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HomeMy WebLinkAbout05-24-04 Council Meetng MinutesREGULAR MEETING MAY 24, 2004 Be it remembered that the Common Council of the City of South Bend, Indiana met in the Council Chambers of the County -City Building on Monday, May 24, 2004, at 7:00 p.m. The meeting was called to order by President Karen L. White and the Invocation and Pledge to the Flag were given. ROLL CALL COUNCILMEMBERS: Present: Derek Dieter Charlotte Pfeifer Roland Kelly Ann Puzzello David Varner Ervin Kuspa Sean Coleman Al "Buddy" Kirsits Karen L. White Absent: None OTHERS PRESENT: 1 st District 2nd District 3rd District Vice - President 4th District 5th District 6th District At -Large Chairperson, Committee of the Whole At -Large At -Large President Kathleen Cekanski- Farrand, Council Attorney John Voorde City Clerk Mary Beth Wisniewski Chief Deputy City Clerk Janice I. Talboom Deputy City Clerk REPORT FROM THE SUB- COMMITTEE ON MINUTES To the Common Council of the City of South Bend: The sub - committee has inspected the minutes of the May 10, 2004 meetings of the Council and found them to be correct. Therefore, we recommend the same be approved. Members of the Sub - Committee on Minutes s/Karen L. White s/David Varner Councilmember Coleman made a motion that the minutes of the May 10, 2004, meeting of the Council be accepted and placed on file. Councilmember Kelly seconded the motion which carried by a voice vote of nine (9) ayes. SPECIAL BUSINESS RESOLUTION NO. 3328 -04 A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, PUBLICLY COMMENDING SWANSON PRIMARY CENTER TEACHER, THOMAS L. HEMINGER, AS THE 2004 SOUTH BEND COMMUNITY SCHOOL CORPORATION'S TEACHER OF THE YEAR WHEREAS, the Common Council of the City of South Bend, Indiana, recognizes that there are over 60,000 teachers teaching in the 294 public school corporations and state - accredited nonpublic schools throughout the state of Indiana; and WHEREAS, the Common Council notes that recently the South Bend Community School Corporation honored thirty -six (36) local teachers for their excellence in the classroom and for their special teaching skills; and WHEREAS, the Common Council is proud to publicly honor THOMAS L. HEMINGER, who has taught at the grade school level for the past 35 years at Swanson REGULAR MEETING MAY 24, 2004 Primary Center, for being named the "2004 Teacher of the Year" by the South Bend Community School Corporation; and especially thanks him for his vision and passion for effective, innovative and dedicated teaching skills; and WHEREAS, the Council commends Mr. Heminger for his successful teaching philosophy which he relates, in his own words, to be as follows: "I believe in `utilizing my classroom resources.' The classroom is a microcosm of society with `movers and shakers, and slackers, and takers.' Regardless of the class's personality, temperament, or composition, a successful teacher will identify the leaders. Use them ... as leaders. Find the followers. Put them to work. Find the troublemakers. Put them off stride. Set goals and expectations for them. Many of these students can become leaders, some won't "! My point is —use the resources within your class...." NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of South Bend, Indiana, as follows: Section I. On behalf of all of the citizens of the City of South Bend, Indiana, the Common Council hereby publicly commends and congratulates Swanson Primary Center Teacher Thomas L. Heminger for being named by the South Bend Community School Corporation as the "2004 Teacher of the Year ". Section II. The South Bend Common Council notes with pride that Mr. Heminger is a graduate of Riley High School and earned his Bachelor's and Master's degrees from Indiana University South Bend. Section III. The Council wishes Mr. Heminger years of continued success as he dedicates his life to teaching and to bringing countless joys to his students and colleagues which is epitomized by his commitment to providing a positive, creative and caring attitude, which others should emulate. Section IV . This Resolution shall be in full force and effect from and after its adoption by the Council and approval by the Mayor. s /Derek D. Dieter, 1" District s /Ervin Kuspa, 6th District s /Charlotte D. Pfeifer, 2nd District s /Sean Coleman, At Large s/Roland Kelly, 3rd District s /Al`Buddy "Kirsits, At Large s /Ann Puzzello, 4th District s /Karen L. White, At Large s /David Varner, 5th District s/Kathleen Cekanski- Farrand Council Attorney ATTEST: s /John Voorde, City Clerk s /Stephen J. Luecke, Mayor Councilmember Ann Puzzello, 1247 E. LaSalle, South Bend, Indiana made the presentation for this Resolution by first offering her comments and then reading the Resolution in its entirety and presenting it to Mr. Heminger. A Public Hearing was held on the Resolution at this time. Ms. Kris Torok, Principal, Swanson Primary School, spoke in favor of this Resolution. She stated that she Mr. Heminger is a wonderful teacher and to look for him as a finalist in the State Teacher of the Year Awards. Mr. Heminger thanked the Council for the honor of this Resolution. He stated that the past two (2) weeks have been very exciting since being named South Bend Community School Corporation Teacher of the Year. He graciously accepted this honor is remembrance of his father Bill Heminger. Councilmember Varner offered comments and commended Mr. Heminger for his dedication to teaching. 2 REGULAR MEETING MAY 24, 2004 There was no one else present wishing to speak in favor of or in opposition to this Resolution. Councilmember Coleman made a motion to adopt this Resolution by acclamation. Councilmember Kelly seconded the motion which carried. RESOLUTION NO. 3329 -04 A RESOLUTION OF THE COMMON COUNCIL 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 PORTAGE TOWNSHIP, ARBORS AT BELLEVILLE ANNEXATION AREA WHEREAS, there has been submitted to the Common Council of the City of South Bend, Indiana, an Ordinance and a petition by the sole (100 %) property owner which proposes the annexation of real estate located in Portage Township, St. Joseph County, Indiana, which is described more particularly in Section I of this Resolution, and; WHEREAS, the territory proposed to be annexed encompasses approximately 21,21 acres of land on which is situated an apartment complex consisting of thirteen (13) three story buildings and a clubhouse, with proposed construction of thirteen (13) additional three story buildings for a total of 232 units, which proposed to be re -zoned M172 upon annexation to the City of South Bend. This property is at least 12.5% contiguous to the current City limits i.e. approximately 50% contiguous, and is generally located on the east side of Mayflower Road, approximately 2,200 feet south of Sample Street, Portage Township, Indiana. This annexation area and its multi - family rental use will require a basic level of municipal public services of a non - capital improvement nature, including police and fire protection, 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 WHEREAS, the Common Council of the City of South bend, Indiana, 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, sewage collection, street sweeping, flushing, and snow removal, police and fire protection, 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 in standard and scope to similar non - capital services proved to areas within the corporate boundaries of the City of South Bend, regardless of similar topography, patterns of land use, or population density; (5) that the services of a capital improvement nature will be provided to the annexed area within three (3) years after the effective date of the annexation in the same manner as the services are provided to area 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; and (6) the plan for hiring the employees of other governmental entities whose jobs will be eliminated by the proposed annexation; and WHEREAS, the Board of Public Works of the City of South Bend, and the Board of Public Safety of the City of South Bend, have each approved a written fiscal plan and established a policy for the provision of services to the territory proposed to be annexed, which plan and policy the Common Council finds to be appropriate and in the best interest of the City, and, which it desires to adopt. 