HomeMy WebLinkAboutResolution No 50-2022 - Adopting of a Fiscal Plan for the Cleveland-Shellbark Annexation AreaRESOLUTION NO. 50-2022
A RESOLUTION OF THE BOARD OF PUBLIC WORKS OF THE CITY OF
SOUTH BEND, INDIANA ADOPTING A WRITTEN FISCAL PLAN AND
ESTABLISHING A POLICY FOR THE PROVISION OF SERVICES TO AN
ANNEXATION AREA IN GERMAN TOWNSHIP
(CLEVELAND-SHELLBARK ANNEXATION AREA)
WHEREAS, there has been submitted to the Common Council of the City of South Bend,
Indiana, an Ordinance and a petition by all (100%) property owners which proposes the annexation
of real estate located in German Township, St. Joseph County, Indiana, which is more particularly
described at Page 14 of Exhibit “A” attached hereto; and
WHEREAS, the territory proposed to be annexed encompasses approximately 2.8 acres of
land containing a commercial building, which property is at least 12.5% contiguous to the current
City limits, i.e., 50.0% contiguous, generally located at the northwest corner of Cleveland Road
and Shellbark Avenue (21275 Cleveland Road). It is anticipated that the annexation area will be
used for a car wash; and
WHEREAS, the development will require a basic level of municipal public services of a
non-capital improvement nature, including street and road maintenance, street sweeping, flushing,
snow removal, and sewage collection, as well as services of a capital improvement nature,
including street and road construction, street lighting, a sanitary sewer system, a water distribution
system, and a storm water system and drainage plan; and
WHEREAS, the Board of Public Works now desires to establish and adopt a fiscal plan
and establish a definite policy showing: (1) the cost estimates of services of a non-capital nature,
including street and road maintenance, street sweeping, flushing, and snow removal, and sewage
collection, and other non-capital services normally provided within the corporate boundaries; and
services of a capital improvement nature including street and road construction, street lighting, a
sanitary sewer extension, a water distribution system, and a storm water system to be furnished to
the territory to be annexed; (2) the method(s) of financing those services; (3) the plan for the
organization and extension of those services; (4) that services of a non-capital nature will be
provided to the annexed area within one (1) year after the effective date of the annexation, and that
they will be provided in a manner equivalent in standard and scope to similar non-capital services
provided to areas within the corporate boundaries of the City of South Bend, regardless of similar
topography, patterns of land use, and population density; (5) that services of a capital improvement
nature will be provided to the annexed area within three (3) years after the effective date of the
annexation within the same manner as those services are provided to areas within the corporate
boundaries of the City of South Bend regardless of similar topography, patterns of land use, or
population density, and in a manner consistent with federal, state and local laws, procedures, and
planning criteria; and (6) the plan for hiring the employees of other governmental entities whose
jobs will be eliminated by the proposed annexation.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF PUBLIC WORKS OF
THE CITY OF SOUTH BEND, INDIANA, AS FOLLOWS:
Section I. It is in the best interest of the City of South Bend and the area proposed to be
annexed that the real property described more particularly at Page 14 of Exhibit “A” attached
hereto be annexed to the City of South Bend.
Section II. That it shall be and hereby is now declared and established that it is the policy
of the City of South Bend, by and through its Board of Public Works, to furnish to said territory
services of a non-capital nature, such as street and road maintenance, street sweeping, flushing,
and snow removal, within one (1) year of the effective date of the annexation in a manner
equivalent in standard and scope to services furnished by the City to other areas of the City
regardless of similar topography, patterns of land utilization, and population density; and to furnish
to said territory, services of a capital improvement nature such as street and road construction, a
street light system, a sanitary sewer system, a water distribution system, a storm water system and
drainage plan, within three (3) years of the effective date of the annexation in the same manner as
those services are provided to areas within the corporate boundaries of the City of South Bend
regardless of similar topography, patterns of land use, or population density.
