HomeMy WebLinkAbout11-25-13 Common Council Meeting Minutes REGULAR MEETING NOVEMBER 25, 2013
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,November 11, 2013 at 7:00 p.m.
The meeting was called to order by Council President Derek Dieter and the Invocation and
Pledge to the Flag were given.
ROLL CALL
COUNCILMEMBERS:
Present: Henry Davis, Jr. 2nd District
Valerie Schey 3rd District
Fred Ferlic 4th District
David Vamer 5th District
Oliver J. Davis 6th District, Vice-President
Derek Dieter At-Large, President
Gavin Ferlic At-Large
Karen L. White At-Large, Chairperson Committee of the Whole
Absent: Tim Scott ls` District
OTHERS PRESENT:
John Voorde City Clerk
Janice I. Talboom Deputy
Mary Beth Wisniewski Chief Deputy
Kathleen Cekanski-Farrand Council Attorney
REPORT FROM THE SUB-COMMITTEE ON MINUTES
Councilmember Varner made a motion that the minutes of the October 30, 2013, special meeting
and the November 11, 2013 meeting of the Council be accepted and placed on file.
Councilmember Schey seconded the motion which carried by a voice vote of eight (8) ayes.
SPECIAL BUSINESS
RESOLUTION NO. 4296-13 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND, INDIANA,
HONORING CHARLES BUTLER FOR HIS
ACTS OF HEROISM IN RESCUING A PERSON
FROM THE ENEMY OF FIRE AND SMOKE
Whereas, the South Bend Common Council notes that since March 28, 1831, the date when the
original plat of the town of South Bend was recorded, that there have been countless acts of
unsung heroism by residents and non-residents who have helped shape South Bend's proud
history; and
Whereas, the very fabric of our diverse community is based on persons who are selfless in their
daily actions and who do the right thing, especially in times of adversity; and
Whereas, the South Bend Common Council is proud to honor and commend a resident of our
neighboring City of Mishawaka, Charles Butler, who truly has become a local hero; and
Whereas, the Common Council notes that around midnight on October 15, 2013, smoke and
flames were engulfing a home located at 1628 South Leer Street in the City of South Bend; and
Whereas, Charles Butler just happened to be passing the home, and upon seeing the burning
structure took immediate action to rescue an elderly resident from the home before the South
Bend Fire Department firefighters arrived;
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REGULAR MEETING NOVEMBER 25,2013
Whereas, Charles Butler made this rescue without any protective fire gear and was miraculously
able to rescue the resident, with neither sustaining any serious personal injuries.
Now, Therefore,be it resolved,by the Common Council of the City of South Bend, Indiana, as
follows:
Section I. On behalf of the citizens of the City of South Bend, Indiana, the Common Council is
pleased to publicly commend, honor and congratulate CHARLES BUTLER from the City of
Mishawaka for his selfless acts of heroism in rescuing a resident of South Bend from his burning
home on October 15, 2013.
Section II. The Common Council sincerely thanks CHARLES BUTLER for his split section
decision to accept the risk and quietly and without fanfare save a person's life, before the
screaming sirens sounded; for which all of us are forever grateful.
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/Tim Scott, 1st District s/Oliver J. Davis, 6th District
s/Henry Davis,Jr., 2'"District s/Derek D. Dieter, At Large
s/Valerie Schey, 3`d District s/Gavin Ferlic, At Large
s/Dr. Fred Ferlic, 4th District s/Karen L. White, At Large
Dr. David Varner, 5th District Kathleen Cekanski-Farrand, Attorney
Attest: Approved this 2"d day of December, 2013
s/John Voorde, City Clerk s/Pete Buttigieg, Mayor of South Bend
Councilmember Valerie Schey offered her comments and thanked Mr. Butler for his selfless act
of heroism. She made the presentation for this Resolution by reading it in its entirety and
presenting it to Mr. Butler.
Mr. Butler thanked the Council for this honor. He stated that he did not think about being a hero,
it was just the right thing to do.
A Public Hearing was held on the Resolution at this time.
Fire Chief Steve Cox, 1222 S. Michigan Street, South Bend, Indiana, on behalf of the South
Bend Fire Department, I would also like to commend Mr. Butler for his selfless actions. Often
times in this day and age we hear about people not acting or standing by and watching things go
down. That was not the case in this situation this gentleman saw a life-threatening situation
didn't think twice about his own personal safety just jumped in and because of that a gentleman
is alive today. I would like to commend Mr. Butler.
Councilmember Dr. David Varner made a motion to adopt this Resolution by acclamation.
Councilmember White seconded the motion which carried.
RESOLUTION NO. 4297-13 A RESOLUTION OF THE COMMON COUNCIL
OF THE CITY OF SOUTH BEND, INDIANA,
HONORING THE JUNIOR PEEWEE
CHEERLEADING SQUAD FOR WINNING THE
REGIONAL CHEER AND DANCE
CHAMPIONSHIP AND ENCOURAGING THEM
TO DO THEIR BEST AT THE NATIONAL
CHEER AND DANCE CHAMPIONSHIPS AT
THE ESPN WIDE WORLD OF SPORTS
COMPLEX IN KISSIMMEE FLORIDA
DECEMBER 7— 14, 2013
Whereas, the South Bend Common Council notes that Pop Warner Spirit Program has provided
an opportunity since the 1970's for over 180,000 children to participate in Pop Warner
cheerleading and dance around the world, where new friendships are made and character is
developed while having fun in days filled with cheering and dance; and
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REGULAR MEETING NOVEMBER 25, 2013
Whereas, the Pop Warner Spirit Program provides an organized, supervised and safety-oriented
program which stresses the values of competition, of maintaining at least a 2.0 grade point
average, and encouraging each participant to give their best efforts while developing their skills
and talents; and
Whereas, Michiana Pop Warner was established in 2006 &is part of the Mid-America Region
Pop Warner which includes 12 states &more than 300 cheer& dance teams. The Michiana Pop
Warner Junior PeeWee Cheerleading Squad won 1st place on Sunday, November 10, 2013, at
the Regional Cheer& Dance Championships at Northern Illinois University, making them the
1st team from this area to win at this level; and
Whereas, the Junior PeeWee Cheerleading Squad will now compete at the National Cheer and
Dance Championships in Kissimmee, Florida, at the ESPN Wide World of Sports Complex on
December 7th through December 14th and will proudly represent our part of the State of Indiana;
and
Whereas, the South Bend Common Council proudly recognizes all of the Junior PeeWee
Cheerleading Squad members and their coaches for the many hours of practice and fun which
they have had at West Haven Park located behind Coquillard School, as they now prepare for the
Nationals.
Now, Therefore, be it resolved,by the Common Council of the City of South Bend, Indiana, as
follows:
Section I. On behalf of the citizens of the City of South Bend, Indiana, the Common Council is
honored to publicly commend and congratulate the student-athletes, coaches and supporters of
the 2013 Michiana Pop Warner Junior PeeWee Cheerleading Squad for coming in 1st at the
Regional Cheer and Dance Championships held at Northern Illinois University in DeKalb,
Illinois.
Section II. The Common Council thank all of the parents, friends and coaches of the Michiana
Pop Warner Junior Pee Wee Cheerleading Squad for their support, guidance and leadership;
and on behalf of all of the residents of the City of South Bend we wish you continued success as
you compete and proudly represent us in the National Cheer and Dance Championships in
Florida.
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/Tim Scott, 1st District s/Oliver J. Davis, 6th District
s/Henry Davis, Jr., 2nd District s/Derek D. Dieter, At Large
s/Valerie Schey, 3`d District s/Gavin Ferlic, At Large
s/Dr. Fred Ferlic, 4th District s/Karen L. White, At Large
Dr. David Varner, 5th District Kathleen Cekanski-Farrand, Attorney
Attest: Approved this 2nd day of December, 2013
s/John Voorde, City Clerk s/Pete Buttigieg, Mayor of South Bend
Councilmember Henry Davis Jr., made the presentation for this Resolution by reading it in its
entirety and presenting it to the members of the Junior Peewee Cheerleading Squad and Coach
Dander.
A Public Hearing was held on the Resolution at this time.
Councilmember's Oliver Davis and Derek Dieter offered comments and wished the squad the
best of luck at the National Cheer and Dance Championships in Florida.
Councilmember Dr. David Varner made a motion to adopt this Resolution by acclamation.
Councilmember Varner seconded the motion which carried.
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REGULAR MEETING NOVEMBER 25, 2013
ANNOUNCEMENT: REPRESENTING THE CITY ADMINISTRATION WILL BE CHIEF OF
STAFF KATHRYN ROOS
REPORTS OF CITY OFFICES —MAYOR PETE BUTTIGIEG
Mayor Pete gave an update on city activities.
RESOLVE INTO THE COMMITTEE OF THE WHOLE
At 7:03 p.m. Councilmember Oliver Davis 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 White, Chairperson, presiding.
Councilmember White, 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 White stated that a brochure may be found on the railing in the Council
Chambers explaining those procedures.
PUBLIC HEARINGS
BILL NO. 64-13 PUBLIC HEARING ON A BILL OF THE COMMON
COUNCIL OF THE CITY OF SOUTH BEND, INDIANA
AMENDING VARIOUS SECTIONS OF CHAPTER 17,
ARTICLE 2, OF THE SOUTH BEND MUNICIPAL
CODE TO ADJUST SEWER RATES AND CHARGES
INCREMENTALLY THROUGH 2017
Councilmember Schey, Chairperson, Utilities Committee, reported that this committee met this
afternoon on this bill and sends it to the full Council with no recommendation.
Eric Horvath, Director, Public Works, 13th Floor County-City Building, 227 W. Jefferson Blvd.,
South Bend, Indiana,made the presentation for this bill.
Chairperson White: For the public that is present, I would like to make mention that we have
had a number of meetings in which we have asked for public input regarding Bill 64-13.
