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12-13-99 Council Meeting Minutes
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12-13-99 Council Meeting Minutes
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City Council - City Clerk
City Council - Document Type
Council Mtg Minutes
City Counci - Date
12/13/1999
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REGULAR MEETING DECEMBER 13, 1999 <br />($400,000.00). The Mayor stated that it was felt that the City should budget for the Hall cautiously. <br />Rates can go up or down but if the trends remain then the City will be in the year in an amount <br />similar to what the City is asking the NFF to contribute. The Mayor asked for the Council's <br />favorable consideration of this budget. <br />Mr. Bernie Kish, Executive Director, College Football Hall of Fame, 111 South St. Joseph Street, <br />South Bend, Indiana, informed the Council that the budget submitted today is essentially the same <br />as presented to them on September 8, 1999 with a few changes. Mr. Kish reviewed some of the <br />figures in the operating revenue such as the restaurant, Press Box and enshrinement. In conclusion <br />he noted that the operating revenue is $1.64 million dollars and the operating expenses are $1.62 <br />million dollars for a plus of twenty -seven thousand dollars ($27,000.00). Mr. Kish thanked all <br />members of the Council for their continued support of the Hall. <br />This being the time heretofore set for the Public Hearing on the above bill, proponents and <br />opponents were given an opportunity to be heard. <br />Mr. Jim Cierzniak, 1156 East Victoria, South Bend, Indiana, spoke in opposition to this bill. Mr. <br />Cierzniak indicated that it has been three (3) months and the same budget is being submitted today. <br />He indicated that he believed there would be some tough negotiating with the NFF and the City <br />would come back with something much better but this is the same budget. Mr. Cierzniak further <br />indicated that in 1999 the NFF was to give the Hall four hundred fifty thousand dollars <br />($450,000.00) which it did not receive as well as dollars from corporate sponsors. The Hall <br />continues to lose $1 million dollars on the operational side. In conclusion, Mr. Cierzniak stated that <br />the only thing the Hall has been good at is getting tax money which is over $2 million dollars at the <br />present time. <br />- Ms. Joyce Boaler, 1606 Hillsdale Road, South Bend, Indiana, spoke in opposition to this bill. Ms. <br />Boaler indicated that the budget submitted today is essentially the same as submitted in September. <br />She noted that taxpayers were assured that not a penny of taxpayers money would be spent on the <br />Hall and she knew it was a lie and it is. She congratulated Mr. Cierzniak for keeping on top of the <br />Hall's failure and expenses. She further stated that it is believed that the Studebaker Museum will <br />also lose money and suggested that the Studebaker collection be moved to the Hall of Fame building. <br />She also indicated that she believes the City will lose money on the new water park. <br />Mayor Luecke, in rebuttal, informed the Council that the City expects to receive three hundred fifty <br />thousand dollars ($350,000.00) from the NFF before the end of the year for 1999. He stated that the <br />City must pay for the building and that is why he is trying to negotiate with the NFF. In the year <br />2006 principal payments start and he is trying to cut the City's costs in the long run. <br />There was no one else present wishing to address the Council in opposition to this bill and there was <br />no one present wishing to address the Council in favor of this bill. <br />Councilmember Varner stated that he thinks it is a good idea that the City is looking at some new <br />arrangement with the NFF. While that is up for discussion, the fact of the matter is that the City still <br />has to deal with the situation at this point and time. He noted that he did not believe the City should <br />be supporting the Hall but the City is stuck to a degree and he is therefore prepared to make a motion <br />to begin to work on that deficit. Any contribution beyond that which is absolutely necessary is <br />probably too much in that the City will contribute six hundred thousand dollars ($600,000.00) in the <br />form of hotel motel tax and sports development funds in addition to the six hundred thousand dollars <br />($600,000.00) proposed in TIF money or general fund money. <br />Therefore, Councilmember Varner made a motion to take a step toward reducing the deficit to a <br />point which the City's contribution is no greater than that of the NFF which is approximately three <br />hundred fifty thousand dollars ($350,000.00) at least on the tax side from TIF funds. To accomplish <br />that, Councilmember Varner suggested the elimination of the line item of one hundred fifteen <br />thousand dollars ($115,000.00) for upgrade in memorabilia which are the exhibits which go into the <br />Hall. The marketing budget in excess of three hundred fifty thousand dollars ($350,000.00) for the <br />last three (3) years has been $1 million dollars ($1,000,000.00) total. This line item could be <br />reduced from three hundred fifty thousand dollars ($350,000.00) to two hundred seventy -five <br />
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