Section III. That the Board of Public Works shall and does hereby now establish and adopt
the Fiscal Plan, attached hereto as Exhibit “A”, and made a part hereof, for the furnishing of said
services to the territory to be annexed, which provides, among other things, that the public sanitary
sewer and water network is available with capacity sufficient to service this area with costs for
extensions, any improvements in sewer or water capacity, and a City-approved drainage system to
be paid for by the developer, all in compliance with state and local law; that no additional street
lighting will be necessary and any future lighting especially of a decorative nature or with
underground wiring will be at the developer/owner’s expense; that no new roads or streets will be
required with the owner/developer to complete a traffic impact study to determine if any additional
improvements are required for the car wash use, and for the developer to relocate the existing
Cleveland Road driveway approach to be at least one hundred feet away from the Shellbark
Avenue intersection.
Section IV. Sidewalks should be provided by the owner/developer along public streets and
be in compliance with the Americans with Disabilities Act (ADA) under the PROWAG standards.
Section V. It is required as a condition of annexation that any future alterations to the
property meet the City of South Bend’s building and zoning requirements.
Adopted the day of , 2022.
November 8, 2022
8th. November
Exhibit “A”
THE CITY OF SOUTH BEND
FISCAL PLAN
C LEVELAND -SHELLBARK
A NNEXATION AREA
Prepared by
City of South Bend
Department of Community Investment
October 24, 2022
Cleveland-Shellbark Annexation Area 2
TABLE OF CONTENTS
SECTION I. INTRODUCTION...............................................................................3
SECTION II. GENERAL DATA...............................................................................3
A. Location
B. Legal Description
C. Contiguity
D. Size of Annexation Area
E. Buildings & Land Use
F. Zoning & Subdivisions
G. Population
H. Tax Rate & Impact
I. Parcel Ownership & Assessments
J. Municipal Legislative District
K. Hiring Plan
SECTION III. MUNICIPAL SERVICES ....................................................................6
A. Public Works
B. Police Department
C. Fire Department & EMS
D. Neighborhood Services & Enforcement
E. Environmental Services
F. Administrative Services
SECTION IV. LAND USE ANALYSIS & DEVELOPMENT CRITERIA .......................10
SECTION V. FISCAL IMPACT ...............................................................................11
Fiscal Impact: TABLE 1
SECTION VI. APPROVAL .......................................................................................13
Legal Description ......................................................................................................14
Map: MAP 1 ....................................................................................................15
Cleveland-Shellbark Annexation Area 3
SECTION I. INTRODUCTION
This Fiscal Plan represents the City of South Bend’s (hereinafter, “City”) policy for the
annexation of property in German Township, St. Joseph County, Indiana (hereinafter,
“Annexation Area”), and was developed through the cooperative efforts of the following City
Departments:
Legal Department
Department of Public Works
South Bend Fire Department
South Bend Police Department
Department of Community Investment
Department of Administration & Finance
SECTION II. GENERAL DATA
A. Location
The Annexation Area is located at the northwest corner of Cleveland Road and Shellbark
Avenue (21275 Cleveland Road). See Map 1.
B. Legal Description
The Annexation Area is part of the West Half of the Southeast Quarter of Section 22, Township
38 North, Range 2 East, in German Township, St. Joseph County, Indiana. For a complete
legal description, see Page 14.
C. Contiguity
The Annexation Area is at least 1/8 (12.5%) contiguous to the current City limits:
Contiguous 698 feet 50.0%
Non-Contiguous 698 feet 50.0%
Total 1,396 feet 100.0%
D. Size of Annexation Area
The Annexation Area is approximately 2.77 acres.
Cleveland-Shellbark Annexation Area 4
E. Buildings & Land Use
The Annexation Area contains a funeral home and an accessory building. The main building
would be demolished for a proposed car wash.
F. Zoning & Subdivisions
The one property in the Annexation Area is currently zoned OB Office Buffer District in St.
