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HomeMy WebLinkAbout07-23-01 Council Meeting MinutesREGULAR MEETING JULY 23, 2001 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, July 23, 2001, at 7:00 p.m. The meeting was called to order by Council President Charlotte Pfeifer and the Invocation and Pledge to the Flag were given. ROLL CALL Present: James Aranowski Charlotte Pfeifer Roland Kelly Karl King David Varner Andrew Uj dak Al "Buddy" Kirsits Karen L. White Absent: Sean Coleman 1St District Vice - President 2nd District President 3rd District 4th District 5th District 6th District Chairperson, Committee of the Whole At -Large At -Large At -Large 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 July 9, 2001 meeting of the Council and found them correct. Therefore, we recommend the same be approved. s /Charlotte Pfeifer s/David Varner Councilmember Kelly made a motion that the minutes of the July 9, 2001 meeting of the Council be accepted and placed on file. Councilmember King seconded the motion which carried by a voice vote of eight (8) ayes. SPECIAL BUSINESS There was no special business to come before the Council at this time. RESOLVE INTO THE COMMITTEE OF THE WHOLE At 7:02 p.m. Councilmember Ujdak made a motion to resolve into the Committee of the Whole. Councilmember Varner seconded the motion which carried by a voice vote of eight (8) ayes. Chairman Ujdak presiding. APOLOGY TO SOUTH BEND COMMUNITY SCHOOL CORPORATION Councilmember White advised that correspondence was received from the South Bend Board of School Trustees indicating their disappointment that they were not allowed to speak at the last City Council meeting that was held on July 9, 2001. Councilmember White noted that in light of the Public Hearing process not going forward on that bill pending before the Council at that time, the rules prohibited public comments. She stated that on behalf of the Council and her committee, she would like to sincerely apologize for this misunderstanding. BILL NO. 53 -01 PUBLIC HEARING ON A BILL AMENDING THE ZONING ORDINANCE FOR PROPERTY LOCATED AT 346 NORTH IRONWOOD DRIVE, IN THE CITY OF SOUTH BEND, INDIANA Councilmember White reported that the Zoning & Annexation Committee met on this bill and sends it to the Council with a favorable recommendation. REGULAR MEETING JULY 23, 2001 Mr. Jeff Myers, Staff Planner, Area Plan Commission, Room 1140 County -City Building, South Bend, Indiana, presented the report from the Commission. Mr. Myers advised that the Petitioner is requesting a zone change from "A" Residential, "A" Height and Area to "O" Office to allow an office use. The property currently contains a single - family home. Located to the north and east are single - family homes zoned "A" Residential, "A" height and area, to the south is a commercial business that is zoned "C -1" Commercial and to the west is a single - family home zoned "A" Residential, "A" height and area. Access to the site is from Ironwood Drive. Water and sewer are available to the site. The drainage has been addressed by the petitioner. Mr. Myers additionally advised that the total site to be rezoned is eight thousand nine hundred ten (8,910) square feet. Of that, the buildings will occupy eighteen per cent (18 %) of the site; parking and drives will occupy thirty -six per cent (36 %) of the site and forty -six per cent (46 %) of the site will remain as open space. A check of the Agency's maps indicates that there are no public wells, flood hazards, wetlands or environmental hazard areas are present. The site plan is preliminary.The Area Plan Commission, at its Public Hearing held on July 17, 2001, sent this petition to the Council with a favorable recommendation subject to a final site development plan. The proposed "O" office zoning would act as a buffer between the residential area located to the north and the commercially zoned areas to the south of the subject property. It is the Commission's opinion that this is an appropriate use for the existing structure and compatible with surrounding land uses. Mr. Richard A. Nussbaum, II, Attorney at Law, 210 South Michigan Street, South Bend, Indiana, representing the petitioner and the contingent purchaser Cressy and Everett, made the presentation for this bill. Mr. Nussbaum advised that Cressy and Everett is a residential real estate brokerage firm that has been in existence since 1946. They currently have six (6) offices within the northern Indiana and southern Michigan area with its main office located on the corner of McKinley and Ironwood. It is the intention of Cressy and Everett to purchase the property in question and use it as a mortgage loan processing office. It will not be a consumer oriented office and there will not be individuals coming in and out of the office. There will be three (3) employees that will do the mortgage processing and the documents that are processed there will then be sent out to the various offices. This mortgage processing facility is currently located in Mishawaka and will be moving to the South Bend location. Mr. Nussbaum stated that they have made an attempt to make sure all of the neighbors are informed of these plans and for the most part the responses they have received have been positive. They have not received any negative responses in any of the public hearings that have occurred and there have been no remonstrances. Mr. Nussbaum stated that at the Area Plan Commission Public Hearing some questions were raised about signage. At the present time there are no plans to put signs on this particular facility but they do reserve the right to do so in the future. If that occurs, they will follow all ordinance requirements. 