HomeMy WebLinkAbout07-28-08 Common Council Minutes
REGULAR MEETING JULY 28, 2008
Be it remembered that the Common Council of the City of South Bend, Indiana met in
the Council Chambers of the County-City Building on Monday, July 28, 2008 at 7:00
p.m. The meeting was called to order by Council President Rouse and the Invocation and
Pledge to the Flag were given.
ROLL CALL
COUNCILMEMBERS:
Present: Derek D. Dieter 1st District, Chairperson Committee of the Whole
Henry Davis, Jr. 2nd District
Thomas LaFountain 3rd District
Ann Puzzello 4th District
David Varner 5th District
Oliver Davis 6th District Vice-President
Timothy Rouse At-Large President
Karen L. White At-Large
Al “Buddy” Kirsits At-Large
OTHERS PRESENT:
John Voorde City Clerk
Mary Beth Wisniewski Chief Deputy
Janice I. Talboom Deputy City Clerk
Kathleen Cekanski-Farrand Council Attorney
REPORT FROM THE SUB-COMMITTEE ON MINUTES
To the Common Council of the City of South Bend: The sub-committee has inspected
the minutes of the July 14, 2008, meetings of the Council and found them to be correct.
Therefore, we recommend the same be approved.
s/Timothy A. Rouse
s/David Varner
Councilmember Puzzello made a motion that the minutes of the July 14, 2008 meeting of
the Council be accepted and placed on file. Councilmember Oliver Davis seconded the
motion which carried by a voice vote of nine (9) ayes.
SPECIAL BUSINESS
There was no Special Business to come before the Council at this time.
RESOLVE INTO THE COMMITTEE OF THE WHOLE
At 7:02 p.m. Councilmember White made a motion to resolve into the Committee of the
Whole. Councilmember Varner seconded the motion which carried by a voice vote of
nine (9) ayes. Councilmember Dieter, Chairperson, Committee of the Whole, presiding.
Councilmember Dieter explained the procedures to be followed for tonight’s meeting in
accordance with Article 1, Section 2-11 of the South Bend Municipal Code.
Councilmember Dieter stated that a brochure may be found on the railing in the Council
Chambers explaining those procedures.
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REGULAR MEETING JULY 28, 2008
PUBLIC HEARINGS
BILL NO. 24-08 PUBLIC HEARING ON A BILL AMENDING
THE ZONING ORDINANCE FOR PROPERTY
LOCATED WEST OF 2801 MAIN STREET,
EAST OF THE FORMER RAILROAD RIGHT-
OF-WAY, SOUTH OF 2729 MAIN STREET AND
NORTH OF 3107 MAIN STREET, SOUTH
BEND, INDIANA, COUNCILMANIC DISTRICT
NO. 6, IN THE CITY OF SOUTH BEND,
INDIANA
Councilmember Kirsits, Chairperson, Zoning & Annexation Committee, reported that
this committee held a meeting this afternoon and it was the consensus of the committee to
send this bill to the full Council with a favorable recommendation.
th
Ms. Christa Nader, Staff Planner, Area Plan Commission, 11 Floor County-City
Building, 227 W. Jefferson Blvd., South Bend, Indiana, presented the report from the
Commission.
Ms. Nader advised that the petitioner is requesting a zone change from LI Light Industrial
District and GI General Industrial District to GI General Industrial District to allow a
vehicle impoundment lot and vehicle processing and salvage facility. The site currently
consists of a wooded lot (between Woodside and Oakside) and an existing industrial
building. To the north is a business zoned LB Local Business District. To the east are
few single family homes zoned SF2 Single Family and Two Family Residential District
and various businesses zoned LB Local Business District and GB General Business
District. To the south is an auto salvage facility zoned GI General Industrial. To the
west is the abandoned railroad and across the railroad right-of-way are two industrial
buildings zoned GI General Industrial District. The “GI” General Industrial District is
established to provide for development of manufacturing and processing facilities or
facilities which may require substantial amounts of outdoor storage or outdoor
operations. Permitted uses in this district tend to generate heavy traffic and require
extensive community facilities. Permitted uses in this district may require extensive
amounts of outdoor storage or outdoor operations. The permitted uses provided for in
this district should be separated from residential districts or low intensity
commercial/mixed use districts by less intense industrial districts. The site is
approximately 8.20 acres. The site plan indicated four lots. Lots A and B are reserved
for future development. Lot C is approximately 1.60 acres. The site plan indicates and
existing 14,000 square foot building. The building contains both warehousing and office
space. Lot D is approximately 4.10 acres and contains and existing 80,000 square foot
building. The building will be used for auto salvage, warehousing and office space.
Variances are required to bring the site into compliance. The staff has not made a
recommendation on the variances. A residential buffer yard is being provided between
the site and adjacent residential area to the east. Main Street has four one-way lanes.
Oakside Street and Woodside Street both have two lanes. The site will be serviced by
municipal utilities. The site currently contains an existing building. The area is a
mixture of industrial, commercial and residential in character. The most desirable use for
the property is industrial. The surrounding property values should not be affected by the
rezoning. It is responsible development and growth to allow the reuse and improvement
to an underutilized and deteriorating building. Based on information available prior to
the public hearing, the staff recommends this petition be sent to the Common Council
with a favorable recommendation, subject to a written commitment limiting all vehicle
impoundment, processing, and salvage be conducted within the western building. The
reuse of the existing buildings for industrial and warehousing is a logical extension and
practical reuse of the existing industrial area. The most intense of the industrial uses,
with the help of the written commitment, shall be confined to inside the western building.
This should help buffer the adjacent residential area from the vehicle salvage. The
proposed parking lot should also help buffer the residential area from the building in
which the vehicle processing and salvage will take place.
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REGULAR MEETING JULY 28, 2008
Mr. Michael Danch, President, Danch, Harner & Associates, 1643 Commerce Drive,
South Bend, Indiana, made the presentation for this bill on behalf of the petitioners,
Orangensaft, LLC.
Mr. Danch advised that the petitioners are requesting a rezoning for their properties
located West of 2801 Main Street, East of the former Railroad Right-of-way, South of
2729 Main Street and North of 3107 Main Street, South Bend, Indiana, to allow for future
permitted industrial uses include a vehicle impoundment lot and vehicle processing and
salvage facility. Mr. Danch noted that his clients believe that this type of development
would fit well along this portion of South Main Street with the existing mix of Industrial
and Commercial uses that are present.
This being the time heretofore set for the Public Hearing on the above bill, proponents
and opponents were given an opportunity to be heard.
There being no one present wishing to speak to the Council either in favor of or in
opposition to this bill, Councilmember Kirsits made a motion for favorable
recommendation to full Council concerning this bill, subject to written Commitments as
approved in the Area Plan Commission, on June 17, 2008. Councilmember Oliver Davis
seconded the motion which carried by a voice vote of nine (9) ayes.
BILL NO. 33-08 PUBLIC HEARING ON A BILL OF THE
COMMON COUNCIL OF SOUTH BEND,
INDIANA AMENDING CHAPTER 2, ARTICLE 5
OF THE SOUTH BEND MUNICIPAL CODE
FOR PREAPPROVED PAYMENT OF CLAIMS
Councilmember Ann Puzzello made a motion to continue this bill until the October 27,
2008 meeting of the Council. Councilmember Oliver Davis seconded the motion which
carried by a voice vote of nine (9) ayes.
RISE AND REPORT
Councilmember White made a motion to rise and report to the full Council.
Councilmember Varner seconded the motion which carried by a voice vote of nine (9)
ayes.
ATTEST: ATTEST:
_________________________ _________________________
John Voorde, City Clerk Derek D. Dieter, Chairperson
Committee of the Whole
REGULAR MEETING RECONVENED
Be it remembered that the Common Council of the City of South Bend reconvened in the
Council Chambers on the fourth floor of the County-City Building at 7:11 p.m. Council
President Tim Rouse presided with nine (9) members present.
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REGULAR MEETING JULY 28, 2008
BILLS – THIRD READING
ORDINANCE NO. 9856-08 AN ORDINANCE AMENDING THE ZONING
ORDINANCE FOR PROPERTY LOCATED
WEST OF 2801 MAIN STREET, EAST OF THE
FORMER RAILROAD RIGHT-OF-WAY, SOUTH
OF 2729 MAIN STREET AND NORTH OF 3107
MAIN STREET, SOUTH BEND, INDIANA,
COUNCILMANIC DISTRICT NO. 6, IN THE
CITY OF SOUTH BEND, INDIANA
This bill had third reading. Councilmember Kirsits made a motion to amend this bill as
in the Committee of the Whole. Councilmember Dieter seconded the motion which
carried by a voice vote of nine (9) ayes. Additionally, Councilmember Dieter made a
motion to pass this bill as amended and subject to the written commitments as approved
in the Area Plan Commission on June 17, 2008. Councilmember Oliver Davis seconded
the motion which carried. The bill passed by a roll call vote of nine (9) ayes.
RESOLUTIONS
RESOLUTION NO. 3880-08 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND, INDIANA,
APPROVING A PETITION OF THE SOUTH
BEND BOARD OF ZONING APPEALS FOR
PROPERTY LOCATED WEST OF 2801 MAIN
STREET, EAST OF THE FORMER RAILROAD
RIGHT-OF-WAY, SOUTH OF 2729 MAIN
STREET AND NORTH OF 3107 MAIN STREET,
SOUTH BEND, INDIANA
WHEREAS, Indiana Code Section 36-7-4-918.6, requires the Common Council to give
notice pursuant to Indiana Code Section 5-14-1.5-5, of its intention to consider Petitions
from the Board of Zoning Appeals for approval or disapproval; and
WHEREAS, the Common Council must take action within sixty (60) days after
the Board of Zoning Appeals makes its recommendation to the Council pursuant to I.C.
36-7-4-918.6; and
WHEREAS, the Common Council is required to make a determination in writing
on such requests pursuant to Indiana Code Section 36-7-4-918.4, and
WHEREAS, the South Bend Board of Zoning Appeals has made a
recommendation, pursuant to applicable state law.
NOW, THEREFORE, BE IT RESOLVED BY THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA as follows:
SECTION I. The Common Council has provided notice of the hearing on the
Petition from the Board of Zoning Appeals pursuant to Indiana Code Section 5-14-1.5-5,
requesting that a Special Exception be granted for the property located at:
(PROPERTY LOCATED WEST OF 2801 MAIN STREET, EAST OF THE FORMER
RAILROAD RIGHT-OF-WAY, SOUTH OF 2729 MAIN STREET AND NORTH OF
3107 MAIN STREET, SOUTH BEND, INDIANA 46614)
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REGULAR MEETING JULY 28, 2008
In order to permit:
The Approval of a Special Exception to allow for an indoor Vehicle Processing and
Salvage Operation and an indoor Vehicle Impoundment facility for property located West
of 2801 Main Street, East of the former Railroad Right-of-way, South of 2729 Main
Street and North of 3107 Main Street, South Bend, Indiana per Section 21-04-
02(a)(2)(B)(i) of the City of South Bend Zoning Ordinance.
