City Council

REGULAR MEETING – March 15, 2011 The Common Council of the City of Michigan City, Indiana, met in regular session on Tuesday evening, March 15, 2011, at the hour of 6:30 p.m., local time, in the Common Council Chambers, located in the lower level of the City Hall Building, 100 East Michigan Boulevard, Michigan City, Indiana. The meeting was called to order at 6:30 p.m. by Council President Marc Espar. Roll call was authorized and the following were noted present and/or absent: PRESENT: COUNCIL MEMBERS Joe Doyle, Marc Espar, Phillip Jankowski, Robert McKee, Ron Meer, Richard Murphy, Faye Moore, Pat Boy, Angie Nelson (9). ABSENT: None (0). A QUORUM WAS NOTED PRESENT. ALSO PRESENT: City Clerk – Thomas Fedder, Deputy Clerk - Gale Neulieb, and Council Attorney – James Meyer. APPROVAL OF MINUTES President Espar inquired whether there were any corrections, deletions, or additions to the minutes of the Regular Meeting of March 1, 2011. Councilman Meer made a motion to approve the minutes as printed, second by Councilman McKee. The minutes were approved as printed. REPORTS OF STANDING COMMITTEES Councilman Jankowski advised the Finance Committee met prior to the Council meeting, stating the committee deleted one item in the amount of $10,000.00 and unanimously recommended approval for Riverboat Fund #9000 in the amount of $154,659.68. Councilman Jankowski commented on a few items regarding the Utility Committee; advising the Council received the Sanitary District’s response; advising he received the IDEM notice of violation that was issued on October 15, 2010, along with documents of exhibits which were related to that notice. Mr. Jankowski stated that he would get that information to each Council member. Councilman Jankowski stated that he contacted John Schaefer, City Controller regarding the Utilities Committee’s request for a clean copy of the detailed legal bills from the Sanitary District, advising that as of last Friday (March 11, 2011) he had not obtained a copy. Page 2 March 15, 2011 Councilwoman Moore addressed the Council regarding the first Unsung Hero Award Ceremony that was held on Monday, March 14, 2011, at the Senior Center by the Human Rights Commission and Disability Task Force, thanking everyone that attended. REPORTS OF SPECIAL OR SELECT COMMITTEES Councilwoman Boy presented the following reported on the Bus Extension Committee meeting that was held on Monday, March 7, 2011; Committee members Marc Espar, Ron Meer, and Pat Boy met with representatives of the Transportation Department – Monique Cook and Cranston Harris; the Drivers Union; Council members Jankowski, McKee, and Moore; and members of the public. After questions by the committee members and other Council members, the meeting was opened to public comment. The most obvious conclusion from Mr. Harris’ response to questions was that we need some new buses. This will soon become a necessity, whether we extend hours or not, but with extended hours, it may have to happen sooner. There are currently no grants available. There were discussions concerning on-demand service in the evening hours. There was concern that charging a regular fee for curb-to-curb service would be unfair, since the Dial-a-Ride service would be charging more. On-demand could be set up as a bus-stop to bus-stop ride for a regular rate and might possibly be better suited to the needs of riders, while cutting down on fuel costs and wear-and-tear on the buses. Councilman Espar requested more exact numbers on the ridership and cost per ride for thenext meeting. REPORTS of OTHER CITY OFFICERS and DEPARTMENTS Ta-Tanesha Clark, Executive Director/EEO Officer of the Michigan City Human Rights Commission presented the 2010 Fiscal Year Annual Department Report. Ms. Clark addressed Councilwoman Moore’s question advising there were two (2) full time employees in the Human Rights Department and twelve (12) Commissioners. Ms. Clark advised Councilman McKee that 50% of the complaints received in the Human Rights Department were people that live in Michigan City. Council President Espar thanked Ms. Clark for doing this presentation. CLAIM DOCKETS Councilman Jankowski made a motion to approve the claims from Fund #9000 – Riverboat in the amount of $154,659.68 second by Councilman McKee and Murphy. Motion carried 9 - 0. (Note: President Espar stated there was one (1) claim removed in the amount of $10,000.00 at the Finance Committee meeting held this evening). PETITIONS There were no petitions. COMMUNICATIONS There were no communications. Page 3 March 15, 2011 RESOLUTIONS The Clerk read by title only, MICHIGAN CITY COMMON COUNCIL RESOLUTION N0. 4467 ADOPTING A WRITTEN FISCAL PLAN AND ESTABLISHING A POLICY FOR THE PROVISION OF SERVICES TO THE AREA SITUATED AT THE SE CORNER OF US HIGHWAY 421 AND 400 NORTH, MICHIGAN CITY, INDIANA, A PROPOSED ANNEXATION AREA WHEREAS, the City of Michigan City, Indiana, desires to annex certain real estate situated at the SE Corner of US Highway 421 and 400 North, Michigan City, Indiana, and more specifically described in a proposed Ordinance entitled AAn Ordinance of the Common Council of the City of Michigan City, Indiana Annexing Real Estate Situated at the SE Corner of US Highway 421 and 400 North, Michigan City, Indiana and Declaring the Same to Be a Part of the City of Michigan City, Indiana and Providing Zoning Classification Therefore;@ and WHEREAS, this annexation shall also include all contiguous areas of all highways and rights of ways as required by Indiana Code 3 6-4-3-2.5 and shall be included in the fourth Council manic ward and will have a B-2 zoning classification. WHEREAS, responsible planning and state law require adoption of a fiscal plan and definite policy for the provision of services to annexed areas; and WHEREAS, such a plan and policy have been developed and presented to the Common Council, entitled AFiscal Plan.@ NOW, THEREFORE, BE IT RESOLVED BY THE COMMON COUNCIL OF THE CITY OF MICHIGAN CITY, INDIANA as follows: 1. The Common Council of the City of Michigan City, County of LaPorte, Indiana, hereby approves and adopts the Fiscal Plan, which plan is attached hereto and made a part hereof, and hereby approves and adopts the specific policies for implementation of the Plan as set out therein. 