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 King made a motion for favorable recommendation to full Council concerning this bill. Councilmember Kelly seconded the motion which carried by a voice vote of eight (8) ayes. BILL NO. 55 -01 PUBLIC HEARING ON A BILL OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, AMENDING ARTICLE 3 OF CHAPTER 6 OF THE SOUTH BEND MUNICIPAL CODE ENTITLED "DEVELOPMENT DESIGN REVIEW" Councilmember Kelly reported that the Community and Economic Development Committee met on this bill and recommends it to the Council favorably. REGULAR MEETING JULY 23, 2001 Mr. Owen Rock, Assistant Director, Division of Economic Development, 1200 County -City Building, South Bend, Indiana, made the presentation for this bill. Mr. Rock noted that currently the South Bend Redevelopment Commission staff and the Building Department deal with design review in economic and redevelopment areas. It is their understanding that there is a revamping of the design review process underway. However, until this implementation occurs, they believe it is important to designate the Airport Economic Development Area as a design review area and apply existing design review standards established by the Redevelopment Commission. The Airport Economic Development Area is an important gateway to our community. Conservative numbers estimate that they have about nine thousand (9,000) people employed in the area and over two hundred seventy -five (275) businesses. There has been over three hundred and thirty five- million dollars ($335,000,000.00) in private investment in the area over the past ten (10) years. Mr. Rock noted that it is important to have the Airport Economic Development Area designated as a design review area to encourage more private investments and to have an attractive designed area that visitors will see as they enter our community. 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 Kelly made a motion for favorable recommendation to full Council concerning this bill. Councilmember Varner seconded the motion which carried by a voice vote of eight (8) ayes. RISE AND REPORT Councilmember White made motion to rise and report to the full Council. Councilmember Varner seconded the motion which carried by a voice vote of eight (8) ayes. ATTEST: orett J. uda it Jerk ATTEST: An jdaQ 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 7:10 p.m. Council President Charlotte Pfeifer presided with eight (8) members present. BILLS - THIRD READING ORDINANCE NO. 9236 -01 AN ORDINANCE AMENDING THE ZONING ORDINANCE FOR PROPERTY LOCATED AT 346 NORTH IRONWOOD DRIVE, IN THE CITY OF SOUTH BEND, INDIANA This bill had third reading. Councilmember Varner made a motion to pass this bill. Councilmember Kelly seconded the motion which carried. The bill passed by a roll call vote of eight (8) ayes. ORDINANCE NO. 9237 -01 AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, AMENDING ARTICLE 3 OF CHAPTER 6 OF THE SOUTH BEND MUNICIPAL CODE ENTITLED "DEVELOPMENT DESIGN REVIEW" REGULAR MEETING JULY 23, 2001 This bill had third reading. Councilmember Aranowski made a motion to pass this bill. Councilmember Kelly seconded the motion which carried. The bill passed by a roll call vote of eight (8) ayes. RESOLUTIONS: RESOLUTION NO. 3022 -01 A RESOLUTION CONFIRMING THE ADOPTION OF A DECLARATORY RESOLUTION DESIGNATING CERTAIN AREAS WITHIN THE CITY OF SOUTH BEND, INDIANA, COMMONLY KNOWN AS 511 LINCOLN WAY WEST TO BE AN ECONOMIC REVITALIZATION AREA FOR PURPOSES OF A FIVE (5) YEAR PERSONAL PROPERTY TAX ABATEMENT FOR PHOTOCHROME, INC. 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 511 Lincoln Way West and which is more particularly described as follows: W14 %2 of lot 21 EX 40'N end all of 22 & S 22' of 23 and which has Key Number 18- 1027 -0893, 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 remonstrances 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 Personal 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 Personal Property tax deduction for a period of five (5) 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 /Charlotte Pfeifer Member of the Common Council Mr. Jack St. Pierre, 511 -513 Lincolnway West, South Bend, Indiana, made the presentation for this Resolution. 1 1 1 REGULAR MEETING JULY 23, 2001 Mr. St. Pierre informed the Council that he owns two (2) properties at 511 and 513 Lincolnway West known as Gene's Camera Store and Photochrome, Inc. He noted that he employs thirty (30) employees between both businesses with a payroll of over six hundred thousand dollars ($600,000.00). Photochrome is interested in putting in new production equipment in the color lab which they believe could add three (3) new full time permanent jobs with a payroll of approximately sixty thousand dollars ($60,000.00). He noted that this tax abatement is being requested on two hundred fifty thousand dollars ($250,000.00) worth of production equipment. 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 King seconded the motion which carried and the Resolution was adopted by a roll call vote of eight (8) ayes. RESOLUTION NO. 3023 -01 A RESOLUTION CONFIRMING THE ADOPTION OF A DECLARATORY RESOLUTION DESIGNATING CERTAIN AREAS WITHIN THE CITY OF SOUTH BEND, INDIANA, COMMONLY KNOWN AS 2720 FOUNDATION DRIVE TO BE AN ECONOMIC REVITALIZATION AREA FOR PURPOSES OF A FIVE (5) YEAR PERSONAL PROPERTY TAX ABATEMENT FOR MWI INC. 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 2720 Foundation Drive and which is more particularly described as follows: 2.004 acre tract East of Foundation Drive, N.W. corner S.E. 1/4 section 28 -38 -2E and which has Key Number 25- 1010 - 040025, 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 remonstrances 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 Personal 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 Personal Property tax deduction for a period of five (5) 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 sea. REGULAR MEETING JULY 23, 2001 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 /Charlotte Pfeifer Member of the Common Council Mr. Richard Nelson, Sales Representative, 126 Wakewa Avenue, South Bend, Indiana, made the presentation for this Resolution. Mr. Nelson stated that MWI, Inc. intends to develop a light manufacturing facility on Foundation Drive. They have already added four (4) individuals to the payroll and hope to employ ten (10) to twelve (12) by the end of the year. 