond proceeds and the remaining term
of the bond is 21 years. The land cannot
be sold until the bond is paid off.
Mrs Kolata explained that the larger
piecm of property is on a block bounded
by Fellows, Monroe, South and Rush
streets. The smaller parcel is located
at the northwest corner of Fellows and
South streets.
The first bid opened was from Monroe Park
Associates, represented by Christopher J.
Mat , President. Monroe Park
-4-
South Bend
Regular Me
elopment Connnission Meeting
- June 14, 1991
6. NEW BUSYNESS (Cont.)
a. continuea...
Ass>cciates proposed to construct a 32
uni townhouse apartment complex,
consisting of 24 two- bedrown townhouses
and 8 three- bedrocam townhouses. The bid
offered $6,000 per year for 21 years for
the larger piece of land. They were not
inb=ested in purchasing the smaller
Diece of land.
The second bid opened was from Briazwood
Development Company, Inc. and was for
both pieces of property. They offered
$1,501 per year for 21 years for the
sma 1 parcel and $6,001 per year or
7,502 per year for 21 years. The
dev aoper noted that he did not intend to
1 /purchase one parcel without
1 /purchasinq both.
Bri irwood Development proposed to
co trust 48 or more rental apartment
uni (six 8 -unit buildings) on the
1 er parcel. As the site will
a mmodate an additional 16 units, the
developer would like to withhold this
option until the initial units rent up.
The developer intends to apply for Iow
Housing Tax Credits through the
ana Housing Finance Authority for the
proiiect and, therefore, needs to be
awarded the property by June 26 in order
to i kadm a July 1 deadline for tax credit
application. The proposal is contingent
upoi i the award being made by June 26.
Briarwood Development proposed to develop
8 ee- bedroom attached townhouses of
approximately 1,080 sft on the smaller
Mr. Panzica asked what provision there
woul d be for neighborhood input in the
selection of a proposal. Mrs. Kolata
r nded that the bids were public
d is and may be reviewed by anyone
who wishes to do so. The staff will
consider any resulting cc mnents when they
their reccmmiendation to the
-5-
South Bend
Regular Me
6. NEW BU
a. coy
M
C.
elopment Cc mission Meeting
- June 14, 1991
(Cont.)
Mr. Panzica noted for the record that his
ccupany had expressed an interest in
bid on the property but had not been
notified about the offering in time for
then to make a bid. Mrs. Kolata noted
that it was unfortunate that he was not
not fied, but the offering was properly
Upon a motion by Mr. Donoho, seconded by
Mr. Faccenda and unanimously carried, the
Ccmaission referred the proposals to the
staff for their report and
Louie & Mary Seago Louie Seago
712 Lindsey
$1,175.18 contingency
•• I 1 • • 81 �I' • Si• 1 -'•'•� •
• • - I t- - 91-• -J 1
$15,714.00* $7,857.00 (Public)
$7,857.00 (Private)
Upoi a motion by Mr. Faccenda, seconded
by Mr. Combs and unanimously carried, the
ComAssion approved the loan of $7,857.00
to Louie & Mary Seago in connection with
the Rental Rehab Program for property
loc4ted at 712 Lindsey.
CCMnSSION APPROVED THE LOAN OF
$7,857.00 TO 10 UIE & MARY •
IN CONNECTION WITH TB1 RENTAL
i•E r•: PROGRAM FOR PROPERTY
IOCATED AT 712 IINDSEY
Upon a motion by Mr. Faccenda, seconded CCIVMSSION AWARDED THE CONTRACT
by Mr. Combs and unanimously carried, the IN CONNECTION WITH THE RENTAL
Ccmmission awarded the contract in R19M PROGRAM FOR PROPERTY
connection with the Rental Rehab Program IOCATED AT 712 LINDSEY TO ILUIE
for property located at 712 Lindsey to SEAGO IN THE AMOUNT OF $15,714.00
TAU a Seago in the amount of $15,714.00.
South Bend Pedevelopment Ceamnission Meeting
Regular Mee ing - June 14, 1991
6. NEW BUSUNESS (Cont.)
a. continuea...
Mrs Kolata explained that the
Cer:ificates of Waiver are related to
pre.ricusly granted Rental Rehab loans.
Under the Rental Rehab Program, ten
peruent of a loan is forgiven each year
for ten years if the conditions of the
p are met. The conditions of the
Ren 1 Rehab Program are that the
pro be maintained and kept up to
cod regulations, that the taxes be kept
current on the property, and that the
property be made available for rent to
low and moderate income tenants. The
Bureau of Housing has monitored these
lowis and recommends the Certificates of
Wai er on the agenda today.
