HomeMy WebLinkAbout07-27-87 Human Resources & Economic Development OiIItntntllrr itrpor1
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HUMAN RESOURCES AND ECONOMIC DEVELOPMENT COMMITTEE
cin the Olummnn Mount-11 of the City of Oxndli Ned:
The July 27 , 1987 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 Serge, Braboy,
Beck, Puzzello, Taylor, Zakrzewski, Paszek, Barcome, and Voorde;
Loretta Duda, Jon Hunt, Elizabeth Leonard, Betsy Harriman, Sherry
Shane , Ray Need, Ernest Szarwark , Richard Lutin, members of the
news media, and Kathleen Cekanski-Farrand.
Councilman Braboy noted that there were several tax
abatement issues on the agenda for review and recommendation.
The Committee then reviewed Resolution No. 87-66 which was a
petition for real property tax abatement for the property located
at 701 South Chapin Street. Mr. Jon Hunt reviewed the report
(attached) from his department. Mr. Szarwark of the Barnes and
Thornburg noted that this was a petition on behalf of Allied
White Farm New Ideas and would be for a three (3) year real
property tax abatement. He noted that he would have Mr. Donald,
Gordan, Senior Vice President of Allied , in attendance at the
regular meeting of the Common Council.:
The Committee then reviewed Resolution No. 87-67 which was a
petition for personal property tax abatement for the property
located at 701 South Chapin Street. Mr. Jon Hunt again reviewed .
the report from his department (copy attached). Mr. Szarwark
noted that 190 individuals are currently employed. Approximately
12-15 new jobs would be created in the warehousing division with
some of the marketing individuals in South Bend being relocated
to the New Idea plant in Ohio. Upon questioning by Councilman
Voorde, it was noted that the area in question is within the
Urban Enterprise Zone and that Allied White Farm is a leading
contributor in this area. It was further noted that the personal
property tax abatement would be for a period of five (5) years.,
Following further discussion by the Committee , Councilman
Taylor made a motion , seconded by Councilman Puzzello , that
Resolutions No. 87-66 and No. 87-67 be recommended favorably to
Council . Prior to the vote on the bill , it was noted by the
Council Attorney that there would be a substitute version of
Resolution No. 87-67 to correct a typographical error within that
resolution. The motion passed unanimously.
Minutes/Human Resources and
Economic Development Committee
July 27, 1987
Page 2
The Committee then reviewed Resolution No. 87-68 which was a
petition for personal property tax abatement for that property
located at 220 West Eckman Street. Mr. Ernest Szarwark, the
attorney for petitioner Sibley, noted that between 60-75 new jobs
would be created at that facility. He further noted that this
would be a five (5) year abatement for personal property. Mr.
Ray Need from Sibley was in attendance. The Council Attorney
noted that there would be an amendment by substitution to correct
a typographical error within the resolution. Mr. Jon Hunt also
reviewed the report from his department (copy attached).
Following further discussion, Councilman Taylor made a
motion, seconded by Councilman Puzzello, that the amended version
of Resolution No. 87-68 be recommended favorably to Council. The
motion passed.
The Committee then reviewed Resolution No. 87-65 which was a
petition for real property tax abatement for that property
located at 516 South Michigan Street. Mr. Richard Lutin , the
owner of the property , then briefly described the area in
question. He noted that he plans to have a music store in the
facility which was formerly the "Fat Daddy' s" building. He
further indicated that he currently operates a music store in
Niles, Michigan. Mr. Jon Hunt then reviewed the report from his
department (copy attached) on the petition. It was further noted
that the petition was for a six (6) year real property tax
abatement. Councilman Voorde questioned the parking situation,
and it was indicated by the petitioner that there was on-street
parking and that he was considering the vacation of an alley in
the area. Councilman Braboy questioned the response to the
questions regarding minority hiring and was quite concerned over
his response of "minimal". Mr. Lutin clarified that he would
hire a total of 2-3 employees at the facility.
The Council Attorney then indicated to the petitioner that
there would be several corrections which would be necessary in
order for the resolution to qualify for real property tax
abatement. She made the following proposed amendments:
- In Section II , the words "five (5)" be deleted and,
instead, that "two (2)" be inserted;
Minutes/Human Resources and
Economic Development Committee
July 27, 1987
Page 3
- That present Section IV be renumbered V and that new
Section IV read as follows:
The abatement deduction shall be for six (6) years.
This determination was made under the authority of I.C. , 6-1.1-
12 . 1-3 .
Following further discussion by the Committee, Councilman
Puzzello made a motion, seconded by Councilman Taylor, that the
amended version of Resolution No. 87-65 be recommended favorably
to Council. The motion passed.
The Committee then reviewed Resolution No. 87-69 which would
authorize the Mayor to submit an application to the Indiana
Department of Commerce for a State Industrial Development grant
on behalf of Intracomp , Inc . Sherry Shane gave a brief
description of the petition. She noted that they were seeking a
$75 , 000 grant from the State which would be matched by the City
as follows:
$37,500 from the City of South Bend, Indiana; and
$37,500 from the Industrial Fund
She noted that the monies would be used for street , water and
sewer improvements in the Industrial Park Phase IV for improve-
ments along Point Meridian Drive. She further indicated that
Intracomp , Inc. was located within South Bend but primarily had
export sales outside the South Bend area. Approximately thirty
(30) new jobs would be created at the facility.
Following further discussion, Councilman Taylor made a
motion, seconded by Councilman Beck, that Resolution No. 87-69 be
recommended favorably to Council.
Under miscellaneous business, Councilman Braboy indicated
that the 1988 Community Development Block Grant application (copy
attached) should be reviewed by the Committee. Elizabeth Leonard
was available for review and comments. However, in light of the
late hour and the upcoming Council meeting, there was not
sufficient time to review the grant application in detail.
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Minutes/Human Resources and
Economic Development Committee
July 27, 1987
Page 4
Following discussion by the Committee, it was recommended that a
meeting of the Human Resources and Economic Development Committee
be held on Thursday , July 30, 1987 at 4 : 30 p.m. in the Council
informal meeting room to review the grant application and the
proposed 1988 CDBG budget. It was indicated that the Council
Attorney could not be in attendance at this Committee meeting as
she has a meeting of the Board of Governors at that same time.
There being no further business to come before the
Committee, the meeting was adjourned at 4:30 p.m.
Respectfully submitted,
Councilman Eugenia Braboy, Chairman