7pm, 4th Floor County-City Building, All Present
* UNANIMOUSLY PASSED - $ 1,675,589 9 Year TAX ABATEMENT
* UNANIMOUSLY PASSED - $ 7,271,433 ZOO ENTRANCE DEBT
* AGREED TO GIVE ZOO $12,150,000 over 15 years
(All other items on the Agenda also passed Unanimously)
NEW TAX LEVY RATES FOR 2019
Bill # 18-53 National Distribution Centers, LLC TAX ABATEMENT
RESOLUTION for Phase ll of Lot 5 US 31 Industrial Park, 9 Year Abatement
* Wants to build a 232,000 sq ft warehouse on 20 acres of land
* They are a Food Transport company
* They have 9K Trailers and 4K Trucks
* Currently renting warehouse space from Lippert Components
* Says they planned to stay in the SB because of their workforce here and it would take a lot of effort to re-hire employees in a new location
* Inside River West TIF, but not receiving TIF dollars at this time
* Location is in Portage Pairie
* Pay $1M for Land, $13M for Building, $4M Machinery, $100K Other
* They plan to ask for a second Abatement on the $4M of Machinery
* Current Owner Stanz Cheese
* Land value $23,500 (Farm Land) 21.18 acres
* 1840 N. Commerce Drive, South Bend, 46628
* Year 1 - Abatement = 100% $ 311,431
* Year 2 - Abatement = 90% $255,067
* Year 3 - Abatement = 90% $255,067
* Year 4 - Abatement = 80% $198,702
* Year 5 - Abatement = 80% $198,702
* Year 6 - Abatement = 70% $142,337
* Year 7 - Abatement = 70% $142,337
* Year 8 - Abatement = 60% $ 85,973
* Year 9 - Abatement = 60% $ 85,973
TOTAL ABATEMENT = $ 1,675,589
Source: Council Meeting Packet information
Suggestions: Put Solar on the roof with Inovateous (local SB company that specializes in solar on warehouses), capture and use gray water and use native plantings.
Bill #38-18 LEVING TAXES and FIXING PROPERTY TAX RATES for 2019
* General Fund Taxation Rate $3.6535 on each $100 of property
* Park and Recreation Fund Rate $0.8597 on each $100 of property
* Cummulative Capital Development Fund Rate $0.0385 on each $100 of property
* Park Bond Debt Service Fund $0.0833 on each $100 of property
Total Civil City Rate of $4.6350
SPECIAL NOTE: The "Substitute Bill" is not posted for the public to see online at this time. The numbers above were the ones posted in advance of the meeting.
This one is continued to October 8th.
Bill #39-18 APPROVING EXPENSES of Departments and Funds for the City
This sets up and moves funds from 201 to 751 for the coming year
Bill #40-18 Appropriating for ENTERPRISE FUNDS
This sets up and moves funds from 287 to 672 for the coming year which include EMS, Building Fund, Parking Garages, Solid Waste, Waste Water, Water, Sewage
* Discussion was about adding $2/month to Residential Water Bills to assist with Stormwater/Flooding damages
* Eric Horvath, Director of Public Works, says this will not cover all the expenses, but help offset them.
* Councilwomen Jo Broden asked if $4/month might be more realistic
* Mr. Horvath responded the $4/month might be a burden on many, but that surrounding areas are at $5/month rates.
Water rates are regulated by the State and the City regulates Waste Water Rates, so adding the fee there would be easier.
* Further discussion on if rates would be based on ability to pay
* Mr. Horvath explained the Public Works currently has a list of "Top 10" backlog priorities that amount to about $1.2M
Bill #41-18 TRANSPO Budget for 2019
* See Michiana Observer post on "How Much Does Transpo Cost?"
NOTE: They voted to accept it, but it violated the "10 Day Rule" so they will vote to accept it on October 8th
Bill #42-18 September 2018 Appropriation Ordinance - Civil City Funds
* $672,857 FROM ECONOMIC DEVELOPMENT STATE GRANT (#210),
* $1,000,000 FROM DCI GRANT FUND (#212),
* $5,000 FROM GIFT/DONATION/BEQUEST FUND (#217),
* $699,700 FROM LIABILITY INSURANCE PREMIUM RESERVE (#226),
* ($960,000) FROM LOIT 2016 SPECIAL DISTRIBUTION (#257),
* ($337,632) FROM LOCAL ROAD & BRIDGE GRANT (#265),
* $28,100 FROM ECONOMIC REVENUE BOND (#281),
* ($55,000) FROM COVELESKI STADIUM CAPITAL (#401),
* ($124,050) FROM UDAG (#410),
* $28,100 FROM REDEVELOPMENT GENERAL (#433),
* $650 FROM SMART STREETS DEBT SERVICE (#756).
NOTE: Numbers inside a bracket ( ) are negative numbers. The number at the end is the FUND #. These are copied from the handout and they type them in ALL CAPS.
Bill #43-18 September TRANSFER ORDINANCE
* Move $210,000 from one Century Center account to another
* Miscellaneous charges in the Golf Division of the Parks Dept
Bill #44-18 ISSUE BOND FOR THE ZOO ENTRANCE
* Mayor got the Council to vote unanimously to issue $4,205,000 of debt to build a new entrance to the Zoo that will have a party room for kids and ADA bathrooms.
* $2.2 M of this is to repair the Zoo so it can meet AZA (Association of Zoos and Aquariums) certification in June. There are rusted cages, aligator decking issues, roof repair, fencing, etc.