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 eight (8) ayes. RESOLUTION NO. 3024 -01 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 330 EAST JEFFERSON BOULEVARD AN ECONOMIC REVITALIZATION AREA FOR PURPOSES OF A TEN (10) YEAR REAL PROPERTY TAX ABATEMENT FOR CROWE, CHIZEK AND COMPANY LLP 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 330 East Jefferson Boulevard, South Bend, Indiana, and which is more particularly described as follows: TR OF LAND LYING NELY FROM THE ELY PT OF INTER WESTERN & COLUMBIA ST SO OF JEFFERSON CONT APPX 5.801 ACR SEC 12 -37 -2E BEG APPX 316 58'N OF NE COR MONROE & COLUMBIA KNOWN AS PARCEL 6 -113-B CONT APPX .811 ACR SEC 12 -37 -2E TR BEG INTER E RIGHT OF WAY OF COLUMBIA & N RIGHT OF WAY MONROE AT A POINT 270'N 75'E 43.10' SE & 113.02 NELY TO POB CONT 21750 SQ' SEC 12 -37 -2E AND BEING PARCEL II and which has Key Numbers 18- 3090 -3479, 18- 3090 -3481 and 18- 3090 - 3484 -01, respectively, 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 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 an Economic Revitalization Area under Indiana Code 6 -1.1 -12.1, et sea., and South Bend Municipal Code Sections 2 -76 et sea., 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. 1 1 1 REGULAR MEETING JULY 23, 2001 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 se q., 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 form 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. 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 pursuant to Section 2 -84 of the South Bend Municipal Code finds the ten 10 years is the appropriate and rational time period for this tax abatement in light of the following: The petitioner is a long time South Bend based business and is the headquarters for its worldwide operations. 2. The petitioner currently employs over 430 people in the South Bend office and has an annual payroll of over $28 million. The petitioner also projects to add 150 new people to its payroll over the next six years. 3. The petitioner wants to expand its capabilities in the training and seminar areas, which will result in thousands of new visitors to our community annually. REGULAR MEETING JULY 23, 2001 4. The petitioner cites the enormous costs associated with this project, with construction costs of nearly $7.8 million and total project costs of over $10.8 million. The Common Council hereby determines that the property owner is qualified for and is granted property tax deduction for a period of ten 10 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, saidpublication providing notice ofthe 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 /Charlotte Pfeifer Member of the Common Council Councilmember Kelly reported that the Community and Economic Development Committee met on this bill and recommends this Resolution to the Council favorably. Councilmember King advised that based on the advice of Council Attorney Kathleen Cekanski- Farrand, he will be abstaining from voting on this bill. Councilmember King noted that he worked for thirty -three (33) years at Crowe Chizek, ending on March 31, 1999, eight (8) years as an employee and twenty -five (25) years as a partner. He noted that he currently receives retirement payments from Crowe Chizek and is permitted to participate in their medical insurance program although he pays the entire premium. In light of these circumstances, so there will be no hint of impropriety, he stated that he will be abstaining from voting on this bill. Further, Councilmember King advised that he does not have any ownership interest in and is not in anyway employed by Crowe Chizek at this time. Mr. Dean Uminski, 330 East Jefferson Boulevard, South Bend, Indiana, made the presentation for this Resolution. Mr. Uminski stated that Crowe, Chizek and Company is requesting this abatement on their current expansion project. He stated that Crowe Chizek will construct anew fifty thousand (50,000) square foot building adjacent to its current main building at 330 East Jefferson Boulevard in order to accommodate the need for more parking and room for future expansions to their downtown campus. He noted that through the efforts of the South Bend Economic Development Council and the State of Indiana they were able to purchase 3.59 acres of additional land comprising four (4) parcels in order that they could accommodate the expansion. The additional office space and land will accommodate the company's long term growth plans which include the addition of one hundred fifty (150) new jobs during Phase I over the next six (6) years. The total capital investment for this phase is approximately $10.8 million dollars. They will add one hundred fifty (150) new jobs with a total annual payroll of $10.8 million dollars. In addition, they are retaining three hundred eighty one (38 1) permanent full time and fifty -two (52) part-time jobs with an annual payroll of $28.2 million dollars. Mr. Uminski stated that Crowe Chizek has thirteen (13) offices nationwide and this is their corporate headquarters as well as home to their firm -wide Human Resources and Education and Development Department. A Public Hearing was held on the Resolution at this time. There was no one present wishing to speak in favor of this Resolution. The following individuals spoke in opposition to this Resolution. Mr. Glen McQueen, 701 West Sample Street, South Bend, Indiana, asked for the actual value of the tax abatement. He further asked what the lost tax dollars will be as a result of a ten (10) year abatement of taxes and whether the City has a business relationship with Crowe Chizek for any kind of work. Also, aside from Councilmember King whether there was any financial relationship REGULAR MEETING JULY 23, 2001 between Crowe Chizek and members of the Council. Further, Mr. McQueen asked if anyone on the Council received any sort of campaign contributions from partners, employees, agents or spouses of Crowe Chizek and whether or not anyone receives any kind of retirement benefits from Crowe Chizek other than Councilmember King. Mr. McQueen stated that the City is offering a very large tax