Council approves updated vacation-of-ways rules and tax abatements for two downtown projects; several bills referred to committee

The South Bend Common Council on Feb. 24 passed an ordinance updating procedures for vacation of public ways and three resolutions designating economic revitalization areas, and sent several other bills to committee for further review.

Bill 07‑25, "an ordinance amending chapter 18, article 5 to update the procedures for vacation of public ways and public places," received a favorable recommendation from Public Works and was passed unanimously by the full council on third reading (8‑0). City staff said the amendments separate fee payments into stages, reduce petitioner requirements for duplicate mailings, and change an adjacent‑owner confirmation requirement from 100% to a simple majority (51%) to avoid unintentionally blocking petitions when an adjacent owner cannot be reached.

Two resolutions related to redevelopment at 425 South Michigan Street — read as Resolution 25‑14 (a two‑year vacant‑building tax abatement) and Resolution 25‑15 (a 10‑year real property tax abatement) for Penny Hill Homes LLC — passed by unanimous roll call votes (8‑0). Eric Glavich, director of Growth and Opportunity, said the developer plans to invest about $1,440,000 to reactivate street‑level storefronts in a building that has been largely vacant since 1999. Glavich told the council the property currently generates roughly $6,700 in property taxes and estimated the project's post‑rehabilitation annual tax receipt at about $35,189 (figures presented by staff).

Glavich said the full 10‑year, 100% abatement was proposed to strengthen a REDI grant application; he noted a prior recent abatement tailored with graduated percentages for a different project and said a similar graduated schedule here would have produced only modestly different tax savings. Sarah Hill of Penny Hill Homes joined staff at the meeting.

The council also passed Resolution 25‑16, read on the agenda as designating 25471 Cleveland Road as an economic revitalization area for a seven‑year real property tax abatement for "Blueprint LLC." In the presentation Eric Glavich and a representative from HRP Construction (who gave their address as 5777 Cleveland Road) described the project as a new consolidated headquarters for HRP Construction, a local firm describing a $7.3 million investment, retention of about 48 full‑time employees and plans to hire six more. The resolution text in the clerk's reading identified the grantee as Blueprint LLC; presenters identified the end user/developer as HRP Construction. The council approved the resolution by unanimous roll call (8‑0).

Additional business: the council approved the February 10 minutes, moved into and out of Committee of the Whole for bill hearings, and referred several first‑reading ordinances to the Personnel and Finance Committee for public hearing and third reading on March 10, including bills numbered 08‑25 (JC Hart development TIF bond authorization), 09‑25 (fire department pay ordinance amendments), 10‑25 (salary schedule changes), 11‑25 (Teamsters wage update), 12‑25 (budget transfers), and 13‑25 (supplemental appropriations totaling roughly $13.9 million across multiple funds). Several of those referral motions passed by recorded roll call; one recorded result on the JC Hart motion showed 7 ayes on the referral vote as noted in the clerk's roll call.

Votes and outcomes (selected): - Approval of minutes (Feb. 10): 8 ayes — minutes accepted. - Bill 07‑25 (vacation of public ways): Passed, ordinance adopted (roll call 8 ayes). - Resolution 25‑14 (425 S. Michigan, Penny Hill Homes, 2‑year vacant‑building abatement): Adopted (8 ayes). - Resolution 25‑15 (425 S. Michigan, Penny Hill Homes, 10‑year real property abatement): Adopted (8 ayes). - Resolution 25‑16 (25471 Cleveland Road, read as Blueprint LLC; presenters identified HRP Construction as the project owner, $7.3M investment): Adopted (8 ayes). - Multiple first‑reading bills (08‑25, 09‑25, 10‑25, 11‑25, 12‑25, 13‑25): Referred to Personnel and Finance for March 10 public hearings (roll calls recorded; see provenance).