Eric Horvath, Director, Public Works, 13th Floor County-City Building, 227 W. Jefferson Blvd.,
South Bend, Indiana, made the presentation for this bill. As you have indicated we have had a
number of meetings here. I would like to go over some detail again, and I'll try to be a little
more brief just so that folks who have not been a part of those meetings understand what we are
talking about. (Referring to Power Point Presentation) Here is a beautiful picture of the city and
we are finally realizing that the River that flows through the middle of the city is really just a
tremendous resource for us. It's an asset that we have to count on, in a way it has always been
an asset for the city,but 100 years ago it was an asset that it was basically a sewer pipe that took
the sewage away from our streets and out of the city. Over time we took and built a treatment
plant and starting intercepting some of those sewers and taking them off the river. But it's still
an issue today and it's something that we feel we need to protect and continue to try to make sure
that we are treating this as the asset that it is and terms of economic development for us as well
as the residential development you've seen occurring downtown along the river. So here's our
motivation, I mentioned before that there are 4,000 deaths each day from water borne illnesses,
that's South Bend's population in less than a month dies due to water borne illnesses. And so
it's something that we can take for granted from time to time, because we are very blessed with
having technology and systems in place that we are protecting human health and the environment
as much as possible. However,having said that, I think a lot of people when I talk to them are
amazed to understand that we have 60 to 70 times each year in a typical year that we've got these
sewer overflows that go into the river. So our system is got 36 different places in the City where
these overflows occur and as much as a billion gallons of sewage into the river each year which
is a tremendous amount of untreated sewage. Here is another part of our motivation (referring to
Power Point)We have a number of homes in the area that when these sewer surcharge backflow
into basements and we recently did a survey of some areas that we knew we had problems and
we surveyed 376 homes and 225 of those homes at least had 1 time a year that they had sewage
backing up in their basement. Many of those multiple times a year, so this is part of why we are
going to talk about the long Mini control plan and what the next steps are for us. To give you an
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idea briefly on what the sewer overflow looks like (referring to the Power Point) the image to the
left is under normal dry weather conditions the pipes are big enough to handle the overflow that
comes through them and those all go to the treatment plant, the water get treated, and then
discharged to the river in a clean state according to our NPDES Permit that we have. In wet
weather however, we get a rain event, this is the 60 to 70 times a year that this happens, the
sewer surcharges, so it can't handle all the flow, it backs up, and then spills over a dam and flows
into the river. The reason that we don't dam that up entirely because if it didn't overflow in the
river it would all overflow into people's basements, streets and other places that we would have
serious human health issues. So here is our system (referring to the Power Point) the red dots are
the 36 combined sewer overflows in the City. City limits is 40 square miles and half of our city
limits is still on a combined sewer system. The development of this plan goes back to 1989,
South Bend started study their CSO system as far back as then and really started in earnest
looking at their long term control plan in 2002. They were working with EPA and DOJ came in
and put a lot of pressure on actually everyone in the State to get these long term control plans
done and developed. In 2008, they started their technical plan and were negotiating level of
control with EPA and the Department of Justice and then in 2011, the end of 2011 signed the
consent decree on the long term control plan. So here is what our plan looks like (referring to the
Power Point) comparison to other plans about $40,000 on a cost per acre basis and we have
talked about this before but our population is small and we have such a large combined area our
cost per capita is very high, it's an issue that we're unfortunate to have, but nevertheless we need
to take responsibility for and address. So our plan basically requires us to develop and eliminate
these wet weather overflows at all times except for 4 times during a typical year. We can never
have dry weather overflows and when we do have wet weather overflows we've got to disinfect.
So we have to have some means of disinfection on the nine remaining overflow points that we
have during those four occurrences a year. So it will be significantly less than what we have
today. Some ask why not just eliminate them all, that was part of the alternative analysis that
they looked at and they looked at a number of different plans to try to get the cost down and do a
cost benefit analysis and to eliminate them all was I believe over a billion dollar issue and you
would have half of the city torn up just separating sewers or building huge tanks to store it. We
have talked about this as well we have do have some re-openers built into the plan. This is
something that we are serious about it reopening the plan, it is very difficult to have a 20 year
plan and not to expect there to be changes in it. So we know that there are going to be things that
we can do with green infrastructure and with technology that we can make improvements on the
plan and so we will continue to re-look at the plan and find better ways to implement this and
hopefully save some money in the process. So the next five years here's what we are looking at
in terms of requirements in our consent decree,by December 31, 2017 we need to have
completed all the Phase I Collection System Controls. So the Phase I stuff that we have been
talking about in separating sewers and trying to keep sewage out of basements according to the
consent decree needs to be done by December 31, 2017, these are all controls,projects that we
not only have in process but completed. Phase II controls upstream of the East Race we have got
to start by March 1, 2014 and Phase II storage tank at Leeper Park we have to have started by
March 1, 2017. So in the next number of years those are the key spots in the consent decree that
we have to meet otherwise we will have stipulated penalties associated not meeting those. So
here is our plan (referring to the Power Point) what we are proposing to do and the next steps.
#1 get the sewage out of the basement. There are a number of sewer separation projects that we
need to do in various parts of our community, addressing those 225 homes that we looked at and
surveys in getting that sewage out of their and reducing as such the overall amount of flow that's
going to be going to the system, reducing the overflows to the river and trying to keep as much
of this as we can going to the treatment plant. We know that we are going to have more flow
coming to the treatment plant and our consent decree requires us to change our treatment plant to
meet a peak flow of 100 million gallons a day. Right now we can meet a peak of 77 million
gallons a day and so that is also part of the first phase of projects that we need to do and we are
staring to move forward on and these would be all these project would be ones that we are
looking at doing in this time frame that we are talking about for rates in 2014-2017. So looking
at the, we recently updated our facility plan for the treatment plant and have a plan moving
forward on how do we get to a 100 million gallon per day plant facility. These are the phase I
plans/projects, you see the East Bank, part of that has been done, we still have to do East Bank
Five, Avenue has been done, we've got Oliver Plow, some work to be done there, Kensington
and the sewer separation projects that we talked about as well as Southwood needs to be done as
well sewer separation, and wastewater treatment plant upgrades that I discussed. So next steps
are also at the same time we are moving forward with the Phase I which we talked about getting
the sewage out of the basements and upgrades to the treatment plant we know that we've got
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REGULAR MEETING NOVEMBER 25,2013
these other projects that are huge projects that are 40 million dollar tanks there are large
interceptors that we have to build and we are saying before we do that let's get some smart and
make sure that we have the right data so that we recalibrate the model based on the M-Net
system that we have in place and these hundreds of monitors that we've got in our system we
now have better data than we ever had,because we are reading the flow and level of sewers
every five (5) minutes. And so, we can tell on certain rain events, we've got 9 different rain
gauges throughout the city, we can tell what that flow should be and so that will help us zone in
on how much flow we really need to control. So that we don't built a tank that is extra-large in
hopes that we are going to capture it all and spend 40 million dollars on a tank that we only need
to spend 30 million dollars on. So the next phase this coming this year will be recalibrating the
model,make sure that we know what types of flows we really need to capture and then looking
at what is the best solution based on that. Are there green infrastructure solutions that we could
put in place that will take some of that flow off of the system,maybe provide a community
benefit and allow us to make a much smaller tank and a much small interceptor sewer and so that
will be the next phase that we will do before we jump into Phase II projects. This is the
remaining capital costs we've talked about this that we are fighting inflation as we move
forward, so that it is something that we want to keep in mind that construction costs haven't gone
down they continue to rise so we need to pursue this pretty aggressively and try to get some of
these projects sooner rather than later. This is the cost of living index (referring to the Power
Point) that we shared before just to show that we are currently very, very competitive in terms of
utility rates as a whole in South Bend and this is something that is important for us to stay
competitive and that's what I think is everyone's fear is that we don't want to get to the point
where we are no longer competitive and nobody wants to develop here because it's just not a
good place to develop. So from and Economic Development standpoint this is something that
we need to continue to look at as how do we keep that utility cost of living index down. Here is
a quick comparison (referring to the power point) of where were currently are you can see these
are all of the cities and towns populations over 25,000 in the State of Indiana. South Bend's
combined rate is $55 per month and we've got about 22 of the communities that are higher than
us and about 13 that are lower. We are roughly in the middle of the pact for rates right now. So
here is our goal for the rate increase is to keep something over the next four(4) years is fairly
consistent in terms of average dollar amount per year increase, and so we are looking at a 9%per
year that will help us meet these regulatory requirements we have and meet the stipulated dates
that we have in the consent decree and stay financially sound. I think in addition to meeting
regulatory requirements we've said we believe this is the right thing to do. This is you know
tough choices nobody wants to see rates go up and I here that loud and clearly. But I think tough
choices now mean lower rates later. I think if you look at the numbers it will show that and so I
think it takes some courage that we need to step up and increase the rates to meet the needs of
not only this consent decree but really of our rate payers who are having sewage back up in their
basement and trying to meet the environmental health of the rivers and keep this as an asset for
us. I think punting means mean the burden on future generations and so that's why we are
looking at trying to move this plan forward aggressively now. Here's where we will be in the
next four(4)years given the rate increased that we have proposed (referring to the power point)
and this is showing us in relation to all other communities above 25,000 and where they
currently are. So this is assuming that none of these individuals have rate increases other than
South Bend, Indiana, and we know already that Evansville census data just implemented a 32%
for next year; 8% for the following year and 18% for the year after that. Many others are looking
at them as well. So I think that I will probably just wrap up, I don't think that I have anything
else, I think that I have covered all this. But I am happy to take any questions that you have, and
I've also have Jennifer Wilson here with me as well, with Crowe Horwath, who has done our
rate analysis and if there are any detailed questions on rates or how we came to those she would
be happy to answer them as well.
Chairperson White: I am going to go down the row and ask Councilmember's if you have any
questions pertaining to bill 64-13, comments that you would like to make in general can be made
after the public hearing.
Councilmember Oliver Davis: Thank you Mr. Horvath for your presentation. In your phases,
could you please, I have a couple of questions I have Councilmember White. Could you please
share with us in some more detail regarding your short and long-term plan that is in place to
widen and increase users that are currently on our system? As we talked this afternoon if we are
very serious about doing this and increasing our user's capacity it would help us in terms of the
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cost of our rates. So that is my first question. I have two others after that, but I will start with
that question. What is our short and long term plan to widen our users?
Eric Horvath: We all understand that sewers are a human health issue and we've got a number
of areas in our county and a couple areas in the city that currently don't have sewers that have
septic systems and a number of them would like to have sewers just a matter of finding a way a
mechanism to get them there without putting that burden on the rate payers and it's very difficult
depending on where they are for them to make it work financially to get the sewers out there.
But we've got a model in place now that seems to be working in our regional sewer district that
has been formed that now can help set their own rates and be a bulk discharger to us just like any
of our large users would be like IN-Tek, IN-Kote; Memorial. So the structure would be that they
would take a group of homes in the County and attach those to our sewer system and then start
paying sewer rates accordingly.
Councilmember Oliver Davis: Could you send us some detail regarding that structure that you
have in place, so that we can take our time to look over it. Because I think that is going to be
really important as we look at the issues. Another issue you talk about are we opening and
what's in place now regarding you or our attorney, I see present our corporate counsel, what is
going on right now in our legal department along with our public works area that is looking at re-
opening the case as soon as possible. What kind of conversations are you having with our
corporate attorney so that we can move forward with that? Because other cities have looked at
re-opening it and what currently are we doing in terms of meeting with our corporate attorney to
outline legal strategy so we can do this sooner rather than later.
Eric Horvath: To answer your question, part of it I answered already in the presentation, that the
first step and I didn't say this, but the first step really is looking at the model and is there a better
way to do it right. Because based on that answer it will determine how we move forward legally
with the EPA and the Department of Justice with this consent decree. It is a legal decree,right,
so if we don't move forward with the plan we could be held in contempt. We are going to
continue to move forward with the plan, but we are going to look at different ways to do it, and
then try to sit down with them and sell them on better and quicker, right? And, everyone who
has been successful has done just that,they've said we are going to show you a plan, it might be
less money, but it's going to get you environmental benefits quicker and it's going to get you
more environmental benefits.
Councilmember Oliver Davis: What chances?
Eric Horvath: It's premature for me to say how we will do that because the first question needs
to be answered and can't be answered until we look at what those flows are and we recalibrate
the model and then we re-do the plan and say can we in fact do it for less money and show them
that there is a benefit to them, to the EPA and the DOJ. If we can do that we can probably get
them willing to talk and open up the consent decree sooner as opposed to waiting until we've got
these re-openers built into the decree.
Councilmember Oliver Davis: So your recalibration issues and being able to get those numbers
back to us are you looking at 6 months; 9 months or a year, what are you looking at?
Eric Horvath: I would say probably a year.
Councilmember Oliver Davis: So we are looking at the end of 2014/2015 you can sit down with
the City legal team and look over those kinds of findings that you have and then make a plan.
Eric Horvath: That is correct.
Councilmember Oliver Davis: We talked about it earlier, in terms of the letter that I wrote to
you. When will you know that you will be able to give us a response to that letter, a written
response?