2. Any monies necessary for the provision of services as described and itemized in the attached Plan shall be budgeted and appropriated from the applicable fund, pursuant to state law and the City=s budget procedure. The services of a non-capital nature described in the Fiscal Plan are equivalent in standard and scope to such non-capital services provided to areas within the corporate boundaries of the City of Michigan City that have similar topographies, patterns of land use, and population density. Services of a capital improvement nature that are described in the Fiscal Plan will be provided to the annexed territory within three (3) years after the effective date of this annexation in the same manner as those services are provided to areas within the corporate boundaries of the City of Michigan City that have similar topography, patterns of land use, and City Common Council population density, and in a manner consistent with federal, state and local laws, procedures and planning criteria. 4. This Resolution shall become effective as of the date of passage of the proposed ordinance entitled AAn Ordinance of the Common Council of the City of Michigan City, Indiana Annexing Real Estate situated at the SE Corner of US Highway 421 and 400 North, Michigan City, Indiana Michigan City, Indiana, and including all contiguous areas and its rights of ways as required by Indiana Code 36-4-3-2.5 and Declaring the Same to Be a Part of the City of Michigan City, Indiana. This annexation shall be included in the fourth councilmanic ward and will have a zoning classification of business - 2 . This Resolution shall be in full force and effect after passage and approval by the Mayor. Introduced by: /s/ Marc Espar, Member Michigan City Common Council /s/ Joseph Doyle, Member Michigan City Common Council /s/ Patricia Boy, Member Michigan City Common Council Page 4 March 15, 2011 (NOTE: This proposed resolution was TABLED until the next Council meeting (March 15, 2011) at the Council meeting held on March 1, 2011). Councilman Doyle made a motion to adopt the proposed resolution, second by Council members Boy and McKee. Attorney Bergerson, 601 Franklin Street, representing VIRK VEER, LLC addressed the Council regarding the proposed resolution advising the owners of VIRK VEER, LLC were present to answer any questions the Council may have. John Pugh, Director, Michigan City Planning and Inspection Department addressed the Council advising they surveyed the property requesting the annexation, and that there would be no additional estimated cost to the City. Mr. Pugh stated that the Planning Department supports the proposed annexation. Attorney Bergerson addressed Councilwoman Boy’s question regarding who would be responsible for the Police/Fire protection . Attorney Meyer and Attorney Bergerson agreed that the second whereas should read as follows: WHEREAS, this annexation shall also include all contiguous areas of all highways and rights of ways as required by Indiana Code 3 6-4-3-2.5 and shall be included in the fourth Council manic ward and will have a B-2 zoning classification. Council President Espar made an authors amendment changing the second whereas to “fourth” and add “B-2 zoning classification” to the paragraph to read as Attorney Meyer and Bergerson advised. President Espar asked if there were any questions or comments by the Council and hearing none the Resolution was adopted by the following vote: AYES: Council Members Nelson, Boy, Doyle, Espar, Jankowski, McKee, Meer, Moore, and Murphy (9). NAYS: None (0). The Clerk read by title only, SUPPORTING APPLYING FOR A COASTAL AND ESUARINE LAND CONSERVATION PROGRAM (CELCP) GRANT FOR THE PURPOSE OF ACQUIRING THE MOON VALLEY PARCEL AND PLEDGING AN AMOUNT NOT TO EXCEED $200,000 TOWARDS THE PURCHASE PRICE OF THE MOON VALLEY PARCEL Introduced by: Richard Murphy Pat Boy Council President Espar stated that he would be referring the proposed resolution to the Moon Valley Select Committee. Councilman Murphy stated representatives from Save the Dunes, Indiana DNR, and the Shirley Heinz Land Trust were in attendance, advising they are the project leaders for the Moon Valley Project. Nichole Kamins, 7888 N. 50 E., LaPorte Executive Director, Save the Dunes located at 444 Barker Road, Michigan City did a presentation for the Council regarding Moon Valley (saving the last large, privately-owned assemblage of Dune in LaPorte County). The following citizens addressed the Council regarding the proposed resolution (Moon ValleyProject); Attorney Steve Hale (Chester Street), Tony Drzewiecki, (President of Michigan City Firefighters, Local 475), Kathleen Zmuda (2005 Juneway Dr.), Eric Nagu Page 5 March 15, 2011 (Chicago, Civil Engineer - Trail Creek Open Space Plan), Greg Tuel (1527 E. 8th Street, President- Krueger Neighborhood Assoc.), Shawn Kaczmarek (1535 Lake Shore Drive – Executive Team Leader for Save the Moon Valley Group), Iczak LaVelle (Professor – University of Chicago), Duane Parry (Michigan City resident), Dale Enquist (Shirley Heinz Board Trust Board Member), Jason Miller (LaPorte County Convention and Visitors Bureau), Andy Swan (421 Lake Hills Road), Betty Lou Nault (1501 Lake Shore Drive – President of the League of Woman Voters), Tom Marren (808 Lake Shore Drive – representing Sheridan Beach Homeowners Association), Tom Stevenson (2515 Lake Shore Drive), Johnny Stimley (3205 Tilden Ave), Nancy Til (1509 Lake Shore Drive), Margaret Picur (1009 Tennessee Street), Jeff Southerlin (1219 Earl Road), John Irvin (resident Jackson Township – DNR), Jennette Neagu (3739 Lexington Road), Ed Merrion (5877 Warnke Road, Mike Moldenhour (DNR – Program Manager), Bridget McKee (618 Washington Park Blvd.), Brian McKee (618 Washington Park Blvd.), Bob Curry (Michigan City resident), Aaron Brewe (Felton Street-business owner). Mayor Oberlie addressed the Council regarding the Moon Valley Project assuring the Council that if they adopt the proposed resolution he is ready to sign it, along with a letter of commitment to move the project forward. Council President Espar created a Moon Valley Select Committee made up of the Chairpersons of Planning/ Economic Development, a representative of Education along with the Parks and Recreation Department. Mr. Espar stated the members of the Committee would be Councilmen Murphy and Doyle and Councilwoman Nelson. Councilman Murphy presented