HomeMy WebLinkAboutK. 2015 Budget Community Forum for Economic Development Presentation 09-16-14.,,IIt.�A •f
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Community Forum for Economic Development
Today's Agenda
• Introductions and Overview — Valarie Schey — 7:00 pm
• Economic Development & Job Training — Chris Fielding — 7:15 pm
• General Overview — John Murphy & Jen Hockenhull — 7:30 pm
• Diversity — George King — 7:45 pm
• Housing and SBHIP— Pam Meyer— 8:00 pm
• Vacant & Abandoned— Pam Meyer & Shubhada Kambli — 8:15 pm
• Curbs & Sidewalks and Street Lighting — Eric Horvath — 8:30 pm
This is Your Budget!
Community Forum for Economic
Development
September 16, 2014
Valerie Scriey
South Bend City Council
3rd District Representative
9/16/2014
1
Thoughts on a budget....
• The municipal budget is the single most
important policy statement a governing body
adopts.
• The Municipal Budget represents the
collective priorities of the Governing Body
regarding municipal services.
Funding our City Budget
in a normal year, we pay our property taxes in 2 installments.
One installment is due by 5/10 and the second is due by 11/10.
F._pnmed: 0425,7012125 PM
117825u' Ea eRedrn E uru®uo x— Eeouewr
00 2011 Payable 2012 2 - 1014 - 08685
71 -04 -18- 251 - 012.000 -003 Clay Township 2.4435 co 7.3430 �rt6.2985ta
Property Address: 18483 Brussels Drive, South Bend IN 46637 Total Net Property Tax 3,05556
Delinquent Tax: 0.00
Delinquent Penalty. 0.00
Penalty 8 Fees: 0.00
OtherAssess. rds
Current Tax: 5.00
Delinquent Tax: 0.00
Delinquent Penalty. 0.00
JOHN Q. PUELIC
18483 Brussels Drive less Pa
South Bend IN 46637 -2337 Payments Received: O.00
Current Account Balance 3,060.56
9/16/2014
2
The money we pay in property taxes is divided amongst several taxing units.
TABLE I: SUMMARY OFYOURTAXES
ASSESS ®I�ALUE 0.NDTM1.\ S14d 1,LV{Y
1011
2012
]a. Gross assessed value of homestead property
$271,200
$271,200
lb. Grossessessedvalueofofotherresiderdial zo art and farmland
$3
�
le Gross assessed valve of all other ro art , includin ersanal pro er
$0
�
2.Equals total sc assessed vabue ofproperty
$271,200
$271,200
2a. Mims deductions see Table below
12717
12717
3.Equals subtotal ofnet assessed value of mpeily
$144,030
$144,030
3e. Multi liedb our local tax rate
2.4141
2.4435
4. E ual: ro. to Inb see Table 3 below
$3,477.02
$3,519.38
4a. Minus local properly tax credits
404.0
463.8
SCHOOL
4b. Minus savings due to property tax ca see Table 2 and footnotes below
$0.00
$0.00
$1,718.42
($40.32)
4c. Minus savin due to 65 ears & older ca
$0.00
$0.00
0.3092
$458.30
5. Total tax HabiEt See romittance Coupon for mial amount due
$3,073.00
$3,055.56
TRANSIT
0.0000
n- fee Tubb 4t.afunmay d e-,h jwt.di Npery.
