HomeMy WebLinkAboutMinutes - 59th - December 8, 1983 signedTHE 59th REGULAR MEETING OF THE ECONOMIC DEVELOPMENT CORPORATION OF LIVONIA
A Regular Meeting of the Economic Development Corporation of Livonia
was called to order by the Chairman, Peter A. Ventura, at approximately
5:00 p.m., December 8, 1983, in the Council Chambers of the City Hall,
33000 Civic Center Drive, Livonia, Michigan. The Secretary called
the roll:
Directors Present: Mr. Kenneth Hale
Mr. Frank Hand
Mr. Alan Helmkamp
Mr. Ron Mardiros
Mr. Robert E. McCann
Mr. Angelo A. Plakas
Mr. Stanley Telman
Mr. Peter A. Ventura
Mr. Joseph F. Waughn (Newburgh Associates)
Directors Absent: Mr. Robert Jankowski
Mr. Henry Easdon (Newburgh Assoc.)
Others Present:
Mr. Stephen Hall, Newburgh Associates
Mr. Asher Tilchin, Newburgh Associates
Mr. Dennis Neiman, Miller/Canfield
Mr. Daniel J. Gilmartin, Ex. Director
Ms. Marie E. King, Recording Secretary
On a motion by Mr. Mardiros, supported by Mr. Hale, it was
#83-345 RESOLVED, that the minutes of the November 10, 1983,
Regular Meeting of the Economic Development Corporation be
approved as corrected.
A roll call vote was taken on the foregoing resolution with the following
result:
AYES: Hand, Helmkamp, Mardiros, McCann, Plakas, Ventura
NAYS: None
ABSTENTIONS: Hale, Telman
The Chairman declared the resolution adopted.
Mr. Ventura said that a Mr. George Boller had requested to
make a presentation at this evening's meeting; however, since he was
not present, the meeting would continue as scheduled.
373
The first item on the agenda was consideration of the
resolution authorizing the issuance and sale of economic development
limited obligation revenue bond in the principal amount of $1,000,000
for Newburgh Associates. Mr. Neiman assured the directors that everything
was in order for this project. He further assured the directors that
no EDC monies would be used for the purchase of additional property
not included in the project plan. Mr. Tilchin also assured the
Directors, that although Newburgh Associates had originally wanted
to purchase some additional property from the adjoining church, after
discussions with the church and the residents in the area, they decided
not to pursue this purchase. They want to be good neighbors. If this
purchase is not for the good of the community, then they will not make
the purchase. None of the EDC funds will go into the purchase of any
additional property. Mr. Ventura also commented that he had been
contacted by the newspaper regarding a possible conflict of interest
because his son works for the leasing agency involved with Newburgh
Associates. He asked Mr. Neiman if this would constitute a conflict
of interest, and he was advised that there were no grounds for a conflict
of interest on his part.
On a motion by Mr. Hale, supported by Mr. Hand, it was
#83-346 RESOLVED, that the resolution authorizing the issuance
and sale of economic development limited obligation revenue
bond in the principal amount of $1,000,000 to loan the bond
proceeds to the obligor to finance the acquisition and
construction of the project for the obligor, authorizing
the execution and delivery of the bond, the loan agreement,
the indenture and the bond purchase agreement, acknowledging
the security agreement and the mortgage securing the bond
and authorizing execution and delivery of the assignment
hereof, and authorizing and determining other matters relative
thereto.
374
PREMISES
The Economic Development Corporation of the City of Livonia (the
"EDC") is empowered under Act 338, Public Acts of Michigan, 1974, as
amended (the "Act"), to assist in the financing of certain projects and
facilities through the issuance of its limited obligation revenue bonds.
