HomeMy WebLinkAboutRM 02-04-94SOUTH BEND REDEVELOPMENT COMMISSION
REGULAR MEETING
February 4, 1994
10:00 a.m.
Presiding: Paula N. Auburn
President
I. ROLL CALL
1308 County -City Building
227 W. Jefferson Boulevard
South Bend, Indiana
Members Present: Ms. Paula N. Auburn, President
Mr. Roman J. Piasecki, Vice - President
Mr. Theo F. Sharp, Secretary
Mr. Michael Donoho
Members Absent: Mr. Philip Faccenda
Legal Counsel: Ms. Jenny Pitts Manier
Redevelopment Staff: Mrs. Ann Kolata, Director
Mrs. Cheryl Phipps, Recording Secretary
Mr. Jon Hunt, Executive Director
Mr. Tom Eddington, Economic Dev. Specialist
Mr. James Riggs, Economic Dev. Specialist
Mr. John Stark, Economic Dev. Specialist
Planning Staff: Mr. Larry Magliozzi, Assistant Director
Business Assistance Staff: Mr. Donald Inks, Director
Media: Mr. Thom Howell, U -93
Mr. Don Porter, South Bend Tribune
Others: Mr. Carter Wolf, Center City Associates
Ms. Jocelyn Polack
Ms. Justine Polack
Ms. Jacinta Wielgos
Mr. James Masters
Ms. Amanda Griffin
Ms. Joyce Boaler
Mr. Bob Wozny
Ms. Jan Hyduk
Ms. Mylinda Jones
Mr. Andrew Bedford
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- South Bend Redevelopment Commission
Ugular Meeting - February 4, 1994
I. ROLL CALL (Cont.) Ms. F. M. Deka
Mr. Brad Emberton
Mr. Barry Burton
Mr. Willis West
Mr. Bennie Kirk
Ms. Germaine Lee
Ms. Auburn announced that the Executive Session would continue immediately following
adjournment of the Regular Meeting.
2. APPROVAL OF MINUTES
a. Approval of the Minutes of the Regular
Meeting of Friday, January 21, 1994.
Upon a motion by Mr. Donoho, seconded by COMMISSION APPROVED THE MINUTES OF
Mr. Sharp and unanimously carried, the THE REGULAR MEETING OF FRIDAY,
Commission approved the Minutes of the JANUARY 21, 1994
kwl Regular Meeting of Friday, January 21,
1994.
3. APPROVAL OF CLAIMS
Redevelopment Commission Claims submitted February 4, 1994, for Approval.
ADMIN 1994 (212)
Engineering Department $ 126.99
Indiana Michigan Power Co. 6.59
Petty Cash 138.90
Tri County News 13.38
South Bend Tribune 147.81
Watterud Inc. 105.40
TOTAL $ 539.07
UDAG (410)
The Troyer Group $ 3,170.50
TOTAL $ 3,170.50
clw*,
South Bend Redevelopment Commission
'regular Meeting - February 4, 1994
3. APPROVAL OF CLAIMS (Cont.)
SAMPLE -EWING DEVELOPMENT AREA (414)
Foegley Landscape
Indiana Michigan Power Co.
Jerome E. Michaels
Overhead Door
South Bend Water Works
Debra Chatman
York Title & Escrow, Inc.
Petty Cash
Raymond Chatman
TOTAL
S.B.C.D.A. T.I.F. GENERAL ACCOUNT (4201
James Childs & Associates
Northern Indiana Construction Co., Inc.
Ken Herceg & Associates
TOTAL
BOND ANTICIPATION NOTE (437)
Donna Lawrence Products
Sculpture Basics Inc.
The Troyer Group
TOTAL
GRAND TOTAL
4. COMMUNICATIONS
There were no Communications.
5. OLD BUSINESS
a. Commission approval requested to withdraw
Resolution No. 1214 from consideration.
(44,
$ 588.00
68.22
5,550.00
223.78
20.00
6,200.00
2,300.00
500.00
550.00
$ 16,000.00
$ 2,330.06
56,541.37
63.43
$ 58,934.86
$ 92,717.16
19,250.00
8.515.00
$ 120,482.16
$ 142,585.22
THERE WERE NO COMMUNICATIONS
IL South Bend Redevelopment Commission
Cegular Meeting - February 4, 1994
5. OLD BUSINESS (Cont.)
a. continued...
Mrs. Kolata noted that Resolution No. 1214
was on the January 4 agenda and was tabled
at that time. We want to withdraw it from
consideration.
Upon a motion by Mr. Sharp, seconded by
Mr. Piasecki and unanimously carried, the
Commission withdrew Resolution No. 1214
from consideration.
b. Staff report on Proposal for Disposition
Parcel B in the Studebaker Corridor portion
of the Sample -Ewing Development Area.
(Old Fort)
Mrs. Kolata noted that on September 3, 1993
the Commission received a bid from Old Fort
Building Supply for Parcel B in the
Studebaker Corridor portion of the Sample -
Ewing Development Area. Parcel B contains
.69228 acres. Old Fort offered the minimum
offering price of $12,750, but, as part of
their bid, they offered to sell land in the
block north of Broadway for $45,750 which
was a counter offer to the Commission's
offer of $26,000. Their bid also included an
offer of $8,000 for property owned by the
Commission located on the corner of Main
and Broadway. They propose to consolidate
their operation onto a single block while
allowing for parking on the northwest corner
of Main and Broadway.
Subsequent to receipt of the bid the staff was
made aware that the financing plan for Old
Fort's consolidation had been revised. This
L
COMMISSION WITHDREW RESOLUTION NO.
1214 FROM CONSIDERATION
IL South Bend Redevelopment Commission
'regular Meeting - February 4, 1994
5. OLD BUSINESS (Cont.)
a. continued...
caused us to meet with representatives of Old
Fort on several occasions and we have
received additional information concerning
their proposed project.
As the proposal now stands, Old Fort will
move forward with the project on a slower
schedule than earlier anticipated. They
propose to construct the project beginning in
April 1994 and would complete the first
phase by the end of October 1994. This first
phase would include construction of a storage
building for sheet rock and new fencing on
Parcel B. They would also pave the new
parking lot on the corner of Main and
Broadway, paint the three existing buildings
facing Main Street, repaint or remove all
lettering or signs on the existing buildings,
and make improvements to the fencing and
landscaping along Main Street. The
additional storage buildings would be
constructed on Parcel B in the future as Old
Fort is able to finance them.
Based on this revised proposal, the staff
recommends that the Commission agree to
the following: 1) accept the bid of $12,750
for Disposition Parcel B on Block 10; 2)
agree to sell Parcels 9 -32 and 9 -33 for
$5,750. This agreement would be subject to
placing those parcels up for bid and not
receiving an acceptable bid. 3) withdraw the
offer previously made for parcel 9 -35; 4)
agree to pay $31,000 for Parcels 9 -13, 9 -16,
9 -18, and 9 -20; 5) that the City construct
new curbs and sidewalks on Block 10 in
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South Bend Redevelopment Commission
regular Meeting - February 4, 1994
5. OLD BUSINESS (Cont.)
a. continued...
1994, but not by March as proposed by Old
Fort Building Supply; and 6) that we clear
Parcel B of any shrubs, weeds, or fencing
that may currently be on the lot. We believe
that this revised proposal is a good one that
will allow a long -time South Bend business to
consolidate operations and improve its
operations.
Upon a motion by Mr. Piasecki, seconded by
Mr. Sharp and unanimously carried, the
Commission accepted the staff
recommendation and approved the revised
Proposal from Old Fort Building Supply for
Disposition Parcel B in the Studebaker
ko� Corridor portion of the Sample -Ewing
Development Area.
6. NEW BUSINESS
a. Public Hearing on Resolution No. 1216 a
Supplemental Appropriation Resolution of the
City of South Bend Redevelopment
Commission (South Bend Central
Development Area).
Mrs. Kolata noted that we have affidavits
showing that the Notices of Public Hearing
were published in the Tri- County News and
the South Bend Tribune on January 21, 1994.
Ms. Auburn asked if there was any objection
to entering the affidavits into the record.
There was no objection and the items were so
entered.