the following to the Council: We have an once in a lifetime opportunity to impact generations to come who will reap the benefits of one of the last parcels of significant acreage of undeveloped rare remnant dune in Indiana. moon valley is part of our history, has been enjoyed by our neighborhoods over the years, part of who Michigan City is. The dunes have inspired us, allowed us to experience nature, live more healthy life styles, cleaned our air and water, provided for educational opportunities for our children, but in addition to all of these benefits, the real opportunity is that the dunes have powerful economic benefits, benefits that can begin accruing today in the moon valley parcel and begin to grow exponentially over time in a state managed dune preserve for all Michigan City residents to enjoy, all at a zero operating cost to the city forever. This land will never be offered at a better price and upon purchase under the proposed plan will create a 120 acre state dune reserve and begin adding economic value immediately and will never stop adding value. Economic Benefits of Protecting Open Space According to the American Planning Association (APA), “Parks provides intrinsic environmental, aesthetic, and recreation benefits to our cities. They are also a source of positive economic benefits. They enhance property values, increase municipal revenue, bring in homebuyers and workers, and attract retirees. At the bottom line, parks are a good financial investment for a community. Understanding the economic impacts of parks can help decision makers better evaluate the creation and maintenance of urban parks.” The APA’s research shows that: • Real property values are positively affected. • Municipal revenues are increased. • Retirees are attracted and retained. • Workers, particularly educated workers, are attracted to live and work. • Homebuyers are attracted to purchase homes. (Source: American Planning Association, http://www.planning.org/cityparks/briefingpapers/economicdevelopment.htm) This parcel is extremely rare with critical resources, much more bio diverse and ecologically significant than mt. baldy, and has several state listed rare and endangered species, AND the potential to locate new undiscovered species and bring back species we have lost. you just can't put a price on that. Michigan City can lead the region in embracing a vision for a comprehensive network of biologically diverse green spaces which we can market to attract new business, new residents, new opportunities. the state and the region are looking to us for this leadership, to understand the valuable natural resources we are sitting on, and to reap all the economic, environmental, quality of life, and educational opportunities of this vision of what will amount to a 120 acres (1.2 miles long) of rare remnant dune preserve in Michigan City. The possibilities are great, generations of kids that can grow up experiencing the dunes right here in Michigan City, or be able to learn in an outdoor classroom setting, learning their science in a curriculum based on hands on experience in the rare Michigan City dunes, or kids who grow up in an urban environment being able to experience the wonder of the dunes right here in Michigan City within walking distance, or a short bike ride from their homes. Page 6 March 15, 2011 This council which repeatedly embraced and supported the leveraging of grants to pursue acquisition of green space along the trail creek corridor where we have valuable salmon fishing, a diverse trail creek ecosystem, we have opened up the opportunity for padding, kayaking, and now the opportunity to explore more greenway and blueway trails. this council has recognized the economic value of enhancing our coastal identify. this is money in the bank for Michigan City. as the identity grows, so does our ability to market Michigan City to businesses, new residents, visitors, as new enterprises begin to see this coastal identity clearly, and want to be part of Michigan city, a city in the dunes on the southern coast of lake Michigan. We can no longer climb Hoosier slide but we maybe we can still hike and breath the air, climb to the lookout points, and watch the wildlife of moon valley. please consider this opportunity and how powerful it could be for Michigan City. it's a decision that requires us to look far ahead, to have vision, to be able to see the positive impact on residents and visitors of Michigan City for generations to come. at this point, we need the support of the council to keep this project alive. MOON VALLEY The Indiana Department of Natural Resources, Save the Dunes, Shirley Heinz Land Trust and other conservation organizations are working to pursue a grant opportunity to acquire Moon Valley with the goal of preserving it as open space for generations to come. Indiana’s critical dune areas are unique, irreplaceable, and fragile resources. They provide significant economic, scientific, educational, ecological and recreational benefits to Hoosiers and to visitors. The Moon Valley property is one of the last undeveloped dune properties in Indiana. It consists of 57-acres of globally rare remnant dune habitat that remains biologically important, even after a history of nearby sand mining. In fact, the site is home to six plant species of statewide concern, both rare and endangered. The property is in Michigan City, Indiana immediately bordering the Town of Long Beach. Vision Moon Valley is adjacent to other important open spaces preserved by Save the Dunes (Stockwell Woods) and several parcels owned by Long Beach. This 57-acre parcel would create 100 acres of contiguous and permanently protected open space for Michigan City and Long Beach residents. We know that habitats this large have many benefits for plants and animals native to the dunes, many of which are rare, threatened or endangered. There are numerous benefits to residents as well. We believe that residents and visitors alike will enjoy walking there and observing wildlife of the beautiful coastal ecosystem. Funding The partners involved are pursuing a competitive grant from the Coastal and Estuarine Land Conservation Program (CELCP) through the National Oceanic and Atmospheric Administration (NOAA). CELCP was established in 2002 to protect coastal and estuarine lands considered important