HomeMy WebLinkAbout07-18-2005 COUNCIL PROCEEDINGS OF THE
COMMON COUNCIL OF THE CITY
OF JEFFERS ONVILLE, INDIANA
July 18, 2005
The Common Council of the City of Jeffersonville, Indiana met in regular session
in the Multi-Purpose Meeting Room in the City-County Building, Jeffersonvill¢, Indiana,
at 7:30 P.M. on Monday July 18, 2005.
Mayor Rob Waiz, with Deputy Clerk Treasurer Barbara Hollis at the desk, called
the meeting to order' Also present were City Attorney Les Merkley and Council
Attorney Allen Morris. Mayor Waiz welcomed all in attendance, asking all th°se present
to stand as Reverend. R. Monty Snelling gave the invocation. Mayor Waiz then asked all
those present to join him in the pledge of allegiance to the flag.
The roll was called and those present were; Councilpersons John Perkins, Ed
Zastawny, Keith Fetz, Connie Sellers, Barbara Wilson, Ron Grooms, and Phil McCauley.
Absent: None
Councilperson President Grooms made the motion to approve the agenda with the
addition of item #16A Ordinance establishing a Cumulative Capital Fund for Parks, and
changing the speaker on agenda item #17 to Councilperson McCauley, second 'by
Councilperson Perkins, passing on a vote of 7-0.
Mayor Waiz presented the minutes of the meeting of June 6, 2005 for approval.
Councilperson Wilson made the motion to approve the minutes following the correction
of the vote of 7-2 to 7-0 on page 5, second by Councilperson Sellers, passing on a vote of
7-0. Council President Grooms made the motion to approve the summary report of the
May 21, 2005 Council Retreat Workshop, second by Councilperson Wilson, passing on a
vote of 7-0.
Deputy Hollis presented the claim list for conSideration by the Council,
explaining one additional claim to Kentucky Track Sales from the Fire Department.
Councilperson McCauley questioned the appropriations used to pay claims for appraisals.
Following all discussion, Councilperson Perkins made the motion to approve the claim
list with the additional claim and tabling the appraisal claims, seconded by Council
President Grooms passing on a vote of 7-0.
July 18, 2005 2
PUBLIC COMMENT:
Mr. Derek Spence, a Maple Street resident, congratulated the Mayor and Council
for the relocation of MedVenture to Jeffersonville. He believes the protections that have
been put in place are good and he hopes they work. Mr. Spence sides with the Council
regarding the plans for City Hall. He believes once the plans were signed they should not
be changed. With regard to the fireworks issue, Mr. Spence blames the legislature for
allowing the sale of fireworks. He fears the Ordinance will not eliminate the problem as
the process is broke. The PERF transfer on the agenda was explained. Mr. Spence said
he and his family have enjoyed the quality of life in JefferSonville this summer by taking
advantage of the programs offered. He commends the Parks Department, Youth Director
Bev Knight, the Aquatic Center, the Parks Department and River Stage. He asks these
programs be remembered at budget time.
Clark County Councilperson R. Monty Snelling invited the Mayor and Council to
a County Council meeting, Tuesday, July 19, 2005 at 5:00 P.M. to hear a program on
purchasing.
DEPARTMENT HEAD REPORTS:
There were no Department Head reports.
AGENDA ITEMS:
Ordinance No. 2005-OR-34, An Ordinance Rescinding Ordinance No. 2004-OR-
45 Vacating A Portion Of Wall Street, A Public Way In The City Of Jeffersonville was
presented. City Attorney Merkley said the road is now open. The City will be watching
the bankruptcy for protection. Councilperson Perkins made the motion to table
Ordinance No. 2005-OR-34, second by Councilperson McCauley, passing on a vote of 7-
0.
Councilperson McCauley asked Council Attorney Morris to explain the form of
the Option To Purchase Real Property, and Agreement. Councilperson Perkins asked if
the street would be vacated. Attorney Morris said this would be at a later date.
Councilperson McCauley explained Exhibit A iS incomplete and will be obtained. The
document will be changed to meet the facts. The Clark County Commissioners must also
approve this document. Following all discussiOn, Councilperson McCauley made the
July 18, 2005 3
motion to approve the form of the Option To Purchase Real Property And Agreement as
attached to these minutes (Subject to changes in the description as may changed by
survey or vacation) and also subject to approval by the Board Of Public Works & Safety
and the Redevelopment Commission, second by Councilperson Zastawny, passing on a
vote of 7-0.
Council President Grooms introduced Resolution No. 2005-R-25, A Resolution
To Advertise For An Additional Appropriation (General Fund, Clerk Treasurer). Deputy
Hollis explained the appropriation was not put in place to agree with the salary ordinance.
Councilperson Perkins said he remembers this to be a one-time payment. Following all
discussion, Council President Grooms made the motion to pass Resolution No. 2005-R-
25, second by Councilperson Fetz, passing on a vote of 7-0.
Council President Grooms introduced Ordinance No. 2005-OR-35, An Ordinance
Transferring Certain Funds Within Same Department (Common Council). Following all
discussion, Council President Grooms made the motion to pass Ordinance No. 2005-OR-
35 on the first reading, second by Councilperson Fetz, passing on a vote of 7-0.
Ordinance No. 2005-OR-36, An Ordinance Transferring Certain Funds Within
Same Department (Animal Shelter Budget) was introduced. Following all discussion,
Councilperson Sellers made the motion to pass Ordinance No. 2005-OR-36 on the first
reading, second by councilperson McCauley, passing on a vote of 7-0.
City Attorney Merkley explained Ordinance No. 2005-OR-37, An Ordinance
Replacing Ordinance No. 87-OR-38,, An Ordinance To Establish Cumulative Capital
Development Fund Within The City of Jeffersonville. The publishing requirements were
explained. The history of Cumulative Capital Development Fund followed. Following
all discussion, Council President Grooms made the motion to pass Ordinance No. 2005-
OR-37 on the first reading, second by Councilperson Sellers, passing on a vote of 7-0.
City Attorney Merkley next explained Ordinance No. 2005-OR-38, An Ordinance
To Establish Cumulative Capital Development Fund Within The City of Jeffersonville
Department of Parks and Recreation. The publishing requirements are the same as
described for Ordinance No. 2005-OR-37. Councilperson Perkins is concerned that the
control of this fund will go from the Council t° the Park Board. Council President
Grooms made the motion to pass Ordinance No. 2005-OR-38 on the first reading
July 18, 2005 4
allowing $.02. Following discussion, the motion died due to the lack of a second.
Attorney Merkley believes it would have to be a 3-year phase in to a maximum of $.05.
Council President Grooms then made the motion to pass Ordinance No. 2005-OR-38 on
the first reading reflecting a rate of $.05 in 2007, second by Councilperson Sellers.
Councilperson Zastawny is concerned with the ability to raise taxes when the need has
not been established. Following all comments, the motion to pass Ordinance No. 2005-
OR-38 on the first reading passed on a vote of 6-1. Councilperson Perkins voted against
passage.
Councilperson McCauley presented Resolution No. 2005-R-26, A Resolution
Regarding City Council Offices In The New City Hall. He does not see the need to
segregate areas to fund:: T.I.F. Funds were discussed. Councilperson McCauley made
the motion to pass Resolution No. 2005-R-26 to include the approval by the
Redevelopment Commission, second by Councilperson Perkins° Mayor Waiz questioned
the designated space. The description should match the plans presented at the ground-
breaking ceremony. Mayor Waiz said he had conducted a small survey and only found
cubicles shared by several Councilpersons in Indianapolis. Councilperson Perkins said
Indianapolis is not building a new City Hall and that makes a big difference. At the
conclusion of all discussion, the motion to pass Resolution No. 2005-R-26 passed on a
vote of 7-0.
Following discussion of dates for budget meetings, Council President Grooms
made the motion to designate August 10 and August 11 at 7'30 P.M. as budget meetings,
second by Councilperson McCauley, passing on a vote of 7-0.