COMMISSION ACCEPTED THE STAFF
RECOMMENDATION AND APPROVED THE
REVISED PROPOSAL FROM OLD FORT
BUILDING SUPPLY FOR DISPOSITION
PARCEL B IN THE STUDEBAKER CORRIDOR
PORTION OF THE SAMPLE -EWING
DEVELOPMENT AREA
South Bend Redevelopment Commission
Regular Meeting - February 4, 1994
t
6. NEW BUSINESS (Cont.)
a. continued...
Mrs. Kolata explained that the appropriation
for the South Bend Central Development
Area, in the amount of $400,000, includes
the income to be generated by the Wayne
Street Parking Garage and by the retail space
in the Palais Royale, as well as money for
public works improvements and other
activities in the South Bend Central
Development Area. The income from the
parking garage and the Palais Royale retail
space will be used for operational expenses
for the facilities.
Ms. Auburn opened the Public Hearing for PUBLIC HEARING ON RESOLUTION NO. 1216
anyone who wished to speak. There was no
one who wished to speak. Ms. Auburn
closed the Public Hearing.
b. Commission approval reduested for
Resolution No. 1216.
Upon a motion by Mr. Donoho, seconded by
Mr. Piasecki and unanimously carried, the
Commission approved Resolution No. 1216 a
Supplemental Appropriation Resolution of the
City of South Bend Redevelopment
Commission (South Bend Central
Development Area) .
c. Public Hearine on Resolution No. 1222
confirming Resolution No. 1207, designating
the Sample -Ewing Development Area,
declaring the Sample -Ewing Development
Area to be blighted, approving a
Development Plan and conditions under
which relocation payments will be made, and
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South Bend Redevelopment Commission
7egular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
establishing an allocation area for purposes of
tax incremental financing.
Mrs. Kolata asked to enter the following
items into the record: 1) an original of the
Notice of Public Hearing of the Sample -
Ewing Development Area; 2) An affidavit of
Carol Smith, Advertising Manager of the
South Bend Tribune, that the Notice of
Hearing was published in that daily
newspaper on January 21, 1994; 3) An
affidavit of Lisa J. Andrysiak, Classified
Manager of the Tri- County News, that the
Notice of Hearing was published in that
weekly newspaper on January 21, 1994; 4) A
statement from Ann Kolata that a Statement
to Taxing Units located within the Sample -
Ewing Development Area was sent to the
taxing jurisdictions on January 31, 1994; 5)
A statement from Martha Lantz that on
January 21, 1994, she delivered a copy of the
Notice of Public Hearing to Kathy Orlowski
at the South Bend Park Department, Becky
Neese at the Building Department and Board
of Zoning Appeals, Sharon Roth at the Area
Plan Commission and Sandra Parmerlee at
the Board of Public Works; 6) An original
copy of the Area Plan Commission's
Resolution No. 118 which deals with the
subject of the Public Hearing; 7) A certified
copy of Resolution No. 2089 -94 of the
Common Council of the City of South Bend
relative to the subject of the Public Hearing;
8) A copy of Resolution No. 1207 of the
South Bend Redevelopment Commission;
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South Bend Redevelopment Commission
7egular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
9) As of 10:00 a.m. on February 4, 1994, 1
written remonstrance was received.
Ms. Auburn asked if there were any
objections to entering the items into the
record of the Public Hearing on Resolution
No. 1222. There were no objections and the
items were so entered.
Mr. Larry Magliozzi outlined the
Development Plan for the Sample -Ewing
Development Area. The plan is essentially
the same as was considered previously,
except that it incorporates at Exhibit B to the
Sample -Ewing Development Plan a list of
properties to be acquired in the Sample -
Ewing Development Area. When the
Redevelopment Commission previously
considered the Plan, the acquisition list was
considered at a later date as a proposed
amendment to the Plan.
The new redevelopment area combines two
existing redevelopment areas, the Studebaker
Corridor Development Area and the Rum
Village Industrial Park, with adjacent
residential areas to their east to create the
Sample -Ewing Development Area. The new
development area is approximately 2,400
acres. It is sub - divided into five sub -areas
for planning purposes: the Rum Village
Industrial District, the Studebaker Corridor,
the Indiana - Sample Industrial Corridor, Rum
Village Neighborhood, and the Southeast
Neighborhood.
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j South Bend Redevelopment Commission
regular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
continued...
Mr. Magliozzi pointed out that this area is in
what was the historical industrial and
residential heart of South Bend. The
Southeast Neighborhood and the Rum Village
Neighborhood are among the oldest
neighborhoods in South Bend. They
originally housed the employees of the
businesses located in the large industrial
areas. The commercial areas along Indiana
Avenue and Main and Michigan Streets
developed logically between the workers'
homes and their employment. With the
demise of Oliver Chilled Plow, Studebaker,
and White Farm, the neighborhoods declined
dramatically, especially the Southeast
kvoi Neighborhood. There has been a significant
drop in the number of housing units as well
as in the value of the housing.
With the decline in the neighborhoods, the
commercial area also declined. There are
many abandoned or under - utilized industrial
buildings in the Studebaker Corridor and the
Rum Village Industrial Park has never fully
developed to its potential because of unstable
soil conditions in the area.
The transportation network in the area,
consisting of the major arterials
Michigan/Main Streets, Sample Street,
Ewing, and State Road 23, is a unifying
factor. It will be key to making this area
attractive for redevelopment. There is also
excellent railroad coverage in this area,
although much of it has been abandoned.
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South Bend Redevelopment Commission
'Jegular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
Another advantage for the area is its
proximity to downtown South Bend.
Mr. Magliozzi noted that there are several
impediments to development in these areas:
1) large vacant, abandoned buildings in the
Studebaker Corridor which must be torn
down; 2) the muck in the Rum Village
Industrial Park which must be removed to
make that land usable; 3) accelerated
neighborhood decline in the Southeast
Neighborhood; 4) the beginning of
deterioration in the Rum Village
Neighborhood which needs to be stopped;
and 5) the deteriorated commercial areas
along Indiana Avenue in particular.
The development plan has a three -fold
purpose: 1) to establish a vision and strategy
for redevelopment, revitalization,
improvement, and preservation of this area;
2) to merge two existing redevelopment areas
and tax incremental allocation areas; and 3)
to establish a framework for a detailed
planning program that involves the residents,
the businesses, the civic and institutional
partners for each of the sub -areas mentioned
earlier.
We have outlined several strategies for
addressing the needs in this area. The public
sector must provide investment to be the
catalyst for redevelopment. Social,
economic, physical, and organizational issues
will be planned together. Public funds must
be leveraged to encourage private
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Cj South Bend Redevelopment Commission
qW `'pgular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
development. There must be development of
private sector leadership.
The objectives of this project are: to increase
the tax base, to increase investment in this
area, to strengthen two of the oldest
neighborhoods in South Bend, to create a
public private organizational network that
will help establish this area through time, to
establish strong, unifying and structural urban
design guidelines, to increase the level of
private investment, to retain and increase
jobs, and to generate funding sources.
Activities have been divided into two types:
kw fiscal and social/financial. The physical
activities include architectural, engineering,
survey, appraisal, soil testing, acquisition and
relocation, site clearance, site assemblage,
rehab, disposition, and public works. The
anticipated social/financial activities include
housing rehab, homeowner assistance,
business assistance, and job match assistance.
The five sub -areas have been subdivided into
sectors for planning purposes. The primary
goal for the north sector of the Southeast sub-
area is general redevelopment. There are
very few homes left and IVY Tech, Parkview
Juvenile Center, the Family and Children's
Center, and the relocated Dean Johnson Park
will dominate that sector. There has been
some acquisition in this area already and
Appendix B of the Development Plan lists the
properties presently targeted for acquisition.
The goal for the central sector of the
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South Bend Redevelopment Commission
qW Regular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
Southeast sub -area will be revitalization of
the neighborhood. There is a high
percentage of rental housing which is a major
cause of the residential deterioration. The
goal for the south sector will be
improvement, concentrating on urban design.
The South Bend Community School
Corporation plans to build a new Riley High
School in this sector.
The goal for three sectors of the Studebaker
Comdor /South Gateway sub -area will be
redevelopment. In the fourth sector we will
emphasize strengthening existing businesses.
The goal for the Rum Village Industrial
District sub -area will be demucking,
environmental testing, capitalizing on railroad
access and by -pass access to encourage
development, and improving Olive Road and
land use along Olive Road.