3 REGULAR MEETING MAY 24, 2004 NOW, THEREFORE, BE IT RESOLVED BY THE COMMON COUNCIL 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 located in Portage Township, St. Joseph County, Indiana described more particularly as follows, be annexed to the City of South Bend: THAT PART OF THE NORTHWEST, NORTHEAST AND SOUTHEAST QUARTERS OF SECTION 17, TOWNSHIP 37 NORTH, RANGE 2 EAST, PORTAGE TOWNSHIP, ST. JOSEPH COUNTY, INDIANA WHICH IS DESCRIBED AS: BEING LOT # 1 OF THE PLAT OF "MATTHYS MAYFLOWER ROAD SECOND MINOR SUBDIVISION" RECORDED AS DOCUMENT NO. 0262648 IN THE RECORDS OF THE ST. JOSEPH COUNTY, INDIANA RECORDER'S OFFICE, TOGETHER WITH A PARCEL OF GROUND DESCRIBED AS: BEGINNING AT THE NORTHEAST CORNER OF SAID LOT # 1 OF THE PLAT OF SAID OF "MATTHYS MAYFLOWER ROAD SECOND MINOR SUBDIVISION "; THENCE N. 890- 46' -31" E., 370.00 FEET TO THE EAST LINE OF SAID SECTION 17 AND THE EXISTING SOUTH BEND CITY CORPORATE LIMIT LINE; THENCE S. 00° -00'- 02" E. ALONG SAID EAST LINE AND CORPORATE LINE, 447.90 FEET TO THE EAST QUARTER POST OF SAID SECTION 17; THENCE CONTINUING ALONG SAID EAST LINE, S. 000- 15' -11" E., 152.10 FEET; THENCE S. 890- 46' -31" W., 370.67 FEET TO THE EAST LINE OF SAID LOT # 1; THENCE N. 000- 00' -02" W. ALONG SAID EAST LINE, 600.00 FEET TO THE POINT OF BEGINNING, AND ALSO TOGETHER WITH A PARCEL OF GROUND DESCRIBED AS: BEGINNING AT THE NORTHWEST CORNER OF SAID LOT # 1 OF THE PLAT OF "MATTHYS MAYFLOWER ROAD SECOND MINOR SUBDIVISION "; THENCE S. 000- 05' -56" W. ALONG THE EAST RIGHT -OF -WAY LINE OF MAYFLOWER ROAD, 82.06 FEET TO THE SOUTHWESTERLY CORNER OF SAID LOT # 1; THENCE N. 80°- 26'-28" W., 70.97 FEET; THENCE S. 890- 46' -31" W., 80.00 FEET MORE OR LESS TO THE WEST RIGHT -OF -WAY LINE OF MAYFLOWER ROAD; THENCE N. 00 °- 05'-56" E. ALONG SAID WEST LINE 70.00 FEET MORE OR LESS TO THE EXISTING SOUTH BEND CORPORATE LIMIT LINE; THENCE N. 890- 46' -31" E. ALONG SAID LINE, 150.00 FEET MORE OR LESS TO THE POINT OF BEGINNING. CONTAINING 26.17 ACRES MORE OR LESS. Section II. It shall be and hereby is now declared and established that it is the policy of the City of South Bend, to furnish services to said territory of a non - capital nature, such as police and fire protection, street and road maintenance, sewage collection, 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 the services furnished by the City to other areas of the City regardless of similar topography, patterns of land use, or population density; and to furnish to said territory services of a capital improvement nature, such as street and road construction, street lighting, a sanitary sewer extension, a water distribution system, and a storm water system, 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, and in a manner consistent with federal, state and local laws, procedures, and planning criteria. Section III. The Common Council for the City of South Bend shall and does hereby now establish and adopt The Fiscal Plan as set forth in Exhibit "A ", attached hereto and made a part hereof, for the furnishing of said services to the territory to be annexed, which Fiscal Plan provides among other things, that except for the extension of Lombardy Drive, virtually all capital improvements required to service the annexation area will be planned, proved, and paid for by the developer subject to compliance with state and local law. rd 1 1 1 REGULAR MEETING MAY 24, 2004 Section IV. This Resolution shall be in full force and effect from and of its dates of adoption by the Common Council and approval by the Mayor. Councilmember Kuspa, Chairperson, Zoning and Annexation Committee, reported that this committee held a meeting this afternoon and it was the consensus of the committee to send this substitute bill to the full Council with a favorable recommendation. Larry Magliozzi, Assistant Director Community and Economic Development, 1200 County -City Building, South Bend, Indiana, made the presentation for this resolution. Mr. Magliozzi advised that the annexation area is located on the east side of Mayflower Road. The annexation area is approximately 26.17 acres in area. The Arbors at Belleville Park is an apartment complex consisting of a series of 13 three -story buildings with a clubhouse. An additional 13 three -story buildings will be constructed to the east of the existing buildings. A total of 208 units will be located within the Annexation Area. The site is zoned "R -2" Multi- family in unincorporated St. Joseph County. It is proposed to be zoned "MF2" upon approval of the City Council and incorporation into the City of South Bend. The annexation area will be in the 6th District. No additional public expenditures will be needed to extend existing sewer main facilities. No additional public expenditures will be needed to extend existing water main facilities. Waivers of annexation are already in place for the Annexation Area. Mr. Magliozzi further advised that the Arbors at Belleville Park is a voluntary petition. All public improvements will be required to be done at the expense of the developer with the exception of the extension of Lombardy Drive which will be the responsibility of the City. Mr. Mike Danch, Danch, Hamer & Associates, 2422 Viridian Drive, Suite 201, South Bend, Indiana, representing Ronald and Beverly Matthys, spoke regarding this bill. Mr. Danch indicated that the petitioners are requesting the site to be rezoned from "R -2" Residential (County Zoning) to `B" Residential, "B" Height & Area to allow for a multi- family residential and a community center. A Public Hearing was held on the Resolution at this time. There being no one present wishing to speak to the Council either in favor of or in opposition to this Resolution, Councilmember Coleman made a motion to adopt this Resolution. Councilmember Varner seconded the motion which carried and the Resolution was adopted by a roll call vote of nine (9) ayes. RESOLVE INTO THE COMMITTEE OF THE WHOLE At 7:20 p.m. Councilmember Coleman made a motion to resolve into the Committee of the Whole. Councilmember Varner seconded the motion which carried by a voice vote of nine (9) ayes. Councilmember Coleman, Chairperson, Committee of the Whole, presiding. Councilmember Coleman, noted that this is the portion of the meeting in which members of the council meet as the Committee of the Whole in order to hear presentations and public comment on bills that are presented for ordinance consideration. Each bill that will be heard tonight will have a Public Hearing and after the hearing on each bill, the committee will vote on the disposition of the bill, which typically is sent to the full Council with either a favorable or an unfavorable recommendation. He noted that the South Bend Municipal code requires that the Chairperson describes the procedure for the hearings. The Committee operates in accord with the Council Rules and Procedures and Roberts Rules of Order and Council Attorney Kathleen Cekanski - Farrand who serves as the Parliamentarian. The procedure for the Public Hearing for each bill is conducted as follows: The title of the bill is read by the City Clerk. 2. Reports are presented from the pertinent Common Council Committee and/or the Area Plan Commission. REGULAR MEETING MAY 24, 2004 3. A formal presentation in favor of the bill which is not subject to a time limit is heard. 4. Comments are head from members of the public who wish to speak in favor of the bill. Each such member is limited to five (5) minutes for his /her presentation and must begin by stating his /her name and residential address. 5. Any formal presentation against the bill or Resolution which is not subject to a time limitation is heard. 6. Comments are heard from any members of the public wishing to speak against the bill. Each member of the public speaking against the bill is limited to five (5) minutes for his /her presentation and must also begin by stating his /her name and residential address. With respect to those individuals speaking against, the total time for comments by members of the public speaking against the bill is the amount of time that was used by those speaking in favor of the bill or thirty (30) minutes whichever is greater. 7. A five (5) minute rebuttal period is allowed for the persons who gave the formal presentation in favor of the bill after which the public portion of the hearing is closed. 