Upon a motion by Mr. Doncho, seconded by
Mr. Combs and unanimously carried, the
'ssion approved the Certificate of
Waiver for the Housing Development
Co ration for property located at 208
E. 'ana Avenue (7/28/89 and 7/28/90).
d. Coin
Cer
Dev
loc
UPO
Mr.
Cam
Wai
Cor
S.
e. Com
Cer
Dev
loc
UPO
Mr.
Cann
Wai
Cori
W.
. a motion by Mr. Donoho, seconded by
Faccenda and unanimously carried, the
Fission approved the Certificate of
er for the Housing Development
oration for property located at 1711
t. Joseph Street (3/1/91).
f a motion by Mr. Doncho, seconded by
Faccenda and unanimously carried, the
fission approved the Certificate of
er for the Housing Development
oration for property located at 1813
Linden (10/18/89 and 10 18/90).
-7-
CCRUSSION APPROVED THE
CERTIFICATE OF I E- FOR THE
HOUSING DEVEILOPMENT CORPORATION
FOR PROPERTY • 811 AT 208 E.
INDIANA
.0
•• ! 1 • • • • • X11 1
• I Dili DI • U IDI z A We* 114 •• •
•• 616 1 • •••• III 1
MN -J • /• M.' • - I
• I DAMMIrSAWN09 M to)
LINDEN (10/18/89 aAND 10/18/90)
South Bend
Regular Me
RE
Pp
va
h.
i.
elopment Commission Meeting
- June 14, 1991
(Cont.)
Upo i a motion by Mr. Donoho, seconded by UOMMISSION APPROVED THE
Mr. Faccenda and unanimously carried, the CERTIFICATE OF TULIVER FOR THE
Comftission approved the Certificate of HOUSING DEVELOPMENT CORPORATION
Waiter for the Housing Development FOR PROPERTY LOCATED AT
Co ration for property located at 239 LAPORTE (5/1/91)
239 LaPorte (5/1/91).
Upon a motion by Mr. Donoho, seconded by
Mr. Faccenda and unanimously carried, the
Comftission approved the Certificate of
War ter for Neighborhood Housing Services
for property located at 920 South Bend
Av ue (1/17/90 and 1/17/91).
COMMISSION APPROVED THE
CERTIFICATE OF WAIVER FOR
NEIGHBORHOOD HOUSING SERVICES FOR
PROPERTY LOCATED AT 920 SOUTH
BEND AVENUE (1/17/90 AND 1/17/91)
Upon a motion by Mr. Donoho, seconded by COM USSION APPROVED THE
Mr. Faccenda and unanimously carried, the CERTIFICATE OF WAIVER FOR
Cmmaission approved the Certificate of NEIGHBORHOOD HOUSING SERVICES FOR
Waiver for Neighborhood Housing Services PROPERTY LOCATED AT 916 SOUIH
for property located at 916 South Bend BEND AVENUE (1/17/90 AND 1/17/91)
Av (1/17/90 and 1/17/91).
Upon a motion by Mr. Donoho, seconded by
Mr. Faccenda and unanimously carried, the
Comnission approved the Certificate of
War ter for Neighborhood Housing Services
for property located at 908 -9082 South
Beno Avenue (1/17/90 and 1/17/91).
-8-
OONIISSION APPROVED THE
CERTIFICATE OF WAIVER FOR
NEIGHBORHOOD HOUSING SERVICES FOR
PROPERTY LOCATED AT 908 -9082
SOUTH BIND AVENUE (1/17/90 and
1/17/91)
South Bend redevelopment Ca mission Meeting
Regular Mee 1ng - June 14, 1991
6. NEW BUSDMS (Cont.)
J•
k.
OM
Mrs Kolata asked that this item be
tab ed until the next meeting. There
w no objections and the item was
Mrs Kolata explained that under this
contract Center City Associates (CCA)
will maintain a number of
RedeveloprPent-cumed properties in the
d tawn, including the Robertson's
building, the retail space in the St.
J ph/Wayne Garage, the State Theater
store fronts and marquis, street lights,
and the CCA office building. The
corrxact is similar to the contract the
Commission had with CCA last year for
property management and will run from
June 1, 1991 to May 31, 1992. In return
for these services, CCA will receive the
prcx3eeds from the store fronts in the
State Theater and from the parking lots
north of the CCA office. Fifty percent
of those proceeds must be kept in a
property management fund and fifty
pen7ent may be used for CCA activities.
