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HomeMy WebLinkAboutAppropriating $60,000 from Econ Dev State Grant fund for assisting in financing of South Bend Brewery in East Race areaORDINANCE No. as»ss Passed by the Common Council of the City of South Bend, Indiana January 11, 19 99 Attest: Attest: Presented by me to the Mayor of the City of South Bend, Indiana ty Clerk President of Common Council January 12, 19 99 City Clerk Approved and signed by me January 15, 19 99 Mayor SUBSTITUTE BILL ORDINANCE NO. 0 I~ I" I I AN ORDINANCE APPROPRIATING $60,000 FROM THE ECONOMIC DEVELOPMENT STATE GRANT FUND FOR THE PURPOSE OF ASSISTING IN THE FINANCING OF THE SOUTH BEND BREWERY IN THE EAST RACE AREA OF SOUTH BEND In order to assist in the renovation and revitalization of the downtown and East Bank, some assistance to downtown organizations and businesses is sometimes necessary to further the implementation of certain community plans and to achieve certain objectives. Accordingly, appropriations are needed: NOW, THEREFORE, BE IT ORDAINED by the Common Council of the City of South Bend, Indiana, as follows: Section I. The sum of $60,000 is hereby appropriated from the City of South Bend's Economic Development State Grant Fund (Fund 212) to be used to further the economic revitalization and physical redevelopment of the East Bank Project area. Section II. The City of South Bend will prepare and execute a grant agreement with the Business Development Corporation (BDC) to transfer the $60,000 for its use as a business loan in accordance with the BDC loan process, criteria and requirements. Section III. The BDC will use the $60,000 as part of a business loan to the South Bend Brewing Company for the rehabilitation and adaptive re-use of a vacant building located in the East Bank Project area. Section IV. This ordinance shall be in full force and effect from and after is passage by the Common Council and approval by the Mayor. v~.~..._..~' Member of the Common Council 1 st READING ! 1- ~ , 9 PU6LIC HEARING /_/~, 9~ 3 rd READING / -~~, 9~ N07 APPROVED REFERRED A~ S U857~7Z17~D F.^,SSED ~ ~ /~ ~ ~ 9 Filed in Clerk's affice OECD i ~ 1998 LORETTAJ. DUDA CITY CLERK, 30. BEND, IPA. COMMITTEE REPORT TO THE COMMON COUNCIL OF THE CITY OF SOUTH BEND: Your Committee of the Whole, to whom was referred: BILL NO. 95-98 A BILL APPROPRIATING $60,000 FROM THE ECONOMIC DEVELOPMENT STATE GRANT FUND FOR THE PURPOSE OF ASSISTING IN THE FINANCING OF THE SOUTH BEND BREWERY IN THE EAST RACE AREA OF SOUTH BEND Respectfully report that they have examined the matter and that in their opinion, this bill comes to the full Council with a favorable recommendation, as substituted. Charlotte Pfeifer Chairman 1200 COUNTY-CITY BUILDING SOUTH BEND, INDIANA 46601-1830 CITY OF SOUTH BEND STEPHEN J. LUECKE, MAYOR PHONE 219/235-9371 FAx 219/235-9021 TDD 219/ 235-5567 COMMUNITY & ECONOMIC DEVELOPMENT JON R. HUNT ANNE. KOLATA EXECUTIVE DIRECTOR DEPUTY EXECUTIVE DIRECTOR December 14, 1998 South Bend Common Council Fourth Floor Council Chambers 400 County-City Building South Bend, IN 46601 Dear Council Member: The attached substitute bill for your consideration will appropriate $60,000 from the State Economic Development Fund for a downtown redevelopment project. The substitute bill is being submitted to clarify some of the unclear aspects of the original bill and to clearly outline how the funds will be used. The $60,000 will be granted to the Business Development Corporation and combined with BDC funds to be used as a loan to the South Bend Brewing Company. The company will use the BDC loan and private debt and equity to rehab the vacant Wharf Restaurant and complete an adaptive reuse of the restaurant as a brew pub. The BDC will require the company to borrow the funds under its standard terms and conditions including full repayment of principle and interest, personal guarantees, etc. The repaid loan will then be used by the BDC to make additional loans to South Bend businesses. Should you have any questions or require additional information, please call me at 235-9375. Sincerely, '..~-1.E=~ '~ Jon R: Hunt -- Executive Director H:\WPDATAUON\BRE WCC. WPD Filed in Cterk's ~3ffice DEC 1 4 1998 LOAETTAJ. WDA CITY CLEA'~, 3D. AE1~tD, IN. REDEVELOPMENT BUSINESS ASSISTANCE FINANCIAL SL PROGRAM ANN E. KOLATA & DEVELOPMENT MANAGEMENT 219/235-9371 DONALD E. INKS ELIZABETH LEONARD 219/235-9335 219/235-9335 BUREAU OF HOUSING KATHRYN BAUAfGARTNER S21 ECLIPSE PLACE 219/235.9475 FAx: 219/235-9469 PLANNING & NEIGHBORHOOD DEVELOPMENT _ PAMELA C. MEYER 219/235-9660 FAx: 219/235-9697