8. Finally, the Council portion of the hearing takes place in which members will discuss the bill and vote on its disposition PUBLIC HEARINGS BILL NO. 11 -04 PUBLIC HEARING ON A BILL OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, ANNEXING TO AND BRINGING WITHIN THE CITY LIMITS OF SOUTH BEND, INDIANA, AND AMENDING THE ZONING ORDINANCE FOR CERTAIN LAND IN PORTAGE TOWNSHIP CONTIGUOUS THEREWITH; RONALD & BEVERLY MATTHYS LLC, AN INDIANA LIMITED LIABILITY COMPANY & ARBORS AT BELLEVILLE PARK, L.P., 57500 BLOCK OF MAYFLOWER ROAD SOUTH BEND, INDIANA Councilmember Kelly made a motion to hear the substitute version of this bill. Councilmember Varner seconded the motion which carried by a voice vote of nine (9) ayes. Councilmember Kuspa, Chairperson, Zoning & Annexation Committee, reported that this Committee met this afternoon and it was the consensus of the Committee to send this bill to the full Council with a favorable recommendation. Mr. Jeff Myers, Staff Member, Area Plan Commission, 11th Floor County -City Building, South Bend, Indiana, residing at 1805 Hickory Road, South Bend, Indiana, presented the report from the Area Plan Commission. Mr. Myers advised that the Petitioners are requesting a zone change from "R -2" Residential (County) to `B" Residential, `B" Height and Area (City) to allow multi- family residential and a community center for the residents. The property contains multi- family residential unites and vacant land. Located to the north is a park in the city Zoned "A" Residential, "A" Height and Area. To the south is agricultural land and a single - family home in the county zoned "A" Agriculture. To the east is agricultural land in the city zoned `B" Heavy Industrial, "F" Height and Area. To the west is a mobile home park in the city zoned `B -1" Residential, "A" Height and Area, and single - family homes .:1 REGULAR MEETING MAY 24, 2004 and agricultural land in the county zoned "A" Agriculture. Access to the site if from Mayflower Road. Water and Sewer are available to the site. The drainage has not been addressed by the petitioner. The total site to be rezoned is 26.17 acres. Of that, the buildings will occupy 3.12 acres, or 11.9 percent of the site. Parking and drives will occupy 6.67 acres, or 25.5 percent of the site. Open space will occupy 16.38 acres, or 62.6 percent of the site. A check of the Agency's maps indicates that no public wells, wetlands, flood or environmental hazard areas are present. The site plan is preliminary. The City Engineer made the following comments: A drainage plan is required at the final site plan stage. The City Engineer made the following comments: A drainage plan is required at the final site plan stage. In 2002, this site received a favorable recommendation from the APC and was approved by the Council for a rezoning to "R -2" Residential for multi - family residential development with a club house. Based on information available prior to the public hearing, the staff recommends that this petition be sent to the Common council with a favorable recommendation, subject to a final site plan. This is an existing apartment complex that is being annexed into the City of South Bend. This rezoning is necessary so the apartments are properly zoned in the City. Mr. Mike Danch, Danch Harper & Associates, 2422 Veridian Drive, Suite 201, South Bend, Indiana, made the presentation for this bill on behalf of Ronald and Beverly Matthys, LLC. Mr. Danch advised that the petitioner is seeking a voluntary annexation and rezoning of 26.17 acres of land located in Portage Township, St. Joseph County, Indiana. The petitioner is requesting a zone change from "R -2" Residential (County) to `B" Residential, `B" Height and Area (City) to allow multi - family residential and a community center for the residents. This being the time heretofore set for the Public Hearing on the above bill, proponents and opponents were given an opportunity to be heard. There being no one present wishing to speak to the Council either in favor of or in opposition to this bill, Councilmember Varner made a motion for favorable recommendation to full Council concerning this bill as substituted, and set this bill for third reading on June 14, 2004. Councilmember Kuspa seconded the motion which carried by a voice vote of nine (9) ayes. BILL NO. 26-04 PUBLIC HEARING ON A BILL OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, ESTABLISHING NEW FUND TO BE KNOWN AS THE SOUTH BEND RAINY DAY FUND ( #102) Councilmember Pfeifer made a motion to hear the 2nd substitute version of this bill. Councilmember Coleman seconded the motion which carried by a voice vote of nine (9) ayes. Councilmember Dieter, Chairperson, Personnel & Finance Committee, reported that this committee met on this bill this afternoon and voted to send it to the full Council with a favorable recommendation. Mr. Rick 011ett, City Controller, 14'h Floor Council -City Building, South Bend, Indiana, made the presentation for this bill. Mr. 011ett addressed the changes in the 2nd Substitute version of this bill. He indicated that the ordinance title has been changed to reflect the creation of this fund and is an amendment to the South Bend Municipal Code. The enabling statute, Indiana Code §36- 1-8-5.1 has two versions, the Statement of Purpose and Intent of the Substitute Bill confirms that the City of South Bend has selected the version of I.C. 36 -1 -8.5.1 that was amended by Public Law 267 -2003 (also known as version "b "). This version seems to grant broader authority to a political subdivision in the use of the fund, and it is the same version cited by the County in its Rainy Day Fund ordinance. The proposed language has been clarified, yet retains the same general grant of authority to use the fund for any other purpose consistent with law. A subpart has been added to mirror the restriction set forth 7 REGULAR MEETING MAY 24, 2004 in I.C. 36- 1 -8 -5.1 (version "b ") regarding a 10% budget limitation on transfers to a rainy day fund. Per the Common Council's request, a subpart has been added to provide that interest earned on rainy day funds shall remain in rainy day account #102. A subpart has been added to provide that if the Rainy Day Fund is terminated, funds remaining in the account shall be transferred to the City's General Fund. This being the time heretofore set for the Public Hearing on the above bill, proponents and opponents were given an opportunity to be heard. There being no one present wishing to speak to the Council either in favor of or in opposition to this bill, Councilmember Puzzello made a motion for favorable recommendation to full Council, as substituted. Councilmember Pfeifer seconded the motion which carried by a voice vote of nine (9) ayes. BILL NO. 33 -04 PUBLIC HEARING ON A BILL OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND AMENDING ARTICLE 18 OF CHAPTER 2 OF THE SOUTH BEND MUNICIPAL CODE TO SET FEES FOR VEHICLE INSPECTIONS Councilmember Varner made a motion to hear the amended substitute version of this bill. Councilmember Dieter seconded the motion which carried by a voice vote of nine (9) ayes. Councilmember Dieter, Chairperson, Personnel & Finance Committee, reported that this committee met on this bill this afternoon and voted to send it to the full Council with a favorable recommendation. Mr. Rick 011ett, City Controller, 14th Floor, County -City Building, South Bend, Indiana, made the presentation for this bill. Mr. 011ett advised that pursuant to I.C. 9- 17 -2 -12 (c) requires that for a transfer of a title to a motor or recreational vehicle there must be an inspection, and a police officer is one of four classes of people who can make that inspection. These are currently done by personnel at the front desk or sworn officers on light duty. I.C. 9 -22 -3 -15(1) requires the inspection of the vehicle by the police officer. The time spent in these two inspections is essentially the same, and depends on the location. Inspection at the station takes approximately 12 minutes. Inspection away from the station (which is only done by a sworn office) takes 27 minutes. The average cost of inspections at the station is $3.60 if done by from desk personnel and $6.24 if done by a sworn officer. Because of the ever increasing demand for police resources and the fact that surrounding police agencies charge a fee for this service, we are asking that you, by this ordinance, establish fees for these inspections. We have rounded the amounts off to $5.00 for inspections performed at the station and $16.00 for those performed at another location. The information above established a reasonable basis for these fees. This being the time heretofore set for the Public Hearing on the above bill, proponents and opponents