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RESOLUTION NO. 3255 1
RESOLUTION OF THE SOUTH BEND
REDEVELOPMENT COMMISSION MODIFYING AND CONFIRMING A
DECLARATORY RESOLUTION AND AMENDMENT TO THE
DEVELOPMENT PLAN FOR THE NORTHEAST NEIGHBORHOOD
DEVELOPMENT AREA ADOPTED BY THE SOUTH BEND E
REDEVELOPMENT COMMISSION
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WHEREAS, the South Bend Redevelopment Commission (the "Commission"),
governing body of the City of South Bend (the "City") Department of Redevelopment (the
"Department") and the Redevelopment District of the City of South Bend, Indiana (the
"Redevelopment District"), exists and operates under the provisions of the Redevelopment of
Cities and Towns Act of 1953 which has been codified in Indiana Code 36-7-14, as amended
from time to time(the "Act"); and
WHEREAS, the Commission on August 28, 2014, approved and adopted its
Resolution No. 3228 entitled 'Resolution of the South Bend Redevelopment Commission
Designating and Declaring Certain Areas as Redevelopment Areas and Adding Certain Territory (
from the South Bend Central Development Area for the Purpose of Amending the Boundaries of 1f
the Northeast Neighborhood Development Area and the Northeast Neighborhood Development
1 Area Allocation Area No.1 and Approving an Amendment to the Development Plan for Said
Area" (the "Declaratory Resolution"), a copy of which is attached hereto as Exhibit A; and
WHEREAS, the Declaratory Resolution (i) consolidated into the Northeast
Neighborhood Development Area (the "Northeast Neighborhood Area") certain territory of the
South Bend Central Development Area (the "Central Development Area"); (ii) designated and
declared certain areas, more particularly described in Exhibit A attached hereto, within the City
to be redevelopment areas and allocation areas for purposes of tax increment financing
(collectively, the "Expansion Area") to expand the existing Northeast Neighborhood Area;
(iii) transferred certain property previously included on the Central Development Area
acquisition list to the Northeast Neighborhood Area acquisition list; and (iv) approved an
amendment (the "Plan Amendment") to the development plan for the Northeast Neighborhood
Area (as amended by the Plan Amendment, such plan shall be referred to herein as the
"Development Plan"); and
WHEREAS, on October 21, 2014, the St. Joseph County Area Plan Commission
(the "Plan Commission") adopted and approved Resolution 237-14 constituting its written order
approving the Declaratory Resolution and the Plan Amendment, as required by Section 16 of the
Act (the "Plan Commission Order"); and
WHEREAS, on October 27, 2014, pursuant to Section 16 of the Act, the Common
Council of the City (the "Common Council") adopted its Resolution No. 4402-14, which
approved the Plan Commission Order; and
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j WHEREAS, the Commission caused to be published and delivered the notices
required by Sections 17 and 17.5 of the Act concerning the Declaratory Resolution and the Plan
Amendment; and
1 WHEREAS, at the hearing held by the Commission on the 10`h day of
November, 2014, at 9:30 a.m. (local time), in the Recital Hall in the Century Center Convention
Center, 120 South St. Joseph Street, South Bend, Indiana, the Commission heard all persons
interested in the proceedings and received written remonstrances and objections that had
been filed and considered those remonstrances and objections filed, if any, and such other
evidence presented; and
WHEREAS, subsequent to the adoption of the Declaratory Resolution, the
Commission has determined to rename the Northeast Neighborhood Area as the River East
' Development Area to more accurately describe the territory now included in the Northeast
Neighborhood Area as a result of the Declaratory Resolution and the Northeast Neighborhood
Allocation Area No.1 as the River East Allocation Area No.1 and to rename the Northeast
Neighborhood Development Area, Allocation Area #2 as the River East Development Area,
Allocation Area#2; and
WHEREAS, the Commission now desires to take final action determining the
public utility and benefit of the redevelopment and development of the Northeast Neighborhood
Area pursuant to the Development Plan, as amended by the Declaratory Resolution and the Plan
Amendment, and modifying and confirming the Declaratory Resolution and the Plan
Amendment in accordance with Section 17(d) of the Act;
NOW, THEREFORE, BE IT RESOLVED by the South Bend Redevelopment
Commission as follows:
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1. After considering the evidence presented at the hearing on the 10`h day of l
November, 2014, the Commission hereby confirms the findings and determinations set forth in 1
the Declaratory Resolution and the Plan Amendment with respect to the Northeast Neighborhood
Area, including the Expansion Area.
