Loading...
HomeMy WebLinkAboutRM 12-03-93SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING December 3, 1993 1308 County -City Building 10:00 a.m. 227 W. Jefferson Boulevard Presiding: Roman J. Piasecki South Bend, Indiana Vice - President I. L ROLL CALL Members Present: Mr. Roman J. Piasecki, Vice - President Mr. Theo F. Sharp, Secretary Mr. Michael Donoho Mr. Philip Faccenda Members Absent: Legal Counsel: Redevelopment Staff: Bureau of Housing Staff: Media: Ms. Paula N. Auburn, President Ms. Jenny Pitts Manier Mrs. Ann Kolata, Director Mrs. Cheryl Phipps, Recording Secretary Ms. Mary Richmond Mr. Thom Howell, U -93 Mr. Don Porter, South Bend Tribune Others: Mr. Carter Wolf, Center City Associates Mr. Kevin Horton, Controller Ms. Mikki Dobski Mr. Rick Walls Mr. Randy Rompola, Baker & Daniels 2. APPROVAL OF MINUTES a. Approval of Minutes of the Special Meeting of Monday. November 15, 1993. Upon a motion by Mr. Sharp, seconded by Mr. Donoho and unanimously carried, the Commission approved the Minutes of the Special Meeting of Monday, November 15, 1993. COMMISSION APPROVED THE MINUTES OF THE SPECIAL MEETING OF MONDAY, DECEMBER 15, 1993 South Bend Redevelopment Commission Regular Meeting - December 3, 1993 3. APPROVAL OF CLAIMS Redevelopment Commission Claims submitted December 3, 1993, for Approval. ADMIN 1993 Baker & Daniels Federal Express St. Joseph County Recorder's Office Thomas E. Eddington, Jr. VISA Peggy Forrest Gene's Camera Store St. Joseph County Auditor Tri County News Commercial Office Products Indiana Michigan Power Co. Catering by Billie, Inc. Rail to Trails Conservancy South Bend Tribune York Title & Escrow, Inc. Writing Works Jeffco TOTAL STUDEBAKER CORRIDOR BOND (423) Indiana Michigan Power Co. The Troyer Group TOTAL BOND ANTICIPATION NOTE (437) Gerard Hilferty The Troyer Group Donna Lawrence Productions TOTAL -2- $ 650.00 47.50 602.00 67.94 20.47 480.00 49.00 8.00 37.77 670.00 6.00 95.10 28.95 39.85 145.00 1,005.00 42.96 $ 3,994.54 $ 137.86 787.49 $ 925.35 $ 27,917.77 1,060.00 79,781.03 $ 109,304.80 South Bend Redevelopment Commission Regular Meeting - December 3, 1993 3. APPROVAL OF CLAIMS (Cont.) S.B.C.D.A. T.I.F. GENERAL ACCOUNT (420) Real Estate Management Corp. $ 215.92 Harmon Glass 88.30 H.P. Products 70.60 Circle Lumber, Inc. 156.47 Howard Park Hardware 29.40 Indiana Michigan Power Company 6.00 NIPSCO 20.28 Peirce & Associates 135.00 Ampco Parking 6,276.52 Ameritech 61.20 Leedy /Cripe Architects 1,562.23 Walker Parking Consultants 3,868.60 Jordan's Mishawaka Transfer, Inc. 29,902.17 Rick Walls 1,166.66 Indiana Michigan Power Company 118.27 TOTAL $ 43,677.57 SAMPLE -EWING DEVELOPMENT AREA (414) Huma Appraisals $ 2,890.00 Jerome E. Michaels 7,200.00 UDAG Acct. 410 (transfer) 22,425.00 TIF Allocation - Studebaker (transfer) 1,075.00 E.I.S. Environmental 7,305.41 Ken Herceg & Associates, Inc. 5,383.00 Jerome E. Michaels 1.850.00 TOTAL $ 48,128.41 REDEVELOPMENT GENERAL (433) The Troyer Group 5.01 TOTAL $ 5.01 GRAND TOTAL $ 206.035.68 -3- South Bend Redevelopment Commission Regular Meeting - December 3, 1993 3. APPROVAL OF CLAIMS (Cont.) Upon a motion by Mr. Donoho, seconded by Mr. Sharp and unanimously carried, the Commission approved the Claims submitted December 3, 1993. 4. COMMMCATIONS There were no Communications. 5. OLD BUSINESS There was no Old Business. 6. NEW BUSINESS a. Receipt of bids on Palais Royale retail space in the South Bend Central Development Area. Mrs. Kolata noted that there was one bid received by 10:00 a.m. today. Michiana Arts and Sciences Council proposes to rent the 1730 square foot space along Colfax Avenue, just west of Office Interiors. Our minimum offering price was $11.10 per square foot on a net basis. They propose to move their office space from Century Center to this location. They are asking for a seven year lease with monthly payments to start at $600 per month, increasing about 2 % per year through year seven at which time the rent would be $675.69 per month. MASC proposes to pay 50% of the cost of rehabbing the