Newburgh Associates, a Michigan partnership (the "Obligor") has proposed
that the Obligor acquire, construct and install certain buildings, the site
therefor and to acquire and install machinery, equipment and related
facilities therein (the "Project"), and as an inducement therefor, has
requested the EDC to assist in the financing of the Project in the following
general manner (as detailed in the Loan Agreement, dated as of
December 1, 1983 (the "Agreement"): The EDC will issue its economic
development limited obligation revenue bond in the principal amount of
$1 ,000,000 (the "Bond") under the Act and will loan the proceeds of the
Bond to the Obligor to be used to finance the acquisition, construction and
installation of the Project as the Obligor causes the Project to be acquired,
constructed and installed. Under the terms of the Agreement the Obligor
will make loan repayments (the "Loan Repayments") in amounts sufficient to
pay the principal of and interest on the Bond, and would be responsible for
paying any Project Costs (as defined in the Agreement) exceeding the
amount of the Bond, maintaining and insuring the Project and paying all
taxes and expenses relating to the Project. In addition, the Obligor will
execute and deliver to the EDC an Economic Development Note (the "Note")
evidencing the Obligor's obligation under the Agreement. As additional
security for the Bond, the Obligor will grant to the EDC and the EDC will
assign its interests to the Guardian Life Insurance Company of America,
New York, New York, as Secured Party (the "Secured Party") in (i) a
mortgage lien on the Project, subject to certain Permitted Encumbrances (as
defined in the Agreement), comprising the Project, pursuant to a certain
Mortgage, dated as of December 1, 1983 (the "Mortgage") and (ii) a
security interest in all non -real estate portions of the Project, pursuant to
a certain Security Agreement, dated as of December 1, 1983, (the "Security
Agreement"). The EDC would enter into an Indenture, dated as of
December 1, 1983 (the "Indenture") with the Secured Party wherein the
EDC will assign and pledge its right, title and interest in the Agreement,
the Note, the Mortgage, and the Security Agreement, to the Secured Party
as security for the Bond. Upon full payment of the Bond or provision
therefor, the Agreement will be terminated and the Note appurtenant
thereto cancelled.
The EDC's participation in the financing of the Project is to enable the
Obligor to utilize applicable provisions of the United States Internal
Revenue Code (the "Code"). Section 103 of the Code encourages the
construction of certain facilities and the public financing thereof through
limited obligation revenue bonds by providing that the interest on such
bonds, as contrasted with any bond issued by the Obligor itself, will be
exempt from Federal income tax. This tax exemption enables the purchaser
of the Bond to accept a lower rate of interest, and since the Obligor in
effect pays the interest on the Bond, reduces the interest cost of the
Project financing to the Obligor.
375
On the basis of representations of the Obligor and the advice of Bond
Counsel that the EDC has the authority to issue the Bond and to loan the
Bond proceeds to the Obligor; and in order to induce acquisition and
construction of the Project, and thereby serve the purposes of the Act, the
EDC has previously determined to issue the Bond, subject to the following
condition: principal of and interest on the Bond and any other cost or
liability relating to the Bond or the issuance or sale thereof, the Project,
or the ownership or financing of the Project and the performance of any
obligation of the EDC under the Agreement, the Indenture or the Bond
Purchase Agreement between the EDC and the Guardian Life Insurance
Company of America, as purchaser of the Bond (the "Purchaser"), shall
never be payable from tax revenues or other public or general funds of the
EDC, the City of Livonia, Michigan (the "Municipality"), or the State of
Michigan, but shall be payable only from the Security (as defined in the
Indenture) or otherwise by the Obligor.
The Obligor has estimated Project Costs to be not less than $1,000,000
and has tentatively arranged the financial terms and sale of the Bond in
that amount to the Purchaser. The EDC, the Obligor and the Secured
Party/Purchaser have completed negotiation and drafting of the Agreement,
the Indenture, the Security Agreement, the Mortgage, and the Bond
Purchase Agreement and have submitted these documents to the EDC for
review and action. It is now appropriate for the EDC to act on the
proposed documents and the proposed issuance and sale of the Bond.
