HomeMy WebLinkAboutAmending Chapter 2 Article 14 New Section 2-169 Non-Reverting Housing Maintenance Fund ORDINANCE No. 7927-88
Passed by the Common Council of the City of South Bend, Indiana.
_ October 24, 19 88
Attest: ` � " -°�'�``�
Cicy Clerk
IRENE K. GAMMON
OP
Attest: `� 'resident of Common Council
Presented by me to the Mayor of the City of South Bend, Indiana
October 25, 19 88
City Clerk
IRENE K. GAMMON
Approved and signed by me October 27,
19 88
8 Mayor
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Substitute
BILL NO. 82-88 - Version As of 10-24-88
ORDINANCE NO. 1-1,°‘ `� (7- &g
AN ORDINANCE OF THE COMMON COUNCIL OF THE
CITY OF SOUTH BEND, INDIANA, AMENDING CHAPTER 2,
ARTICLE 14, BY THE INCLUSION OF NEW SECTION 2-169
ENTITLED NON-REVERTING HOUSING MAINTENANCE FUND
STATEMENT OF PURPOSE AND INTENT
On June 20, 1988, Mayor Joseph E. Kernan held a press
conference where he highlighted specific action which would
be taken by the City to further its commitment to providing
safe, decent, and sanitary housing. One of the items
highlighted was that the City would "explore the
establishment of a fund to be used as a backup to guarantee
that resources are available for short and long term
maintenance, thereby guaranteeing the preservation of
property values". It should be noted that payments in lieu
of taxes are permitted pursuant to Title 24 of the Code of
Federal Regulations, Section 941.103, and Section 36-7-18-25
of the Indiana Code.
On June 20, 1988, the South Bend Housing Authority
adopted a Resolution addressing the "Acquisition of Existing
Housing Program. " This Resolution addressed among other
things the need to set aside adequate funds for short-terms
and long-term maintenance of these homes.
The following ordinance establishes a non-reverting
housing fund for the receipt of public housing payments in
lieu of taxes which would be used solely as a backup funding
source for short and long-term maintenance. It further
provides for an amount to be funded in such fund each year
and sets a maximum amount to be retained in said fund.
NOW, THEREFORE, BE IT ORDAINED by the Common Council of
the City of South Bend, Indiana, as follows:
SECTION I. Chapter 2, Article 14 of the Municipal Code
of the City of South Bend, Indiana is hereby amended by the
inclusion of new Section 2-169 entitled "Non-Reverting
Housing Maintenance Fund" which shall read in its entirety
as follows:
Sec. 2-169 Non-Reverting Housing Maintenance Fund
(a) The South Bend Non-Reverting Housing
Maintenance Fund is established to receive monies from the
South Bend Housing Authority which are to be paid in lieu of
real and personal property taxes by said authority.
(b) A maximum of twenty-thousand dollars
($20,000. 00) of the City's proportionate share shall be
placed in said fund by July 1st of each year from such
funding source. The fund shall accumulate to a maximum of
$100,000. 00, with all interest earned to be placed in the
General Fund of the City.
(c) The monies accumulated in this fund may be
loaned only for the short or loner term PxtPrnal maintenannp
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with the Administration and Finance Department and/or the
Economic Development Department. Said criteria shall be
kept on file in the Office of the City Clerk. Any
application for such funds by the South Bend Housing
Authority shall be reviewed by the Economic Development
Department to determine the need and to recommend terms of
the loan. All expenditures from this fund shall be subject
to the approval of an appropriate ordinance of the Common
Council.
(d) Monies remaining in this fund at the end of
the fiscal year shall not revert to the General Fund, except
as otherwise provided in sub-section (b) herein.
(e) This fund shall be reviewed by the Common
Council beginning in the year 1998. If the Council fails to
specifically reaffirm or re-establish said fund by December
31, 1998, all monies remaining in this fund shall
automatically revert to the General Fund.
SECTION II. This ordinance shall be in full force and
effect from and after its passage by the Common Council and
approval by the Mayor.
%NOt„ 0(■.
Me • -r of the Common Council
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� ��� ���'-:` // Joseph E. Kernan, Mayor
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186
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South Bend Common Council
John Voorde Ann Puzzello Thomas Zakrzewski
President Vice-President Chairman. Committee of
the Whole
September 8, 1988
Members of the Common Council
4th Floor, County-City Building
South Bend, IN 46601
Dear Council Members:
Re: Non-Reverting Maintenance Fund
The attached bill will amend Chapter 2, Article 14 of the
Municipal Code by the inclusion of a new section, 2-169,
entitled Non-Reverting Maintenance Fund.
This bill will establish a fund to be used to back up other
funding sources for the short and long term maintenance needs of
the "Acquisition of Existing Housing Program. "
Passage of this bill would reflect the continuing effort to
address the legitimate questions raised pertaining to the
scattered sites housing program. This action is in response to
the guidelines and commitments established by Mayor Joseph
Kernan during his press conference of June 20th, 1988, that
addressed public concerns over property maintenance and property
values.
County-City Building • South Bend, Indiana 46601 • 219/284-9321
Stephen Luecke Donald Niezgodski William Soderberg Ann Puzzello Linas Slavinskas
First District Second District Third District Fourth District Fifth District
Thomas Zakrzewski Sean Coleman Loretta Duda John Voorde Kathleen Cekanski-Farrand
Sixth District At Large At Large At Large Council Attorney
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I would also note that the acting Secretary of HUD, Carl D.
Covitz, has written and advised Senator Richard Lugar that
non-essential amenities will not be replaced after their useful
life. This policy furthers the need for our own supplemental
fund, since we cannot guarantee that amenities in poor
condition; not maintained and allowed to be replaced with HUD
funds, could adversely affect property values of surrounding
homes.
I respectfully request your consideration and passage of this
bill.
Sincerely,
Linas K. Slavinskas
5th District Councilman