HomeMy WebLinkAboutRM 08-04-00SOUTH BEND REDEVELOPMENT COMMISSION
REGULAR MEETING
August 04, 2000
10:00 a.m.
Presiding: Robert W. Hunt, President
1. ROLL CALL
Members Present:
Legal Counsel:
1308 County -City Building
227 West Jefferson Boulevard
South Bend, Indiana
Mr. Robert W. Hunt, President
Ms. Marcia Jones, Vice - President
Mr. Philip J. Faccenda, Secretary
Mr. Matt Kahn, Member
Mr. James Caldwell
Ms. Cheryl Greene
Redevelopment Staff: Mr. Jon Hunt, Director
Ms. Debi Perkins, Recording Secretary
Mr. Alex Koenig, Economic Development Specialist
Mr. Andy Laurent, Economic Development Specialist
Mr. Michael Giulioni, Economic Development Specialist
Mr. Robert Case, Economic Development Specialist
Ms. Sandy Moran, Economic Development Specialist
Mr. Jeff Meyer, Intern
Mr. Tom Nichol, Intern
Others Mr. Richard Deahl, Barnes & Thornburg
Mr. Patrick Flanagan, Kokoku Wire
Mr. Frank Perri, Holladay Corp.
Steve Staszewski, Ralph Jones Partners
Mr. William Cupp, GWSB
2. APPROVAL OF MINUTES
a. Commission approval of the Minutes of the
Regular Meeting of July 21, 2000.
Upon a motion by Ms. Jones, seconded by
Mr. Caldwell and unanimously carried, the
Commission approved the Minutes of the
Regular Meeting of July 21, 2000.
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COMMISSION APPROVED THE MINUTES OF
THE REGULAR MEETING OF JULY 21, 2000
South Bend Redevelopment Commission
Regular Meeting— August 4, 2000
3. APPROVAL OF CLAIMS
Redevelopment Commission Claims submitted August 4, 2000 for approval.
212 CDBG COMMUNITY DEVELOPMENT
Robert Case
$1,684.45
Andrew Laurent
$795.00
Insty Prints
$12.80
Tri- County News
$22.62
Federal Express Co.
$65.90
Printshop
$139.54
General Fund - Telephone
$212.16
South Bend Water Works
$15.56
NIPSCO
$6.06
324 FUND
J.F. New & Associates, Inc. $272.95
420 FUND
R.E. Pitts & Associates, Inc. $3,750.00
414 SAMPLE -EWING FUND
Ken Herceg & Associates, Inc. $1,431.86
Knapp Environmental Construction $120,545.68
Joe Poul C/O John B. Ford $24,000.00
R.E. Pitts & Associates, Inc. $600.00
CFH Landscape Services $3,485.50
424 TIF- SBCDA- BUILDING OPERATIONS
American Electric Power
$2,413.93
CB Richard Ellis
$560.32
W. W. Grainger, Inc.
$35.02
NIPSCO
$12.14
South Bend Water Works
$170.03
C & C Service, Inc.
$100.00
All -Phase Electric Supply
$72.24
Howard Park Hardware
$25.67
Rose Exterminator Co.
$42.00
619 BLACKTHORN
Meadowbrook Golf Group, Inc. $7,450.00
TOTAL ALL CLAIMS $167,921.44
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South Bend Redevelopment Commission
Regular Meeting— August 4, 2000
3. APPROVAL OF CLAIMS (Cont.)
Upon a motion by Mr. Faccenda, seconded by
Ms. Jones and unanimously carried, the
Commission approved the Claims submitted
August 04, 2000, and ordered the checks to be
released.
4. COMMUNICATIONS
There were no Communications.
5. OLD BUSINESS
a. Commission approval requested for proposal
for professional services in the South Bend
Central Development Area. (Removal of
Dead/Dying Tree at 613 South St.)
Mr. Hunt noted that the Redevelopment
Commission owns the property at 613 South
Street. The South Bend Parks & Recreation
Department notified us in writing that a
dead/dying tree located at 613 South St. needed
to be removed.
Mr. Giulioni presented the Commission with
estimates from two tree removal companies. The
first estimate was from Cannady Tree Service for
$550, and the second was from Cruz Tree
Service for $450. He recommended that the
Commission approve the proposal from Cruz
Tree Service for the removal of the tree.