NOW, THEREFORE, BE IT RESOLVED:
SECTION 1. Determination of Necessity. The Project creates
employment in and stimulates the economy of the Municipality and
constitutes a public purpose under the Act. The issuance of the Bond is
necessary to induce the Obligor to locate in the Municipality and thereby
obtain the employment and economic benefits.
SECTION 2. Issuance of Bond, Limited Obligation. The Bond shall be
issued by the EDC in the principal amount of $1,000,000, substantially in
the form as attached hereto, with such changes and insertions as may be
necessary or desirable.
SECTION 3. Approval of Agreement and Note. The forms of
Agreement and Note on file with the Secretary of the EDC ("Secretary") are
hereby approved.
SECTION 4. Approval of the Indenture. The form of the Indenture
on file with the Secretary is hereby approved.
SECTION 5. Approval of Bond Purchase Agreement. The form of
Bond Purchase Agreement on file with the Secretary is hereby approved.
376
SECTION 6. Execution and Delivery of the Agreement, the Indenture
and the Bond Purchase Agreement and Assignment of the Note, the
M-5Ftgage and the Security Agreement and Changes e eeTh in. —The Chairman
or Vice -Chairman of the EDC ("Chairman" and "Vice -Chairman") is hereby
authorized to execute and deliver and the Secretary is authorized to attest
and seal the Agreement, the Indenture and the Bond Purchase Agreement,
and to execute the assignment of, and deliver, the Note, the Mortgage and
the Security Agreement, all in the forms approved, with such changes and
insertions in such documents as may be necessary or desirable, permitted
by the Act and otherwise by law, and not materially adverse to the EDC.
SECTION 7. Sale and Delivery of the Bond. The Bond shall be sold
by the EDC to the Purchaser under the Bond Purchase Agreement at a
purchase price of 100% of the principal amount thereof. Upon compliance
with the terms and conditions of the Bond Purchase Agreement, the
Chairman or Vice -Chairman and the Secretary shall execute, seal and
deliver the Bond upon receipt by the Secured Party of the proceeds
therefor to the credit of the Project Fund (as defined in the Agreement) in
accordance with the Indenture.
SECTION 8. Approval of Filings and Submissions with Other
Governmental Agencies. The Chairman, Vice -Chairman, Secretary,
members, staff and counsel for the EDC, or any of them, are authorized on
behalf of the EDC to apply for such rulings, orders and approvals and file
or submit such elections or other documents to any governmental agency, in
order that the Rond may be validly issued and the interest thereon be
exempt from Federal income taxation, and to execute such powers of
attorney as may be appropriate in connection with the foregoing.
SECTION 9. Authorization of Other Documents. The Chairman,
Vice -Chairman, Secretary, members, staff and counsel for the EDC or any
of them, are hereby authorized to execute and deliver such other
certificates, documents, instruments, and opinions and other papers as may
be required by the Agreement, the Indenture, the Bond Purchase
Agreement, the Mortgage or the Security Agreement or as may be necessary
or convenient to effectuate the sale and delivery of the Bond in accordance
with the terms of the Agreement, the Indenture and the Bond Purchase
Agreement.
SECTION 10. Conflict and Effectiveness. All resolutions and parts of
resolutions or other proceedings of the EDC in conflict herewith are
repealed to the extent of such conflict. This resolution shall become
effective upon adoption and the effectiveness of the resolution adopted by
the City Council of the Municipality approving the Project Plan for the
Project and approving the issuance of the Bond.
377
I hereby certify that the foregoing constitutes a true and complete
copy of a Resolution duly adopted by the Board of Directors of The
Economic Development Corporation of the City of Livonia, at a Regular
Meeting held the 8th day of December, 1983, and that said meeting was
conducted and puhlic notice of said meeting was given pursuant to and in
full compliance with the Open Meetings Act, being Act 267, Public Acts of
Michigan, 1976, that due and proper notice of the meeting as required by
law was given to the Directors, and that the minutes of said meeting were
kept and will be or have been made available as required by said Act.
