Loading...
HomeMy WebLinkAboutRM 02-02-96SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING February 2, 1996 10:00 a.m. Presiding: Paula N. Auburn President 1. ROLL CALL 2. 1308 County -City Building 227 W. Jefferson Boulevard South Bend, Indiana Members Present: Ms. Paula N. Auburn, President Ms. Robert W. Hunt, Vice - President Mr. William P. Hojnacki, Secretary Mr. Philip J. Faccenda Mr. Michael Donoho Legal Counsel: Redevelopment Staff: Business Assistance Staff Media: Ms. Jenny Pitts Manier Mrs. Ann Kolata, Director Ms. Joelle Webb, Recording Secretary Mr. Michael Beitzinger Mr. Don Porter, South Bend Tribune Others: Mr. Carter Wolf, Center City Associates Mr. Charles Pryor, Champion Soft Water Mr. Michael Wojtysiak, Masterbilt Ms. Auburn announced that the Executive Session will continue immediately following adjournment of the Regular Meeting. APPROVAL OF MINUTES a. Approval of Minutes of the Regular Meeting of Friday, January 19, 1996. Upon a motion by Mr. Hunt, seconded COMMISSION APPROVED THE MINUTES OF by Mr. Hojnacki and unanimously THE REGULAR MEETING OF FRIDAY, carried, the Commission approved the JANUARY 19, 1996 Minutes of the Regular Meeting of Friday, January 19, 1996. -1- South Bend Redevelopment Commission Regular Meeting - February 2, 1996 3. APPROVAL OF CLAIMS Redevelopment Commission Claims submitted February 2, 1996, for approval. ADMIN 1995 (212 Kinko's National $39.60 Baker & Daniels $1,144.03 NBD Skokie Bank N. A. Visa $6.88 Leedy /Cripe Architects $1,350.51 Petty Cash $71.49 Day Tuners $25.90 AIRPORT TIF REVENUE (324 Cole Associates $396.38 Walsh & Kelly $4,879.25 Ken Herceg & Associates $12,004.52 HRP Construction $33,401.50 Indiana Michigan Power Co. $2.66 BOMA Michiana $275.00 St. Joseph Title Co. $643.00 SAMPLE- EWING DEVELOPMENT AREA (414 York Title & Escrow, Inc. $281.00 Peirce & Associates $850.00 The Troyer Group $301.64 ATEC Associates, Inc. $9,166.00 EIS Environmental Engineers $3,369.00 Michiana Lock & Key $101.13 Grauvogel & Associates $1,710.00 B & J Excavation Inc. $7,393.75 Petty Cash / Recording Fee $258.00 Charles Chambliss $291.24 York Title & Escrow, Inc. $25.00 Peirce & Associates $210.00 S.B. C. D. A. T.I.F. GENERAL ACCOUNT (420 Real Estate Management Corp. $1,190.40 Superior Waste Systems $62.05 Indiana Michigan Power Co. $344.83 South Bend Water Works $156.35 N. I. P. S. C. O. $503.14 HP Products Howard Park Hardware C & S Service yoa $83.85 $13.15 $360.85 APN South Bend Redevelopment Commission Regular Meeting - February 2, 1996 3. APPROVAL OF CLAIMS (Cont.) BLACKTHORN GOLF COURSE (619) North American Golf Upon a motion by Mr. Donoho, seconded by Mr. Hojnacki and unanimously carried, the Commission approved the Claims submitted February 2, 1996. 4. COMMUNICATIONS There were no Communications. 5. OLD BUSINESS There was no Old Business 6. NEW BUSINESS a. Commission approval requested for Resolution No. 1414 approving an application for real property tax deduction for property located at 208 E. Sample Street in the Sample -Ewing Development Area. (Champion Soft Water) Mrs. Kolata noted that since the Commission still owns the land for this development, the Commission needs to authorize the signing of the petition for the tax abatement. Upon a motion by Mr. Donoho, seconded by Mr. Hojnacki and unanimously carried, the Commission authorized the signing of the petition for the tax abatement on behalf of Champion Soft Water Co., Inc. -3- $6,521.60 COMMISSION APPROVED THE CLAIMS SUBMITTED FEBRUARY 2, 1996 THERE WERE NO COMMUNICATIONS THERE WAS NO OLD BUSINESS COMMISSION AUTHORIZED THE SIGNING OF THE PETITION FOR THE TAX ABATEMENT ON BEHALF OF CHAMPION SOFT WATER CO., INC. South Bend Redevelopment Commission Regular Meeting - February 2, 1996 6. NEW BUSINESS (Cont.) a. continued... Mr. Beitzinger read the staff report on the project. Charles and Hattie P. Pryor are purchasing a one acre site on East Sample Street to relocate their business, Champion Soft Water Company. Champion Soft Water was started over 15 years ago as a part-time enterprise, and continued so until about 4 years ago. Champion now provides water treatment