$0.00
$0.00
0.00%
PROPERTY INF ORNIATI ON
Pro art tax ca I 2%, or 3%, de endin u on combination of art es
$2,71200
$2,71200
Ad�ustm ant to -p due to ester -a roved o'ects and char a
$829.83
$777.42
Maxbnum tax tlntma be' osed under-Cap
$3,541.83
$3,489.42
GROSSPROPERTY
raxnrc auTxonm
TAX na.rs mu
TAX 1 • r
TAX nars mlz
a AMOUNTS
rAx urtouNr zml
APPLICABLE a
rAx uAOVrrr zmz
PROPERTY
rnx-e
zollaalz
rmlr>arr
nmmllurta
:.4141
2.443
AIRPORT
0.0297
0.0309
$4238
$94.51
$1.73
4.04%
CITY ORTDWN
0.0000
0.0000
$0.00
$0.00
$0.00
OAO%
COUNTY
0.5424
0.6212
$781.22
$894.72
$113.50
14.53' /e
LIBRARY
0.3027
0.2941
$435.98
423.59
(12.39)
(2.84°ne
REDEV. DST
0.0000
0.0000
$0.00
$0.00
$0.00
0.00%
In addition to property taxes, we also
pay a 1.75% Local Option Income Tax
• COIT - 0.60% and can be used to fund general
operations
• LOIT - 0.25% and can be used to fund public
safety
• EDIT - 0.40% and can be used to fund
economic development
• Property Tax Replacement LOIT - 0.50% and
can be used for Property Tax relief
9/16/2014
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SCHOOL
1.2211
1.1931
$1,758.74
$1,718.42
($40.32)
(229'/.)
TOWNSHIP
0.3182
0.3092
$458.30
$438.14
($20.16)
(9.40%)
TRANSIT
0.0000
0.0000
$0.00
$0.00
0.00%
T OI:1L
:.4141
2.443
$3,4 ".02
$3519.38
'142.36
In addition to property taxes, we also
pay a 1.75% Local Option Income Tax
• COIT - 0.60% and can be used to fund general
operations
• LOIT - 0.25% and can be used to fund public
safety
• EDIT - 0.40% and can be used to fund
economic development
• Property Tax Replacement LOIT - 0.50% and
can be used for Property Tax relief
9/16/2014
3
2015 Projected revenues
$274 Million
2015 Proposed Expenditures
$311 Million
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How the dollars are spent...
City of South Bend - 2015 Proposed Expenditure Summary
9%
13%
• General & Administrative
• Public Safety
• Economic Development
• utilities
• Neighborhoods
30% 20% ■ Internal Service Funds
9/16/2014
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9/16/2014
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Identified 2015 Budget Priorities
-Neighborhood Improvements
*Smart Streets
-Public Safety
-Vacant and Abandoned initiative
-Technology and Innovation
-South Bend 150
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Citizens thoughts, concerns
and suggestions...
Areas of interest and concern ,
2015 Curb & Sidewalk program — reduced funding from 2014 level of
$1.1 Million to $750 K
750 miles of curbs & sidewalks citywide
- 300,000 Feet in Very Poor Condition
- 600,000 Feet in Poor Condition
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Achieving the goals of the MBE /WBE
ordinance with reduced funding and
hours for Diversity Compliance Officer
9/16/2014
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Maintenance of urban canopy--,--.,
South Bend Residents being charged between
$407 - $1500 for removal of city owned trees in
parkways.
Many municipalities, such as our neighbors in
Elkhart, provide this service at no charge to
their residents.
Is this a service that our City's residents would
like for us to include in the budget (and amend
the ordinance)?
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What are your thoughts?
9/16/2014
7
Department of Community Investment
September 16, 2014
2014 ACCOMPLISHMENTS r
)Ya ,
1. Attracting & Retaining
growing businesses
19 major economic development
projects
$173 million in private investment
Leverage of $7 private for every $1
public
3 major announcements at SBN Int'I
New assessed value to our community of
approximately $146 million
Potential phase in new tax revenue of $5
million per year over next 6 -8 years
ECONOMIC SCORECM1
These are some of the recent fob announcements
Elkhart RV 5upol'or announced'n
Apnl rt w,ll lease warehouse at
Of— and Samp'o streots �n Sou.!
Bend About IBDwill work there
by end of th K your with another
200 to be added by 2024
9/16/2014
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South Bend company makes
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steel towe, announced plan
carkm thla month to build new
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punt on southwest vile and
p-t
do ahem.
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up 106391
9/16/2014
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REDEVELOPMENT BUDGET s
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2014 ACCOMPLISHMENTS
nas
2. Connecting Residents to
Economic Opportunities
- 372 jobs projected to "
come online this year
from DO assisted projects
- 1287 announcedjobs
from new projects
assisted by DO
- 17 S.B. SMART graduates
- 19/22 employed
9/16/2014
9
2015 KEY INITIATVES:
BUSINESS ATTRACTION �.
