HomeMy WebLinkAboutCRC-03-27-98Carmel Redevelopment Commission
March 27. 1998
MINUTES
The meeting was called to order by President Rick Roesch at 3 p.m. Members Liz
Tevyaw and Ron Carter were present, representing a quorum. Also present were Mike
Eckerle of McHale Cook & Welch; Diana Cordray, Clerk Treasurer; Bob Battreall,
Councilor; Neal Steinbart of Bames & Thornburg; Nancy Blondin of the CarmeVClay
Chamber of Commerce. Mayor Brainard and City Attorney Doug Haney were present
for parts of the meeting.
Ms. Tevyaw made a motion to approve the minutes from the March I e meeting.
Following a second by Mr. Carter, the minutes were approved unanimously.
Mr. Roesch explained that there were three invoices regarding Merchants Square
submitted prior to the previous meeting, in addition to those submitted by Linder Co.
Currently, the Linder issues have not been resolved, relative to the appraisals required
and transfer issues. As soon as this is clarified, we plan,to gather a quorum of members
for another meeting to.approve Linder invoices.
The Ice Miller Donadio & Ryan invoice includes out of pocket expenses that were not
included in the $70,000 cap on their contract. In discussion with the City Attorney, it is
?. felt that we can approve payment for the following invoices, with the condition of a final
review of the Umbaugh figures prior to forwarding the affidavit to the Trustee.
Ice Miller Donadio & Ryan $73,428.67
Johnson Smith et al. $18,393.53
H.J. Umbaugh & Assoc. $64,850.00
Ms. Tevyaw requested copies of the invoices for her records. Ms. Kelsey will prepare
this.
Mr. Carter moved for approval of the above-referenced payments, subject to Mr. Haney's
review and approval of the Umbaugh figures prior to submitting the affidavit to the
Trustee for processing. Ms. Tevyaw seconded the motion, followed by unanimous
approval.
Mr. Roesch signed the affidavit authorizing payment. The invoices and affidavit will be
forwarded to the Trustee for payment after the City Attorney gives the final approval of
the Umbaugh invoice.
The Agreement with the Common Council was summarized by Mr. Steinbart. He
explained that he represents the city on the financing of the City Center.
Carmel Redevelopment Commission
3/27/98 Minutes
page 2
The Agreement would give the Common Council veto power over this commission's
ability to spend the proceeds from the $10.5 billion bond issue. Prior to initiating a
contract, or changing a contract, the Commission would need to advise the Clerk
Treasurer to notify the Common Council members of such. intent. Councilors would have
5 business days to disagree with such expenditure. If there is disagreement with that
expenditure, the subject would go to the Common Council for consideration. If there are
no objections to the change, the contract would be considered approved by default.
Exceptions would be expenditures for payment or interest, legal service, for the cost of
bond issuance or investments. If costs are less than $75,000, terms of the Agreement
would not apply.
Mr. Steinbart said the Redevelopment Authority will be considering a similar contract
with regard to the $32 million bond issue of 1997.
The other provision of the Agreement is the request for the Clerk Treasurer to develop a
list of qualified depositories, from which the Mayor can choose.
Mr. Carter inquired if this agreement might be a deterrent fora purchaser of bonds,
knowing the Common Council could change or drop features to a proposal with which
they might not agree.
Mr. Steinbart said in theory this might be a concern, but in reality would not affect the
interest rate the City would receive. A purchaserlbond holder would still have the pledge
of COIT revenues so would not be concerned with specific approvals required. A
purchaser would assume the city has all necessary procedures in place.
Ms. Cordray inquired whether the document has any request for an annual audit, to which
Mr. Steinbart said there is no promise to bondholders of an audit. It is likely that an
institutional investor might, however, demand an audit.
The Clerk suggested including such language in future endeavors, and Mr. Roesch agreed
it would be prudent to provide language including a-regular audit.
The Redevelopment Commission has no obligation under the Agreement that the
Redevelopment Authority members is considering, but we are being asked to sign since
money flows through this commission, and to be sure we don't claim to have knowledge
of transactions.
Mr. Steinbart said he has reviewed the Agreement language with the Clerk Treasurer, and
it met with her approval.
Carmel Redevelopment Commission
3127198 Minutes
page 3
W: Carter suggested an addition of the words "in writing" to Section 3'.(a) whereby any
member of the Council who disputes a contract or proposed change order requests "in
writing the.,Clerk-Treasurer...... After discussion Mr. Carter made a motion to amend
the Agreements for:both the City Center project and the Lease Revenue Bonds by adding
"in writing"-to Sec 3 (a). Ms. Teryaw seconded the;motion. Unanimous approval
ensued.
yaw shade a motion to approve Resolution 12=1998 regarding procedures for
Ms. Tev
approval of-expenditures on.bond issues. Following a second by Mr: "Carter, the motion
passed.
The Clerk Treasurer said she is in agreement with the wording on page 1, and Ms.
Tevyaw suggested that be noted as part of. the record.
Members signed the Resolution, after which the meeting was adjourned at 3:35,p.m