abatement to a large accounting corporation at the same time in which the City refuses to give the police officers a pay raise that would put them in the top thirty (30) in the country with the next contract. Council President Pfeifer stated that no one would have a problem looking into these questions, but answers to some of the questions would take time to check and therefore could not be answered at this time. Mr. McQueen stated that he will put these questions in writing for members of the Council to respond. Council Attorney Kathleen Cekanski- Farrand stated that the Resolution being considered this evening is part one (1) of a two (2) part process. The Declaratory Resolution is acted upon this evening and the Confirmatory Resolution, which triggers a remonstrance period under applicable state law, is in two (2) weeks. Councilmember Kelly stated that the total tax bill over the ten (10) year period is $4,148.243.00. The total taxes abated is $2,053,380.00 and the total taxes paid during the abatement is $2,094,863.00. Council Attorney Cekanski- Farrand noted that this information is contained in the public tax abatement documents and is available. Mr. McQueen reiterated that he will put his questions in writing. He asked how the Council will respond. Council Attorney Cekanski - Farrand advised him to give those questions to the City Clerk who will see that members of the Council receive copies. She noted that any items that would have to be referred to the City administration would take place tomorrow morning. She noted that the Council should be able to respond in a two (2) week period or sooner. Ms. Joyce Boaler, 1616 Hillsdale Road, South Bend, Indiana, stated that she is mystified that any property on East Jefferson Boulevard is being considered as an economic revitalization area and asked how it can be considered for revitalization. She stated that she is equally mystified as to why a company that has thirteen (13) offices nationwide is in need of tax abatement as it appears that they are a thriving business. Mr. Jim Wolff, 701 West Sample Street, South Bend, Indiana, inquired if Crowe Chizek threatened to leave the City if they did not get this tax abatement. Councilmember Kelly advised that there was no threat to leave the City. Crowe Chizek is making a major investment in the downtown area and obviously employing new people that will bring money into the community. Mr. Wolff asked if the representative from Crowe Chizek would know if there was a threat to leave the City. There was no one else present wishing to speak in opposition to this Resolution. In rebuttal, Mr. Uminski stated that Crowe Chizek would be happy to work with the Council to provide written responses to the questions asked this evening and as noted the abatement savings and taxes to be paid by Crowe Chizek are a part of the public document that is available. Mr. Uminski noted that the area in question has already been identified as a tax abatement impact area so they only asked for what they thought they were eligible for and what was available for any company that wanted to do any significant expansion in the downtown area. Mr. Uminski noted that the State of Indiana has also supported this project with infrastructure assistance and training assistance so that they may successfully complete this expansion project. He noted that no idle threats were made by Crowe Chizek that they would leave South Bend if they did not get this tax abatement. 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 seven (7) ayes with Councilmember King abstaining. REGULAR MEETING JULY 23, 2001 RESOLUTION NO. 3025 -01 A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND APPROVING THE ISSUANCE OF SCRAP METAL /JUNK DEALERS /TRANSFER STATION LICENSES FOR THE CALENDAR YEAR 2001 WHEREAS, the Common Council of the City of South Bend recognizes the contributions that operations such as junk/scrap and recycling dealers make to the community; and the Council further realizes that such operations must be reasonably regulated in order to minimize any environmental or aesthetic nuisances which may be created by the operations of scrap / junk/and recycling dealers within the City; and WHEREAS, the Common Council of the City of South Bend has enacted reasonable rules and regulations with regard to the issuance of licenses and the operations of the scrap /junk/and recycling dealers; and WHEREAS, in accordance with these rules and regulations, inspections of the below listed scrap /junk/and recycling operations have been completed by the Department of Code Enforcement and the Fire Department Prevention Bureau, and' it has been found that such premises are fit and proper for the maintenance and operation of such businesses; and WHEREAS, the Board of Public Works, at its meeting held on July 5, 2001, recommended the issuance of the licenses for the below listed applicants in the City of South Bend by appropriate action of the Common Council. NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of South Bend, Indiana, as follows: SECTION I. That the license applications for the following be approved based upon the satisfactory review of the properties by the Department of Code Enforcement and the Fire Department Prevention Bureau, inspections having been made in May and June 2001, and subsequent favorable recommendation by the Board of Public Works: South Bend Scrap & Processing A -1 Auto Parts 1305 Prairie Avenue 2014 South Lafayette South Bend, Indiana 46613 South Bend, Indiana South Bend Waste Paper South Bend Iron & Metal 1519 South Franklin Street 429 West Indiana South Bend, Indiana 46613 South Bend, Indiana South Bend Baling & Iron Indiana Scrap & Recycling 1420 South Walnut 1420 South Walnut South Bend, Indiana 46619 South Bend, Indiana 46619 Hurwich Iron Company Hurwich Iron 1610 Circle Avenue 1700 Washington South Bend, Indiana South Bend, Indiana 46619 Hurwich Iron Indiana Iron & Metal 2016 West Washington 1602 South Lafayette South Bend, Indiana 46619 South Bend, Indiana 46619 SECTION V. This Resolution shall be in full force and effect from and after its adoption by the Common Council and approval by the Mayor. s /Charlotte Pfeifer Member of the Common Council Mr. Gary Gilot, Public Works Director, 1300 County -City Building, South Bend, Indiana, made the presentation for this Resolution. REGULAR MEETING JULY 23, 2001 Mr. Gilot stated that this Resolution addresses the annual renewal of licenses for ten (10) scrap metal dealers. He noted that there are meetings pending with five (5) more applicants that are close to the public water supply well field as the City would like to discuss well head protection with these applicants. The ten (10) applicants submitted today have been reviewed by the Department of Code Enforcement and the Fire Prevention Bureau and have received favorable recommendations from the Board of Public Works. 