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2. The Commission adopts and confirms the Findings of Fact for the
Northeast Neighborhood Area, attached hereto as Exhibit B.
3. The Commission hereby finds and determines that it will be of public
utility and benefit to proceed with the Plan, including the Plan Amendment, in the form approved
by the Commission in the Declaratory Resolution.
4. The Declaratory Resolution and the Plan Amendment are hereby modified
to provide that the Northeast Neighborhood Area hereafter shall be renamed and known as the
River East Development Area and the Northeast Neighborhood Allocation Area No.1 and the
Northeast Neighborhood Development Area, Allocation Area #2 shall be renamed and known,
respectively, as the River East Allocation Area No.1 and the River East Development Area,
Allocation Area#2.
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5. The Declaratory Resolution and the Plan Amendment, as modified herein,
are hereby confirmed.
I 6. This Resolution constitutes final action, pursuant to Indiana
I Code 36-7-14-17(d), by the Commission determining the public utility and benefit of, and
I modifying and confirming as set forth herein, the Declaratory Resolution and the Development
Plan, including the Plan Amendment, pertaining to the River East Development Area, including
the Expansion Area.
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7. The Secretary of the Commission is directed to file and record the final
action taken by the Commission pursuant to the requirements of Indiana Code 36-7-14-17(d).
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ADOPTED AND APPROVED at a meeting of the South Bend Redevelopment
Commission held on the 10th day of November, 2014.
SOUTH BEND REDEVELOPMENT
COMMISSION
By:
President
ATTEST:
Secretary
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EXHIBIT A I
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1 DECLARATORY RESOLUTION
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RESOLUTION NO. 3228
RESOLUTION OF THE
i SOUTH BEND REDEVELOPMENT COMMISSION
DESIGNATING AND DECLARING CERTAIN AREAS AS
REDEVELOPMENT AREAS AND ADDING CERTAIN TERRITORY
FROM THE SOUTH BEND CENTRAL DEVELOPMENT AREA FOR
THE PURPOSE OF AMENDING THE BOUNDARIES OF THE
NORTHEAST NEIGHBORHOOD DEVELOPMENT AREA AND THE
NORTHEAST NEIGHBORHOOD DEVELOPMENT AREA
ALLOCATION AREA NO. 1 AND APPROVING AN AMENDMENT
TO THE DEVELOPMENT PLAN FOR SAID AREA
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1 WHEREAS, the South Bend Redevelopment Commission (the "Commission"),
1 the governing body of the City of South Bend, Indiana, Department of Redevelopment (the
"Department") exists and operates under the provisions of the Redevelopment of Cities and
Towns Act of 1953 which has been codified in Indiana Code 36-7-14, as amended from time to
time (the"Act"); and
WHEREAS, the Commission has previously designated and declared an area in
the City of South Bend, Indiana (the "City"), known as the Northeast Neighborhood
Development Area, which area has been amended from time to time (the "Original Area") as a
redevelopment area and as an allocation area for purposes of tax increment financing (the
"Original Allocation Area"), has adopted a Development Plan for the Original Area, which
development plan has been amended from time to time (the "Original Plan") and has established
an allocation fund for said Original Allocation Area; and
I WHEREAS, the Commission has previously designated and declared an area in
the City known as the South Bend Central Development Area (the"Central Development Area")
as a redevelopment area and as an allocation area for purposes of tax increment financing
("Central Development Area Allocation Area"); and
WHEREAS, the Commission now desires to amend the boundaries of the
Northeast Neighborhood Development Area to (i) include certain territory of the Central
Development Area, more particularly described in Exhibit A attached hereto and made a part
hereof (collectively, the "CDA Territory") and (ii) add certain territory, more particularly
described in Exhibit B attached hereto and made a part hereof (collectively, the Expansion
Area") (the Original Area with the CDA Territory and the Expansion Area being collectively
referred to as the "Area") (a description of the Area, after including the Expansion Area, is set
forth in Exhibit C attached hereto and made a part hereof); and