Eric Horvath: We could probably do that the beginning of next week.
Councilmember Oliver Davis: Again, for the public, could you just talk about why inflation
numbers were not included in the original numbers because of the fact that to me a lot of people
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say why inflation numbers weren't included when you are looking at a 15-20 year plan,
shouldn't that have already been calculated in that kind of a plan. When you are looking at
buying something that is on a long term basis you think about that down the road. Could
Jennifer share thoughts regarding that? And when you work with other cities consulting them do
you go over inflation cost earlier.
Jennifer Wilson, Crowe, Horwath: When these numbers were negotiated with the DOJ and EPA
it was done on a present value basis, so everything was back down into 2007 numbers. It was an
EPA mandated formula on how that calculation was done. So a lot of the items that we talked
about with the EPA was given to us on how we had calculated and it had to be in those present
value numbers and so that is why no inflation factor was involved because they wanted to see it
in those 2007 numbers.
Councilmember Oliver Davis: Is that standard practice then when you are consulting with others
cities? Then you come back later to talk about inflationary costs?
Jennifer Wilson: Well it was mandated whenever you were doing those negotiations that you
use that exact same formula. It was the exact same formula no matter what city that we went to,
you had to use that same EPA mandated formula and use present value numbers.
Councilmember Oliver Davis: Has the formula changed?
Jennifer Wilson: You are only able to inflate the numbers according to how the EPA lets you
inflate the numbers. So at that time we were using 2007 numbers and those are the numbers that
you have to use.
Councilmember Oliver Davis: I am talking about now,have they made any changes in the way
that they do their inflation calculations?
Jennifer Wilson: We would have to use the formulas that they would give us in order to do it. I
am sure that we would be able to bring it inflated up to this time period but we would have to
redo the numbers according to the mandate of how they tell us how to do it.
Councilmember Varner: I will put this in the form of a question. Since as you know Eric, is new
to this, while he has been an Engineer for a number of years, I think that you are probably aware
that we raised rates 32%not too many years ago, we raised them 25% another time, so I guess
what I am saying, I wonder if you know that? So we are going to deal with each other, I don't
want to talk about a lack courage, I think that 9%, 32%, 25% on going for the last ten (10) years
is an exhibition of willingness if not courage on the part of the Council to go along with the
project. But I think what has happened, from my perspective, is that no one on the Council ever
had a chance to participate in this, until the package was brought to us, and then we are told you
have to do this, you have to do this, you have to do this, always with threats, always with threats,
with fines, and all these other things. I think the people who have to show the courage are the
folks that have organized this and put it together have to find a way to get it done for less. Now,
if you are telling me and I believe that this was all part of the smart sewer system (M-Net)
program, then we are going to recalibrate this in a year, and see where we are, it just seems to
me, the time to take a big deep breath is right now, and say, let's find out where we can make
improvements, let's find out how much we can reduce this, let's find out what our options are?
Having set through four(4) or five(5) of these over the years, what I know is that there will be
some unknown circumstance in four(4) years when this is up again, which won't allow us to
reduce rates, and then in four(4) years there will be another deal which won't allow us to reduce
rates. I just don't see it, everyone seems to be so proud that this is so huge, and I think we ought
to be saying instead of we're proud, I think we ought to be saying how can we afford it, how can
the folks afford it, and how can we make this workable? I really think that this is where we have
let the community down. I don't fault anybody; I think that this is a deal that got out of control
and no one was going to put their foot down. So,there is no lack of courage here, there is a
genuine concern that this could really get out of control and I hope to help people understand
that, I hope that they appreciate it, and I hope that you take it with the sincerity that I offer not as
a criticism.
Eric Horvath: I understand.
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REGULAR MEETING NOVEMBER 25, 2013
it
Councilmember Dieter: Dr. Varner talked about a lot that I wanted to,but one question as you
said,tough choices now, lower rates later, when would later be?
Eric Horvath: I think you know what I meant by that is that if you do a rate sensitivity analysis
and you know assuming that there are certain projects that have to be done. I understand you
are saying lets question those assumptions and part of the plan, the reason that we are moving
forward with parts of it now are because they are the projects that were separating sewers and
they are the ones that are in the Phase I that we have to have done by 2017. So it makes me
nervous if we don't move forward that we are just not going to get there with all the projects.
What happens on the rate sensitivity analysis is that if you look at 9%raises over the next four
years then your subsequent raises to meet the capital needs of the plan are much less than that
and we showed the entire plan to and the rates and I think in year 16, year 15, one of them was
zero, one was 1%, so it went down significantly, if you do it the other way around, we did five
(5%) percent increases for the first half of the plan, we would end up with rates that would be
15%, 18% at the end and our total monthly charge would go from somewhere you know with the
plan that you've got in front of you and $95.00 a month, to somewhere in the realm of$130.00;
$140.00 per month depending on how you do it. That's what I meant by that, obviously, if you
raise rates, it's generating capital over 16 years as opposed to if you do it later, when it generates
it over the last period of the program.
Councilmember Dieter: I understand but when you say something like that, I interpret it and I
don't know if people paying that bill interpret it that you talk about the lower rates will
decreasing throughout the process of the entire project, when people I think the normal person;
lay person; they think lower rates okay, it's going be lower than what were are paying now or
whatever. Again, it's not anything indicative of all the, I think it's just Dr. Varner said we've
been going through this for a long time and this thing has exploded into something that I think
we can do, work harder and get something a lot better for the tax payers.
Councilmember Dr. Fred Ferlic: The only question that I have to ask really is, that I think your
analogy that it is going to cost us more later if we don't come up with it now is based on a$600
million dollar project. But if your project can be cheaper from the onset you may be better off to
slow it down now, and add on later. So I think that it's depends on how you interpret your
numbers obviously. I agree with Dave completely and I have a sense with talking to you over
the last two (2) months about this and you're willing to work with us for the betterment of the
city and I think that is the way we should go. So I agree with Dr. Varner and commend you for
willing to be opened minded about this whole thing.
Councilmember Schey: Eric, I will just reiterate what I had said in committee earlier today. I
think that with the federal mandate there aren't any members of Council here that would argue
that we do not want raw sewage running into the river, so we are of course going to support you
in all your efforts to remediate that issue. However, what I had mentioned earlier is there is the
need to have and there is the nice to have. And one thing that at least during my time on Council
I feel we haven't done we as a City maybe haven't done as good of a job as possible, is
separating those costs. There are the need to have's, there is the actually infrastructure that has
to be put in place to separate the storm water and sewage. But then there is the nice to haves and
those are the streets, the more elaborate streetscaping improvements that are done on the back of
the funding for the CSO project. And I think in the spirit of transparency and accountability we
are being a bit disingenuous when we tell the residence you know it's going to cost this much,
well the federal mandate portion to eliminate the sewer overflows yes, that is going to cost this
much,but the more embellished street scape replacements that are going in after the work has
been done, that's a nice to have. And, so in the spirit transparency and accountability we would
serve the community well by providing a more detailed analysis of those costs.
Council Attorney Kathleen Cekanski-Farrand: Mr. Horvath this presentation somewhat different
•
than what was presented at the last public hearing. Could you make sure that the City Clerk's get
a copy of it.
Eric Horvath: Absolutely, it's pretty close, but absolutely.
Council Attorney Kathleen Cekanski-Farrand and in particular the one thing is the slide number
8, there was a change to an item that's been under much discussion about meeting the Michigan
•
•
9 •
•
REGULAR MEETING NOVEMBER 25,2013
water quality standards which were eliminated from this presentation. So in light of the
discussion we have to have more information.
Eric Horvath: I took that out just because I think behind the whole thought that's what was
driving it, but there is nothing in the consent decree that says that. So I was just being honest
with the issue.
Council Attorney Kathleen Cekanski-Farrand: But at the last public hearing it was in the
presentation.
Eric Horvath: It was still in there, absolutely.
Councilmember Varner: There is nothing in the consent decree that requires a Michigan
standard?
Eric Horvath: What is requires is that we disinfect each of those overflows when they overflow.
That's what it requires.
Council Attorney Kathleen Cekanski-Farrand: However, at the last presentation it was listed.
Eric Horvath: Yeah, and the impetus's behind that when they were negotiating with the EPA
and DOJ and Jack can speak to this, was to meet the water quality standard at the Michigan State
line. What they did was a river model that looked at the water quality impacts on the River and
turned off all sources except South Bend CSO's and they said, does the river water quality meet
the Michigan standard at the Michigan state line if South Bend sewers are overflowing into the
river at the nine different places, the four(4) overflows per year. It didn't meet that.
Councilmember Varner: In reality you can't turn off all the other sources? If it rains from here
to Mishawaka then it's faulty and if we are using that to spend $40 million dollars per tank we
need to argue that. Enough common sense tells me that you can't use that as a model to lay this
on the City of South Bend,unless we offered to do that because somebody thought that might be
a neat idea. If we offered that to the EPA or something like that.
Chairperson White: I think we need to have that clarified, and also as we continue to move
forward that's an area where additional information is going to be needed.
Councilmember Oliver Davis: Because that's what he said was the impetus's behind it. But
there is a difference between what the impetus is behind and what's written it and legally
documented. That's what I wanted us to have a better understanding of that. Because the
impetus behind something is somebody's interpretation regarding at how we look at life and
everything. I know I didn't go to any law school, but there is a whole different ball game behind
that.
Eric Horvath: The wording didn't change, that we need to disinfect all of the overflows that we
have, okay, let's be clear about that. The consent decree requires every overflow be disinfected.
The reason that they were given was because it needs to meet water quality standards at the
Michigan State line. That hasn't changed.
Chairperson White: I am going to ask our attorney to go back and pull out those minutes when
we had the discussion about Michigan and the impact.
Council Attorney Kathleen Cekanski-Farrand: The concern that I have is that we want to make
sure that what is of record with the Office of the City Clerk is accurate. And at the last
presentation this slide that was given to the Council and the public stated disinfect overflows in
order to meet Michigan water quality standards at the state line. It was listed under the header; if
you go to slide eight you can see that you have disinfected overflows.
Chairperson White: So I am going to ask our attorney to work with the City Attorney and with
Eric to make sure that the language is in line with terms in the consent decree.
This being the time heretofore set for the Public Hearing on the above bill,proponents and
opponents were given an opportunity to be heard.
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REGULAR MEETING NOVEMBER 25, 2013
There was no one present wishing to speak in favor of this bill.
The following individuals spoke in opposition to this bill:
Mr. Davis: Who is going to keep time since Councilmember Scott is absent.
Chairperson White: I am going to ask Councilmember Ferlic to keep time.
Jesse Davis, P. O. Box 10205 South Bend, Indiana: I have played in sewers for 23 years in South
Bend, Mishawaka, Elkhart, so I know a whole lot about these people's basements that flood and
I feel real bad for them. But this has been an on-going problem for century, decades, for how
ever far back you want to look at it. This is not something that just came up to the City yesterday
and they said hey here's this decree you've got to do this tomorrow. We went through this with
Mayor Luecke's administration. I sat through many City Council meetings where sewer rates
were raised as Mr. Varner said. And all along we were told we are going to do this were going
to do that, well these people have been suffering with sewer water in their basements for many
years. They are not going to fix that overnight, there not going to fix that in the next four (4)
years by 2017, and if they are, I would really like to know how they plan to do that. As far as the
water going into the river it's been happening for a long time too and it needs to stop no doubt
about, but this is another one of those run away trains where we've got a City Administration
that keeps asking for more and more money and now they are talking about well you know we'll
see lower rates later. That's never going to happen man, that's just like the county wheel tax we
pay, that was supposed to be for a couple of years and it's been there forever. These rates are not
going to go down, they may not have as big of an increase ten years from now,but they are still
going to have an increase. So let's stop with the joking, let's stop with all the fancy glitter and
glitz on these projects and let's do what needs to be done because right now let's face it money's
still tight. The City claims they are tight on money, I know I am tight on money and so probably
every other person in this room. So let's do what need to be done, let's forget all the fancy stuff
that doesn't need to be done right now and get this problem solved.
