01-12-09 Common Council Minutes - Laserfiche WebLink

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REGULAR MEETING JANUARY 12, 2009 form completed by the petitioner, said form being prescribed by the State Board of Accounts, are sufficient to justify the deduction granted under Indiana Code § 6-1.1-12.1- 3. SECTION IV. The Common Council hereby accepts the report and recommendation of the Community and Economic Development Committee that the area herein described be designated as an Economic Revitalization Area and hereby adopts a Resolution designating this area as an Economic Revitalization Area for purposes of real property tax abatement. SECTION V. The designation as an Economic Revitalization Area shall be limited to two (2) calendar years from the date of the adoption of this Resolution by the Common Council. SECTION VI. The Common Council hereby determines that the property owner is qualified for and is granted property tax deduction for a period of three (3) years. SECTION VII. The Common Council directs the City Clerk to cause notice of the adoption of this Declaratory Resolution for Real Property Tax Abatement to be published pursuant to Indiana Code § 5-3-1 and Indiana Code § 6-1.1-12.1-2.5, said publication providing notice of the public hearing before the Common Council on the proposed confirming of said declaration. SECTION VIII. This Resolution shall be in full force and effect from and after its adoption by the Common Council and approval by the Mayor. s/Derek D. Dieter Member of the Common Council Councilmember Timothy A. Rouse, Chairperson, Community and Economic Development 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. Mr. Robert R. Lee, 19410 Edinburgh Drive, South Bend, Indiana, made the presentation for this bill. Mr. Lee advised that he is proposing to construct a new retail facility to be leased by C.E. Lee Company, Incorporated. C.E. Lee Company, a retail decorating center, has been established in South Bend since 1872. They sell several different brands of pain, window treatments, and wall coverings. Customers consist of individual homeowners as well as many paint contractors and maintenance accounts. He advised that on April 22, 2008, their retail store at 1728 North Ironwood Drive was destroyed by fire. Mr. Lee noted that his local insurance agent failed to provide accurate replacement cost estimates, and found himself underinsured after the fire. He advised that replacement costs for the building, equipment, and inventory total $687,000. The company has received $485,000 in insurance proceeds and intends to finance the remainder of the project with a loan from st 1 Source Bank. The new building will be built on the old site but the size of the building will be doubled to allow for a projected increase in both sales and staff. He stated that the new building will be approximately 6,800 square feet in size and will have two stories; the old building contained approximately 2, 700 square feet all on one level. Mr. Lee noted that the special exception is because the additional cost to rebuild due to being underinsured is $205,000 and the revenue loss resulting from the fire was over $100,000. He noted that they had discussed moving to another location but preferred to stay in South Bend at the present site where they have been a part of the City for 136 years. 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 Kirsits made a motion to adopt this 19