space, not to exceed $20,000. Mrs. Kolata noted that the Board of Public Works currently has the improvements to this space out for bid. Bids are due on December 6. -4- COMMISSION APPROVED CLAIMS SUBMITTED DECEMBER 3, 1993 THERE WERE NO COMMUNICATIONS THERE WAS NO OLD BUSINESS South Bend Redevelopment Commission Regular Meeting - December 3, 1993 6. NEW BUSINESS (Cont.) a. continued... Mrs. Kolata noted that this proposal does not meet the minimum offering price for the space so the Commission may not accept the bid at this time. There must be a 30 -day waiting period before accepting an offer of less than the minimum offering price. Mrs. Kolata noted that she is a member of the board of Michiana Arts and Sciences Council. She was aware that this proposal was coming, but has been trying to separate her roles and represent the Commission in this matter. The Commission referred the proposal to staff for its review. PROPOSAL FROM MICHIANA ARTS AND SCIENCES COUNCIL REFERRED TO STAFF FOR REVIEW b. Commission approval requested for Resolution No. 1202 approving execution of a Lease between the South Bend Redevelopment Authority and the South Bend Redevelopment Commission for certain land and a building located thereon, and regarding other related matters. Mrs Kolata noted that the State Board of Tax Commissioners has approved the maximum lease payments for this bond issue. Mr. Rompola explained that Resolution No. 1202 authorizes execution of the Lease and authorizes execution of the Notice of the Execution of the Lease. This notice triggers a 30 -day objecting period on the lease between the Commission and the Redevelopment Authority for the lease -5- South Bend Redevelopment Commission Regular Meeting - December 3, 1993 6. NEW BUSINESS (Cont.) b. continued... purchase financing proposed by the Redevelopment Authority to construct the College Football Hall of Fame and to make improvements to Century Center. Upon a motion by Mr. Sharp, seconded by Mr. Donoho and unanimously carried, the Commission approved Resolution No. 1202 approving execution of a Lease between the South Bend Redevelopment Authority and the South Bend Redevelopment Commission for certain land and a building located thereon, and regarding other related matters. c. Commission approval requested for Loan in connection with the Roof Loan Proms the amount of $3,400.00 for property located at 920 Fairway Sy treet. (Martin & Alice Oltman) Ms. Richmond explained that the proposal for roof replacement is for $3,200. The Oltmans were not able to get a conventional loan because of a previous car reposession. They have worked out a payment plan with the bank to get the car back. The $3,400 loan will be at 0 % interest for five years with payments of $56.67 per month. BSR Roofmasters will be doing the roof repairs. Upon a motion by Mr. Faccenda, seconded by Mr. Donoho and unanimously carried, the Commission approved the $3,400.00 loan in connection with the Roof Loan Program for property located at 920 Fairway Street. (Martin & Alice Oltman) Ka COMMISSION APPROVED RESOLUTION NO. 1202 APPROVING EXECUTION OF A LEASE BETWEEN THE SOUTH BEND REDEVELOPMENT AUTHORITY AND THE SOUTH BEND REDEVELOPMENT COMMISSION FOR CERTAIN LAND AND A BUILDING LOCATED THEREON, AND REGARDING OTHER RELATED MATTERS COMMISSION APPROVED THE $3,400.00 LOAN IN CONNECTION WITH THE ROOF LOAN PROGRAM FOR PROPERTY LOCATED AT 920 FAIRWAY STREET. (MARTIN & ALICE OLTMAN) South Bend Redevelopment Commission Regular Meeting - December 3, 1993 6. NEW BUSINESS (Cont.) d. Commission approval requested for Loan in connection with the West Washington-Chapin Rehabilitation Loan Program in the amount of $59.900.00 for property located at 1010 W. Jefferson. (Carol Smith) Mrs. Kolata noted that this is a 30 year loan at 0% interest with payments of $166.39 per month. The after rehab value of the property is $59,000. Ms. Richmond noted that, in order to get clear title, the $59,900 includes the refinancing of a $6,000 loan which uses the house as security. APN Upon a motion