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Carmel council seeks oversight of redevelopment expenses

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Carmel City Council members want further control of the redevelopment commission that carries out Mayor Jim Brainard’s vision for downtown, and Brainard said Friday morning that he won’t oppose the plan.

Council President Rick Sharp and members Luci Snyder and Eric Seidensticker are sponsoring an ordinance, to be introduced Monday, that would move the Carmel Redevelopment Commission’s staff and operations into a city department. That means the CRC’s annual operating budget, which is $6.4 million this year, would have to be approved by the council.

“It’s very comparable to what other redevelopment commissions in the state do,” Brainard said.

Council members have been scrutinizing the CRC’s expenses as they consider refinancing $183 million of the commission’s $267 million in debt. The commission has maxed out its credit and needs the refinancing to free up $8.8 million, which Brainard wants to use to complete the masssive City Center project.

To get the refinancing, Brainard agreed in April to an ordinance that gives the council final say over any future debt incurred by the CRC. The latest proposal means the council would also have oversight of the CRC's internal expenses.

Snyder, chairwoman of the council's finance committee, said it's too early to tell how the change would play out for the CRC's six-member staff, which works out of offices in the Evan Lurie building in the Arts & Design District. The CRC probably will save money by eliminating accounting fees, as the treasurer would be the city's fiscal agent, Clerk-Treasurer Diana Cordray, she said.

"I don't know what else," Snyder said. "That's probably a decision [to be made] closer to the beginning of the year. My job is to stop the bleeding."

Brainard said he's not concerned that the council will gut the CRC's operations, which include marketing and promotion for downtown businesses.

“I’m going to take everyone at their word; they still want to have a good redevelopment department,” he said.

The council might not be able to eliminate the bulk of the CRC’s operating expenses because they include subsidies to the Center for the Performing Arts, utility costs for the Palladium concert hall and overhead at the James Building, which houses theaters and offices.

The change would most likely impact the CRC’s direct overhead, which include a $462,505 payroll, outside legal and accounting services and leased office space in the Lurie building.

As part of the refinancing, the CRC proposed to lower its overhead from about $3 million this year to $1.1 million in 2013.

Under the proposed ordinance, the five-member redevelopment commission would be staffed by a city department, the Carmel Redevelopment Department.

Brainard noted that the department already exists and that the CRC’s current staff, which works under contract, could become full-time city employees. “Which would be a good thing for those employees,” he said.

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  • Not as it seems
    As to the Bridges and Silvara it would appear that it is not the Mayor who was behind this but a certain Council President. One of developers of the Bridges organized a major fund raiser for Mr. Sharp. Councilor Carter has a similar vision as the Mayor and voted against the Bridges and Silvara. Mr. Sharp patted himself on the back that it only took 1 1/2 hours in council committee meetings to make minor modifications where as a trash ordinance took 9 months. There seems to be a new wannabe Mayor in town these days
  • Repy to Wes
    Wes, anyone who lives near Spring Mill, either on the east or west side, is, or will be confronted by large commercial developments. Either within the immediate future, or in the near future. Many have already been approved, or soon will be. The 31 overlay was well east of Illinois, until Brainard and his cronies decided they should make that west of Illinois. Now, not only is, or will their be commercial all the way to Springmill, the developers are trying for commercial on the west side of Springmill. None of this area was in the Tax increment areas, until just a few years ago. Someone needs to pay for the palladium.
  • Reward for bungles
    So am I reading this correctly. No one from CRC has been sacked or fired. They bungle their accounting, incur massive debts from over stretching their budgets and then we the Carmel taxpayer bails them out, despite earlier promises we wouldn't do it, then the people involved become employees of Carmel and gain significant benefits going forward.....umm where/how do I create a CRC Mark II for my own future benefits ???
  • Commercial Development?
    I'm confused how he is ruining neighborhoods on the west side of Carmel with commercial development? Between Spring Mill and Michigan the only commercial development is in the Village of West Clay.
    • GREENWOOD
      p.s. And no jobs.
    • MOVE TO GREENWOOD
      If you folks in Carmel dont like what happened, move to Greenwood. We have a redevelopment tax district that took in over $240Million dollars in the last 12 years under Mayor Henderson---and all we have is a Walmart on County Line Road----but absolutely no complaints from the citizens. My point is that the State needs to step in as there is abuse on both ends of the scale.
      • Further problem
        For those of us who live west of Meridian, the problem is what Brainards plans are doing to our neighborhoods. The City government is continually destroying neighborhoods with their aggressive zoning, and seeking of more and more commercial development. Some of our neighborhoods are needlessly being surrounded by commercial construction, and shoe horning in TIF districts to pay for the over spending. This, when other areas of commercial Carmel is suffering significant vacancies. All they are doing is moving businesses from one area to another (usually to the TIF districts). Why they have not discovered the age old of improving, and utilizing existing infrastructure, I will never understand. Kite however, gets it. His improvements at 116th and Rangeline are going to be a home run.

