HomeMy WebLinkAboutCRC-03-10-98CARMEL REDEVELOPMENT COMMISSION
March 10, 1998
MINUTES
The meeting was called to order at 5:40 p.m. by President Rick Roesch. Members
present were Amy Boldt and Ron Carter. Susan Westermeier arrived later. Also in
attendance were Bob Battreall, City Councilor, Craig Hessee of the Linder Cc; and Scott
Miley from the Indianapolis Star.
Ms. Boldt noted she did not receive attachment referenced in last month's minutes. Ms.
Kelsey offered members a copy of the letter from Rick McKinney, and assured members
the original will be with the official minutes. Ms. Boldt made a motion to approve the
minutes. Following a second by Mr. Carter, the minutes were unanimously approved.
Under Old Business. Mr. Roesch confirmed the closing of the Merchants Square Bond
issue earlier today, and said the funds are now in the hands of the Trustee. Procedures for
paying related bills will be discussed under new business.
Mr. Roesch offered some explanation of the concerns of Common Council members
regarding the Bond Issue for the City Center, which had been approved by this
Commission last month. The Common Council tabled the topic at their last meeting,
where the second reading on the Bond Issue was an agenda item. Their action was not
C- aimed at the Redevelopment Commission or at contractors hired to work for us. Their
concerns were about other issues, particularly about a change order for Hazeldell
Parkway (approaching $2.2 million) that was approved by the Mayor and City Engineer,
and which provided for acceleration in the parkway construction schedule. Common
Council members feel there should be a tri-parry agreement, perhaps similar to one that
exists in Noblesville, whereby the Mayor and Common Council must agree on changes
before approval can take place. Common Council members voted to hire independent
counsel to look at documentation and the possibility of a tri-party agreement. This will
delay the project, and it is hoped that the price of bonds will not increase in the interim.
Mr. Carter noted that Luci Snyder has been provided with a copy of the Noblesville
agreement and wants an attorney to look at it to see it such an agreement might be all
right for Carmel. He too indicated their concern is over the Hazeldell situation, not over
the City Center project, and he too hopes this delay does not impact the cost of the bonds.
Mr. Carter feels any agreement would only affect change orders, but that he can't answer
that with 100% certainty. He said some Council members had hoped that with leftover
monies, 116`s Street between Range Line Rd. and College Ave. could have been
addressed, rather than use the money to speed up Hazeldell construction.
Mr. Roesch said there. is generally a 10% figure built into projects to cover contingencies.
We will be asked to look at atri-party agreement at some point. He acknowledged that
we have tried to be eery open with Council and our citizenry, and to do what is best for
the community.
Redev. Commission
Minutes 3/10/98
Page•2
Ms. Boldt said she would appreciate finding out about such actions from somewhere
other than in the newspaper, and it was determined that communication of such delays
will be attempted in the, ftiture.
Ms. Boldt expressed interest in how, an opinion by the dounsel hired by the Common
Council will be disseminated to this membership, since it will impact the commission.
Mr..Battreall said the Council had been told prior to passing the earlier bond issue that a_
tri-party agreement "eouldmotbe done." Members were later told an ordinance was.
passed in Noblesville giving some such leeway. He spoke with,the,Mayor:today and
plans to-get the,two attorneys together. Perhaps those individuals can draw, ,up an
agreement-and present it to the Council members, the Mayor, and the Redevelopment
Commission for approval. He said Council plans a meeting on SaturdayMarch 21, and
Commission members are welcome to attend. This issue i's among"items to:b.e discussed.
The Mayor would Eke an agreement,to be drawn up prior to the 21s.
Mr. Carter, suggested the Commission may'not,be interested in a tri-party. agreement,
inasmuch as the Commission has no input in change orders; however, amagreement could
be good forthe,city, and probably would notmatetially affect what this Commission
does.
Mr. Battreall reiterated that Council is interested in.having some jurisdiction a eirthe
Redevelopment Commission has the money. They are. attempting to determine"Can
we?" and "How do we?"
Ms. 'Boldt said she would "like a copy of the Noblesville agreement, and agreements. from
other communities,, if possible. 'Mr. Carter said he would fax a copy of the Noblesville
document, and Ms. Kelsey agreed to distribute copies to members when.she receives this.
Mr. Battreall stressed that the Council action hastio reflection onthe, bond, issues, that the
Redevelopment Commission has done a magnificent job.
Mr. Roesch said he plans to attend the March 2I L meeting of Common Council, and
invited. Commission members to join:him Mr. BattreA will fiunish an agenda.
Mr. Carter suggested having any agreement ready for a,vote an that.date, if possible. He
wants to move ahead with the project,.is concerned with interest.rates.
Mr. Caner said only one-member of the Common Council is opposed,to_the City Center
project. This action (proposed agreement) i±+ill not affect,our group's activities: and may
l ensure a better overall situation.
Redev. Commission
Minutes 3/10/98
Page 3
Mr. Roesch said he will call all members after the next (Council) meeting.
Under New Business, Mr. Roesch said some bills have been submitted in connection with
the Merchants Square project. In his conversation with City Attorney Doug Haney today,
we are not sure of the intracies of the agreement on who is to perform the various
functions. Since the bond issue is now complete, there will be some discussion with Ice
Miller after more detail is provided, and Mr. Haney will be going over their invoices. We
are also in receipt of some invoices from the Linder. Co. Once reviewed, we will need to
have a quick meeting to approve payment of the bills. We believe Ice Miller had a
negotiated fee of $70,000. When bills are approved for payment, the Commission will
submit an affidavit to the Bond Trustee for processing. We will need certification from
Engineering on the Linder invoices, and from the Legal Dept. on the legal invoices.
Mr. Hessee explained that the invoices presented on behalf of the Linder Co. represent
the 75% of road improvements that have been completed by the Linder Co. in
anticipation of the bond issuance. Paving, curbing, and underground work is in. The
Linder Co. wants to recover the $1.3 million already invested. He offered to meet this
week to go over the invoices item by item, and assured the Commission that nothing new
?•. was added to the contramnal obligations, and that no change orders were involved.
Someone from the City Engineer's office has been observing the work in progress. The
Linder Co. will be conveying the land to the city and will finish the ornamental lights and
landscape sniping in the spring.
Mr. Hessee said he is learning from this process, and wants it done right, too. He said
that an appraisal is being done for the City on the value of the construction, including an
assessment of the appraised value on the roads themselves. This should be complete
within 2 weeks. Mr. Hessee suggested the bills could be approved subject to the
appraisal numbers being in line with construction. Costs above $1.9 million will be paid
by the Linder Co.
A meeting was scheduled for Monday, March 16 at 5:30 p.m.
The meeting was adjourned at 7:10 p.m.
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