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HomeMy WebLinkAboutRM 09-02-94e SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING September 2, 1994 10:00 a.m. Presiding: Paula N. Auburn President 1. 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 Mr. Philip Faccenda Legal Counsel: Redevelopment Staff. Business Assistant Staff. Bureau of Housing Staff. Media: Ms. Jenny Pitts Manier Mrs. Ann Kolata, Director Mrs. Cheryl Phipps, Recording Secretary Mr. Donald Inks, Director Ms. Mary Richmond Mr. Thom Howell, U -93 Mr. Donald Porter, South Bend Tribune Others: Mr. Carter Wolf, Center City Associates Mr. John Broden, City Attorney's Office Mr. Cary Levin, South Bend Scrap Mr. Michael Deam, Char King Mr. Michael Miles, Miles Distributing Mr. John Peddycord Mr. Earl Hoff, AE Goetze Mr. Richard Monagle, AE Goetze 2. APPROVAL OF MINUTES a. Approval of the Minutes of the Regular Meeting of Friday, August 19, 1994. -1- 2. APPROVAL OF MINUTES (Cont.) a. continued... Upon a motion by Mr. Sharp, seconded by Mr. Donoho and unanimously carried, the Commission approved the Minutes of the Regular Meeting of Friday, August 19, 1994. 3. APPROVAL OF CLAIMS CONMUSSION APPROVED THE ME4UTES OF THE REGULAR MEETING OF FRIDAY, AUGUST 19, 1994 Redevelopment Commission Claims submitted September 2, 1994, for approval. ADMIN 1994 (212) DON FEWELL TRI- COUNTY NEWS LEERY /CRIPE ARCHITECTS P.C. WATTERUD INC. BAKER & DANIELS JOHN MARCH - PETTY CASH UPS HISTORIC LANDMARKS FOUNDATION R.J.'S EXPRESSO SHOPPE SOUTH BEND TRIBUNE VISA / NBD SKOKIE BANK BILLIE'S CATERING INC. AIRPORT TIF REVENUE (3241 INDIANA DEPT OF TRANS TOLL ROAD DIV SAMPLE - EWING DEVELOPMENT AREA (414) TROYER GROUP INC. YORK TITLE & ESCROW THOMAS GENERAL CONSTRUCTION UNIVERSAL PAINTING CO. INDIANA MICHIGAN POWER CO. NORTHERN INDIANA PUBLIC SERVICE CO. -2- $250.00 $38.91 $2,074.05 $486.60 $327.00 $91.08 $18.00 $25.00 $113.80 $16.58 $7.23 $55.55 $30,166.00 $468.00 $1,050.00 $280.00 $22,492.00 $66.80 $37.53 South Bend Redevelopment Commission Loo Regular Meeting - September 2, 1994 3. APPROVAL OF CLAIMS (Cont.) SAMPLE -EWING DEVELOPMENT AREA CLERK ST.JOSEPH CIRCUIT CT. $199,500.00 ST. JOSEPH COUNTY TREASURER $443.61 PEIRCE & ASSOCIATES $3,200.00 ALEX AND MARY GERSCHOFFER $3,400.00 WILBUR & ESSIE L LACY AND ST. JOE MED CTR $1,152.84 ALEX & MARY GERSCHOFFER & PROPERTY MGT SRV $2,700.00 DEBRA YOUNG $803.50 CELESTA ROSS $12,703.55 S.B.C.D.A. T.I.F. GENERAL ACCOUNT (420 WALKER PARKING CONSULTANTS $5,497.50 AMERITECH $68.40 AT & T $8.01 HOWARD PARK HARDWARE $38.19 INDIANA MICHIGAN POWER CO. $656.77 NORTHERN INDIANA PUBLIC SERVICE CO. $27.90 REAL ESTATE MANAGEMENT CORP. $1,232.52 SOUTH BEND WATER WORKS $271.26 SUPERIOR WASTE SYSTEMS $58.00 LAWSON- FISHER ASSOCIATES P.0 $2,297.00 JEROME E. MICHAELS, MAI $2,000.00 MCCLOSKEY -PITTS & ASSOCIATES INC. $2,000.00 PEIRCE & ASSOCIATES $100.00 ENVIROCORP $321.00 HILL'S TRUE VALUE $12.84 GATES CHEVY WORLD $900.00 Upon a motion by Mr. Donoho, seconded by Mr. COMMISSION APPROVED THE CLAIMS Piasecki and unanimously carried, the SUBMITTED SEPTEMBER 2, 1994 Commission approved the Claims submitted September 2, 1994. 4. COMMUNICATIONS There were no Communications. THERE WERE NO COMMUNICATIONS -3- South Bend Redevelopment Commission Regular Meeting - September 2, 1994 5. OLD BUSINESS a. Commission approval requested for Resolution No. 1277 approving an application for personal property tax deduction for property located at 1145- 1305 Prairie Avenue in the Sample -Ewing Development Area. (South Bend Scrap and Processing Division) Mr. Inks informed the Commission that the lawsuit that was holding up renewal of South Bend Scrap's license has been resolved and a new license has been issued. South Bend Scrap & Processing is a manufacturer of notched bar, ring, nugget and shot ingots through smelting and processing, and is a recycler of ferrous and nonferrous metals into reusable materials through sorting, torching, breaking, shearing and bailing. Their project calls for the purchase and installation of 2 hydraulic pedestal cranes and a wire line. The cranes have a reach of 130 feet radius and will speed up the feeding of the processing equipment and will reduce the noise that is currently associated with the feeding line. The