HomeMy WebLinkAbout04-14-83 Informal Meeting of the Common Council OIommt art Rood
Clo Hp mammon (burnt of the Oltng of f►outjl litnik INFORMAL MEETING OF THE COMMON COUNCIL
The April 14, 1983 informal meeting of the Common Council
was called to order by Beverlie J. Beck, President, in the regular Council
meeting room.
Persons in attendance included, Councilmen Serge, Szymkowiak,
Beck, McGann, Taylor, Zielinski, Crone, Harris and Voorde, Terry Miller, Jan
Jenkins, Joe Butkus, Tom Brubaker; Brian Hedman, Gust Saros, Betty Tucker,
Dave House, Gloria Miller, Leroy Brown, Mary Kay Huzar, Attorney Tom Walz,
Cindy Medich, Alfred Rubin, Rich Wagner, T.Brooks Brademas, Milton Kovis,
Ron Radecki, Kathleen Cekanski-Farrand, Mr. Jack McDaniel, various members
of the news media and other interested citizens.
President Beck stated that the purpose of the meeting was to
receive an update for discussion on the Century Center. She then introduced
the Council Members and announced that persons other than those giving a•
formal presentation would be limited in time.
Mr. Terry Miller, President of the Century Center Board of
Managers then addressed the Council. He passed out a copy of the annual
report. He noted that in 1982 the City received a fair return for their
$297,300 investment with the remainder being funder by Hotel/Motel Room Tax and
User Fees. He then introduced various Board members who were in attendance.
He noted that the various attacks on the Century Center Board of Managers were
by people interested only in their own interests rather than the Community's
Approximately 40-0, 000 people go through the Century Center annually and has
an $11 Million Dollar impact on the Community. He then reviewed various goals
namely, to re-organize the staff, to expand rental space available, to
have a detailed parking study, to see that the island wall is repaired by the
Board of Works and Park Department and to clarify the duties and responsibilitie
of Discovery Hall and the Studebaker Museum. He stated that the cost of these
two facilities is too high for the City, $121,000 for Studebaker Museum and
$119, 000 for Discovery Hall. He believed a Community based board would be
the answer.
Mr. Miller also noted that Morris Auditorium was receiving no
property tax support in 1983. He saw potential for tourism in the Washington
Street corridor, a Studebaker days festival and needed historical tours.
• Mr. Miller complimented Mr. Al 'Rubin of Colonial Caterers and
stated that their service is unmatched. Additional proposals for the caterering
service at the Century Center would be taken at the end of 1984.
Mr. Brian Hedman then introduced various members from his staff.
Mr. Tom Walz, attorney for the St. Joseph County Hotel/Motel
Association then gave a formal presentation. He noted that this group
represents over 80.0 employees, 1,287 rooms., has a $5 million dollar payroll,
and $2.0 million dollar gross revenues yearly. The purpose of the Association
is to promote the economic environment for St. Joseph County so that groups
like the Board of Managers operate in an efficient, business-like manner. He
stressed the need for the Century Center to break even or be profitable.
•
Mr. Walz then pointed out several major concerns. The first
involved the proposed renovation of the existing storeroom. He quoted State laxA
rate pate. me*. IV.\Ieulaa CO-
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Informal Meeting of the Common Council
and stated that he does not believe tha "civic
Hcenter"q was int the
l981
business of providing small banquet facilities. _
annual report of the Board of Managers which noted atwo-fold
io-fsldvpurpose:to the
to improve the health and economic
dentt�ate $edn.oted that the Board was
community for its own cultural - business away from local
straying away from its objectives and taking
businesses. In 1981 $523 ,000 of hotel/motel taxes were p aid and in 1982
$582, 000 of hotel/motel taxes were paid. Last year the nryCenter was
$184 ,092 in debt. He stated that he believed that the procedure was
of
illegal, since the Board of Public Works be ton re iewaall remodeling competitive
public structures. If remodeling
bidding process, but again stressed that there is no need for this room.
He suggested that a cost justification analysis be done.
Mr. Walz then addressed the proposed extension of the Colonial
Caterers contract to 1989. He noted that they receive 25% commissionn of
on all food and beverages sold. He noted that the proposed
$2 ,50.0 per month to off-set the remodeling costs may be illegal. He stresses
that competitive bidding is necessary.
