HomeMy WebLinkAbout1994-03-03 Minutesr~
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SOUTH BEND REDEVELOPMENT AUTHORITY
SPECIAL MEETING
March 3, 1994
4:30 p.rn.
Presiding: Joseph Wroblewski
President
1308 County-City Building
227 W. Jefferson Boulevard
South Bend, Indiana 46601
The March 3, 1994 Special Meeting of the Redevelopment Authority was called to order at
4:36 by its President, Joseph Wroblewski. There was a quorum present.
1. ROLL CALL
Members Present: Mr. Joseph Wroblewski, President
Mr. Andre B. Gammage, Vice-President
Legal Counsel: Ms. Jenny Pitts Manier
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Redevelopment Staff: Mrs. Ann Kolata, Director
Mrs.. Cheryl Phipps, Recording. Secretary.
Mr. James Riggs, Economic Dev. Specialist
Others: Mr. Randy Rompola, Baker & Daniels
2. APPROVAL OF MINUTES
a. Approval of Minutes of the Special Meeting of Wednesday February 23.
1994.
Upon a motion by Mr. Gammage, seconded by Mr. Wroblewski and
unanimously carried, the Authority approved the Minutes of the Regular
Meeting of March 3, 1994.
3. OLD BUSINESS
a. Authority approval requested for Pr~osal from Ken Herce~ & Associates for
engineering services in the Airport Economic Develoyment Area.
~Nimtz/Bendix intersection)
Item 3. a. was tabled.
4. NEW BUSINESS
Mrs. Kolata asked permission to add item 4.c. to the agenda. There was no objection
and the item was added.
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. South Bend Redevelopment Authority
Special Meeting -March 3, 1994
4. NEW BUSINESS (Cont.)
a. Authority authorization requested to sign Tax Al
Road Industrial Park in the Aiport Economic Development Area
Mrs, Kolata explained that the Authority purchased land in the Toll Road
Industrial Park with funds from a bond issue. Therefore,. that land is leased to
the Redevelopment Commission which put it up for bid and has accepted a
proposal for approximately six acres with a five acre option to purchase at a
later time. The proposal is for a yet unannounced 100,000 square foot
warehouse distribution center. As the lease-purchaser of the property.. the
Commission has the authority to dispose of the land, although the Authority is
the technical owner.. Thepartnershp that is purchasing. the property wants to
begin construction. right .away and wants to apply for tax abatement. Since the
Authority is still the owner; the Authority must sign the tax abatement petition
on behalf of Toll Road Industrial Park Partners.
Upon a motion by 1VIr. Gammage, seconded by Mr. Wroblewski .and
unanimously carried,. the Authority authorized the staff to sign the tax
abatement petition on behalf of Toll Road Industrial Park Partners, L.P. for
property located at Lot 18C, Toll Road Industrial Park, in the Airport
Economic Development Area.
b. Authority approval requested for yroposal from Simplex Time Recorders for
professional services related to Blackthorn Golf Course.
Mr. Riggs explained that the Authority recently approved a contract with
Simplex to monitor an alarm system at Blackthorn Golf Course. This contract
is for preventative. maintenance services, many of which are required. by state
law. The. first year's services will be at a cost of $773. After that, the yearly
cost will be $1,780. The first year services are cheaper because much of the
equipment is under warranty.
Upon a motion by Mr. Gammage, seconded by Mr. Wroblewski and
unanimously carried,. the approved the contract with Simplex Time Recorders
for professional services related to Blackthorn Golf Course.
c. Authority approval requested for Internal Revenue Service forms and Payment
Letter related to the 1~reort Tax Exempt Bond.
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• South Bend Redevelopment Authority
Special Meeting -Mare 3, 1994
4. NEW BUSINESS (Cont.)
c. continued...
Mrs. Kolata explained that the Airport Tax Exempt Bond has certain tax
provisions that require the Authority to spend bond funds according to a
defined schedule. Since the funds were not spent by the designated dates,
there are fines and penalties resulting from that. At the time the bond was
sold, we had a choice of either yield restricting the bond proceeds or investing
them at the highest interest rate we could get. Choosing the option which
allowed us to invest them at the best possible interest rate put us on a schedule
for expending. the proceeds that we have not been able to meet. Immediately
after we got bond proceeds, interest rates dropped- and we were not able to
make the most of that option. In hindsight, it would have been better to
choose the option which restricted investment yield:
We have policed this infraction ourselves and have initiated payment of the
penalties. If we were to be found intentionally in default, the tax exempt
bonds would become taxable and cause major problems for our investors.
• U on a motion b Mr. Gamma e, seconded b Mr. Wroblewski and
P Y g Y
unanimously carried, the Authority authorized signing the Internal Revenue
Service forms and execution of the Payment Letter.
5. APPROVAL OF CLAIMS
Claims submitted for payment 3 March 1994 :
1991 AIRPORT TAX-EXEMPT BOND
Internal Revenue Service $ 4,425.97
Internal Revenue Service $ 2,873.14
Internal Revenue Service $ 7,998.72
Internal Revenue Service $ 4,873.74
Internal Revenue Service $ 8,646.33
Internal Revenue. Service $ 4,942.92
Internal Revenue Service $ 6,073.45
Internal Revenue Service $ 3,245.21
1993 AIRPORT TAXABLE BOND
John & Betty. Pendl and Ritschard Brothers, Inc. $ 1,522.93
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• South Bend Redevelopment Authority
Special Meeting -March 3, 1994
5. APPROVAL QF CLAIMS (Cont.)
BLACKTHORN CONSTRUCTION FUND
Wittek Golf .Supply Inc $ 4284.50
Cole Associates $ 511.01
Ameritech $ 86.36
Ameritech _ $ 397.77
Eckenhoff Saunders Architects $ .912.20
City of South Bend Department of Public Parks $ 8,625.29
GVW Tire $ 171.00
Upon a motion, by Mr. Gammage, seconded. by Mr. Wroblewski and unanimously
carried, the Authority approved Claims submitted March 3, 1994.
6. SET NEXT MEETING DATE
No definite time was set for the Next Meeting which will be held the week of
March 14, 1994.
• 7. ADJOURNMENT
There being no further business to come before the Redevelopment Authority, Mr.
Gammage made a motion. that the meeting be adjourned. Mr. Wroblewski seconded
the motion and the meeting was adjourned at 4:54 p.m.
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oseph W. Wroblewski, President Ann E. Kolata, Director