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 Varner made a motion to adopt this Resolution. Councilmember Aranowski seconded the motion which carried and the Resolution was adopted by a roll call vote of eight (8) ayes. BILLS - FIRST READING BILL NO. 61-01 FIRST READING ON A BILL AMENDING THE ZONING ORDINANCE, AND ESTABLISHING AN HISTORIC LANDMARK FOR STRUCTURE AND REAL PROPERTY LOCATED AT 1534 WEST SAMPLE, IN THE CITY OF SOUTH BEND, INDIANA This bill had first reading. Councilmember Kelly made a motion to refer this bill to the Zoning and Annexation Committee and set it for Public Hearing and Third Reading on August 13, 2001. Councilmember Varner seconded the motion which carried by a voice vote of eight (8) ayes. BILL NO. 62 -01 FIRST READING ON A BILL OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND APPROPRIATING $8,640.00 IN DONATED FUNDS FROM HUMAN RIGHTS FEDERAL FUND ( #258) TO PAY EXCESS EXPENSES OF HUMAN RIGHTS AWARENESS AND AWARDS BANQUET This bill had first reading. Councilmember Varner made a motion to refer this bill to the Personnel and Finance Committee and set it for Public Hearing and Third Reading on August 13, 2001. Councilmember White seconded the motion which carried by a voice vote of eight (8) ayes. BILL NO. 63 -01 FIRST READING ON A BILL OF THE SOUTH BEND COMMON COUNCIL TO ESTABLISH ONE ADDITIONAL FUND, NAMELY, FUND NO. 426, TIF DISTRICT - CENTRAL MEDICAL SERVICES This bill had first reading. Councilmember Kelly made a motion to refer this bill to the Community and Economic Development Committee and set it for Public Hearing and Third Reading on August 13, 2001. Councilmember Varner seconded the motion which carried by a voice vote of eight (8) ayes. BILL NO. 64-01 FIRST READING ON A BILL TRANSFERRING $450,000 AMONG VARIOUS ACCOUNTS WITHIN THE DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT This bill had first reading. Councilmember Kelly made a motion to refer this bill to the Community and Economic Development Committee and set it for Public Hearing and Third Reading on August 13, 2001. Councilmember Varner seconded the motion which carried by a voice vote of eight (8) ayes. REGULAR MEETING JULY 23, 2001 BILL NO. 65 -01 FIRST READING ON A BILL OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, AMENDING SECTION 13 -75.5 OF THE SOUTH BEND MUNICIPAL CODE TO DEFINE OWNERSHIP OF DISORDERLY HOUSES, TO PROVIDE FOR THE SECURITY AND SAFETY OF VACANT BUILDINGS, AND TO ENHANCE THE CITY'S ABILITY TO ENFORCE PROVISIONS OF THIS ORDINANCE This bill had first reading. Councilmember Varner made a motion to refer this bill to the Health and Public Safety Committee and the Residential Neighborhood Committee and set it for Public Hearing and Third Reading on August 13, 2001. Councilmember King seconded the motion which carried by a voice vote of eight (8) ayes. BILL NO. 66 -01 FIRST READING ON A BILL OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, AMENDING CHAPTER 13 OF THE SOUTH BEND MUNICIPAL CODE BY THE ADDITION OF NEW ARTICLE 3 ENTITLED ANTI - TICKET SCALPING REGULATIONS This bill had first reading. Councilmember Varner made a motion to refer this bill to the Health and Public Safety Committee and the Residential Neighborhood Committee and set it for Public Hearing and Third Reading on August 13, 2001. Councilmember King seconded the motion which carried by a voice vote of eight (8) ayes. BILL NO. 67 -01 FIRST READING ON A BILL OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND ESTABLISHING A NEW SCHEDULE OF RATES AND CHARGES FOR SERVICES RENDERED BY THE CITY OF SOUTH BEND WATER WORKS AND AMENDING CHAPTER 17, ARTICLE 4, SECTIONS 17 -45, 17 -46.1 AND 17 -46.3 OF THE SOUTH BEND MUNICIPAL CODE This bill had first reading. Councilmember White made a motion to refer this bill to the Utilities Committee and set it for Public Hearing and Third Reading on August 27, 2001. Councilmember Varner seconded the motion which carried by a voice vote of eight (8) ayes. BILL NO. 68 -01 FIRST READING ON A BILL OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, CONCERNING THE CONSTRUCTION OF IMPROVEMENTS TO THE MUNICIPAL WATERWORKS OF THE CITY OF SOUTH BEND, INDIANA; AUTHORIZING THE ISSUANCE OF REVENUE BONDS FOR SUCH PURPOSE IN THE PRINCIPAL AMOUNT NOT TO EXCEED SIX MILLION DOLLARS ($6,000,000); ADDRESSING OTHER MATTERS CONNECTED THEREWITH, INCLUDING THE ISSUANCE OF NOTES IN ANTICIPATION OF BONDS; AND REPEALING ORDINANCES INCONSISTENT HEREWITH This bill had first reading. Councilmember White made a motion to refer this bill to the Utilities Committee and set it for Public Hearing and Third Reading on August 27, 2001. Councilmember Varner seconded the motion which carried by a voice vote of eight (8) ayes. REGULAR MEETING JULY 23, 2001 BILL NO. 69 -01 FIRST READING ON A BILL FIXING THE ANNUAL PAY AND MONETARY FRINGE BENEFITS FOR MEMBERS OF THE SOUTH BEND POLICE DEPARTMENT FOR CALENDAR YEARS 2002, 2003, 2004 AND 2005 This bill had first reading. Councilmember Varner made a motion to refer this bill to the Health and Public Safety Committee and the Personnel and Finance Committee and set it for Public Hearing and Third Reading on August 13, 2001. Councilmember Aranowski seconded the motion which carried by a voice vote of eight (8) ayes. UNFINISHED