Street Commissioner Ron Ellis presented a sheet explaining proposed salary
changes. Councilperson Perkins asked if this request would be in addition to any rise
given for 2006. Commissioner Ellis replied yes it would be in addition. Commissioner
Ellis next explained the process to obtain a CDL license. He is proud of the job the men
do. Councilperson McCauley feels Commissioner Ellis has made a good case for the
drivers, his concern is the drivers are only paid one dollars more than laborers.
Commissioner Ellis was requested to have a salary ordinance amendment on the August
1, 2005 meeting agenda.
July 18, 2005 5
Council President Grooms made the motion to pass Resolution No. 2005-R-27, A
Resolution To Advertise For An Additional Appropriation (Common Council),
explaining the funds are to be used for a fiscal study and an annexation study, second by
Councilperson Perkins. Councilperson McCauley said he would like to propose dialogue
to coordinate the comprehensive plan with possible annexation. Mayor Waiz asked that
his Administrative Assistant be contacted to schedule the dialogue. The motion to pass
Resolution No. 2005-R-27 passed on a vote of 7-0.
CLERK TREASURER COMMENTS:
There were no Clerk Treasurer comments.
Council President Grooms gave the State Of The Council Address (attached)
saying it is an honor and privilege to be in this position.
COMMITTEE REPORTS:
Councilperson Wilson said the budget committee has met with several
departments and it has been a learning experience. The meetings are going well.
Councilperson Perkins added there is a strong recommendation the employees be paid
from the department where they work. Mayor Waiz said that is an excellent goal.
Council President Grooms reminded the committee to keep memorandum.
Councilperson McCauley has met with Redevelot~ment Director Barry Cahill
regarding the T.I.F. districts. They are looking at rectoing the bond issue.
COUNCIL AND MAYOR COMMENTS:
Councilperson Wilson reported on the City Pride meeting saying four signs have
been paid for with one being up and two ready to go up. The floodwall committee met
with Artist Dafford and his assistant, saying the mural will be lovely. SIEDC will meet
next Wednesday. They worked hard on the MedVenture project. Councilperson Wilson
said the Animal Shelter Golf outing was lovely.
Councilperson Sellers said the Animal Shelter Golf Tournament had 26 teams and
55 hole sponsors and all went well. She feels $10,000 was raised.
Councilperson Fetz said he participated in the recent Mayor's Night In The
Neighborhood on Springdale Drive. COncerns were for speeding, the 4-way stop and the
mosquito problem. Councilperson Fetz said the MedVenture project exemplifies what
July 18, 2005 6
working together can accomplish. This has been a positive outCome and a lesson all can
take and use to take down barriers for the benefit of the taxpayer.
Councilperson Perkins said the downtown residents and merchants are ecstatic
about the possibility of the River Falls Motel and Lounge being no longer. The
Redevelopment Commission is in the ongoing saga of property on Spring Street. The
Elks building is on going and there are RFP's out for 10th and Walnut.
Councilperson McCauley noted the Sewer Board appointment is expiring and he
hopes there will be a recommendation. Mayor Waiz reported on the June 13, Sewer
Board meeting regarding this and he is waiting to hear. Councilperson McCauley is
bothered by the approving of claims after costs have been incurred. He is interested in
talking to the Administration and the Clerk Treasurer regarding a purchase order system.
It is good to see MedVenture relocate to Jeffersonville. Success breeds success.
Council President Grooms called attention to a memo from Human .Resource
Director Kim Calabro regarding PERF as well as a memo from Council Attorney Allen
Morris. There is a new law in Indiana as of July 1 in regard to meth labs. Jeffersonville
is doing its part. The Red Cross dinner will be held August 4. The Solid Waste Board
meets Thursday. There will be a Council workshop August 1.
Mayor Waiz appreciates the efforts put forth for the Animal Shelter Golf
Scramble. Employee appreciate night went well. City employees from several
departments will be cleaning up the entrance ramps. He is glad MedVenture is complete.
Mayor Waiz appreciates all for coming tonight.
As there was no further business to co~ cil, the meeting was
adjourned 9:45 P.M. /
ROBERT L. WAI7_o/MAYOR
ATTEST'
!11 ii
Rural and Urban Sustainability Project
An Economic and C°mmunity Devel0Pm~h~P~i~i~~J~e'c~
Administered by Jeffersonville Main Street Inc. ___~
Overview
The Rural and Urban Sustainability Project is made possible through a grant between the Indiana
Rural Development Council (IRDC) and Jeffersonville Main Street Inc. (JMSI). The grant is for
the amount of $142,850 (see attached budget). This grant was awarded because the projects
proposed by JMSI were unique and innovative. This funding is not intended to replace JMSI's
normal day-to-day operational budget; portions of the administrative budget for this grant will go
towards contracting with consulting firms. No grant funding derived from the IRDC sits in any
JMSI account-- project costs will be reimbursed by the IRDC (after a State of Indiana claim
voucher and progress report has been submitted and approved). The grant agreement states that
the grant funds shall be used exclusively in accordance with the provisions contained in the grant
agreement. Grant funding may be spent only on already approved grant project objectives. This
grant will expire on April 1, 2007 and no payments will be made after that date.
What the IRDC does
The IRDC is a partnership of local, state, federal, profit and not-for-profit stakeholders that serve
Indiana communities. The IRDC's purpose is to coordinate efforts of citizens and governments to
meet the economic and social needs of rural Indiana. Many Indiana residents live in
communities that lack the tax base and staff to support all of the services that they would like to
provide. Therefore, many small towns lack the resources to provide the quality of life their
residents deserve. Since it's inception in 1993, the concept of the Indiana Rural Development
Council is based on partnerships.
Who Is Involved with IRDC?
2005 IRDC Board Members:
FOR PROFIT SECTOR:
Joe DeHaven, Community Bankers Association of Indiana
James Rice, Hannum, Wagle & Cline
Kenneth Birk, V S Engineering
Matt Wirth (A), Bonar Group
NON-PROFIT SECTOR'
Nancy Kinder, Eastern Indiana Development District
Beth Archer, Indiana Agricultural Leadership Institute
Kent Yeager, Indiana Farm Bureau
DeeDee Sigler (A), Indiana Association of Soil & Water Conservation Districts
FEDERAL SECTOR:
Robert White, US Department of Agriculture - Rural Development
William Shaw, US Department of HoUsing and Urban Developmem
Paul Neumann, USDA Rural Development
Gail Gesell (A), US Small Business Administration
STATE SECTOR:
Becky Skillman, Lt. Governor
(represented by Anne Hazlett)
James Segedy, Ball State University
Bob Sunman, Indiana State Department of Health
John Demerly (A), Indiana Department of Education
LOCAL SECTOR:
Charles Andres, Town of St. Leon
Mayor William H. Graham, City of Scottsburg
David Hess, Elkhart County Auditor
Julie Berry (A), Jefferson County Commissioner
YOUTH MEMBERS:
Kim Self
Stephen Galspie
PAST CHAIRPERSONS:
Kermit Burrous, Retired
Frank O'Bannon, Governor
BOARD LIASONS:
Dr. Sam Cordes, Purdue Cooperative Extension Service
Debbie Bishop Trocha, Indiana SBDC
LEGISLATIVE APPOINTMENTS:
Robert Jackman, Indiana State Senator
Richard Young, Indiana State Senator
William Friend, Indiana State Representative
Doran Moreland, U.S. Senator Evan Bayh's Office
Lane A. Ralph, U.S. Senator Richard Lugar's Office
Brandt Hershman, Congressman Steve Buyer's Office
What are the objectives of this grant?
As a nonprofit organization, Jeffersonville Main Street Inc. is working hard to be a partner in the
revitalization of downtown Jeffersonville. However, our strategy cannot not be limited to
focusing only on the downtown district while ignoring the land-use decisions and development
happening in the surrounding region. Downtown Jeffersonville doesn't exist in a vacuum,
therefore we must think regionally. The National Trust's Main Street Center warns that much
"downtown revitalization doesn't really take place downtown, but in the region where land-use
decisions are made." Basically, it means less sprawl and more planned growth = a healthier
downtown. We hope this grant contributes to the economic and social health of our commurfity.
