HomeMy WebLinkAboutRescind Ordinance #7098-82 1982 Community Block Grant FundORDINANCE No. 71.01 -82
Passed by the Common Council of the City of South Bend, Indiana
September 20 x9 82
Presented by me to the Mayor of the City of South Bend,
Approved and signed by me
IRENE K. GAMMON
September 20 �9 82
Clerk
of Common Council
IRENE K. GAMMON
191�al
Z".
Clerk
BILL NO. 106 -82
ORDINANCE NO. 7101 -82.
AN ORDINANCE TO RESCIND ORDINANCE NO. 7098 -82
AND APPROPRIATE $500,000 FROM THE 1982 COMMUNITY
BLOCK GRANT FUND TO SUPPLEMENT THE ECONOMIC
DEVELOPMENT CAPITAL FUND TO BE ADMINISTERED BY
THE CITY OF SOUTH BEND, INDIANA, THROUGH ITS
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.
Therefore, the Division of Community Development intends to supplement the
Economic Development Capital Fund which will 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.
The funds will be used city -wide with an emphasis placed on the
core area of the City, including NSA's, NCA's, Studebaker Corridor, the
CBD and fringe, inner city industrial complexes, and inner city neighborhood
commercial strips.
NOW, THEREFORE, BE IT ORDAINED by the Common Council of the City of
South Bend, Indiana, as follows:
SECTION I. Ordinance No. 7098 -82, entitled, An Ordinance
Appropriating 00,000 from the 1982 Community Block Grant Fund to Supplement
the Economic Development Capital Fund to be administered by the City of
South Bend, Indiana, through its Division of Community Development for the
Retention of the Retail Store Currently Known as Robertson's, is hereby
rescinded.
SECTION II. The sum of $500,000 is hereby appropriated for the
program year starting July 7, 1982 (Program Year 1982). This appropriation
is to be administered by the Division of Community Development as set forth
below:
PROGRAM CD 82 -1005
COMMUNITY DEVELOPMENT PROGRAM
Purpose Amount
Economic Development Capital Fund $500,000
SECTION III. This Ordinance shall be in full force and effect from
and after its passage by the Common Council and approval by the Mayor.
MOING 9- /7- 7 a
UC HEARING '?-o?o - Y Q
_.,d READING 9 - -a0 -Q' ik
NOT APPROVER
REFERRED
PASSED
FILED IN CLERK'S OFFICE
SEP � 1 1982
Irene Gammon
CITY CLERK, SQUTN BEND, IND.
Jon R. Hunt
Executive Director
Ann Kolata
Dep. Div. Redev.
Kevin Horton
Dep. On. Ec. Dev.
Redevelopment Commission
F. Jay NiMU
President
Lloyd E. Robinson, Sr.
Vice President
A. Peter Donaldson
Secretary
Paula N. Auburn
Assistant Secretary
Roman Piasecki
Member
CITE' ®I SOUTH BEND
ROGER O. PARENT, Mayor
DEPARTMENT OF REDEVELOPMENT
1200 COUNTY CITY BUILDING • SOUTH BEND, INDIANA 46601 • (219) 2849371
September 17, 1982
South Bend Common Council
4th Floor, County -City Building
South Bend, Indiana 46601
Dear Members of the Council:
The attached ordinance would rescind Ordinance No. 7098 -82
and appropriate $500,000 from the City's 1982 Community
Development Block Grant to supplement the Economic
Development Capital Fund. The balance of this letter is
the same as the letter submitted August 4, 1982, in support
of the ordinance as previously submitted.
The additional funds would be used, in turn, to capitalize
a local development corporation - -the South Bend Development
Corporation, Inc. The newly formed, non - profit development
corporation would use the funds to stimulate private
investment and to participate in joint ventures with the
private sector for economic development purposes.
One of the first potential projects could involve assistance
to a private investment group, in the form of a low- interest
loan, as part of a community effort to keep a department
store in downtown South Bend at the Robertson's location.
As loan proceeds from the project are returned to the
South Bend Development Corporation, the funds would be
used for other projects which fall within the scope of
the local economic development program.
As you know, the $500,000 was originally scheduled to be
paid against our Section 108 Loan. The City established
an accelerated payment plan that would have paid back the
loan within two years as compared to the original four -year
repayment plan.
Should you have any questions or require additional informa-
tion, please call me at 284 -9371.
Attachment
Sincerely,
g
Jon R. Hunt
Executive Director