HomeMy WebLinkAbout03-10-2025 Agenda PacketOFFICE OF THE CITY CLERK
BIANCA L. TIRADO, CITY CLERK
INTEGRITY | SERVICE | ACCESSIBILITY
Elivet Quijada-Navarro Matthew Neal
CHIEF OF STAFF / CHIEF DEPUTY CITY CLERK DEPUTY CITY CLERK / DIRECTOR OF POLICY
EXCELLENCE | ACCOUNTABILITY | INNOVATION | INCLUSION | EMPOWERMENT
455 County-City Building | 227 W. Jefferson Blvd. | South Bend, Indiana 46601 | p. 574.235.9221 | f. 574.235.9173 | www.southbendin.gov
MEMORANDUM
TO: MEMBERS OF THE COMMON COUNCIL
FROM: BIANCA L. TIRADO, CITY CLERK
DATE: THURSDAY, MARCH 6, 2025
SUBJECT: COMMITTEE MEETING NOTICE
The following Common Council Committee Meetings have been scheduled for Monday, March 10, 2025:
Council Chambers
4th Floor County-City Building
227 W. Jefferson Blvd.
South Bend, IN 46601
The Council Chambers will be Open to the Public. Members of the Public may Attend this Meeting
Virtually via Microsoft Teams Meeting app here: https://tinyurl.com/031025CC
5:00 P.M. COMMUNITY INVESTMENT CHAIRPERSON, WARNER
1.Bill No. 25-17 - Confirming Resolution - Real Property Tax Abatement for 25471
Cleveland Road
2.Bill No. 25-18 - Confirming Resolution - Vacant Building Tax Abatement for 425
South Michigan Street
3.Bill No. 25-19 - Confirming Resolution - Real Property Tax Abatement for 425
South Michigan Street
4.Bill No. 08-25 - Authorizing the City to Issue One or More Series of its Taxable
Economic Development Tax Increment Revenue Bonds and Approving and
Authorizing Other Actions in Respect Thereto in Connection With the J. C. Hart
Development Project
5:30 P.M. PERSONNEL & FINANCE CHAIRPERSON, NIEZGODSKI
1.Bill No. 09-25 - Amending Ordinance No. 11161-24 Setting the Annual Pay for the
South Bend Fire Department
2.Bill No. 10-25 - Amended 2025 Non-Bargaining Salary Ordinance
3.Bill No. 11-25 - Amended Teamster 2025 Salary Ordinance
4.Bill No. 12-25 - Q1 2025 Budget Transfer Ordinance
5.Bill No. 13-25 - Q1 2025 Additional Appropriation Ordinance
EXCELLENCE | ACCOUNTABILITY | INNOVATION | INCLUSION | EMPOWERMENT
455 County-City Building | 227 W. Jefferson Blvd. | South Bend, Indiana 46601 | p. 574.235.9221 | f. 574.235.9173 | www.southbendin.gov
Council President Canneth Lee has called an Informal Meeting of the Council which will commence
immediately after the adjournment of the Personnel & Finance Committee Meeting.
INFORMAL MEETING OF THE COMMON COUNCIL PRESIDENT, C. LEE
1. Discussion of Council Agenda
2. Update and Announcements
3. Adjournment
cc: Mayor James Mueller
Committee Meeting List
Media
NOTICE FOR HEARING AND SIGHT IMPAIRED PERSONS
Auxiliary Aid or Other Services may be Available upon Request at No Charge.
Please give Reasonable Advance Request when Possible
1
SOUTH BEND COMMON COUNCIL
M EETING A GENDA
Monday, March 10, 2025
7:00 P.M.
The South Bend Common Council meeting will be open to the public
at the Council Chambers on the 4th floor of the County-City Building, 227 W.
Jefferson Blvd., South Bend, IN 46601
or available by way of a virtual meeting using the Microsoft Teams Meeting
App. Public access to the meeting can be granted by this Microsoft Teams Link:
https://tinyurl.com/SBCC031025
1. INVOCATION
PASTOR JO AN SCHAETZLE | FIRST AFRICAN METHODIST EPISCOPAL ZION
CHURCH
2. PLEDGE TO THE FLAG
3. ROLL CALL
4. REPORT FROM THE SUB-COMMITTEE ON MINUTES
FEBRUARY 24, 2025
5. SPECIAL BUSINESS
6. REPORTS FROM CITY OFFICES
MAJOR PROJECTS UPDATE – DEPARTMENT OF COMMUNITY INVESTMENT
7. COMMITTEE OF THE WHOLE TIME:_____
BILL NO.
08-25 PUBLIC HEARING ON AN ORDINANCE OF THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA, AUTHORIZING THE CITY TO
ISSUE ONE OR MORE SERIES OF ITS TAXABLE ECONOMIC
DEVELOPMENT TAX INCREMENT REVENUE BONDS AND APPROVING
2
AND AUTHORIZING OTHER ACTIONS IN RESPECT THERETO IN
CONNECTION WITH THE J.C. HART DEVELOPMENT PROJECT
09-25 PUBLIC HEARING ON AN ORDINANCE OF THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA, AMENDING ORDINANCE NO.
11161-24 FIXING THE ANNUAL PAY AND MONETARY FRINGE BENEFITS
OF SWORN MEMBERS OF THE SOUTH BEND FIRE DEPARTMENT FOR
CALENDAR YEAR 2025 TO AMEND AND CLARIFY THE SALARY
CLASSIFICATIONS AT SECTION II OF THIS ORDINANCES
10-25 PUBLIC HEARING ON AN ORDINANCE OF THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA, AMENDING ORDINANCE NO.
11160-24, WHICH FIXES MAXIMUM SALARIES AND WAGES OF
APPOINTED OFFICERS AND NON-BARGAINING EMPLOYEES OF
EXECUTIVE DEPARTMENTS OF THE CITY OF SOUTH BEND FOR
CALENDAR YEAR 2025, TO MAKE POSITION CHANGES IN INNOVATION
& TECHNOLOGY AND THE FIRE DEPARTMENT
11-25 PUBLIC HEARING ON AN ORDINANCE OF THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA, AMENDING ORDINANCE NO.
11155-24, WHICH FIXED MAXIMUM WAGES OF TEAMSTER EMPLOYEES
FOR CALENDAR YEAR 2025, 2026, 2027, AND 2028, TO ADD A FULL-TIME
EMPLOYEE TO ONE (1) EXISTING POSITION
12-25 PUBLIC HEARING ON AN ORDINANCE OF THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA, FOR BUDGET TRANSFERS FOR
VARIOUS DEPARTMENTS WITHIN THE CITY OF SOUTH BEND,
INDIANA FOR THE YEAR 2025
13-25 PUBLIC HEARING ON AN ORDINANCE OF THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA, APPROPRIATING ADDITIONAL
FUNDS FOR CERTAIN DEPARTMENTAL AND CITY SERVICES
OPERATIONS FOR THE YEAR 2025 OF $1,464,798 FROM THE GENERAL
FUND (#101), $535,028 FROM THE PARKS AND RECREATION FUND
(#201), $5,000 FROM THE GIFT, DONATION, BEQUEST FUND (#217),
$655,000 FROM THE LAW ENFORCEMENT CONTINUING EDUCATION
FUND (#220), $54,198 FROM THE CENTRAL SERVICES FUND (#222),
$489,000 FROM THE IT/INNOVATION/311 CALL CENTER FUND (#279),
$350,000 FROM THE FIRE DEPARTMENT CAPITAL FUND (#287),
$9,425,000 FROM THE LOCAL INCOME TAX – ECONOMIC
DEVELOPMENT FUND (#408), $250,000 FROM THE SEWAGE WORKS
OPERATIONS FUND (#641), AND $82,500 FROM THE UNEMPLOYMENT
COMPENSATION FUND (#713)
8. BILLS ON THIRD READING TIME:______
BILL NO.
3
08-25 THIRD READING ON AN ORDINANCE OF THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA, AUTHORIZING THE CITY TO
ISSUE ONE OR MORE SERIES OF ITS TAXABLE ECONOMIC
DEVELOPMENT TAX INCREMENT REVENUE BONDS AND APPROVING
AND AUTHORIZING OTHER ACTIONS IN RESPECT THERETO IN
CONNECTION WITH THE J.C. HART DEVELOPMENT PROJECT
09-25 THIRD READING ON AN ORDINANCE OF THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA, AMENDING ORDINANCE NO.
11161-24 FIXING THE ANNUAL PAY AND MONETARY FRINGE BENEFITS
OF SWORN MEMBERS OF THE SOUTH BEND FIRE DEPARTMENT FOR
CALENDAR YEAR 2025 TO AMEND AND CLARIFY THE SALARY
CLASSIFICATIONS AT SECTION II OF THIS ORDINANCES
10-25 THIRD READING ON AN ORDINANCE OF THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA, AMENDING ORDINANCE NO.
11160-24, WHICH FIXES MAXIMUM SALARIES AND WAGES OF
APPOINTED OFFICERS AND NON-BARGAINING EMPLOYEES OF
EXECUTIVE DEPARTMENTS OF THE CITY OF SOUTH BEND FOR
CALENDAR YEAR 2025, TO MAKE POSITION CHANGES IN INNOVATION
& TECHNOLOGY AND THE FIRE DEPARTMENT
11-25 THIRD READING ON AN ORDINANCE OF THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA, AMENDING ORDINANCE NO.
11155-24, WHICH FIXED MAXIMUM WAGES OF TEAMSTER EMPLOYEES
FOR CALENDAR YEAR 2025, 2026, 2027, AND 2028, TO ADD A FULL-TIME
EMPLOYEE TO ONE (1) EXISTING POSITION
12-25 THIRD READING ON AN ORDINANCE OF THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA, FOR BUDGET TRANSFERS FOR
VARIOUS DEPARTMENTS WITHIN THE CITY OF SOUTH BEND,
INDIANA FOR THE YEAR 2025
13-25 THIRD READING ON AN ORDINANCE OF THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA, APPROPRIATING ADDITIONAL
FUNDS FOR CERTAIN DEPARTMENTAL AND CITY SERVICES
OPERATIONS FOR THE YEAR 2025 OF $1,464,798 FROM THE GENERAL
FUND (#101), $535,028 FROM THE PARKS AND RECREATION FUND
(#201), $5,000 FROM THE GIFT, DONATION, BEQUEST FUND (#217),
$655,000 FROM THE LAW ENFORCEMENT CONTINUING EDUCATION
FUND (#220), $54,198 FROM THE CENTRAL SERVICES FUND (#222),
$489,000 FROM THE IT/INNOVATION/311 CALL CENTER FUND (#279),
$350,000 FROM THE FIRE DEPARTMENT CAPITAL FUND (#287),
$9,425,000 FROM THE LOCAL INCOME TAX – ECONOMIC
DEVELOPMENT FUND (#408), $250,000 FROM THE SEWAGE WORKS
4
OPERATIONS FUND (#641), AND $82,500 FROM THE UNEMPLOYMENT
COMPENSATION FUND (#713)
9. RESOLUTIONS
BILL NO.
25-17 A RESOLUTION CONFIRMING THE ADOPTION OF A DECLARATORY
RESOLUTION DESIGNATING CERTAIN AREAS WITHIN THE CITY OF
SOUTH BEND, INDIANA, COMMONLY KNOWN AS 25471 CLEVELAND
ROAD, SOUTH BEND, INDIANA 46628 AN ECONOMIC REVITALIZATION
AREA FOR PURPOSES OF A SEVEN-YEAR (7) REAL PROPERTY TAX
ABATEMENT FOR BLUEPRINT, LLC
25-18 A RESOLUTION CONFIRMING THE ADOPTION OF A DECLARATORY
RESOLUTION DESIGNATING CERTAIN AREAS WITHIN THE CITY OF
SOUTH BEND, INDIANA, COMMONLY KNOWN AS 425 S. MICHIGAN
STREET, SOUTH BEND, INDIANA 46601 AN ECONOMIC
REVITALIZATION AREA FOR PURPOSES OF A TWO-YEAR (2) VACANT
BUILDING TAX ABATEMENT FOR PENNY HILL HOMES LLC
25-19 A RESOLUTION CONFIRMING THE ADOPTION OF A DECLARATORY
RESOLUTION DESIGNATING CERTAIN AREAS WITHIN THE CITY OF
SOUTH BEND, INDIANA, COMMONLY KNOWN AS 425 S. MICHIGAN
STREET, SOUTH BEND, INDIANA 46601 AN ECONOMIC
REVITALIZATION AREA FOR PURPOSES OF AN TEN-YEAR (10) REAL
PROPERTY TAX ABATEMENT FOR PENNY HILL HOMES LLC
10. BILLS ON FIRST READING
BILL NO.
14-25 FIRST READING ON 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, CERTAIN LAND
LOCATED IN GERMAN TOWNSHIP, CONTIGUOUS THEREWITH;
COUNCILMANIC DISTRICT NO. 1, NORTH OF THE INTERSECTION OF
EDISON ROAD AND SUNDOWN ROAD, SOUTH BEND, INDIANA
11. UNFINISHED BUSINESS
12. NEW BUSINESS
13. PRIVILEGE OF THE FLOOR
14. ADJOURNMENT TIME: _________
5
Notice for Hearing and Sight Impaired Persons
Auxiliary Aid Or Other Services Are Available Upon Request At No Charge.
Please Give Reasonable Advance Request When Possible.
In the interest of providing greater public access and to promote greater transparency, the South Bend Common Council agenda has been translated
into Spanish. All agendas are available online from the Council’s website, and also in paper format in the Office of the City Clerk, 4th Floor County-City
Building. Reasonable efforts have been taken to provide an accurate translation of the text of the agenda, however, the officiate is the English
version. Any discrepancies which may be created in the translation are not binding. Such translations do not create any right or benefit, substantive or
procedural, enforceable at law or equity by a party against the Common Council or the City of South Bend, Indiana.
2025 COMMON COUNCIL STANDING COMMITTEES (Rev. 02-24-2025)
COMMUNITY INVESTMENT COMMITTEE
Oversees the various activities of the Department of Community Investment. This Committee reviews all
real and personal tax abatement requests and works closely with the Business Development Team.
Troy Warner, Chairperson Sherry Bolden-Simpson, Member
Karen L. White, Vice-Chairperson Citizen Member
Ophelia Gooden-Rodgers., Member Citizen Member
COMMUNITY RELATIONS COMMITTEE
Oversees the various activities of the Engagement and Economic Empowerment, Neighborhood
Development, and Community Resources Teams within the City’s Department of CI and is charged with
facilitating partnerships and ongoing communications with other public and private entities operating within
the City.
Ophelia Gooden-Rodgers, Chairperson Sheila Niezgodski, Member
Karen L. White, Vice-Chairperson Sherry Bolden-Simpson, Member
Citizen Member
COUNCIL RULES COMMITTEE
Oversees the regulations governing the overall operation of the Common Council, as well as all matters of
public trust. Its duties are set forth in detail in Section 2-10.1 of the South Bend Municipal Code.
Canneth Lee, Member Troy Warner, Member
Rachel Tomas Morgan, Member
HEALTH AND PUBLIC SAFETY COMMITTEE
Oversees the various activities performed by the Fire and Police Departments, EMS, Department of Code
Enforcement, ordinance violations, and related health and public safety matters.
Rachel Tomas Morgan, Chairperson Sharon McBride, Member
Troy Warner, Vice-Chairperson Dr. Oliver Davis, Member
Sheila Niezgodski, Member Citizen Member
Citizen Member
INFORMATION AND TECHNOLOGY COMMITTEE- Innovation
Oversees the various activities of the City’s Department of Innovation, which includes the Divisions of
Information Technology and 311 so that the City of South Bend remains competitive and on the cutting edge
of developments in this area. Reviewing and proposing upgrades to computer systems and web sites,
developing availability and access to GIS data and related technologies are just some of its many activities.
Rachel Tomas Morgan, Chairperson Sharon McBride, Member
Sherry Bolden-Simpson, Vice-Chairperson Citizen Member
Dr. Oliver Davis, Member Citizen Member
PARC COMMITTEE- Venues Parks and Arts (Parks, Recreation, Cultural Arts & Entertainment)
Oversees the various activities of the Century Center, College Football Hall of Fame, Four Winds Stadium,
Morris Performing Arts Center, Studebaker National Museum, South Bend Regional Museum of Art,
Potawatomi Zoo, My SB Trails, DTSB relations, and the many recreational and leisure activities offered by
the Department of Venues Parks and Arts.
Sharon L. McBride, Chairperson Ophelia Gooden-Rogers, Member
Karen L. White, Vice- Chairperson Troy Warner, Member
Citizen Member
PERSONNEL AND FINANCE COMMITTEE
Oversees the activities performed by the Department of Administration and Finance, and reviews all proposed
salaries, budgets, appropriations, and other fiscal matters, as well as personnel policies, health benefits and
related matters.
Sheila Niezgodski, Chairperson Dr. Oliver Davis, Member
Karen L. White, Vice-Chairperson Citizen Member
Rachel Tomas Morgan, Member Citizen Member
PUBLIC WORKS AND PROPERTY VACATION COMMITTEE
Oversees the various activities performed by the Building Department, the Department of Public Works and
related public works and property vacation issues.
Sheila Niezgodski, Chairperson Dr. Oliver Davis, Member
Ophelia Gooden-Rodgers, Vice-Chairperson Troy Warner, Member
Carl Littrell, Citizen Member Jason Piontek, Citizen Member
RESIDENTIAL NEIGHBORHOODS COMMITTEE
Oversees the various activities and issues related to neighborhood development and enhancement.
Karen L. White, Chairperson Ophelia Gooden-Rodgers, Member
Sheila Niezgodski, Vice-Chairperson Sharon McBride, Member
Citizen Member Citizen Member
UTILITIES COMMITTEE
Oversees the activities of all enterprise entities including but not limited to the Bureau of Waterworks, Bureau
of Sewers, and all related matters.
Sherry Bolden-Simpson, Chairperson Sheila Niezgodski, Member
Dr. Oliver Davis, Vice-Chairperson Ophelia Gooden-Rodgers, Member
Firdia Johnson, Citizen Member Joseph Mayer, Citizen Member
ZONING AND ANNEXATION COMMITTEE
Oversees the activities related to the Board of Zoning Appeals, recommendations from the Area Plan
Commission and the Historic Preservation Commission, as well as all related matters addressing annexation
and zoning.
Dr. Oliver Davis, Chairperson Troy Warner, Member
Rachel Tomas Morgan, Vice-Chairperson Karen L. White, Member
Henry Davis Jr., Citizen Member Stacey Odom, Citizen Member
________________
SUB-COMMITTEE ON MINUTES
Reviews the minutes prepared by the Office of the City Clerk of the regular, special, and informal meetings
of the Common Council and makes a recommendation on their approval/modification to the Council.
Troy Warner, Member Sherry Bolden-Simpson, Member
2025 COMMON COUNCIL STANDING COMMITTEES (Rev.02-05-2025)
CANNETH LEE, 1ST District Council Member
President
Council Rules Committee, Member
OPHELIA GOODEN-RODGERS, 2nd District Council Member
Community Relations Committee, Chairperson
Public Works & Property Vacation Committee, Vice-Chairperson
Community Investment Committee, Member PARC Committee, Member
Residential Neighborhoods Committee, Member Utilities Committee, Member
SHARON L. MCBRIDE, 3rd District Council Member
PARC Committee, Chairperson Residential Neighborhoods Committee, Member
Health & Public Safety Committee, Member Information & Technology Committee, Member
TROY WARNER, 4TH District Council Member
Chairperson, Committee of the Whole
Community Investment Committee, Chairperson Health and Public Safety, Vice-Chairperson
Council Rules Committee, Member Public Works & Property Vacation, Member
PARC Committee, Member Sub-Committee on the Minutes, Member
Zoning & Annexation Committee, Member
SHERRY BOLDEN-SIMPSON, 5TH District Council Member
Utilities Committee, Chairperson Community Relations Committee, Member
Information & Technology, Vice-Chairperson Community Investment Committee, Member
Sub-Committee on Minutes, Member
SHEILA NIEZGODSKI, 6TH District Council Member
Personnel & Finance Committee, Chairperson
Public Works & Property Vacation, Chairperson Health & Public Safety Committee, Member
Residential Neighborhoods Committee, Vice-Chairperson Community Relations Committee, Member
Utilities Committee, Member
DR. OLIVER DAVIS, AT LARGE Council Member
Zoning & Annexation Committee, Chairperson Public Works & Property Vacation Committee, Member
Utilities Committee, Vice-Chairperson Information & Technology Committee, Member
Personnel & Finance Committee, Member Health & Public Safety Committee, Member
RACHEL TOMAS MORGAN, AT LARGE Council Member
Vice-President
Health & Public Safety Committee, Chairperson Personnel & Finance Committee, Member
Information & Technology Committee, Chairperson
Zoning & Annexation Committee, Vice-Chairperson
Council Rules Committee, Member
KAREN L. WHITE, AT LARGE Council Member
Residential Neighborhoods Committee, Chairperson Personnel & Finance Committee, Vice-Chairperson
Community Investment Committee, Vice-Chairperson Zoning & Annexation Committee, Member
Community Relations Committee, Vice-Chairperson PARC Committee, Vice-Chairperson
Filed in Clerk's Office
coUTII
5,1 Bianca Tirado
1 PEAC a
E City Clerk, South Bend, IN
1865
CITY OF SOUTH BEND
DEPARTMENT OF COMMUNITY INVESTMENT
February 19th, 2025
Councilmember Canneth Lee Councilmember Troy Warner
President Chairperson
South Bend Common Council Community Investment Committee
County-City Building,4th Floor South Bend Common Council
South Bend, Indiana 46601 County-City Building,4th Floor
South Bend, Indiana 46601
RE: Bill No. 08-25 —An Ordinance of the Common Council of the City of
South Bend, Indiana, Authorizing the City to Issue One or More Series
of its Taxable Economic Development Tax Increment Revenue Bonds
and Approving and Authorizing Other Actions in Respect Thereto in
Connection With the J.C. Hart Development Project
Dear President Lee and Councilmember Warner,
Please find attached Bill No. 08-25 for first reading, which has been filed for the
Common Council's consideration pursuant to Section 16 of Indiana Code 36-7-14.
On January 9, 2025, the South Bend Redevelopment Commission approved and
adopted a resolution that would amend the River West Development Area for the
purpose of establishing a new allocation area to support the redevelopment of
property on the west bank of the St. Joseph River south of Jefferson Boulevard. The
new allocation area would be known as the "Riverwalk Allocation Area"and includes
the southern Crowe building and adjacent surface parking lot;the northern Crowe
building would not be included.
Indiana Code 36-7-14 also requires that the South Bend Plan Commission approve the
resolution adopted by the Redevelopment Commission. The Plan Commission
approved and adopted its resolution on January 21,2025. The Common Council
adopted that resolution at its February 10, 2025, meeting. The issuance of these
taxable economic development tax increment revenue bonds will support a
1400 COUNTY-CITY BUILDING•227 W.JEFFERSON BOULEVARD•SOUTH BEND,INDIANA 46601
PHONE 574/235-5898 • FAX 574/235-9892 • TTY 574/235-5567
08-25
transformative $61.5 million redevelopment project(the Riverwalk Project) led by
Indiana developer, J.C. Hart Company, Inc. The company will demolish the existing
vacant south Crowe building and construct two new multi-family residential buildings
291 total apartments)and a 398-space parking garage. One of the buildings will wrap
the parking garage.
The full development of the Riverwalk Allocation Area with these improvements
would not proceed as planned without the contribution of tax increment revenues to
be derived from the Riverwalk Allocation Area to the project. The City would have
no payment obligations with regard to the bonds other than a portion of the new tax
increment revenues generated by the Riverwalk Project, and the developer guarantees
debt service payments for the City-issued bonds.
Should you approve this ordinance,we would anticipate closing on the bonds in late
March.
Sincerely,
ii/sZ.----.—^
Caleb Bauer
Executive Director
Department of Community Investment
CC: South Bend Redevelopment Commission
South Bend Plan Commission
J.C. Hart Company, Inc.
Sandra Kennedy, Corporation Counsel
Filed in Clerk's Office
BILL NO. 08-25 Bianca Tirado
City Clerk, South Bend, IN
ORDINANCE NO.
AN ORDINANCE OF THE COMMON COUNCIL OF THE
CITY OF SOUTH BEND, INDIANA, AUTHORIZING THE
CITY TO ISSUE ONE OR MORE SERIES OF ITS TAXABLE
ECONOMIC DEVELOPMENT TAX INCREMENT
REVENUE BONDS AND APPROVING AND AUTHORIZING
OTHER ACTIONS IN RESPECT THERETO IN
CONNECTION WITH THE J.C. HART DEVELOPMENT
PROJECT
STATEMENT OF PURPOSE AND INTENT
Indiana Code 36-7-11.9 and 12 (collectively, the "Act") declares that the financing and
refinancing of economic development facilities constitutes a public purpose.
Pursuant to the Act, the City of South Bend, Indiana (the "City") is authorized to issue
revenue bonds for the purpose of financing, reimbursing or refinancing the costs of acquisition,
construction,renovation, installation and equipping of economic development facilities in order to
foster diversification of economic development and creation or retention of opportunities for
gainful employment in or near the City.
The South Bend Redevelopment Commission (the "Redevelopment Commission"), the
governing body of the South Bend Department of Redevelopment and the Redevelopment District
of the City (the "District"), exists and operates under the provisions of Indiana Code 36-7-14, as
amended from time to time(the"Redevelopment Act").
The Redevelopment Commission has previously declared an area within the City as an
economic development area and known as the "River West Development Area" (the "Area") and
designated the Area as an allocation area in accordance with Section 39 of the Redevelopment Act
for the purposes of capturing ad valorem property taxes levied and collected on all taxable real
property from the incremental assessed value in such Area.
The City,the Redevelopment Commission and J.C.Hart Company, Inc. (together with any
affiliate thereof as permitted by the Development Agreement(as defined herein), collectively, the
Developer"), have entered into an Economic Development Agreement, dated as of January 9,
2025 (the"Development Agreement"),whereby the Developer has agreed that the Developer will
undertake the development and construction of 2 buildings housing approximately 291 apartments
and an approximately 398 space structured garage(the"Project").
The Redevelopment Commission on January 9,2025, approved and adopted its Resolution
No. 3627 for the purpose of making additional amendments to the Area and its plan to designate
an area,presently part of the Area, as a separate allocation area pursuant to Indiana Code 36-7-14-
39 to be known as the "Riverwalk Allocation Area" (the "Riverwalk Allocation Area") for
purposes of capturing ad valorem property taxes levied and collected on all taxable real property
from the incremental assessed value located in the Riverwalk Allocation Area(such tax increment
revenues,including any future tax increment revenues generated as a result of the redesignation of
the Riverwalk Allocation Area, the"Riverwalk Allocation Area TIF Revenues").
The Developer has advised the City,the South Bend Economic Development Commission
the"Economic Development Commission")and the Redevelopment Commission concerning the
Project, and has requested that the City authorize and issue its taxable economic development tax
increment revenue bonds under the Act, to be designated as the "City of South Bend, Indiana,
Taxable Economic Development Tax Increment Revenue Bonds, Series 2025 (J.C. Hart
Development Project)"(with such further series or different series designation as determined to be
necessary or appropriate) (the "Bonds"), a portion of the net proceeds of such Bonds to be used
for the purpose of financing a portion of the costs of the Project.
The Economic Development Commission has rendered a report concerning the proposed
financing or refinancing of economic development facilities for the Developer.
Following a public hearing,pursuant to Section 24 of the Act,the Economic Development
Commission found that the financing of a portion of the costs of the Project complies with the
purposes and provisions of the Act and that each such financing will be of benefit to the health and
public welfare of the City.
The Economic Development Commission has considered whether the financing of the
Project will have an adverse competitive effect or impact on any similar facility or facility of the
same kind already constructed or operating in the corporate boundaries of the City.
Pursuant to and in accordance with the Act, the City desires to provide funds necessary to
finance a portion of the costs of the Project by issuing the Bonds.
The Act provides that such Bonds may be secured by a trust indenture between an issuer
and a corporate trustee.
The City intends to issue the Bonds consistent with the terms of this Ordinance, and
pursuant to a Trust Indenture for the Bonds, to be dated as of the first day of the month in which
the Bonds are issued (the "Indenture"), by and between the City and a corporate trustee to be
selected by the City, in order to secure funds necessary to provide for the financing of a portion of
the costs of the Project in accordance with the terms of a Loan Agreement with the Developer, to
be dated as of the first day of the month in which the Bonds are issued (the "Loan Agreement"),
by and between the City and the Developer with respect to the use(or deemed use)of the proceeds
of the Bonds and the completion of the Project.
No member of the Common Council of the City (the "Common Council") has any
pecuniary interest in any employment, financing agreement or other contract made under the
provisions of the Act and related to the Bonds authorized herein, which pecuniary interest has not
been fully disclosed to the Common Council, and no such member has voted on any such matter,
all in accordance with the provisions of Section 16 of the Act.
2
The forms of the Bonds, the Indenture and the Loan Agreement (collectively, the
Financing Documents"), and a form of this proposed Ordinance were submitted to, and approved
by,the Economic Development Commission,which documents were incorporated by reference in
the resolution heretofore adopted by the Economic Development Commission, which resolution
has been transmitted to the Common Council in accordance with the Act.
NOW, THEREFORE, BE IT ORDAINED BY THE COMMON COUNCIL OF THE
CITY OF SOUTH BEND, INDIANA, AS FOLLOWS:
SECTION I. Findings; Public Benefits. It is hereby found that the financing of a portion
of the economic development facilities for the Project referred to in the Financing Documents
previously approved by the Economic Development Commission and presented to this Common
Council, the issuance and sale of the Bonds, the use (or deemed use) of a portion of the proceeds
of the Bonds by the Developer for the financing of a portion of the costs of the Project,the payment
of the Bonds from the Riverwalk Allocation Area TIF Revenues and other sources pursuant to the
Financing Documents,and the securing of the Bonds under the Indenture comply with the purposes
and provisions of the Act and will be of benefit to the health, prosperity, economic stability and
general welfare of the City and its citizens.
SECTION II. Approval of Financing. At the public hearing held before the Economic
Development Commission, the Economic Development Commission considered whether the
Project would have an adverse competitive effect on any similar facilities located in or near the
City. This Common Council hereby confirms the findings set forth in the Economic Development
Commission's resolutions and concludes that the Project will be of benefit to the health,prosperity,
economic stability, and general welfare of the citizens of the City.
SECTION III. Copies of Financing Documents on File. The substantially final
forms of the Financing Documents shall be incorporated herein by reference and shall be inserted
in the minutes of the Common Council and kept on file by the Clerk of the City(the"Clerk"). In
accordance with the provisions of Indiana Code 36-1-5-4, two (2) copies of the Financing
Documents are on file in the office of the Clerk for public inspection.
SECTION IV. Authorization of the Bonds; Terms of the Bonds. The City shall
issue the Bonds in one(1)or more series in the maximum aggregate principal amount not to exceed
Seventeen Million Dollars ($17,000,000), which Bonds shall mature not later than twenty-five
25) years after the date of issuance of the Bonds, and shall bear interest at a per annum rate not
exceeding eight percent(8%)per annum. The Bonds may be issued on a draw basis. Principal and
interest on the Bonds shall be payable on February 1 and August 1 of each year, beginning not
sooner than February 1,2026. The Bonds may be issued as serial bonds and/or term bonds subject
to mandatory sinking fund redemption. The Bonds shall be subject to optional redemption prior
to maturity and subject to redemption as otherwise provided in the Financing Documents. The
Bonds shall be issued in minimum denominations of One Hundred Thousand Dollars ($100,000)
and integral multiples of One Thousand Dollars ($1,000) in excess thereof. The Bonds are to be
issued for the purpose of procuring funds to (a) pay all or a portion of the cost of acquisition,
design, construction, renovation, improvement and equipping, as the case may be, of the Project,
b)pay capitalized interest on the Bonds for a period not to exceed one(1) year following project
completion (if necessary), (c) fund a debt service reserve fund (if necessary), and (d) pay all
3
incidental expenses on account of the issuance of the Bonds. The Bonds shall be lettered and
numbered R-1 upward. The Bonds shall be special and limited obligations of the City, payable
solely from the trust estate created and established under the Indenture(the"Trust Estate"), which
Trust Estate shall consist of the funds and accounts created under the Indenture together with a
pledge by the Redevelopment Commission of the Riverwalk Allocation Area TIF Revenues,
subject to the terms and conditions of a Pledge Agreement between the Redevelopment
Commission and the City (the "Pledge Agreement"), and, to the extent the Riverwalk Allocation
Area TIF Revenues are insufficient for the payments of the principal of and interest due on the
Bonds, a pledge by the Developer to pay such amounts (the "Minimum Taxpayer Payment") in
order to make such principal and interest payments during such period as described in the
Development Agreement and in a Taxpayer Agreement between the City, the Redevelopment
Commission and the Developer (the "Taxpayer Agreement") and, in the event the Riverwalk
Allocation Area TIF Revenues and the Minimum Taxpayer Payments are insufficient, from loan
payments (each a"Loan Payment")made by the Developer under the Loan Agreement, and upon
such terms and conditions as otherwise provided in the Financing Documents and this Ordinance.
The Bonds and the interest thereon do not and shall never constitute an indebtedness of, or charge
against the general credit of, or taxing power of the City, but shall be special and limited
obligations of the City,payable solely from the Riverwalk Allocation Area TIF Revenues pursuant
to the Pledge Agreement and, if necessary, the Minimum Taxpayer Payment as described in the
Taxpayer Agreement and the Financing Documents and the Loan Payment as described in the
Loan Agreement.
The Mayor of the City(the"Mayor") and the Clerk(the"Clerk") are hereby authorized to
approve with the advice of counsel, a Bond Purchase Agreement (the "Bond Purchase
Agreement") with the Developer or the Developer's designee in a form and substance acceptable
to the Mayor and the Clerk to provide for the sale of the Bonds. The Mayor and the Clerk are
hereby authorized and directed to execute and deliver the Bond Purchase Agreement in a form and
substance acceptable to them and consistent with the terms and conditions set forth in this
Ordinance, with such acceptance of the form and substance thereof to be conclusively evidenced
by their execution thereof.
SECTION V. Execution and Delivery of Financing Documents. Each of the Mayor and
the Clerk and any other officer of the City are authorized and directed to execute the Financing
Documents, such other documents approved or authorized herein and any other document which
may be necessary, appropriate or desirable to consummate the transaction contemplated by the
Financing Documents, the Bond Purchase Agreement, and this Ordinance, and their execution is
hereby confirmed on behalf of the City. The signatures of the Mayor, the Clerk and any other
officer of the City on the Bonds which may be necessary or desirable to consummate the
transaction, and their execution is hereby confirmed on behalf of the City. The signatures of the
Mayor, the Clerk and any other officer of the City on the Bonds may be facsimile signatures or
electronic signatures. The Mayor, the Clerk and any other officer of the City are authorized to
arrange for the delivery of such Bonds to the purchaser thereof, payment for which will be made
in the manner set forth in the Financing Documents. The Mayor, the Clerk and any other officer
of the City may, by their execution of the Financing Documents requiring their signatures and
imprinting of their facsimile signatures thereon, approve any and all such changes therein and also
in those Financing Documents which do not require the signature of the Mayor, the Clerk or any
other officer of the City without further approval of this Common Council or the Economic
4
Development Commission if such changes do not affect terms set forth in Sections 27(a)(1)
through and including(a)(10) of the Act.
SECTION VI. Binding Effect. The provisions of this Ordinance and the Financing
Documents securing the Bonds of a series shall constitute a contract binding between the City and
the holders of the Bonds of such series, and after the issuance of the Bonds, this Ordinance shall
not be repealed or amended in any respect which would adversely affect the rights of such holders
so long as the Bonds or the interest thereon remains unpaid.
SECTION VII.Findings Relating to Project. The Common Council hereby finds
that (a) the Project and the related financing assistance for the Project provided in the Financing
Documents are consistent with the economic development plan for the Area and the Riverwalk
Allocation Area; (b) the Developer would not undertake the Project without the financing
assistance provided in Financing Documents; and (c) the Project furthers the economic
development of the Riverwalk Allocation Area and the Area generally.
SECTION VIII. Pledge of Riverwalk Allocation Area TIF Revenues. This Common
Council does hereby acknowledge and approve the pledge of the Riverwalk Allocation Area TIF
Revenues, including any future tax increment revenues generated as a result of the redesignation
of the Riverwalk Allocation Area,to the payment of the Bonds pursuant to the Indenture. Pursuant
to Indiana Code 5-1-14-4, the pledge of the Riverwalk Allocation Area TIF Revenues pursuant to
the Indenture is intended to be binding from the time the pledge is made, with such Riverwalk
Allocation Area TIF Revenues so pledged and thereafter received by the City to be immediately
subject to the lien of the pledge without any further act, and the lien of such pledge to be binding
against all parties having claims of any kind, in tort, contract, or otherwise against the City,
regardless of whether the parties have notice of any such lien.
SECTION IX. No Liability. No stipulation, obligation or agreement herein
contained or contained in the Financing Documents, the Bonds or in any other agreement or
document executed on behalf of the City shall be deemed to be a stipulation, obligation or
agreement of any member of the Common Council, or any officer, agent or employee of the City
in his or her individual capacity, and no such member of the Common Council, officer, agent or
employee shall be personally liable on the Bonds or be subject to personal liability or
accountability by reason of the issuance thereof.
SECTION X. Severability. If any section,paragraph or provision of this Ordinance shall
be held to be invalid or unenforceable for any reason, the invalidity or unenforceability of such
section, paragraph or provision shall not affect any of the remaining provisions of this Ordinance.
SECTION XI. Open Meetings. It is hereby determined that all formal actions of
the Common Council relating to the adoption of this Ordinance were taken in one or more open
meetings of the Common Council, that all deliberations of the Common Council and of its
committees, if any, which resulted in formal action, were in meetings open to the public, and that
all such meetings were convened, held and conducted in compliance with applicable legal
requirements, including Indiana Code 5-14-1.5, as amended.
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SECTION XII.Further Authorizations. The Mayor, the Clerk, the Controller of
the City and any other officer of the City are hereby authorized and directed, in the name and on
behalf of the City, to execute, attest and deliver such further instruments and documents, and to
take such further actions, in the name of the City as in their judgment shall be necessary or
advisable in order fully to consummate the transactions described herein and carry out the purposes
of this Ordinance, and any such documents heretofore executed and delivered and any such actions
heretofore taken,be, and hereby are,ratified and approved.
SECTION XIII. Ratification of Actions. All acts of the officers of the City which
are in conformity with the purpose and intent of this Ordinance and in the furtherance of the
issuance of the Bonds and the execution, delivery and performance of the documents and
agreements authorized hereby are in all respects ratified, approved and confirmed.
SECTION XIV. No Conflict. Any ordinances,resolutions or orders or parts thereof
in conflict with this Ordinance are to the extent of such conflict hereby repealed.
SECTION XV.Effectiveness. This Ordinance shall be in full force and effect upon
adoption and compliance with Indiana Code 36-4-6.
Signature Page Follows]
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Duly passed and adopted on this day of 2025 by the Common
Council of the City of South Bend, Indiana.
Canneth Lee, Council President
South Bend Common Council
Attest:
Bianca L. Tirado, City Clerk
Office of the City Clerk
Presented by me, the undersigned Clerk of the City of South Bend, to the Mayor of the City of
South Bend, Indiana on the day of 2025, at o'clock
m.
Bianca L. Tirado, City Clerk
Office of the City Clerk
Approved and signed by me on the day of 2025, at o'clock
m.
James Mueller, Mayor
City of South Bend, Indiana
DMS 45987111
7
Filed in Clerk's Office
LOAN AGREEMENT
Bianca Tirado
City Clerk, South Bend, IN
between
CITY OF SOUTH BEND,INDIANA
and
J.C. HART COMPANY, INC.
NOT TO EXCEED $17,000,000
CITY OF SOUTH BEND,INDIANA,
TAXABLE ECONOMIC DEVELOPMENT TAX INCREMENT REVENUE BONDS,
SERIES 2025
J.C.HART DEVELOPMENT PROJECT)
Dated
as of
1, 2025
LOAN AGREEMENT
This LOAN AGREEMENT made and entered into as of 1, 2025
the"Agreement"),by and between the City of South Bend, Indiana, a municipal corporation and
political subdivision existing under the laws of the State of Indiana (the "City"), and J.C. Hart
Company, Inc., an Indiana corporation (the "Company"), under the following circumstances
summarized in the following recitals(the capitalized terms not defined in the recitals are as defined
in Article I hereof):
A. Indiana Code, Title 36, Article 7, Chapters 11.9 and 12, as supplemented
and amended(collectively,the"Act"),authorizes and empowers the City to issue bonds and make
loans to provide funding for economic development projects and facilities and vests the City with
powers that may be necessary to enable it to accomplish such purposes.
B. The Company has proposed undertaking an economic development project
in the City consisting of the development and construction of 2 buildings housing approximately
291 apartments and an approximately 398 space structured garage(the"Project").
C. In conjunction with undertaking the Project, the Company has requested
certain economic development incentives from the City consisting of the issuance of its Taxable
Economic Development Tax Increment Revenue Bonds, Series 2025 (J.C. Hart Development
Project) in the aggregate principal amount of not to exceed $17,000,000 (the "Bonds") and the
loan of a portion of the proceeds thereof to the Company to finance a portion of the costs of the
Project.
