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HomeMy WebLinkAboutRM 07-16-99r• SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING July 16, 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 Mr. Michael Donoho, Vice - President Ms. Eugenia S. Schwartz, Secretary Mr. Philip J. Faccenda Mr. Hardie Blake Legal Counsel: Mr. Brian Steinke Redevelopment Staff: Mrs. Ann E. Kolata, Director Mrs. Vangelean Urbanski, Recording Secretary Mr. Owen Rock, Economic Development Specialist Mrs. Michele Bush, Economic Development Specialist Mr. Alex Koenig, Economic Development Specialist Mr. Michael Giulioni, Economic Development Specialist Mr. Andy Laurent, Intern Business Assistance: Mr. Mike Beitzinger, Economic Development Specialist Others: Mr. Steve Ellison, Stone Real Estate Group Mr. John Rollins III, Rollins Truck Leasing Corporation Mr. Kevin Smith, Deluxe Sheet Metal Mr. James P. Knapp Mr. John R. Shirroll Mr. Don Sporleder Mr. Paul Witek, Koontz - Wagner Electric Mr. Scott Buzzard 2. APPROVAL OF MINUTES a. Commission approval of Minutes of the Rescheduled Regular Meeting of June 25, 1999. HAWPDATA \C0MMSN \071699 Minutes.wpd 0 South Bend Redevelopment Commission Regular Meeting - July 16, 1999 2. APPROVAL OF MINUTES (CONT.) Upon a motion by Mr. Faccenda, seconded COMMISSION APPROVED THE MINUTES OF THE by Ms. Schwartz and unanimously carried, RESCHEDULED REGULAR MEETING OF JUNE 25, the Commission approved the Minutes of 1999 the Rescheduled Regular Meeting of June 25, 1999. b. Approval of Minutes of the Regular Meeting of July 2, 1999. Upon a motion by Mr. Faccenda, seconded by Ms. Schwartz and unanimously carried, the Commission approved the Minutes of the Regular Meeting of July 2, 1999. 3. APPROVAL OF CLAIMS COMMISSION APPROVED THE MINUTES OF THE REGULAR MEETING OF JULY 2, 1999 Redevelopment Commission Claims submitted July 16, 1999 for approval. 212 CDBG COMMUNITY DEVELOPMENT Alltel Print Shop Tri- County News, Inc. South Bend Tribune Dainty Maid Bake Shop FedEx Business Systems, Inc. Leadership South Bend /Mishawaka Fore Reservations Inc. General Fund - Telephone South Bend Water Works NIPSCO Meridian Title Corp Bank One 324 FUND Print Shop Earth Exploration Company, Inc. Small Inc. SiteScapes Inc. H: \WPDATA \COMMSN\071699 Minutes.wpd -2- $141.45 $59.82 $49.34 $60.77 $44.91 $12.50 $615.71 $1,350.00 $325.49 $384.54 $15.56 $6.07 $150.00 $12.50 $22.32 $200.00 $6,000.00 $825.06 South Bend Redevelopment Commission Regular Meeting - July 16, 1999 3. APPROVAL OF CLAIMSACONT.) 324 FUND The Abonmarche Group Tri- County News, Inc. Peirce & Associates Owners' Association at Blackthorn Ken Herceg & Associates, Inc. 414 SAMPLE -EWING FUND Appraisal Group Inc. South Bend Water Works CFH Landscape Services Earnest Willis Earnest Willis & Wolf Bay Landing St. Joseph Circuit Court House Irene Navarro & Title Express Irene Navarro Ken Herceg & Associates, Inc. Jerome E. Michaels 420 SBDCA GENERAL ACCOUNT American Electric Power South Bend Water Works Ameritech EIS Environmental Engineers, Inc. Warner & Sons Upon a motion by Mr. Donoho, seconded by Mr. Faccenda and unanimously carried, the Commission approved the Claims submitted July 16, 1999, and ordered the checks to be released. 4. COMMUNICATIONS Ms. Schwartz stated that she and Don Sporleder are members of the MACOG Bicycle /Pedestrian Planning Committee. They attended a very effective presentation this week, given by Dan Burton of the HAWPDATATOMMSM071699 Minutes.wpd -3- $12,544.00 $50.51 $1,135.00 $9,141.78 $16,440.00 $1,200.00 $111.24 $3,208.12 $1,417.00 $3,833.00 $12,500.00 $5,250.00 $850.00 $10,213.00 $687.50 $22.99 $15.56 $26.82 $2,699.35 $3,500.00 COMMISSION APPROVED THE CLAIMS SUBMITTED JULY 16, 1999, AND ORDERED THE CHECKS TO BE RELEASED s South Bend Redevelopment Commission Regular Meeting - July 16, 1999 4. COMMUNICATIONS (CONT.) Walkable Communities Organization. At the meeting yesterday, it came apparent that consideration of bicycles and pedestrians should be considered with the planning efforts of the commercial corridors. Mr. Burton made the point in his presentation that it generated much higher traffic, economic impact and social benefit within commercial corridors. She also stated that she and Mr. Sporleder would like bicycles and pedestrians to be considered in the commercial corridor planning. Ms. Schwartz stated that the Bicycle /Pedestrian Committee would be happy to be a part of the commercial corridor planning process. Mrs. Kolata stated that there are committees dealing with public improvements in the commercial corridors, and she will ask the Bicycle/Pedestrian Committee to suggest names of individuals to sit on those committees. 5. OLD BUSINESS There was no Old Business. THERE WAS NO OLD BUSINESS 6. NEW BUSINESS a. Public Hearing on Resolution No. 1691. Mrs. Kolata asked that the following items be entered into the record: Affidavits from the Tri- County News and South Bend Tribune that the Notice of Public Hearing was published in those newspapers on July 2, HAWPDATATOMMSM071699 Minutes.wpd -4 r South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) a. continued... 