SECTION II. Following a presentation by the Petitioner, and after proper public
hearing, the Common Council hereby approves the petition of the South Bend Board of
Zoning Appeals, a copy of which is on file in the Office of the City Clerk.
SECTION III. The Common Council of the City of South Bend, Indiana, hereby
finds that:
1. The proposed use will not be injurious to the public health, safety,
comfort, community moral standards, convenience or general welfare;
2. The proposed use will not injure or adversely affect the use of the adjacent
area or property values therein;
3. The proposed use will be consistent with the character of the district in
which it is located and the land uses authorized therein;
4. The proposed use is compatible with the recommendation of the City of
South Bend Comprehensive plan; all of which is requested by the South Bend Municipal
Code §21-09.03
SECTION IV. Approval is subject to the Petitioner complying with the
reasonable conditions established by the Board of Zoning Appeals which are on file in
the office of the City Clerk.
SECTION V. The Resolution shall be in full force and effect from and after its
adoption by the Common Council and approval by the Mayor.
s/Timothy A. Rouse
Member of the Common Council
Councilmember Al “Buddy” Kirsits, Chaiperson, Zoning & Annexation Committee
reported that this committee, reported that this committee held a Public Hearing on this
bill this afternoon and voted to send it to the full Council with a favorable
recommendation.
Mr. Mark Lyons, Assistant Zoning Administrator, St. Joseph County Building
Department, 125 S. Lafayette Blvd, South Bend, Indiana, presented the report from the
Board of Zoning Appeals.
Mr. Lyons advised that the petitioner is requesting a special exception to allow for an
indoor vehicle processing and salvage operation and an indoor vehicle impoundment
facility in a “GI” General Industrial district, on property located west of 2801 Main Street
south of 2729 Main St. and north of 3107 Main St. The Board of Zoning Appeals held a
public hearing on June 19, 2008 and sends this bill to the Common Council with a
favorable recommendation.
Mr. Michael Danch, President, Danch, Harner & Associates, Inc., 1643 Commerce Drive,
South Bend, Indiana, made the presentation for this bill on behalf of the petitioner
Orangesaft, LLC.
Mr. Danch advised that the petitioner is requesting the approval of a special exception to
allow for an indoor vehicle processing and salvage operation and an indoor vehicle
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REGULAR MEETING JULY 28, 2008
impoundment facility for property located west of 2801 Main Street, East of the former
Railroad Right-of-way, South of 2729 Main Street and North of 3107 Main Street, South
Bend, Indiana per Section 21-04-02 (a)(2)(B)(i) of the City of South Bend Zoning
Ordinance. He stated that the present zoning of the property is “LI” Light Industrial and
“DI” General Industrial District pending rezoning to “GI” General Industrial District.
Mr. Danch advised that there is no outside storage on this entire parcel and will put that
in a written commitment that will run with the property. Mr. Danch noted that approval
is subject to the written conditions established by the Board of Zoning Appeals.
A Public Hearing was held on the Resolution at this time.
There being no on present wishing to speak to the Council either in favor of or in
opposition to this Resolution, Councilmember Puzzello made a motion to adopt this
Resolution. Councilmember Dieter seconded the motion which carried and the
Resolution was adopted by a roll call vote of eight (8) ayes. (The vote reflects
Councilmember Henry Davis left the Council Chambers at this time)
(Councilmember Henry Davis returned to the Council Chambers)
RESOLUTION NO. 3881-08 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND, INDIANA,
APPROVING A PETITION OF THE SOUTH
BEND BOARD OF ZONING APPEALS FOR
THE PROPERTY LOCATED AT 264.02’S. OF
1717 HICKORY ROAD, SOUTH BEND,
INDIANA
WHEREAS, Indiana Code Section 36-7-4-918.6, requires the Common Council to give
notice pursuant to Indiana Code Section 5-14-1.5-5, of its intention to consider Petitions
from the Board of Zoning Appeals for approval or disapproval; and
WHEREAS, the Common Council must take action within sixty (60) days after
the Board of Zoning Appeals makes its recommendation to the Council pursuant to I.C.
36-7-4-918.6; and
WHEREAS, the Common Council is required to make a determination in writing
on such requests pursuant to Indiana Code Section 36-7-4-918.4, and
WHEREAS, the South Bend Board of Zoning Appeals has made a
recommendation, pursuant to applicable state law.
NOW, THEREFORE, BE IT RESOLVED BY THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA as follows:
SECTION I. The Common Council has provided notice of the hearing on the
Petition from the Board of Zoning Appeals pursuant to Indiana Code Section 5-14-1.5-5,
requesting that a Special Exception be granted for the property located at:
264.02’S of 1717 Hickory Rd. South Bend, IN 46635
In order to permit:
A Special Exception to allow for Recreational Use of SF-1 Zoning
SECTION II. Following a presentation by the Petitioner, and after proper public
hearing, the Common Council hereby approves the petition of the South Bend Board of
Zoning Appeals, a copy of which is on file in the Office of the City Clerk.
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REGULAR MEETING JULY 28, 2008
SECTION III. The Common Council of the City of South Bend, Indiana, hereby
finds that:
1. The proposed use will not be injurious to the public health, safety,
comfort, community moral standards, convenience or general welfare;
2. The proposed use will not injure or adversely affect the use of the adjacent
area or property values therein;
3. The proposed use will be consistent with the character of the district in
which it is located and the land uses authorized therein;
4. The proposed use is compatible with the recommendation of the City of
South Bend Comprehensive plan; all of which is requested by the South Bend Municipal
Code §21-09.03
SECTION IV. Approval is subject to the Petitioner complying with the
reasonable conditions established by the Board of Zoning Appeals which are on file in
the office of the City Clerk.
SECTION V. The Resolution shall be in full force and effect from and after its
adoption by the Common Council and approval by the Mayor.
s/Timothy A. Rouse
Member of the Common Council
Councilmember Al “Buddy” Kirsits, Chairperson, Zoning & Annexation Committee
reported that this committee, reported that this committee held a Public Hearing on this
bill this afternoon and voted to send it to the full Council with a favorable
recommendation.
Mr. Mark Lyons, Assistant Zoning Administrator, St. Joseph County Building
Department, 125 S. Lafayette Blvd, South Bend, Indiana, presented the report from the
Board of Zoning Appeals.
Mr. Lyons advised that petitioners are requesting a special exception for East Side Little
League for recreational use in a “SF1” district, on property located at the west side of
Hickory Road. He stated that the Board of Zoning Appeals held a public hearing on June
19, 2008 and send this bill to the full Council with a favorable recommendation.
Mr. Greg Kil, Kil Architecture and Planning, 1126 Lincolnway East, South Bend,
Indiana, made the presentation for this bill on behalf of East Side Little League.
Mr. Kil advised that this special exception is being requested to allow for a recreational
use in the single family zoning and also a variance from the required non hard surface
parking to gravel or grass. He stated that East Side Little League would like to create
practice fields. The four proposed diamonds are varying sizes reflecting the different
ages of boys and girls that are using the fields from T-Ball at the starting age of
developmental leagues up to the age of twelve. He noted that East Side Little League has
approximately 750 kids and are struggling to find places for these kids to practice. He
stated that they would have liked to have been able to purchase the property years ago,
but the owner who lives in Chicago was not willing to sell until now. He stated that they
are not proposing any lighting for these practice fields and that at most there would be
security lighting which would be compliant with the light pollution cutoff fixture
proposal based upon the ordinance that is in effect.
A Public Hearing was held on the Resolution at this time.
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REGULAR MEETING JULY 28, 2008
There being no one present wishing to speak to the Council either in favor of or in
opposition to this Resolution, Councilmember Dieter made a motion to adopt this
Resolution. Councilmember LaFountain seconded the motion which carried and the
Resolution was adopted by a roll call vote of nine (9) ayes.
RESOLUTION NO. 3882-08 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND
DESIGNATING CERTAIN AREAS WITHIN THE
CITY OF SOUTH BEND, INDIANA,
COMMONLY KNOWN AS 225 GARST STREET
AN ECONOMIC REVITALIZATION AREA FOR
PURPOSES OF A FOUR-YEAR REAL
PROPERTY TAX ABATEMENT FOR JAMES F.
AND SANDRA M. MCCUNE
WHEREAS, a petition for real property tax abatement has been filed with the City
Clerk for consideration by the Common Council of the City of South Bend, Indiana,
requesting that the area commonly known as 225 Garst Street, South Bend, Indiana, and
which is more particularly described as follows:
Lots 45, 46, 47 & S 33’ Lot 48 & W ½ Vac Alley E & Adj to South Bend City
and which has Key Numbers 18-8001-0009 (S1/2 lot 48 & W1/2 vacated alley), 18-8001-
0010 (N1/2 lot 47 &W1/2 vacated alley), 18-8001-0011 (S1/2 lot 47 & W1/2 vacated
alley), 18-8001-0012 9N1/2 lot 46 & W ½ vacated alley), 18-8001-0012 (N1/2 lot 46 &
W ½ vacated alley), 18-8001-0013 (S1/2 lot 46 & W1/2 vacated alley) and 18-8001-
0014 (Lot 45 & W ½ vacated alley) 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, the Department of Community and Economic Development has
concluded an investigation and prepared a report with information sufficient for the
Common Council to determine that the area qualifies as an Economic Revitalization Area
under Indiana Code § 6-1.1-12.1, et seq., and South Bend Municipal Code Sections 2-76,
et seq., and has further prepared maps and plats showing the boundaries and such other
information regarding the area in question as required by law; and
WHEREAS, the Community and Economic Development Committee of the
Common Council has reviewed said report and recommended to the Common Council
that the area qualifies as an Economic Revitalization Area.
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of
South Bend, Indiana, as follows:
SECTION I. The Common Council hereby determines and finds that the Petition for
Real Property Tax Abatement and the Statement of Benefits form completed by the
Petitioner meet the requirements of Indiana Code § 6-1.1-12.1 et seq., for tax abatement.
