HomeMy WebLinkAbout03-13-00 Community & Economic Development QCommittaa wort:
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The March 13,2000 meeting of the Community and Economic Development Committee
was called to order by its Chairperson, Council Member Roland Kelly at 4:32 p.m. In the Council
Informal Meeting room.
Persons in attendance included Council Members Aranowski,Pfeifer,Kelly,King,
Varner,Ujdak, Coleman,White and Kirsits; Citizen Member Jean Troutman-Poole, Cassandra
Moran, John Hosinski, Robert Henry, Bob Hunt,Jon Hunt, Leslie Rubin, John Noppenberg,
Michael Beitzinger,Jeff McGowan,Terry Bland of the'outs IStrib ZribUIU,and Kathleen
Cekanski-Farrand, Council Attorney.
Council Member Kelly stated that the first item on the agenda was to review Bill No. 00-19
which is a personal property tax abatement request for Curtis Products,Inc for the property located
at 702/722 South Carroll Street. Cassandra Moran of Community&Economic Development
reviewed her report dated February 22,2000(copy attached). She noted that the petitioner
provided fabricated tube assemblies for Original Equipment Manufacturers engaged primarily in
agricultural and automotive industries. The petitioner proposes to add two(2) major pieces of
equipment for an estimated cost of$310,000.00. The project will create nine(9) new permanent
jobs and maintain 226 existing full-time jobs. The report concluded that the petitioner meets the
qualifications for a five(5) year personal property tax abatement under§ 2-84.2 of the South Bend
Municipal Code.
Mr. Jeff McGowan, CPA, spoke on behalf of the petitioner. Citizen Member Jean
Troutman-Poole inquired about salaries and fringe benefits. Mr. McGowan noted that the new
annual payroll for the new nine(9)jobs to be created would be$177,840 which does not include
fringe benefit costs.
In response to a question from Council Member White, Mr. McGowan noted that the nine
(9) new employees would be at the general skill level.
Following discussion, Council Member Ujdak made a motion, seconded by Council
Member Varner that Bill No. 00-19 be recommended favorably to Council. The motion passed.
The Committee then reviewed Bill No. 00-22 which is a six(6) year real property tax
abatement request for USF Holland,Inc for the property located at 5550 Cleveland Road.
Cassandra Moran of Community&Economic Development reviewed her report dated March 7,
2000(copy attached). She noted that the petitioner is a"less than truck load carrier"which
provides logistics and just in time trucking operations throughout the United States. The petitioner
proposes to construct a terminal facility between Cleveland Road and the Indiana Toll Road for an
estimated cost of six(6) million dollars. The project will create between 25 and 30 new,
permanent,full-time jobs and maintain the existing 299 full-time jobs. The report concluded that
the petitioner meets the qualifications for a six(6) year real property tax abatement under§2-83 of
the South Bend Municipal Code addressing warehouse development.
Leslie Rubin and John Noppenberg,agents for the petitioner made a presentation on behalf
of the petitioner. They showed pictures of the petitioners operation in Greenwood,Indiana. Mr.
Robert Henry of the Robert Henry Corporation was introduced who will oversee the construction
with September 3rd being their target date. Mr. Henry further noted that this is one of four new
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terminals proposed.
Community and Economic Development Committee
March 13,2000
Page 2
In response to a question from Council Member Kelly it was noted that a"less than truck
load carrier" is one which does not carry a full load and rather acts as a distributor of goods and
supplies. Home Depot is their biggest client and they have been affiliated with USF Holland for
over forty(40) years. They are twice the size of Preston and the proposed facility would be the
ninth(9th)largest terminal.
Council Member Aranowski,the First District Council Member,noted that this project will
be in his district. He stated that much discussion on the traffic and lighting patterns have taken
place and that the project will result in a new traffic light being installed on Cleveland. The key to
located at this site was the access to the bypass.
In response to a question raised by Citizen Member Troutman-Poole,it was noted that the
salary average sal will be$ 52,000 which does not includ e fringe e benefits.
Following discussion,Dr. Varner made a motion, seconded by Council Member Ujdak that
Bill No. 00-22 be recommended favorably to Council. The motion passed.
Mr. Michael Beitzinger of Community&Economic Development noted that he is making a
request to withdraw Bill No. 00-23 add ressin g Kisor/Warren Industries. He noted that the agents
have signed the agreement to purchase and that the proposed resolution was not necessary.
There being no further business to come before the Committee,Council Member Kelly
adjourned the meeting at 4:52 p.m.
Respectfully submitted,
Council Member Roland Kelly,Chairperson
Community and Economic Development Committee
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Attachments
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