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HomeMy WebLinkAboutRedevelopment Commission Minutes 08.27.26 - SignedSouth Bend Redevelopment Commission 215 S. Dr. Martin Luther King, Jr. Blvd., Room 301, South Bend, Indiana Minutes Regular Meeting August 27, 2026 – 9:30 a.m. City Hall Council Chambers 3rd Floor or via: https://tinyurl.com/RDC2025-2026-Meetings Meeting Recording Link: https://tinyurl.com/RDC-Meeting-Recordings The South Bend Redevelopment Commission was called to order at 9:00 a.m. President David Relos presiding. 1.ROLL CALL Members Present: David Relos, President Karen White, Vice President Eli Wax, Secretary Ophelia Gooden-Rodgers, Commissioner Maureen Miller, Commissioner Members Absent: Marcus Ellison, Non-Voting Advisor Legal Counsel: Danielle Campbell Weiss, Senior Asst. City Attorney Redevelopment Staff: Joseph Molnar, Deputy Director, DCI Erik Glavich, Director of Growth and Opportunity, DCI Lewis Kouassi, Director of Finance, DCI April Canahuati, Asst. Dir. of Growth and Opp., DCI Erin Michaels, Property Development Manager, DCI - Virtual Allison Doctor, Project Manager, DCI - Virtual Laura Hensley, Board Secretary, DCI Attending: Charlotte Brach, Assist. City Engineer, Public Works Zach Hurst, Senior Engineer, Public Works Emily Longines, Administrative Assistant, Mayor’s Office Murray Miller, 1201 Priscilla Dr. Matt Barrett, 110 S. Niles Ave. Tina Patton, 707 Sherman Ave. David Seyboldt, 313 Haney Ave. CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – August 27, 2026 Page | 2 2. Approval of Minutes A. Approval of Minutes of the Regular Meeting of Thursday, August 13, 2026 Upon a motion by Ophelia Gooden-Rodgers for approval, second by Eli Wax, the motion carried unanimously; the Commission approved the minutes of the regular meeting of August 13, 2026. 3. Approval of Claims A. Claims Allowances August 11, 2026 Upon a motion by Ophelia Gooden-Rodgers for approval second by Maureen Miller, the motion carried unanimously; the Commission approved the claims allowances of August 11, 2026. B. Claims Allowances August 13, 2026 Upon a motion by Eli Wax for approval second by Ophelia Gooden- Rodgers, the motion carried unanimously; the Commission approved the claims allowances of August 13, 2026. 4. Old Business A. None 5. New Business A. River West Development Area 1. Reimbursement to RWDA from Professional Sports and Convention Development Area for Four Winds Field Joseph Molnar, Deputy Director of Community Investment, presented a request for a $2.6 million reimbursement. Mr. Molnar explained this is a somewhat unique agenda item because it involves reimbursing funds to the Redevelopment Commission, which is not something the Commission sees regularly. In 2024, when the City and the South Bend Cubs partnered on the Four Winds Field expansion, including the new second deck and improvements such as the 7-Eleven Club, design work needed to begin before the financing through the Professional Sports Convention Development Area (PSCDA) was fully approved. To fund the design phase, the Redevelopment Commission approved a $2.6 million budget request with the understanding that the PSCDA would reimburse those costs once sufficient revenues were generated to cover both its bond obligations and repayment to River West TIF. CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – August 27, 2026 Page | 3 The PSCDA receives revenue from taxes generated within the ballpark and certain surrounding properties. Molnar reported that, ahead of schedule, the PSCDA has generated enough revenue to reimburse the River West TIF for the design costs. Approval of this budget request would authorize the transfer of $2.6 million from the PSCDA back to the River West cash fund, reimbursing the Redevelopment Commission for expenses already incurred. Molnar added that the Four Winds Field project is approximately 99% complete and encouraged the Commission to visit the ballpark before the season concludes to see the improvements firsthand. Decision/Request: Approval of a $2.6 million reimbursement from the PSCDA to the River West TIF fund for stadium design costs previously advanced by the Redevelopment Commission. President Relos asked, I assume the money would still need to go through the appropriation process before it can be spent, correct? Mr. Molnar answered yes. The reimbursement will be deposited back into the River West account and become part of that fund's overall cash balance. Any future expenditure from the River West TIF fund will still require approval from the Redevelopment Commission through the normal process. Upon a motion by Ophelia Gooden-Rodgers for approval, seconded by Karen White, the motion carried unanimously; the Commission approved the Reimbursement as presented on August 27, 2026. 