SECTION II. The Common Council hereby determines and finds the following:
A. That the description of the proposed redevelopment or rehabilitation meets
the applicable standards for such development;
B. That the estimate of the value of the redevelopment or rehabilitation is
reasonable for projects of this nature;
C. That the estimate of the number of individuals who will be employed or
whose employment will be retained by the Petitioner can reasonably be
expected to result from the proposed described redevelopment or
rehabilitation;
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REGULAR MEETING JULY 28, 2008
D. That the estimate of the annual salaries of those individuals who will be
employed or whose employment will be retained by the Petitioner can be
reasonably expected to result from the proposed redevelopment or
rehabilitation;
E. That the other benefits about which information was requested are benefits
that can be reasonably expected to result from the proposed described
redevelopment or rehabilitation; and
F. That the totality of benefits is sufficient to justify the requested deduction,
all of which satisfy the requirements of Indiana Code § 6-1.1-12.1-3.
SECTION III. The Common Council hereby determines and finds that the proposed
described redevelopment or rehabilitation can be reasonably expected to yield benefits
identified in the Statement of Benefits as set forth in Sections 1 through 3 of the Petition
for Real Property Tax Abatement Consideration, the Memorandum of Agreement
between the Petitioner and the City of South Bend, and that the Statement of Benefits
form completed by the petitioner, said form being prescribed by the State Board of
Accounts, are sufficient to justify the deduction granted under Indiana Code § 6-1.1-12.1-
3.
SECTION IV. The Common Council hereby accepts the report and recommendation of
the Community and Economic Development Committee that the area herein described be
designated as an Economic Revitalization Area and hereby adopts a Resolution
designating this area as an Economic Revitalization Area for purposes of real property
tax abatement.
SECTION V. The designation as an Economic Revitalization Area shall be limited to
two (2) calendar years from the date of the adoption of this Resolution by the Common
Council.
SECTION VI. The Common Council hereby determines that the property owner is
qualified for and is granted property tax deduction for a period of four (4) years.
SECTION VII. The Common Council directs the City Clerk to cause notice of the
adoption of this Declaratory Resolution for Real Property Tax Abatement to be published
pursuant to Indiana Code § 5-3-1 and Indiana Code § 6-1.1-12.1-2.5, said publication
providing notice of the public hearing before the Common Council on the proposed
confirming of said declaration.
SECTION VIII. This Resolution shall be in full force and effect from and after its
adoption by the Common Council and approval by the Mayor.
s/Timothy A. Rouse
Member of the Common Council
Councilmember Derek Dieter, Chairperson, Community and Economic Development
Committee, reported that this committee held a Public Hearing on this bill this afternoon
and voted to send it to the full Council with a favorable recommendation.
Mr. James F. McCune, 1002 S. Lafayette Blvd. Suite 1, South Bend, Indiana, made the
presentation for this bill.
Mr. McCune advised that he and his wife Sandra, own the property at 225 Garst Street
and plan on building a 3,600 square foot addition to an existing building to house Mr.
McCune’s masonry business and provide more rental space for tenants that share the
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REGULAR MEETING JULY 28, 2008
building. The addition will be a steel building with an all brick front and will have 1,350
square feet of office space and 2,250 square feet of shop space. Mr. McCune further
advised that he will lease a portion of the building until his business grows into the entire
building. The lessees will be Great Lakes Window and Siding and The Sign Shop. The
total cost of the project is estimated at $203,500.
A Public Hearing was held on the Resolution at this time.
There being no one present wishing to speak to the Council either in favor of or in
opposition to this Resolution, Councilmember Dieter made a motion to adopt this
Resolution. Councilmember White seconded the motion which carried and the
Resolution was adopted by a roll call vote of nine (9) ayes.
RESOLUTION NO 3883-08 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND
DESIGNATING CERTAIN AREAS WITHIN THE
CITY OF SOUTH BEND, INDIANA,
COMMONLY KNOWN AS 919 AND 923
NOTRE DAME AVENUE AS RESIDENTIALLY
DISTRESSED AREAS FOR PURPOSES OF A (5)
FIVE-YEAR RESIDENTIAL REAL PROPERTY
TAX ABATEMENT FOR RICHARD S. AND
MICKI L. KIDDER
WHEREAS, a Statement of Benefits and a petition for residential real property
tax abatement have been submitted to and filed with the City Clerk for consideration by
the Common Council of the City of South Bend, Indiana, requesting that the area
commonly known as 919 and 923 Notre Dame Avenue, South Bend, Indiana, and which
is more particularly described as follows:
Lot 127 of Sorins second addition
,
and this property has Tax Key Numbers 18-5107-3780 and 18-5107-3779be designated
as a Residentially Distressed 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, the Department of Community and Economic Development has
concluded an investigation and prepared a report with information sufficient for the
Common Council to determine that the area qualifies as a Residentially Distressed Area
under Indiana Code 6-1.1-12.1, et seq., and South Bend Municipal Code Sections 2-76, et
seq., and has further prepared maps and plats showing the boundaries and such other
information regarding the area in question as required by law; and
WHEREAS, the Community and Economic Development Committee of the
Common Council has reviewed said report and recommended to the Common Council
that the area qualifies as a Residentially Distressed Area.
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of
South Bend, Indiana, as follows:
SECTION I . The Common Council hereby determines and finds that the petition for real
property tax abatement and the Statement of Benefits form meet the requirements of
Indiana Code 6-1.1-12.1 et seq., for tax abatement.
SECTION II. The Common Council hereby determines and finds that the area meets one
of the following conditions as formally established in Ordinance No. 9394-03, which was
passed on February 10, 2003:
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REGULAR MEETING JULY 28, 2008
A. The area is comprised of parcels that are either unimproved or contain
only one (1) or two (2) family dwellings designed for up to four (4)
families, including accessory buildings for those dwellings; or
B. Any dwellings in the area are not permanently occupied and are:
i. the subject of an order issued under IC 36-7-9; or
ii. evidencing significant building deficiencies; or
C. Parcels of property in the area:
i. have been sold and not redeemed under IC 6-1.1-24 and IC 6-1.1-25;
or
ii. are owned by a unit of local government; or
D. A significant number of dwelling units within the area are not permanently
occupied or a significant number of parcels in the area are vacant land; or
E. A significant number of dwelling units within the area are:
i. the subject of an order issued under IC 36-7-9; or
ii. evidencing significant building deficiencies; or
F. The area has experienced a net loss in the number of dwelling units, as
documented by census information, local building and demolition permits,
or certificates of occupancy, or the areas are owned by Indiana or the
United States; or,
G. The area (plus any areas previously designated under this subsection) will
not exceed ten percent (10%) of the total area within the Council’s
jurisdiction.
SECTION III. The Common Council also hereby determines and finds the following:
A. That the description of the proposed redevelopment meets the applicable
standards for such development.
B. That the estimate of the value of the redevelopment is reasonable for
projects of this nature;
C. That the other benefits about which information was requested are benefits
that can be reasonably expected to result from the proposed described
redevelopment; and
D. That the totality of benefits is sufficient to justify the requested deduction,
all of which satisfy the requirements of Indiana Code 6-1.1-12.1-3.
E. The deduction will not be allowed unless the dwelling is rehabilitated to
meet local code standards for habitability.
F. The deduction will not be allowed unless the dwelling rehabilitation is
completed within five (5) calendar years from the date of the adoption of
this Resolution by the Common Council.
SECTION IV. The Common Council hereby determines and finds that the proposed
described redevelopment can be reasonably expected to yield benefits identified in the
Statement of Benefits and the petition for real property tax abatement consideration and
that the Statement of Benefits form prescribed by the State Board of Accounts are
sufficient to justify the deduction granted under Indiana Code 6-1.1-12.1-3.
SECTION V. The Common Council hereby accepts the report and recommendation of
the Community and Economic Development Committee that the area herein described be
designated as a Residentially Distressed Area and hereby adopts a Resolution designating
this area as a Residentially Distressed Area for purposes of real property tax abatement.
SECTION VI. The designation as a Residentially Distressed Area shall be limited to five
(5) calendar years from the date of the adoption of this Resolution by the Common
Council.
SECTION VII. The Common Council hereby determines that the property owner is
qualified for and is granted property tax deduction for a period of five (5) years.
SECTION VIII. The Common Council directs the City Clerk to cause notice of the
adoption of this Declaratory Resolution for Real Property Tax Abatement to be published
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REGULAR MEETING JULY 28, 2008
pursuant to Indiana Code 5-3-1 and Indiana Code 6-1.1-12.1-2.5, said publication
providing notice of the public hearing before the Common Council on the proposed
confirming of said declaration.
SECTION IX. Pursuant to Indiana Code 6-1.1-12.1-2, the rehabilitation must meet all
local code standards for habitability as a specific condition of having such property
designated as a residentially distressed area.
SECTION X. This Resolution shall be in full force and effect from and after its adoption
by the Common Council and approval by the Mayor.
s/Timothy A Rouse
Member of the Common Council
Councilmember Derek Dieter, Chairperson, Community and Economic Development
Committee, reported that this committee held a Public Hearing on this bill this afternoon
and voted to send it to the full Council with a favorable recommendation.
Mr. Richard Kidder, 54338 Ivy Road, South Bend, Indiana, made the presentation for this
bill.
Mr. Kidder advised that he and his wife intend to build a 2,800 square foot, single-family,
owner-occupied home. The home will have three bedrooms and three bathrooms with a
kitchen, dining room, library, laundry room, and mud room. The cost of the home is
approximately $415,000.
A Public Hearing was held on the Resolution at this time.
There bring no one present wishing to speak to the Council either in favor of or in
opposition to this Resolution, Councilmember Dieter made a motion to adopt this
Resolution. Councilmember White seconded the motion which carried and the
Resolution was adopted by a roll call vote of seven (7) ayes and two (2) nays
(Councilmember’s Henry Davis and Timothy Rouse)
BILL NO. 08-64 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND
DESIGNATING CERTAIN AREAS WITHIN THE
CITY OF SOUTH BEND, INDIANA,
COMMONLY KNOWN AS 4201 LINDEN
AVENUE AN ECONOMIC REVITALIZATION
AREA FOR PURPOSES OF UP TO A (6) SIX-
YEAR REAL PROPERTY TAX ABATEMENT
FOR FOXTROT REALTY CORPORATION
BILL NO. 08-65 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND
DESIGNATING CERTAIN AREAS WITHIN THE
CITY OF SOUTH BEND, INDIANA,
COMMONLY KNOWN AS 4201 LINDEN
AVENUE AN ECONOMIC REVITALIZATION
AREA FOR PURPOSES OF A (5) FIVE-YEAR
PERSONAL PROPERTY TAX ABATEMENT
FOR GTA CONTAINERS, INC.
Councilmember White made a motion to combine these bills for purposes of Public
Hearing. Councilmember Dieter seconded the motion which carried by a voice vote of
nine (9) ayes.
