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HomeMy WebLinkAboutMinutes - 11th - January 10, 198043 MINUTES OF A REGULAR MEETING OF THE ECONOMIC DEVELOPMENT CORPORATION OF LIVONIA A Regular Meeting of the Board of Directors of the Economic Development Corporation of the City of Livonia, Michigan, was called to order by Mr. Ventura, Chairman, at approximately 7:16 p.m., Thursday, January 10, 1980, at the Livonia City Hall, 33000 Civic Center Drive, in the Council Chambers, Livonia, Michigan. Roll was called by the Secretary with the following results: Directors Present: Mr. Kenneth Hale *Mr. Frank Hand Mr. Alan Helmkamp Mr. Robert Jankowski Ms. Helen Kavanaugh Mr. Ronald Mardiros Mr. Angelo Plakas Mr. Peter Ventura Mr. Norman Horowitz (Topeka) Directors Absent: Others Present: Mr. Stanley Telman Mr. Daniel Kelley (Topeka) Mr. Daniel Gilmartin, Executive Director Ms. Marie King, Recording Secretary Mr. Dennis Nieman; Miller, Canfield, Paddock & Stone Mr. Robert Paciocco, Carrollton Arms Mr. Charles Tangora, Legal Counsel for Mr. Paciocco Mr. Randall Hall, Keywell & Herbach Mr. Thomas Zimmer; Dickinson, Wright, McKean, Cudlip & Moon Mr. Timothy Faricy, The Allen Group On a motion by Mr. Mardiros, supported by Mr. Hale, it was #80-71 RESOLVED, that the minutes of the Regular Meeting of the Economic Development Corporation of Livonia, held on December 11, 1979, are hereby approved as submitted. A roll call vote was taken on the foregoing motion with the following result: AYES: Hale, Helmkamp, Kavanaugh, Jankowski, Mardiros, Ventura NAYS: None ABSTENTIONS: Plakas The Chairman declared the motion adopted. On a motion by Mr. Hale, supported by Mrs. Kavanaugh and unanimously approved, it was #80-71 RESOLVED, that pursuant to the Open Meetings Act, the 1980 Meeting Schedule as presented tonight will be adopted by the Livonia Economic Development Corporation and will be posted accordingly. *Mr. Hand entered the meeting at 7:20 p.m. 44 At this time, Mr. Paciocco and Mr. Tangora, were introduced to the Board. They are representatives of Carrollton Arms, a Michigan co -partnership. Mr. Paciocco intends to build an industrial building on the south side of Schoolcraft, west of Newburgh, on a 100' x 320' lot, zoned M-1. The building will be about 9,000 square feet. The total project cost will be about $300,000. On a motion by Mr. Helmkamp, supported by Mr. Hale, and unanimously adopted, it was #80-72 WHEREAS, there has been presented to the Board of Directors of The Economic Development Corporation of the City of Livonia of (the "Corporation") a proposal relating to acquisition and construction of an industrial building (the "Project") to be located in the City of Livonia (the "Municipality") for lease to Carrollton Arms, a Michigan co -partnership (the "Company"); and WHEREAS, said proposal appears to have merit as a "Project" as defined in Act 338, Michigan Public Acts of 1974, as amended (the "Act") and to meet the need for programs, services and facilities as described in the Act; and WHEREAS, although a "Project Plan" as defined in the Act has not yet been completed or approved with respect to the proposed Project, it is likely that the Project will require issuance of limited obligation revenue bonds by the Corporation; and WHEREAS, it is desirable to begin proceedings under the Act with respect to the Project and to retain the services of bond counsel to begin preparation of documents with respect to such revenue bonds; NOW, THEREFORE, BE IT RESOLVED THAT: 1. Pursuant to Section 8(1) of the Act, the Board of Directors of the Corporation hereby determines that certain land area described in Exhibit A hereto attached is the land area which will be acquired in the implementation of the Project and hereby designates to the (a) planning commission of the Municipality, and (b) the governing body of the Muni- cipality, said land area described in Exhibit A as the "Project Area," as defined in Section 8(1) of the Act. 2. Pursuant to Section 12(1) of the Act, the Board of Directors of the Corporation hereby recommends to the planning commission of the Municipality and the governing body of the Municipality that certain land area described in Exhibit B as may be amended from time to time in minor respects hereto attached constitute the Project District Area, i.e. that portion of the territory surrounding the Project Area which will be significantly affected by the Project. 