HomeMy WebLinkAbout09-23-86 Human Resources & Economic Development Oinmmtiin Erpart
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Wn t1 a emn nun comma of tip, a t% of*anti/ stud: HUMAN RESOURCES AND ECONOMIC DEVELOPMENT
COMMITTEE
The September 23, 1986 meeting of the Human Resources and
Economic Development Committee was called to order by its Chairman
Councilman Eugenia Braboy at 4 : 00 p.m. in the Council informal
meeting room.
Persons in attendance included Councilmen Voorde, Braboy,
Puzzello, Barcome, Serge, and Beck; Jeff Gibney, Sandy Combs, Steve
Luecke, Don Inks, Ann Kolata, Ann Mannix, members of the news media,
Jon Hunt, and Kathleen Cekanski-Farrand.
Councilman Braboy noted that the purpose of the meeting was
to continue the discussion of the proposed CDBG allocation programs.
Jon Hunt then briefly reviewed proposed activities. He noted
that the proposed dollar allocation was based on the assumption that
there would be no further cutbacks for 1987. He noted that if cutbacks
would take place that they would be dealt with at that time.
He further noted that there should be a correction in the
Bureau of Housing Program' s Line A-6 . He indicated that currently
there is $392,000 and an additional $250, 000 of reprogramed money for
a total of $642,000.
He again indicated that this is the first budget that would
have no funding for curbed sidewalks and park projects. He indicated
that this is the second year that there is a 10% reduction in public
service activities. He again stressed that the reality of the decline
of Federal funds was severely impacting the budget procedure.
Councilman Braboy voiced concern with regard to how such
projects would be funded and a substantial period of time was spent on
this topic.
Councilman Voorde noted that with regard to public works
projects that there could be possible funding sources from other areas
however, housing and public service activities must be a priority with .
regard to CDGB activities. He also voiced concern with regard to the
change in laws with regard to IRB' s (Industria.l Revenue Bonds) . Mr.
Hunt indicated that South Bend had been one of the leaders throughout
the nation and that basically only manufacturing would qualify. He
further indicated that the 2% limit on bonding would not affect TIF
projects.
If further reductions would take place such as 7-1/2 to 8%
this would be an additional cut of $65,000 would have to be realized
and if real estates sales would not materialize this would result in an
additional cut of $86,000. Such cuts, if they would become a reality
would take place in the middle of the second quarter.
/R.[ .R[.. rU•t1•NIN0 CO.
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Page 2.
Human Resources and Economic Development Committee
September 23, 1986
Councilman Puzzello voiced concern again with regard to the
funding for NHS. She indicated that a total of $140, 000 had been
requested and that only $30-35,000 was being recommended.
Ann Mannix from NHS then reviewed the handout (copy attached)
showing the allocation process for the past two years.
Mr. Hunt indicated that he was willing to work with NHS on
a staff basis. He also indicated that it had not been anticipated that
the staff positions would be funded through this process and that there
would be a true partnership of money allocation. He further indicated
that through acquisition, rehabilitation, and resale, there could be
the possibility of shifting money from the northwest to the northeast.
He noted that approximately $165,000 in rehab acquisition was now probable
and that program income could be between $120-140,000 which could be put
back into the program.
Councilman Puzzello recommended that Line 3-B Acquisition be
increased by $20, 000 and that Line 3-C High Risk Loans be increased to
a total of $75, 000. Mr. Hunt indicated that through the sale that the
money could be reprogramed and that a cut in the Bureau of Housing in
the amount of $25,000 was a possibility. Thus the first unit sold the
money would be reprogramed into NHS. This was received favorably by
the Committee. Councilman Barcome further requested that if the
possibility of Federal Revenue Sharing moneys could be used that they
also be utilized,to make up the shortfall with regard to the NHS proposal.
Councilman Braboy briefly reviewed the problem of LaSalle homes.
This project began_ as a not-for-profit corporation as a consortium of
churches approximately twenty years ago. Currently there are at least
40 units which are in need of furnaces and other appliances. Because of
poor management decisions there is no money for upkeep or maintenance.
Mr. Hunt also indicated that the mortgage is still outstanding on the
project. Mrs. Braboy indicated that officers of the LaSalle Homes
Project would be in..contact later with Mr. Hunt' s department. She
stressed the need for people and structures to be balanced with regard
to setting priorities in this area.
Councilman Beck voiced concern with regard to the LaSalle
Homes Project and also voiced concern with regard to the departure of
three individuals from the Human Rights Department. Mr. Hunt indicated
that he would be supportive of a County-wide human rights program.
Councilman Barcome indicated that if the district councilmen
were basically acceptable to the proposed program that he would be in
favor of the program as submitted by Mr. Hunt with the proposed changes
regarding NHS. All councilmen indicated that the reduced budgetary
figures definitely_impacted the overall goals and programs.
Following further discussion by the Committee, Councilman
Beck made a motion seconded by Councilman Puzzello that the proposed
Page, 3.
Human Resources and Economic Development Committee
September 23, 1986
CDBG project proposal be recommended favorably to Council. The motion
passed unanimously.
Following further discussion by the Committee the meeting
was adjourned at 5:15 p.m.
Respectfully submitted,
Councilman Eugenia Braboy
Chairman