Objective #1 Land Use Planning Project- not funded
Objective #2 Marketing Campaign to Encourage People to Support Locally
(within Clark County) Owned Businesses
Funding for this project will require designing and purchasing advertising in local media outlets
(local newspapers and cable television) and designing slogans and printed materials for
distribution throughOUt the county that will inform people of the benefits of supporting locally
owned businesses and agricultural enterprises.
Impact: Increased investment in locally owned enterprises, more local dollars staying in local
communities instead of a far off corporate headquarters, increased spending on local services
(accounting, newspaper ads, office supplies, etc.), increased investment in local communities by
people who live in communities.
Objective #3 Create a Business Incubator to Encourage Local Entrepreneurship
This program will assist start-up companies by providing an inexpensive place to open their
business and "test the water" in the marketplace. Creative business ideas will be encouraged.
Impact: Increased number of new businesses and entrepreneurs in Clark County. Creation of
an atmosphere where the risks of Starting a new business venture will be limited, thereby creating
an incentive for more people to start a business and create jobs in Clark County.
Objective # 4' Promote and Expand Clark County Farmers Market and Initiate a
Community SUpported Agriculture (CSA) Program
This project entails marketing the Clark County Farmers Market's two existing location in
Jeffersonville and Charlestown through media outlets, direct mailing, and special events. It also
will include recruiting more growers to participate in the market. The CSA Program will assist
local growers (preference given to those participating in the farmers market) with investments
for their expenses before planting time. Both the Farmers Market and the CSA will provide
locally grown, fresh picked produce to people without easy access to agricultural areas.
Impact: Increased revenues for local growers, expanded variety of products at Clark County
Farmers Market, and increased awareness by public of food sources and the importance to
sustain agriculture in the Indiana economy.
Objective # 5' Establish a FarmLink Program to ensure that working farms remain in
agricultural production. This program will connect people wanting to get started in agriculture
with farmers and landowners who are committed to helping establish the next generation of
farmers. This program is modeled from a successful one in King County, Washington. The
Clark County FarmLink would involve identifying and establishing contact with existing
farmers, setting up the legal framework for the project, and promoting the project through local
media and a the JMSI website.
Impact: Reduced number of farmed acres being lost to development, increased number of
farmers in Clark County, continuation of farm operations that would otherwise close.
Objective # 6: Create a Development Information Hub
This would create a clearinghouse for information on all public and private capital improvement
projects taking place in Clark County's cities, towns, and rural areas. This will require obtaining
copies of agendas and permit applications from all levels of local government (Legislative,
Planning, Zoning, Building Commissioner, etc.), inquiring about project details, and putting the
information on the JMSI Website for public review.
Impact' Increased communication, coordination, and awareness of proposed project that will
impact the community.
Objective #7 Local Leadership Training Program- not funded
Objective #8 (Countywide Assessment/Inventory of Brownfields and Farmland)
This will provide a comprehensive picture of what our region has in terms of available land
(brownfields that are ripe for redevelopment and farmland that needs to be protected). This
could result in organizing a ranking system for (outstanding, notable, etc.) brownfield and
agricultural areas, listing details about development and preservation threats and opportunities.
This project will also attempt to inventory all of the vacant lots and buildings in Clark County,
with sales and contact information. All of this information will be listed on the internet for easy
public access.
Impact' This will lessen unnecessary industrial and commercial development on greenfields
and focus development in more fiscally responsible areas. It will make it easier for officials and
developers to make decisions about the most economically efficient space for development
proposals.
Will our communi be eli ible for more IRDC__grant funding in the future?
,,. :=,: ,=,,; ::,~, ;; ,: ,, ...... _._ .
Yes, more grant funding has been budgeted by the state. However, the date of future grant
cycles are, as of yet, undetermined. These grants are highly competitive and there are usually
more requests for funding than there is funding available.
II. Budget
Rural and Urban Sustainability Project
An Economic and community Development PilOt project
Administered by Jeffersonville Main Street Inc.
1) Objective# 1 - not funded
2) Objective #2 Marketing Campaign to Encourage People to Support Locally
(within Clark County) Owned Businesses
Expenditure Area Amount (Source of Funds)_
Marketing Campaign: $30,000 (IRDC Grant)
Administration' $ 6,200 (Local Match --- In-Kind Donation)
Media Consulting: $ 4,800 (Local Match --- In-Kind Donation)
Subtotal' $41,000
3) Objective #3 Create a Business Incubator to Encourage Local Entrepreneurship
Expenditure Area Amount (Source of Funds)
Office Space:
Administration:
Administration:
Promotion:
Phones:
Photocopier:
Subtotal:
$28,800 (Local MatCh In-KindDonati°n)
$ 9,000 (Local Match --- Cash + In-Kind Donation)
$ 7,000 (IRDC Grant)
$ 3,990 (IRDC Grant)
$ 1,710 (Local Match --- In-Kind Donation)
$ 1,800 (Local Match--- In-Kind Donation)
$52,300
4) Objective #4 Promote and Expand Farmers Market and Create a Community
Supported Agriculture Program
Expenditure Area
Administration'
Promotion:
Subtotal'
Amount (Source of Funds)
$22,000 (IRDC Gram)
$ 7,000 (IRDC Grant)
$29,000
5) Objective #5 Establish a FarmLink Program
Expenditure Area Amount (Source of Funds)
Administration'
Administration:
Promotion:
Website:
Subtotal:
$15,000 (IRDC Grant)
$ 5,000 (Local Match --- In-Kind Donation)
$ 2,460 (IRDC Gram)
$ 1,480 (Local Match--- In-Kind Donation)
$23,940
6) Objective #6 Create a Development Information Hub
Expenditure Area Amount (Source of Funds)
Administration:
Administration'
Promotion:
Website'
Subtotal:
$19,000 (IRDC Grant)
$ 5,000 (Local Match--- In-Kind Donation)
$ 2,400 (IRDC Grant)
$ 1,480 (Local Match--- In-Kind Donation)
$27,880
7) Objective #7 - not funded
8) Objective #8 (Countywide Assessment of Brownfields and Farmland)
Expenditure Area Amount (Source of Funds)
Administration'
Administration:
Materials:
Promotion:
Website'
Subtotal:
$30,000 (IRDC Grant)
$10,000 (Local Match--- In-Kind Donation)
$ 2,000 (IRDC Grant)
$ 2,000 (IRDC Grant)
$ 1,480 (Local Match--- In-Kind Donation)
$45,480
Total IRDC Grant Portion:
Total Local Match Portion'
Project Budget Total'
$ 142,850
$ 76,750_
$ 219,600
THE C
RON GROOMS
Councilperson At Large
July 18, 2005
ONVILLE
Jeffersonville, IN 47130
282-6108 Home
hangerrx@ao~.com
STATE OF THE CITY COUNCIL
When it came time to write this report, I was almost overwhelmed by the task. The report
is made difficult by having to select from the many topics for discussion. This years City
Council,. as many before them, has been very active and worked hard to resolve the
various issues presented to them. From such routine activities as approval of claims to the
issuance of millions of dollars in Sewer Department Bonds to the agreement on a new
City Hall, this council has met several challenges. We have taken seriously the
fulfillment of our recently adopted mission statement which is "The Jeffersonville City
Council is dedicated to serving its citizens to improve the quality of services provided b)
the various boards, agencies and departments within its government." It is with great
pride that as City Council President, I share with you our progress to date.
One of the highlights this year was the City Council Retreat, on May 21, 2005. All seven
council members met in a special meeting, with a facilitator, to get better acquainted and
to plan our council agenda for the next two years. We evaluated council and individual
strengths and weaknesses. We examined our own reasons for wanting to be
councilpersons. After six hours in special session we came away better informed, with a
sense of direction £9r accomplishment, and a list of goals and objectives as a group': The
cost to the taxpayers for this meeting.was approximately $1,000.00 and it was mgney
well spent, i ~
City council committees have been very active this year. Of the seven council
committees, four have met two or more times. Much information has come from these
meetings and the council members should be apPlauded for their efforts. Confrontation
was avoided and agreement was reached between the City and Clark Memorial Hospital
regarding transfer of City land, because of the hard work of a committee. The city's tax
increment finances are much more clear and tax abatement issues are being resolved
because of the dedication of two committees several million dollars has been.saved on the
Sewer Master Plan because of a committee and the dedication of one councilperson.