45 3. The Secretary of the Corporation be and is hereby directed to communicate the Project Area and the recommended Project District Area boundaries to the planning commission of the Municipality and the governing body of the Municipality by conveying to each of the foregoing bodies a certified copy of this resolution. 4. In order to induce the location of the Project in the proposed Project Area and, subject to the hereinafter specified provisions, the Corporation will issue its limited obligation economic development revenue bonds in an amount presently estimated not to exceed Three Hundred Thousand ($300,000) Dollars (the "Bonds"), for the purpose of paying all or part of the cost of the Project and the costs incidental to the issuance of the Bonds. The Bonds will be issued pursuant to the Act, provided that a lease, lease purchase contract or installment sales contract and other documents and details pertaining to the Bonds are prepared with such provisions and details as are acceptable to and approved by the Board of Directors of the Corporation and provided, further, that all other necessary action is taken in conformance with the Act and provided, further, that the Bonds can be sold. 5. The Corporation intends to commence preparation of a Project Plan and requests that the chief executive officer of the Municipality, with the advice and consent of the governing body of the Municipality, appoint two additional directors of the Corporation who, in accordance with Section 4(2) of Act 338, shall serve only in respect to the Project, shall be representative of neighborhood residents and business interests likely to be affected by the Project, and shall cease to serve when the Project is either completed in accordance with the Project Plan or abandoned. 6. The proceedings and agreements relating to the Corporation's acquisition of the Project and issuance of the Bonds shall contain such provisions and details as shall absolutely and completely make certain that under no circumstances will the Corporation or the Municipality, or its taxpayers or citizens, ever be required to pay the principal of and interest on, or any other costs relating to, the Bonds from tax revenues or other general funds of the Municipality or from any other funds not related to the Project, and shall, in addition, contain provisions fully protecting the Corporation and the Municipality (and the officials thereof with respect to personal liability), against any other liability or costs relating to the Bonds or the Project, and accordingly by adoption of this resolution, the Corporation assumes no pecuniary obligation or liability to the Company for any loss or damage that may result to the Company from the adoption of this resolution or any non -issuance of the Bonds for any reason, and all costs and expenses in connection with the construction of the Project and all costs of the issuance of the Bonds and any and all other costs relating to the acquisition, financing, ownership or operation of the Project shall be paid from the proceeds of sale of the Bonds or by the Company. 7. The firm of Miller, Canfield, Paddock and Stone is hereby designated and retained by the Corporation as bond counsel with respect to the Bonds to be issued in connection with the Project, and is authorized and directed to prepare and submit to all appropriate parties all proceedings, agreements and other documents as shall be necessary or appropriate in connection with the issuance of such bonds and to make application on 46 behalf of the Corporation to the United States Internal Revenue Service and other governmental agencies for such income tax and other rulings and approvals as may be necessary in relation to the issuance of such Bonds, and the President or the Secretary, and each of them is authorized to execute such powers of attorney and other documents as may be appro- priate in connection with the foregoing, and the legal fees of Miller, Canfield, Paddock and Stone for work done in connection with the Project shall be paid from the proceeds of sale of such bonds or by the Company and in any event shall be at no cost to the Corporation. Mr. Randall Hall, legal counsel for Keywell and Herbach; and Mr. Thomas Zimmer bond counselor from Dickinson, Wright, McKean, Cudlip and Moon, made a presentation on behalf of Art Van Furniture. The purpose of the project is to construct a retail facility for lease to Art Van Furniture Tech Plaza, Inc., which is in the business of retail furniture sales. The facility will be constructed on the southeast corner of Seven Mile Road and Melvin. An initial 20-40 jobs will be created with an additional 15 to 20 over a period