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Home My WebLink AboutRM 09-03-99v, SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING September 3, 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 Mr. Phil J. Faccenda Member Absent: Legal Counsel: Mr. Hardie Blake Mr. Brian Steinke Redevelopment Staff: Mrs. Ann E. Kolata, Director Mrs. Vangelean Urbanski, Recording Secretary Mr. Owen Rock, Economic Development Specialist Mr. Alex Koenig, Economic Development Specialist Mr. Michael Giulioni, Economic Development Specialist Mr. Robert Case, Economic Development Specialist Others: Mr. Richard Best Mr. William Shaver, Welsh, Inc. Mr. William Panzica, Panzica & Associates, Inc. Mr. Chuck Sausman Ms. Marcia Jones Mr. Pat Pinnick, South Bend Heritage Foundation 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 August 20, 1999. Upon a motion by Mr. Donoho, seconded by Mr. Faccenda and unanimously carried, the Commission approved the Minutes of the Regular Meeting of August 20, 1999. -1- COMMISSION APPROVED THE MINUTES OF THE REGULAR MEETING OF AUGUST 20, 1999 South Bend Redevelopment Commission Regular Meeting - September 3, 1999 3. APPROVAL OF CLAIMS Redevelopment Commission Claims submitted September 3, 1999 for approval. 212 CDBG COMMUNITY DEVELOPMENT Calendars $40.95 Peirce & Associates, Inc. $486.56 South Bend Water Works $16.67 Ameritech $26.82 Meridian Title Corp. $971.00 Business Systems, Inc. $227.82 American Planning Association $40.00 General Fund - Telephone $171.23 South Bend Tribune $57.32 Dainty Maid Bake Shop $24.95 PAC Bannerworks/Plastimatic Arts $9.00 The Print Shop $237.23 Liability Insurance $422.00 324 FUND Wightman Cramer, Inc. $600.00 Williams Aerial & Mapping $529.00 SiteScapes Inc. $76.60 Peirce & Associates, Inc. $1,671.25 Shamrock Network Design $125.00 Ken Herceg & Associates, Inc. $7,830.00 AEP $7.34 414 SAMPLE -EWING FUND Triad Engineering, Inc. $3,390.54 Burkhart Advertising Inc. $16,999.00 CFH Landscape Services $3,208.12 NIPSCO $6.36 AEP $6.65 420 SBDCA GENERAL ACCOUNT CB Richard Ellis /Sturges Bradley $16,626.00 Indiana Department of Transportation $39,372.89 CB Richard Ellis /Sturges Bradley $89.98 NIPSCO $19.58 -2- South Bend Redevelopment Commission Regular Meeting - September 3, 1999 3. APPROVAL OF CLAIMS (CONT.) 420 SBDCA GENERAL ACCOUNT Rose Exterminator Co. Big C. Lumber CB Richard Ellis /Sturges Bradley Upon a motion by Mr. Donoho, seconded by Mr. Faccenda and unanimously carried, the Commission approved the Claims submitted September 3, 1999, and ordered the checks to be released. 4. COMMUNICATIONS There were no Communications. 5. OLD BUSINESS There was no Old Business. 6. NEW BUSINESS a. Election of Secretary. Mrs. Kolata stated that Eugenia S. Schwartz resigned as a member of the Commission and as Secretary. A new secretary needs to be elected. Mr. Donoho nominated Phil Faccenda for Secretary of the Redevelopment Commission, Mr. Hunt seconded the motion. The motion carried. Mr. Faccenda is the new Secretary of the Redevelopment Commission. b. Staff report on acquisition of property in the Airport Economic Development Area. (Welsh, Inc. and Panzica) -3- $42.00 $42.89 $857.25 COMMISSION APPROVED THE CLAIMS SUBMITTED SEPTEMBER 3, 1999, AND ORDERED THE CHECKS TO BE RELEASED THERE WERE NO COMMUNICATIONS THERE WAS NO OLD BUSINESS COMMISSION ELECTED MR. FACCENDA AS THE NEW SECRETARY OF THE REDEVELOPMENT COMMISSION South Bend Redevelopment Commission Regular Meeting - September 3, 1999 6. NEW BUSINESS (CONT.) b. continued... Bob Case, Economic Development Specialist, presented the following staff report to the Commission for its consideration. Welsh, Inc. proposes to purchase and develop the north half of Lots 1 and 2A at the corner of Brick Road and Ameritech Drive in the U.S. 31 Industrial Park. The proposed purchase price is $164,000 for the 1.64 acre site. Welsh, Inc. proposes to develop a truck parking lot