Sam Brown, Citizens United for a Better Government, (no address given): Definitely on this
money issue I hope the Council will really take heed of this and see how much this is going to
cost us in the long run. And let's not just spend our money and through it out there like we have
a lot of money. I don't think this is something that should get passed right away we should just
really do a lot of research into this.
Barbara Jewel, 821 Gardner, South Bend, Indiana: There are actually three questions that I have.
First of all I want to say that water is probably the most important thing we should be talking
about. Because if we have bad water it is an extremely important medical problem that you will
have, we all have to have clean water. However, there is one thing that I would like to say I
know the bill is passed for the streets to be turned back into two-way streets it's a huge, huge
money problem that we have in South Bend. Too much money has been put into this there are
areas for the project that are very questionable, could some of that money be put into the sewer
project, is that even possible that it could be allocated for that? That's the first one, the second
one is I was looking at the way the interest was presented to us for 2014 the interest was
projected to be$3.64 per month, 2015 $3.96 per month; 2016 $4.32 per month; 2017 $471 raise
per month, and yet it was 9% per year or an average of$3.44 per month, it doesn't even make
sense. $3.44 per month right away for 2014 it's already projected to be $3.64 per month, it
doesn't even make sense. My last question is what about the areas out in the country that are still
South Bend for instance Auten Road that are on sewers, I know it was brought up I believe by
you Mr. Dieter, the ones that are on septic tanks, are they going to be forced to go onto sewers? I
know some of the ones along that area have enforced to go into sewers is that how some of the
money is now going to be gained by forcing those people to go in sewers? That is a lot of money
for each of those households to have to put in a sewer. That is a question that I would like to
know. I'm sure that those people out in those areas would like to know whether or not they have
to pay those bills to have a sewer system put in. Thank You.
Robert S. Rajski, 51778 Old Mill Road, South Bend, Indiana: To start out with, the rates that
they showed on the screen are different than the rates that we got through the mail. And I would
like to say you know when you retire you more or less like on a fixed income and to get an
$80.00 water bill it's kind of ridiculous because I know that includes your trash and all the other
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REGULAR MEETING NOVEMBER 25, 2013
stuff but the sewage alone was $45.70. Now, if you take or by the way I worked at the Water
Works for that must have been 14, 15 years ago, and I `m not trying to point fingers at anybody,
but there is a lot of money wasted, I think we should give somebody in there to monitor the
money that is going into these projects and see all the money that is wasted. The other thing is in
the summer time I just moved back to South Bend two (2) years ago my first water bill was $600
some dollars and I tried to explain to the people downtown that there must be some kind of
mistake. Downtown they said it must be a leak, somewhere and that what was causing the bill to
be so high. Well my sprinkling guy came out and checked it out, the city, Water Works came
out and checked the meter and everything and put new meters in there, I tried to explain to them,
did you ever get something that was new and you got problems with it? Well, it so happens that
the meter was messed up, I mean it was ridiculous, I mean finally, they were threatening to
charge me delinquent fees and all the other things,but we finally got that straightened out. But
the thing is you know it's ridiculous that you have to raise these rates so much when so many
things are being wasted, you know like I said you know $45.70 that's a good hunk of money for
a retired person to be paying. Like I said every water bill that must be like a standard rate and
the thing is it is just my wife and I in the house. So, it can't be that much sewage going down
there,but$45.70 must be a standard rate, is that right? I don't know? Every time I go down to
the Water Works I just want to strangle somebody because they don't want to understand
anything,they don't want to say that might be our mistake. Everything is the customer,the
customer, well, every time I had the meter people out there, or the sprinkling company comes
out, there are no leaks, I don't know where all this water is going to,but I know we are not using
it, and yet I'm still being charged for it. I think like in the summer time my water bill is higher
than my electric and my gas bill combined. I mean to me that is a little ridiculous. That's all I
have to say.
Chuck Kureth, 51775 Villager Parkway, Granger, Indiana: That is actually Clay Township,
between Hickory and Ironwood north of Cleveland and we are on sewer. I represent the Village
of Farmington Homeowners Association. We don't have an official position on this; I can tell
you that the general tenor is not favorable. We haven't taken an official position; we do have a
request though. Right now we, if there is a problem with the water line and it has to be fixed, we
are paying insurance, for insurance to cover that. We don't have the same privilege with the
sewer line. And if the rates are going to be raised we think that it's only fair that we also get
access to the sewer insurance. We're not sure how that process works, we have heard a couple
of different stories, and the one most recent one was that it requires an ordinance by the City
Council to include those areas outside of the boundaries of South Bend. It is our understanding
that inside the boundaries of South Bend, that insurance is available. We would like to have that
available because most of the people in the Villas are retired and an assessment for a sewer
repair would be very burdensome to them. Thank you.
Dave Stickle, 1308 Mishawaka Avenue, South Bend, Indiana: I have heard a lot of talk all
evening about money and about purification, and in the Mayor's report to the City, I heard the
word green technologies, alternatives, I also have heard a lot about building more tanks, larger
tanks, so on and so forth, for storage. I know for a fact that methane capture is the future for
alternative fuels. Now there has been no alternatives offered,the only thing that I have heard is
building and money. I haven't heard and maybe I've missed it and maybe it's part of a
presentation where I did not see it. But I haven't seen any alternatives to possibly add to this
situation at all. The city allocated quite a bit of money I understand to convert their cars and
some of their vehicles to LP. Methane capture can now be used for fuel, so I am just sort of
putting that as a question. I have seen no other presentation except the cost, and need for
purification. But over the top of all purification systems I am just going to say it in layman's
terms a"tent"you can draw off of that and some of that methane can be used in different areas.
So I just ask the question have any of those resources been considered in this equation.
Christopher Huff, 1831 College, South Bend, Indiana: I am neither speaking in favor nor in
opposition at this point. I do have several questions that I do not believe were addressed at all
during the presentations and I would like to hear some answers to them. #1 It was my
understanding that we are only using 2007 net present value dollars to project 22 years into the
future. Did I miss something along that line, or are all the costs in 22 years into the future up
until the year 2029 based on 2007 costs, if that is the case, then this is very, very disingenuous.
Hopefully I am wrong. #2 The rate changes are to pay for money, are these to be bonds, what
type of bonds, revenue, general obligation,hybrid, if they are bonds of some sort or another,
what are the anticipated rates, the terms and what are the basic tranches. How many bonds are
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REGULAR MEETING NOVEMBER 25, 2013
we talking about here, undoubtedly it won't be just one? Next, what is the percentage of sewer
rate payers that live outside the city but do not put out any storm water into those sewers? Next,
what are the general areas of basement flooding and based upon the money that we have already
paid to begin this project what percentage of those basements that have flooded in the past before
2011, what is the decline in the percentage of houses that have flooding in their basements? Also
we are talking about 60—70 overflow events per year hopefully that number has declined over
the last few years, what is the percentage decline in that problem. And that's enough for now,
thank you very much.
Chairperson White: Now we will go back to the administration for rebuttal. I have listed a
number of questions that were posed so I don't know at this time if the administration would
want to come back for a five minute rebuttal in terms of the questions that were asked. Some of
which could, some of the funds that have been allocated for the two-way street could some of
these be used to address the issue that is before us? The interest rates from 2014 until 2017 are
9% somehow the numbers did not add up to that? The rates are different than were presented on
the screen versus what was mailed. Is $45 or$47 dollars a standard rate? Use of Greentech and
other alternative means and 2007 net present dollars as we look 20 years out, what is the bond
type and rate? There are a number of questions, and I don't know at this point if the
administration would like to come back for a five (5) minute rebuttal and there are four(4)
additional questions as well.
Eric Horvath: I have some answers and I there are some that I can get you answers for. The
rates, I guess maybe if you want to start asking them one at a time.
Chairperson White: I don't know if the Clerk's Office was able to the garner some of these
questions as well? The first question was could some of the funds that have been allocated for
the two-way streets could they be used for this project?
Eric Horvath: Probably legally I'm guessing that they could. The idea is to take care of long
term control plan with sewer rates and so our proposal is that we would use sewer rates and put
the burden on the rate payers for the increase fees.
Chairperson White: The second question was the 9% if you were to go back screen, looking at
$3.64; $3.96;
Councilmember Oliver Davis: I don't think that they heard your first answer. The microphone
maybe a little (inaudible)
Eric Horvath: I think; I don't know that there is any legal reason not, we could address that with
the Council, yes.
Councilmember Dr. Fred Ferlic: I think the answer is that there is about $4.5 million dollars for
two-way streets the rest of it goes to Memorial etc. $600 million dollars, $4.5 million dollars,
even if you took away the two-way streets it's not going to make much difference. So it's
probably not a real important aspect.
Chairperson White: I am going to ask that the conversation stay at the Council level. There are a
number of questions; again I want the administration to have their 5 minute rebuttal. I would
recommend that the questions will be typed up and given to the administration, and that this
questions and the answers could be posted, but for the residents that are here at this time, you do
have five (5) minutes. And you can choose what questions you would like to respond to.
Eric Horvath: The average on just this slide(referring to the power point) for a point of
clarification, she's right, those four(4) years would not average out to $3.44 per month per year.
That's the average over through 2029 so that when we gave you guys that rate sheet that should
all the years through 2029 you take the average per year that's $3.44 per year. That's what I was
trying to show with that bullet. Rates in the bill, there is a component that goes up on the meter
and a component that goes up on the use and the component on the meter went up $1.32; the
component on the use went up $2.32, so the combined was $3.64 so it does match what was
given to them and sent to them in the mail. So those rates do match, it's just that you've got to
figure out how to calculate it based on, what we are talking about, and those rates based on an
average user which would be 600 eel Access to sewer insurance is something we can take a
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REGULAR MEETING NOVEMBER 25,2013
look at. We do currently have water insurance allowed for customers outside of the city limits.
We do capture methane and we've got digester's being rebuilt right now that the methane
capture will be used to power our C&G vehicles. The gentleman on College Street had a number
of good questions, we will have a series of bonds, those bonds would be yearly,those rates &
terms would vary depending on the time. We would look at either a sewer bond or a SRF Bond
depending on what conditions, whether conditions are favorable or not. Currently we have a
really strong financial position which puts us in a good position to get low rates on bonds. I
don't have an answer on percentage of basement flooding or percent of decline on overflows, but
I can get those answers to you.
Chairperson White: The number of sewer rates payers who live outside of the city.
Eric Horvath: Yeah, I did provide that before. I believe it's 4,000 of our 40,000 customers are
outside of the city limits or about 10%. I can verify that for you.
Chairperson White: We will make sure that the administration will get all the questions that
were asked during the public hearing portion. And would recommend that somehow these
questions could be made available to the public so that they know that we have heard the
questions and you can have the answers to those questions as well.
Councilmember Oliver Davis: Could we put them on our website?
Chairperson White: Yes.