Upon a motion by Mr. Faccenda, seconded
by Mr. Combs and unanimously carried, the
'ssion approved the Contract with
Center City Associates for Property
out
the
had
Kolata explained that, during late
1 and early May, hard rains washed
the dirt under the sidewalks along
Pointe at St. Joseph apartments. We
Kaser Spraker do the emergency
•• i I • • -•.• i •
AP 19 •iD :N. • • • C424 ID
South Bend edevelopment Commission Meeting
Regular Meeting - June 14, 1991
6. NEW BUSMESS (Cont.)
M.
1. continued...
repidr. Statute allows the staff to take
act on in an emergency and follow up with
Ccxm 'ssion declaration of emergency and
ratification of the contract. The
conixact with Kaser Spraker was for
$3, 20.
Upon a motion by Mr. Faccenda, seconded
by Mr. Combs and unanimously carried, the
Com,ussion declared a state of emergency
and ratified the contract with
Kaser-Spraker Construction in the amount
of 3,120 for sidewalk repairs in the
East Bank Development Area.
Mrs Kolata noted that the staff has
ived two counter offers for property
in the Studebaker Corridor Development
Arut. The first is a counter offer of
$47,000 for parcel 13 -11, located at 1312
S. in. The staff reccamiends accepting
the counter offer.
Upon a motion by Mr. Coombs, seconded by
Mr. Donoho and unanimously carried, the
'ssion accepted the counter offer of
$47,000 for parcel 13 -11 in the
Studebaker Corridor Development Area.
The second counter offer is in the amount
of S37,000 for parcel 13 -12, located at
1314 S. Main. The staff reccmmiends
acrActina the counter offer.
Upon a motion by Mr. Ccubs, seconded by
Mr. Donoho and unanimously carried, the
Ccumission accepted the counter offer of
$37,000 for parcel 13 -12 in the
Studebaker Corridor Development Area.
-10-
•• N. M • 1 Ia • •
401"I'm 1 • 1, • /• . oI• • /•
OW_ - • 901W201
C•. I 1 • MCI' ED 1 COW--2i•
OFFER OF 1 / • FOR PARCEL MCI
IN TBE STUDEBAKER CORRIDOR
DEVELOPMENT
COWUSSION ACCEPIED ME COUNTER
OFFER OF 1/1 FOR •• -MCI
IN THE =EBAKER CORRIDOR
DEVELOPMENT
South Bend
Regular Meg
elopment Cminission Meeting
- June 14, 1991
6. NEW BUSINESS (Cont.)
n.
Mrs Kolata noted that last year the
Conmission hired H. J. Umbaugh &
Associates to be its financial advisor in
the Airport Economic Development Area.
There is a need to do additional analysis
of the tax increment in the area now that
all of the tax appeals following
reassessment have been heard and the
n adjusted accordingly. This
contract hires H. J. Umbaugh to do that
ysis on an hourly basis. We will
prcmride them with the raw data. They
will report regularly on how much time
they are spending and at what cost, so we
can monitor the cost.
Upon
a motion by Mr. Faccenda, seconded
COMMISSION APPROVED THE ADDENDUM
by
. Combs and unanimously carried, the
TO CONTRACT WITH H. J. UMBAUGH
Ccmmussion
approved the Addendum to
AND ASSOCIATES FOR FINANCIAL
Contract
with H. J. Umbaugh and
SERVICES RELATED TO THE AIRPORT
Associates
for financial services related
ECONOMIC DEVELOPMENT AREA
to the
Airport Economic Development Area.
o. CoTaiission
a roval reauested for
Resolution.
No. 997 annroviM the transfer
of
1 Property to the South Bend
Redevelacment
Authority.
Ms.
Manier explained that the
Redevelopment
Authority accepted a
offer for a property in the
Airport
Economic Development Area. A
clei
ical error resulted in the deed for
that:
property being made out in the name
of the
Redevelopment Commission instead
of the
Redevelopment Authority.
Th
efore, we are asking the Commission
to txansfer
the property to the
Aut2Lority.
Upor
i a motion by Mr. Faccenda, seconded
COMMISSION APPROVED RESOLUTION
by b
Ir. Combs and unanimously carried, the
NO. 997 APPROVING THE TRANSFER OF
'ssion approved Resolution No. 997
REAL PROPER'L'Y TO THE SOUTH BEND
approving
the transfer of real property
REDEVELOPMENT AUTHORITY
to the South Bend Redevelopment
Authority.
