Meeting Minutes HIGHLAND REDEVELOPMENT COMMISSION PUBLIC MEETING MINUTES MONDAY, FEBRUARY 6, 2006 The Highland Redevelopment Commission (RC) met on Monday, February 6, 2006, at 7:08 PM for a Public Meeting in the meeting room of the Highland Municipal Building, 3333 Ridge Road, Highland, Indiana. The meeting was called to order by Director Cecile Petro and recorded and transcribed by her. ROLL CALL: Present on roll call were Commissioners: Dan Dernulc, Robert Helmer, Mark Herak, Joseph Wszolek, and Bernie Zemen. Also present was attorney David Westland and members of the public. MINUTES OF THE PREVIOUS SESSIONS: The minutes of the Public Meeting/Study Session of January 11, 2006, and the Study Session of January 25, 2006, were introduced. Commissioner Dernulc made a motion to approve the minutes as posted. Commissioner Helmer seconded the motion. Motion passed 5 ayes 0 nays. SPECIAL ORDERS: Election of officers Commissioner Dernulc made a motion to nominate Commissioner Zemen as President. Commissioner Wszolek seconded the motion. Motion passed 5 ayes 0 nays. At this point, Director Petro handed the gavel to newly elected President, Commissioner Zemen. Commissioner Herak made a motion to nominate Commissioner Dernulc as Vice President. Commissioner Helmer seconded the motion. Motion passed 5 ayes 0 nays. Commissioner Herak made a motion to nominate Commissioner Helmer for Secretary. Commissioner Dernulc seconded the motion and moved to close nominations. The motion passed 5 ayes and 0 nays. Appointment of Commission Attorney Commissioner Wszolek made a motion to appoint Mr. David Westland as Commission Attorney from the firm Tauber, Westland and Jasaitias. Commissioner Herak seconded the motion. Motion passed 5 ayes and 0 nays. Appointment of Interim Recording Secretary Commissioner Wszolek made a motion to appoint Ms. Cecile Petro as Interim Recording Secretary. Commissioner Herak seconded the motion. Motion passed 5 ayes 0 nays. Public Hearing on Preliminary Determination to Issue Bonds a) Attorney verification of Proofs of Publication: The Redevelopment Commission Attorney indicated that the proofs were in compliance with IC 5-3-1 and were printed in THE TIMES and the POST TRIBUNE newspapers on January 25, 2006. b) Public Hearing: President Bernie Zemen called the Public Hearing to order and he and the Director stated the purpose for the Public Hearing. There were no written comments received by the Redevelopment Commission. c) The following is a list of those who spoke at the hearing: 1. James Milligan. 3148 Eder. Mr. Milligan inquired about the composition of the Redevelopment Commission once the loan issue was resolved. He requested information on the benefits to Highland if the proposed loan to Hammond was executed. Mr. Milligan also requested information on high crime areas within Highland, the cost of the loan to Hammond, and if Highland would receive any additional money from the state if the toll road was sold. Commissioners responded to the questions outlining the purpose and benefits of the loan and the process for selection of the future Redevelopment Commission. 2. Joseph Bartok. 9323 Spring St. Mr. Bartok inquired about the terms of the loan and interest on the loan. He encouraged the Town Council/Redevelopment Commission to listen to the residents. Later Mr. Bartok questioned why Hammond couldn’t use casino revenue for this project. He also stated that he would like additional information on the loan as the process moves forward. 3. James Slagle. 3504 Eder Place. Mr. Slagle questioned if there would be another Public Hearing after contract negotiations, but before a loan was offered to Hammond. He also inquired about the impact on the town’s ability to move forward on other projects, if a loan was completed with Hammond. Mr. Slagle also asserted that private industry will develop Kennedy Avenue. 4. Al Pederson. 3437 Franklin St. Mr. Pederson inquired about the reasons for the loan to Hammond and the benefits to Highland. He questioned whether the Redevelopment Commission had already decided to move forward with the loan. 5. Jim Stenger. 2933 Condit St. Mr. Stenger inquired whether other communities such as Munster would be able to receive a loan from Highland, if they asked. Mr. Stenger stated that he did not believe that Highland would benefit from the loan. 6. Brian Novak. 3516 Eder Place. Mr. Novak questioned the dissolution of the last Redevelopment Commission. He also questioned the ability of the Town to proceed with other projects and cautioned against over-bonding. 7. Keith Magiera. 