Loading...
HomeMy WebLinkAboutResolutions - 1990.02.08 - 16822February 8, 1990 MISCELLANEOUS RESOLUTION 90009 BY: FINANCE COMMITTEE, DR. G. WILLIAM CADDELT,, CHAIRPERSON IN RE: ECONOMIC DEVELOPMENT - ACCEPTANCE OF THE 1989-1990 AREA DEVELOPMENT OFFICES GRANT TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS Mr. Chairperson, Ladies and Gentlemen: WHEREAS a report was submitted to the Board of Commissioners for the Economic Development Group 1989/1990 Area Development Office Grant application in the amount of $45,000; and WHEREAS the Michigan State Department of Commerce has approved an award of $45,000 to Oakland County for the period October 1, 1989 through September 30, 1990; and WHEREAS the total program as approved by the Michigan State Department of Commerce is in the amount of $96,000 ($45,000 State Grant; $51,000 County Match), as shown in Schedule A; and WHEREAS the total grant award is for the same amount ($96,000) as awarded for the fiscal year 1988-1989, with the County matching at least 50% of the State Grant as stated in the State's policy of grant procedures; and WHEREAS the 1990 Adopted Budget reflects a budgeted amount in the Area Development Office Grant for $113,150 in revenues and expenditures; and WHEREAS the grant agreement has been reviewed and approved as to legal sufficiency by the Office of Corporation Counsel. NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners accept the 1989/1990 Area Development Office Grant in the amount of $45,000 and the Chairperson of the Board of Commissioners be and is hereby authorized to execute the agreement. BE IT FURTHER RESOLVED that the Chairperson of the Board is authorized to approve minor changes and contract extension, not to exceed a fifteen (15) percent variance, which is consistent with the contract as approved. wk2\mredgareadevoffice BE IT FURTHER RESOLVED that the 1990 Adopted Budget be amended as follows: Revenue 3-27349-192-01-00-2185 Grant Revenue $(17,150) Expenses 4-27349-192-01-00-1001 Salaries $(11,617) 4-27349-192-01-00-2070 Fringes (350) 4-27349-192-01-00-3409 Indirect Cost (5,183) $(17,150) $ -0- BE IT FURTHER RESOLVED that the future level of service shall be contingent upon the level of State funding available for this program. Mr. Chairperson, on behalf of the Finance Committee, I move the adoption of the foregoing resolution. FINANCE COMMITTEE $45,000 $ 2,680 $ 2,680 $ 2,680 $ 2,680 $51,000 $96,000 $51,000 $96,000 Schedule A ECONOMIC DEVELOPMENT DIVISION AREA DEVELOPMENT OFFICE 1988/89 AWARD AND 1989/90 APPLICATION/AWARD COMPARISON 1988/89 Award 1989/90 Application/Award State Local State Local Salaries % of time Cash Cash Total_ % of time Cash Cash Business Development Respres. 100% $32,000 $32,000 100% $27,240 Business Development Respres. 100% $36,500 36,500 100% $36,500 Total Salaries .-32,000 $36,500 $68,500 $27,240 $36,500 Fringe Benefits Total $27,240 $36,500 $63,740 Total Salaries & Fringes $13,000 $14,500 $27,500 $45,000 $51,000 $96,000 $15,080 $14,500 $42,320 $51,000 $29,580 $93,320 Operating Expenses Indirect Costs (11 Total Operating Expenses Total Program $45,000 (1) Indirect Costs Calculated at 10.5% of Salaries econdeve February 8, 1990 Resolution # 90009 Moved by Caddell supported by McCulloch the resolution be adopted. AYES: Jensen, Johnson, R. Kuhn, S. Kuhn, Law, Luxon, McCulloch, Oaks, Olsen, Pappageorge, Pernick, Rewold, Skarritt, Wolf, Aaron, Bishop, Caddell, Calandro, Chester, Crake, Ferrens, Gosling, Huntoon. (23) NAYS: None. (0) A sufficient majority having voted therefor, the resolution was adopted. STATE OF MICHIGAN) COUNTY OF OAKLAND I, Lynn D. Allen, 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 February 8, 1990 with the original record thereof now remaining in my office. In Testimony Whereof, I have hereunto set my hand and aff' pd the seal of the County of Oakland at Pontiac, Michigan this 8th dayAiirFekR4rx,4, _0,1,409 1990 ' /-;• MDOC Grant No 90-665 MDOC Account No 110-63-3102 STATE OF MICHIGAN DEPARTMENT OF COMMERCE A GRANT AGREEMENT BETWEEN THE STATE OF MICHIGAN AND OAKLAND COUNTY ECONOMIC DEVELOPMENT DIVISION FEDERAL I.D. NO. 38-6004876 TASTY OF CONTENTS Page • . 1 • . 1 . 2 2 2 2 2 2 3 3 3 3 3 4 4 4 4 4 — 4 • . 4 — 4 — 4 Section 1. Offer. 1917•.100 • 6.006•0 n 06136000, Section 2. Acceptance . . . . . . . Section 3. Provisions 3.1 Performance. . . . . 3.2 Limitations on Payment . . 3.3 Reduction of Grant Amount. . . . 3.4 Authorized Expenditures ....... . . . 3.5 Changes. . . . ........... . 3.6 Records and Financial Management . . 3.7 Payment Requests 3.8 Reporting. ..... ......... 3.9 Audits . . . . . . . 3.10 Liability. ...... . ....... . 3.11 Political Activity 3.12 Civil Rights and Equal Employment Opportunity. 3.13 Conflict of Interest . . . 3.14 Officials Not to Benefit ....... . 3.15 Sectarian Involvement Prohibited . ..... 3.16 Temporary Suspension 3.17 Termination of the Agreement . 3.18 Disputes 3.19 Oral and Written Agreements ..... . 3.20 Signatories. ......... . Section 4. Attachment Attachment Attachment Attachment Attachment 1 (Statement of Work) . 2 (Request for Funding) 3 (Program Performance Goals) . . 4 (Budget Certification). . . . 5 (Reporting Requirements and Payment Schedule). ..... REVIEWED AIM APRROVID AS TO I. SLIf tiMatieedamvetill, /-,'.ft) day of apc.L.-1 Rcre7 , Grant No. 90=665 STATE OF MICHIGAN DEPARTMENT OF COMMERCE AGREEMENT I. OFFER: Pursuant to Public Act No. 198 of 1989, the Michigan Department of Commerce (hereinafter the "Department") hereby offers to the Oakland County Economic Development Division 1200 N. Telegraph Road Pontiac, Michigan 48053 (hereinafter the "Grantee") a grant of forty-five thousand dollars ($45,000.00) to carry out Area Development Office activities, as more fully described in the Statement of Work. Of this amount, $22,500.00 is for program operations and $22,500.00 is for program performance. This offer is subject to the availability of funds during the grant period. (See section 3.3). The grant period begins October 1, 1989 and ends September 30, 1990. By ' 4`.'141/1. Cift4 6-41- Jeanett ercik Assista t Chief Deputy Director (I) III / , And: . Michelyn E. PasteulY _ Deputy Director Michiga. epartment of Commerce Michigan Department of Commerce ,. day of • A , 1989. ././.- 2. ACCEPTANCE: The foregoing offer is accepted and it is agreed that the funds received will be used only as set forth herein and in accordance with the provions and liQitations of this agreement and its attachments. Dated this Grantee's Authdrized Official fVf /4194,0 ) cAlpipWscO c»,Aj.rT goA4i) Print name and title here Dated this S-i4-14Th PROVISIONS 3.1. PERFORMANCE: The Grantee agrees to carry out the activities as described in the Statement of Work (attachment 1), with due diligence and to put forth its best efforts to attain the annual goals made a part of this agreement by attachment 3. 3.2 LIMITATIONS ON PAYMENT: The Grantee agrees that all cost overuns are the responsibility of the Grantee, Payments to the Grantee will not exceed the amount specified in Section 1 unless that amount has been changed by amendment. Payments may be withheld if the Grantee has not met the reporting requirements established in attachment 5. Payment of the total amount of the grant is contingent upon attainment of the annual Program Performance Goals made a part of this agreement by attachment 3. 