HomeMy WebLinkAbout07-25-01 Community & Economic Development Community&Economic Development Committee
South Bend Common Council
The July 25,2001,meeting of the Community and Economic Development Committee
was called to order by its Chairperson, Council Member Roland Kelly at 4:08 p.m. in the
Council Informal Meeting Room.
Persons in attendance included: Council Members Kelly,Varner, and Kirsits;
Richard Jackson,Felicia Davis,Michael Beitzinger,Jon Hunt,Terry O'Brien,Don Inks, Cheryle
Greene,Kevin Hunter, and Kathleen Cekanski-Farrand, Council Attorney.
Council Member Kelly noted that the purpose of the meeting was to continue discussion
of proposed changes to the existing tax abatement procedures and guidelines. Council Member
Kelly began by inquiring about the implementation of any new guidelines.
Don Inks noted that he believed that the upfront guidelines could be implemented
relatively easily. The key question would be the amount of monitoring which the City desired.
He also noted that the"mega projects"are still an open issue which need to be discussed.
Council Member Kelly noted that a larger staff may be warranted and he inquired about
the possibility of having unannounced visits to locations which receive tax abatement.
Jon Hunt voiced concern about announced visits, citing the fact that the federal
government always provides notice before coming on site. He believed that such a policy could
create alot of ill will and he voiced concern about the officials doing such site inspections.
Council Member Varner stated that essential information which should be tracked could
be developed on a check list and then monitored on a regular basis,perhaps via affidavit. Dr.
Varner noted that the development of more assessment has already been highlighted as one of
the City's primary goals through the tax abatement process.
Don Inks thought that this concept would work.
Council Member Kirsits suggested quarterly reviews. He also voiced concern about
projects where there have been Build Indiana Funds involved and substantial infra structure
expenses and then the petitioner also asks for tax abatement, He believes that the city is giving
tax abatement out like one would give candy to children. He realizes that the city must be
competitive with regard to other communities however stated that three(3)years rather than five
(5)years should be the base amount.
Jon Hunt noted that our main competitor is not Mishawaka currently. Mishawaka does
have the lock on retail development at the current time,however. He stressed that Blackthorne
is the place to be for industrial development. The City will go head to head with Mishawaka in
this area when Capital Avenue is opened. $ 1.50 per square foot is added when developing in
the downtown due to parking. Competition now is from such cities as Kalamazoo,Fort Wayne,
-Community&Ecnomic Development Committee Meeting Minutes of July 25,2001
Toledo,and Portage,Indiana. Mr. Hunt noted that trying to keep existing businesses here is our
biggest focus currently.
Kevin Hunter noted that quarterly reviews and announced visits would be worth
pursuing. Mr. Hunter also stressed the need to monitor racial diversity,health and welfare
components, employee training as well as retirement benefits. He stressed that we need to focus
on selling the area itself of locating in the city.
Council Member Kelly noted that concerns of competition from other communities were
raised by Pat McMahon of Project Future and Mark Eagen of the Chamber of Commerce.
Don Inks agreed to re-work the numbers on the years of abatement consideration and
report back to the Committee at the next meeting. He then reviewed a handout developed under
the new tax abatement state law guidelines(copy attached).
Council Member Kirsits voiced concern over the growing number of vacant buildings on
the north side of the Toll Road Mr.Hunt noted that Midwest Embroidery and Busck Brothers
have left,but overall the vacancy rate although growing is not alarming.
Council Member Kelly stated that the Committee would meet again on Wednesday,
August 8, 2001 at 4 pm to continue this discussion. He thanked everyone for coming.
There being no further business to come before the Committee,the meeting was
adjourned at 5:03 p.m. by Chairperson Roland Kelly.
Respectfully submitted,
Council.Member Roland Kelly,Chairperson
Community&Economic Development Committee
KCF:kmf
Attachment
-Community&Ecnomic Development Committee Meeting Minutes of July 25,2001