I further certify that the following Directors were present at said
meeting: Hale, Hand, Helmkamp, Mardiros, McCann, Plakas, Telman, Ventura
Waughn
that the
following Directors were absent: Jankowski , Easdon
and that the following persons had resigned as Directors and their
vacancies had not been filled:
I further certify that Director Hale moved
adoption of said Resolution, that said motion was supported by Director
Hand
I further certify that the following Directors voted for adoption of said
Resolution: Hale, Hand, Mardiros, McCann, Plakas, Tel man, Ventura, Waughn
, that the following Directors voted against
adoption of said Resolution: None and that
the following Directors abstained: Helmkamp
Ron Mardiros, Secretary
53429 0014
11/29/83
83.11.884
1
2
BOND FORM APPENDIX
[FORM OF THE BOND]
3 UNITED STATES OF AMERICA
4 STATE OF MICHIGAN
5 THE ECONOMIC DEVELOPMENT CORPORATION
6 OF THE CITY OF LIVONIA
7 ECONOMIC DEVELOPMENT LIMITED OBLIGATION REVENUE BOND
8 (Newburgh Associates Project)
9 Series A
10 No. R-1 $1,000,000
11 The Economic Development Corporation of the City of Livonia (the
12 "Issuer"), for value received, hereby promises to pay from the source and
13 as hereinafter provided, to The Guardian Life Insurance Company of
14 America, or registered assigns (the "Bondholder"), the principal sum of
15 ONE MILLION DOLLARS ($1,000,000), together with interest thereon from
16 the date this bond is first registered until paid at the rate of TEN AND
17 THREE QUARTERS PERCENT (10.75o) per annum. The principal of and
18 interest on this bond shall be payable in 119 consecutive monthly
19 installments of S9,625, due and payable on the first day of each month,
20 commencing February 1, 1984 through and including December 1, 1993, each
21 monthly installment to be applied first against accrued interest with the
22 balance to be applied against principal, plus a final monthly installment on
23 January 1, 1994 in an amount equal to all outstanding and unpaid principal
24 of and all accrued and unpaid interest on this bond provided, however,
25 that in addition to the foregoing installment paymefiits there shall be paid on
26 the date of first registration of this bond an additional amount as interest
27 on this bond equal to the interest due on this bond from the date of first
28 registration of this bond through and including December 31, 1983.
29 Notwithstanding the foregoing, however, in the event of a Determination of
30 Taxability (as hereinafter defined), this bond shall bear interest at the
31 lesser of the rate of thirteen percent (13%) per annum or a variable rate
32 per annum of two percent (20) above the rate announced from time to time
33 by Chemical Bank, New York, New York (the "Bank") as its prime rate
34 (the "Prime Rate") (but not in excess of the maximum rate permitted by
35 law) (the "Taxable Interest Rate") from the Determination Date (as
36 hereinafter defined) to the earlier of the date of prepayment of this bond or
37 the successful contest of the Determination of Taxability. In the event any
38 installment of principal and interest is not promptly paid in full as the same
39 shall be due, there shall be owing as a late charge until such installment
40 amount is paid an amount equal to SIX PERCENT (60) of the overdue
41 amount. Notwithstanding anything expressed or implied herein to the
42 contrary, at no time shall the outstanding principal balance owing
43 hereunder bear interest at a rate in excess of the maximum permitted by
44 law. Principal of, premium, if any, and interest on, this bond are payable
BF-1
1 in lawful money of the United States of America at the principal office of
2 The Guardian Life Insurance Company of America, or its successor (the
3 "Secured Party"), in New York, New York. Payments of principal of,
4 premium, if any, and interest on, this bond, other than payment of the
5 entire unpaid principal amount hereof, shall be made by the Secured Party
6 to the registered owner of this bond as shown on the registration books of
7 the Issuer kept by the Secured Party by check or draft mailed or delivered
8 to the registered owner at the registered address. Payments of principal
9 and interest, including prepayments of installments of principal as
10 hereinafter provided, shall be noted by the Secured Party on the books of
11 the Issuer kept by the Secured Party and each such payment shall fully
12 discharge the limited obligation, hereinafter described, of the Issuer hereon
13 to the extent of the payments so made. Notwithstanding the foregoing,
14 payment of the entire unpaid principal amount of this bond shall not be
15 made otherwise than upon the surrender of this bond to the Secured Party.