3.3 REDUCTION OF THE GRANT AMOUNT: The Department reserves the right to reduce the amount of the grant in the following circumstances: a) If revenue collected and available from restricted funds is less than currently appropriated, b) If the Grantee's actual expenditures of local match (cash or in-kind) are less than the total funds received under this agreement. If a reduction becomes necessary, the Department will provide the Grantee with a written notice thirty (30) days prior to the reduction. 3.4. AUTHORIZED EXPENDITURES: The Grantee agrees that funds received under this agreement shall be used only for those activities set forth in the guidelines and in accordance with all applicable federal, state, and local laws. The Grantee agrees that the agreement may be terminated if grant funds are used for any purpose other than those described in the Statement of Work and to return any funds used for anything other than those activities set forth in this agreement immediately after receipt of a written request to do so by the Department. The Grantee agrees that the use of state funds for travel that is determined necessary to the Program shall be subject to travel policies of the Grantee if they are uniformly applied regardless of source of funds in determining the amounts and types of reimbursable travel expenses of the Grantee's staff. If the Grantee does not have specific policies or if specific policies are not uniformly applied, the state of Michigan Standard Travel Regulations shall apply in determining the amount charged under this agreement. 3.5. CHANGES: No term or provision of this agreement and its attachments may be changed, waived, added or deleted except by written amendment approved by the Department. Requests for amendment must be in writing and submitted to the program manager. 3.6. RECORDS AND FINANCIAL MANAGEMENT: The Grantee warrants that its financial system will ensure effective control over, and accountability of, all funds received; and further, that accounting records, activity reports, and in-kind contributions will be supported by documentation. All financial records, supporting documents, and documents supporting activity reports shall be retained for a period of three years from the date of acceptance of the Grantee's final report. 2 3.7. PAYMENT REQUESTS: Payments will be made in accordance with attachment 5 of this agreement. The grantee agrees to complete a Financial Status Report and/or Payment Request Form (LDS-100) in accordance with instructions for completing such form. Payment requests shall be submitted to: Michigan Department of Commerce Local Services Division 6500 Mercantile Way, Suite 2 Lansing, Michigan 48911 Phone: (517) 334-6175 3.8. REPORTING: The Grantee agrees to submit quarterly activity reports to the program manager on or before the fifteenth of January, April, July, and October, 1990. A narrative describing any problems affecting achievement of annual program performance goals and steps being taken to resolve them should accompany the activity report for that quarter. A FINAL FINANCIAL STATUS REPORT, clearly labeled as such, including a schedule of any program income earned and expended is due on or before November 16, 1990. Any unspent State funds received for program operation expenses must be returned to the Department with the report. In addition, any state funds received based on performance in excess of expenditures of local contributions (cash or in-kind) must be returned. Make checks payable to the State of Michigan. Reminder: All state funds received for operational expenses and performance payments must be matched dollar for dollar by local contributions (cash or in- kind). 3.9. AUDITS: All expenditures of grant funds and activity reports are subject to audit by the state prior to or after the final payment. The Grantee agrees to make all pertinent records available within ten (10) days of any request. Any audit conducted by the state will be performed during normal business hours. Any costs incured for the audit shall be paid by the state. The Grantee may be required to submit a copy of its own annual audit to the Department for any fiscal period in which grant funds are spent. 3.10. LIABILITY: The Grantee agrees to indemnify, defend and save harmless, the Department and its employees from any claims, liens, loss, damages, or injury resulting from the negligent actions of the Grantee under this agreement. 3.11. POLITICAL ACTIVITY: The Grantee agrees that the levying, solicitation, collection or payment of any type of contribution to a political party, committee to elect, or political action committee during the hours an employee or contractor is on duty or representing or acting on behalf of the Grantee is expressly prohibited. Grantee agrees that an employee or contractor may become a member or an officer of a political party, or political committee formed or permitted under the election laws of Michigan or of the United States and be a delegate to any convention held by a political party but not during the hours the employee or contractor is on actual duty or representing or acting on behalf of the Grantee. 3.12. CIVIL RIGHTS AND EQUAL EMPLOYMENT OPPORTUNITY: The Grantee agrees to comply with applicable state and federal Civil Rights and Equal Employment Opportunity statutes. 3 3.13. CONFLICT OF INTEREST: No employee of the Grantee, any member of the Grantee's governing board or body, and no person who exercises any functions or responsibilities in the review or approval of the undertaking or carrying out of this grant shall participate in any decision relating to this grant which affects his/her personal pecuniary interest. 3.14. OFFICIALS NOT TO BENEFIT: No member of the legislature of the State of Michigan or any individual employed by the State shall be permitted to share in this grant or any benefits that arise therefrom. 3.15. SECTARIAN INVOLVEMENT PROHIBITED: The Grantee shall ensure that no funds received via this agreement are used, either directly or indirectly, in the support of any religious or anti-religious activity, worship, or instruction. 3.16. TEMPORARY SUSPENSION: The Grantee agrees that the Department may, with reasonable notice, suspend the agreement for failure to comply with its terms or failure to make reasonable progress towards completion of the activities being funded. During the period of any suspension the Department may withhold payments and/or prohibit the Grantee from incurring additional obligations of grant funds. A suspension may last until the Grantee provides evidence of corrective action acceptable to the Department or until a decision is made to terminate the agreement. 3.17. TERMINATION OF THE AGREEMENT: The Department may terminate this agreement in whole or in part, at any time if it is determined that the Grantee has failed to comply with the terms and conditions of the agreement by delivery to the Grantee of a "notice of termination" specifying the extent to which performance of the work under the agreement is terminated and the date the termination becomes effective. Within seven days of delivery of the notice, the Grantee and the Department's program manager shall meet to review expenditures. The Grantee shall be reimbursesd for those expenses incurred for the purposes covered by this agreement prior to receipt of the notice to terminate. Any funds advanced and not spent shall be returned to the Department within seven days of this settlement meeting. 