1999. Mrs. Kolata stated that the legal notice advertised an appropriation of tax increment in the amount of $400,000. Resolution No. 1691 reduces the appropriation to $334,303. The money will be spent on projects and activities within the Sample -Ewing Development Area. Mr. Hunt opened the public hearing for anyone who wished to speak regarding Resolution No. 1691. There was no one who wished to speak regarding Resolution No. 1691. Mr. Hunt closed the public hearing for whatever action the Commission wished to take. b. Commission approval requested for Resolution No. 1691, a supplemental appropriation resolution of the South Bend Redevelopment Commission. (Sample -Ewing Development Area) Upon a motion by Mr. Donoho, seconded by Mr. Faccenda and unanimously carried, the Commission adopted Resolution No. 1691, a supplemental appropriation resolution of the H: \WPDATA \COMMSN \071699 Minutes.wpd -5- South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) b. continued... South Bend Redevelopment Commission. (Sample -Ewing Development Area) c. Public Hearing on Resolution No. 1692. Mrs. Kolata asked that the following items be entered into the record: Affidavits from the Tri- County News and South Bend Tribune that the Notice of Public Hearing was published in those newspapers on July 2, 1999. Mrs. Kolata stated that the legal notice published on July 2, 1999, advertised an appropriation of tax increment in the amount of $2,400,000. Resolution No. 1692 reduces the appropriation to $2,278,252. The money will be used to make lease payments for bond issues and to pay the costs of public improvements. Mr. Hunt opened the public hearing for anyone who wished to speak regarding Resolution No. 1692. There was no one who wished to speak regarding Resolution No. 1692. Mr. Hunt closed the public hearing for whatever action the Commission wished to take. HAWPDATATOMMSM071699 Minutes.wpd -6- COMMISSION ADOPTED RESOLUTION NO. 1691, A SUPPLEMENTAL APPROPRIATION RESOLUTION OF THE SOUTH BEND REDEVELOPMENT COMMISSION. (SAMPLE -EWING DEVELOPMENT AREA) South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) d. Commission approval requested for Resolution No. 1692, a supplemental appropriation resolution of the South Bend Redevelopment Commission. (Airport Economic Development Area) Upon a motion by Ms. Schwartz, seconded by Mr. Donoho and unanimously carried, the Commission adopted Resolution No. 1692, a supplemental appropriation resolution of the South Bend Redevelopment Commission. (Airport Economic Development Area) e. Public Hearing on Resolution No. 1693. Mrs. Kolata asked that the following items be entered into the record: Affidavits from the Tri- County News and South Bend Tribune that the Notice of Public Hearing was published in those newspapers on July 2, 1999. Mrs. Kolata stated that the legal notice published on July 2, 1999, advertised an appropriation of tax increment in the amount of $1,800,000. Resolution No. 1693 reduces the appropriation to $1,569,135. The money will be used to make lease payments for bond issues and to pay the costs of HAWPDATATOMMSM071699 Minutes.wpd -7- COMMISSION ADOPTED RESOLUTION NO. 1692, A SUPPLEMENTAL APPROPRIATION RESOLUTION OF THE SOUTH BEND REDEVELOPMENT COMMISSION. (AIRPORT ECONOMIC DEVELOPMENT AREA) South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) e. continued... public improvements. Mr. Hunt opened the public hearing for anyone who wished to speak regarding Resolution No. 1693. There was no one who wished to speak regarding Resolution No. 1693. Mr. Hunt closed the public hearing for whatever action the Commission wished to take. f. Commission approval requested for Resolution No. 1693, a supplemental appropriation resolution of the South Bend Redevelopment Commission. (South Bend Central Development Area) Upon a motion by Ms. Schwartz, seconded by Mr. Donoho and unanimously carried, the Commission adopted Resolution No. 1693, a supplemental appropriation resolution of the South Bend Redevelopment Commission. (South Bend Central Development Area) g. Commission approval requested for Resolution No. 1698 of the South Bend Redevelopment Commission determining tax increment needed to satisfy obligations of the Commission HAWPDATATOMMSM071699 Minutes.wpd -8- COMMISSION ADOPTED RESOLUTION NO. 1693, A SUPPLEMENTAL APPROPRIATION RESOLUTION OF THE SOUTH BEND REDEVELOPMENT COMMISSION. (SOUTH BEND CENTRAL DEVELOPMENT AREA) South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) g. continued... regarding the South Bend Central Allocation Area. (South Bend Central Allocation Area No. 1A) Mrs. Kolata stated that items 6.g., 6.h. and 6.i. all are related. Mrs. Kolata stated that Resolution No. 1699 determines that the Commission needs all of the Tax Increment to satisfy obligations the Commission has in the four Tax Increment Financing areas. Upon a