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HomeMy WebLinkAboutRedevelopment Commission Minutes 01.25.24South Bend Redevelopment Commission 227 West Jefferson Boulevard, Room 1308, South Bend, IN SOUTH BEND REDEVELOPMENT COMMISSION SCHEDULED REGULAR MEETING January 25, 2024 — 9:30 am https://tinyurl.com/RedevelopmentCommission or BPW 13th Floor Presiding: Marcia Jones, President The meeting was called to order at 9:30 a.m. 1. ROLL CALL Members Present: Marcia Jones, President — IP Vivian Sallie, Secretary — IP Eli Wax, Commissioner - IP David Relos, Commissioner — IP Leslie Wesley, Commissioner - V IP = In Person V = Virtual Members Absent: Troy Warner, Vice -President Legal Counsel: Sandra Kennedy, Esq. Danielle Campbell, Asst. City Attorney Redevelopment Mary Sears, Board Secretary Staff: Joseph Molnar, Property Manager DCI Others Present: Caleb Bauer Erik Glavich DCI Sarah Schaefer DCI Jennifer Huddleston DCI Alyssa Alstott DCI Jeff Young DCI Michael Divita DCI Eric Horvath Engineering Kara Boyles Engineering Zach Hurst Engineering Leslie Biek Engineering Gemma Stanton Engineering Charlotte Brach Engineering Patrick Sherman Mgr. Pub Construction Canneth Lee Councilmember Jordan Gathers VPA Mark Peterson ` WNDU South Bend Redevelopment Commission Regular Meeting — January 25, 2024 Others Present: Margaret Pfeil New Day Intake Center John Schommer Our Lady of the Road Sheila McCarthy New Day Intake Center James A Masters 354 Columbia St. SB Joe Thomas 24538 Rolling Oak Dr SB DJ Tavernier 23180 Rocky Top Dr SB Derek Dieter 227 Jefferson Randy Figg 60822 Greenridge Don Schoenfeld Resident Mike Garatoni Growing Kids Carl Baxmeyer County Council Matt Barrett 110 S Niles Avenue Richard Nussbaum Resident Jordan Smith South Bend Tribune WSBT ABC57 Peggy Lee Foster 331 Sugar Maple Business Court Pastor Mario Sims Resident Tina Wilson Resident Don Foster Resident Dennis Zmyslo Resident Thomas Mizel Resident Amy Drake County Council Logan Foster Resident South Bend Redevelopment Commission Regular Meeting — January 25, 2024 2. Approval of Minutes Approval of Minutes of the Regular Meeting of Thursday, January 11, 2024 The minutes of January 11, 2024, were tabled. 3. Approval of Claims A. Claims Allowance 1. 16.24 Upon a motion by Secretary, Vivian Sallie, seconded by Commissioner, Eli Wax, the motion carried unanimously, the Commission approved the claims allowances of January 16, 2024. 4. Old Business 5. New Business A. River West Development Area 1. Budget Request (Market District Planning) Leslie Biek Presented a Budget Request (Market District Planning). This Budget Request is for the federal portion of the grant we received November 2023 for $600k. We were hoping to start the project with that amount but in order to approve the contract, we need the full amount. Every time we pay an invoice, we will be requesting 80% reimbursement for the federal portion. That money will go back to the River West TIF. Commission approval is requested. Mr. Bauer stated this would be over the course of the planning and development services. We reimbursed the next year for two years for the full amount. The local public match is $600k which the commission has already appropriated. The federal share is $2.4M. The federal government operates on a reimbursement basis. We had hoped to float and draw from the $600k. By appropriating the full amount, we will be able to move forward with this project. Upon a motion by Commissioner Eli Wax, seconded by Commissioner Dave Relos, the motion carried unanimously, the Commission approved Budget Request (Market District Planning) submitted on Thursday, 25, 2024. 2. Budget Request (Four Winds Field Renovations Design) Jordan Gathers Presented a Budget Request (Four Winds Field Renovations Design). We are on the cusp of a transformative project at Four Winds Field. Renderings of the project were shown. We are creating an elevated experience. This will include elevated upper deck seating with much more activity and game - changing features with the ballpark. We are requesting a significant investment form the River West TIF to continue with the design and progression. Utilizing the professional sports convention development area via bond we will promptly reimburse the River West Development Area post bond issuance. This project is South Bend Redevelopment Commission Regular Meeting — January 25, 2024 more than just expanding a ball field, it is about our community. It is about uniting fans, our community and bringing together visitors to experience this place. We would like to thank our local design experts JPR who have done a phenomenal job as well as the public works team and all of the city departments who have made this possible with enthusiasm and pride within our great city. Commissioner Wax asked in addition to the South Bend Cubs what other things will Four Winds field be utilized for. Mr. Gathers noted that we feel as though this project is a home run as far as a sense of community and unity and so that is a grand slam. We will still have the family features with the splash pads and playground area, the new event and club space will be