were given an opportunity to be heard. There being no one present wishing to speak to the Council either in favor of or in opposition to this bill, Councilmember Varner made a motion for favorable recommendation to full Council concerning this bill as substituted and amended. Councilmember Kuspa seconded the motion which carried by a voice vote of nine (9) ayes. BILL NO. 34 -04 PUBLIC HEARING ON A BILL OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, AUTHORIZING THE MAYOR AND OR CONTROLLER OF THE CITY OF SOUTH BEND TO MAKE TEMPORARY LOANS TO MEET CURRENT n. REGULAR MEETING MAY 24, 2004 RUNNING EXPENSES OF VARIOUS FUNDS OF THE CITY IN ANTICIPATION OF AND NOT IN EXCESS OF CURRENT TAXES LEVIED IN THE YEAR 2003, AND COLLECTABLE IN THE YEAR 2004, AUTHORIZING THE ISSUANCE OF TEMPORARY LOAN TAX ANTICIPATION TIME WARRANTS TO EVIDENCE SUCH LOANS AND THE SALE OF SUCH WARRANTS AND APPROPRIATING AND PLEDGING THE TAXES TO BE RECEIVED IN SUCH FUNDS TO THE PAYMENT OF SUCH WARRANTS INCLUDING THE INTEREST THEREON Councilmember Dieter made a motion to hear the substitute version of this bill. Councilmember Pfeifer seconded the motion which carried by a voice vote of nine (9) ayes. Councilmember Dieter, Chairperson, Personnel & Finance Committee, reported that this committee met on this bill this afternoon and voted to send it to the full Council with a favorable recommendation. Mr. Rick 011ett, City Controller, 14th Floor, County -City Building, South Bend, Indiana, made the presentation for this bill. Mr. 011ett advised that the City Administration has learned that due to delays in billing resulting from tax reassessment, the 2003 tax revenues usually payable by June 2004 will be delayed until at least September 2004. Mr. 011ett stated that City accounts will be insufficient to meet budgeted and necessary expenses. Under these circumstances, which the City similarly experienced in fiscal year 2003, Indiana Code Section 36 -4 -6 -1 et seq. authorizes the City to borrow funds evidenced by temporary tax anticipation time warrants to meet ongoing expenses. This being the time heretofore set for the Public Hearing on the above bill, proponents and opponents were given an opportunity to be heard. There being no one present wishing to speak to the Council either in favor of or in opposition to this bill, Councilmember Varner made a motion for favorable recommendation to full Council concerning this bill as substituted. Councilmember Kuspa seconded the motion which carried by a voice vote of nine (9) ayes. RISE AND REPORT Councilmember Kuspa made a motion to rise and report to the full Council. Councilmember Pfeifer seconded the motion which carried by a voice vote of nine (9) ayes. ATTEST: Jo hp V orde, City Clerk ATTEST: Sean Coleman, Chairperson Committee of the Whole REGULAR MEETING RECONVENED Be it remembered that the Common Council of the City of South Bend reconvened in the Council Chambers on the fourth floor of the County -City Building at 7:40 p.m. Council President Karen L. White presided with nine (9) members present. BILLS — THIRD READING E REGULAR MEETING MAY 24, 2004 ORDINANCE NO. 9509 -04 AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, AMENDING CHAPTER 2, ARTICLE 14 OF THE SOUTH BEND MUNICIPAL CODE BY THE INCLUSION OF NEW SECTION 2 -170.7 ENTITLED RAINY DAY FUND ( #102) This bill had third reading. Councilmember Pfeifer made a motion to consider the 2nd substitute version of this bill. Councilmember Coleman seconded the motion which carried by a voice vote of nine (9) ayes. Additionally, Councilmember Pfeifer made a motion to pass this bill as substituted. Councilmember Kelly seconded the motion which carried. The bill passed by a roll call vote of nine (9) ayes. ORDINANCE NO. 9510 -04 AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, AMENDING ARTICLE 18 OF CHAPTER 2 OF THE SOUTH BEND MUNICIPAL CODE TO SET FEES FOR VEHICLE INSPECTIONS This bill had third reading. Councilmember Coleman made a motion to consider the substitute version of this bill. Councilmember Varner seconded the motion which carried by a voice vote of nine (9) ayes. Additionally, Councilmember Coleman made a motion to pass this bill as substituted. Councilmember Varner seconded the motion which carried. The bill passed by a roll call vote of nine (9) ayes. ORDINANCE NO. 9511 -04 AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, AUTHORIZING THE MAYOR AND OR CONTROLLER OF THE CITY OF SOUTH BEND TO MAKE TEMPORARY LOANS TO MEET CURRENT RUNNING EXPENSES OF VARIOUS FUNDS OF THE CITY IN ANTICIPATION OF AND NOT IN EXCESS OF CURRENT TAXES LEVIED IN THE YEAR 2003, AND COLLECTABLE IN THE YEAR 2004, AUTHORIZING THE ISSUANCE OF TEMPORARY LOAN TAX ANTICIPATION TIME WARRANTS TO EVIDENCE SUCH LOANS AND THE SALE OF SUCH WARRANTS AND APPROPRIATING AND PLEDGING THE TAXES TO BE RECEIVED IN SUCH FUNDS TO THE PAYMENT OF SUCH WARRANTS INCLUDING THE INTEREST THEREON This bill had third reading. Councilmember Coleman made a motion to consider the substitute version of this bill. Councilmember Varner seconded the motion which carried by a voice vote of nine (9) ayes. Additionally, Councilmember Pfeifer made a motion to pass this bill as substituted. Councilmember Coleman seconded the motion which carried. The bill passed by a roll call vote of nine ayes. RESOLUTIONS RESOLUTION NO. 3330 -04 A RESOLUTION CONFIRMING THE ADOPTION OF A DECLARATORY RESOLUTION DESIGNATING CERTAIN 10 REGULAR MEETING MAY 24, 2004 AREAS WITHIN THE CITY OF SOUTH BEND, INDIANA, COMMONLY KNOWN AS 5053 AMERITECH DRIVE, SOUTH BEND, INDIANA TO BE AN ECONOMIC REVITALIZATION AREA FOR PURPOSES OF A NINE (9) YEAR REAL PROPERTY TAX ABATEMENT FOR BAMBER LLC/ DENNIS BAMBER, INC. d/b /a THE WOODWIND & THE BRASSWIND WHEREAS, the Common Council of the City of South Bend, Indiana, has adopted a Declaratory Resolution designating certain areas within the City as Economic Revitalization Areas for the purpose of tax abatement consideration; and WHEREAS, a Declaratory Resolution designated the area commonly known as 5053 Ameritech Drive, South Bend, Indiana, and which is more particularly described as follows: Lot Numbered Nine B (913) and Thirteen B (13B) of U.S. 31 Industrial Park, Sections Two & Four, Second Replat recorded March 21, 2003 as Document Number 0317057 in the Office of the Recorder of St. Joseph County, Indiana And which has Key Number 25- 1016 - 0600.12 and 25- 1016 - 0600.18, as an Economic Revitalization Area; and WHEREAS, notice of the adoption of a Declaratory Resolution and the public hearing before the Council has been published pursuant to Indiana Code 6- 1.1- 12.1 -2.5; and WHEREAS, the Council held a public hearing for the purposes of hearing all remonstrance's and objections from interested persons; and WHEREAS, the Council has determined that the qualifications for an economic revitalization area have been met. NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of South Bend, Indiana, as follows: Section I. The Common Council hereby confirms its Declaratory Resolution designating the area described herein as an Economic Revitalization Area for the purposes of tax abatement. Such designation is for Real property tax abatement only and is limited to two (2) calendar years from the date of adoption of the Declaratory Resolution by the Common Council. Section II. The Common Council hereby determines that the property owner is qualified for and is granted Real property tax deduction for a period of nine (9) years, and further determines that the petition complies with Chapter 2, Article 6, of the Municipal Code of the City of South Bend and Indiana Code 6- 1.1 -12 et seq. Section III. This Resolution shall be in full force and effect from and after its adoption by the Common Council and approved by the Mayor. s/Karen L. White Member of the Common Council Mr. Phil Faccenda, Attorney at Law, Barnes & Thornburg, 100 N. Michigan Street, South Bend, Indiana, made the presentation for this bill on behalf of Bamber LLC/Dennis Bamber, Inc. d/b /a The Woodwind & The Brasswind. Mr. Faccenda advised that the petitioner is planning to construction a 150,000 to 200,000 square foot distribution center located at 5053 Ameritech Drive, South Bend, Indiana. The construction cost is estimated to be between $4,500,000.00 and $5,500,000.00 and an 11 REGULAR MEETING MAY 24, 2004 additional $560,000.00 for the purchase of the land. The project will create 25 to 30 new, permanent jobs within the first year, representing a new