Upon a motion by Mr. Kahn, seconded by
Mr. Caldwell and unanimously carried, the
Commission approved the proposal from Cruz
Tree Service for the removal of the dead/dying
tree.
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COMMISSION APPROVED THE CLAIMS
SUBMITTED AUGUST 04, 2000, AND ORDERED
THE CHECKS TO BE RELEASED
THERE WERE NO COMMUNICATIONS
COMMISSION APPROVED THE PROPOSAL
FROM CRUZ TREE SERVICE FOR THE
REMOVAL OF DEAD/DYING TREE (613 SOUTH
ST.)
South Bend Redevelopment Commission
Regular Meeting— August 4, 2000
5. OLD BUSINESS (Cont.)
b. Commission approval requested for proposal
for professional services in the South Bend
Central Development Area. (Lease Rate
Analysis for Palais Royale Retail Space)
Mr. Giulioni noted that the Palais Royale Retail
Space needs to be re- appraised before it can be
offered for lease. Two appraisals are required.
We have a proposal from R.E. Pitts &
Associates, Inc. in the amount of $1,500; and a
second proposal from F. M. Properties in the
amount of $1,200. Mr. Giulioni noted that both
proposals fall within the usual cost for such
services.
Upon a motion by Mr. Kahn, seconded by
Ms. Jones and unanimously carried, the
Commission approved proposals from R.E. Pitts
and F.M. Properties for professional services in
the South Bend Central Development Area.
(Lease Rate Analysis for Palais Royale Retail
Space)
6. NEW BUSINESS
Mr. Jon Hunt asked that Item 6.j be added to the
agenda.
a. Public Hearing on Resolution No. 1783
amending the South Bend Central
Redevelopment Plan.
Mr. Jon Hunt noted the following items related to
the Public Hearing are in the file: 1) an original
Notice of Public Hearing concerning the South
Bend Central Development Area Development
Plan; 2) an affidavit of the Advertising Manager
of the South Bend Tribune that Notice of Public
Hearing was published in that daily newspaper
on July 22, 2000; 3) a copy of the July 22, 2000
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COMMISSION APPROVED PROPOSALS FROM R.E.
PITTS AND F.M. PROPERTIES FOR PROFESSIONAL
SERVICES IN THE SOUTH BEND CENTRAL
DEVELOPMENT AREA. (LEASE RATE ANALYSIS
FOR PALAIS ROYALE RETAIL SPACE)
PUBLIC HEARING ON RESOLUTION NO. 1783
South Bend Redevelopment Commission
Regular Meeting— August 4, 2000
6. NEW BUSINESS (Cont.)
a. continued...
Tri- County news in which the Notice of Hearing
is published; 4) a statement from Michael
Giulioni that on July 18, 2000 he sent a copy of
the Notice of Hearing to the affected property
owner; and 5) a copy of Resolution No. 1783
which is the subject of the hearing. Mr. Hunt also
noted that as of 10:00 a.m., no written
remonstrances were received.
Mr. Hunt noted the Resolution No 1783 amends
the South Bend Central Development Area
Development Plan by adding property located at
710 N. Niles Ave. to the acquisition list. This is
the former Yellow Cab site.
Mr. Robert Hunt opened the public hearing for
anyone who wished to speak regarding
Resolution No. 1783.
There being no one who wished to speak,
Mr. Hunt closed the public hearing for whatever
action the Commission wished to take.
b. Commission approval requested for
Resolution 1783.
Upon a motion by Mr. Faccenda, seconded by
Mr. Kahn and unanimously carried, the
Commission approved Resolution No. 1783,
Amending the South Bend Central
Redevelopment Plan. (710 N. Niles Ave.)
c. Commission approval requested for Loan and
Grant in connection with the Affordable Loan
Program for property located at 1242 E.
Howard St. (Betty Chism)
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COMMISSION APPROVED RESOLUTION
NO. 1783, AMENDING THE SOUTH BEND
CENTRAL REDEVELOPMENT PLAN (7 10 N.
NILES AVE)
South Bend Redevelopment Commission
Regular Meeting— August 4, 2000
6. NEW BUSINESS (Cont.)
c. continued...
Mr. Jon Hunt noted that the loan is in the amount
of $10,100.00 to be used for home improvement.
The grant amount is $4,255.68.