motion by Ms. Schwartz, seconded by Mr. Faccenda and unanimously carried, the Commission adopted Resolution No. 1698 determining tax increment needed to satisfy obligations of the Commission regarding the South Bend Central Allocation Area. (South Bend Central Allocation Area. No. 1 A) h. Commission approval requested for Resolution No. 1699 of the South Bend Redevelopment Commission determining tax increment needed to satisfy obligations of the Commission regarding the Sample -Ewing Allocation Area (South Bend Allocation Area No. 8) HAWPDATATOMMSM071699 Minutes.wpd -9- COMMISSION ADOPTED RESOLUTION NO. 1698 DETERMINING TAX INCREMENT NEEDED TO SATISFY OBLIGATIONS OF THE COMMISSION REGARDING THE SOUTH BEND CENTRAL ALLOCATION AREA. (SOUTH BEND CENTRAL ALLOCATION AREA. NO. 1 A) South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) h. continued... Upon a motion by Ms. Schwartz, seconded by Mr. Faccenda and unanimously carried, the Commission adopted Resolution No. 1699 determining tax increment needed to satisfy obligations of the Commission regarding the Sample -Ewing Allocation Area (South Bend Allocation Area No. 8) i. Commission approval requested for Resolution No. 1700 of the South Bend Redevelopment Commission determining tax increment needed to satisfy obligations of the Commission regarding the West Washington - Chapin Allocation Area (West Washington- Chapin Allocation Area No. 1A) Upon a motion by Ms. Schwartz, seconded by Mr. Faccenda, and unanimously carried, the Commission adopted Resolution No. 1700 determining tax increment needed to satisfy obligations of the Commission regarding the West Washington - Chapin Allocation Area (West Washington- Chapin Allocation Area No. 1 A) j. Commission approval requested for Resolution of the South Bend Redevelopment Commission determining tax increment needed to satisfy obligations f the Commission regarding the HAWPDATATOMMSM071699 Minutes.wpd -10- COMMISSION ADOPTED RESOLUTION NO. 1699 DETERMINING TAX INCREMENT NEEDED TO SATISFY OBLIGATIONS OF THE COMMISSION REGARDING THE SAMPLE -EWING ALLOCATION AREA (SOUTH BEND ALLOCATION AREA NO. 8) COMMISSION ADOPTED RESOLUTION NO. 1700 DETERMINING TAX INCREMENT NEEDED TO SATISFY OBLIGATIONS OF THE COMMISSION REGARDING THE WEST WASHINGTON - CHAPIN ALLOCATION AREA (WEST WASHINGTON - CHAPIN ALLOCATION AREA NO. IA) South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) j. continued... Airport Economic Development Allocation Area No. 1. Upon a motion by Ms. Schwartz, seconded by Mr. Faccenda and unanimously carried, the Commission adopted Resolution No. 1701 determining tax increment need to satisfy obligations of the Commission regarding the Airport Economic Development Allocation Area No. 1) k. Commission approval requested for Resolution No. 1702 approving an application for real property tax deduction for property at 3801 Voorde Drive in the Airport Economic Development Area. (Koontz - Wagner Electric Company, Inc.) Mike Beitzinger presented the following staff report to the Commission for its consideration. Koontz - Wagner Electric Company, Inc. has offered complete electrical services to its customers for over 75 years. The corporate office and main plant are located in a 76,000 sq ft facility at 3801 Voorde Drive, South Bend, Indiana. Koontz - Wagner proposes to expand the existing business to include a HAWPDATATOMMSM071699 Minutes.wpd _11- COMMISSION ADOPTED RESOLUTION NO. 1701 DETERMINING TAX INCREMENT NEED TO SATISFY OBLIGATIONS OF THE COMMISSION REGARDING THE AIRPORT ECONOMIC DEVELOPMENT ALLOCATION AREA NO. I South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) k. continued... 10,500 sq ft addition to the building. The addition is necessary because of strong growth in demand for package control rooms, manufactured by the Custom Controls Division. The project is expected to be completed by February 2000. Total estimated cost of the construction is $450,000. Per the petition, it is estimated that this project will create ten new, permanent jobs within the first year, representing a new annual payroll of $235,000 and will maintain 256 existing, permanent, full -time jobs with an annual payroll of $10,300,000. Of the 256 maintained jobs, 125 are construction field employees. A review of the tax abatements previously granted finds that Koontz - Wagner has not been granted previous tax abatements. The building commissioner has reviewed the petition and finds the property to be properly zoned for the proposed project. A review of the designated South Bend Redevelopment areas finds that the property is located in the Airport Economic Development Area, which is a Tax Incremental Allocation Area; therefore, the HAWPDATATOMMSM071699 Minutes.wpd -12- South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) k. continued... petition for real property tax abatement must first be approved by the South Bend Redevelopment Commission. A review of the Tax Abatement Ordinance finds that Koontz - Wagner meets the qualifications