for their ecological, conservation, recreational, historical or aesthetic values. The program provides state and local governments with matching funds to purchase significant coastal and estuarine lands, or conservation easements on such lands, from willing sellers. Lands or conservation easements acquired with CELCP funds are protected in perpetuity for the enjoyment of future generations. Timeline The funds for this project would be from federal Fiscal Year 2012; this grant application is dependent upon funding being provided to the CELCP program for that period. If a complete grant application can be developed based on various realities, the application would then be submitted to NOAA on April 15, 2011. If awarded, the property would transfer early to mid-2012 depending on agency and financial processes and other realities. Environmental Benefits of Protecting Open Space Moon Valley’s protection would benefit this special ecosystem. In general, open spaces: • Preserve habitat for plant and animal species. • Have trees and plants that filter pollutants, reducing health care costs related to air pollution. • Filter noise pollution from highways and other urban sources. • Filter and purify stormwater, keeping water and the lake clean. • Hold water longer than developed impervious surfaces (such as asphalt), reducing flooding. • Provide walking trails, benefitting public health. • Get kids outside into nature as alternative to being indoors playing video games. In fact, there is a national movement called Leave No Child Inside that is working to connect kids to open spaces, which can improve mood, behavior, and grades. Economic Benefits of Protecting Open Space According to the American Planning Association (APA), “Parks provide intrinsic environmental, aesthetic, and recreation benefits to our cities. They are also a source of positive economic benefits. They enhance property values, increase municipal revenue, bring in homebuyers and workers, and attract retirees. At the bottom line, parks are a good financial investment for a community. Understanding the economic impacts of parks can help decision makers better evaluate the creation and maintenance of urban parks.” The APA’s research shows that: • Real property values are positively affected. • Municipal revenues are increased. • Affluent retirees are attracted and retained. • Workers, particularly educated workers, are attracted to live and work. • Homebuyers are attracted to purchase homes. (Source: American Planning Page 7 March 15, 2011 Association, http://www.planning.org/cityparks/briefingpapers/economicdevelopment.htm) Who Will Own the Property? Should CELCP funds be awarded, the property would transfer to the Indiana Department of Natural Resources. The property would be designated a State Nature Preserve. Parking / Access The planning team is exploring possible access points along a current easement as well as new opportunities with the Town of Long Beach for pedestrians and a small number of vehicles. Hours The site would be a State Nature Preserve, and as such, it would be open from dawn until dusk. Trails The CELCP grant program does not allow for improved trails, but DNR may seek additional funds to install these at a later time. Maintenance / Trash Removal/Facilities As is customary with other DNR State Nature Preserves, it is expected that visitors will remove their own trash; receptacles will not be provided. A DNR staff person will visit the site approximately once a month to monitor the grounds and conduct ecological restoration activities. At this time, no public washrooms are planned for the site. Allowed Activities This grant would allow for passive recreation only. Walking, birdwatching, and walking a dog on a leash will be allowed. Bicycles, off-road vehicles, horseback riding, or any other types of active recreation will not be allowed Council President Espar stated that various members of the Council have comments and questions, advising a more appropriate place for them would be to schedule a Moon Valley Select Committee meeting. Councilwoman Boy made a motion to adopt the following amendment; Section 4. The City Controller is authorized to accept any donations from outside sources to add to this fund and to reduce the amount of riverboat funds expended by the City in supporting this grant. The motion was second by Councilman McKee and Councilwoman Nelson. Page 8 March 15, 2011 Councilwoman Boy stated that it would be beneficial to organize a benefit to receive support towards the Moon Valley Project. Councilwoman Moore addressed the Council regarding City workers receiving their fair share; concentrate on extended bus service within our community, and looking into purchasing new buses that are needed. Ms. Moore stated a fundraiser could be organized to receive more support for the Moon Valley Project, rather than relying on the City Council to approve the funding. President Espar asked if there were any questions or comments by the general public or Council and hearing none the amendment was adopted by the following vote: AYES: Council Members Boy, Doyle, Espar, Jankowski, McKee, Meer, Moore, Murphy, and Nelson (9). NAYS: None (0). Council Members Boy and Meer addressed the Council regarding the proposed resolution. Council President Espar advised the Moon Valley Select Committee meeting would be held on Tuesday, March 22, 2011. Council President Espar asked if there were any other questions or comments by the general public or Council and hearing none the proposed amended resolution would be addressed at the next Council meeting (April 5, 2011). (NOTE: Council President Espar called a two minute recess 8:29 p.m.) The Clerk read by title only, MICHIGAN CITY COMMON COUNCIL RESOLUTION NO. 4468 CONGRATULATING THE MICHIGAN CITY POP WARNER JUNIOR PEE WEE FOOTBALL TEAM FOR WINNING THE 2010 DIVISION II NATIONAL CHAMPIONSHIP AND REQUESTING THAT THE MICHIGAN CITY BOARD OF WORKS INSTALL SIGNAGE ANNOUNCING THAT FACT WHEREAS, the Michigan City Pop Warner Junior Pee Wee football team are the 2010 Pop Warner Division II National Champions; and WHEREAS, no other Indiana Pop Warner football team has ever won a Pop Warner National Championship in any Division; and WHEREAS, the National Championship was the result of a great deal of hard work, dedication, and selfless