by Mr. Donoho, seconded by Mr. Faccenda and unanimously carried, the Commission approved the $59,900 Loan in connection with the West Washington - Chapin Rehabilitation Loan Program for property located at 1010 W. Jefferson. (Carol Smith) e. Commission approval requested for Certificate of Completion for Disposition Parcel 9B in the Sample -Ewing Development Area. (Wheel and Rim) Mrs. Kolata noted that the Contract for Sale of Land with Wheel and Rim included certain specifications for the improvements. The Certificate of Completion states that the improvements meet our requirements, authorizes the return of their performance guarantee, and gives them clear title to the land. The staff recommends approving the Certificate of Completion. dA COMMISSION APPROVED THE $59,900 LOAN IN CONNECTION WITH THE WEST WASHINGTON - CHAPIN REHABILITATION LOAN PROGRAM FOR PROPERTY LOCATED AT 1010 W. JEFFERSON. (CAROL SMITH) South Bend Redevelopment Commission Regular Meeting - December 3, 1993 6. NEW BUSINESS (Cont.) e. continued... Mr. Sharp stated that he is very disappointed in their landscaping. The original site plan indicated that there would be more. Mrs. Kolata noted that the sidewalk in front of the building is the Commission's project and is not yet complete. There is some landscaping to go in along that sidewalk when it is complete. Mr. Sharp noted that the bushes they put in are very small. They indicated they would be putting in 3" street trees. Mrs. Kolata agreed that they are small. Wheel and Rim indicated that they would landscape up along the building, which they have done. They also indicated they would do some landscaping in the tree lawn along Main Street. Mrs. Kolata was unsure if there was to be landscaping in the tree lawn along Garst Street. Mr. Sharp stated that he preferred to defer ITEM 6.E. DEFERRED the Certificate at this time to make them meet the specifications. f. Commission approval requested for Certificate of Completion for Disposition Parcels 27 and 28 in the Sample -Ewing Development Area. (Real Services) Mrs. Kolata noted that the staff recommends approving the Certificate of Completion for Real Services. South Bend Redevelopment Commission Regular Meeting - December 3, 1993 6. NEW BUSINESS (Cont.) continued... Upon a motion by Mr. Faccenda, seconded by Mr. Donoho and unanimously carried, the Commission approved the Certificate of Completion for Disposition Parcels 27 and 28 in the Sample -Ewing Development Area. (Real Services) g. Commission approval requested for Certificate of Completion for Disposition Parcel 20 in the Sample -Ewing Development Area. (Policemen's Federal Credit Union. Mrs. Kolata noted that the staff recommends approving the Certificate of Completion for the Policemen's Federal Credit Union. Upon a motion by Mr. Donoho, seconded by Mr. Faccenda and unanimously carried, the Commission approved the Certificate of Completion for Disposition Parcel 20 in the Sample -Ewing Development Area. (Policemen's Federal Credit Union) It. Commission approval requested for Resolution No. 1203 related to acquisition of property in the Sample -Ewing Development Area by Eminent Domain. Mrs. Kolata noted that Resolution No. 1203 is similar to three previous resolutions in that it sets the offering price for 59 properties within the Sample -Ewing Development Area and authorizes the staff to send purchase offers with the right of Eminent Domain. This brings the number of authorized purchase offers to 126. &9 COMMISSION APPROVED CERTIFICATE OF COMPLETION FOR DISPOSITION PARCELS 27 AND 28 IN THE SAMPLE -EWING DEVELOPMENT AREA. (REAL SERVICES) COMMISSION APPROVED THE CERTIFICATE OF COMPLETION FOR DISPOSITION PARCEL 20 IN THE SAMPLE -EWING DEVELOPMENT AREA. (POLICEMEN'S FEDERAL CREDIT UNION) South Bend Redevelopment Commission Regular Meeting - December 3, 1993 6. NEW BUSINESS (Cont.) h. continued... Upon a motion by Mr. Donoho, seconded by Mr. Sharp and unanimously carried, the Commission approved Resolution No. 1203 related to acquisition of property in the