to be used by both the existing service station adjacent to the north half of Lots 1 and 2A and a future restaurant. Three Cross - easements and a joint parking easement will be provided as part of the acquisition and development of the lots. Welsh, Inc. submitted a schedule of construction for the parking lot to begin immediately after closing on the property and should be completed by the end of 1999 with the landscaping to be completed by early spring of 2000. The required 10 percent performance guarantee totaling $16,400 was not submitted by Welsh, Inc. and must be submitted prior to the closing on the property. me South Bend Redevelopment Commission Regular Meeting - September 3, 1999 6. NEW BUSINESS (CONT.) b. continued... The proposed use is in accordance with the land use plan for those Lots. The staff recommends working with Welsh, Inc. on the site and landscaping plans to insure that all design issues are addressed. This is particularly important because of the high visibility of these lots to Brick Road. The sale of this land will require a replat. The replat will also include all cross - access and parking easements. Welsh's proposed project will enhance the marketability of the undeveloped land still located on the north side of Brick Road by allowing access through the existing Welsh Service Station and this property. Also, landscaping and berming along the northern and southern boundaries of this property will be required as part of the proj ect. Upon a motion by Mr. Faccenda, seconded COMMISSION ACCEPTED THE PROPOSAL FROM by Mr. Donoho and unanimously carried, WELSH, INC. FOR THE NORTH '' /z OF LOTS 1 AND 2A the Commission accepted the proposal AT THE CORNER OF BRICK ROAD AND CLEVELAND ROAD IN THE U.S. 31 INDUSTRIAL from Welsh, Inc. for the north 1/2 of Lots 1 PARK and 2A at the corner of Brick Road and Cleveland Road in the U.S. 31 Industrial Park. Staff report on acquisition of property in the Airport Economic Development Area. -5- South Bend Redevelopment Commission Regular Meeting - September 3, 1999 6. NEW BUSINESS (CONT.) b. continued... Owen Rock, Economic Development Specialist, presented the following staff report to the Commission for its consideration. Crescent Michiana Properties proposes to purchase and develop Parcel 4P in the Blackthorn Corporate Park. The proposed purchase price is $233,325 for the 5.49 acres. The required 10 percent performance guarantee totaling $23,332 was submitted by Crescent Michiana Properties. Construction is expected to begin November 1, 1999, and be completed by August 2000. Crescent Michiana Properties proposes to construct a 46,100 sf facility. Crescent Michiana Properties has not revealed its client publicly but has revealed the client to the Redevelopment staff. The facility will be a mixture of office and support office space. The tenant will occupy 35,000 sf of the building with 24,000 sf for office use. Another 11,000 sf would be used for warehousing. The remainder of the building will be available for lease and will give the proposed tenant room to expand. The design of the building will consist of modular structural steel frame, prestressed colored concrete cladding and areas of glass for a modern office -like appearance similar to the Associate's building. c South Bend Redevelopment Commission Regular Meeting - September 3, 1999 6. NEW BUSINESS (CONT.) b. continued... Bill Panzica stated that his client is interested in office space. The building will have a lot of glass since its major use will be office use. A service drive will be continue along the back side of the property. After the other adjacent lots are sold and developed, the service drive will be constructed along the back of those buildings as well. The extra 10,000 sf. will allow for some speculative space. The length of Panzica's client's lease will be for 10 years. Mrs. Kolata asked Mr. Panzica what will be the use of the