12
REGULAR MEETING JULY 28, 2008
RESOLUTION NO. 3884-08 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND
DESIGNATING CERTAIN AREAS WITHIN THE
CITY OF SOUTH BEND, INDIANA,
COMMONLY KNOWN AS 4201 LINDEN
AVENUE AN ECONOMIC REVITALIZATION
AREA FOR PURPOSES OF UP TO A (6) SIX-
YEAR REAL PROPERTY TAX ABATEMENT
FOR FOXTROT REALTY CORPORATION
WHEREAS, a petition for real property tax abatement has been filed with the City
Clerk for consideration by the Common Council of the City of South Bend, Indiana
requesting that the area commonly known as 4201 Linden Avenue, South Bend, Indiana,
and which is more particularly described as follows:
“A part of the east half of the southwest quarter of Section 4, Township 37 North,
Range 2 East, South Bend, Indiana, more particularly described as follows, viz:
Beginning at a point on the south line of said Southwest quarter 578.67 feet west
of the southeast corner of said southwest quarter; thence continuing westerly
along said south line of southwest quarter with an assumed bearing of North
89°42’30” West, 741 feet more or less to the west line of the east half of said
southwest quarter, 1344 feet more or less to the southerly right-of-way line of the
New York Central Railroad Company; thence South 79°18’30” East along said
southerly right-of-way line 758.3 feet, more or less to a point which is North
00°08’15” East 1207.34 feet to the place of beginning, excepting from the above
described tract a strip of land 40 feet in width, north and south, taken off of and
from the entire width of the south and thereof for Linden Avenue
and which has Key Number 018-2193-7257, 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, the Department of Community and Economic Development has
concluded an investigation and prepared a report with information sufficient for the
Common Council to determine that the area qualifies as an Economic Revitalization Area
under Indiana Code § 6-1.1-12.1, et seq., and South Bend Municipal Code Sections 2-76,
et seq., and has further prepared maps and plats showing the boundaries and such other
information regarding the area in question as required by law; and
WHEREAS, the Community and Economic Development Committee of the
Common Council has reviewed said report and recommended to the Common Council
that the area qualifies as an Economic Revitalization Area.
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of
South Bend, Indiana, as follows:
SECTION I. The Common Council hereby determines and finds that the Petition for
Real Property Tax Abatement and the Statement of Benefits form completed by the
Petitioner meet the requirements of Indiana Code § 6-1.1-12.1 et seq., for tax abatement.
SECTION II. The Common Council hereby determines and finds the following:
A. That the description of the proposed redevelopment or rehabilitation meets
the applicable standards for such development;
B. That the estimate of the value of the redevelopment or rehabilitation is
reasonable for projects of this nature;
13
REGULAR MEETING JULY 28, 2008
C. That the estimate of the number of individuals who will be employed or
whose employment will be retained by the Petitioner can reasonably be expected to result
from the proposed described redevelopment or rehabilitation;
D. That the estimate of the annual salaries of those individuals who will be
employed or whose employment will be retained by the Petitioner can be reasonably
expected to result from the proposed redevelopment or rehabilitation;
E. That the other benefits about which information was requested are benefits
that can be reasonably expected to result from the proposed described redevelopment or
rehabilitation; and
F. That the totality of benefits is sufficient to justify the requested deduction,
all of which satisfy the requirements of Indiana Code § 6-1.1-12.1-3.
SECTION III. The Common Council hereby determines and finds that the proposed
described redevelopment or rehabilitation can be reasonably expected to yield benefits
identified in the Statement of Benefits, Sections 1 through 3 of the Petition for Real
Property Tax Abatement Consideration and the Memorandum of Agreement between the
Petitioner and the City of South Bend, and that the Statement of Benefits form completed
by the petitioner, said form being prescribed by the State Board of Accounts, are
sufficient to justify the deduction granted under Indiana Code § 6-1.1-12.1-3.
SECTION IV. The Common Council hereby accepts the report and recommendation of
the Community and Economic Development Committee that the area herein described be
designated as an Economic Revitalization Area and hereby adopts a Resolution
designating this area as an Economic Revitalization Area for purposes of real property
tax abatement.
SECTION V. The designation as an Economic Revitalization Area shall be limited to
two (2) calendar years from the date of the adoption of this Resolution by the Common
Council.
SECTION VI. The Common Council hereby determines that the property owner is
qualified for and is granted property tax deduction for a period of up to seven (7) years.
SECTION VII. The Common Council directs the City Clerk to cause notice of the
adoption of this Declaratory Resolution for Real Property Tax Abatement to be published
pursuant to Indiana Code § 5-3-1 and Indiana Code § 6-1.1-12.1-2.5, said publication
providing notice of the public hearing before the Common Council on the proposed
confirming of said declaration.
SECTION VIII. This Resolution shall be in full force and effect from and after its
adoption by the Common Council and approval by the Mayor.
s/Timothy A. Rouse
Member of the Common Council
RESOLUTION NO. 3885-08 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND
DESIGNATING CERTAIN AREAS WITHIN THE
CITY OF SOUTH BEND, INDIANA,
COMMONLY KNOWN AS 4201 LINDEN
AVENUE AN ECONOMIC REVITALIZATION
AREA FOR PURPOSES OF A (5) FIVE-YEAR
PERSONAL PROPERTY TAX ABATEMENT
FOR GTA CONTAINERS, INC.
14
REGULAR MEETING JULY 28, 2008
WHEREAS, a petition for personal property tax abatement consideration has been
filed with the City Clerk for consideration by the Common Council of the City of South
Bend, Indiana, requesting that the area commonly known as 4201 Linden Avenue, South
Bend, Indiana, and which is more particularly described as:
“A part of the east half of the southwest quarter of Section 4, Township 37 North,
Range 2 East, South Bend, Indiana, more particularly described as follows, viz:
Beginning at a point on the south line of said Southwest quarter 578.67 feet west
of the southeast corner of said southwest quarter; thence continuing westerly
along said south line of southwest quarter with an assumed bearing of North
89°42’30” West, 741 feet more or less to the west line of the east half of said
southwest quarter, 1344 feet more or less to the southerly right-of-way line of the
New York Central Railroad Company; thence South 79°18’30” East along said
southerly right-of-way line 758.3 feet, more or less to a point which is North
00°08’15” East 1207.34 feet to the place of beginning, excepting from the above
described tract a strip of land 40 feet in width, north and south, taken off of and
from the entire width of the south and thereof for Linden Avenue
and which has Key Number 018-2193-7257, 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, the Department of Community and Economic Development has
concluded an investigation and prepared a report with information sufficient for the
Common Council to determine that the area qualifies as an Economic Revitalization Area
under Indiana Code 6-1.1-12.1, et seq., and South Bend Municipal Code Sections 2-76, et
seq., and has further prepared maps and plats showing the boundaries and such other
information regarding the area in question as required by law; and
WHEREAS, the Community and Economic Development Committee of the
Common Council has reviewed said report and recommended to the Common Council
that the area qualifies as an Economic Revitalization Area.
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of
South Bend, Indiana, as follows:
SECTION I. The Common Council hereby determines and finds pursuant to Indiana
Code 6-1.1-12.1-4.5 et seq., that:
a. the estimate of the cost of the new manufacturing equipment is reasonable
for equipment of that type;
b. That the estimate of the number of individuals that will be employed or
whose employment will be retained by the Petitioner can reasonably be expected to result
from the proposed installation of new manufacturing equipment;
c. That the estimate of the annual salaries of those individuals that will be
employed or whose employment will be retained by the Petitioner can be reasonably
expected to result from the proposed installation of new manufacturing equipment;
d. any other benefits about which information was requested are benefits that
can be reasonably expected to result from the proposed new manufacturing equipment;
and
e. the totality of benefits is sufficient to justify the deduction requested.
SECTION II. The Common Council hereby determines and finds that the proposed new
manufacturing equipment can be reasonably expected to yield the benefits identified in
the Statement of Benefits as set forth in Sections 1 through 3 of the Petition for Personal
15
REGULAR MEETING JULY 28, 2008
Property Tax Abatement Consideration and that Statement of Benefits form completed by
the petitioner, said form being prescribed by the State Board of Accounts, are sufficient
to justify the deduction granted under Indiana Code 6-1.1-12.1-4.5.
SECTION III. The Common Council hereby accepts the report and recommendation of
the Department of Community and Economic Development, and the Community and
Economic Development Committee's favorable recommendation, that the area herein
described be designated as an Economic Revitalization Area for purposes of personal
property tax abatement and hereby makes such a designation.
SECTION IV. The Common Council determines that such designation is for personal
property tax abatement only and shall be limited to two (2) calendar years from the date
of the adoption of this Resolution by the Common Council.
SECTION V. The Common Council hereby determines that the property owner is
qualified for and is granted property tax deduction for a period of five (5) years; provided
however, the Petitioner may not receive an economic revitalization area deduction if it
receives an enterprise zone investment deduction under I.C. 6-1.1-45 for the same
property.
SECTION VI. The Common Council directs the City Clerk to cause notice of the
adoption of this Declaratory Resolution for Personal Property Tax Abatement to be
published pursuant to Indiana Code 5-3-1, said publication providing notice of the public
hearing before the Common Council on the proposed confirming of said declaration.
SECTION VII. This Resolution shall be in full force and effect from and after its
adoption by the Common Council and approval by the Mayor.
s/Timothy A. Rouse
Member of the Common Council
Councilmember Dieter, Chairperson, Community and Economic Development
Committee, reported that this committee held a Public Hearing on Bill Nos. 08-64 and
08-65 this afternoon and voted to send both bills to the full Council with no
recommendation.
st
Mr. Richard Deahl, Attorney at Law, Barnes & Thornburg, 600 1 Source Center, 100 N.
Michigan Street, South Bend, Indiana, made the presentation on behalf of the owner
Yatish J. Joshi, President Foxtrot Realty Corporation (GTA Containers, Inc.)
Mr. Deahl advised that Foxtrot Realty Corporation/GTA Containers, Inc. is proposing to
construct and equip a 90,000 square foot building on an undeveloped portion of a 21 acre
site that they already own. The building will be owned by Foxtrot Realty and leased to
GTA Containers. The project will enable GTA to more than double its current
manufacturing capacity, allowing the company to bid on large, multi-year contracts with
the U.S. Department of Defense and also have the capacity for non-military contracts.