systems, repair service, parts, salt, bottled water and delivery service. Their project calls for building a 5,000 square foot steel frame building with masonry wainscoting to combine and house all operations of the business. This project is critical to the continued success of the company as it will combine operations currently being performed at two locations. The total estimated cost of the new building is $178,800. It is estimated that this project will create two (2) new permanent full-time jobs within the first year, representing an annual payroll of $26,000 and will maintain four (4) full-time jobs and one (1) part-time job, representing an annual payroll of $75,500. Champion Soft Water Company has not been granted any previous tax abatement consideration. The property has multiple zoning conditions. Champion Soft Water Company is currently working with the Redevelopment Department and Area Plan Commission to have the entire property properly zoned for the proposed use. The property is located -4- South Bend Redevelopment Commission Regular Meeting - February 2, 1996 6. NEW BUSINESS (Cont.) a. continued... in an area presently designated as a 'Pax Abatement Impact Area, as well as the Economic Development Target Area and the Urban Enterprise Zone. A review of the Redevelopment designation areas finds that the property is located in the Sample -Ewing Development area, which is a Tax Incremental Allocation Area; therefore, the petition first requires the approval of the South Bend Redevelopment Commission. A review of the Tax Abatement Ordinance finds that the petitioner meets the qualifications for a three (3) year real property tax abatement. A review of the cost of the abatement shows that, without abatement, the project will generate approximately $27,578 in new taxes over the three year period. With abatement, the project will generate approximately $9,285. Therefore, the cost of the abatement is approximately $18,293 over the three year period. Upon a motion by Mr. Faccenda, seconded by Mr. Donoho and unanimously carried, the Commission approved Resolution No. 1414 approving an application for real property tax deduction for property located at 208 E. Sample Street in the -5- COMMISSION APPROVED RESOLUTION NO. 1414 APPROVING THE APPLICATION FOR REAL PROPERTY TAX DEDUCTION FOR PROPERTY LOCATED AT 208 E. SAMPLE STREET IN THE SAMPLE -EWING DEVELOPMENT AREA. (CHAMPION SOFT WATER CO., INC.) South Bend Redevelopment Commission Regular Meeting - February 2, 1996 6. NEW BUSINESS (Cont.) a. continued... Sample -Ewing Development Area. (Champion Soft Water Co., Inc.) b. Commission approval requested for Resolution No. 1415 approving an application for personal property tax deduction for property located at 325 S. Walnut Street in the West Washington - Chapin Development Area. ( Masterbilt, Inc.) Mr. Beitzinger read the staff report on the project. Masterbilt, Inc. is a machine shop that supports the aerospace industry. Masterbilt mainly produces components for fuel controls for Allied Signal and other aerospace manufacturers. Their project calls for the purchase of one CNC 5 -axis turning center. The new turning center is necessary to maintain quality and productivity. The total estimated cost of the new equipment is $105,000. It is estimated that this project will create one (1) new permanent full-time job within the first year, representing an annual payroll of $25,000 and will maintain nine (9) full-time and part-time jobs, representing an annual payroll of $250,000. Masterbilt has not been granted any previous tax abatement consideration. The property is properly zoned for the proposed use. The property is not 4 South Bend Redevelopment Commission Regular Meeting - February 2, 1996 6. NEW BUSINESS (Cont.) b. continued... located in an area presently designated as a Tax Abatement Impact Area; however, the property is located in the Economic Development Target Area and the Urban Enterprise Zone. The property is located in the West Washington - Chapin Development Area, which is a Tax Incremental Allocation Area; therefore, the petition first requires the approval of the South Bend