Goal:
• Creation of 595 jobs and $75 million in private
investment
Strategies:
• Focus investment on Aerospace, Advanced
manufacturing, Distribution and High -Tech
industries
• Recruitment of suppliers of existing companies
• Development of targeted marketing materials
• Development of shell industrial space
• Expansion of partnerships for lending, venture
capital, incentives, and leads
• Modernization of local Industrial Revolving Loan
fund
ECONOMIC DEVELOPMENT
SERVICES PORTFOLIO
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2015 KEY INITIATIVES: o
BUSINESS RETENTION r �'
Goal:
■ Retain existing businesses and assist in their expansions creating 50 new jobs and $5
million in private investment
Strategies:
• Meet with 75 businesses to better understand their companies and individual needs
• Create a business retention and expansion program connecting local businesses together
to help form symbiotic relationships
• Identify and connect resident service providers with local business to foster growth
• Design marketing materials to provide businesses with information about new available
programs
• Identify workforce needs to develop programs to fill employer gaps
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9/16/2014
10
2015 KEY INITIATIVES: Ili �OvTNat
SMALL BUSINESS DEVELOPMENT
Ip1 -
Goal:
• Development of 5 new small businesses
Strategies:
• Streamline of licensure process
• Development of "guide to opening a business"
• Translation of all Business development
materials into Spanish
• Acquisition of commercial space in target areas
• Development of business start -up workshops to
assist entrepreneurs in opening small businesses
• Formation of outside partnerships with SBA,
Score, chambers and 504 lenders
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2015 KEY INITIATIVES
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2. Connecting residents to econ opportunities
Goal:
• To develop new and expand existing workforce programs that will provide
training /placement to 85 residents
Strategies:
• Expanded SMART: Additional training and more manufacturers— 28 students
Recruitment & Vetting: Identify skilled workers for placement into the trades
unions — 25 candidates
Construction Trade - Skills Training: Training for lower skilled population to
prepare them for entry level trades positions. 8 -10 candidates
Minority Internship Initiative: Assist businesses with meeting diversity goals
and providing training and networking opportunities to local students -12
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9/16/2014
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City of South Bend
2015 Budget Overview
City of South Bend
2015 Budget Assumptions
• Flat property tax revenue expected
• 2% pay increases for all employee groups
• 19% health insurance increase charged to all departments
• No change in employer PERF retirement percentages
• 30 Dispatch Officers — PSAP consolidation — transferred to County
employment
• CNG initiative for new City vehicles
• General Fund and EDIT Fund in balance
9/16/2014
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400
350
300
250
200
iso
100
50
0
City of South Bend' " "`
:
2015 Proposed Expenditures
■ Other Costs
■ Internal Service Funds
■ Neighborhoods
■ Utilities
■ Economic Development
• Public Safety
• General & Administrative
Note:
Overall City Budget for 2015 is
$311,863,303
General & Administrative a4' -%q
2015 Proposed Expenditures By Department =:<
■ Mayor
14%
■ 311 Call Center
4%4 ■ City Clerk
■ Common Council
■ Administration & Finance
■ Legal Department
27% 19 ■ Human Rights
■ Human Rights - Federal
Grants
■ Information Technology
10% ■Debt Services
9/16/2014
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General & Administrative
Expenditure Summary
2014 to 2015 Comparison
2014 2015 2014 -2015 2014 -2015
Amended Preliminary Budget Percent
Fund Name Budget Budget ge Change
Change
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27th Payroll Costs 2014 -2015
Percent
Net 27th PR
Total 7 10.400.240 636.269 6,52% 166,912 4.91%
9/16/2014
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Purchasing /Diversity
A/F — Purchasing /Diversity
Budget Summary & Staffing
• Purchasing /Diversity is included in the Administration and Finance
budget in the General Fund.