annual payroll of $612,000.00 to $735,000.00 and will maintain 213 existing permanent full time jobs and 15 existing permanent part-time jobs with an annual payroll of $7,100,000.00. The estimated annual salary for each new job is $24,500.00. A Public Hearing was held on the Resolution at this time. There being no one present wishing to speak to the Council either in favor of or in opposition to this Resolution, Councilmember Kelly made a motion to adopt this Resolution. Councilmember Varner seconded the motion which carried and the Resolution was adopted by a roll call vote of nine (9) ayes. RESOLUTION NO. 3331 -04 A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND DESIGNATING CERTAIN AREAS WITHIN THE CITY OF SOUTH BEND, INDIANA, COMMONLY KNOWN AS 3902 W. SAMPLE STREET AN ECONOMIC REVITALIZATION AREA FOR PURPOSES OF A FIVE (5) YEAR PERSONAL PROPERTY TAX ABATEMENT FOR HUBBELL, INCORPORATED (DELAWARE) WHEREAS, a petition for personal property tax abatement consideration has been filed with the City Clerk for consideration by the Common Council of the City of South Bend, Indiana, requesting that the area commonly known as 3902 W. Sample Street, South Bend, Indiana, and which is more particularly described as follows: Irregular Tract 830.8' on Sample St. NW NE Sec 16- 37 -37 -2E 18.25 AC M or L And which has Key Number 18- 8112 -4203 be designated as an Economic Revitalization Area under the provisions of Indiana Code 6 -1.1 -12.1 et sue., and South Bend Municipal Code Sections 2 -76 et seq., and; WHEREAS, the Department of Community and Economic Development has concluded an investigation and prepared a report with information sufficient for the Common Council to determine that the area qualifies as an Economic Revitalization Area under Indiana Code 6 -1.1 -12.1, et sM., and South Bend Municipal Code Sections 2 -76 et seq., and; WHEREAS, the Department of Community and Economic Development has concluded an investigation and prepared a report with information sufficient for the Common Council to determine that the area qualifies as an Economic Revitalization Area under Indiana Code 6 -1.1 -12.1, et sue., and South Bend Municipal Code Sections 2 -76 et seq., and has further prepared maps and plats showing the boundaries and such other information regarding the area in question as required by law; and WHEREAS, the Community and Economic Development Committee of the Common Council has reviewed said report and recommended to the Common Council that the area qualifies as an Economic Revitalization Area. NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of South Bend, Indiana, as follows: Section I. The Common Council hereby determines and finds pursuant to Indiana Code 6 -1.1- 12.1 -4.5 et se . that: a. The estimate of the cost of the new manufacturing equipment is reasonable for equipment of that type; 12 REGULAR MEETING MAY 24,200 b. That the estimate of the number of individuals that will be employed or whose employment will be retained by the Petitioner can reasonable be expected to result from the proposed installation of new manufacturing equipment; That the estimate of the annual salaries of those individuals that will be employed or whose employment will be retained by the Petitioner can be reasonably expected to result from the proposed installation of new manufacturing equipment; d. Any other benefits about which information was requested are benefits that can be reasonably expected to result from the proposed new manufacturing equipment; and e. The totality of benefits is sufficient to justify the deduction requested. Section II. The Common Council hereby determines and finds that the proposed new manufacturing equipment can be reasonably expected to yield the benefits identified in the Statement of Benefits as set forth in Sections 1 through 3 of the Petition for Personal Property Tax Abatement Consideration, the Memorandum of Agreement between the Petitioner and the City of South Bend and that the Statement of Benefits form completed by the petitioner, said form being prescribed by the State Board of Accounts, are sufficient to justify the deduction granted under Indiana Code 6- 1.1 -12.1- 4.5. Section III. The Common Council hereby accepts the report and recommendation of the Department of Community and Economic Development, and the Community and Economic Development Committee's favorable recommendation, that the area herein described be designated as an Economic Revitalization Area for purposes of personal property tax abatement and hereby makes such a designation. Section IV. The Common Council determines that such designation is for personal property tax abatement only and shall be limited to two (2) calendar years from the date of the adoption of this Resolution by the Common Council. Section V. The Common Council hereby determines that the property owner is qualified for and is granted property tax deduction for a period of five (5) years. Section VI. The Common Council directs the City Clerk to cause notice of the adoption of this Declaratory Resolution for Personal Property Tax Abatement to be published pursuant to Indiana Code 5 -3 -1, said publication providing notice of the public hearing before the Common Council on the proposed confirming of said declaration. Section VII. This Resolution shall be in full force and effect from and after its adoption by the Common Council and approval by the Mayor. s/Karen L. White Member of the Common Council Councilmember Kelly, Chairperson, Community and Economic Development Commission, reported that this committee held a Public Hearing on this bill this afternoon and voted to send it to the full Council with a favorable recommendation. Mr. J. Cower, Vice President Hubbell Incorporated (Delaware), 3902 W. Sample Street, South Bend, Indiana, made the presentation for this bill. Mr. Cower stated that Hubbell Electrical Products, is requesting a five (5) year personal property tax abatement and proposes to purchase manufacturing equipment to relocate a steel box cover line from Arden, North Carolina. The total cost is estimated to be $5,000,000. This project will not create any new permanent jobs, however, the project 13 REGULAR MEETING MAY 24, 2004 will help retain two hundred sixty (260) current jobs, representing an annual payroll of $13,500,000. A Public Hearing was held on the Resolution at this time. There being no one present wishing to speak to the Council either in favor of or in opposition to this Resolution, Councilmember Kelly made a motion to adopt this Resolution. Councilmember Varner seconded the motion which carried and the Resolution was adopted by a roll call vote of nine (9) ayes. RESOLUTION NO. 3332 -04 A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND DESIGNATING CERTAIN AREAS WITHIN THE CITY OF SOUTH BEND, INDIANA, COMMONLY KNOWN AS 1218 AND 1226 SOUTH 34TH STREET AS A RESIDENTIALLY DISTRESSED AREA FOR PURPOSES OF A FIVE YEAR RESIDENTIAL REAL PROPERTY TAX ABATEMENT FOR TIBERIUS MIHALACHE WHEREAS, a Statement of Benefits and a petition for residential real property tax abatement has been submitted to and filed with the City Clerk for consideration by the Common Council of the City of South Bend, Indiana requesting that the area commonly known as 1218 and 1226 South 34th Street, South Bend, Indiana, and which is more particularly described as follows: WHEREAS, a Statement of Benefits and a petition for residential real property tax abatement has been submitted to and filed with the City Clerk for consideration by the Common Council of the City of South Bend, Indiana requesting that the area commonly known as 1218 and 1226 South 34th Street, South Bend, Indiana, and which is more particularly described as follows: Lots Numbered Two Hundred Thirty -five (235), Two Hundred Thirty -six (236) and Two Hundred Thirty -seven (237) as shown on the recorded Plat of Lot Lettered "A" in Fordham, Recorded April 6, 1903 in Plat Book 8, page 109, in the Office of the Recorder of St. Joseph County, Indiana. and has Key Numbers 18- 6048 -1574, 18- 6048 -1575 and 18- 6048 -1576, be designated as a Residentially Distressed Area under the provisions of Indiana Code 6 -1.1 -12.1 et seq., and South Bend Municipal Code Sections 2 -76 et se q., and; WHEREAS, the Department of Community and Economic Development has concluded an investigation and prepared a report with information sufficient for the Common Council to determine that the area qualifies as a Residentially Distressed Area under Indiana Code 6 -1.1 -12.1, et seq., and South Bend Municipal Code Sections 2 -76, et seq., and has further prepared maps and plats showing the boundaries and such other information regarding the area in question as required by law; and WHEREAS, the Community and Economic Development Committee of the Common Council has reviewed said report and recommended to the Common Council that the area qualifies as a Residentially Distressed Area. NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of South Bend, Indiana, as follows: SECTION I. The Common Council hereby determines and finds that the petition for real property tax abatement and the Statement of Benefits form meet the requirements of Indiana Code 6 -1.1 -12.1 et sea., for tax abatement. 