extra 10,000 sf. Mr. Panzica stated that Panzica Associates will possibly occupy some of the extra space. Also, there has been talk of constructing a 2,000 sf health club or allowing a small electronics company to occupy some of the space. Mr. Panzica stated that the tenant will be brought before the Commission and that Panzica Associates is aware of the guidelines of the Blackthorn Corporate Park. Upon a motion Mr. Faccenda, seconded by Mr. Donoho and unanimously carried, the Commission approved the Contract for Sale of Land with Crescent Michiana Properties to purchase Parcel 4P in the Blackthorn Corporate Park. G -7- COMMISSION APPROVED THE CONTRACT FOR SALE OF LAND WITH CRESCENT MICHIANA PROPERTIES TO PURCHASE PARCEL 4P IN THE BLACKTHORN CORPORATE PARK South Bend Redevelopment Commission Regular Meeting - September 3, 1999 6. NEW BUSINESS (CONT.) c. Staff report on Bids received for the property at Main and Sample Streets. Mrs. Kolata presented the following staff report to the Commission for its consideration. On August 6, 1999, the Commission received two bids for the property at Main and Sample Streets in the Sample -Ewing Development Area. These bids were opened at the rescheduled Commission meeting on August 13. Since that time, the staff has been reviewing the bids and it is our recommendation that both bids be rejected and the property be put up for bid again, with revised bid specifications. Both of the bids were too vague to allow for comparison. The staff is not able to make an objective decision based on what was submitted as the site plans and narratives did not provide enough detail. Our legal counsel has advised us that it is inappropriate to ask the bidders for supplemental information at this time because that would allow bidders to modify their bids and each bidder could make the claim that the other was given an unfair advantage. Because of this, we feel that the prudent course is to reject both bids and start the bid process over. We intend to rewrite the bid specifications in order to clarify the type of information we want to have included in the bids. C -8- South Bend Redevelopment Commission Regular Meeting - September 3, 1999 6. NEW BUSINESS (CONT.) c. continued... We also intend to allow more time for the bidders to expand on their proposals. We want to see more information at the time the bids are submitted. We intend to present revised bid specifications and a new bid schedule to you at your next Commission meeting on September 17. Upon a motion by Mr. Donoho, seconded by Mr. Faccenda and unanimously carried, the Commission rejected both bids received for the property at the corner of Main and Sample Streets in the Sample - Ewing Development Area. d. Commission approval requested for proposals for professional services in the Airport Economic Development Area. (Appraisal of 53011 Olive Road.) Mrs. Kolata stated that the two proposals received were from R.E. Pitts & Associates, Inc. in the amount of $1,500.00 and Douglas L. Carpenter and Associates, Inc. in the amount of $325.00 to appraise the property at 53011 Olive Road. In COMMISSION REJECTED BOTH BIDS RECEIVED FOR THE PROPERTY AT THE CORNER OF MAIN AND SAMPLE STREETS IN THE SAMPLE -EWING DEVELOPMENT AREA South Bend Redevelopment Commission Regular Meeting - September 3, 1999 6. NEW BUSINESS (CONT.) d. continued... Upon a motion by Mr. Faccenda, seconded by Mr. Donoho and unanimously carried, the Commission accepted the proposals from R.E. Pitts and Associates in the amount of $1,500.00 and Douglas L. Carpenter in the amount of $325.00 to appraise the property at 53011 Olive Road in the Airport Economic Development Area. e. Commission approval requested for proposal for professional services in the Airport Economic Development Area. (Monitoring the Construction of the Mitigation Wetland Area at the Blackthorn Corporate Park) Mrs. Kolata stated that the proposal was received from