In addition to participation on various committees, council members have served as
liaisons or appointees to various city departments or community agencies. From the
Board of Public Works to the Drainage Board to the Animal Shelter to the City Plan
Commission to the Southern Indiana Economic Development COuncil to the Clark
County Solid Waste District to the Sanitation Department, we have been active and
involved. The above are just a few of the many hours involved. We have been involved in
almost everything from providing the appropriation to buy a motel/lounge in downtown
to beginning a study on annexation.
! AN EQUAL OPPORTUNITY EMPLOYER
State of the City Council
Page 2
The Council Legislative process has certainly not been idle thus far. We have passed 29
ordinances and~21 resolutions in the first .six months. The most notable of our legislative
successes has been the adoption of a 20-year master plan for the wastewater treatment
plant. Initial funding in the amount of $6.5 million has been approved. Almost 20% or
nine pieces of legislation have dealt with land usage or re-zoning of property. By
comparison to previous years this is a decrease. We are seeing, as are most cities, land
becoming more scarce and increased residential and commercial development within our
current boundaries. The council is in the process of amending the agreement between'the
city and the county and other municipalities regarding the funding of the Jeffersonville-
Clark County Animal shelter. The council is seeking more financial assistance in the
operations of the shelter. Another legislative action resulted in the adoption of an '
interlocal agreemem to provide a stoplight on Allison Lane near Jeffersonville High
School. The city will pay for part of the installation and maintenance.
Improvements in our city's infrastructure have certainly not been ignored this year. After
much debate and several meetings, bonds have recently been sold for $6.5 million to
finance the first two years of major improvements to our wastewater treatmem plant. The
total cost of this 20~year master plan will probably exceed $50 million. Bids have
recently been accepted and work will begin soon on a new city hall in Quadrangle
Station. The cost of this project will probably exceed $3 million. A study has been~
completed and presented to the council for a new fire station to serve the eastern and
northern sections of our city. Construction would take about six months at a cost of about
$1 million. No decision has been made on this project. The council recemly approved)he
application to the Department of Homeland Security to pay a portion of the saihries for
additional firemen for five years.
Appraisals have been received on land that might'be suitable for the construction of a
new City garage for vehicles and equipment. This council will probably be' asked to :~'
appropriate EDIT funds or cumulative capital improvement monies for this project.
Construction on this long overdue facility could begin in early 2006.
State of the City Council
Page 3
The 2005 City budget has not been a source of major debate or alteration. Most of the
budget changes have been in the form of minor transfers or salary changes. Revenues
from the county income tax (EDIT) have been as expected. Income from EDIT for 2005
has been $673,500.00 and we have a balance in this fund as of June 30th of
$1,560,542.00.
EDIT APPROPRIATIONS
City Hall
Wheels to Heals
Ken Ellis
Garbage Truck Lease
Sidewalks
Greenway Project
137,793.00 ....
10,000.00
!31,133.00
57,000.00
54,000.00
50,000.00
Revenue from the County Wheel Tax in the amount of $48,219.00 thus far in 2005, will
be used to replace some lost revenue from the State in Local Roads and Street (LRS)
Fund. The city's share of state gaming revenues for 2005 shows a balance of $172,712.00
with no disbursements to date. Our General Fund Budget has a balance of
$11,318,517.00 as of June 30th. The late distribution of local property tax revenues has
prevemed this number from being higher and has resulted in our inability to retire debt
for previous loans to the General Ftmd. Our General Fund balance at the beginning of the
year showed a balance of $6,986,016.00.
Some highlights from the 2005 Budget' Appropriation Report include the 'following as of
June 30, 2005:' --
Title ' '
Council Hospitalization
Council Prof. Services
Building Rental
Vehicle Maint. Gasoline
Sanitation, Fuel
Sanitation, Serv. Contr.
LRS Construction
Cum. Cap: Development
(Misc. Purchases).
Fire Dept. capital
Cum. Cap. Development
(Computer Lease)
ADA- Curb Cuts
Motor Vehicle, Gasoline~
Current' Expended-YTD
$1,910,000:00 $1,200,000.00
16,200.00 12,127.00
350,000.00 247,500.00
200,000.00 87,179.00
45,000.00 44,421.00
57.,996~00- 7,917.00
850,000.00 :- 522,007.00
30'5;000.00 : 253,596.00'
Balance
$ 710,000.00
4,073.00
144,800.00'
157,744.00'
578.00
.... 50,079.00
329,863.00*
51,404.00
72,000.00 71,349.00 651.00
45,200.00 .00 45,200.00
45,000.00 .00 45,000.00
28,350.00 28,350.00 .00'
The State of the City Council
Page 4
The above line items with (*) in balance have had transfers into their budget. The above
selected highlight? are Subject to audit and are included here to show current activity for
some appropriatifins and l~nd guidance to the council On fUture decisions and concerns.
Economic development has been a very important activity for this council in 2005.
Veterans Parkway commercial development and the proposed Jeffersonville Town Center
will require thorough analysis and tough decisions. The council may be asked to
appropriate EDIT funds and approve bond financing for infrastructure improvement. A
separate tax increment-financing district will probably be created to provide the revenues
to support this project. Re-zoning is nearly complete in the Veterans Parkway corridor to
allow proper commercial development.
The council is awaiting various decisions that will guide our involvement in the
commercial developments near 10th and Spring Streets. The Department of
Redevelopment is directing this. activity. The council may be asked to appropriate EDIT .
fund, approve a bond issue to complete this development or use cumulative capital
development funds. Recent ~ity council re-zoning ordinances have paved the way for
commercial development along 10th Street near Holmans Lane and Highway 62 near
Herb Lewis Road. The city suffered a slight setback recently when a proposed $40
million condominium-retail project in downtown Jeffersonville was put on hold due to
bankruptcy and reorganization.
The administration, Mayor Waiz, and the council have spent countless hours working -
with Govemor Daniels and Med Venture, a Louisville, Ky business, to bring Med
Venture's relocation to Jeffersonville. This exciting comp.any could bring hundreds of
jobs to Jeffers0.nville in the medical technology and research field. An announcement
could come within days on this project.
Quality of life issues have drawn the attention and concern of this council. The soon.to be
opened Remnant Trust Collection of Rare Books in downtown Jeffersonville will get city.
council support. The .newly opened Riverstage featuring, movies and live emertainmem
on the Ohio River.certainly add to our theatre.0gppmmities. The commitment to a new
Ken Ellis Cemer for Senior Citizens, the continued support to the Jeffersonville. Youth
Commission, support for-Concerts in the Park and the Howard Steamboat Museum shows
our appreciation. In addition, the financial support to the Clark County Health Clinic,
Repair Affair and others important to improving conditions in our community. As council
president, I will be asking Mayor Waiz to designate and create activities to promote
Racial Equality Week starting September 26, 2005.
In closing, with increased activity by this council and the demand for increased
communications among its members and the administration, many times relations and
communications become strained. With council committees meeting two or three time
per week and the mayor's busy schedule and the part-time status as council members,
tensions can become increased. Almost every day brings a new experience and challenge.
I know from working at this position for the past six months that the council members
really do share our recently adopted council vision which is "The Jeffersonville City
Council(will plO-tide a city government that is aligned, connected to its citizens and
working at peak efficiency and effectiveness."
Ron Grooms,
President
Jeffersonville City Council
i am here to follow up on a request I recently made to you. The street dept. has
been experiencing quite a bit of difficulty in hiring truck drivers.