wire will remove the insulation from copper and aluminum wire and then chop the wire to required sizes. This job is currently being done out of state. The projected costs are $465,000 for each crane and $350,000 for the wire line, with total project costs estimated at $1,280,000. The project will create sixteen new, permanent jobs within the first year, representing a new annual payroll of -4- South Bend Redevelopment Commission Regular Meeting - September 2, 1994 5. OLD BUSINESS (Cont.) a. continued... $380,240 and will maintain one hundred thirty existing, permanent full-time jobs with an annual payroll of $2,320,000. South Bend Scrap & Processing has been granted two previous real property tax abatements (a 10 -year abatement in November 1984 and a 3 -year abatement in October 1988) and is in compliance with the reporting requirements for those abatements. The property is properly zoned for the proposed use. The property is located in an area presently designated as a Tax Abatement Impact Area and is also located in the Sample -Ewing Development Area, a Tax Incremental Financing Allocation Area. The project qualifies for five years of personal property tax abatement under the tax abatement ordinance. A review of the cost of this abatement shows that, with an estimated project cost of $1,280,000 and a constant tax rate, the property would generate approximately $123,277 over the five year period without abatement. With abatement, the project will generate approximately $21,859. Therefore, the cost of the abatement over the five year period will be approximately $101,418. Upon a motion by Mr. Donoho, seconded by Mr. Faccenda and unanimously carried, the Commission approved Resolution No. 1277 approving an application for personal property tax deduction for property located at 1145 -1305 Prairie Avenue in the Sample -5- COMMISSION APPROVED RESOLUTION NO. 1277 APPROVING AN APPLICATION FOR PERSONAL PROPERTY TAX DEDUCTION FOR PROPERTY LOCATED AT 1145 -1305 PRAIRIE AVENUE IN THE SAMPLE -EWING DEVELOPMENT AREA. (SOUTH BEND SCRAP AND PROCESSING DIVISION) ILSouth Bend Redevelopment Commission I Regular Meeting - September 2, 1994 5. OLD BUSINESS t.) a. continued... Ewing Development Area. (South Bend Scrap and Processing Division) b. Commission approval requested for Resolution No. 1286 approving an application for personal property tax deduction for property located at 3605 W. Cleveland Road in the Airport Economic Development Area. (AE Goetze, Inc.) Mr. Inks read the staff report on the project. AE Piston Products is in the business of manufacturing automotive pistons. Their project calls for the purchase and installation of six new casting cells and three high volume machine lines and related equipment at an estimated cost of $20,000,000. The equipment will be used to substantially increase the production of pistons for their customers. It is projected that the new equipment will increase sales by 72 %. The new project will create eleven new permanent full-time jobs, which is in addition to the 156 jobs which are to be created by the projects begun last year. The total annual payroll for the new jobs is estimated at $4,150,000. The project will also maintain two hundred and thirty -nine (239) existing full time and part time jobs representing an annual payroll of $8,617,000. AE Piston was granted a ten -year real property and a five year personal property M South Bend Redevelopment Commission Regular Meeting - September 2, 1994 5. OLD BUSINESS (Cont.) b. continued... tax abatement on May 13, 1986 from the St. Joseph County Council and a five year personal property tax abatement on April 22, 1991 from the South Bend Common Council. They were also granted a five year personal property tax abatement and a 10 year real property tax abatement on June 26, 1993. AE Piston is in compliance with the reporting requirements for these abatements. 