HomeMy WebLinkAboutAppropriating $210,000 from the Community Development Block Grant FundORDINANCE N0.7228 -83
Passed by the Common Council of the City of South Bend, Indiana
July'_ 25 0! 19 R3_
IRENE K. GAMMON
Presented by me to the Mayor of the City of South Bend, Indiana
July 26, i9 83
Clerk
of Common Council
City Clerk
IRENE K. GAMMON
Approved and signed by me
O&J-1
oi__ 19 3
T -7
BILL NO.
ORDINANCE NO. ZS
AN ORDINANCE APPROPRIATING $210,000.00 FROM
THE COMMUNITY DEVELOPMENT BLOCK GRANT FUND
FOR THE ECONOMIC DEVELOPMENT CAPITAL FUND TO
BE ADMINISTERED THROUGH THE DIVISION OF COMMUNITY
DEVELOPMENT.
Statement of Purpose and Intent:
The government of the City of South Bend, Indiana, in creative
and affirmative partnership with its residents, private enterprise and the
Federal Government, is committed to the goal of expanding economic
opportunities. To further this goal, the Community Development Block Grant
Program contains the specific objective of alleviating physical and economic
distress through the stimulation of private investment.
The City believes that scarce federal funds should be used whenever
possible to encourage private investment in the development and expansion of
local economic enterprises; in the retention and expansion of existing local
economic enterprises; and in the creation of new economic enterprises. The
City's multi - faceted economic development activities include the Economic
Development Capital Fund which is used to assist economic enterprises through a
variety of mechanisms, including, but not limited to, direct loans, equity
investments, working capital, loan guarantees, interest subsidies, and injection
of seed funds.
NOW, THEREFORE, BE IT ORDAINED by the Common Council of the City of
South Bend, Indiana as follows:
SECTION II. The sum of $210,000.00 is hereby appropriated
for the program year starting April 1, 1983, (Program Year 1983) from the
Community Development Block Grant Funds to be administered by the Division of
Community Development as set forth below:
Purpose Project No. Amount
Economic Development
Capital Fund CD83 -606 $210,000.00
SECTION II. This Ordinance shall be in full force and
effect from and after its passage by the Common Council and approval by the
Mayor.
ember of the Comm Counci
1st READING 7'// -9_3
PUBLIC HEARING c,Y
2nd READING
NOT APPROVED
PREFERRED
PASSED
Towitturr Irpnrt
X.a t4t (Common (lounrd of tot (guy of Doug jorud:
Your Committee OF THE WHOLE
to whom was referred
77 -83 A BILL APPROPRIATING $110,000.00 FROM THE COMMUNITY
DEVELOPMENT BLOCK GRANT FUND FOR THE ECONOMIC DEVELOPMENT
CAPITAL FUND TO BE ADMINISTERED THROUGH THE DIVISION OF
COMMUNITY DEVELOPMENT.
Respectfully report that they have examined the matter and that in their opinion THIS BILL SHOULD BE RECOMMENDED
TO THE COUNCIL FAVORABL7, AS AMENDED:
BY SUBSTITUTION OF A NEW BILL
RAY ZIELINSKI
Chairman
FRE[ PRESS rumismme co.
Jon R. Hunt
Executive Director
Ann Kolata
Excutive Deputy Director
CITY of SOUTH BEND
ROGER O. PARENT, Mayor
DEPARTMENT OF DEVELOPMENT
1200 COUNTY -CITY BUILDING • SOUTH BEND, INDIANA 46601 • (219) 284.9371
South Bend Common Council
4th Floor County -City Building
227 West Jefferson Boulevard
South Bend, Indiana 46601
Dear Council Members:
July 6, 1983
The 1981 Community Development program included a Commercial Rehab
Revolving Loan Fund activity designed to provide higher -risk loans
to commercial businesses or commercial development projects for
building rehabilitation. On July 12, 1982 the City entered into a
grant agreement with Southold Heritage for $210,000 from the Fund.
Southold utilized the $210,000 to assist in the financing necessary
to move and rehabilitate what has become known as the General Micro
Computer building located at the corner of William and Washington.
The bill submitted for your consideration is contingent on
negotiations being conducted and completed with private lending
institutions for a partial "take out" of Southold's short term loan
to General Micro Computer. If $110,000 is financed privately it
would be returned to Southold and then to the City. Once returned
to the City the funds are considered program income and must be
reappropriated by the Council prior to reusing the funds.
This bill would appropriate the funds to the Economic Development
Capital Fund to be used within the guidelines of that program.
Should you have any questions or require additional information
please contact me at 284 -9371.
Sincerely,
Colleen Rosenfeld
Director for Community
Development
JRH:des
Attachment
Program Management Community Development Economic Development & Housing
Don Inks Colleen Rosenfeld Redevelopment Janet Holston
284 -9371 284 -9335 Kevin Horton 284 -9475
284-9371