BUSINESS REPORTS FROM AREA PLAN COMMISSION: It is noted that the Council is in receipt of recommendations from the Area Plan Commission of St. Joseph County, for the following bills based on their Public Hearing held on July 17, 2001: BILL NO. 46-01 A BILL AMENDING THE ZONING ORDINANCE FOR PROPERTY LOCATED AT 4324 S. MAIN STREET, IN THE CITY OF SOUTH BEND, INDIANA BILL NO. 47 -01 A BILL AMENDING THE ZONING ORDINANCE FOR PROPERTY LOCATED AT 1317 LINCOLNWAY WEST, IN THE CITY OF SOUTH BEND, INDIANA BILL NO. 49 -01 A BILL AMENDING THE ZONING ORDINANCE FOR PROPERTY LOCATED AT 1620 & 1621 CIRCLE AND 1528 LISTON IN THE CITY OF SOUTH BEND, INDIANA BILL NO. 50 -01 A BILL AMENDING THE ZONING ORDINANCE FOR PROPERTY LOCATED AT 1512 LISTON IN THE CITY OF SOUTH BEND, INDIANA Councilmember King made a motion to refer these bills to the Zoning and Annexation Committee and set them for Public Hearing and Third Reading on August 13, 2001. Councilmember Varner seconded the motion which carried by a voice vote of eight (8) ayes. Council President Pfeifer acknowledged receipt of the report from the Area Plan Commission for the following bill on which a Public Hearing was held at this meeting. BILL NO. 53 -01 A BILL AMENDING THE ZONING ORDINANCE FOR PROPERTY LOCATED AT 346 NORTH IRONWOOD DRIVE, IN THE CITY OF SOUTH BEND, INDIANA NEW BUSINESS There was no new business to come before the Council at this time. PRIVILEGE OF THE FLOOR Council President Pfeifer noted that the purpose of this portion of the meeting is for individuals to have the opportunity to speak on any item that is not on the Council's agenda. The first individual to take advantage of this portion of the meeting advised that he wanted to speak on Bill No. 66 -01 which is on the Council agenda at this time for first reading. Council President Pfeifer advised that she will accept a motion to suspend the rules to allow REGULAR MEETING JULY 23, 2001 individuals to speak under the Privilege of the Floor portion of the meeting on items that are on the agenda. Councilmember Varner made the motion to suspend the rules for this purpose which carried by a voice vote. Mr. Mark Elliott, 29900 Grant Road, New Carlisle, Indiana, advised that he has owned and operated a ticket service in South Bend for the past eight (8) years. He noted that he is aware of the problems with ticket scalping on the streets and asked the Council to perhaps. consider licensing as is done in Indianapolis and Roseland. Mr. Elliott stated that he handles anywhere from three hundred (300) to four hundred (400) tickets for an average football game and it is not uncommon for him to get stuck with thirty (30) or forty (40) seats on a Friday afternoon. He further stated that licensing fees may benefit the community and perhaps pay for the overtime that the police get when they direct traffic. Mr. Elliott advised that he has sold tickets for the last five (5) years at the corner of Pokagon and Angela and has the permission of the property owner. Cars turn the corner, pull off and park along the curb. He noted that there has never been a problem with holding up traffic or accidents. Ms. Joyce Boaler, 1606 Hillsdale Road, South Bend, Indiana, stated that she believes it is disingenuous to pretend that the City is willing to add three hundred dollars ($300.00) a year for four (4) years to the base pay for police officers while taking an identical sum out of the two thousand two hundred dollar ($2,200.00) clothing equipment maintenance allowance. She stated that it is appalling that the police are made to pay two hundred sixty dollars ($260.00) car insurance annually for their squad cars which amounts to seventy three- thousand three hundred and twenty dollars ($73,320.00) minimum yearly and asked if other employees with City cars have to pay this also. Ms. Boaler stated that the City claims that seventy -eight per cent (78 %) of the budget goes to the Police Department. This presumably includes police vehicle maintenance and repair at the City garage at inflated prices. Ms. Boaler further stated that the City is building a skateboard area which is a fad that will pass and millions of tax dollars have been found for the Hall of Fame, Coveleski and the Water Works. In conclusion, she stated that the police are being offered an insignificant pay raise and it is disgraceful. Mr. Jim Cierzniak,1156 East Victoria, South Bend, Indiana, spoke in favor of the police officers and their position on wage talks with the City. Citizens expect the Mayor and the Council to realize that this highest priority is more important than economic development programs, tourist attractions, entertainment districts and parks and recreation. He noted that the public seems solidly behind the FOP position in the current wage talks and the negotiation strategy of the City is reprehensible to citizens who are following this issue. They do not understand why an outside negotiator was brought in at a considerable expense who has an anti -union reputation. They do not understand why local people cannot handle the City sides of the talks. He noted that currently about $2 million dollars in public funds is spent annually on the Hall of Fame. The wage proposal of the FOP seems very modest. Mr. Cierzniak informed the Council that a major rally of those supporting the police will be held on the Hall of Fame grid iron during the upcoming enshrinement ceremonies. Mr. Mike Carey, 701 West Sample Street, South Bend, Indiana, inquired if any marketing research was done to determine if the proposed skate park was going to be viable. Councilmember Kelly advised that Councilmember Sean Coleman, Chairperson, Parks, Recreation, Cultural Arts and Entertainment Committee, was not present tonight but that the Council considered this matter several weeks ago and the Council chambers were filled with individuals who supported the skateboard park. Council President Pfeifer asked Mr. Carey to submit his questions in writing to the City Clerk and they will be forwarded to Councilmember Coleman for response. Mr. Carey inquired about the cost of the