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. The property is located in the Toll Road Industrial Park which is a Tax Incremental Financing Allocation Area. The project qualifies for five years of personal property tax abatement under the Tax Abatement Ordinance. A review of the cost of the abatement shows that, without abatement, the project will generate approximately $1,922,384 in new taxes over the five year period. With abatement, the project will generate approximately $340,876 in new taxes. Therefore, the cost of the abatement will be approximately $1,581,508 over the five year period. Mr. Monagle noted that they have already started hiring for the new jobs. The project is going very well. -7- South Bend Redevelopment Commission Regular Meeting - September 2, 1994 5. OLD BUSINESS (Cont.) b. continued... Mr. Faccenda congratulated AE Piston on its ability to progress to the point of needing this new production line in such a short period of time. They are a major success story in the area and truly a showcase industry. Upon a motion by Mr. Faccenda, seconded by Mr. Piasecki and unanimously carried, the Commission approved Resolution No. 1286 approving an application for personal property tax deduction for property located at 3605 W. Cleveland Road in the Airport Economic Development Area. (AE Goetze, Inc.) Ms. Auburn declared a conflict of interest and did not vote on this item. 6. NEW BUSINESS a. Public Hearing on Resolution No. 1284 amending the South Bend Central Development Area Development Plan. Mrs. Kolata asked that the following items be entered into the record: 1) an original of the Notice of Hearing of the Amendment to the South Bend Central Development Area Development Plan; 2) an affidavit from Carol Smith, Advertising Manager of the South Bend Tribune, that the Notice of Hearing was published in that daily newspaper on August 19, 1994; 3) an affidavit from Lisa J. Andrysiak of the Tri- County News, that the Notice of Hearing was published in that weekly newspaper on August 19, 1994; 4) a memo from Tom In COMMISSION APPROVED RESOLUTION NO. 1286 APPROVING AN APPLICATION FOR PERSONAL PROPERTY TAX DEDUCTION FOR PROPERTY LOCATED AT 3605 W. CLEVELAND ROAD IN THE AIRPORT ECONOMIC DEVELOPMENT AREA. (AE GOETZE, INC.) South Bend Redevelopment Commission Regular Meeting - September 2, 1994 6. NEW BUSINESS (Cont.) a. continued... Eddington that on August 22, 1994 he sent a copy of the Notice of Hearing to the affected property owners and registered neighborhood associations; 5) a copy of Resolution No. 1284 (modifiing the version filed with the Commission on August 19, 1994, and indicating the cost of acquisition and redevelopment of the property to be acquired, the square footage of the property to be acquired, the legal description of the property to be acquired, and a drawing of the property to be acquired); and 6) as of 10:00 a.m., September 2, 1994, 1 written remonstrance was received from Mr. George A. Azar, Executive Vice President and Secretary of Azar's Inc. Mrs. Kolata noted that Resolution No. 1284 states that the cost of acquisition and redevelopment of the property will be $16,450. The property to be acquired is certain easement rights pertaining to a 4,818 portion of a parking easement on real estate adjacent to the Wharf. The Wharf property and the easement rights in question are owned by Azar, Inc. /CharKing. Ms. Auburn asked if there was any objection to entering these items into the record. There was no objection and the items were so entered. Mrs. Kolata noted that Resolution No. 1284 amends the Development Plan of the South Bend Central Development Area by adding to the property acquisition list certain rights In South Bend Redevelopment Commission Regular Meeting - September 2, 1994 6. NEW BUSINESS (Cont.) a. continued... in a portion of an easement which is located upon property that is owned by the Commission. The acquisition is part of a parking easement owned by Azar, Inc., the owners of The Wharf restaurant. It is located to the west of the Opelika Building and to the east of The Wharf. The easement, including the portion to be taken, grants The Wharf non - exclusive rights to park within it at certain times on certain days of the week. The Commission owns the underlying fee title to the property which it acquired through its acquisition of the Opelika site. Although the Commission has transferred title to the building, it retains title to the surrounding land, including the land underlying the easement. The Commission also enjoys the right to use the easement area itself. The Commission did not acquire the easement