Redevelopment Commission. A review of the Tax Abatement Ordinance finds that the petitioner meets the qualifications for a five (5) year personal property tax abatement. A review of the cost of the abatement shows that, without abatement, the project will generate approximately $10,520 in new taxes over the five year period. With abatement, the project will generate approximately $1,865. Therefore, the cost of the abatement is approximately $8,655 over the five year period. Mr. Wojtysiak explained that Masterbilt's work is related to Allied Signal. It is no longer feasible to store up large amounts of inventory. They need to respond quickly to demand. This machine will enable them to do that. -7- South Bend Redevelopment Commission Regular Meeting - February 2, 1996 6. NEW BUSINESS (Cont.) b. continued... Upon a motion by Mr. Hojnacki, seconded by Mr. Faccenda and unanimously carried, the Commission approved Resolution No. 1415 approving the application for personal property tax deduction for property located at 325 S. Walnut Street in the West Washington - Chapin Development Area. (Masterbilt, Inc.) C. Commission approval requested for Contract for Sale of Land with Old Fort Building Supply, Inc. Mrs. Kolata noted that the Contract for Sale of Land with Old Fort Building Supply is ready for execution. Old Fort will begin construction by March 31, 1996 and be completed by the end of this year. The project involves them moving their storage yard on to this land and making improvements to the property. Upon a motion by Mr. Hojnacki, seconded Mr. Faccenda and unanimously carried, the Commission approved the Contract for Sale of Land with Old Fort Building Supply, Inc. d. Commission approval requested for Proposal from Peirce & Associates for Minor Subdivision of Parcel No. 34 in the Sample -Ewing Development Area. COMMISSION APPROVED RESOLUTION NO. 1415 APPROVING THE APPLICATION FOR PERSONAL PROPERTY TAX DEDUCTION FOR PROPERTY LOCATED AT 325 S. WALNUT STREET IN THE WEST WASHINGTON - CHAPIN DEVELOPMENT AREA. (MASTERBILT, INC.) COMMISSION APPROVED THE CONTRACT FOR SALE OF LAND WITH OLD FORT BUILDING SUPPLY, INC. South Bend Redevelopment Commission Regular Meeting - February 2, 1996 6. NEW BUSINESS (Cont.) d. continued... Mrs. Kolata noted that Peirce & Associates has submitted a proposal for survey and planning services for parcel #34 located in the Southeast Neighborhood Development Area. The rezoning portion will be done by Redevelopment. The cost to provide a 1 lot minor subdivision is estimated at $1,121. Upon a motion by Mr. Faccenda, seconded by Mr. Hojnacki and unanimously carried, the Commission approved the proposal from Peirce & Associates for Minor Subdivision of Parcel No. 34 in the Sample -Ewing Development Area. e. Commission approval requested for Satisfaction of Obligations and Release of Mortgage. Mrs. Kolata explained that this property, owned by Mary L. Green, had a Rental Rehab loan. Over a ten year period the loan has been forgiven and all obligations to the program were met. This Satisfaction of Obligation and Release of Mortgage confirms that. Upon a motion Mr. Hunt, seconded by Mr. Donoho and unanimously carried, the Commission approved the Satisfaction of Obligations and Release of Mortgage. In COMMISSION APPROVED THE PROPOSAL FROM PEIRCE & ASSOCIATES FOR MINOR SUBDIVISION OF PARCEL NO. 34 IN THE SAMPLE -EWING DEVELOPMENT AREA COMMISSION APPROVED THE SATISFACTION OF OBLIGATIONS AND RELEASE OF MORTGAGE South Bend Redevelopment Commission Regular Meeting - February 2, 1996 f. Commission ratification requested for authorization to sign Petition to Vacate Public Right -of -Way. (Area bounded by Sample, Fellows, Keasey, and Marietta) Mrs. Kolata noted that in preparation for conveyance of land to Family and Children's Center, the Commission, as property owner, needs to sign the petition to vacate the streets and alleys. Upon a motion by Mr. Hunt, seconded by Mr. Donoho and unanimously carried, the Commission ratified the signing of the Petition to Vacate Public Right -of -Way. (Area bounded by Sample, Fellows, Keasey, and Marietta) g. Commission approval requested