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REGULAR MEETING February 11, 2019
<br /> something to do with the way they are allocating those funds. Now would be a great time to ask
<br /> members of the General Assembly in the State Legislature whether they are sure that is the best
<br /> way to go. I know there are a lot of competing priorities in Indianapolis, but cities and town were
<br /> really counting on those road funding mechanisms. We are hoping that will be adjusted in a
<br /> direction that helps us pave more and not less streets. We are continuing to work with the State to
<br /> understand the impact that some of these distribution changes are going to have. Basically what
<br /> we are seeing is,the good news is we are looking at 2019 probably higher than it was two(2)years
<br /> ago and higher than the base line, but that bump we saw last year which we took to be great news
<br /> for the future may have been more of a one (1) time gift from our friends in Indianapolis versus
<br /> something we can count on every year.
<br /> Mayor Pete continued, Again,just revisiting Light Up South Bend, this is a program that has led
<br /> to seventy(70)lights most recently installed in the Near Northwest and River Park Neighborhoods.
<br /> There were some delays due to disaster recovery on Indiana Michigan Power's crew's ability to
<br /> complete their installation. However, lights have been added and so have lamp posts. The great
<br /> thing is, thanks to technology, we no longer need to invest in wiring a lamp post all the way back
<br /> to the house because these solar lamp posts don't have to be wired to anything at all. Based on the
<br /> number of applications we got, mostly a target area where the City offered a higher subsidy, it
<br /> seems to be a popular program and one (1)we will continue to see grow.
<br /> Mayor Pete went on, I won't take you through the eye chart on the right(referencing a slide in the
<br /> presentation) but this is just to say that development projects in the City have been very
<br /> encouraging. Once again, they've taken place in every corner of the City of South Bend. When we
<br /> talk about TIF, the majority of that is infrastructure. So, about fifty-seven percent (57%) of the
<br /> money released through TIF, so, about $11.7 million went to projects that were essentially
<br /> infrastructure and character. The balance went to what we would call economic development
<br /> projects like the Wharf Site spec building and the JC Lauber building that have gotten some good
<br /> looks for the City as well. For tax abatements, six (6)were offered in 2018. Those are expected to
<br /> add$4.2 million a year to the tax rolls when the projects they supported come fully online. And at
<br /> the end of the day,just out of deals that the City had a roll in, we saw over$100 million in private
<br /> investment. Following that general guideline, we really want to see only one (1) out of every five
<br /> dollars($5)in those development opportunities coming from the public. Four hundred and eighty-
<br /> nine(489)jobs were announced in our City.
<br /> Mayor Pete continued, I also want to highlight our effort on inclusion including the work of the
<br /> Office of Diversity Inclusion and our Diversity Inclusion Officer, Christina Brooks, who really
<br /> has been focusing on a number of ways to make sure that more City workers are able to participate
<br /> as well as supporting the development of businesses owned by people who have had a historic
<br /> disadvantage. Also, a reminder, the My SB Parks & Trails Plan, I would like to give a big thank
<br /> you to the Council for authorizing this. In addition to the Park Bond and the TIF commitment,
<br /> about a third (1/3) of the funding has come through outside sources such as the Regional Cities
<br /> grant as well as federal matches on things like The Coal Line Trail and the Bowman Trail projects.
<br /> In 2018, all those projects you saw from the dog park to the trail completion out by Pinhook Park,
<br /> that amounts to just about ten percent (10%). By the end of calendar year 2019 you'll see eighty-
<br /> five percent(85%). So,these(referencing a slide in the presentation)represent all the projects that
<br /> are completed or underway this year. You've probably already seen some of the dirt moving
<br /> around the City. By far, the bulk of that will happen this year and then, of course, the balance of
<br /> that will be in 2020 and beyond.
<br /> Mayor Pete went on, So,to the fiscal position of the City of South Bend.This is something, I think,
<br /> that is important to understand and is sometimes misunderstood because of its complexity. Let's
<br /> start with liquidity,which is to say the cash position,of the City. Cash on hand has really benefitted
<br /> the City. You could argue we are on the conservative side in terms of building up cash reserves
<br /> but that benefits us because when we are on the credit markets trying to get a good interest rate on
<br /> your debt, one(1)of the things they look at is how wealthy the community is and the other is how
<br /> much cash you have. So,if you are a very wealthy community,you can,so to speak,get away with
<br /> having less cash in the bank at any given time. If you're less wealthy and more low-income, as we
<br /> are, it really helps to have a strong cash balance to demonstrate the credit worthiness of the City.
<br /> So, this brings us to current cash holdings which are at $288 million. So, what does that mean?
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