The goal for the Sample- Indiana Industrial
District will be to improve the edges where it
abuts residential areas or the downtown
through urban design and deal with the
environmental contamination that is likely
present there.
The goal for the Rum Village Neighborhood
sub -area is to stabilize it. Although this is
the better of the two neighborhoods, there are
some pockets of deterioration that should be
stopped before they spread.
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South Bend Redevelopment Commission
C egular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
Mrs. Kolata presented for the record the
following items concerning the evidence of
blight in the Sample -Ewing Development
Area: 1) the soils map from the Area Plan
Commission of St. Joseph County showing
the condition of soils in the Sample -Ewing
Development Area, including the muck land
in the Rum Village Industrial Park; 2) a chart
showing building occupancy in the former
Studebaker Complex as of May 1993 which
indicated that approximately 44% of the
building square footage was vacant. There
has been no significant change since May
1993; 3) a May 1993 memo from Matthew
Carpenter showing estimated land use in the
Studebaker Corridor Development Area.
Approximately 30 % was industrial, 25.5 %
was vacant land, 19.8 was right -of -way,
15.3 % was commercial, 6.6 % public or
semi - public, and 2.1 % residential. There has
been no significant change since that time; 4)
a summary of census information for census
tracts 28, 29, 30, and 34 showing the loss of
housing units and decline in population
between 1980 and 1990; 5) a report from the
Mayor's Housing Forum 1991 windshield
housing survey showing housing conditions in
the relevant census tracts; 6) a February 1993
memo from the Area Plan Commission
showing land use estimates in the Sample -
Ewing Development Area as a whole.
Approximately 30% of the area is industrial,
24.7% is vacant land, 19.4% is residential,
17.8% is right -of -way, 4.0 % is public /semi-
public, and 3.5 % commercial uses. The
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IL South Bend Redevelopment Commission
regular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
nearly 25 % vacant land is significant and a
clear evidence of blight.
Mrs. Kolata also presented for the record
copies of the Relocation Policy and the
Policy of Management of Acquired Property
which were approved by the Commission in
May 1991, incorporated into the Sample -
Ewing Development Plan by the resolutions
which declare the area a redevelopment area.
The Relocation Policy spells out how
relocation assistance is to be paid (following
the Uniform Relocation Assistance and Real
Property Acquisition Policy Act of 1970).
The Policy of Management of Acquired
Property spells out how the Commission will
handle property that it acquires when tenants
continue to live in the property for a period
of time.
Ms. Auburn accepted the items and
documentation presented by Mrs. Kolata
evidencing the existence of blight in the
Sample -Ewing Development Area into the
record.
Mrs. Kolata explained that by approving
Resolution No. 1222 the Commission
resolves the following:
1. That after considering the evidence
presented at its hearing February 4, 1994, the
Commission confirms the blight found and
declared by it in its Resolution No. 1207,
within the Sample -Ewing Development Area,
and adopts and confirms the Findings of Fact
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South Bend Redevelopment Commission
if �tgular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
for that Area, Exhibit A, attached to this
resolution and made a part hereof. Exhibit A
to Resolution No. 1222 reads of follows:
EXHIBIT A TO
RESOLUTION NO. 1222
SAMPLE -EWING DEVELOPMENT AREA
FINDING OF FACTS
FEBRUARY 4, 1994
The South Bend Redevelopment Commission
has conducted a study of the Sample -Ewing
Development Area (Area) and has found that
the Area is blighted to an extent that cannot
be corrected by regulatory processes or by
the ordinary operations of private enterprise
without resort to the Indiana Redevelopment
Law, IC 36- 7 -14 -1, et. seq., and that the
public health and welfare would be benefitted
by the acquisition and redevelopment of the
Area. Blight is found in the Area based on
the following facts:
A. In the portion of the Area previously
designated as the Rum Village Industrial
Park:
1. The portion of the Area previously
designated as the Rum Village Industrial
Park (Original) described at II. A. of the
second Whereas clause of Resolution No.
1207 is blighted due to the continued
existence of unstable soil conditions. The
high cost of removing and replacing the
unstable soil has been a deterrent to
private business operations that can not be
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South Bend Redevelopment Commission
Ugular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
overcome by the normal development
process.
2. The portion of the Area designated as the
Rum Village Industrial Park (Expansion
Area), described at II. B. of the second
Whereas clause of Resolution No. 1207 is
blighted due to lack of development,
cessation of growth, and obsolescence of
industrial facilities. Currently, this
portion of the Area contains a 360,000
square foot manufacturing building that is
not used for manufacturing and is only
used for storage. Numerous railroad
rights of way through the area create
problems for future development because
of difficult access to buildings and poor
internal road circulation. Deterrents to
development also include the unstable
soils found in the Expansion Area.
B. In the Portion of the Area previously
designated as the Studebaker Corridor
Development Area, described at I.C. , of
the second Whereas clause of Resolution
No. 1207:
Currently, 44.0% of the total building
floor area in the Studebaker Corridor
Plant Complex is vacant. Of the
remaining 56.0% of floor area that is
occupied, the majority is under utilized as
storage and warehousing. Although the
percentage of total building floor area that
is vacant is less than the 48.6% found
vacant in 1986, its significance is not
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South Bend Redevelopment Commission
a U egular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
continued...
reduced since large vacant structures such
as the Transwestern and Avanti Buildings
have been demolished by the
Redevelopment Commission since that
time.
2. Since 1986 when the Studebaker Corridor
Development Area was found to be
blighted and declared a redevelopment
area, over 40 structures have been
demolished by the Redevelopment
Commission. These demolitions have
included such large buildings as the
Transwestern and Avanti Buildings.
Significant costs were incurred in
1;4�v remediating environmental problems prior
to demolition of these structures. These
costs would have been prohibitive to most
private sector redevelopment efforts. It is
anticipated that additional environmental
remediation activities and the associated
costs will deter private redevelopment of
this Area.
Over one - quarter (25.5 %) of the 220
acres of land in the Studebaker Corridor
Redevelopment Area is vacant. In Sub -
Areas A, B, and C adjacent to the main
plant complex (as designated in the Plan
for the Studebaker Corridor Development
Area), 37.1 % of the land is currently
vacant.
4. As part of the ongoing efforts of
redevelopment in the Studebaker Corridor
Development Area, over 26 acres of land
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C, South Bend Redevelopment Commission
if 'Egular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
is available for new development. In
preparing these sites for disposition,
significant investment has been made by
the Commission in this area through
acquisition costs, relocation payments,
environmental remediation activities, and
demolition. Presently, five sites have
been sold. Capital improvements such as
sidewalks, curbs and streetlights are
needed in the area in order to improve
circulation and upgrade existing
inadequate infrastructure. Due to the
cost, the provision of such public
improvements will not occur solely
through the ordinary operations of private
enterprise.
C. In the portion of the Area designated as
Expansion Area No. 1, and described at
the fourth Whereas clause of Resolution
No. 1207:
1. In the period 1980 -1990 the United States
Bureau of Census data shows that
Expansion Area No. 1 (including Census
tracts 28, 29, 30, and most of 34), lost
more than 292 housing units, or 7.1 % of
the 1980 total.
2. Notwithstanding the scale of the loss of
housing units between 1980 and 1990,
residential vacancies increased from 275
to 384, an increase of more than 39% in
the census tracts comprising Expansion
Area No. 1.
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^ South Bend Redevelopment Commission
!regular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
3. In the period 1980 -1990, the population in
the census tracts comprising Expansion
Area No. 1 declined 11 %, or more than
one thousand persons. In 1980 the
population was over 10,400; by 1990 the
population had declined to under 9,300.
4. In 1980 the median value of owner
occupied housing units within Expansion
Area No. 1 was $16,500, or only 63.4%
of the City -wide median of $26,000. In
1990 the City median value increased to
$40,000, while the median value in
Expansion Area No. 1 only increased to
$26,000.
