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The October 11, 2004 meeting of the Community and Economic Development Committee was
called to order by its Chairperson,Council Member Roland Kelly at 4:15 in the Council Informal
Meeting Room.
Persons in attendance included Council Members Dieter, Pfeifer, Kelly, Puzzello, Varner,
Kirsits,Kuspa,Coleman,and White; City Clerk John Voorde,Park Superintendent Phil St. Clair,
Executive Director of the Community and Economic Development Department Sharon Kendall,
Ed Fain, Tedd Schaffer, Derek Spier, Rita Kopola, Kathleen Cekanski-Farrand, Council
Attorney.
Council Member Kelly noted that the first item on the agenda was to review Bill No. 04-119
which is a five (5) year personal property tax abatement request for Federal-Mogul Powertrain,
Inc. for the property located at 3605 West Cleveland Road.
Tedd Schaffer, an Economic Development Specialist with the Department of Community &
Economic Development reviewed his report dated September 30, 2004 (copy attached). He
noted that the petitioner is a manufacturer of automotive pistons for GM, Ford and Nissan.
Federal-Mogul will transfer a piston machine line and tooling from Lagrange, Georgia to South
Bend. The cost of the new equipment will be $ 7.482 million. 548 existing full-time jobs would
be retained with an average salary of$44,521. The report concluded that the petitioner meets
the qualifications for a five(5)year personal property tax abatement under Section 2-84.2 of the
South Bend Municipal Code addressing tangible personal property tax abatement.
Mr. Ed Fain, Plant Manager made the presentation. He noted in response to a question from
Sharon Kendall that the piston machine line would be in addition to the currently lines operating
at Federal-Mogul Powertrain,Inc. He added that it would improve productivity.
There was no one present from the public to speak in favor or in opposition to the tax abatement
request.
Following discussion, Council Member Kirsits made a motion, seconded by Council Member
Kuspa that Bill No. 04-119 be recommended favorably to Council. The motion passed.
Council Member Kelly then called for a presentation on Bill No. 04-120 which is a five(5)year
residential real property tax abatement request of Kendall-Weiss,LLP for various lots located in
the Lafayette Falls Subdivision.
Tedd Schaffer, an Economic Development Specialist with the Department of Community &
Economic Development reviewed his report dated September 30, 2004 (copy attached). He
noted that the petitioner proposes to build 58 homes on the south side of Kern Road. The report
concluded that the petitioner meets the qualifications for a five (5) year residential real property
tax abatement under Section 2-77.1 of the South Bend Municipal Code addressing single family
real property tax abatement.
Com n cR zt:
Derek Spier of Abonmarche Consultants, LLC with offices at 750 Lincoln Way East in South
Bend made the presentation. He noted that this is phase 2 of the Lafayette Falls Subdivision
development. 116 acres are involved which will have a total of 266 lots. All of the proposed
homes will be stick-built.
In response to a question from Council Member Dieter,Mr. Spier stated that platting for phase 2
is under way and that the completion date will be next Spring.
Council Member Coleman made a disclosure for the record that he has had a business dealing in
this area that it will in no way affect his decision on this resolution.
Following discussion, Council Member Kirsits made a motion, seconded by Council Member
Coleman that Bill No. 04-120 be recommended favorably to Council. The motion passed.
There being no further business to come before the Committee, Council Member Kelly
adjourned the meeting at 4:20 p.m.
Respectfully submitted,
Council Member Roland Kelly,Chairperson
Community and Economic Development Committee
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Attachments
October 11,2004 Community and Economic Development Committee page 2