3308 George St. Mr. Magiera requested information on the details of the loan. He stated that he believes that the loan is ultimately a good idea for Highland because the perception of most people outside of Highland is that the River Park Apartments are within the boundaries of Highland and not Hammond. Later he stated that if residents could be informed of the cost/resident that that information might be helpful. Mr. Magiera also noted that another benefit of the bond process will be establishing a working relationship with another municipality. 8. Ted Oberc. 2704 Lincoln Street. Mr. Oberc stated that the loan to Hammond would be a good investment. He noted the safety and crime issues that would be resolved with a new development in that area. 9. Michael Griffin. Clerk-Treasurer. Mr. Griffin stated that the city of Hammond had has already committed $20,000,000.00 to this project. He explained the bonding structure of the town versus the bonding capabilities of the Redevelopment Commission. After hearing no further comments, President Zemen closed the hearing. c) Action on Resolution 2006-02: Preliminary Determination Resolution of the Highland Redevelopment Commission. Commissioner Herak made a motion to approve Resolution 2006-02. Commissioner Dernulc seconded the motion. Discussion on the motion followed. Motion carried 3 ayes 2 nays. Commissioners Wszolek and Helmer voted nay. PRELIMINARY DETERMINATION RESOLUTION OF THE HIGHLAND REDEVELOPMENT COMMISSION RESOLUTION No. 2006-02 WHEREAS, The Highland Redevelopment Commission ("Commission") published notice of a preliminary determination hearing in the Post-Tribune and the Hammond Times on January 25, 2006, posted in Town Hall and mailed such notice to any organizations requesting such notice as provided in IC 6-1.1-20-3.1; and WHEREAS, A preliminary determination hearing was conducted on February 6, 2006 in accordance with said notice and IC 6-1.1-20-3.1; NOW, THEREFORE, BE IT RESOLVED BY THE HIGHLAND REDEVELOPMENT COMMISSION as FOLLOWS: Section 1. That the Commission preliminarily determines to issue bonds to apply on the cost of the construction, demolition, site reclamation and redevelopment of real property ("Project"), in, serving or benefiting the Highland Downtown Redevelopment Area ("Area"), in an aggregate principal amount not to exceed Two Million One Hundred Twenty-five Thousand Dollars ($2,125,000). The bonds shall be payable from a special benefits tax levied on all taxable property ("Special Benefits Tax") in the Highland Redevelopment District ("District") and any other legally available revenues. The bonds will mature over a term not to exceed ten (10) years. The estimated interest rates for the bonds range from 3.5% to 7% per annum resulting in total estimated interest costs of $892,500. The Bonds will be designated as "Redevelopment District Bonds of 2006," and will constitute an indebtedness of the District, as a special taxing district, payable from a Special Benefits Tax and any other legally available revenues. The exact terms of the bonds shall be set forth in a final bond resolution to be adopted by the Commission. Section 2. That notice of this preliminary determination shall be published and posted in accordance with IC 6-1.1-20-3.1. If a petition pursuant to IC 6-1.1-20-3.1 is filed, the Commission is hereby authorized to publish a notice of the applicability of the petition and remonstrance process pursuant to IC 6-1.1-20-3.2. Section 3. That this resolution will be open to inspection by all persons interested in or affected by the Project. Duly Approved and Adopted by the Redevelopment Commission of the Town of Highland, Lake County, Indiana this 6th day of January, 2006 by a vote of _____ in favor and ______ opposed. THE REDEVELOPMENT DEPARTMENT BY ITS REDEVELOPMENT COMMISSION: _________________________________________ President of the Redevelopment Commission Attest: __________________________________________ Secretary of the Redevelopment Commission d) Action on Resolution 2006-03: Declaration of Official Intent to Reimburse Expenditures. Commissioner Herak made a motion to approve Resolution 2006- 03. Commissioner Dernulc seconded the motion. Commissioners discussed the resolution, the loan process and the dollar amount. Motion carried 4 ayes 1 nay. Commissioner Helmer voted nay. HIGHLAND DEPARTMENT of REDEVELOPMENT HIGHLAND REDEVELOPMENT COMMISSION RESOLUTION No. 2006-03 DECLARATION OF OFFICIAL INTENT TO REIMBURSE EXPENDITURES WHEREAS, The Town of Highland ("Town"), acting by and through the Highland Redevelopment Commission ("Issuer") intends to finance the construction, demolition, site reclamation and redevelopment of real property in, serving or benefiting the Highland Downtown Redevelopment Area ("Project") pursuant to a resolution to be adopted by the Issuer; and WHEREAS, The Issuer expects, acting on behalf of the Town to issue debt for the Project and to use the proceeds to reimburse or pay costs of the Project; NOW, THEREFORE, BE IT RESOLVED BY THE HIGHLAND REDEVELOPMENT COMMISSION as FOLLOWS: SECTION 