Joseph County. With the annexation petition, the petitioner seeks to rezone the land to C
Commercial District in the City. The Annexation Area falls within the Lilac Acres unrecorded
subdivision.
G. Population
No people currently reside in the Annexation Area. After development, no residents are
proposed to live in the Annexation Area.
H. Tax Rate & Impact
The tax rates used are those of 2021 payable 2022. The total tax rate for unincorporated
German Township is 2.7285 per $100 of taxable real estate. The total tax rate for South
Bend German Township is 5.8326 per $100 of taxable real estate.
Per State law, the tax caps expressed as a percentage of the gross assessed value for
different classifications of property are as follows, regardless of the property’s location being
within South Bend or unincorporated St. Joseph County:
Property Type Cap
Homestead Residential 1.0%
Non-Homestead Residential 2.0%
Agricultural 2.0%
Other (Commercial) 3.0%
For at least the four years after the effective date of the annexation, the expected tax rates,
tax levies, expenditure levels, service levels, and annual debt service payments are estimated
to be approximately the same as those in effect at the time of annexation for each of the
political subdivisions to which the proposed annexation applies.
Because of the relatively small size of the Annexation Area and its assessed value relative to
the total size and tax base of the various political subdivisions, this annexation is expected, for
at least four years after the effective date of this annexation, to have a negligible impact on
the finances and tax revenues of South Bend and other political subdivisions to which the
proposed annexation applies, on the political subdivisions in St. Joseph County not part of this
annexation, and on taxpayers not part of this annexation.
Cleveland-Shellbark Annexation Area 5
I. Parcel Ownership & Assessments
Parcel
Identification
Number
Address Parcel Owner
Assessed
Value
(Total)
004-1050-1271 21275 Cleveland Road J. Patrick McGann $208,000
Total Assessments
Land: $114,700
Improvements: $ 93,300
Total (Gross): $208,000
Total (Net): $208,000
Assessments are based on 2022 payable 2023 St. Joseph County property tax records.
J. Municipal Legislative District
The Annexation Area will be in the 1st District.
K. Hiring Plan
This annexation is not anticipated to result in the elimination of jobs for employees of any
other governmental entities. The German Township Trustee has been notified of this
proposed annexation.
Cleveland-Shellbark Annexation Area 6
SECTION III. MUNICIPAL SERVICES
A. Public Works
Sewer – A 21”-diameter sanitary sewer runs along the north side of Cleveland Road, while a
12”-diameter sanitary sewer runs under the southbound lane of Shellbark Avenue. Capacity
of the sewer will need to be verified.
Development of the site requires City approval of a drainage plan that meets the City’s
requirement to store on site all runoff from developed areas. Connection to the City storm
sewer is not permitted.
Water - The South Bend Water Works currently has a 12” water main on the north side of
Cleveland Road along the Annexation Area. This water main would provide sufficient capacity
for the Annexation Area, but a larger lateral may be required to support a car wash; this
additional service would be done at the developer’s expense.
Extensions of or taps into sanitary sewer and water lines shall be governed by state law and
the rules and regulations of the South Bend Water Works and Sewer Utility. The Annexation
Area may be subject to system development charges for both water and sewer services.
Streets – Annexation would add approximately 318 feet of the Shellbark Avenue right-of-way
to the city limits. The developer would be required to upgrade that portion of the street to
commercial standards within three years. The developer also must complete a traffic impact
study to determine if any additional improvements, such as turn lanes or a traffic signal, are
required. The developer shall relocate the existing Cleveland Road driveway approach to be at
least one hundred feet away from the Shellbark Avenue intersection.
Street Lighting –Should any street lighting be necessary, it can be provided on wood poles
with overhead wiring through an ongoing contract with Indiana Michigan Power. If the
developer wishes to construct and dedicate additional street lighting, especially of a
decorative nature or with underground wiring, the City may accept it for maintenance and
operation, supported by property tax revenue.
Waivers of Annexation – No waivers of right to remonstrate against annexation are in effect
for this area.