an added feature. We are hoping to engage that space for community and private events. Commissioner Wax asked about the bonds in the amount of $2.6M. Mr. Bauer stated that PSCDA expansion allows us to collect a new annual maximum of $5M per year out of the district. Based on recent draws, we expect to be hitting cap on an annual basis. As far as the bond issuance is concerned, think we are looking for around $45M. Commissioner Wax asked if we are going to be using the bonds advance nine to ten years work of the PSCDA fund. Do we know where the market rate is now? Mr. Bauer stated yes. Eric Horvath, Public Works Director, stated they are meeting with bond council and the financial advisor after the meeting and would get back with Commissioner Wax regarding the rate. Commissioner Wax asked what the period for construction is. Mr. Horvath noted we are coming to RDC to keep the project moving forward because we are trying to hit the off-season and we would be starting work in September and the bulk of the work would have to be done when the team is not playing. The work will be continued over the next two years. We would start in 2024 and go through 2025 with just the construction. Commissioner Wax asked is there any reason to worry that PSCDA will not provide the $5M per year. Mr. Horvath stated that projections being generated are more than $5M per year. This will only increase over time as sales increase and incomes increase. Those are captured from a larger group now including sales tax. Secretary Sallie asked about parking as there is not a lot of parking in the sketch. This expansion will draw more people. Even now parking is an issue. Are there plans for additional parking? South Bend Redevelopment Commission Regular Meeting — January 25, 2024 Mr. Gathers noted he will defer to engineering. Parking has not been discussed much but it is something we can continue to review. Mr. Bauer noted that based on the current state we believe that the parking situation in the status quo arrangement would be sufficient for addition the second deck. If we continue to see redevelopment activity at the stadium, which we hope to see, then yes, parking will become a lot more of the conversation. We do expect parking will expand throughout the downtown. Attendees will have a couple block walk. We do not believe it is a major issue, but it is on our radar as something to think about. Commissioner Wax asked about the current seating versus the expansion. Mr. Horvath thought it was approximately 50% but would verify. Derek Dieter, 1740 Portage, resident asked with all the gentrification that happened on Taylor, Monroe Circle and Scott Street, is the city going to purchase all that property for parking down the road. Mr. Bauer stated he is not at liberty to discuss future plans as far as property acquisition but no, we do not currently have any plans to purchase. Derek Dieter, resident, asked if the city could say today equivocally that the city is not going to purchase the Housing Authority property for parking. Mr. Bauer stated that is not our intent. Derek Dieter, resident said I get it is not your intent but are you going to do that. Mr. Bauer stated no, that is not a plan that the city has. Derek Dieter, resident stated that is not going to happen. Mr. Bauer stated that we are not planning on that. Derek Dieter, resident, said so we cannot guarantee you that property, which was Houring Authority property for years and years, is not going to be purchased for parking. Mr. Bauer stated no. The plan is redeveloped in partnership with the Housing Authority of that lot. Derek Dieter, resident, said OK, this all recorded. Upon a motion by Commissioner Relos, seconded by Commissioner Wax, the motion carried unanimously, the Commission approved Budget Request (Four Winds Field Renovations Design) submitted on Thursday, January 25, 2024. South Bend Redevelopment Commission Regular Meeting — January 25, 2024 3. Real Estate Purchase Agreement (South Bend Schools) Joseph Molnar Presented a Real Estate Purchase Agreement (South Bend Schools). This agreement before you is a purchase agreement for 5.17 acres north of South Bend Community School bus depot. The land is currently a field and a smaller parking lot. This was approved by the South Bend School Board sale on Monday. A plot of the subdivision showing the actual acreage of land was shown. The Redevelopment Commission would only be acquiring the northern grassy lot which is 5.17 acres. The purchase agreement is for $277,750.00 which is the average of two independent appraisals. The due diligence, if the Redevelopment Commission approves, we would get environmental tests on the property to confirm and other title work on the property. At closing SBCSC would execute a license allowing for access of the area until construction start on the property. We would provide 90 - day notice of construction. Until then SBCSC would be able to use the land for parking on site. The purchase agreement commits to a 25 -foot buffer to the south boundary of the SBCSC as well as an 8 -foot fence along the southern boundary. Caleb Bauer stated the intended use