3.18. DISPUTES: The Department and the Grantee desire to avoid and settle without litigation any disputes which may arise olit of this agreement. Accordingly, the parties agree to engage in good faith negotiations to resolve any such dispute. In the event they are unable to resolve any such dispute by negotiation, then such dispute concerning any matter whose arbitration is not prohibited by law at the time such dispute arises shall be submitted to arbitration in accordance with the Arbitration Rules of the American Arbitration Association then in effect and the award rendered . by the arbitrators shall be binding as between the parties and judgement on such award may be entered in any court having jurisdiction thereof. No suit at law or in equity based on such dispute or controversy shall be instituted by either party hereto other than to enforce the award of the arbitrators. 3.19. ORAL AND WRITTEN AGREEMENTS: This agreement constitutes the complete agreement between the Department and the Grantee. All oral and written agreements between the parties relating to the subject matter of this agreement have been reduced to writing and are contained herein. 3.20. SIGNATORIES: The signatories warrant that they are empowered to enter into this agreement. 4 Attachment 1 - ADO (1 of 5) AREA DEVELOPMENT OFFICE STATEMENT OF WORK Management of the Area Development Office (ADO) program is the responsibility of the Manufacturing Development Group (MDG). The placement of the program within the Manufacturing Development Croup is intended to improve coordination between local and state efforts to create and retain Michigan's manufacturing base. 1. Goals Consistent with the department's goal of maintaining Michigan's share of national manufacturing employment, the following goals are established: a. Maintain a statewide network of full service area development offices which are engaged in securing private investments which create and retain manufacturing and related services employment within their jurisdictions. b. Integrate state manufacturing development activities with those of the individual ADO's to ensure that the best possible services are delivered to both existing manufacturers and to prospective manufacturing customers. 2. Statement of Work Each ADO will prepare an annual work plan that describes how it intends to deliver the following services. a. State and Area Marketing The Department of Commerce recognizes the importance of marketing Michigan as a manufacturing investment location and the importance of marketing economic development services available to assist company decision-makers. Each ADO is responsible for the development and execution of strategies for marketing its area. Each ADO is encouraged to identify industry niches for which the area is likely to have a particular marketing advantage and to participate with the Department in trade shows, trade association meetings, target area calls, trade missions and similar events that complement these economic development priorities. An ADO may choose to participate in cooperative marketing ventures in order to market the area as part of a region in Michigan that may have a strategic advantage in attracting particular types of economic investment. Typicaly, each ADO will participate in the preparation of promotional materials which portray the area's particular locational advantages and characteristics, and a description of how these materials will be used. Attachment 1 - ADO (2 of 5) Promotional materials should, at a minimum, include locally specific information on: - available industrial property; - transportation modes; ecomomic profile; - local labor force characteristics; - wage and salary data; - primary and secondary schools; - vocational programs; - higher educational institutions; - job training organizations; - housing; - property tax information; - quality of life items (entertainment, recreation, shopping, etc.) The ADO work plan should include the following items as part of its area marketing strategy: - the area's economic development priorities; - particular area marketing advantages, due to location, existing industry mix, infrastructure, institutional facilities, climate, natural resources, etc.; - targeted industries selected for emphasis and the rationale for their selection; - a description of the marketing activities in which the ADO intends to participate to market the state, the area, and the services available through the ADO; - and how promotional materials will be distributed, to whom, and by whom, in order to capitalize on these local advantages and capture targeted markets. b. Industrial Site Inventory/Michigan Site Network The Michigan Industrial Site Inventory is a computerized system which has the capability of providing detailed information on available vacant industrial buildings and land. It is a statewide system which may be accessed by both ADOs and Michigan Department of Commerce staff. Responsibility for overall system maintenance rests with the Department of Commerce and, through contractural agreement, with its agent, Southeast Michigan Council of Governments (SEMCOG). Each ADO is expected to maintain a current inventory of available industrial sites and buildings within its jurisdiction through its active participation in the Michigan Site Network. The operating policy for the Michigan Site Network is included as ADO Appendix C. The ADO work plan will identify how site data will be gathered, entered into the data base, and kept current. Attachment 1 - ADO (3 of 5) c. Economic Base Service & Satisfaction Calls Since existing manufacturers are the foundation of the local economic base as well as sources of new investment and job creation, significant resources should be devoted to the nurturing of these firms. An account executive within MDG has been assigned lead responsibility for each Michigan manufacturing company with more than 100 employees in Michigan. All other manufacturing companies are generally the lead responsibility of the ADO serving the area where the company is located. The ADOs are assisted in serving the companies with fewer that 100 employees by the account executives who are Area Account Executives. A record of manufacturing account assignments is maintained by MDG. ADO inquiries about account assignments or MDG's encounters with particular manufacturing firms should be directed to MDG's Intake Division. Area Account Executives will facillitate these inquiries. Each ADO is expected to develop a positive working relationship with the manufacturers within its jurisdiction for which it has lead responsibility. Typically, this will mean the ADO will carry out a program of calling upon these firms on a regular basis. Service and satisfaction calls on existing manufacturers serve a variety of purposes, including the following: to demonstrate interest in the company's continued prosperity in the area; to acquaint the ADO with the nature of the operations in order to be part of the business's network of assistance and referrals; to acquaint the firm with local and state services which may be helpful in problem solving; to learn of