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REGULAR MEETING <br />OCTOBER 24. 2016 <br />Mr. Schmidt responded it is a multitude of statutes that come together. There is the power to <br />appoint an executive director, appraisers, real estate experts, engineers, architects, surveyors, and <br />attorneys which is under Indiana Code Thirty -Six (36). There is also some authority there to <br />appoint clerks, guards, laborers and other employees advisable. If you read any communication <br />which talks about supervisory level employees, that is why we have yet to give our full vote of <br />confidence that it extends beyond the traditional professional services. <br />Councilmember Davis asked who gives that full vote of confidence, the Administration or the <br />Council. <br />Mr. Schmidt stated his guess is that it should be a combination of all parties working together. <br />There should also be consultations with State Board of Accounts. <br />Councilmember Davis asked that when the Legal Department does that research to keep the <br />Council Attorney in the loop with this. Again, this is a much wider scope of professional services <br />that we could use for our fiscal curb issues. <br />Councilmember Williams- Preston stated her concern is where does this end. We can either look <br />at this to increase salaries for some of our folks who make less but TIFs do end eventually. She <br />asked what happens when we are funding something exclusive from TIF but then the TIF is <br />disbanded. We could just keep doing TIFs forever but they do take away from other things when <br />the tax money is set aside. It sounds like this maybe hasn't been vetted to the point it should be <br />even though she does believe in attracting top talent. We are being asked to pass this now <br />without a policy around it. <br />Mr. Schmidt stated he would like to reiterate that the City is very comfortable with its position <br />that professional services are reimbursable through TIF funds. What we are not certain about yet <br />is whether that power extends beyond traditional professional services. That is the aspect we are <br />still looking into but we don't want to give the Council any pause that this is not legal. We do <br />have the absolute full authority to do this for professional services and we have done so since <br />dating back to 2008 to fund professional services and that is all we are funding in this ordinance. <br />Council Attorney Cekanski - Farrand stated she concurs with the Legal Department that there are <br />five (5) positions that are of record of being fully funded or partially funded through TIF dollars <br />and all of them fall under that professional category. The second test is when you broaden it <br />because you have to have a merit system in place. That is when the Administration would need <br />to discuss with the Council. Until that happens you should take that narrower path and that is the <br />position that the Administration has taken which she concurs with. <br />No one from the public spoke in favor of the bill. <br />Those from the public wishing to speak in opposition to the bill: <br />Jesse Davis, P.O. Box 10205 South Bend IN, stated the big issue here with the public isn't where <br />the funding is coming from because you always find ways to fund it. Our concern is the amount <br />of some of these ridiculous raises. We heard several years ago when the Mayor was first elected <br />that he wanted to give enormous raises, many to the same exact positions we are discussing now, <br />and we got the same excuse from the Mayor that we got back then. We haven't seen this <br />retainment at all, the Community Investment Department had an exodus of people not long ago <br />and the same with the IT Department. We have seen multiple Chiefs of Staff in the Mayor's <br />Office. We have not seen any retention, we have seen what is supposed to be top talent but <br />bottom line they keep leaving so we keep raising these salaries up. Every time we hire in <br />someone new we keep paying these top salaries but we are not retaining. We are not seeing any <br />results for the excuses we are given. We have people living under the bridge down the street but <br />the City wants to dole out huge raises. If any Councilmember can vote this through, he promised <br />them the people would make sure they will not get reelected. <br />Steve Francis, 54174 Juday Lake Drive South Bend IN, stated he has questions about this. Back <br />in 2008 when the LOIT was approved, he stated he spoke on behalf of a large organization in <br />favor of that tax and he did so because he wanted to emphasize that the City was facing property <br />tax caps and would have issues keeping up with the maintenance of the parks and other City <br />functions. He stated he did not support it in order to approve raises of these amounts in one (1) <br />14 <br />