5. In 1991 a survey of the exterior condition
of all housing in the City of South Bend
was conducted. The survey classified
housing on a four segment scale which
ranged from "sound" (no apparent
deficiencies or needing only minor
repairs) to "substandard" (deteriorating or
dilapidated). For the city as a whole,
only about 1.5 % of all units were
classified as substandard. In the census
tracts comprising Expansion Area No. 1,
however, 4.6% of the housing units were
considered substandard, more than three
times greater than the city -wide
percentage. With only 8.3 % of the City's
housing supply, the census tracts
comprising Expansion Area No. 1 contain
about one -third of the City's substandard
structures.
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South Bend Redevelopment Commission
-7:egular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
6. Unstable soil conditions found in some
portions of the Expansion Area No. 1 are
a deterrent to private business
development.
D. In the entire Area:
1. Of the approximately 2,400 acres
included in the Area, 592.8 acres, or
24.7 % of the total land area is vacant.
2. Collectively, the Area shares several
negative physical factors that hinder
private redevelopment. These factors
include: unsuitable soil for development
in the Rum Village Industrial Park and
portions of Expansion Area No. 1;
obsolete industrial facilities in the
Studebaker Corridor and Expansion Area
No. 1; poor internal circulation in
portions of Rum Village, Studebaker
Corridor, and Expansion Area No. 1;
potential environmental contamination in
the Studebaker Corridor and portions of
Expansion Area No. 1.
3. The majority of the area is within South
Bend's Urban Enterprise Zone. A
requirement of distressed conditions must
be met for designation as an Urban
Enterprise Zone.
4. In addition to the fact that almost 25 % of
the 2,400 acres of land within the entire
Area is vacant, the findings within
Paragraphs A through D inclusive, above,
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South Bend Redevelopment Commission
t.:gular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
are all incorporated by reference as to
blight within the entire Area, inasmuch as
the Commission finds that blighting
influences from one part of the Area have
a substantial negative impact on other
parts of the Area and that blight within
any part of the Area is interrelated to a
substantial degree with the remainder of
the Area.
(Continuing on with what is resolved by
the Commission in approving Resolution
No. 1222) Point number 2 of Resolution
No. 1222 follows:
2. The Commission finds and determines
that the Development Plan for the
Sample -Ewing Development Area has as
its purpose, and is structured to achieve,
the elimination of blight, as evidenced by
the Finds of Fact, in the Sample -Ewing
Development Area.
3. The Commission finds and determines
that the properties proposed to be
acquired in the Sample -Ewing
Development Area are needed for and
will be useful in the implementation of
the Development Plan and the elimination
of blight in the Sample -Ewing
Development Area.
4. The Commission finds and determines
that it will be of public utility and benefit
to proceed with the Development Plan for
the Sample -Ewing Development Area, set
C_�W -22-
South Bend Redevelopment Commission
fgular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
forth in Resolution No. 1207, adopted by
the Commission on December 17, 1993,
and that the public health and welfare will
be benefitted by the acquisition and
redevelopment of the Sample -Ewing
Development Area, as contemplated by
the Development Plan for the Sample -
Ewing Development Area.
5. Resolution No. 1207 and the Sample -
Ewing Development Plan are hereby
confirmed.
6. This Resolution constitutes final action,
pursuant to IC 36- 7- 14- 17(c), by the
Commission determining the public utility
and benefit of the proposed project and
confirming Resolution No. 1207,
pertaining to the Sample -Ewing
Development Area.
7. The Secretary is directed to record this
resolution pursuant to the requirements of
IC 36- 7- 14- 17(c).
Ms. Auburn opened the Public Hearing for
whoever wished to speak.
JAMES MASTERS: Attorney on behalf of
Frank and Tina Polack who own property at
1010 S. Michigan Street, which is within the
area you seek to acquire. This is Mrs.
Polack here. These are her daughters,
Jacinta, Tina, Jan, Andrea, and Jocelyn.
Frank Polack is not here today. To be honest
with you, Frank is so upset about your efforts
-23-
PUBLIC HEARING ON RESOLUTION NO. 1222
South Bend Redevelopment Commission
CePlar Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
to take his house that, for reasons of health,
the family advised him not to attend today.
Before I talk about Mr. and Mrs. Polack's
house, in particular, I want to make a few
observations, having sat here and listened to
today's presentation. I found it, first of all,
curious that when Ms. Kolata went through
her litany of public notices that they gave for
this hearing, there's no indication that the
property owners, whose homes are going to
be in that area and who you seek to acquire,
were ever notified by mail of this hearing. I
know that my clients weren't notified by
mail. In fact, I dare say none of them were
ci6vi notified by mail. We were notified by mail
because I've been in litigation with the City
Attorney's office from your last resolution
and I had demanded a notice for today's
hearing. I dare say there'd be a few more
people here today if they actually got
personal notice of this hearing.
I did also find it curious that, of course, all
the public and government agencies got
notices of your efforts to acquire property in
the area.
The other issue that struck me is this: as the
Redevelopment Commission, your job is to
hear evidence in this hearing, and to hear
evidence from which you can make a
determination that the area is to be targeted,
and designated a redevelopment area, is
blighted. And that it is needed to be taken
for public utility and benefit. Now, you
Cam; -24-
South Bend Redevelopment Commission
Iegular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
heard Mrs. Kolata go through a litany of
recitations about housing and industry and
business. We have a lengthy resolution that
you are going to be asked to sign as
Commissioners. I guess I ask you this
bluntly: Do you feel comfortable that you
know all of the factual findings that you are
required to make today, that all of the factual
findings that the Redevelopment staff has so
carefully and so artfully put into this long
resolution, are the facts here to support it?
And can you justify making those decisions
or are you being simply asked to rubber -
stamp the Redevelopment staff's work in
acquisition of this land?
And I say that to you for this simple reason:
we're here talking to you about Mr. and Mrs.
Polack's home. The property at 1010 S.
Michigan Street has been their home for
some 20 years. It's also where Mr. Polack
has had his insurance agency for the last 20
years. His daughter Jocelyn took over the
agency in 1988. She continues to run the
family business there. Mr. and Mrs. Polack
still live in the home. Over the past 20 years
that they've lived there, they've put in over
$100,000 of improvements to the property.
Just within the last 4 or 5 years, they took
out a bank loan to put a new roof on the
building, acquired an empty lot to the north,
expanded their parking, knocked down a
dilapidated old garage that was on that lot,
took out some dead trees and bushes,
expanded and landscaped it, and had it for
-25-
South Bend Redevelopment Commission
'regular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
future expansion of the business office or
perhaps for living quarters.
This house is well maintained. It's unique. If
you drive north on South Michigan Street you
can't miss the Polack Agency home. There's
a beautiful garden there. I've known Frank
for some 15 years and Frank, it's one of his
joys in life to maintain that garden. There's
an American flag and a Polish flag that are
proudly displayed on that building. There's a
beautiful sign on that building. That house is
unique. The interior of that house is unique.
You could not replicate that house today at
any reasonable cost. And yet you are being
ci6wi asked today to take that house and bulldoze
it.
The question I have is why does the
Redevelopment staff insist on targeting a
growing, thriving business and take it for this
plan? You don't need that house for the
Sample -Ewing Development Plan. There are
other businesses on South Michigan Street
that have been excluded from the Plan. Even
with this talk of IVY Tech and the juvenile
facility, there are other properties along
South Michigan Street that have been
excluded. You don't need to take their house
to develop that Plan. And that house does
certainly not qualify as being blighted.
We're here today to ask you that when you
consider this proposed Resolution No. 1207,
to exclude Mr. and Mrs. Polack's property at
1010 S. Michigan Street from the acquisition
-26-
co South Bend Redevelopment Commission
�gular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
list. If you exclude their property from the
list, it's not going to impede the development
in the area. It will mean that you're not
taking Mr. and Mrs. Polack's property
against their will. And it will also mean that
you will avoid any possible challenges to
these proceedings, and the possibility of a
condemnation suit, down the road. This is
Mr. and Mrs. Polack's home. This is where
they raised their children; this is where their
grandchildren now come and play. This is
where they've conducted their business. This
is where their daughter now carries on the
family business. If you were in their place
and the government said they were going to
take your house away, wouldn't you put up a
fight? Mr. and Mrs. Polack strongly object
to you taking their home. And on their
behalf I ask you to consider excluding their
property from the acquisition list. Thank you
very much.
