WARSAW — An ordinance amending the city code on disbursement of “buy” money used by police and a tax abatement application from Redwood IT, LLC, received approval by the Warsaw Common Council Monday evening.

The amended ordinance was tabled from the July 20 meeting after council members wanted input from the city attorney, Mike Valentine, on the wording. After receiving a memorandum from Valentine and comments from the state board of accounts, the council members present, Charles Smith, Jerry Frush, Diane Quance, Mike Klondaris and Cindy Dobbins, voted unanimously to approve the change. Elaine Call and Jeff Grose were absent.

The new ordinance changes who the buy money check is issued to. Instead of an individual, the check will now be made to the City of Warsaw Police Department in care of the Chief of Police.

Mayor Joe Thallemer stated both Valentine and the state board of accounts have stated the proposed changes meet requirements.

Lynne Christiansen, clerk-treasurer, voiced her concern on not having the check written to an individual. She also stated she checked in the Indiana State Police, whose standard operating procedure is to have the check made out to an employee not a position. She also voiced what has been done has worked without a problem seeing no reason to change.

A 10-year tax abatement request by Redwood IT, LLC, was approved. Thallemer stated the rehabilitation of an old manufacturing facility at 501 Argonne Road, fit in with the plans for that area.

Jeremy Skinner, city planner, presented the request and noted while the dollar amounts of the proposed rehabilitation project are lower than a typical 10-year tax abatement request, he did recommend approval for the real and personal property abatement. He stated in his brief presentation the city supports various redevelopment projects to protect the city’s core, while supporting new growth opportunities. Approval of this abatement would encourage rehabilitation of older manufacturing facilities within the city. “This is one of the many goals and objectives developed by the council within the city’s strategic plan and comprehensive plan.”

The real property improvements consist of approximately $200,000 in renovations to the interior and exterior of the building with an additional $30,000 in IT equipment. The company expects to hire an additional four employees.

The majority of the building has been vacant for at least 15 years. A small business did utilize the building nine years ago. Dean Avery Jr., president of the company, stated one-half of the building would be utilized immediately with space available for high tech connectivity. Among the improvements will be replacing the broken windows. Some of the rehabilitation will be done in phases.

During other business the council gave its consensus to proceed with the refunding of the 2005 revenue bonds. Jeff Rowe with H. J. Umbaugh & Associates, Mishawaka, presented an unaudited and limited information schedule for the discussion and consideration regarding the refunding analysis of the bonds.

Such action by the council could save the city upwards of $31,000 per year. Currently the bonds are at an interest rate of 4 percent to 4.2 percent. Refunding could bring the interest rates ranging from 2.35 percent to 2.4 percent. Further action on the refunding will take place at the Aug. 17 meeting.