GTA Containers manufactures collapsible pillow tanks for fuel or water storage. The
containers range in size from 3,000 to 210,000 gallons. The estimated cost of the
building is $2,200,000 - $2,800,000. GTA Containers will own the equipment placed on
the site. GTA was recently offered two five-year contracts from the U.S. Army. They
had been expecting only one. With either one of the contracts they could have handled
production in their current facility, but both contracts together generate the need for
additional space. One contract was executed on July 11, 2008. The second contract
arrived on July 14, and was executed today (July 15, 2008.) Due to testing requirements
contained in the second contract, time is of the essence in completing construction of the
new building and installation of necessary equipment. Mr. Deahl further noted that it is
estimated that the total project will create six to eleven (6-11) new, permanent, full-time
16
REGULAR MEETING JULY 28, 2008
jobs within the first year representing a new annual payroll of $160,000 to $260,000. The
project will retain thirty-one (31) existing permanent, full-time jobs (of which 29 are
minority employees) with an annual payroll of $1,125,000. Mr. Deahl noted that at the
Community & Economic Development Committee this afternoon brought to GTA’s
attention that although they may be commended on a very large or high percentage of
minority employment, there is zero diversity within the minority employment. Being that
100% of the minority employees at GTA are currently have been for the past couple of
years Hispanic employees. Between the committee meeting and this evening’s meeting
GTA has tried to take an in-depth look at how they attract employees, what their hiring
practices have been and how they can propose using this project as an opportunity to
expand diversity within the minority employment at GTA. A couple of factor that were
learned this afternoon, is that although GTA does big business they are not terribly
sophisticated when it comes to Human Resources and their HR management. Currently,
they don’t have a written application form and they hire employees when needed
primarily through word of mouth and general advertising in the newspaper. They have
found that among the Hispanic employees when they internally announce a job opening
there will be generally through word of mouth the introduction of family or friends of
existing employees to the company and they have found that has been a successful way
of hiring dependable people who take a value and interest in working for GTA. This
afternoon it was apparent though that doesn’t reach beyond the current employment base
of GTA. In order to increase diversity among and within the minority employees there,
they have proposed to do a few things. One is to create a written application form that can
be available to people if they come in and request an application. Second, in connection
with their proposed plan to post jobs, target the census tracts and work with the Council
to identify organizations that they could distribute jobs postings to which could increase
the applicant pool. A few of the organizations were the YWCA; Food Bank of Northern
Indiana; the ministerial association; King Center and other organizations that the Council
recognizes and recommends to post job openings to increase the job pool and drive up
diversity within the minority category of employment at GTA. Thirdly, is to keep on file
applications, currently they don’t consider applicants unless they have a job opening. If
they were to have a job application form and were to retain those forms, they could pull
out kind of past resumes or applications of employees who maybe interested when jobs
openings arise. Mr. Deahl asked the Council for their favorable approval.
Councilmember Davis asked how soon GTA would put those items in place.
Mr. Deahl stated that there would be an immediate need as GTA moves forward to hire
for the new positions and train individuals within the next 90 days. He proposed that
within the next two weeks to identify those organizations to distribute job openings and
have an application form that can be used by GTA to evaluate candidates as they apply
for positions.
A Public Hearing was held on the Resolutions at this time.
The following individuals spoke in favor of the Resolution.
th
Mr. Bob Mathia, Community & Economic Development, 12 Floor County-City
Building, 227 W. Jefferson Blvd., South Bend, Indiana, stated that he has been working
with this company for several weeks on this tax abatement. He stated that one of things
that he wanted to note was that GTA is very anxious and willing to meeting the City’s
wants and desires. Mr. Mathia stated that one of the things that he noticed when
reviewing their tax abatement petition, GTA had one contractor listed who had
independent contractors as workers as opposed to direct hire employees. The City likes
to see direct hire employees, when he pointed this out, GTA contacted their prime
contractor who removed that lower level contractor and took over the job himself. So
they are very interested in trying to meet the needs of the City and play a useful role as a
community citizen in the city.
Simon Addicott, Vice-President, Manufacturing, GTA, 4201 Linden Avenue, South
Bend, Indiana, stated that he wanted to reinforce the competitive aspect of this business.
There were actually two contract awarded. The other competitor is located in Illinois.
17
REGULAR MEETING JULY 28, 2008
On each deliver order they are required to submit a new bid. Mr. Addicott stated that
they submitted pricing on this contract last October and it is a fixed price contract. He
stated that they have seen a lot of increase in cost of their raw materials since October.
He stated that they are not able to recover those costs, so they have to look at a variety of
different cost savings and productivity improvements during the five years and then they
have to bid against this other company, so there is a lot of competitive nature to this
business and this is the very important reason for this abatement.
Yatish J. Joshi, President, GTA Container & Foxtrot Realty, 4201 Linden Avenue, South
Bend, Indiana, advised that he is from India and came to the United States, went to Ohio,
moved to Tennessee, moved back to Ohio, moved to Indiana for employment, moved
back to Ohio and finally decided to settle in South Bend, Indiana. He stated that he likes
South Bend very much. He stated that he and his wife and family live in South Bend and
go to school in Indiana. Mr. Joshi stated that he hires people who want to work; it
doesn’t make a difference who they are.
Council President Rouse stated that he is glad to see a company that designs fuel cells for
the military. He stated that he used to work at Uniroyal and they made fuels cells for the
military, so it is good to see that a local company is still making fuel cells for the military.
He stated that as a Council they will do all they can with the resources that they have
before them to work with this company.
Councilmember Kirsits commended GTA for putting a plan together that quickly
between committee and the meeting tonight. He advised that GTA should keep open the
lines of communication with the Council, minority churches in the area, and the Charles
Black Center to post job openings with. He stated that they should keep track of all the
applications that are received.
Councilmember Puzzello stated that she had discussions with other Councilmember’s
after the committee meeting and was told that you can hire anyway you want to unless
you are receiving money from the government. She stated that is true, of course, and she
would like to make an official recommendation that in the next two weeks before the
Council takes action on the confirmatory resolution that the petitioner develop more
details of their targeting hiring program, including, but not limited to, 1. Working with
WorkOne Indiana; 2. Working on a proactive affirmative action plan for seeking job
applicants from the residences living in distressed census tracts. She stated that she
further recommends that the confirmatory resolution be sent to the Community and
Economic Development Committee for further discussion. She noted that the reason for
that is normally the committee would not meet on a confirmatory resolution.
Councilmember Varner asked if that language would be incorporated into the
Resolution?
Council Attorney Kathleen Cekanski-Farrand stated that language would not be
incorporated into the resolution however; it would be a verbal recommendation.
Councilmember Henry Davis stated that he spoke with representatives from GTA after
the committee meeting this afternoon. He had another question about the environment
that is set up for the employees at GTA that are already there. The employees are
Hispanic, so that environment is conducive for them. He stated that for him, not being a
bi-lingual person, and the only Spanish that he knows is hola, and going into an
environment such as this set at this particular business, how would it be conducive for a
person such as himself not being bi-lingual to go into an area such as this and start
working?
Mr. Addicott stated that it was he who made the comment at the meeting earlier. Mr.
Addicott stated that they have 31 employees today, conservatively they expect to hire six
more at least and one of the things about this contract is that it is pretty hard to predict
how many employees will be needed. At the maximum that the government stated that
they would ask for would more than likely double their employment. Mr. Addicott stated
that it might be difficult for one person coming in but in this circumstance where they are
18
REGULAR MEETING JULY 28, 2008
pretty sure that they will hire six plus employees, he feels that they would not have to do
anything special to accommodate them or make them feel more comfortable in this kind
of Hispanic workforce that they have today. He stated that they are certainly open for
any kind of recommendation that the Council may have or any expert in the field might
have. Mr. Addicott stated that he has run some very large companies in the past but this
is something that he has not dealt with in the past, but certainly would want to make sure
that any employee at GTA is comfortable. The jest of his comments are that they are
expecting to hire a lot of people, so if they hire quite a few people of certain ethnic
background they are going to feel more comfortable anyway. They are going to have a
group to associate with. He stated that he doesn’t know if it is necessary to start offering
Spanish classes or anything like that.
Councilmember Henry Davis asked about the two week time frame that is left and the
building permit being pulled, in case the Council postpones this for a couple of weeks,
what were the consequences of the delay?
Mr. Addicott advised that with a government contract they are required to submit a first
article or test or prototype parts that go through very in depth testing and those are
required to be produced from the production equipment and the production facility and it
is not something that they can afford to repeat later. That testing has to be submitted
within 120 days so it is key for them to be able to move forward and actually produce
those new parts in the new building. He stated that the current proposal to the
government is that they were going to rent a warehouse and not build a building, but Mr.
Joshi decided that he is very pro South Bend and he wanted to invest and try and grow
the business at its current location for the long term, so they decided to go out on a limb
and build the building in the 120 days and have been working with Majority and getting
some help from some people in the Building Department to make this happen. It just
really wouldn’t work if they have another couple of weeks. They would have to go back
to the warehouse concept.
Councilmember Dieter asked where does the Council stand with Councilmember
Puzzello’s recommendations and Mr. Deahl’s proposals.
Council Attorney Kathleen Cekanski-Farrand stated that the question could be to Mr.
Deahl whether his clients are willing to accept those as conditions if the Council would
go forward tonight.
Council President Rouse posed a question to both parliamentary procedure and the
Council Attorney. He stated that there have been some very proactive suggestions.
Tonight the Council is working with the Declaratory Resolution and the petitioner has to
come back in two weeks to have it confirmed. He stated that he senses a willingness to
work through some of these areas that need refining. He stated that there could be
another committee meeting or a sub-committee meeting formed if Councilmember Dieter
agrees to that, so that when the confirming resolution comes up for adoption, it can be at
that time that this points of concern can be refined.
Council Attorney Kathleen Cekanski-Farrand stated that is correct.
Mr. Deahl stated that GTA is in full agreement with that proposal.
Council Attorney Kathleen Cekanski-Farrand stated that if the Council is moving forward
this evening a decision will have to be made as to which version of Bill of 08-64 is being
considered, there are now two on record with the Office of the City Clerk, the first is for
the six (6) year real property the second is for the seven (7) year real property. The
Council at this point has not accepted the substitute version of this bill.
Councilmember Varner made a motion to accept the substitute version of Bill No. 08-64
the seven (7) year real property tax abatement. Councilmember Oliver Davis seconded
the motion which carried by a voice vote of seven (7) ayes and two (2) nay
(Councilmember’s White and Henry Davis)
19
REGULAR MEETING JULY 28, 2008
Councilmember White commented that she wanted to publicly thank GTA for all of the
conditions that they have suggested in response to the Council’s concerns that she raised
in this afternoon’s committee meeting. She is very appreciative of how GTA has
responded and wanted to share that she would be willing to work together as a
representative of the Council. She stated that she was not given the opportunity at the
committee meeting or afterward to have any conversation with the representatives of
GTA. She stated that since she was the one that raised the concerns, she wanted to
publicly share with the representatives of GTA that she would like to have the
opportunity to work together to insure that the conditions that have been outlined which
are wonderful ideas that can be met that she pledges to work with GTA to insure these
items that have been recommended that they will meet her concerns that were brought up
in the committee meeting.