WHEREAS, the Commission desires to transfer certain property previously
included on the Central Development Area acquisition list (the "CDA Acquisition List"), as set I
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forth in Exhibit D, to the Area acquisition list (the "Original Are a Acquisition List") as set forth
in the Development Plan for said Area; and
s WHEREAS, the Commission desires to amend the Original Plan by (i) setting out
the boundaries of the CDA Area and the Expansion Area and (ii) transferring certain parcels of
property from the CDA Acquisition List to the Area Acquisition List (the "Plan Amendment"
1 and collectively with the Original Plan, the "Plan"); and
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WHEREAS, the Department, pursuant to the Act, has conducted surveys and
investigations and has thoroughly studied the Expansion Area; and
Ii WHEREAS, upon such surveys, investigations and studies being made, the
Commission finds that the Plan, including the Plan Amendment that is hereinafter adopted in this
1 Resolution, cannot be achieved by regulatory processes or by the ordinary operations of private
s enterprise without resort to the powers allowed under the Act because of lack of local public
1 improvements and multiple ownership of land and that public health and welfare will be
benefited by the accomplishment of the Plan Amendment for the Area; and
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WHEREAS, there was presented to this meeting of the Commission for its
consideration and approval, a copy of the Plan Amendment, which Plan Amendment is attached
hereto as Exhibit D and made a part hereof; and
I WHEREAS, the Commission has caused to be prepared maps and plats of the
Expansion Area, said maps and plats of the Expansion Area showing the boundaries of the
Expansion Area; the location of the various parcels of property, streets and alleys, and other
features affecting the acquisition, clearance, replatting, replanning, rezoning, redevelopment or
economic development of the Expansion Area; and the parts of the Expansion Area that are to be
devoted to public ways, levees, sewerage, parks, playgrounds and other public purposes under
the plans for the redevelopment of the Expansion Area as adopted herein; and i
WHEREAS, the Commission has determined that it currently does not intend to
acquire real property as part of the Plan Amendment adopted herein; and
WHEREAS, Section 39 of the Act has been enacted and amended to permit the
creation of allocation areas within an area needing redevelopment to provide for the allocation
and distribution, as provided in the Act, of the proceeds of taxes levied on property situated in an area, and the Commission deems it advisable to (i)provide for the consolidation of the
CDA Territory into the Original Allocation Area but retain the base assessment dates that exist
for the CDA Territory and (ii)expand the Original Allocation Area to include the Expansion
Area with a base date for such Expansion Area as determined by Section 39 of the Act; and
WHEREAS, in determining the location and extent of the Expansion Area, the
Commission has determined that no residents of the Expansion Area will be displaced by the
redevelopment thereof; and s.
WHEREAS, the Plan, as amended by the Plan Amendment, for the Area [!
1 conforms to other development and redevelopment plans for the City;
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NOW, THEREFORE, BE IT RESOLVED by the South Bend Redevelopment ' 1
Commission as follows: i
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1. The Commission hereby finds and determines that the Expansion Area is i
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an area needing redevelopment to an extent that cannot be corrected by regulatory processes or i
by the ordinary operations of private enterprise without resort to the powers allowed under the
Act, and that public health and welfare will be benefited by the redevelopment of the Expansion t
Area under the Act. t
2. The Commission hereby finds and determines that it will be of public
utility and benefit to (i) consolidate the CDA Territory into the Original Area and include the
Expansion Area in the Original Area to amend the boundaries of the Area as set forth herein;
(ii)redevelop the Area under the Act; and (iii)transfer property from the CDA Acquisition List
to the Area Acquisition List.