of this site would be for the development of an 80 -bed low barrier intake center. This has been a long-term priority for the administration dating back to the previous administrations in 2017 Committee on Chronic Homelessness. We believe that this site is a good fit for this use. It is located in decent proximity to grocery stores, as well as a bus line. During the COVID-19 pandemic Knights Inn was developed as an emergency site through the motels for now. The city always intended for that to be a temporary solution and we are grateful to St. Joseph County for their contributions of operation. That site was always intended as a temporary site as we worked to locate a purpose-built facility for an intake center. This site has the potential for a purpose-built center. The first approval would come from the Redevelopment Commission. It would come back before the Commission for potential capital contributions as well as an actual property transferred to the new day intake center 5013C. The new intake center team, which is staffed by Our Lady of the Road and Motels for now team is here to speak more about the site. Margaret Pfeil, Board President of the New Day Intake Center, and Board President of Our Lady of the Road. John Schommer, Our Lady of the Road and Sheila McCarty, New Day Intake Center presented on behalf of the New Day Intake Center. Ms. Pfeil stated that Our Lady of the Road has been operating motels for now since late August 2020. We have received generous funding from St. Joseph County through the Cares Act funding and the American rescue plan in the City of South Bend. We have developed the non-profit New Day Intake Center that will be the entity that would operate this purpose -build facility of 80 -beds and we anticipate that we would transition the motels for now program into that facility when it is ready. We are collaborating with a local architect to develop plans and South Bend Redevelopment Commission Regular Meeting — January 25, 2024 hope to work with local stakeholders to incorporate design suggestions Mr. Schommer stated that they are excited with the momentum behind the project. They have received $2.5M DMHA grant for operations and another $2.5M DMHA grant for construction towards the new site. With those grants and the city's commitment we are about 60% funded for the construction of the new facility. Ms. McCarthy stated the New Day Intake Center that has been proposed over the last many years, six years or more, developmentally is what Our Lady of the Road has done over the past three and a half years. We have had over 710 guests and a 78% success rate. Most people are able to find stability and return back to the community in a much better situation than when they came. Commissioner Relos asked if there are agencies that the team works with to help stabilize people that they have currently and would those people move to the new locations. Ms. McCarthy stated that that have Beacon Memorial residency clinic that comes every other week with psychiatrist. We have Oaklawn recovery coaches on site. Instead of makeshift motel rooms we would have actual exam rooms and meeting rooms. The whole goal of the program is having people in stable housing and food situations that can take care of whatever other issues they need. Mr. Schommer states the whole goal of the program is having people in stable housing and food situations that can take care of whatever other issues they need. This can be a hub for other community groups to come in and provide wrap around support. Mr. Bauer stated that the motel's four now staff administers the VI-SPDAT survey for individuals experiencing chronic homelessness that puts them on a coordinated service entry list, which is a partnership of all the different service providers in our area. We work to get people off of that list and prioritize them based on the score. The higher the score, the more at risk the individual moves up the list and then service providers that have available beds are rapid rehousing resources and other programs like Center for the Homeless can be engaged to help to stabilize. Ms. McCarthy stated through that program we have been able to house over 200 people permanently. Commissioner Relos asked if the next step would be permanent supportive housing. Ms. McCarthy stated yes. Mr. Bauer stated that it could be PSH, it could be a voucher, a housing choice voucher placement. Depending on the circumstances there are different places for individuals. The intake center is the point that someone enters the continuum South Bend Redevelopment Commission Regular Meeting — January 25, 2024 of care and then they are given services in which they need to become stable and placed where it is best for them. Commissioner Wax stated that he is concerned about the effects on neighboring communities. The result of the current program is that there is increased crime in the neighborhood that relates to business closings. There is an increase in safety concerns. We are looking at moving it into a more permanent situation down the block from a childcare center. Walmart down the road closed due to losses. The