HomeMy WebLinkAbout10-24-88 Human Resources & Economic Development enmmmee Report
HUMAN RESOURCES AND ECONOMIC DEVELOPMENT COMMITTEE
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The October 24, ' 1988 meeting of the Human Resources and
Economic Development Committee was called to order by its
Chair Person Council Member Steve Luecke at 4:40 p.m. in the
Council informal meeting room.
Persons. in attendance included Court it Members: Luecke,
Niezgodski, Soderberg, • Puzzello, Slavinskas, Zakrzewski,
Coleman, Duda and Voorde; Kevin Hughes, Mr. Bhar, Mr. Larry
Dawson, Mr. Ken Fedder, Mr. Isaiah Jackson, Mr. James
Wensits, Elizabeth Leonard, Hedy Robinson, Jenny Pitts
Manier, and Kathleen Cekanski-Farrand.
The first item to be reviewed-was Bill No. 87-88 which would
transfer $12,920.00 among various accounts within the
Department of Economic Development. Elizabeth Leonard,
Director for Financial and Program Management, stated that
the transfer among various CDBG accounts- would permit the
West Washington-Chapin Housing Fund to be increased and made
available in the Housing Rehab Fund.
Council Member Luecke noted that a public hearing had been
held before the Citizens Advisory Council and recommended
. favorably. He also briefly explained that the 312 Loan
Program where loans are made to qualified home owners at 3%
or 9% interest rates. It was noted that loans are currently
pending. •
Following further discussion Council Member Coleman made a
motion seconded by Council Member Duda that Bill No. 87-88
be recommended favorably to Council. The motion passed.
Council Member Luecke then noted that the petitioner for
Resolution No. 88-68 which would confirm the declaratory
resolution for a 6-year real property tax abatement request
for the JMS Building rehabilitation requested that it be
continued indefinitely since the lease with Legal Services
had not been approved.
Mr. Ken Fedder then reviewed Substitute Resolution No.' 88-76
which sought ten year real property tax abatement for South
Bend Lathe, Inc. and Resolution No. 88-77 which sought a
five year personal property tax abatement request for South
Bend Lathe, Inc. , which is located at 400 West Sample
Street.
Hedy Robinson then reviewed the report of the Department of
Economic Development (copy attached) .
Mr. Fedder noted that 100 new jobs would be created and that
200 jobs would be maintained. It was noted for the record
Human Resources and Economic Development Committee Cont'd page 2
that the Redevelopment Commission approved a Resolution
since the area was within a TIF area. Mr. Fedder noted that
the company was established in 1906 and became employee
owned in 1975. He clarified that Mr. John Van Otterloo was
the new CEO and was not the new owner. He stated that he
would be available at the regular Council meeting this
evening to address specific questions.
Mr. Isaiah Jackson asked various questions with regard to
minority highering practices. Mr. Fedder noted that the
specifics could be detailed later this evening on that topic
and that he would also defer questions raised with regard to
the actual operations of the five divisions to later this
evening.
Council Member Luecke noted that Resolution No. 88-76 was in
a substitute form since the original was filed on the old
form.
Following further discussion Council Member Coleman made a
motion seconded by Council Member Duda that Substitute
Resolution No. 88-76 be recommended favorably to Council.
The motion passed.
Council Member Coleman then made a motion seconded by
Council Member Slavinskas that Resolution No. 88-77 be
recommended favorably to Council. The motion passed.
The Committee then reviewed Resolution Nos. 88-78 which
requests a ten year real property tax abatement for Gordon
Plastics, Inc. and Resolution No. 88-79 which requests a
five year personal property tax abatement for Gordon
Plastics, Inc. which is to be located on Technology Drive.
Hedy Robinson then reviewed the report dated October 21,
1988 from the Department of Economic Development. (copy
attached)
Mr. Kevin Hughes of Project Future then introduced Mr. N.
Norm Bhargava, a general partner of Bhar Association. He
noted that his company is currently in a very strong growth
position and provides for GM. He noted that GM has been
mandated to cut down on the amount of vendors it utilizes
and since this company quality control level is high and
minority owned that it is in a key position. Mr. Larry
Dawson, the plant manager, was also introduced to the
Committee.
Council Member Luecke was assured that the project would
have no odors and that the plant would be moving from
Buchanan, Michigan and would be expanding in South Bend. It
was also noted that this company competes internationally.
Ten presses would be used with two additional presses
anticipated in the near future. it was also noted that
Human Resources and Economic Development Committee Cont'd page 3
there is an additional plant in Fort Wayne, Indiana.
Besides GM the other major customers include GE and the
Department of Defense.
Following further discussion Council Member Coleman made a
motion seconded by Council Member Duda that Resolution No.
88-78 addressing the ten year real property tax abatement
request be recommended favorably to Council. The motion
passed.
Council Member Slavinskas then made a motion seconded by
Council Member Coleman that Resolution No. 88-79 requesting
a five year personal property tax abatement be recommended
favorably to Council. The motion passed.
Council Member Luecke then noted that there was a request
for a suspension of the rules to allow discussion of what
would become Resolution No. 88-84.
The Council Attorney noted that although the Resolution was
prepared prior to the filing deadline of Wednesday, it had
not been filed and therefore a suspension of the rules would
be necessary.
She then reviewed the letter dated October 19, 1988 and the
proposed form of resolution. She noted that the resolution
was needed in light of the State law change which required
the merging of the functions staffs and facilities for
employment and training services which are funded through
the Job Training Partnership Act of 1982 and the Wagner-
Peyser Act.
Jenny Pitts Manier of the City Attorney's Office stated that
similar resolutions had been passed by City of Mishawaka and
St. Joseph County to amend the charter as well as to
officially change the name.
Following further discussion by the committee, Council
Member Slavinskas made a motion seconded by Council Member
Coleman that Resolution No. 88-84 be recommended favorably
to Council. The motion passed.
There being no further business to come before the Committee
the meeting was adjourned at 5:10 p.m.
Respectfully submitted,
Council Member Steve Luecke, Chair Person
Human Resources and Economic Development Committee
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Attachments