Councilmember Dieter suggested that he would like to talk with the representatives after
the meeting tonight and decide on a date and time that they could meet and discussion
these conditions.
There being no one present wishing to speak to the Council in opposition to these
Resolutions, Councilmember Dieter made a motion to adopt substitute Bill No. 08-64.
Councilmember LaFountain seconded the motion which carried and the Resolution was
adopted by a roll call vote of eight (8) ayes and one (1) nay (Councilmember White)
Councilmember Puzzello made a motion to adopt Bill 08-65. Councilmember Dieter
seconded the motion which carried and the Resolution was adopted by a roll call vote of
eight (8) ayes and one (1) nay (Councilmember White)
RESOLUTION NO. 3886-08 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND
DESIGNATING CERTAIN AREAS WITHIN THE
CITY OF SOUTH BEND, INDIANA,
COMMONLY KNOWN AS 1840 N.
COMMERCE DRIVE AN ECONOMIC
REVITALIZATION AREA FOR PURPOSES OF
A (5) FIVE-YEAR PERSONAL PROPERTY TAX
ABATEMENT FOR STANZ FOODSERVICE,
INC.
WHEREAS, a petition for personal property tax abatement consideration has been
filed with the City Clerk for consideration by the Common Council of the City of South
Bend, Indiana, requesting that the area commonly known as 1840 N. Commerce Drive,
South Bend, Indiana, and which is more particularly described as:
PARCEL I: A tract of land in the Southwest Quarter of Section 33,
Township 38 North, Range 2 East,City of South Bend,St. Joseph County,
,
Indianamore particularly described as follows: Commencing at a brass
plug at the center of said Section 33; thence South 90°00'000° West on and
along the North line of the Southwest Quarter of said Section 33 a distance
of 679.78 feet; thence South 00°42'05" West a distance of 9.01 feet to an
iron at the Southwest corner of Progress Drive and Maplewood Avenue;
thence South 00°42'05" West on and along the West line of Maplewood
Avenue a distance of 399.39 feet to the true place of beginning; thence
South 00°42'05" West on and alongthe West line of Maplewood Avenue a
distance of 409.85 feet; thence South 89°30'39" West a distance of 434.08
feet to the East line of Commerce Drive; thence North 00°29'21" West on
and alongthe East line of Commerce Drive a distance of 409.85 feet:
thence North 89°30'39" East a distance of 442.55 feet to the true place of
beginning.
Said tract being Lot Number 21 of the Airport Industrial Park, Phase II.
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REGULAR MEETING JULY 28, 2008
PARCEL II: Lots Numbered Twenty-eight (28), Twenty-nine (29), Thirty
(30) and Thirty-one (31) as shown on the recorded Plat on the recorded Plat
of Post Place, recorded August 21, 1912 in Plat Book 9, page 142 in the
Office of the Recorder of St. Joseph County, Indiana.
PARCEL III: A tract of land in the Southwest Quarter of Section 33,
Township 38 North, Range 2 East, City of South Bend, St. Joseph County,
Indiana, more particularly described as follows: Commencing at a brass
plug at the center of said Section 33; thence South 90°00’00” West on and
along the North line of said Southwest Quarter of Section 33 a distance of
679.78 feet; thence South 00°42’05” West a distance of 9.01 feet to an iron
at the Southwest corner of Progress Drive and Maplewood Avenue, said
point being the true place of beginning; thence South 90°00’00” West on
and along the South line of said Progress Drive, a distance of 450.98 feet to
an iron on the East line of Commerce Drive; thence South 00°29’21” East
on and along the East line of Commerce Drive, a distance of 403.15 feet to
an iron; thence North 89°30’39” East a distance of 442.55 feet to an iron on
the West line of Maplewood Avenue; thence North 00°42’05” East on and
along the West line of Maplewood Avenue a distance of 399.39 feet to the
place of beginning. Said tract being Lot Numbered 22 of the Airport
Industrial Park Phase 2.
ALSO, a portion of Maplewood Avenue vacated by the City of South
Bend, Indiana, pursuant to Vacation Resolution No. 3466 (1977), which
portion is more particularly described as follows: A portion of Maplewood
Avenue, beginning at the South right-of-way line of Progress Drive and the
East right-of-way line of Maplewood Avenue, South 345 feet to the
Southwest corner of Lot 27 in Post Place Addition; thence West 50 feet;
thence North 345 feet; thence East 50 feet to the place of beginning;
and which has Key Numbers 18-2183-688604, 18-2183-6832, 18-2183-6834, 18-2183-
6838, 18-2183-6840, 18-2183-6842, 18-2183-6844 and 18-2183-688607, 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, the Department of Community and Economic Development has
concluded an investigation and prepared a report with information sufficient for the
Common Council to determine that the area qualifies as an Economic Revitalization Area
under Indiana Code 6-1.1-12.1, et seq., and South Bend Municipal Code Sections 2-76, et
seq., and has further prepared maps and plats showing the boundaries and such other
information regarding the area in question as required by law; and
WHEREAS, the Community and Economic Development Committee of the
Common Council has reviewed said report and recommended to the Common Council
that the area qualifies as an Economic Revitalization Area.
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of
South Bend, Indiana, as follows:
SECTION I. The Common Council hereby determines and finds pursuant to Indiana
Code 6-1.1-12.1-4.5 et seq., that:
a. the estimate of the cost of the new manufacturing equipment is reasonable
for equipment of that type;
b. That the estimate of the number of individuals that will be employed or
whose employment will be retained by the Petitioner can reasonably be expected to result
from the proposed installation of new manufacturing equipment;
c. That the estimate of the annual salaries of those individuals that will be
employed or whose employment will be retained by the Petitioner can be reasonably
expected to result from the proposed installation of new manufacturing equipment;
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REGULAR MEETING JULY 28, 2008
d. any other benefits about which information was requested are benefits that
can be reasonably expected to result from the proposed new manufacturing equipment;
and
e. the totality of benefits is sufficient to justify the deduction requested.
SECTION II. The Common Council hereby determines and finds that the proposed new
manufacturing equipment can be reasonably expected to yield the benefits identified in
the Statement of Benefits as set forth in Sections 1 through 3 of the Petition for Personal
Property Tax Abatement Consideration and that Statement of Benefits form completed by
the petitioner, said form being prescribed by the State Board of Accounts, are sufficient
to justify the deduction granted under Indiana Code 6-1.1-12.1-4.5.
SECTION III. The Common Council hereby accepts the report and recommendation of
the Department of Community and Economic Development, and the Community and
Economic Development Committee's favorable recommendation, that the area herein
described be designated as an Economic Revitalization Area for purposes of personal
property tax abatement and hereby makes such a designation.
SECTION IV. The Common Council determines that such designation is for personal
property tax abatement only and shall be limited to two (2) calendar years from the date
of the adoption of this Resolution by the Common Council.
SECTION V. The Common Council hereby determines that the property owner is
qualified for and is granted property tax deduction for a period of five (5) years; provided
however, the Petitioner may not receive an economic revitalization area deduction if it
receives an enterprise zone investment deduction under I.C. 6-1.1-45 for the same
property.
SECTION VI. The Common Council directs the City Clerk to cause notice of the
adoption of this Declaratory Resolution for Personal Property Tax Abatement to be
published pursuant to Indiana Code 5-3-1, said publication providing notice of the public
hearing before the Common Council on the proposed confirming of said declaration.
SECTION VII. This Resolution shall be in full force and effect from and after its
adoption by the Common Council and approval by the Mayor.
s/Timothy A. Rouse
Member of the Common Council
Councilmember Dieter, Chairperson, Community and Economic Development
Committee, reported that this committee held a Public Hearing on this bill this afternoon
and voted to send it to the full Council with a favorable recommendation.
Mr. Richard Deahl, Attorney, Barnes & Thornburg, LLP, 100 North Michigan, Suite 600,
South Bend, Indiana, made the presentation for this bill on behalf of Mark Harman,
President, Stanz Foodservice, Inc..
Mr. Deahl advised that Stanz Foodservice is a full-line, food service distribution
business. Stanz uses its warehouse and distribution facility to store dry, refrigerated, and
frozen goods to facilitate the transfer and delivery of such goods to customers throughout
Northern Indiana and Southern Michigan. The proposed project consists of the
acquisition and installation of new logistical distribution and information technology
equipment, including without limitation, warehouse racking systems, fork lifts, pallet
movement mechanisms, GPS monitoring and tracking systems and related systems for
use in Stanz’s full line food service distribution business. This equipment will
complement Stanz’s investment in real estate improvements and its commitment to
growing its distribution headquarters and business in South Bend. The entire cost for the
proposed project is estimated between $300,000 to $700,000 for logistical distribution
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REGULAR MEETING JULY 28, 2008
equipment and between $50,000 and $150,000 for information technology equipment. It
is estimated that the project, by itself, will not create additional full-time and part-time
permanent jobs within the first year of the project, but will enable Stanz to maintain 162
existing permanent full-time jobs and 9 existing permanent part-time jobs with an annual
payroll of $7,251,439, including existing permanent full-time minority employment of 12
positions.
A Public Hearing was held on the Resolution at this time.
The following individuals spoke in favor of this bill.
Mr. Jerry Niezgodski, 2930 Bonds Avenue, South Bend, Indiana, stated that sometime
last year there was a meeting with the neighbors and members of the Lincolnway West
Gateway Association, which he is the Chairperson. He stated that Councilmember’s
Dieter and Rouse were in attendance. At that meeting the association agreed to support
Stanz efforts to expand in the area adjacent to the neighborhood association. Basically,
they needed some variances so that they could build and everyone worked together to get
a win/win situation out of this project and come to a good conclusion. He stated that
Stanz has worked well with the neighbors, they thought about the neighbors first, and
reached out. He noted that you don’t always get that kind of cooperation from
company’s these days. Mr. Niezgodski urged the Council for their favorable
consideration.
There was no one else present wishing to speak in favor of this bill and there was no one
present wishing to speak in opposition to the bill.
Councilmember Dieter made a motion to adopt this Resolution. Councilmember White
seconded the motion and the Resolution was adopted by a roll call vote of nine (9) ayes.
RESOLUTION NO. 3887-08 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND, INDIANA,
DIRECTING A PUBLIC QUESTION ON
WITHDRAWAL FROM IURC JURISDICTION
WHEREAS, the City of South Bend owns and operates a water utility; and
WHEREAS, this Council has determined that it would be in the best interests of
the City and its citizens for the City’s water utility to be removed from the jurisdiction of
the Indiana Utility Regulatory Commission (“Commission”) so that the citizens of South
Bend will have more direct control of the utility’s rates; and
WHEREAS, pursuant to Ind. Code §8-1.5-3-9, a municipal legislative body that
wishes to withdraw from the jurisdiction of the Indiana Utility Regulatory Commission
may submit such withdrawal as a public question to the registered voters of the
municipality.