Eric Horvath: The customer count by class inside the city limits is 36,476; outside city limits
3,591, so close to ten percent(10%), a little less.
Council Attorney Kathleen Cekanski-Farrand: Could you also supply a copy of this power point.
Eric Horvath: Absolutely.
Chairperson White: The public hearing portion is now closed. We will go down the line for
Council comments and then would like to entertain a motion.
Councilmember Henry Davis Jr.: Thank you Chairman White. As I stated before and this is
why I was asking Mayor Buttigieg to be at these conversations. Obviously these conversations
get a bit intense not only because of your presence, but you also provide a roll as a visionary for
the City of South Bend and what happens next and what's going to happen next as planning
takes place. When we are able to have those conversations and match them up with what's
happening now it gives the Council as well hopefully your office as well to put things in their
proper perspective or points or list them as priorities. It's not a way of taking attendance, it's just
a way of having a progressive conversation that is really not political but addresses the needs of
the citizens of South Bend. Based upon what we are looking at it is almost looking like water is
becoming a commodity here in South Bend. What I mean by that is that if you can look at the
some of the extreme cases across the city but I am going to start with District 2. You have folks
using water hoses from the neighbor's houses to help put water inside their houses because
clearly the water has been turned off somewhere and at some time and if we go with a rate
increase you are going find a situation where that water will never get turned on and you have
people who will probably will (inaudible) and you have here the situation with kids or whomever
don't have water,running water in their houses and how do they get it turned back on, if they
don't have any money and the rate has increased. I was also provided with probably a bit of a
solution, I don't necessarily know if this is a total solution, but having a tiered scale when we are
dealing with large consumers of water here in the city. We talked about this, there was a court
case some time ago and we kind of pulled back on it, I think that the more you use, the more you
should pay. Just because you use huge quantities, you shouldn't get a huge discount because you
use huge quantities, this is not Wal-Mart; this is not Sam's Club; this is South Bend, Indiana. So,
I am just really thinking about it. You stated earlier that 9.9%was the employment rate, I would
go for that right now,but when you talk about the chronically employment, you are probably
going to times this about 2, and then if you go into minority communities you could probably
times it by 3. And so you are going to be looking at a big situation with the haves and have
not's. And not having water says a whole lot about a city. I was just looking earlier at the
poverty rate, it's like 16% we really have to pay attention to what is going on with our residents.
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REGULAR MEETING NOVEMBER 25, 2013
II
We are not a boutique society unless we are trying to put a plan together to push all the people
who don't have out of the city on all for these faces for people who do have a lot of money. I
don't know if that is what South Bend is? Maybe that is the new South Bend that you talked
about when you were being sworn in at your swearing-in ceremony. I'm not sure, I'm just
really, really, disappointed that we are in a position right now that we are looking at people that
we serve not having any use to water. It doesn't look good, our senior citizens, I have many of
them in my district, I feel for them. Now, they probably will be really,really, choosing between
medications or paying the water bill. That's not what we should be doing and I would hate to
believe that we are going to be taxing people out of the city. I have heard that before, I didn't
believe it, never thought it would be true. But things like this and just the lack of or against
forwardness, or progressive conversation in making sure that we are hitting every point available
to make sure that this is being decreased it is not being done so I am probably offered to believe
that we are probably will be taxing people out of the city, they will probably just be moving out.
That is obviously not good for bringing in new business. I just have some real tough concerns
and the truth is that it is not anyone's fault in here, I would never place the blame individually on
anyone,but it is up to us to get it corrected. And I charge your office with that, obviously the
Council; we are in tuned to it. I just think that as a non-political issue, as a servant issue, as our
jobs we really, really, really need to look at what's going on out here. And those numbers that I
just ran off they are not getting corrected overnight and as a matter of fact they are not going to
get corrected over the next two nights, so we have to pay attention and we have to be very, very
mindful of the population that we serve.
Councilmember Schey: Thank you Chair Woman White, no questions.
Councilmember Ferlic: I don't think at 9% a year even if it decreases after while is sustainable.
We are all up here wanting to create jobs there is no company that is going to move in here that
is water dependent that's going to pay those kinds of water rates, when they can get them
cheaper elsewhere. So if our job is to create jobs, we have a tough road ahead of us, so I think
that it is mandatory like Henry said that we get together and try to solve this and I think we can.
Councilmember Dieter: Thank you, again I think that there is a lot of work that needs to be
done. I appreciate all the work that has gone into it, but there are questions that have come up
tonight from previous things or in some of the presentations, some of the numbers, again there is
just a lot more information that this entire Council needs to have and digest. So, hopefully, with
the questions that were asked and again I appreciate the citizens that came up with some very
good things that I hadn't thought of before. So again, more information from citizens, more
information from the Council to get some questions answered would be greatly.
Councilmember Varner: I think that we are beginning to have the discussion that could have
been had 8, 10, or 12 years ago, if someone had thought, gee it would be useful to have
Councilmember's as part of this planning process. I made that objection; I voiced that objection,
as long as 12 years ago because it is obvious that the Council is not part of it. No one thought it
was important. Everyone apparently just decided that we can train the Council to do what we
want them to do by threatening them with large projects and fines. If a Federal Judge sends me a
written order that says I have to agree to it, then I'll agree to it. I don't think that it has to get that
far, I think people just have to take it upon themselves to find a way to do this, if it's for new
technology, then its new technology. When you have a rate, a time and an interest factor and our
dollar costs are so much greater than everybody else then we either have to have some sort of
rate break or we have to have some sort of a tie break. If it's a 50 year infrastructure
improvement financing it for 20 years with cash and financing just doesn't make sense for the
current rate payers. So I'm not sure if it's financing, I'm not sure what is construction projects,
I'm not sure if it's just the plan in general. I think we definitely need more information on this
Michigan deal, because if we are doing something on the basis of a faulty model, it is very
expensive which amounts apparently to treating any of this (inaudible) I think we are doing a
tremendous disservice to the community, to saddle people in this community with exorbitant
rates and extra-ordinary construction project when some of it isn't necessary. So, I will bring
forth first a resolution next month that so states this and when we are through I would make the
recommendation that there has to be an increase.
Chairperson White: Why don't you hold that?
Councilmember Varner: Ok
15
REGULAR MEETING NOVEMBER 25,2013
Councilmember Oliver Davis: Okay, thank you Chairwoman. Two things: I look forward to
receiving since the first penny has been spent with this project the decline list that was mention
by I think Chris back there in the back. Since we had the rates of 30% in the past and the other
rates that the Council voted for over the past years and all that money has gone into different
projects from day one to now, what has been the progress regarding the homes across this whole
entire area that are no longer on the list of having any problems with sewer. I would like to look
at that and see how are money in the past has been invested. I close with this there was a
mention regarding punting, that we shouldn't punt, I like football and a coach knows that punting
is not a bad thing when you have proper clock management. Punting sometimes going for 4th
down and 10 when you are in the wrong sideline is not courage; it's an act that should cause
people to consider to be removed. And I do appreciate watching coaches when they have the
ball in a very dangerous position when they have good clock management punt the ball to give
their offense or defense more time to think things through and then come back out with proper
clock management and get their offense and score. If some of my favorite teams had done that
we would have probably won this past weekend but that didn't happened and so therefore, we
talked earlier this afternoon about three months, six months, looking at things we heard tonight
that we will hear better numbers possibly a year from now. That's not a lack of courage that's
could be punting the ball into a precise location where you have a better chance to win. And we
all want to win, the Administration, the Council, Crowe, all your people over there want to win.
And, so therefore I really think that we need to value what it means to have a good punter on the
team and punt and make sure that we punted in the right location give us some time to bring the
offense back out and then let's come back and win the game. Thank you.
Councilmember Ferlic: No comment.
Chairperson White: At this time I would like to entertain a motion.
Councilmember Dieter made a motion to continue this bill until the January 27, 2014.
Councilmember Schey seconded the motion.
Council Attorney Kathleen Cekanski-Farrand: Point of order, I would request that any motion
include that the Public Hearing be continued in the Council Portion Only, and that set for further
deliberation by the Council on January 27, 2014.
Councilmember Dieter: That's what I said.
Council Attorney Kathleen Cekanski-Farrand: And refer back to the Utilities Committee.
Councilmember Dieter: Go back to the Utilities Committee.
Councilmember Schey: Second.
Chairperson White: A motion has been made and it has been seconded.
Councilmember Oliver Davis: How does that relate Dr. Varner's Resolution that is planning to
bring.
Chairperson White: It can still bring it.
Councilmember Oliver Davis: Cool.
Chairperson White: A motion has been made, all those in favor of the motion may I hear your
vote. The motion carried by a voice vote of eight (8) ayes. This bill will be continued in the
Council Portion Only until January 27, 2014.
16
REGULAR MEETING NOVEMBER 25, 2013
BILL NO. 66-13 PUBLIC HEARING ON A BILL OF THE COMMON
COUNCIL OF THE CITY OF SOUTH BEND, INDIANA,
AMENDING CHAPTER 2, ARTICLE 8, SECTION 2-121
(a) OF THE SOUTH BEND MUNICIPAL CODE TO
REINSTATE ONE NON-DESIGNATED HOLIDAY
Councilmember Dr. David Varner, Chairperson, Personnel & Finance 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.
Mark Neal, City Controller, 12th Floor County-City Building, 227 W. Jefferson Blvd., South
Bend, Indiana, made the presentation for this bill.
Mr. Neal advised that this bill would amend the South Bend Municipal Code pertaining to
holidays for officers and employees of the City of South Bend. He stated that on December 10,
2012, the South Bend Common Council passed Ordinance No. 10211-12 which recognized Rev.
Martin Luther King's birthday as a designated holiday for City officers and employees. This
increased the number of designated holidays from nine to ten, and eliminated one-non-
designated holiday. The municipal code was amended accordingly. Mr. Neal stated that at this
time, to increase morale and better accommodate persons of all religions, Good Friday will be
eliminated as a designated holiday to be replaced by one non-designated holiday which can be
any day selected by each City officer or employee. This necessitates another amendment to the
Municipal Code, which will now provide for nine (9) designated holidays and one non-
designated holiday of each officer or employee's choice. He asked the Council for their
favorable consideration.
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 Dieter made a motion for favorable recommendation to full Council
concerning this bill. Councilmember Schey seconded the motion which carried by a voice vote
of eight (8) ayes.
BILL NO. 60-13 PUBLIC HEARING ON A BILL OF THE COMMON
COUNCIL FOR THE CITY OF SOUTH BEND,
INDIANA, APPROPRIATING $21,000.00 FROM THE
PALAIS ROYALE HISTORIC PRESERVATION FUND
(FUND 450) FOR REPAIRS TO THE HISTORIC
EXTERIOR/INTERIOR OF THE VENUE
Councilmember Henry Davis Jr., Chairperson, PARCS 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.
Dennis Andres, Executive Director, The Morris Performing Arts Center, 211 N. Michigan Street,
South Bend, Indiana, made the presentation for this bill.
Mr. Andres advised that this bill would appropriate $21,000.00 within the Palais Royale Historic
Preservation Fund, Fund#450 to allow repairs to the historic tone work on the exterior of the
Palais Royale building, and to reseal areas around existing windows, and to repair interior wall
damage that was caused by water seeping into the building from around exterior historic stone
work. Mr. Andres noted that the revenues for Fund#450 are generated from a 2% surcharge
assessed on all services provided in connection with the use and rental of Palais Royal facilities.
He asked the Council for their favorable consideration.