LINDA PATTELL: I reside at 2806 Hickory
Road, Mishawaka. I'd like to let everybody
know that the Polack family did not ask me
to speak at these proceedings today. I feel
that I represent myself and my grandmother
this morning. You see, at one time, in the
1930s, 1940s, 1950s and late 1960s, my
grandmother and her sister owned as many as
twelve apartment homes in the neighborhood,
as well as their own residences. And my
grandmother worked part time and was well
known in the neighborhood. I have many
fond childhood memories there and so it has
been very disturbing to witness the rapid
-27-
South Bend Redevelopment Commission
Regular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
deterioration of some of the neighborhood
that has taken place in the last few years. I
watched with great sadness the demolition of
my grandmother's own home a few years
ago. But along with my sadness came an
understanding that it was the right thing to do
at that time, for that home. The home had
fallen into a sad state of disrepair and had
become an eyesore.
The Polack's home, however, is an entirely
different story. The Polacks are true urban
pioneers, in my opinion. They have braved
the nightmare of urban decay in pursuit of
their own American Dream. A dream that,
at that time, was encouraged by cities all
across our country. Cities were saying,
"Come, refurbish homes in the inner city."
And that is exactly what the Polacks did.
What the Polacks have created, where they
are, is a desert bloom: an oasis in the midst
of what has become an urban desert. A non -
existent neighborhood. A neighborhood I
remember playing in as a child. And where
is their reward for this. They have a slim
hope of payment for the actual value of their
home. And I have to wonder if
compensation will also include compensation
for the landscaping around the home. It is
truly incredible. I can tell you that I know
this because I've landscaped four homes of
my own and two of friends of mine. I would
say that an easy estimate is $10,000 that they
have in the yard. And no one has even
talked about that.
-28-
South Bend Redevelopment Commission
'legular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
The residence in question sits as the edge of
the Parkview project and, if allowed to
remain, would serve as an example to
adolescents that you can accomplish almost
anything if you are motivated and creative as
the Polack family are.
I personally salute the Polacks for grasping
and preserving the last truly stately portion of
a once thriving neighborhood that my 94 year
old grandmother and I still fondly recall.
Thank you.
JOYCE BOALER: 1606 Hillsdale Road. I,
too, come today without the invitation or
request of the Polacks —in fact they were
praying that I wouldn't come. Because when
I come to speak at City meetings in favor of
something, it's always voted down. It's
inevitable. So I feel rather like a dark cloud
hovering in this room. And I have not
written anything down, today, to say, which
is very unusual for me. That's the way I like
to do things. However, I could not sit there
and think of their beautiful home being
destroyed without speaking out. This is a
travesty. This is a sin to even consider
destroying this home. And I listened to the
gentleman's presentation about how you
would bring businesses and residences into
that area if the IVY Tech did not appear.
Well, there you have a ready -made business
and residence. He spoke about the
infrastructure. The sidewalk in front of this
home is absolutely excellent —it's in beautiful
condition. Whereas, the person who owns
-29-
South Bend Redevelopment Commission
'4egular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
the lot to the north of theirs has done nothing
to that sidewalk. It has not been maintained,
which I think is sad. And I understand that
this person is a judge. I don't know the
name. I don't know whether acting or past.
But it seems to me that a person of that past
or current responsibility should have known
better than to have let that sidewalk fall into
disrepair. In the fact that the Polacks have
taken care of theirs so very well, is just
another small example of their sense of civic
pride.
The outside of the house, in itself, is
interesting, but the inside is exquisite. I have
been into many, many beautiful homes in
Europe. As you know I am English. Quite
honestly, this is a bit of Americana that
should not be destroyed. You should not
make a decision on this gorgeous place until
you go into it. It is breathtakingly elegant
inside! It really is. The workmanship in the
woodwork is just outstanding. And I urge
you not to make any decision on this. I urge
you to go, personally, and look to see it. I
have been to the historic walks that they have
in town and, really, there is nothing like it
that I have seen in town. There really is not.
This would not interfere with the juvenile
detention home in the slightest! I really think
that this is a property that should be saved, as
Tippecanoe Place and others were saved.
This is definitely well worth saving. Thank
YOU.
CW -30-
South Bend Redevelopment Commission
''egular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
BOB WOZNY: 51500 Stratton Court,
Granger. I am not here for the purpose of
the Polack's residence, but as a tax payer, I'd
just like to make two observations. One, I
agree that it is a beautiful home and they
have taken pride in maintaining it. The other
thing is that I think we're sending the wrong
message to people that want to put an
investment in a community, in a residence,
whether it's business or personal. If they
take the effort financially, they put the sweat
equity and dollars into a building, then we'll
turn around and potentially destroy that
investment. I think that's the wrong message
to send.
The other thing, we take selected facilities or
businesses or homes in the area and decided
not to raze them, then this is obviously one
that should be given some consideration.
JOCELYN POLACK: I'm now the owner of
the two businesses that are run out of my
mom and dad's home. My father has given
me a few pointers on what he would like to
have heard since he cannot be here with his
health. Owning two family businesses, I
remind myself of the most successful slogan
ever coined: the customer is always right. In
the situation as the one that is facing us
today, I feel that we, as tax payers, have a
right.
Every company realizes that it must
constantly invest in its own physical plant to
remain healthy and grow. South Bend is that
-31-
South Bend Redevelopment Commission
regular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
plant. And we, the people who live here, are
part of South Bend. We are all connected.
What affects one does affect the others. I
believe South Bend is worth fighting for, not
just for my family, but five families and
industry that live and continue to grow here
in South Bend.
The growing concentration of social service
institutions on South Michigan, a registered,
now, blighted area, as stated in recent title
commitment, that is travelled daily as an
artery on U.S. 31 South, into South Bend, is
truly quite a welcome mat to this street of
shame to a possible hall of fame. The
juvenile detention center is not only a
question of price, but also a question of the
ability of pay. Confusing the tax payers with
a blizzard of facts and figures has been a
technique that our local government is at its
best. The extreme excellence of your
accomplishments will be the passing of the
option tax. Numerous personnel in the
administration making these plans to relocate
us to not even live in the City. They have
fled to the suburbs. You cannot run South
Bend by the people who do not live here in
the city. South Bend will not be saved by the
people who feel too condemned to live here,
who can hardly wait to move to Mishawaka.
South Bend will be saved by people who like
it here. The people who prefer the
neighborhood stores, activities at the Morris
Civic, to eat in nice restaurants and not
worry about the education of their own
children.
-32-
South Bend Redevelopment Commission
if regular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
Now, a well-timed letter, received over the
Memorial Day weekend, stating that the City
of South Bend Redevelopment Commission is
interested in acquiring your property and they
will begin surveying immediately. Not
wanting to burden the laboring tax payers to
underwrite the revitalization, no abatements
or favors were solicited to preserve the
character and dignity of my parents home.
Why, when there are so many empty lots in
this county, why our property? I, a tax
payer, am paying you to take my business
and my family's home away.
Home ownership is good for all of us. It
fosters a sense of caring, commitment, and
responsibility toward a community. It
enables families to build personal assets for
the future. "In order for us to do a good job
for you and your neighbors, you need to let
us know how we're doing. So please call us.
We want to hear from you. Working
together we can make all of our
neighborhoods a great place to live, work,
and play." And that was written by your
boss, Mayor Kernan. My parents' home, our
family business, must not be torn down. If
their home and all involved can not be
resolved on agreeable terms, we will solicit
and garner public support by all available
means possible. We need your help. We're
not denying that. But you also need us. We
are your tax paying customers. And we are
your future sitting here. Thank you.
IL -33-
South Bend Redevelopment Commission
regular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
TINA POLACK: 1010 S. Michigan. What I
can't understand is, if you tell me that my
area is blighted, what do you do? You go
around and pick and choose who goes, who
stays? You picked Transmission. They're
staying. They've already reconstructed. The
church, I'm sure, is staying. The Feed and
Seed on Broadway and Michigan is staying.
How did they get to stay? They're in the
blighted area, aren't they? Or was there a
fence put up between these places where
they're not blighted? Can you explain that to
me? Why do you want my property? Any
of you. Tell me. If you were in my shoes
and I was sitting behind that desk, you'd
ci6so� wonder, too, I'm sure. Now you answer my
questions. Tell me. Why? What's there
about my property that you want?
TINA DEKA: I'm here for two reasons.
Because of my family. I, too, live on
Michigan Street. 3404 S. Michigan Street.