* $1.5M will go towards a bigger gift shop, a party/education area, bus loading area
* South Bend Tribune anounced this $3.7M commitment well before the vote, so they held a ground breaking ceremony.
(Rubberstamping by the Council was a given)
* Funds are also needed so the Zoo can buy and bring in a Griaffe to make more money. (A giraffe feeding station brings in added money.)
* Debt on the bond will be paid off February 1, 2039, (It will take 21 YEARS to pay off $4.2M)
* Bond Interest Rate not to exceed 6% annually
* Crowe will do the Debt Offering and Barnes & Thornburg will do the legal setup of it.
* Payment will be out of EDIT Revenues
* City also signed an agreement with the Zoo agreeing to pay them $810,000 a year for the next 15 years on top of this Bond = $12,150,000
NOTE: With AA2 Bond Rating, it should be at 2%, but Eddy Street Commons ll came in at 5%
REAL COST OF THIS BOND: (Approximately) for borrowing $4,205,000
Payments of $363,836.60 per year (final pmt slightly lower). Total payments over 20 years = $7,271,433.00. Total Interest over 20 years = $3,071,731.96.
(This could be higher if there is Capitalized Interest and additional fees.)
City has cost the taxpayers an extra $3M in interest instead of paying directly.
TAXPAYER COMMITMENT = $4,205,000 Principal + $3,071,732 in Interest + $12,150,000 Assistance = $19,426,732 to the Zoo (As close as we could approximate)
NOTE: By making this a Bond it cost taxpayers 73% MORE and meant less for other vital community needs
* Advised the Council they need to revisit their priorities for things like the $8M needed to repair 80 lane miles of roads
* Animal Advocate groups think the Zoo needs to close, not be further funded
* Parks was given millions of dollars already, putting the City in substantial debt. The Zoo needs to be funded out of that debt instead of taking on new debt.
* Residents have other priorites
* City does not need to take on debt and interest for this project. Zoo was supposed to be self-sustaining and separated from the City.
* It was suggested the Council limit the length of the bond to 10 years and 3%. This was rejected. If they had limited to these parameters it would have been:
(Approximately) $693,466 in interest instead of $3,071,732, a SAVINGS of $2,378,266.
Bill #36-18 1939 and 1947 CHARLES STREET ZONING
* Business needs to expand their parking area
* Plans to add additional fencing to keep business activity from disturbing the surrounding homes
Bill #37-18 CHANGING THE FLOOD PLAN, Chapter 21, Article 14
* Change in Lot Design Standards so instead of following standard designs like defined street widths, street surfaces, how far apart houses and buildling can be from each other, the Board gets to decide without regulation or public input.
* They can decide on any curb or street specifications they want. (2) All streets shall be surfaced and improved in the manner determined by the Board and shall conform to the latest standards adopted by the Board."
* Changes how far away sidewalks need to be
* Lets them determine how trees are planted
* Alleys shall be at the discretion of the Board
* Minimum right-of-way widths of all streets are at the discretion of the Board
* Removes, "If the subdivision is to be located in a flood hazard area, the subdivider's registered land surveyor shall forward pertinent plans and materials to the Department of Natural Resources for review and comment."
* SECTION XI. Chapter 21, Zoning, of the South Bend Municipal Code, Article 14, Subdivisions, Section 21 -14.06(c)(1)
Removes "If the subdivision replat falls within a designated flood hazard area, the subdivision replat shall be reviewed by the Department of Natural Resources in accordance with section 21-14.03(G)(1) of this article:"
NOTE: In summary, they get to decide whatever they choose, not follow prescribed parameters and not have to report developments in floodplain areas.
FIRST READINGS FOR:
Bill #45-18 Mayor's Salary Budget $110,885 for the Mayor
Bill #46-18 Common Council Member's Salary Budget $19,799 for Each Council Member
Bill #47-18 City Clerk's Salary Budget $72,318 for the Clerk
Bill #48-18 Teamster Budget (Negotiated)
Bill #49-18 Police Department Salary and Fringe Benefit Budget (Negotiated)
Bill #50-18 Fire Department Salary and Fringe Benefit Budget (Negotiated)
Bill #51-18 Non-bargaining Employees Wages
Bill #52-18 DRONES - Adding Article 15, Sections 14.157 to and including 14.159 of Chapter 14 on the operation of UAS (Unmanned Aircraft Systems)
Bill #53-18 Setting up 131 E. Tutt Street as a WINTER AMNESTY LOCATION FOR THE HOMELESS
* Change Zoning to "Group Resident" in a Mixed Use District Under Chapter 21 - 09.02(d)
* Chosen because it is near other Homeless Resources
* Owner Mathews 121 Tutt LLC
* Contact: David Vanderveen, Executive Director, HOPE Ministries, 574-235-4150
Bill #18-55 ZONING APPEAL for 1715 S. Dale and 1717 S. Dale
* Owner David Njoroge, 2010 Investment Group LLC, 3131 Springbrook Drive, SB
* Plans to build two family Duplex Townhouse on these two lots
* 68' x 80' lot size
Bill #18-56 ZONING APPEAL for 340 E. Colfax Avenue
* Lot #1 of the plat of "Seitz Park Minor Subdivision, 1.75 acres
* University of ND hydro-dam electric utility facility
PRIVILEGE OF THE FLOOR:
Sue Kesim suggested creating a program for Seniors on fixed income living in their own homes in high crime areas be given home alarms like "SimpiSafe". Those who qualify could be identified through Real Services. The Fire Department could help install them like they do for the smoke detectors.
She felt this would help Seniors feel safer in their homes.
Citizens attending community events to inform other Citizens.