of two years. Mr. Hand expressed some concern as to whether this project would be serving a public purpose when one considers the number of furniture stores already in the Livonia area, and he questioned whether another furniture store would be able to succeed in this area. 0n a motion by Mr. Mardiros, seconded by Mrs. Kavanaugh, it was #180-73 WHEREAS, there exists in the City of Livonia the continuing need for programs to alleviate and prevent conditions of unemployment, to assist and retain local industrial and commercial enterprises, and to encourage the location and expansion of such enterprises in order to strengthen and revitalize the City's economy and to provide needed services and facilities to the City and its residents; and WHEREAS, the Economic Development Corporations Act of 1974, Act 338, P.A. 1974, as amended (Hereinafter called the"Act"), authorizes and provides a method for the encouragement and assistance of industrial and commercial enterprises in locating, purchasing, constructing, reconstructing, modernizing, improving, maintaining, repairing, furnishing, equipping and expanding in the City; and WHEREAS, The Economic Development Corporation of the City of Livonia (Herein called the "EDC") has been advised that Keywell and Herbach, Trustees under a certain Declaration of Trust dated August 19, 1978 (herein referred to as the "Applicant"), propose to participate in the construction of a retail furniture sales facility to be located in the vicinity of Seven Mile Road near Middlebelt Road in the City of Livonia, County of Wayne, Michigan (herein called the "Project") to be developed as a commercial enterprise, designed for and capable of providing needed services and facilities to the residents of the City; and WHEREAS, the Applicant contemplates employment of approximately 40 additional people, including residents of the City; and 47 WHEREAS, the Applicant has also advised the EDC that the cost of the Project, including land, construction, equipment, furniture, architectural, administrative, legal and financial costs is estimated not to exceed Two Million Dollars ($2,000,000) and the acquisition and construction of the Project will create job opportunities for the residents of the City and will aid in the general economic welfare of the City; and WHEREAS, the EDC is authorized by the Act to issue revenue bonds or revenue notes to finance the costs of the Project; and WHEREAS, the issuance of revenue bonds by the EDC would be an assist- ance and inducement to the Applicant to participate in the construction of the aforesaid retail furniture sales facility within the City of Livonia; and WHEREAS, all administrative, legal, financial or other costs incurred by the EDC are includable in the costs of the Project; and representatives of the Applicant have assured the EDC that the Applicant shall reimburse the EDC for all of said costs, as incurred; and WHEREAS, the Board deems it desirable, reasonable and necessary to commence the appropriate proceedings in order to implement said plan. NOW, THEREFORE, BE IT HEREBY RESOLVED: 1. That the EDC finds that there is a public purpose in the Project. 2. In order to induce the location of the Project in the City of Livonia, and subject to the provisions of this Resolution, the EDC will issue its economic development limited obligation revenue bonds in an amount presantly estimated not to exceed Two Million Dollars ($2,000,000), for the purpose of paying all or part of the cost of the Project and the costs incidental to the issuance of the bonds. Such bonds will be issued pursuant to the Act provided that a lease, lease purchase contract or installment sales contract and other documents and details pertaining to the bonds are prepared with and provisions and details as are acceptable to and approved by this Board of Directors, and provided, further, that all necessary preliminary proceedings, hearings, approvals and other requirements of the Act are completed, and provided, further, that the bonds can be sold. 3. The proceedings and agreements relating to the EDC's acquisition of the Project and issuance of the bonds shall contain such provisions and details as shall absolutely and completely make certain that under no cir- cumstances will the EDC, the City of Livonia, the State of Michigan, or any of their taxpayers or citizens, ever be required to pay the principal of and interest on, or any costs relating to the bonds from tax revenues or other funds of such governmental units, and shall in addition contain pro- visions fully protecting the EDC, the City of Livonia and the State of Michigan against any other liability and all costs relating to the bonds or the Project. 