3. The Commission hereby finds and determines that the Plan Amendment
conforms to other development and redevelopment plans for the City.
4. The Plan Amendment is in all respects approved and is hereby
I incorporated as a part of the Original Plan for the Area, as amended.
5. The maps and plats of the CDA Territory and the Expansion Area showing
their respective boundaries, the location of the various parcels of property, streets and alleys, and
other features affecting the acquisition, clearance, replatting, replanning, rezoning,
redevelopment or economic development of the CDA Territory and the Expansion Area, and the •
parts of the Expansion Area that are to be devoted to public ways, levees, sewerage, parks,
playgrounds and other public purposes under the Plan, are hereby approved and adopted as the
maps and plats for the CDA Territory and the Expansion Area, respectively.
6. No property acquisition is included as part of the Plan Amendment for the
Expansion Area. The Commission has no present intention of acquiring any interest in real
property within the boundaries of the Expansion Area.
7. The Commission previously found and determined that for purposes of the
allocation provisions of Section 39 of the Act, the CDA Territory was part of a duly constituted
allocation area for purposes of the Act, which for purposes of the Act and this Resolution means
the CDA Territory shall continue to serve as an allocation area under the Act. The Commission
hereby finds and determines that the Original Allocation Area shall hereafter be deemed to
include the CDA Area. The various base assessment dates for the various portions of the CDA
Territory as previously established pursuant to prior actions of the Commission shall continue in
place with respect to the CDA Territory following consolidation of such CDA Territory into the
Original Allocation Area pursuant to this Resolution.
8. The Commission hereby finds and determines that for purposes of the
allocation provisions of Section 39 of the Act, the Expansion Area shall constitute an allocation
area for purposes of the Act and this Resolution.
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9. Such Expansion Area shall be designated as the "2014 Expansion
Allocation Area." The Original Allocation Area shall hereafter be deemed to include the 2014
Expansion Allocation Area (the Original Allocation Area as amended by paragraph 8 and the
2014 Expansion Allocation Area are hereinafter referred to as the "Allocation Area").
10. Any property taxes levied on property in the 2014 Expansion Allocation
Area in 2014 for collection in 2015, and thereafter, except as otherwise provided in Section 39 of
the Act, by or for the benefit of any public body entitled to a distribution of property taxes on
taxable property in the 2014 Expansion Allocation Area shall be allocated and distributed as
follows:
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(a) The proceeds of the taxes attributable to the lesser of: (i) the assessed
value of the property for the assessment date with respect to which the
allocation and distribution is made; or (ii)the net assessed value of all the
property as finally determined for the assessment date immediately
preceding the effective date of these allocation provisions (as adjusted
3 under Section 39(h) of the Act), which assessment date is March 1, 2014;
shall be allocated to, and when collected, paid into the funds of the
respective taxing units.
(b) The excess of the proceeds of the property taxes imposed for the
assessment date with respect to which the allocation and distribution is
made that are attributable to taxes imposed after being approved by the
voters in a referendum or a local public question conducted after April 30,
2010, not otherwise included in clause (a) shall be allocated to and, when
collected, paid into the finds of the taxing unit for which the referendum
or local public question was conducted.
(c) Property tax proceeds in excess of those described in clause (a) and clause
(b) shall be allocated to the Redevelopment District and, when collected,
paid into the Allocation Fund(as defined below).