expansion plans and offer assistance; and to learn of problems being encountered in local or state governmental relations in order to promptly direct resources to the problem. It is recommended that service and satisfaction calls be conducted on site to accommodate the businessperson's schedule of operations and to encourage a tour of the facility. A first visit will generally take one to two hours. Subsequent visits may be briefer. The ADO work plan should describe the general plan for conducting service and satisfaction calls. Each ADO should generally plan to visit each company for which it has lead responsibility at least once each year. The work plan description should include staffing, scheduling, prioritizing, and reporting procedures for these visits. The ADO may request the assistance or participation of the Area Account Executive with non-routine service and satisfaction calls. The ADO may also wish to participate in calls made on larger manufacturers by MDG account executives. The ADO will be notified by the MDG account executive when a call is being scheduled to determine the interest and availability of ADO staff to participate in the call. d. Lead and Prospect Development The ADO will keep the Department of Commerce informed of its prospects through routine contact with the ADO's Area Account Executives at the Department of Commerce to help reduce duplicate efforts and to allow for coordinated service in the event that the prospect is also considering other areas in Michigan. Attachment 1 - ADO (4 of 5) The ADO will be notified by the MDG account executive when the account executive is considering introducing a lead or prospect in an ADO's area. An important role for the ADO in this situation is to provide leadership in responding to the prospect's needs for local information and services. The ADO work plan will identify how the ADO indentifies leads for new investment and job creation. This description will generally include the means of regular contact between the ADO and key centers of influence who may provide introductions and referrals to individuals considering new investment and job creation. Typical centers of influence might include local bank officials, engineers, certified public accountants, industrial real estate agents, investors, industrial park managers, procurement officers at major corporations, governmental economic development officials, other economic development professionals, and planning agencies. The ADO work plan will also describe how the ADO and the Area Account Executive will routinely exchange information to update a mutual listing of business expansion leads and prospects, and community-based economic development efforts. It is recommended that this updating occur at least once each month by meeting, telephone call, or electronic mail. It is further recommended that face-to-face meetings occur at least once every two months in order to facillitate a strong positive rapport between the ADO and the Area Account Executive, and to provide for a fuller discussion of state and area economic development issues. e. Lead and Prospect Servicing & Other Firms Assisted Each ADO should be engaged in the provision of those services which help convert leads to prospects, and prospects to investment customers. Prospects identified by the ADO will be primarily served by that ADO. Commerce Department services will be provided if requested by the ADO to help provide service to the lead or prospect. The ADO also participates as part of the team organized to serve Commerce Department leads and prospects considering an investment in the area served by the ADO. MDG account executives will keep the appropriate ADO informed of the status of leads and prospects considering an investment in an ADO's area. From time to time, existing firms that are part of the area's manufacturing base, but who are not currently considering an expansion project, may ask the ADO for assistance. The Department of Commerce recognizes the importance of meeting theses firms' needs in order to confirm the ADO's role as a business facilitator and problem-solving organization, to continue or improve the companies' ability to conduct business profitably, and to maintain the companies' loyalty to the area and the state. Attachment 1 - ADO (5 of 5) The ADO work plan will identify those services directly provided by the ADO to help convert a lead to a prospect, and a prospect to a successful investment customer, as well as services generally provided through referral to another component of the Community Growth Alliance or to another agency. When service is provided by referral, the work plan will identify who the service provider is and what service is provided; describe the service agreement between the ADO and that provider; and describe how the ADO monitors the service provided and follows up with the customer. Typical services provided through referral might include the following: assistance securing a state or federal procurement contract; assistance preparing a business plan, historic financial statements, and pro forma projections; assistance preparing a market study; and assistance screening job applicants and training new employees. Typical services directly provided by the ADO will usually include the following: assistance locating a suitable site for development; assistance requesting land use plan amendments, special permits, and tax abatement requests; review and analysis of financial statements to determine financial strengths, weaknesses, cash flow, and debt capacity; review of business plans to identify the strengths and weaknesses of the business's market and operations that may enhance or inhibit its ability to implement its investment; identification of public and private financing sources for various elements of a project; structuring the financial sources and uses; preparation of application materials, particularly applications for public financial assistance; and administration of grant requirements when public funds have been awarded to support economic development activity. October 11, 1969 (Dated) Attachment 2 REQUEST FOR FUNDING THE COMMUNITY GROWTH ALLIANCE OF: oAKLAND COUNTY submits the attached contract proposal for the review and approval of the Michigan Department of Commerce (AS REQUIRED BY SECTION E, ITEMS ONE THRU FOUR OF THE 1989/90 CGA OPERATING PROCEDURES) This contract proposal has been reviewed and approved by the Community Growth Alliance Board. Organization to receive the grant is: Name Oakland Cointy Economic Development Div — n Contact Person Jeffrey A. Kaczmarek Phone Number (313) 858-0732 Address 1_2011Lac1eara212 Road City and Zip Pontiac. MI 48053 , Federal I.D. No _38zsIggga26_____ Program Activity: x ADO JC LPO 400 20.0 600 10/2/89 Date Revised for 89/90 Program Year Milt I • 51 a "ma d imam ga Base Maintainance Customers Expansion Customers Attraction Customers f. Successful Investment Customers Successful Retention Customers Successful Expansion Customers Successful Attraction Customers Jobs Created Jobs Retained Private Investment Public investmen Author1z4ii.ocal Signet Attachment 3-ADO ADO PROGRAM PERFORMANCE GOALS Duration of Contract: from .0_c_ts212.ex_1119.E19 to September 30, 1990 ADO: OAKLAND COUNTY QU a. State Marketing Trade Shows --_L Trade Meetings ---2 Target