HomeMy WebLinkAbout02-13-89 Human Resources & Economic Development t maitre ippnrt
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The February 13, 1989 meeting of the Human Resources and
Economic Development Committee was called to order by. it.
Chair Person Council Member Steve Luecke at 4: 35 p.m. in the
Council informal meeting room.
Persons in attendance included Council 'Members: Luecke,
Niezgodski, Soderberg, Puzzello,' Slavinskas, Zakrzewski,
Duda, Coleman, and Voorde; Margo Doyle, Sherry Shane, Hedy
Robinson, Eric Strom, Kevin Butler, Mr. W. H. Calvin
Murdock, members of the news media, and Kathleen Cekanski-
Farrand.
Council Member Luecke introduced Margo Doyle, the new
citizen member of the committee.
First item on the agenda was to review Bill No. 5-89 which
would appropriate' $100, 500. 00 from the Economic Development
State Grant ,. Fund to be administered by the Department of
Economic Development of the City. Sherry Shane reviewed the
Bill. She noted that a grant from the City of $100, 500. 00
would be loaned to Bangor Refrigeration Corporation for
seven years at ,5% interest. The money will be used for the
. purchase of machinery and equipment. The original grant is
based on the project.
Following further discussion Council Member Zakrzewski made •
a motion seconded by Council Member Slavinskas that Bill No.
5-89 be recommended favorably to Council. The motion
passed.
The Committee then reviewed Resolution No. 89-24 which would
authorize the Mayor to submit an application to the Indiana
Department of Commerce for the State Investment Incentive
Program. Sherry Shane reviewed the resolution. She noted
that the project is from Miles Laboratory which will be
locating its recently acquired St. Louis operation to South
Bend. The- Investment Incentive Grant will enable the City
of South Bend to assist in the financing with a $150, 00 and
a $150, 000 grant from the Business Development Corporation.
The facility will be located at 4315 South Lafayette and
should be completed in the fall of 1989. The monies are to
be paid off within one year and the credit rate of interest
is being negotiated.
Following further discussion Council Member Slavinskas made
a motion seconded by Council Member Zakrzewski that
Resolution No. 89-24 be recommended favorably to Council.
The motion passed.
Human Res. and Economic Devel. 2-13-89 Page 2
The Committee then reviewed Resolution No. 89-21 which is a
tax abatement request for property located at Lafayette
Street between Stull and Broadway Streets for Murdock & Sons
Construction, Inc. Hedy Robinson reviewed the report from
the Department of Economic Development. Mr. Murdock then
reviewed his real property tax abatement request. He stated
that currently there operations have outgrown their current
facilities and they are doing business throughout the State
of Indiana, Michigan and Chicago. Last year 185 were
employed with 60% concentrated from the St. Joseph County
area. The type of business the company is involved in is
general, industrial and commercial construction.
Council Member Zakrzewski complimented the petitioner on the
project. It was noted that the new structure would have a
brick venier exterior.
Council Member Luecke then provided copies of Resolution No.
868 adopted by the South Bend Redevelopment Commission which
granted a six year real property tax abatement (copy
attached) . He noted that in light of this ruling by the
commission that the Council could grant only a maximum of a
six year abatement as oppossed to the ten year which was
requested.
Following further discussion Council Member Zakrzewski made
a motion seconded by Council Member Slavinskas that
Resolution No. 89-21 be recommended favorably as a six year
real property tax abatement. The motion passed.
The Committee then reviewed Resolution No's. 89-22 which is
a six year real property tax abatement request and
Resolution No. 89-23 which is a five year personal property
tax abatement request both for Spin-Cast Plastics, Inc.
Hedy Robinson then reviewed the report from the Department
of Economic Developement (copy attached) . Mr. Kevin Butler,
the attorney for the petitioner, introduced Mr. Eric Strom
of the company. It was noted that the petitioner
manufacturers molded plastic products and is in need of 65%
more capacity at the current time. Mr. Butler further noted
that the statement of benefits section on page one of the
Department of Economic Development Report should be
corrected to reflect 65 present full time jobs and 1 part
time job.
Following further discussion Council Member Zakrzewski made
a motion seconded by Council Member Puzzello that Resolution
Human Res. and Economic Devel. 2-13-89 Page 3
No's. 89-22 and 89-23 be recommended favorably to Council.
The motion passed.
There being no further business to come before the
Committee, the meeting was adjourned at 5:00 p.m.
Respectfully submitted,
Council Member Steve Luecke, Chair Person
Human Resources and Economic Development
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