• One full time employee (Purchasing Manager) and one part -time
employee (Diversity Compliance Officer).
9/16/2014
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A/F — Purchasing /Diversity
2015 — Diversity Compliance Officer
Job Responsibilities
• Administer vendor relations — Meet, greet, catalog the business types, and
educate vendors on "how to do business with the City ".
• Familiarize the City purchasing agents of the Ordinance. Maintain a list of
businesses for access by the Departments. Monitor the procurement process
to ensure M /WBEs are included in the quote processes.
• Administer the Computer Application that will automatically notify Vendors of
City procurement opportunities.
• In conjunction with the respective City Departments, generate the reports as
required by the Ordinance.
• Develop and monitor new statistics that will monitor the activities in the
procurement process.
• Represent the City's purchasing function to Diversity Utilization Board.
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A/F — Purchasing /Diversity
2015 — Diversity Compliance Officer
Relations With City Departments and the Diversity
Utilization Board
• Public Works is to administer public works quote /bid processes to support the
Ordinance requirements and goals. And to develop, monitor and report statistics
regarding these activities.
• Community Investment is to support the Ordinance through their development
community projects. And to develop, monitor and report statistics regarding these
activities.
• Administration and Finance, Legal, and Human Rights are good resources and will
remain available for consultation as required.
• Diversity Compliance Officer, in conjunction with these departments, will work
closely with the Diversity Utilization Board to oversee, implement and enforce the
Ordinance.
9/16/2014
16
DEPARTMENT OF COMMUNITY INVESTMENT
HOUSING PROGRAMS AND SERVICES
Housing Counseling
Homeowner Rehab
Purchase Assistance
Acquisition /Rehab /Resale
Rent Assistance /Special Needs
Homeless Shelter Operations
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DEPARTMENT OF COMMUNITY INVESTMENT
HOUSING PROGRAMS AND SERVICES
• The following is important to understand for all the programs
— All programs are funded, at least in part, with federal funds allocated to the City
— All programs must benefit low and moderate income persons ( exception Counseling)
— City and administering entity must follow funding source regulations
— Applicant household must meet federal income qualifications
— In addition there are specific guidelines for each program that must be followed
— Each program has its own timeframe and schedule
— Property to be addressed must be located in city limits of South Bend
9/16/2014
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DEPARTMENT OF COMMUNITY INVESTMENT:
HOUSING PROGRAMS AND SERVICES
Certified HUD Housing Counseling Agency
■ Mortgage Default and Default Resolution Counseling
■ Pre — Purchase & Non - Delinquency Post Purchase Counseling
■ Financial Management /Budget Counseling
• Non - Delinquency Post Purchase Counseling
■ Resolving /Preventing Mortgage Delinquency Workshops
■ Indiana Foreclosure Prevention Network /Hardest Hit Funds
Homeowner Rehab
South Bend Home Improvement Program (SBHIP)
Rebuilding Together
REAL Services
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DEPARTMENT OF COMMUNITY INVESTMENT:+'_
HOUSING PROGRAMS AND SERVICES
Purchase Assistance
Community Homebuyers Corporation(CHC) Homeownership Assistance
Program
Grant funds available as a forgivable loan equal to 20% of the purchase
price based on household income plus $1000 in closing costs
Requirements include counseling, on time payments, post purchase
training
Acquisition/Rehab/Resole
■ External non - profit partners complete rehabs for sale to low and
moderate income individuals /families
9/16/2014
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DEPARTMENT OF COMMUNITY INVESTMENT F
HOUSING PROGRAMS AND SERVICES "
• Rent Assistance
— Provided through external agencies only
— Multiple funding sources and programs
— Supports severely mentally ill, special needs populations and homeless
• Homeless Shelter Operations
— Emergency Solutions Grant funding
— Specific qualifications to be a funded shelter
— Must serve homeless as defined by federal government
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DEPARTMENT OF COMMUNITY INVESTMENT
HOUSING PROGRAMS AND SERVICES
South Bend Housing Counseling Housing Rehabilitation Programs