6. Progress Reports A. Tax Abatement Joseph Molnar, Deputy Director of Community Investment, presented two abatements projects: one for Tenneco and another for GLC's new speculative industrial building. Tenneco is expanding its existing South Bend facility and is expected to create approximately 80 new jobs, primarily skilled welding positions and similar roles. Molnar noted that these are high-quality, well-paying jobs and said the City is excited to see the investment and job growth on the west side of South Bend. B. Common Council None C. Other Joseph Molnar provided a brief update on the Lafayette Building. The City is still awaiting the final report from the State Fire Marshal regarding the CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – August 27, 2026 Page | 4 cause of the fire. Once received, the findings will be shared with the Redevelopment Commission. The City has received a $3.5 million insurance settlement, which has been placed in an RDC-controlled account. Structural assessments have also been completed and identified significant damage. Staff are currently evaluating four potential options: • Demolition of the building • Removal of the fifth floor • Full reconstruction • Preservation of the façade allowing for a potential future redevelopment behind it All options, except demolition, are expected to exceed available insurance proceeds. Additional TIF funding is available, but any preservation strategy would likely require a development partner and a viable future use for the building. Because of concerns about potential deterioration during the winter freeze-thaw cycle, staff hope to recommend a path forward to the RDC within the next month. Public Works noted that emergency demolition procedures could be expedited if the building were deemed an immediate safety risk, but officials do not believe that threshold has been met at this time. Secretary Wax asked, are there any emergency exceptions that would allow the City to expedite the normal bidding or RFP process? Mr. Zach Hurst, Senior Engineer with Public Works, explained that if the building posed an immediate risk of collapse or a threat to the public right-of-way, the City could use emergency procurement procedures. In that case, staff could solicit demolition quotes from two contractors with a 48-hour turnaround and proceed quickly with the work. However, officials do not believe the building currently meets that threshold. Secretary Wax asked was the insurance payout based on the building's property value rather than its replacement cost? Mr. Molnar said the settlement was based on the building's overall value, which benefited from recent downtown investment and surrounding development. He noted that the $3.5 million payout reflects the City's efforts to properly secure and maintain the property. President Relos asked why is removing the fifth floor being considered as an option? Mr. Molnar explained that the fifth floor sustained the most significant fire and water damage. Structural concerns include damaged exterior walls, compromised steel support beams, and limited lateral support, making reconstruction of the upper floor particularly challenging and costly. CITY OF SOUTH BEND REDEVELOPMENT COMMISSION REGULAR MEETING – August 27, 2026 Page | 5 Secretary Wax asked how does the recent Amtrak announcement affects the RDC's plans and contracts related to Union Station? Mr. Molnar reported that the City recently received a $3.8 million federal planning and engineering grant for the Union Station project, making South Bend the only Indiana recipient. The grant requires a 20% local match, which staff anticipate requesting from the River West TIF. The funding will support engineering and feasibility studies, including evaluation of the historic tunnel, ADA improvements, and station design. Molnar said the project continues to move in a positive direction, with support from Amtrak, the railroads, and the U.S. Department of Transportation. However, construction funding has not yet been secured, and passenger rail service remains several years away. President Relos asked where will the grant funds be managed? Mr. Molnar explained that the federal grant funds would likely be received through the City's general fund and would require City Council appropriation before expenditure, like other federal grant programs. 7.Next Commission Meeting Thursday, September 10, 2026, 9:30 a.m., City Hall Council Chambers 3rd Floor 8.Adjournment Thursday, August 27, 2026, 9:46 a.m. ______________________________ ______________________________ Eli Wax, Secretary David Relos, President