2021 Actual Budget Report for the Department:
Expenditures: $30,599,584
Miles of Roadway in City: @502
Cost per Mile: @$60,955
New Mileage within Area: @0.06 miles (318 feet)
Estimated Maintenance Cost
for Annexation Area per year: @$3,657
Cleveland-Shellbark Annexation Area 7
B. Police Department
The Annexation Area would be added to the existing Beat 22. Police patrols and emergency
responses will be part of the services the City will offer to this area. This proposed annexation
would require officers to cover a relatively small additional area on this beat.
At this time, it is not expected that this annexation would cause calls for service to increase
significantly, and it is not anticipated that it will be necessary to increase police patrols beyond
the existing beat patrol. The addition of this Annexation Area will not significantly increase
response time.
The cost for servicing the proposed area is not expected to impact the existing budget of the
Police Department with any significance. The patrol costs would be assumed by the Police
Department budget. However, this area, as well as all other areas of the City, will continually
be monitored for level of service demands and other criteria that would necessitate additional
resources through budgetary increases or possible shifting of existing resources, such as a
beat restructure.
Police services and response time in this area can be expected to be comparable with that
found in all other areas of the City. Police coverage to this area could begin immediately upon
annexation.
Note: The cost of service for this Annexation Area is based on the number of parcels.
Household information is provided for comparative purposes.
2021 Actual Budget Report for the Department:
Expenditures (including pension cost): $47,137,731
Number of Households in City (2021): @42,707
Cost per Household: @$1,104
Number of Parcels in City (2022): @47,500
Cost per Parcel: @$992
Proposed Number of Households in Area: 0
Proposed Number of Parcels in Area: 1
Cost for Annexation Area per year: $992 (1 parcel x $992 / parcel)
Cleveland-Shellbark Annexation Area 8
C. Fire Department & EMS
Fire Response – The South Bend Fire Department provides a fully staffed, full-time fire
department. The Annexation Area will be serviced primarily by Fire Station #11, located at
3505 N. Bendix Drive, approximately 0.7 miles away. Additional Fire Department units would
respond from Fire Station #7 at 1616 Portage Avenue, which is approximately 2.4 miles away.
The South Bend Fire Department does not foresee any unusual fire protection problems
related to this annexation. Response times will be comparable to other areas of the City. No
additional equipment will need to be purchased or personnel hired to service the Annexation
Area. Fire coverage to this area could begin immediately upon annexation. Adequate water
supply will be necessary as any development takes place.
Emergency Medical Response – The City will provide emergency medical response to the
Annexation Area. This area will be serviced by Medic #11, which is at Fire Station #11,
located at 3505 N. Bendix Drive (approximately 0.7 miles away).
Response times will be comparable to other areas of the City. No additional equipment will
need to be purchased or personnel hired to service the Annexation Area. Emergency medical
services are supported by user fees and would be available upon annexation.
Note: The cost of service for this Annexation Area is based on the number of parcels.
Household information is provided for comparative purposes.
2021 Actual Budget Report for the Department:
Expenditures (including pension cost): $39,618,600
Number of Households in City (2021): @42,707
Cost per Household: @$928
Number of Parcels in City (2022): @47,500
Cost per Parcel: @$834
Proposed Number of Households in Area: 0
Proposed Number of Parcels in Area: 1
Cost for Annexation Area per year: $834 (1 parcel x $834 / parcel)
Cleveland-Shellbark Annexation Area 9
D. Neighborhood Services & Enforcement
The Annexation Area will be added to Area 5. The Division of Neighborhood Services &
Enforcement will be able to provide services to the Annexation Area with comparable response
times. The Division will respond to calls for service upon the effective date of the annexation.
Full and dedicated response will be in place within one year of the effective date of the
annexation.