or any portion of it at the time it acquired the Opelika property for a number of reasons: 1) the easement is a non- exclusive easement; by acquiring the underlying land, it acquired the right to use the easement; 2) the interest in, and final choice concerning, the development of the Opelika Building was not known at the time the property was acquired. It was anticipated that the development of the site could be accomplished with the easement in tact or, if the development of the site could not be accomplished with the easement in tact, it was anticipated that an agreement -10- South Bend Redevelopment Commission Regular Meeting - September 2, 1994 6. NEW BUSINESS (Cont.) a. continued... could be reached with The Wharf concerning modification of the easement. The acquisition of the portion of the easement in question is necessary for the construction of pedestrian walkways, handicapped access to those walkways, landscaping, and the building and landscaping. The development of local public improvements on the land surrounding the Opelika Building in a fashion that allows the redevelopment of that building and development within the redevelopment area requires construction within a portion of the easement area. The staff, with the assistance of Rich Arnesen of the Alexander Company, has been in discussion with The Wharf owners and their attorney for many months about a modification to the easement. The staff has indicated that The Wharf owners could be compensated for agreeing to modify the easement in cash or with alternate parking on another portion of the site, or with a combination of cash and parking. The Wharf owners and the staff have not been able to reach an agreement. The staff recommends to the Commission that it place the indicated portion of the easement on the acquisition list. Deleting the portion sought to be acquired from the entire easement area leaves a total of ten parking spaces for the non - exclusive use of the Wharf. The Wharf has sufficient on -site sit South Bend Redevelopment Commission Regular Meeting - September 2, 1994 6. NEW BUSINESS (Cont.) a. continued... parking. The spaces in the parking easement are not necessary to meet any parking requirements under the zoning ordinance. Ms. Auburn opened the Public Hearing for PUBLIC HEARING ON RESOLUTION NO. 1284 whomever wished to speak. MR. REAM: Our law firm represents Azar, Inc. Inc. We filed a remonstrance this morning. I'd like to add a couple of things, besides letting the remonstrance speak for itself. We've been working both with Rich Arensen, The Alexander Company, and Jenny Manier, City of South Bend, over the last year. The negotiations have been on and off. Our two primary concerns are whether, in fact, the easement is necessary for the development and whether the development, at this point in time, now that the property is owned by a private company as opposed to the Redevelopment Commission, whether this taking is going to benefit the private company or a public entity. The other thing we are very upset about and need to talk to both The Alexander Company and the City about, is the fact that, for the last (maybe) 5 months, there are workers out there who have already destroyed our parking easement, as if we had no rights to the property. This puts us in a delicate position: we're trying to work with the City, be cooperative, but at the same time, we're placed in a position that we, frankly, have a right to sue for -12- South Bend Redevelopment Commission Regular Meeting - September 2, 1994 6. NEW BUSINESS (Cont.) a. continued... inverse condemnation as our property rights haven't been respected. Mrs. Kolata read the remonstrance from Azar, Inc. Azar, Inc., successor in interest to CharKing, Inc., hereby remonstrates and objects to Resolution No. 1284, Resolution of the City of South Bend Redevelopment Commission, Amending the South Bend Central Development Area Development Plan. Azar's Inc. is the owner of the easement which will be added to the South Bend Central Development Area if Resolution No. 1284 is passed. The basis for this remonstrance is as follows: 1) it will not be a public utility or benefit to include the easement as part of the South Bend Central Development Area; 2) the easement is not