Area Calls -__B Trade Missions 2 b. Industrial Site Inventory New Michigan Site Network Entries Percent of Building Entries Current Within 90 Days 100% Percent of Land Entries Current Within 120 Days c. Economic Base Service & Satisfaction Calls Visits by ADO Staff Visits by ADO Staff with MDC Visits by All Others on Behalf of ADO d. Lead and Prospect Development New Leads Identified New Prospects Qualified inn e. Firms Assisted Attachment 4 GET CERTIFICATION x ADo 1. The total amount of state funds allocated for Fiscal Year 1989/90 5 45,000 2. Certification of local in—kind match A. County of Oakland General Fund $ 779,190 B. C. D. S 779,190 Total 3. Certification of local cash match (include the source and amount of funds) A. County of Oakland General Fund $ 53,300 B. S. C. S D. S 4. The total budget for the operation of the above noted office for the grant period (sum of 1, 2 and 3 above) Total $53,300 $877,490 I do hereby certify that the above amount of local matching funds Is accurate and represents the best estimate of funds which are currently, or will become, available to the Community Growth Alliance program coaponent during Fiscal Year 1989/90. NAME: __Jeffrey A. Kaczmarek Attachment 5 - ADO (1 of 2) REPORTING REQUIREMENTS Program The area development office shall submit to the Department of Commerce a quarterly program activity report by the 15th of the month following the end of the quarter. The report shall certify the activities during the fiscal year 1989/90. A blank report form can be found on page II-11 of the 1989/90 CGA handbook. The annual goals reported on this form MUST agree with the annual goals contained in Attachment 3 of this Grant. Upon request of the grantor, the grantee shall provide listings of customers served, including name and title of contact person, firm name and address, and telephone number. This information shall be used by the grantor for research and communications purposes only. Activity reports shall be mailed to: or via electronic mail to: ZIMNY Liane M. Zimny, Director Area Development Division Manufacturing Development Group Michigan Department of Commerce P.O. Box 30225 Lansing, MI 48909 - Financial The ADO or its fiscal agent shall submit to the Department of Commerce a quarterly Financial Status Report and/or Payment Request, Form LDS 100, by the 15th of the month following the end of each quarter detailing expenditures for the prior quarter. Reports shall be mailed to: Michigan Department of Commerce Local Services Division 6500 Mercantile Way, Suite 2 Lansing, MI 48911 PAYMENT SCHEDULE Fifty percent (50%) of the total grant will be provided for ongoing program operational expenses. One-half of the operational funds (25% of the total grant) may be requested using form LDS 100 at the time the grant is signed by all parties. The second half of the operational funds (25% of the grant) may be requested on or after January 15, 1990, provided that the grantee has or is also reporting expenditures for the first quarter. 12.5 12.5 50.0% 12.5 12.5 50.0% Attachment 5 - ADO (2 of 2) The remaining fifty percent (50%) will be provided based upon the following performance criteria identified on the ADO quarterly activity report: 50% Of Goal 95% Or More Of Accomplished Goal Accomplished 25.0% 25.0% Economic Base Service & Satisfaction Calls Firms Assisted Jobs Created or Retained Maximum Percentage of Contract Awarded for Performance Performance payments will be released quarterly, following the achievement of 50% and 95% of the performance-based funding factors. ADOs whose Quarterly Reports indicate they have met or exceeded 50% of their annual performance goal for any of the three factors listed above may request the performance payment indicated for that category. ADOs whose Quarterly Reports indicate they have met or exceeded 95% of their annual performance goals for any of the three factors listed above may request the remainder of their performance payment indicated for that factor. ADOs who are unable to achieve 50% of their goal for a performance-based funding factor by the end of the contract year, September 30, 1990, will forgo the funds associated with that category. ADOs who achieve at least 50%, but less than 95% of a performance-based funding factor will only forgo the second performance payment associated with that category. ADOs who meet or exceed 95% of their goal for a performance-based funding factor will receive all of the performance payment associated with that category. MDOC Grant No. 90-666 MDOC Account No. 110-63-3102 STATE OF MICHIGAN DEPARTMENT OF COMMERCE A GRANT AGREEMENT BETWEEN THE STATE OF MICHIGAN AND OAKLAND COUNTY ECONOMIC DEVELOPMENT DIVISION FEDERAL I.D. NO. 38-6004876 O 004 O 000 c o a . . • 040 TABLE OF CONTENTS Page Section 1. Offer... 0444040 -00944000044000 1 S ection 2. Acceptance................. . 1 Section 3. Provisions 3.1 Performance. . . ..... . . 2 3.2 Limitations on Payment . . . 2 3.3 Reduction of Grant Amount. . . . . . 2 3.4 Authorized Expenditures. . . . . . 2 3.5 Changes. . . . . . . . . . . 2 3.6 Records and Financial Management . . . . 2 3.7 Payment Requests . . . . . . 3 3.8 Reporting. . ..... . . . . . 3 3.9 Audits . . . . . . . . 3 3.10 Liability. . . . . . . 3 3.11 Political Activity . . . ...... . 3 3.12 Civil Rights and Equal Employment Opportunity. . . 4 3.13 Conflict of Interest . . . . 4 3.14 Officials Not to Benefit . . . . . . . 4 3.15 Sectarian Involvement Prohibited . 4 3.16 Temporary Suspension . . . . . 4 3.17 Termination of the Agreement . . . . 4 3.18 Disputes . . . . . . . . . . . . . 4 3.19 Oral and Written Agreements. . . . . 4 3.20 Signatories. . . . . . . 4 Section 4. Attachment 1 (Statement of Work) . . Attachment 2 (Request for Funding) . Attachment 3 (Program Performance Goals) . Attachment 4 (Budget Certification) 0 6 9 Attachment 5 (Reporting Requirements and Payment Schedule) . • • . .4 V4))/1/1 JelimEttjr M. Hercik Assista, Chief Deputy Director Michiga. Department of Commerce 1990. NIVIEV4D MO APPNOVCO AS TO LOA kiairesat 4 comptios Gamow Unds I. Wiskiwilik Ditod Grant No. 90-666 STATE OF MICHIGAN DEPARTMENT OF COMMERCE AGREEMENT 1. OFFER: Pursuant to Public Act No. 198 of 1989, the Michigan Department of Commerce (hereinafter the "Department') hereby offers to the Oakland County Economic Development Division 1200 N. Telegraph Road Pontiac, Michigan 48053 (hereinafter the "Grantee") a grant of fifty-four thousand dollars ($54,000.00) to carry out Business Development Center activities, as more fully described in the Statement of Work. Of this amount, $27,000.00 is for program operations and $27,000.00 is for program performance. This offer is subject to the availability of funds during the grant period. (See section 3.3). The grant period begins October 1, 1989 and epd-s September 30, 1990. And: Michelyn E. Pas Deputy Director Michigan Department of Commerce Dated this day of 2. ACCEPTANCE: The foregoing offer is accepted and it is agreed that the funds received will be used only as set forth herein and in accordance with the proy,,i-7.4ns and liwitions of this agreement and its attachments. By: Grantee's AuthoVized Official P.Ewbc-) ) CDn rf ewb 001VIINEIRJ Print name and title here Dated this Elq+-1-11-1c day of C4'A1QQ44 , 1990. 