HomeMy WebLinkAbout04-25-16 Personnel and Financeh
OFFICE OF THE CITY CLERK
KAREEMAH FOWLER, CITY CLERK
PERSONNEL & FINANCE
APRIL 25. 2016 4:40 P.M.
Committee Members Present: Karen L. White, Gavin Ferlic, John Voorde
Other Council Present: Oliver Davis, Jo M. Broden, Dr. David Varner
Others Present: City Clerk Kareemah Fowler, Alkeyna Aldridge,
Joseph Molnar, Kathleen Cekanksi - Farrand,
Adriana Rodriguez
Agenda: Bill No. 16 -35 — Approving a property tax re- assessment
interlocal agreement
Councilmember Karen White, Chairperson of the Personnel & Finance Committee, called the
meeting to order with one bill on the agenda.
Bill No. 16 -35 — Approving a property tax re- assessment interlocal agreement
Councilmember Gavin Ferlic made a motion to accept the substitute Bill 16 -35. Councilmember
John Voorde seconded the motion which carried by a voice vote of three (3) ayes.
John Murphy, City Controller with offices on the 120' Floor, served as the petitioner and
presenter of this bill. This is a resolution to approve a property tax re- assessment defense
interlocal agreement. For a couple of months city officials from South Bend and Mishawaka as
well as County officials have been meeting informally to coordinate efforts on property tax
appeals by large businesses. This agreement formalizes that relationship and sets up a funding
mechanism so that we can share expenses efficiently. For example a property that falls within the
City of South Bend and the County, each entity would pay a portion of the defense cost. If the
property falls within the TIF District, since the City receives all of those tax dollars we would
pay for all of the costs. This agreement does not make us share each other's cost but does
coordinate efforts between the three (3) entities. The City Legal Department has reviewed the
agreement and feels it is proper and reviewed the agreements with the professionals that the
County Assessor has lined up for defense. This bill does not ask for any additional appropriations
at this time and hopefully we will be able to work some of these costs into the existing budget
and if there are any changes that will happen at the quarterly budget review.
455 County-City Building • 227 W. Jefferson Boulevard • South Bend, Indiana 46601
Phone 574- 235 -9221 • Fax 574- 235 -9173 • TDD 574- 235 -5567 • www.SouthBend[N.gov
JENNIFER M. COFFMAN ALKEYNA M. ALDRIDGE 1MILY SEXTON
CHIEF DEPUTY/ CHIEF OF STAFF DEPUTY/ DIRECTOR OF POLICY ORDINANCE VIOLATION CLERK
Councilmember Dr. David Varner asked why we are fighting this locally and not just issuing our
ruling and then they would have to appeal it at a State Court.
Rosemary Mandrici, St. Joseph County Assessor, responded that most of the cases are already at
the state court already. The petitioner can bypass the local board and go directly to the state. It is
in the best interests of the County and the two Cities to have our own appraisers to come up with
an opinion of value and that will cost money.
Councilmember John Murphy stated the cost will not be too high, certainly not in the hundreds
of thousands and we have not incurred any costs so far.
Councilmember Jo M. Broden asked if this is unique to the state of Indiana.
Mr. Murphy stated it kind of is because the law was written as such even though the law was
recently changed by the legislature. These cases are appeals that occurred before the effective
date of the new law which was January 1St
Council Attorney Cekanski- Farrand asked if the Administration is anticipating this bill will act
retroactively.
Council Attorney Aladean DeRose stated these cases for South Bend go all the way back to 2010
and they are still ongoing.
Councilmember Oliver Davis asked what happens if everything stays at status quo.
County Assessor Mandrici stated if we don't present new evidence it will probably be difficult to
win in the state courts.
City Attorney Aladean DeRose stated this is an efficient way for the three (3) governmental
entities to efficiently use our resources in the most reasonable manner. This is our best chance to
win these cases.
No one from the public spoke in favor of or opposition to the bill.
Councilmember Gavin Ferlic made a motion to send Bill 16 -35 to the full Council with a
favorable recommendation. Councilmember John Voorde seconded the motion which carried by
a voice vote of three (3) ayes.
Chairperson Karen White announced to the Committee that she will be sending an email very
shortly to councilmembers asking for their funding priorities for the budget as that process
begins to start.
With no further business before the Committee, Chairperson Karen White adjourned the meeting
at 4:55 p.m.
Respectfully Submitted,
Karen White, Chairperso