HomeMy WebLinkAbout01.15.2015 Redevelopment Commission MinutesSOUTH BEND REDEVELOPMENT COMMISSION
REGULAR MEETING
January 15, 2015
9:30 a.m.
Presiding: Marcia I. Jones, President
227 West Jefferson Boulevard
South Bend, Indiana
The meeting was called to order at 9:32 a.m.
1. ROLL CALL
Members Present:
Members Absent:
Legal Counsel:
Redevelopment Staff:
Others Present:
Ms. Marcia Jones, President
Dr. David Varner, Vice President
Mr. Don Inks, Secretary
Ms. Valerie Schey
Mr. John Anella
Mr. Greg Downes
Mr. Benjamin Dougherty, Esq.
Mr. Brock Zeeb, Director
Mr. David Relos, Associate II
Ms. Debrah Jennings, Associate I
Ms. Tracy Oehler, Recording Secretary
Mr. Pete Buttigieg, Mayor
Mr. Scott Ford, Executive Director
Mr. Chris Fielding, Assistant Executive Director
Mr. Brock Zeeb, Director
Mr. Jitin Kain, Director
Ms. Elizabeth Leonard-Inks, Director
Mr. Aaron Kobb, Associate Ill
Mr. Eric Horvath, Director
Mr. John Voorde, City Clerk
Mr. Randy Rompola, Faegre Baker Daniels
Mr. Tim Firestone, Blackthorn Golf Course
Mr. Chris Keefer, Blackthorn Golf Course
Mr. Mark Seaman, Prism
Mr. Shawn Peterson, Union Station Technology Center
Mr. Zach Crenshaw, WSBT
Mr. Dan Schoenfeld, WNDU TV
Mr. Mark Peterson, WNDU TV
Ms. Erin Blasko
Mr. Conrad Damian
Ms. Mo Miller
South Bend Redevelopment Commission
Regular Meeting -January 15, 2015
Page 2
2. APPROVAL OF MINUTES
A. Approval of Minutes of the Annual Organizational Meeting of Friday, January 2,
2015.
Upon a motion by Secretary Inks, seconded by Vice President Varner and unanimously
carried, the Commission approved the Minutes of the Annual Organizational Meeting of
Friday, January 15, 2015.
3. APPROVAL OF CLAIMS
324 AIRPORT AREA
Abonmarche
Kolata Enterprise LLC
Hull & Associates
Faegre Baker Daniels
Meridian Title Corporation
Barnes & Thornburg, LLP
Interstate Environmental Services
Interstate Environmental Services
IDEM
420 FUND TIF DISTRICT-SBCDA
GENERAL
Faegre Baker Daniels
DTSB
429 FUND NORTHEAST DISTRICT
Christopher B. Burke Engineering, LLC
430 FUND SOUTH SIDE TIF AREA #1
Lawson Fisher Associates
Walsh & Kelly Inc.
33,325.00 Ignition Park Infrastructure Phase lC
1,605.00 Professional Services
460.00 General Consulting
4,674.88 Legal Services
676.00 Closing Costs Sale of Ardmore & Prast
1,818.15 Legal Services
Removal & Disposal Hazardous &
26,838.00 Nonhazardous Materials at Ivy Tower
75,898.92 Removal of Lead Based Paint at Ivy Tower
34.56 Remediation Agreement
4,090.08 Drive Approach at 730 S Michigan Street
3,083.37 Main/Jefferson & St. Joseph's Surface Lot
35,087.27 5 Points Utility Relocation Design
33A52.59 Roundabout Intersection
401,917.98 Fellow Street Roadway Improvements
622,961.80
Upon a motion by Secretary Inks, seconded by Vice President Varner and unanimously
carried, the Commission approved the Claims submitted January 11, 2015.
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Regular Meeting -January 15, 2015
Page 3
4. COMMUNICATIONS
Mr. Relos announced a thank you letter was received from Unity Gardens.
5. OLD BUSINESS
None.
6. NEW BUSINESS
Upon a motion by Commissioner Schey, seconded by Vice President Varner and
unanimously carried, the Commission moved to hear Agenda Item 6.F.(1) as the first order
of business.
F. Other
(1) Resolution No. 3267 -2015 Infrastructure Bond
Mr. Ford clarified that the City Cemetery, Museum Campus, and Leeper Park
properties will be included in the River West Development Area when the
Development Area Plan is updated.