Further south of my parents. I was raised in
this house at 1010 S. Michigan Street and
never in my dreams did I think I would buy
another house on South Michigan Street, but
I ended up there. I love my home. It's a
main artery into the city of South Bend. We
get a lot of traffic down there, especially with
the Notre Dame games and a lot of out of
town people. But take a drive down South
Michigan Street. This is supposed to be a
great impression of South Bend. You go
down a way and there's The Torch, the Kitty
Kat, two 24 -hour porno shops, the homeless
shelter, Ramona's, Hope Rescue Mission.
-34-
South Bend Redevelopment Commission
'tegular Meeting - February 4, 1994
Y
6. NEW BUSINESS (Cont.)
c. continued...
What kind of impression is this for people
coming into our city? And here you want to
build a detention center there. You know, I
don't think it's very impressive at all. That's
just my opinion. I plan to stay there, but
seeing what's going up on Michigan Street, I
don't like it. I hope to make a difference, to
try to keep some of your future plans that
you think are improving the city and they're
not. It's chasing people away. I don't
expect any more business... How can
business be attracted to some of these things
that are on Michigan Street and some of the
future things you want to put up there?
That's all I'd like to say.
JACINTA WIELGOS: I'm another daughter
of Justine and Frank. I'd like to add to
something my sister brought up. I just think
it would be interesting for you to know that
on the Notre Dame weekends, the amount of
traffic, are you even aware of the traffic that
comes down that way? And the impression
that they might have coming into this city
what's already existing there? But isn't it
something that when we are out in the back
hanging clothes, working in the yard, that all
of a sudden some car will stop along the
way, in front of the house, taking pictures of
our home and the flowers. People are
actually standing on the side lot commenting
on how beautiful it is and what a beautiful
place it is on entering South Bend to see
something like it. That there's still
something left like it. And it's unusual that
people take the time, I mean they really must
-35-
South Bend Redevelopment Commission
'Zegular Meeting - February 4, 1994
f
6. NEW BUSINESS (Cont.)
c. continued...
want to take the time to do this, to go out of
their way. And to just enjoy it. You don't
see that any more. And I think that's
something you just need to know also. Come
by the house, in the spring, in the fall. How
well kept up it is. And what an honor it is to
live there. And for you people.... We're
keeping it up, we're making an impression,
we're making a statement —we're proud to be
there, we're proud of South Bend, and we're
staying. And you're taking that away from
us. Why? Why? As my sister mentioned,
with these other businesses, how are they
allowed to stay there? Is Real Services in the
blighted area? Are they a blighted place
then? How'd you come to pick and choose
these places? There's plenty of area besides
that section there that you can go around.
Answer our questions. This is what it is all
about. This is all we ask.
Ms. Auburn asked if there was anyone else
who wished to be heard. There was no one
else who wished to speak. Ms. Auburn
closed the public hearing.
Ms. Auburn recommended removing the
Polack property from the acquisition list of
the Development Plan in order that the plan
could be reviewed, further, to see if the plan
can move forward without the Polack
property. She agreed that the Commission
does not want to send the message that it is
not worthwhile to invest in property and
remain in South Bend.
.. -36-
South Bend Redevelopment Commission
if regular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
Mr. Sharp agreed that the Polacks are doing
in the community exactly what the
Commission likes to see families and
businesses do— investing in property and
remaining in the City of South Bend.
Mrs. Kolata responded to some of the
questions asked by the Polacks. The
condition of the Polack's house was not the
reason it was included on the acquisition list.
The finding of blight is for the area as a
whole. Not all properties in the blighted area
are blighted. The purpose of the
redevelopment plan is to redevelop the area
as a whole.
Mrs. Kolata responded to the question of why
some businesses in the area were on the
acquisition list and others were not.
Properties were included on the list for the
purpose of assembling developable land.
Whe you are assembling land for
developmeent, you do not leave "donut-
holes". We only included properties where
we want to assemble a parcel of land for
development. We did not include any
businesses on Sample Street. Nor are we
taking any properties on the north side of
Broadway. There are other viable businesses
along Michigan Street which are on the
acquisition list.
Mrs. Kolata noted that if the Commission
chooses to remove the Polack property from
the acquisition list, it must consider the
overall impact on the proposed projects for
-37-
South Bend Redevelopment Commission
Ce,gular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
that site. We will have to see if the
Parkview project can be accommodated
without this property.
Mrs. Kolata also responded to Mr. Masters'
charge that property owners were not notified
of the Public Hearing, but public agencies
were notified. We followed the state law to
the letter. There is no requirement to notify
property owners in the area.
Ms. Auburn noted that the interest of the
juvenile center and the interest of IVY Tech
fit well with the Commission's overall plan.
The Commission will not guarantee that the
Polack property will not be put on the agenda
for acquisition at a later time.
Mrs. Polack was concerned that this action
was only putting them off temporarily. Ms.
Auburn expressed the Commission's intent to
act in good faith, but would not promise that
the development and the plan could be
achieved without the Polack property. If the
Polack property was taken off the acquisition
list today, any action to put the property back
on the acquisition list would require an
amendment to the Development Plan and
another Public Hearing.
Mr. Masters inquired how there could be any
"plans" for development of this land when
there are no signed contracts or deeds
between the City of South Bend and St.
Joseph County for this property.
No
South Bend Redevelopment Commission
Cegular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
c. continued...
Mrs. Kolata responded that the Plan is not
specific to Parkview and IVY Tech. The
Plan is specific to having a general concept
for the area for institutional use and for the
area's redevelopment.
Jon Hunt, Director of Community &
Economic Development for the City of South
Bend, noted that the key to solving this
dilemma is to ask Parkview to provide a site
plan quickly that will show its proposed
development of the area in question. What
has been seen so far is conceptual plans.
Ci All evidence and testimony entered of record
at this public hearing can be found in the
public hearing file labelled "Sample -Ewing
Development Area Public Hearing February
4, 1994" (in the office of the Redevelopment
Commission, 1200 County -City Building,
South Bend, Indiana).
d. Commission approval requested for
Resolution No. 1222.
Upon a motion by Mr. Piasecki, seconded by
Mr. Sharp and unanimously carried, the
Commission approved Resolution No. 1222,
with the modification that Resolution No.
1207 and the Sample -Ewing Development
Plan be modified by deleting from the
acquisition list found at Exhibit B of the
Sample -Ewing Development Plan, the
properties owned by Justine and Frank
Polack.
-39-
COMMISSION APPROVED RESOLUTION NO.
1222, WITH THE MODIFICATION THAT
RESOLUTION NO. 1207 BE MODIFIED BY
DELETING FROM THE ACQUISITION LIST
THE PROPERTIES OWNED BY JUSTINE AND
FRANK POLACK
South Bend Redevelopment Commission
.egular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
The Commission recessed at 11:22 a.m. and
reconvened at 11:46 a.m.
Mrs. Kolata asked permission to consider item
6.j. at this time. There was no objection and item
6.j. was moved up on the agenda.
j. Commission approval requested for
Resolution No. 1226 =roving an application
for real property tax deduction for property
located at Lot #4, Crossroads Industrial
Complex in the Airport Economic
Development Area. (M /W Partnership)
Mr. Inks read the staff report on the project.
M/W Partnership (dba: Corporate Services,
Inc.) is in the business of creating and
printing mailing lists and labels, laser
printing of letters, Certificates of
Achievement, etc., and the ultimate
fulfillment and mailing or shipping associated
with same. Their project calls for the
construction of a 20,000 square foot complex
on 5.4 acres on Cleveland Road just west of
phase 5 of the Airport Industrial Park. The
building will allow the company to grow in
both sales and employee base. The
efficiencies gained by the new facility will
enable the company to become more
competitive in the marketplace. The total
projected cost of the building is estimated to
be $485,000.
The petitioner has not been granted any
previous tax abatement. The property is
properly zoned for the proposed use. The
property is not located in an area presently
designated as a Tax Abatement Impact Area,
„� -40-
C South Bend Redevelopment Commission
Cegular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
j . continued...
but is located in the Airport Economic
Development Area, a Tax Incremental
Financing Allocation Area. The petitioner
meets the qualifications for a six year real
property tax abatement under the tax
abatement ordinance.