for Resolution No. 1416 related to acquisition of property in the Sample - Ewing Development Area by Eminent Domain. Mrs. Kolata noted that Resolution No. 1416 authorizes sending 38 purchase offers in the Sample -Ewing Development Area. This land will be used as part of the new park in the Southeast Neighborhood. Upon a motion by Mr. Hunt, seconded by Mr. Hojnacki and unanimously carried, the Commission approved Resolution No. 1416 related to acquisition of property in the Sample - Ewing Development Area by Eminent Domain. -10- COMMISSION RATIFIED THE SIGNING OF THE PETITION TO VACATE PUBLIC RIGHT -OF- WAY. (AREA BOUNDED BY SAMPLE, FELLOWS, KEASEY, AND MARIETTA) COMMISSION APPROVED RESOLUTION NO. 1416 RELATED TO ACQUISITION OF PROPERTY IN THE SAMPLE -EWING DEVELOPMENT AREA BY EMINENT DOMAIN South Bend Redevelopment Commission Regular Meeting - February 2, 1996 h. Commission approval requested for Agreement between First Union Bank of North Carolina regarding Stephenson Mill Apartments. Ms. Manier explained that Alexander Company developed the Central High School Apartment Project and the Stephenson Mill Apartment Project. They are in the process of restructuring their financing with the various partnerships and limited liability corporations that they formed. They have asked that we execute this agreement which confirms our rights in the property, namely that the property owner is subject to certain non- discrimination commitments. Upon a motion by Mr. Faccenda, seconded by Mr. Hcjnacki and unanimously carried, the Commission approved the agreement with First Union Bank of North Carolina regarding Stephenson Mill Apartments. i. Commission approval requested for Estoppel Certificate regarding Stephenson Mill Apartments. Ms. Manier noted that the Estoppel Certificate is a representation to First Union Bank of North Carolina that the Alexander Company is in compliance with its obligations to us under the lease for Stephenson Mill Apartments. Upon a motion by Mr. Hcjnacki, seconded by Mr. Faccenda and unanimously carried, the Commission approved the Estoppel Certificate regarding Stephenson Mill Apartments. -11- COMMISSION APPROVED THE AGREEMENT WITH FIRST UNION BANK OF NORTH CAROLINA REGARDING STEPHENSON MILL APARTMENTS COMMISSION APPROVED THE ESTOPPEL CERTIFICATE REGARDING STEPHENSON MILL APARTMENTS South Bend Redevelopment Commission Regular Meeting - February 2, 1996 J. Ms. Manier noted that Item J has been deleted from the agenda. There is no document needing approval.. k. Commission approval requested for Estoppel Certificate regarding Central High School Apartments. Mr. Manier noted that the Estoppel Certificate is a representation to First Union Bank of North Carolina that the Alexander Company is in compliance with its obligations to us under the lease for Central High School Apartments. Upon a motion by Mr. Hunt, seconded by Mr. Donoho and unanimously carried, the Commission approved the Estoppel Certificate regarding Central High School Apartments. 7. PROGRESS REPORTS Mrs. Kolata noted that the Redevelopment staff met with the Board of Realtors to discuss our acquisition and relocation activities in the Southeast neighborhood. The Board of Realtors agreed to put together a list of realtors willing to work with people that Redevelopment will be relocating. Mrs. Kolata also reported that the proposal submitted by South Bend Heritage, CCA and the Mansur Group for tax credits for the renovation of the Robertson's building has received approval from the Indiana Housing Finance Authority. -12- COMMISSION APPROVED THE ESTOPPEL CERTIFICATE REGARDING CENTRAL HIGH SCHOOL APARTMENTS South Bend Redevelopment Commission Regular Meeting - February 2, 1996 S. NEXT COMNUSSION MEETING The next meeting of the Redevelopment Commission is scheduled for February 16, 1996 at 10:00 a.m. 9. ADJOURNMENT There being no further business to come before the Redevelopment Commission, Mr. Hunt made a motion that the meeting be adjourned. Mr. Faccenda seconded the motion and the meeting was adjourned at 10:40 a.m. Paula N. Auburn, President -13- NEXT COMMISSION MEETING ADJOURNMENT Ann E. Kolata, Director