necessary for the successful completion of the Opelika apartment complex; 3) the acquisition of the easement enures to the private benefit of The Alexander Company, Inc. and not to the benefit of the public; 4) Amendment Number 1284 and the procedure followed by the City of South Bend Redevelopment Commission to enact Amendment No. 1284 are in violation of Indiana law, including, but not limited to the provisions of I. C. 36- 7 - -14. Signed, George A. Azar, Fxecutive Vice - President and Secretary. Ms. Auburn asked if there was anyone else who wished to speak regarding modified -13- South Bend Redevelopment Commission Regular Meeting - September 2, 1994 6. NEW BUSINESS (Cont.) a. continued... Resolution No. 1284. There was no one else who wished to speak. Ms. Auburn closed the Public Hearing. b. Commission approval requested for (modified) Resolution No. 1284. Upon a motion by Mr. Donoho, seconded by Mr. Sharp and unanimously carried, the Commission approved Resolution No. 1284, as modified. Mrs. Kolata asked the Commission to authorize the sending of a purchase offer for the easement rights, setting the offering price at $16,450 and authorizing the use of eminent domain if agreement cannot be reached within 30 days. Upon a motion by Mr. Donoho, seconded by Mr. Piasecki and unanimously carried, the Commission authorized the sending of a purchase offer for the easement rights with the right of eminent domain. C. Commission approval requested for Resolution No. 1288 approving an application for real property tax deduction for property located at 2525 N. Foundation Drive in the Airport Economic Development Area. (Miles Distributors, Inc.) Mr. Inks read the staff report on the project. Miles Distributors is a wholesale distributor of ceramic tile and related products. They -14- COMMISSION APPROVED RESOLUTION NO. NO. 1284, AS MODIFIED COMMISSION AUTHORIZED THE SENDING OF A PURCHASE OFFER FOR THE EASEMENT RIGHTS WITH THE RIGHT OF EMINENT DOMAIN South Bend Redevelopment Commission Regular Meeting - September 2, 1994 6. NEW BUSINESS (Cont.) C. continued... sell and deliver products to floor covering stores and tile contractors in Indiana, Michigan and Ohio. They also have a branch location in Fort Wayne. The South Bend property consists of warehousing, offices and a showroom. Their project calls for the rehabilitation and expansion of the existing warehouse, showroom and offices. The 16,000 square foot building will be rehabilitated and 10,000 square feet of new space will be added primarily for warehousing. The total cost of the project is estimated at $250,000. It is estimated that the project will create two new, permanent jobs within the first year, representing an annual payroll of $43,000 and will maintain eleven existing, permanent, full-time and no part-time jobs with an annual payroll of $360,000. Miles Distributing has not been granted any previous tax abatements. The property is not located in an area presently designated as a Tax Abatement Impact Area . It is located in the Airport Economic Development Area, a Tax Incremental Financing Allocation Area. The project qualifies for three years of real property tax abatement under the Tax Abatement Ordinance. A review of the cost of the abatement shows that without abatement, the project will generate $37,160 in new taxes. With abatement, the new taxes will be approximately $12,510. Therefore, the cost -15- South Bend Redevelopment Commission ' Regular Meeting - September 2, 1994 6. NEW BUSINESS (Cont.) c. continued... of the abatement will be approximately $24,649 over the three year period. Mr. Peddycord noted that the buildings in the old portion of the Toll Road Industrial Park are over twenty years old and are beginning to need renovation. Miles' facility was one of the earlier ones in this portion of the industrial park. Upon a motion by Mr. Faccenda, seconded by Mr. Sharp and unanimously carried, the Commission approved Resolution No. 1288 approving an application for real property tax deduction for property located at 2525 N. Foundation Drive in the Airport Economic Development Area. d. Commission approval requested for Loan in connection with the Roof Loan Program for property located at 609 E. Cedar Street. (Eva M. Grimes) Mrs. Kolata