C. The City believes that developing the Project as described herein is in the
best interests of the health, safety and welfare of the City and its residents and complies with the
public purposes and provisions of the Act, and based upon the information presented to the City
by the Company, the City has determined that the Project constitutes an economic development
project and an economic development facility as defined by the Act.
E. The City desires to facilitate the development of the Project by issuing the
Bonds and making a loan to the Company from the proceeds of the Bonds (the"Loan").
F. The Bonds will be issued under the Indenture (as hereinafter defined) and
will be payable from (i) the TIF Revenues (as defined in the Indenture), (ii) the Taxpayer Direct
Payments(as defined in the Indenture)made by the Company, and(iii)to the extent the foregoing
sources are not sufficient,the Loan Payments(as hereinafter defined).
G. The parties hereto agree that it is of mutual benefit for the parties hereto to
enter into this Agreement relating to the Project and the Loan that will include the commitments
of each of the parties.
H. The City, the South Bend Redevelopment Commission and the Company
entered into an Economic Development Agreement dated as of January 9,2025 (the"Development
Agreement"), pursuant to which the parties agreed to their respective commitments with respect
to the development of the Project.
NOW, THEREFORE, in consideration of the premises and the mutual
representations and agreements hereinafter contained,the City and the Company agree as follows:
ARTICLE I.
DEFINITIONS
Section 1.1. Use of Defined Terms. In addition to the words and terms defined
elsewhere in this Agreement or by reference to another document,the words and terms set forth in
Section 1.2 hereof shall have the meanings set forth therein unless the context or use clearly
indicates another meaning or intent. Capitalized terms used in this Agreement not otherwise
defined herein or by references to another document shall have the meanings provided for such
terms in the Indenture. Such definitions shall be equally applicable to both the singular and plural
forms of any of the words and terms defined therein.
Section 1.2. Definitions. As used herein:
Act" means, collectively, Indiana Code 36-7-11.9 and 36-7-12, as enacted and
amended.
Agreement"means this Loan Agreement as amended or supplemented from time
to time.
Bondholder"or"owner of a Bond"or any similar term means the owner of a Bond.
Bonds" means the City's Taxable Economic Development Tax Increment
Revenue Bonds, Series 2025 (J.C. Hart Development Project), issued in the original aggregate
principal amount of not to exceed$ for the purpose of(i)paying a portion of the costs
of the Project and (ii) paying costs related to the issuance thereof.
City"means the City of South Bend,Indiana,a municipal corporation and political
subdivision existing under the laws of the State of Indiana.
Common Council"means the Common Council of the City.
Company"means J.C. Hart Company, Inc., an Indiana corporation, and its lawful
successors and assigns to the extent permitted by this Agreement.
Completion Date" means the date of completion of the Project evidenced in
accordance with the requirements of Section 4.3 hereof.
Designated Representative" means or the person at the time
designated to act on behalf of the Company by written certificate furnished to the City,containing
the specimen signature of that person and signed on behalf of the Company by a duly authorized
officer. That certificate may designate an alternate or alternates. In the event that all persons so
designated become unavailable or unable to act and the Company fails to designate a replacement
within 10 days after such unavailability or inability to act, the City may appoint an interim
Designated Representative until such time as the Company designates that person.
Event of Default" means any of the events described as an Event of Default in
Section 6.1 hereof.
Indenture"means the Trust Indenture,dated as of 1,2025,between
the City and the Trustee.
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Legislative Authority"means the Common Council of the City.
Loan" means the loan of the proceeds of the Bonds by the City to the Company
pursuant to the terms of this Agreement.
Maturity Date"shall have the meaning set forth in Section 5.2 of this Agreement.
Notice Address"means:
As to the City: City of South Bend, Indiana
1400S County-City Building
227 West Jefferson Blvd
South Bend, IN 46601
Attn: Executive Director, South Bend Department
of Community Investment
Email: cbauer@southbendin.gov
With a copy to: South Bend Legal Department
1200 County-City Building
227 West Jefferson Blvd.
South Bend, IN 46601
Attn: Corporation Counsel
Email: legaldept@southbendin.gov
As to the Company: J.C. Hart Company, Inc.
Attn.: John C. Hart,Jr.
805 City Center Drive, Suite 120
Carmel, Indiana 46032
Email:john@homeisjchart.com
With a copy to: Dinsmore& Shohl, LLP
211 North Pennsylvania Street
One Indiana Square, Suite 1800
Indianapolis, Indiana 46204
Attn: E.Joseph Kremp
Email: Joe.Kremp@Dinsmore.com
As to the Trustee:
or such additional or different address, notice of which is given under Section 8.9 hereof.
Ordinance" means Ordinance No. of the Common Council of the City
adopted on 2025, authorizing the issuance of the Bonds and the making of the Loan.
Person" or words importing persons mean firms, associations, partnerships
including without limitation, general and limited partnerships), limited liability companies,joint
3 -
ventures,societies,estates,trusts, corporations, public or governmental bodies, other legal entities
and natural persons.
Project" means the development and construction of 2 buildings housing
approximately 291 apartments and an approximately 398 space structured garage located in the
Riverwalk Allocation Area (as defined in the Indenture) established by the Redevelopment
Commission.
Redevelopment Commission" means the South Bend Redevelopment
Commission.
State"means the State of Indiana.
Target Completion Date"means December 31,2028, subject to Section 8.8 of this
Agreement.
Taxpayer Agreement" means the Taxpayer Agreement, dated as of
1, 2025, among the Redevelopment Commission,the City and the Company.
Trustee" means acting as trustee
pursuant to the Indenture.
Section 1.3. Interpretation. Any reference herein to the City, to the Legislative
Authority or to any member or officer of the City includes entities or officials succeeding to their
respective functions, duties or responsibilities pursuant to or by operation of law or lawfully
performing their functions.
Any reference to a section or provision of the Constitution of the State or the Act,
or to a section, provision or chapter of the Indiana Code or to any statute of the United States of
America, includes that section, provision or chapter or statute as amended, modified, revised,
supplemented or superseded from time to time; provided, that no amendment, modification,
revision, supplement or superseding section, provision or chapter or statute shall be applicable
solely by reason of this provision, if it constitutes in any way an impairment of the rights or
obligations of the City or the Company under this Agreement.
Unless the context indicates otherwise, words importing the singular number
include the plural number, and vice versa; the terms "hereof", "hereby", "herein", "hereto",
hereunder" and similar terms refer to this Agreement; and the term"hereafter"means after, and
the term "heretofore" means before, the date of the Loan. Words of any gender include the
correlative words of the other genders, unless the sense indicates otherwise.
Section 1.4. Captions and Headings. The captions and headings in this
Agreement are solely for convenience of reference and in no way define, limit or describe the
scope or intent of any Articles,Sections,subsections,paragraphs,subparagraphs or clauses hereof.
End of Article I)
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ARTICLE II.
REPRESENTATIONS; USE OF BOND PROCEEDS
Section 2.1. Representations of the City. The City represents and warrants that:
a) The City is a municipal corporation organized and existing under the laws
of the State. Under the provisions of the Act, the City is authorized to enter into the
transactions contemplated by this Agreement and to carry out its obligations hereunder. The
City has been duly authorized to execute and deliver this Agreement. The City agrees that
it will do or cause to be done all things within its control and necessary to preserve and keep
in full force and effect its existence.
b) Subject to the terms of this Agreement, the City agrees to issue the Bonds
and make the Loan to the Company in the amount of not to exceed$ to pay
a portion of the costs associated with the acquisition,construction,equipping and improving
of the Project to create or retain employment opportunities in the City and to benefit the
health, safety,morals and general welfare of the citizens of the City and the State.
Section 2.2. Representations and Covenants of the Company. The Company
represents and warrants that:
a) It is a corporation validly existing under the laws of and authorized to do
business in the State, is not in violation of any laws in any manner material to its ability to
perform its obligations under this Agreement,and has full power to enter into and by proper
action has duly authorized the execution and delivery of this Agreement.
b) The Project is of the type authorized and permitted by the Act. The
Company assents to the deposit and disposition of the proceeds of the Bonds in the manner
specified in the Indenture.
c) The provision of financial assistance to be made available to it under this
Agreement from the proceeds of the Loan and the commitments therefor made by the City
have induced the Company to undertake the Project and such Project will create and/or
retain jobs and employment opportunities within the boundaries of the City. Further, the
Company intends to operate the Project, as economic development facilities under the Act,
until the expiration or earlier termination of this Agreement.
d) Neither the execution and delivery of this Agreement,the consummation of
the transactions contemplated hereby, nor the fulfillment of or compliance with the terms
and conditions of this Agreement, conflicts with or results in a breach of the terms,
conditions or provisions of the Company's Articles of Incorporation or any restriction or
any agreement or instrument to which the Company is now a party or by which it is bound
or to which any of its property or assets is subject or of any statute,order,rule or regulation
of any court or governmental agency or body having jurisdiction over the Company or its
property, or constitutes a default under any of the foregoing, or results in the creation or
imposition of any lien,charge or encumbrance whatsoever upon any of the property or assets
of the Company under the terms of any instrument or agreement, except as set forth in this
Agreement or in such manner as will not materially impair the ability of the Company to
perform its obligations hereunder.
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e) The aggregate authorized face amount of the Loan authorized hereunder
shall not exceed the aggregate principal amount of the Bonds.
f) The Company shall use commercially reasonable efforts to invest not less
than $61,500,000 in the Project by not later than December 31, 2028, subject to the
Unavoidable Delay provisions of Section 8.8 hereof. The Company shall apply all of the
proceeds of the Loan toward the costs of the Project and shall finance all remaining costs of
the Project from other available funds of the Company, including but not limited to
construction financing.
g) No portion of the proceeds of the Loan will be used to provide any private
or commercial golf course, country club, massage parlor, tennis club, skating facility
including roller skating, skateboard and ice skating), racquet sports facility(including any
handball or racquetball court), hot tub facility, suntan facility, racetrack, airplane, skybox
or other private luxury box,health club facility,facility primarily used for gambling or store,
the principal business of which is the sale of alcoholic beverages for off premises
consumption.
h) No litigation at law or in equity nor any proceeding before any
governmental agency or other tribunal involving the Company is pending or, to the
knowledge of the Company threatened, in which any liability of the Company is not
adequately covered by insurance and in which any judgment or order would have a material
and adverse effect upon the business or assets of the Company or would materially and
adversely affect the Project, the validity of this Agreement or the performance of the
Company's obligations thereunder or the transactions contemplated hereby.
i) Neither the execution and delivery of this Agreement,the consummation of
the transactions contemplated hereby, nor the fulfillment of or compliance with the terms
and conditions of this Agreement, conflicts with or results in a breach of the terms,
conditions or provisions of the Company's Articles of Incorporation, Bylaws or other
organizational document, as the case may be, or any restriction or any agreement or
instrument to which the Company is now a party or by which it is bound or to which any of
its property or assets is subject or(except in such manner as will not materially impair the
ability of the Company to perform its obligations hereunder) of any statute, order, rule or
regulation of any court or governmental agency or body having jurisdiction over the
Company or its property, or constitutes a default under any of the foregoing, or results in
the creation or imposition of any lien, charge or encumbrance whatsoever upon any of the
property or assets of the Company under the terms of any instrument or agreement, except
as may be set forth in this Agreement and the Indenture.
j) There are no actions, suits or proceedings pending, or,to the knowledge of
the Company, threatened, before any court, administrative agency or arbitrator which,
individually or in the aggregate,might result in any material adverse change in the financial
condition of the Company or might impair the ability of the Company to perform its
obligations under the Development Agreement or this Agreement.
k) The execution and delivery by the Company of the Development
Agreement or this Agreement does not require the consent or approval of, the giving of
6 -
notice to, the registration with, or the taking of any other action in respect of, any federal,
state or other governmental authority or agency, not previously obtained or performed.
I) This Agreement has been duly executed and delivered by Company and
constitutes the legal, valid and binding agreement of Company, enforceable against
Company in accordance with its terms, except as may be limited by bankruptcy, insolvency
or other similar laws affecting the enforcement of creditors' rights in general. The
enforceability of this Agreement is subject to general principles of equity (regardless of
whether such enforceability is considered in a proceeding at law or in equity).
m) No event has occurred and is continuing which with the lapse of time or the
giving of notice would constitute an event of default by the Company under the
Development Agreement or this Agreement.
n) The Company reaffirms its representations and covenants made in the
Development Agreement.
o) All representations, warranties and covenants and any obligations of
Company in this Agreement shall expire upon repayment of the Bonds.
End of Article II)
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ARTICLE III.
PARTICULAR COVENANTS OF THE CITY AND COMPANY
Section 3.1. Consent to Assignments to Trustee. The Company acknowledges
and consents to the pledge and assignment of the City's rights hereunder to the Trustee pursuant
to the Indenture and agrees that the Trustee may enforce the rights,remedies and privileges granted
to the City hereunder, other than the rights of the City to execute and deliver supplements and
amendments to this Agreement pursuant to Section 8.3 hereof and in addition to the rights retained
by the City pursuant to Section 6.1(c) hereof as well as those rights granted to the City under
Section 3.5 hereof and Section 6.5 of the Indenture. The Company hereby acknowledges receipt
of a copy of the Indenture and agrees to be bound by the provisions thereof directly or indirectly
related to it.
Section 3.2. Payment of Principal and Interest;Payment of TIF Revenues.
a) In accordance with the Indenture, the Bonds are payable solely and only from (i)
proceeds of the Bonds through and including 1, 202_(ii)the TIF Revenues, (iii)
the Taxpayer Direct Payments, and (iv) to the extent such sources are insufficient, from the
repayment of the Loan made hereunder to the Company. The Company covenants to repay the
Loan in amounts sufficient to pay all debt service due on the Bonds plus Annual Fees due under
the Indenture (the "Loan Payments"), to the extent that TIF Revenues and Taxpayer Direct
Payments are insufficient for such purposes.
b) Pursuant to Section 4.2 of the Indenture, the City shall transfer on or before each
January 5 and July 5 of each year, commencing 5, 202_, the TIF Revenues, the
Taxpayer Direct Payments and any Loan Payments made hereunder to the Bond Fund under the
Indenture, but no more than shall be necessary for the payment of the principal of and interest on
the Bonds due on the immediately succeeding February 1 or August 1 of each year (taking into
consideration any amounts currently deposited therein or deemed deposited pursuant to Section
2.1(b)hereof),together with Annual Fees coming due within the next six months.
Section 3.3. Maintenance of Existence. The Company agrees that it will
maintain its existence as an Indiana corporation and will not dissolve or otherwise dispose of all
or substantially all of its assets,and will not consolidate with or merge into another entity,or permit
one or more other entities to consolidate or merge with it without the prior written consent of the
Requisite Bondholders.
Section 3.4. Event of Default; Notice; Termination. The Company agrees to
perform all material obligations required by this Agreement and the Development Agreement to
be performed by Company and to comply with all provisions of this Agreement and the
Development Agreement applicable to the Company, in each case to the extent that a failure to so
perform or comply is expressly provided to be an"Event of Default"by the Company or,with the
passage of time or the giving of notice,or both,would constitute an"Event of Default"on the part
of the Company under this Agreement or the Development Agreement. Upon an Event of Default,
the City shall provide the Company with notice of such Event of Default and the Company shall
have thirty(30)days to cure such Event of Default. Should the Company fail to remedy an Event
of Default that is satisfactory to the City, the City may take such action as provided within the
Indenture or the Development Agreement.
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Section 3.5. Indemnity The Company will pay, and protect, indemnify and save
the City (including members, directors, officials, officers, agents, attorneys and employees
thereof), the Bondholders and the Trustee harmless from and against, all liabilities, losses,
damages, costs, expenses (including attorneys' fees and expenses of the City and the Trustee),
causes of action, suits, claims, demands and judgments of any nature arising from or relating to:
a) Violation by the Company of any agreement or condition of this Agreement;
b) Violation of any contract, agreement or restriction by the Company relating to the
Projects, or a part thereof;
c) Violation of any law, ordinance or regulation by the Company in connection with
the Projects, or a part thereof;
d) Any act, failure to act or material misrepresentation by the Company,or any of the
Company's agents, contractors, servants, employees or licensees; and
e) The provision of any information or certification furnished by the Company to the
Bondholders in connection with the issuance and sale of the Bonds or the Project which is
materially misleading or false.
In case any action or proceeding is brought against the City in respect of which indemnity
may be sought hereunder, the City promptly shall give notice of that action or proceeding to the
Company, and the Company upon receipt of that notice shall have the obligation and the right to
assume the defense of the action or proceeding;provided,that failure of the City to give that notice
shall not relieve the Company from any of its obligations under this Section unless that failure
prejudices the defense of the action or proceeding by the Company. At its own expense, the City
may employ separate counsel and participate in the defense. The Company shall not be liable for
any settlement made without its consent.
The Company hereby further agrees to indemnify and hold harmless the Trustee from and
against any and all costs, claims, liabilities, losses or damages whatsoever (including reasonable
costs and fees of counsel,auditors or other experts),asserted or arising out of or in connection with
the acceptance or administration of the trusts established pursuant to the Indenture, except costs,
claims, liabilities, losses or damages resulting from the gross negligence or willful misconduct of
the Trustee, including the reasonable costs and expenses (including the reasonable fees and
expenses of its counsel) of defending itself against any such claim or liability in connection with
its exercise or performance of any of its duties hereunder and of enforcing this indemnification
provision. The indemnifications set forth herein shall survive the termination of the Indenture
and/or the resignation or removal of the Trustee for so long as the Bonds are outstanding.
The indemnification set forth above is intended to and shall include the indemnification of
all affected officials, directors, officers and employees of the City, the Common Council, the
Economic Development Commission and the Redevelopment Commission. That indemnification
is intended to and shall be enforceable by the City to the full extent permitted by law.
The foregoing shall not be construed to prohibit the Company from pursuing its remedies
against either the City or the Trustee for damages to the Company resulting from personal injury
9 -
or property damage caused by the intentional misrepresentation or willful misconduct of either the
City or the Trustee.
Section 3.6. Payment of Bond Issuance Costs of Bonds, Other Fees and
Expenses. The Company hereby covenants and agrees to pay all Issuance Costs(as defined in the
Development Agreement), all of which are obligations of the Company.
Section 3.7. Other Amounts Payable by the Company. The Company covenants
and agrees to pay the following,to the extent that such expenses are not included in the Bonds:
a) All reasonable fees, charges and expenses, including agent and counsel fees and
expenses, of the Trustee incurred under the Indenture, as and when the same become due to the
extent TIF Revenues are not available.
b) An amount sufficient to reimburse the City for all expenses reasonably incurred by
the City under this Agreement and in connection with the performance of its obligations under this
Agreement or the Indenture.
c) All reasonable expenses incurred in connection with the enforcement of any rights
under this Agreement, the Development Agreement or the Indenture by the City, the Trustee or
the Bondholders.
d) All other payments of whatever nature which the Company has agreed to pay or
assume under the provisions of this Agreement or the Development Agreement.
End of Article III)
10 -
ARTICLE IV.
COMPLETION OF THE PROJECT
Section 4.1. Acquisition, Construction, Equipping and Improving of Project. It
is understood that improvements made for the Project are that of the Company and any contracts
made by the Company with respect thereto shall acquire,construct,equip and improve the Project.
The Company shall use commercially reasonable efforts to construct the Project with all
reasonable dispatch and to complete the Project by no later than the Target Completion Date in
accordance with the Development Agreement and shall pay when due all fees, costs and expenses
incurred in connection with that acquisition, construction, equipment, and improvement from
funds made available therefor. It is further understood that any contracts made by the Company
with respect to the Project,whether construction contracts or otherwise,or any work to be done by
the Company on the Project are made or done by the Company on its own behalf and not as agent
or contractor for the City.
Section 4.2. Use of Bond Proceeds for Project. The City shall cause to be
deposited all proceeds from the sale of the Bonds in the manner specified in Article III of the
Indenture, and the City shall cause to be maintained such proceeds and funds in the manner
specified in Article IV of the Indenture. Under the Indenture, the Trustee, on behalf of the City,
is authorized and will be directed from time to time to make payments from the Project Fund to
pay for Project Costs approved by the City, or to reimburse the Company for any Project Costs
approved by the City, with any such disbursements to be made in accordance with the terms and
conditions of the Indenture, this Agreement, and the Development Agreement. The Company
shall submit disbursement requests substantially in the form at Exhibit A of the Indenture to the
City, and the City agrees to direct such requisitions to the Trustee as may be necessary to effect
payments out of the Project Fund for costs of the Project approved by the City, all in accordance
with Section 4.3(a)of the Indenture, this Agreement and any such terms or conditions set forth in
the Development Agreement. Any moneys remaining in the Project Fund after completion of the
Project shall be transferred and applied in the manner provided in Section 4.3 of the Indenture.
The Company hereby acknowledges receipt of a copy of the Indenture.
Section 4.3. Completion Date. The Company shall notify the City and the
Trustee of the Completion Date by a certificate signed by the Designated Representative stating:
a) the date on which the Project is substantially completed, which shall be
evidenced by the issuance of a certificate of occupancy by the City, if the City provides such
certificates of occupancy,
b) that all other facilities necessary in connection with the Project have been
acquired, constructed, equipped and improved, and
c) that the acquisition, construction, equipment and improvement of the
Project and those other facilities have been accomplished in such a manner as to conform
with all applicable zoning, planning, building, environmental and other similar
governmental regulations.
11 -
The certificate shall be delivered as promptly as practicable after the occurrence of
the events and conditions referred to in subsections (a) through (c) of this Section (the date of
delivery of such certificate being,the"Completion Date").
End of Article IV)
12 -
ARTICLE V.
FORGIVENESS
Section 5.1. Loan Forgiveness. To the extent that the TIF Revenues and/or the
Taxpayer Direct Payments are sufficient to pay the Loan Payments when due through final
maturity of the Bonds and the Company performs and observes all obligations under this
Agreement throughout the term of the Bonds, the Loan will be deemed to be forgiven on the
Maturity Date; otherwise, notwithstanding anything contained herein, the Company remains
obligated to make such payments as required by Section 3.2(a) hereof.
End of Article V)
13 -
ARTICLE VI.
EVENTS OF DEFAULT AND REMEDIES
Section 6.1. Events of Default
a) Each of the following events is hereby declared an"event of default,"that is to say,
if:
i) Failure of the Company to pay any amount payable on the Loan pursuant to
Section 3.2 hereof when the same is due and payable; or
ii) Failure of the Company to perform any non-payment related covenant,
condition or provision hereof and to remedy such default within 30 days after written notice
thereof from the Trustee to the Company; provided that, if the failure is of such a nature
that it cannot be remedied within 30 days, despite reasonably diligent efforts, then the 30-
day period shall be extended as reasonably may be necessary for the Company to remedy
the failure, so long as the Company: (A) commences to remedy the failure within the 30-
day period; and (B) diligently pursues such remedy to completion; or
iii) Any event of default as defined in the Development Agreement shall occur
and be continuing; or
iv) An event of default occurs under the Taxpayer Agreement and is
continuing.
b) During the occurrence and continuance of any Event of Default hereunder, the
Trustee, as assignee of the City pursuant to the Indenture, and in addition to the rights retained by
the City as provided in Section 6.1(c) hereof, on behalf of any unpaid Bondholders shall have the
rights and remedies hereinafter set forth, in addition to any other remedies herein or by law
provided. The Trustee, personally or by attorney, may in its discretion, proceed to protect and
enforce its rights by a suit or suits in equity or at law, whether for damages or for the specific
performance of any covenant or agreement contained in this Agreement or in aid of the execution
of any power herein granted, or for the enforcement of any other appropriate legal or equitable
remedy, as the Trustee shall deem most effectual to protect and enforce any of its rights or duties
hereunder. If after any Event of Default occurs and prior to the Trustee exercising any of the
remedies provided in this Agreement, the Company will have completely cured such Event of
Default, and shall have provided the Trustee with evidence thereof to the reasonable satisfaction
of the Trustee,then in every case such Event of Default will be waived, rescinded and annulled by
the Trustee by written notice given to the Company. No such waiver, annulment or rescission will
affect any subsequent default or impair any right or remedy consequent thereon.
c) Notwithstanding anything herein to the contrary, during the occurrence and
continuance of an Event of Default by the Company the City may in its discretion, proceed to
protect and enforce its rights under this Agreement by a suit or suits in equity or at law, whether
for damages or for the specific performance, including the recovery of reasonable attorney's fees.
Section 6.2. Remedies Cumulative. No remedy herein conferred upon or
reserved to the Trustee or City is intended to be exclusive of any other remedy or remedies, and
14 -
each and every such remedy shall be cumulative, and shall be in addition to every other remedy
given hereunder or now or hereafter existing at law or in equity or by statute.
Section 6.3. Delay or Omission Not a Waiver. No delay or omission of the
Trustee or City to exercise any right or power accruing upon any Event of Default shall impair any
such right or power, or shall be construed to be a waiver of any such Event of Default or an
acquiescence therein; and every power and remedy given by this Agreement to the Trustee and
City may be exercised from time to time and as often as may be deemed expedient by the Trustee
or City, as the case may be.
End of Article VI)
15 -
ARTICLE VII.
IMMUNITY
Section 7.1. Extent of Covenants of City; No Personal Liability. No recourse
shall be had for the payment of the principal of or interest on any of the Bonds or for any claim
based thereon or upon any obligation, covenant or agreement contained in the Bonds, the
Indenture, the Development Agreement or this Agreement against any past, present or future
member, director, officer, agent, attorney or employee of the City, or any incorporator, member,
director, officer, employee, agent, attorney or trustee of any successor thereto, as such, either
directly or through the City or any successor thereto, under any rule of law or equity, statute or
constitution or by the enforcement of any assessment or penalty or otherwise,and all such liability
of any such incorporator,member,director,officer,employee,agent,attorney or trustee as such is
hereby expressly waived and released as a condition of and consideration for the execution of the
Indenture and this Agreement (and any other agreement entered into by the City with respect
thereto)and the issuance of the Bonds.
Section 7.2. Liability of City. Any and all obligations of the City under this
Agreement are special, limited obligations of the City,payable solely out of the TIF Revenues,the
Taxpayer Direct Payments and any Loan Payments made hereunder and as otherwise provided
under the Indenture. The obligations of the City hereunder shall not be deemed to constitute an
indebtedness or an obligation of the City,the State or any political subdivision or taxing authority
thereof within the purview of any constitution limitation or provision, or a pledge of the faith and
credit or a charge against the credit or general taxing powers, if any, of the City, the State or any
political subdivision or taxing authority thereof.
End of Article VII)
16-
ARTICLE VIII.
MISCELLANEOUS
Section 8.1. Extent of Covenants of the City; No Personal Liability. All
covenants, obligations and agreements of the City contained in this Agreement shall be effective
to the extent authorized and permitted by applicable law. No such covenant, obligation or
agreement shall be deemed to be a covenant, obligation or agreement of any present or future
member, officer, agent or employee of the City or the Legislative Authority in other than his or
her official capacity, and neither the members of the Legislative Authority nor any official of the
City shall be subject to any personal liability or accountability by reason of the covenants,
obligations or agreements of the City contained in this Agreement.
Section 8.2. Binding Effect. This Agreement shall inure to the benefit of and
shall be binding in accordance with its terms upon the City, the Company and their respective
permitted successors and assigns. This Agreement may be enforced only by the parties, their
assignees and others who may, by law, stand in their respective places.
Section 8.3. Amendments and Supplements. Subject to the provisions of Article
X of the Indenture,the Borrower and the Issuer may from time to time enter into such supplements
and amendments to this Agreement as to them may seem necessary or desirable to effectuate the
purposes or intent hereof.
Section 8.4. Execution Counterparts. This Agreement may be executed in any
number of counterparts, each of which shall be regarded as an original and all of which shall
constitute but one and the same instrument.
Section 8.5. Severability. If any provision of this Agreement, or any covenant,
obligation or agreement contained herein is determined by a court to be invalid or unenforceable,
that determination shall not affect any other provision, covenant, obligation or agreement, each of
which shall be construed and enforced as if the invalid or unenforceable portion were not contained
herein. That invalidity or unenforceability shall not affect any valid and enforceable application
thereof, and each such provision, covenant, obligation or agreement shall be deemed to be
effective, operative, made, entered into or taken in the manner and to the full extent permitted by
law.
Section 8.6. Successors and Assigns. Whenever in this Agreement any of the
parties hereto is named or referred to, the successors and assigns of such party shall be deemed to
be included and all the covenants, promises and agreements in this Agreement contained by or on
behalf of the Company, or by or on behalf of the City, shall bind and inure to the benefit of the
respective successors and assigns, whether so expressed or not. The Company may assign its
interest in this Agreement to any affiliate of the Company without the prior approval of the City
and the Company may further mortgage and assign all of the Company's interest in this Agreement
to secure mortgage loans or other indebtedness incurred by the Company with respect to the
acquisition, construction, equipping and improvement of the Project. The Company may
additionally assign this Agreement in conjunction with a sale of the Project in accordance with the
terms and conditions of the Development Agreement. The Company may not otherwise assign its
interest in this Agreement without obtaining the prior written approval of the City and the Requisite
Bondholders. Notwithstanding any such assignment,the Company shall not be released from any
17-
liability or obligations hereunder. The City may not assign is interest in this Agreement to any
other person or entity without obtaining the prior approval of the Company.
Section 8.7. Governing Law. It is the intention of the parties hereto that this
Agreement and the rights and obligations of the parties hereunder shall be governed by and
construed and enforced in accordance with,the laws of Indiana.
Section 8.8. Unavoidable Delay. In the event that the Company shall be delayed,
hindered in or prevented from the performance of any act required under this Agreement by reason
of strikes, lock-outs, labor troubles, inability to procure materials which could not have been
reasonably anticipated and avoided by the Company, failure of power to the Project for reason
other than acts of the Company or any person or party acting by,through or under the Company,
restrictive governmental laws or regulations, act of God, fire, earthquake, flood, explosion,
terrorism, action of the elements, war (declared or undeclared), police action, invasion,
insurrection, riot, mob violence, sabotage, health pandemic or epidemic, the act, failure to act or
default of the City, or other causes beyond the Company's reasonable control(other than financial
reasons), then performance of such act shall be extended for a period necessitated by such delay.
Section 8.9. Addresses for Notice and Demands. All notices, demands,
certificates or other communications hereunder shall be sufficiently given when received or your
first refusal thereof and mailed by certified mail,postage prepaid, or sent by nationally recognized
overnight courier and addressed to the appropriate Notice Address (provided, however, notices,
demands,certificates or other communications to the Trustee shall be effective upon receipt by the
Trustee). The City, the Company and the Trustee may, by written notice given by each to the
others, designate any address or addresses to which notices, demands, certificates or other
communications to them shall be sent when required as contemplated by this Agreement.
All notices, approvals, consents, requests and any communications to the Trustee
hereunder must be in writing in English and must be in the form of a document that is signed
manually or by way of an electronic signature (including electronic images of handwritten
signatures and digital signatures provided by DocuSign,Orbit,Adobe Sign or any other electronic
signature provider acceptable to the Trustee). Electronic signatures believed by the Trustee to
comply with the ESIGN ACT of 2000 or other applicable law shall be deemed original signatures
for all purposes. If the City or the Company chooses to use electronic signatures to sign documents
delivered to the Trustee,the City or the Company, as applicable,agrees to assume all risks arising
out of its use of electronic signatures, including without limitation the risk of the Trustee acting on
an unauthorized document and the risk of interception or misuse by third parties.Notwithstanding
the foregoing, the Trustee may in any instance and in its sole discretion require that an original
document bearing a manual signature be delivered to the Trustee in lieu of, or in addition to, any
document signed via electronic signature.
Section 8.10. Counterparts. This Agreement is being executed in any number of
counterparts, each of which is an original and all of which are identical. Each counterpart of this
Agreement is to be deemed an original hereof and all counterparts collectively are to be deemed
but one instrument.
End of Article VIII)
18 -
SIGNATURE PAGE TO LOAN AGREEMENT
IN WITNESS WHEREOF,the City and the Company have caused this Agreement
to be duly executed in their respective names, all as of the date hereinbefore written.
City:
CITY OF SOUTH BEND, INDIANA
By:
James Mueller, Mayor
ATTEST:
Bianca L. Tirade, Clerk
Company:
J.C. HART COMPANY, INC.
John C. Hart, Jr. Chairman
DMS 46000471
Filed in Clerk's Office
Bianca Tirado
City Clerk,South Bend, IN
TRUST INDENTURE
BETWEEN
CITY OF SOUTH BEND,INDIANA
AND
as Trustee
NOT TO EXCEED $17,000,000
CITY OF SOUTH BEND,INDIANA,
TAXABLE ECONOMIC DEVELOPMENT TAX INCREMENT REVENUE BONDS,
SERIES 2025
J.C. HART DEVELOPMENT PROJECT)
Dated as of 1,2025
Table of Contents
ARTICLE I. DEFINITIONS 4
Section 1.1.Terms Defined 4
Section 1.2.Rules of Interpretation 7
Section 1.3.Exhibits 8
ARTICLE II. THE BONDS 9
Section 2.1.Authorized Amount of Bonds 9
Section 2.2.Issuance of the Bonds 9
Section 2.3.Payment on the Bonds 9
Section 2.4.Execution: Limited Obligation 10
Section 2.5.Authentication 10
Section 2.6.Form of the Bonds 10
Section 2.7.Delivery of Bonds 15
Section 2.8.Mutilated, Lost, Stolen or Destroyed Bonds 15
Section 2.9.Registration and Exchange of Bonds: Persons Treated as
Owners 16
Section 2.10. Reserved 16
ARTICLE III. APPLICATION OF THE BOND PROCEEDS 17
Section 3.1.Deposit of Bond Funds 17
Section 3.2.Capitalized Interest 17
ARTICLE IV. REVENUE AND FUNDS 18
Section 4.1.Source of Payment of the Bonds 18
Section 4.2.Bond Fund 18
Section 4.3.Project Fund 19
Section 4.4.Deposit of TIF Revenues. 20
Section 4.5.Trust Funds 20
Section 4.6.Investment 20
ARTICLE V. REDEMPTION OF BONDS BEFORE MATURITY 21
Section 5.1.Redemption Dates and Prices 21
Section 5.2.Notice of Redemption 21
Section 5.3.Cancellation 21
Section 5.4.Redemption Payments 21
Section 5.5.Partial Redemption of Bonds 22
ARTICLE VI. GENERAL COVENANTS 23
Section 6.1.Payment of Principal and Interest 23
Section 6.2.Performance of Covenants 23
Section 6.3.Filing of Indenture and Security Instruments 23
Section 6.4.List of Bondholders 24
Section 6.5.Rights Under Loan Agreement 24
Section 6.6.Investment of Funds 24
Section 6.7.Non-presentment of Bonds 25
i
Section 6.8.Ownership; Instruments of Further Assurance 2 5
Section 6.9.Rights Under Loan Agreement 26
ARTICLE VII. DEFAULTS AND REMEDIES 27
Section 7.1.Events of Default 27
Section 7.2.Acceleration. 27
Section 7.3.Remedies: Rights of Bondholders 27
Section 7.4.Right of Bondholders to Direct Proceedings 28
Section 7.5.Application of Moneys 28
Section 7.6.Remedies Vested In Trustee 29
Section 7.7.Rights and Remedies of Bondholders 29
Section 7.8.Termination of Proceedings 30
Section 7.9.Waivers of Events of Default 30
ARTICLE VIII.THE TRUSTEE 31
Section 8.1.Acceptance of the Trusts 31
Section 8.2.Fees, Charges and Expenses of the Trustee and Paying Agent 33
Section 8.3.Notice to Bondholders if Default Occurs 33
Section 8.4.Intervention by Trustee 34
Section 8.5.Successor Trustee 34
Section 8.6.Resignation by the Trustee 34
Section 8.7.Removal of the Trustee 34
Section 8.8.Appointment of Successor Trustee by the Bondholders;
Temporary Trustee 34
Section 8.9.Concerning Any Successor Trustees 34
Section 8.10. Trustee Protected in Relying Upon Resolutions,etc. 35
Section 8.11 Appointment of Paying Agent and Registrar; Resignation or
Removal of Paying Agent 35
ARTICLE IX. SUPPLEMENTAL INDENTURES 36
Section 9.1.Supplemental Indentures Not Requiring Consent of
Bondholders 36
Section 9.2.Supplemental Indentures Requiring Consent of Bondholders 36
Section 9.3.Opinion of Counsel 37
ARTICLE X. AMENDMENTS TO THE LOAN AGREEMENT 38
Section 10.1. Amendments etc.,to Loan Agreement Not Requiring Consent
of Bondholders 38
Section 10.2. Amendments etc., to Loan Agreement Requiring Consent of
Bondholders 38
Section 10.3. Opinion of Counsel 38
ARTICLE XI. MISCELLANEOUS 39
Section 11.1. Satisfaction and Discharge 39
Section 11.2. Defeasance of Bonds 39
Section 11.3. Cancellation of Bonds 40
Section 11.4. Application of Trust Money 40
ii
Section 11.5. Consents, etc., of Bondholders 40
Section 11.6. Limitation of Rights 41
Section 11.7. Severability 41
Section 11.8. Notices 41
Section 11.9. Counterparts 43
Section 11.10. Applicable Law 43
Section 11.11. Immunity of Officers and Directors 43
Section 11.12. Holidays 43
EXHIBIT A DISBURSEMENT REQUEST FORM A-1
EXHIBIT B COSTS OF ISSUANCE B-1
iii
TRUST INDENTURE
THIS TRUST INDENTURE dated as of the 1st day of 2025, by
and between the CITY OF SOUTH BEND, INDIANA (the "City" or "Issuer"), a municipal
corporation organized and existing under the laws of the State of Indiana and
a national banking association duly organized, existing and
authorized to accept and execute trusts of the character herein set out under the laws of the United
States of America with its Indiana corporate trust office in the City of Indianapolis, Indiana, as
Trustee("Trustee");
WITNESSETH:
WHEREAS, IC 36-7-11.9, 12 and 14, as supplemented and amended, authorizes
and empowers the Issuer to issue revenue bonds and to use the proceeds therefrom for the purpose
of financing economic development facilities and vests such Issuer with powers that may be
necessary to enable it to accomplish such purposes; and
WHEREAS, in accordance with the provisions of the Act, the Issuer has induced
J.C.Hart Company, Inc. (the"Company")to proceed with the acquisition,construction,equipping
and improving, as the case may be, by the Company of a mixed use development in the City, by
offering to issue the City's Taxable Economic Development Tax Increment Revenue Bonds,Series
2025 (J.C. Hart Development Project) in the aggregate principal amount of not to exceed
pursuant to this Trust Indenture and to provide the proceeds thereof to the
Company pursuant to the Loan Agreement of even date herewith(the"Loan Agreement"), for the
purpose of paying a portion of the costs of the Project(as defined herein); and
WHEREAS, the execution and delivery of this Indenture and the issuance of
revenue bonds under the Act as herein provided have been in all respects duly and validly
authorized by proceedings duly passed on and approved by the Issuer; and
WHEREAS, after giving notice in accordance with the Act and IC 5-3-1-4,
Economic Development Commission held a public hearing on behalf of the Issuer, and upon
finding that Project(i)will create or retain employment opportunities in and near the City;(ii)will
benefit the health and general welfare of the citizens of the City and the State of Indiana; and(iii)
will comply with the purposes and provisions of the Act, adopted a resolution approving the
proposed financing; and
WHEREAS, the Act provides that such Bonds may be secured by a trust indenture
between the Issuer and a corporate trustee; and
WHEREAS,the Loan Agreement provides for the use of the proceeds of the Bonds
by the Company to complete the Project, and, pursuant to this Indenture, the Issuer will assign
certain of its rights under the Loan Agreement to the Trustee; and
WHEREAS,the execution and delivery of this Trust Indenture,and the issuance of
the Bonds hereunder, have been in all respects duly and validly authorized by an ordinance duly
passed and approved by the Issuer; and
WHEREAS, IC 36-7-14 provides that a redevelopment commission of an issuer
may pledge certain incremental property taxes (known herein as TIF Revenues)to pay, in whole
or in part, amounts due on the Bonds; and
WHEREAS,pursuant to this Indenture,the Bonds shall be payable solely from the
Trust Estate(as defined herein, including payments derived from the TIF Revenues,the Taxpayer
Direct Payments(as defined herein)and the Loan Payments(as defined herein) and the funds and
accounts created hereunder; and
WHEREAS, the Redevelopment Commission has, by resolution, dedicated and
pledged to the Issuer, TIF Revenues to be applied to the repayment of the Bonds; and
WHEREAS,the Bonds and the Trustee's certificate of authentication to be endorsed
thereon are all to be substantially in the form provided in this Indenture; and
NOW, THEREFORE, THIS INDENTURE WITNESSETH: That in order to
secure the payment of the principal of and interest on the Bonds to be issued under this Indenture
according to their tenor,purport and effect, and in order to secure the performance and observance
of all the covenants and conditions herein and in said Bonds contained, and in order to declare the
terms and conditions upon which the Bonds are issued, authenticated, delivered, secured and
accepted by all persons who shall from time to time be or become holders thereof, and for and in
consideration of the mutual covenants herein contained, of the acceptance by the Trustee of the
trust hereby created, and of the purchase and acceptance of the Bonds by the holders or obligees
thereof, the Issuer has executed and delivered this Indenture, and by these presents does hereby
convey, grant; assign, pledge and grant a security interest in, unto the Trustee, its successor or
successors and its or their assigns forever, with power of sale, all and singular, the property, real
and personal hereinafter described(the"Trust Estate"):
GRANTING CLAUSES
DIVISION I
All right,title and interest of the Issuer in and to the TIF Revenues(such pledge to
be effective as set forth in IC 5-1-14-4 and IC 36-7-14-39 without filing or recording of this
Indenture or any other instrument);
DIVISION II
All right, title and interest of the Issuer in the Taxpayer Direct Payments made by
the Company pursuant to the Taxpayer Agreement (as defined herein), and all right, title and
interest of the Issuer in and to the Taxpayer Agreement(except any rights reserved to the Issuer or
the Redevelopment Commission thereunder);
DIVISION III
All right, title and interest of the Issuer in and to the Loan Agreement (except the
rights reserved to the Issuer therein) including the right to the Loan Payments; and
2
DIVISION IV
All funds and accounts created hereunder and all moneys and securities from time
to time held by the Trustee under the terms of this Indenture, including the proceeds of the Bonds
prior to the disbursement here from to pay costs of the Project (except moneys or Qualified
Investments deposited with the Trustee pursuant to Section 11.1 hereof),and any and all other real
or personal property of every name and nature from time to time hereafter by delivery or by writing
of any kind conveyed, mortgaged, pledged, assigned, or transferred as and for additional security
hereunder by the Issuer or by anyone in its behalf, or with their written consent to the Trustee
which is hereby authorized to receive any and all such property at any and all times and to hold
and apply the same subject to the terms hereof;
TO HAVE AND TO HOLD the same unto the Trustee, and its successor or
successors and its or their assigns forever;
IN TRUST,NEVERTHELESS,upon the terms and trusts herein set forth,to secure
the payment of the Bonds to be issued hereunder and the interest payable thereon, and to secure
also the observance and performance of all the terms, provisions,covenants and conditions of this
Indenture, and for the equal and ratable benefit and security of all and singular the holders of all
Bonds issued hereunder, without preference, priority or distinction as to lien or otherwise, except
as otherwise hereinafter provided, of any one Bond or as between principal and interest, and it is
hereby mutually covenanted and agreed that the terms and conditions upon which the Bonds are
to be issued, authenticated, delivered, secured and accepted by all persons who shall from time to
time be or become the holders thereof, are as follows:
3
ARTICLE I.