This being the time heretofore set for the Public Hearing on the above bill, proponents and
opponents were given an opportunity to be heard.
17
REGULAR MEETING NOVEMBER 25, 2013
There being no one present wishing to speak to the Council either in favor of or in opposition to
this bill, Councilmember Dieter made a motion for favorable recommendation to full Council
concerning this bill. Councilmember Oliver Davis seconded the motion which carried by a voice
vote of eight(8) ayes.
RISE AND REPORT
Councilmember Gavin Ferlic made a motion to rise and report to full Council. Councilmember
Oliver Davis seconded the motion which carried by a voice vote of nine(9) ayes.
ATTEST: ATTEST:
Tek-ii4(
John Voorde, City Clerk Karen L. White, Cha erson
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 8:53 p.m. Council
President Derek Dieter, presided with eight (8) members present.
BILLS—THIRD READING
BILLS—THIRD READING
ORDINANCE NO. 10272-13 AN ORDINANCE OF THE COMMON COUNCIL OF '
THE CITY OF SOUTH BEND, INDIANA, AMENDING
CHAPTER 2, ARTICLE 8, SECTION 2-121 (a) OF THE
SOUTH BEND MUNICIPAL CODE TO REINSTATE
ONE NON-DESIGNATED HOLIDAY
This bill had third reading. Councilmember Varner made a motion to pass this bill.
Councilmember Oliver Davis seconded the motion which carried. The bill passed by a roll call
vote of eight (8) ayes.
ORDINANCE NO. 10273-13 AN ORDINANCE OF THE COMMON COUNCIL FOR
THE CITY OF SOUTH BEND, INDIANA,
APPROPRIATING $21,000.00 FROM THE PALAIS
ROYALE HISTORIC PRESERVATION FUND (FUND
450) FOR REPAIRS TO THE HISTORIC
EXTERIOR/INTERIOR OF THE VENUE
This bill had third reading. Councilmember Varner made a motion to pass this bill.
Councilmember Oliver Davis seconded the motion which carried. The bill passed by a roll call
vote of eight (8) ayes.
RESOLUTIONS
RESOLUTION NO. 4298-13 A RESOLUTION OF THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND DESIGNATING A
CERTAIN AREA WITHIN THE CITY OF SOUTH
BEND, INDIANA, COMMONLY KNOWN AS 1028
NOTRE DAME AVENUE AS A RESIDENTIALLY
DISTRESSED AREA FOR PURPOSES OF A (5) FIVE-
YEAR RESIDENTIAL REAL PROPERTY TAX
18
REGULAR MEETING NOVEMBER 25, 2013
ABATEMENT FOR MARIA JOSE FERNANDEZ
MORENO& FRANCISCO DE ASIS MARTINEZ JEREZ
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 1028 Notre Dame Avenue, South Bend, Indiana, and which is more particularly described as
follows:
That part of the Northwest Quarter Section 1, Township 37 North, Range 2 East, Portage
Township, City of South Bend, St. Joseph County, Indiana, which is described as Lot`B" as
shown on the Plat of Boyd-Snee's Subdivision, First Replat recorded June 13, 2012 in the Office
of the St. Joseph County, Indiana Recorder as Instrument No. 1217686. Containing 0.19 acres
more or less. Subject to all legal right-of—ways, easements, and restrictions of record.
and this property has Tax Key Number 018-5105-370203, be 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 Investment 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 Investment 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:
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.
19
REGULAR MEETING NOVEMBER 25,2013
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 Investment 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 as shown by the attachment
pursuant to Indiana Code 6-1.1-12.1-17.
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 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/Derek D. Dieter
Member of the Common Council
Councilmember Gavin Ferlic, Chairperson, Community Investment 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.
Franciso de Asis Martinez Jerez, 50841 Ashford Lane, Granger, Indiana, made the presentation
for this bill.
Mr. de Asis Martinez Jerez: Maria Jose Fernandez Moreno and I are planning to construct a
3,800 square foot, single-family home. The cost of the home is approximately $550,000.00.
Total taxes to be abated during the five (5) year abatement period are estimated to be $1,893.00.
Total taxes to be paid during the five (5) year abatement period are estimated to be $34,827.00.
20
REGULAR MEETING NOVEMBER 25, 2013
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 Oliver Davis made a motion to adopt this Resolution.
Councilmember Dr. David Varner seconded the motion which carried and the Resolution was
adopted by a roll call vote of six (6) ayes and two (2) nays (Councilmember's Dr. Fred Ferlic and
Gavin Ferlic.)
BILL NO. 13-76 A RESOLUTION OF THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND DESIGNATING A
CERTAIN AREA WITHIN THE CITY OF SOUTH
BEND, INDIANA, COMMONLY KNOWN AS 1106
GEORGIANA STREET AS A RESIDENTIALLY
DISTRESSED AREA FOR PURPOSES OF A (5) FIVE-
YEAR RESIDENTIAL REAL PROPERTY TAX
ABATEMENT FOR KEVIN AND KELLEY DEETH
Councilmember Gavin Ferlic, Chairperson, Community Investment Committee, reported that
this committee held a Public Hearing on this bill this afternoon and voted to send it to the full
Council with no recommendation.
Council President Dieter: Council Attorney I don't believe we received a call from the
petitioners? Clerk Voorde?
Council Attorney Kathleen Cekanski-Farrand: I would recommend that the bill be continued
until the December 9, 2013 meeting of the Council.
Councilmember Oliver Davis made a motion to continue this bill until the December 9, 2013
meeting of the Council. Councilmember Varner seconded the motion which carried by a voice
vote of eight(8) ayes.
Council President Dieter: Then there will be a note or a call made?
•
Council Attorney Kathleen Cekanski-Farrand: The Clerk will do that.
BILL NO. 13-77 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 237
NORTH MICHIGAN STREET AN ECONOMIC
REVITALIZATION AREA FOR PURPOSES OF UP TO
A TEN (10) YEAR REAL PROPERTY TAX
ABATEMENT FOR GREAT LAKES CAPITAL
DEVELOPMENT
Councilmember White made a motion to continue this bill indefinitely. Councilmember Gavin
Ferlic seconded the motion which carried by a voice vote of eight (8) ayes.
RESOLUTION NO. 4299-13 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 215
NORTH SYCAMORE STREET AN ECONOMIC
REVITALIZATION AREA FOR PURPOSES OF A (5)
FIVE-YEAR REAL PROPERTY TAX ABATEMENT
FOR EAST BANK SOUTH BEND DEVELOPMENT
LLC
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 215 N. Sycamore St., South Bend, Indiana, and which is more
21
REGULAR MEETING NOVEMBER 25, 2013
particularly described as follows:
LOT NUMBER 9 OF EAST BANK TOWNHOMES MINOR SUBDIVISION LOCATED IN
THE NORTHWEST 1/4 SECTION 12, TOWNSHIP 37 NORTH, RANGE 2 EAST, CITY OF
SOUTH BEND, PORTAGE TOWNSHIP, ST. JOSEPH COUNTY, INDIANA, AND
RECORDED AS INSTRUMENT NO 1100776 IN THE OFFICE OF THE RECORDER OF ST.
JOSEPH COUNTY, INDIANA
and which has Key Number 71-08-12-127-004.000-026 at this point and time, 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 Investment 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 se ., 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 Investment 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;
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
22
REGULAR MEETING NOVEMBER 25, 2013
Community Investment 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(5) five years as shown by the attachment
pursuant to Indiana Code 6-1.1-12.1-17.
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/Derek D. Dieter
Member of the Common Council
Councilmember Gavin Ferlic, Chairperson, Community Investment 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.
Dave Matthew, 215 E. Colfax Avenue, South Bend, Indiana, Member, East Bank South Bend
Development, LLC, advised that he intends to construct a five-story mixed use building, 16,000
square feet, four (4) 1-bedroom; four (4) 2-bedroom and four (4) 3-bedroom condo like
apartments.
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 Oliver Davis made a motion to adopt this Resolution.
Councilmember Schey seconded the motion which carried and the Resolution was adopted by a
roll call vote of eight (8) ayes.
RESOLUTION NO. 4300-13 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 1106 20`h
STREET, 1112 20TH STREET AND 2007 NORTHSIDE
BLVD AN ECONOMIC REVITALIZATION AREA FOR
PURPOSES OF A (9) NINE-YEAR REAL PROPERTY
TAX ABATEMENT FOR MECCA COMPANIES, INC.
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 1106 20th Street, 1112 20`h Street, and 2007 North Side Blvd., South
Bend, Indiana, and which is more particularly described as follows:
PARCEL I: Lot Numbered One (1) and a lot or parcel of land 38.35 feet in width,
North and South, taken off of and
from the entire length of the North side of Lot Numbered Two (2) all as shown on the recorded
Plat of Riverview
Subdivision in the City of South Bend, St. Joseph County, Indiana.
PARCEL II: Lots Numbered Thirty (30) and Thirty-one (31) as shown on the recorded
Plat of B.F. Dunn's First
23
REGULAR MEETING NOVEMBER 25,2013
Addition to the Town of River Park,now within and a part of the City of South Bend, St. Joseph
County, Indiana,
together with the vacated alley lying in between said lots.
and which has Key Numbers 018-6135-4692, 018-6135-4694, and 018-6135-4696 at this point
and time, be designated as an Economic Revitalization Area under the provisions of Indiana
Code § 6-1.1-12.1 et sec ., and South Bend Municipal Code Sections 2-76 et seq., and;
WHEREAS, the Department of Community Investment 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 sec., 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 Investment 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;
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 Investment 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.
24
REGULAR MEETING NOVEMBER 25,2013
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(9) nine years as shown by the attachment
pursuant to Indiana Code 6-1.1-12.1-17.
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/Derek D. Dieter
Member of the Common Council
Councilmember Gavin Ferlic, Chairperson, Community Investment 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.
Kyle Bach, President & CEO, Mecca Companies, Inc., 911 Main St., Indianapolis, Indiana, made
the presentation for this bill.
Mr. Bach: I will keep it really brief, but I am excited to be presenting this proposal today,being
the fact that I grew up in the River Park Neighborhood and after leaving Nuner, went to
Washington High School, "Pride of the West Side." We are here today presenting a$7.5 million
total dollar investment into the community. I am excited about the opportunity of providing off-
campus student housing facilities for students at Indiana University South Bend, and anybody
else who want to partake in our facility. So I want to thank you for your time and I am here to
answer any questions that you might have.
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 Oliver Davis made a motion to adopt this Resolution.
Councilmember Schey seconded the motion which carried and the Resolution was adopted by a
roll call vote of eight (8) ayes.
