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HomeMy WebLinkAbout01-24-00 Community & Economic Development Qtommitt*s *sport: Community and Economic Development Committee to tbt common atoutttfl of Ott eit1 of £outb O: The January 24,2000 meeting of the Community and Economic Development Committee was called to order by Council Member Roland Kelly, Chairperson of the Committee at 4:00 p.m. in the Council informal meeting room . Persons in attendance included Council Members: Aranowski, Pfeifer, King, Varner, Ujdak,Kelly,White, Coleman and Kirsits; Citizen Member Jean Troutman-Poole,Marco Mariani,Ray Wisesberg, Sara Filley,Mike Beitzinger,Kim Warren, Brad Tothacker,Rick Milton, Ann Bockenkamp, Cassandra Phillips, Terry Bland of the giotttb NCO ZiCribun , and Kathleen Cekanski-Farrand, Council Attorney. Council Member Kelly noted that the first item on the agenda was to review Bill No. 00-6 which is a five-year residential real property tax abatement request for G &M Properties for the properties located at 2801, 2807, 2813, 2817, 2821, 2825, 2901, 2905, 2909, 2917, 3001, 3019, 2802, 2808, 2814, 2820, 2902, 2906, 2912, 2916 West Calvert Street and 2239 South Prospect Street. Cassandra Phillips of Community & Economic Development reviewed her report of December 20, 1999 (copy attached). Garden Homes proposes to construct 21 3-bedroom • homes estimated between$75,000 to$ 85,000 for a total estimated project cost between $ 1,950,000 and $ 2,210,000. The petitioner has been granted ten (10) previous tax abatements. The report concluded that the petitioner meets the qualifications for a five year residential real property tax abatement. Mr. Ray Wisesberg of Garden Homes was available for questions from the Committee. Following discussion, Dr. Varner made a motion, seconded by Ms. Troutman-Poole that Bill No. 00-6 be sent with a favorable recommendation. The motion passed. The Committee then reviewed Bill No. 00-7 which is a five-year residential real property tax abatement request for American Home Dreams, Inc. for the properties located at 702, 730 and 732 Pennsylvania Avenue. Cassandra Phillips of Community & Economic Development reviewed her report of January 10, 2000 (copy attached). American Home Dreams, Inc. proposes to construct three(3)new homes of not less than 1,500 square feet with an estimated per home value of approximately $ 76,500. Qualified buyers would be eligible for a mortgage subsidy of between$ 15,000 and$ 17,000 through the St.Joseph County Housing Assistance Office, and the homes would be available to low and moderate income first time home buyers. The petitioner has received four (4) previous tax abatements. The report concluded that the petitioner meets the qualifications for a five year residential real property tax abatement. Marco Mariani,a Neighborhood Planner, made the presentation. He noted that the lots are currently owned by the Board of Public Works. He then showed a map of the area of the Southeast Neighborhood Project area. In response to a question from Dr. Varner, Mr. Mariani noted that originally there was a through street which is now a cul-de-sac in the area. The City paid for the cost of sidewalks and curbs with tax incremental financing paying for sewer and water lines to the shut offs. Community and Economic Development Committee January 24, 2000 Page 2 Mr. Rick Milton, Executive Director of AHDI, Inc. noted that there was a problem with the contract which resulted in building permits being issued for Lots 27 and 28 on December 23rd. These permits were pulled in error and no construction occurred. On January 18, 2000 the permits were voided. Following discussion, Council Member Ujdak made a motion, seconded by Dr. Varner, that Bill No.00-7 be recommended favorably to Council. The motion passed. The Committee then reviewed Bill No. 00-8 which is a five(5) year personal property tax abatement request for Koontz-Wagner Electric Company, Inc. for the property located at 3300 West Sample Street. Cassandra Phillips of Community & Economic Development reviewed her January 11, 2000 report (copy attached). Koontz-Wagner Electric Company, Inc. has provided complete electrical services for over 75 years. The proposed project would add a 130 ton sixteen foot Accupress Press-brake to the facility at the estimated cost of$ 81,910. The petitioner has received one prior tax abatement. The report concluded that the petitioner meets the qualifications for a five year personal property tax abatement. Sara Filley, Controller for Koontz-Wagner Electric Company, Inc. noted that the press- brake is necessary due to the strong growth in the demand for packaged control rooms manufactured by the Custom Controls Division. In the past year,the number of employees at their Sample Street facility have grown from 9 to 21. Council Member Kelly inquired into what were packaged control rooms. Ms. Phillips noted that in light of the brown outs and black outs that pre-packaged electrical rooms for facilities were necessary to control such outages. In response to a question from Citizen Member Troutman-Poole,Ms. Phillips noted that at least one(1) new permanent job would be created at an annual payroll of$ 14,600 and that 256 existing permanent full-time jobs representing an annual payroll of $ 10,300,000 would be maintained. Following discussion, Dr.Varner made a motion, seconded by Council Member Ujdak that Bill No. 00-8 be recommended favorably. The motion passed. The Committee then reviewed Bill No. 00-9 which is a five year residential tax abatement request for Neighborhood Housing Services of South Bend,Inc., for the properties located at 1418 Campeau and 1206 Sorin Street. Cassandra Phillips of Community & Economic Development reviewed her January 14, 2000 report (copy attached). The petitioner proposes to building two (2) single-family homes of 1,050 square feet, each with three(3)bedrooms with an approximate value of $ 85,000 for a total project cost of $ 170,000. The petitioner has received three (3) previous tax abatements. The report concluded that the petitioner meets the qualifications for a five year residential real property tax abatement. Community and Economic Development Committee January 24, 2000 Page 3 Anne Bockenkamp,Executive Director of Neighborhood Housing Services of South Bend, Inc. made a presentation on behalf of the petitioner. She provided a handout (copy attached) which provided a map of the area in question and showed examples of the "Morris Prairie" home styles. Council Member Kelly noted that Anne has a tough job but does it well and runs a very successful program. Council Member Ujdak inquired whether this organization was dissolving. Ms. Bockenkamp stated that they do intend to dissolve by the end of the year but believe that this project will be completed by then. Council Member Ujdak then made a motion, seconded by Dr. Varner that Bill No. 00-9 be recommended favorably to Council. The motion passed. The Committee then reviewed Bill No. 99-126 which is a resolution which would terminate the ten (10)year real property tax abatement for Bangor Refrigeration Corporation. Mr. Mike Beitzinger of Community&Economic Development provided an update on the progress of Kysor/Warren, the former Bangor Refrigeration Company which ceased its operations in October of last year. He noted that this Bill was originally set for public hearing on December 13, 1999 and was continued due to the interest by a prospective buyer of the property. Colbert Packaging,the proposed purchaser has indicated that the tax abatement would be an integral part of its decision. Mr. Brad Toothacker,a real estate agent,indicated that negotiations are continuing on the proposed purchase by the Chicago based company of the 90,000 square foot facility. A letter of intent has been signed for the$2 million building. Mr. Beitzinger indicated that he believed that a March 1st deadline may govern and that he would therefore recommend that this Bill be continued until February 14th. The matter would be continued until the February 14th committee meeting. Council President Pfeifer then introduced Kimberlie J. Warren, a student at IUSB, working on her Masters Degree in the Community Development Work Study Program, who will be working as an intern. There being no further business to come before the Committee, Council Member King adjourned the meeting at 4:30 p.m. Respectfully submitted, Council Member Roland Kelly, Chairperson Community and Economic Development KCF:kmf Attachments