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HomeMy WebLinkAboutRM 03-05-99SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING March 5, 1999 10:00 a.m. Presiding: Robert W. Hunt, President 1. ROLL CALL 1308 County -City Building 227 West Jefferson Boulevard South Bend, Indiana Members Present: Mr. Robert W. Hunt, President Ms. Eugenia S. Schwartz, Secretary Mr. Hardie Blake Members Absent: Mr. Philip J. Faccenda Mr. Michael Donoho, Vice - President Legal Counsel: Mr. Brian Steinke Redevelopment Staff. Mrs. Ann E. Kolata, Director Mrs. Vangelean Urbanski, Recording Secretary Mr. Alex Koenig, Economic Development Specialist Mr. Michael Giulioni, Economic Development Specialist Mr. Owen Rock, Economic Development Specialist Mrs. Michele Bush, Economic Development Specialist Business Assistance: Ms. Nancy Van Scoyk, Economic Development Specialist Planning and Neighborhood Dev. Mr. Marco Mariani, Neighborhood Planner Others: Mr. Warren Ashley, German Township Neighborhood Assoc. Mrs. Alberta Ashley, German Township Neighborhood Assoc. Mr. Hunt noted that the Executive Session will continue immediately following adjournment of the Regular Meeting. 2. APPROVAL OF MINUTES a. Commission approval of the Minutes of the Regular Meeting of February 19, 1999. HAWPDATA \C0MMSN\030599.MIN 4- South Bend Redevelopment Commission Regular Meeting - March 5, 1999 2. APPROVAL OF MINUTES (CONT.) Upon a motion by Mr. Blake, seconded by Ms. Schwartz and unanimously carried, the Commission approved the Minutes of the Regular Meeting of February 19, 1999. 3. APPROVAL OF CLAIMS COMMISSION APPROVED THE MINUTES OF THE REGULAR MEETING OF FEBRUARY 19, 1999 Redevelopment Commission Claims submitted March 5, 1999 for approval. 212 CDBG COMMUNITY DEVELOPMENT Liability Insurance (226) Petty Cash APA East Race Printing & Graphics Baker & Daniels South Bend Tribune Insty- Prints Business Printing Services Plastimatic Arts Corporation Tri County News 324 FUND Stone Real Estate Group The Troyer Group, Inc. Blackthorn Owners Association Wightman Petrie, Inc. 414 SAMPLE -EWING FUND Metropolitan Title - Indiana, L.L.C. Triad Engineering Incorporated Lonzo & Irene Brazier & Metropolitan Title Co. Metropolitan Title Co. & Lonzo & Irene Brazier City of South Bend St. Joseph County Treasurer #1 St. Joseph County Treasurer #2 Teachers Credit Union Nabor Mayorga Joe Poul H: \WPDATA \COMMSN\030599.MIN -2- $422.00 $28.00 $180.00 $29.80 $5,581.91 $23.22 $37.50 $18.00 $21.89 $8,668.50 $2,800.00 $43,620.43 $1,050.00 $650.00 $2,034.94 $25,000.00 $24,000.00 $50.00 $376.28 $5.47 $4,450.94 $20,472.78 $1,200.00 South Bend Redevelopment Commission Regular Meeting - March 5, 1999 3. APPROVAL OF CLAIMS (CONT.) 420 SBCDA GENERAL ACCOUNT C & S Service GW Berkheimer Co., Inc. Howard Park Hardware 619 BLACKTHORN Meadowbrook Golf Group, Inc. Ms. Schwartz mentioned that she had a conflict of interest on the three Claims for CB Richard Ellis /Sturges Bradley and asked that they be deleted from the Claims list. Upon a motion by Ms. Schwartz, seconded by Mr. Donoho and unanimously carried, the Commission approved the Claims submitted March 5, 1999, excluding the three Claims for CB Richard Ellis /Sturges Bradley, and ordered the checks to be released. 4. COMMUNICATIONS There were no Communications. 5. OLD BUSINESS a. Commission approval requested for Parking Management Agreement between the City of South Bend and Ampco System Parking in the South Bend Central Development Area. Mrs. Kolata stated that this item was presented to the Commission for its consideration on February 19, 1999; however, the item was tabled at that time. She also stated that this is a five -year H: \WPDATA \C0MMSN\030599.MIN -3- $338.94 $64.61 $55.87 $14,900.00 COMMISSION APPROVED THE CLAIMS SUBMITTED MARCH 5, 1999, EXCLUDING THE THREE CLAIMS FOR CB RICHARD ELLIS /STURGES BRADLEY, AND ORDERED THE CHECKS TO BE RELEASED THERE WERE NO COMMUNICATIONS South Bend Redevelopment Commission Regular Meeting - March 5, 1999 5. OLD BUSINESS (CONT.) a. continued.... Proposal for management of the St. Joseph/Wayne Parking Garage. There was a previous Parking