(d) Proceeds distributed to the Redevelopment District pursuant to Paragraph
11(c) hereof, shall be deposited in the allocation fund previously created €'
and designated "City of South Bend, Indiana, Department of
Redevelopment, Northeast Neighborhood Development Plan, Allocation
Area No. I Allocation Fund" (the "Allocation Fund"), and may be used
only as provided in the Act, and more particularly to (i)pay the principal
of and interest on any obligations payable solely from allocated tax
proceeds which are incurred by the Redevelopment District for the
purpose of financing or refinancing the redevelopment of the Area;
(ii) establish, augment, or restore the debt service reserve for bonds
payable solely or in part from allocated tax proceeds in Area; (iii)pay the
principal of and interest on bonds payable from allocated tax proceeds in
Area and from the special tax levied under Section 27 of the Act; (iv)pay
the principal of and interest on bonds issued by the City to pay for local
public improvements in or serving Area; (v)pay premiums on the
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redemption before maturity of bonds payable solely or in part from 1
allocated tax proceeds in Area; (vi)make payments on leases payable
from allocated tax proceeds in Area under Section 25.2 of the Act;
(vii)reimburse the City for expenditures made by it for local public
improvements (which include buildings, parking facilities, and other items
described in Section 25.1(a) of the Act) that are physically located and
physically connected to the Area; (viii) reimburse the City for rentals paid
by it for a building or parking facility that are physically located and
physically connected to the Area under any lease entered into under I
Indiana Code 36-140; (ix)pay all or a portion of a property tax
replacement credit to taxpayers in Area as determined by the Commission
in accordance with the provisions of the Act; (x)pay expenses incurred by
the Commission for local public improvements that are in or serving Area
(public improvements include buildings, parking facilities and other items
described in Section 25.1(a) of the Act); (xi) reimburse expenses incurred
in training employees of industrial facilities that are located in Area and on
a parcel of real property that has been classified as industrial property
under the rules of the Department of Local Government Finance in accord
with the provisions of the Act; and (x) pay the costs of carrying out an
eligible efficiency project(as defined in Indiana Code 36-9-41-1.5) subject
to the restrictions set for in Section 39(b)(2)(c) of the Act.
provided, however, that if future uses of property tax proceeds allocated to the Allocation Fund
are authorized or permitted by amendments to the Act, including Sections 39 and 43, after the
effective date of this Resolution, those uses shall also be authorized or permitted for property tax
proceeds allocated to the Allocation Fund.
11. Except as provided in Section 39(g) of the Act, before July 15 of each
year, the Commission shall do the following:
(a) determine the amount, if any, by which the assessed value of the taxable
property in the allocation area for the most recent assessment date minus
the base assessed value, when multiplied by the estimated tax of the Area
will exceed the amount of assessed value needed to produce the property
taxes necessary to make, when due, principal and interest payments on
bonds described in Paragraph 11(d) plus the amount necessary for the
other purposes described in Paragraph 11(d); and
(b) provide a written notice to the County Auditor, the Common Council and
the officers who are authorized to fix budgets, tax rates, and tax levies
under Indiana Code 6-1.1-17-5 for each of the other taxing units that are
wholly or partially located within the Area. The notice must state the
amount, if any, of the amount of excess assessed value that the
Commission has determined may be allocated to the respective taxing fi!
units in the manner prescribed in Paragraph 11(a) or state that the
Commission has determined that there is no excess assessed value that be
allocated to the overlapping taxing units. The Commission may not
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Iauthorize the payment to the respective taxing units if to do so would
endanger the interests of the holders of bonds described in Paragraph
11(d) or lessors under Section 25.2 of the Act.
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I 12. "Property Taxes"referred to herein shall mean taxes imposed under IC 6-
1 1.1 on real property only.
13. The allocation provisions of Section 39 of the Act and as set forth above
shall, with respect to the 2014 Expansion Allocation Area, expire on a date which may not be
more than twenty-five (25) years after the date on which the first obligation is incurred to pay
principal and interest on bonds or lease rentals on leases payable from tax increment revenues.