teamwork by all of the team members, coaching staff, and parents which is to be admired and emulated; and WHEREAS, the National Championship has brought honor and prestige to all of Michigan City for which all of the team members, coaching staff, and parents of the Junior Pee Wee football team are deserving of the City's applause and appreciation. NOW, THEREFORE, BE IT RESOLVED that the Michigan City Common Council hereby congratulates the team members, coaching staff, and parents of the Michigan City Pop Warner Junior Pee Wee football team on winning the 2010 Pop Warner Division II National Championship and, on behalf of all of the citizens of Michigan City, thanks them for all of their hard work, dedication, and selfless teamwork needed to bring the City the honor of having the National Champions; and The Common Council requests that the Michigan City Board of Works make all necessary reasonable efforts and expenditures to install signage at the various entrances to the City on major thoroughfares announcing the fact that Michigan City is the home of the 2010 Pop Warner Division II National Champions. INTRODUCED BY: /s/ Ron Meer, Member /s/ Phil Jankowski, Member CO-SPONSOR: /s/ Angie Nelson, Member Page 9 March 15, 2011 Councilman Meer stated the proposed resolution is requesting signage to be installed announcing the fact that Junior Pee Wee Football Team and their great achievement as the 2010 National Championship be installed at the entrances of Michigan City. Mr. Meer advised that this was brought to his attention by some of the Pop Warner parents and thought it was a good idea, advising that Mayor Oberlie already had the signs being made and are being installed. Councilwoman Boy stated; “ National Champs – way to go!” Councilman Meer made a motion to adopt the resolution, second by Council Members Boy, Nelson and Jankowski. President Espar asked if there were any questions or comments by the Council and hearing none the proposed resolution was adopted by the following vote: AYES: Council Members Doyle, Espar, Jankowski, McKee, Meer, Moore, Murphy, Nelson, and Boy (9). NAYS: None (0). The Clerk read by title only, MICHIGAN CITY COMMON COUNCIL RESOLUTION NO. 4469 RESCINDING SECTION 3 OF RESOLUTION NO. 3382 ADOPTED BY THE COMMON COUNCIL ON APRIL 15, 1997 REGARDING ALLOCATION OF TAX REVENUES WHEREAS, the Michigan City Redevelopment Commission (the "Commission"), governing body of the City of Michigan City Department of Redevelopment (the "Department") and the Redevelopment District of the City of Michigan City, Indiana (the "Redevelopment District"), exists and operates under the provisions of the Redevelopment of Cities and Towns Act of 1953, which has been codified at I.C. 36-7-14, as amended from time to time (the "Act"); and WHEREAS, the Commission has previously designated an area within the City of Michigan City, Indiana (the "City"), to be a redevelopment area pursuant to the provisions of the Act designating the area as the Community Center No. 1 Expanded Urban Renewal Area (the "Area"); and WHEREAS, the Commission on January 6, 1997, approved and adopted a resolution expanding the Area by designating and declaring an additional area to be blighted and designating such area as an allocation area for purpose of tax increment finance, which resolution was approved by the Plan Commission on January 28, 1997; and Page 10 March 15, 2011 WHEREAS, the Common Council adopted Resolution No. 3382 on April 15, 1997 ("Resolution No. 3382"), which resolution (i) approved the action of the Plan Commission with respect to the expansion of the Area; (ii) directed the Commission to place the Lighthouse Place property on the tax rolls beginning as of March 1, 1999; and (iii) directed the Commission to take such action as may be necessary to provide that property taxes collected with respect to the gaming riverboat, which at the time of the adoption of Resolution No. 3382 was under construction and located in the Area as expanded, should be paid to the overlapping taxing units and not allocated as tax increment finance revenues; and WHEREAS, the LaPorte County Auditor (the "Auditor"), to effect the direction of the Common Council to pass through to the overlapping taxing units property taxes collected with respect to the gaming riverboat then under construction, placed an amount of the assessed value relating to the parcel of property which contains the gaming riverboat (the "Gaming Parcel") in the Base Assessed Value of the Area, as such term is defined by Section 39 of the Act; and WHEREAS, given that the Auditor has placed an amount of the incremental increase of assessed value relating to the Gaming Parcel in the Base Assessed Value of the Area, the Common Council desires to rescind Section 3 of Resolution No. 3382 in order to prevent any confusion regarding the allocation of taxes from increases in assessed value on the Gaming Parcel. NOW, THEREFORE, BE IT RESOLVED BY THE COMMON COUNCIL OF THE CITY OF MICHIGAN CITY, INDIANA, AS FOLLOWS: 1. The Common Council hereby rescinds Section 3 of Resolution No. 3382 of the Common Council. The rescission of Section 3 as set forth herein is effective retroactively as of the March 1, 2007, assessment date. Adjustments made by the Auditor pursuant to Section 3 of Resolution No. 3382 prior to March 1, 2007, shall remain in effect notwithstanding the foregoing. 2. The Common Council adopts this resolution in order to remove any confusion regarding incremental increases in assessed value of property located on the Gaming Parcel which are greater than the Base Assessed Value of the property. Property taxes collected from increases in assessed value on the Gaming Parcel as of March 1, 2007, and thereafter should be allocated for the purposes set forth in Section 39 of the Act for use by the Commission pursuant to Section 39 of the Act. 3. Other than the rescission of Section 3 of Resolution No. 3382 as set forth herein, all of the remainder of Resolution No. 3382 remains in full effect and force. 