DEFINITIONS
Section 1.1. Terms Defined. In addition to the words and terms elsewhere
defined in this Indenture, the following words and terms as used in this Indenture shall have the
following meanings unless the context or use indicates another or different meaning or intent:
Act"means, collectively, Indiana Code 36-7-11.9 and 36-7-12.
Allocation Area"means the Riverwalk Allocation Area established in accordance
with IC 36-7-14-39 for the purposes of capturing incremental ad valorem real property taxes levied
and collected in such allocation area.
Allocation Fund" means the Riverwalk Allocation Area Allocation Fund
established under IC 36-7-14 for the TIF Revenues collected in the Allocation Area.
Annual Fees" means annual Trustee Fees and any other ongoing fees relating to
payment of debt service on the Bonds.
Authorized Representative"means, (i)with respect to the Issuer,the Mayor or the
Controller of the Issuer(or such other officer as the Issuer shall notify the Company and the Trustee
in writing as being an Authorized Representative, with evidence of such authority); and (ii) with
respect to the Company, or such other officer as the Company shall notify
the Issuer and the Trustee in writing as being an Authorized Representative,with evidence of such
authority).
Bondholders"means registered owners of the Bonds.
Bond Fund"means the Bond Fund established by Section 4.2 of this Indenture.
Bond Issuance Costs" means the costs, fees and expenses incurred or to be
incurred by the Issuer and the Borrower in connection with the issuance and sale of the Bonds,
including placement or other financing fees (including applicable counsel fees), the fees and
disbursements of bond counsel, fees of the Issuer's financial advisor, the acceptance fee and first
Ist)year annual administration fee of the Trustee,application fees and expenses,publication costs,
the filing and recording fees in connection with any filings or recording necessary under the
Indenture or to perfect the lien thereof, the out-of-pocket costs of the Issuer, the fees and
disbursements of counsel to the Borrower, the fees and disbursements of the Borrower's
accountants and advisers, the fees and disbursements of counsel to the Issuer, the fees and
disbursements of counsel to the purchaser of the Bonds, the costs of preparing or printing the
Bonds and the documentation supporting the issuance of the Bonds, the costs of reproducing
documents,and any other costs of a similar nature reasonably incurred,all of which is a categorical
cost of providing for an"economic development project"as defined and set forth in the Act.
Bond Ordinance" means Ordinance No. , adopted by the Common Council
of the Issuer on 2025, authorizing and approving the issuance and sale of the
Bonds, and approving the Loan Agreement,this Indenture and related matters.
4
Bonds"means the City of South Bend, Indiana, Taxable Economic Development
Tax Increment Revenue Bonds, Series 2025 (J.C. Hart Development Project) in the aggregate
principal amount of not to exceed$
Business Day" or"business day" means a day on which the office of the Trustee
is open for business.
Capitalized Interest Costs" means a portion of the interest on the Bonds accruing
from the date of their original delivery through and including 1, 202_, which is a
categorical cost of providing for an "economic development project" as defined and set forth in
the Act.
Company" means J.C. Hart Company, Inc., an Indiana corporation. or any
successor thereto under the Loan Agreement.
Completion Certificate" means the certificate required to be provided by the
Company to the Issuer and the Trustee pursuant to Section 4.3 of the Loan Agreement to evidence
completion of the Project.
Costs of Issuance" means financial, legal, accounting charges and expenses, and
all other fees charges and expenses incurred in connection with the authorization, sale, issuance
and delivery of the Bonds, including without limitation, the fees and expenses of the Issuer,
Issuer's Counsel, Bond Counsel, Company Counsel, Municipal Advisor to the Issuer and the
Trustee.
Development Agreement" means the Economic Development Agreement, dated
January 9,2025, by and among the Issuer, the Redevelopment Commission and the Company.
Economic Development Commission" means the South Bend Economic
Development Commission.
Event of Default" means those events of default specified in and defined by
Section 7.1 hereof.
Government Obligations" means bonds, notes, certificates of indebtedness,
treasury bills or other securities constituting direct obligations of, or obligations the timely
payment of the principal of and the interest on which are fully and unconditionally guaranteed by,
the United States of America or any agency or instrumentally thereof when such obligations are
backed by the full faith and credit of the United States of America.
Indenture"means this instrument as originally executed or as it may from time to
time be amended or supplemented pursuant to Article IX.
Interest Payment Date" on the Bonds means each February 1 and August,
commencing 1, 202_.
Issuer"means the City of South Bend, Indiana,a municipal corporation organized
and validly existing under the laws of the State or any successor to its rights and obligations under
the Loan Agreement and the Indenture.
5
Loan Agreement"means the Loan Agreement,dated as of 1,202_,
from the Company to the Issuer and all amendments and supplements thereto.
Loan Payments"means the amounts required to be repaid by the Company to the
Issuer under the terms of the Loan Agreement.
Pledge Resolution"means Resolution No. adopted by the Redevelopment
Commission on 2025, irrevocably dedicating and pledging to the Issuer the TIF
Revenues to pay the debt service on the Bonds.
Project" means the development and construction of 2 buildings housing
approximately 291 apartments and an approximately 398 space structured garage located in the
Allocation Area established by the Redevelopment Commission.
Project Fund"means the Project Fund for the Bonds established in Section 4.3 of
this Indenture.
Qualified Investments"means any of the following to the extent permitted by law:
i) Government Obligations; (ii) money market funds, which may be funds of the Trustee or its
affiliates,the assets of which are obligations of or guaranteed by the United States of America and
which funds are rated at the time of purchase "AAAm or higher by Standards & Poor's Ratings
Service, Inc. and/or "Aaa" by Moody's Investors Service, Inc.; (iii) bonds, debentures, notes or
other evidence of indebtedness issued or guaranteed by any of the following federal agencies:
Export-Import Bank, Farmers Home Administration, Federal Financing Bank, Federal Housing
Administration, Government National Mortgage Association, Maritime Administration and Farm
Credit Banks; (iv)certificates of deposit, savings accounts,deposit accounts or depository receipts
of a bank, savings and loan associations and mutual savings banks, including the Trustee or its
affiliates, each insured to the extent provided by the Federal Deposit Insurance Corporation; (v)
bankers' acceptances or certificates of deposit of commercial banks or savings and loan
associations, including the Trustee or its affiliates, which mature not more than one year after the
date of purchase;provided the banks or savings and loan associations(as opposed to their holding
companies) are rated for unsecured debt at the time of purchase of the investments in the single
highest full classification established by Moody's Investors Service, Inc. and Standard & Poor's
Ratings Service, Inc.;(vi)commercial paper rated at the time of purchase in the single highest full
classification by Moody's Investors Service, Inc.and Standard& Poor's Ratings Service, Inc. and
which matures not more than 270 days after the date of purchase; (vii)any guaranteed investment
contract or investment agreement of a financial institution which is rated in one of the two highest
rating categories by Standard & Poor's Ratings Services; and (viii) repurchase agreements with
any bank or trust company organized under the laws of any state of the United States of America
or any national banking association (including the Trustee or its affiliates) or government bond
dealer reporting to, trading with, and recognized as a primary dealer by the Federal Reserve Bank
of New York,which agreement is secured by any one or more of the securities described in clauses
i), (iii)or(iv)above; provided, underlying securities are required by the repurchase agreement to
be continuously maintained at a market value not less than the amount so invested.
Record Date" means the fifteenth day of the month immediately preceding any
Interest Payment Date.
6
Redevelopment Commission" means the South Bend Redevelopment
Commission.
Requisite Bondholders"means the holders of 51% in aggregate principal amount
of Bonds.
State"means the State of Indiana.
Taxpayer Agreement"means the Taxpayer Agreement,dated as of
1,2025, among the Company,the Redevelopment Commission and the Issuer.
Taxpayer Direct Payments" means amounts required to be paid by the Company
to the Redevelopment Commission pursuant to the terms of the Taxpayer Agreement.
TIF Revenues" means that portion of the property tax proceeds received by the
Redevelopment Commission and pledged to the Issuer pursuant to the Pledge Resolution,from the
assessed valuation of real property in the Allocation Area, in excess of the assessed valuation
described in IC 36-7-14-39(b)(1), as such statutory provision exists on the date of execution of the
Indenture.
Trustee" means with a designated trust
office in the City of Indianapolis, Indiana, and any successor trustee or co-trustee.
Trust Estate"shall have the meaning ascribed to such term in the Granting Clauses
of this Indenture.
Section 1.2. Rules of Interpretation. For all purposes of this Indenture, except as
otherwise expressly provided or unless the context otherwise requires:
1) "This Indenture"means this instrument as originally executed and as it may
from time to time be supplemented or amended pursuant to the applicable provisions
hereof.
2) All references in this instrument to designated "Articles," "Sections" and
other subdivisions are to the designated Articles, Sections and other subdivisions of this
instrument as originally executed.The words"herein,""hereof and"hereunder"and other
words of similar import refer to this Indenture as a whole and not to any particular Article,
Section or other subdivision.
3) The terms defined in this Article have the meanings assigned to them in this
Article and include the plural as well as the singular and the singular as well as the plural.
4) All accounting terms not otherwise defined herein have the meanings
assigned to them in accordance with generally accepted accounting principles as
consistently applied.
5) Any terms not defined herein but defined in the Loan Agreement shall have
the same meaning herein.
7
6) The terms defined elsewhere in this Indenture shall have the meanings
therein prescribed for them.
Section 1.3. Exhibits. The following Exhibits are attached to and by reference
made a part of this Indenture:
Exhibit A: Disbursement Request Form
Exhibit B: Costs of Issuance
End of Article I)
8
ARTICLE II.
THE BONDS
Section 2.1. Authorized Amount of Bonds. No Bonds may be issued under the
provisions of this Indenture except in accordance with this Article. The principal amount of the
Bonds (other than Bonds issued in substitution therefor pursuant to Section 2.9 hereof) that may
be issued is hereby expressly limited to$
Section 2.2. Issuance of the Bonds. The Bonds shall be designated "City of
South Bend, Indiana, Taxable Economic Development Tax Increment Revenue Bonds, Series
2025 (J.C. Hart Development Project),"and lettered and numbered R-1 and upward. The Bonds
shall be originally issuable as fully registered Bonds without coupons in denominations of
100,000 and any$1 integral multiples thereafter. Interest on Bonds shall be paid to the owners of
such Bonds determined as of the close of business of the Record Date next preceding each Interest
Payment Date at the registered addresses of such owners as they shall appear on the registration
books of the Trustee, as registrar for the Bonds, notwithstanding the cancellation of any such
Bonds upon any exchange or transfer thereof subsequent to the Record Date and prior to such
Interest Payment Date, unless the Bonds are authenticated prior to 15, 202_, in
which case interest shall be payable from the Original Date of the Bonds. Payment of interest to
the holders of all Bonds shall be by check drawn on the main office of the Trustee and mailed to
such holder of the Bonds on each Interest Payment Date. The Bonds shall be dated as of the date
of their delivery. Interest shall be computed on the basis of a three hundred sixty (360) day year
consisting of twelve (12) thirty (30) day months. The interest on the Bonds shall be payable on
each February 1 and August 1 commencing [February 1, 2026].
The Bonds shall bear interest from the Interest Payment Date next preceding the date of
authentication thereof, unless such date of authentication shall be subsequent to a Record Date in
which case they shall bear interest from the Interest Payment Date with respect to such Record
Date.
The Bonds shall mature on the following dates in the following amounts and at the
following interest rates per annum:
Payment Date Maturity Amount Interest Rate
Section 2.3. Payment on the Bonds. The principal of and interest on the Bonds
shall be payable in any coin or currency of the United States of America which, at the respective
dates of payment thereof, is legal tender for the payment of public and private debts.The principal
of the Bonds shall be payable at the principal corporate trust office of the Trustee. All payments
of interest on the Bonds shall be made to the person appearing on the Bond registration books of
the Trustee as the registered owner of the Bonds by check mailed to the Registered Owner thereof
as shown on the registration books of the Trustee, as registrar for the Bonds. Each registered
owner of$1,000,000 or more in principal amount of Bonds shall be entitled to receive interest
payments by wire transfer by providing written wire instructions to the Trustee before the Record
Date for such payment. Notwithstanding anything herein to the contrary, the Bonds shall only
9
need to be presented and surrendered for payment upon the final maturity or optional redemption
in full.
Section 2.4. Execution: Limited Obligation. The Bonds shall be executed on
behalf of the Issuer with the manual or facsimile signature of its Mayor and attested with the
manual or the facsimile signature of its Clerk and shall have impressed or printed thereon the
corporate seal of the Issuer. Such facsimiles shall have the same force and effect as if such officer
had manually signed each of said Bonds. In case any,officer whose signature or facsimile signature
shall appear on the Bonds shall cease to be such officer before the delivery of such Bonds, such
signature or such facsimile shall,nevertheless,be valid and sufficient for all purposes,the same as
if he had remained in office until delivery.
The Bonds, and the interest payable thereon, do not and shall not represent or
constitute a debt of the Issuer, the State of Indiana or any political subdivision or taxing authority
thereof within the meaning of the provisions of the constitution or statutes of the State of Indiana
or a pledge of the faith and credit of the Issuer,the State of Indiana or any political subdivision or
taxing authority thereof. The Bonds, as to both principal and interest, are not an obligation or
liability of the Issuer, the State of Indiana, or of any political subdivision or taxing authority
thereof, but are a special limited obligation of the Issuer and are payable solely and only from the
Trust Estate(including the TIF Revenues,the Taxpayer Direct Payments,and the Loan Payments)
pledged and assigned for their payment in accordance with the Indenture. Neither the faith and
credit nor the taxing power of the Issuer,the State of Indiana or any political subdivision or taxing
authority thereof is pledged to the payment of the principal of or the interest on the Bonds. The
Bonds do not grant the owners or holders thereof any right to have the Issuer,the State of Indiana
or its General Assembly, or any political subdivision or taxing authority of the State of Indiana,
levy any taxes or appropriate any funds for the payment of the principal of or interest on the Bonds.
The Issuer has no taxing power with respect to the Bonds.No covenant or agreement contained in
the Bonds or the Indenture shall be deemed to be a covenant or agreement of any member,director,
officer, agent, attorney or employee of the Economic Development Commission, the
Redevelopment Commission or the Issuer in his or her individual capacity, and no member,
director, officer, agent, attorney or employee of the Economic Development Commission, the
Redevelopment Commission, or the Issuer executing the Bonds shall be liable personally on the
Bonds or be subject to any personal liability or accountability by reason of the issuance of the
Bonds.
Section 2.5. Authentication. No Bond shall be valid or obligatory for any
purpose or entitled to any security or benefit under this Indenture unless and until the certificate of
authentication on such Bond substantially in the form hereinafter set forth shall have been duly
executed by the Trustee, and such executed certificate of the Trustee upon any such Bond shall be
conclusive evidence that such Bond has been authenticated and delivered under this Indenture.
The Trustee's certificate of authentication on any Bond shall be deemed to have been executed by
it if signed by an authorized officer of the Trustee,but it shall not be necessary that the same officer
sign the certificate of authentication on all of the Bonds issued hereunder.
Section 2.6. Form of the Bonds. The Bonds issued under this Indenture shall be
substantially in the form set forth below with such appropriate variations,omissions and insertions
as are permitted or required by this Indenture or deemed necessary by the Trustee:
Form of Bond)
10
EACH HOLDER OF THIS BOND (AS HEREINAFTER DEFINED): (1) WILL NOT SELL OR OTHERWISE
TRANSFER THIS BOND OTHER THAN:(a)TO A"QUALIFIED INSTITUTIONAL BUYER"(AS DEFINED IN
RULE 144A OF THE SECURITIES ACT OF 1933,AS AMENDED(THE"SECURITIES ACT")),PURCHASING
FOR ITS OWN ACCOUNT OR TO THE ACCOUNT OF ANOTHER QUALIFIED INSTITUTIONAL BUYER;(b)
TO AN ACCREDITED INVESTOR (WITHIN THE MEANING OF RULE 501 OF REGULATION D OF THE
SECURITIES ACT), PURCHASING FOR ITS OWN ACCOUNT OR THE ACCOUNT OF ANOTHER
ACCREDITED INVESTOR;OR(c)PURSUANT TO AN EXEMPTION FROM THE SECURITIES ACT;AND(2)
WILL,AND EACH SUBSEQUENT HOLDER IS REQUIRED TO,NOTIFY ANY PURCHASER OF THIS BOND
OF THE RESALE RESTRICTIONS REFERRED TO HEREIN
UNITED STATES OF AMERICA
2025R-1
CITY OF SOUTH BEND,INDIANA
TAXABLE ECONOMIC DEVELOPMENT TAX INCREMENT REVENUE BOND,SERIES 2025
J.C.HART DEVELOPMENT PROJECT)
INTEREST MATURITY ORIGINAL AUTHENTICATION
RATE DATE DATE DATE
2025 2025
REGISTERED OWNER:
PRINCIPAL AMOUNT: Million Dollars($
The City of South Bend, Indiana(the"Issuer"), a municipal corporation organized and existing under the
laws of the State of Indiana, for value received, hereby promises to pay in lawful money of the United States of
America to the Registered Owner listed above,but solely from available amounts held in the Trust Estate,including
the payments of TIF Revenues, the Taxpayer Direct Payments and the Loan Payments (each as defined in the
hereinafter defined Indenture) hereinafter referred to pledged and assigned for the payment hereof, the Principal
Amount set forth above on the Maturity Date,unless this Bond shall have previously been called for redemption and
payment of the redemption price made or provided for,or unless payments shall have been accelerated as provided in
the Indenture,and to pay interest on the unpaid principal amount hereof in like money,but solely from said payments,
at the Interest Rate specified above per annum payable on 1,202 and on each February 1 and August
1 thereafter(each an"Interest Payment Date")until the Principal Amount is paid in full. Interest on this Bond shall
be payable from the Interest Payment Date next preceding the date of authentication thereof(the"Interest Date"),
except that: (i) if this Bond is authenticated on or prior to 15, 202 , the Interest Date shall be the
Original Date specified above; (ii) if this Bond is authenticated on or after the last day of the calendar month
immediately preceding an Interest Payment Date(the"Record Date"),the Interest Date shall be such Interest Payment
Date;and(iii)if interest on this Bond is in default,the Interest Date shall be the day after the date to which interest
hereon has been paid in full. Interest shall be calculated on the basis of a 360-day year consisting of twelve 30-day
months.
The principal of this Bond is payable at the office of as
trustee(the"Trustee"),in Indianapolis,Indiana,or at the principal office of any successor trustee. All payments of
interest hereon will be made by the Trustee by check mailed on each Interest Payment Date to the Registered Owner
hereof at the address shown on the registration books of the Trustee as maintained by the Trustee, as registrar,
determined on the Record Date next preceding such Interest Payment Date. Each registered owner of$1,000,000 or
more in principal amount of Bonds shall be entitled to receive interest and principal payments by wire transfer by
providing written wire instructions to the Trustee before the Record Date for such payment. This Bond shall not need
to be presented for payment except upon final maturity or redemption in full.
This Bond is the only one of the Issuer's Taxable Economic Development Tax Increment Revenue Bonds,
Series 2025(J.C.Hart Development Project)(hereinbefore and hereinafter the"Bonds")which are being issued under
the hereinafter described Indenture in the aggregate principal amount of$ The Bonds are being issued
for the purpose of providing funds to finance a portion of the cost of the design and construction by J.C.Hart Company,
11
Inc.(the"Company")of a mixed-use development in the City,all located within the Riverwalk Allocation Area(the
Project")by providing such funds to the Company pursuant to the Loan Agreement,dated as of 1,
2025(the"Loan Agreement")between the Company and the Issuer,which prescribes the terms and conditions under
which the Company shall use(or be deemed to use)such proceeds for the Project.
The Bonds are issued under and entitled to the security of a Trust Indenture dated as of 1,
2025 (hereinafter referred to as the "Indenture") duly executed and delivered by the Issuer to
as trustee (the term "Trustee" where used herein referring to said
Trustee or its successors),pursuant to which Indenture,the TIF Revenues,the Taxpayer Direct Payments and the Loan
Payments(each as defined in the Indenture)are pledged and assigned by the Issuer to the Trustee as security for the
Bonds. The Bonds are issued pursuant to and in full compliance with the Constitution and laws of the State of Indiana,
particularly Indiana Code,Title 36,Article 7,Chapters 11.9 and 12(the"Act"),and by appropriate action duly taken
by the Issuer which authorizes the execution and delivery of the Indenture. The Bonds have been issued in conformity
with the provisions,restrictions and limitations of the Act.
The South Bend Redevelopment Commission (the "Redevelopment Commission") has pledged the TIF
Revenues, the Taxpayer Direct Payments and the Loan Payments to the payment of the Bonds (as defined in the
Indenture).
THE OWNER OF THIS BOND,BY ACCEPTANCE OF THIS BOND,HEREBY AGREES TO ALL OF
THE TERMS AND PROVISIONS IN THE INDENTURE AND THIS BOND AND ACKNOWLEDGES THAT:
1. It is an"accredited investor"(as defined in Rule 501(a)under the Securities Act of 1933,as amended
1933 Act")),purchasing the Bonds for its own account,and it is acquiring the Bonds for investment purposes and
not with a view to,or for offer or sale in connection with,any distribution in violation of the 1933 Act. It has such
knowledge and experience in financial and business matters as to be capable of evaluating the merits and risk of its
investment in the Bonds,and it is able to bear the economic risk of its investment for an indefinite period of time. It
confirms that neither the Issuer nor any person acting on behalf of the Issuer has offered to sell the Bonds by,and that
it has not been made aware of the offering of the Bonds by,any form of general solicitation or general advertising,
including,but not limited to,any advertisement,article,notice or other communication published in any newspaper,
magazine or similar media or a broadcast over television or radio.
2. It is familiar with the Issuer,the Redevelopment Commission and the Borrower;it has received such
information concerning the Issuer,the Redevelopment Commission and the Borrower,the Bonds,the TIF Revenues,
the Loan Payments and Taxpayer Direct Payments(each as defined in the Indenture)as it deems to be necessary in
connection with investment in the Bonds. It has received,read and commented upon copies of the Indenture,the Loan
Agreement and the Taxpayer Agreement. Prior to the purchase of the Bonds,it has been provided with the opportunity
to ask questions of and receive answers from the representatives of the Issuer,the Redevelopment Commission and
the Borrower concerning the terms and conditions of the Bonds, the tax status of the Bonds, legal opinions and
enforceability of remedies,and the security therefor,and to obtain any additional information needed in order to verify
the accuracy of the information obtained to the extent that the Issuer and the Borrower possess such information or
can acquire it without unreasonable effort or expense. It is not relying on Barnes&Thornburg LLP or Baker Tilly
Municipal Advisors, LLC, for information concerning the financial status of the Issuer, the Redevelopment
Commission and the Borrower or the ability of the Issuer and the Borrower to honor their respective financial
obligations or other covenants under the Bonds,the Indenture,the Loan Agreement or the Taxpayer Agreement. It
understands that the projection of TIF Revenues prepared in connection with the issuance of the Bonds has been based
on estimates of the investment in real property provided by the Borrower.
3. It is acquiring the Bonds with no present intent to resell; and will not sell, convey, pledge or
otherwise transfer the Bonds without prior compliance with applicable registration and disclosure requirements of
state and federal securities laws.
4. It understands that the Bonds have not been registered under the 1933 Act and,unless so registered,
may not be sold to an entity that is not a"qualified institutional buyer"as defined in Rule 144A of the 1933 Act,or
an "accredited investor" as defined in Rule 501(a) of the 1933 Act without registration under the 1933 Act or an
exemption therefrom.
5. It understands that the sale or transfer of the Bonds in principal amounts less than$100,000 to an
entity that is not an accredited investor is prohibited other than through a primary offering.
6. It has investigated the security for the Bonds,and it understands that the Bonds are payable solely
from the TIF Revenues,Taxpayer Direct Payments and Loan Payments. It further understands that the Issuer does
not have the power or the authority to levy a tax to pay the principal of or interest on the Bonds.
12
7. It understands that interest on the Bonds is taxable for federal income tax purposes.
Reference is made to the Indenture and to all indentures supplemental thereto and to the Loan Agreement for
a description of the nature and extent of the security,the rights,duties and obligations of the Issuer and the Trustee,
the rights of the holders of the Bonds,and the terms on which the Bonds are or may be issued and secured,and to all
the provisions of which the holder hereof by the acceptance of this Bond assents.
The Bonds are issuable in registered form without coupons in the denominations of$100,000 or integral
multiples of$1.00 in excess thereof. This Bond is transferable by the registered holder hereof in person or by his
attorney duly authorized in writing at the principal office of the Trustee, but only in the manner, subject to the
limitations and upon payment of the charges provided in the Indenture and upon surrender and cancellation of this
Bond.Upon such transfer a new registered Bond will be issued to the transferee in exchange therefor. Notwithstanding
anything herein to the contrary,this Bond shall only need to be presented and surrendered for payment upon the final
maturity or optional redemption.
The Issuer and the Trustee may deem and treat the Registered Owner hereof as the absolute owner hereof for
the purpose of receiving payment of or on account of principal hereof and interest due hereon and for all other purposes
and neither the Issuer nor the Trustee shall be affected by any notice to the contrary.
The Bonds maturing on and after 1,203_are redeemable at the option of the Issuer(at the
direction of the Company)beginning on or after 1,203_,upon thirty(30)days' notice, in whole or
in part,at face value,plus accrued interest to the date fixed for redemption.
Notwithstanding anything herein to the contrary,this Bond shall only need to be presented and surrendered
for payment upon the final maturity or optional redemption.
If fewer than all of the Bonds at the time outstanding are to be called for redemption,the maturities of Bonds
or portions thereof to be redeemed shall be selected by the Trustee at the direction of the Issuer. If fewer than all of
the Bonds within a maturity are to be redeemed,the Trustee shall apply moneys available for redemption on a pro rata
basis, based on the respective portion of the principal amount of Bonds held by the respective owners of the Bonds
within such maturity that shall be redeemed.
In the event any of the Bonds are called for optional redemption as aforesaid,notice thereof identifying the
Bonds to be redeemed will be given by mailing a copy of the redemption notice by first class mail not less than thirty
30)days nor more than sixty(60)days prior to the date fixed for redemption to the Registered Owner of the Bonds
to be redeemed at the address shown on the registration books;provided,however,that failure to give such notice by
mailing,or any defect therein with respect to any registered Bond,shall not affect the validity of any proceedings for
the redemption of other Bonds.
All Bonds so called for redemption will cease to bear interest on the specified redemption date,provided
funds for their redemption are on deposit at the place of payment at that time,and shall no longer be protected by the
Indenture and shall not be deemed to be outstanding under the provisions of the Indenture.
The Bonds,and the interest payable thereon,do not and shall not represent or constitute a debt of the
Issuer,the State of Indiana,or any political subdivision or taxing authority thereof within the meaning of the
provisions of the constitution or statutes of the State of Indiana or a pledge of the faith and credit of the Issuer,
the State of Indiana,or any political subdivision or taxing authority thereof.The Bonds,as to both principal
and interest,are not an obligation or liability of the Issuer,the State of Indiana,or of any political subdivision
or taxing authority thereof,but are a special limited obligation of the Issuer and are payable solely and only
from the TIF Revenues,the Taxpayer Direct Payments and the Loan Payments pledged and assigned for their
payment in accordance with the Indenture.Neither the faith and credit nor the taxing power of the Issuer,the
State of Indiana or any political subdivision or taxing authority thereof is pledged to the payment of the
principal of or the interest on this Bond. The Bonds do not grant the owners or holders thereof any right to
have the Issuer,the State of Indiana or its General Assembly,or any political subdivision or taxing authority
of the State of Indiana,levy any taxes or appropriate any funds for the payment of the principal of or interest
on the Bonds. The Issuer has no taxing power with respect to the Bonds.No covenant or agreement contained
in the Bonds or the Indenture shall be deemed to be a covenant or agreement of any member,director,officer,
agent, attorney or employee of the South Bend Economic Development Commission (the "Economic
Development Commission"),the Redevelopment Commission or the Issuer in his or her individual capacity,
and no member,director,officer,agent,attorney or employee of the Economic Development Commission,the
Redevelopment Commission or the Issuer executing the Bonds shall be liable personally on the Bonds or be
subject to any personal liability or accountability by reason of the issuance of the Bonds.
13
The holder of this Bond shall have no right to enforce the provisions of the Indenture or to institute action to
enforce the covenants therein, or to take any action with respect to any event of default under the Indenture, or to
institute,appear in or defend any suit or other proceedings with respect thereto,except as provided in the Indenture.
In certain events,on the conditions,in the manner and with the effect set forth in the Indenture,the principal of all of
the Bonds issued under the Indenture and then outstanding may become or may be declared due and payable before
the stated maturity thereof,together with interest accrued thereon. Modifications or alterations of the Indenture,or of
any supplements thereto,may be made to the extent and in the circumstances permitted by the Indenture. The Issuer's
or the Redevelopment Commission's obligation to pay TIF Revenues shall not be subject to acceleration.
It is hereby certified that all conditions,acts and things required to exist,happen and be performed under the
laws of the State of Indiana and under the Indenture precedent to and in the issuance of this Bond exist,have happened
and have been performed,and that the issuance,authentication and delivery of this Bond have been duly authorized
by the Issuer.
This Bond shall not be valid or become obligatory for any purpose or be entitled to any security or benefit
under the Indenture until the certificate of authentication hereon shall have been duly executed by the Trustee.
IN WITNESS WHEREOF,the City of South Bend,Indiana,has caused this Bond to be executed in its name
and on its behalf by the manual or facsimile signature of the Mayor and its corporate seal to be hereunto affixed
manually or by facsimile and attested to by the manual or facsimile signature of its Clerk.
CITY OF SOUTH BEND,INDIANA
By:
Mayor
Seal)
Attest:
Clerk
FORM OF TRUSTEE'S CERTIFICATE OF AUTHENTICATION)
This Bond is one of the Bonds described in the within mentioned Trust Indenture.
as trustee
By
Authorized Officer
ASSIGNMENT
FOR VALUE RECEIVED the undersigned hereby sells,assigns and transfers unto
Please Print or Typewrite Name and Address) the within Bond and all rights,title and
interest thereon,and hereby irrevocably constitutes and appoints attorney to
transfer the within Bond on the books kept for registration thereof,with full power of substitution in the premises.
Dated:
SIGNATURE GUARANTEED:
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NOTICE: Signature(s)must be guaranteed by NOTICE: The signature to this assignment must
an eligible guarantor institution participating correspond with the name of the registered
in a Securities Transfer Association of a owner as it appears upon the face of the
recognized signature guarantee program. within Bond in every particular,
without alteration or enlargement or any change
whatsoever.
The following abbreviations,when used in the inscription on the face of this certificate,shall be construed as
though they were written out in full according to applicable laws or regulations:
UNIF TRAN MIN ACT-- _ Custodian
Cust)Minor)
under Uniform Transfers to Minors Act
State)
TEN COM-- as tenants in common
JT TEN--as joint tenants with right of survivorship and not as
tenants in common
Additional abbreviations may also be used though not in the above list.
End of Bond Form)
Section 2.7. Delivery of Bonds. The Trustee shall authenticate the Bonds and
deliver them to the purchasers thereof upon receipt of a copy, duly certified by the Clerk of the
Issuer, of the Bond Ordinance authorizing the execution and delivery of the Loan Agreement and
this Indenture and the issuance of the Bonds, and delivery of the following.
1) An executed counterpart of the Loan Agreement,the Taxpayer Agreement
and this Indenture.
2) A copy, duly certified by the Clerk of the Issuer, of the Ordinance adopted
and approved by the Issuer authorizing the execution and delivery of the Loan Agreement
and this Indenture and the issuance of the Bonds.
3) A copy,duly certified by the Secretary of the Redevelopment Commission,
of the Pledge Resolution.
4) A written request of the Issuer to the Trustee requesting the Trustee to
authenticate,or cause to be authenticated,and deliver the Bonds in the Authorized Amount
to the purchasers thereof.
5) Such other documents as shall be required by bond counsel or the Issuer,
which shall be identified to the Trustee as documents to be received by the Trustee.
The proceeds of the Bonds shall be paid over to the Trustee and deposited to the
Project Fund as hereinafter provided under Section 3.1 hereof.
Section 2.8. Mutilated, Lost, Stolen or Destroyed Bonds. In the event any Bond
is mutilated, lost, stolen or destroyed,the Issuer,through the Trustee,may execute and the Trustee
may authenticate a new Bond of like date,maturity and denomination as that mutilated, lost, stolen
or destroyed; provided that, in the case of any mutilated Bond, such mutilated Bond shall first be
surrendered to the Issuer, and in the case of any lost, stolen or destroyed Bond,there shall be first
15
furnished to the Trustee evidence of such loss, theft or destruction satisfactory to the Trustee,
together with indemnity satisfactory to it.
In the event any such Bond shall have matured or been called for redemption in
full, instead of issuing a duplicate Bond the Issuer may pay the same without surrender thereof;
provided,however,that in the case of a lost,stolen or destroyed Bond,there shall be first furnished
to the Trustee evidence of such loss,theft or destruction satisfactory to the Trustee; together with
indemnity satisfactory to it. The Trustee may charge the holder or owner of such Bond with their
reasonable fees and expenses in this connection.Any Bond issued pursuant to this Section 2.8 shall
be deemed part of the original series of Bonds in respect of which it was issued and an original
additional contractual obligation of the Issuer.
Section 2.9. Registration and Exchange of Bonds: Persons Treated as Owners.
The Issuer shall cause books for the registration and for the transfer of the Bonds as provided in
this Indenture to be kept by the Trustee which is hereby constituted and appointed the registrar of
the Issuer. Upon surrender for transfer of any fully registered Bond at the principal office of the
Trustee, duly endorsed by, or accompanied by a written instrument or instruments of transfer in
form satisfactory to the Trustee and duly executed by the registered owner or his attorney duly
authorized in writing,the Issuer shall execute and the Trustee shall authenticate and deliver in the
name of the transferee or transferees a new fully registered Bond or Bonds of the same series and
the same maturity for a like aggregate principal amount. The execution by the Issuer of any fully
registered Bond without coupons of any denomination shall constitute full and due authorization
of such denomination,and the Trustee shall thereby be authorized to authenticate and deliver such
registered Bond. The costs of such transfer or exchange shall be borne by the Issuer. The Trustee
shall not be required to transfer or exchange any fully registered Bond during the period between
the Record Date and any interest payment date of such Bond,nor to transfer or exchange any Bond
after the mailing of notice calling such Bond for redemption has been made, nor during a period
of fifteen (15) days next preceding mailing of a notice of redemption of any Bonds.
As to any fully registered Bond without coupons, the person in whose name the
same shall be registered shall be deemed and regarded as the absolute owner thereof for all
purposes, and payment of principal or interest thereon, shall be made only to or upon the order of
the registered owner thereof or his legal representative, but such registration may be changed as
hereinabove provided. All such payments shall be valid and effectual to satisfy and discharge the
liability upon such Bond to the extent of the sum or sums so paid.
Section 2.10. Reserved.
End of Article II)
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ARTICLE III.
APPLICATION OF THE BOND PROCEEDS
Section 3.1. Deposit of Bond Funds. The Issuer shall deposit$
received from the sale of the Bonds in a separate fund to be known as the "City of South Bend,
Indiana-2025 J.C. Hart Development Project Fund" (the "Project Fund"). Disbursements from
the Project Fund will be used to pay for costs of the Project and costs of issuing the Bonds, and
are to be made in accordance with the provisions of Article IV of this Indenture.
Section 3.2. Capitalized Interest. The Issuer shall be deemed to have received
of the proceeds of the Bonds in order to pay the Capitalized Interest Costs.
However, the Issuer and the Trustee acknowledge that such amount shall be retained by the
Purchaser and applied to pay Capitalized Interest Costs of the Bonds in accordance with the
following schedule:
1) $ on 1, 202_;
2) $ on 1, 202 ; and
3) $ on 1, 202 .
End of Article III)
17
ARTICLE IV.
REVENUE AND FUNDS
Section 4.1. Source of Payment of the Bonds. The Bonds herein authorized and
all payments to be made by the Issuer hereunder are not general obligations of the Issuer but are
limited obligations payable solely from the Trust Estate(including the TIF Revenues,the Taxpayer
Direct Payments and the Loan Payments) pledged and assigned for their payment in accordance
with the Indenture. No covenant or agreement contained in the Bonds or this Indenture shall be
deemed to be a covenant or agreement of any member, director, officer, agent, attorney or
employee of the Issuer in his or her individual capacity, and no member, director, officer, agent,
attorney, or employee of the Issuer executing the Bonds shall be liable personally on the Bonds or
be subject to any personal liability or accountability by reason of the issuance of the Bonds.
The Redevelopment Commission has pledged the TIF Revenues to the payment of the
Bonds.
Section 4.2. Bond Fund.
a) The Trustee shall establish and maintain, so long as any of the Bonds are
outstanding, a separate fund to be known as the "City of South Bend, Indiana-2025 J.C. Hart
Development Project Bond Fund"(the "Bond Fund"). Money in the Bond Fund shall be applied
as provided in this Section 4.2.
b) There shall be deposited in the Bond Fund, as and when received, the TIF
Revenues,the Taxpayer Direct Payments and, if necessary,the Loan Payments in an amount equal
to the payments due on the Bonds on the next February 1 or August 1 plus Trustee fees coming
due within the next six(6)months with respect to the Bonds.
c) The Issuer hereby covenants and agrees that so long as any of the Bonds issued
hereunder are outstanding it will deposit, or cause to be paid to Trustee for deposit in the Bond
Fund, prior to 10:00 a.m., Indianapolis time, on the business day immediately preceding each
January 5 and July 5,commencing no later than July 5, 202—, sufficient sums from revenues and
receipts derived from the TIF Revenues promptly to meet and pay the amounts required under
Section 4.2(b) hereof. In the event of a deficiency of available TIF Revenues to make the next
debt service payment, the Trustee shall notify the Company of the amount needed to remedy the
deficiency by no later than the next January 10 or July 10, as applicable. Pursuant to the terms of
the Taxpayer Agreement,the Company is obligated to make a Taxpayer Direct Payment to remedy
the deficiency and the Issuer covenants and agrees to transfer all Taxpayer Direct Payments
received to the Trustee. If a deficiency still remains, the Company is obligated under the Loan
Agreement to make Loan Payments to the Issuer, and the Issuer covenants and agrees to
immediately transfer all Loan Payments received to the Trustee. Nothing herein should be
construed as requiring Issuer to deposit or cause to be paid to Trustee for deposit in the Bond Fund,
funds from any source other than receipts derived from the TIF Revenues, the Taxpayer Direct
Payments and, if necessary, the Loan Payments.