4. By adoption of this resolution the EDC and the City of Livonia assume no obligation or liability to the Applicant for any loss or damage that may result to the Applicant from the adoption of this resolution and all costs and expenses in connection with the construction of the Project and all costs of the issuance of the bonds. Any and all other costs relating to the acquisition, financing, ownership or operation of the Project shall be paid from the proceeds of sale of the bonds or by the Applicant. 48 5. That each such revenue bond, when, as, and if issued in connection with the Project, shall clearly recite in substance that, the principal of, interest and premium, if any, on such bonds are payable solely from the revenues received from the Project, and the property which constitutes the Project may be pledged or mortgaged as security for the payment thereof. 6. That in anticipation of the issuance of bonds by the EDC to finance the Project, and in order that completion of the Project will not be unduly delayed when approved, the Applicant may make or cause to be made such expenditures and advances toward payment of costs of the Project as it considers necessary, subject to reimbursement from the proceeds of the bonds, if and when issued, but otherwise without liability on the part of the EDC or the City of Livonia. 7. The firm of Dickinson, Wright, McKean, Cudlip & Moon is hereby designated and retained by the EDC as bond counsel with respect to the revenue bonds or revenue notes to be issued in connection with the Project, and is further authorized and directed to prepare and submit to all appropriate parties all proceedings, agreements and other documents as shall be necessary or appropriate in connection with the issuance of such bonds, to make application on behalf of the EDC to the United States Internal Revenue and other governmental agencies for such income tax and other rulings and approvals as may be necessary in relation to the issuance of such bonds, and the Secretary of this EDC is authorized to execute such powers of attorney and other documents as may be appropriate in connection with the foregoing. The legal fees of bond counsel for work done in connection with the Project shall be paid from the proceeds of sale of such bonds or by the Applicant but in no event shall be a cost to the EDC. 8. All resolutions and parts of resolutions insofar as they conflict with the provisions of this resolution be and they are hereby rescinded. A roll call vote was taken on the foregoing motion with the following result: AYES: Hale, Helmkamp, Kavanaugh, Jankowski, Mardiros, Plakas, Ventura NAYS: Hand The Chairman declared the motion adopted. On a motion by Mr. Helmkamp, supported by Mr. Hale, it was #80-74 WHEREAS, there exists in the State of Michigan and in the City of Livonia the continuing need for programs to alleviate and prevent conditions of unemployment, to assist and retain local industries and commercial enterprises to strengthen and revitalize the economy, and to encourage the location and expansion of industrial and commercial enterprises to more conveniently provide needed services and facilities to the State and to the City of Livonia; and WHEREAS, the Economic Development Corporations Act, being Act 338, Public Acts of Michigan, 1974, as amended (the "Act"), through this Corporation, provides a means by which this purpose and intent may be accomplished; and 49 WHEREAS, Keywell and Herbach, Trustees under a certain Declaration of Trust dated August 19, 1978, has notified this Corporation of a project that would assist in the alleviation of the aforementioned conditions; and WHEREAS, this Board of Directors deems it to be reasonable, necessary, and in the public interest to proceed with the implementation of a Project, as defined in the Act. NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE BOARD OF DIRECTORS OF THE ECONOMIC DEVELOPMENT CORPORATION OF THE CITY OF LIVONIA as follows: 1. That in accordance with Section 8(1) of the Act, the Corporation hereby designates a Project Area as follows: (EXHIBIT A) Land in the N.E. 1/4 of Section 11, T1S, R9E, City of Livonia, Wayne County, Michigan, described as commencing at the northeast corner of said Section 11; th along the north section line S 89° 52'00"W, 1218.37'; th S 0°01'20"W, 60.00' to the south right-of- way line of Seven Mile Road and the Point of Beginning: Th S 0° 01'20"W, 598.26'; th 5 89°54'02"W, 103.42'; th N 0°03'30"E, 197.65'; th S 89°52'00"W, 217.75' to the east right-of-way line of Melvin Avenue; th along siad right-of-way line N 0°01'20"E, 400.55' to the south right-of-way line of Seven Mile Road; th along said right-of-way line N 89°52'00"E, 321.05' to the Point of Beginning, containing 3.421 Acres. 