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      1. liek the rest of America

      2. These quaint,obsessed musings by the stalkers are certainly entertaining, but I'm trying to figure out what, if anything, all the yelping below has to do with Zak Brown.

      3. It's evident that Moffett was pushing the right buttons and corporate America is now trying to squash him. He just wanted to withdraw the free pilot services provided to the company by the pilots to try and put some pressure on a company that has not been interested in negotiating a contract in over 5 years. The company does not provide a contract because not having one has saved them a bundle of money. Shame on any Republic pilots not standing behind their union leader just because things are getting tough, can you not see such strategic moves by the company as putting the last union president in a corporate position and into THEIR pocket. Do you really believe the last union president is so appalled at the attempts by Moffett, do you not remember his oppositions to the company? We stood behind him. It has been proven over and over again for thousands of years without fail, a man cannot serve two masters. Anyone that believes people vote contrary to their paycheck and livelihood deserve to be taken advantage of, the recent statements by the former union president are laughable as he denounces the current union president from his new corporate position. Have you ever seen a drafted sports player score points for his previous team, it cannot be done, he is not on the pilots side anymore, he gets his money a different way now than you and I do, and he should not be allowed to remain on the seniority list. A drafted player brings strength, credibility, tactical knowledge, and a strategic advantage to his NEW team, he would not be drafted or paid were it otherwise. We are all forced to choose only one side to play for and support, not doing so has many references in life such as insider trading and shaving points, all illegal for good reason. This basic fact is why corporate moguls, scientist, and engineers all sign non-discloser agreements and non-compete clauses, as protection in case they are lured into switching sides as our former union president has done. No NFL coach ever drafted a player so that both teams could benefit and better understand each other, they are recruited to win the game against that former team, period. Likewise the company does not recruit the former union president by accident or mutual understanding, its strategy. Don't confuse playing the game with good sportsman-like conduct in support of common business and prosperity goals, with the requirement to only play for one side. Good men we all love and favor fall subject to this manipulation, often without their knowledge, and it is not a betrayal of their friendship to oppose them when they switch sides. If we did not love and trust them, they would not have been chosen and lured to the other side in the first place. The deception by the drafted player is not made at a conscious level, it's just human nature and it's all about money and power which corrupts our ability to be objective and loyal to two masters. This is why our court system created the defense attorney, and why our military created counter intelligence. Its strategy and its propaganda, and it works, and that's why the "powers to be" manipulate the chess pieces by sometimes changing their colors. Some players know they are being manipulated when their color is changed, but it brings them more money and power so they do not care. The rest have good intentions but do not even realize they are being manipulated. This tactic is also known by another name, Divide and Conquer. In battle sending an imperfect message with an imperfect team is obviously not ideal, but it's still being sent by YOUR team, your union leader, a leader that has common goals and common rewards with you, they are the best, because we have elected them to do a job for us. If you are not backing Moffett but believing the spin by those that have recently switched sides, you are taking food out of your own mouth. Showing unity and backing an imperfect situation still results in taking just as much ground, it's about unity and bargaining power. It's not necessary to wait around for that perfect attack because it will never come, the company will spin and attempt to destroy anyone that gets in their way. Ultimately it's not about any specific attack anyway, ASAP or whatever it makes no difference, it is and always has been only about power. If this company cared about safety it would not build pairings with 8 hour overnights, come on, are you that naive? Besides, do you really think Hoffa cares, no, he got a call from corporate America and was squeezed into denouncing Moffett. If he didn't they would spin the safety card against him and the Teamsters National with implication for truckers, future contracts, insurance rates etc...saying something like the Teamsters use safety as a bargaining chip, blah blah blah... Do you really think any pilot is going to do something unsafe for the contract, absolutely not, the only ones threatening safety here is the company with reduced rest, fatigue, and poverty. Do you not find it odd that Hoffa and the Teamsters are opposing a Teamster president publicly? Would the Teamsters National not normally support and work with one of their own? Why did they not sit down and help him strategize, correct any mistakes, and charge ahead? Would the Teamsters National not normally support and leverage a contract for all those pilots that have been paying Teamster dues, isn't that why we have all been paying Teamster dues in the first place? I sure haven't been paying dues so that the Teamsters National could come along and write this kind of an article undercutting our union leader and our unity. Whose side is the Teamsters National really on, it's obviously not the Republic pilots side.

      4. No matter what Moffatt does the company is going to spin it like he is the terrorist and brainwash people like you into believing it, wake up, back your players that are trying to change things for you and your livelihood. Where has Hoffa been for the last 6 years, except collecting our dues. Seriously, do you really think an FO going for upgrade, signed off by a checkairman ready for the upgrade, who then fails, is not even capable of returning as a First Officer.

      5. whoa!

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