16 This bond, upon surrender thereof to the Second Party, shall be cancelled
17 by the Secured Party and certification thereof provided to the Issuer.
18 This bond constitutes an authorized series of bonds issued in the
19 aggregate principal amount of $1,000,000 (the "Series A Bond"), for the
20 purpose of making a loan of the full principal amount of the Series A Bond
21 to Newburgh Associates, a Michigan copartnership (the "Obligor"), in
22 accordance with the Loan Agreement between the Issuer and the Obligor,
23 dated as of December 1, 1983 (the "Loan Agreement"), to enable the
24 Obligor to construct a commercial building and acquire the site therefor
25 with all fixtures necessary thereto (the "Project") in the City of Livonia,
26 Michigan (the "Municipality"), and to pay necessary expenses incidental
27 thereto and to the issuance of the Series A Bond, and thereby alleviate
28 unemployment, while assisting and retaining local businesses and
29 strengthening and revitalizing the Michigan economy in general.
30 The Series A Bond is issued pursuant to and in full compliance with
31 the Constitution and laws of the State of Michigan, particularly Act
32 No. 338, Michigan Public Acts, 1974, as amended ("Act No. 338"), and
33 pursuant to a resolution of the Board of Directors of the Issuer (the
34 "Resolution"). The Series A Bond and the interest thereon shall never
35 constitute a general obligation of the Issuer or the Municipality within the
36 meaning of any constitutional, statutory or charter provision or limitation
37 and shall never constitute nor give rise to a charge against the general
38 credit, funds or assets of the Issuer or the Municipality or the taxing
39 powers of the Municipality, but shall be a limited obligation of the Issuer
40 payable solely from and secured by the "Security", all as defined and
41 provided in the Resolution and the Indenture, dated as of December 1, 1983
42 (the "Indenture"), between the Issuer and the Secured Party for the equal
43 and ratable benefit of the holder of the Series A Bond and any additional
44 bonds issued under the Indenture.
45 The Security includes an assignment and pledge of the Issuer's rights
46 in the Loan Agreement and the payments to be made by the Obligor on the
47 Economic Development Note delivered by the Obligor (the "Note") under the
BF-2
1 Loan Agreement to the Issuer and endorsed to the Secured Party and in
2 any other moneys held by the Secured Party under the Indenture for such
3 purpose. The payments under the Note are established in amounts
4 sufficient to pay principal of, premium, if any, and interest on the
5 Series A Bond as the same become due. The liability of the Obligor (and
6 the Partners thereof) is limited as described in Section 3.4 of the Loan
7 Agreement.
8 The Series A Bond is also secured by a mortgage lien on the Project
9 and an assignment of leases granted by the Obligor to the Issuer and
10 assigned by the Issuer to the Secured Party pursuant to a certain
11 Mortgage, dated as of December 1, 1983 (the "Mortgage"), and by a
12 security interest in the personal property comprising part of the Project
13 granted by the Obligor to the Issuer and assigned by the Issuer to the
14 Secured Party pursuant to a certain Securtiy Agreement, dated as of
15 December 1, 1983 (the "Security Agreement").
16 The Indenture, the Loan Agreement, and the Mortgage and the
17 Security Agreement are on file at the principal offices of the Issuer and the
18 Secured Party. Reference is hereby made to the Indenture, the Loan
19 Agreement, the Mortgage and the Security Agreement for a description of
20 the Security and for provisions, among others, with respect to the rights,
21 duties and obligations of the Issuer, the Obligor, the Secured Party, and
22 the Bondholders, the terms upon which the Series A Bond is issued, and
23 the right of the Issuer to issue additional bonds which will be of equal
24 standing with the Series A Bond.