NOW, THEREFORE, BE IT RESOLVED BY THE COMMON COUNCIL OF
THE CITY OF SOUTH END, INDIANA, as follows:
SECTION I. The following public question should be submitted to the registered
voters of the City of South Bend the next election in the form prescribed by Ind. Code §3-
10-9-4:
Shall the municipally owned utility be taken out of the jurisdiction of the Utility?
Regulatory Commission for approval of rates and charges and of the issuance of
stocks, bonds, notes, or other evidence of indebtedness?
SECTION II. The public questions quoted herein shall be certified to the County
Election Board for St. Joseph County.
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REGULAR MEETING JULY 28, 2008
SECTION III. This Resolution shall be in full force and effect from and after its
adoption by the Council and approval by the Mayor.
s/Timothy A. Rouse
Member of the Common Council
Councilmember Oliver Davis, Chairperson, Utilities Committee, reported that this
committee held a Public Hearing on this bill this afternoon and voted to send it to the full
Council with a favorable recommendation.
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Mayor Stephen Luecke, 14 Floor County-City Building, South Bend, Indiana, made the
presentation for this bill.
Mayor Luecke thanked the Council for their consideration of this Resolution tonight. He
stated that he is asking for a favorable vote to allow the placing of a question on the ballot
in the November 2008 General Election, which allows the residents of the City of South
Bend to vote, whether the Council becomes the final authority in setting rates for the
Water Works or whether they will continue to go before the Indiana Utility Regulatory
Commission. He stated that he believes that the Council is the appropriate final body to
enact these rates as the Council does with the Wastewater Utility and Solid Waste. The
additional regulatory review adds time to the rate process and also adds significant costs
to the rate process and he believes that it best resides with the Council and allows the
City to plan rate increases in a more gradual manner rather than waiting until it warrants
the extreme expense of the additional review.
Mr. John Skomp, Crowe, Chizek and Company, LLC, stated that what they would like to
accomplish tonight is to adopt a resolution to allow the voters to decide the issue in the
November election. He stated that the overall reason to withdraw from the IURC is
Home Rule. The elected officials of the City of South Bend will decide the path for
South Bend. The officials will have the flexibility to address the local issues in a way
that is acceptable to the local public. Issues can be addressed in a more efficient and
timely manner. The elected officials of the City of South Bend will decide the path for
South Bend. Water Utility rates and debt policies will be established in the same manner
as the Sewage Works and other City fees. Public policy will be adopted by implemented
at the local level without revisions from officials in Indianapolis. The officials will have
the flexibility to address the local issues in a way that is acceptable to the local public.
The owners of a municipal utility are the municipality’s citizens. Out-of-town customers
are not owners of the system. Home Rule or Local Control will allow the flexibility to
address owner versus non-owner issues and municipal service unbundling such as inside
city outside city subsidies such as police, haz-mat, parks, and roads. The Hojnacki
independent study confirms that residents of incorporated South Bend and Mishawaka
pay a disproportionate share of the cost of government services and resident of
unincorporated areas do not pay enough. Out of town residents receive services for
which they do no pay; in-town residents pay for services they do not receive. Providing
municipal utility service allow the development of densely populated subdivisions on the
outskirts of the city which attract wealthier residents to these areas enjoying lower tax
rates and subsidized services. Thos left behind are less affluent and must shoulder a
larger and larger share of the cost of government. Mr. Skomp stated that issues can be
addressed in a more efficient and timely manner. An example is that on January 28, 2005
filed a rate case petition. July 13, 2005, Clay customers intervened to oppose out-of-
town surcharge (which was in place for nearly 25 years) The Office of the Utility
Consumer Counselor (OUCC) supported their position. On February 8, 2006, (one year
later) – the IURC approved a rate increase but ordered cost of service study (COSS) with
respect to surcharge on a prospective basis. On August 8, 2006, South Bend submitted
COSS which overwhelmingly supported current outside-City charge. South Bend also
submitted substantial evidence on the effect of “unbundling” municipal services. OUCC
and Clay Customers did not submit a COSS but merely complained (without rebutting.)
A hearing was held on March 6 & 7, 2007 and last brief was filed on June 13, 2007, and
still no final order, 3 ½ years after filing petition, almost 2 years after the City filed with
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REGULAR MEETING JULY 28, 2008
COSS and almost 1 ½ years after record closed. Issues can be addressed in a more
efficient and timely manner because the cost of the last IURC proceeding cost currently
over $3.25 million; the direct cost was currently over $687,000 for Legal, Financial
Advisory and Engineering costs related to the IURC investigations and proceedings and
still no final order. The lost revenue is over $2.6 million of lost incremental revenue
from filing of petition to issuance of interim order.
Mr. Nicholas Kile, Barnes & Thornburg, LLP, advised that there is two processed
allowed for withdraw from the IURC. Indiana Code 8-1.53-9 states that the Council
determines to submit a public question to the voters. Indiana Code 8-1.5-3-9.1 allows the
Council to adopt and ordinance and question is potentially submitted to the voters in a
referendum. The Public Questions resolves to submit the question. Certify the question
st
to the Council Election Board before August 1 to make the November general election.
If a majority of the registered voters within the City vote in favor, then South Bend is
withdrawn. The Council will hold two public meetings in different locations where the
removal process is explained, not public hearings. Then mail 30 days notice to all
customers and IURC prior to final action, and then takes effect in 60 days unless petition
is received which is signed by required number of registered voters to place a candidate
on the ballot. If the petition is receive, then it must certify the question to the registered
voters of the municipality as a public question. He stated that it is highly unlikely that a
public question can be avoided using either process. He stated that there is not time to
use the Section 9.1 the ordinance process and still place the question on the ballot in
November. Using Section 9, the Council can place the question on the ballot in
November and let the voters decide.
Councilmember Varner commented on today’s date being July 28, 2008 and the irony of
this Resolution having to be certified to the County Clerk by Friday, August 1, 2008. For
the reasons of the undercurrents of this bill more than anything else it is the idea of being
able to make some reasonable charges outside the city limits as opposed to inside the city
limits, or additional charges for which he is fully supported of, he just wonders if it is
really totally fair, particularly that since there will be a public campaign to adopt this, if
there will really a an opportunity to get all the information out to the public, both positive
and negative and that this had to be adopted so it can be put on the ballot this fall. He
stated that he thinks that if that is going to be the approach, the Council going forward is
going to have to assume a responsibility that which they haven’t in the past is to see to it
that when these rate requests come forward that the Council gets outside independent
assessments of the proposal. He stated that he did not want to be critical, but he
reiterated what he said in this afternoon’s meeting and that is the City wants a rate
increase, they hire an agency to do a study and pay for it with city money like Mr.
Skomp’s firm and they do an in depth study which are very expensive. But on the other
hand they could always say that the IURC will review the proposal after it is adopted
knowing that someone with lots of background and experience is going to get a second
look at it. Going forward unless the Council makes some dramatic changes in how they
do this, if this bill is adopted there is that inherent conflict and that the Council is going to
have to get past this if this bill is adopted. Because that conflict exists however well
intended with the data and the information that is brought before the Council and as a
Council once this changes, the Council adopts that responsibility or assumes that
responsibility and will need to have in place mechanisms that the Council does their part
to look out for the rates increases.
Mr. Kile stated that there are three responses to that. First, with the money that would be
saved on the expense of going to the commission, the Council could readily retain
someone to perform that independent study. It would cost far less to do that, than it
would to go to the IURC to prosecute a rate case. Secondly, there is always if you
withdraw although he stated that he has never seen a municipality go the other way there
is always in the statute the process for the voters to put the question back on the ballot to
go back before the IURC. It is not a permanent decision although; as he reiterated that he
has yet to see a community that has withdrawn go back before the commission. Thirdly,
this cuts right to the question, that the Council ultimately becomes the final say. The
voters will tell you if they agree with what you are doing. He doesn’t disagree that
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REGULAR MEETING JULY 28, 2008
having an independent review that the Council might retain for an additional financial
advice would certainly help with the duties that will given.
Mr. Skomp stated that by taking it out of the IURC’s hands and putting it in the Council’s
hands, it is actually putting it on par with what the City is already doing with sewer rates;
trash fees; and taxes. The Council will be reviewing the study and for what ever reason it
doesn’t feel comfortable with the study that was presented, then the Council could always
have an independent financial review. The other thing is that when it comes to utilities,
the Council could say that they want an independent financial review, but the greatest
thing that drives utility rates is the capital projects that are needed for the system. A lot
of what drives utility rates is the expense that is needed for capital improvements, to
extend the system, to improve it with the right pressures and those types of things, so
when you look at it from a financial side you kind of putting the puzzle together after all
the pieces are there and it you don’t reshuffle all the pieces, an independent financial
review might not do as much as you are expecting out of it. That is something that can be
looked at when it is brought up.
Councilmember Varner stated that it has to be understood that a reshuffling of all the
pieces is entirely possible when you take that approach. Whereas, it never comes to the
Council with the discussion with what pieces are going to be or could be reshuffled. That
becomes another responsibility that the Council accepts in addition to. He stated that he
has gone on record saying that there is this same conflict on other presentations and go on
record doing it to themselves now, and have to be prepared to take those steps going
forward.
Council President Rouse asked Councilmember Varner if he is comfortable with the way
the sewer rate increase take place.
Councilmember Varner stated that the entire sewer rate project is absolutely beyond the
understanding of any individual Councilmember and beyond the understanding of any
collective Councilmember, which is why Gary Gilot hired someone to do the sewer
study, because it is enormous in its requirements. Once you realize that, you have a
better understanding of why there are other people participating. He stated do we need to
clean up the river, absolutely, do we need to do what we have to do, absolutely, do we
need to do more, the city needs to look at that and say that it isn’t quite necessary. He
stated that is where the City falls short. He stated that he says that not to be critical, but
because that is the city’s responsibility.
Councilmember Kirsits questioned about putting the question back on the ballot of going
back to the IURC, could the Council follow that process.
Mr. Kile responded yes, the Council could do that if they choose. All that would need to
be done is to adopt another Resolution like the one before the Council tonight and the
question would go back on the ballot.
Councilmember Oliver Davis questioned that it would not go back on the ballot until
2010.
Mr. Kile stated that is correct.
Councilmember Kirsits questioned that if they should opt out and it is approved by the
voters, what happens to the pending cases before the IURC?
Mr. Kile stated that they would become mute.