2) The Controller of the Issuer shall set aside immediately upon receipt the TIF
Revenues into the Allocation Fund and transfer the TIF Revenues to the Trustee as set forth in
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Section 4.4. The Trustee is hereby directed to deposit the TIF Revenues into the Bond Fund in the
manner prescribed in this Section 4.2 and in Section 4.4.
3) Moneys in the Bond Fund shall be used by the Trustee to pay interest, premium, if
any, and principal on the Bonds, together with any Annual Fees, as the same comes due. The
Trustee shall transmit such funds to the Paying Agent for any series of Bonds in sufficient time to
insure that such principal and interest will be paid as it becomes due.
Section 4.3. Project Fund. The Trustee shall establish and maintain a separate
fund to be known as the"City of South Bend,Indiana-2025 J.C.Hart Development Project Fund"
the"Project Fund"). The Issuer shall maintain the Project Fund in the custody of the Trustee,to
the credit of which deposits are to be made as required by the provisions of Section 3.1 hereof.
a) Moneys held in the Project Fund representing proceeds of the sale of the Bonds
shall be disbursed by the Trustee in accordance with the provisions of this Section 4.3 to pay the
costs of the Project, including the issuance costs of the Bonds. Subject to the provisions below
and to any applicable representations, warranties and covenants contained in the Indenture or the
Loan Agreement, disbursements from the Project Fund shall be made only to pay(or to reimburse
the Company for payment of) costs of the Project, as the case may be, as follows:
1) Costs incurred directly or indirectly for or in connection with the
acquisition,construction, expansion, equipping, installation or improvement of the
Project, as the case may be, including: costs incurred with respect to preliminary
planning and studies; architectural, legal, engineering, accounting, consulting,
supervisory and other services; labor, services and materials; and recording of
documents and title work;
2) Costs incurred directly or indirectly in seeking to enforce any
remedy against any contractor or subcontractor in respect of any actual or claimed
default under any contract relating to the Project, as the case may be;
3) Financial, legal, accounting, charges and expenses, and all other
fees, charges and expenses incurred in connection with the authorization, sale,
issuance and delivery of the Bonds, including, without limitation, the fees and
expenses of the Issuer, Issuer's Counsel, Bond Counsel, Company's Counsel,
Financial Advisor to the Issuer, and the Trustee(the"Costs of Issuance"); and
4) Any other incidental and necessary costs,expenses,fees and charges
relating to the acquisition, construction, expansion, equipping, installation or
improvement of the Project, as the case may be.
Promptly after the proceeds from the sale of the Bonds and other funds of the Issuer
are deposited into the Project Fund in accordance with Article III hereof,the Trustee shall
pay the Costs of Issuance set forth in Exhibit B from such funds.
Any further disbursements from the Project Fund described above to pay such fees,
costs or expenses or to reimburse the Company for the payment of such fees, costs or
expenses, other than Costs of Issuance, shall be made by the Trustee only upon the written
order of an Authorized Representative of the Company and acknowledged by the Issuer
and the purchaser of the Bonds. Each such written order shall be in the form of the
19
disbursement request attached hereto as Exhibit A and shall be consecutively numbered
and accompanied by invoices or other appropriate documentation supporting the payments
or reimbursements requested. The Trustee may conclusively rely,without investigation or
inquiry, on the information contained in the disbursement requests meeting the
requirements of this Section 4.3(a)and shall be protected in issuing the payments requested
therein.
b) The Trustee shall cause to be kept and maintained accurate records pertaining to
the Project Fund and all disbursements therefrom. If requested by the Company or the Issuer, the
Trustee shall file copies of the records pertaining to the Project Fund and all disbursements from
such fund with the Issuer and the Company.
c) If,after the later of the payment of all costs of the Project requested by the Company
or ninety(90)days after the filing of the Completion Certificate,there shall remain any balance of
moneys in the Project Fund,the Issuer shall direct the Trustee to transfer all moneys then in such
Project Fund to the Bond Fund.
Section 4.4. Deposit of TIF Revenues. On or before the business day
immediately preceding each January 5 and July 5, commencing 5, 202_, the Issuer
shall transfer to the Trustee for deposit to the Bond Fund the TIF Revenues received by the Issuer,
but no more than shall be necessary for the payment of the principal of and interest on the Bonds
on the immediately succeeding February 1 or August 1 (taking into consideration any amounts
currently deposited therein)together with Trustee fees coming due within the next six(6)months.
Any remaining TIF Revenues shall be transferred by the Issuer to the Trustee to be applied by the
Trustee to pay any overdue principal and interest on outstanding Bonds(with such amounts being
applied first to overdue interest and then to overdue principal), with interest continuing to accrue
on such overdue principal amounts at the stated rate on such Bonds until paid.
Section 4.5. Trust Funds. All moneys and securities received by the Trustee
under the provisions of this Indenture, shall be trust funds under the terms hereof and shall not be
subject to lien or attachment of any creditor of the Issuer or of the Company. Such moneys shall
be held in trust and applied in accordance with the provisions of this Indenture.
Section 4.6. Investment. Moneys on deposit in the Funds established in this
Article IV hereof shall be invested as provided in Section 6.6 hereof.
End of Article IV)
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ARTICLE V.
REDEMPTION OF BONDS BEFORE MATURITY
Section 5.1. Redemption Dates and Prices. The Bonds maturing on or after
1,20 , are subject to redemption prior to maturity at the option of the Issuer on or
after 1, 20 , upon thirty (30)days' notice, in whole or in part, in order of maturity
determined by Issuer and by lot within maturities, at face value, plus accrued interest to the date
fixed for redemption.
If fewer than all of the Bonds at the time outstanding are to be called for redemption,
the maturities of Bonds or portions thereof to be redeemed shall be in inverse order of maturity.If
fewer than all of the Bonds within a maturity are to be redeemed,the Trustee shall apply moneys
available for redemption on a pro rata basis,based on the respective portion of the principal amount
of Bonds held by the respective owners of the Bonds within such maturity that shall be redeemed.
Section 5.2. Notice of Redemption. In the case of redemption of Bonds pursuant
to Section 5.1 hereof, notice of the call for any such redemption identifying the Bonds,or portions
of fully registered Bonds,to be redeemed shall be given by mailing a copy of the redemption notice
by first class mail not less than thirty(30)days nor more than sixty(60)days prior to the date fixed
for redemption to the registered owner of each Bond to be redeemed at the address shown on the
registration books. Such notice of redemption shall specify the Bond numbers and called amounts
of each Bond,the redemption date,redemption price, interest rate, maturity date and the name and
address of the Trustee;provided,however,that failure to give such notice by mailing,or any defect
therein, with respect to any such registered Bond shall not affect the validity of any proceedings
for the redemption of other Bonds. In the event of a partial redemption the Bonds shall be
redeemed in inverse order of maturity.
On and after the redemption date specified in the aforesaid notice, such Bonds, or
portions thereof, thus called shall not bear interest, shall no longer be protected by this Indenture
and shall not be deemed to be outstanding under the provisions of this Indenture, and the holders
thereof shall have the right only to receive the redemption price thereof plus accrued interest
thereon to the date fixed for redemption.
Section 5.3. Cancellation. All Bonds which have been redeemed in whole shall
be canceled and cremated or otherwise destroyed by the Trustee and shall not be reissued and a
counterpart of the certificate of cremation or other destruction evidencing such cremation or other
destruction shall be furnished by the Trustee to the Issuer upon request.
Section 5.4. Redemption Payments. Prior to the date fixed for redemption in
whole, funds shall be deposited with Trustee to pay,and Trustee is hereby authorized and directed
to apply such funds to the payment of the Bonds or portions thereof called, together with accrued
interest thereon to the redemption date. Upon the giving of notice and the deposit of funds for
redemption, interest on the Bonds thus called shall no longer accrue after the date fixed for
redemption.No payment in full shall be made by the Trustee upon any Bond until such Bond shall
have been delivered for payment or cancellation or the Trustee shall have received the items
required by Section 2.8 hereof with respect to any mutilated, lost, stolen or destroyed Bond.
21
Section 5.5. Partial Redemption of Bonds. If fewer than all of the Bonds at the
time outstanding are to be called for redemption,the maturities of Bonds or portions thereof to be
redeemed shall be selected by the Trustee at the direction of the Issuer. If fewer than all of the
Bonds within a maturity are to be redeemed, the Trustee shall apply moneys available for
redemption in inverse order of maturity. The Trustee shall call for redemption in accordance with
the foregoing provisions as many Bonds or portions thereof as will, as nearly as practicable;
exhaust the moneys available therefor.
If less than the entire principal amount of any registered Bond then outstanding is
called for redemption,then upon notice of redemption given as provided in Section 5.2 hereof,the
owner of such registered Bond may surrender such Bond to the Trustee in exchange for (a)
payment of the redemption price of, plus accrued interest on the principal amount called for
redemption and (b) a new Bond or Bonds of like series in an aggregate principal amount equal to
the unredeemed balance of the principal amount of such registered Bond, which shall be issued
without charge therefor. If the owner of a Bond elects not to surrender the Bond in exchange for
a new Bond or Bonds in accordance with clause (b) in the preceding sentence, such owner shall
make a notation indicating the principal amount of such redemption and the date thereof on the
Bond; provided the failure of the owner to note the principal amount of any partial redemption or
any inaccuracy therein, shall not affect the payment obligation of the Issuer thereunder.
End of Article V)
22
ARTICLE VI.
GENERAL COVENANTS
Section 6.1. Payment of Principal and Interest. The Issuer covenants that it will
promptly pay the principal of and interest on every Bond issued under this Indenture at the place,
on the dates and in the manner provided herein and in said Bonds according to the true intent and
meaning thereof. The principal of and interest on the Bonds are payable solely and only from the
Trust Estate(including the TIF Revenues,the Taxpayer Direct Payments and the Loan Payments)
which is hereby specifically pledged and assigned to the payment thereof in the manner and to the
extent herein specified, and nothing in the Bonds or in this Indenture should be considered as
pledging any other funds or assets of the Issuer or the Company. The Bonds, and the interest
payable thereon, do not and shall not represent or constitute a debt of the Issuer, the State of
Indiana, or any political subdivision or taxing authority thereof within the meaning of the
provisions of the constitution or statutes of the State of Indiana or a pledge of the faith and credit
of the Issuer, the State of Indiana, or any political subdivision or taxing authority thereof. The
Bonds, as to both principal and interest, are not an obligation or liability of the Issuer, the State of
Indiana, or of any political subdivision or taxing authority thereof, but are special limited
obligations of the Issuer and are payable solely and only from the Trust Estate(which includes the
TIF Revenues, the Taxpayer Direct Payments and the Loan Payments) pledged and assigned for
their payment in accordance with the Indenture. Neither the faith and credit nor the taxing power
of the Issuer,the State of Indiana or any political subdivision or taxing authority thereof is pledged
to the payment of the principal of or the interest on the Bonds. The Bonds do not grant the owners
or holders thereof any right to have the Issuer,the State of Indiana or its General Assembly,or any
political subdivision or taxing authority of the State of Indiana, levy any taxes or appropriate any
funds for the payment of the principal of or interest on the Bonds.The Issuer has no taxing power
with respect to the Bonds.No covenant or agreement contained in the Bonds,the Loan Agreement
or the Indenture shall be deemed to be a covenant or agreement of any member, director, officer,
agent, attorney or employee of the Economic Development Commission, the Redevelopment
Commission or the Issuer in his or her individual capacity,and no member,director,officer,agent,
attorney or employee of the Economic Development Commission, the Redevelopment
Commission or the Issuer executing the Bonds shall be liable personally on the Bonds or be subject
to any personal liability or accountability by reason of the issuance of the Bonds.
Section 6.2. Performance of Covenants. The Issuer covenants that it will
faithfully perform at all times any and all covenants, undertakings, stipulations and provisions
contained in this Indenture,in any and every Bond executed,authenticated and delivered hereunder
and in all proceedings of its members pertaining thereto. The Issuer represents that it is duly
authorized under the constitution and laws of the State of Indiana to issue the Bonds authorized
hereby and to execute this Indenture,pledge the TIF Revenues,the Taxpayer Direct Payments and
the Loan Payments in the manner and to the extent herein set forth; that all action on its part for
the issuance of the Bonds and the execution and delivery of this Indenture has been duly and
effectively taken, and that the Bonds in the hands of the holders and owners thereof are and will
be valid and enforceable obligations of the Issuer according to the import thereof.
Section 6.3. Filing of Indenture and Security Instruments. The Issuer shall cause
this Indenture and all supplements thereto as well as such other security instruments, financing
statements and all supplements thereto and other instruments as may be required from time to time
23
to be filed in such manner and in such places as may be required by law in order to fully preserve
and protect the lien hereof and the security of the holders and owners of the Bonds and the rights
of the Trustee hereunder.
Section 6.4. List of Bondholders. The Trustee will keep on file at the principal
office of the Trustee a list of names and addresses of the holders of all Bonds. At reasonable times
and under reasonable regulations established by the Trustee, said list may be inspected and copied
by the holders and/or owners(or a designated representative thereof)of 25%or more in principal
amount of Bonds then outstanding, such ownership and the authority of any such designated
representative to be evidenced to the satisfaction of the Trustee.
Section 6.5. Rights Under Loan Agreement. The Issuer agrees that the Trustee
in its name or in the name of the Issuer may enforce all rights of the Issuer and all obligations of
the Company under and pursuant to the Loan Agreement(except the rights reserved to the Issuer
therein) for and on behalf of the Bondholders, whether or not the Issuer is in default hereunder.
Section 6.6. Investment of Funds. With respect to any moneys held by the
Trustee under any Fund established hereunder, the Company and the Issuer agree that all moneys
in the Project Fund established by this Indenture may, at the written direction of the Issuer, be
invested in Qualified Investments, and all moneys in any other Fund established by this Indenture
may, at the written direction of the Issuer, be invested in Qualified Investments to the extent
permitted by law. The Trustee may conclusively rely upon the written investment direction of the
Issuer as to both the suitability and legality of the directed investments and such written direction
shall be deemed to be a certification that such investments constitute Qualified Investments. In
the absence of such direction from the Issuer, the Trustee shall hold amounts uninvested, without
liability for interest thereon. With respect to any moneys held by the Issuer under any Fund
established by this Indenture, the Issuer may invest such moneys in Qualified Investments as it
deems appropriate. Investments of moneys in the Bond Fund shall mature or be redeemable at the
option of the Trustee at the times and in the amounts necessary to provide moneys to pay the
principal of and interest on the Bonds by redemption or otherwise. All income derived from the
investment of moneys on deposit in such Fund shall be deposited in or credited to and any loss
resulting from such investment will be charged to the corresponding Fund from which such
investment was made.
The Trustee is hereby authorized to trade with itself in the purchase and sale of
securities for investments.Neither the Trustee nor the Issuer shall be liable or responsible for any
loss resulting from any investment. All such investments shall be held by or under the control of
the Trustee or the Issuer, as applicable,and any income resulting therefrom shall be applied in the
manner specified in this Indenture.
Although the Issuer recognizes that it may obtain a broker confirmation or written
statement containing comparable information at no additional cost, the Issuer agrees that
confirmations of investments are not required to be issued by the Trustee for each month in which
a monthly statement is rendered and that no statement need be rendered for any fund or account if
no activity occurred in such fund or account during such month.
The Trustee may elect, but shall not be obligated, to credit the funds and accounts
held by the Trustee with moneys representing income or principal payments due on, or sales
proceeds due in respect of, Qualified Investments in such funds and accounts, or to credit to
24
Qualified Investments intended to be purchased with such moneys, in each case before actually
receiving the requisite moneys from the payment source,or to otherwise advance funds for account
transactions. The Issuer acknowledges that the legal obligation to pay the purchase price of any
Qualified Investment arises immediately at the time of the purchase. Notwithstanding anything
else in this Indenture to the contrary, (i) any such crediting of funds or assets shall be provisional
in nature,and the Trustee shall be authorized to reverse any such transactions or advances of funds
in the event that it does not receive good funds with respect thereto, and (ii) nothing in this
Indenture shall constitute a waiver of any of the Trustee's rights as a securities intermediary under
Uniform Commercial Code § 9-206.
Section 6.7. Non-presentment of Bonds. In the event any Bond shall not be
presented for payment when the principal thereof becomes due,upon final maturity or redemption
in full, if funds sufficient to pay any such Bond shall have been made available to Trustee for the
benefit of the holder or holders thereof, all liability of Issuer to the holder thereof for the payment
of such Bond shall forthwith cease,determine and be completely discharged,and thereupon it shall
be the duty of Trustee to hold such funds for five (5) years without liability for interest thereon;
for the benefit of the holder of such Bond, who shall thereafter be restricted exclusively to such
funds, for any claim of whatever nature on his part under this Indenture or on, or with respect to,
such Bond.
Any moneys so deposited with and held by the Trustee not so applied to the
payment of Bonds within five (5) years after the date on which the same shall become due shall
be repaid by Trustee to the Issuer and thereafter Bondholders shall be entitled to look only to the
Issuer for payment, and then only to the extent of the amount so repaid.
Notwithstanding anything herein to the contrary, the Bonds shall only need to be
presented and surrendered for payment upon the final maturity or optional redemption thereof.
Section 6.8. Ownership; Instruments of Further Assurance. The Issuer covenants that it
will defend its interest in the Loan Agreement to the Trustee, for the benefit of the holders and
owners of the Bonds against the claims and demands of all persons whomsoever. The Issuer
covenants that it will do, execute, acknowledge and deliver or cause to be done, executed,
acknowledged and delivered, such indentures supplemental hereto and such further acts,
instruments and transfers as the Trustee may reasonably require for the better assuring,
transferring, mortgaging, conveying, pledging, assigning and confirming unto the Trustee, the
Loan Agreement.
25
Section 6.9. Rights Under Loan Agreement. The Issuer agrees that the Trustee in its
name or in the name of the Issuer may enforce all rights of the Issuer and all obligations of the
Company under and pursuant to the Loan Agreement for and on behalf of the Bondholders,
whether or not the Issuer is in default hereunder.
End of Article VI)
26
ARTICLE VII.
DEFAULTS AND REMEDIES
Section 7.1. Events of Default. Each of the following events is hereby declared
an"event of default,"that is to say, if
a) payment of any amount payable on the Bonds shall not be made when the same is
due and payable; or
b) any event of default as defined in Section 6.1 of the Loan Agreement shall occur
and be continuing; or
c) any event of default shall occur under the Taxpayer Agreement or the Development
Agreement and be continuing; or
d) the Issuer shall default in the due and punctual performance of any other of the
covenants, conditions, agreements and provisions contained in the Bonds or in this Indenture or
any agreement supplemental hereof on the part of the Issuer to be performed, and such default
shall continue for thirty (30) days after written notice specifying such default and requiring the
same to be remedied shall have been given to the Issuer and the Company by the Trustee, which
may give such notice in its discretion and shall give such notice at the written request of the holders
of all of the Bonds then outstanding hereunder; or
e) the Issuer shall fail to apply collected TIF Revenues as required by Article IV of
this Indenture.
Section 7.2. Acceleration. Upon the happening of any event of default specified in
clause (a), (b), (c), or (d) of Section 7.1 and the continuance of the same for the period, if any,
specified in that Section,the Trustee,by notice in writing delivered to the Issuer and the Company,
at the written direction of the Requisite Bondholders shall declare the entire unpaid principal
amount of the Bonds then outstanding,and the interest accrued thereon,to be immediately due and
payable. The Issuer's obligation to pay TIF Revenues shall not be subject to acceleration.
Section 7.3. Remedies: Rights of Bondholders.
a) If an event of default occurs,with the consent of Requisite Bondholders,the
Trustee may pursue any available remedy by suit at law or in equity to
enforce the payment of the principal of,premium,if any,and interest on the
Bonds then outstanding, to enforce any obligations of the Issuer hereunder,
and of the Company under the Loan Agreement and the Taxpayer
Agreement.
b) Upon the occurrence of an event of default, if directed to do so by the
Requisite Bondholders and if indemnified as provided in Section 8.1 hereof,
the Trustee shall be obliged to exercise such one or more of the rights and
powers conferred by this Article as the Trustee, being advised by counsel,
shall deem most expedient in the interests of the Bondholders.
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c) No remedy by the terms of this Indenture conferred upon or reserved to the
Trustee (or to the Bondholders) is intended to be exclusive of any other
remedy, but each and every such remedy shall be cumulative and shall be
in addition to any other remedy given to the Trustee or to the Bondholders
hereunder or now or hereafter existing at law or in equity or by statute.
d) No delay or omission to exercise any right or power accruing upon any
event of default shall impair any such right or power or shall be construed
to be a waiver of any event of default or acquiescence therein, and every
such right and power may be exercised from time to time as may be deemed
expedient.
e) No waiver of any event of default hereunder, whether by the Trustee or by
the Bondholders, shall extend to or shall affect any subsequent event of
default or shall impair any rights or remedies consequent thereon.
Section 7.4. Right of Bondholders to Direct Proceedings. The Requisite
Bondholders shall have the right, at any time,by an instrument or instruments in writing executed
and delivered to the Trustee,to direct the time,the method and place of conducting all proceedings
to be taken in connection with the enforcement of the terms and conditions of this Indenture, or
for the appointment of a receiver or any other proceedings hereunder;provided,that such direction
shall not be otherwise than in accordance with the provisions of law and of this Indenture.
Section 7.5. Application of Moneys.
Notwithstanding anything herein to the contrary, all moneys received by the
Trustee pursuant to any right given or action taken under the provisions of this Article and any
other moneys held as part of the Trust Estate shall, after payment of the cost and expenses of the
proceedings resulting in the collection of such moneys and of the outstanding fees, expenses,
liabilities and advances incurred or made by the Trustee or the Issuer, and the creation of a
reasonable reserve for anticipated fees,costs and expenses,be deposited in the Bond Fund and all
moneys in the Bond Fund shall be applied as follows:
1) Unless the principal of all the Bonds shall have become or shall have been declared
due and payable, all such moneys shall be applied:
First: To the payment to the persons entitled thereto of all installments of interest
then due on the Bonds, in the order of the maturity of the installments of such interest, and
if the amount available shall not be sufficient to pay in full any particular installment,then
to the payment ratably, according to the amounts due on such installment, to the persons
entitled thereto, without any discriminations or privilege;
Second: To the payment to the persons entitled thereto of the unpaid principal of
and premium, if any, of the Bonds which shall have become due (other than Bonds called
for redemption for the payment of which moneys are held pursuant to the provisions of this
Indenture), in the order of their due dates,with interest on such Bonds from the respective
dates upon which they become due, and if the amount available shall not be sufficient to
pay in full Bonds due on any particular date, together with such interest, then to the
payment ratably, according to the amount of principal due on such date, to the persons
entitled thereto without any discrimination or privilege; and
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Third: To the payment of the balance, if any, to the Company or its successors or
assigns, upon the written request of the Company or to whomsoever may be lawfully
entitled to receive the same upon its written request, or as any court of competent
jurisdiction may direct, except for any remaining TIF Revenues which shall be paid to the
Redevelopment Commission.
2) If the principal of all the Bonds shall have become due or shall have been declared
due and payable,all such moneys shall be applied to the payment of the principal and interest then
due and unpaid upon the Bonds, without preference or priority of principal over interest or of
interest over any other installment of interest, according to the amounts due respectively for
principal and interest, to the persons entitled thereto without any discrimination or privilege.
3) If the principal of all the Bonds shall have been declared due and payable, and if
such declaration shall thereafter have been rescinded and annulled under the provisions of this
Article then,subject to the provisions of subsection(b)of this Section in the event that the principal
of all the Bonds shall later become due or be declared due and payable,the moneys shall be applied
in accordance with the provisions of subsection(a)of this Section.
Whenever moneys are to be applied pursuant to the provisions of this Section, such
moneys shall be applied at such times,and from time to time,as the Trustee shall determine,having
due regard to the amount of such moneys available for application and the likelihood of additional
moneys becoming available for such application in the future. Whenever the Trustee shall apply
such funds,it shall fix the date(which shall be an interest payment date unless it shall deem another
date more suitable) upon which such application is to be made and upon such date interest on the
amounts of principal to be paid on such dates shall cease to accrue. The Trustee shall give such
notice as it may deem appropriate of the deposit with it of any such moneys and of the fixing of
any such date and shall not be required to make payment to the holder of any Bond until such Bond
shall be presented to the Trustee for appropriate endorsement or for cancellation if fully paid.
Section 7.6. Remedies Vested In Trustee. All rights of action(including the right
to file proof of claims) under this Indenture or under any of the Bonds may be enforced by the
Trustee without the possession of any of the Bonds or the production thereof in any trial or other
proceedings relating thereto, and any such suit or proceeding instituted by the Trustee shall be
brought in its name as Trustee without the necessity of joining as plaintiffs or defendants any
holders of the Bonds, and any recovery of judgment shall, subject to the provisions of Section 7.5
hereof, be for the equal benefit of the holders of the outstanding Bonds.
Section 7.7. Rights and Remedies of Bondholders. No holder of any Bond shall
have any right to institute any suit, action or proceeding in equity or at law for the enforcement of
this Indenture or for the execution of any trust thereof or for the appointment of a receiver or any
other remedy hereunder, unless a default has occurred of which the Trustee has been notified as
provided in subsection (g) of Section 8.1, or of which by said subsection it is deemed to have
notice, nor unless also such default shall have become an event of default and the Requisite
Bondholders shall have made written request to the Trustee and shall have offered reasonable
opportunity either to proceed to exercise the powers hereinbefore granted or to institute such
action, suit or proceeding in its own name, nor unless also they have offered to the Trustee
indemnity as provided in Section 8.1 hereof, nor unless the Trustee shall thereafter fail or refuse
to exercise the powers hereinbefore granted, or to institute such action, suit or proceeding in its,
his, or their own name or names. Such notification, request and offer of indemnity are hereby
29
declared in every case at the option of the Trustee to be conditions precedent to the execution of
the powers and trusts of this Indenture, and to any action or cause of action for the enforcement of
this Indenture, or for the appointment of a receiver or for any other remedy hereunder; it being
understood and intended that no one or more holders of the Bonds shall have any right in any
manner whatsoever to affect,disturb or prejudice the lien of this Indenture by its,his or their action
or to enforce any right hereunder except in the manner herein provided, and that all proceedings
at law or in equity shall be instituted, had and maintained in the manner herein provided and for
the equal benefit of the holders of all Bonds then outstanding.Nothing in this Indenture contained
shall, however, affect or impair the right of any Bondholder to enforce the covenants of the Issuer
to pay the principal of and interest on each of the Bonds issued hereunder to the respective holders
thereof at the time, place, from the source and in the manner in said Bonds expressed.
Section 7.8. Termination of Proceedings. In case the Trustee shall have
proceeded to enforce any right under this Indenture by the appointment of a receiver,or otherwise,
and such proceedings shall have been discontinued or abandoned for any reason, or shall have
been determined adversely, then and in every such case the Issuer, the Company and the Trustee
shall be restored to their former positions and rights hereunder,and all rights,remedies and powers
of the Trustee shall continue as if no such proceedings had been taken.
Section 7.9. Waivers of Events of Default. At the written direction of the
Requisite Bondholders the Trustee may in its discretion waive any event of default hereunder and
its consequences and rescind any declaration of maturity of principal of and interest on the Bonds,
and shall do so upon the written request of the holders of(1) all the Bonds then outstanding in
respect of which default in the payment of principal or interest exists, or (2) all Bonds then
outstanding in the case of any other default; provided, however, that there shall not be waived
without the consent of all Bondholders (a) any event of default in the payment of the principal of
any outstanding Bonds at the date of maturity specified therein, or(b) any default in the payment
when due of the interest on any such Bonds unless prior to such waiver or rescission, arrears of
interest, with interest(to the extent permitted by law) at the rate borne by the Bonds in respect of
which such default shall have occurred on overdue installments of interest or all arrears of
payments of principal when due,as the case may be,and all expenses of the Trustee in connection
with such default shall have been paid or provided for,and in case of any such waiver or rescission,
or in case any proceeding taken by the Trustee on account of any such default shall have been
discontinued or abandoned or determined adversely, then and in every such case the Issuer, the
Trustee and the Bondholders shall be restored to their former positions and rights hereunder,
respectively, but no such waiver or rescission shall extend to any subsequent or other default, or
impair any right consequent thereon.
End of Article VII)
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ARTICLE VIII.
THE TRUSTEE
Section 8.1. Acceptance of the Trusts. The Trustee hereby accepts the trusts
imposed upon it by this Indenture,and agrees to perform said trusts as a corporate trustee ordinarily
would perform said trusts under a corporate indenture, but no implied covenants or obligations
shall be read into this Indenture against the Trustee.
a) The Trustee may execute any of the trusts or powers hereof and perform any of its
duties by or if appointed through attorneys, agents, receivers or employees but shall not be
answerable for the conduct of the same in accordance with the standard specified above, and shall
be entitled to advice of counsel concerning all matters of trusts hereof and the duties hereunder,
and may in all cases pay such reasonable compensation to all such attorneys,agents,receivers and
employees as may reasonably be employed in connection with the trusts hereof. The Trustee may
act upon the opinion or advice of any attorney(who may be the attorney or attorneys for the Issuer
or the Company). The Trustee shall not be responsible for any loss or damage resulting from any
action or non-action in good faith in reliance upon such opinion or advice.
b) The Trustee shall not be responsible for any recital herein, or in the Bonds(except
in respect to the certificate of the Trustee endorsed on the Bonds), or for insuring the property
herein conveyed or collecting any insurance moneys, or for the validity of the execution by the
Issuer of this Indenture or of any supplements thereto or instruments of further assurance, or for
the sufficiency of the security for the Bonds issued hereunder or intended to be secured hereby, or
for the value or title of the property herein conveyed or otherwise as to the maintenance of the
security hereof;and the Trustee shall not be bound to ascertain or inquire as to the performance or
observance of any covenants, conditions or agreements on the part of the Issuer or on the part of
the Company under the Loan Agreement, the Taxpayer Agreement or the Development
Agreement; but the Trustee may require of the Issuer or the Company full information and advice
as to the performance of the covenants,conditions and agreements aforesaid as to the condition of
the property herein conveyed.The Trustee shall have no obligation to perform any of the duties of
the Issuer under the Loan Agreement, and the Trustee shall not be responsible or liable for any
loss suffered in connection with any investment of funds made by it in accordance with the
provisions of this Indenture.
c) The Trustee shall not be accountable for the use of any Bonds authenticated by it
or delivered hereunder. The Trustee may become the owner of Bonds secured hereby with the
same rights which it would have if not Trustee.
d) The Trustee shall be protected in acting upon any notice, request, consent,
certificate,order,affidavit, letter, telegram or other paper or document believed to be genuine and
correct and to have been signed or sent by the proper person or persons. Any action taken by the
Trustee pursuant to this Indenture upon the request or authority or consent of any person who at
the time of making such request or giving such authority or consent is the owner of any Bonds,
shall be conclusive and binding upon all future owners of the same Bond and upon Bonds issued
in exchange therefor or in place thereof.
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e) As to the existence or non-existence of any fact or as to the sufficiency or validity
of any instrument,paper or proceeding,the Trustee shall be entitled to rely upon a certificate signed
on behalf of the Issuer or the Company by its duly authorized officers as sufficient evidence of the
facts therein contained and prior to the occurrence of a default of which the Trustee has been
notified as provided in subsection (g) of this Section, or of which said subsection it is deemed to
have notice, shall also be at liberty to accept a similar certificate to the effect that any particular
dealing,transaction or action is necessary or expedient,but may at its discretion secure such further
evidence deemed necessary or advisable, but shall in no case be bound to secure the same. The
Trustee may accept a certificate of the Issuer or the Company under its seal to the effect that an
ordinance or resolution in the form therein set forth has been adopted by the Issuer or the Company
as conclusive evidence that such ordinance or resolution has been duly adopted,and is in full force
and effect.
0 The duties and obligations of the Trustee shall be determined solely by the express
provisions of this Indenture, and the Trustee shall not be liable except for the performance of such
duties and obligations as are specifically set forth in this Indenture, and no implied covenants or
obligations shall be read into this Indenture against the Trustee. The permissive right of the Trustee
to do things enumerated in this Indenture shall not be construed as a duty; provided,however, the
foregoing shall not affect the duties of the Trustee expressly set forth herein.The Trustee shall not
be answerable for other than its gross negligence or willful misconduct.
g) The Trustee shall not be required to take notice or be deemed to have notice of any
event of default hereunder(other than payment of the principal and interest on the Bonds) unless
the Trustee shall be specifically notified in writing of such default by the Issuer or by the holders
of at least twenty-five percent(25%) in aggregate principal amount of all Bonds then outstanding
and all notices or other instruments required by this Indenture to be delivered to the Trustee must,
in order to be effective, be delivered at the principal corporate trust office of the Trustee, and in
the absence of such notice so delivered, the Trustee may conclusively assume there is no default
except as aforesaid.
h) At any and all reasonable times and upon reasonable prior written notice, the
Trustee, and its duly authorized agents, attorneys, experts, engineers, accountants and
representatives, shall have the right fully to inspect the Project, and to take such memoranda from
and in regard thereto as may be desired.
i) The Trustee shall not be required to give any Bonds or surety in respect of the
execution of the said trusts and powers or otherwise in respect of the premises.
j) Notwithstanding anything elsewhere in this Indenture contained, the Trustee shall
have the right, but shall not be required,to demand, in respect of the authentication of any Bonds,
the withdrawal of any cash, the release of any property, or any action whatsoever within the
purview of this Indenture, any showings,certificates, opinions, appraisals or other information, or
corporate action or evidence thereof, in addition to that by the terms hereof required as a condition
of such action by the Trustee,deemed desirable for the authentication of any Bonds,the withdrawal
of any cash, or the taking of any other action by the Trustee.
k) Before taking any action under this Section 8.1 the Trustee may require that a
satisfactory indemnity bond be furnished for the reimbursement of all expenses to which it may be
put and to protect it against all liability,except liability which is adjudicated to have resulted from
32
its gross negligence or willful misconduct in connection with any action so taken. Such indemnity
shall survive the termination of this Indenture.
1) All moneys received by the Trustee shall, until used or applied or invested as herein
provided,be held in trust for the purposes for which they were received but need not be segregated
from other funds except to the extent required by law. The Trustee shall not be under any liability
for interest on any moneys received hereunder except such as may be agreed upon.
m) If any event of default under this Indenture of which the Trustee has knowledge or
is deemed to have knowledge pursuant to subsection (g) of this Section 8.1 shall have occurred
and be continuing, the Trustee shall exercise such of the rights and powers vested in it by this
Indenture and shall use the same degree of care as a prudent man would exercise or use in the
circumstances in the conduct of his own affairs.
n) The Trustee agrees to accept and act upon instructions or directions pursuant to this
Indenture sent by Electronic Means (as hereinafter defined), provided, however, that the Issuer
and the Company shall provide to the Trustee an incumbency certificate listing designated persons
authorized to provide such instructions,which incumbency certificate shall be amended whenever
a person is to be added or deleted from the listing. "Electronic Means" shall mean the following
communications methods: a portable document format("pdf')or other replicating image attached
to an e-mail, facsimile transmission, secure electronic transmission containing applicable
authorization codes, passwords and/or authentication keys issued by the Trustee, or another
method or system specified by the Trustee as available for use in connection with its services
hereunder.If the Issuer and the Company elect to give the Trustee instructions by Electronic Means
and the Trustee in its discretion elects to act upon such instructions, the Trustee's understanding
of such instructions shall be deemed controlling. The Trustee shall not be liable for any losses,
costs or expenses arising directly or indirectly from the Trustee's reliance upon and compliance
with instructions delivered by Electronic Means notwithstanding such instructions conflict or are
inconsistent with a subsequent written instruction. The Issuer and the Company agree to assume
all risks arising out of the use of Electronic Means to submit instructions and directions to the
Trustee, including without limitation the risk of the Trustee acting on unauthorized instructions,
and the risk or interception and misuse by third parties.
Section 8.2. Fees, Charges and Expenses of the Trustee and Paying Agent. The
Trustee and Paying Agent shall be entitled to payment and/or reimbursement for reasonable fees
for its services rendered hereunder and all advances, counsel fees and other expenses reasonably
and necessarily made or incurred by the Trustee or Paying Agent in connection with such services.
Upon an event of default, but only upon an event of default, the Trustee shall have a right of
payment prior to payment on account of interest on or principal of any Bond for the foregoing
advances, fees, costs and expenses incurred.
Section 8.3. Notice to Bondholders if Default Occurs. If an event of default
occurs of which the Trustee is by subsection(g) of Section 8.1 hereof required to take notice or if
notice of an event of default be given as in said subsection(g)provided,then the Trustee shall give
written notice thereof by registered or certified mail to the last known holders of all Bonds then
outstanding shown by the list of Bondholders required by the terms of this Indenture to be kept at
the office of the Trustee.
33
Section 8.4. Intervention by Trustee. In any judicial proceeding to which the
Issuer is a party and which in the reasonable judgment of the Trustee and its counsel has a
substantial bearing on the interests of holders of the Bonds, the Trustee may intervene on behalf
of Bondholders and, subject to the provisions of Section 8.1(1), shall do so if requested in writing
by the Requisite Bondholders. The rights and obligations of the Trustee under this Section are
subject to the approval of a court of competent jurisdiction.
Section 8.5. Successor Trustee. Any corporation or association into which the
Trustee may be converted or merged,or with which it may be consolidated,or to which it may sell
or transfer its corporate trust business and assets as a whole or substantially as a whole, or any
corporation or association resulting from any such conversion, sale, merger, consolidation or
transfer to which it is a party, ipso facto, shall be and become successor Trustee hereunder and
vested with all of the title to the whole property or trust estate and all the trusts,powers,discretions,
immunities, privileges and all other matters as was its predecessor, without the execution or filing
of any instrument or any further act, deed or conveyance on the part of any of the parties hereto,
anything herein to the contrary notwithstanding.
Section 8.6. Resignation by the Trustee. The Trustee and any successor Trustee
may at any time resign from the trusts hereby created by giving thirty days' written notice to the
Issuer and the Company and by registered or certified mail to each registered owner of Bonds then
outstanding and to each holder of Bonds as shown by the list of Bondholders required by this
Indenture to be kept at the office of the Trustee, and such resignation shall take effect at the end of
such thirty (30) days, or upon the earlier appointment of a successor Trustee by the Bondholders
or by the Issuer. Such notice to the Issuer and the Company may be served personally or sent by
registered or certified mail.
Section 8.7. Removal of the Trustee. The Trustee may be removed at any time
by an instrument or concurrent instruments in writing delivered to the Trustee and to the Issuer
and signed by all the Bondholders.
Section 8.8. Appointment of Successor Trustee by the Bondholders; Temporary.
Trustee. In case the Trustee hereunder shall resign or be removed, or be dissolved, or shall be in
course of dissolution or liquidation,or otherwise become incapable of acting hereunder,or in case
it shall be taken under control of any public officer or officers, or of a receiver appointed by a
court, a successor may be appointed by the owners of a majority in aggregate principal amount of
Bonds then outstanding, by an instrument or concurrent instruments in writing signed by such
owners, or by their attorneys-in-fact, duly authorized; provided, nevertheless, that in case of such
vacancy,the Issuer,by an instrument executed by one of its duly authorized officers,may appoint
a temporary Trustee to fill such vacancy until a successor Trustee shall be appointed by the
Bondholders in the manner above provided; and any such temporary Trustee so appointed by the
Issuer shall immediately and without further act be superseded by the Trustee so appointed by such
Bondholders. Every such Trustee appointed pursuant to the provisions of this Section shall be a
trust company or Bank,having a reported capital and surplus of not less than Fifty Million Dollars
50,000,000) if there be such an institution willing, qualified and able to accept the trust upon
reasonable or customary terms.
Section 8.9. Concerning Any Successor Trustees. Every successor Trustee
appointed hereunder shall execute, acknowledge and deliver to its predecessor and also to the
Issuer and the Company an instrument in writing accepting such appointment hereunder, and
34
thereupon such successor,without any further act, deed or conveyance, shall become fully vested
with all the estates, properties,rights,powers,trusts, duties and obligations of its predecessor; but
such predecessor shall, nevertheless, on the written request of the Issuer, or of its successor,
execute and deliver an instrument transferring to such successor Trustee all the estates, properties,
rights, powers and trusts of such predecessor hereunder; and every predecessor Trustee shall
deliver all securities and moneys held by it as Trustee hereunder to its successor. Should any
instrument in writing from the Issuer be required by any successor Trustee for more fully and
certainly vesting in such successor the estate, rights, powers and duties hereby vested or intended
to be vested in the predecessor any and all such instruments in writing shall, on request, be
executed, acknowledged and delivered by the Issuer. The resignation of any Trustee and the
instrument or instruments removing any Trustee and appointing a successor hereunder, together
with all other instruments provided for in this Article shall be filed by the successor Trustee in
each office, if any, where the Indenture shall have been filed.
Section 8.10. Trustee Protected in Relying Upon Resolutions, etc. The
resolutions, ordinances, opinions, certificates and other instruments provided for in this Indenture
or the Loan Agreement may be accepted by the Trustee as conclusive evidence of the facts and
conclusions stated therein and shall be full warrant, protection and authority to the Trustee for the
release of property,the withdrawal of cash or the taking of any other action authorized hereunder;
provided,that in the case of any such document specifically required to be furnished to the Trustee
hereby or by the Loan Agreement, the Trustee shall be under a duty to examine the same to
determine whether or not it conforms to the requirements hereof or thereof.
Section 8.11 Appointment of Paying Agent and Registrar; Resignation or Removal of
Paying Agent. The Trustee is hereby appointed"Paying Agent"under this Indenture. Any Paying
Agent may at any time resign and be discharged of the duties and obligations created by this
instrument and any supplemental indenture by giving at least 30 days' written notice to the Issuer,
the Company and the Trustee. Any Paying Agent may be removed at any time by an instrument,
filed with such Paying Agent and the Trustee and signed by the Issuer and the Company. Any
successor Paying Agent shall be appointed by the Issuer at the direction of the Company and shall
be a bank or trust company duly organized under the laws of any state of the United States or a
national banking association, in each case having a capital stock and surplus aggregating at least
100,000,000, willing and able to accept the office on reasonable and customary terms and
authorized by law to perform all the duties imposed upon it by this Indenture.
In the event of the resignation or removal of any Paying Agent, such Paying Agent
shall pay over, assign and deliver any moneys or securities held by it as Paying Agent to its
successors, or if there is no successor,to the Trustee.
End of Article VIII)
35
ARTICLE IX.
SUPPLEMENTAL INDENTURES
Section 9.1. Supplemental Indentures Not Requiring Consent of Bondholders.
The Issuer and the Trustee may without the consent of, or notice to,any of the Bondholders,enter
into an indenture or indentures supplemental to this Indenture;as shall not be inconsistent with the
terms and provisions hereof, for any one or more of the following purposes:
a) To cure any ambiguity or formal defect or omission in this Indenture;
b) To grant to or confer upon the Trustee for the benefit of the Bondholders any
additional rights,remedies,powers or authority that may lawfully be granted to or conferred upon
the Bondholders or the Trustee or any of them;
c) To subject to this Indenture additional revenues, properties or collateral;
d) To make any other change in this Indenture which is not to the prejudice of the
Trustee, the Issuer or the holders of the Bonds;
e) To modify, amend or supplement the Indenture in such manner as required to
permit the qualification thereof under the Trust Indenture Act of 1939, as amended, or any similar
Federal statute hereafter in effect, and, if they so determine, to add to the Indenture such other
terms, conditions and provisions as may be required by said Trust Indenture Act of 1939, as
amended, or similar federal statute; or
f) To achieve compliance of this Indenture with any applicable federal securities or
tax law.
Section 9.2. Supplemental Indentures Requiring Consent of Bondholders.
Exclusive of supplemental indentures covered by Section 9.1 hereof, and subject to the terms and
provisions contained in this Section, and not otherwise, the Requisite Bondholders shall have the
right, from time to time, anything contained in this Indenture to the contrary notwithstanding, to
consent to and approve the execution by the Issuer and the Trustee of such other indenture or
indentures supplemental hereto as shall be deemed necessary and desirable by the Issuer for the
purpose of modifying, altering, amending, adding to or rescinding, in any particular, any of the
terms or provisions contained in this Indenture or in any supplemental indenture; provided
however, that nothing in this section contained shall permit or be construed as permitting (except
as otherwise permitted in this Indenture)(a) an extension of the stated maturity or reduction in the
principal amount of, or reduction in the rate or extension of the time of paying of interest on, any
Bonds, without the consent of the holder of such Bond, or (b) a reduction in the amount or
extension of the time of any payment required by any sinking fund applicable to any Bonds without
the consent of the holders of all the Bonds which would be affected by the action to be taken, or
c) a reduction in the aforesaid aggregate principal amount of Bonds the holders of which are
required to consent to any such supplemental indenture, without the consent of the holders of all
the Bonds at the time outstanding which would be affected by the action to be taken, or (d) a
modification of the rights, duties or immunities of the Trustee, without the written consent of the
Trustee, or(e)a privilege or priority of any Bond over any other Bonds,or(f)deprive the owners
of any Bonds then outstanding of the lien thereby created.
36
Anything herein to the contrary notwithstanding, a supplemental indenture under
this Article which materially affects any rights of the Company shall not become effective unless
and until the Company shall have consented in writing to the execution and delivery of such
supplemental indenture. In this regard, the Trustee shall cause notice of the proposed execution
and delivery of any such supplemental indenture together with a copy of the proposed
supplemental indenture to be mailed by certified or registered mail to the Company at least fifteen
15)days prior to the proposed date of execution and delivery of any such supplemental indenture.
Section 9.3. Opinion of Counsel. The Trustee shall receive prior to its entry into
any supplemental indenture under this Article IX, and shall be fully protected in relying upon,the
opinion of any counsel approved by it who may be counsel for the Issuer, as conclusive evidence
that any such proposed supplemental indenture complies with the provisions of this Indenture,and
that it is proper for the Trustee, under the provisions of this Article IX,to join in the execution of
such supplemental indenture.
End of Article IX)
37
ARTICLE X.
AMENDMENTS TO THE LOAN AGREEMENT
Section 10.1. Amendments etc., to Loan Agreement Not Requiring Consent of
Bondholders. The Issuer and the Trustee with the consent of the Company shall, without the
consent of or notice to the Bondholders,consent to any amendment,change or modification of the
Loan Agreement as may be required (i) by the provisions of the Loan Agreement and this
Indenture, or(ii) for the purpose of curing any ambiguity or formal defect or omission therein, or
iii) in connection with any other change therein which, in the judgment of the Trustee(who may
rely upon the advice and opinion of counsel), is not to the prejudice of the Trustee, the Issuer or
the holders of the Bonds.
Section 10.2. Amendments etc., to Loan Agreement Requiring Consent of
Bondholders. Except for the amendments, changes or modifications as provided in Section 10.1
hereof, neither the Issuer nor the Trustee shall consent to any other amendment, change or
modification of the Loan Agreement without the written approval or consent of the Requisite
Bondholders given and procured as provided in Section 9.2 hereof.
Section 10.3. Opinion of Counsel. The Trustee shall receive prior to consenting
to any amendment to the Loan Agreement under this Article X, and shall be fully protected in
relying upon, the opinion of any counsel approved by it who may be counsel for the Issuer, as
conclusive evidence that any such consent complies with the provisions of this Indenture,and that
it is proper for the Trustee, under the provisions of this Article X, to consent to such amendment
to the Loan Agreement.
End of Article X)
38
ARTICLE XI.
MISCELLANEOUS
Section 11.1. Satisfaction and Discharge. All rights and obligations of the Issuer
and the Company under this Indenture shall terminate, and such instruments shall cease to be of
further effect,and the Trustee shall execute and deliver all appropriate instruments evidencing and
acknowledging the satisfaction of this Indenture,and shall assign and deliver to the Company any
moneys and investments in the Project Fund and shall assign and deliver to the Issuer any moneys
and investments held in any other Fund under this Indenture when:
a) all fees and expenses of the Trustee and Paying Agent shall have been paid;
b) the Issuer and the Company shall have performed all of their covenants and
promises in this Indenture,the Loan Agreement and the Taxpayer Agreement; and
c) all Bonds theretofore authenticated and delivered(i)have become due and payable,
or(ii) are to be retired or called for redemption under arrangements satisfactory to the Trustee for
the giving of notice of redemption by the Trustee at the expense of the Issuer, or (iii) have been
delivered to the Trustee canceled or for cancellation; and, in the case of(i) and (ii) above, there
shall have been deposited with the Trustee either cash in an amount which shall be sufficient, or
investments(but only to the extent that the full faith and credit of the United States of America are
pledged to the timely payment thereof) the principal of and the interest on which when due will
provide moneys which, together with the moneys, if any, deposited with the Trustee, shall be
sufficient,to pay when due the principal or redemption price, if applicable, and interest due and to
become due on the Bonds and prior to the redemption date or maturity date thereof, as the case
may be.
Section 11.2. Defeasance of Bonds. Any Bond shall be deemed to be paid and no
longer Outstanding within the meaning of this Article and for all purposes of this Indenture when
a)payment of the principal and interest of and premium, if any,on such Bond either(i)shall have
been made or caused to be made in accordance with the terms thereof, or (ii) shall have been
provided for by irrevocably depositing with the Trustee in trust and irrevocably set aside
exclusively for such payment, (1) moneys sufficient to make such payment or (2) Government
Obligations maturing as to principal and interest in such amounts and at such times as will insure
the availability of sufficient moneys to make such payment, and(b)all necessary and proper fees,
compensation, indemnities and expenses of the Trustee and the Issuer pertaining to the Bonds with
respect to which such deposit is made shall have been paid or the payment thereof provided for.
At such time as a Bond shall be deemed to be paid hereunder, as aforesaid, such Bond shall no
longer be secured by or entitled to the benefits of this Indenture, except for the purposes of any
such payment from such moneys or Government Obligations.
Notwithstanding the foregoing, no deposit under clause (a)(ii) of the immediately
preceding paragraph shall be deemed payment of such Bonds as aforesaid until (a) proper notice
of redemption of such Bonds shall have been previously given in accordance with Section 5.2 of
this Indenture, or if the Bonds are not by their terms subject to redemption within the next
succeeding sixty(60)days, until the Issuer shall have given the Trustee, in form satisfactory to the
Trustee, irrevocable instructions to notify, as soon as practicable, the Owners of the Bonds, that
39
the deposit required by the preceding paragraph has been made with the Trustee and that the Bonds
are deemed to have been paid in accordance with this Section 11.2 and stating the maturity or
redemption date upon which moneys are to be available for the payment of the principal of and
the applicable redemption premium, if any, on said Bonds, plus interest thereon to the due date
thereof; or(b)the maturity of such Bonds.
All moneys so deposited with the Trustee as provided in this Section 11.2 may also
be invested and reinvested, at the written direction of the Issuer, in Government Obligations,
maturing in the amounts and at the times as hereinbefore set forth, and all income from all
Government Obligations in the hands of the Trustee pursuant to this Section 11.2 which is not
required for the payment of principal of the Bonds and interest and premium, if any, thereon with
respect to which such moneys shall have been so deposited shall be deposited in the Bond Fund as
and when realized and collected for use and application as are other moneys deposited in the Bond
Fund.
Notwithstanding any provision of any other Article of this Indenture which may be
contrary to the provisions of this Section 11.2, all moneys or Government Obligations set aside
and held in trust pursuant to the provisions of this Section 11.2 for the payment of Bonds(including
premium thereon, if any) shall be applied to and used solely for the payment of the particular
Bonds(including the premium thereon, if any)with respect to which such moneys or Government
Obligations have been so set aside in trust.
Anything in Article 9 hereof to the contrary notwithstanding, if moneys or
Government Obligations have been deposited or set aside with the Trustee pursuant to this Section
11.2 for the payment of Bonds and such Bonds shall not have in fact been actually paid in full,no
amendment to the provisions of this Section 11.2 shall be made without the consent of the Owner
of each Bond affected thereby.
The right to register the transfer of or to exchange Bonds shall survive the discharge
of this Indenture.
Section 11.3. Cancellation of Bonds. If the Owner of any Bonds presents that
Bond to the Trustee with an instrument satisfactory to the Trustee waiving all claims for payment
of that Bond, the Trustee shall cancel that Bond and the Bondholder shall have no further claim
against the Trust Estate or the Issuer with respect to that Bond.
Section 11.4. Application of Trust Money. All money or investments deposited
with or held by the Trustee pursuant to Section 11.1 shall be held in trust for the holders of the
Bonds,and applied by it, in accordance with the provisions of the Bonds and this Indenture,to the
payment, either directly or through the Trustee,to the persons entitled thereto,of the principal and
interest for whose payment such money has been deposited with the Trustee; but such money or
obligations need not be segregated from other funds except to the extent required by law.
Section 11.5. Consents, etc., of Bondholders. Any consent, request, direction,
approval, objection or other instrument required by this Indenture to be executed by the
Bondholders may be in any number of concurrent writings of similar tenor and may be executed
by such Bondholders in person or by agent appointed in writing. Provided,however,that wherever
this Indenture requires that any such consent or other action be taken by the holders of a specified
percentage, fraction or majority of the Bonds outstanding, any such Bonds held by or for the
40
account of the Issuer shall not be deemed to be outstanding hereunder for the purpose of
determining whether such requirement has been met. Proof of the execution of any such consent,
request, direction, approval, objection or other instrument or of the writing appointing any such
agent and of the ownership of Bonds; if made in the following manner, shall be sufficient for any
of the purposes of this Indenture,and shall be conclusive in favor of the Trustee with regard to any
action taken under such request or other instrument, namely:
a) The fact and date of the execution by any person of any such writing may be proved
by the certificate of any officer in any jurisdiction who by law has power to take acknowledgments
within such jurisdiction that the person signing such writing acknowledged before him the
execution thereof, or by affidavit of any witness to such execution.
b) The fact of the holding by any person of Bonds transferable by delivery and the
amounts and numbers of such Bonds,and the date of the holding of the same, may be proved by a
certificate executed by any trust company, Bank or Bankers, wherever situated, stating that at the
date thereof the party named therein did exhibit to an officer of such trust company or Bank or to
such Banker, as the property of such party, the Bonds therein mentioned if such certificate shall
be deemed by the Trustee to be satisfactory. The Trustee may, in its discretion, require evidence
that such Bonds have been deposited with a Bank, Bankers or trust company, before taking any
action based on such ownership. In lieu of the foregoing, the Trustee may accept other proofs of
the foregoing as it shall deem appropriate.
For all purposes of this Indenture and of the proceedings for the enforcement
hereof, such person shall be deemed to continue to be the holder of such Bonds until the Trustee
shall have received notice in writing to the contrary.
Section 11.6. Limitation of Rights. With the exception of rights herein expressly
conferred,nothing expressed or mentioned in or to be implied from this Indenture,or the Bonds is
intended or shall be construed to give to any person other than the parties hereto,and the Company,
and the holders of the Bonds, any legal or equitable right, remedy or claim under or in respect to
this Indenture or any covenants,conditions and provisions herein contained,this Indenture and all
of the covenants,conditions and provisions hereof being intended to be and being for the sole and
exclusive benefit of the parties hereto and the Company and the holders of the Bonds as herein
provided.
Section 11.7. Severability. If any provision of this Indenture shall be held or
deemed to be or shall, in fact, be inoperative or unenforceable as applied in any particular case in
any jurisdiction or jurisdictions or in all jurisdictions, or in all cases because it conflicts with any
other provision or provisions hereof or any constitution or statute or rule of public policy, or for
any other reason, such circumstances shall not have the effect of rendering the provision in
question inoperative or unenforceable in any other case or circumstance,or of rendering any other
provision or provisions herein contained invalid, inoperative, or unenforceable to any extent
whatever.
The invalidity of any one or more phrases, sentences, clauses or Sections in this
Indenture contained, shall not affect: the remaining portions of this Indenture, or any part thereof.
Section 11.8. Notices. All notices,demands,certificates or other communications
hereunder shall be sufficiently given and shall be deemed given when mailed by registered or
41
certified mail, postage prepaid, with proper address as indicated below (provided, however,
notices, demands, certificates or other communications to the Trustee shall be effective upon
receipt by the Trustee).The Issuer,the Company, and the Trustee may,by written notice given by
each to the others, designate any address or addresses to which notices, demands, certificates or
other communications to them shall be sent when required as contemplated by this Indenture.Until
otherwise provided by the respective parties, all notices, demands, certificates and
communications to each of them shall be addressed as follows:
To the Company: J.C. Hart Company, Inc.
Attn.: John C. Hart, Jr.
805 City Center Drive, Suite 120
Carmel, Indiana 46032
Email:john@homeisjchart.com
With a copy to: Dinsmore& Shohl, LLP
211 North Pennsylvania Street
One Indiana Square, Suite 1800
Indianapolis, Indiana 46204
Attn: E. Joseph Kremp
Email: Joe.Kremp@Dinsmore.com
To the Issuer: City of South Bend, Indiana
1400S County-City Building
227 West Jefferson Blvd
South Bend, IN 46601
Attn: Executive Director, South Bend Department of
Community Investment
Email: cbauer@southbendin.gov
With a copy to: South Bend Legal Department
1200 County-City Building
227 West Jefferson Blvd.
South Bend, IN 46601
Attn: Corporation Counsel
Email: legaldept@southbendin.gov
To the Trustee:
All notices, approvals, consents, requests and any communications to the Trustee
hereunder or under the Loan Agreement must be in writing in English and must be in the form of
a document that is signed manually or by way of an electronic signature (including electronic
images of handwritten signatures and digital signatures provided by DocuSign,Orbit,Adobe Sign
or any other electronic signature provider acceptable to the Trustee).Electronic signatures believed
by the Trustee to comply with the ESIGN ACT of 2000 or other applicable law shall be deemed
original signatures for all purposes. If the Issuer or the Company chooses to use electronic
signatures to sign documents delivered to the Trustee, the Issuer or the Company, as applicable,
42
agrees to assume all risks arising out of its use of electronic signatures,including without limitation
the risk of the Trustee acting on an unauthorized document and the risk of interception or misuse
by third parties. Notwithstanding the foregoing, the Trustee may in any instance and in its sole
discretion require that an original document bearing a manual signature be delivered to the Trustee
in lieu of, or in addition to, any document signed via electronic signature.
Section 11.9. Counterparts. This Indenture may be simultaneously executed in
several counterparts, each of which shall be an original and all of which shall constitute but one
and the same instrument. The parties hereto agree that the transaction described herein may be
conducted and related documents may be stored by electronic means. Copies, telecopies,
facsimiles,electronic files and other reproductions of original executed documents shall be deemed
to be authentic and valid counterparts of such original documents for all purposes, including the
filing of any claim, action or suit in the appropriate court of law.
Section 11.10. Applicable Law. This Indenture shall be governed exclusively by
the applicable laws of the State of Indiana.
Section 11.11. Immunity of Officers and Directors. No recourse shall be had for
the payment of the principal of or interest on any of the Bonds or for any claim based thereon or
upon any obligation, covenant or agreement in this Indenture contained against any past, present
or future members, officer, directors, agents, attorneys or employees of the Issuer, or any
incorporator, member, officer, director, agents, attorneys, employees or trustee of any successor
corporation, as such, either directly or through the Issuer or any successor corporation, under any
rule of law or equity, statute or constitution or by the enforcement of any assessment or penalty or
otherwise, and all such liability of any such incorporator, members, officers, directors, agents,
attorneys; employees or trustees as such is hereby expressly waived and released as a condition of
and consideration for the execution of this Indenture and issuance of such Bonds.
Section 11.12. Holidays. If any date for the payment of principal or interest on the
Bonds is not a business day then such payment shall be due on the first business day thereafter.
End of Article XI)
43
IN WITNESS WHEREOF, the City of South Bend, Indiana, has caused these presents to
be signed in its name and behalf by its Mayor and its corporate seal to be hereunto affixed and
attested by its Clerk, and to evidence its acceptance of the trusts hereby created,
has caused these presents to be signed
in its name and behalf by its duly authorized officer, all as of the day and year first above written.
CITY OF SOUTH BEND, INDIANA
By:
Mayor
Attest:
Clerk
SEAL:
as Trustee
By:
Printed:
Title:
SIGNATURE PAGE OF THE TRUST INDENTURE]
EXHIBIT A
STATEMENT NO. REQUESTING DISBURSEMENT OF FUNDS FROM
PROJECT FUND PURSUANT TO SECTION 4.3 OF THE TRUST INDENTURE
BETWEEN THE CITY OF SOUTH BEND, INDIANA AND U.S. BANK TRUST
COMPANY,NATIONAL ASSOCIATION
Pursuant to Section 4.3 of the Trust Indenture(the"Indenture")dated as of
1, 2025, between the City of South Bend, Indiana (the "Issuer") and
the"Trustee"),the undersigned,as the Authorized
Representative(as defined in the Indenture) of J.C. Hart Company, Inc. (the"Company"),
hereby requests and authorizes the Trustee, as depository of the Project Fund created by
and as defined in the Indenture to pay to the Company or to the person(s) listed on the
Disbursement Schedule attached hereto out of the moneys on deposit in the Project Fund
the aggregate sum of$ to pay such person(s) or to reimburse the Company
in full, as indicated in the Disbursement Schedule, for advances, payments and
expenditures made by it in connection with the items listed in the Disbursement Schedule.
In connection with the foregoing request and authorization,the undersigned
hereby certifies that:
a) Each item for which disbursement is requested hereunder is properly
payable out of the Project Fund in accordance with the terms and conditions of the
Indenture, and none of those items has formed the basis for any disbursement heretofore
made from the Project Fund;
b) Each such item is or was necessary in connection with the acquisition,
construction, equipping, installation or improvement of the property comprising the
Project, as defined in the Indenture;
c) This statement and all exhibits hereto, including the Disbursement
Schedule, shall be conclusive evidence of the facts and statements set forth herein and shall
constitute full warrant,protection and authority to the Trustee for its actions taken pursuant
hereto;
d) This statement constitutes the approval of the Company of each
disbursement hereby requested and authorized; and
e) To the best of our knowledge, there is no current or existing Event of
Default pursuant to the terms of the Indenture and no event exists which by notice of or
passage of time or both would constitute such Event of Default under the Indenture.
A-1
IN WITNESS WHEREOF, the authorized representative of the Company
has set his hand as of the day of 20_.
J.C. Hart Company, Inc., an Indiana
corporation
By:
Printed:
Title:
A-2
Acknowledged and Agreed:
Date:
City of South Bend, Indiana
By:
Printed:
Title:
A-3
EXHIBIT B
COSTS OF ISSUANCE
Payee Amount
Barnes&Thornburg—Bond Counsel
Baker Tilly Municipal Advisors- Municipal Advisory
Trustee
Dinsmore& Shohl—Company's Counsel
TOTAL:
DMS 46011837v1
B-1
1222 S. MICHIGAN SrREET
SOl.JTH BEND, INDIANA 46601-2821
PHO E 574 / 235-9255
FAX 574 / 235-9305
Filed in Clerk's Office CilY OF SOUTH BEND JAMES MUELLER, MAYOR SOUTH BEND FIRE DEPARTMENT CARL R. BUCHANON Bianca Tirado City Clerk, South Bc11d, I��
South Bend Common Council
227 West Jefferson Blvd, Suite 441 S
South Bend, Indiana 46601
FTRE CHIEF
February 17, 2025
Re: Amendment to Ordinance No. 11161-24 Setting the Annual Pay for the South Bend Fire
Department
Honorable Council Members,
This proposed ordinance fixes the annual pay and monetary fringe benefits of sworn members
of the South Bend Fire Department for Calendar year 2025, and also establishes maximum annual pay
and monetary fringe benefits for upper level policy making positions in the South Bend Fire
Department, in conformity with Ordinance Number 11161-24, and reaffirms the terms of that
Ordinance for the 2025 fiscal year with one change: a clarification of the Salary Classification described
in Section II to ensure the Ordinance language more clearly aligns with the collective bargaining
agreement.
It was determined that the salary classifications set forth in the table at Section I1.(b) of
Ordinance No. 11161-24 inadvertently did not raise the salaries of the following positions to the level
of the Captain salary, as is customary with prior salary ordinances: Inspector (Non-Rank), Investigator
(Non-Rank), Instructor (Non-Rank), and Community Paramedic. It was the intent of the parties during
collective bargaining that the pay rates of these positions match the pay rate of Captain, but this
change was inadvertently excluded from Ordinance No. 11161-24.
This Ordinance is in the best interest of the City and the affected South Bend Fire Department
employees. Thank you for your consideration.
MICHAEL]. DAMlANO
Assr. CHIEF OPERATIONS
Sincerely,
Carl R. Buchanon
Fire Chief
DEREK]. ERQUHART TODD L SKWARCAN
Assr. CHIEF FIRE PREVENTION Assr. CHIEF SERVICES
ANDREW]. MYER BRANDON S. ROARK
Assr. C!-llEF EMS ASST. CHIEF TRAINING
09-25
Filed in Clerk's Office
BILL NO. 09-2.5
Bianca Tirado
City Clerk, South Bend, IN
ORDINANCE NO.
AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND,
INDIANA,AMENDING ORDINANCE NO. 11161-24 FIXING THE ANNUAL PAY AND
MONETARY FRINGE BENEFITS OF SWORN MEMBERS OF THE SOUTH BEND
FIRE DEPARTMENT FOR CALENDAR YEAR 2025 TO AMEND AND CLARIFY THE
SALARY CLASSIFICATIONS AT SECTION II OF THIS ORDINANCES
STATEMENT OF PURPOSE AND INTENT
In 2024, the South Bend Common Council, pursuant to Indiana Code § 36-8-3-3 (d),
established the annual compensation and monetary fringe benefits of the South Bend Fire
Department via Ordinance Number 11161-24. This ordinance followed successful negotiation of
a collective bargaining agreement with members of the South Bend Firefighter's Association Local
No. 362 for the calendar year beginning January 1, 2025 and ending December 31, 2025.
This current ordinance fixes the annual pay and monetary fringe benefits of sworn members
of the South Bend Fire Department for Calendar year 2025, and also establishes maximum annual
pay and monetary fringe benefits for upper level policy making positions in the South Bend Fire
Department, in conformity with Ordinance Number 11161-24, and reaffirms the terms of that
Ordinance for the 2025 fiscal year with one change: a clarification of the Salary Classification
described in Section II to ensure the Ordinance language more clearly aligns with the collective
bargaining agreement.
It was determined that the salary classifications set forth in the table at Section II.(b) of
Ordinance No. 11161-24 inadvertently did not raise the salaries of the following positions to the
level of the Captain salary, as is customary with prior salary ordinances: Inspector (Non-Rank),
Investigator (Non-Rank), Instructor(Non-Rank), and Community Paramedic. It was the intent of
the parties during collective bargaining that the pay rates of these positions match the pay rate of
Captain, but this change was inadvertently excluded from Ordinance No. 11161-24. As these pay
rates were intended to be included in Ordinance No. 11161-24, the Common Council desires that
this Ordinance authorizes correction of the affected employees'pay retroactive to January 1,2025.
This Ordinance is in the best interest of the City and the affected South Bend Fire
Department employees.
NOW, THEREFORE,BE IT RESOLVED BY THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA, as follows:
SECTION I. The annual pay and monetary fringe benefits of sworn members of the South Bend
Fire Department, including all upper level policy making positions in the Department, are hereby
fixed and re-affirmed for the 2025 calendar year as per Ordinance Number 11161-24, passed on
October 28, 2024, which originally established the annual pay and monetary fringe benefits. A
copy of Ordinance Nos. 11161-24 is attached hereto, incorporated herein by reference, and
reaffirmed in their entirety, except as set forth in Section II below.
SECTION II. Annual Maximum Salaries.
a) Definitions: For purposes of this ordinance, "Salary Classifications" mean
Categories for salary and annual pay purposes only. "Rank" does not mean salary classification.
b) Annual Pay for Sworn Members of the South Bend Fire Department:
Maximum annual pays for the sworn members of the South Bend Fire Department,including upper
level policy making positions defined by Indiana Code§ 36-8-1-12 for calendar year 2025 shall be
set as follows:
Salary Classification 2025
Fire Chief 126,752
Assistant Chief 106,640
Battalion Chief 92,030
Captain 80,728
Inspector(Non-Rank) 80,728
Investigator(Non-Rank) 80,728
Instructor(Non-Rank) 80,728
Community Paramedic 80,728
Pump Engineer(Non-Rank) 77,058
Paramedic Lt(Non-Rank) 74,875
Firefighter 1st Class 73,389
Firefighter 2nd Class 65,164
Fire Recruit(Civilian) 56,000
SECTION III. Upon adoption, this Ordinance authorizes correction of the affected employees'
pay retroactive to January 1, 2025.
SECTION IV. All other terms, conditions, and provisions of Ordinance Number 11161-24, is
hereby reaffirmed and approved for calendar year 2025 as if fully set forth herein.
SECTION V. This ordinance shall be in full force and effect from and after its passage by the
Common Council and approval by the Mayor.
Canneth Lee, Common Council President
Attest:
Bianca Tirado, City Clerk
Presented by me to the Mayor of the City of South Bend, Indiana on the_ day of
2025, at o'clock . m.
Bianca Tirado, City Clerk
Approved and signed by me on the day of 2025, at
o `clock . m.
James Mueller, Mayor,
City of South Bend, Indiana
Filed in Clerk's Office
Bianca Tirado
City Clerk, South Bend, IN
ORDINANCE No. 11161-24
Passed by the Common Council of the City of South Bend,Indiana
October 28,24
20
Attest: j. City Clerk
Bianca L. Tirado
i
Attest:b c, t
r President of Common Council
Presented by me to the Mayor of the City of South Bend,Indiana
October 29,
20
24
City Clerk
Bic nca L. Tircrdc
Approved and signed by me
1 Y 6- - / 20 24
Mayor
dr
11 \.f
1i:;lrryIr"ii.d
SUBSTITUTE: BILL NO.61-24
ORDINANCE NO. 11161-24
AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND,
INDIANA,FIXING THE ANNUAL PAY AND MONETARY FRINGE BENEFITS OF
SWORN MEMBERS OF THE SOUTH BEND FIRE DEPARTMENT FOR CALENDAR
YEAR 2025
STATEMENT OF PURPOSE AND INTENT
The South Bend Common Council, pursuant to Indiana Code § 36-8-3-3 (d) is charged
with establishing,before November IS`of each year,the annual compensation of the South Bend
Fire Department.The City of South Bend and the South Bend Firefighters'Association Local No.
362 of the International Association of Firefighters, AFL-CIO have successfully negotiated a
collective bargaining agreement for the 2025 calendar year beginning January 1,2025 and ending
December 31,2025.
This ordinance fixes the annual pay and salaries of the sworn members of the South Bend
Fire Department, including salaries for upper level policy making positions in the department as
defined in Indiana Code§36-8-1-12,and other monetary fringe benefits.
NOW,THEREFORE,BE IT RESOLVED BY THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND,INDIANA,as follows:
Section I.Recognition.
The South Bend Common Council recognizes the negotiating team which represents the
South Bend Firefighters' Association Local No. 362 of the International Association of
Firefighters,AFL-CIO,as the sole bargaining agent for the sworn members of the South Bend Fire
Department for purposes of negotiating annual pay,monetary fringe benefits and other monetary
items which are addressed in this ordinance, excepting the Fire Chief,the Assistant Fire Chiefs,
and the Battalion Chiefs,who are governed by Indiana Code§.36-8-1-12.
Section II.Annual Maximum Salaries.
a) Definitions: For purposes of this ordinance, "Salary Classifications" mean
Categories for salary and annual pay purposes only."Rank"does not mean salary classification.
b) Annual Pay for Sworn Members of the South Bend Fire Department:
Maximum annual pays for the sworn members of the South Bend Fire Department,including upper
level policy making positions defined by Indiana Code§36-8-1-12 for calendar year 2025 shall be
set as follows:
Salary Classification 2025
Fire Chief 126,752
Assistant Chief 106,640
Battalion Chief 92,030
Captain 80,728
Inspector(Non-Rank)79,338
Investigator(Non-Rank) 79,338
Instructor(Non-Rank) 79,338
Community Paramedic 79,338
Pump Engineer(Non-Rank) 77,058
Paramedic Lt(Non-Rank) 74,875
Firefighter In Class 73,389
Firefighter 2"d Class 65,164
Fire Recruit(Civilian) 56,000
Section III. Additional Areas of Compensation.
a) Maximum Amounts. All monetary amounts set forth in this ordinance shall be the
Maximum amounts permitted in each calendar year addressed.
b) City of South Bend Residency Incentives. Qualifying sworn members and upper level
policy making positions of the South Bend Fire Department, who establish and maintain legal
residence within any neighborhood within the City of South Bend city limits and reside on a
continuous permanent basis within the South Bend city limits, and comply with the governing
regulations for such compliance shall be entitled to the following bonuses:
2025:$2,500 maximum payable on or before December 15,2025
Said bonus amounts shall be pro-rated in the event that a qualifying sworn member or upper level
policy making person moves into the South Bend city limits after the beginning of the calendar
year or moves out of the South Bend city limits during a calendar year.
Section IV. Specialty Pay.
a) EMS Incentives. Monetary incentives and seat pay shall be paid to the sworn members of
the South Bend Fire Department who meet the Fire Department's requirements and are assigned
to perform such special duties which are verified by the department. Unless indicated otherwise,
all specialty pay shall be prorated to the date of the regular assignment for such specialty duty or
duties and paid accordingly. A qualifying sworn member performing any of the following
specialties shall be paid at the highest certification/licensing only.
Assignment 2025
Field Training Officer(FTO) 850
Lead Paramedic Incentive 2,500
Emergency Medical Responder 250
EMT-Basic 350
EMT—Adv. 900
EMT-Paramedic 900
Basic EMT Assigned 3,000
Advanced EMT Assigned 4,500
Paramedic Assigned 9,000
b) Special Operation Team Specialty Pay. The following specialty pay shall be paid to the
sworn members of the South Bend Fire Department who meet the Fire Department's requirements
for each specialty and who are regularly assigned to perform such special duties.All specialty pay
shall be prorated to the date of regular assignment for such special duty or duties and paid
accordingly.The following Special Operation Team Specialty Pay are established:
Type of Special Operation Team 2025
Hazardous Materials Team
Response Team Member 1,200
Team Leader 400
Swift Water Rescue Team
Scuba Diver 1,200
Specialist 1,200
Technician 500
Team Leader 400
Tactical Rescue Team
Response Team Member 1,200
Team Leader 400
Honor Guard Team Leader 400
c) LEP Specialty Pay: A Limited English Proficiency(LEP)Program overseen by the City's
Human Resources Director or his/her designee shall monitor the Department's
requirements. All qualifying sworn members who meet the requirements and who are regularly
assigned to perform LEP duties shall be paid the following specialty pay in a lump sum in the last
payroll in December of each year of such assignment:
2025
Limited English Proficiency(LEP) 800
d) Payment of Specialty Pays/Seat Pay: Unless indicated otherwise, specialty pay and seat
pay shall be paid on a bi-weekly basis.
Section V.Recall of Duty Pay and Emergency Duty Pay.
a) In the event that a sworn member of the South Bend Fire Department is recalled for duty,
and he or she reports for duty,he or she shall be paid at the rate of two(2)times the sworn member's
hourly rate of pay and shall be guaranteed a minimum of two(2)hours of work with pay. Any
additional fraction of an hour over thirty(30)minutes shall constitute one(1)hour for purposes of
this paragraph.
b) A sworn member of the South Bend Fire Department who works emergency duty shall be
paid at the rate of two(2)times the sworn member's hourly rate and shall be guaranteed a minimum
of four(4)hours of work or pay.
c) In the event that a sworn member of the South Bend Fire Department is called to work
emergency duty for extra-alarm fires or disasters,seniority provisions will not apply. Recall will
be in accordance with procedures outlined in the official orders governing the dispatching of South
Bend Fire Department units for extra-alarm fire or disasters. In any emergency where personnel
with specialized skills are needed, seniority or procedural terms described in a Collective
Bargaining Agreement governing extra-duty or recall are not applicable.The Fire Chief or his or
her authorized designee may specify which off-duty personnel with specialized skills, including
but not limited to sworn members of the South Bend Fire Department's Hazardous Materials
Response Team, Swift Water Rescue Team, Tactical Rescue Team, or with needed medical
specialties.
Section VI.Working Out of Classification Pay.
If a sworn member of the South Bend Fire Department is temporarily assigned as a
Battalion Chief,Captain,Paramedic or Pump Engineer,that sworn member shall be paid while so
performing such duties at the rate of pay for that position,provided that the duty assignment is for
a minimum of four(4)consecutive hours as verified by a Working Out of Classification form,as
verified by the officer of the rig or the Battalion Chief.
Section VII.Longevity Pay.
a) The Common Council hereby continues a longevity program for qualifying sworn
members of the South Bend Fire Department.
b) Qualifying sworn members of the South Bend Fire Department holding the rank of First
Class Firefighter and above,who are employed by the South Bend Fire Department shall receive
additional compensation in recognition of the cumulative years of service on the South Bend Fire
Department. For the purposes of Longevity Pay described in this subsection,"Years of Service"
shall be calculated from the date on which a firefighter was sworn in and accrue upon the passing
of the anniversary of said date.Such longevity pay shall be earned upon completion of the number
of years indicated below,paid in a lump sum in the last payroll period in December,and shall be
attributed to the annual salary base for pension purposes.Longevity pay shall be as follows:
Cumulative Years of Service on SBFD:
Longevity Pay 2025
5-9 Years of Service 300
10-14 Years of Service 600
15-19 Years of Service 1,900
20-24 Years of Service 3,400
25+Years of Service 10,000
c) Qualifying sworn members of the South Bend Fire Department holding the designation of
Lead" on the Ambulance in the South Bend Fire Department shall receive additional
compensation in recognition of the cumulative years of service, earned upon completion of the
number of years indicated below, calculated from a firefighter's designation as a"Lead." Such
longevity pay shall be divided into bi-weekly payments over the year. Longevity pay shall be as
follows:
Longevity Pay 2025
0-I Year of Service 550
2-4 Years of Service 1,200
5-8 Years of Service 1,800
9+Years of Service 2,400
Section VIII. Station Allowance.
The South Bend Common Council shall budget a total monetary amount for a line-item
station allowance which incorporates realignment so that the concerns of the smaller and older fire
stations will be addressed and that minimum needed purchases can be made with proper approval.
The amount per station shall be as follows from this line-item:
Station Number 2025
1 2,850
2 1,250
3 1,250
4 1,250
5 850
6 1,250
7 1,250
8 850
9 850
10 1,250
11 1,250
Needed station purchases shall be approved by a majority vote of the assigned sworn
members at each fire station and shall be submitted by each House Captain for review,approval
and purchase by the Fire Chief and the City Controller.Such monies may not be carried over from
year to year and must be used by December 31"of each calendar year.
Section IX. Other Monetary Benefits.
a) Safety Officers. The regularly assigned Safety Officers shall receive,in addition to his or
her base salary,the sum of Four Thousand Five Hundred Dollars($4,500)in calendar year 2025.
b) 8-Hour Incentive Pay. An 8-hour Incentive Pay shall continue to be paid to those
individuals regularly assigned to work a forty(40)hour workweek,not including temporary duty
assignments(TDY). The sum of One Thousand One Hundred Fifty-Four Dollars($1,154)shall
be paid to such qualifying individuals in the calendar year 2025.
c) Inspector/Instructor Pay. Those First-Class Firefighters who are qualified and regularly
assigned, not including temporary duty assignments(TDY), as an Inspector/Instructor, shall be
provided with duty shirts and a badge, and shall be paid at the non-rank specialty pay as an
Inspector or Instructor.
d) Shift Instructor Pay. Shift Instructors who are qualified and selected to teach on-duty in-
house instruction programs for rookie schools,driving, confined space rescue,rope techniques,
water safety, watercraft techniques, CPR, and other authorized department instruction, shall be
paid at the rate of Fifteen Dollars($15)per hour up to a maximum of Five Hundred Dollars($500)
per year, with any teaching thereafter requiring the approval of the Fire Chief, or his or her
designee. Full-time instructors and company training instructors shall be ineligible for any pay
under this paragraph.
e) Luther J. Taylor, Sr. Fire Safety Training Center 8-Hour Instructor Pay. An 8-hour
Instructor Pay shall be paid to the individual regularly assigned to work a forty (40) hour
workweek, not including temporary duty assignments (TOY), at the Luther J. Taylor, Sr. Fire
Safety Training Center. The sum of Three Thousand Dollars($3,000) shall be paid per year in
2025 to the qualifying individual who is regularly assigned to work in this capacity each of those
years.
t) Pay for Other Instructors. Other instructors who are qualified and selected to teach
specified on-duty in-house instruction programs for rookie schools,driving,confined space rescue,
rope techniques, water safety, watercraft techniques, CPR and other authorized departmental
instruction,shall be paid at the rate of Fifteen Dollars($15)per hour,upon the approval of the Fire
Chief, or his or her designee. Said hourly rate shall be paid over and above the qualifying
individual's salary classification and shall be paid in a manner consistent with applicable
regulations of the State Board of Accounts.Full-time instructors and company training instructors
shall be ineligible for any pay under this paragraph.
g) Pay for Certified SCBA Repair Specialists.Those sworn members of the South Bend Fire
Department who are qualified, certified and regularly assigned by the Fire Chief, or his or her
designee to perform self-contained breathing apparatus(SCBA)repairs,shall be paid at the rate of
Fifteen Dollars($15) per hour up to a maximum of One Thousand Dollars ($1,000) in any one
calendar year.
h)Critical Duty Day Stipends.In 2025,the Critical Duty Day Stipend shall be set at one-half
1/2) of an eligible sworn member's regular hourly rate plus longevity, but not less than Three
Hundred Dollars($300) for the ten(10)Critical Duty Days which are designated each calendar
year by the Board of Public Safety. Such stipend may be pro-rated for time actually worked with
the eligible sworn member choosing among three(3)options which are further addressed in the
governing Collective Bargaining Agreement approved by the Board of Public Safety.
i) Deferred Compensation. The City of South Bend agrees to continue to maintain the
Deferred Compensation Program which became effective on January 1, 1997 for the South Bend
Fire Department.This program provides that for the first One Hundred Dollars($100)deferred by
a sworn member of the Department each calendar year, the City of South Bend will match said
amount$0.50 on the dollar,and for the next Three Hundred Dollars($300)deferred by a sworn
member of the Department each calendar year, the City of South Bend will match said amount,
dollar for dollar.
j) Life Insurance.The City of South Bend shall continue to provide life insurance coverage
on all sworn members and upper level policy making positions of the South Bend Fire Department
in an amount equal to the amount of the sworn member's base pay or the upper level policy making
position's base pay.
k) Health Insurance. Each active sworn member and upper level policy maker of the of the
South Bend Fire Department who has met the eligibility requirements shall have the opportunity
to participate in the City's comprehensive major medical insurance program.The contribution of
such individuals shall be no greater than the contribution of other City employees receiving the
same benefits,and the level of benefits shall be no less than the level for other City employees.
Fire pensioners who are not members of South Bend Firefighters Association Local No. 362
shall pay an additional Fifty Dollars($50) per month over and above such rates, subject to the
obligations of Local No. 362 as may be further addressed in an approved Collective Bargaining
Agreement between the City of South Bend and Local No. 362 which provides that membership
shall not be unreasonably withheld,unless agreed to by a Letter of Understanding approved by the
Board of Public Safety.
1) Post-Employment Health Plan. In 2022, the City of South Bend established a Post-
Employment Health Plan(PEHP) for retired firefighters into which the City of South Bend shall
make an annual contribution of One Hundred Twenty Dollars($120)for each sworn member in the
calendar year 2025. Sworn firefighters may make additional contributions according to the plan
documentation.
m) Program Coordinators. Any appointed Program Coordinator shall receive in addition to
his or her annual base salary, a maximum sum of Three Thousand Dollars($3,000)while he or
she serves in that capacity in calendar year 2025.
Section X.Education Tuition Reimbursement Program.
a) The South Bend Common Council agrees to continue the Education Tuition
Reimbursement Program which originally began on January I, 2005, for calendar year 2025.
Qualifying sworn members of the South Bend Fire Department participating in the education
Tuition Reimbursement Program shall be entitled to the following maximum dollar amounts for
course tuition and other expenses related thereto:
Course Grade Earned Maximum Amount to be Reimbursed by the City
100% of tuition costs and other expenses directly related to
A said costs up to a maximum of One Thousand Two Hundred
Fifty Dollars($1,250)
B
100%of tuition costs and other expenses directly related to
said costs up to a maximum of Nine Hundred Dollars($900).
b) Education tuition reimbursement shall be on a"first come,first serve basis,"subject to the
maximum dollar amount budgeted by the South Bend Common Council for said program in
calendar year 2025. All Fire Department regulations governing such program must be complied
with by qualifying sworn members of the South Bend Fire Department in order for an individual
to be eligible to be paid under this program.
Section XI. Severability.
If any part,section,subsection,paragraph,sentence,clause or phrase of this ordinance is for
any reason declared to be unconstitutional or otherwise invalid,such decision shall not affect the
validity of the remaining portions of this ordinance.
Section XII. Effective Date.
This ordinance shall be in full force and effect from and after its passage by the Common
Council and approval by the Mayor.
2Son L.McBride,Council resident
South Bend Common Council
9-~'/
e- /-
Attest:
1B. ca L.Tirado, Clerk
Office of the City Clerk
Presented by me, the undersigned Clerk of the City of South Bend, to the Mayor of the
City of South Bend,Indiana on the 29th day of October ,2024,at 12 o'clock
p.m.
i.
i ' , i j
Bianca L.Tira'cff'ity Clerk
Office of the City Clerk
Approved and signed by me on the I
St
day of A ""^/tr ,2024,at o'clock
f.m.
J s Mueller,Mayor
Ci of South Bend,Indiana
1200N COUNTY-CITY BUILDING
227 W. JEFFERSON BLVD.
SOUTH BEND, INDIANA 46601-1830
PHONE 574.235.9216
FAX 574.235.9928
CITY OF SOUTH BEND, lN JAMES MUELLER, MAYOR
DEPARTMENT OF ADMINISTRATION AND FINANCE
February 19, 2025
Canneth Lee, President
President, South Bend Common Council
4th Floor, County-City Building
South Bend, IN 46601
RE: Amended 2025 Non-Bargaining Salary Ordinance
Dear President Lee:
Filed in Clerk's Office
Bianca Tirado
City Clerk, South Bend, IN
Attached is an ordinance amending the maximum compensation for non-bargaining employees for the calendar
year 2025. This ordinance adds a full-time position in the Fire Department, and two title changes for positions in
the Innovation & Technology Department.
Proposed full-time position to the Fire Department.
•Adding a full-time position in the Fire Department, a Digital Communication and Multimedia Training
Coordinator, with a salary cap of $69,010.
Below are the proposed title changes for two positions in the Innovation & Technology Department.
•Title change from Software Specialist to Enterprise Software Specialist.
•Title change from Case Manager to Resident Success Liaison.
I will present this bill to the Common Council at the appropriate committee and council meetings. It is requested
that this bill be filed for 1st reading on February 24th , 2025, with 2nd reading, public hearing and 3rd reading
scheduled for March 10th, 2025. If you have any further questions or need additional information, please let me
know.
Thank you for your consideration.
Sincerely,
Kyle Willis
City Controller
10-25
Filed in Clerk's Office
Bianca Tirado
City Clerk, South Bend, IN
BILL NO. 10-25
ORDINANCE NO.
AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF
SOUTH BEND, INDIANA,AMENDING ORDINANCE NO. 11160-24,
WHICH FIXES MAXIMUM SALARIES AND WAGES OF
APPOINTED OFFICERS AND NON-BARGAINING EMPLOYEES
OF EXECUTIVE DEPARTMENTS OF THE CITY OF SOUTH BEND
FOR CALENDAR YEAR 2025,TO MAKE POSITION CHANGES IN
INNOVATION &TECHNOLOGY AND THE FIRE DEPARTMENT
STATEMENT OF PURPOSE AND INTENT
On October 14,2024,the South Bend Common Council passed Ordinance
No. 11160-24,which fixed maximum salaries and wages of appointed officers and
non-bargaining employees of the executive departments of the City of South Bend
for the calendar year 2025.
Since the enactment of Ordinance No. 11160-24, the City's executive has
determined that it is appropriate and necessary to amend the list of non-bargaining
City positions and their maximum salaries approved under Ordinance No. 11160-
24. Specifically,this ordinance makes certain position changes within Innovation
Technology and the Fire Department non-sworn personnel, including title
changes for the Software Specialist and Case Manager positions,and the inclusion
of one new full-time employee, a Digital Communication and Multimedia
Training Coordinator in the Fire Department, as reflected in the amended list
attached to this ordinance as Exhibit A.
NOW, THEREFORE, BE IT ORDAINED by the Common Council of
the City of South Bend, Indiana, as follows:
SECTION I. Ordinance No. 11160-24 is hereby amended to include the
non-bargaining positions and maximum salaries set forth in Exhibit A attached
hereto. The positions affected by this ordinance are highlighted for ease of
identification.
SECTION II. All other portions and sections of Ordinance No. 11160-
24 are unaffected by this amendment and are reconfirmed.
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.
Canneth Lee, Common Council President
Attest:
Bianca Tirado, City Clerk
Presented by me to the Mayor of the City of South Bend, Indiana, on the
day of 2025 at o'clock_ . m.
Bianca Tirado, City Clerk
Approved and signed by me on the day of 2025 at
o'clock .m.
James Mueller,Mayor, City of South Bend, Indiana
New Position Title Change Eliminate Title
City of South Bend,Indiana Non-Standard Raise alairrE Title and Pay Change
2025 Nonbargaining Salary Ordinance Proposal
Maximum Salaries
Filed
2025
in Clerk's Office
Job Title Status Salary Cap Salary Cap %Increase
311 Customer Service Liaison I Full Time 50.742 52,264 3.00%
311 Customer Service Liason Il Full Tlme 54,000 100.00%
Accounting Assistant Full Time 49,506 50,991 3.00%
Accounting Clerk IV Full Time 38,576 39,733 3.00% Bianca Tirado
Accounts Payable Administrator _ Full Time 40,569 41,786 3.00% City Clerk, South Bend, IN
Administrative Assistant I _Full Time 45,986 47,366 3.00%
Administrative Assistant ll _Full Time 47,345 48,765 3.00%
Animal Welfare Assistant Full Time 39,937 45,000 12.68%
Animal Welfare Officer Full Time 41,200 48,000 16.50%
Applications Developer I Full Time 72,977 75,166 3.00%
Applications Developer II Full Time _ 79,029 81,400 3.00%
Assistant City Attorney Full Time 99,329 102,309 3.00%
Assistant City Attorney/Claims Adjuster Full Time 87,551 90,178 3.00%
Assistant City Engineer Full Time 97,967 100,906 3.00%
Assistant Director-Data&Performance Full Time __ 79,665 82,055 3.00%
Assistant Dli'ector of Communication Center Full Time 62642 64,521 3.00%
Assistant Director of Distribution Full Time 59,508 61,293 3.00%
Assistant Director of Growth&Opportunity r
Full Time 81,912 84,369 3.00%
Assistant Director of Neighborhoods Full Time 95,400 100.00%
Assistant Director of Planning Full Time
r
84,369 100.00%
Assistant Director of Recreation Full Time 67,555 69,582 3.00%
Assistant Director of SCADA Information ystems_ Full Time
r
76,686 78,987 3.00%
Assistant Director of Ticket Sales&Strategy_Full Time
r
53,560 55,167 3.00%
Assistant Manager-Customer Service
r
Full Time 53,822 55,437 3.00%
Billing Operations Specialist Full Time 63,928 65,846 3.00%
Budget Analyst-Senior Full Time 72,252 74,420 3.00%
Building and Code Inspector Full Time 57,731 59,463 3.00%
Budding Commissioner Full Time 90,586 93,304 3.00%
Budding Inspector Full Time_ __ _ __55,222 56,879 3.00%
Business&Resource Specialist - Full Time _ 70,682 72,802 3.00%
Business Analyst Full Time 61,940 63,798 3.00%
Business Analyst-Senior _ Full Time 67,473 69,497 3.00%
Business Development Specialist Full Time 63,626_ 65,535 3.00%
Chemist Full Time 60,132 61,936 3.00%
Chemist Lead 1 Full Time 63,963 65,882 3.00%
Chief Building Inspector Full Time 67,555 69,582 3.00%
Chief Code Inspector _ I Full Time 67,555 69,582 3.00%
Chief Commun Officer I Full Time 96,528 110,622 14.60%
Chief Development&Marketing Officer Full Time 110,008 110,622 0.56%
Chief Digital Officer _ Full Time 107,899 111,136 3.00%
Chief Experience Officer _ Full Time 110,622 100.00%
Chief Innovation Officer Full Time 125,903 129,680 3.00%
Chief Neigborhoods Officer - Full Time - 104,318 107,448 3.00%
Chief of Park Operations_ - Full Time _ - 97,850 110,622 13.05%
Chief of Staff to the Mayor Full Time _ 107,433 110,656 3.00%
Chief Planner Full Time 103,810 106,924 3.00%
Chief Tec Officer Full Time 118,395 121,947 3.00%
C Attorne Full Time 1 113,765 117,178 3.00%
C' Clerk Secretary Full Time I 38,674 39,834 3.00%
C Controller FullTime l 135,618 139,687 3.00%
C E ineer Full Time 1 125,292 129,051 3.00%
Club Pro Municipal Golf Course Full Time 58,112 59,855 3.00%
Code Inspector Full Time ' __ 47,314 50,000 5.68%
Code Inspector-Senior Full Time 50,274 52,988 5.40%
Commercial Combination Inspector Full Time 57,981 59,720 3.00%
Communication Specialist l Full Time I 41,970 43,229 3.00%
Communication Specialst II Full Time 1 51,993 53,553 3.00%
Communication Specialist III Full Time r 53,875 55,491 3.00%
Contract Compliance Administrator Full Time 64,884 66,831 3.00%
Coordinator on Homelessness-DCI Full Time 80,000 82,400 3.00%
Corporation Counsel Full Time- 141,428 145,671 3.00%
Court Liaison Full Time '_ 40,402 41,614 3.00%
Crime Analyst Full Time 44,259 45,587 3.00%
Crime Resource Specialist _- Full Time _54,371 56,002 3.00%
Custodian Full Time 33,949 34,967 3.00%
Data Entr /Alarms Coordinator Full Time . 36,813 37,917 3.00%
Data En S ecialist Full Time I 42,825 44,110 3.00%
Data En Specialist II Full Time !_ _ 36,116 37,199 3.00%
Departmental System Specialist Full Time r _ - 55,222 56,879 3.00%
Deputy Building Commissioner Full Time 74,592 76,830 3.00%
Deputy Chief of Staff to the Mayor Full Time 83,341 85,841 3.00%
Deputy City Controller Full Time _ 113,765 117,178 3.00%
Deputy Director of Community Investment Full Time 113,765 117,178 3.00%
Deputy Director of Human Resources Full Time 94,420 100,170 6.09%
Deputy Director of Public Works Full Time 113,765 117,178 3.00%
Design Specialist Full Time 66,368 68,359 3.00%
Digital Forensic Lab Technician Full Time 62,412 64,284 3.00%
Digital Recruitement&Marketing Coordinator Full Time '78,000 100.00%
Director-Digital Services Full Time 90,497 93,212 3.00%
Director-Environmental Compliance Full Time . 84,590 87,128 3.00%
Director-Wastewater Utility Full Time 101,631 104,680 3.00%
Director-Water Operations Full Time _ 84,590 87,128 3.00%
Director-Water Utility _ Full Time 1_ 101,631 104,680 3.00%
Director of Applications Full Time 94,503 97,338 3.00%
Director of Booking&Event Services Full Time 68,078 70,120 3.00%
Director of Customer Service&Success Full Time I 90,318 93,028 3.00%
Director of Central Services Full Time 100,255 103,263 3.00%
Director of City Finance I Full Time 99,910 102,907 3.00%
Director of Civic Innovation Full Time - 90,318 93,028 3.00%
Director of Civilian Services Full Time 69,447 71,530 3.00%
Director of Communication Center Full Time 74,310 76,539 3.00%
Director of Communications Full Time 74,557 76,794 3.00%
Director of Communications&Radio Full Time _ 70,000 72,100 3.00%
Director of Community Outreach Full Time 73,095 75,288 3.00%
Director of Community Police Review Office _ Full Time 70,682 72,802 3.00%
Director of Billing&Accounts Full Time 84,590 87,128 3.00%
Director of Data&Performance Full Time 90,318 93,028 3.00%
Director of Department Finance Full Time 81,702 86,600 6.00%
Director of Development&Special Events Full Time ,77,000 84,003 9.10%
Director of Distribution Full Time 88,007 90,647 3.00%
Director of Engagement&Economic Empowerment Full Time - __ 89,725 92,417 3.00%
Director of Entergise Services&Software Full Time - 94,503 97,338 3.00%
Director of Equipment Services Full Time 85,000 87,550 3.00%
Director of Facilities Management Full Time 74,927 77,175 3.00%
Director of Growth&Oopetunity Full Time 89,725 92,417 3.00%
Director of Human Resources Full Time 102,236 105,303 3.00%
Director of Infrastructure r Full Time 90,318 93,028 3.00%
Director of Legal Administration Full Time 70,000 72,100 3.00%
Director of Marketing-Public Works Full Time 76,730 79,032 3.00%
Director of Marketing&Promotions Full Time - 64,559 66,496 3.00%
Director of Neighborhood Health&Housing Full Time 89,725 92,417 3.00%
Director of Neighborhood Services&Enforcement FulTime 89,362 92,043 3.00%
Director of Office of Sustainablltty Full Time 93,027 95,818 3.00%
Director of Operations-Venues Full Time 102,128 105,192 3.00%
Director of Operations-Wastewater Full Time 88,007 90,647 3.00%
Director of Project Management(formerly Director of CSO Project Management) Full Time 94,753 97,596 3.00%
Director of Pubic Works Full Time 135,618 139,687 3.00%
Director of Purchasing Full Time 92,700 95,481 3.00%
Director of Purchasing_&Logistics(Poke Dept) Full Time 77,874 80,210 3.00%
Director of Recreation Full Time 81,557 84,004 3.00%
Director of Redevelopment Engineering Full Time 112,549 115,925 3.00%
Director of SCADA Information Systems Full Time 88,437 94,627 7.00%
Director of Solid Waste Full Time I 81,369 83,810 3.00%
Director of Streets&Sewers Full Time 96,219 99,106 3.00%
Director of Ticket Sales 8 Strategy Full Time 71,200 73,336 3.00%
Director of Treasury Full Time 99,910 102,907 3.00%
Director of Wastewater Maintenance Full Time 84,590 87,128 3.00%
Dkector of Water Quality 8 Laboratory Full Time _ 84,590 87,128 3.00%
Distribution Records Drafter Full Time _ 66,950 68,959 3,00%
Distribution System Speciaist Full Time 77,918 80,256 3.00%
Diversity Compliance/Inclusion Officer Full Time 97,850 100,786 3.00%
Economic Specialist(formery Economic Employwerment Specialist) Full Time I 63,036 64,927 3.00%
Electrical and Instrumentation Manager Full Time _ 83,200 100.00%
Engagement Specialist Fui Time 63,626 65,535 3.00%
Enterprise Software Specialist(`°
Equity Arts Coordinator Full Time 61,.00 63,654 3.00%
Evidence Technician Full Time 47,236 48,653 3.00%
Executive Administrative Assistant Full Time 47,823 51,000 6.64%
Executive Assistant Full Time 62,012 63,872 3.00%
Executive Assistant and Director of Special Projects Full Time 614 66 63,310 3.00%
Executive Director of Community Investment Full Time 125,903 129,680 3.00%
Executive Director of Human Rights Full Time _ 95,275 98,133 3.00%
Executive Dkector Venues,Parks 8 Arts Full Time 133,106 137,099 3.00%
Federal Grant Administrator(formery Manager-Neighborhood Grants) Full Time 74,592 76,830 3.00%
Financial Specialist I Full Time 400 569 41,786 3.00%
Financial Specialist II _ FullTime 44,259 45,587 3.00%
Financial Specialist Ill Full Time 49,506 50,991 3.00%
Financial Specialist IV Full Time 54,821 56,466 3.00%
Financial Specialist Senior Full Time 62,695 64,576 3.00%
Financial Systems Specialist -Full Time 68,644 70,703 3.00%
FingerprintiPhoto Technician Full Time 42,894 44,181 3.00%
Firearms IB/SAVIBIN Tech Full Time - 51,063 52,595 3.00%
Foreman IV Full Time 55,432 57,095 3.00%
Foreman V Full Time _ 55,432 57,095 3.00%
Forensic Lab Tech Full Time 68,084 70,127 3.00%
Forensic Scientist/Firearm&Tool Mark Examiner Full Time _ 82,836 85,321 3.00%
Forensic Scientist/Firearm&Tool Mark Examiner Trainee Full Time 68,084 70,127 3.00%
Director of Golf Operations(formerly General Manager-Golf Courses) Full Time 81,161 84,003 3.50%
General Manager-Venues Full Time 111,772 115,125 3.00%
GIS Manager Full Time 71,601 73,749 3.00%
GIS Specialist-Senior Full Time 61,919 63,777 3.00%
Golf Hospitality Events Manager(Formerly Foreman VJ Full Time 55,432_ 70,000 26.28%
Grants Administrator Full Time _ 69,974_ 72,073 3.00%
Graphic Designer Full Time 55,432 57,095 3.00%
Greenskeeper Full Time 52,597 54,175 3.00%
GVI-Project Manager 66,950 68,959 3.00%
Hearing Secretary Full Time 45,681 48,765 6.75%
Historic Preservation Administrator Full Time _63,626 65,535 3.00%
Historic Preservation Specialist -Full Time 56,589 58,287 3.00%
Horticulturist Tech Full Time 55,432 57,095 3.00%
Housing Counselor Full Time 74,592 76,830 3.00%
Human Resource Generalist-Senior Full Time 73,612 75,820 3.00%
Human Resources Generalist
f
Full Time _ 54,822 56,467 3.00%
Human Resources GeneratistiBenefitsCoordinator Full Time 47,224 48,641 3.00%
Human Resources Specialist Ill I_Full Time 51,454 52,998 3.00%
HVAC Technician I Full Time 55,432 57,095 3.00%
Industrial Pretreatment Specialist I Full Time 61,036 62,867 3.00%
Internal Auditor FullTime 69,873 71,969 3.00%
Inventory Control Technician II -Full Time 42,595 43,873 3.00%
Investigator I/intake Coordinator Full Time 40,436 60,415 49.41%
Investigator II Full Time 46,350 63,815 37.68%
Laboratory Technician Full Time ' 38,674 39,834 3.00%
Latent Fingerprint Examiner Full Time 624412 64,284 3.00%
License Clerk Full Time ' _ _ 44,259 45,587 3.00%
Licensing&Registration Administrator -_ _ _ Full Time 59,654 61,444 3.00%
Locator _ Full Time 48,842 50,307 3.00%
L istics Specialist Full Time _ 44,259 45,587 3.00%
Maintenance Foreman II Full Time 43,725 45,037 3.00%
Maintenance Technician Full Time • 56,737 58,439 3.00%
Manager311 Customer Service Full Time ; - 65,831 67,806 3.00%
Manager-Animal Resource Center Full Time 64,890 70,016 7.90%
Ma uatics Full Time 60,896 62,723 3.00%
Ma -Assistant Animal Resource Center Full Time 51,500 57,000 10.68%
Ma -Assistant Fa ' O lions Full Time 41,232 42,469 3.00%
Ma -Athletics Full Time , 60,896 62,723 3.00%
Manager-Benefits Full Time ' 67,479 73,000 8.18%
Manager-Billing&Customer Accounts Full Time 65,154 67,109 3.00%
Manager-Business Development Full Time 1 75,500 79,000 4.64%
Manager-Center Full Time 60,896 62,723 3.00%
Manager-Credit&Collections Full Time 65,154 67,109 3.00%
Manager-Cross Connection&Water Loss Full Time 74,014 76,234 3.00%
Manager-CSO Operations Full Time 70 106 72,209 3.00%
Manager-Customer Service Full Time • 62,855 64,741 3.00%
Manager-Customer Success 65 846 67,821 3.00%
Manager-Emplo :=Safe Full Time 69 711 71,802 3.00%
Manager-Employment(Human Rights) 68,508 72,100 5.24%
Manager-Enterprise Software Full Time 68,644 70,703 3.00%
Manager-Events Full Time 55,432 57,095 3.00%
Manager-Event Service Maintenance NEEr.11 42 000 43,260 3.00%
Manager-Faclfty Operations WEErill 58,343 60,093 3.00%
Manager-Facility Operations(MPAC) Full Time ! 68,078 70,120 3.00%
Manager-Housing(Human Rights) Full Time 68,508 72,100 5.24%
Manager-Inclusion Project Full Time 66,974 68,983 3.00%
Manager-Industrial Pretreatment Full Time 69,656 71,746 3.00%
Manager-Infrastructure Full Time 76,686 78,987 3.00%
Manager-Interactive Marketing --.Full Time _ 55,432 57,095 3.00%
Manager-Maintenance Full Time 74,378 76,609 3.00%
Manager-Maintenance(MPAC)Full Time 68,079 70,121 3.00%
Manager-Marketing Full Time 64,559 66,496 3.00%
Manager-Meter Service Full Time 74.377 76,608 3.00%
Manager-Office Full Time 42.295 43,564 3.00%
Manager-Operations Full Time 79,425 81,808 3.00%
Manager-Operations-AmeriCorps Full Time 50,171 51,676 3.00%
Manager-Operations-Distribution Full Time 75,696 77,967 3.00%
Manager-Operations-Forester Full Time _71,237 73,374 3.00%
Manager-Park Grounds Manager Full Time 71,237 73,374 3.00%
Manager-Parks Full Time _74,866 77,112 3.00%
Manager-Permits Full Time 56,084 57,767 3.00%
Manager-Print Shop Full Time 54,524 56,160 3.00%
Manager-Property&Evidence Full Time 49,770 51,263 3.00%
Manager-Property Development _ Full Time 74 5922 76,830 3.00%
Manager-Public Construction Full Time 80,000 82,400 3.00%
Manager-Purchasing Full Time 76,686 78,987 3.00%
Manager-Records Bureau Full Time 43,265 44,563 3.00%
Manager-Service Contracts&General Supplies Full Time ' 70,000 72,100 3.00%
Manager-Service Line Repair Full Time_ 74,377 76,608 3.00%
Manager-Services Full Time 68,644 70,703 3.00%
Manager-Sewer Operations Full Time 76,686 78,987 3.00%
Manager-Solid Waste Operations Full Time_ 71,503 73,648 3.00%
Manager-Special Events Full Time 64,559 66,496 3.00%
Manager-Special Events Exp(change to Manager-Special Events) Full Time _55,432 57,095 3.00%
Manager-Streets Full Time 75,696 77,967 3.00%
Manager-Traffic&Lighting Full Time 75,696 77,967 3.00%
Manager-Wastewater Purchasing&Inventory Full Time 61,963 63,822 3.00%
Manager-Water Distribution Services&Records Full Time 66,950 68,959 3.00%
Manager-Wheless Construction Full Time 74,893 77,140 3.00%
Manager-Youth Employment Full Time 60 896 62,723 3.00%
MS4 Specialist Full Time 55,000 56,650 3.00%
Ne hb rhood Grant Specialist(charged to Manager-N hborhood Grants) Full Time 74,592 76,830 3.00%
Neighborhood Program Specialist _ Full Time 63,654 65,564 3.00%
Ne'hborhood am S cialst-Lead _Full Time 63,654 65,564 3.00%
Network E ineer Full Time 71,940 74,098 3.00%
Non aini Maximum Hour Rate excluding above) Part Time - 34.39 35 3.00%
O ations An st Code Full Time 64,932 66,880 3.00%
O lions Specialist Full Time 74,377 76,608 3.00%
Ordinance Violation Bureau Clerk Full Time 52,188 53,754 3.00%
OVP Pruy,am Manager Full Time 54.535 56,171 3.00%
Paralegal Full Time 61,957 63,816 3.00%
Permitting&Licensi Compliance Specialist Full Time 55,222 56,879 3.00%
Director of Intelleyence(formerly Police Crime into'ence Analys t-Senior) Full Time _ 66,950 75,000 12.02%
Police Crime Intelligence Analyst I Full Time 4_9 44_0 50,923 3.00%
Police Crime Intelligence Analyst II Full Time 63 259 65,157 3.00%
Preventative Maintenance Coordinator Full Time 47,813 49,247 3.00%
Preventative Maintenance Coordinator II Full Time 49,862 51,358 3.00%
Principal Planner Full Time 74,592 76,830 3.00%
Print Sla Technician Full Time 44,788 46,132 3.00%
Product Mane er Full Time 61,669 63,519 3.00%
Pr am Coordinator Full Time 55,432 57,095 3.00%
Program Coordinator-Recreation Full Time 45,672 47,042 3.00%
amCoordinator-Recreation-MLK Full Time I 55,433 57,096 3.00%
am Ma Tran tan I Full Time 68,312 70,361 3.00%
Pr mar st I Full Time _ 53,227 54,824 3.00%
Pr ammer Ana st II Full Time 55,520 57,186 3.00%
ct E ineer Full Time , 77,070 79,382 3.00%
Pro' t In ctor Full Time 79,382 100.00%
ct Ma r Full Time 61,669 63,519 3.00%
Project Manager-Engagement&Economic Empowerment Full Time I 63,036 64,927 3.00%
i Project Manager-Part Time Part Time_ 44,565 45,902 3.00%
Project Manager-SustainaW6ty _ Full Time 61,669 63,519 3.00%
Property Development Analyst Full Time 63,626 65,535 3.00%
Property Inspector I Full Time 63,626 65,535 3.00%
PropertyrEvidenceCustodian-Sensor Full Time ! 41,533 42,779 3.00%
Public Access Coordinator Full Time 41,813 43,067 3.00%
Pudic Relations Specialist Full Time 51,532 53,078 3.00%
Public Service Officer Full Time t_ - 38,196 39,342 3.00%
Quay Assurance Distribution Technician Full Time 48,377 49,828 3.00%
Radio E ui ment Installation Technician Full Time 50,063 51,565 3.00%
Radio Technician I Full Time 55,021 56,672 3.00%
Radio Technician ll Full Time 56,814 63,969 12.59%
Radio Technician III Full Time 61,103 67,103 9.82%
Records S ' 'st Full Time 40,367 41,578 3.00%
Records Supervisor Full Time 61,187_ 63,023 3.00%
Residential Combination Inspector Full Time 55,222 56,879 3,00°%0
Resident 5LicOSS Morison(Formerly Case Manager)
SCADA Instrument Specialist Full Time 64,690 66,631 3.00%
Secretary III Full Time 34,589 35,627 3.00%
Secretary IV Full Time , 36,714 37,815 3.00%
Secretary V Full Time 38,674 39,834 3.00%
Security Guard Full Time 41,985 43,245 3.00%
Senior Assistant City Attorney Full Time 107,500 110,725 3.00%
Senior Billing Operations Specialist Full Time 68,644 70,703 3.00%
Senior Engineer Full Time 83,929 86,447 3.00%
Senior Inspector Full Time 74,000 76,220 3.00%
Senior Planner Full Time 68,744 70,806 3.00%
Senior Staff Accountant Full Time 93,503 100.00%
Senior Purchasing Agent Full Time ' 56,737 65,000 14.56%
Shift Lead Full Time I 49,274 50,752 3.00%
Site Acquisition Specialist _ Full Time • 76,028 78,309 3.00%
Solution Designer Full Time 61,940 63,798 3.00%
Special Events Assistant Full Time 46,815 48,219 3.00%
Specialist of Infrastructure Full Time
I
63,296— 65,195 3.00%
Specialist of Services Full Time 63,296 65,195 3.00%
Senior Staff Accountant Full Time 93,503 3.00%
Staff Accountant Full Time 66,950 68,959 3.00%
Stock Room&Safety Coordinator Full Time 57,414 59,136 3.00%
Superintendent II Full Time 57,646 59,375 3.00%
Superintendent Ill _Full Time 60,000 64,864 8.11%
Superintendent IV Full Time 62,642 64,521 3.00%
Superintendent V Full Time 65,322 67,282 3.00%
Supervisor-Accounts Payable Full Time 58,098 59,841 3.00%
Supervisor-Communication I Full Time -_ 57632 59,361 3.00%
Supervisor-Communication ll Full Time 59,511 61,296 3.00%
Supervisor-Crime LaboratoryFull Time 78,298 80,647 3.00%
Su rvisor-Fitness/Wellness Full Time 40,990 42,220 3.00%
Su rvisor-Maintenance a Mechanic Full Time 68,000 70,040 3.00%
Su 'sor-O rations i Full Time 68,079 70,121 3.00%
Su isor-Park Ranger Full Time 54,522 56,158 3.00%
Su isor-Payroll Full Time 65,513 67,478 3.00%
Su sor-Shelter Operations Full Time 41,898 43,155 3.00%
Su ism-Signal Full Time 64,690_ 66,631 3.00%
Su 'son-Youth Full Time 51,567 53,114 3.00%
S stem S cialist I Full Time 53,244 54,841 3.00%
S stem S cialist II Full Time 63,295 65,194 3.00%
S stem S cialist IV Full Time , 76,686 78,987 3.00%
Tech u Full Time 68,312 70,361 3.00%
Utility Safety Officer Full Time 65000 66,950 3.00%
Violence Prevention Coordinator II Full Time 45 752 47,125 3.00%
Volunteer Coordinator Full Time 55,432 57,095 3.00%
Water Asset Specialist Full Time 56,444 58,137 3.00%
Water Quality Specialist Full Time 66,486 68,481 3.00%
Workforce Development Coordinator Full Time 72,066 74,228 3.00%
Zoning Administrator 1 Full Time 74 592 76,830 3.00%
Zoning Specialist L Full Time 63,626 65,535 3.00%
Part-Time Positions Receiving Benefits
City Attorney Part Time 75,325 77,585 3.00%
Other Part Time Position{
SBARC Veterinarian Part Time 125,000 100.00%
City Engineer(hourly rate) Part Time 46.00 47.38 3.00%
Non Bargaining Maximum Hourly Rate(excluding above) Part Time 34.39 35.42 3.00%
City Minimum Wage for All Positions
City Minimum Wage All Positions 12.50 12.88 3.00%
1200N COUNTY-CITY BUILDING
227 W. JEFFERSON BLVD.
SOUTH BEND, INDIANA 46601-1830
PHONE 574.235.9216
FAX 574.235.9928
CITY OF SOUTH BEND, IN JAMES MUELLER, MAYOR DEPARTMENT OF AD MINISTRATION AND FINANCE
February 19, 2025
Canneth Lee, President
President, South Bend Common Council
4th Floor, County-City Building
South Bend, IN 46601
RE: Amended Teamster 2025 Salary Ordinance
Dear President Lee:
Filed in Clerk's Office
,..
Bianca Tirado City Clerk, South Bend, IN
Attached is an amendment to the ordinance setting the salaries for City employees that are members of the
Teamsters for the calendar year 2025.
We are amending the Teamster's salary ordinance for 2025 to add a full-time employee to the Building
Maintenance position in the Central Services Building Maintenance division. This will be a dedicated position
specifically for the new City Hall building.
I will present this bill to the Common Council at the appropriate committee and council meetings. It is requested
that this bill be filed for 1st reading on February 24 th, 2025, with 2nd reading, public hearing and 3rd reading
scheduled for March 10 th, 2025. If you have any further questions or need additional information, please let me
know.
Thank you for your consideration.
Sincerely,
Kyle Willis
City Controller
11-25
Filed in Clerk's Office
Bianca Tirado
City Clerk, South Bend, IN
BILL NO. 11-25
ORDINANCE NO.
AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF
SOUTH BEND, INDIANA, AMENDING ORDINANCE NO. 11155-24,
WHICH FIXED MAXIMUM WAGES OF TEAMSTER EMPLOYEES
FOR CALENDAR YEAR 2025,2026, 2027,AND 2028, TO ADD A
FULL-TIME EMPLOYEE TO ONE EXISTING POSITION
STATEMENT OF PURPOSE AND INTENT
The Common Council of the City of South Bend, Indiana passed
Ordinance Number 7997-89 on July 24, 1989, fixing the maximum wages and
monetary fringe benefits for Teamsters Local Union No. 364 employees of the
City for the calendar years 1990 through 1992. Each subsequent contract cycle,
the Common Council has passed an ordinance fixing the maximum wages for
Union employees, most recently on October 14, 2024 in Ordinance Number
11155-24 for calendar years 2025, 2026, 2027, and 2028.
Subsequent to this most recent ordinance adoption, the City's executive
has determined that it is appropriate and necessary to amend the list of positions
approved in Ordinance Number 11155-24 to add a full-time employee to the
Building Maintenance position in the Central Services Building Maintenance
division.This ordinance provides for the amendment of the attachment referenced
in Section I(a) of Ordinance Number 11155-24.
This Ordinance is in the best interest of the City and the affected Teamster
employees.
NOW, THEREFORE, BE IT ORDAINED by the Common Council of
the City of South Bend, Indiana, as follows:
SECTION I. Ordinance No. 11155-24 is hereby amended to include the
Teamster positions and maximum salaries set forth in Exhibit A attached hereto.
The positions affected by this ordinance are highlighted for ease of identification.
SECTION II.All other portions and sections of Ordinance No. 11155-24
are unaffected by this amendment and are reconfirmed.
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.
Canneth Lee,
Common Council President
Attest:
Bianca Tirado, City Clerk
Presented by me to the Mayor of the City of South Bend, Indiana, on the
day of 2025 at o'clock_ . m.
Bianca Tirado, City Clerk
Approved and signed by me on the day of 2025 at
o'clock .m.
James Mueller, Mayor, City of South Bend, Indiana
Title Change 3.00% <2025 Rate for Select Equip.SE
Non-
AddingStandard
New Position Increase
FTE
9.00% 3.00% 3.00% 3.00%
2024
2025 2026 2027
Position 2024 Rates Equivalent 2024 Rate
Rates Rates Rates
Rates
Neighborhood Services Division
NEAT Crew Operator 20.88 22.76 23.44 24.15 24.87
Equipment Services Division
Build!
Body Repair IV 21.62 23.57 24.27 25.00 25.75
Body Repair V 22.81 24.86 25.61 26.38 27.17
General Laborer(Janitor) 20.00 21.80 22.45 23.13 23.82
Machinist IV 29.29 30.17 31.07 32.01 32.97
Machinist V 32.12 33.08 34.08 35.10 36.15
Mechanic III 27.10 27.91 28.75 29.61 30.50
Mechanic IV 29.29 30.17 31.07 32.01 32.97
Mechanic V 32.12 33.08 34.08 35.10 36.15
Parts Clerk I 20.45 22.45 23.12 23.82 24.53 25.27
Parts Clerk II 21.04 24.04 24.76 25.50 26.27 27.06
Parts Clerk III 26.04 26.82 27.63 28.45 29.31
Police Division H
Police Facility Operations Technician I 17.87 19.48 20.06 20.66 21.28
Police Facility Operations Technician II 19.49 21.24 21.88 22.54 23.21
Police Facility Operations Technician III 22.82 24.87 25.62 26.39 27.18
Solid Waste Division
Driver 22.13 24.12 24.85 25.59 26.36
Streets&Sewers Division
Street Work Group
Equipment Operator I 18.83 20.52 21.14 21.77 22.43
Equipment Operator II 19.50 21.26 21.89 22.55 23.23
Equipment Operator III 20.26 22.08 22.75 23.43 24.13
Head Custodian 18.65 20.33 20.94 21.57 22.21
Heavy Equipment Operator I 21.02 22.91 23.60 24.31 25.04
Heavy Equipment Operator II 21.53 23.47 24.17 24.90 25.64
Job Leader 22.17 24.17 24.89 25.64 26.41
Traffic and Lighting Work Group
Filed in Clerk's Office
Bianca Tirado
City Clerk, South Bend, IN
Operations Technician I 19.77 21.55 22.20 22.86 23.55
Operations Technician II 20.77 22.64 23.32 24.02 24.74
Operations Technician-Job Leader 22.17 24.17 24.89 25.64 26.41
Sign Artist I 20.71 22.57 23.25 23.95 24.67
Sign Artist II 22.17 24.17 24.89 25.64 26.41
Signal Technician I 20.49 22.33 23.00 23.69 24.41
Signal Technician II 21.39 23.32 24.01 24.73 25.48
Signal Technician III 22.39 24.41 25.14 25.89 26.67
Signal Technician IV 23.40 25.51 26.27 27.06 27.87
Electrician 23.40 25.51 26.27 27.06 27.87
Electrician II 24.90 27.14 27.96 28.79 29.66
Sewer Work Group
Concrete Finisher 21.90 23.87 24.59 25.32 26.08
Concrete Finisher Apprentice 19.77 21.55 22.20 22.86 23.55
Heavy Equipment Operator I 21.02 22.91 23.60 24.31 25.04
Heavy Equipment Operator II 21.53 23.47 24.17 24.90 25.64
Job Leader 22.66 24.70 25.44 26.20 26.99
Operator I 18.83 20.52 21.14 21.77 22.43
Operator II 19.50 21.26 21.89 22.55 23.23
Operator III 20.26 22.08 22.75 23.43 24.13
Utilities Division
Organic Resources Work Group
Heavy Equipment Operator I 21.02 22.91 23.60 24.31 25.04
Heavy Equipment Operator II 21.53 23.47 24.17 24.90 25.64
Job Leader 22.48 24.50 25.24 26.00 26.78
Wastewater Work Group
CSO Rep I 20.67 22.53 23.21 23.90 24.62
CSO Rep II 21.53 23.47 24.17 24.90 25.64
Dewater Operator 21.53 23.47 24.17 24.90 25.64
Sanitation Operator 18.79 20.48 21.10 21.73 22.38
General Laborer 17.87 19.48 20.06 20.66 21.28
Janitor 18.00 19.62 20.21 20.81 21.44
Lift Station- Rep I 21.53 23.47 24.17 24.90 25.64
Lift Station- Rep II 22.45 24.47 25.20 25.96 26.74
Maintenance Electrician I 20.28 22.11 22.77 23.45 24.15
Maintenance Electrician II 20.71 22.57 23.25 23.95 24.67
Maintenance Electrician III 22.45 24.47 25.20 25.96 26.74
Maintenance Electrician IV 23.34 25.44 26.20 26.99 27.80
Maintenance Electrician V 24.77 27.00 27.81 28.64 29.50
Maintenance Lead 25.11 27.37 28.19 29.04 29.91
Maintenance Repair I 20.67 22.53 23.21 23.90 24.62
Maintenance Repair II 21.53 23.47 24.17 24.90 25.64
Maintenance Repair III 22.45 24.47 25.20 25.96 26.74
Maintenance Repair IV 23.34 25.44 26.20 26.99 27.80
Maintenance Repair V 24.77 27.00 27.81 28.64 29.50
Operator-General 21.53 23.47 24.17 24.90 25.64
Operator- Lead 25.11 27.37 28.19 29.04 29.91
Operator-Senior 22.45 24.47 25.20 25.96 26.74
Water Works Division
Billing Account Specialist I (formerly
Customer Service& Billing I)22.64 24.68 25.42 26.18 26.97
Billing Account Specialist II (formerly
Customer Service & Billing II) 23.17 25.26 26.01 26.79 27.60
Field Repairman/Inspector I 19.16 20.88 21.51 22.16 22.82
Field Repairman/Inspector II 19.90 21.69 22.34 23.01 23.70
Field Repairman/Inspector III 21.04 22.93 23.62 24.33 25.06
Field Repairman/Inspector IV 21.33 23.25 23.95 24.67 25.41
Field Repairman/Inspector V 21.59 23.53 24.24 24.97 25.72
General Laborer 17.87 19.48 20.06 20.66 21.28
Construction & Maintenance I 21.02 22.91 23.60 24.31 25.04
Construction & Maintenance II 21.80 23.76 24.47 25.21 25.97
Construction & Maintenance III 22.66 24.70 25.44 26.20 26.99
Construction & Maintenance Lead 25.11 27.37 28.19 29.04 29.91
Machinist 21.33 23.25 23.95 24.67 25.41
Operations & Maintainence Tech I 20.62 22.48 23.15 23.84 24.56
Operations & Maintainence Tech II 21.53 23.47 24.17 24.90 25.64
Operations & Maintainence Tech III 22.45 24.47 25.20 25.96 26.74
Operations & Maintenance Tech IV 23.50 25.62 26.38 27.17 27.99
Lead Operations & Maintainence Tech 25.11 27.37 28.19 29.04 29.91
Operator I 18.83 20.52 21.14 21.77 22.43
Operator II 19.50 21.26 21.89 22.55 23.23
Venues Parks &Arts Division
Arborist I 21.53 23.47 24.17 24.90 25.64
Arborist II 23.4 25.51 26.27 27.06 27.87
Arborist/Weed Control 20.71 22.57 23.25 23.95 24.67
Asst. Greens Superintendent 21.02 22.91 23.60 24.31 25.04
Athletic Field Maintenance 19.61 21.37 22.02 22.68 23.36
Building Maintenance-Custodian &
Laborer 17.87 19.48 20.06 20.66 21.28
Building & Structural Maintenance I 22.58 24.61 25.35 26.11 26.89
Building & Structural Maintenance II 23.4 25.51 26.27 27.06 27.87
Construction Maintenance/Carpenter I 21.87 23.84 24.55 25.29 26.05
Construction Maintenance/Carpenter II 22.58 24.61 25.35 26.11 26.89
Construction Maintenance/Carpenter III 23.4 25.51 26.27 27.06 27.87
Construction Maintenance/Mason 22.58 24.61 25.35 26.11 26.89
Construction Maintenance/Welder 22.58 24.61 25.35 26.11 26.89
Electrician - Park 23.4 25.51 26.27 27.06 27.87
Equipment Operator II - Park 19.4 21.15 21.78 22.43 23.11
General Laborer 17.87 19.48 20.06 20.66 21.28
Group Leader-Centralized Mowing 20.71 22.57 23.25 23.95 24.67
Group Leader-Co Line Trail 20.71 22.57 23.25 23.95 24.67
Group Leader- Howard Park 20.71 22.57 23.25 23.95 24.67
Group Leader- Recreation 20.71 22.57 23.25 23.95 24.67
Group Leader- Rum Village 20.71 22.57 23.25 23.95 24.67
Group Leader- Street Island 20.71 22.57 23.25 23.95 24.67
Group Leader- LaSalle Park 20.71 22.57 23.25 23.95 24.67
Group Leader- Leeper 20.71 22.57 23.25 23.95 24.67
Group Leader- Plaza 20.71 22.57 23.25 23.95 24.67
Group Leader-Custodian 20.71 22.57 23.25 23.95 24.67
Head Custodian 18.65 20.33 20.94 21.57 22.21
Heavy Equipment Operator I 21.02 22.91 23.60 24.31 25.04
Heavy Equipment Operator II 21.53 23.47 24.17 24.90 25.64
Job Leader 22.13 24.12 24.85 25.59 26.36
Job Leader- Mechanic 22.13 24.13 26.30 27.09 27.90 28.74
VPA Mechanic-Garage 21.61 23.61 25.73 26.51 27.30 28.12
VPA Mechanic-Golf 21.61 23.61 25.73 26.51 27.30 28.12
Operator I 18.83 20.52 21.14 21.77 22.43
Painter IV 21.25 23.16 23.86 24.57 25.31
Plumber IV- Park 23.4 25.51 26.27 27.06 27.87
County-City Building
227 W Jefferson Blvd Suite, 1200 N
South Bend, IN 46601
James Mueller, Mayor
February 19, 2025
Canneth Lee, President
City of South Bend
Department of Administration & Finance Division of Human Resources
City of South Bend Common Council
227 W. Jefferson Boulevard, 4th Floor
South Bend, Indiana 4660 I
RE: QI 2025 Budget Transfer Ordinance
Dear President Lee,
Phone
Email
Website
311 inside City limits
311@southbendin.gov
Southbendin.gov
Filed in Clerk's Office
1 ., '
Bianca Tirado City Clerk, South Bend, IN
During the past several years, it has been the practice of the City of South Bend to request
department heads, fiscal staff, and city administration to conduct an extensive review of the status
of compliance with the adopted city budget and propose necessary adjustments periodically
throughout the year. For 2025, we plan to propose adjustments during four time periods-March,
June, October and December.
Based on our budget review, we are submitting the enclosed budget transfer ordinance for your
consideration.
I will present this bill to the Common Council at the appropriate committee and Council meetings.
It is requested that this bill be filed for !st reading on February 241\ 2025, with 2nd reading, public
hearing and 3rd reading scheduled for March 101\ 2025.
Thank you for your attention to this request. If you should have any questions, please feel to contact
me at 574-235-9822.
Regards
Kyle Willis
City Controller
12-25
Filed in Clerk's Office
BILL NO. 12-25
Bianca Tirado
ORDINANCE NO. City Clerk, South Bend, IN
AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH
BEND, INDIANA, FOR BUDGET TRANSFERS FOR VARIOUS
DEPARTMENTS WITHIN THE CITY OF SOUTH BEND, INDIANA FOR THE
YEAR 2025
STATEMENT OF PURPOSE AND INTENT
Unforeseen conditions have developed since the adoption of the existing City
budget, under Ordinance No. 11150-24 on October 7, 2024, which necessitates the
increase and reduction of appropriations within the various departments of the General
Fund and other funds of the City of South Bend during 2025.
NOW, THEREFORE, BE IT ORDAINED by the Common Council of the City of
South Bend, Indiana, as follows:
Section I. All accounts as set forth in the detailed attachment hereto which are
incorporated herein shall be adjusted by increase or reduction of appropriation in the
designated sums.
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.
Canneth Lee, Common Council President
Attest:
Bianca Tirado, City Clerk
Presented by me to the Mayor of the City of South Bend, Indiana, on the
day of 2025, at o'clock . m.
Bianca Tirado, City Clerk
Approved and signed by me on the day of 2025, at
o'clock . m.
James Mueller,
Mayor, City of South Bend, Indiana
Filed in Clerk's Office
City of South Bend,Indiana
Q12025 Budget Adjustments-Budget Transfers RianCa Tirado
budget transfers between different cost categories(i.e.personnel,supplies,services,capital)and/or different departments/divisions within the same fund) city rjonk C(si Ith Rtnnr$, IN
Budget
Account# Fund Department Division Account
Adjustment
258-04-402-046-439100— Human Rights Federal Grants Administration&Finance Human Rights Services&Charges-Other-Refunds/Awards/Indemnities 30,000)
258-04-402-046-445000— Human Rights Federal Grants Administration&Finance Human Rights Capital Outlay-Machinery&Equip-Motor Equipment 30,000
Rationale: Transfer budget to capital account for vehicle expense for department
101-04-400-041-431000— General Fund Administration&Finance Controller's Office Services&Charges-Professional-Other Professional Svcs 380,0001
101-11-201-201-439000-- General Fund Venues Parks&Arts Park Maintenance Services&Charges-Other-Misc Charges&Svcs 380,000
Rationale: Transfer budget for Block by Block contract.
II
201-11-208-239-421000— Parks&Recreation Venues Parks&Arts Community Programming Supplies-Office-Other Office Supplies 2,000)
201-11-208-239-422005— Parks&Recreation Venues Parks&Arts Community Programming Supplies-Operating-Uniforms 1,000)
201-11-208-239-422009— Parks&Recreation Venues Parks&Arts Community Programming Supplies-Operating-Recreation Supplies 25,000)
201-11-208-239-422014— Parks&Recreation Venues Parks&Arts Community Programming Supplies-Operating-Concessions Inventory 5,000)
201-11-208-239-431000— Parks&Recreation Venues Parks&Arts Community Programming Services&Charges-Professional-Other Professional Svcs 1,150)
201-11-208-239-439000— Parks&Recreation Venues Parks&Arts Community Programming Services&Charges-Other-Misc Charges&Svcs 10,000)
201-11-208-239-439002— Parks&Recreation Venues Parks&Arts Community Programming Services&Charges-Other-Licenses&Permits 1,200)
201-11-208-239-439006— Parks&Recreation Venues Parks&Arts Community Programming Services&Charges-Other-Education&Training 500)
201-11-208-239-439009— Parks&Recreation Venues Parks&Arts Community Programming _ Services&Charges-Other-Trash Removal 3,600)
201-11-208.237-410001— Parks&Recreation Venues Parks&Arts Community Programming Personnel-Salaries&Wages-Salaried Wages 234,011)
201-11-208-237-410003— Parks&Recreation Venues Parks&Arts Community Programming Personnel-Salaries&Wages-Permanent Part Time 200,000)
201-11-208-237-411001— Parks&Recreation Venues Parks&Arts Community Programming Personnel-Employee Benefits-FICA Regular 17,902)
201-11-208-237411004— Parks&Recreation Venues Parks&Arts Community Programming Personnel-Employee Benefits-PERF Regular 26,209)
201-11-208-237411007— Parks&Recreation Venues Parks&Arts Community Programming Personnel-Employee Benefits-Unemployment Comp 281)
201-11-208-237-411008— Parks&Recreation Venues Parks&Arts Community Programming Personnel-Employee Benefits-Health Insurance 67,841)
201-11-208-237411009— Parks&Recreation Venues Parks&Arts Community Programming Personnel-Employee Benefits-Life Insurance 480)
201-11-208-237411010— Parks&Recreation Venues Parks&Arts Community Programming Personnel-Employee Benefits-Med/Surgical/Dental 400)
201-11-208-237411014— Parks&Recreation Venues Parks&Arts Community Programming Personnel-Employee Benefits-Parental Leave 772)
201-11-011-011-421000— Parks&Recreation Venues Parks&Arts Community Initiatives Supplies-Office-Other Office Supplies 2,000
201-11-011-011-422005— Parks&Recreation Venues Parks&Arts Community Initiatives Supplies-Operating-Uniforms 1,000
201-11-011-011-472009— Parks&Recreation Venues Parks&Arts Community Initiatives Supplies-Operating-Recreation Supplies 25,000
201-11-011-011-422014— Parks&Recreation Venues Parks&Arts Community Initiatives Supplies-Operating-Concessions Inventory 5,000
201-11-011-011-431000— Parks&Recreation Venues Parks&Arts Community Initiatives Services&Charges-Professional-Other Professional Svcs 1,150
201-11-011-011-439000— Parks&Recreation Venues Parks&Arts Community Initiatives Services&Charges-Other-Misc Charges&Svcs 10,000
201-11-011-011-439002— Parks&Recreation Venues Parks&Arts Community Initiatives Services&Charges-Other-Licenses&Permits 1,200
201-11-011-011-439006— Parks&Recreation Venues Parks&Arts Community Initiatives Services&Charges-Other-Education&Training 500
201-11-011-011-439009— Parks&Recreation Venues Parks&Arts Community Initiatives Services&Charges-Other-Trash Removal 3,600
201-11-011-011410001— Parks&Recreation Venues Parks&Arts Community Initiatives Personnel-Salaries&Wages-Salaried Wages 234,011
201-11-011-011410003— Parks&Recreation Venues Parks&Arts Community Initiatives Personnel-Salaries&Wages-Permanent Part Time 200,000
201-11-011-011411001— Parks&Recreation Venues Parks&Arts Community Initiatives Personnel-Employee Benefits-FICA Regular 17,902
201-11-011-011-411004— Parks&Recreation Venues Parks&Arts Community Initiatives Personnel-Employee Benefits-PERF Regular 26,209
201-11-011-011411007— Parks&Recreation Venues Parks&Arts Community Initiatives Personnel-Employee Benefits-Unemployment Comp 281
201-11-011-011411008— Parks&Recreation Venues Parks&Arts Community Initiatives Personnel-Employee Benefits-Health Insurance 67,841
201-11-011-011-411009— Parks&Recreation Venues Parks&Arts Community Initiatives Personnel-Employee Benefits-Life Insurance 480
201-11-011-011411010— Parks&Recreation Venues Parks&Arts Community Initiatives Personnel-Employee Benefits-Med/Surgical/Dental 400
201-11-011-011-411014— Parks&Recreation Venues Parks&Arts _Community Initiatives Personnel-Employee Benefits-Parental Leave 772
Rationale: Move funds to Community Initiatives based on VPA realignment
1I r
City of South Bend,Indiana
Q1 2025 Budget Adjustments-Budget Transfers
budget transfers between different cost categories(i.e.personnel,supplies,services,capital)and/or different departments/divisions within the same fund)
Budget
Account x Fund Department Division Account
Adjustment
601-11-240-460-413900— Parking Garages Venues Parks&Arts Parking Garages Personnel-Other Personnel-SMG Wages 29,272)
601-11-240-460-413901— Parking Garages Venues Parks&Arts Parking Garages Personnel-Other Personnel-SMG Benefits&Taxes 8,573)
601-11-240-461413900— Parking Garages Venues Parks&Arts Parking Garages Personnel-Other Personnel-SMG Wages 87,817)
601-11-240-461413901— Parking Garages Venues Parks&Arts Parking Garages Personnel-Other Personnel-SMG Benefits&Taxes 25,721)
601-11-240.462-413900— Parking Garages Venues Parks&Arts Parking Garages Personnel-Other Personnel-SMG Wages 117,088)
601-11-240.462-413901— Parking Garages Venues Parks&Arts Parking Garages Personnel-Other Personnel-SMG Benefits&Taxes 34,295)
601-11-240-463-413900— Parking Garages Venues Parks&Arts Parking Garages Personnel-Other Personnel-SMG Wages 117,088)
601-11-240-463-413901— Parking Garages Venues Parks&Arts Parking Garages Personnel-Other Personnel-SMG Benefits&Taxes 34,295)
601-11-240-464-413900— Parking Garages Venues Parks&Arts Parking Garages Personnel-Other Personnel-SMG Wages 117,088)
601-11-240-464-413901— Parking Garages Venues Parks&Arts Parking Garages Personnel-Other Personnel-SMG Benefits&Taxes 34,295)
601-11-240.467-413900— Parking Garages Venues Parks&Arts Parking Garages Personnel-Other Personnel-SMG Wages 117,088)
601-11-240-467413901— Parking Garages Venues Parks&Arts Parking Garages Personnel-Other Personnel-SMG Benefits&Taxes 34,295)
601-11-240-460-431000— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Professional-Other Professional Svcs 155,000
601-11-240-460-439100— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Other-Refunds/Awards/lndemnities 1,300
601-11-240-461-423001— Parking Garages Venues Parks&Arts Parking Garages Supplies-Repair&Maint-Building Materials 1,500
601-11-240-461-431000— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Professional-Other Professional Svcs 103,830
601-11-240-462-423001— Parking Garages Venues Parks&Arts Parking Garages Supplies-Repair&Maint-Building Materials 600
601-11-240-462-431000— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Professional-Other Professional Svcs 105,000
601-11-240-462-435004— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Utility Services-Water 5,000
601-11-240-462-436001— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Repairs&Maint-Building R&M 18,500
601-11-240-462-439002— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Other-Licenses&Permits 400
601-11-240.462-439005— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Other-Bank&Credit Card Fees 3,850
601-11-240-463-423001— Parking Garages Venues Parks&Arts Parking Garages Supplies-Repair&Maint-Building Materials 3,000
601-11-240-463-431000— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Professional-Other Professional Svcs 105,000
601-11-240463-435004— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Utility Services-Water 1,750
601-11-240-463-436001— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Repairs&Maint-Building R&M 21,000
601-11-240-463-439002— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Other-Licenses&Permits 2,000
601-11-240-464-423001— Parking Garages Venues Parks&Arts Parking Garages Supplies-Repair&Maint-Building Materials 500
601-11-240-464-431000— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Professional-Other Professional Svcs 105,000
601-11-240-464-435004— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Utility Services-Water 3,700
601-11-240464-436001— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Repairs&Maint-Building R&M 13,000
601-11-240-464-439002— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Other-Licenses&Permits 250
601-11-240-464-439005— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Other-Bank&Credit Card Fees 950
601-11-240-467431000— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Professional-Other Professional Svcs 105,000
601-11-240467-439000— Parking Garages Venues Parks&Arts Parking Garages Services&Charges-Other-Misc Charges&Svcs 785
Rationale: Reallocate funds to better fit needs of 2025
201-11-203-236-422009— Parks&Recreation Venues Parks&Arts Recreational Experiences Supplies-Operating-Recreation Supplies 11,600)
201-11-203-236-432005— Parks&Recreation Venues Parks&Arts Recreational Experiences Services&Charges-Communication&Transp-Mileage Reimb 500)
201-11-203-236-433003— Parks&Recreation Venues Parks&Arts Recreational Experiences _ Services&Charges-Printing&Ad-Promotional 1,500)
201-11-203-236-439000— Parks&Recreation Venues Parks&Arts Recreational Experiences Services&Charges-Other-Misc Charges&Svcs 53,675)
201-11-203-236-439001— Parks&Recreation Venues Parks&Arts Recreational Experiences Services&Charges-Other-Other Contractual Services 1,000)
201-11-203-236-439006— Parks&Recreation Venues Parks&Arts Recreational Experiences Services&Charges-Other-Education&Training 720)
201-11-203-236-439100— Parks&Recreation Venues Parks&Arts Recreational Experiences Services&Charges-Other-Refunds/Awards/Indemnities 3,441)
201-11-205-243-433003— Parks&Recreation Venues Parks&Arts Development&Promotion Services&Charges-Printing&Ad-Promotional 72,436
Rationale: Reallocate Special Event budget to Development&Promotions
1I
City of South Bend,Indiana
Q1 2025 Budget Adjustments-Budget Transfers
budget transfers between different cost categories(i.e.personnel,supplies,services,capital)and/or different departments/divisions within the same fund)
Account a Fund Department Division Account
Budget
Adjustment
101-04-400-041-410001— General Fund Administration&Finance Controller's Office Personnel-Salaries&Wages-Salaried Wages 53,754)
101-04-400-041-411008— General Fund Administration&Finance Controller's Office Personnel-Employee Benefits-Health Insurance 16,960)
101-04-400.041-411001— General Fund Administration&Finance Controller's Office Personnel-Employee Benefits-FICA Regular 4,112)
101-04-400-041411004— General Fund Administration&Finance Controllers Office Personnel-Employee Benefits-PERF Regular 6,020)
101-04-400-041-411007— General Fund Administration&Finance Controller's Office Personnel-Employee Benefits-Unemployment Comp 65)
101-04-400-041-411009— General Fund Administration&Finance Controller's Office Personnel-Employee Benefits-Life Insurance 120)
101-0 4-4 0 0-041-4110 14— General Fund Administration&Finance Controller's Office Personnel-Employee Benefits-Parental Leave 177)
101-05-050-050-410001— General Fund Legal Department Legal Department Personnel-Salaries&Wages-Salaried Wages 53,754
101-05-050-050-411008— General Fund Legal Department Legal Department Personnel-Employee Benefits-Health Insurance 16,960
101-05-050-050411001— General Fund Legal Department Legal Department Personnel-Employee Benefits-FICA Regular 4,112
101-05-050-050-411004— General Fund Legal Department Legal Department Personnel-Employee Benefits-PERF Regular 6,020
101-05-050-050-411007— General Fund Legal Department Legal Department Personnel-Employee Benefits-Unemployment Comp 65
101-05-050-050-411009— General Fund Legal Department Legal Department Personnel-Employee Benefits-Life Insurance 120
101-05-050-050-411014— General Fund Legal Department Legal Department Personnel-Employee Benefits-Parental Leave 177
Rationale: Transfers to cover additional expense in salaries(OVB positon in Legal Department)
Total
County-City Building
227 W Jefferson Blvd Suite, 1200 N
South Bend, IN 46601
James Mueller, Mayor
February I 9, 2025
Canneth Lee, President
City of South Bend
Department of Administration & Finance Division of Human Resources
City of South Bend Common Council
227 W. Jefferson Boulevard, 4th Floor
South Bend, Indiana 4660 I
RE: QI 2025 Additional Appropriation Ordinance
Dear President Lee,
Phone
Email
Website
311 inside City limits
311@southbendin.gov
Southbendin.gov
Filed in Clerk's Office
Fr:9 1 9 2 5
Bianca Tirado City Clerk, South Bend, IN
During the past several years, it has been the practice of the City of South Bend to request
department heads, fiscal staff, and city administration to conduct an extensive review of the status
of compliance with the adopted city budget and propose necessary adjustments periodically
throughout the year. For 2025, we plan to propose adjustments during four time periods-March,
June, September and December.
Based on our budget review, we are submitting the enclosed additional appropriation ordinance for
your consideration.
I will present this bill to the Common Council at the appropriate committee and Council meetings.
It is requested that this bill be filed for !st reading on February 241\ 2025, with 2nd reading, public
hearing and 3rd reading scheduled for March I 0th , 2025.
Thank you for your attention to this request. If you should have any questions, please feel to contact
me at 574-235-9822.
Regards,
t'f tJ JQ,_,·
Kyle Willis
City Controller
13-25
Filed in Clerk's Office
BILL NO. 13-25
Bianca Tirado
City Clerk, South Bend, IN
ORDINANCE NO.
AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND,
INDIANA,APPROPRIATING ADDITIONAL FUNDS FOR CERTAIN DEPARTMENTAL
AND CITY SERVICES OPERATIONS FOR THE YEAR 2025 OF$1,464,798 FROM THE
GENERAL FUND (#101), $535,028 FROM THE PARKS AND RECREATION FUND (#201),
5,000 FROM THE GIFT,DONATION, BEQUEST FUND (#217), $655,000 FROM THE
LAW ENFORCEMENT CONTINUING EDUCATION FUND (#220), $54,198 FROM THE
CENTRAL SERVICES FUND (#222),$489,000 FROM THE IT/INNOVATION/311 CALL
CENTER FUND (#279), $350,000 FROM THE FIRE DEPARTMENT CAPITAL FUND
287), $9,425,000 FROM THE LOCAL INCOME TAX—ECONOMIC DEVELOPMENT
FUND (#408), $250,000 FROM THE SEWAGE WORKS OPERATIONS FUND (#641),AND
82,500 FROM THE UNEMPLOYMENT COMPENSATION FUND (#713).
STATEMENT OF PURPOSE AND INTENT
By Ordinance No. 11150-24 on October 7, 2024, the Common Council adopted the City's
2025 operating and capital budgets, which included expenditures for various City operations. It is
now necessary to appropriate additional funds for operational and capital expenditures necessary for
the City to affect the provision of services to its residents, which were not anticipated at the time the
City budget was adopted.
NOW, THEREFORE, BE IT ORDAINED by the Common Council of the City of South
Bend, Indiana, as follows:
Section I. The following amounts are hereby appropriated in fiscal year 2025 and set apart
within the following designated funds for expenditures as follows:
Fund Fund Name Amount
101 General Fund 1,464,798
201 Parks & Recreation 535,028
217 Gift,Donation,Bequest 5,000
220 Law Enforcement Continuing Education 655,000
222 Central Services 54,198
279 IT/Innovation/311 Call Center 489,000
287 Fire Department Capital 350,000
408 Local Income Tax- Economic Development 9,425,000
641 Sewage Works Operations 250,000
713 Unemployment Compensation 82,500
Total 13,310,524
Section II. This ordinance shall be in full force and effect from and after its passage by the
Common Council and approval of the Mayor.
Canneth Lee, Common Council President
Attest:
Bianca Tirado, City Clerk
Presented by me to the Mayor of the City of South Bend, Indiana, on the day of
2025 at o'clock m.
Bianca Tirado, City Clerk
Approved and signed by me on the day of 2025 at
o'clock . m.
James Mueller, Mayor, City of South Bend, Indiana
Filed in Clerk's Office
City of South Bend,Indiana
Q12025 Budget Adjuetmeots-Additional Appropriations
increase or decrease in total fund expenditure.(
Bianca Tirado
Accounts hind Department Division Account City Clerk, South Bend, IN
gadget Adjustment
y Unanticipated Expanses
201-11-205-231-139300- Parks&Recreation Venues Parks 4.Arts Development&Promotion Services&Charges-Other-Grants&Subsidies 3,000
201-11-201-201-445000- Parks&Recreation Venues Parks&Arts Park Maintenance Capital Outlay-Machinery&Equip-Motor Equipment 97,028
Rationale: Appropriate Central Services 2024 Auction Proceeds
220-08-08048544 001- Law Enforcement Continuing Education Police Department Police Department Capital Outlay-Machinery&Equip-Police Equipment 655,000
Rationale Appropriates grant proceeds to purchase a finger print machine,bomb robot,
and safely equipment for firearms.
408-11-206-273-444000-110RLPGRANT-PROJ000013401 Loral Income Tax-Economic Development Venues Parks&Arta _Park ProjMn&Capital Capital Outlay-Imps Other Than Bldgs-land improvement 7,00,000
201-11-201-201444000- Parks&Recreation Venues Parks&Arts Park Maintenance Capital Outlay-Impv Other Than Bldgu-Land Improvement 135,000
201-11-201-21-444000- Parks&Recreation Venues Parks&Arts Park Maintenance Capital Outlay-lmpv Other Than Bldgs-laud Improvement 75,000
201-11-201-20144.5003- Parks&Recreation Venues Parks&Arts _Park Maintenance Capital Outlay-Machinery&Equip-Park Equipment 150,000
201-11-201-2111445003- Parks&Recreation Venues Parks&Arts Park Maintenance Capital Outlay-Machinery&Equip-Park Equipment 75,000
Rationale Appropriate funds for Kennedy Park ORLP Grant Project
222-04.403454410002- Central Services Administration&Finance Central Services Personnel-Salaries&Wages-Teamster Wages 26,418
222-04-903-454410009- Central Services Administration&Finance Central Services Personnel-Salaries&Wages-Extra&Overtime 1,000
2 22-0 4 4 03 45 44110 01- Central Services Administration&Finance Central Services Personnet-Employee Benefits-FICA Regular 2,141
222-04403-454411004- Central Services Administration&Finance -Central Services Personnel-Employee Benefits-PERP Regular 3,134
222-09403454-411005- Central Services Administration&Finance Central Services Personnel-Employee Benefits-PER!Union 420
222-04-403454411007- Central Service. Administration&Finance Central Services Personnel-Employee Benefits-Unemployment Comp 66
222-04-403-454411008- Central Services Administration&Finance Central Services Personnel-Employee Benefits-Health Insurance 8,480
222-04-403459411009- Central Services Administration&Finance Central Services Personnel-Employee Benefits-Life lnsurame 120
222-04403-454411014- Central Services Administration&Finance Central Services Personnel-Employee Benefits-Parental Leave 181
222-04-403.54411201- Central Services Adminiotration&Finance Central Services Personnel-Employee Benefits-Tool Allowance 800
222-04 4 03 45 4411203- Central Services Administration&Finance Central Services Personnel-Employee Benefits-Job Readiness Allow. 213
Rationale: New ITE-Building Maintenance for New City Hall(6 Months/
101-04-402-044410001- General Pund Administration&Finance _Human Rights Personnel-Saloum&Wages-Salaried Wages 11,651
101-04-402-044411001- General Fund Administration&Finance Human Rights Personnel-Employee Benefits-PICA Regular 891
101-04402-044411004- General Fund Administration&Finance Human Rights Personnel-Employee Benefit.-PER!Regular 1,305
101-04.42-044-411007- General Fund Administration&Finance _Human Rights Personnel-Employee Benefits-Unemployment Comp 13
101-04402-044.411014- General Fund Administration&Finance ,Human Rights Personnel-Employee Benefit.-Parental Leave 38
Rationale: Promotion of staff to investigator I/Intake Coordinator
H
Services222-0 4-40 3 450 410 00 2- Central ServiServices Administration&Finance I Central Services
I
Personnel-Salaries&Wages-Teamster Wages 9792
222-04-403450410001- Central Services I Adminiotralion&Finance Central ServicesPersonnel-Salaries&Wages-Salaried Wages 711
222-04-403450411001- Central Services Administration&Finance 'Central Services Personnel-Employee Benefits-FICA Regular 1,041
222-04403450411005- Central Services Administration&Finance 'Central Services I Personnel-Employee Benefits-PERF Union 139
222-04403450-611007- Central Services Administration&Finance Central Services Personnel-Employee Benefits-Unemployment Comp 11
222-04403450411014- Central Services Administration&Finance Central Services Personnel-Employee Benefits-Parental Leave 31
Rationale: Promotion of(21 Mechanics from a III to IV
279-07-071-071436004- IT/Innovation/311 Call Center Innovation&Technology 'Information Technology Services&Charges-Repair&Maint-Computer Equip R&M B 15,000
279-07-071-071422006- IT/Innovation/311 Call Center Innovation&Technology 'Information Technology Supplies-Operating-Computer Supplies&Equipment 138,500
279-87-071-071431009- IT/Innovation/311 Call Center Innovation&Technology -,Information Technology Services&Charges-Professional-Computer&Technology 335,500
Rationale: Evolve Security Hardware for New CityHal/Camems/Garagee
713-04406-406413003- Unemployment Compensation Administration&Finance 'Health Insurance and Benefits Personnel-Other Personnel-Recruitment Expenses 2,500
713-04-406.406.413111- Unemployment Compensation I Administration&Finance ,Health Insurance and Benefits Personnel-Other Personnel-Claims/Unemployment 80,000
Rationale: Additional Funds needed to cover 2025 Expenses 1TI
101-06.602407435001- General Fund I Public Works Streets&Sewers Services&Charges-Utility Service.-Electric 1,400,000
Rationale: 2025 Budget-switched from Fund 404 in 2023 to Fund 101 I I
I I
101-06-600-500431000- General Fund Public Works I Engineering Services&Charges-Professional-Other Professional Svcs 30,900
Rationale: 2024 Property Damage Settlement-Deposit 9/24
11- I
101-02-020-020433003- General Fund t City Clerk's Office I City Clerk's Office Services&Charges-Printing&Ad-Promotional 10,000
101-02-020-020-021003- General Fund City Clerk's Office City Clerk@ Office Supplies-Office-Law Hooka 10.0110
Rationale: Appropriation of additional funds for sponsorships and law books I
287-09-090-09844002- Fire Department Capital
I
Fire Department I Fire Department Capital Outlay-Machinery&Equip-Fire Equipment S 350,000
Purchase a used fire engine due to a reserve fire engine being damaged IRationale: extensively.
City of South Bend,Indiana
Q12025 Budget Adjustment-Additional Appropriations
increase or decrease in total fond expenditures)
Account a Fund Department Division Account Budget Adjustment
641-06-602-509-439016— Sewage Works Operations Public Works Streets&Sewers Services&Charges-Other-lateral 5 250,000.00
Rationale: Increased demand for Sewer Lateral Connection Program
408-04-040040-631000—CITYHALLSECURIIY Loral Income Tax-Economic Development Administration&Finance General City Services&Charges-Professional-Other Professional Svcs S 150,000
Rationale: City Hall Security coin for half of the year
400-04040-040443001—PROI00000362 Local tins Tax-Economic Development Administration&Finance Genial City Capital Outlay-Buildings-Building Impmvemenb S 375,000.00
Rationale: Exterior/Interior Renovations&Staff Training Room
40004440.040445000—CITYHALLPIIRNITURE Local Income Tax-Economic Development Administration&Pittance General City Capital Outlay-Machinery&Equip-Other Equipment S 1,300,000.00
Rationale: City Hall-Estimation for furnishing offices
409-10-101-130436001— Local Income Tax-Economic Development Community Investment Community Investment Services&Charges-Repairs&Maim-Building R&M 5 100,000.00
Rationale: Expenses for City-owned properties and maimeance
217-04402-044-433003— Gift,Donation,Bequest Administration Sr Finance Human Rights Services&Charges-Printing&Ad-Promotional 5 5,000.00
Rationale: Appropriate funds for promotional senior.
Total Additional Appropriations 5 13,310524
CITY OF SOUTH BEND
COMMUNITY INVESTMENT
Filed in Clerk's Office
MAR O 5 2025
Bianca Tirado City Clerk, South Bend, IN
March 5, 2025
Council Member Troy Warner
Chairperson, Community Investment Committee
South Bend Common Council
County-City Building, 4th Floor
South Bend, Indiana 46601
RE: Confirming Resolution: Real Property Tax Abatement Petition for the Blueprint, LLC
Dear Council Member Warner,
Please find the enclosed Confirming Resolution and Memorandum of Agreement for a real
property tax abatement for Blueprint, LLC, an Indiana Limited Liability Company. The petitioner,
Blueprint, LLC, is a related organization to HRP Construction, Inc., which is a local civil
construction company specializing in water and wastewater construction. The property for which
the abatement would apply will be home to a new corporate complex for HRP Construction,
which has outgrown its current facilities and plans to increase their footprint in South Bend with
a new complex in South Bend. The buildings will cover 30,000 sq ft. and will include a new
maintenance shop and warehouse as well as an updated and modern office building. This
project allows HRP Construction to consolidate regional operations to one site
The total investment for this project is $7,300,000. The project meets the qualifications for a
seven-year (7) real property tax abatement.
A representative from Blueprint, LLC, will be available to meet with the Committee on Monday,
March 10, 2025.
Should you or other Council members have questions about the report or need additional
information, please feel free to call me at (574) 235-5838.
Sincerely, ,,
(._
Erik Glavich
Director, Growth and Opportunity
EXCELLENCE ACCOUNTABILITY INNOVATION INCLUSION EMPOWERMENT
14005 County-City Building 227W. Jefferson Blvd. South Bend, Indiana 46601 p 574.235.9371 www.southbendin.gov
25-17
Filed in Clerk's Office
MAR 0 5 2025
BILL NO. 25-17 Bianca Tirado
RESOLUTION NO. City Clerk, South Bend, IN
A RESOLUTION CONFIRMING THE ADOPTION OF A DECLARATORY
RESOLUTION DESIGNATING CERTAIN AREAS WITHIN THE CITY OF
SOUTH BEND, INDIANA, COMMONLY KNOWN AS
25471 Cleveland Road, South Bend, Indiana 46628
AN ECONOMIC REVITALIZATION AREA FOR PURPOSES OF A
SEVEN-YEAR (7) REAL PROPERTY TAX ABATEMENT FOR
Blueprint, LLC
WHEREAS, the Common Council of the City of South Bend, Indiana, has adopted a
Declaratory Resolution designating certain areas within the City as an Economic Revitalization
Area for the purpose of tax abatement consideration; and
WHEREAS, a Declaratory Resolution designated the area described as:
Key Number: TBD
Local Parcel Number: TBD
Commonly Known As: 25471 Cleveland Rd. South Bend IN 46628
Legal Description: Lot 1 of OCR CABANA MINOR SUBDIVISION
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 seq.; 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; and
WHEREAS, the Council adopted Declaratory Resolution No. 5122-25 on February 24,
2025.
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 shall expire on December 31, 2027.
SECTION II. The Common Council hereby determines that the property owner is qualified for
and is granted real property tax deduction for up to a period of seven (7) years as shown by the
schedule outlined below as well as the attachment pursuant to Indiana Code 6-1.1-12.1-17 and
further determines that the petition, the Memorandum of Agreement between the Petitioner and
the City of South Bend, and the Statement of Benefits comply with Chapter 2, Article 6, of the
Municipal Code of the City of South Bend and Indiana Code 6-1.1-12 et seq.
Year 1 — 100%
Year 2 —90%
Year 3 —80%
Year 4-70%
Year 5 —60%
Year 6-50%
Year 7—50%
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.
Canneth Lee, Council President
South Bend Common Council
Attest:
Bianca Tirado, City Clerk
Office of the City Clerk
Presented by me, the undersigned Clerk of the City of South Bend, to the Mayor of the
City of South Bend, Indiana, on the day of 2025, at
o'clock .m.
Bianca Tirado, City Clerk
Office of the City Clerk
Approved and signed by me on the day of 2025, at o'clock
m.
James Mueller, Mayor
City of South Bend
Filed in Clerk's Office
MEMORANDUM OF AGREEMENT Bianca Tirado
City Clerk, South Bend, IN
REAL PROPERTY TAX ABATEMENT)
This Memorandum of Agreement (Agreement) dated as of February 25, 2025, serves as
confirmation of a commitment by Blueprint, LLC (the "Applicant"), pending a March 10, 2025,
public hearing,to comply with the project description,job creation and retention(and associated wage
rates and salaries) figures contained in its petition, Statement of Benefits, and attachments and this
Agreement.
1. Property Associated with the Abatement and Responsibilities of the Applicant. At the time of
this Agreement,the property is located at 25471 Cleveland Road,South Bend,IN 46628,and has Key
Number TBD. Throughout the duration of the abatement, the Applicant shall promptly report any
changes in the address or Key Number of the property receiving the abatement to the Department of
Community Investment and to the Office of the City Clerk. Moreover,the Applicant also shall report
any material changes or improvements made to the property subject to the abatement including changes
as the result of subdividing, replatting, or otherwise. The Applicant agrees that failure to promptly
report changes can result in a finding of noncompliance on behalf of the Applicant under the
commitments of this Agreement.
2. Commitments of City and Applicant. Subject to the adoption of a Declaratory Resolution and
a Confirmatory Resolution by the South Bend Common Council(the"SBCC"),the City of South Bend,
Indiana, (the "City") commits to provide a seven-year (7) real property tax abatement for the
Applicant, based on the Applicant's commitment set forth in its Application. The Applicant commits
to the following(the"Commitments"):
a) making total combined real property expenditures of no less than Seven Million Three
Hundred Thousand dollars ($7,300,000.00) for the construction of a new building complex totaling
approximately Thirty Thousand (30,000) square feet at property identified in Section 1 of this
Agreement;
b)creating at least six(6)permanent full-time jobs with a total estimated annual payroll of at
least Four Hundred Ninety Nine Thousand Two Hundred dollars($499,200.00); and
c)acting in good faith to complete the project as described in its Application.
3. Applicant's Compliance with City and State Laws. During the term of the abatement, the
Applicant shall comply with Chapter 2, Article 6, of the South Bend Municipal Code, entitled "Tax
Abatement Procedures," and all governing provisions of the Indiana Code. During the term of this
abatement,the City may annually request information from the Applicant concerning the nature of the
Project,the approved capital expenditure of the Project, the number of full-time permanent positions
newly created by the Project,and the average wage rates and salaries(excluding benefits&overtime)
associated with the positions,and the Applicant shall provide the City with adequate written evidence
thereof within fifteen (15) days of such request (the "Annual Survey"). The City shall utilize this
information and the information required to be filed by the Applicant in the CF-1 Compliance with the
Statement of Benefits form to verify that the Applicant has at all times complied with the Commitments
1
after the Commitment Date and during the duration of the abatement and for no other purpose. The
Applicant further agrees to provide the City with such additional information as requested by the City
to determine Applicant's compliance with the Commitments and with local and state requirements
within twenty (20)days following any such request.Notwithstanding anything herein to the contrary,
the Applicant acknowledges that the City may be required to disclose certain documents provided by
the Applicant as required by a court order or applicable law.
4. Substantial Compliance and Rights of Termination. The City, by and through the SBCC,
reserves the right to terminate the Economic Revitalization Area designation and associated property
tax abatement deductions if it reasonably determines that the Applicant has not made reasonable efforts
to substantially comply with all the Commitments,as defined in Section 2 of this Agreement,and the
Applicant's failure to substantially comply with the Commitments was not due to factors beyond its
reasonable control,as described in Section 5 below.
5. Factors Beyond Control. As used in this Agreement, factors beyond the control of the
Applicant shall only include factors not reasonably foreseeable at the time of designation application
and submission of Statement of Benefits which are not caused by any act or omission of the Applicant,
and which materially and adversely affect the ability of the Applicant to substantially comply with this
Agreement.Applicant has the burden to communicate to the City any such factors in which it believes
is beyond its control and impacting its ability to fulfill the terms of this Agreement or any tax abatement
benefit provided to the City. The City reserves the right to investigate the factors cited by Applicant
under this Section 5 to the fullest extent possible and may deny Applicant's request upon the
completion of the City's investigation.
6. Repayment of Tax Abatement Savings. If at any time during the term of this Agreement the
Applicant shall: (a) be delinquent or in default with respect to any tax payment in St.Joseph County,
Indiana;or(b)cease operations at the facility for which the tax abatement was granted;or(c)announce
the cessation of operations at such facility, then the City may immediately terminate the Economic
Revitalization Area designation and associated tax abatement deductions,and upon such termination,
require Applicant to repay all of the tax abatement savings received through the date of such
termination.
7. Notice/Hearing of Termination. In the event that the City determines that the Economic
Revitalization Area designation and associated tax abatement deductions should be terminated or that
all or a portion of the tax abatement savings should be repaid, it will give the Applicant notice of such
determination, including a written statement calculating the amount due from the Applicant, and will
provide the Applicant with an opportunity to meet with the City's designated representatives to show
cause why the abatement should not be terminated and/or the tax savings repaid. Such notice shall
state the names of the person with whom the Applicant may meet and will provide that the Applicant
shall have thirty (30) days from the date of such notice to arrange such meeting and to provide its
evidence concerning why the abatement termination and/or tax savings repayment should not occur.
If,after giving such notice and receiving such evidence, if any,the City determines that the abatement
termination and/or the tax repayment action is proper, the Applicant shall be provided with written
notice and a hearing before the SBCC before any final action shall be taken terminating the abatement
and/or requiring repayment of tax benefits. The Applicant shall be entitled to appeal that determination
to a St.Joseph County Superior or Circuit Court.
2
8. Repayment. In the event the City requires repayment of the tax abatement savings as provided
hereunder, it shall provide Applicant with a written statement calculating the amount due (the
Statement"), and Applicant shall make such repayment to the City within one hundred twenty(120)
days of the date of the Statement. If the Applicant does not make timely repayment,the City shall be
entitled to all reasonable costs and attorneys' fees incurred in the enforcement of this Agreement and
the collection of the tax abatement savings required to be repaid hereunder.
9. Modification/Entire Agreement. This Agreement and the schedules attached hereto as Exhibit
A contain the entire understanding between the City and the Applicant with respect to the subject
matter hereof, and supersede all prior and contemporaneous agreements and understandings,
inducements, and conditions, expressed or implied, oral, or written, except as herein contained. This
Agreement may not be modified or amended other than by an agreement in writing signed by the City
and the Applicant. The Applicant understands that any and all filings required to be made or actions
required to be taken to initiate or maintain the abatement are solely the responsibility of the Applicant.
10. Waivers. Neither the failure nor any delay on the part of the City to exercise any right,remedy,
power, or privilege under this Agreement shall operate as a waiver thereof, nor shall any single or
partial exercise of any right, remedy, power,or privilege preclude any other or further exercise of the
same or of any other right,remedy,power,or privilege with respect to any occurrence or be construed
as a waiver of such right,remedy,power,or privilege with respect to any other occurrence. No waiver
shall be effective unless it is in writing and is signed by the party asserted to have granted such waiver.
11. Notices. All notices, requests, demands, and other communications required or permitted
under this Agreement shall be in writing and shall be deemed to have been received when delivered by
hand or by facsimile (with confirmation by registered or certified mail) or on the third business day
following the mailing,by registered or certified mail,postage prepaid,return receipt requested,thereof,
addressed as set forth below:
If to Applicant: HRP Construction, Inc
5777 Cleveland Rd,
South Bend, Indiana 46628
Attn: Matthew Cain
If to the City: City of South Bend,Indiana
227 W.Jefferson Boulevard, Suite I400S
South Bend, Indiana 46601
Attn: Executive Director of Community Investment
12. Governing Laws of Indiana. This Agreement and all questions relating to its validity,
interpretation,performance,and enforcement shall be governed by the laws and decisions of the courts
of the State of Indiana.
13. Applicant's Consent to Jurisdiction. The Applicant hereby irrevocably consents to the
jurisdiction of the Courts of the State of Indiana and of the St.Joseph County Circuit or Superior Court
in connection with any action or proceeding arising out of or relating to this Agreement or any
3
documents or instrument delivered with respect to any of the obligations hereunder, and any action
related to this Agreement shall be brought in such County and in such Court.
14. Assignment and Transfer Prohibited. This Agreement shall be binding upon and inure to the
benefit of the City and the Applicant and their successors and assigns, except (a) that no party may
assign or transfer its rights or obligations under this Agreement without the prior written consent of
the other party hereto, in which consent shall not be unreasonably withheld, and (b) Applicant may
assign and transfer its rights under this Agreement to the Permitted Assign without prior written
consent. "Permitted Assign" means the affiliated single purpose entity created for purposes of
designing, constructing, owning, operating, and maintaining the project which is the subject of this
Agreement.
15. Valid and Binding Agreement. This Agreement may be executed in any number of
counterparts, each of which shall be deemed to be an original as against any party whose signature
appears thereon,and all of which shall together constitute one and the same instrument. By executing
this Agreement, each person so executing affirms that he has been duly authorized to execute this
Agreement on behalf of such party and that this Agreement constitutes a valid and binding obligation
of the party.
16. Severability. The provisions of this Agreement and of each section or other subdivision herein
are independent of and separable from each other,and no provision shall be affected or rendered invalid
or unenforceable by virtue of the fact that for any reason any other or others of them may be invalid or
unenforceable in whole or in part unless this Agreement is rendered totally unenforceable thereby.
17. No Personal Liability. No official, director, officer, employee, or agent of the City shall be
charged personally by the Applicant, its employees, or its agents with any liabilities or expenses of
defense or be held personally liable to the Applicant under any term or provision of this Agreement or
because of the execution by such party of this Agreement or because of any default by such party
hereunder.
Remainder of page intentionally blank.]
4
IN WITNESS WHEREOF,the parties hereto have executed this Agreement as of the day and year first
above written.
Applicant" City"
Blueprint, LLC City of South Bend, Indiana
t
By\ By:
Matthew Cain Canneth Lee
President President, South Bend Common Council
HRP Construction, Inc
Approved as to Legal Adequacy and Form this By:
day of 2025. Troy Warner
Chairperson, Community Investment
Committee
Counsel, South Bend Common Council
By:
Erik Glavich
Department of Community Investment
Counsel for Applicant
By:
James Mueller
Mayor
5
EXHIBIT A
Abatement Schedule
Subject to the adoption by the SBCC of a resolution confirming the adoption of Declaratory Resolution
No. 5122-25, the property owner is qualified for and is granted a property tax abatement for a
period of seven (7)years as shown by the schedule outlined below.
Year 1 - 100%
Year 2 - 90%
Year 3 - 80%
Year 4 - 70%
Year 5 - 60%
Year 6 - 50%
Year? - 50%
6
CITY OF SOUTH BEND
COMMUNITY INVESTMENT
Filed in Clerk's Office
MAR O 5 2025
Bianca Tirado City Clerk, South Bend, IN
March 5, 2025
Council Member Troy Warner
Chairperson, Community Investment Committee
South Bend Common Council
County-City Building, 4th Floor
South Bend, Indiana 46601
RE: Confirming Resolution (2): Vacant Building Tax Abatement and Mixed-use
Development Real Property Tax Abatement for Penny Hill Homes LLC
Dear Council Member Warner,
Please find the enclosed Confirming Resolutions and Memorandum of Agreement for a vacant
building tax abatement and a mixed-use development real property tax abatement for Penny Hill
Homes, LLC, an Indiana Limited Liability Company. Penny Hill Homes intends to rehabilitate the
building located at 425 S. Michigan Street, known as the lnwoods Building. The building has
been vacant since 1999, and Penny Hill Homes will renovate and reactivate the space with the
intent of proving a mixture of commercial spaces and an "art market" for artists and small
businesses.
The total investment for this project is $1.44 million. The project meets the qualifications for two
abatements: a two-year (2) vacant building tax abatement and a ten-year (10) mixed-use
development real property tax abatement.
A representative from Penny Hill Homes, LLC, will be available to meet with the Committee on
Monday, March 10, 2025.
Should you or other Council members have questions about the report or need additional
information, please feel free to call me at (574) 235-5838.
Sincerely, -�,,
/ J _ _,/ -·· ,
Erik Glavich
Director, Growth and Opportunity
EXCELLENCE ACCOUNTABILITY INNOVATION INCLUSION EMPOWERMENT
14005 County-City Building 227 W. Jefferson Blvd. South Bend. Indiana 46601 p 574.235.9371 www.southbendin.gov
25-18
Filed in Clerk's Office
MAR 0 5 2i125
BILL NO. 25-18 Bianca Tirado
RESOLUTION NO. City Clerk, South Bend, IN
A RESOLUTION CONFIRMING THE ADOPTION OF A DECLARATORY
RESOLUTION DESIGNATING CERTAIN AREAS WITHIN THE CITY OF
SOUTH BEND, INDIANA, COMMONLY KNOWN AS
425 S. Michigan Street, South Bend, Indiana 46601
AN ECONOMIC REVITALIZATION AREA FOR PURPOSES OF A
TWO-YEAR (2) VACANT BUILDING TAX ABATEMENT FOR
Penny Hill Homes LLC
WHEREAS, the Common Council of the City of South Bend, Indiana, has adopted a
Declaratory Resolution designating certain areas within the City as an Economic Revitalization
Area for the purpose of tax abatement consideration; and
WHEREAS, a Declaratory Resolution designated the area described as:
Key Number: 71-08-12-303-020.000-026
Local Parcel Number: 018-3016-060001
Commonly Known As: 425 S. Michigan Street
Legal Description: Lot 2 Martin's Addn-Penny Hill Minor Sub25/26 NP
964 5/24/2024
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 seq.; 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.
WHEREAS, the Council adopted Declaratory Resolution No. 5120-25 on February 24,
2025.
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 vacant building tax abatement only and shall expire on December 31, 2027.
SECTION II. The Common Council hereby determines that the property owner is qualified for
and is granted vacant building tax deduction for up to a period of two (2) years as shown by the
schedule outlined below as well as the attachment pursuant to Indiana Code 6-1.1-12.1-17 and
further determines that the petition, the Memorandum of Agreement between the Petitioner and
the City of South Bend, and the Statement of Benefits comply with Chapter 2, Article 6, of the
Municipal Code of the City of South Bend and Indiana Code 6-1.1-12 et seq.
Year 1 - 100%
Year 2 - 100%
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.
Canneth Lee, Council President
South Bend Common Council
Attest:
Bianca Tirado, City Clerk
Office of the City Clerk
Presented by me, the undersigned Clerk of the City of South Bend, to the Mayor of the
City of South Bend, Indiana, on the day of 2025, at
o'clock .m.
Bianca Tirado, City Clerk
Office of the City Clerk
Approved and signed by me on the day of 2025, at o'clock
m.
James Mueller, Mayor
City of South Bend
Filed in Clerk's Office
MAR 0 5 2025
MEMORANDUM OF AGREEMENT Bianca Tirado
City Clerk, South Bend, IN
VACANT BUILDING TAX ABATEMENT)
This Memorandum of Agreement (Agreement) dated as of February 25, 2025, serves as
confirmation of a commitment by Penny Hill Homes LLC (the "Applicant"), pending a March 10,
2025, public hearing, to comply with the project description, job creation and retention (and
associated wage rates and salaries) figures contained in its petition, Statement of Benefits, and
attachments and this Agreement.
1. Property Associated with the Abatement and Responsibilities of the Applicant. At the time of
this Agreement, the property is located at 425 S. Michigan Street, South Bend, IN 46601, and has
Key Number 71-08-12-303-020.000-026. Throughout the duration of the abatement, the Applicant
shall promptly report any changes in the address or Key Number of the property receiving the
abatement to the Department of Community Investment and to the Office of the City Clerk.
Moreover, the Applicant also shall report any material changes or improvements made to the
property subject to the abatement including changes as the result of subdividing, replatting, or
otherwise. The Applicant agrees that failure to promptly report changes can result in a finding of
noncompliance on behalf of the Applicant under the commitments of this Agreement.
2. Commitments of City and Applicant. Subject to the adoption of a Declaratory Resolution
and a Confirmatory Resolution by the South Bend Common Council (the"SBCC"), the City of South
Bend, Indiana, (the "City") commits to provide a two-year (2) vacant building tax abatement for
the Applicant, based on the Applicant's commitment set forth in its Application. The Applicant
commits to the following(the"Commitments"):
a) making total combined real property expenditures of no less than One Million Four
Hundred Forty Thousand dollars ($1,440,000.00) for the redevelopment of the structure totaling
approximately Fifty Thousand (50,000) square feet at property identified in Section 1 of this
Agreement;
b) creating at least eight (8) permanent full-time jobs with a total estimated annual payroll
of at least Three Hundred Sixty Thousand dollars($360,000.00); and
c) acting in good faith to complete the project as described in its Application.
3. Applicant's Compliance with City and State Laws. During the term of the abatement, the
Applicant shall comply with Chapter 2, Article 6, of the South Bend Municipal Code, entitled "Tax
Abatement Procedures," and all governing provisions of the Indiana Code. During the term of this
abatement, the City may annually request information from the Applicant concerning the nature of
the Project, the approved capital expenditure of the Project, the number of full-time permanent
positions newly created by the Project, and the average wage rates and salaries(excluding benefits &
overtime) associated with the positions, and the Applicant shall provide the City with adequate
written evidence thereof within fifteen (15) days of such request (the "Annual Survey"). The City
shall utilize this information and the information required to be filed by the Applicant in the CF-1
Compliance with the Statement of Benefits form to verify that the Applicant has at all times complied
with the Commitments after the Commitment Date and during the duration of the abatement and for
no other purpose. The Applicant further agrees to provide the City with such additional information
as requested by the City to determine Applicant's compliance with the Commitments and with local
1
and state requirements within twenty (20) days following any such request. Notwithstanding
anything herein to the contrary,the Applicant acknowledges that the City may be required to disclose
certain documents provided by the Applicant as required by a court order or applicable law.
4. Substantial Compliance and Rights of Termination. The City, by and through the SBCC,
reserves the right to terminate the Economic Revitalization Area designation and associated property
tax abatement deductions if it reasonably determines that the Applicant has not made reasonable
efforts to substantially comply with all the Commitments, as defined in Section 2 of this Agreement,
and the Applicant's failure to substantially comply with the Commitments was not due to factors
beyond its reasonable control,as described in Section 5 below.
5. Factors Beyond Control. As used in this Agreement, factors beyond the control of the
Applicant shall only include factors not reasonably foreseeable at the time of designation application
and submission of Statement of Benefits which are not caused by any act or omission of the
Applicant, and which materially and adversely affect the ability of the Applicant to substantially
comply with this Agreement. Applicant has the burden to communicate to the City any such factors
in which it believes is beyond its control and impacting its ability to fulfill the terms of this
Agreement or any tax abatement benefit provided to the City. The City reserves the right to
investigate the factors cited by Applicant under this Section 5 to the fullest extent possible and may
deny Applicant's request upon the completion of the City's investigation.
6. Repayment of Tax Abatement Savings. If at any time during the term of this Agreement the
Applicant shall: (a) be delinquent or in default with respect to any tax payment in St. Joseph County,
Indiana; or (b) cease operations at the facility for which the tax abatement was granted; or (c)
announce the cessation of operations at such facility, then the City may immediately terminate the
Economic Revitalization Area designation and associated tax abatement deductions, and upon such
termination, require Applicant to repay all of the tax abatement savings received through the date of
such termination.
7. Notice/Hearing of Termination. In the event that the City determines that the Economic
Revitalization Area designation and associated tax abatement deductions should be terminated or that
all or a portion of the tax abatement savings should be repaid, it will give the Applicant notice of
such determination, including a written statement calculating the amount due from the Applicant, and
will provide the Applicant with an opportunity to meet with the City's designated representatives to
show cause why the abatement should not be terminated and/or the tax savings repaid. Such notice
shall state the names of the person with whom the Applicant may meet and will provide that the
Applicant shall have thirty (30) days from the date of such notice to arrange such meeting and to
provide its evidence concerning why the abatement termination and/or tax savings repayment should
not occur. If, after giving such notice and receiving such evidence, if any, the City determines that
the abatement termination and/or the tax repayment action is proper, the Applicant shall be provided
with written notice and a hearing before the SBCC before any final action shall be taken terminating
the abatement and/or requiring repayment of tax benefits. The Applicant shall be entitled to appeal
that determination to a St. Joseph County Superior or Circuit Court.
8. Repayment. In the event the City requires repayment of the tax abatement savings as
provided hereunder, it shall provide Applicant with a written statement calculating the amount due
the "Statement"), and Applicant shall make such repayment to the City within one hundred twenty
120) days of the date of the Statement. If the Applicant does not make timely repayment, the City
shall be entitled to all reasonable costs and attorneys' fees incurred in the enforcement of this
Agreement and the collection of the tax abatement savings required to be repaid hereunder.
2
9. Modification/Entire Agreement. This Agreement and the schedules attached hereto as
Exhibit A contain the entire understanding between the City and the Applicant with respect to the
subject matter hereof, and supersede all prior and contemporaneous agreements and understandings,
inducements, and conditions, expressed or implied, oral, or written, except as herein contained. This
Agreement may not be modified or amended other than by an agreement in writing signed by the
City and the Applicant. The Applicant understands that any and all filings required to be made or
actions required to be taken to initiate or maintain the abatement are solely the responsibility of the
Applicant.
10. Waivers. Neither the failure nor any delay on the part of the City to exercise any right,
remedy, power, or privilege under this Agreement shall operate as a waiver thereof, nor shall any
single or partial exercise of any right, remedy, power, or privilege preclude any other or further
exercise of the same or of any other right, remedy,power, or privilege with respect to any occurrence
or be construed as a waiver of such right, remedy, power, or privilege with respect to any other
occurrence. No waiver shall be effective unless it is in writing and is signed by the party asserted to
have granted such waiver.
11. Governing Laws of Indiana. This Agreement and all questions relating to its validity,
interpretation, performance, and enforcement shall be governed by the laws and decisions of the
courts of the State of Indiana.
12. Applicant's Consent to Jurisdiction. The Applicant hereby irrevocably consents to the
jurisdiction of the Courts of the State of Indiana and of the St. Joseph County Circuit or Superior
Court in connection with any action or proceeding arising out of or relating to this Agreement or any
documents or instrument delivered with respect to any of the obligations hereunder, and any action
related to this Agreement shall be brought in such County and in such Court.
12. Notices. All notices, requests, demands, and other communications required or permitted
under this Agreement shall be in writing and shall be deemed to have been received when delivered
by hand or by facsimile (with confirmation by registered or certified mail) or on the third business
day following the mailing, by registered or certified mail, postage prepaid, return receipt requested,
thereof,addressed as set forth below:
If to Applicant: Penny Hill Homes LLC
1512 E. Wayne Street
South Bend,Indiana 46615
Attn: Sarah Hill
If to the City:City of South Bend, Indiana
227 W. Jefferson Boulevard, Suite 1400S
South Bend, Indiana 46601
Attn: Executive Director of Community
Investment
3
13. Assignment and Transfer Prohibited. This Agreement shall be binding upon and inure to the
benefit of the City and the Applicant and their successors and assigns, except (a) that no party may
assign or transfer its rights or obligations under this Agreement without the prior written consent of
the other party hereto, in which consent shall not be unreasonably withheld, and (b) Applicant may
assign and transfer its rights under this Agreement to the Permitted Assign without prior written
consent. "Permitted Assign" means the affiliated single purpose entity created for purposes of
designing, constructing, owning, operating, and maintaining the project which is the subject of this
Agreement.
14. Valid and Binding Agreement. This Agreement may be executed in any number of
counterparts, each of which shall be deemed to be an original as against any party whose signature
appears thereon, and all of which shall together constitute one and the same instrument. By
executing this Agreement, each person so executing affirms that he has been duly authorized to
execute this Agreement on behalf of such party and that this Agreement constitutes a valid and
binding obligation of the party.
15. Severability. The provisions of this Agreement and of each section or other subdivision
herein are independent of and separable from each other, and no provision shall be affected or
rendered invalid or unenforceable by virtue of the fact that for any reason any other or others of them
may be invalid or unenforceable in whole or in part unless this Agreement is rendered totally
unenforceable thereby.
16. No Personal Liability. No official, director, officer, employee, or agent of the City shall be
charged personally by the Applicant, its employees, or its agents with any liabilities or expenses of
defense or be held personally liable to the Applicant under any term or provision of this Agreement
or because of the execution by such party of this Agreement or because of any default by such party
hereunder.
Remainder of page intentionally blank.]
4
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year
first above written.
Applicant" City"
Penny Hill Homes LLC City of South Bend, Indiana
By: faAj H By:
Sarah Hill Canneth Lee
Owner President, South Bend Common Council
Approved as to Legal Adequacy and Form this By:
day of 2025.
Troy Warner
Chairperson, Community Investment
Counsel, South Bend Common Council
Committee
By:
Erik Glavich
Counsel for Applicant Department of Community Investment
By:
James Mueller
Mayor
5
EXHIBIT A
Abatement Schedule
Subject to the adoption by the SBCC of a resolution confirming the adoption of Declaratory
Resolution No. 5120-25, the property owner is qualified for and is granted a vacant building tax
abatement for a period of two (2) years as shown by the schedule outlined below.
Year 1 - 100%
Year 2 - 100%
6
CITY OF SOUTH BEND
COMMUNITY INVESTMENT
Filed in Clerk's Office
MAR O 5 2025
Bianca Tirado City Clerk, South Bend, IN
March 5, 2025
Council Member Troy Warner
Chairperson, Community Investment Committee
South Bend Common Council
County-City Building, 4th Floor
South Bend, Indiana 46601
RE: Confirming Resolution (2): Vacant Building Tax Abatement and Mixed-use
Development Real Property Tax Abatement for Penny Hill Homes LLC
Dear Council Member Warner,
Please find the enclosed Confirming Resolutions and Memorandum of Agreement for a vacant
building tax abatement and a mixed-use development real property tax abatement for Penny Hill
Homes, LLC, an Indiana Limited Liability Company. Penny Hill Homes intends to rehabilitate the
building located at 425 S. Michigan Street, known as the lnwoods Building. The building has
been vacant since 1999, and Penny Hill Homes will renovate and reactivate the space with the
intent of proving a mixture of commercial spaces and an "art market" for artists and small
businesses.
The total investment for this project is $1.44 million. The project meets the qualifications for two
abatements: a two-year (2) vacant building tax abatement and a ten-year (10) mixed-use
development real property tax abatement.
A representative from Penny Hill Homes, LLC, will be available to meet with the Committee on
Monday, March 10, 2025.
Should you or other Council members have questions about the report or need additional
information, please feel free to call me at (574) 235-5838.
Sincerely,
.......
Erik Glavich
Director, Growth and Opportunity
EXCELLENCE ACCOUNTABILITY INNOVATION INCLUSION EMPOWERMENT
14005 County-City Building 227 W. Jefferson Blvd. South Bend. Indiana 46601 p 574.235.9371 www.southbendin.gov
25-19
Filed in Clerk's Office
ivA 0 5 20L1
BILL NO. 25-19 Bianca Tirado
RESOLUTION NO.
City Clerk, South Bend, IN
A RESOLUTION CONFIRMING THE ADOPTION OF A DECLARATORY
RESOLUTION DESIGNATING CERTAIN AREAS WITHIN THE CITY OF
SOUTH BEND, INDIANA, COMMONLY KNOWN AS
425 S. Michigan Street, South Bend, Indiana 46601
AN ECONOMIC REVITALIZATION AREA FOR PURPOSES OF AN
TEN-YEAR (10) REAL PROPERTY TAX ABATEMENT FOR
Penny Hill Homes LLC
WHEREAS, the Common Council of the City of South Bend, Indiana, has adopted a
Declaratory Resolution designating certain areas within the City as an Economic Revitalization
Area for the purpose of tax abatement consideration; and
WHEREAS, a Declaratory Resolution designated the area described as:
Key Number: 71-08-12-303-020.000-026
Local Parcel Number: 018-3016-060001
Commonly Known As: 425 S. Michigan Street
Legal Description: Lot 2 Martin's Addn-Penny Hill Minor Sub25/26 NP
964 5/24/2024
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 seq.; 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; and
WHEREAS, the Council adopted Declaratory Resolution No. 5121-25on February 24,
2025.
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 mixed use development real property tax abatement only and shall expire on
December 31, 2027.
SECTION II. The Common Council hereby determines that the property owner is qualified for
and is granted real property tax deduction for up to a period of ten (10) years as shown by the
schedule outlined below as well as the attachment pursuant to Indiana Code 6-1.1-12.1-17 and
further determines that the petition, the Memorandum of Agreement between the Petitioner and
the City of South Bend, and the Statement of Benefits comply with Chapter 2, Article 6, of the
Municipal Code of the City of South Bend and Indiana Code 6-1.1-12 et seq.
Year 1 - 100%
Year 2 - 100%
Year 3 - 100%
Year 4 - 100%
Year 5 - 100%
Year 6 - 100%
Year 7 - 100%
Year 8 - 100%
Year 9 - 100%
Year 10 - 100%
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.
Canneth Lee, Council President
South Bend Common Council
Attest:
Bianca Tirado, City Clerk
Office of the City Clerk
Presented by me, the undersigned Clerk of the City of South Bend, to the Mayor of the
City of South Bend, Indiana, on the day of 2025, at
o'clock .m.
Bianca Tirado, City Clerk
Office of the City Clerk
Approved and signed by me on the day of 2025,at o'clock
m.
James Mueller, Mayor
City of South Bend
Filed in Clerk's Office
R 0 5 2025
MEMORANDUM OF AGREEMENT Bianca Tirado
City Clerk, South Bend, IN
REAL PROPERTY TAX ABATEMENT)
This Memorandum of Agreement (Agreement) dated as of February 25, 2025, serves as
confirmation of a commitment by Penny Hill Homes LLC (the "Applicant"), pending a March 10,
2025, public hearing, to comply with the project description, job creation and retention (and
associated wage rates and salaries) figures contained in its petition, Statement of Benefits, and
attachments and this Agreement.
1. Property Associated with the Abatement and Responsibilities of the Applicant. At the time of
this Agreement, the property is located at 425 S. Michigan Street, South Bend, IN 46601, and
has Key Number 71-08-12-303-020.000-026. Throughout the duration of the abatement, the
Applicant shall promptly report any changes in the address or Key Number of the property
receiving the abatement to the Department of Community Investment and to the Office of the
City Clerk. Moreover, the Applicant also shall report any material changes or improvements
made to the property subject to the abatement including changes as the result of subdividing,
replatting, or otherwise. The Applicant agrees that failure to promptly report changes can
result in a finding of noncompliance on behalf of the Applicant under the commitments of
this Agreement.
2. Commitments of City and Applicant. Subject to the adoption of a Declaratory Resolution
and a Confirmatory Resolution by the South Bend Common Council (the "SBCC"), the City
of South Bend, Indiana, (the "City") commits to provide a ten-year (10) real property tax
abatement for the Applicant, based on the Applicant's commitment set forth in its
Application. The Applicant commits to the following(the"Commitments"):
a) making total combined real property expenditures of no less than One Million Four
Hundred Forty Thousand dollars ($1,440,000.00) for the redevelopment of the structure totaling
approximately Fifty Thousand (50,000) square feet at property identified in Section 1 of this
Agreement;
b) creating at least eight (8) permanent full-time jobs with a total estimated annual payroll
of at least Three Hundred Sixty Thousand dollars($360,000.00); and
c) acting in good faith to complete the project as described in its Application.
3. Applicant's Compliance with City and State Laws. During the term of the abatement, the
Applicant shall comply with Chapter 2,Article 6,of the South Bend Municipal Code, entitled
Tax Abatement Procedures," and all governing provisions of the Indiana Code. During the
term of this abatement, the City may annually request information from the Applicant
concerning the nature of the Project, the approved capital expenditure of the Project, the
number of full-time permanent positions newly created by the Project, and the average wage
rates and salaries (excluding benefits & overtime) associated with the positions, and the
Applicant shall provide the City with adequate written evidence thereof within fifteen (15)
days of such request (the "Annual Survey"). The City shall utilize this information and the
information required to be filed by the Applicant in the CF-1 Compliance with the Statement
of Benefits form to verify that the Applicant has at all times complied with the Commitments
after the Commitment Date and during the duration of the abatement and for no other
1
purpose. The Applicant further agrees to provide the City with such additional information as
requested by the City to determine Applicant's compliance with the Commitments and with
local and state requirements within twenty (20) days following any such request.
Notwithstanding anything herein to the contrary, the Applicant acknowledges that the City
may be required to disclose certain documents provided by the Applicant as required by a
court order or applicable law.
4. Substantial Compliance and Rights of Termination. The City, by and through the SBCC,
reserves the right to terminate the Economic Revitalization Area designation and associated
property tax abatement deductions if it reasonably determines that the Applicant has not
made reasonable efforts to substantially comply with all the Commitments, as defined in
Section 2 of this Agreement, and the Applicant's failure to substantially comply with the
Commitments was not due to factors beyond its reasonable control, as described in Section 5
below.
5. Factors Beyond Control. As used in this Agreement, factors beyond the control of the
Applicant shall only include factors not reasonably foreseeable at the time of designation
application and submission of Statement of Benefits which are not caused by any act or
omission of the Applicant, and which materially and adversely affect the ability of the
Applicant to substantially comply with this Agreement. Applicant has the burden to
communicate to the City any such factors in which it believes is beyond its control and
impacting its ability to fulfill the terms of this Agreement or any tax abatement benefit
provided to the City. The City reserves the right to investigate the factors cited by Applicant
under this Section 5 to the fullest extent possible and may deny Applicant's request upon the
completion of the City's investigation.
6. Repayment of Tax Abatement Savings. If at any time during the term of this Agreement the
Applicant shall: (a) be delinquent or in default with respect to any tax payment in St. Joseph
County, Indiana; or (b) cease operations at the facility for which the tax abatement was
granted; or (c) announce the cessation of operations at such facility, then the City may
immediately terminate the Economic Revitalization Area designation and associated tax
abatement deductions, and upon such termination, require Applicant to repay all of the tax
abatement savings received through the date of such termination.
7. Notice/Hearing of Termination. In the event that the City determines that the Economic
Revitalization Area designation and associated tax abatement deductions should be
terminated or that all or a portion of the tax abatement savings should be repaid, it will give
the Applicant notice of such determination, including a written statement calculating the
amount due from the Applicant, and will provide the Applicant with an opportunity to meet
with the City's designated representatives to show cause why the abatement should not be
terminated and/or the tax savings repaid. Such notice shall state the names of the person with
whom the Applicant may meet and will provide that the Applicant shall have thirty (30) days
from the date of such notice to arrange such meeting and to provide its evidence concerning
why the abatement termination and/or tax savings repayment should not occur. If, after
giving such notice and receiving such evidence, if any,the City determines that the abatement
termination and/or the tax repayment action is proper, the Applicant shall be provided with
written notice and a hearing before the SBCC before any final action shall be taken
terminating the abatement and/or requiring repayment of tax benefits. The Applicant shall be
entitled to appeal that determination to a St. Joseph County Superior or Circuit Court.
2
8. Repayment. In the event the City requires repayment of the tax abatement savings as
provided hereunder, it shall provide Applicant with a written statement calculating the
amount due (the "Statement"), and Applicant shall make such repayment to the City within
one hundred twenty (120) days of the date of the Statement. If the Applicant does not make
timely repayment, the City shall be entitled to all reasonable costs and attorneys' fees
incurred in the enforcement of this Agreement and the collection of the tax abatement savings
required to be repaid hereunder.
9. Modification/Entire Agreement. This Agreement and the schedules attached hereto as
Exhibit A contain the entire understanding between the City and the Applicant with respect to
the subject matter hereof, and supersede all prior and contemporaneous agreements and
understandings, inducements, and conditions, expressed or implied,oral, or written, except as
herein contained. This Agreement may not be modified or amended other than by an
agreement in writing signed by the City and the Applicant. The Applicant understands that
any and all filings required to be made or actions required to be taken to initiate or maintain
the abatement are solely the responsibility of the Applicant.
10. Waivers. Neither the failure nor any delay on the part of the City to exercise any right,
remedy, power, or privilege under this Agreement shall operate as a waiver thereof, nor shall
any single or partial exercise of any right, remedy, power, or privilege preclude any other or
further exercise of the same or of any other right, remedy, power, or privilege with respect to
any occurrence or be construed as a waiver of such right, remedy, power, or privilege with
respect to any other occurrence. No waiver shall be effective unless it is in writing and is
signed by the party asserted to have granted such waiver.
11. Notices. All notices, requests, demands, and other communications required or permitted
under this Agreement shall be in writing and shall be deemed to have been received when
delivered by hand or by facsimile(with confirmation by registered or certified mail)or on the
third business day following the mailing, by registered or certified mail, postage prepaid,
return receipt requested,thereof, addressed as set forth below:
If to Applicant: Penny Hill Homes LLC
1512 E.Wayne Street,
South Bend, Indiana 46615
Attn: Sarah Hill
If to the City: City of South Bend, Indiana
227 W. Jefferson Boulevard, Suite 1400S
South Bend, Indiana 46601
Attn: Executive Director of Community Investment
3
12. Governing Laws of Indiana. This Agreement and all questions relating to its validity,
interpretation, performance, and enforcement shall be governed by the laws and decisions of
the courts of the State of Indiana.
13. Applicant's Consent to Jurisdiction. The Applicant hereby irrevocably consents to the
jurisdiction of the Courts of the State of Indiana and of the St. Joseph County Circuit or
Superior Court in connection with any action or proceeding arising out of or relating to this
Agreement or any documents or instrument delivered with respect to any of the obligations
hereunder, and any action related to this Agreement shall be brought in such County and in
such Court.
14. Assignment and Transfer Prohibited. This Agreement shall be binding upon and inure to the
benefit of the City and the Applicant and their successors and assigns,except(a)that no party
may assign or transfer its rights or obligations under this Agreement without the prior written
consent of the other party hereto, in which consent shall not be unreasonably withheld, and
b)Applicant may assign and transfer its rights under this Agreement to the Permitted Assign
without prior written consent. "Permitted Assign" means the affiliated single purpose entity
created for purposes of designing, constructing, owning, operating, and maintaining the
project which is the subject of this Agreement.
15. Valid and Binding Agreement. This Agreement may be executed in any number of
counterparts, each of which shall be deemed to be an original as against any party whose
signature appears thereon, and all of which shall together constitute one and the same
instrument. By executing this Agreement, each person so executing affirms that he has been
duly authorized to execute this Agreement on behalf of such party and that this Agreement
constitutes a valid and binding obligation of the party.
16. Severability. The provisions of this Agreement and of each section or other subdivision
herein are independent of and separable from each other,and no provision shall be affected or
rendered invalid or unenforceable by virtue of the fact that for any reason any other or others
of them may be invalid or unenforceable in whole or in part unless this Agreement is
rendered totally unenforceable thereby.
17. No Personal Liability. No official, director, officer, employee, or agent of the City shall be
charged personally by the Applicant, its employees, or its agents with any liabilities or
expenses of defense or be held personally liable to the Applicant under any term or provision
of this Agreement or because of the execution by such party of this Agreement or because of
any default by such party hereunder.
Remainder of page intentionally blank.]
4
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year
first above written.
Applicant" City"
Penny Hill Homes LLC City of South Bend, Indiana
By: 'ALA 10, By:
Sarah Hill Canneth Lee
Owner
President, South Bend Common Council
Approved as to Legal Adequacy and Form this By:
day of 2025.
Troy Warner
Chairperson,Community Investment
Counsel, South Bend Common Council
Committee
By:
Erik Glavich
Counsel for Applicant Department of Community Investment
By:
James Mueller
Mayor
5
EXHIBIT A
Abatement Schedule
Subject to the adoption by the SBCC of a resolution confirming the adoption of Declaratory
Resolution No. 5121-25, the property owner is qualified for and is granted real property tax
abatement for a period of ten(10)years as shown by the schedule outlined below.
Year 1 - 100%
Year 2 - 100%
Year 3 - 100%
Year 4- 100%
Year 5 - 100%
Year 6- 100%
Year 7- 100%
Year 8 - 100%
Year9 - 100%
Year 10 - 100%
6
March 4, 2025
CITY OF SOUTH BEND
COMMUNITY INVESTMENT
Canneth Lee, President
South Bend Common Council
4th Floor, County-City Building
RE: Edison Sundown Annexation Area -24355 Edison Road
Dear President Lee:
Filed in Clerk's Office
MAR O 5 2025
Bianca Tirado City Clerk, South Bend, IN
Attached is an Ordinance for the proposed annexation at the above referenced location.
Please include this Ordinance on the Council agenda for first reading at the March I 0,
2025, Council meeting; for second reading at the April 28, 2025, Council meeting; and
for third reading at the May 12, 2025, Council meeting. Per the provisions of Section 21-
0 l .02(g) of the South Bend Municipal Code, the property would automatically be zoned
to r Industrial District upon annexation without needing a public hearing before the South
Bend Plan Commission.
The petitioner provided the following to describe the proposed project:
Annexation of an I-Industrial parcel in St. Joseph County into the City of
South Bend as I Industrial.
If you have any questions, please feel free to contact me at (574) 235-7625. Thank you.
7)1----Amani Morrell
Principal Development Planner
cc: Bob Palmer, Attorney, Common Council
EXCELLENCE ACCOUNTABILITY INNOVATION I CLUSION EMPOWERMENT
1400S County-City Building 227 W. Jefferson Bvld. South Bend. Indiana 46601 p 574.235.9371 www.southbendin.gov
14-25
Filed in Clerk's Office
BILL NO. 14-25
MAR 0 2025
Bianca Tirado
ORDINANCE NO.City Clerk, South Bend, IN
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, CERTAIN LAND LOCATED IN GERMAN TOWNSHIP,
CONTIGUOUS THEREWITH; COUNCILMANIC DISTRICT NO. 1,NORTH OF THE
INTERSECTION OF EDISON ROAD AND SUNDOWN ROAD, SOUTH BEND,
INDIANA
STATEMENT OF PURPOSE AND INTENT
Petitioner desires to annex two properties at the intersection of Edison Road and Sundown
Road(24355 Edison Road); the properties would be automatically zoned to I Industrial District in
South Bend.
NOW, THEREFORE, BE IT ORDAINED by the Common Council of the City of South Bend,
Indiana, as follows:
SECTION I. That the following described real estate is situated in St. Joseph County,
Indiana, being contiguous by more than one-eighth (1/8) of its aggregate external boundaries with
the present boundaries of the City of South Bend, Indiana, shall be and hereby is annexed to and
brought within the City of South Bend:
A Part of the Southeast Quarter of Section 31, Township 38 North, Range 2 East, German
Township, St. Joseph County, Indiana, and being all of Lot 1 as said lot is known and designated
on the Recorded Plat of I.P.C. Minor Subdivision, Recorded in Plat Book 28, Page 1, in the St.
Joseph County Recorder's Office; and also being a portion of lands conveyed to the State of
Indiana as described in Deed Record 688, Page 223, in said Recorder's Office; and also being all
of that land conveyed to State of Indiana as described in Instrument Number 2021-13765; and a
Part of the Northeast Quarter of Section 6, Township 37 North, Range 2 East, Portage Township,
St. Joseph County, Indiana,more particularly described as follows:
Beginning at the Northeast Corner of said Lot 1; Thence Westerly, along the North Line of said
Lot 1 and said Line Extended, a distance of 679 Feet, more or less, to the West Line of the
Limited Access Right of Way of the US 20/US 31 Bypass (aka, St. Joseph Valley Parkway);
Thence Southerly, along the Westerly Line of said Right of Way, 267 Feet, more or less, to the
Northeast Corner of said State of Indiana Land-Instrument Number 2021-13765; Thence
Westerly, along the North Line of said land, 50 Feet; Thence Southerly, along the West Line of
said land, 50 Feet; Thence Easterly, along the South Line of said land, 50 Feet, more or less, to
the Aforementioned West Line of the US 20/US 31 Bypass; Thence Continuing Southerly,
along said West Line and said West Line Extended 236 Feet, more or less, to the North Line of
Voght's Edison Road Second Addition, Recorded in Plat Book 17, Page V-2, in said Recorder's
Office; Thence Easterly, along the North Line of said Voght's Edison Road Second Addition
and the North Line of Voght's Edison Road Third Addition, Recorded in Plat Book 17 Page V-1,
a distance of 720 Feet, more or less, to a point lying on the Southerly Extension of the East Line
of said Lot 1; Thence Northerly, along said Extended Line and the East Line of said Lot 1, a
distance of 553 Feet, more or less to the Point of Beginning;
Containing 8.9 acres,more or less.
SECTION II. That the boundaries of the City of South Bend, Indiana, shall be and are
hereby declared to be extended so as to include the real estate of the above-described parcel as part
of the City of South Bend, Indiana.
SECTION III. Ordinance No. 10689-19, as amended, which ordinance is commonly
known as the Zoning Ordinance of the City of South Bend, Indiana, be and the same hereby
amended in order that the zoning classification of the above described real estate, with the
exception of all adjacent rights-of-way, in the City of South Bend, St. Joseph County, State of
Indiana be and the same is hereby established as I Industrial District,per the provisions of Section
21-01.02(g) of the South Bend Municipal Code.
SECTION IV. This Ordinance shall be in full force and effect 30 days from and after its
passage by the Common Council, approval by the Mayor, and legal publication.
Canneth Lee, Council President
South Bend Common Council
Attest:
Bianca Tirado, City Clerk
Office of the City Clerk
Presented by me, the undersigned Clerk of the City of South Bend, to the Mayor of the
City of South Bend, Indiana on the day of 2025, at
o'clock . m.
Bianca Tirado, City Clerk
Office of the City Clerk
2 -
Approved and signed by me on the day of 2025, at o'clock
m.
James Mueller, Mayor
City of South Bend, Indiana
3 -