Management Agreement between the Commission and Ampco in 1993, which expired in 1998. The City of South Bend entered into similar Agreements with Ampco for Parking Management of the Jefferson Garage, Colfax Garage and Leighton Plaza Garage. Ampco's management fee for the Wayne Street Parking Garage is $750.00 a month. Of that amount, $375 is a fixed fee and the remaining $375 is an incentive fee, depending on the gross income for the garage. All of the operating costs of the garage are passed through to the City for payment. Mrs. Kolata stated that the Parking Management Agreement has been reviewed by John Broden, City Attorney, and he has discussed the Parking Management Agreement with the City's Bond Counsel. The staff recommends approving the Parking Management Agreement. Ms. Schwartz stated that she is concerned about the self - insurance provision in the Parking Management Agreement, because of the amount of insurance Ampco is required to carry and self insurance relies on the economic stability of Ampco. Mrs. Kolata commented that Ampco is a very large company and that it has entities all over the United States. HAWPDATATOMMSM030599.MIN -4- South Bend Redevelopment Commission Regular Meeting - March 5, 1999 5. OLD BUSINESS (CONT.) a. continued.... Mrs. Schwartz made a motion to table this item until the self - insurance provision could be reviewed. There were no objections and item 5.a. was tabled. 6. NEW BUSINESS Mrs. Kolata asked permission to add items 6.m. and 6.n. to the agenda. There was no objection and items 6.m. and 6.n. were added to the agenda. a. Public Hearing on Resolution No. 1670. Mrs. Kolata asked that the following items be entered into the record: (1) Affidavits from the Tri- County News and South Bend Tribune that the Notice of Public Hearing was published in those newspapers on February 19, 1999; (2) A statement from Owen Rock that on February 17, 1999, copies of the Notice of Public Hearing were sent to the affected property owners and registered neighborhood associations. As of 10:00 a.m. this morning, no written remonstrances were received. Owen Rock, Economic Development Specialist, stated that the amendment adds a 19 -acre property owned by Dale Park and the Park Estate to be added to the acquisition list. He also stated that when Dale Parks' 70 -acre property in the U.S. 31 Industrial Park was purchased by the Commission, we agreed to also purchase HAWPDATATOMMSM030599.MIN -5- ITEM 5.A. WAS TABLED ITEMS 6.M. AND 6.N. WERE ADDED TO THE AGENDA South Bend Redevelopment Commission Regular Meeting - March 5, 1999 6. NEW BUSINESS (CONT.) a. continued... the 19 -acre property, which is being added to the acquisition list. This was dependent on the 19 acres being annexed into the City and that annexation is now complete. The intended use of the 19 -acres of land is residential. Resolution No. 1670 amends the Airport Economic Development Area Development Plan by adding the 19 -acre parcel to the acquisition list. Mr. Hunt opened the public hearing for anyone who wished to speak regarding Resolution No. 1670. Warren Ashley from the German Township Neighborhood Association stated that his Neighborhood Association received a letter regarding the amendment of the Airport Economic Development Area Development Plan. He was asked to attend the Commission meeting to find out exactly what the Amendment consists of. He also stated that the Neighborhood Association was under the impression that Michiana Regional/South Bend Transportation Center was interested in the 19 -acre parcel of land. Mrs. Kolata stated that is not the case. Mr. Ashley did not have any further comments. There was no one else from the public who wanted to speak on Resolution No. 1670, so Mr. Hunt closed the public hearing and asked the Commission if they had any comments or questions. The Commission did not have any questions or comments. H: \WPDATA \COMMSN\030599.MW -6- South Bend Redevelopment Commission Regular Meeting - March 5, 1999 6. NEW BUSINESS (CONT.) b. Commission approval requested for Resolution No. 1670 Amending the Airport Economic Development Area Development Plan. Upon