noted that the loan to Eva Grimes is in the amount of $4,350 at 0% for 10 years. Monthly payments will be $36.25. Upon a motion by Mr. Faccenda, seconded by Mr. Donoho and unanimously carried, the Commission approved the Loan in connection with the Roof Loan Program for property located at 609 E. Cedar Street (Eva M. Grimes) -16- COMMISSION APPROVED RESOLUTION NO. 1288 APPROVING AN APPLICATION FOR REAL PROPERTY TAX DEDUCTION FOR PROPERTY LOCATED AT 2525 N. FOUNDATION DRIVE IN THE AIRPORT ECONOMIC DEVELOPMENT AREA COMMISSION APPROVED THE LOAN IN CONNECTION WITH THE ROOF LOAN PROGRAM FOR PROPERTY LOCATED AT 609 E. CEDAR STREET (EVA M. GRIMES) South Bend Redevelopment Commission Regular Meeting - September 2, 1994 6. NEW BUSINESS (Cont.) e. Commission approval requested for Loan in connection with the Roof Loan Program for property located at 1834 E. Bowman. (Harry G. Allison) Mrs. Kolata noted that the loan to Harry Allison is in the amount of $4,000 at 0% interest for 10 years. Payments will be $33.33 per month. Upon a motion by Mr. Donoho, seconded by Mr. Faccenda and unanimously carried, the Commission approved the Loan in connection with the Roof Loan Program for property located at 1834 E. Bowman. (Harry G. Allison) Aft f. Commission approval requested for Loan in connection with the Roof Loan Program for property located at 1628 N. Adams Street. (Barbara A. Paris) Mrs. Kolata noted that the loan to Barbara Paris is in the amount of $1,200 at 0 % interest for 5 years. Monthly payments will be $20.00. Upon a motion by Mr. Donoho, seconded by Mr. Sharp and unanimously carried, the Commission approved the loan in connection with the Roof Loan Program for property located at 1628 N. Adams Street. (Barbara A. Paris) g. Commission approval requested for Loan in connection with the Roof Loan Program for property located at 2811 Northside Blvd. (Kathleen M. Huys) -17- COMMISSION APPROVED THE LOAN IN CONNECTION WITH THE ROOF LOAN PROGRAM FOR PROPERTY LOCATED AT 1834 E. BOWMAN. (HARRY G. ALLISON) COMMISSION APPROVED THE LOAN IN CONNECTION WITH THE ROOF LOAN PROGRAM FOR PROPERTY LOCATED AT 1628 N. ADAMS STREET. (BARBARA A. PARIS) South Bend Redevelopment Commission Regular Meeting - September 2, 1994 6. NEW BUSINESS (font.) g. continued... Mrs. Kolata noted that the loan to Kathleen Huys is in the amount of $3,550 at 0% for 10 years. Monthly payments will be $29.58. Upon a motion by Mr. Sharp, seconded by Mr. Faccenda and unanimously carried, the Commission approved the Loan in connection with the Roof Loan Program for property located at 1628 N. Adams Street (Barbara A. Paris) h. Commission approval requested for Contract with the City of South Bend for Redevelopment Administration from 5/1/94 - 12/31/94. (CD94 -604) Mrs. Kolata explained that this contract provides $25,000 of Community Development Block Grant funds to help pay the Redevelopment administrative budget for activities within the City of South Bend. Upon a motion by Mr. Donoho, seconded by Mr. Faccenda and unanimously carried, the Commission approved the Contract with the City of South Bend for Redevelopment Administration from 5/1/94 to 12/31/94 (CD94 -604) i. Commission approval requested for Addendum to Professional Service Agreement with Camiros, Ltd., dated February 24, 1994 related to the Sample - Ewing Development Area. Items 61 was tabled. go COMMISSION APPROVED THE LOAN IN CONNECTION WITH THE ROOF LOAN PROGRAM FOR PROPERTY LOCATED AT 1628 N. ADAMS STREET (BARBARA A. PARIS) COMMISSION APPROVED THE CONTRACT WITH THE CITY OF SOUTH BEND FOR REDEVELOPMENT ADMINISTRATION FROM 5/1/94 TO 12/31/94 (CD94 -604) ITEM 6.I. WAS TABLED South Bend Redevelopment Commission Regular Meeting - September 2, 1994 6. NEW BUSINESS (Cont.) j . Staff report on disposition of property in the South Bend Central Development Area. There was no report. k. Commission approval requested for Agreement to Lease in the South Bend Central Development Area (Stephenson Mill - Parking) Ms. Manier explained that this lease agreement leases to Stephenson Mill Partnership the land surrounding the Opelika Building for parking and site improvements. It is a 30 year lease giving the partnership all of the obligations for maintenance and taxes, etc. Rental is $1.00 per year. At