1 PROVISIONS 3.1. PERFORMANCE: The Grantee agrees to carry out the activities as described in the Statement of Work (attachment 1), with due diligence and to put forth its best efforts to attain the annual goals made a part of this agreement by attachment 3. 3.2 LIMITATIONS ON PAYMENT: The Grantee agrees that all cost overuns are the responsibility of the Grantee. Payments to the Grantee will not exceed the amount specified in Section 1 unless that amount has been changed by amendment. Payments may be withheld if the Grantee has not met the reporting requirements established in attachment 5. Payment of the total amount of the grant is contingent upon attainment of the annual Program Performance Goals made a part of this agreement by attachment 3. 3.3 REDUCTION OF THE GRANT AMOUNT: The Department reserves the right to reduce the amount of the grant in the following circumstances: a) If revenue collected and available from restricted funds is less than currently appropriated, b) If the Grantee's actual expenditures of local match (cash or in-kind) are less than the total funds received under this agreement. If a reduction becomes necessary, the Department will provide the Grantee with a written notice thirty (30) days prior to the reduction. 3.4. AUTHORIZED EXPENDITURES: The Grantee agrees that funds received under this agreement shall be used only for those activities set forth in the guidelines and in accordance with all applicable federal, state, and local laws. The Grantee agrees that the agreement may be terminated if grant funds are used for any purpose other than those described in the Statement of Work and to return any funds used for anything other than those activities set forth in this agreement immediately after receipt of a written request to do so by the Department. The Grantee agrees that the use of state funds for travel that is determined necessary to the Program shall be subject to travel policies of the Grantee if they are uniformly applied regardless of source of funds in determining the amounts and types of reimbursable travel expenses of the Grantee's staff. If the Grantee does not have specific policies or if specific policies are not uniformly applied, the state of Michigan Standard Travel Regulations shall apply in determining the amount charged under this agreement. 3.5. CHANGES: No term or provision of this agreement and its attachments may be changed, waived, added or deleted except by written amendment approved by the Department. Requests for amendment must be in writing and submitted to the program manager. 3.6. RECORDS AND FINANCIAL MANAGEMENT: The Grantee warrants that its financial system will ensure effective control over, and accountability of, all funds received; and further, that accounting records, activity reports, and in-kind contributions will be supported by documentation. All financial records, supporting documents, and documents supporting activity reports shall be retained for a period of three years from the date of acceptance of the Grantee's final report. 2 3.7. PAYMENT REQUESTS: Payments will be made in accordance with attachment 5 of this agreement. The grantee agrees to complete a Financial Status Report and/or Payment Request Form (LDS-100) in accordance with instructions for completing such form. Payment requests shall be submitted to: Michigan Department of Commerce Local Services Division 6500 Mercantile Way, Suite 2 Lansing, Michigan 48911 Phone: (517) 334-6175 3.8. REPORTING: The Grantee agrees to submit quarterly activity reports to the program manager on or before the fifteenth of January, April, July, and October, 1990. A narrative describing any problems affecting achievement of annual program performance goals and steps being taken to resolve them should accompany the activity report for that quarter. A FINAL FINANCIAL STATUS REPORT, clearly labeled as such, including a schedule of any program income earned and expended is due on or before November 16, 1990. Any unspent State funds received for program operation expenses must be returned to the Department with the report. In addition, any state funds received based on performance in excess of expenditures of local contributions (cash or in-kind) must be returned. Make checks payable to the State of Michigan. Reminder: All state funds received for operational expenses and performance payments must be matched dollar for dollar by local contributions (cash or in- kind). 3.9. AUDITS: All expenditures of grant funds and activity reports are subject to audit by the state prior to or after the final payment. The Grantee agrees to make all pertinent records available within ten (10) days of any request. Any audit conducted by the state will be performed during normal business hours. Any costs incured for the audit shall be paid by the state. The Grantee may be required to submit a copy of its own annual audit to the Department for any fiscal period in which grant funds are spent. 3.10. LIABILITY: The Grantee agrees to indemnify, defend and save harmless, the Department and its employees from any claims, liens, loss, damages, or injury resulting from the negligent actions of the Grantee under this agreement. 3.11, POLITICAL ACTIVITY: The Grantee agrees that the levying, solicitation, collection or payment of any type of contribution to a political party, committee to elect, or political action committee during the hours an employee or contractor is on duty or representing or acting on behalf of the Grantee is expressly prohibited. Grantee agrees that an employee or contractor may become a member or an officer of a political party, or political committee formed or permitted under the election laws of Michigan or of the United States and be a delegate to any convention held by a political party but not during the hours the employee or contractor is on actual duty or representing or acting on behalf of the Grantee. 3.12. CIVIL RIGHTS AND EQUAL EMPLOYMENT OPPORTUNITY: The Grantee agrees to comply with applicable state and federal Civil Rights and Equal Employment Opportunity statutes. 3 3.13. CONFLICT OF INTEREST: No employee of the Grantee, any member of the Grantee's governing board or body, and no person who exercises any functions or responsibilities in the review or approval of the undertaking or carrying out of this grant shall participate in any decision relating to this grant which affects his/her personal pecuniary interest. 3.14. OFFICIALS NOT TO BENEFIT: No member of the legislature of the State of Michigan or any individual employed by the State shall be permitted to share in this grant or any benefits that arise therefrom. 3.15. SECTARIAN INVOLVEMENT PROHIBITED: The Grantee shall ensure that no funds received via this agreement are used, either directly or indirectly, in the support of any religious or anti-religious activity, worship, or instruction. 3.16. TEMPORARY SUSPENSION: The Grantee agrees that the Department may, with reasonable notice, suspend the agreement for failure to comply with its terms or failure to make reasonable progress towards completion of the activities being funded. During the period of any suspension the Department may withhold payments and/or prohibit the Grantee from incurring additional obligations of grant funds. A suspension may last until the Grantee provides evidence of corrective action acceptable to the Department or until a decision is made to terminate the agreement. 