a motion by Mr. Blake, seconded by COMMISSION ADOPTED RESOLUTION NO. 1670 Ms. Schwartz and unanimously carried, AMENDING THE AIRPORT ECONOMIC the Commission adopted Resolution No. DEVELOPMENT AREA DEVELOPMENT PLAN 1670 Amending the Airport Economic Development Area Development Plan. c. Commission approval requested for 7 Z Resolution No. 1671 approving an application for real property tax deduction for property in the Sample - Ewing Development Area. (Dept. of Community and Economic Development (Division of Redevelopment), Board of Public Works and American Homes Dreams, Inc.) Nancy Van Scoyk presented the following staff report to the Commission for its consideration. American Home Dreams, Inc. will construct more than twenty homes throughout the site. This petition covers eight homes. The homes will be not less than 1,500 sf each, with up to three bedrooms, two and a half baths, a full basement and a one or two car garage. The sales price of each home will be approximately $70,000 to $75,000 and the homes will be available to low and moderate income, first -time homebuyers. Qualified buyers will also be eligible for a HAWPDATA \C0MMSN\030599.MIN -7- South Bend Redevelopment Commission Regular Meeting - March 5, 1999 6. NEW BUSINESS (CONT.) c. continued... mortgage subsidy of between $15,000 and $17,000 through the St. Joseph County Housing Assistance Office. The total cost of the homes is expected to exceed $1.4 million (including land). A review of the tax abatements previously granted finds that the Department of Redevelopment has been a co- petitioner with several other entities which have been granted tax abatement. The other entities are responsible for the compliance reporting requirements for the previous abatements. American Homes Dreams, Inc. has been granted previous tax abatements. American Home Dreams, Inc. is in compliance with the reporting requirements for the previous abatements. The building commissioner has reviewed the petition and finds the properties to be properly zoned for the proposed project; however, rezoning of the properties will be pursued to change the zoning from `B" residential, which allows multi - family dwellings, to "A" residential, which is single family only. A review of the designated South Bend Redevelopment areas finds that the properties are located in the Sample - Ewing Development Area, which is a Tax Incremental Allocation Area; therefore, the petition for real property tax abatement must first be approved by the South Bend Redevelopment Commission. H: \WPDATA \COMMSN\030599.MIN -8- South Bend Redevelopment Commission Regular Meeting - March 5, 1999 6. NEW BUSINESS (CONT.) c. continued... A review of the Tax Abatement Ordinance finds that the Department of Community and Economic Development (Division of Redevelopment), Board of Public Works and American Home Dreams, Inc.) meet the qualifications for a five -year residential tax abatement under Single Family Real Property Abatement. Using the estimated project cost of $1.4 million, the taxes generated over the five - year period will be approximately $9,581.33 per unit. Taxes abated over the five -year period will be approximately $7,130.29 per unit. Taxes still paid with the abatement over the five -year period will be approximately $2,451.04. Ms. Schwartz stated that she is not comfortable addressing the petition for tax abatement until the properties have been conveyed to the new owner. Mrs. Kolata stated that the City has signed petitions in the past when there's been an executed Contract for Sale of Land but where we have not yet actually closed on the property. Ms. Schwartz made a motion to table item ITEM 6.C. WAS TABLED 6.c. until these properties have been conveyed to the new owner, or at least, the agreement to convey the properties has been reached. There was no objection and item 6.c. was tabled. HAWPDATATOMMSM030599.MIN -9- South Bend Redevelopment Commission Regular Meeting - March 5, 1999 6. NEW BUSINESS (CONT.) d. Commission approval requested for proposal from the Abonmarche Group for professional services in the Sample - Ewing Development Area. (Engineering