Mayor Buttigieg expressed the Infrastructure Bond is a major priority of the
administration as it represents one of the most positive and high impact items for the
city of South Bend.
Mr. Ford gave an overview of the rationale and process of the 2015 Infrastructure
Bond. The bond amount is to be $25M inclusive of all transaction costs, capitalize
interest and debt service reserve fund, netting approximately $21.4M in proceeds
available for projects. The term of the bond is anticipated to be repaid over 20 years,
with a maximum lease rental payment of up to $1.9M per year. The bond sale is
scheduled to occur in the third week of March and closing the first to second week of
April.
A discussion followed between the Commissioners and staff regarding the net
proceeds, debt reserve, and how the Main and Madison improvements will be to
Chippewa Street. Additionally, a recommendation was made to postpone the Smart
Streets project and consolidate it with the Combined Sewer Overflow (CSO) project
for potential savings.
Commissioner Schey made the motion to table Resolution No. 3267 to prepare a
comprehensive capital plan which includes the CSO work Montgomery, Watson,
Hurza is currently preparing.
South Bend Redevelopment Commission
Regular Meeting -January 15, 2015
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Mr. Ford confirmed with Mr. Horvath the CSO work is not geographically aligned with
the Smart Streets project and by delaying the project, opportunity and transaction
costs would increase.
President Jones inquired if there was second for the motion on the table and then
stated without a second, the motion will not be considered.
Commissioners Varner, Inks, and Jones indicated their support of the project.
Upon a motion by Secretary Inks, seconded by Vice President Varner, the motion
passed 3-1 (Commissioner Schey dissenting and Commissioner Downes absent),
the Commission approved Resolution No. 3267 approving a proposed lease
between the Redevelopment Commission for certain interests in land and public
improvements, approving preliminary plans, specifications and cost estimates,
setting a Public Hearing on the proposed lease pursuant to Indiana Code 36-7-14-
25.2, and authorizing publication of the Notice of Public Hearing.
A. River East Development Area
None.
B. River West Development Area
Mr. Relos requested Items 6.8.(1), 6.8.(2), and 6.8.(3) to be considered
simultaneously.
Upon a motion by Vice President Varner, seconded by Commissioner Schey and
unanimously carried, the Commission approved Resolution No. 3263 approving the
fair market value; the bid specifications and design considerations; and the
authorization to publish the Notice of Intended Disposition of Property with
publication dates of January 23, 2015, and January 30, 2015, for Lot 5 of the
Coveleski Park Minor Subdivision.
(1) Resolution No. 3263 Approving the Fair Market Value of Property in the River
West Development Area (Lot 5 of the Coveleski Park Minor Subdivision)
(2) Bid Specifications and Design Considerations for Property in the River West
Development Area (Lot 5 of the Coveleski Park Minor Subdivision)
(3) Authorization to Publish the Notice of Intended Disposition of Property with
Publication Dates of January 23, 2015, and January 30, 2015 (Lot 5 of the
Coveleski Park Minor Subdivision)
South Bend Redevelopment Commission
Regular Meeting -January 15, 2015
Page 5
(4) Blackthorn Golf Course Purchase Agreement
Mr. Fielding stated the Purchase Agreement outlines the terms of the sale including
the transfer of ownership of the golf carts to the new owner; the purchase price of
$1.655 million to be paid in full at closing minus the earnest money held as
performance guarantee; the inclusion of a clause requiring the Commission's
approval for the sale of the course within the first three years; the inclusion of the
minimum maintenance standards for the course into the future; and the return of all
cash on hand, cash in accounts, and any vendor deposits to be returned to the
Commission. Closing is scheduled to occur prior to February 6, 2015.
A discussion followed between Commissioners and staff regarding the revenue
realized but not expensed will be credited towards the future gains and the proceeds
of the sale will be used to pay off the golf carts, with the Commission being
reimbursed for the costs by the buyer over the next three years ($40,000 year one;
$55,000 year two; and $70,000 year three).
Upon a motion by Vice President Varner, seconded by Commissioner Schey and
unanimously carried, the Commission approved the Blackthorn Golf Asset Purchase
Agreement.