3.17. TERMINATION OF THE AGREEMENT: The Department may terminate this agreement in whole or in part, at any time if it is determined that the Grantee has failed to comply with the terms and conditions of the agreement by delivery to the Grantee of a "notice of termination" specifying the extent to which performance of the work under the agreement is terminated and the date the termination becomes effective. Within seven days of delivery of the notice, the Grantee and the Department's program manager shall meet to review expenditures. The Grantee shall be reimbursesd for those expenses incurred for the purposes covered by this agreement prior to receipt of the notice to terminate. Any funds advanced and not spent shall be returned to the Department within seven days of this settlement meeting. 3.18. DISPUTES: The Department and the Grantee desire to avoid and settle without litigation any disputes which may arise out of this agreement. Accordingly, the parties agree to engage in good faith negotiations to resolve any such dispute. In the event they are unable to resolve any such dispute by negotiation, then such dispute concerning any matter whose arbitration is not prohibited by law at the time such dispute arises shall be submitted to arbitration in accordance with the Arbitration Rules of the American Arbitration Association then in effect and the award rendered by the arbitrators shall be binding as between the parties and judgement on such award may be entered in any court having jurisdiction thereof. No suit at law or in equity based on such dispute or controversy shall be instituted by either party hereto other than to enforce the award of the arbitrators. 3.19. ORAL AND WRITTEN AGREEMENTS: This agreement constitutes the complete agreement between the Department and the Grantee. All oral and written agreements between the parties relating to the subject matter of this agreement have been reduced to writing and are contained herein. 3.20. SIGNATORIES: The signatories warrant that they are empowered to enter into this agreement. 4 Attachment 1 - BDC (1 of 3) BUSINESS DEVELOPMENT CENTER STATEMENT OF WORK, 1989-90 1. Goals It is the Department's expectation that the Business Development Centers will provide efficient, effective service to small companies who need assistance to survive, grow and create jobs. The goal of the Business Development Centers is to stimulate job creation through assistance at the local level to existing business owners and managers who need assistance to survive and expand, as well as entrepreneurs who wish to start a business. This goal is reached primarily by offering individual counseling to business owners. The centers are to act as a central information and referral source for small business owners in their area. This is accomplished by participating in and sponsoring community small business activities as well as promotion of the center's services to ensure that the small business community is aware of them. Additionally, the centers offer training in topics of high demand as indicated by their clients when that training is unavailable elsewhere. 2. Services The primary services of the BDC are the following: a. Provide quality counseling for existing or potential business owners about issues that may affect the health of their business. b. Provide an information/referral service to the broadest possible base of existing and potential business owners. c. Provide training which is needed by existing and potential small businesses to survive and thrive. d. Sponsor and participate in activities which enhance the entrepreneurial climate in the local area and the entire state. A. Counseling The BDC staff is expected to provide high quality counseling to businesses in several areas including, at a minimum: - Needs assessment - Business problem solving - Business planning - Financial management - Accounting - Marketing/market analysis - Personnel (hiring, firing, training, policies) - General management issues Attachment 1 - BDC (2 of 3) The BDC Director has the primary responsibility for provision of business counseling services. It is recommended that the Director supplement his/her counseling services with a network of volunteer and paid (by the business or by the center) counselors to provide additional expertise and capacity. The Department's recommendation is that the Director's time (and that of other counselors) is best spent doing counseling with businesses who are existing or start ups who have done preliminary research. The Department suggests that the following guidelines be used in operating an efficient client service model. - A significant amount of promotion is done by the center to ensure that businesses in the area are aware of the services available. - Clients with routine start up questions receive as much assistance as possible without consuming the Director's time to provide identical information repeatedly to various clients. - Counseling is provided by a wide variety of individuals - the Director, the assistant, volunteers, paid counselors and referral to private providers when appropriate. - Client's expectations are determined at the beginning of the counseling relationship to ensure that they are realistic and what resource is the best match. Appropriate levels of service should be provided for all small businesses who request assistance. For potential clients who have not collected information to seek help with specific issues, the center is strongly encouraged to assist that individual by: - referral to start up classes - referral to SCORE or other local organization which provides start up counseling - providing printed information, video, computer and/or individualized learning programs to cover routine topics - encouraging businesses to do their own research before setting a meeting with the Director or other counselor A case record shall be maintained for each business which receives at least one hour of counseling. The case record shall contain, at a minimum, the following information: - Name of person requesting assistance and whether she/he is female/minority/handicapped - Name of business (if known) - Address - Phone number (indicate if day or evening phone) - Amount of time spent with business - Description of services provided The center shall also keep a contact list with names and addresses of individuals or businesses who receive shorter term services. The Department of Commerce retains the right to audit case records. Attachment 1 - BDC (3 of 3) B. Information/Referral The BDC is expected to be the central point of contact in its area for individuals with questions about issues relating to ongoing business operations, as well as start ups. The BDC is expected to be aware of, refer clients to and market state and federal small business resources, in addition to providing referrals to appropriate private resources. C. Training Each center will assess the training needs of its clients and the businesses in its service area, initiate and host or co-host training session to meet needs which are unmet. The Department also encourages the center to participate in planning and co-sponsorship of sessions with other appropriate organizations in the area. When a center is sponsoring or co-sponsoring a training