HomeMy WebLinkAboutResolutions - 2010.08.04 - 10032MISCELLANEOUS RESOLUTION#101821 August 4, 2010
BY: PLANNING AND BUILDING COMMI'TTEE, JOHN SCOTT, CHAIRPERSON
IN RE: PLANNING AND ECONOMIC DEVELOPMENT SERVICES DIVISION RESOLUTION
APPROVING THE ISSUANCE OF LIMITED OBLIGATION REVENUE BONDS BY THE EDC
(LAWRENCE TECHNOLOGICAL UNIVERSITY PROJECT) - CITY OF SOUTHFIELD
To Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen:
WHEREAS The Economic Development Corporation of the County of Oakland
(the "EDC") has preliminarily approved the issuance of limited obligation
revenue bonds (the "Bonds") in the maximum principal amount of $11,500,000
for the benefit of Lawrence Technologcal University (the "University") for
the purpose of refinancing indebtedness incurred in 1998 for the purpose of
constructing and improving educational facilities on the University's campus
in Southfield, Michigan, having concluded that the issuance of such Bonds for
such purpose constituted a "public purpose"; and
WHEREAS before the EDC can issue the Bonds, the Internal Revenue Code
requires that the Board of Commissioners hold a public hearing and approve the
issuance of the Bonds by the EDC; and
WHEREAS the Board of Commissioners has held a public hearing to consider
the issuance of the Bonds by the EDC for the benefit of the University; and
WHEREAS the Board of Commissioners, following such public hearing; and
hereby agrees with the EDC that there is a public purpose in issuing the
Bonds.
NOW THEREFORE BE IT RESOLVED that the Oakland County Board of
Commissioners hereby approves the issuance of the Bonds by the EDC.
BE IT FURTHER RESOLVED that the EDC is hereby authorized to take such
steps as are necessary to implement the proposed financing by the issuance of
its limited obligation revenue bonds.
BE IT FURTHER RESOLVED that the County Clerk is hereby directed to
provide four certified copies of this resolution to the Assistant Secretary of
the Board of the EDC.
Chairperson, on behalf of the Planning and Building Committee, I move
the adoption of the foregoing resolution.
PLANNING AtnULLDING COMMIITTEE
PLANNING & BUILDING COMMITTEE VOTE:
Motion carried unanimously on a roll call vote.
41.
Lawrence Technological University is a private, independent, comprehensive full service
university with a special academic focus on technology at both the undergraduate and the
graduate levels. The school is located in Southfield, Michigan and has additional branch
campuses in other Michigan locations including Livonia, Traverse City and Warren. The
University, since founding in 1932, has expanded annual enrollment to over 4,000 students and
employs over 400 full and part-time faculty. The University offers more than 60 programs and
confers degrees from the four colleges consisting of: the College of Architecture and Design, the
College of Arts and Sciences, the College of Engineering, and the College of Management.
Degrees are offered at the Bachelors, Masters, and Doctorate levels. Lawrence Tech has annual
gross revenues of over $55,000,000 and provides almost $12,000,000 in scholarships each year.
The 2010 Bonds will be used to refinance $6,330,000 of 1998 Bonds that were issued through
Southfield EDC, provide permanent financing for a $4,400,900 bridge loan and pay costs of
issuance associated with the bonds. The 1998 Bonds were issued to pay the costs of
construction of a new classroom building and auditorium, retrofitting existing buildings to be
attached to the new building, reconfiguration of roads, parking and landscaping and installation
of new educational machinery and equipment. The bridge loan was used to provide funds to
complete construction of the A. Alfred Taubman Student Services building. The building was
built primarily through philanthropic funds, with the bridge loan used to fill the gap between
pledge payments and construction costs. This building, completed in 2005, has won 11 awards
including the 2010 Michigan Green Leader Award, 2008 US Green Building Council Silver Leer
Award, 2008 CORP! Michigan Going Green Award for significant achievements to green and
environmentally friendly practices.
21000 West Ten Mile Road, Southfield, Michigan (West 10 Mile Road and Northwestern
Highway)
EDC Bond $11,500,000
$11,500,000
Financing Fees and Costs $130,000
Refinance $11,370,000
Total Project $11,500,000
Service: 0
Semi-Skilled: 0
Skilled: 207
Professional: 127
Managerial: 0
Sales: 0
Lawrence Technological University
City of Southfield
EDC No: 10-04
Company
Location
Project Financing
Project Cost
Project
Job Impact Jobs Retained: 400
Unskilled: 60
Technical: 0
Clerical: 0
Prior Approvals:
1. County EDC: Resolution of Inducement (7-13-2010)
Resolution #10188 August 4, 2010
Moved by Middleton supported by Jackson the resolutions (with fiscal notes attached) on the Consent Agenda
be adopted.
AYES: Coleman, Coulter, Douglas, Gershenson, Gosselin, Greirnel, Hatchett, Jackson, Jacobsen,
Long, McGillivray, Middleton, Nash, Potts, Runestad, Schwartz, Scott, Taub, Woodward, Zack,
Bullard, Burns. (22)
NAYS: None. (0)
A sufficient majority having voted in favor, the resolutions (with fiscal notes attached) on the Consent Agenda
were adopted.
I IIIEBY APPROVE Tit FOREGOING RiS(11111ON
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
I, Ruth Johnson, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and
accurate copy of a resolution adopted by the Oakland County Board of Commissioners on August 04, 2010,
with the original record thereof now remaining in my office.
In Testimony Whereof, I have hereunto set my hand and affixed the seal of the County of Oakland at Pontiac,
Michigan this 4th day of August, 2010.
eat
Ruth Johnson, County Clerk