neighborhood is already struggling to survive with many dominos falling one after another. What impact would this have? Mr. Bauer states that he understands the concern and the city team and Our Lady of the Roads team is interested in hearing those concerns and making sure that if there are design considerations that can help alleviate some of those, including setting things back further from Bendix, ensuring there is proper fencing at the site, ensuring security is on site 24 hours; those are all pieces we have seen that make other facilities successful. I think the reality with the citing of the location is that it is difficult to find the perfect site for an intake canter and we believe this is a good site. We do understand that there is no perfect site for a center like this. This is a consideration that our community has to make. Do we believe this is a service that is necessary and additive for our most vulnerable neighbors? If we do, we need to take steps to make sure that as many concerns can be addressed in the design considerations of the site. These comments would be part of a contractual agreement when the property is transferred to the New Day Intake Center 5013C in the purchase agreement. Commissioner Wax states that he is a believer in supportive services for homeless, but he has down his research and the low barrier model creates an impact to neighboring areas. That is very different for the Center for the Homeless model. These are two different things. To move forward and try to alleviate the problems later does not address the legitimate concerns today. Saying we are going ahead with the project, and we will define those further down the road. He does not know how he can consciously go forward with any planning. He needs to see the concerns addressed before moving forward. It is not that he would never vote in favor of the project at a later date. A quarter of a million -dollar purchase of a field; for what I know today, I am not ready to move forward on it. Ms. Pfeil echoed what Caleb had previously shared and they take the concerns seriously. There were zero police reports at motels four now in the month of December 2023. It is not a static situation, as they have been addressing concerns along the way. Commissioner Wax stated zero police reports in December, he does not know what that means. Were police called to the site in December? Ms. Pfeil stated that there were emergency services called but no police reports. We take the issues seriously. We intend to be responsible stakeholders and good neighbors. If we have a purpose-built site, it gives us a chance to incorporate in South Bend Redevelopment Commission Regular Meeting — January 25, 2024 the beginning from the design things that we know are necessary but are not available at our current location. If we can provide 24-hour security, that will go a long way to increasing stability. We do intend to hold public meetings asking for feedback and design renderings as we make the plan. We have three and a half years' experience now and the low barrier model has proven to work. We housed over two hundred people permanently. The people we are talking about are our own brothers and sisters, aunts, and uncles. Eighty-eight percent of the people who have come to motels four now are housed in our own county. Otherwise, they would be encamped throughout our community. We want to collaborate with stakeholders because we care deeply about that. Commissioner Wax stated that he does not doubt their intentions and he is sure that they accomplish a lot of great things. The question is about the impact not just what you are able to do for the people you are servicing but the impact on the bond for the people are around you now. He has concerns about low barrier model. Is this the most effective approach and what impact does it have on the surrounding neighborhood which is independent of the work you are trying to do. Ms. Pfeil stated they have enjoyed the work with Center for the Homeless and see their work as complimentary. They have come through the pandemic and continue to address the needs of those who do not have shelter. In future public settings there will be opportunities to note that this is a bigger continuum of care. Other agencies also see this as necessary. The intention is to work with area stakeholders and be good, responsible neighbors. We have a chance from the beginning to address concerns in the very design of the facility. If concerns arise as we go along, we can address those immediately. Ms. McCarthy stated that of the seven hundred and ten guests that they had, very few of those would be able to go to other structures that were high access. The housing first model is supremely effective. It allows for people to be present that would not fit in anywhere else. In terms of neighborhood crime, I would question the stigmatism of homelessness. Many have come to us with that concern, and we have shared if one of our members had ever been arrested. It is usually not someone that is connected to our program. There is a lot of blame that is not warranted. Our staff goes around to area businesses