skate park and Councilmember Aranowski advised that it would be two hundred sixty thousand dollars ($260,000.00). Mr. Carey asked how many people would be employed at the park. Council President Pfeifer advised Mr. Carey that he could submit those questions to Park Superintendent Phil St. Clair and he could provide all that information. Mr. Carey also asked what kind of liability insurance would be required and what the figures are of the cost. Again, Council President Pfeifer stated the Park Superintendent Phil St. Clair could provide those numbers. She stated that if Councilmember Coleman had been present this evening he would have been able to provide answers to these questions. Mr. Carey also asked how many months the park will be open. Council President Pfeifer stated that for accurate information she would encourage Mr. Carey to contact Mr. St. Clair. He inquired if anyone on the Council knew if this park was going to make any money and asked if anyone had any knowledge about anything to do with the park. REGULAR MEETING JULY 23, 2001 Council President Pfeifer stated that the Council was given a formal presentation a month ago but this particular information is not at their finger tips at this time. Mr. Carey asked if anyone else on the Council was kept abreast of general procedural construction or if that was just Councilmember Coleman. Councilmember Ujdak advised that there are still planning meetings going on as to the final look and construction of the park. When the presentation was made to the Council there were many questions with regard to the budget and some of those issues still need to be addressed. Mr. Carey asked if this was supposed to be a one (1) time cost or would there be additional funding budgeted throughout the years as it was his understanding that this was going to be a one (1) time cost of two hundred fifty thousand dollars ($250,000.00). Councilmember Ujdak noted that the Council voted to fund the construction of the park. The actual operating budget of that park will be included within the Park Department budget but Mr. St. Clair would be the best source for that information at this time. Councilmember Varner advised that in regard to the operating expense question, there are several individuals who encourage the Park Department strongly to make their budget as accurate as they could and that includes the liability insurance so that a fee can be set to cover the operating costs. Mr. Rick Ruszkowski, 701 West Sample Street, South Bend, Indiana, asked, for the record, that each of the Councilmembers express their personal opinion as far as the pay for the South Bend Police Department. Council President Pfeifer stated that this was not the procedure being followed at this time. She noted that the City has a negotiating team that was appointed. Mr. Ruszkowski asked if there were any Councilmembers who would like to answer his question. Councilmember Varner stated that this is something that they should address individually and this forum is set for the public to give their input. He noted that he would be happy to discuss this after the meeting and it is probably best handled one (1) on one (1). Mr. Ruszkowski stated that for the public record he would like to know each Councilmembers opinion on this matter. He noted that he is a voter in this community and would like to know for his own personal knowledge. Council President Pfeifer explained that this portion of the meeting is to allow anyone in the audience to speak and give information to the Council. President Pfeifer reminded Mr. Ruszkowski that the Council suspended the rules to allow people to comment on an item that was one the agenda which they generally do not do and the process is that the members of the public give information to the Council. Ms. Kay Bryant, no address given, stated that her husband is a police officer. She further stated that she is concerned about not being made aware, through the normal chain of public information, of the matters that the Council addresses. She stated that she cannot believe that there is a potential for one (1) business to have a $4.3 million dollars in tax abatements when that money could be spent on the Police Department as well as other areas. Council President Pfeifer and Councilmembers Aranowski and Kelly explained to Ms. Bryant how items are submitted to the Council. Ms. Bryant stated that she was made aware that at the last meeting the Council they approved three hundred thousand dollars ($300,000.00) to settle civil suits against the City. She stated that when police officers have to work two (2) jobs just to support their family, they have no time to learn their craft which is enforcing the laws of the City, the State and the Federal government. Mr. Ken Ryan, 701 West Sample Street, South Bend, Indiana, inquired if Mr. Neighbours had a time line with the City on when his contract will be terminated. Council President Pfeifer stated that there is no date. He asked if it will be a flat rate even if negotiations last over two (2) years. Council President Pfeifer informed Mr. Ryan that the Mayor, and not the Council, hired Mr. Neighbours and it is her understanding that he is to be paid a flat amount. Mr. Ryan stated that the Mayor commented that the City is not finished making any offer and he inquired when Mr. Neighbours would be faxing over the City's offer. Councilmember Kelly stated that the bargaining team would like to sit down with the FOP bargaining team any time they care to and present the offer they have in mind. Mr. Ryan advised that it is his understanding that the police cannot accept an offer from the Mayor or the City Council advisors but only from Mr. Neighbours. Councilmember Uj dak stated that he believes there is some misconception because Mr. Neighbors is the spokesman for the negotiating team which consists of members of the Council, the administration and Council Attorney Kathleen Cekanski- Farrand. Councilmember Ujdak clarified that when Mr. Neighbours makes representations back and forth he is speaking for the team. He advised