Upon a motion by Mr. Kahn, seconded by COMMISSION APPROVED THE LOAN AND GRANT
Ms. Jones and unanimously carried, the IN CONNECTION WITH THE AFFORDABLE LOAN
Commission approved the Loan and Grant in PROGRAM FOR PROPERTY LOCATED AT 1242 E.
connection with the Affordable Loan Program HOWARD ST. (BETTY CHISM)
for property located at 1242 E. Howard St. (Betty
Chism)
d. Commission approval requested for Loan and
Grant in connection with the Affordable Loan
Program for property located at 730 Haney.
(Jerry Newhouse)
Mr. Jon Hunt noted that the loan is in the amount
of $3,250.00 to be used for home improvements.
The grant amount is $1,265.55.
Upon a motion by Mr. Kahn, seconded by COMMISSION APPROVED THE LOAN AND GRANT
Ms. Jones and unanimously carried, the IN CONNECTION WITH THE AFFORDABLE LOAN
Commission approved the Loan and Grant in PROGRAM FOR PROPERTY LOCATED AT 730
connection with the Affordable Loan Program HANEY (JERRY NEWHOUSE)
for property located at 730 Haney. (Jerry
Newhouse)
e. Commission approval requested for Loan and
Grant in connection with the Affordable Loan
Program for property located at 1206 Blaine
Ave. (Helen M. Heintzelman)
Mr. Jon Hunt noted that the loan is in the amount
of $3,900.00 to be used for home improvements.
The grant amount is $2,464.00.
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South Bend Redevelopment Commission
Regular Meeting— August 4, 2000
6. NEW BUSINESS (Cont.)
e. continued...
Upon a motion by Mr. Kahn, seconded by
Ms. Jones and unanimously carried, the
Commission approved the Loan and Grant in
connection with the Affordable Loan Program
for property located at 1206 Blaine Ave. (Helen
M. Heintzelman)
E Commission approval requested for Loan and
Grant in connection with the Affordable Loan
and Grant Program for property located at
617 E. Haney. (Raymond Garcia, Sr. &
Jimmie Lou Garcia)
Mr. Jon Hunt noted that the loan is in the amount
of $6,700.00 to be used for home improvements.
The grant amount is $6,121.50.
Upon a motion by Mr. Kahn, seconded by
Ms. Jones and unanimously carried, the
Commission approved the Loan and Grant in
connection with the Affordable Loan Program
for property located at 617 E. Haney
St.(Raymond Garcia, Sr. & Jimmie Lou Garcia)
g. Commission approval requested for
Resolution No. 1786 approving an application
for real property tax deduction for property
located at 3815 Ralph Jones Dr. in the Airport
Economic Development Area. (Ralph Jones
Partners L.P.)
Ms. Moran presented the staff report on the
project. Ralph Jones Partners L.P. proposes to
build a 25,000 sq. ft. build to suit, multi - purpose,
single tenant industrial building. The building
will be constructed on approximately 3.22 acres
of land. The total cost for the building will be an
estimated $1,400,000. The building will be used
EFA
COMMISSION APPROVED THE LOAN AND GRANT
IN CONNECTION WITH THE AFFORDABLE LOAN
PROGRAM FOR PROPERTY LOCATED AT 1206
BLAINE AVE. (HELEN M. HEINTZELMAN)
COMMISSION APPROVED THE LOAN AND GRANT
IN CONNECTION WITH THE AFFORDABLE LOAN
PROGRAM FOR PROPERTY LOCATED AT 617 E.
HANEY ST. (RAYMOND GARCIA, SR. &JIMMIE
Lou GARCIA)
South Bend Redevelopment Commission
Regular Meeting— August 4, 2000
6. NEW BUSINESS (Cont.)
g. continued...
to manufacture and distribute tools for the
construction trades. The tenant's main product is
a tool that mechanically ties reinforcing steel.
Per the petition, it is estimated that this project
will create eleven (11) new permanent jobs
within the first year, representing a new annual
payroll of $425,000 and will maintain three (3)
existing permanent full time jobs with an annual
payroll of $125,000.
A review of the tax abatements previously
granted finds that the petitioner has not been
granted any previous tax abatements; however
the partners of Ralph Jones Partners L.P. have
been associated with several previous tax
abatements. The associated entities are in
compliance with the reporting requirements for
the previous abatements.
The building commissioner has reviewed the
petition and finds the property to be properly
zoned for the proposed project.
A review of the South Bend Redevelopment
designation areas finds that the property is
located in the Airport Economic 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.