the end of 30 years, the partnership has the option to purchase the site for the cost to the City of making improvements to the property. Upon a motion by Mr. Faccenda, seconded by Mr. Donoho and unanimously carried, the Commission approved the Agreement to Lease in the South Bend Central Development Area (Stephenson Mill - Parking) 1. Staff report on acquisition of property in the Sample -Ewing Development Area. There was no report. m. Staff report on disposition of property in the Sample -Ewing Development Area. -19- THERE WAS NO REPORT COMMISSION APPROVED THE AGREEMENT TO LEASE IN THE SOUTH BEND CENTRAL DEVELOPMENT AREA (STEPHENSON MILL - PARHING) THERE WAS NO REPORT South Bend Redevelopment Commission Li Regular Meeting - September 2, 1994 6. NEW BUSINESS (Cont.) m. continued... Mrs. Kolata noted that the staff has received a proposal from the South Bend Firefighters Federal Credit Union for Parcel 19 and the former Policemen's Federal Credit Union building, including fixtures. The Firemen's Credit Union proposes to move the building to Parcel 19 on South Main Street. The Firemen's Federal Credit Union currently has four employees, with offices located in the Fire Department Building on Sample Street. The proposed acquisition of land and building will allow the credit union to expand its services to its members, adding one employee. The credit union expects to apply for tax abatement for the project. The Firemen's Federal Credit Union offers $100 for the former Policemen's Federal Credit Union Building and its fixtures and $20,000 for Parcel 19. The cost to the Firemen's Credit Union of purchasing and moving the building, demolishing the existing foundation, and filling the hole to grade totals $26,860. The cost to the Firemen's Credit Union for Parcel 19 total $32,555, including purchase price and clearance of site. The offer is subject to favorable environmental inspection at the Commission's expense. They would also like a general warranty deed. The proposal includes a check for $2,010 as a performance guarantee. They have also -20- South Bend Redevelopment Commission Regular Meeting - September 2, 1994 6. NEW BUSINESS (Cont.) m. continued... submitted maps and plans for the building on the new site. No timetable for construction was included. Mrs. Kolata noted that the staff received the proposal late in the day September 1 and has not had sufficient time to do a staff report. Although it looks like a very good proposal, she recommended referring the proposal to the staff for review and recommendation. The proposal was referred to staff. n. Commission approval requested for Resolution No. 1289 approving the Fair Re-Use Value of Property in the South Bend Central Development Area. (church at 310 W. Monroe) Mrs. Kolata explained that at the time we purchased the land for Coveleski Stadium, the church at 310 W. Monroe did not feel it could co -exist with the baseball stadium. They asked the Commission to acquire their property and the Commission did in 1985. However, we found that there was a second congregation using the church's building. That congregation wanted to continue worshipping there and the Commission has been leasing the church to them. That congregation has indicated that they would like to make major improvements to the building and do not wish to invest in a building they do not own. They would like to purchase the building. The Commission must put the property up for bid and the -21- PROPOSAL FROM FIREMEN'S FEDERAL CREDIT UNION REFERRED TO STAFF FOR REVIEW AND RECOMMENDATION South Bend Redevelopment Commission Regular Meeting - September 2, 1994 6. NEW BUSINESS (Cont.) n. continued... church realizes that other bids may be submitted. Resolution No. 1289 establishes the Fair Re- use Value of the property at $75,400. The proposed re-use is as a church. Although there have been other suggested uses for the property, parking would be a problem during baseball season. A church typically uses the available parking at times other than baseball games. Upon a motion by Mr. Faccenda, seconded by Mr. Piasecki and unanimously carried, the Commission approved Resolution No. 1289 approving the Fair Re -Use Value of Property in the South Bend Central Development Area. (church at 310 