04-08-19 Community Investment - Laserfiche WebLink

Home Browse Search

vieCITY OF SOUTH BEND OFFICE OF THE CLERK quick at moving. We have our own dedicated training centers. We have our own dedicated school. We've been doing the school now for about five (5) years and we have fifty-five (55) graduates from the school. All fifty-five (55) of them are still employed by us over these past five (5) years. All are really great and strong technicians or parts people. At our training center we've trained over 6,000 technicians across North America at our Troy, Illinois location. We are going to have a sub-training center here in South Bend because of the distance from our Troy location. Tyler already has that person being trained. It takes about two (2) years to get them trained to be able to educate and train all of our people and certify them. Again, it is a great opportunity for us to be here and be a part of your community. Moving to that location, for us, is important because of the exposure to the Toll Road 80/90 and US-31.The Hill Family had not invested in the company over the last couple of decades and everything became transient. We represented Freightliner which has forty percent (40%) market share, which is Mercedes Benz Worldwide and the largest truck manufacturer. So,it's really important to us to be seen and visible if we want to continue to expand our business. This is a big project to us. Most of our facilities have been between $7 million and $8 million. This one (1) is between $18 million to $19 million. It's a big one(1). Tyler moved his family up here to the Granger area, relocated, and he may be a Cardinal fan, but I don't hold it against him. We are asking you for some abatement on the taxes to help us ramp up over that period of time to make it economically viable for us as we go forward. Thank you. Committee Chair Ferlic stated, Citizen member Kyle Copelin has notified me that he works on the next project, so, he will recuse himself on the vote when the times comes. Mr. Buckenmeyer continued, Bill No. 19-26, another big one (1), folks. Back in 2015, and this is a little history here, but a deal was struck between the City and Great Lakes Capital to build three (3) buildings at Ignition Park. This deal does a few things. One (1) of them is it completes that agreement. That agreement, back in 2015, added a$900,000 TIF allotment. So, this is a rare case where TIF and tax abatement are combined but it is going to make sense in a minute. That $900,000,we have a situation where the land owner,building owner and developer are completely different entities from the tenant. The land owner, developer and building owner, Great Lakes Capital, is going to be building a $16 million building. It is going to be bigger than the other two (2)there now. They are both about 50,000 square feet. This one(1)is going to be closer to roughly 83,000 square feet.Now,again,it will be leased to a very important South Bend citizen.The reason we are doing a tax abatement in addition to this is, again, in economic development, we are either trying to attract somebody here or retain someone here. This is definitely a retention incentive for Press Ganey. Press Ganey has been working with the City for,probably around five(5)years now, in trying to find the right sweet spot for them to relocate. Their employees have been in the same place for a while and they have been here since 1985. That is thirty (30) plus years. They were founded here, and we are thrilled to keep them here. They have become a national force. They're all over the United States right now. So, it is very meaningful for us and we're glad to know it is meaningful for them to stay in South Bend as well. He went on, Now,just to be very clear about the tax abatement and the TIF, TIF is going to help build that building like was originally intended back in 2015. PG is signing a triple-net-lease with Great Lakes. Triple-net-lease means that, in addition to their lease payment, they are going to pay the property taxes. By us alleviating that property tax burden, that is why it is a direct retention incentive to help PG fund their relocation to a new building and fulfill their desire to stay in South Bend. EXCELLENCE I ACCOUNTABILITY j INNOVATION I INCLUSION ; EMPOWERMENT 455 County-City Building 227W Jefferson Bvld South Bend,Indiana 46601 p 574.235.9221 f 574.235.9173 TTD 574.235.5567 e ww.southbendin.gov 7