2. That the territory surrounding said designated Project Area will not be significantly affected by the Project, and, therefore, the Corporation hereby recommends to the City Council of the City of Livonia that it designate a Project District Area having the same description as and boundaries coterminous with the Project Area herein designated. 3. That there are less than 18 residents, real property owners, or representatives of establishments in the recommended Project District Area, and therefore, this Corporation further recommends that a Project Citizens District Council not be formed pursuant to Section 20(b) of the Act. 4. That the Corporation commence preparation of a Project Plan, as defined in the Act. 5. That the Secretary of the Board is directed to communicate the Project Area, as herein designated to the Planning Commission of the City of Livonia, the City Council of the City of Livonia, and the Mayor of the City of Livonia by delivering to each of the aforesaid a certified copy of this resolution. 6. That the Secretary is further directed to direct a request to the City Council of the City of Livonia, the governing body of such municipality, to certify its approval of the designation of said Project Area and to designate the Project District Area as recommended, without the formation of a Project Citizens District Council as further recommended, all in accordance with the requirements of Sections 8(1) and 12(1) of the Economic Development Corporations Act, Act No. 338 of the Public Acts of 1974, as amended. 50 A roll call vote was taken on the foregoing motion with the following result: AYES: Hale, Helmkamp, Kavanaugh, Jankowski, Mardiros, Plakas, Ventura NAYS: Hand The Chairman declared the motion adopted. On a motion by Mr. Helmkamp, supported by Mr. Jankowski, it was #80-75 WHEREAS, The Economic Development Corporation of the City of Livonia is considering a retail furniture sales facility project for Keywell and Herbach, Trustees under a certain Declaration of Trust dated August 19, 1978; and WHEREAS, the project so under consideration is located in the vicinity of Seven Mile Road near Middlebelt Road in the City of Livonia, Michigan, and is more particularly described as follows: (See Exhibit "A" preceding page) NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE ECONOMIC DEVELOPMENT CORPORATION OF THE CITY OF LIVONIA that pursuant to Section 4(2) of the Economic Development Corporations Act, being Act 338, Public Acts of Michigan, 1974, as amended (the "Act"), the Secretary of this Board is hereby directed to deliver a copy of this resolution to the Mayor of the City of Livonia with the communication that the Mayor promptly appoint two (2) additional directors to the Board of Directors of this Corporation, with the advice and consent of the Livonia City Council, in accordance with the requirements of Section 4(2) of the Economic Development Corporations Act, Act No. 338 of 1974, as amended. IT IS FURTHER REQUESTED that the two (2) additional directors be appointed to the Board of Directors of this Corporation for the proposed project, which directors shall be representative of neighbor- hood residents and business interests likely to be affected by the project proposed by the Corporation and who shall cease to serve when the project for which they are appointed is either abandoned or, if undertaken, is completed in accordance with the project plan; and that the two (2) additional directors be authorized to serve and to vote only on issues that directly affect the subject project. A roll call vote was taken on the foregoing motion with the following result: AYES: Hale, Helmkamp, Kavanaugh, Jankowski, Mardiros, Plakas, Ventura NAYS: Hand The Chairman declared the resolution adopted. On a motion by Mr. Mardiros, supported by Mrs. Kavanaugh, and unanimously adopted, it was 51 #80-76 RESOLVED that the Bylaws of the Economic Development Corporation be amended to include provisions for a Vice Chairman as follows: ARTICLE III OFFICERS SECTION 1. OFFICERS. The officers of the Corporation shall be elected by the Board and shall consist of a Chairman, (Vice -Chairman), Secretary and Treasurer SECTION 4(a). VICE CHAIRMAN - The Vice -Chairman shall preside at all meetings of the directors in the absence of the Chairman, and shall perform all duties of the office as provided by the Articles of Incorporation. The Chairman opened the floor for nominations for the office of Vice Chairman. Mr. Helmkamp placed the name of Mr. Hand for Vice -Chairman. Mr. Hand declined to accept the nomination, and asked that his name be withdrawn. Mr. Hale placed the name of Mr. Plakas for Vice -Chairman. There being no further nominations, the Chairman declared the nominations closed. 