HomeMy WebLinkAboutMinutes - 8th - October 25, 1979 signed23
8
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. Hand, Chairman, at
approximately 7:42 p.m., Thursday, October 25, 1979, at the Livonia City Hall,
33000 Civic Center Drive, Third Floor Conference Room, Livonia, Michigan.
The Chairman asked if Mr. Helmkamp would be acting Secretary for this meeting.
Mr. Helmkamp accepted.
Roll was called by the Secretary with the following results:
Directors Present: Mr. Frank Hand
Mrs. Helen Kavanaugh
Mr. Peter Ventura
Mr. Kenneth Hale
Mr. Ron Mardiros
Mr. Alan Helmkamp
Directors Absent: Mr. Stanley Telman
Mr. Robert Jankowski
Others Present:
Mr. Daniel Gilmartin, Industrial Coordinator
Mr. Robert Manse, Wixom EDC
Mr. Ryan Haywood, Miller, Canfield, Paddock
and Stone
Mr. Peter DeMarco
Mr. Michael Stebbins
Mrs. Marie King
On a motion by Mr. Helmkamp, supported by Mr. Ventura, and unanimously
adopted, it was
#79-33 RESOLVED, that the minutes of the Special Meeting of
October 3, 1979, are hereby approved as presented.
Mr. Kenneth Hale is not eligible to vote until the approval of the City
Council Minutes takes place next Wednesday, October 30, 1979.
On a motion by Mr. Ventura, supported by Mrs. Kavanaugh, and unanimously
adopted, it was
#79-34 RESOLVED, that the resignation of Mr. Addison W. Bacon from the
Board of Directors of the Economic Development Corporation of the City
of Livonia be accepted.
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On a motion by Mr. Mardiros, supported by Mr. Ventura, and unanimously
adopted, it was
#F79-35 RESOLVED, that the resignation of Mr. William Scruggs from the
Board of Directors of the Economic Development Corporation of the City of
Livonia be accepted.
The Chairman welcomed Mr. Kenneth Hale to the Economic Development Corporation of
the City of Livonia.
On a motion by Mr. Ventura, supported by Mr. Helmkamp, it was
#i79-36 RESOLVED, that the election of Secretary, Treasurer, and
Deputy Treasurer be tabled until such time as there is a full
Board of Directors present.
A roll call vote was taken on the foregoing resolution with the following result:
AYES: Ventura, Kavanaugh, Mardiros, Helmkamp
NAYS: Hand
On a motion by Mr. Mardiros, supported by Mr. Helmkamp, it was
9/79-37 RESOLVED, that Mr. Daniel J. Gilmartin be appointed as Executive
Director of the Economic Development Corporation of the City of Livonia,
but his duties will not be defined until the entire Board of Directors
is present.
A roll call vote was taken on the foregoing resolution with the following result:
AYES: Kavanaugh, Mardiros, Hand, Helmkamp
NAYS: Ventura
On a motion by Mr. Mardiros, supported by Mr. Ventura, it was
#79-38 RESOLVED, that the appointment of an accountant will be tabled
until such time as there is a full Board of Directors present.
A roll call vote was taken on the foregoing resolution with the following result:
AYES: Kavanaugh, Ventura, Mardiros
NAYS: Hand, Helmkamp
On a motion by Mr. Helmkamp, supported by Mr. Mardiros, and unanimously
adopted, it was
9/79-39 RESOLVED, to approve the project area and appointment of two
additional directors for American Community Mutual Insurance Company.
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On a motion by Mr. Ventura, supported by Mr. Mardiros, it was
#79-40 RESOLVED, that the appointment of Bonding Counsel and Amendment
to the Application be tabled until such time that the Board has time
to consult with the City Attorney.
A roll call vote was taken on the foregoing resolution with the following result:
AYES: Ventura, Mardiros, Helmkamp
NAYS: Hand, Kavanaugh
On a motion by Mr. Ventura, supported by Mr. Mardiros, and unanimously
adopted, it was
#79-41 RESOLVED, that the City Attorney be asked to outline a procedure
to be followed by the Board in reviewing and acting upon applications
by the Livonia Economic Development Corporation.
On a motion by Mr. Helmkamp, supported by Mr. Mardiros, and unanimously
adopted, it was
#79-42 WHEREAS, there has been presented to the Board of Directors of
The Economic Development Corporation of the City of Livonia (the "Corpora-
tion") a proposal relating to the construction and acquisition of industrial
buildings together with machinery and equipment and the site therefor, to
be located in the City of Livonia, County of Wayne, Michigan (the "Incor-
porating Unit") for use by DeMarco Investment Company, 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 facility
(the "Project"), it is likely that the Project will require issuance of
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 in order to
induce the Company to implement the proposal so as to provide to the
Incorporating Unit and its citizens necessary programs, services and
facilities;
NOW, THEREFORE, BE IT RESOLVED THAT;
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1. Pursuant to Section 8(1) of the Act, the Board of Directors of the
of the Corporation upon the advice of the Company hereby proposes that the
land area described in Exhibit A attached hereto and made part hereof is
the land area which will be acquired in the implementation of the Project
and hereby designates to the Incorporating Unit's Planning Board and
legislative body said land area described in Exhibit A as the project area
for the Project.