Design and Construction Document Services). Ms. Schwartz asked that item 6.d. be ITEM 6.D. WAS TABLED tabled since it is related to item 6.c. There was no objection and item 6.d. was tabled. e. Commission approval requested for proposal from the Abonmarche Group for professional services in the Sample - Ewing Development Area. (Subdivision Planning Services) Mrs. Kolata stated that the proposal received from the Abonmarche Group is in the amount of $5,950. The Abonmarche Group will provide surveying and subdivision planning services for the properties located along Pennsylvania Avenue between High Street and Marietta Street. Upon a motion by Mr. Blake, seconded by COMMISSION ACCEPTED THE PROPOSAL FROM Ms. Schwartz and unanimously carried, THE ABONMARCHE GROUP IN THE AMOUNT OF the Commission accepted the proposal $5,950 FOR SUBDIVISION PLANNING SERVICES IN THE SAMPLE -EWING DEVELOPMENT AREA from the Abonmarche Group in the amount of $5,950 for subdivision planning services in the Sample -Ewing Development Area. H: \WPDATA \C0MMSN\030599.MIN _10- South Bend Redevelopment Commission Regular Meeting - March 5, 1999 6. NEW BUSINESS (CONT.) L Commission approval requested for proposal from the Abonmarche Group for professional services in the Sample - Ewing Development Area. (Excavation Staking Services) Ms. Schwartz asked that item 61 be tabled because it is related to item 6.c. There was no objection and item 6.f. was tabled. g. Commission approval requested for Loan and Grant in connection with the Affordable Loan Program for property at 807 Sherman Avenue. (Ofelia R. Perez) Mrs. Kolata stated that the loan is in the amount of $3,850 at 0% interest for 7 years with monthly payments of $45.83. The grant is in the amount of $3,646.50. Upon a motion by Ms. Schwartz, seconded by Mr. Blake and unanimously carried, the Commission approved the Loan and Grant in connection with the Affordable Loan Program for property at 807 Sherman Avenue. (Ofelia S. Perez) h. Commission approval requested for CDBG Contract Amendment in connection with the State Theater in the South Bend Central Development Area. Mrs. Kolata stated that the CDBG Contract Amendment extends the State Theater's facade renovation Contract to March 31 1999. H: \WPDATA \COMMSN\030599.MIN -11- ITEM 61. WAS TABLED COMMISSION APPROVED THE LOAN AND GRANT IN CONNECTION WITH THE AFFORDABLE LOAN PROGRAM FOR PROPERTY AT 807 SHERMAN AVENUE (OFELIA S. PEREZ) South Bend Redevelopment Commission Regular Meeting - March 5, 1999 6. NEW BUSINESS (CONT.) h. continued... Upon a motion by Ms. Schwartz, seconded by Mr. Blake and unanimously carried, the Commission approved the CDBG Contract Amendment in connection with the State Theater in the South Bend Central Development Area. i. Staff report on acquisition of property in the Sample -Ewing Development Area. Mrs. Kolata stated that two counter offers were received. The first counter offer received was from Joe Poul in the amount of $1,200 for the vacant lot at 706 E. Pennsylvania. The initial purchase offer was $700.00. The staff recommends accepting the counter offer. COMMISSION APPROVED THE CDBG CONTRACT AMENDMENT IN CONNECTION WITH THE STATE THEATER IN THE SOUTH BEND CENTRAL DEVELOPMENT AREA Upon a motion by Ms. Schwartz, seconded COMMISSION ACCEPTED THE COUNTER OFFER by Mr. Blake and unanimously carried, the FROM JOE POUL IN THE AMOUNT OF $1,200 FOR Commission accepted the counter offer THE VACANT LOT AT 706 E. PENNSYLVANIA from Joe Poul in the amount of $1,200 for the vacant lot at 706 E. Pennsylvania. The second counter offer received was from Nabor Mayorga in the amount of $25,300 for the residential property at 1313 High St. The initial purchase offer was $22,000.00. The staff recommends accepting the counter offer. HAWPDATA \C0MMSN\030599.MIN -12- South Bend Redevelopment Commission Regular Meeting - March 5, 1999 6. NEW BUSINESS (CONT.) i. continued... Upon a motion by Ms. Schwartz, seconded by Mr. Blake and unanimously carried, the Commission accepted the counter offer from Nabor Mayorga in the amount of $25,300 for the residential property at 1313 High St. j. Staff