W. Monroe) o. Commission authorization requested to publish Notice of Intended Sale of Land with publication dates to be September 9 and September 16, 1994 and receipt of bids to be 10:00 a.m., October 7, 1994. (310 W. Monroe) Upon a motion by Mr. Donoho, seconded by Mr. Faccenda and unanimously carried, the Commission authorized publication of the Notice of Intended Sale of Land with publication dates to be September 9 and September 16, 1994 and receipt of bids to be 10:00 a.m., October 7, 1994. (310 W. Monroe) -22- COMMISSION APPROVED RESOLUTION NO. 1289 APPROVING THE FAIR RE -USE VALUE OF PROPERTY IN THE SOUTH BEND CENTRAL DEVELOPMENT AREA. (CHURCH AT 310 W. MONROE) COMMISSION AUTHORIZED PUBLICATION OF THE NOTICE OF INTENDED SALE OF LAND WITH PUBLICATION DATES TO BE SEPTEMBER 9 AND SEPTEMBER 16, 1994 AND RECEIPT OF BIDS TO BE 10:00 A.M. , OCTOBER 7, 1994. (3 10 W. MONROE) South Bend Redevelopment Commission Regular Meeting - September 2, 1994 6. NEW BUSINESS (Cont.) p. Commission approval requested for 1994 Budget for Blackthorn Golf Course. Mrs. Kolata noted that the Blackthom Joint Committee met to review the 1994 budget and presents it for Commission approval. They will meet again soon to review the 1995 budget. Mrs. Kolata noted that in the proforma, 672 rounds of golf were estimated to be played during the six days of August. 575 rounds were played in the first three days, so they are doing better than expected. Also, the average amount spent by each player was better than estimated. Mrs. Kolata noted that the Joint Committee will be getting monthly budget reports from North American Golf and will meet quarterly to review the budget and policies . Mr. Faccenda noted that the golf course was built to attract businesses to build in Blackthorn Corporate Center. They certainly seem to be on track toward achieving that goal. The golf course is attracting a lot of attention. Mr. Fiasecki noted that many people in South Bend feel that this course is not meant for South Bend residents. Mrs. Kolata responded that that statement isn't quite fair. Although the course is designed to attract people from outside the community, it is a public course. Anyone may play, but it is not subsidized like the other city courses. It -23- South Bend Redevelopment Commission Regular Meeting - September 2, 1994 6. NEW BUSINESS (Cont.) p. continued... is expected that the course will pay for itself and the fees were set accordingly. Upon a motion by Mr. Donoho, seconded by Mr. Piasecki and unanimously carried, the Commission approved the 1994 Budget for Blackthorn Golf Course. 7. PROGRESS REPORTS Mrs. Kolata reported that construction is underway on Schafer Gear Works' new building in the Studebaker Corridor. They expect to complete construction by the end of November. Habitat for Humanity constructed three homes in Monroe Park during their building blitz in August. One of the homes is a two -story home which fits in very will with the character of the other homes on Clinton Street. She congratulated Habitat on the success of that project. Mr. Wolf commented that CCA has had a lot of inquiries lately. He feels that is a positive sign that South Bend has good momentum going. Mrs. Kolata noted that Macri's expects to open their new restaurant and deli within a few weeks. They are trying to open for Notre Dame's first home football game. It is very attractive. Mr. Piasecki noted that the Worker House portion of the Northern Indiana Historical Society museum will open on Labor Day. -24- CONBUSSION APPROVED THE 1994 BUDGET FOR BLACKTHORN GOLF COURSE PROGRESS REPORTS South Bend Redevelopment Commission Regular Meeting - September 2, 1994 7. PROGRESS REPORTS (Cont.) Mrs. Kolata noted that as of September 6, the entire South Bend Tribune will be printed on its new presses. 8. NEXT CONEMaSSION MEETING The next Regular Meeting of the Redevelopment Commission is scheduled for Friday, September 16, 1994 at 10:00 a.m. 9. ADJOURNNIENT There being no further business to come before the Commission, Mr. Piasecld made a motion that the meeting be adjourned. Mr. Sharp seconded the motion and the meeting was adjourned at 11:01 a.m. �i&/L)- Lj� Paula N. Auburn, President -25- NEXT COMMISSION MEETING ADJOURNMENT l � Ann E. Kolata, Director