2. The Secretary of the Corporation be and is hereby directed to (a)
communicate the proposed Project area boundaries to the aforesaid Planning
Board and legislative body by conveying to each of the foregoing bodies a
certified copy of this resolution, and (b) notify the Chief Executive Officer
of the Incorporating Unit of this Corporation's intent to commence a project
that two additional directors of the Corporation representative of neighborhood
residents and business interests likely to be affected by the proposed
Project may be appointed.
3. In order to more fully induce the location of the Project in the
proposed project area and subject to the hereinafter special provisions,
the Corporation will issue its economic development limited obligation revenue
bonds in an amount presently estimated of not to exceed Four Million Dollars
($4,000,000) for the purpose of paying all or part of the cost of the Project
and the costs incidental to the issuance of the bonds. Said 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 this Board of Directors and provided, further, that all other
necessary action is taken in conformance with the Act and provided further
that the bonds can be sold.
4. The proceedings and agreements relating to the Corporation's acquisi-
tion 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, the Incorporating Unit, the State of
Michigan, or any of its 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 provisions fully protecting the Corporation, the Incorporating Unit,
and State of Michigan against any other liability and all costs relating
to the bonds or the Project.
5. By adoption of this resolution the Corporation assumes no obligation
or liability to the Company for any loss or damage that may result to the
Company 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 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.
6. The firm of Miller, Canfield, Paddock and Stone of Detroit, Michigan,
is hereby designated and retained by the Corporation as bond counsel with
respect to the revenue 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, to make application
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on 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 Secretary of this Corporation is authorized to execute such powers
of attorney and other documents as may be appropriate in connection with
the foregoing. 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.
On a motion by Mr. Ventura, supported by Mr. Mardiros, and unanimously
adopted, it was
//79-43 RESOLVED, that the applications of Bi-Con Construction Co., R.
Ajluni, M.D., and Carrollton Arms be referred to the Executive Director
for his review and further consultation with the applicant as he deems
necessary.
On a motion by Mr. Ventura, supported by Mr. Mardiros, and unanimously
adopted, it was
l/79-44 WHEREAS, the Economic Development Corporation of the City of
Livonia (the "Corporation") has previously considered a proposal relating
to the construction and equipping of a building for motel use (the "Project")
to be located in the City of Livonia (the "Municipality") for lease to
Topeka Inn Management, Inc. (the "Company"); and
WHEREAS, the Corporation adopted an Inducement Resolution, which
Resolution determined certain land area to be the land area which would be
acquired in the implementation of the Project and thereby designated to
(a) the Planning Commission of the Municipality, and (b) the governing
body of the Municipality, that land area to be the "Project Area", as de-
fined in Section 8(1) of Act 338, Michigan Public Acts of 1974, as
amended (the "Act") and
WHEREAS, pursuant to Section 12(1) of the Act, the Corporation
recommended to the Planning Commission of the Municipality and the governing
body of the Municipality that certain land area, as might be amended from
time to time in minor respects thereto constitute the Project District
Area, that is, that portion of the territory surrounding the Project Area
which would be significantly affected by the Project; and
WHEREAS, since that time, the Company has indicated its intent
and desire to acquire more land than originally contemplated in the original
Project Area, thereby also affecting the Project District Area;
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 the land area described in Exhibit A
hereto attached shall replace that land area previously determined by the
Board of Directors to be the Project Area.
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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 the land area
described in Exhibit B attached hereto, as may be amended from time to
time in minor respects, constitute the Project District Area.
3. All previous Resolutions and parts of Resolutions, insofar
as they conflict with the provisions of this Resolution shall be, and the
same hereby are rescinded.
The Chairman advised the Board that he received a letter from Transamercia Title
Insurance Services, Mr. Anthony J. Alcala particularly, requesting the opportunity
to come before the Board of Directors to make a formal presentation about the
services his company has to offer the EDC. After some discussion, the Executive
Director was requested to contact Mr. Alcala, to give us some details about what
types of benefits and services his company offers and whether or not they might be
of any value to the Livonia EDC.
0n a motion by Mr. Ventura, supported by Mr. Helmkamp, and unanimously
adopted, it was
#79-45 RESOLVED, that our bylaws show that we operate under the parliamentary
rules and procedures of Robert's Rules of Order Newly Revised.
The November meeting was set for Thursday, November 15, 1979 at this same location
at 7:30 p.m.
On a motion by Mr. Mardiros, supported by Mrs. Kavanaugh, and unanimously
adopted, it was
#79-46 RESOLVED, that this Regular Meeting of the Livonia Economic
Development Corporation of Livonia be duly adjourned at 9:04 p.m.,
October 25, 1979.
Mr. Alan Helmkamp
Acting Secretary