report on disposition of property in the South Bend Central Development Area. Mrs. Kolata stated that there was no staff report. k. Commission approval requested for South Gateway Commercial Corridor Action Plan. Michele Bush, Economic Development Specialist, stated that the South Gateway Commercial Corridor Action Plan is on the Area Plan Commission's agenda for March 16, 1999. Following approval by the Area Plan Commission, the Plan will go before the Common Council for its consideration. COMMISSION ACCEPTED THE COUNTER OFFER FROM NABOR MAYORGA IN THE AMOUNT OF $25,300 FOR THE RESIDENTIAL PROPERTY AT 1313 HIGH ST. THERE WAS NO STAFF REPORT Upon a motion by Mr. Blake, seconded by COMMISSION APPROVED THE SOUTH GATEWAY Ms. Schwartz and unanimously carried, COMMERCIAL CORRIDOR ACTION PLAN the Commission approved the South Gateway Commercial Corridor Action Plan. HAWPDATMCOMMSM030599.MIN -13- South Bend Redevelopment Commission Regular Meeting - March 5, 1999 6. NEW BUSINESS (CONT.) 1. Staff report on Design Review Issues in the Airport Economic Development Area. Owen Rock, Economic Development Specialist, presented the following staff report to the Commission for its consideration regarding the design of John Sullivan's "sister" building in the U.S. 31 Industrial Park. He also presented a drawing of the "sister" building. Mr. Rock stated that John Sullivan's "sister" building has been redesigned to coincide with the Design Guidelines of the Blackthorn Corporate Park. He stated that brick will be along the facade facing Nimtz Parkway and along the east and west side of the building. Dryvit will be used on the front and back eaves of the building. Also, colored - dryvit and some brick will be used on the back of the building, which faces the wetlands. Mr. Rock also presented the following staff report to the Commission for its consideration of Welsh Oil's variance. He presented a drawing of Welsh Oil's proposed project. At the Redevelopment Commission meeting on February 19, 1999, a presentation was given by William Shaver of Welsh, Inc. looking for a height variance on a sign to be located in the U.S. 31 Industrial Park. The current zoning regulation for the U.S. 31 Industrial Park limits the height of all signs to 35 ft. The ILHAWPDATMCOMMSM030599.MIN -14- South Bend Redevelopment Commission Regular Meeting - March 5, 1999 6. NEW BUSINESS (CONT.) 1. continued... Design Guidelines for the Airport Economic Development Area limits the height of all signs to 10 ft. Height of the Variance —The Redevelopment staff supports the height variance with the following conditions: (1) Welsh, Inc. will conduct a balloon or crane test to identify the exact height required for the sign. The Redevelopment staff will be present at the test and will drive the surrounding area to check the views from the corporate park and other areas. The staff will then recommend a maximum height for the sign; (2) If the sign interferes with or obstructs the views from the Blackthorn Corporate Park or the Blackthorn Golf Course in any way it will not be approved by the Design Committee; (3) There will only be one high -rise sign pole in the U.S. 31 Industrial Park and this pole will support one sign for each commercial development in the U.S. 31 Industrial Park; (4) The sign pole will have space available to support signage from the commercial uses that may locate on Lots 1, 4, 5 and 6 as platted on the U.S. 31 Industrial Park Section One and Lot 2A as platted on U.S. 31 Industrial Park Section One First Replat or any other Lots identified for a commercial use in the U.S 31 Industrial Park; (5) There will only be one high -rise signed allowed in the U.S. 31 Industrial Park. The sign will be shared by the commercial uses in the Park. HAWPDATATOMMSM030599.MIN -15- South Bend Redevelopment Commission Regular Meeting - March 5, 1999 6. NEW BUSINESS (CONT.) 1. continued... Justification for Support —(1) Welsh, Inc. needs to advertise to the Amoco fleet card carriers on the Indiana Toll Road; (2) Welsh, Inc. will advertise to people traveling on the Indiana Toll Road. This will encourage those driving through