RESOLUTION NO. 4301-13 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 212-220
WEST EWING AN ECONOMIC REVITALIZATION
AREA FOR PURPOSES OF A (7) SEVEN-YEAR REAL
PROPERTY TAX ABATEMENT FOR DEMBY
ENTERPRISES, LLC
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 212-220 West Ewing, South Bend, Indiana, and which is more
particularly described as follows:
Lots numbered four (4) through forty-eight (48), both inclusive, as shown on the recorded
plat of Stover- Longley Addition to the City of South Bend as platted by Silas E. Longley
and Burton H. Stover, which plat was recorded February 24, 1915 in Plat Book No. 9 at
page 187 in the Recorder's office of St. Joseph County, Indiana. Also the vacated alley
lying South of Lots 4 to 8, inclusive, in said Stover —Longley Addition and the vacated
alley lying East of Lots 28 to 46, inclusive, in said Stover-Longley Addition. Also the
South half of the vacated alley lying North of Lot No. 9 in said Addition, also, the whole
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REGULAR MEETING NOVEMBER 25,2013
of vacated Victoria Street as shown in said Addition; also, the whole of vacated Lafayette
Street lying between Ewing Avenue and Fairview Avenue in said Addition, excepting the
West half of that part of Lafayette Street which lies East of Lot Numbered 3 and the
North half of the vacated alley lying South of said Lot No. 3; the whole property herein
considered being bounded by a line running as follows: Beginning at the North-west
corner of Section 24, Township No. 37 North, Range No. 2 East; thence running South
1009 feet, thence East 384.7 feet to the West line of the right of way of the Vandalia
Railway; thence North with the said right of way 1009 feet to the North line of said
Section No. 24; thence West 383 feet to the place of beginning, excepting therefrom such
part of said real estate as is now occupied by Ewing Avenue and Fairview Avenue in said
city, excepting also a strip of land 7 feet in width, East and West, taken off from the
entire length of the West side thereof, heretofore conveyed as the East half of a public
alley and excepting also the following: Beginning at a point on the present South line of
Ewing Avenue 7 feet East of the West line of said Section No. 24; thence running East
149 1/4 feet to the center of vacated Lafayette Street; thence South 107 feet to a point in
line with the centerline of the alley lying between Lots 1,2,3 and 9 in said Stover-Longley
Addition; thence West 149 3/4 feet to the East line of said Stover-Longley Addition;
thence North 107 feet to the place of beginning.
and which has Key Number 71-08-24-101-003.000-026, 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 Investment 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 sec., 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 Investment 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;
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
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REGULAR MEETING NOVEMBER 25,2013
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.
ii
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 seven (7) years as shown by the attachment
pursuant to Indiana Code 6-1.1-12.1-17.
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/Derek D. Dieter
Member of the Common Council
Councilmember Gavin Ferlic, Chairperson, Community Investment 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.
Jeff McGowan, Taxpayer Representative for Demby Enterprises, LLC, Kruggel, Lawton, 210 S.
Michigan St., Ste. 200, South Bend, Indiana, quickly Demby Enterprises would request an
abatement for$1.8 million dollars to rehabilitate and improve a cold storage warehouse facility
that is leased to Plumrose USA a bacon and meat processor manufacturer. Demby Enterprises
did have a substantial fire loss in November 2012 and as a result of the fire loss did have to pull a
fire permit, but no permit has been pulled in regards to the$1.8 million dollar projected cost of
the rehabilitation. I do have one report error or something that I would like to fix, is that
something I give to you or just say now?
Council Attorney Kathleen Cekanski-Farrand: I would fix it now.
Mr. McGowan: Okay, on page 2 of the Tax Abatement Report its states that the petition intends
to basically return the building to its use and the abatement request is for not just a return, but it
is an improvement, one that utilizes hot air technology with significant water savings.
Councilmember Oliver Davis: Sewer
Mr. McGowan: Absolutely, that's right. I would also like to make a correction as far as the
employment numbers. I don't know if it was clear in there, but under the employment impact
the current Plumrose will retain the 23 existing full-time position with $890,000.00 of annual
payroll and the addition of two (2) additional jobs which will add$67,000.00 to that payroll.
They are seeking a seven (7) year tax abatement for this real property during the abatement
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REGULAR MEETING NOVEMBER 25,2013
period they will pay$297,000.00 of which the abatement amount will be $161,000.00. I have
with me the co-managing members of Demby Enterprises of the Annette Demby Trust, Ben
Silver and Joshua Silver if you have any questions.
Councilmember Henry Davis, Jr.: A real quick question and I don't know if you can answer this
or the managing partner. I just really see this as being a great opportunity for South Bend. We
always talk about jobs and we never say good jobs or this is a good employer for good jobs,
manufacturing based, low scale, to mid-grade scale, they pay pretty good wages as well, so these
are things that we really need to concentrate on in the city, so our people are employed at a level
so that they can take care of a house,household or mortgage or both. And my question right
now I guess Mark Neal, or even Oliver Davis, because this is you area as well, in the ongoing
conversations about expansion or helping to support expansion or helping to support expansion
of businesses like this probably would be one of our better ways of getting more jobs here that
are sustainable than what we think that we are doing with new restaurants and all this other stuff.
Not to say that they don't deserve a place, but these places who employ people that will eat at
those restaurants. So you know it's one of those deals, so thank you, for the investment, but I
think that the conversation needs to happen, Councilmember, Administration with folks like that
to see how we can help them expand.
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 Schey 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
eight(8) ayes.
RESOLUTION NO. 4302-13 A RESOLUTION OF THE COMMON COUNCIL OF
THE CITY OF SOUTH BEND, INDIANA, TO APPOINT
THE BOARD OF PUBLIC WORKS AND THE
DEPARTMENT OF PUBLIC WORKS AS ITS AGENTS
FOR OVERSEEING THE GUARANTEED ENERGY
SAVINGS CONTRACT FOR THE CENTURY CENTER
Whereas, in 1982, the South Bend Common Council passed Ordinance No. 7108-82
which provided among other things that a South Bend Civic Board of Managers would be
continued for the "...purpose of supervising, managing, operating, and maintain Century Center
and its programs..."pursuant to Indiana Code § 36-10-2-5; and
Whereas,the City of South Bend is interested in upgrading and implementing more
energy efficient programs and equipment in the Century Center in order to conserve energy and
energy costs; and
Whereas,pursuant to Indiana Code § 36-1-12.5-5, the Common Council is authorized to
enter into an agreement to participate in a utility efficiency program or a guaranteed savings
contract in order to implement energy savings measures; and
Whereas, the South Bend Common Council does not have its own staff with the technical
expertise and experience to evaluate potential proposals and to supervise a Guaranteed Energy
Savings Contract for the Century Center; and
Whereas, on August 21, 2013, the Century Center Board of Managers adopted a
resolution which authorized the appointment of a committee to review response to a request for
qualifications for a Guaranteed Energy Savings Contract and a draft of a"Request for
Qualifications for a Guaranteed Energy Savings Contract: Century Center" with copies of those
documents attached for informational purposes to this Resolution.
Now, Therefore, Be It Resolved by the Common Council of the City of South Bend,
Indiana, as follows:
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REGULAR MEETING NOVEMBER 25, 2013
Section I. The South Bend Common Council hereby believes that the following
guidelines and policies are in the best interests of the City of South Bend, Indiana, in order to
advance potential energy efficiencies and energy savings at the Century Center:
1. The Board of Public Works and the Department of Public Works of the City of South Bend,
Indiana, shall be the authorized agents for the South Bend Common Council for purposes of
meeting the provisions required of Indiana Code § 36-1-12.5-5, and other Indiana laws leading
up to the final review of and the execution by the South Bend Common council of a Guaranteed
Energy Savings Contract for upgrading and implementing more energy efficient programs and
equipment in the Century Center in order to conserve energy and energy costs. Such
authorization would include without limitation the preparation of specifications, evaluation
criteria, and advertisement for proposals, opening of proposals, evaluating proposals, rejecting
non-responsive proposals, and making advisory recommendations to the Common Council.
2. The Board of Public Works and the Department of Public Works shall make an advisory
recommendation to the South Bend Common Council concerning the selection of a company to
contract with for an Energy Savings Contract, with the South Bend Common Council retaining
the sole and exclusive authority to enter into such a contract.
3. The Board of Public Works and the Department of Public Works are authorized to supervise
all work done on the Guaranteed Savings Contract concerning the Century Center, including the
power to authorize change orders.
4. The Board of Public Works and the Department of Public Works shall report to the South
Bend Common Council via the Parks, Recreation, Cultural Arts & Entertainment Committee and
at a regular Common Council meeting under"Special Business" as requested by the Council,
and to any scheduled meetings between any company which submits a proposal and a member of
the Board of Public Works or a Department of Public Works employee.
Section II. This Resolution shall be in full force and effect from and after its adoption by the
Common Council and approval by the Mayor.
• s/Derek D. Dieter
Member of the Common Council
Councilmember Henry Davis, Jr., Chairperson, PARC 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.
Ann-Carol Nash, Assistant City Attorney, 12th Floor County-City Building, 227 W. Jefferson
Blvd., South Bend, Indiana, made the presentation for this bill.
Ms. Nash advised that they had a little debate who might be presenting this,but I appreciate that
Mr. Davis was actually the person who helped usher this through and I think Council Attorney
Farrand also was the person who helped with this so much. As Council is probably well aware
the Century Center Board of Managers hopes to enter into a Guaranteed Energy Savings
Contract, and it wants to do adequate research and obtain as much information as possible from
potential contractors and so our office has been working with Jonathan Burke from the public
works and with Scott Herczeg and other people in order to prepare a request for qualifications
and as part of the process, actually the most important part of the process, is that the Council will
ultimately need to enter into the guaranteed energy savings contract on behalf of Century Center
. Board of Managers and this resolution is to allow the Board of Public Works to do the working
out of that contract and to do that on behalf of the Common Council. If there are any other
questions I would be glad to try to answer them. But we also have Scott Herczeg(inaudible)
from Century Center, and of course Councilmember Davis is familiar with this as well.
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 Oliver Davis made a motion to adopt this Resolution.
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REGULAR MEETING NOVEMBER 25, 2013
Councilmember Schey seconded the motion which carried and the Resolution was adopted by a
roll call vote of eight (8) ayes.
BILLS - FIRST READING
BILL NO.67-13 FIRST READING ON A BILL OF THE COMMON
COUNCIL OF THE CITY OF SOUTH BEND, INDIANA,
SETTING THE FINAL INTERFUND LOAN
AMORTIZATION SCHEDULES FOR MAJOR MOVES
FUND 412 ADVANCES TO THE NORTHEAST
RESIDENTIAL TIF FUND 436 IN CONNECTION WITH
THE EDDY STREET COMMONS AND TRIANGLE
DEVELOPMENT PROJECTS
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
December 9,2013. Councilmember White seconded the motion which carried by a voice vote of
eight (8) ayes.
(Councilmember's Gavin Ferlic and Oliver Davis left the Chambers at this time.)
BILL NO. 68-13 FIRST READING ON A BILL OF THE COMMON
COUNCIL OF THE CITY OF SOUTH BEND, INDIANA,
AMENDING CHAPTER 9, ARTICLE 5 OF THE SOUTH
BEND MUNICIPAL CODE ADDRESSING
HAZARDOUS MATERIALS AND TACTICAL RESCUE
TEAM
This bill had first reading. Councilmember Varner made a motion to refer this bill to the Health
& Public Safety Committee and set it for Public Hearing and Third Reading on December 9,
2013. Councilmember White, seconded the motion which carried by a voice vote of six (6) ayes.
BILL NO. 69-13 FIRST READING ON A BILL OF THE COMMON
COUNCIL OF THE CITY OF SOUTH BEND, INDIANA,
AMENDING VARIOUS SECTIONS WITHIN CHAPTER
4, ARTICLE 4 OF THE SOUTH BEND MUNICIPAL
CODE REQUIRING ELECTRONIC REPORTING OF
TRANSACTIONS BY PRECIOUS METALS DEALERS
REGULATED IN SECTION 4-44, BY SCRAP METAL
DEALERS, JUNK DEALERS, VALUABLE METAL
DEALERS AND RECYCLING OPERATIONS
REGULATED BY SECTION 4-51 AND BY
SECONDHAND STORES REGULATED IN SECTION 4-
53
This bill had first reading. Councilmember White made a motion to refer this bill to the Health
&Public Safety Committee and set it for Public Hearing and Third Reading on December 9,
2013. Councilmember Henry Davis, Jr., seconded the motion which carried by a voice vote of
six (6) ayes.