14 r; FJ REGULAR MEETING MAY 24, 2004 SECTION II. The Common Council hereby determines and finds that the area meets one of the following conditions as formally established in Ordinance no. 8845 -97, which was passed on December 8, 1997: A. The area is comprised of parcels that are either unimproved or contain only one (1) or two (2) family dwellings designed for up to four (4) families, including accessory buildings for those dwellings; or B. Any dwellings in the area are not permanently occupied and are: i. the subject of an order issued under IC 36 -7 -9; or ii. evidencing significant building deficiencies; or C. Parcels of property in the area: i. have been sold and not redeemed under IC 6- 1.1 -24 and IC 6- 1.1 -25; or ii. are owned by a unit of local government; or D. A significant number of dwelling units within the area are not permanently occupied or a significant number of parcels in the area are vacant land; or E. A significant number of dwelling units within the area are: i. the subject of an order issued under IC 36 -7 -9; or ii. evidencing significant building deficiencies; or F. The area has experienced a net loss in the number of dwelling units, as documented by census information, local building and demolition permits, or certificates of occupancy, or the areas are owned by Indiana or the United States; or G. The area (plus any areas previously designated under this subsection) will not exceed ten percent (10 %) of the total area within the Council's jurisdiction. SECTION III. The Common Council also hereby determines and finds the following: A. That the description of the proposed redevelopment meets the applicable standards for such development. B. That the estimate of the value of the redevelopment is reasonable for projects of this nature; C. That the other benefits about which information was requested are benefits that can be reasonably expected to result from the proposed described redevelopment; and D. That the totality of benefits is sufficient to justify the requested deduction, all of which satisfy the requirements of Indiana Code 6 -1.1- 12.1 -3. E. The deduction will not be allowed unless the dwelling is rehabilitated to meet local code standards for habitability. F. The deduction will not be allowed unless the dwelling rehabilitation is completed G. within five (5) calendar years from the date of the adoption of this Resolution by the Common Council. SECTION IV. The Common Council hereby determines and finds that the proposed described redevelopment can be reasonably expected to yield benefits identified in the Statement of Benefits and the petition for real property tax abatement consideration and that the Statement of Benefits form prescribed by the State Board of Accounts are sufficient to justify the deduction granted under Indiana Code 6- 1.1- 12.1 -3. SECTION V. The Common Council hereby accepts the report and recommendation of the Community and Economic Development Committee that the area herein described be designated as a Residentially Distressed Area and hereby adopts a Resolution designating this area as a Residentially Distressed Area for purposes of real property tax abatement. 15 REGULAR MEETING MAY 24, 2004 SECTION VI. The designation as a Residentially Distressed Area shall be limited to five (5) calendar years from the date of the adoption of this Resolution by the Common Council. SECTION VII. The Common Council hereby determines that the property owner is qualified for and is granted property tax deduction for a period of five (5) years. SECTION VIII. The Common Council directs the City Clerk to cause notice of the adoption of this Declaratory Resolution for Real Property Tax Abatement to be published pursuant to Indiana Code 5 -3 -1 and Indiana Code 6 -1.1- 12.1 -2.5, said publication providing notice of the public hearing before the Common Council on the proposed confirming of said declaration. SECTION IX. Pursuant to Indiana Code 6- 1.1- 12.1 -2, the rehabilitation must meet all local code standards for habitability as a specific condition of having such property be designated as a residentially distressed area. SECTION X. This Resolution shall be in full force and effect from and after its adoption by the Common Council and approval by the Mayor. s/Karen L. White Member of the Common Council Councilmember Kelly, Chairperson, Community and Economic Development Committee, reported that this committee held a Public Hearing on this bill this afternoon and voted to send it to the full Council with a favorable recommendation. Mr. Tiberius Mihalache, 117 S. Main Street, South Bend, Indiana, made the presentation for this bill. Mr. Mihalache stated that he proposes to build two new 1,450 square foot, one -story single - family homes. The homes will have three bedrooms, 2 baths, and an attached garage. The estimated value of the project is $200,000. A Public Hearing was held on the Resolution at this time. There being no one present wishing to speak to the Council either in favor of or in opposition to this Resolution, Councilmember Coleman made a motion to adopt this Resolution. Councilmember Kelly seconded the motion which carried and the Resolution was adopted by a roll call vote of nine (9) ayes. RESOLUTION NO. 3333 -04 A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND DESIGNATING CERTAIN AREAS WITHIN THE CITY OF SOUTH BEND, INDIANA, COMMONLY KNOWN AS 5550 W. CLEVELAND ROAD AN ECONOMIC REVITALIZATION AREA FOR PURPOSES OF A SEVEN (7) YEAR REAL PROPERTY TAX ABATEMENT FOR USF HOLLAND, INC. WHEREAS, a petition for real property tax abatement has been filed with the City Clerk for consideration by the Common Council of the City of South Bend, Indiana requesting that the area commonly known as 5550 W. Cleveland Road, South Bend, Indiana, and which is more particularly described as follows: Lot Numbered One (1) as shown on the recorded plat of USF 16 REGULAR MEETING MAY 24,200 24, 2000 as Document Number 0009388 in the Office of the Recorder of St. Joseph County, Indiana. Subject to all legal highways, easements and restrictions of record and which has Key Number 25- 1018 -0618, be designated as an Economic Revitalization Area under the provisions of Indiana Code 6 -1.1 -12.1 et seq., and South Bend Municipal Code Sections 2 -76 et se ., and; WHEREAS, the Department of Community and Economic Development has concluded an investigation and prepared a report with information sufficient for the Common Council to determine that the area qualifies as an Economic Revitalization Area under Indiana Code 6 -1.1 -12.1, et seq., and South Bend Municipal Code Sections 2 -76, et sec ., and has further prepared maps and plats showing the boundaries and such other information regarding the area in question as required by law; and WHEREAS, the Community and Economic Development Committee of the Common Council has reviewed said report and recommended to the Common Council that the area qualifies as an Economic Revitalization Area. NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of South Bend, Indiana, as follows: SECTION I. The Common Council hereby determines and finds that the Petition for Real Property Tax Abatement and the Statement of Benefits form completed by the Petitioner meet the requirements of Indiana Code 6 -1.1 -12.1 et seq., for tax abatement. SECTION II. The Common Council hereby determines and finds the following: A. That the description of the proposed redevelopment or rehabilitation meets the applicable standards for such development. B. That the estimate of the value of the redevelopment or rehabilitation is reasonable for projects of this nature; C. That the estimate of the number of individuals who will be employed or whose employment will be retained by