My suggestion to raise the pay for drivers with a Commercial Drivers License
to $14.00 per hour and Tippers to $13.00 per hour will only affect the
employees who currently make less than these amounts. This change will allow
us to be comparable to the cities surrounding us in wages and benefits.
My secretary has calculated and found that the amount of additional money
needed for the rest of this year is less than it waS °riginally th°ught to be. The
suggested appropriation needed for the rest of the year is as follows:
Appropriation Amount
Need for rest of year
Number of affected employees
$15,000.00 which covers normal overtime
$13,000.00
5 CDL drivers and 8 tippers
In the current salary ordinance, we have (3) Driver/Laborer spots and
(1) Laborer spot. In the laborer spot, the top pay is $11.30 per hr. The
driver/laborer can make up to $13.18 per hr.. Additionally one of our tippers
is paid from Vehicle' Maintenance, and that position (mechanic helper/cleaner)
can only make $11.30 per hr, therefore, the salary ordinance will probably
have to be changed.
The figures for additional money to finish out the year does not reflect an
emergency, if one would appear that would involve major overtime being
required, like the storm we had last year.
The budget request that have been submitted for next year does not reflect the
raises which we are giving this year.
In order to lessen the impact on our appropriations, the raises will be given in
increments of $.50 per hr. starting now and continuing every six months until
the targeted pay level is reached.
Ronald G. Ellis
'" .STITES&
ATTORNEYS
323 East Court Avenue
Jeffersonviile, IN 47130
[812) 282-7566
[812) 284-5519 FAX
www. stites.com
oRANr)u
Bruce Benjamin Paul
(812) 218-1701
bpaul@stites.com
TO' Allen Morris
FROM' Bruce B. Paul
DATE: May 27, 2005
Jeffersonville City Council's Retroactive PERF Ordinance
QUESTION PRESENTED .......
Whether the Jeffersonville City Council's ("the Council") 2005 ordinance ("2005
ordinance") to enroll its members in the Public Employees Retirement Fund ("PERF")
retroactively to 1972 is effective where the Council passed an ordinance in 1980 (" 1980
ordinance") declaring the members ineligible for PERF.
SHORT ANSWER
Because the Council previously deemed its members ineligible to participate in PERF,
the Council probably cannot now declare those.same members eligible. PERF administrators
("the administrators") will be within their fight to reject such an ordinance.. Although the
Council could attempt to rely on the general principles that (1) ordinances operating
J9484:9165:40600:1 :JEFFERSONVILLE
Alexandria, VA Atlanta, GA Frankfort, KY Jeffersonville, IN Lexington, KY
Louisville, KY
Nashville, TNVVashington, DC
retrospectively are enforceable and (2) the later act of a municipal legislature controls if it is
inconsistent With the former act as long as it is not unlawful, .the .Council will not likely prevail.
After all, the Indiana legislature charged PERF administrators with .making eligibility decisions
based on statutes, and thus these administrators owe PERF a fiduciary duty to ensure only
eligible members benefit from it. If the administrators determine that the ordinance seeks to . .
enroll ineligible employees in the program, the administrators must reject the ordinance.
Therefore, because the administrators know that the .Council previously declared its members
ineligible at a certain period, it will not now allow the Council to state that those members were
eligible.
If the Council believes it can demonstrate that the 1980 Council members were eligible
for PERF, despite the 1980 ordinance's language, certainly it can attempt to do this. As PERF
administrators have jurisdiction over this decision, the Council can attempt to persuade them to
this effect. Doing so may be difficult and costly, however.
An option the Council may consider is to avoid the prior'ordinance altogether, if the
Council sets the PERF retroactive date to a date later than the 19.80 .ordinance, PERF
administrators will have no reason to believe a conflict exists.
RELEVANT STATUTES AND.REGULATIONS
Indiana Code § 5-10.2-3-1' Creditable service.
(a) Each member's creditable service, for the purpose of computing benefits under this
article, consists of all service in a position covered by a retirement fund plus all other service for
which the retirement fund law gives credit.
J9484:9165:40600:1 :JEFFERSONVILLE
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(6) Employees, except employees of a participating school corporation, hired after June
30, 1982, occupying positions normally requiring performance of service of less than one
thousand (1,000) hours during a year.
Relevant Indiana Administrative Code Regulations are attached.
SUMMARY OF FACTS
The Jeffersonviile City Council ("'the Council") passed an ordinance in 2005 to enroll its
members in the Public Employee Reti. rement Fund ("PERF"). The ordinance sought to cover its
members retroactively to 1972. Unfortunately, the Council passed an ordinance in 1980 that
withdrew its members from PERF because, at the time, it deemed its members ineligible. In
other words, the Council in essence adopted two conflicting ordinances regarding its members'
eligibility for PERF. This memorandum discusses the consequences of the 1980 ordinance as it
relates to the 2005 ordinance. Although this memorandum mentions arguments the Council may
have available to support the 1972 retroactive date, pursuing these arguments is likely futile.
Rather, this memorandum suggests a different ~)ption: changing the retroactive date to any year
after 1980, which will avoid any conflict with the 1980 statute.
DISCUSSION
PERF is codified under Indiana Code Title 5, Article 10.3. The statutes describe who is
eligible to participate in PERF and the means to accomplish enrollment. The Council can choose
to join PERF if it is eligible, and the 2005 ordinance enacted is the proper means of enrollment.
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J9484:9165:40600: I :J EFFERSONVILLE
Similarly, the Council can withdraw from PERF via ordinance if it determines it is ineligible,
which the Council did in 1980. Generally, the most reCent ordinance addressing an issue
operates to repeal a prior ordinance on that same issue.if the Council unambiguously enacted to
achieve that end. Accordingly, the Council's 2005 ordinance arguably vacates the 1980
ordinance and controls the Council's belief regarding its eligibility for PERF. However, PERF
administrators have authority to deny enrollment where they contend the enrollee does not meet
the statutory and regulatory criteria for participation. Consequently, administrators can ig-nore
the Council's 2005 ordinance if the.. ordinance.disregards eligibility requirements. Because the
Council in 1980 declared members ineligible, administrators now perceive the 2005 ordinance as
avoiding PERF's membership requirements. Thus, the Council's ordinance only repeals the
prior ordinance to the extent it is consistent with laws and regulations, and administrators will
not accept that the 2005 ordinance complies with its laws and regulations. As such, unless the
Council desires to expend resources demonstrating members in 1980 were in fact eligible, PERF
administrators will not accept the 2005 ordinance's language.
The Indiana legislature authorized the PERF Board of Trustees to promulgate PERF's
roles. I.C. § 5-10.3-3-8 (Bums Ann. 2004). MoreoVer, the PERF executive secretary has
authority to make eligibility and other determinations on applications made to PERF. 35 I.A.C.
1.2-1-2 (readopted 2001). To that end, PERF makes decisions about membership applications
and eligibility based on the statutes in effect.
PERF membership requires full-time employment for the state or one of its political
subdivisions. I.C. § 5-10.3-7-1 (Bums Ann. 2004). Furthermore, only full time employees who
work at least 1000 hours annually qualify for PERF. I.C. § 5-10.3-7-2(6) (Bums Ann. 2004).
The statute provides that a city council may pass an ordinance to enroll qualified employees in
J9484:9165:40600:1 :JEFFERSONV ILLE
-5-
PERF. I.C. 5-10.3-6-1(a) (Bums Ann. 2004). Furthermore, the ordinance may include a date
"from which prior service for its employees will be computed." M. at (b). This date must,
however, correspond with a date when the council members were eligible for PERF. I.C. § 5-
10.2-3-1 (Bums Ann. 2004).
The Council clearly satisfied the statutory requirements for PERF enrollment by duly
passing the 2005 ordinance, which describes its members as "full-time" and stating that they
work at least 1000 hours annually. Furthermore, the 2005 ordinance contains a retroactive date,
as the statute permits, of 1972. However, that 1972 date does not correspond with the Council's
period of eligibility for PERF. PERF administrators have on file the Council's 1980 ordinance,
which declared its members ineligible for enrollment.