for a three - year real property tax abatement under Industrial Development Citywide General Standards. Using the estimated project cost of $450,000, the taxes generated over the three -year period will be approximately $67,843. Taxes abated over the three -year period will be approximately $45,229. Taxes still paid with the abatement over the three -year period will be approximately $22,614. Paul Witek, Treasurer for Koontz Wagner, stated that they hope to start construction in the late summer or early fall of 1999 with completion by February 2000. H: \WPDATA \COMMSN \071699 Minutes.wpd -13- South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) k. continued... Upon a motion by Mr. Faccenda, seconded by Mr. Blake and carried, the Commission adopted Resolution No. 1702 approving an application for real property tax deduction for property at 3801 Voorde Drive in the Airport Economic Development Area. (Koontz - Wagner Electric Company, Inc.) Michael Donoho abstained. 1. Commission approval requested for Resolution No. 1703 approving an application for personal property tax deduction for property at 4404 Nimtz Parkway in the Airport Economic Development Area. (Haldex Garphyttan Corporation) Mike Beitzinger presented the following staff report to the Commission for its consideration. Haldex Garphyttan Corporation manufactures and distributes valve - spring wire and related products for combustion engines. A new state - of- the -art Wire Rod Shaving Machine will be purchased in order to expand the company's capacity by 20 percent. The shaving operation is the most critical to meet the required quality standards. The investment could lead to further investments and expansion in the future as the HAWPDATA \C0MMSN \071699 Minutes.wpd -14- COMMISSION ADOPTED RESOLUTION NO. 1702 APPROVING AN APPLICATION FOR REAL PROPERTY TAX DEDUCTION FOR PROPERTY AT 3801 VOORDE DRIVE IN THE AIRPORT ECONOMIC DEVELOPMENT AREA. (KOONTZ- WAGNER ELECTRIC COMPANY, INC.) South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) 1. continued... company continues to capture a bigger market share. The development of the company since start-up in 1997 has been successful and the capacity has been reached earlier than expected. The estimated project cost is $1,300,000. Per the petition, it is estimated that this project will create two new, permanent, full -time jobs within the first year, representing a new annual payroll of $60,000 and will maintain 36 existing, permanent, full -time jobs and no part-time jobs representing an annual payroll of $1,977,000. A review of the tax abatements previously granted, finds that Haldex Garphyttan has been granted two previous tax abatements. Haldex Garphyttan is in compliance with the reporting requirements for the previous abatement. The building commissioner has reviewed the petition and finds the property to be properly zoned for the proposed project. HAWPDATATOMMSM071699 Minutesmpd -15- South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) 1. continued... A review of the designated South Bend Redevelopment areas finds that the property is located in the Airport Economic Development Area, which is a Tax Incremental Allocation Area; therefore, the petition for personal property tax abatement must first be approved by the South Bend Redevelopment Commission. A review of the Tax Abatement Ordinance finds that Haldex Garphyttan meets the qualifications for a five -year personal property tax abatement under Tangible Personal Property Tax Abatement. Using the estimated project cost of $1,300,000, the taxes generated over the five -year period will be approximately $126,742. Taxes abated over the five -year period will be approximately $104,268. Taxes still paid with the abatement over the five -year period will be approximately $22,474. Upon a motion by Mr. Faccenda, seconded by Mr. Blake and unanimously carried, the Commission adopted Resolution No. 1703 approving an application for personal property tax deduction for property at 4404 Nimtz Parkway in the Airport Economic Development Area. ( Haldex Garphyttan Corporation) H: \WPDATA \COMMSN\071699 Minutes.wpd -16- COMMISSION ADOPTED RESOLUTION NO. 1703 APPROVING AN APPLICATION FOR PERSONAL PROPERTY TAX DEDUCTION FOR PROPERTY AT 4404 NIMTZ PARKWAY IN THE AIRPORT ECONOMIC DEVELOPMENT AREA. (HALDEX GARPHYTTAN CORPORATION) South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) m. Commission approval requested for Resolution No. 1704 approving an application for personal property tax deduction for property at 3601 West McGill in the Airport Economic Development Area. (JRS Enterprise, LLC) AAA Tool and Die Company is a privately held, locally owned tool and die company. It was incorporated in 1961 and has been continuously located and operating in the South Bend area since that time. The company presently employs 26 people. JRS Enterprises, LLC intends to purchase a Mitsubishi FX -20K Wire EDM Machine, which will be leased to AAA Tool and Die Company, Inc. The estimated project cost is $191,000. Per the petition, it is estimated that this project will create two new, permanent, full -time jobs within the first year, representing a new annual payroll of $65,000 and will maintain 26 existing, permanent, full -time jobs and no part-time jobs representing an annual payroll of $1,360,000. A review of the tax abatements previously granted, finds that JRS Enterprise, LLC has not been granted previous tax abatement. H: \WPDATA \COMMSN \071699 Minutes.wpd -17- South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) m. continued... The building commissioner has reviewed the petition and finds the property to be properly zoned for the proposed project. A review of the designated South Bend Redevelopment areas finds that the property is located in the Airport Economic Development Area, which is a Tax Incremental Allocation Area; therefore, the petition for personal property tax abatement must first be approved by the South Bend Redevelopment Commission. A review of the Tax Abatement Ordinance finds that JRS Enterprise, LLC meets the qualifications for a five -year personal property tax abatement under Tangible Personal Property Tax Abatement. Using the estimated project cost of $191,000, the taxes generated over the five -year period will be approximately $18,621. Taxes abated over the five -year period will be approximately $15,319. Taxes still paid with the abatement over the five -year period will be approximately $3,302. H: \WPDATA \COMMSN \071699 Minutes.wpd -18- South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) m. continued... Upon a motion by Mr. Donoho, seconded by Ms. Schwartz, and unanimously carried, the Commission adopted Resolution No. 1704 approving an application for personal property tax deduction for property at 3601 West McGill in the Airport Economic Development Area. (JRS Enterprise, LLC) n. Commission approval requested for proposals for professional services in the South Bend Central Development Area. Mrs. Kolata stated that two proposals were received from R.E. Pitts & Associates, Inc. in the amount of $2,000 and Jerome E. Michaels in the amount of $1,800 to appraise the parking lot of the former C.E. Lee Building at 215 S. Main Street. She also stated that the City is looking to acquire the site in order to enlarge the site at Main and Jefferson Streets. The property has not yet been placed on the acquisition list. The staff recommends accepting both proposals. HAWPDATATOMMSM071699 Minutes.wpd -19- COMMISSION ADOPTED RESOLUTION NO. 1704 APPROVING AN APPLICATION FOR PERSONAL PROPERTY TAX DEDUCTION FOR PROPERTY AT 3601 WEST MCGILL IN THE AIRPORT ECONOMIC DEVELOPMENT AREA. (JRS ENTERPRISE, LLC) South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) n. continued... Upon a motion by Ms. Schwartz, seconded by Mr. Donoho and unanimously carried, the Commission accepted the proposals from R.E. Pitts & Associates, Inc. in the amount of $2,000 and Jerome E. Michaels in the amount of $1,800 for professional services in the South Bend Central Development Area. o. Commission approval requested for proposal for professional services in the Airport Economic Development Area. Mrs. Kolata stated that two proposals were received from Majority Building, Inc. in r the amount of $13,950 and Small, Inc. in the amount of $15,800 to remove a pile of dirt at the U.S. 31 Industrial Park. The staff recommends accepting the proposal from Majority Builders, Inc. Upon a motion by Ms. Schwartz, seconded by Mr. Donoho and unanimously carried, the Commission accepted the proposal from Majority Builders, Inc. in the amount of $13,950 for professional services in the Airport Economic Development Area. p. Commission approval requested for aerial photography of property in the Airport Economic Development Area. HAWPDATATOMMSM071699 Minutes.wpd -20- COMMISSION ACCEPTED THE PROPOSALS FROM R.E. PITTS & ASSOCIATES, INC. IN THE AMOUNT OF $2,000 AND JEROME E. MICHAELS IN THE AMOUNT OF $1,800 FOR PROFESSIONAL SERVICES IN THE SOUTH BEND CENTRAL DEVELOPMENT AREA COMMISSION ACCEPTED THE PROPOSAL FROM MAJORITY BUILDERS, INC. IN THE AMOUNT OF $13,950 FOR PROFESSIONAL SERVICES IN THE AIRPORT ECONOMIC DEVELOPMENT AREA South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) p. continued... Mrs. Kolata stated that the proposal received from Williams Aerial & Mapping, Inc. in the amount of $4,654.00 is for aerial photographs of the Blackthorn area, commercial strips and downtown South Bend. The staff recommends accepting the proposal. Upon a motion by Mr. Blake, seconded by Mr. Faccenda and unanimously carried, the Commission accepted the proposal from Williams Aerial & Mapping, Inc. in the amount of $4,654 for aerial photography of property in the Airport Economic Development Area. q. Commission approval requested for Certificate of Waiver in connection with the Rental Rehab Loan Program for property at 1349 E. Dubail. (Daniel J. Kois) Mrs. Kolata asked permission to table item 6.q. There was no objection and item 6.q. was tabled. r. Commission approval requested for Certificate of Waiver in connection with the Rental Rehab Loan Program for property at 421 N. Blaine. (Nicholas L. & Mary Ann Kenkel) Mrs. Kolata stated that the Certificate of Waiver forgives $750.00 as of January 31, 1999. HAWPDATATOMMSM071699 Minutes.wpd -21- COMMISSION ACCEPTED THE PROPOSAL FROM WILLIAMS AERIAL & MAPPING, INC. IN THE AMOUNT OF $4,654 FOR AERIAL PHOTOGRAPHY OF PROPERTY IN THE AIRPORT ECONOMIC DEVELOPMENT AREA 6.Q. WAS TABLED South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) r. continued... Upon a motion by Mr. Faccenda, seconded by Mr. Blake and unanimously carried, the Commission approved the Certificate of Waiver in connection with the Rental Rehab Loan Program for property at 421 N. Blaine. (Nicholas L. and Mary Ann Kenkel) s. Commission approval requested for Certificate of Waiver in connection with the Rental Rehab Loan Program for property at 717 N. Blaine. (Travis Shell) Mrs. Kolata stated that the Certificate of Waiver forgives $1,600.00 as of May 1, 1999. Upon a motion by Mr. Faccenda, seconded by Mr. Donoho and unanimously carried, the Commission approved the Certificate of Waiver in connection with the Rental Rehab Loan Program for property at 717 N. Blaine. (Travis Shell) t. Commission approval requested for Loan and Grant in connection with the Affordable Loan Program for property at 619 N. Walnut St. (Clover & Robert Jennings) Mrs. Kolata stated that the loan is in the amount of $7,050 at 3% interest for 15 years with monthly payments of $48.69. The grant is in the amount of $4,566.32. H: \WPDATA \COMMSN\071699 Minutes.wpd -22- COMMISSION APPROVED THE CERTIFICATE OF WAIVER IN CONNECTION WITH THE RENTAL REHAB LOAN PROGRAM FOR PROPERTY AT 421 N. BLAINE. (NICHOLAS L. AND MARY ANN KENKEL) COMMISSION APPROVED THE CERTIFICATE OF WAIVER IN CONNECTION WITH THE RENTAL REHAB LOAN PROGRAM FOR PROPERTY AT 717 N. BLAINE. (TRAVIS SHELL) South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) t. continued... Upon a motion by Mr. Donoho, seconded by Mr. Blake and unanimously carried, the Commission approved the Loan and Grant in connection with the Affordable Loan Program for property at 619 N. Walnut St. (Clover & Robert Jennings) u. Commission approval requested for Addendum I to Agreement for Use of Community Development Block Grant Funds for South Gateway Improvements, Phase II. (CD99- 8154- 1/2/99 - 12/31/99) Mrs. Kolata stated that the Amendment is for curb and sidewalk improvements along Michigan Street. The Amendment also includes the corners of all the streets between Sample and Ewing from Main on the west and St. Joseph on the east. Upon a motion by Ms. Schwartz, seconded by Mr. Faccenda and unanimously carried, the Commission approved Addendum I to the Agreement for Use of Community Development Block Grant Funds for South Gateway Improvements, Phase II. (CD99- 8154- 1/2/99 - 12/31/99) v. Commission approval requested for Resolution No. 1705 approving the transfer of real property to the South Bend Redevelopment Authority. H: \WPDATA \COMMSN \071699 Minutes.wpd -23- COMMISSION APPROVED THE LOAN AND GRANT IN CONNECTION WITH THE AFFORDABLE LOAN PROGRAM FOR PROPERTY AT 619 N. WALNUT ST. (CLOVER & ROBERT JENNINGS) COMMISSION APPROVED ADDENDUM I TO THE AGREEMENT FOR USE OF COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS FOR SOUTH GATEWAY IMPROVEMENTS, PHASE II. (CD99- 8154- 1/2/99 - 12/31/99) South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) v. continued... Mrs. Kolata stated that the resolution authorizes the transfer of the L- Shaped Lot at Lafayette and Monroe Streets, which the Redevelopment Commission purchased for the purpose of expanding the Studebaker Museum. The lot will be transferred to the Redevelopment Authority, which will lease it back to the Redevelopment Commission. This is required because of the Section 108 Loan that is used to pay for the lot. Upon a motion by Mr. Faccenda, seconded by Mr. Blake and unanimously carried, the Commission adopted Resolution No. 1705 approving the transfer of real property to the South Bend Redevelopment Authority. w. Staff report on meeting with River of Life Church. Mr. Blake stated that he and Michael Giulioni met with Pastor Ralph Parker, Co- Pastor Margaret Parker and Janice Hall on July 14, 1999. A number of issues regarding the parking lot, which River of Life Church wants to purchase, were discussed. Mrs. Kolata stated that the River of Life Church will be asked to fill out proposal forms, which are required when the City disposes of land. x. Commission approval requested for receipt of bids to construct the U.S. 31 Industrial Park Signage. H: \WPDATA \COMMSN \071699 Minutes.wpd -24- COMMISSION ADOPTED RESOLUTION NO. 1705 APPROVING THE TRANSFER OF REAL PROPERTY TO THE SOUTH BEND REDEVELOPMENT AUTHORITY South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) x. continued... Owen Rock, Economic Development Specialist, stated that three proposals were received from Kaser Spraker in the amount of $9,700, L.L.Geans in the amount of $9,500 and Casteel in the amount of $11,700 to construct the U.S. 31 Industrial Park Signage on the Welsh Oil property. Welsh Oil is providing an easement for this sign. The staff recommends accepting the proposal from L.L. Geans. Upon a motion by Mr. Faccenda, seconded COMMISSION ACCEPTED THE PROPOSAL FROM by Mr. Blake and unanimously carried, the L.L. GEANS IN THE AMOUNT OF $9,500.00 TO Commission accepted the proposal from CONSTRUCT THE U.S. 31 INDUSTRIAL PARK L.L. Geans in the amount of $9,500.00 to SIGNAGE construct the U.S. 31 Industrial Park Signage. y. Commission approval requested for proposal for professional services in the Airport Economic Development Area. (Blackthorn Corporate Park Sign Lighting) Mrs. Kolata stated that two proposals were received from LaPlace Electric Company, Inc. in the amount of $2,375.00 and K &R Electric, Inc. in the amount of $1,825.00 to light the Blackthorn Corporate Park Sign. The staff recommends accepting the proposal from K & R Electric, Inc. H: \WPDATA \COMMSN \071699 Minutes.wpd -25- South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) y. continued... Upon a motion by Ms. Schwartz, seconded by Mr. Blake and unanimously carried, the Commission accepted the proposal from K & R Electric, Inc. in the amount of $1,875.00 to light the Blackhthorn Corporate Park Sign in the Airport Economic Development Area. z. Staff report on disposition of property in the Airport Economic Development Area. Robert Case, Economic Development Specialist, presented the following staff report to the Commission for its consideration. Kevin Smith proposes to purchase and develop the 17.74 acre parcel of land located at the southwest corner of the U.S. 31 Bypass and the Indiana Toll Road. Deluxe Sheet Metal proposes to purchase the land for $18,000 and construct a 40,000 sf building. Deluxe Sheet Metal did not submit the required 10 percent performance guarantee. A schedule of construction was submitted. Deluxe Sheet Metal anticipates relocating its current facility next year, with construction to begin in the late fall of 1999. H: \WPDATA \COMMSN \071699 Minutes.wpd -26- COMMISSION ACCEPTED THE PROPOSAL FROM K & R ELECTRIC, INC. IN THE AMOUNT OF $1,875.00 TO LIGHT THE BLACKHTHORN CORPORATE PARK SIGN IN THE AIRPORT ECONOMIC DEVELOPMENT AREA. South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) z. continued... Deluxe Sheet Metal submitted a narrative description of the proposed project. Mr. Case stated that the parcel of land to be developed is large and suitable for multiple structures. However, the topography of the land makes it extremely expensive to develop the total site. Deluxe Sheet Metal has only committed to constructing one building with the possibility of future construction after the property has been subdivided. The staff recommends accepting the Contract for Sale of land with provision that Deluxe Sheet Metal needs to submit a more complete site and landscaping plan. Mrs. Kolata stated that there was a meeting held to discuss the development costs, which Deluxe Sheet Metal would have to incur in order to prepare the 17.74 acre site. The preparation of the site includes excavation, moving of dirt and constructing a roadway. She also stated that the staff recommendation is not only contingent on Deluxe Sheet Metal landscaping the site, but also contingent on Deluxe Sheet Metal bearing all the costs associated with preparing the site. HAWPDATATOMMSM071699 Minutes.wpd -27- South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) z. continued... Ms. Schwartz stated that the Commission will not be expected to reimburse any costs which Deluxe Sheet Metal incurs in order to prepare the site for development if the project does not come to fruition. She also stated that if the performance requirements are not met by Deluxe Sheet Metal, the Commission reserves the right to take back the 17.74 parcel of land, and the Commission will not be expected to reimburse Deluxe Sheet Metal for expenses it incurred. Kevin Smith stated that Deluxe Sheet Metal understands the Commission's position and does not expect reimbursement, should the project not come to fruition. Upon a motion by Mr. Faccenda, seconded by Mr. Blake and unanimously carried, the Commission accepted the proposal from Kevin M. Smith for property at the southwest corner of the Indiana Toll Road and U.S. 31 Bypass in the Airport Economic Development Area. Staff report on disposition of property in the Airport Economic Development Area. HAWPDATATOMMSM071699 Minutes.wpd -28- COMMISSION ACCEPTED THE PROPOSAL FROM KEVIN M. SMITH FOR PROPERTY AT THE SOUTHWEST CORNER OF THE INDIANA TOLL ROAD AND U.S. 31 BYPASS IN THE AIRPORT ECONOMIC DEVELOPMENT AREA South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) z. continued... Owen Rock, Economic Development Specialist, stated that a proposal to purchase land in the Blackthorn