Based on a project cost of $485,000, without
abatement, the amount of taxes to be paid is
estimated to be $136,042 over the six year
period. With abatement, the taxes are
estimated to be $56,230. Therefore, the total
amount to be abated over the six year period
is estimate to be $79,811.
Upon a motion by Mr. Donoho, seconded by
Mr. Sharp and unanimously carried, the
Commission approved Resolution No. 1226
approving an application for real property tax
deduction for property located at Lot #4,
Crossroads Industrial Complex, in the
Airport Economic Development Area. (M /W
Partnership)
e. Commission approval requested for
Resolution No. 1221 approving an application
for real property tax deduction for property
located at 210 South Michigan Street in the
South Bend Central Development Area. (One
Plaza Place Associates)
Mr. Inks read the staff report on the project.
One Plaza Place Associates is extensively
renovating the 30,000 square foot Plaza
Building. Renovations include mechanical
and electrical improvements, Americans with
-41-
COMMISSION APPROVED RESOLUTION NO.
1226 APPROVING AN APPLICATION FOR
REAL PROPERTY TAX DEDUCTION FOR
PROPERTY LOCATED AT LOT #4,
CROSSROADS INDUSTRIAL COMPLEX, IN
THE AIRPORT ECONOMIC DEVELOPMENT
AREA (M /W PARTNERSHIP)
South Bend Redevelopment Commission
'iegular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
e. continued...
Disabilities Act compliance, fire and building
code compliance, and tenant improvements.
The total project cost is estimated at
$525,000.
The project will not create any permanent
new jobs, as a property management firm
will be hired to manage the building.
However, a series of construction related jobs
will be created during the renovation process.
Also, it is estimated that the businesses
intending to lease space in this building have,
combined, at least 30 permanent employees
with annual payrolls in excess of $500,000.
The petitioner has not been granted any
previous tax abatement consideration. The
property is properly zoned for the proposed
use. The property is located in an area
presently designated as a Tax Abatement
Impact Area. The property is also located in
the South Bend Central Development Area,
which is a Tax Incremental Financing
Allocation Area. The petitioner meets the
qualifications for a ten year real property tax
abatement under the tax abatement ordinance.
Based on a project cost of $525,000, without
abatement, the taxes on the project are
estimated to be approximately $251,921 over
the ten year period. With abatement, the
taxes are estimated to be approximately
$127,220. Therefore, the cost of the
abatement is approximately $124,701 over
the ten year period.
-42-
South Bend Redevelopment Commission
°.egular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
e. continued...
Upon a motion by Mr. Sharp, seconded by
Mr. Donoho and unanimously carried, the
Commission approved Resolution No. 1221
approving an application for real property tax
deduction for property located at 210 South
Michigan Street in the South Bend Central
Development Area. (One Plaza Place
Associates)
f. Commission approval requested for
Resolution No. 1223 relating �quisition of
property within the Sample -Ewing
Development Area by Eminent Domain.
Mrs. Kolata explained that Resolution No.
citwi 1223 sets the offering price for 35 properties
in the Sample -Ewing Development Area.
This would authorize the sending of purchase
offers, with the right of eminent domain if
agreement cannot be reached on a purchase
price.
Upon a motion by Mr. Donoho, seconded by
Mr. Sharp and unanimously carried, the
Commission approved Resolution No. 1223
relating to acquisition of property with the
Sample -Ewing Development Area by Eminent
Domain.
g. Staff report on acquisition of property in the
Sample -Ewing Development Area.
Mrs. Kolata noted that we have received nine
counter offers that the staff recommends
accepting. The first is from Mabel Hall for a
vacant lot located at 405 Wenger Street. The
-43-
COMMISSION APPROVED RESOLUTION NO.
1221 APPROVING AN APPLICATION FOR
REAL PROPERTY TAX DEDUCTION FOR
PROPERTY LOCATED AT 210 SOUTH
MICHIGAN STREET IN THE SOUTH BEND
CENTRAL DEVELOPMENT AREA (ONE
PLAZA PLACE ASSOCIATES)
COMMISSION APPROVED RESOLUTION NO.
1223 RELATING TO ACQUISITION OF
PROPERTY WITH THE SAMPLE -EWING
DEVELOPMENT AREA BY EMINENT
DOMAIN
South Bend Redevelopment Commission
Cpgular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
g. continued...
original purchase offer was for $1,038.00.
The counter offer is in the amount of
$1,401.00. The staff recommends accepting
the counter offer.
Upon a motion by Mr. Piasecki, seconded by COMMISSION ACCEPTED THE COUNTER
Mr. Sharp and unanimously carried, the OFFER IN THE AMOUNT OF $1,401.00 FROM
Commission accepted the counter offer in the MABEL HALL FOR PROPERTY LOCATED AT
amount of $1,401.00 from Mabel Hall for 405 WENGER
property located at 405 Wenger.
The next is from Nancie Stokes for a single
family residence located at 409 E. Paris.
The original purchase offer was for
$16,000.00. The counter offer is in the
ci4w� amount of $18,000. The staff recommends
accepting the counter offer.
Upon a motion by Mr. Piasecki, seconded by COMMISSION ACCEPTED THE COUNTER
Mr. Sharp and unanimously carried, the OFFER IN THE AMOUNT OF $18,000.00 FROM
Commission accepted the counter offer in the NANCIE STOKES FOR PROPERTY LOCATED
amount of $18,000.00 from Nancie Stokes AT 409 E. PARIS
for property located at 409 E. Paris.
The next is from Lenna De7arnett for a single
family residence located at 401 E. Keasey.
The original purchase offer was for
$18,000.00. The counter offer is in the
amount of $19,500. The staff recommends
accepting the counter offer.
Upon a motion by Mr. Piasecki, seconded by COMMISSION APPROVED THE COUNTER
Mr. Sharp and unanimously carried, the OFFER IN THE AMOUNT OF $19,500.00 FROM
Commission approved the counter offer in the LENNA DEJARNETT FOR PROPERTY
amount of $19,500.00 from Lenna De7arnett LOCATED AT 401 E. KEASEY
for property located at 401 E. Keasey.
-44-
South Bend Redevelopment Commission
Le Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
g. continued...
The next is from Frederick and Josephine
Middleton for a single family residence
located at 216 E. Keasey. The original
purchase offer was for $16,250.00. The
counter offer is in the amount of $18,500.00.
The staff recommends accepting the counter
offer.
Upon a motion by Mr. Piasecki, seconded by
Mr. Sharp and unanimously carried, the
Commission approved the counter offer from
Frederick and Josephine Middleton in the
amount of $18,500.00 for property located at
216 E. Keasey.
The next is from Opal Nesbitt for a vacant
lot located at 114 E. Ohio Street. The
original purchase offer was for $838.00. The
counter offer is in the amount of $1,500.00.
The staff recommends accepting the counter
offer.
COMMISSION APPROVED THE COUNTER
OFFER FROM FREDERICK AND JOSEPHINE
MIDDLETON IN THE AMOUNT OF $18,500.00
FOR PROPERTY LOCATED AT 216 E.
KEASEY
Upon a motion by Mr. Piasecki, seconded by COMMISSION ACCEPTED THE COUNTER
Mr. Sharp and unanimously carried, the OFFER FROM OPAL NESBITT IN THE
Commission accepted the counter offer from AMOUNT OF $1,500.000 FOR PROPERTY
Opal Nesbitt in the amount of $1,500.000 for LOCATED AT 114 E. OHIO STREET
property located at 114 E. Ohio Street.
The next is from Beatrice Jenkins for a single
family residence located at 117 E.
Pennsylvania. The original purchase offer
was for $17,150.00. The counter offer is in
the amount of $18,650.00. The staff
recommends accepting the counter offer.
-45-
South Bend Redevelopment Commission
AW °regular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
g. continued...
Upon a motion by Mr. Piasecki, seconded by COMMISSION ACCEPTED THE COUNTER
Mr. Sharp and unanimously carried, the OFFER FROM BEATRICE JENKINS IN THE
Commission accepted the counter offer from AMOUNT OF $18,650.00 FOR PROPERTY
Beatrice Jenkins in the amount of $18,650.00 LOCATED AT 117 E. PENNSYLVANIA
for property located at 117 E. Pennsylvania.