0n a motion by Mr. Helmkamp, supported by Mrs. Kavanaugh, and unanimously adopted, it was #80-77 RESOLVED that a unanimous ballot be cast that Mr. Plakas be elected Vice -Chairman of the Livonia Economic Development Corporation. On a motion by Mr. Hand, supported by Mr. Helmkamp, and unanimously adopted, it was #180-78 RESOLVED that the appointment of Plante -Moran CPA firm as the auditors for the Livonia Economic Development Corporation be reaffirmed and shall cover December 1, 1979 to November 30, 1980. Mr. Helmkamp was asked to give his committee report and recommendations regarding the appointment of bond counsel. It was Mr. Helmkamp's opinion that we appoint both bond counsel and legal counsel. This generated a great deal of discussion. Mr. Zimmer and Mr. Nieman spoke about the role of bond counsel and explained how some other EDC's operate. Mr. Mardiros was opposed to the idea of telling an applicant that they had to use a particular law firm. Mr. Plakas said that the bonds are our bonds, the Livonia EDC's bonds, and we should have 52 the right to decide which law firm acts in our capacity. He does not feel we are forcing a particular law firm on any company. They are coming to us for help, and we have a perfect right to name our own law firm. If they wish to seek counsel for negotiating terms or anything else, they certainly have a choice to do so. Mr. Hand and Mr. Plakas both stressed that a bond counsel would have to have a great deal of expertise in the field of bonds. Not all law firms would be qualified. If each applicant chose his own bond counsel, we might be getting some unqualified law firms. The documents could all be different and there would be no continuity. At this time, Mr. Ventura turned the Chair over to Mr. Plakas, 8:28 p.m. Mr. Ventura explained that he, too, felt like Mr. Mardiros at the beginning. However, since that time he has had many discussions with various people, including representatives from Miller, Canfield, Paddock & Stone. He now believes that we must have bond counsel to fully protect ourselves. Mr. Ventura resumed the Chair at 8:29 p.m. 0n a motion by Mr. Hand, supported by Mrs. Kavanaugh, it was #I80-79 RESOLVED that Miller, Canfield, Paddock & Stone be selected as the exclusive bond counsel for the Livonia Economic Development Corpora- tion not to be retroactive prior to this meeting and to be effective on January 11, 1980 as follows: WHEREAS, the Economic Development Corporation of the City of Livonia (the "EDC") desires to select its own Bond Counsel for all transactions conducted by the EDC; and WHEREAS, the EDC has undertaken to solicit proposals and comments from interested parties; and WHEREAS, because the role of Bond Counsel is to represent the EDC as its attorney and to be responsible for preparing documents that limit the liability of the EDC on bonds or notes issued by it solely to payments received by the EDC from the applicant for the bonds or notes or to revenues from the financed project and to further prepare documentation fully protecting the EDC from potential violations of State or Federal Securities Laws or other laws relating to the sale of securities and to further prepare documentation providing that where not fully protected, the EDC and the City of Livonia are fully insured and that such insurance is to be maintained; and 53 WHEREAS, Bond Counsel is also responsible for preparing documents that afford protection to the City of Livonia and to the EDC making certain that all pertinent laws are fully complied with and that generally the intended purposes of the project to be financed as represented and warranted are carried out; and WHEREAS, a single Bond Counsel should result in the development of uniform documents for use by the EDC and an expeditious processing of the procedures for the EDC projects; and WHEREAS, Miller, Canfield, Paddock and Stone has been the City of Livonia's Bond Counsel for as long as the City of Livonia has been a home rule city and further Miller, Canfield, Paddock