SRC May Seek Bonding by June

(posted May 14)

Speedway Redevelopment Commission Executive Director Scott Harris told SPEED (Speedway People Encouraging Equal Development) members at their May 6 meeting to expect the commission to seek a $24 million bond by June. The bond would pay off the $5.75 million bond anticipation note, with the remaining funds to be used for design and reconstruction of Main Street. Harris said the SRC qualifies for that amount based on current tax increment revenue funds.

In the mean time, Harris said the SRC is "playing out every dollar as long as we can". The SRC has an estimated $600,000 balance, having spent about $10 million since its inception.

Councilor Gary Raikes said the Department of Local Government Finance set limitations on the bond, so the risk would not be too great. The DLGF capped the bond at $62 million with 110% debt coverage. Raikes said he would stop the project if he thought the risk became too great.

SPEED members directed questions for over two hours to SRC President Vince Noblet, Harris and Raikes.

Harris said the time line is not contingent upon the IMS' centennial celebration in 2011. Harris said if 16th Street is not started this year, it is more than likely the one year construction project cannot be completed by 2011.

Noblet said moving 16th Street to connect to Holt Road will increase property values and will give Speedway Industrial Park street frontage. The cost is estimated at $45 million, including right-of-way acquisition.

Jo Ellen Dotlich said "It does not leave a whole lot left to live on... You are piecing us away."

"Will you listen to the people here? We are telling you, you are chasing us away," Kyla Griesemer said.

Susan Luebbert asked if the mobile home parks can stay because of their historical values of where old time race car drivers and mechanics lived. "They can be turned into an attraction, instead of a deterrent. It has never been looked at. We've never researched it."

Raikes said "I don't think it is good investment of my time or other people's time." He said it was his opinion that the mobile home parks offer no historical value and that residents would be better off moving into energy efficient housing.

Raikes said he wanted businesses like Speedway Monogramming to stay, but not in that spot. Raikes said Speedway can't afford to keep doing things same old way since 1970, or it could face the possibility of being absorbed by Indianapolis. He said a plan was introduced in 1976 to redo Main Street, but leaders Tony Hulman and Harry Eakins died before the plan could be executed.

"It is pretty blatant what the tactics are," Luebbert said about re-channeling Dry Run Ditch into a "S" curve that would run through her property at 4601 W. 16th Street. She said the SRC commissioners say they defer to American Structurepoint telling them what to do, and urged the SRC to take control and tell ASP to design the project so businesses can stay, and build upon that.

"That has not been shown to a lot us. We are the vocal ones. There are a lot people that are afraid to speak up, but they are out there," Luebbert said.

"Just give us a reason. That is all we are wanting. If we can hear reasons that we can actually believe, like that is absolutely the only reason where you could put that creek, maybe we could understand it more," Dotlich said.

Bob Baker said the project is about the race track, not about the town. He is concerned that he'll lose his property on Georgetown Road so race fans can have a safe place to walk three times a year. He has lived there since 1964.

Noblet disagreed. "It is also about Main Street. It is also about Allison Transmission and Praxair."

Harris said the proposed closing of Georgetown Road is needed to protect 300,000 people.
Griesemer said it is less than 300,000 people if you are looking at Georgetown Road and 16th Street.

Dotlich wanted to know why the SRC can't annex and develop the former poor farm site north of Luett Avenue, currently owned by the IMS. Luebbert urged for development of the Coca-Cola field. Harris argued that it is a balance between parking and development.

Merri Anderson, president of the Greater Garden City Civic Association, said the nature of redevelopment devalues property and places it in limbo. "I am not saying the SRC is bad for doing this. This is how these things are done." "They (SRC members) have to put a good face on it. They can't be doom and gloom about something and sell a project."

Anderson said Holt Road would not be scheduled until 2016-2020, "maybe." She is concerned the Speed Zone project will start and not be completed, like the Circle Centre Mall project that stalled for a year, leaving holes in the downtown area.

Dotlich asked if Tony George's statement that the IRL needs to turn a profit by 2013 or be terminated concerns the SRC.

Harris responded that all projects require a risk and that SIP took a risk to expand 15 years ago.

Dotlich said SIP's risk didn't involve other people's lives, homes and businesses.