4. This Resolution shall be in full force and effect from and after passage by the Common Council and approval by the Mayor and shall be filed with the LaPorte County Auditor thereafter. Page 11 March 15, 2011 Adopted at a meeting of the Common Council held on this 15th day of March, 2011. Introduced by: /s/ Marc A. Espar, Member (NOTE: Council President Espar stated that this resolution came out of the Committee meeting where the Elston Grove Project was considered. Mr. Espar advised the proposed resolution would be clarifying the language as it deals with incremental tax revenues associated with the Blue Chip Boat.) Council President Espar thanked the attorneys from the Redevelopment Commission for drafting the proposed resolution and working with the Council. Councilman Jankowski made a motion to adopt the resolution, second by Councilman McKee. President Espar asked if there were any questions or comments by the Council and hearing none the proposed resolution was adopted by the following vote: AYES: Council Members Espar, Jankowski, McKee, Meer, Moore, Murphy, Nelson, Boy, and Doyle (9). NAYS: None (0). The Clerk read by title only, RECOMMENDING THAT CASINO FUNDS BE EXPENDED FOR THE PERFORMANCE OF A THOROUGH AND OBJECTIVE ASSESSMENT AND EVALUATION OF ALL OF THE FACILITES OF THE MICHIGAN CITY SANITARY DISTRICT BY A PROFESSIONAL ENGINEERING CONSULTANT AND A 20 YEAR PRIORITIZED PLAN FOR CONSTRUCTING CAPITAL IMPROVEMENTS FOR THE SANITARY DISTRICT Introduced by: Ron Meer, Member Phil Jankowski, Member Angie Nelson, Member Councilman Jankowski advised that Councilwoman Nelson wanted to be added as a Co- Sponsor. Joie Winski, 318 Garrettson Avenue, addressed the Council regarding her concerns on the proposed resolution. Discussion ensued among President Espar, Councilman Meer and Ms. Winski. Jeff Southerlin, 1219 Earl Road, addressed the Council regarding Ms. Winski’s comments, asking the Council to TABLE the proposed resolution until questions regarding the resolution are answered. Attorney Mike Bowman, Plews, Shadley, Racher, Breaun, Law Office, 1346 Delaware, Indianapolis, Counsel for the Michigan City Sanitary District, addressed the Council with the Sanitary Districts response regarding the notice/violations from IDEM issued October, 2010. John Espar, Corporation Counsel, addressed the Council with concerns of the language in the proposed resolution. Attorney Espar respectfully asked the Council to reconsider the proposed resolution requesting to either withdraw it or not pass it. Mayor Oberlie stated that he didn’t believe the proposed resolution was necessary and is certain the Council and himself share the same goal; a efficient and safely operated plant that meets or exceeds all performance standards. Mayor Oberlie advised from that perspective, asking the Council to reject the proposed resolution. Page 12 March 15, 2011 Councilwoman Nelson addressed the Council with several reasons how the proposed resolution got to this point, advising the Council could never get any answers to information that was requested by the Utility Committee or Council from the Sanitary District. Ms. Nelson commented on the meetings held between the Sanitary District and Council, stating the Sanitary District would not answer one question presented to them during those meetings and how frustrating it was. Councilman Meer thanked Councilwoman Nelson for her comments, advising that the Council received more information this evening than they have over the past eighteen months (18) from the Sanitary District. Mr. Meer agreed with Attorney Espar on a legal perspective regarding the proposed resolution. Mr. Meer commented on Mayor Oberlie’s statements, stating eighteen (18) months ago there was nothing wrong at the Sanitary District and Attorney Bowman stated there have been several corrections, upgrades, procedures/safety training employees throughout the Sanitary District. Mr. Meer addressed several issues/overflows that happened in the past few years throughout the City. Mr. Meer asked for a true commitment from the administration that issues are going to be addressed and the Council knows what is going on; and will support the withdrawal of the proposed resolution in the best interest of Michigan City. Councilman Jankowski agreed with his colleagues advising the Sanitary District clearly identified this evening what poor shape the Sanitary District has been in with all the problems they have addressed. Mr. Jankowski stated if a facility plan had been in place many of these issues would have been resolved years ago. Mr. Jankowski addressed the City Council’s interest in participating in these issues, advising he feels a need for the Sanitary District to have an independent facility study. Attorney Meyer answered Councilman Jankowski’s question about what his legal opinion would be regarding the proposed resolution. Councilwoman Nelson, Councilman Meer, and Councilman Jankowski agreed to withdraw the proposed resolution, bringing the resolution back with amendments. Councilwoman Boy commented on the proposed resolution that was brought to the Council this evening and that she agrees it needs to be amended and brought back at a later date. Councilman McKee agreed with Councilwoman Nelson’s frustration that the Council has all felt, stating Mayor Oberlie along with the Sanitary District stated they would provide the Council with the facility plan they asked for. Councilman McKee stated Mayor Oberlie, the Council and Sanitary District need to work together and maybe at the next meeting scheduled it will be a better one and that these issues need to be worked on for the good of the City. Mr. McKee stated that he sees more wrong with the proposed resolution than right, agreeing with Councilwoman Boy that it needs to be taken back to the drawing board. Councilman Meer stated that he agrees with the spirit of cooperation, however there was extreme efforts early on to cooperate with individuals that have come forward to the spirit of cooperation recently. Mr. Meer advised that the Council should come back with a different variation of the proposed resolution to accommodate with what the Corporate Counsel, Administration and Sanitary District is proposing. Councilman Meer made a motion to withdraw the proposed resolution, second by Councilwomen Nelson and Boy. President Espar asked if there were any Council members that would want to sponsor the proposed resolution and hearing none, the resolution was withdrawn. Page 13 March 15, 2011 ORDINANCES The Clerk read on second reading by title only, ANNEXING REAL ESTATE SITUATED AT THE SE CORNER OF US HIGHWAY 421 AND 400 