1. THAT THE ISSUER HEREBY DECLARES ITS OFFICIAL INTENT TO ISSUE DEBT, COMPLETE THE PROJECT AND TO REIMBURSE ITSELF FOR THE COSTS OF THE PROJECT WITH PROCEEDS OF DEBT TO BE INCURRED BY OR ON BEHALF OF THE TOWN IN AN AMOUNT NOT TO EXCEED $116,000 FOR PURPOSES OF PAYING OR REIMBURSING COSTS OF THE PROJECT. SECTION 2. THAT THE ISSUER REASONABLY EXPECTS TO REIMBURSE ITSELF FROM PROCEEDS OF OBLIGATIONS ISSUED BY OR ON BEHALF OF THE TOWN FOR COSTS OF THE PROJECT PAID PRIOR TO THE ISSUANCE OF THE OBLIGATIONS. SECTION 3. THAT THIS RESOLUTION SHALL BE EFFECTIVE FROM AND AFTER PASSAGE AND UPON SIGNING BY THE PRESIDENT. Duly Approved and Adopted by the Redevelopment Commission of the Town of Highland, Lake County, Indiana this 6th day of January, 2006 by a vote of _____ in favor and ______ opposed. THE REDEVELOPMENT DEPARTMENT BY ITS REDEVELOPMENT COMMISSION: _________________________________________ President of the Redevelopment Commission Attest: _____________________________________________ Secretary of the Redevelopment Commission COMMUNICATIONS: None UNFINISHED BUSINESS AND GENERAL ORDERS: Comprehensive Plan Contract with Arsh Group Commissioner Wszolek made a motion to approve the contract with Arsh group for the Comprehensive Plan for the Redevelopment District subject to Attorney Westland’s review and changes to protect the town. Commissioner Herak seconded the motion. During the discussion of the motion, Commissioners thanked the previous Commissioners for their work on the contract. Commissioner Helmer questioned the implementation of the contract. Commissioner Wszolek stated that his own questions and those of the previous Commission were answered by Arsh Group at the last Study Session of the former Redevelopment Commission. Motion carried 4 ayes 1 nay. Commissioner Helmer voted nay. Goals and Objectives for 2006 Commissioner Wszolek made a motion to approve and accept the Goals and Objectives for 2006. Commissioner Herak seconded the motion. Motion passed 5 ayes 0 nays. NEW BUSINESS: Annual Report The Commissioners accepted the Annual Report for 2005. Commissioner Helmer indicated that the highlight of the 2005 Redevelopment Commission was the Best House on The Block Program. Commission Meeting Schedule Commissioner Wszolek made a motion to accept the following Redevelopment Commission meeting schedule: Public Meetings will be held on the first Monday of the month at 7:00 PM. Study Sessions will be held on the third Monday of the month at 7:00 PM and before the Public Meetings at 6:30PM and after the Public Meetings, if necessary. Commissioner Dernulc seconded the motion. Motion passed 5 ayes 0 nays. BUSINESS FROM THE COMMISSIONERS: None ACTION TO PAY ACCOUNTS PAYABLE VOUCHERS: Commissioner Dernulc made a motion to pay accounts payable vouchers. Commissioner Wszolek seconded the motion. Motion passed 5 ayes 0 nays. 094 REDEVELOPMENT GENERAL $ 4,409.09 096 REDEVELOPMENT CAPITAL $ 4,419.00 097 REDEVELOPMENT BOND & INTEREST $446,470.00 TOTAL $455,298.09 PUBLIC COMMENTS: 1. Al Pederson. 3437 Franklin Street. Mr. Pederson inquired if Mr. Magiera would sit on the negotiating team for the loan with Hammond. He asked if the Town Council will decide on the team or the Redevelopment Commission. 2. Ron Johnson. Calumet Press Reporter. Mr. Johnson questioned if the team will be a committee of the Redevelopment Commission or the Town Council. Attorney Westland responded that these questions will be taken up at a future Study Session of the Redevelopment Commission. 3. Keith Magiera. 3308 George Street. Mr. Magiera requested an answer from those who voted no on the bond issue to explain their vote. Commissioners responded. 4. James Stenger. 2933 Condit Street. Mr. Stenger declared that he would have appreciated their explanations earlier in the discussion of this issue. 5. Brian Novak. 3516 Eder Place. Mr. Novak questioned public input regarding the Town Manager position. 6. James Milligan. 3148 Eder Street. Mr. Milligan inquired why the Council would appoint themselves to the Redevelopment Commission when they have cited an overload of work as a reason to hire a Town Manager, NEXT MEETING: The next meeting of the Redevelopment Commission will be March 6, 2006 at 7:00PM at the meeting room in the Highland Municipal Building, 3333 Ridge Road, Highland, Indiana. The next Study Session will be on February 20, 2006 at the upper meeting room in the Highland Municipal Building, 3333 Ridge Road, Highland, Indiana at 7:00PM and on March 6, 2006 at 6:30 PM before the Public Meeting and after the Public Meeting, if needed. ADJOURNMENT: Commissioner Helmer made a motion to adjourn the meeting. Commissioner Wszolek seconded the motion. Motion passed 5 ayes 0 nays. Respectfully Submitted by Cecile L. Petro Interim Recording Secretary Redevelopment Director BACK TO MAIN MENU