A review of the Tax Abatement Ordinance finds
that the petitioner meets the qualifications for a
six (6) year real property tax abatement.
5:2
South Bend Redevelopment Commission
Regular Meeting— August 4, 2000
6. NEW BUSINESS (Cont.)
g. continued...
Without abatement, based on an estimated
project cost of $1,400,000 and a constant tax
rate, the taxes to be paid over the six -year period
would be approximately $417,170. With
abatement, the taxes paid over the six -year period
are estimated to be approximately $171,967.
Therefore, the cost of the abatement would be
approximately $245,203.
Upon a motion by Mr. Caldwell, seconded by
Mr. Kahn and unanimously carried, the
Commission approved Resolution No. 1786
approving an application for real property tax
deduction for property located at 3815 Ralph
Jones Dr. in the Airport Economic Development
Area. (Ralph Jones Partners L.P.)
h. Commission approval requested for
Resolution No. 1787 approving an application
for personal property tax deduction for
property located at 1217 S. Walnut St. in the
Sample -Ewing Development Area. ( Kokoko
Wire Industries Corp.)
Ms. Moran presented the staff report on the
project. Kokoku Wire Industries Corporation
proposes to purchase new multi - functional
machinery and equipment with dry drawing wire,
pay -off, dead block coil, descaler, and pointing
capabilities. The machinery will increase
production and produce a wider variety of
products. This purchase will allow the company
to increase their competitive position. The
estimated cost of the equipment is between
$430,000 - 530,000.
Per the petition, it is estimated that this project
will not create any new jobs; however, the
In
COMMISSION APPROVED RESOLUTION NO. 1786
APPROVING AN APPLICATION FOR REAL
PROPERTY TAX DEDUCTION FOR PROPERTY
LOCATED AT 3815 RALPH JONES DR. IN THE
AIRPORT ECONOMIC DEVELOPMENT AREA.
(RALPH JONES PARTNERS L.P.)
South Bend Redevelopment Commission
Regular Meeting— August 4, 2000
6. NEW BUSINESS (Cont.)
h. continued...
investment will enable sixty -two (62) permanent
full time and one (1) part-time jobs with an
annual payroll of $1,785,600 to continue.
A review of the tax abatements previously
granted finds that the petitioner has been granted
one previous tax abatement. A personal property
tax abatement was granted through Resolution
No. 1694 -89 on January 23, 1989.
The building commissioner has reviewed the
petition and finds the property to be properly
zoned for the proposed project.
A review of the South Bend 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 for personal property tax
abatement must first be approved by 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.
Without abatement, based on an estimated
project cost of $480,000 and a constant tax rate,
the taxes to be paid over the five -year period
would be approximately $48,807. With
abatement, the taxes paid over the five -year
period are estimated to be approximately
$16,020. Therefore, the cost of the abatement
would be approximately $30,786.
i.
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South Bend Redevelopment Commission
Regular Meeting— August 4, 2000
6. NEW BUSINESS (Cont.)
h. continued...
Upon a motion by Mr. Kahn, seconded by Ms.
Jones and unanimously carried, the Commission
approved Resolution No. 1787 approving an
application for personal property tax deduction
for property located at 1217 S. Walnut St. in the
Sample -Ewing Development Area. (Kokoko
Wire Industries Corp.)
i. Commission approval requested for
Resolution No. 1788 approving an application
for Real Property Tax Deduction for property
located at 5759 Brick Road in the Airport
Economic Development Area. (GWSB
Properties, LLC)
Ms. Moran presented the staff report on the
project. GWSB Properties, LLC will construct a
198,000 sq. ft. warehouse using tilt wall concrete
construction on approximately 12.8 acres of land.
The project is estimated to cost $5.5 million.
The building will be occupied by Global
Motorsport Group, Inc. as a distribution center.
Global distributes motorcycle parts and
accessories.
Per the petition, it is estimated that this project
will create 50 new, permanent, full time jobs
within the first year, representing a new annual
payroll of $1.3 million.
A review of the tax abatements previously
granted, finds that the petitioner has not been
granted any previous tax abatements.
The building commissioner has reviewed the
petition and has found the property to be properly
zoned for the proposed use.
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COMMISSION APPROVED RESOLUTION NO. 1787
APPROVING AN APPLICATION FOR PERSONAL
PROPERTY TAX DEDUCTION FOR PROPERTY
LOCATED AT 1217 S. WALNUT ST. IN THE
SAMPLE -EWING DEVELOPMENT AREA.