and Stone was the Township of Livonia's Bond Counsel; and WHEREAS, Miller, Canfield, Paddock and Stone acted for the City in the incorporation of the EDC and has acted with the EDC and its representatives in several financings; and WHEREAS, it is deemed in the best interest for and in the protection of the EDC and the City of Livonia for this Board of Directors to appoint Miller, Canfield, Paddock and Stone as permanent Bond Counsel to the EDC; NOW, THEREFORE BE IT RESOLVED THAT: 1. Miller, Canfield, Paddock and Stone is hereby appointed as permanent Bond Counsel to the EDC in connection with the issuance of all bonds or notes by the EDC as a result of any applications filed hereafter pursuant to Act 338, Public Acts of Michigan, 1974, as amended. 2. The application form for the EDC shall be revised to provide that Miller, Canfield, Paddock and Stone shall be Bond Counsel for any notes or bonds issued as a result of said applications filed hereafter. 3. All resolutions and parts of resolutions insofar as they conflict with the provisions of this Resolution be and the same hereby are rescinded. A roll call vote was taken on the foregoing resolution with the following result: AYES: Hale, Hand, Helmkamp, Ravanaugh, Jankowski, Plakas, Ventura NAYS: Mardiros The Chairman declared the motion adopted. The Executive Director was directed to amend the application to reflect that Miller, Canfield, Paddock and Stone will be our bond counsel. 54 On a motion by Mr. Hand, supported by Mrs. Kavanaugh, and unanimously adopted, it was #80-80 RESOLVED, that the following language be included at the end of the EDC application, which then is signed by the applicant: "I declare under the penalties of perjury that this EDC application has been examined by me and that the contents thereof are true to the best of my information, knowledge and belief." Mr. Hand is continuing to investigate the possibilities of bonding our Treasurer and protecting our directors and officers with some kind of liability insurance. He should have concluded his investigations by the next meeting and will have a full report at that time. On a motion by Mr. Helmkamp, supported by Mr. Hale, and unanimously adopted, it was #80-81 RESOLVED, that Resolution #79-4 be amended as follows: "Resolved, that pursuant to Article IV, Section 2 of the By -Laws, the Board hereby authorizes that all checks, drafts, etc. of the Corporation shall bear the signature of the Treasurer. (and countersigned by the Chairman)." (delete). On a motion by Mr. Helmkamp, supported by Mr. Hand, and unanimously adopted, it was #80-82 RESOLVED, that the Treasurer be authorized to transfer EDC funds into an interest bearing account from the general checking account when such funds are not required for normal EDC operations, and that the Board be apprised of such transfer(s) by monthly report." The Executive Director updated the Board on the Jacobson's project. It now appears that Jacobson's will have to have a Citizens District Council because of the large project disttict area which it encompasses. 55 On a motion by Mr. Helmkamp, supported by Mr. Hale, and unanimously adopted, it was 1180-83 WHEREAS, as one of its programs to alleviate conditions of unemployment and to assist and retain local industries and commercial enterprises and to encourage the location of industries and commercial enterprises in order to strengthen and revitalize the economy of the City of Livonia (the "Municipality") and to provide needed services and facilities to the Municipality and the residents thereof, the Economic Development Corporation of the City of Livonia (the "Corporation") in conformity with Act 338, Michigan Public Acts, 1974, as amended ("Act 338"), has initiated proceedings with respect to the potential issuance of its limited obligation economic development revenue bonds to assist in the financing of the Topeka Inn Management, Inc. Project; and WHEREAS, all proceedings under Act 338 required prior to consideration by the Corporation of the Project Plan have been completed, and the Corporation in conformity with Act 338 has approved a Project Plan for the aforesaid Project, providing all required information; and WHEREAS, due to recent actions of the Planning Commission of the City of Livonia, and at the request of the Company, it is desirable to modify in some respects the aforesaid Project Plan; NOW, THEREFORE, BE IT RESOLVED: 1. That paragraph 4 of the aforesaid Project Plan be, and is, hereby amended to read: The initial improvements contemplated within the Project Area are construction of a 226-unit Holiday Inn and Holidome Recreational Area, with paved parking for 566 vehicles, as well as installation of the requisite utilities for this improvement. The estimated time required for the completion of this Project is eighteen (18) months, assuming that construction can begin in April of 1980. 