NORTH, MICHIGAN CITY, INDIANA AND DECLARING THE SAME TO BE A PART OF THE CITY OF MICHIGAN CITY, INDIANA AND PROVIDING ZONING CLASSIFICATION THEREFORE Introduced by: Marc Espar Joe Doyle Councilman Doyle stated that Attorney Bergerson, respresenting VIRK VEER, LLC was present to answer any questions the Council may have. Council President Espar asked if there were any questions or comments by the general public or Council and hearing none, President Espar opened the formal public hearing, repeating three times “Any questions or comments by the general public at this time?” Attorney Bergerson, representing VIRK VEER, LLC addressed the Council regarding the annexation located at the SE corner of U.S. Highway 421 and 400 N., commonly known as BP AMOCO. President Espar repeated three times, “Any questions or comments by the general public at this time?” There was no other response and the public hearing was closed. Councilwoman Boy asked to be added as a sponsor to the proposed ordinance. Attorney Meyer advised on page two (2) of the proposed ordinance should read; Section 3: and will have a B-2 zoning classification in accordance with Comprehensive Zoning Ordinance of Michigan City ……. Council President Espar asked if there were any questions or comments by the Council and hearing none, the ordinance was laid over for third and final reading at the April 5, 2011 Council meeting. The Clerk read on second reading by title only, AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF MICHIGAN CITY, INDIANA REPEALING SUBDIVISION CONTROL AND CONDOMINIUM DIVISION STANDARD ORDINANCE OF THE CITY OF MICHIGAN CITY, LAPORTE COUNTY, INDIANA, BEING ORDINANCE NO. 2738 IN ITS ENTIRETY, INCLUDING ALL AMENDMENTS, AND ESTABLISHING SUBDIVISION CONTROLS AND REGULATIONS FOR MICHIGAN CITY, INDIANA, PROVIDING FOR THE ADMINISTRATION AND PENALTIES FOR VIOLATION THEREOF, AND REPEALING ALL CONFLICTING ORDINANCES Introduced by: Richard Murphy Co-Sponsor: Pat Boy Councilman Murphy reported on the Planning and Zoning Committee held on Monday, March 7, 2011. Mr. Murphy advised the committee unanimously recommended to adopt. (NOTE: Council President Espar stated there would be a formal public hearing held this evening.) Council President Espar asked if there were any questions or comments by the general public or Council and hearing none, President Espar opened the formal public hearing, repeating three times “Any questions or comments by the general public at this time?” There was no response and public hearing was closed. Council President Espar asked if there were any questions or comments by the Council and hearing none, the ordinance was laid over for third reading at the next Council meeting (April 5, 2011). Page 14 March 15, 2011 The Clerk read on second reading by title only, MICHIGAN CITY COMMON COUNCIL ORDINANCE NO. 4135 APPROVING A LEASE FOR CERTAIN PUBLIC IMPROVEMENTS BETWEEN THE MICHIGAN CITY REDEVELOPMENT AUTHORITY AND THE MICHIGAN CITY REDEVELOPMENT COMMISSION FOR THE ELSTON GROVE HISTORIC DISTRICT RECONSTRUCTION PROJECT _______________________________________________ WHEREAS, the Michigan City Redevelopment Commission (the “Commission”), at a meeting on January 10, 2011, adopted a resolution (i) approving a proposed lease between the Commission and the Michigan City Redevelopment Authority (the “Authority”) to be dated as of April 1, 2011 (the “Lease”), for certain land and public improvements consisting of the financing of all or any portion of the costs of the: (a) installation of sewer improvements on Cedar Street and Spring Street; (b) renovation, construction and installation of various street improvements on Lafayette Street, 7th Street, 8th Street and 10th Street; (c) renovation of 9th Street to allow for two- way traffic and other related improvements (collectively, the “Project”), (ii) scheduling a public hearing on said lease to be held on February 14, 2011, pursuant to Indiana Code § 36–7–14–25.2, and (iii) authorizing the publication of a notice of public hearing on said lease pursuant to Indiana Code § 5–3–1; and WHEREAS, the Authority, at its meeting on January 24, 2011, adopted a resolution, which, among other things, approved the Lease, and ratified the filing of a copy of the Lease, as approved, with the Commission; and WHEREAS, on February 14, 2011, the public hearing on the Lease was held and all interested parties were provided the opportunity to be heard at the hearing; and WHEREAS, the Commission, at its meeting on February 14, 2011, adopted a resolution (the “Lease Resolution”) finding, pursuant to Indiana Code § 36–7–14.5–14, that the rental payments to be paid by the Commission to the Authority pursuant to the Lease, at an annual rate not to exceed Five Hundred Thousand and 00/100 Dollars ($500,000.00) payable in semiannual installments beginning on the day the Project is completed and ready for use, or January 15, 2013, whichever is later, through expiration of the Lease, are fair and reasonable, and finding, pursuant to Indiana Code § 36-7-14-25.2, that the use of the Project throughout the term of the Lease will serve the public purpose of the City of Michigan City, Indiana (the “City”) and is in the best interests of its residents; and WHEREAS, the Lease Resolution further approved and ratified action of the Secretary of the Commission to file with the Common Council of the City (the “Common Council”) an approving ordinance for the purposes of said Common Council's finding, prior to the Commission's execution of the Lease, that the rental payments are fair and reasonable and that the use of the Project throughout the term of the Lease will serve the public purpose of the City and is in the best interests of its residents, and for purposes of approving the Lease; and WHEREAS, Indiana Code § 6–1.1–20–1 provides that a project is not a “controlled project” for the purposes of the lease approval procedures of Indiana Code § 6–1.1–20, if the political subdivision, as lessee, Page 15 March 15, 2011 reasonably expects that lease rentals for the project will be payable from funds exempt from the levy limitations of Indiana Code § 6–1.1–18.5 or Indiana Code § 6–1.1–19, even though the political subdivision pledges to levy a property tax for the payments of such Lease Rentals (as defined herein) to the extent such exempt funds are