25 This bond is transferable, but only to a bank, savings institution,
26 trust company, insurance company, investment company as defined in the
27 Investment Company Act of 1940, or other financial institution, and then
28 only upon (i) its written agreement to be bound by this limitation, and
29 (ii) the simultaneous transfer of all of the bonds outstanding of the Issuer
30 that have been issued pursuant to the Indenture to the same transferee.
31 Transfer as aforesaid shall be made upon registration books of the Issuer
32 kept by the Secured Party, by the registered owner hereof in person or by
33 attorney duly authorized in writing, upon the surrender of this bond to the
34 Secured Party together with (a) a written instrument of transfer
35 satisfactory to the Secured Party duly executed by the registered owner or
36 the owner's attorney duly authorized in writing, and (b) a written
37 instrument of the transferee accepting the duties and responsibilities of the
38 Secured Party as provided in the Indenture. Thereupon, the transfer shall
39 be noted on the books of the Issuer kept by the Secured Party and the
40 Secured Party shall note such transfer upon the bond and shall also note
41 on the payment record attached to this bond the principal amount of this
42 bond that has theretofore been paid by maturity or prepayment, together
43 with any prepayment premiums. ANY PROVISION IN THIS PARAGRAPH TO
44 THE CONTRARY NOTWITHSTANDING, THIS BOND MAY NOT BE
45 TRANSFERRED BY MEANS OF SALE, ASSIGNMENT OR OTHERWISE IF THE
46 EFFECT THEREOF WILL BE TO REQUIRE ANY REGISTRATION OR FILING
BF-3
1 BY THE OBLIGOR OR THE ISSUER WITH THE SECURITIES AND EXCHANGE
2 COMMISSION OR ANY STATE REGULATORY AGENCY OR COMMISSION.
3 Mandatory Prepayment at Bondholder's Option;
4 Payment of Interest At Taxable Rate
5 Upon the occurrence of a Determination of Taxability (as hereinafter
6 defined) and either the election of the Obligor not to contest such
7 Determination of Taxability or the expiration of the Obligor's right to
8 contest such Determination of Taxability in the manner provided in
9 Section 2.3 of the Loan Agreement the Series A Bond shall be subject to
10 redemption in whole at the option of the Bondholder on any interest
11 payment date at a prepayment price equal to 1000 of the outstanding
12 principal amount plus accrued interest to the prepayment date, plus a
13 premium equal to any penalties or additional payments required to be made
14 by the Bondholder to any taxing authority as a result of the Determination
15 of Taxability. In order to exercise the option conferred in this paragraph,
16 the Bondholder must give written notice to the Obligor and the Issuer not
17 less than fifteen nor more than 30 days prior to the prepayment date,
18 which notice shall state that said option is being exercised. In the event
19 the Obligor elects to contest a Determination of Taxability and such contest
20 is successful, any overpayment of interest on this Series A Bond during
21 such period shall be credited to the next succeeding installment payments
22 or payments on this Series A Bond.
23 A "Determination of Taxability" shall mean (a) the issuance of a
24 statutory notice of deficiency by the Internal Revenue Service which holds
25 in effect that the interest payable on the Series A Bonds is includable in
26 the gross income of a holder thereof (other than a holder who is a
27 "substantial user" of the Project or a "related person" as such terms are
28 defined in the Internal Revenue Code of 1954, as amended (the "Code")),
29 or (b) the Secured Party shall have received a written opinion of nationally
30 recognized bond counsel, to the effect that the interest payable on the
31 Series A Bond is for any reason includable in the gross income of a holder
32 thereof (other than a person who is a "substantial user" or a "related
33 person" as such terms are defined in the Code). Such a Determination of
34 Taxability shall be deemed for all purposes to have occurred on the date
35 specified in said statutory notice of deficiency or said opinion as the date
36 from which interest on the Series A bond shall have been includable in the
37 gross income of the holder thereof (other than a person who is a
38 "substantial user or a "related person" as such terms are defined in the __)-
39 Code), or in the absence of such date specificationC then on the date
40 borne by said statutory notice of deficiency or said opinion (the
41 "Determination Date").
