HomeMy WebLinkAbout06-10-91 Human Resources & Economic Development QJIlm tttrr &port
HUMAN RESOURCES AND ECONOMIC DEVELOPMENT COMMITTEE
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The June 10, 1991 Meeting of the Human Resources and
Economic Development Committee was called to order by its
Chairperson, Council Member Steve Luecke, at 4:55 p.m. in
the Council Informal Meeting Room.
Persons in attendance included Council Members Ladewski,
Duda, Zakrzewski, Niezgodski, Puzzello, Luecke, Coleman,
Soderberg, and Slavinskas; Jon Hunt, Jack Roberts, Richard
Morgan, member of the news media, and Kathleen Cekanski-
Farrand.
Council Member Luecke noted that the first item on the
agenda, namely Bill No. 31-91 which would appropriate
$65,000. 00 received from the U.S. Department of Housing, and
Urban Development's Emergency Shelter Grants Program, would
be continued until the meeting of June 24, 1991.
The next item on the agenda was Bill No. 32-91, which would
appropriate $50, 000.00 from the Economic Development State
Grant Fund for the purpose of funding an Enterprise
Development Fund.
Mr. Jon Hunt noted that the funding source are the State
Grants which came to the City. Mishawaka would also be
paying $50, 000.00 and the BDC would be paying $150,000.00,
both in loan form with $250, 000. 00 from the State for a
total of $500,000.00 along with the City's appropriation.
This Enterprise Development Fund is aimed at small start up
businesses. A new not-for-profit corporation would be
formed. He noted that this is the first joint effort between
the City of Mishawaka and the City of South Bend in this
area. The fund will focus on providing revolving loan funds
to loan to nontraditional entrepreneurs.
In response to a question raised by Council Member Luecke,
Mr. Hunt stated that he would have information available
with regard to the duration of the loan at this evenings
meeting. The project is to begin in late August.
Following further discussion, Council Member Slavinskas made
a motion seconded by Council President Niezgodski that Bill
No. 32-91 be recommended favorably to Council. The motion
passed.
The Committee then reviewed Resolution No. 91-46, which
would consent to the transfer of jurisdiction to St. Joseph
County regarding Economic Development facilities and the
issuance of St. Joseph County Economic Development Revenue
Bonds for the Madison Center Inc. project.
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Human Resources and Economic Development Committee
June 10, 1991
Page 2
Mr. Richard Morgan of Barnes & Thornburg noted that last
fall, the City rezoned the area in question to A-3 zoning.
Ongoing discussions have taken place between St. Joseph
County and Madison Center with an agreement being reached on
October 9th of 1990. The County will issue $8 to $9 million
of bonds, with a property tax levy of the County being
increased at the following rates: 4 cents, 6 cents, and 10
cents. Mr. Morgan noted that the facility will be
constructed at the current location, and that in
approximately 2 1/2 weeks there will be a ground breaking,
with bonds to be sold later this summer. The Council
Attorney noted that she had been in contact with Mr. Kenneth
Fedder, the Commission's attorney, who has reviewed the
proposed Resolution and finds it to be acceptable with
regard to form and content. She then also noted that she has
reviewed the Resolution and finds it to be consistent with
State law, and provided a copy of I.C. , 36-7-12-22 which
provides in part that the City is required to consent
through the Common Council of any Economic Development
facilities (copy attached) .
Mr. Jack Roberts of Madison Center, noted that the facility
will be operational by late June of 1992 .
Following further discussion, Council Member Duda made a
motion seconded by Council Member Slavinskas, that
Resolution No. 91-46 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, Chairperson
Human Resources and Economic Development Committee