14. The Commission finds that designating and declaring the Expansion Area
as an allocation area will result in new property taxes in the Area that would not have been
generated but for including the Expansion Area in the Allocation Area because of the lack of
local public improvements which has resulted in less than desirable private capital investment in
the Expansion Area as evidenced by the amount of vacant or underutilized properties in the
Expansion Area, lack of diversification of commercial and business investment and declining
assessed value of a significant number of properties located in the Expansion Area. The
Expansion Area has approximately thirty-five (35) vacant lots totaling 3.55 acres and one (I)
abandoned property.
15. The Secretary of the Commission is directed to file a certified copy of the
Plan Amendment with the minutes of this meeting. A"
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16. The officers of the Commission are hereby directed to make any and all
required filings and recordings with the Indiana Department of Local Government Finance, the
St. Joseph County Auditor and the St. Joseph County Recorder in connection with the actions of
the Commission contained in this Resolution regarding the Allocation Area, as amended hereby.
17. This Resolution, together with supporting data, shall be submitted to the
Area Plan Commission and the Common Council of the City, as provided by Sections 16 of the
Act, for the approval of this Resolution and the Plan Amendment, and if approved by both
bodies, this Resolution and the Plan Amendment shall be submitted to public hearing and
remonstrance as provided by Sections 17 of the Act, after public notice in accordance with
Sections 17 and 17.5 of the Act and Indiana Code 5-3-1 and after all required filings with
governmental agencies and officers have been made pursuant to Sections 17(b) and 17(c) of the
Act.
18. All orders or resolutions in conflict herewith are hereby rescinded,
revoked and repealed in so far as such exist. •
1 19. This Resolution does not affect any rights or liabilities accrued, penalties
incurred, offenses committed, or(except as otherwise provided herein)proceedings begun before 1
the effective date of this Resolution.
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Commission. 20. This Resolution shall be in full force and effect after its adoption by the
ADOPTED AND APPROVED at a meeting of the South Bend Redevelopment
Commission held on the 28th day of August, 2014.
SOUTH BEND
REDEVELOPMENT COMMISSION
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President , Marcia I. es
AT a ST:
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cretary, Donal. E. Inks
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EXHIBIT B
FINDINGS OF FACT
1 In accordance with IC 36-7-14 et. seq. (the "Act") and in support of the Declaratory Resolution,
as amended, and the Northeast Neighborhood Development Plan (the "Plan"), as amended by a
Plan Amendment (the "Plan Amendment") for the Northeast Neighborhood Development Area
(the "Northeast Neighborhood Area"), the South Bend Redevelopment Commission finds as
Ifollows:
II. The Plan Amendment for the Northeast Neighborhood Area promotes significant
opportunities for the gainful employment of its citizens and will encourage
attraction, retention, and expansion of businesses in the Northeast Neighborhood
Area.
) 2. The Plan Amendment for the Northeast Neighborhood Area cannot be achieved
by regulatory processes or by the ordinary operation of private enterprise because
of lack of public improvements, or other similar conditions without resort to the
Act.
3. The public health and welfare will be substantially benefited by the planning,
replanning, development and development of the Northeast Neighborhood Area,
including the Expansion Area, and accomplishment of the Plan Amendment for
the Northeast Neighborhood Area. The improvements in the Northeast
Neighborhood Area will facilitate attraction, retention, and expansion of
industries in the Northeast Neighborhood Area thereby benefiting the public's
health and welfare through job creation and expansion of the City of South Bend's
tax base.
4. The accomplishment of the Plan, including the Plan Amendment, for the
Northeast Neighborhood Area will be a public utility and benefit as measured by
the attraction and retention of permanent jobs and an increase in the property tax
I. base.
I. 5. The Plan Amendment for the Northeast Neighborhood Area conforms to other
development and redevelopment plans for the City of South Bend. The Plan
Amendment conforms to the Comprehensive Master Plan for the City of South
Bend, known as City Plan.
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6. The Plan Amendment is reasonable and appropriate when considered in relation
to the original Declaratory Resolution, as amended, the Plan and the purposes of
the Act.
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