Councilmember Kirsits stated that it does put a big burden on the Council and have
another study, but the one thing that he likes to see is comparative rates of other
communities and sees where South Bend is, and usually there are right in the middle of
the pack, not the highest, not the lowest, but right where it should be.
A Public Hearing was held on the Resolution at this time.
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REGULAR MEETING JULY 28, 2008
There being no one present wishing to speak to the Council either in favor of or in
opposition to this Resolution, Councilmember Dieter made a motion to adopt this
Resolution. Councilmember White seconded the motion which carried and the
Resolution was adopted by a roll call vote of seven (7) ayes and two (2) nays
(Councilmember’s Henry Davis, Varner.)
Councilmember Dieter left the Council Chambers at this time.
BILLS – FIRST READING
BILL NO. 43-08 FIRST READING ON A BILL TO VACATE THE
FOLLOWING DESCRIBED PROPERTY: THE
FIRST NORTH/SOUTH ALLEY WEST OF
LAUREL STREET AND SOUTH OF WESTERN
AVENUE CONTINUING SOUTH BORDERING
THE PENN CENTRAL RAILROAD
This bill had first reading. Councilmember Varner made a motion to refer this bill to the
Public Works and Property Vacation Committee and set it for Public Hearing and Third
Reading on August 11, 2008. Councilmember Puzzello seconded the motion which
carried by a voice vote of eight (8) ayes.
BILL NO. 44-08 FIRST READING ON A BILL OF THE
COMMON COUNCIL OF THE CITY OF SOUTH
BEND, INDIANA, AMENDING CHAPTER 16,
ARTICLE 2, SECTIONS 16-6 OF THE SOUTH
BEND MUNICIPAL CODE TO ADJUST RATES
FOR COLLECTION OF SOLID WASTE
This bill had first reading. Councilmember Puzzello made a motion to refer this bill to
the Utilities Committee and set it for Public Hearing and Third Reading on August 11,
2008. Councilmember Varner seconded the motion which carried by a voice vote of
eight (8) ayes.
UNFINISHED BUSINESS
BILL NO. 08-67 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND, INDIANA,
APPROVING A PETITION OF THE SOUTH
BEND BOARD OF ZONING APPEALS FOR
THE PROPERTY LOCATED AT 1911 IRELAND
ROAD, SOUTH BEND, IN 46614
Councilmember Varner made a motion to refer this bill to the Zoning & Annexation
Committee and set it for Public Hearing and Third Reading on August 11, 2008.
Councilmember Oliver Davis seconded the motion which carried by a voice vote of eight
(8) ayes.
BILL NO. 08-69 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND, INDIANA,
APPROVING A PETITION OF THE SOUTH
BEND BOARD OF ZONING APPEALS FOR
THE PROPERTY LOCATED AT 1129 N. ST.
LOUIS BLVD.
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REGULAR MEETING JULY 28, 2008
Councilmember Varner made a motion to refer this bill to the Zoning & Annexation
Committee and set it for Public Hearing and Third Reading on August 11, 2008.
Councilmember Oliver Davis seconded the motion which carried by a voice vote of eight
(8) ayes.
NEW BUSINESS
Councilmember Puzzello advised that she along with Councilmember’s Tom LaFountain
and Henry Davis attended the opening of the Potawatomi Park new handicap accessible
playground. She stated that the playground follows a universal design which means
children of all abilities can enjoy it.
Councilmember LaFountain commended the Parks Department for working with outside
entities, and advised that this is something that is going to be needed in the future.
Hopefully this kind of cooperation can continue in the future. Potawatomi is located in
his District and it is the park that he has used since his kids were small and now that they
are teenager, they don’t get over there quite as often, but it is nice to see a facility like
that and that it allows children of all abilities to use it.
Councilmember Varner advised that he is the Council Representative to the
Redevelopment Commission. He stated that he files copies of the Agenda and Packet
with the Office of the City Clerk and will continue to advise the Council on matters that
come before the Redevelopment Commission. He stated that the Redevelopment
Commission’s Agenda is posted on the city’s website and can log on
www.southbendin.gov
Councilmember Oliver Davis stated that he is the Council’s appointment to the
TRANSPO Board of Directors. He thanked Indiana University at South Bend and
Councilmember White for their hospitality for hosting “The South Bend Public
Transportation Corporation Transit Summit.” Councilmember Oliver Davis urged
everyone to attend the Summit on Thursday, July 31, 2008 from 8:30 a.m. – 10:00 a.m.,
at Indiana University South Bend, Room 225 Student Activity Center.
Councilmember Henry Davis advised that he is serving on the LaSalle Square Shopping
Center Steering Committee. He noted that the committee continued discussion on the
development for the LaSalle Square Center. He stated that they have a comprehensive
study outlining what is needed for the area and the needs of the residents in that area. It
appears that the committee has a lot of work before them with LaSalle Square. It tends to
look like they are competing against the northwest side and other close areas to get the
services that the residents that live in that initial area actually need. He stated that they
are probably going back to square one again in a sense. He stated that he is very
disappointed because of what he is looking at, decreasing numbers of population, all the
way through 2012. Homeowner occupancy rate is going down, so all these things are
scary based upon the fact of what a city is supposed to be and the longevity of a city. He
stated that this information is coming from the consultants that have been hired to do the
study. It appears in order to make the LaSalle Square an actual reality again, there is
going to have to be more money put into making sure that it develops properly. He stated
that they cannot continue to think that 1, 2 or even 3 million is going to get it. He stated
that they need actual dollars to make sure LaSalle Square actually happens or just say that
they don’t want the services in that area and more forward with the northwest side, either
or, because right now it is against the ball and it is looking like they are not going to get
what is needed based upon the study and based upon the money. He gave Gary Gilot and
the Public Works Department, Administration, and the Street Department a big thank you
for getting ready to take care of Western Avenue and it appears that the repairs are going
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to get done that are much needed and wrap up about the week of August 4. He stated
that he drove down Western Avenue today and saw the cones out on the side of the street.
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REGULAR MEETING JULY 28, 2008
Councilmember Dieter questioned on whether the Redevelopment Budget was available
on their website?
Councilmember Varner stated that he would look into that and report back at the next
Council meeting on August 11, 2008.
PRIVILEGE OF THE FLOOR
COMMENTS FROM MR. JERRY NIEZGODSKI REGARDING LASALLE SQUARE
Mr. Jerry Niezgodski, 2930 Bonds Avenue, South Bend, Indiana, reminded the Council
that for all the people that are hearing impaired such as himself, he urged the Council to
make sure that their microphones are on and that they talk clearly and slowly into them,
so that everyone can hear the comments. He reiterated what Councilmember Henry
Davis stated about the LaSalle Square project and how it is going to be a tremendous job.
It is going to be more involved than anyone anticipated, but then again he stated that they
knew it was going to be a long process. A couple of issues that have been a challenge are
that they have been unable to get any kind of cooperation from the management from
Beacon Heights. The management will not allow anyone to go door to door and invite
residents to come to neighborhood meetings. This is very frustrating. He would like to
see city leaders, planners, and neighborhood people write or call the management of
Beacon Heights and get through to them that they need to be involved in this planning,
because their residents stand to gain or lose something in this process. They need to be
involved. He stated that he is concerned about the unsolicited offer for a senior housing
project that the city has been offered for LaSalle Square and it seems to him that the City
is pretty much set in where they want to put that. Mr. Niezgodski stated that the
Redevelopment Commission set the motion in place to acquire the properties on Bendix
Drive, the car wash and the properties on each side of it to the north and south and from
what he understands that is where the senior housing is going to be built. If there is an
agreement to a developer or somebody he is concerned that the plan has not been
developed yet and so it shouldn’t be determined where things are going to go and at that
meeting that Councilmember Henry Davis talked about earlier, he talked with Jeff Vitton,
from Community & Economic Development, the architect and two planners that were in
attendance and they were pretty adamant in saying that corner the southwest corner of
Bendix Drive and Ardmore Trail, is being saved for commercial or retail or whatever.
They suggested putting the housing behind it or anywhere other than on that corner. Mr.
Niezgodski stated that he is concerned that this senior housing project has already been
committed to being placed on that corner when the plan for the complex has not even
been established.
COMMENTS FROM REV. HENRY L. DAVIS, SR. REGARDING TAX
ABATEMENTS
Rev. Henry L. Davis, Sr., 215 N. Sheridan, South Bend, Indiana, stated that everyone has
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a passion about something. His passion is South Bend, particularly the 2 and 6
Districts. He encourage the Councilmember’s to take a drive through those districts to
see what the residents wake up to everyday, while the east side of South Bend has been
singled out for over two hundred million dollars to be spent over there. Then only 2.5
million allotted for LaSalle Square, which just doesn’t seem right. He stated that the
Council is the elected officials and history is written by the actions that you take. He
stated that he has concerns with tax abatements. Everyone wants and abatement,
businesses come before the Council to get their taxes abated. He questioned when the
residents will get abatement from shouldering all the burden from the numerous
abatement’s that the city is giving. Taxes, water rates, and gas bills are all going up, but
everyone that is making money wants an abatement. Common sense tells us that the
residents of the City of South Bend cannot afford to keep supporting all those
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abatements. There is no retail shopping in the 2 and 6 Districts of the City. Rev.
Davis stated that the residents of those districts have to shop on Grape Road, Ireland
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Road, Portage Road, while there are areas of the 2 and 6 Districts that are dying, and
nobody cares. This is a very sad thing, the residents of those districts are the working
class people, they are people who are supporting all those abatements and get no return.
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REGULAR MEETING JULY 28, 2008
The streets are in deplorable shape; just now a section of Western Avenue is getting
repaired. He stated that he is directing this to the Councilmember’s that have been on the
Council for more than one term. This didn’t just happen; it is erosion over time. Rev.
Davis stated that it reminds him of the model city years, nothing, no different. There is
no legacy in the neighborhoods, there are no neighborhood schools, there is nothing to
reach upon and build a fountain upon. So, people wonder why they are the way they are.
They go to bed hopeless and wake up the same way. He stated that he isn’t saying that
the Council if the fix all for the entire City, but a part of the solution. Things need to
change. There is money to buy the old Sears Building, and then tear it down to make
another parking lot. The City needs another parking lot like it needs another hold in its
head. That kind of development just doesn’t make sense. Somebody is going to be held
accountable of what is happening to this City. Rev. Davis stated that he wants to be on
the side that is trying to do something good, something right for the City of South Bend.
He urged everyone to come together for the betterment of the City, and this won’t happen
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until the 2 and 6 District’s are built back up to the way they used to be.
ADJOURNMENT
There being no further business to come before the President Timothy Rouse adjourned
the meeting at 8:53 p.m.
ATTEST: ATTEST:
____________________________ ____________________________
John Voorde, City Clerk Timothy Rouse, President
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