and are in close communication with them to address any concerns they have. That is a good relationship that we would continue in the new neighborhood. Commissioner Relos asked about long-term, operational cash flow and how money would keep coming in. Ms. Pfeil mentioned that they are about to launch a capital campaign. Sixty percent has been raised. We intend to fundraise and have been in contact with state agencies about long-term funding. We intend to have a mix of both public and private funding. This partnership has to be put in place to succeed long term. We are serving a critical need that has not been met so far. Commissioner Relos asked if it is Medicaid funded South Bend Redevelopment Commission Regular Meeting — January 25, 2024 Ms. Pfeil noted that currently they are not operating on Medicaid funding. They are actively exploring revenue streams and it will be a private/public mix. Mr. Schommer states that currently they have funding to take operating one and a half years to start. That allows us to have time to get other grants and private funds in. Ms. Pfeil stated that she wants to create relationships with the chamber and reach out to people in the chamber to ask about homelessness and how they can help. They want to see this flourish. Do you see this as something you would support in the future? Talking about the common good of society, each one of us has a role to play. Especially for those most vulnerable. Who is going to care for them? Is it that they do not deserve to be housed? I do not think that we want to see that. That is not who we are. President Jones opened this discussion to the public for those in favor of the project: Matt Barrett, 110 S. Niles Avenue — spoke in support. Councilmember Canneth Lee — spoke in support. Peggy Lee Foster, 331 Sugar Maple Business Court — spoke in support President Jones opened this discussion to the public for those in opposition of the project: Pastor Mario Sims — spoke in opposition James Masters, 350 Columbia Street — spoke in opposition Carl Baxmeyer, County Commissioner — spoke in opposition Derek Dieter, County Commissioner, 1740 Portage Avenue — spoke in opposition Joe Thomas, 2453 Rolling Oaks Dr. SB — spoke in opposition Mike Garatoni, 2601 N Bendix — spoke in opposition Tina Wilson, 1213 N Kentucky Street - spoke in opposition Don Foster, 132 Chapin Street - spoke in opposition DJ Tavernier, 3005 Lincolnway E — spoke in opposition Dennis Zmyslo, Tom's Care Center - spoke in opposition Thomas Mizel Sr., 51042 Prairie View Way — spoke in opposition Amy Drake, County Commissioner — spoke in opposition Logan Foster, 1138 College Street — spoke in opposition The public potion was closed Commissioner Wax commented the RDC has three requirements when considering a project, it will benefit the public health, safety, morals and welfare and it will increase economic well being with the unit and the state and it will serve to protect and increase property values in the unit and state. At this point, he has not seen enough to say this project will accomplish all three. It could provide a public health service, but he cannot say it will increase the economic well being of the unit and protect and increase property values which is what redevelopment South Bend Redevelopment Commission Regular Meeting — January 25, 2024 requires when looking at a project. He feels it can be shown as to how this project could be made in a way that would not have a deleterious impact on the neighboring communities. If he voted it would be in opposition today, but he is not opposed to tabling this item for more public feedback. Upon a motion by Eli Wax, Commissioner, seconded by Vivian Sallie, Secretary, the motion carried unanimously, the Commission agreed to table Real Estate Purchase Agreement (South Bend Schools) on Thursday, January 25, 2024. 4. Resolution No. 3589 (South Bend Schools) Joseph Molnar Presented Resolution No. 3589 (South Bend Schools). This resolution allows the right to purchase the property. Upon a motion by Eli Wax, Commissioner, seconded by Vivian Sallie, Secretary, the motion carried unanimously, the Commission agreed to table Resolution No. 3589 (South Bend Schools) on Thursday, January 25, 2024. 6. Progress Reports A. Tax Abatement • Erik Glavich stated that at the Common Council meeting the Council approved the following: • Reconfirming for the South Bend Chocolate Company. B. Common Council • None C. Other • Commissioner Relos noted he saw that the BPW approved Liberty Tower for concrete repair. • Mr. Bauer noted parking garage facility. They also announced their contract for the renovation floors. • Mr. Glavich noted that the agreement is to be finalized in 2025, which is for the parking garage installation of security cameras and wok on the seventh floor, outdoor patio. • Mr. Bauer noted that council did hear the first reading of the forgivable loan agreement for RealAmerica but will go before the Council two more times. 7. Next Commission Meeting: Thursday, February 8, 2024 8. Adjournment Thursday, January 25, 2024, 11:20 a.m. 1114-11 ACA Vivian Sallie, Secretary (i"ZZZdLZ �' - � Marcia Jones, Pres'