04-08-13 Common Council Meeting Minutes

Home Browse Search

REGULAR MEETING APRIL 8, 2013 Section II. The Common Council hereby authorizes and directs the administrative staff of the City, with assistance from counsel, to provide notice of such hearing as required by law and to initiate the circulation of a petition of taxpayers requesting the City enter into a lease for the Projects with the Building Corporation. Section III. The Common Council desires to receive a petition of taxpayers requesting that that the City enters into a lease of the Projects with the Building Corporation. Section IV. The Common Council hereby indicates on behalf of the City its intent to reimburse certain preliminary expenses related to the Project which have been or will be incurred by or on behalf of the City prior to the issuance of the Bonds from the Proceeds of the Bonds, pursuant to Indiana Code 5-1-14-6 and in compliance with Section 1.150-2 of the Treasury Regulations. Section V. This Resolution shall be in full force and effect from and after its passage by the Common Council and approval by the Mayor. s/Derek D. Dieter Member of the Common Council Councilmember White, Chairperson, Health & Public Safety Committee, reported that this committee held a Public Hearing on this bill this afternoon and voted to send it to the full Council with a favorable recommendation. Steve Cox, Fire Chief, South Bend Fire Department, 1222 S. Michigan Street, South Bend, Indiana, and Randy Rompola, Faegre, Baker, Daniels, 202 S. Michigan Street, South Bend, Indiana, made the presentation for this bill. Chief Cox advised that discussions have been ongoing about the need to replace Fire Station #5 located at 2221 Prairie Avenue in South Bend, and the benefit to the City of constructing a fire safety training facility in South Bend. Mr. Rompola advised that this bill approves and authorized the execution of a Lease whereby construction of both new Fire Station #5 and the fire safety training facility will be achieved through a lease between the City as lessee and the City of South Bend Building Corporation as lessor, for a term not to exceed twenty one years, at a lease rental rate of not more than $561,000 per years, payable in semi-annual installments of $280,500 each. The proposed Lease is also attached. It is expected that lease rental payments shall be payable from the Emergency Medical Services Fund (EMS Funds), and that EMS Funds will fully cover the Lease costs. Should EMS Funds and other revenues be insufficient for this purpose, the Lease has been structured so that the tax levy will serve as back-up only; this will enable marketing of the Building Corporations bonds at a lower rate of interest. He stated that this project does not constitute a “controlled project” as such term is defined by IC 6-1.1-20.1 because such rentals are reasonably expected to be paid from funds other than property taxes that are exempt from the levy limitations of IC 6- 1.1-18.5. A Public Hearing was held on the Resolution at this time. There being no one present wishing to speak to the Council either in favor of or in opposition to this Resolution, Councilmember Oliver Davis made a motion to adopt this Resolution. Councilmember Varner seconded the motion which carried and the Resolution was adopted by a roll call vote of nine (9) ayes. BILLS - FIRST READING BILL NO. 15-13 FIRST READING ON A BILL TO VACATE THE FOLLOWING DESCRIBED PROPERTY: THE STREET TO BE VACATED IS ASSUMPTION DRIVE THAT 10