Sample -Ewing Development Area by Eminent Domain. i. Commission approval requested for Proposal for Professional Services in the Sample - Ewing Development Area. (Surveying) Mrs. Kolata noted that we have completed the survey and title work on the area between Fellows Street and Michigan Street. This proposal is for surveying 54 pieces of land east of Fellows Street. Peirce & Associates has proposed to perform the surveys for $130 each with a delivery date of 40 days. That is comparable to what they have charged us in the past. Upon a motion by Mr. Faccenda, seconded by Mr. Donoho and unanimously carried, the Commission approved the Proposal from Peirce & Associates for the survey of 54 pieces of land in the Sample -Ewing Development Area. Mrs. Kolata noticed that there was a second proposal from Peirce & Associates to survey 34 additional parcels east of Fellows also at the price of $130 each. -10- COMMISSION APPROVED RESOLUTION NO. 1203 RELATED TO ACQUISITION OF PROPERTY IN THE SAMPLE -EWING DEVELOPMENT AREA BY EMINENT DOMAIN COMMISSION APPROVED THE PROPOSAL FROM PEIRCE & ASSOCIATES FOR THE SURVEY OF 54 PIECES OF LAND IN THE SAMPLE -EWING DEVELOPMENT AREA South Bend Redevelopment Commission Regular Meeting - December 3, 1993 6. NEW BUSINESS (Cont.) continued... Upon a motion by Mr. Donoho, seconded by Mr. Faccenda and unanimously carried, the Commission approved the Proposal from Peirce & Associates for the survey of 34 parcels of land in the Sample -Ewing Development Area. j. Commission approval requested for Proposal for Professional Services in the Sample - Ewing _Development Area. (Title Work) Mrs. Kolata noted that York Title & Escrow has sent two proposals for a total of 88 parcels. They will perform title work at a cost of $135 each. The parcels are the same 88 parcels east of Fellows Street. COMMISSION APPROVED THE PROPOSAL FROM PEIRCE & ASSOCIATES FOR THE SURVEY OF 34 PIECES OF LAND IN THE SAMPLE -EWING DEVELOPMENT AREA Upon a motion by Mr. Faccenda, seconded COMMISSION APPROVED THE PROPOSAL by Mr. Donoho and unanimously carried, the FROM YORK TITLE & ESCROW FOR TITLE Commission approved the Proposal from WORK IN THE SAMPLE -EWING York Title & Escrow for title work in the DEVELOPMENT AREA Sample -Ewing Development Area. k. Commission approval requested for Professional Services in the Sample -Ewing Development Area. (Fixture Appraisal) Mrs. Kolata noted that we have been having the real estate appraised, but there are some properties that have built -in fixtures that are not considered part of the real estate. We need to know the value of the fixtures before sending the purchase offers because the offer for purchasing the fixtures is included. -11- South Bend Redevelopment Commission Regular Meeting - December 3, 1993 6. NEW BUSINESS (Cont.) k. continued... The properties that need fixture appraisals are Midas Muffler, Main Muffier,U -Haul, the Boys and Girls Club, Jim's Auto Sales, Senior Tool and Die, Pleasureland Museum, Pool Table Doctor, and Michigan Street Theater. There are also three billboards to be appraised. Delta Appraisers has made their proposal based on a preliminary visit to the businesses. They will complete the appraisals for $13,000, plus the cost of Senior Tool and Die which they estimate to be between $1,500 and $3,000. They were not able to get into Senior Tool and Die to assess the job there. Upon a motion by Mr. Sharp, seconded by Mr. Donoho and unanimously carried, the Commission approved the proposal for Professional Services in the Sample -Ewing Development Area. (Fixture Appraisal) 1. Commission approval of Determination of Repurchase price and reconveyance bonus for property in the South Bend Central Development Area. ( Transpo) Ms. Manier explained that as part of the Commission's contract when it sold the present lot to Transpo, one provision stated that when the Redevelopment Commission received an offer to put that site to a better use, Transpo would reconvey the property to the Commission. Since the Commission has accepted the