(Councilmember Dr. Fred Ferlic left the Chambers at this time.)
BILL NO. 70-13 FIRST READING ON A BILL OF THE COMMON
COUNCIL OF THE CITY OF SOUTH BEND, INDIANA,
AMENDING CHAPTER 2, ARTICLE 8 OF THE SOUTH
BEND MUNICIPAL CODE BY THE INCLUSION OF
NEW SECTION 2-116.1 CITY RESIDENCY
REQUIREMENTS
This bill had first reading. Councilmember Dr. David Varner made a motion to refer this bill to
the Personnel &Finance Committee and set it for Public Hearing and Third Reading on
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REGULAR MEETING NOVEMBER 25, 2013
December 9, 2013. Councilmember White seconded the motion which carried by a voice vote of
five (5) ayes.
(Councilmember's Dr. Fred Ferlic and Gavin Ferlic back in Chambers at this time.)
BILL NO. 71-13 FIRST READING ON A BILL OF THE COMMON
COUNCIL OF THE CITY OF SOUTH BEND, INDIANA,
APPROPRIATING ADDITIONAL FUNDS FOR
CERTAIN DEPARTMENTAL AND CITY SERVICES
OPERATIONS IN 2013 OF $90,000 FROM PARKS &
RECREATION FUND (#201), $16 FROM
DEPARTMENT OF COMMUNITY INVESTMENT
GRANT FUND (#213), $675,000 FROM LIABILITY
INSURANCE & PREMIUM RESERVE FUND (#226),
$750,000 FROM LOSS RECOVERY FUND (#227),
$37,378 FROM HUMAN RIGHTS GRANT FUND
(#258), $30 FROM ECONOMIC DEVELOPMENT
REVENUE BOND FUND (#281) $450,000 FROM EMS
CAPITAL IMPROVEMENT FUND (#288), $475,000
FROM COUNTY OPTION INCOME TAX FUND ($404),
$700,000 FROM SELF-FUNDED EMPLOYEE BENEFIT
FUND (#711)
This bill had first reading. Councilmember Dr. David Varner made a motion to refer this bill to
the Personnel & Finance Committee and set it for Public Hearing and Third Reading on
December 9, 2013. Councilmember Schey seconded the motion which carried by a voice vote of
seven (7) ayes.
BILL NO. 72-13 FIRST READING ON A BILL OF THE COMMON
COUNCIL OF THE CITY OF SOUTH BEND, INDIANA,
APPROPRIATING ADDITIONAL FUNDS FOR
CERTAIN DEPARTMENTAL AND ENTERPRISE
OPERATIONS IN 2013 OF $294,344 FROM SOLID
WASTE FUND (#610), $84,000 FROM SOLID WASTE
DEPRECIATION FUND (#611), $418,872 FROM
SEWAGE WORKS GENERAL OPERATIONS FUND
(#641), $418,872 FROM SEWAGE WORKS CAPITAL
FUND (#642), $13 FORM 2006 SEWER BOND FUND
(#645), $63 FROM 2007 SEWER BOND FUND (#647),
$699 FROM CLAY SEWAGE WORKS OPERATIONS
FUND (#650), $113 FROM 2007B SEWER BOND FUND
(#651), $331 FROM 2010 SEWER BOND FUND (#658),
$2,100,000 FROM 2013 SEWER BOND FUND (#663)
AND $215 FROM 2013 SEWER REFUNDING BOND
FUND #664
This bill had first reading. Councilmember Dr. David Varner made a motion to refer this bill to
the Personnel & Finance Committee and set it for Public Hearing and Third Reading on
December 9, 2013. Councilmember Schey seconded the motion which carried by a voice vote of
seven (7) ayes.
BILL NO. 73-13 FIRST READING ON A BILL OF THE COMMON
COUNCIL OF THE CITY OF SOUTH BEND, INDIANA,
FOR BUDGET TRANSFERS FOR VARIOUS
DEPARTMENTS WITHIN THE CITY OF SOUTH
BEND, INDIANA FOR THE YEAR 2013
This bill had first reading. Councilmember Dr. David Varner made a motion to refer this bill to
the Personnel & Finance Committee and set it for Public Hearing and Third Reading on
December 9, 2013. Councilmember Gavin Ferlic seconded the motion which carried by a voice
vote of seven (7) ayes.
it
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REGULAR MEETING NOVEMBER 25,2013
BILL NO. 74-13 FIRST READING ON A BILL OF THE COMMON
COUNCIL OF THE CITY OF SOUTH BEND, INDIANA,
AMENDING THE 2013 SALARY ORDINANCE NO.
10199-12 FOR APPOINTED OFFICERS AND NON-
BARGAINING EMPLOYEES OF THE CITY OF SOUTH
BEND, INDIANA TO ADDRESS CERTAIN ZOO
EMPLOYEE COMPENSATION
This bill had first reading. Councilmember Dr. David Varner made a motion to refer this bill to
the Personnel &Finance Committee and set it for Public Hearing and Third Reading on
December 9, 2013. Councilmember Gavin Ferlic seconded the motion which carried by a voice
vote of seven (7) ayes.
•
BILL NO. 75-13 FIRST READING ON A BILL OF THE COMMON
COUNCIL OF THE CITY OF SOUTH BEND, INDIANA,
AMENDING 2014 SALARY ORDINANCE#10266-13
FOR APPOINTED OFFICERS AND NON-
BARGAINING EMPLOYEES OF THE CITY OF SOUTH
BEND
This bill had first reading. Councilmember Dr. David Varner made a motion to refer this bill to
the Personnel &Finance Committee and set it for Public Hearing and Third Reading on
December 9, 2013. Councilmember Gavin Ferlic seconded the motion which carried by a voice
vote of seven (7) ayes.
BILL NO. 76-13 FIRST READING ON A BILL OF THE COMMON
COUNCIL OF THE CITY OF SOUTH BEND, INDIANA,
AMENDING THE LEGAL DESCRIPTION AND MAP
WITHIN ORDINANCE NO. 10165-12 TO EXPAND THE
BOUNDARIES OF THE EXISTING RIVERFRONT
DEVELOPMENT PROJECT AREA UNDER IND. CODE
7.1-3-20-16
This bill had first reading. Councilmember Gavin Ferlic made a motion to refer this bill to the
Community Investment Committee and set it for Public Hearing and Third Reading on
December 9, 2013. Councilmember Dr. David Varner seconded the motion which carried by a
voice vote of seven (7) ayes.
BILL NO. 77-13 FIRST READING ON A BILL ESTABLISHING
RESPONSIBLE BIDDER REQUIREMENTS OF PUBLIC
WORKS PROJECTS
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
January 13, 2014. Councilmember Dieter seconded the motion which carried by a voice vote of
seven (7) ayes.
UNFINISHED BUSINESS
REPORTS FROM AREA BOARD OF ZONING APPEALS
BILL NO. 13-81 SPECIAL EXCEPTION - 5117 S. IRONWOOD DR.
BILL NO. 13-82 SPECIAL EXCEPTION - 1029 WEBSTER STREET
Councilmember Gavin Ferlic made a motion to refer these bills to the Zoning&Annexation
Committee and set them for Public Hearing and Third Reading on December 9, 2013.
Councilmember White seconded the motion which carried by a voice vote of seven (7) ayes.
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REGULAR MEETING NOVEMBER 25,2013
REPORTS FROM AREA PLAN COMMISSION
BILL NO. 61-13 REZONING—736 CALIFORNIA AND 906, 908,910 PORTAGE AVE.
BILL NO. 62-13 REZONING—605, 613, 617, 621 NOTRE DAME AVE AND 823
SORIN ST.
Councilmember Varner made a motion to refer these bills to the Zoning& Annexation
Committee and set them for Public Hearing and Third Reading on January 13, 2014.
Councilmember White seconded the motion which carried by a voice vote of seven (7) ayes.
NEW BUSINESS
Councilmember Henry Davis, Jr. asked the administration with the purchase of the smart trucks
for removal of yard waste, will people be losing their jobs?
Kathryn Roos, Chief of Staff to Mayor Pete Buttigieg advised that she will have to check with
Public Works Director Eric Horvath and get back to Councilmember Davis.
PRIVILEGE OF THE FLOOR
Christopher Huff, 1831 College Street, South Bend, Indiana: Nice to see you again. This past
summer this Council considered a special use permit change in order allow the establishment of
gasoline pumps at an existing convenience store on West Western Avenue. I happened to be
here not specifically here for that but I over sought that entire process. It appeared to me that it
went on for at least a month and half here before the Council. Ok, that's fine, I'm not up here
criticizing the decision that is between basically the neighbors and the Council and certainly the
Mayor. What I am up here to talk about for a moment is the way it was presented. I have been a
practicing planner since February 1, 1977, ladies and gentlemen, the 13 years that I spent in
Mishawaka, if I had heard this once, I heard it ten thousand times, and it basically boils down to
this: that until the idiots in the County-City Building are gone they would never develop, they
would never invest, they would never do anything within the City of South Bend. For years I
ignored that, I thought it was ridiculous, until I saw what happened this past summer. It's stuck
in my throat here for several months now and it boils down to this: when you got professional
staff that we pay for on the 11th floor coming and making a recommendation to this Council,
which they are paid to do and it was in the affirmative. And at the last hour, essentially the 11th
hour, a month and half later, you've got that same planning organization making
recommendation to the Council affirmative. And then literally the last person to make comment
on that issue at this very lectern right here, another one of our paid staff members from the 11th
floor,but unfortunately or fortunately or whatever happened to be in a different organizational
office which was counter or completely the opposite of what was recommended before. I have
never seen a more or better example of bad public management in my entire life. This does
nothing more than indicate to me that those people who made those statements to me for years
were right, because nobody knows who's on first, second or third, I bring this to your attention, I
think you know what the situation is, I mentioned it to the Mayor when I had his ear a few
minutes ago,this has got to change. This has got to change, that was the most egregious
example I have ever seen. Any staff member of mine before would have been booted for doing
anything like that.
Sam Brown, P. O. Box 1976, South Bend, Indiana, representing Citizen's United for a Better
Government: Keep working Council, you are doing a good job looking out for the public. The
14th Floor has excuses and beats up on the Council for doing their job. When you are not doing
your job it will come back to haunt you, the public will have the final say.
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REGULAR MEETING NOVEMBER 25, 2013
Jesse Davis, P. O. Box 10205, South Bend, Indiana: I would like to Council to look into the
work being done by Monoform for the City of South Bend. It appears they are paid
approximately$4,000.00 or more per manhole to refurbish the manhole. This manhole was done
during the month of October 2013. About one month later a friend of mine called to say he had
hit this and damaged his wheel and has a flat. I went and helped him get a wheel and tire put on
his vehicle. I was shocked to see the poor workmanship that our tax dollars had paid for. Please
get a list of work they have done and see what they have been paid by the city for said work over
the past two (2) years. I would like to know if there has been any other issues with work
performed by them, or bids they have submitted with the city.
ADJOURNMENT
There being no further business to come before the Council, President Derek D. Dieter adjourned
the meeting at 9:27 p.m.
ATTEST: ATTEST:
• L d /y ♦ . �����
John Voorde, City Clerk Derek D. Dieter, President
I
I
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