January 1, 2013 through August 22, 2014 January 1, 2013 through August 22. 2014
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9/16/2014
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2015 Vacant to Value Strategies .-
Goal:
• Create incentives for neighborhood stabilization and redevelopment
• Complete the 1,000 properties in 1,000 days initiative
Strategies
• Homeowner Rehab Grant Program: 9 properties @ $10,000
• Vacant Lot Competition: 2 parcels @ $5,000
• Blight Elimination Program and select City- sponsored demolitions
• Receivership Program
• Partner rehabs and new construction
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Count of Houses:
182 Houses Repaired
223 Houses Demolished
6 CDC Partner Houses
62 State Blight Elimination
Program
10 Houses Under Contract
for Deconstruction
115 Houses Under Contract
_ for Demolition
598 Total
9/16/2014
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Vacant to Value Resources & Partnerships
• Blight Elimination Program (BEP)
— State grant to assist with demolition
— 64 properties qualified
— Awarded June 26, 2014 $1,579,000
— Partnerships
• County
• Non - profits — Near Northwest Neighborhood Inc.,
South Bend Heritage Foundation, and Urban Enterprise
Association
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V &A Properties with Outcomes
Abandoned Properties r+ah Acton Taken „n '
February 27, 2013 through August 27. 2014
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9/16/2014
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Light Up South Bend
LaSalle Park Keller Park
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Existing Pole- Standard
9
Existing Pole- Standard
14
No Existing Pole- Standard
21
No Existing Pole- Standard
11
Decorative Lights
1
Decorative Lights
1
Total
Total
Development of Engineering Lighting Standards:
• Location of street lights verified
• Using ArcGIS, a radial buffer was created around
each street light to demonstrate the coverage area
for each light.
• major corridors in each area were given a 100 -
ft buffer radius
• minor streets were given a 125 -ft buffer radius
• New lighting was placed within identifiable gaps
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LaSalle Park C 2, •
Light Up South Bend
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TIF 4
�- ,a� = �. JJ�_ �+� +e►. �l Nil
9/16/2014
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9/16/2014
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Curb & Sidewalk
Keller Park
- r
9/16/2014
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Curb & Sidewalk
Condition Analysis
Exc e t
OS tE%
Very Good
6.10 22%
Good
11-20 n%
Fair
21-40 37%
Poor
41.80 15%
Very Por
81+ 8%
Sidewalk Pilot Rating System
401%
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co
30%
FM
■ � vvn vw
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20%
t0%
IL-
0%
cv~
9/16/2014
24
Curb & Sidewalk Program
750 Miles Citywide
^' 300,000 Feet in -
Very Poor Conditio ,Q ..�
"' 600,000 Feet i ` -
Poo'r"Condition .
m+Tr4,
Survey of 82 cities in 45 states
Donald Shoup, "Fixing Broken Sidewalks' Access, Spring 2010
9/16/2014
25
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Curb & Sidewalk
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• 2015 Program
— Focus on Very Poor
Condition -
- Council Helps Determine ;�!► ,• µ
Locations
— — 500 feet per Council -
Member
9/16/2014
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Curb & Sidewalk
IN
Sidewalks by District
9 1 it 6
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L*g*nd
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ComPI*W, Enttty ;�,. € a ; all
W cny di I
'1
- 's
(r• -
• Ao. Cmaaa —d
1 Yes. Cry
l District r
f
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O2 enrlawnsy Cane) OYtlC ,s _ 4.��
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06 Dnwa: 12
® Sidewalk Repair Locations for 2014
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Curb & Sidewalk
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• 2015 Program
— Focus on Very Poor
Condition -
- Council Helps Determine ;�!► ,• µ
Locations
— — 500 feet per Council -
Member
9/16/2014
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Safe Routes to Schools .
Coquillard Prim
HSIP Funding
• 9,000 feet of
Sidewalk
• $796,000
— 80/20 split
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Safe Routes to Schools.
Harrison Primary
HSIP Funding
• 101000 feet of
Sidewalk
• $872,000
— 80/20 split
9/16/2014
27