BF-4
1 Upon receipt of notice of a Determination of Taxability the Obligor, the
2 Bondholder, the Secured Party and the Issuer shall immediately give notice
3 thereof to the others.
4 Extraordinary Mandatory Prepayment
5 The Series A Bond is subject to mandatory prepayment in whole or in
6 part, and if in part then such prepayment shall be applied pro tanto first
7 to principal and then to interest in inverse chronological order, at a
8 prepayment price of 1000, of the principal amount so prepaid, plus accrued
9 interest, if any, to the prepayment date upon the deposit of moneys into
10 the Bond Fund pursuant to the provisions of Section 4.1, Article VIII,
11 Section 9.3 and Section 10.3 of the Loan Agreement.
12 In the event not less than the full outstanding principal amount of this
13 bond is called for prepayment the bondholder shall present this bond to the
14 Secured Party and the Secured Party shall note on the books of the Issuer
15 and the Payment Record attached hereto the amount of such prepayment.
16 Notice of the call for any prepayment shall identify the principal
17 amount to be prepaid and the date of such prepayment, and such notice
18 shall be given by the Secured Party to the Issuer, the Obligor and the
19 Bondholders by first class mail not less than thirty (30) days prior to the
20 prepayment date.
21 On or prior to the prepayment date, cash funds shall be placed with
22 the Secured Party to pay on the prepayment date the Series A Bond or
23 portions thereof thus called and accrued interest thereon to the prepayment
24 date. Upon the happening of the above conditions, the Series A Bond or
25 portions thereof thus called shall not bear interest after the prepayment
26 date and shall not be deemed to be outstanding under the provisions of the
27 Indenture.
28 The holder of this bond shall only have such right to enforce the
29 Indenture, the Agreement, the Mortgage, the Security Agreement or the
30 Note or take any action with respect to any event of default under the
31 Indenture, or to institute, appear in or defend any suit or other
32 proceedings with respect thereto as provided in the Indenture and Act
33 No. 338. In certain events as provided in the Indenture, the principal of
34 this bond may become or may be declared due and payable before the stated
35 maturity thereof, together with interest accrued thereon. Supplements and
36 amendments to the Indenture and the Agreement may be made only as
37 permitted by the Indenture.
BF-5
1 IN WITNESS WHEREOF, The Economic Development Corporation of the
2 City of Livonia has caused this bond to be signed in its name by its
3 Chairman and countersigned by its Secretary, and its corporate seal to be
4 affixed hereto, all as of December 1, 1983.
5 The Economic Development Corporation
6 of the City of Livonia
7 By
8 Its Chairman
9 Countersigned:
10 By
11 Its Secretary
12 [SEAL]
13 Date of First
14 registration:
15 The Guardian Life
16 Insurance Company of
17 America, as Secured Party
18 By
19 Its
BF-6
1
FOR VALUE RECEIVED
2 the undersigned hereby sells, assigns and transf unto
3
4
5 the within bond of
6 THE ECONOMIC DEVELOPMENT CORPORATION
7 OF THE CITY OF LIVONIA
8 and does hereby irrevocably constitute and appoint
9 Attorney to transfer the said
10 bond on the books of the within -named Corporation, with full power of
11 substitution in the premises.
12
13 Dated:
14 In the presence of:
15 Signature(s) Guaranteed
1 Note: The signature to this Assignment must correspond
2 with the name as written on the face of this bond
3 in every particular
BF-7
1 PAYMENT RECORD
2 Authorized
3 Payment Principal Interest Principal Date Official
4 Date Payment Payment Prepaid Paid and Title
53429 0014
11/23/83
83.10.217
BF-8
378
Mr. Gilmartin said he received a letter from a Mr. Walter Shamie
of the Dale Corporation in Troy regarding the creation of an EDC brochure
for the City of Livonia. He enclosed two samples of brochures recently
created for the City of Sterling Heights and Clinton Township. He
would like to meet with this board to discuss the possibilities of
doing a brochure. The Chairman directed Mr. Gilmartin to invite Mr.