Consequently, PERF administrators will not accept the 1972 retroactive date because it
fails to conform with the statutes. This is because the 2005 ordinance, in the administrators'
eyes, attempts to gain credit for a year when members were not eligible for PERF. PERF is only
available to eligible members, and its administrators owe a fiduciary duty to the fand. As such,
PERF administrators prohibit unauthorized enrollment of ineligible members. As such, they will
not permit service credit for Council members in 1980.
The Council may respond that its 2005 ordinance declares all council members back to
1972 eligible for PERF and, in effect, repeals the 1980 ordinance, but this argument is suspect.
Indeed, the Council may repeal or amend a prior ordinance at its discretion. Such actions are
best accomplished by passing ordinances that explicitly and unambiguously accomplish these
ends. After all, Indiana courts do not favor an ordinance that does not.explicitly repeal a prior
ordinance, but rather "constructively" repeals it. See Willian v. City of Evansville, 98 N.E.2d
219, 222 (Ind. App. 1951). However, a later ordinance that deals with the same substance matter
J9484:9165:40600'1 :JEFFERSONVILLE
-6-
as a prior ordinance may operate to repeal the prior ordinance. This only occurs, however, if the
·
later ordinance is "so repugnant to the former that the two cannot be reconciled or unless it
clearly appears that the later law would not have been enacted without a plain intention to repeal
the earlier one." Id.
The Council can argue that, based on this precedent, the 2005 ordinance repealed the
1980 ordinance and should be given full effect. This argument lacks persuasion. First, the 2005
ordinance in no way "explicitly and unambiguously" repeals the 1980 ordinance. In fact, the
2005 ordinance does not even mention the 1980 ordinance. Therefore, since the 2005 ordinance
does not explicitly repeal the 1980 ordinance, the Council must argue it constructively repealed
the 1980 ordinance. Unfortunately, the Council is at a disadvantage under this argument because
Indiana courts disfavor such ordinances. Id.
Nonetheless, the 2005 ordinance is arguably repugnant to the 1980 ordinance. Indeed,
the Council could submit that the two ordinances cannot coexist given the PERF eligibility
requirements. Hence, since the Council enacted the 2005 ordinance after the 1980 ordinance, the
2005 ordinance prevails and constructively repeals the 1980 ordinance.
On the other hand, this constructive repeal argument fails to deal with the fact that neither
ordinance contemplates Council members' eligibility before or after their effective date. For
·
example, the 2005 ordinance gives a 1972 retroactive date, but that clause fails to state the
Council members were eligible back to that date. Similarly, the 1980 ordinance says nothing of
the Council's eligibility in the future. Thus, PERF administrators could argue that the two
ordinances are not repugnant to one another. Instead, the 2005 ordinance merely states that the
Council members are now eligible and mistakenly suggests they were eligible back to 1972.
J9484:9165:40600: I'JEFFERSONVILLE
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Furthermore, reading the 2005 ordinance to qualify the 1980 Council for PERF squarely
conflicts with PERF administ?'ators' authority to make eligibility determinations. The 2005
ordinance will only operate to the extent PERF administrators will pemfit, as is their statutory
obligation. Consequently, PERF administrators will not ignore the 1980 ordinance. Nothing
since 1980 affirmatively stated that Count:il members were eligible during that period. IfPERF
administrators ignored the 1980 'ordinancei'they would breach their fiduciary duty to PERF by
permitting ineligible individuals to participate.
In other words, PERF administrators possess an affirmative obligation to measure the
Council's 2005 ordinance against the 1980 ordinance they have on file and scrutinize any
inconsistencies. In doing so, the administrators found the inconsistency in the 2005 ordinance:
the 1980 Council was ineligible for the benefits the 2005 Council now wishes to obtain. As
fiduciaries to the fund, the administrators will require the Council to demonstrate that the 1980
Council is entitled to PERF benefits.
Of course, this does not mean the issue is dead. As previously discussed, where the
Council's second ordinance is clearly intended to repeal the first ordinance, it should be
operational so long as it is not contrary to law. If the Council intended the 2005 ordinance to
make the 1980 Council members eligible for PERF, it can submit information in support of this
contention. The Council would, in effect, be declaring now that the 1980 Council erred in
declaring itself ineligible. In other words, the Council must demonstrate its members' eligibility
between 1972 and 2005.
Alternatively, the Council could redraft its ordinance to avoid the 1980 ordinance
altogether. For example, the Council could pass a new ordinance that sets a retroactive date to
1981. As previously discussed, the 1980 ordinance says nothing of future eligibility, so PERF
-8-
.19484:9165:40600' 1 :JEFFERSONVILLE
administrators would not dispute a 1981 retroactive date. Karen Vice, Jeffersonville's liaison,
confirmed this point. While the Council would not benefit from the additional nine years of
serviceable credit, the Council would not bear the burden of demonstrating the 1980 Council's
alleged error in declaring themselves ineligible.
CONCLUSION
PERF is a fund that has statutory and administrative guidelines limiting eligibility, and
the executive secretary possesses authority to make eligibility decisions in light of these
guidelines. Beyond that, PERF administrators have an affirmativefi.duciary duty to guard the
integrity of the fund so that ineligible members do not benefit from the fund or defraud ~it in any
,
way. On the other hand, the Council has authority to declare itself eligible for PERF if members
satisfy the statutory and adminis~trative requirements. Furthermore, the Council can set a
:.
retroactive date for creditable service purposes, but its ordinance to this effect must withstand
.,
PERF administrators' scrutiny. If the administrators find that the C0uncil is seeking to provide
membership benefits for a period where the Council was not eligible for PERF, the
administrators will reject it. This is tree even if the Council's later ordinance repeals the.prior
ordinance that made its members ineligible. The Council is not without options, however. The
Council may attempt to demonstrate that, contrary to the 1980 ordinance, the 1980 council was
eligible for PERF. A better option, however, is for the Council to amend the 2005 ordinance to
make the Council's PERF retroactive .............. date 1981. This date would avoid the 1980 Council's.
eligibility i~she ~ltogether. .' '. ~' "" ~ '
· . ..... '-~ 7- .; . . : . :
.:
bbp
J 9484:9165:40600:1 :J EFFERSONV ILLE
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AGREEMENT
,
THIS AGREEMENT ("Agreement") is made and entered into as of the ~ day of
,2005 by and between the CITY OF JEFFERSONVILLE, INDIANA, a third class
city organized and existing under the laws of the State of Indiana (the "City") and THE BOARD
OF TRUSTEES OF CLARK MEMORIAL HOSPITAL, an Indiana County Hospital (the
"Hospital').
Recitals
A. The Hospital is in the process of making improvements to its buildings and site,
which improvements include the construction of a new road and entrance servicing the Hospital
(collectively the "Improvements").
B. The Hospital is desirOus of obtaining additional real estate owned by the City for
completion of its Improvements, which additional real estate includes an unused portion of
Broadway (a pUblic street).
C. The City is desirous of obtaining an option to purchase certain real estate owned
by the Hospital (the "Option Property") to be used for future economic development for the
benefit of the City and its citizens.
D. Subject to the terms and conditions set forth herein, both the City and the Hospital
are willing to make certain conveyances and take other necessary actions to enable completion of
the Improvements and the economic development of the Option Property.
NOW, THEREFORE in consideration of the mutual promises and covenants contained
herein, IT IS AGREED'
1. The City will take immediate steps to vacate an unused portion of Broadway (the
"Vacation"). A legal description and a drawing depicting the location of the property subject to
the Vacation are attached hereto and identified collectively as Exhibit A.
2. Upon completion of the Vacation, the City will deed to the Hospital a 30 foot strip
of real estate (the "Strip") owned by the City to be used by the Hospital for construction of a
road which will provide a new entrance to the Hospital. The legal description of the Strip and a
drawing depicting the location of the Strip are attached hereto and identified collectively as
Exhibit B.