2021 Actual Budget Report for the Division:
Expenditures: $6,167,959
Number of Parcels in City (2022): @47,500
Cost per Parcel: @$130
Proposed Number of Parcels in Area: 1
Cost for Annexation Area per year: $130 (1 parcels x $130 / parcel)
E. Environmental Services
Wastewater Treatment - Wastewater treatment services are supported by user fees and are
paid through the Water Works billing system.
Solid Waste – Larger scale commercial or industrial customers are generally not served by the
Bureau of Solid Waste. However, the Bureau of Solid Waste can provide service to small
commercial customers at the prevailing rate at that time for a 96-gallon container with service
beginning on the effective date of the annexation.
F. Administrative Services
The City of South Bend provides a wide range of services other than those noted above, such
as the Mayor’s Office, the Legal Department, and Venues Parks & Arts.
These services are available upon the effective date of the annexation. Full and dedicated
response for non-capital services will be in place within one year of the effective date of the
annexation. Costs for these services have not been calculated.
The incorporation of the Annexation Area will not affect the provision of other services
currently provided to this property on a countywide basis. The St. Joseph County Health
Department, the St. Joseph County Public Library, and the St. Joseph County/South Bend
Building Department are among the countywide agencies that will continue to provide the
same type and level of services to the Annexation Area. Countywide services will continue to
be supported by the County and Township taxes that will remain in effect.
Cleveland-Shellbark Annexation Area 10
SECTION IV. LAND USE ANALYSIS & DEVELOPMENT CRITERIA
This proposed annexation will add one property containing a funeral home to the City of South
Bend. The petitioner proposes to use the Annexation Area for an automated car wash facility
and associated uses. The Annexation Area is presently zoned OB Office Buffer District in
unincorporated St. Joseph County. Single-family houses zoned R Single-Family District in the
County are located to the north. To the east is vacant land zoned R Single-Family District in
the County. To the south, across Cleveland Road, is the Indiana Toll Road and agricultural
land zoned S1 Suburban Neighborhood in the City. To the west is a medical clinic zoned C
Commercial District in the City.
The Annexation Area is located on Cleveland Road between Portage Avenue and Riverside
Drive. The future land use map of City Plan, South Bend’s comprehensive plan, designates
this parcel for commercial use, and the proposed land use is consistent with the suburban,
auto-oriented commercial development in the area.
The petitioner proposes demolishing the main building on the site and replacing it with a car
wash of nearly 5,000 square feet. The preliminary site plan shows the existing garage will
remain, and vacuum stations will be added. The petitioner should carefully consider site
access and circulation and should include required buffering to the residential properties to
the north and northeast.
Any improvements or future changes must meet the City’s applicable building, zoning, and
subdivision ordinances.
Cleveland-Shellbark Annexation Area 11
SECTION V. FISCAL IMPACT
1) Essential city services can be made available to the residents (and territory) of the
Annexation Area in a timely and comparable fashion per the requirements of State law and
this fiscal plan.
2) The City is financially able to support city services to the territory sought to be annexed.
3) Required improvements made by the petitioner and/or owner of the parcel(s) must be
made in accordance with the standards of the City of South Bend.
4) Required improvements made by the City, if any, will be completed within the time frames
provided by State law and this fiscal plan.
5) All figures are estimates. Final cost of capital expenditures, if any, will not be determined
until bids are publicly solicited, contracts are awarded, and projects are closed out.
6) Property tax revenue and land assessment estimates are based on a combination of 2021
payable 2022 and 2022 payable 2023 tax information, assessments of comparable
developments, estimates of units built, estimates of unit values and land assessments, and
tax abatements or adjustments, if any. Tax rates are subject to change every year, and
property tax revenues may be subject to tax caps.
7) Department expenditures and revenues are derived from the City of South Bend Budget.
8) The estimated costs to provide services, noted in Section III, Municipal Services, is a City-
wide average based on a particular budget year. In the case of the proposed development in
the Annexation Area, some of these services may not be required or possibly requested for
many years. Hence, the cost of providing services over the first five years should be evaluated
with this in mind.