Corporate Park was received from JB Investment, LLC. Mr. Rock stated that a cul -de -sac will be constructed this year in the Blackthorn Corporate Park. Bids to construct the cul- de -sac are expected to be received on July 26, 1999. JB Investment, LLC proposes to purchase the 2.5 acre lot for $129,600. The developer proposes to construct a 8,200 sf child development center, which will include examination rooms, doctor offices and waiting rooms. Owen Rock stated that the Design Review Committee has reviewed the plans for the proposed project and made some suggestions. The suggestions have been addressed and new plans were submitted by JB Investment, LLC. The building will be constructed out of red brick, tinted aluminum windows and a shingled roof. There will be a lot of glass windows. The staff recommends accepting the proposal to purchase the 2.5 acre lot, subject to receiving the performance guarantee. HAWPDATATOMMSM071699 Minutes.wpd -29- South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) z. continued... Mrs. Kolata stated that the building will be one -story on the front and a two -story on the back because the land slopes. Mr. Rock stated that the construction of the road also includes the grading of the wetland. Mrs. Kolata stated that a time schedule for construction of a second building on the site and its acceptable square footage need to be submitted by JB Investment, LLC . Upon a motion by Ms. Schwartz, seconded by Mr. Faccenda and unanimously carried, the Commission accepted the proposal from JB Investment, LLC for the 2.54 acre lot in the Airport Economic Development Area, subject to receiving the required 10 percent performance guarantee, the time schedule for construction of the second building on the site and its acceptable square footage from JB Investment, LLC. Staff report on disposition of property in the Airport Economic Development Area. Robert Case, Economic Development Specialist, stated that a proposal was received from Rollins Truck Leasing Corporation to purchase 6.77 acres of land in the U.S. 31 Industrial Park Subdivision for $216,640. HAWPDATATOMMSM071699 Minutes.wpd -30- COMMISSION ACCEPTED THE PROPOSAL FROM JB INVESTMENT, LLC FOR THE 2.54 ACRE LOT IN THE AIRPORT ECONOMIC DEVELOPMENT AREA, SUBJECT TO RECEIVING THE REQUIRED 10 PERCENT PERFORMANCE GUARANTEE, THE TIME SCHEDULE FOR CONSTRUCTION OF THE SECOND BUILDING ON THE SITE AND ITS ACCEPTABLE SQUARE FOOTAGE FROM JB INVESTMENT, LLC South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) z. continued... The required ten percent performance guarantee was not submitted with the proposal. A scheduled of construction was submitted. The project will begin after the closing and be completed by March 2000. Rollins Truck Leasing Corporation proposes to construct a 13,500 sf masonry building, which will employ 18 people. The staff recommends not accepting the Contract for Sale of Land because the building lot is not zoned properly for the intended use. Also, the proposed building has only 5 percent coverage over the entire site. The staff also recommends working with Rollins Truck Leasing Corporation in finding an alternative site because the use and size of the proposed building is not of the highest and best use for this particular site. John Rollins III, Rollins Truck Leasing Corporation, presented a site plan to the Commission for its consideration. John Rollins III stated that Rollins Truck Leasing Corporation was founded in 1954 by John Rollins, Sr. The company began as a small automobile dealership. Today, there are 205 branch locations throughout the United States in industrial areas in all the major cities with the exception of South Bend. Rollins Truck Leasing Corporation is in the business of leasing trucks to companies. H: \WPDATA \COMMSN \071699 Minutes.wpd -31- South Bend Redevelopment Commission Regular Meeting - July 16, 1999 6. NEW BUSINESS (CONT.) z. continued... Hardie Blake stated that the City would like to have Rollins Truck Leasing Corporation in South Bend, but the location they're requesting is not zoned for Rollins Truck Leasing Corporation's proposed use. The Commission directed the staff to work with Rollins Truck Leasing Corporation. 7. PROGRESS REPORTS Mrs. Kolata stated that Quizno's opened on July 8, 1999, and is doing very well. Bids for the Main and Sample Lot are due by August 6. She also reported that Michele Bush will go on maternity leave on July 30, 1999. 8. NEXT COMMISSION MEETING: The next Regular Meeting of the Redevelopment Commission is scheduled for August 6, 1999, at 10:00 a.m. HAWPDATMCOMMSM071699 Minutes.wpd -32- South Bend Redevelopment Commission Regular Meeting - July 16, 1999 9. ADJOURNMENT There being no further business to come before the Redevelopment Commission, Mr. Faccenda made a motion that the meeting be adjourne r. Donoho seconded the motion a eeting was adjo reed at 11:18 a.m. Ro ert . Hunt, President HAWPDATATOMMSM071699 Minutes.wpd -33- ADJOURNMENT G- Ann E. Kolata, Director