The next is from Wilbur Lacy for a vacant
lot located in the 1000 block of Carroll. The
original purchase offer was for $200.00. The
counter offer is in the amount of $500.00.
The staff recommends accepting the counter
offer.
Upon a motion by Mr. Piasecki, seconded by COMMISSION ACCEPTED THE COUNTER
Mr. Sharp and unanimously carried, the OFFER FROM WILBUR LACY IN THE
Commission accepted the counter offer from AMOUNT OF $500.00 FOR PROPERTY
Wilbur Lacy in the amount of $500.00 for LOCATED IN THE 1000 BLOCK OF CARROLL
property located in the 1000 block of Carroll.
The next is from Reginald Ruffin for a single
family residence located at 311 E. Keasey
Street. The original purchase offer was for
$27,050. The counter offer is in the amount
of $29,550.00. The staff recommends
accepting the counter offer.
Upon a motion by Mr. Piasecki, seconded by COMMISSION ACCEPTED THE COUNTER
Mr. Sharp and unanimously carried, the OFFER FROM REGINALD RUFFIN IN THE
Commission accepted the counter offer from AMOUNT OF $29,550.00 FOR PROPERTY
Reginald Ruffin in the amount of $29,550.00 LOCATED AT 311 E. KEASEY STREET
for property located at 311 E. Keasey Street.
The last one is from S. E. Price for a rental
occupied residence located at 139 E.
Pennsylvania. The original purchase offer
was for $6,000.00. The counter offer is in
-46-
South Bend Redevelopment Commission
If regular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
g. continued...
the amount of $9,000.00. The staff
recommends accepting the counter offer.
Upon a motion by Mr. Piasecki, seconded by COMMISSION APPROVED THE COUNTER
Mr. Sharp and unanimously carried, the OFFER FROM S. E. PRICE IN THE AMOUNT
Commission approved the counter offer from OF $9,000.00 FOR PROPERTY LOCATED AT
S. E. Price in the amount of $9,000.00 for 139 E. PENNSYLVANIA
property located at 139 E. Pennsylvania.
h. Commission approval requested for Proposals
for appraisal services in the Sample -Ewing
Development Area.
Item 6.h. was tabled. ITEM 6.H. WAS TABLED
C%40111 i. Commission Mroval requested for
Resolution No. 1224 determining to pay
certain expenses incurred for local public
improvements in or serving the Sample -
Ewing Allocation Area (South Bend
Allocation Area No. 8) from the Sample -
Ewing Allocation Area (South Bend
Allocation Area No. 8) Special Fund
Mrs. Kolata explained that Resolution No.
1224 is a preliminary resolution setting a
public hearing on February 18, 1994 at 10:00
a.m. to appropriate $750,000 of funds for the
Sample -Ewing Allocation Area. When we
put together the appropriation of $1,800,000
approved a few weeks ago, we had not
received the December tax settlement. The
tax settlement was larger than we had
estimated.
-47-
South Bend Redevelopment Commission
7pgular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
continued...
Upon a motion by Mr. Donoho, seconded by
COMMISSION APPROVED RESOLUTION NO.
Mr. Piasecki and unanimously carried, the
1224 DETERMINING TO PAY CERTAIN
Commission approved Resolution No. 1224
EXPENSES INCURRED FOR LOCAL PUBLIC
determining to pay certain expenses incurred
IMPROVEMENTS IN OR SERVING THE
SAMPLE -EWING ALLOCATION AREA
for local public improvements in or serving
(SOUTH BEND ALLOCATION AREA NO. 8)
the Sample -Ewing Allocation Area (South
FROM THE SAMPLE -EWING ALLOCATION
Bend Allocation Area No. 8) from the
AREA (SOUTH BEND ALLOCATION AREA
Sample -Ewing Allocation Area (South Bend
NO. 8) SPECIAL FUND
Allocation Area No. 8) Special Fund.
k. Commission ratification requested for
Proposal from EIS Environmental Engineers
for a Phase I Environmental Inspection of
property located in the South Bend Central
Development Area.
Mrs. Kolata explained that at its January 21
meeting the Commission authorized sending a
purchase offer to Design Packaging. That
offer was conditioned on the environmental
inspection. We contacted two environmental
firms who each bid the same amount. We
selected EIS for an inspection because there
fee was an hourly rate not to exceed $1,500,
while the other fee was a flat fee of $1, 500.
EIS has begun the work and we would like
the Commission to ratify their selection.
Upon a motion by Mr. Piasecki, seconded by COMMISSION RATIFIED THE PROPOSAL
Mr. Sharp and unanimously carried, the FROM EIS ENVIRONMENTAL ENGINEERS
Commission ratified the Proposal from EIS FOR A PHASE I ENVIRONMENTAL
Environmental Engineers for a Phase I INSPECTION OF PROPERTY LOCATED AT
600 N. NILES AVENUE IN THE SOUTH BEND
Environmental Inspection of property located CENTRAL DEVELOPMENT AREA
at 600 N. Niles Avenue in the South Bend
Central Development Area.
'W4 -48-
South Bend Redevelopment Commission
�egular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
Mrs. Kolata asked permission to add items 6.1.,
6.m., and 6. n. to the agenda. There was no
objection and the items were added.
1. Commission approval requested for the use of
the St. Joseph/Wayne Street Parking Garage
for the World's Largest Garage Sale on June
4. 1994.
Mrs. Kolata explained that Community
Affairs has asked to use the garage for setup
on Friday, June 3 from 5:00 p.m. to 10:00
p.m. and then to hold the garage sale on June
4 from 5:00 a. m. to 5:00 p.m. They have
worked with Ampco Parking and Ken Allen
of the State Theater on details.
Upon a motion by Mr. Piasecki, seconded by
Mr. Donoho and unanimously carried, the
Commission approved the use of the St.
Joseph/Wayne Street Parking Garage by
Community Affairs for the World's Largest
Garage Sale on June 3 -4, 1994.
m. Commission approval requested for Grant
and Dedication for Public Use. ( Nimtz
Parkway)
Mrs. Kolata explained that a portion of
Nimtz Parkway is on land that was donated
by the Airport Authority. It needs to be
donated as right -of -way.
Upon a motion by Mr. Donoho, seconded by
Mr. Piasecki and unanimously carried, the
Commission approved the Grant and
Dedication for Public Use.
IC Ar NhWI
-49-
COMMISSION APPROVED THE USE OF THE
ST. JOSEPH /WAYNE STREET PARKING
GARAGE BY COMMUNITY AFFAIRS FOR
THE WORLD'S LARGEST GARAGE SALE ON
JUNE 3 -4, 1994
COMMISSION APPROVED THE GRANT AND
DEDICATION FOR PUBLIC USE
r South Bend Redevelopment Commission
'egular Meeting - February 4, 1994
6. NEW BUSINESS (Cont.)
n. Commission approval requested for
Amendment to Contract for Sale of Land
with Trammell Crow.
Mrs. Kolata noted that under the terms of
their proposal, Trammell Crow was to
provide financing and pre - leasing information
by dates in February and early March. They
have sent a letter indicating that they are
working with tenants, but leasing is going
slower than expected. They still feel strongly
about their time and resource commitment to
this project and would like an additional six
months to provide these pieces of
information.
Upon a motion by Mr. Sharp, seconded by
Ic Mr. Piasecki and unanimously carried, the
Commission approved the Amendment to
Contract for Sale of Land with Trammell
Crow.
7. PROGRESS REPORTS
There were no Progress Reports.
8. NEXT COMMISSION MEETING
The next Regular Meeting of the Commission is
scheduled for February 18, 1994 at 10:00 a.m.
9. ADJOURNMENT
There being no further business to come before
the Redevelopment Commission, Mr. Donoho
made a motion that the meeting be adjourned.
Mr. Piasecki seconded the motion and the
meeting was adjourned at 12:30 p.m.
Awl
,� -50-
COMMISSION APPROVED THE AMENDMENT
TO CONTRACT FOR SALE OF LAND WITH
TRAMMEL CROW
PROGRESS REPORTS
NEXT COMMISSION MEETING
ADJOURNMENT
South Bend Redevelopment Commission
";.l. Meeting - February 4, 1994
C
,L /t' ALAdl�
Paula N. Auburn, President
f
-51-
Ann E. Kolata, Director