HomeMy WebLinkAboutMinutes - 51st - January 13, 1983 signedMINUTES OF A 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 Ventura, at approximately 5:07 p.m., January 13,
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. Robert Jankowski
Ms. Helen Kavanaugh
Mr. Ron Mardiros
Mr. Angelo Plakas
Mr. Stanley Telman
Mr. Peter Ventura
Mr. Charles Lazette (MG -III Associates)
Mr. Paul Riggio (MG -III Associates)
Others Present:
Mr. Sheldon Winkelman, MG -III Attorney
Mr. Dennis Neiman, Miller/Canfield
Mr. Daniel J. Gilmartin, Executive Director
Ms. Marie E. King, Recording Secretary
On a motion by Mr. Hand, supported by Mrs. Kavanaugh, it was
4183-303 RESOLVED, that the minutes of the Special Meeting of
December 27, 1982, of the Economic Development Corporation of
Livonia, be approved as submitted.
A roll call vote was taken on the foregoing motion with the following results:
AYES: Hale, Hand, Helmkamp, Jankowski, Kavanaugh, Mardiros, Plakas,
Telman, Ventura
NAYS: None
The Chairman declared the resolution adopted.
The first item on the agenda was the consideration of the resolution approving
the project plan for MG -III Associates. Mr. Lazette asked what exactly the Board
was adopting. Mr. Neiman explained the EDC process to the Additional Directors and
said they would have one more time to vote on this project, for the actual issuance
of the bonds. Tonight the Board is just voting on the details in the project plan.
0n a motion by Mr. Hand, supported by Mr. Plakas, it was
1183-304 WHEREAS, THere exists in the City of Livonia, County of Wayne,
Michigan (the "City") the need for certain programs to alleviate and
prevent conditions of unemployment, to revitalize the City's economy,
to assist industrial and commercial enterprises, and to encourage the
location, expansion or retention of industrial and commercial
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enterprises, and to encourage the location, expansion or retention of
industrial and commercial enterprises, to provide needed services and
facilities to the City and its residents and to retain employment
opportunities in the City; and
WHEREAS, a program to alleviate the aforesaid conditions has been
initiated by the Corporation; and
WHEREAS, the Corporation in conformity with Act 338 of the Public
Acts of 1974, as amended ("Act 338"), and the Internal Revenue Code of
1954, as amended (the "Code"), has prepared a project plan (the "Project
Plan"), providing all information and requirements necessary for a
project to be undertaken for the benefit of MG -III Associates Limited
Partnership (the "Project"), including the issuance of revenue bonds by
the Corporation (the "Bonds");
NOW, THEREFORE, BE IT RESOLVED:
1. The Project Plan, as attached hereto and made a part hereof,
meets the requirements set forth in Section 8(4) of Act 338, and is
hereby adopted and approved.
2. The persons who will be active in the management of the project
for not less than one year after approval of the Project Plan have
sufficient ability and experience to manage the plan properly.
3. The proposed methods of financing the Project as outlined in
the Project Plan are feasible and this Corporation has the ability to
arrange, or cause to be arranged, the financing.
4. The Project Plan contains a statement by a person described
in Section 8(4)(j) of Act 338 indicating the payment to all persons
performing work on the construction project of the prevailing wage and
fringe benefit rates for the same or similar work in the locality in
which the work is performed and the Corporation hereby conclusively
relies thereupon.
5. The Project as submitted is reasonable and necessary to carry
out the purposes of the Act 338.
6. Based upon the information submitted and obtained, the Project
Plan as submitted and the Project to which it relates serves to alleviate
and prevent conditions of unemployment and strengthen and revitalize the
City's economy and, therefore, constitutes a vital and necessary public
purpose.
7. The Secretary of this Board (the "Secretary") be and is hereby
authorized to convey this resolution and the Project Plan to the legislative
body of the City for their review.
8. The Secretary is further directed to certify to the legislative
body of the City that upon advice of the Project's applicant and upon
this Board's investigation the Project will not have the effect of trans-
ferring employment of more than 20 full-time persons from another l4ichigan
municipality to the City.
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9. 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 motion with the following results:
AYES: Hale, Hand, Helmkamp, Jankowski, Kavanaugh, Mardiros, Plakas,
Telman, Ventura, Riggio
NAYS: None
ABSTENTIONS: Lazette (Due to a conflict of interest)*
The Chairman declared the resolution adopted.
The Chairman read the proposed schedule for MG -III Associates to the Board
of Directors. The Council should be setting a Public Hearing Date on January 26,
with the Public Hearing date to be either February 21 or February 23. If all
goes well, MG -III should be back on the EDC agenda for the final issuance of the
bonds at the Regular Meeting of March 10.
Mr. Helmkamp read the Treasurer's Report. Currently, there is $29,280.64 in
the various accounts. $27,000 is invested in C.D. Accounts; $2,254.18 is in the
Savings Account; and $26.46 is in the checking account.
0n a motion by Mr. Hale, supported by Mr. Jankowski, it was
#83-305 RESOLVED, that the Treasurer's Report for the Economic
Development Corporation of Livonia be accepted as submitted.
A roll call vote was taken on the foregoing motion with the following results:
AYES: Hale, Hand, Helmkamp, Jankowski, Kavanaugh, Mardiros, Plakas,
Telman, Ventura
NAYS: None
The Chairman declared the resolution adopted.
The next item on the agenda was consideration of the Annual Report prepared
by the Executive Director for the Board of Directors. He explained that before
distribution, he would like the Board of Directors to review the Annual Report
to be sure there are no statements which might conflict with what the Board's
views on certain subjects might be.
0n a motion by Mr. Plakas, supported by Mrs. Kavanaugh, it was
* Conflict of interest statement made by Dennis Neiman, Miller/Canfield bond counselor.
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#83-306 RESOLVED, that the Annual Report prepared by the Executive
Director be tabled until the next Regular Meeting of the EDC to allow
the Directors more time to study its contents.
A roll call vote was taken on the foregoing motion with the following results:
AYES: Hale, Hand, Helmkamp, Jankowski, Kavanaugh, Mardiros, Plakas,
Telman, Ventura
NAYS: None
The Chairman declared the resolution adopted.
Mr. Mardiros questioned an article which appeared in the Livonia observer
today regarding the Wayne County EDC and a Livonia company, Electrodrill. He
wanted to know why Electrodrill went to the Wayne County EDC rather than the
Livonia EDC. The Executive Director explained that he had talked with Greg
Potoniec, of the Wayne County EDC, back in May about this matter. It is some
type of a research grant. It is not a loan. Mr. Neiman further explained that
this is not a bond issue as our EDC knows it. The Wayne County EDC has been
designated as a clearing house for the SDA 503 program, which is what this
transaction falls under.
The Chairman asked Mr. Neiman and Mr. Gilmartin to research this matter more
fully and report back at the next regular meeting of the EDC.
Mr. Neiman explained that the Gillow EDC Project was unable to close prior
to the end of 1982; and therefore, will have to seek conventional financing. The
EDC and Miller/Canfield did everything possible to complete this project prior to
the end of the year, but the purchaser of the bonds was very uncooperative.
0n a motion by Mr. Telman, supported by Mr. Jankowski, and unanimously
approved it was
#83-307 RESOLVED, that the Regular Meeting of January 13, 1983, of
the Economic Development Corporation of Livonia be adjourned at 5:30 p.m.
Respectfully submitted,
Ron Mardiros,3ecretary
RM/mk