J.F. New & Associates, Inc. in the amount of $7,100.00 to monitor the construction of the mitigation wetland area at the Blackthorn Corporate Park and monitor the mitigation wetland for five years following construction and planting. She also stated that Redevelopment is conducting grading work for two, small, natural wetlands, which will be expanded into a five -acre wetland in the Blackthorn Corporate Park. It is anticipated that the planting will take place in May of 2000. -10- COMMISSION ACCEPTED THE PROPOSALS FROM R.E. PITTS AND ASSOCIATES IN THE AMOUNT OF $1,500.00 AND DOUGLAS L. CARPENTER IN THE AMOUNT OF $325.00 TO APPRAISE THE PROPERTY AT 53011 OLIVE ROAD IN THE AIRPORT ECONOMIC DEVELOPMENT AREA South Bend Redevelopment Commission Regular Meeting - September 3, 1999 6. NEW BUSINESS (CONT.) e. continued... Upon a motion by Mr. Faccenda, seconded by Mr. Donoho and unanimously carried, the Commission accepted the proposal from J.F. New & Associates, Inc. in the amount of $7,100.00 to monitor the construction of the mitigation wetland area and monitor the mitigation wetland for five years following construction and planting in the Blackthorn Corporate Park. f. Commission approval requested for proposal for professional services in the Airport Economic Development Area. (Meridian Title Corporation) Mrs. Kolata stated that the proposal received was from Meridian Title Corporation to handle closings in the Airport Economic Development Area. Upon a motion by Mr. Faccenda, seconded by Mr. Donoho and unanimously carried, the Commission accepted the proposal from Meridian Title Corporation for professional services in the Airport Economic Development Area. g. Commission approval requested for Third Amendment to Lease with American Partners, L.P. -11- COMMISSION ACCEPTED THE PROPOSAL FROM J.F. NEW & ASSOCIATES, INC. IN THE AMOUNT OF $7,100.00 TO MONITOR THE CONSTRUCTION OF THE MITIGATION WETLAND AREA AND MONITOR THE MITIGATION WETLAND FOR FIVE YEARS FOLLOWING CONSTRUCTION AND PLANTING IN THE BLACKTHORN CORPORATE PARK COMMISSION ACCEPTED THE PROPOSAL FROM MERIDIAN TITLE CORPORATION FOR PROFESSIONAL SERVICES IN THE AIRPORT ECONOMIC DEVELOPMENT AREA South Bend Redevelopment Commission Regular Meeting - September 3, 1999 6. NEW BUSINESS (CONT.) g. continued... Mrs. Kolata stated that a Third Amendment to the Lease with American Partners, L.P. ( "Landlord ") successor in interest to Osco Drug, Inc. ( "Tenant ") regarding a two -year lease will commence on September 13, 1998, and end on September 9, 2000. The rental rate in the amount of $45,948.00 per year, as set forth in the original Lease, shall remain the same. Upon a motion by Mr. Faccenda, seconded COMMISSION APPROVED THE THIRD AMENDMENT by Mr. Donoho and unanimously carried, TO THE LEASE WITH AMERICAN PARTNERS, L.P. the Commission approved the Third Amendment to the Lease with American Partners, L.P. h. Commission approval requested for Subordination to the Mortgage for the property at 804 Portage Avenue. (Robert P. and Charlene K. Bollman) Mr. Steinke stated that the Redevelopment Commission through the Housing Development Corporation approved a Rental Rehab Loan in the amount of $4,000 for Robert P. and Charlene K. Bollman of 804 Portage Avenue. At that time, 1St Source Bank had a lien on the house at 804 Portage Avenue. Robert P. and Charlene K. Bollman want to refinance approximately $39,000 of their first mortgage. First Source Bank is refinancing Mr. and Mrs. Bollman's mortgage and wants to remain in first place. -12- South Bend Redevelopment Commission Regular Meeting - September 3, 1999 6. NEW BUSINESS (CONT.) h. continued... Upon a motion by Mr. Donoho, seconded by Mr. Faccenda and unanimously carried, the Commission approved the Subordination to the Mortgage for the property at 804 Portage Avenue. (Robert P. and Charlene K. Bollman) i. Commission approval requested for professional services in the