Shamie to the next Board of Directors meeting to make a presentation.
The next item on the agenda was the establishment of meeting
dates for 1984. The Chairman asked if anyone had any objections to
continuing to hold the meetings on the second Thursday of the month
at 5:00. There were no objections, therefore, the meetings will continue
to be held the second Thursday of the month at 5:00 p.m.
The next order of business was the election of officers for
the 1984 calendar year.
The floor was opened for the nomination for the office of
chairman.
Mr. Mardiros nominated Mr. Ventura; Mr. Hale supported. There
being no further nominations for the office of Chairman,
On a motion by Mr. Hale, supported by Mr. Plakas, it was
#83-347 RESOLVED, that the nominations for the office of
Chairman be closed.
A roll call vote was taken on the foregoing motion with the following
results:
AYES: Hale, Helmkamp, Mardiros, McCann, Plakas, Telman,
Ventura
NAYS: None
ABSTENTIONS: Hand
The Chairman for 1984 will be Mr. Ventura by acclamation.
The floor was opened for the nomination for the office of
Vice Chairman.
379
Mr. Helmkamp nominated Mr. Hale; Mr. Plakas supported. There
being no further nominations for office of Vice Chairman,
On a motion by Mr. McCann, supported by Mr. Telman, it was
#83-348 RESOLVED, that the nominations for the office of:
Vice Chairman be closed.
A roll call vote was taken on the foregoing motion with the following
results:
AYES: Hale, Hand, Helmkamp, Mardiros, McCann, Plakas, Telman,
Ventura
NAYS: None
The Vice Chairman for 1984 will be Mr. Hale by acclamation.
The floor was opened for nominations for the office
Treasurer.
Mr. Plakas nominated Mr. Helmkamp, Mr. Hale supported. There
being no further nominations for the office of Treasurer,
On a motion by Mr. Hale, supported by Mr. Mardiros, and
unanimously
adopted, it was
#83-349 RESOLVED, that the nominations for the office of
Treasurer be closed.
The Treasurer for 1984 will be Mr. Helmkamp by acclamation.
The floor was opened for nominations for the office of
Secretary.
Mr. Hale nominated Mr. Mardiros; Mr. Plakas supported. There
being no futher nominations for office of Secretary,
On a motion by Mr. Telman, supported by Mr. Hale, it was
#83-350 RESOLVED, that the nominations for the office of
Secretary be closed.
A roll call vote was taken on the foregoing motion with the following
results:
AYES: Hale, Helmkamp, Mardiros, McCann, Plakas, Telman,
Ventura
NAYS: None
ABSTENTIONS: Hand
The Secretary for 1984 will be Mr. Mardiros by acclamation.
380
Mr. Helmkamp read the Treasurer's Report. Our total cash
is $25,910.14. This amount includes monies in checking, savings,
Certificates of Deposit and Petty Cash. We have a decrease in our
fund balance, year-to-date of $7,127.30. There were no expenses paid
in November.
On a motion by Mr. Hale, supported by Mr. Telman, and
unanimously adopted, it was
#83-351 RESOLVED, that the Treasurer's Report be accepted
as submitted.
Mr. Neiman gave a brief explanation of the new tax bills
currently before the legislature in Washington which may have an effect
on local EDC's.
Mr. Gilmartin advised the Board that the Industrial Development
Commission's Annual Report is contained in their packets this evening
for their information.
0n a motion by Mr. Telman, supported by Mr. McCann, and
unanimously adopted, it was
#83-352 RESOLVED, that the Regular Meeting of the Economic
Development Corporation held December 8, 1983, be adjourned at
5:45 p.m.
Respectfully submitte
iros, Secr•tary
RM/mk