Mr. Ryan that the nature of the questions he is asking would be answered at the negotiating table and not in the public forum. Mr. Jim Wolff, 701 West Sample Street, South Bend, Indiana, inquired if the bill on the agenda REGULAR MEETING JULY 23, 2001 regarding the annual pay for police officers indicates a percentage or if it was open ended. Council President Pfeifer stated that this bill does not contain any figures because they are hoping to continue negotiations. Mr. Wolff inquired if the wages would be set at the August 13, 2001 meeting if negotiations do not continue. Councilmember Ujdak stated that the Council is following the state law deadline. In order for the bill to be heard prior to August 20, 2001, the bill had to be filed for first reading at this time. Councilmember Ujdak stated that the reason there are no figures on this bill is because it is the City's hope that they can continue the negotiating process and come to a conclusion that is agreeable to both sides with those numbers being arrived at through the negotiating process. Mr. Wolff stated that it is his understanding that the City is still in a negotiating stance but the FOP has to step forward and lower their rate in order for the City to come back to the table. Councilmember Ujdak stated that both parties need to sit down at the table. Mr. Wolff stated that the City needs to call the FOP and they will be back into the negotiating room and bargain in good faith. They have given the City their final offer and now it is time for the City to come back and give their final offer. Ms. Nancy Demler, 224 Tuxedo Drive, South Bend, Indiana, informed the Council that she has lived in this community for sixty -nine (69) years and has respect for the police and fire departments and City government. She stated that she has seen examples of what the different ranks of officers have made over the years and noted that the high salaried officers have a lot of overtime hours which can cause burnout. Ms. Demler further informed the Council that her son is on the Police Department K -9 detail. She further stated that she knows that the retirees in her neighborhood would be glad to pay more taxes in order to give police officers a decent salary. Mr. Frank Mattei, 227 West Jefferson Boulevard, South Bend, Indiana, informed the Council that he retired from the South Bend Police Department after thirty -one (31) years of service and currently works for the St. Joseph County Prosecutors's office as chief investigator. He stated that he thinks it is great that Crowe Chizek desires to expand and asked if anyone has asked to look at their profit and loss statement. He noted that for eight (8) years, former Mayor Keman said police salaries are too low and they were told year after year that they were going to go up and yet nothing has happened. He suspects that they now are hearing that it can't happen overnight. Mr. Mattei stated that the South Bend Police Department is the highest trained police department in the state and that the Council should give them a raise because their pay is embarrassing. Mr. Robert Culp, 701 West Sample Street, South Bend, Indiana, asked if the Council has a proposed budget to cover the next four (4) years. President Pfeifer advised that the Council begins budget hearings in about three (3) weeks and Councilmember Aranowski advised that the City Clerk's office has that schedule. He noted that the budget hearings will be for the year 2002. Mr. Culp asked if he could get a copy of the budget. Councilmember Aranowski advised that as soon as it is presented to the Council it will be available and he suggested that Mr. Culp work through the City Clerk's office for that information. Mr. Culp asked whether the budget would cover the four (4) years for which they are negotiating a contract. Councilmember Aranowski advised that the budget is only for calendar year 2002. Mr. Culp stated that the City continues to tell the FOP that there is no money available for the requested police raise but they grant a large tax abatement to Crowe Chizek. He inquired whether or not the City could use this money to go toward the police pay. Council President Pfeifer advised that personal and property taxes that the City collects goes into the running of the whole City. Mr. Culp stated that it would be nice to have the $2 million dollars that the City is granting in tax abatements to be applied to the police salaries. Councilmember Varner advised Mr. Culp that there is a misunderstanding about tax abatements and he would be happy to explain the procedure to him, in writing, after the meeting. Ms. Kelley Lawall advised that she is an employee of the City, no address given, and that when she became a policewoman she had a purpose, ethics and believed in her integrity. She stated that she wonders if members of the Council believe in their ethics, integrity and in doing what is right or if they just want to agree with the person next to them or because the Mayor would like them to do something. She stated that sometimes we need to step out from the norm and not follow the path of least resistence and do what is right. Ms. Denise Mann, 1624 East Wayne Street, South Bend, Indiana, stated that she does not understand why the City does not pay police enough to live on. They are expected to protect citizens and they REGULAR MEETING JULY 23, 2001 should not have to work another j ob. She noted that she realizes that there is a budget and decisions have to be made about what is going to be spent and what is the highest priority. Other than medical, fire and police what is more important. She asked that the Council give police officers a raise and then work out the rest of the finances. Ms. Culp recounted a recent incident where she called the police. She noted that they responded promptly and her family felt safe. She asked how can you place a value on that. ADJOURNMENT There being no furtherbusiness to come before the Council, President Pfeifer adjourned the meeting at 8:45 p.m. ATTEST: Lorett �Ida, Vity CVk ATTEST: �x Charlotte Pfeifer, President