insufficient; and WHEREAS, tax increment revenues allocated for the payment of the lease rentals for a project are exempt from the levy limitations of Indiana Code § 6–1.1–18.5, and the Commission estimates that the tax increment revenues available to the Commission for the Project (the “TIF Revenues”) are sufficient to provide the payment of the lease rentals due under the Lease (the “Lease Rentals”); and WHEREAS, the Commission intends to use the TIF Revenues for the payment of the Lease Rentals and reasonably expects that the Lease Rentals shall be payable from TIF Revenues of the Commission available for the Project and, as a result, the Commission has determined that the Project is not a “controlled project” for the purposes of the lease approval procedures of Indiana Code § 6–1.1–20; and WHEREAS, the Common Council desires to approve said Lease, pursuant to Indiana Code § 36–7– 14–25.2, which provides that any Lease approved by a resolution of the Commission must be approved by an ordinance of the fiscal body of the unit; NOW, THEREFORE, BE IT ORDAINED BY THE COMMON COUNCIL OF THE CITY OF MICHIGAN CITY, INDIANA: 1. The Common Council hereby finds that the rental payments, as approved by the Commission, are fair and reasonable, and further finds that the use of the Project throughout the term of the Lease will serve the public purpose of the City and is in the best interests of its residents. 2. The Common Council hereby approves said Lease, as approved by the Commission, pursuant to Indiana Code § 36–7–14–25.2, in substantially the form provided at this meeting and attached hereto as Exhibit A. 3. This Ordinance shall be in full force and effect from and after passage by the Common Council and approval by the Mayor. Adopted at a meeting of the Common Council held on this 15th day of March, 2011. Introduced by: /s/ Richard Murphy, Member /s/ Ron Meer, Member Councilman Meer stated that the improvements to Elston Grove were well over due. Councilman Meer made a motion to adopt the proposed ordinance, second by Council Members Murphy and Boy. Council President Espar asked if there were any other questions or comments by the general public or Council and hearing none the ordinance was adopted by the following vote: Council Members Jankowski, McKee, Meer, Moore, Murphy, Nelson, Boy, Doyle, and Espar (9). NAYS: None (0). Page 16 March 15, 2011 The Clerk read on third reading by title only, MICHIGAN CITY COMMON COUNCIL ORDINANCE NO. 4136 APPROVING ADDITIONAL APPROPRIATION IN THE BUDGET OF THE ANIMAL CONTROL FUND FOR COMPLANCE WITH ORDINANCE 3965 WHEREAS, it has been demonstrated to the Common Council of the City of Michigan City that it is necessary to appropriate more money than was appropriated in the 2011 Annual Budget for the Animal Control Fund to comply with Memorandum of Understanding with Michiana Humane Society and the Independent Cat Society; and WHEREAS, the City Controller has determined that sufficient unappropriated funds are available in the Animal Control Fund #615 to be appropriated for that purpose. NOW, THEREFORE, BE IT ORDAINED by the Common Council of the City of Michigan City, LaPorte County, Indiana, that for the expenses of the City the following additional sums of money are hereby appropriated out of the fund named and for the purpose specified, subject to the laws governing the same: AMOUNT AMOUNT REQUESTED APPROPRIATED DECREASE Animal Control Fund #0615 Unappropriated balance $16,298.78 INCREASE ACCOUNT #0615 0000 03 439.011 Contractual Services $16,298.78 TOTAL FOR FUND $16,298.78 This Ordinance to be effective upon passage by the Council, approval by the Mayor, any necessary publication, and any necessary approval by the Indiana Department of Local Government Finance. INTRODUCED BY: /s/ Marc Espar, Member /s/ Richard Murphy, Member CO SPONSOR /s/ Phillip Jankowski, Member (NOTE: Council President Espar stated there was a formal public hearing held on March 1, 2011) Councilman Jankowski made a motion to adopt the proposed ordinance, second by Councilman McKee. President Espar asked if there were any questions or comments by the general public or Council and hearing none the ordinance was adopted by the following vote: AYES: Council Members McKee, Meer, Moore, Murphy, Nelson, Boy, Doyle, Espar, and Jankowski (9). NAYS: None (0). UNFINISHED BUSINESS There was no unfinished business. NEW BUSINESS President Espar stated Mayor Oberlie requests the advice and consent of the re- appointment of Ms. Julie Manner and Mr. Christopher Schwanke as members of the Michigan City Historic Review Board. (Ms. Manner and Mr. Schwanke’s terms of office will begin immediately and will expire on 03-15-2014). Council President Espar advised the Council would give their consideration at the next Council meeting (April 5, 2011). President Espar advised nominations would be held for the Council’s appointment on the Economic Development Commission, at the April 5, 2011 Council meeting. Page 17 March 15, 2011 COMMENTS FROM THE PUBLIC Ron Hamilton Sr., 627 E. U.S. Hwy. 20, addressed the Council with a disclaimer regarding himself. Ron Hamilton Jr., 1301 Tennessee Street, stated that he is the candidate for the Third Ward addressing the Council with comments, concerns, and issues that have been made. Linda Boney, 2222 Allen Drive, addressed the Council regarding attitudes people have in our community and being able to work together and be more positive among each other. COMMENTS FROM THE COUNCIL Councilwoman Boy thanked everyone for coming to this long meeting and asked everyone to keep all the people in Japan and everyone that will be effected in their prayers. Councilman Meer addressed Mr. Hamilton’s comments. Councilwoman Nelson addressed the Council regarding comments Ms. Linda Boney made and that communication is a two way street and as a Council they have worked collectively and have good relations as far as being open, honest, and being able to talk to each other about issues they are bringing forth. Councilwoman Nelson addressed the issues that have happened at the Sanitary District. ADJOURNMENT A motion by Councilman Doyle, supported by Councilwoman Nelson, and there being no further business to transact, President Espar declared the meeting ADJOURNED (approximately 10:05 p.m.). _____________________________ Thomas F. Fedder, City Clerk