the community to spend money in our community; (3) The sign may lead to future development of the commercial lots in the U.S. 31 Industrial Park; (4) It is reasonable to assume that other potential purchasers of the commercial lots, such as a restaurant or motel, would want to capture highway traffic and would want a sign of a similar height. Support of this proposal would limit the number of sign structures to one although there could be two or three actual signs eventually located on it. m. Commission approval requested for Satisfaction of Obligations and Release of Mortgage for the property at 305 E. Fox St. Mrs. Kolata stated that Alfonzo Cardenas has met all of the requirements of the Rental Rehab Loan Program. Upon a motion by Ms. Schwartz, seconded COMMISSION APPROVED THE SATISFACTION OF by Mr. Blake and unanimously carried, the OBLIGATIONS AND RELEASE OF MORTGAGE FOR Commission approved the Satisfaction of THE PROPERTY AT 305 E. FOX ST Obligations and Release of Mortgage for the property at 305 E. Fox St. HAWPDATA \C0MMSN\030599.MIN -16- South Bend Redevelopment Commission Regular Meeting - March 5, 1999 6. NEW BUSINESS (CONT.) n. Commission approval requested for Assignment of Obligations and Interest. (1508 S. Scott St.) Mrs. Kolata stated that this item was presented to the Commission for its consideration at a previous meeting. At that time, the Commission had concerns regarding the Assignment and asked that this item be tabled until those concerns could be addressed. Those concerns included the following: (1) The home did not always pass inspection; (2) The Certificate of Waivers on the property were not always approved. The Commission acknowledges the Assignment, but felt that the transfer does not constitute a material breach of a federal Rental Rehab Loan Program; therefore, Timothy Hancz, seller, is still responsible for all terms of the agreement and the promissory note in the event that Susan Casey, the purchaser, fails to fulfill the terms of the Rental Rehab Loan Agreement. Upon a motion by Ms. Schwartz, seconded by Mr. Blake and unanimously carried, the Commission approved the Assignment of Obligations and Interest, subject to Timothy Hancz— seller —being responsible for all terms of the agreement and the promissory note in the event that Susan Casey —the purchaser —fails to fulfill the terms of the Rental Rehab Loan Agreement. HAWPDATATOMMSM030599.MIN -17- COMMISSION APPROVED THE ASSIGNMENT OF OBLIGATIONS AND INTEREST, SUBJECT TO TIMOTHY HANCZ- SELLER -BEING RESPONSIBLE FOR ALL TERMS OF THE AGREEMENT AND THE PROMISSORY NOTE IN THE EVENT THAT SUSAN CASEY -THE PURCHASER -FAILS TO FULFILL THE TERMS OF THE RENTAL REHAB LOAN AGREEMENT South Bend Redevelopment Commission Regular Meeting - March 5, 1999 7. PROGRESS REPORTS Mrs. Kolata reported that Business Districts, Inc. gave a presentation on March 1, 1999, regarding the Downtown Strategic Action Plan. She presented a new Blackthorn Golf Course brochure to the Commission. Mrs. Kolata also presented a colored flyer for the Leighton Plaza retail space to the Commission. She reported that Robert Case will begin working for Redevelopment on Monday, March 8, 1999. Mr. Case will be working on the industrial /commercial projects underway in South Bend. He has a Masters in Geography from Kansas State University. Mrs. Kolata reported that the Leighton Plaza Parking Garage received its Certificate of Occupancy on Monday, March 1, 1999. Corporate Staffing will move into its office space in the Leighton Plaza Complex next week and open for business on March 15, 1999. 8. NEXT COMMISSION MEETING: The next Regular Meeting of the Redevelopment Commission is scheduled for Friday, March 19, 1999, at 10:00 a.m. HAWPDATA \C0MMSN\030599.MIN -18- South Bend Redevelopment Commission Regular Meeting - March 5, 1999 9. ADJOURNMENT There being no further business to come before the Redevelopment Commission, Mr. Blake made a motion that the meeting be adjo s. Schwartz seconded the motion meeting was a4jopnVd at 11:05 a.m. Robert W. Hunt, President ADJOURNMENT 7 "�& Ann E. Kolata, Director H: \WPDATA \COMMSN \030599.MIN -19-