(KOKOKO WIRE INDUSTRIES CORP.)
South Bend Redevelopment Commission
Regular Meeting— August 4, 2000
6. NEW BUSINESS (Cont.)
i. continued...
A review of the South Bend Redevelopment
designation areas finds that the property is
located in the Airport Economic 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.
A review of the Tax Abatement Ordinance finds
that the petitioner meets the qualifications for a
ten -year real property tax abatement.
Without abatement, based on an estimated
project cost of $5,500,000 and a constant tax
rate, the taxes to be paid over the ten -year period
would be approximately $2,731,471. With
abatement, the taxes paid over the ten -year
period are estimated to be approximately
$1,379,393. Therefore, the cost of the abatement
would be approximately $1,352,078.
Mr. Cupp thanked the staff for the last minute
effort they made to get this report ready for the
meeting. GWSB is on a fast schedule, hoping to
get their building constructed this year. He noted
that Global Motorsports has been in business for
over 30 years. They have several distribution
centers in several locations in the U.S. as well as
overseas.
Upon a motion by Mr. Caldwell, seconded by
Ms. Jones and unanimously carried, the
Commission approved Resolution No. 1788
approving an application for Real Property Tax
Deduction for property located at 5759 Brick
Road in the Airport Economic Development
Area. (GWSB Properties, LLC)
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COMMISSION APPROVED RESOLUTION NO. 1788
APPROVING AN APPLICATION FOR REAL
PROPERTY TAX DEDUCTION FOR PROPERTY
LOCATED AT 5759 BRICK ROAD IN THE AIRPORT
ECONOMIC DEVELOPMENT AREA. (GWSB
PROPERTIES, LLC)
South Bend Redevelopment Commission
Regular Meeting— August 4, 2000
6. NEW BUSINESS (Cont.)
j. Commission approval requested for Lease
with Precise Audio in the South Bend Central
Development Area.
Mr. Giulioni noted that at the July 21 meeting
the Commission approved the proposal from
Precise Audio to lease retail space on the ground
floor of the Leighton Plaza garage. There were
no changes in the Lease from the terms accepted
at the 7/21/00 meeting.
Upon a motion by Mr. Caldwell, seconded by
Mr. Kahn and unanimously carried, the
Commission approved the Lease with Precise
Audio in the South Bend Central Development
Area.
Ms. Greene asked permission to add item 6.k. to the
agenda. There was no objection and item 6.k. was
added.
k. Commission approval requested for Parking
Agreement with Standard Federal Bank to
lease parking spaces in the Leighton Plaza
Garage in the South Bend Central
Development Area.
Ms. Greene explained that Standard Federal has
agreed to pay $35.00 per month for six parking
spaces. That is our standard rate.
Upon a motion by Mr. Kahn, seconded by Ms.
Jones and unanimously carried, the Commission
approved the Parking Agreement with Standard
Federal Bank to lease parking spaces in the
Leighton Plaza Garage in the South Bend
Central Development Area.
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COMMISSION APPROVED THE LEASE WITH
PRECISE AUDIO IN THE SOUTH BEND CENTRAL
DEVELOPMENT AREA
COMMISSION APPROVED THE PARKING
AGREEMENT WITH STANDARD FEDERAL BANK
TO LEASE PARKING SPACES IN THE LEIGHTON
PLAZA GARAGE IN THE SOUTH BEND CENTRAL
DEVELOPMENT AREA
South Bend Redevelopment Commission
Regular Meeting— August 4, 2000
7. PROGRESS REPORTS
Mr. Giulioni acknowledged the hard work of
Redevelopment's summer interns: Tom Nichol, a
Senior at Notre Dame majoring in Government; and
Jeff Meyer, a Senior at Ball State studying Regional
Planning.
8. NEXT COMMISSION MEETING
The next Regular Meeting of the Redevelopment
Commission is scheduled for Friday, August 18,
2000 at 10:00 a.m.
9. ADJOURNMENT
There being no further business to come before the
Redevelopment Commission, Ms. Jones made a
motion that the meeting be adjourned. Mr.
Faccenda seconded the motion and the meeting was
adjourned at 10:29 a.m.
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PROGRESS REPORTS
NEXT MEETING
ADJOURNMENT
G
Donald Inks, Director