proposal from Trammell Crow to construct an office building on the site, we need to repurchase the property from -12- COMMISSION APPROVAL REQUESTED FOR PROFESSIONAL SERVICES IN THE SAMPLE - EWING DEVELOPMENT AREA. (FIXTURE APPRAISAL) South Bend Redevelopment Commission Regular Meeting - December 3, 1993 6. NEW BUSINESS (Cont.) 1. continued... Transpo. The contract stipulated that the repurchase price would be based on 1) a cash payment of $53,600; 2) the depreciated value of the improvements on the site; and 3) the lesser of the actual moving expenses of Transpo or $25,000. During discussions with Transpo, it was determined that rather than trying to determine the depreciated value of the improvements and the moving costs, the Commission would make available to Transpo the lot at Main and Western and improve it for their use. This would be done in lieu of items number 2 and 3. Shortly after that was agreed upon, Transpo received word that it had received a grant from the federal government and is trying to decide where it will ultimately locate. We reopened discussions with Transpo and determined that rather than completely improving and relocating Transpo to the lot at Main and Western, we will improve the site as a parking lot and make that available to them for temporary use if they need it between the time Trammell Crow needs access to the present site and when Transpo has a new site ready. The Board of Public Works has awarded the contract for improving the Main and Western site as a parking lot and the cost is $58,000. In order to come up with a new settlement with Transpo, we've subtracted that $58,000 from the total estimate for completely -13- South Bend Redevelopment Commission Regular Meeting - December 3, 1993 6. NEW BUSINESS (Cont.) 1. continued... improving the lot for Transpo and moving them to it. The difference is $44,000. Therefore, our proposal to Transpo for repurchasing the downtown lot is made up of 1) $53,000; 2) $44,000; and 3) an agreement to pave the lot at Main and Western and allow Transpo to use it if they need to. In addition, the contract called for the Commission to pay Transpo a reconveyance bonus based on the amount the Commission will be paid by Trammell Crow. That reconveyance bonus is $33,264.00. Consequently, it is our proposal that we satisfy our contractual obligations to Transpo with at payment of $130,864 (the sum of the previously mentioned amounts) and a commitment to improve the parking lot at Main and Western to be available for its use if needed. Upon a motion by Mr. Faccenda, seconded by Mr. Donoho and unanimously carried, the Commission approved the Determination of Repurchase price and reconveyance bonus for property in the South Bend Central Development Area. ( Transpo) m. Commission approval requested for Amendment to Lease with Monroe Park Associates for property in the South Bend Central Development Area. Mrs. Kolata noted that this is the "Briarwood project" for the townhouses in Monroe Park. Mr. McCalley has been in constant communication with the staff throughout the -14- COMMISSION APPROVED THE OF DETERMINATION OF REPURCHASE PRICE AND RECONVEYANCE BONUS FOR PROPERTY IN THE SOUTH BEND CENTRAL DEVELOPMENT AREA. (TRANSPO) South Bend Redevelopment Commission Regular Meeting - December 3, 1993 6. NEW BUSINESS (Cont.) m. continued... year while he attempted to get financing for the project. This amendment changes the date that he must begin and complete construction of the project to a start date no later than December 31, 1993 with a completion date of December 31, 1994. He now has financing and has sent the lease payment that was due last year as well as the lease payment that was due this year. Upon a motion by Mr. Faccenda, seconded by Mr. Donoho and unanimously carried, the Commission approved the Amendment to Lease with Monroe Park Associates for property in the South Bend Central Development Area. n. Commission approval requested for Resolution No. 1204 =roving �yance of real property in the Airport Economic Development