2. That paragraph 5 of the Project Plan be, and is, hereby amended to read: Due to unforseeable cost considerations, the size of the proposed motel structure may be varied, not bo be less than 200, nor more than 300 units, with such concomitant changes in paved parking as shall be consistent with the zoning requirements of the City of Livonia. 3. That paragraph 8 of the aforesaid Project Plan be, and is hereby amended to read: There is a required change in the zoning of Parcel B, being that parcel as set forth in Exhibit A to the Project Plan, and attached thereto and made a part thereof, in that this parcel, containing approxi- mately 2.26 acres of land, more or less, must be rezoned from its current zoning classification of P-0 to C-4-II. Beyond this, there are no desired changes in zoning, in streets, street levels, intersections, or utilities. 56 4. The Secretary of this Corporation is hereby authorized to convey a certified copy of this Resolution and the Project Plan to the Planning Commission and Governing Body of the Municipality for their review. 5. All resolutions and parts of resolutions insofar as they conflict with the provisions of this resolution are rescinded. Mr. Timothy B. Faricy, Vice President, The Allen Group, Inc., made a brief presentation on behalf of The Allen Group, Inc. The applicant is a rapidly growing Livonia industrial firm, presently housed in several buildings, which is seeking to further expand. The project represents an expansion to handle increased volume at the plant located at 12837 Stark Road, Livonia, Michigan of the Advanced Technology and Testing division of the Allen Automated Systems Company division of applicant. The expanded plant will be used for the assembly and testing of sophisticated automatic functional test equipment. The current facility of the Advanced Technology and Testing Division at 12827 Stark Road, Livonia, consists of a building 415 feet long and 100 feet wide. This building includes 8,500 sq. feet of office space and 33,000 square feet of manufacturing space. The proposed project would double the size of this plant, adding a structure 415 feet long and 100 feet wide, attached to, and immediately south of, the existing facility. The new structure would add 6,000 square feet of office space and 35,500 square feet of manufacturing space. On a motion by Mr. Helmkamp, supported by Mrs. Kavanaugh, and unanimously adopted, it was #80-84 RESOLVED, that the application of The Allen Group, Inc., be placed on the next agenda, February 14, and that the applicant be prepared with the appropriate legal documents so that the Board can act on the application.. On a motion by Mr. Hand, supported by Mr. Jankowski, and unanimously adopted, it was #180-85 RESOLVED, that the Board of Directors of the Livonia Economic Development Corporation approve the purchase of a portable filing cabinet and 10 binders to be kept in the office of the Executive Director. 57 The Executive Director is directed to meet with the Planning Director to help formulate a paragraph to be added to the application informing the applicant that a preliminary site plan should be submitted. The Executive Director will bring these suggestions to the meeting of February 14, 1980, for the Board to review. On a motion by Mr. Mardiros, supported by Mrs. Kavanaugh, and unanimously adopted, it was #80-86 RESOLVED, that this Regular Meeting of the Livonia Economic Development Corporation be duly adjourned at 9:50 p.m., January 11, 1980. Ron Mardiros, Secretary Economic Development Corporation /k Carrollton Arms I/80-72 EXHIBIT A Land in the City of Livonia, Wayne County, State of Michigan more particularly described as follows: Lot 34 of Schoolcraft Manor Subdivision Number 2 being part of the east 1/2 of Section 30 T1S, R9E Livonia Township (now the City of Livonia), Wayne County as recorded in L69 P57 Wayne County Records. Carrollton Arms #P80-72 EXHIBIT B Land in the City of Livonia, Wayne County, State of Michigan more particularly described as follows: Lot 34 of Schoolcraft Manor Subdivision Number 2 being part of the east 1/2 of Section 30 T1S, R9E Livonia Township (now the City of Livonia), Wayne County as recorded in L69 P57 Wayne County Records.