3. Upon completion of the Vacation and the delivery by the City to the Hospital of
the deed to the Strip, the Hospital will grant to the Department of Redevelopment of the City of
Jeffersonville an option to purchase a .311 acre parcel of land owned by the Hospital which ~s
bounded by Tenth and Spring Streets (the "Option"). The legal description of the .311 acre
parcel of land and a drawing depicting the location of the .311 acre parcel of land are attached
hereto and identified collectively as Exhibit C (the "Optioned Property"). The Option will
include the following terms'
(i)
The purchase price will be $404,7I 8.50.
J9484'9147:42032:2: J EFFERSONV II~LE
(ii)
The Option will be for a term of four years.
(iii) The Optioned Property, together with a .7 acre tract owned by the
City (the "Adjoining Tract"), will be marketed as one (1) tract for sale as a site for professional
offices, financial institutions, a hotel, or, as may be mutually agreed upon between the City and
the Hospital. The legal description of the Adjoining Tract and a drawing depicting its location
are attached hereto and identified collectively as Exhibit D.
(iv) The Option will contain a fight of first refusal in favor of the
Hospital allowing it to match any bona fide written offer for the Optioned Property and
Adjoining Tract with the Hospital to receive a credit against the purchase price for both tracts
equal to the Option price granted to the City.
(v) The City of Jeffersonville and its Department of Redevelopment
will not market or sell the Optioned Property and the Adjoining Tract to any competitors of the
Hospital, including but nOt limited to any person or entity which is owned or managed by a
hospital other than Clark Memorial Hospital or Jewish Hospital Healthcare Services, Inc.
(vi) The Option will be in substantially the same form as Exhibit E
attached hereto.
(vii) The Option will be subject to the approval of the Board of
Commissioners of Clark County, Indiana.
4. In the event the Optioned Property is sold, the Hospital agrees to provide ingress
and egress to the Optioned Property from the Hospital's newly constructed road and entrance.
5. During the term of the Option, the Hospital agrees to maintain the Optioned
Property and Adjoining Tract as open green space.
6. This Agreement shall be binding upon and inure to the benefit of the parties
hereto and their respective successors and assigns.
7. This Agreement, including the Exhibits hereto, constitutes the entire agreement
between the parties with respect to the subject matter hereof and supercedes all previous
negotiations, commitments and writings.
8. This Agreement may not be modified except by an instrument in writing signed
on behalf of each of the parties hereto.
9. This Agreement shall be construed and the fights of the parties hereunder shall be
governed by the laws of the State of Indiana.
10. This Agreement may be executed in one or more counterparts, each of which shall
be deemed to be an original, but all of which shall constitute Agreement.
i I. To the extent applicable, the undersigned persons executing this Agreement on
behalf of the City and Hospital represent and certify that he/she is a duly elected or appointed
J9484:9147:42032:2: JEFFERSONVILLE
officer or representative of either the City or Hospital and has been fully empowered by proper
resolution of the Board of Trustees, or other governing body, of either the City or Hospital, to
execute and deliver this Agreement; and that all necessary corporate or governmental action for
the entering into of this Agreement has been taken and done.
IN WITNESS WHEREOF, the parties haVe executed this Agreement on the dates set
forth below
CITY OF JEFFERSONVILLE
BY:
TITLE:
DATE:
THE BOARD OF TRUSTEES OF
CLARK MEMORIAL HOSPITAL
BY:
TITLE:
DATE:
STATE OF INDIANA
COUNTY OF CLARK
)
)SS
)
Before me, the undersigned Notary Public, in and for said county and state, personally
appeared _, the of the City of Jeffersonville, Indiana,
who ackn°wledged execution of the foregoing document. '
WITNESS my hand and Notarial Seal this_
day of ,2005.
My Commission expires'
Notary Public
Printed:
J9484:9147:42032:2 :JEFFERSONVILLE
My County of Residence is'
STATE OF INDIANA )
)ss
COUNTY OF CLARK )
Before me, the underSigned Notary Public, in and for. said county and state, personally
appeared , the of Clark Memorial Hospital, who
acknowledged execution of the foregoing document~
2005.
WITNESS my hand and Notarial Seal this day of _,
My Commission expires'
My County of Residence is:
Notary Public
Printed'
This instrument prepared by:
J. Spencer Harmon
STITES & HARBISON PLLC
323 East Court Avenue
P.O. Box 946
Jeffersonville, IN 47131
(812) 282-7566
J9484:9147:42032:2 :JEFFERSONVILLE
EXHIBIT
,
· .
DESCRIPTION OF PART OF BLOCK 115 IN SEF~RSONVILLE
Being a part of Block 115 in thc City of Jeffcrsonville, C1ark County, Indiana and being thrthcr
described as follows:
Beginning at a.steel pin on fl~e southwest comer of said Block t I5, being the northcast comer of Tcnth
Street and Broadway in said City; Thence N.4°24'22"E., along the west line of said Block, being the east Right-
of-Way line of said Broadway, 257.36 (bet to THE TRUE PLACE OF BEGINN~'G'
Thence continuing N.4°24°22"E., along said Right-of-Way line, 30 feet to a steel pin on fl~e southwest
comer of a tract of land descn'bed in Computer #200204400 (being 8.4°2422"W.., 109.8 feet from a steer pfl~ on.
the northwest comer of said Block 115);
Thence S.85°35'38"E., along the south linc of said tract, 75.23 feet to a steel pin on the southwestern
Right-of-Way line of Spring Street;
Thence S. 17°38'13"E., along said Right-of-Way line, 32.37 feet;
Thence N.85°35'38"W., 87.38 feet to THE TRUE PLACE OF BEGINNING.
Containing 2439 square feet, and being subject to all easements ofi:ecord.
NOTE: ~lais description prepared from deeds and maps of record. No surveying done this date~
fiIe:18209~wpd
OPTION TO PURCHASE,,,REAL,pROPERTY ~ .
As part of, and in consideration of, the execution and delivery of that Certain Agreement
by and between the Vendor and the Purchaser of even date herewith, The Board of Trustees of
Clark Memorial Hospital, an Indiana county hospital ("Vendor"), with an address of 1220
Missouri Avenue, Jeffersonville, IN 47130 grants and conveys to the Department of
Redevelopment of the City of Jeffersonville ("Purchaser"), a governmental entity organized and
existing under the laws of the State of Indiana, with an address at 501 E. Court Avenue,
Jeffersonville, IN 47130, the option to purchase certain real property located in the City of
Jeffersonville, Clark County, Indiana, containing .311 acre more or less (the "Real Property"),
the legal description of which is attached hereto as Exhibit A for the purchase price of
$404,718.50 (the "Purchase Price") on the following terms and conditions'
,
TERM AND EXTENSION. Purchaser's right to exercise this option shall begin
on the date hereof and shall continue until and including 11 '59 p.m. of August 1, 2009 (the
"Option Period"). If Purchaser fails to give notice to Vendor of its exercise of this Option,
through no fault of Vendor, or fails to obtain an extension of the Option Peri°d, then this Option
to Purchase Real Property shall terminate at the end of the Option Period.
.
ASSIGNMENT OF OPTION. Purchaser may, without consent of Vendor,
assign this Option to Purchase Real Property (the "Option") to any affiliate or successor,
provided Purchaser shall remain liable hereunder.
,
EXERCISE. This Option shall be exercised by the Purchaser's notice to Vendor
of its election to purchase (a) actually served upon Vendor or (b) placed in an envelope directed
to the Vendor at the address of the Vendor shown above and deposited in the United States Mail
by certified or registered mail, return receipt requested, postage prepaid, before the expiration of
J9484:9147:42033:2 :JEFFERS ONV IkLE
the Option Period. Upon Purchaser's exercise of this Option, Purchaser shall be deemed to have
agreed to purchase the Real Property on the terms and conditions set forth herein.
CLOSING. If this Option is exercised, the transaction shall be closed within
thirty (30) days after a commitment for title insurance is delivered to Purchaser and each
condition of purchase is either satisfied or waived.
o
PAYMENT ON CLOSING. At the closing of this transaction, Purchaser shall
pay in cash to Vendor the Purchase Price.
o
CONDITIONS OF OPTION. This Option and Purchaser's rights herein are
subject to the following conditions:
A. Purchaser shall market as one (1) site, the Real Property and that certain
.7 acre tract owned by the City of Jeffersonville which adjoins the Real PropertY (the "Adjoining
Tract"). Attached as Exhibit B is a legal description and a drawing depicting the location of the
Adjoining Tract.