-11-
South Bend
Regular Me
RE
12
a
Mrs
det
the
Cen
imp
Dev
of '
las
the
and
by
the
998
or
elopment Comnnission Meeting
- June 14, 1991
(Cont.)
Kolata noted that this Resolution
amines to spend up to $250,000 fram
tax increment fund of the South Bend
ral Development Area to pay for
-ovements in the South Bend Central
:lopment Area. This action is
ionly known as the direct expenditure
'IF. The Cortunission used this method
year to pay for some improvements in
downtown and East Bank. The types of
ovements we expect to make are curb
sidewalk work and other public
ovements in the downtown and East
and engineering design work for the
Bank area.
i a motion by Mr. Faccenda, seconded
[r. Doncho and unanimously carried,
Comission approved Resolution No.
determining to pay certain expenses
rred for local public improvements in
erving the South Bend Central
cation Area (South Bend Allocation
No. 1A) from the South Bend Central
cation Area (South Bend Allocation
. No. 1A) Special Fund.
Mrs Kolata noted that Resolution No. 999
will appropriate the funds mentioned in
the previous resolution, following the
Comussion's public hearing on June 28.
-12-
•• 1 • - • - • �� -• ii' •
• MD • •
South Bend
Regular Me
elopment commission Meeting
- June 14, 1991
6. NEW BUSINESS (Cont.)
q. conTinueca...
r.
Upon a motion by Mr. Faccenda, seconded COMMISSION ACCEPIED RESOLUTION
by Mr. Doncho and unanimously carried the NO. 999 FOR FILING AND SET 10:00
Coimiission accepted Resolution No. 999 A.M., JUNE 28, 1991 AS A PUBLIC
for filing and set 10:00 a.m. June 28, HEARING ON RESOIDTION NO. 999
1991 as a public hearing on Resolution
No. 999.
(Solvay Automotive Inc.)
Mr. Fonash read the staff report on the
tax abatement petition. The petitioner
p to purchase and install a
sul orating treatment system which will
be imed to create a vapor barrier on
plimstic fuel tanks which will be
naniffactured for General Motors
Co rations' new Saturn Automobile
ly plant.
The project will create nine (9) new
permanent full -time jobs representing an
anniial payroll of $141,336 and will
mabitain one hundred forty (140) existing
permanent full-time and part time jobs
witli an annual payroll or $3,227,501.
The total estimated cost of the equipment
is $373,939.
The property is properly zoned for the
proposed use. The property is not
locitted in an area presently designated
as it Tax Abatement Impact Area, but is in
a 7cLx Incremental Financing Allocation
Arai. The petitioner qualifies for five
(5) years of personal property tax
abatement.
Wit out abatement, the taxes on the
imp ements are estimated to be
$34 566. With the abatement, taxes are
est inted to be $7,226. Therefore, the
of the abatement is $27,340.
-13-
South Bend
Regular Meg
6. NEW BU;
r. coi
7.
8.
elopment Commission Meeting
- June 14, 1991
(Cont.)
Mr. John Sullivan, Solvay Automotive,
no that purchase of this equipment
will allow Solvay to be a supplier for
all of the big three auto manufacturers.
Their currently supply Ford and Chrysler.
They will now be able to supply General
Mot rs. This equipment will generate
app ximately $11,000,000 in sales the
fir,.t year of the project.
Upon a motion by Mr. Faccenda, seconded
by Mr. Donaho and unanimously carried,
the Commission approved Resolution No.
1000 approving an application for
nal property tax deduction for
property located at 1827 N. Bendix Drive
(So vay Automotive Inc.)
There w�xe no progress reports.
The ne# Regular Meeting of the Redevelopment
Commiss on is scheduled for June 28, 1991 at
COWUSSION APPROVED • E. • •
• 00• APPROV3NG AN APPLICATION
• • PERSONAL PR• • .9i J
DEDUCrION FOR PROPERTY LOCATED AT
1827 N. BENDIX D- (SOLVAY
• •
• Alzi x- • -••ct• •:1 -•
10:00 a m.
9. ADJ
There hAng no further business to come ADJOURN
before rhe Redevelopment Commission, Mr.
Faccend i made a motion that the meeting be
adjourned. Mr. Combs seconded the motion and
the mee ing was adjourned at 10:45 a.m.
Paula N� Auburn, President
-14-
Ann E. Kolata, Director