Airport Economic Development Area. (Replat Subdivision in the U.S. 31 Industrial Park, Section One, Second Replat) Mrs. Kolata stated that the proposal received was from The Abonmarche Group in the amount of $1,100.00 to replat Lots 1, 2 and 3 in the U.S. 31 Industrial Park. Upon a motion by Mr. Donoho, seconded by Mr. Faccenda and unanimously carried, the Commission accepted the proposal from The Abonmarche Group in the amount of $1,100.00 for professional services in the Airport Economic Development Area. (Replat Subdivision in the U.S. 31 Industrial Park, Section One, Second Replat) j. Commission approval requested for professional services in the Airport Economic Development Area. (Major Secondary Subdivision in the U.S. 31 Industrial Park, Section Four) -13- COMMISSION APPROVED THE SUBORDINATION TO THE MORTGAGE FOR THE PROPERTY AT 804 PORTAGE AVENUE. (ROBERT P. AND CHARLENE K. BOLLMAN) COMMISSION ACCEPTED THE PROPOSAL FROM THE ABONMARCHE GROUP IN THE AMOUNT OF $1,100.00 FOR PROFESSIONAL SERVICES IN THE AIRPORT ECONOMIC DEVELOPMENT AREA. (REPLAT SUBDIVISION IN THE U.S. 31 INDUSTRIAL PARK, SECTION ONE, SECOND REPLAT) South Bend Redevelopment Commission Regular Meeting - September 3, 1999 6. NEW BUSINESS (CONT.) j. continued... Mrs. Kolata stated that the proposal received from The Abonmarche Group was in the amount of $1,500.00 to provide surveying and subdivision services in the U.S. 31 Industrial Park. Upon a motion by Mr. Faccenda, seconded by Mr. Donoho and unanimously carried, the Commission accepted the proposal from The Abonmarche Group in the amount of $1,500.00 for professional services in the Airport Economic Development Area. 7. PROGRESS REPORTS Mrs. Kolata reported that a grant in the amount of $200,000 was received from the Environmental Protection Agency to conduct a study of potential Brownfields along the Commercial Corridors. She also stated that Alex Koenig, Economic Development Specialist, wrote a very nice application for the pilot program. The $200,000 will be used over two -years and involves heavy, public participation. Redevelopment intends to use the Steering Committees and the members from the different Commercial Corridors as part of the public participation process. She also reported that the Portage Avenue study is coming along. A draft plan will be presented on October 6, 1999, at 7:00 p.m. -14- COMMISSION ACCEPTED THE PROPOSAL FROM THE ABONMARCHE GROUP IN THE AMOUNT OF $1,500.00 FOR PROFESSIONAL SERVICES IN THE AIRPORT ECONOMIC DEVELOPMENT AREA South Bend Redevelopment Commission Regular Meeting - September 3, 1999 7. PROGRESS REPORTS (CONT.) The Lincolnway West, South Gateway and Western Avenue Corridors Committees all submitted their proposals for funding. The recommendations will be sent to the Mayor. The proposals turned in amounted to approximately $850,000. There is $550,000 available in 1999. Mrs. Kolata reported that Blackthorn Court and the wetland are under construction. She also stated that Showerlux Drive has been completed. Mrs. Kolata reported that Shafer Gear has moved their machinery into its building and is soon to complete the office move. She also reported that extension of Ameritech Drive has begun. Mrs. Kolata reported that Eagle Freight, MaxiBlast and Union Business Center all are under construction. She also reported that Pat Brown of SiteScapes has done a great job on the landscaping in the Blackthorn Corporate Park. 8. NEXT COMMISSION MEETING: The next Regular Meeting of the Redevelopment Commission is scheduled for September 17, 1999, at 10:00 a.m. -15- South Bend Redevelopment Commission Regular Meeting - September 3, 1999 9. ADJOURNMENT There being no further business to come before the Redevelopment Commission, Mr. Donoho made a motion that the meeting be adjourn r. Faccenda seconded the motion eeting was a4joynked at 10:45 a.m. Robert W. Hunt, President M z -16- ADJOURNMENT Ann E. Kolata, Director