session, session evaluations shall be requested from the participants. If a Director is satisfied that the business training needs of their clients are being met through training provided by other sources, the center may choose to refer clients to existing sessions and not sponsor any training independently. At the minimum, a Director shall ensure that "start up" sessions are being offered in an area at least every other month to provide a referral source for clients who need information provided in a class setting before seeing a counselor. D. Outreach Each center shall plan an outreach program designed to inform existing and potential small business owners about services available from the BDC. The outreach may take a variety of forms, including speaking to public service groups, newspaper/magazine/radio ads, participation in TV and radio talk shows, distribution of flyers to other agencies and other means. Whenever a BDC distributes promotional literature about its services, it shall include the BDC logo. C.) L-Y1-7 6s I dent/Pha I r,'" CGA I/ Attachment 2 REQUEST FOR FUNDING THE COMMUNITY GROWTH ALL OF: OAKLAND COUNTY submits the attached contract proposal for the review and approval of the Michigan Department of Commerce (AS REQUIRED BY SECTION E, ITEMS ONE THRU FOUR OF THE 1989/90 CGA OPERATING PROCEDURES) This contract'proposal has been reviewed and approved by the Community Growth Alliance Board. October 11, 1989 (Dated) --_-_-_-_-_-_-_-__ ----------------------- ---------- ------- -------- Organization to receive the grant Is: Name Contact Person Jeffrey A_ Kaczmarpk Phone Number (313) 858-0732 Address 1200 N. Telegraph Road City and Zip Pontiac, 48053 Federal 1.D. No. 38-6004876 Program Activity: ADO X BDC LPO Conter Nairn* Oakland County Economic Development PROGRAM ACTIVITY ANNUAL GOALS 1. Number of short term contracts (generally less than 15 minutes) 2. Number of clients counseled a. New clients counseled b. ,Clients representing existing/starts * 175 I 325 c. Clients counseled 1 thru 7.75 hours ** d. Clients counseled 8 or more hours 3. Number of counseling hours a. Total counseling time this period b. Total hours for 2c and 2d above 4. Total number of training programs a. Sponsored/co-sponsored training programs 5. Total number of training hours ** 6. Number of training participants 7. Training programs offered within service area by non BDC ** • •anizations Results (Provide documentation for fines 8-11) 8. Number of business starts 9. Number of business expansions 10. Number of jobs rveated 11. Number of jobs retained 7nn Request Prepared By: RONALb ILL PL_ Date Prepared: Attachment 3 $BS./OPYSOC 6M10 MICHIGAN BUSINESS DEVELOPMENT CENTERS PERFORMANCE ACTIVITY REPORT Authorized by P.A. 305, SoctIon 302(1) C4:ompliollon of this form la required to receive payment. Instructions: • Michigan Department of Commerce funded centers are required to describe client and non-client activities on a separate page (see instructions). Documented activities include: Results documentation, success stories, sample assistance, non-client activities or special activities and client data. MDOC funded centers complete all items except those with double ** • Michigan Small Business Development Corporation funded centers are required to follow the reporting format provided within the instructions. M1--SBDC funded centers complete all items except those with a single . - or f Aw NAME: Jeffrey A. Kaczmarek TITLE: Exequt SIGNATURE: ; Oct. 11, 1989 Attachment 4 GET CERTIFICATION _____ADO x J3De 1. The total amount of state funds a? located for Fiscal Year 1989/90 $ 54,000 2. Certification of local in-kind match A. county of Oakland General Fund $ 135,610 B. C. D. $ Total $ 135,610 3. Certification of local cash match (include the source and amount of funds) A. County of Oakland General Fund $ 53,300 B. C. D. 4. The total budget for the operation of the above noted office for the grant period (Sum of 1, 2 and 3 above) Total $ 53,300 $ 242,910 I do hereby certify that the above amount of local matching funds Is accurate and represents the best estimate of funds which are currently, or will become, available to the Community Growth Alliance program component during Fiscal Year 1989/90. Attachment 5 - BDC (1 of 2) REPORTING REQUIREMENTS Program The business development center shall submit to the Department of Commerce a quarterly program activity report by the 15th of the month following the end of the quarter. The report shall certify the activities during the fiscal year 1989/90. A blank report form can be found on page 111-12 of the 1989/90 CGA handbook. The annual goals reported on this form MUST agree with the annual goals contained in Attachment 3 of this Grant. Upon request of the grantor, the grantee shall provide listings of customers served, including name and title of contact person, firm name and address, and telephone number. This information shall be used by the grantor for research and communications purposes only. Activity reports shall be mailed to: Ms. Jean Johnson Business Development Center Michigan Department of Commerce P.O. Box 30225 Lansing, MI 48909 Financial The BDC or its fiscal agent shall submit to the Department of Commerce a quarterly Financial Status Report and/or Payment Request, Form LDS 100, by the 15th of the month following the end of each quarter detailing expenditures for the prior quarter. Financial Status Report and/or Payment Requests shall be mailed to: Michigan Department of Commerce Local Services Division 6500 Mercantile Way, Suite 2 Lansing, MI 48911 PAYMENT SCHEDULE Fifty percent (50%) of the total grant funds will be available for the ongoing program operational expenses. One half of the operational funds (25% of the total grant) may be requested using form LDS 100 at the time the grant is signed by all parties. The second half of the operational funds (25% of the total grant) may be requested on or after January 15, 1990, provided that the grantee has or is reporting expenditures for the prior quarter. Attachment 5- BDC (2 of 2) The remaining fifty percent (50%) of the total grant funds will be made based on the following criteria: 1. Counseling Hours Reimbursed at $16 per hour for counseling done by counselors who have completed MDOC/MI-SBDC training program or outside business counselors. 2. Reimbursed at $13 per hour for counseling done by staff counselors who have not completed MDOC/MI-SBDC training program or any others. 3. Fee Matching Matched at $5 per hour for every hour of counseling performed for which the center collects a fee from the client. 4. Starting a Business Workshops $300 for each workshop sponsored or co-sponsored which has at least ten attendees referred by the center. 5. Client Satisfaction Surveys Maximum $6,000 ($1,500 bonus possible) $2,000 for each of first three quarters Maximum funding earned by achieving an average rating of 4.0 or better on a 5.0 scale of satisfaction given to a center's services by clients. If a center's rating for a quarter falls between 3.0 and 4.0, $1,500 will be alloted for that quarter. No funding will be provided for a rating below 3.0. Bonus funding of $500 per quarter is provided if a center's rating is above a 4.5 average for the quarter. Reimbursement based on client satisfaction surveys will be made at the end of the grant period.