(5) Renaissance District Environmental Funding
Mr. Zeeb stated on October 25, 2012, the Commission approved the Environmental
Indemnity Agreement for remediation of the Studebaker Building 84 site. Originally,
cost estimates were $3.3M. Additional funds of $605,000 are being requested to
complete the lead based paint removal.
Shawn Peterson, Union Station Technology Center representative, stated to date
$9.7M has been invested in capital investments, 51 new jobs have been created,
and 247 dumpsters of debris material has been removed from the building.
Upon a motion by Secretary Inks, seconded by Vice President Varner and
unanimously carried, the Commission approved the Renaissance District
environmental funding increasing the budget by $605,000 for a total remediation
cost of $4,380,000.
C. West Washington-Chapin Development
None.
D. South Side Development Area
(1) Economic Development Update
South Bend Redevelopment Commission
Regular Meeting -January 15, 2015
Page 6
Mr. Fielding gave an overview of Heraeus Kulzer, which is now owned by Mitsui
Chemical. The company has the opportunity to revolutionize digitized dentistry
products by expediting the process of producing dentures through computerized
scanning and 30 printing. Staff will be requesting up to $25,000 to be utilized on
extending the infrastructure increasing their connectivity. Additionally, a future tax
abatement will be requested for the 30 printers and scanners to be built at this
facility.
E. Douglas Road Development Area
None.
F. Other
(2) Resolution No. 3268 Setting February 12, 2015, Public Hearing for Additional
2015 Redevelopment Appropriations
Ms. Leonard-Inks stated Resolution No. 3268 will set the Public Hearing for
February 12, 2015, as additional appropriations are needed as the areas have
changed.
Upon a motion by Commissioner Schey, seconded by Secretary Inks and
unanimously carried, the Commission approving Resolution No. 3268 setting
February 12, 2015, as the Public Hearing for additional 2015 Redevelopment
appropriations.
Mr. Relos requested Items 6.F.(3) and 6.F.(4) to be considered simultaneously.
Upon a motion by Vice President Varner, seconded by Commissioner Schey and
unanimously carried, the Commission approved Resolution No. 3264 setting
procedures for Temporary Use Agreements and Resolution No. 3265 appointing
authorize representatives to conduct certain administrative acts relating to
Redevelopment property.
(3) Resolution No. 3264 Setting Procedures for Temporary Use Agreements
(4) Resolution No. 3265 Appointing Authorized Representatives to Conduct
Certain Administrative Acts Relating to Redevelopment Property
(5) Professional Services Proposal to Provide Corrective Property Deed Services
(Meridian Title)
Mr. Zeeb stated the Meridian Title professional services proposal will provide
corrective property deed services by changing the existing titles to consistently
reflect "Department of Redevelopment of the City of South Bend for use and benefit
of the department of Redevelopment", which State statute requires. Once
South Bend Redevelopment Commission
Regular Meeting -January 15, 2015
Page 7
completed, the County Recorder, Auditor, Assessor, and Treasurer's records will
match. In addition, it will allow staff to create a GIS layer which allows site selectors,
citizens, and staff to easily identify and track properties owned and for sale by the
Commission.
Upon a motion by Secretary Inks, seconded by Commissioner Schey and
unanimously carried, the Commission approved the Meridian Title professional
services proposal to provide corrective deed services in the amount of $5,000, with a
not-to-exceed amount of $10,000.
(6) Professional Services Agreement for TIF Maps (Danch Harner & Associates)
Mr. Kain stated the Danch Harner
& Associates professional services agreement is
for the creation and verification of map boundaries developed for the newly realigned
TIF areas thereby ensuring the legal descriptions of each area match the maps
created in the Geographical Information Systems software.
Upon a motion by Vice President Varner, seconded by Commissioner Schey and
unanimously carried, the Commission approved the Danch Harner & Associates
professional services agreement for TIF maps in the not to exceed amount of
$4,800.
7. PROGRESS REPORTS
Mr. Kain gave an update on Hill and Colfax, which successfully closed and is under private
ownership; the developer is expected to break ground on the project soon.
Commissioner Schey encouraged residents to attend the January 25th Common Council
meeting as the Council will have the second and third reading on the proposed $5.8M
Parks bond.
8. NEXT COMMISSION MEETING
Thursday, January 29, 2015, at 9:30 a.m.
9. ADJOURNMENT
President Jones adjourned the meeting at 10:45 a.m.