B. Purchaser will not market or sell the Real Property and Adjoining Tract to
any competitors of the Vendor, including, but not limited to, any person or entity which is owned
or managed by a hospital other than Clark Memorial Hospital or Jewish Hospital Healthcare
Services, Inc.
C. Purchaser shall market the Real Property only as a site for professional
offices, financial institutions, a hotel or any other uses as may be mutually agreed upon between
Purchaser and Vendor.
D. In the event of the exercise of this Option by Purchaser, Vendor shall have
the right to purchase for its own use the Option Property and the Adjoining Tract upon the same
terms and conditions as set forth by Purchaser in its notice to exercise Option. Vendor shall
receive a Credit against the purchase price for both the Option Property and Adjoining Tract
equal to the Purchase Price.
E. Vendor agrees during the Option PeriOd to maintain the Real Property and
the Adjoining Property as open green space.
J9484:9147:42033:2 :JEFFERSONV1LLE
7. CONDITIONS OF PURCHASE. If this Option is exercised, the Purchaser's
obligations to consummate the purchase of the Real Property are subject to the satisfaction of the
following conditions'
A. There are no encroachments on the Real Property and no existing
violations of zoning ordinances or other restrictions applicable to the Real Property.
B. Purchaser, at its expense, shall receive a satisfactory staked survey of the
Real Property certified as of a current date~ showing the locations of ail improvements and
easements located thereon. The survey shall satisfy the Minimum Standard Detail Requirements
for Indiana Land Title Surveys.
C. Purchaser, at its expense, shall cause a Phase I and/or a Phase II
Environmental Study to be conducted on the Real Property which shall be satisfactory to
Purchaser in its sole discretion.
D. Vendor hereby grants to Purchaser, its employees and agents access to the
Real Property for the purpose of conducting a Phase I and/or a Phase II Environmental Study and
similar site determinations.
E. Vendor further grants to Purchaser the right to have any Phase I and/or
Phase II Environmental Study performed prior to Purchaser exercising this Option.
F. During the Option Period, Vendor shall not substantially alter the Real
Property.
G. Purchaser obtaining all necessary zoning approvals, variances and the like
for Purchaser's intended use of the Real Property.
H. The purchase is subject to the approval of the Board of Commissioners of
Clark County, Indiana.
8. OBLIGATIONS OF PURCHASER. Purchaser agrees to indemnify and hold
harmless Vendor for all losses, costs, and expenses of every nature, including reasonable
attorneys' fees, incurred by or imposed against Vendor as a result of, or relating to, any acts or
omissions of Purchaser, its agents, Contractors and employees, in respect of the Real Property,
including any environmental tests.
9. VENDOR'S TITLE. Within five days after Vendor receives notice of the
exercise of this Option, Vendor shall order for the Purchaser, as soon as the same can be
J9484:9147:42033:2 :JEFFERSONVILLE
prepared, a commitment for an owner's policy of title insurance issued by a title insurance
company satisfactory to the Purchaser, in which the title insurance company shall agree to insure
merchantable title in the name of the Purchaser after the delivery of a general warranty deed to
Purchaser from Vendor. Such policy is to be issued without the standard pre-printed exceptions
for parties in possession, survey, or mechanics' and materialmens' liens. The title insurance shall
insure title for the full amount of the Purchase Price. and anticipated improvements, as
determined by Purchaser. Vendor shall pay only those costs for title insurance related to the
actual Purchase Price.
10. TAXES AND ASSESSMENTS. Purchaser assumes and agrees to pay all
assessments for municipal improvements becoming a lien after the date of closing. Real estate
taxes, if any, shall be prorated to the date of closing, i.e., if the closing were to take place on July
1, 2006, Vendor would pay both installments of the 2005 payable in 2006 real estate taxes and
one-half (1/2) of the 2006 payable in 2007 real estate taxes. Vendor shall also pay any delinquent
real estate taxes and any unpaid penalties or interest thereon. If the applicable tax rate has not
been set, the current tax rate will be used for determining the prorated amount. Any taxes not
assumed by Purchaser and which are not due and payable at the time of closing shall be allowed
as a credit on the cash payment required at closing, and Vendor shall not be further liable for
such taxes.
RENTS, INSURANCE, AND RISK OF LOSS. Rents, if any, shall be prorated
11.
to the date of closing. Insurance shall be canceled as of the date of closing. Vendor shall bear the
risk of loss until closing.
CLOSING DOCUMENTS AND pOSSESSION. At date of closing, Vendor
12.
shall execute and deliver its warranty deed conveying the Real Property in the same condition as
· * J9484:9I 47:42033:2:JEFFERSONVILLE
it is now, ordinary wear and tear excepted, and free and clear of all liens and encumbrances, and
a Vendor's Affidavit in a form acceptable to Purchaser and the title insurance company issuing
the Owner's Policy of Title Insurance. Possession of the Real Property shall be delivered to
Purchaser on the date of closing.
13. BROKERAGE~FEE. The parties hereby represent and warrant to each other that
no brokerage fees are payable by either party as a result of this sale.
14. DEFAULT. If Vendor violates or defaults under any of the terms or provisions of
this Option to Purchase Real Estate, Purchaser shall be entitled to specifically enforce the
provisions hereof in addition to any other remedy available at law or in equity. Either party shall
indemnify and pay to the prevailing party all costs and expenses, including, but not limited to,
reasonable attorneys' fees incurred in any court action, including attorney fees that may be
incurred on appeal, which the prevailing party may incur because of the other party's default or
violation.
CORPORATE AUTHORITY. To t-he extent applicable, the undersigned
15.
persons executing this Option on behalf of the Vendor and Purchaser represent and certify that
he/she is a duly elected or appointed officer or representative of either Vendor or Purchaser and
has been fully empowered by proper resolution of the Board of Trustees, or other governing
body, of either Vendor or Purchaser, to execute and deliver this Option; and that all necessary
corporate or governmental action for the entering into of this Option has been taken and done.
16. MISCELLANEOUS. These covenants and agreements shall bind, and the
benefits and advantages shall inure to the respective successors and assigns of the parties.
J9484:9147:42033:2 :JEFFERSONV ILLE
No modifications shall be made to this agreement except in writing and only if signed by
both parties.
J 9484:9147:42033:2: JEFFERSONVILLE 6
IN WITNESS WHEREOF, this Agreement has been executed on the dates set forth
below.
DEPARTMENT OF REDEVELOPMENT
CITY OF JEFFERSONVILLE:
BY:
TITLE:
THE BOARD OF TRUSTEES OF
CLARK MEMORIAL HOSPITAL
BY:
TITLE:
STATE OF INDIANA )
)ss
COUNTY OF CLARK )
Before me, the undersigned Notary Public, in and for said county and state, personally
appeared _, the of the Department of Redevelopment
for the City of Jeffersonville, Indiana, who acknowledged execution of the foregoing document.
WITNESS my hand and Notarial Seal this ~ day of ,2005.'
My Commission expires:
Notary Public
Printed:
My County of Residence is'
STATE OF INDIANA
COUNTY OF CLARK
)
) ss
)
J9484:9147:42033:2 :JEFFERSONVILLE
Before me, the undersigned Notary Public, in and for said county and state, personally
appeared _, the of clark Memorial Hospital, who
acknowledged execution of the foregoing document.
WITNESS my hand and Notarial Seal this day of
,2005.
My Commission expires'
My County of Residence is:
Notary Public
Printed:
This instrument prepared by:
J. Spencer Harmon
STITES & HARBISON PLLC
323 East Court Avenue
P.O. Box 946
Jeffersonville, IN 47131
(812) 282-7566
J9484:9147:42033 '2: JEFFERS ONVILLE