the Petitioner can reasonably be expected to result from the proposed described redevelopment or rehabilitation; D. That the estimate of the annual salaries of those individuals who will be employed or whose employment will be retained by the Petitioner can be reasonably expected to result from the proposed redevelopment or rehabilitation; E. That the other benefits about which information was requested are benefits that can be reasonably expected to result from the proposed described redevelopment or rehabilitation; and F. That the totality of benefits is sufficient to justify the requested deduction, all of which satisfy the requirements of Indiana Code 6 -1.1- 12.1 -3. SECTION III. The Common Council hereby determines and finds that the proposed described redevelopment or rehabilitation can be reasonably expected to yield benefits identified in the Statement of Benefits set forth as Sections I through II of the Petition for Real Property Tax Abatement Consideration and that the Statement of Benefits form prescribed by the State Board of Accounts are sufficient to justify the deduction granted under Indiana Code 6- 1.1- 12.1 -3. SECTION IV. The Common Council hereby accepts the report and recommendation of the Community and Economic Development Committee that the area herein described be designated as an Economic Revitalization Area and hereby adopts a Resolution designating this area as an Economic Revitalization Area for purposes of real property tax abatement. 17 REGULAR MEETING MAY 24, 2004 SECTION V. The designation as an Economic Revitalization Area shall be limited to two (2) calendar years from the date of the adoption of this Resolution by the Common Council. SECTION VI. The Common Council hereby determines that the property owner is qualified for and is granted property tax deduction for a period of seven (7) years. SECTION VII. The Common Council directs the City Clerk to cause notice of the adoption of this Declaratory Resolution for Real Property Tax Abatement to be published pursuant to Indiana Code 5 -3 -1 and Indiana Code 6- 1.1- 12.1 -2.5, said publication providing notice of the public hearing before the Common Council on the proposed confirming of said declaration. SECTION VIII. This Resolution shall be in full force and effect from and after its adoption by the Common Council and approval by the Mayor. s/Karen L. White Member of the Common Council Councilmember Kelly, Chairperson, Community and Economic Development Committee, reported that this committee held a Public Hearing on this bill this afternoon and voted to send it to the full Council with a favorable recommendation. Mr. Robert A. Henry, The Robert Henry Corporation, 404 South Frances Street, P. O. Box 1407, South Bend, Indiana, made the presentation for this bill on behalf of USF Holland Inc. Mr. Henry advised that the petitioner USF Holland Inc. is seeking a seven (7) year tax abatement and plans to construct a 63,000 square foot distribution center on 26.43 acres of land bordered by the Indiana Toll Road, Cleveland Road and Mayflower Road. The total cost of the project is estimated to be between $6,200,000 and $6,500,000. The project reflects the need for expansion of the existing South Bend operation to accommodate anticipated growth. It has been estimated that this project will create fifteen (15) new permanent jobs within the first year, representing a new annual payroll of $825,000. This project will help retain two hundred fifty -eight (258) full -time jobs and four (4) part time jobs representing an annual payroll of $15,800,000. The projected average annual salary for each new position, is estimated to be $55,000.00. A Public Hearing was held on the Resolution at this time. There being no one present wishing to speak to the Council either in favor of or in opposition to this Resolution, Councilmember Coleman made a motion to adopt this Resolution. Councilmember Varner seconded the motion which carried and the Resolution was adopted by a roll call vote of nine (9) ayes. RESOLUTION NO. 3334 -04 A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, PROVIDING PRELIMINARY APPROVAL OF THE ISSUANCE OF BONDS FOR THE PURPOSE OF PROVIDING CERTAIN ECONOMIC DEVELOPMENT FACILITIES WHEREAS, the City of South Bend, Indiana (the "City ") is authorized by I.C. 36 -7 -11.9 and 12, as supplemented and amended (the "Act "), to issue revenue bonds for the financing of economic development facilities, the funds for said financing to be used for the acquisition, construction, installation and equipping of said facilities; and WHEREAS, MDC South Bend, LLC (the "Applicant ") has advised the South Bend Economic Development Commission (the "Commission ") and the City that it proposes that the City issue economic development revenue bonds for the purpose of 10 REGULAR MEETING MAY 24, 2004 providing financing for certain economic development facilities consisting of the acquisition, construction, installation and equipping of a facility to accommodate the business of DHL /Airborne Express, which is airfreight and logistics services (the "Prof ect "); and WHEREAS, the Applicant has proposed that the City issue its revenue bonds under the Act to finance the acquisition and installation of the Project under a financing agreement whereby the proceeds of such bonds would be utilized to acquire and install the Project and the Applicant would make payments sufficient to pay the principal of, premium, if any, and interest on said bonds; and the Applicant has further advised the City that the determination by the City to accept such a proposal for financing the Project will constitute a substantial inducement to the Applicant to proceed with the Project; and WHEREAS, the Applicant has submitted evidence regarding the lack of an adverse competitive effect of the Project on similar facilities already constructed or operating in the City; and WHEREAS, it is estimated that the Project will result in the retention of eighty - eight (88) jobs and the creation of approximately five (5) new permanent jobs; and WHEREAS, the Commission has rendered a report concerning the proposed financing of economic development facilities for the Applicant which report incorporates findings of fact by the Commission; and WHEREAS, the Commission has given its approval to such financing of the Project; and WHEREAS, the issuance and sale of said revenue bonds will not reduce the legal bonding capacity of the City; and WHEREAS, the City shall bear no expense in connection with the issuance and sale of said revenue bonds and all expenses in connection thereto which are incurred by the City shall be reimbursed to the City by the Applicant; and WHEREAS, the principal and interest payable on said bonds are not payable from funds raised by taxation by the City; and WHEREAS, the issuance of said bonds shall not obligate the full faith and credit for the taxing power of the City; and WHEREAS, subject to required approvals, it appears that the financing of the Project would be a public benefit to the health, prosperity, economic stability and general welfare of the City and its inhabitants; NOW, THEREFORE, BE IT RESOLVED, by the Common Council of the City of South Bend, Indiana, as follows: Section 1. The Common Council finds, determines, ratifies and confirms that the creation and retention of opportunities for gainful employment and the creation of business opportunities to be achieved by the Project in the City will be of benefit to the health and general welfare of the citizens of the City; and that it is in the public interest that this Common Council take such action as it lawfully may to encourage diversification of industry and promotion of job opportunities in the City. Section 2. The Common Council further finds, determines, ratifies and confirms that the issuance and sale of economic development revenue bonds of the City under the Act in an aggregate principal amount not to exceed $2,200,000.00 for the Project and the loan of the proceeds of the revenue bonds to the Applicant will serve the public purposes referred to above, in accordance with the Act. Section 3. In order to induce the Applicant to proceed with the Project, the 19 REGULAR MEETING MAY 24, 2004 Common Council hereby finds, determines, ratifies and confirms that: i) It will take or cause to be taken such actions pursuant to the Act as may be Reasonably required to implement the aforesaid financing, or as it may Deem reasonably appropriate in pursuance