Cleveland-Shellbark Annexation Area 12
TABLE 1
Summary Table – Estimated Fiscal Impact
Expenditures Capital
(Est.)
Non-Capital
Per Year (Est.) Notes 5-Year Total
Street Construction $0 $0
Sewer Extension $0
Connection at
petitioner’s
expense
$0
Water Extension $0
Connection at
petitioner’s
expense
$0
Street Lights $0 $0
Street Maintenance $0 $3,657 $18,285
Police $0 $992 $4,960
Fire $0 $834 $4,170
Neighborhood
Services $0 $130 $650
Approximate 5-Year Expenditures $28,065
Revenues Notes Total (Est.) 5-Year Total
Property Taxes
(to City)
Year 1 $3,992
$50,060
Year 2 $11,517
Year 3 $11,517
Year 4 $11,517
Year 5 $11,517
MVH/LRSA Estimated at revenue
per mile of $27,893 $1,674 $8,370
Approximate 5-Year Revenues $58,430
Revenue estimate based on $208,000 net assessment and capped tax rate of 3% of
$208,000 gross assessment in Year 1 and $600,000 net assessment and capped tax rate of
3% of $600,000 gross assessment for all years following.
Cleveland-Shellbark Annexation Area 13
SECTION VI. APPROVAL
Approved by the City of South Bend Common Council this day of ,
2022.
Cleveland-Shellbark Annexation Area 14
LEGAL DESCRIPTION
Part of the West Half of the Southeast Quarter of Section 22, Township 38 North, Range 2
East, German Township, St. Joseph County, Indiana, being more particularly described as
follows:
Starting at the Southwest corner of the Southeast Quarter of Section 22, Township 38 North,
Range 2 East; thence East 940 feet; thence North 40 feet to the Southwest Corner of Lot 91
in the Proposed Plat of Lilac Acres Subdivision to the Point of Beginning; thence North 318
feet along the West Line of Said Lot 91 to the Northwest Corner of Said Lot 91; thence East
380 feet to the Northwest Corner of Lot 95 in the Proposed Plat of Lilac Acres Subdivision;
thence South 318 feet along the West Line of Said Lot 95, also being the East Right-of-Way
Line of Shellbark Avenue, to the Southwest Corner of Said Lot 95; thence West 380 feet along
the North Right-Of-Way Line of Cleveland Road to the Point of Beginning. Containing 2.77
acres, more or less.
Cleveland-Shellbark Annexation Area 15
MAP 1
BOARD OF PUBLIC WORKS
AGENDA ITEM REVIEW REQUEST FORM
Date October 31, 2022
Name Michael Divita Department DCI
BPW Date November 8, 2022 Phone Extension 5843
Review and Approval Required Prior to Submittal to Board Diversity Compliance
and Inclusion Officer Officer Name BPW Attorney Attorney Name
Dept. Attorney Attorney Name Aladean DeRose
Purchasing
Check the Appropriate Item Type – Required for All Submissions
Professional Services Agreement Contract Proposal
Open Market Contract Amendment/Addendum Special Purchase, QPA
Bid Opening Bid Award Req. to Advertise Title Sheet
Quote Opening Quote Award Reject Bids/Quotes
Proposal Opening C/O & PCA No. PCA
Chg. Order, No. Traffic Control Resolution
Other: Ease./Encroach
Required Information
Company or Vendor Name
New Vendor Yes If Yes, Approved by Purchasing
No
MBE/WBE Contractor MBE
WBE Completed E-Verify Form Attached Yes
No
Project Name
Project Number
Funding Source
Account No.
Amount
Terms of Contract
Purpose/Description Adoption of a Fiscal Plan for the Cleveland-Shellbark Annexation Area
_______________________________________________________________
_______________________________________________________________
For Change Orders Only
Amount of
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Decrease
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Previous Amount $
Current Percent of Change:
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New Amount $
Total Percent of Change:
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Time Extension Amount:
New Completion Date: