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Home My WebLink About25-23 Resolution Authorizing and Approving the Execution of a First Amendment to the Certified Technology Park Agreement Between the City of South Bend, Indiana, and the South Bend Redevelopment Commission County-City Building m � Phone 311 inside City limits 227 W Jefferson Blvd,Suite 1400 S UTH c�0 8 �� Email 311@southbendin.gov South Bend,IN 46601 0.0 4tt , Website Southbendin.gov James Mueller,Mayor U \PEACEJ./ Filed in Clerk's Office x 1865 Bianca Tirado City of South Bend City Clerk, South Bend, IN Department of Community Investment April 9,2025 Honorable Troy Warner 4th Floor, County-City Building South Bend, IN 46601 RE: Resolution Authorizing and Approving the Execution of a First Amendment to the Certified Technology Park Agreement for Ignition Park& Innovation Park Dear Mr.Warner, Enclosed is a Resolution Authorizing and approving the execution of a First Amendment to the Certified Technology Park Agreement between the City of South Bend and the Indiana Economic Development Corporation ("IEDC")to recertify both Ignition Park and Innovation Park("Parks") as Level 2 Certified Technology Park effective July 1, 2023 through June 30, 2027.The effective date for this First Amendment being retroactive to July 1, 2023, to coincide with legislative enactment per IEDC. The Common Council previously authorized and approved the Agreement between the City of South Bend and the IEDC on December 8, 2008, by Resolution 3929-08. City staff believe it would be beneficial for the City to recertify both Ignition and Innovation Park as a Level 2 Certified Technology Park as an encouragement to the establishment of high technology activities.The Resolution declares the Common Council's interest in the approval of the First Amendment to the Certified Technology Park Agreement and authorizes the Council President to execute the First Amendment attached in Exhibit A of the Resolution. Please include the attached Resolution at your April 14th Common Council meeting for public hearing. If you have any questions, please feel free to contact our office. Sincerely, Joseph Molnar Assistant Director of Growth &Opportunity Filed in Clerk's Office BILL NO. 25-23 RESOLUTION NO. Bianca Tirado City Clerk, South Bend, IN A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA AUTHORIZING AND APPROVING THE EXECUTION OF A FIRST AMENDMENT TO THE CERTIFIED TECHNOLOGY PARK AGREEMENT BETWEEN THE CITY OF SOUTH BEND,INDIANA, INDIANA ECONOMIC DEVELOPMENT CORPORATION,AND THE SOUTH BEND REDEVELOPMENT COMMISSION WHEREAS, the establishment of high technology activities and public facilities related to such activities serve a public purpose and are of benefit to the general welfare of the residents of the City of South Bend and the State of Indiana due to their contribution to encouraging investment, facilitating job creation and retention, and providing for economic growth and diversification; and WHEREAS, Indiana Code 36-7-32-1, et seq. ("Act") provides authority for a local government unit to apply to the Indiana Economic Development Corporation ("IEDC") for designation or recertification of all or part of the territory within the jurisdiction of governmental unit's redevelopment commission as a"certified technology park,"("CTP")as defined by the Act; and WHEREAS,the City,having previously received a designation as a CTP effective January 1, 2009,has applied for recertification as a CTP; and WHEREAS, the City of South Bend anticipates being recertified as a Level 2 Certified Technology Park with an effective date of July 1, 2023 upon execution of this First Amendment and compliance with all other requirements; and WHEREAS, Indiana Code 36-1-7,the Interlocal Cooperation Act, authorizes one or more governmental entities to exercise,jointly or by one entity on behalf of others, powers that may be exercised by such units severally; and WHEREASE, the Common Council of the City of South Bend previously authorized and approved the Certified Technology Park Agreement between the City of South Bend, Indiana; Indiana Economic Development Corporation, and the South Bend Redevelopment Commission on December 8, 2008 by Resolution No. 3929-08. WHEREAS, the First Amendment extends the term of the Agreement to June 30, 2027 and provides that a CTP may be recertified if the Agreement is extended following the lapse of a CTP designation; and WHEREAS,the First Amendment further provides that in the event of such recertification, the CTP designation shall operate as though the designation continuously remained in effect; and WHEREAS, the First Amendment provides for updated language regarding the coordination of distributions from the tax increment financing fund in excess of Five Million Dollars ($5,000,000.00) in light of the City of South Bend's anticipated designation as a Level 2 CTP; and WHEREAS, the First Amendment provides for updated notice and reporting provisions. NOW, THEREFORE, BE IT RESOLVED BY THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA,AS FOLLOWS: Section I. The Common Council of the City of South Bend, Indiana,has considered and hereby ratifies, confirms, and approves the First Amendment attached as Exhibit A to this Resolution, governing the Certified Technology Park. Section II. The Council President is authorized to execute the First Amendment attached hereto as Exhibit A. Section III. This Resolution shall be in full force and effect from and after its adoption by the Common Council and approval by the Mayor. 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 Filed in Clerk's Offict; Bianca Tirado City Clerk, South Bend, IN FIRST AMENDMENT This Amendment (the "First Amendment") to the Certified Technology Park ("CTP") Agreement between the INDIANA ECONOMIC DEVELOPMENT CORPORATION (the "IEDC") and the CITY OF SOUTH BEND,INDIANA,by and through the SOUTH BEND COMMON COUNCIL, the legislative body of the City of South Bend, Indiana (the "Governmental Unit") and the SOUTH BEND REDEVELOPMENT COMMISSION(the "Commission" and with the Governmental Unit,the"City")(Collectively,the"Parties"). RECITALS WHEREAS,the Parties previously entered into that certain CTP Agreement,which commenced on January 1,2009(the "Original Agreement"); WHEREAS, the Parties desire to amend the Original Agreement to bring it into compliance with current law and policy; WHEREAS,the Original Agreement and this First Amendment shall hereinafter be referred to collectively as the "Agreement"; and NOW, THEREFORE, in consideration of the above recitals and the mutual promises, obligations, and stipulations contained in this Agreement,the Parties hereby agree as follows: EFFECTIVE DATE 1. This First Amendment shall take effect on July 1,2023 (the "Effective Date"). AMENDMENT 2. Paragraph 2 of the Original Agreement is deleted and replaced in its entirety with the following: 2. TERM OF AGREEMENT The term of this Agreement and the designation of the Cl? shall be from January 1, 2009 and shall continue in effect during the existence of the park's designation as a CTP under Section 11 of the Act. In accordance with the Act,the CTP designation is subject to the continued review of the IEDC and will expire on June 30, 2027(the "Expiration Date'). The CTP is subject to recertified by the IEDC at any time but in no event less than every four years upon expiration of the Agreement. If the designation of the CTP lapses or is terminated, for whatever reason, and this Agreement is subsequently amended to extend the term and the CTP is recertified,this Agreement shall operate as if the CTP's designation continuously remained in effect unless the Parties agree otherwise. 3. Paragraph 7 is deleted in its entirety and replaced with the following: 7. CERTIFIED TECHNOLOGY PARK INCREMENTAL TAX FINANCING FUND: Page 1 of 5 The tax increment financing fund established under Section 22 of the Act (the "State CTP Fund")for the CTP shall receive (i) 100% of the aggregate amount of state gross retail and use taxes that are remitted under Indiana Code § 6-2.5 by businesses which exceed the gross retail base period amount, in accordance with Indiana Code§36-7-32- 22(b)(1); and (ii) 100% of the income tax incremental amount provided for in Indiana Code§36-7-32-22(b)(2)(A)-(D). Notwithstanding the foregoing or anything in the Act to the contrary, not more than an aggregate total of Five Million and 00/100 Dollars ($5,000,000.00) in CTP Revenues or other funds that may be deposited into the State CTP Fund over the course of its designation unless designated as a level 2 CTP. If such distributions in excess of Five Million and 00/100 dollars ($5,000,000.00) are made to the CTP and deposited in the certified technology park fund established by the redevelopment commission under Section 23 of the Act(the "Local CTP Fund") in a state fiscal year, the City agrees to coordinate with the IEDC,subject to Paragraph 6 of this Amendment, on how distributions will be utilized by the CTP to further high- technology company growth within the CTP. 4. Paragraph 15 is deleted in its entirety and replaced with the following: 15. NOTICE TO PARTIES: Whenever any notice, statement or other communications shall be sent to any of the Parties, it shall be sent to the following addresses, unless otherwise specifically advised in writing. Notices to the IEDC shall be sent to: INDIANA ECONOMIC DEVELOPMENT CORPORATION Attn: General Counsel 1 North Capitol Ave., Suite 700 Indianapolis, IN 46204 With a copy to: CTP a,iedc.in.gov Notices to the City shall be sent to: CITY OF SOUTH BEND ATTN: ADDRESS ADDRESS EMAIL Notices to the Commission shall be sent to: SOUTH BEND REDEVELOPMENT COMMISSION ATTN: ADDRESS ADDRESS EMAIL Page 2 of 5 5. The Annual Report shall be provided to the IEDC no later than April 15h annually. Failure to timely submit the annual report may result in the CTP being unable to access funds from the CTP Fund and/or the CTP being terminated. 6. The use of funds deposited in the CTP Fund in excess of$5,000,000.00, as described in IC 36-7-32-22(e), is subject to review and approval by the IEDC. 7. The City, or its designee, shall engage in a meaningful way with all companies who have a presence within the CTP in order to learn the nature of their business, obtain key indicators of success,and other information required by the Act necessary for the IEDC to make a future determination on a recertification,and a description of such efforts and information shall be included in the annual report provided to the IEDC. Failure to do so may result in the non-renewal or termination of the CTP. 8. The Parties hereby agree that all other unamended terms and conditions set forth in the Agreement shall remain the same and shall remain in full force and effect following the Effective Date. All benefits, rights, obligations and responsibilities of the Parties under the Agreement shall transfer and operate under this First Amendment and shall be construed and shall function as if the Agreement had remained in effect continuously but with the Amendment of the terms contained in this First Amendment. Signatures on Following Page—Remainder of Page Intentionally Left Blank Page 3 of 5 IN WITNESS WHEREOF,the Parties have,through duly authorized representatives, entered into this First Amendment.The Parties, having read and understand the foregoing terms of this First Amendment,do by their respective signatures dated below hereby agree to the terms thereof. SOUTH BEND REDEVELOPMENT COMMISSION Signature Printed Name and Position/Title Date: CITY OF SOUTH BEND,INDIANA Signature Printed Name and Position/Title Date: INDIANA ECONOMIC DEVELOPMENT CORPORATION, INC. Page 4 of 5 Robert Paglia, Chief Operating Officer (Digital Signature Stamp Below) STATE BUDGET AGENCY Joseph Habig, Acting Budget Director Date: Page 5 of 5