thereof, provided that all of the foregoing shall be mutually acceptable to the City and the Applicant; and ii) It will adopt such ordinances and resolution and authorize the execution and delivery of such instruments and the taking of such action as may be reasonably necessary and advisable for the authorization, issuance and sale of said economic development bonds. Section 4. All costs of the Project incurred for planning, engineering, interest paid during construction, underwriting expenses, attorney and bond counsel fees, acquisition, construction and equipping of the Project, including reimbursement or repayment to the Applicant of moneys expended prior to the adoption by the City of this resolution would be permitted to be included as part of the Project costs to be financed out of the loan of the proceeds from the sale of the bonds to the extent permitted by the Act and applicable regulations promulgated under the Internal Revenue Code of 1986, as amended. Section 5. All action taken and approvals given by the City with regard to the Applicant, are based upon the evidence submitted and representations made by the Applicant, its agents or counsel, to the Commission and the City. No independent examination, appraisal or inspection of the Project was made, requested, or is contemplated by the City. Section 6. The City does not, by this or any other approval or funding, guarantee, warrant or even suggest that the bonds, coupons or series thereof will be a reasonable investment for any person, firm or corporation. Section 7. The City shall not be obligated, directly or indirectly, to see to the application or use of the proceeds from the sale of the bonds or to see that the contemplated improvements, if any, are constructed. The City is in no way responsible to the holders of any bonds for any payment obligation created by the bonds. Section 8. The City does not warrant, guarantee or even suggest that interest to be paid to or income to be received by the holders of any bond, coupon, or series thereof is exempt from taxation by any local, sate or federal government. Section 9. The bonds shall be limited, special obligations of the City payable solely from the funds provided therefore as described in the indenture authorizing the bonds, and shall not constitute an indebtedness of the Commission or the City or a loan of the credit thereof. Section 10. This resolution does not constitute a binding obligation of the Commission or the City to issue the bonds, but instead, is a commitment by the City to proceed with negotiations for the financing described herein with the Applicant and is subject to the adoption of a bond ordinance by the City in accordance with the provision of the Act. Section 11. This resolution shall be in full force and effect upon adoption by the Common Council and compliance with the procedures required by law. Attest: s /John Voorde, City Clerk s/Karen L. White Member of the Common Council 20 REGULAR MEETING MAY 24, 2004 Presented by me to the Mayor of the City of South Bend, Indiana on the A �h day of M�, 2 dQ ` � at 2 o'clock —IL:.-. m. s /Janice Talboom, Deputy City Clerk Approved and signed by me on the a5 day of ff7n 14 2 oo , at_V o'clock �. m. s /Stephen J. Luecke, Mayor, City of South Bend, Indiana Councilmember Kelly, Chairperson, Community and Economic Development Committee, reported that this committee held a Public Hearing on this bill this afternoon and voted to send it to the full Council with a favorable recommendation. Mr. Kenneth Fedder, Attorney at Law, 53600 Ironwood Dr. South Bend, Indiana, Counsel for the South Bend Economic Development Commission, made the presentation for this bill. Mr. Fedder advised that this resolution serves as an inducement resolution for a project proposed to be located near the Michiana Regional Airport. The Project consists of the construction of a new airfreight terminal to serve operations of Airborne/DHL at the airport. The project will retain 88 jobs presently at the airport and result in an increase of approximately five jobs. The project qualifies for tax exempt financing because it is an airport- related facility. Mr. Fedder reiterated that the City would bear no responsibility, financial or otherwise, for the borrowing and would serve only as the conduit issuer of the bonds for purposes of securing the tax - exempt status for the bonds. A Public Hearing was held on the Resolution at this time. There being no one present wishing to speak to the Council either in favor of or in opposition to this Resolution, Councilmember Pfeifer made a motion to adopt this Resolution. Councilmember Coleman seconded the motion which carried and the Resolution was adopted by a roll call vote of nine (9) ayes. BILLS, FIRST READING There were no bills to come before the Council for first reading at this time. UNFINISHED BUSINESS REPORTS FROM THE AREA PLAN COMMISSION: It is noted that the Council is in receipt of a recommendation from the Area Plan Commission of St. Joseph County, for the following ordinances based on their Public Hearing held on May 18, 2004: BILL NO. 28-04 AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, ANNEXING TO AND BRINGING WITHIN THE CITY LIMITS OF SOUTH BEND, INDIANA, AND AMENDING THE ZONING ORDINANCE FOR CERTAIN LAND IN GERMAN TOWNSHIP CONTIGUOUS THEREWITH; (STEVE & JEAN COOREMAN) (21300 BLOCK OF CLEVELAND ROAD & 52804 LYNNEWOOD AVENUE, SOUTH BEND, INDIANA 46628) 21 REGULAR MEETING MAY 24, 2004 BILL NO. 31 -04 AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, AMENDING, CHAPTER 21 OF THE SOUTH BEND MUNICIPAL CODE TO CORRECT THE CROSS - REFERENCES IN ARTICLES 12, 12, AND 14; TO AMEND ARTICLE 2, RESIDENTIAL DISTRICTS TO ALLOW PUBLIC PARKS, ACTIVE, AS ALLOWABLE USES IN THE SINGLE FAMILY AND TWO FAMILY AND MULTIFAMILY ZONING DISTRICTS; TO AMEND ARTICLE 8 SPECIAL REGULATIONS, SECTION 21- 08.02 SPECIAL REGULATIONS FOR CONTROLLED USES; AND TO AMEND ARTICLE 7 GENERAL REGULATIONS, SECTION 21- 07.03(f) OFF - PREMISE SIGNS Councilmember Coleman made a motion to refer these bills to the Zoning and Annexation Committee and set it for Public Hearing and Third Reading on June 14, 2004. Councilmember Varner seconded the motion which carried by a voice vote of nine (9) ayes. NEW BUSINESS Councilmember Pfeifer announced that the South Bend Youth Advisory Council is hosting Youthfest 2004, Saturday, May 29, 2004, on the roof top of the IUSB Parking Garage. There will be a dance for all students ages 15 -20 years of age. Tickets are available from any Youth Council Member, $3.00 in advance, $5.00 at the door. They will serve coca -cola & popcorn and prizes will be awarded. PRIVILEGE OF THE FLOOR COMMENTS BY MR. JOHN SWANSON CONCERNING CITY WIDE YOUTH CENTER Mr. John Swanson, 1321 West Washington Street, South Bend, Indiana, informed the Council that he would like to see a Youth Center open 24 hours a day. Mr. Swanson stated that the center or gym could have basketball courts available for both adults and children. Council President White thanked Mr. Swanson for coming to the Council meetings and noted that the Council appreciates his comments in regards to his concerns about some type of athletic functions for youth. COMMENTS BY MR. MICHAEL WRIGHT CONCERNING OPERATION HOPE HOUSE Mr. Michael Wright, President, Operation Hope House, P. 0. Box 662, South Bend, Indiana, informed the Council that Operation Hope House is a Christ- centered transitional housing organization that seeks to assist agencies already in place in the South Bend area. He stated that this program is designed to address the spiritual, emotional, social and practical needs of recovering women and children. Mr. Wright stated that the vision of Operation Hope House is to purchase a building that will house approximately 12 women, who are in the process of recovering from additions, along with their children. In addition to providing shelter for these women and children, there would also be access to counseling which will assist in job placement and locating permanent housing, to enable all of our clients to become productive members of society. ANNOUNCEMENT OF NEXT MEETING DATE Council President White announced that the next meeting of the Common Council will be held on Monday, June 14, 2004. 22 1 1 1 REGULAR MEETING MAY 24, 2004 ADJOURNMENT There being no further business to come before the Council, President White adjourned the meeting at 8:15 p.m. ATTEST: K "! r hn Moorde, City Clerk ATTEST: Karen L. White, Pre 23