Mr. Walz then addressed the proposed reorganization. He believed
that there were many management inefficiencies. He had a meeting yesterday
t proposed would be cost
effective Brian Redman and hopefully Helstatedrthataanzaverage wage increase of 14 . 82%
effective and productive.
was not realistic in light of theprivate sectoroVxperiencingsclosings and
layoffs. The fourth item of concern was the growing
e y
ntur Center. Elkhart has a 1% hotel/motel tax and SouthnBend has on
5%
hotel/motel tax. Mr. Walz called for a review by
each area of concern.
Mr. Alfred Rubin President of Colonial Caterers then addressed
the Council. He noted that his company first came to South Bend 18 years
at Notre ago when it first began serving ng atcarpetbaggernand that_itdhas earnedDits'
He said that his company is
stripes the hard way. He has brought jobs to this community and has taken
several employees to Illinois for employment there. He n has broughtnvolvemez
excellent and caring catering services. He believes
and regrets that the remodeling of the storage roomhwohldreeudelayid. a
Colonial Caterers charges more than anyone Se
higher quality and a higher
thereturn
new manager Century
ColonialeCaterers then
who was
introduced Mr. Rich Wagner
brought in from Dallas, Texas.
Mr. T. Brooks Brademas complimented Mr. Rubin, and noted that
he
has been a long-time critic of the operation oftheesCenturypasnter. Inn
1972 the State passed the law and a local ordinanc e
forth the terms of a joint committee. This is a requirement
obeyed, since checks and balances are needed. He then quoted ed the 0, reasin
deficits at the Century Center: $135, 000 in 1979, paid through
in 1981, and $382 , 000 in 1982. He believes the public "has p
the nose".
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Informal Meeting of the Common Council
Mr. Milton Kovas complimented Mr. Rubin. Mr. Kovas stated that
he had been in the restaurant business for 35 years and was critical of
the lunches being served during. the Whitewater series.
Mr. Joe Burkus said he knew nothing about hotel/motel
association problems until he read it in the paper. He said problems
should be brought before the Board of Managers. He said that he would
be a puppet to no one. If the Council would disapprove the remodeling or
the reorganization then the issue would be dead.
Mr. Ron Radecki said that he was one of the original Board
members. He noted that Discovery Hall does not have enough room and that
its attendance was 19,000 people with a budget of $114 ,000. Be believed
that it could become an effective community museum like the Auburn
Museum which has 80, 000 visitors annually with a budget of $270, 000 and
an income of that amount. It is privately run and has half a million
dollars worth of cars donated. He said the City is hiding the Studebaker
collection. There needs to be signs on the Toll Road and advertising.
He asked for the Council to get involved.
Councilman Taylor stated he disagreed with the lease extension
and liked Mr. Burkus' comments. He said that nothing good results by
giving the Century Center a black eye. He called for a marriage of the
Century Center Board of Managers and the Hotel/Motel Association and asked
them to "get their acts together. "
Councilman McGann then had several questions of Attorney Tom
Bodnar regarding the extension of the contract without bids, his
conerns regarding the remodeling and related matters. He then questioned
Terry Miller regarding the proposed reorganization. Mr. Miller stated
that he has asked the people to take on extra responsibility with no
different pay.
Councilman Serge stated that as Chairman of the Personnel and
Finance Committee he would deal with the reorgani:zat.ic n-a t"budget 4t i e
Councilman Crone pointed out that there was a procedure that
could be followed now regarding the proposed reorganization.
Councilman Voorde also stressed the procedure that could be
followed now regarding the proposed reorganization, rather than waiting
until the budget procedure. Mr. Miller stated that the room remodeling and
the reorganization would be addressed at budget time.
Councilman Beck noted that 23 CETA people had been eliminiated.
She then had several questions of Joseph Kernan and Mr. Hedman. It was
noted that the joint committee was appointed and met. Tuesday. It was
further noted that Morris Auditorium was bid with Ziker-Shannon being
the successful bidder.
Following further discussion by the Council,the entire matter
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Informal Meeting of the Common Council
was taken under advisement. There being no further business to come before
the Council, the meeting was adjourned at 6 :30 p.m.
Respectfully submitted,
Beverlie J. Beck, President