Area. Ms. Manier explained that the Industrial Foundation no longer desired to pay for the maintenance of a retention basin near the intersection of Kenmore and Cleveland roads. They offered to convey it to the Commission and did so in late November. We have determined that, since it is a public works improvement, it would be better for the City of South Bend to own the retention basin than for the Commission to own it. Resolution No. 1204 approves the transfer of the retention basin to the City of South Bend. The Board of Public Works will consider a similar resolution at its meeting on December 6. -15- COMMISSION APPROVED THE AMENDMENT TO LEASE WITH MONROE PARK ASSOCIATES FOR PROPERTY IN THE SOUTH BEND CENTRAL DEVELOPMENT AREA South Bend Redevelopment Commission Regular Meeting - December 3, 1993 6. NEW BUSINESS (Cont.) n. continued... Upon a motion by Mr. Faccenda, seconded by Mr. Donoho and unanimously carried, the Commission approved Resolution No. 1204 approving the conveyance of real property in the Airport Economic Development Area to the City of South Bend. Mrs. Kolata asked permission to add item 6.0. to the agenda. There was no objection and the item was added. o. Commission approval requested for Proposal to replace trees in the South Bend Central Development Area. Mrs. Kolata noted that the staff has reviewed the condition of street trees in the redevelopment areas. We estimate that there are fifteen to twenty trees that are either badly damaged or dead. We have received proposals from Landscapes Unlimited, Foegley Landscapes, and Hunzikers. The staff recommends accepting the proposal from Foegley Landscapes. Their prices are the lowest of the three. Foegley will replace the trees with Summit Ash, Skyline Locust, and Green Spire Lindens, ranging in price from $473 to $484 each, including planting. The staff would like to be authorized to spend up to $9,000 for replacement of the trees. Mrs. Donoho asked about the warranty on the trees. Mrs. Kolata responded that we have usually asked for the landscaper to be responsible for the service and replacement -16- COMMISSION APPROVED RESOLUTION NO. 1204 APPROVING THE CONVEYANCE OF REAL PROPERTY IN THE AIRPORT ECONOMIC DEVELOPMENT AREA TO THE CITY OF SOUTH BEND South Bend Redevelopment Commission Regular Meeting - December 3, 1993 6. NEW BUSINESS (Cont.) o. continued... of the trees for one year. However, that does not include replacement if the trees are vandalized or damaged by an accident. Upon a motion by Mr. Sharp, seconded by Mr. Faccenda and unanimously carried, the Commission approved the proposal from Foegley Landscapes for tree replacement in the South Bend Central Development Area for a cost not to exceed $9,000. 7. PROGRESS REPORTS Mrs. Kolata reported that the official city celebration "Downtown for the Holidays" is December 3 and December 4. The celebration includes the tree lighting in front of the Morns Civic Plaza. Mrs. Kolata also noted that Roman Piasecki was this year's recipient of the F. Jay Nimtz Exemplary Public Service Award. The award ceremony was very nice and the comments made by Mr. Piasecki and by last year's recipient, Mendel Piser, were very appropriate. Mr. Wolf reported that the new owner of the State Theater is planning to open it on December 17 as a "second run" theater. There will be a media party to celebrate its opening. 8. NEXT COMMISSION MEETING The next meeting of the Redevelopment Commission is scheduled for 10:00 a.m. on December 17, 1993. -17- COMMISSION APPROVED THE PROPOSAL FROM FOEGLEY LANDSCAPES FOR TREE REPLACEMENT IN THE SOUTH BEND CENTRAL DEVELOPMENT AREA FOR A COST NOT TO EXCEED $9,000 PROGRESS REPORTS NEXT COMMISSION MEETING South Bend Redevelopment Commission Regular Meeting - December 3, 1993 9. ADJOURNMENT There being no further business to come before ADJOURNMENT the Commission, Mr. Faccenda made a motion that the meeting be adjourned. Mr. Donoho seconded the motion and the meeting was adjourned at 10:40 a.m. Paula N. Auburn, President Ann t. Kolata, Director go