10-09-17 Council Minutes - Laserfiche WebLink

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REGULAR MEETING October 9, 2017 Councilmember Regina Williams-Preston stated that she would not be voting in favor of this bill so that there is on record a faction of the Council that is questioning the use of tax abatements on these projects. Councilmember Gavin Ferlic stated, I would just like to remind the Council that previously, for a development like this, we were looking at an actual TIF investment—almost guaranteed—for companies to come in. We've modified that to reduce the City's risk, in terms of putting capital in upfront and,really, all but eliminate any sort of downside just through a more aggressive tax abatement. Councilmember Ferlic stated that it is still important to provide strong incentives in order to make developments like this and remain competitive with other areas. Councilmember John Voorde stated, You do have to adapt to the times. I can remember forty (40) years ago,when we were first allowed a tax abatement by the State,that it was an important tool at the time—still is. We modified it to try to make it more responsive to other needs in the community over the years. You just have to keep in mind that you have to try to utilize every advantage the State will give you to try to spur development, and in this case I agree with Dr. Varner, especially,but we have to be careful not to set a precedent to being concerned as an automatic thing. But, on the other hand, you have to be open to using what's available to you. Councilmember Oliver Davis asked how, in the future, a petitioner could be denied tax abatements while standing just behind another petitioner in line who was awarded tax abatements. Mr. Buckenmeyer responded that it is important to make clear that tax abatements are awarded based on the individual merits of a given project and are not blanketly awarded. James Mueller, Executive Director of the Department of Community Investment,with offices on the 14th Floor of the County-City Building, South Bend, IN, stated that there may be a small amount of TIF that goes into South Bend's sewer infrastructure in the area. Councilmember Broden asked, So, disclosure on what that TIF amount that we're looking at is in terms of said sewer improvements and capacity? Mr. Mueller responded that a study is under way to figure out exactly what the amounts are. Mr. Mueller stated that it could be under$200,000 or up to $400,000. Councilmember Voorde stated that the good thing about this process is that it is transparent and done amid the public. Councilmember Scott stated that it is important to discuss these matters transparently, adding thanks to Mr. Smoke for the investment in the 1St District. Councilmember Broden asked if there is bus transportation access in the area. Mr. Smoke stated that there isn't any yet,but that they have been discussing it with TRANSPO. Councilmember Davis stated that it can be done. Councilmember Gavin Ferlic made a motion to adopt Bill No. 17-68. Councilmember Oliver Davis seconded the motion which carried by a roll call vote of eight (8) ayes and one (1)nay (Councilmember Regina Williams-Preston). BILLS FIRST READING BILL NO. 67-17 FIRST READING ON AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA,ANNEXING TO AND BRINGING WITHIN THE CITY LIMITS OF SOUTH BEND, INDIANA, AND AMENDING THE ZONING ORDINANCE FOR PROPERTY LOCATED IN GERMAN TOWNSHIP, CONTIGUOUS THEREWITH; COUNCILMANIC 27