HomeMy WebLinkAboutResolutions - 1989.11.09 - 17075MISCELLANEOUS RESOLUTION NO. #89273 DATE: NOV. g v 1989
BY: PUBLIC SERVICES COMMITTEE - RICHARD D. KUHN, JR., CHAIRPERSON
IN RE: COMMUNITY DEVELOPMENT DIVISION - Recapture of Commercial Assistance Program
(CAP) Funds from the 1985, 1986 and 1987 CAP Participating Communities and
Reallocation to CAP Loan Pool
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Mr. Chairperson, Ladies and Gentlemen:
WHEREAS Oakland County has been a recipient of Community Development Block Grant
funds from the U.S. Department of Housing and Urban Development since 1974 and has
operated a residential rehabilitation program since 1976; and
WHEREAS the County of Oakland by Miscellaneous Resolution *82283 of September
21, 1982 adopted the basic concept of utilizing Community Development Block Grant funds
to leverage private financial resources for the rehabilitation of residential and
commercial property; and
WHEREAS the County of Oakland by Miscellaneous Resolutions *84239 of August 30,
1984 and #87134 of May 28, 1987 approved the Rehabilitation Leveraging Agreement with
Manufacturers National Bank of Detroit for a program of financing commercial property
rehabilitation; and
WHEREAS the County of Oakland by Miscellaneous Resolutions *85158 of May 23,
1985, *86037 of February 27, 1986 and *87228 of September 3, 1987 designated communities
and funding allocations for the 1985, 1986 and 1987 Commercial Assistance Programs; and
WHEREAS the County of Oakland by Resolution *85118 of April 18, 1985 approved
general criteria and procedures for the recapture and reallocation of unused CAP funds
which reallocation procedure was modified by Resolution *88141 of May 26, 1988; and
WHEREAS December 31, 1988 was the final deadline for the 1985 and 1986 CAP
program and June 30, 1989 was the final deadline for the 1987 CAP program; and
WHEREAS in accordance with the provisions of Miscellaneous Resolution *85118
regarding recapture of CAP funds, the Oakland County Community Development Division
recommends the recapture of $10,004.48 in 1985 CAP funds, $7,733.00 in 1986 CAP funds
and $72,250.29 in 1987 CAP funds as described in Attachment A; and
T. Mur
/
(°.;1 / Date
WHEREAS in accordance with the provisions of Miscellaneous Resolution 488141
regarding the criteria and procedure to reallocate the recaptured CAP funds, the Oakland
County Community Development Division recommends the reallocation of the recaptured
funds to the CAP Loan Pool; and
WHEREAS the Community Development Citizens Advisory Council recommends approval,
by a 12-0 roll call vote, of the recapture of 1985, 1986 and 1987 CAP funds and the
reallocation of the recaptured funds to the CAP Loan Pool as specified in Attachment A.
NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners
hereby authorizes recapture of 1985, 1986 and 1987 Commercial Assistance Program funds
from the communities and in the amounts as specified in Attachment A and their
reallocation to the CAP Loan Pool.
Mr. Chairperson, on behalf of the Public Services Committee, I move the adoption
of the foregoing resolution.
Richard D. Kuhn, Jr., Chairperson
RECAPTURE(9)kjf 1 HE,REI3Y APPrOVE THE FOREGOING RESOLUTION
Attachment A
Recapture of Commercial Assistance Program
Funds from the 1985, 1986 & 1987 CAP
Participating Ctumnities
Recomuendation - The Oakland County Community Development Division (CCU)
the recapture of $10,004.48 in 1985 CAP funds, $7,733.00 in 1986 CAP
$72,250.29 in unused 1987 CAP funds from the following communities:
recommends
funds and
Community ' 1985 1986 1987 Total
' Village of Clarkston .
City of Hazel Park
Independence Township
Village of Lake Orion
Oakland Township
Royal Oak Township
Springfield Township
$
10,004.48
7,733.00
$10,004.48 $7,733.00
$13,230.75
14,872.16
12,136.88
18,876.50
13,134.00
-
$72,250.29
$13,230.75
10,004.48
14,872.16
12,136.88
18,876.50
13,134.00
7,733.00
$89,987.77
$
Justification for Recapture - The 1985 funds from the City of Hazel Park were coukuitted
to an applicant who defaulted on his connaitment because the contractor would not comply
with the federal wage regulations. The funds are now subject to recapture.
The 1986 funds committed to the Springfield Township project must be expended by August
23, 1989 according to the loan agreement. This is the second extention for this
project. The original deadline was July 1, 1988. The loan was closed on February 1,
1988. CCCD has some concern that this applicant will also default. For administrative
purposes, CCCD is recommending that these funds be recaptured. This project would then
be funded from the CAP Loan Pool if it should be completed as required.
The 1987 CAP communities completed their 18 month program participation on June 30,
1989. Pursuant to their Letter of Agreement, 100% of each community's CAP allocation
was to be reserved through an application, loan commitment, or disbursement. If this
condition was not met the balance of the CAP allocation was subject to recapture.
The CAP Loan Pool is available to the 1985, 1986 and 1987 CAP communities for funding
new projects.
FISCAL NOTE (Misc. 89273) November 9, 1989
BY: FINANCE COMMITTEE, DR. G. WILLIAM CADDELL, CHAIRPERSON
IN RE: COMMUNITY DEVELOPMENT DIVISION - RECAPTURE OF COMMERCIAL
ASSISTANCE PROGRAM (CAP) FUNDS FROM THE 1985, 1986 and 1987 CAP
PARTICIPATING COMMUNITIES AND REALLOCATION TO CAP LOAN POOL
MISCELLANEOUS RESOLUTION #89273
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Mt. Chairperson, Ladies and Gentlemen:
Pursuant to Rule XI--G of this Board, the Finance Committee has
reviewed Miscellaneous Resolution #89273 and finds:
1) The County of Oakland by Miscellaneous Resolution #89273 of
authorized the recapture of $89,988 in 1985, 1986 and 1987 CAP
funds to be reallocated to this CAP Loan Pool,
2) The recaptured CAP Funds are to be committed to one applicant at
a time on ,a first come, first served basis,
3) The 1989 Budget is to be amended per the attached schedule,
4) The Executive Recommendation for the 1990/1991 Biennial Budget is
requested to be amended to reflect the recaptured funds.
FINANCE COMMITTEE
Resolution #__89213 November 9, 1989
'day of November
LYNUA. ALLEN, County Clerk/Register of f) _
Moved by Richard Kuhn supported by Pappageorge the resolution be adopted.
AYES: R. Kuhn, S. Kuhn, Law, Luxon, McConnell, McCulloch, McPherson,
Moffitt, Olsen, Pappageorge, Pernick, Rewold, Skarritt, Aaron, Caddell, Chester,
Crake, Ferrens, Gosling, Hobart, Jensen, Johnson. (22)
NAYS: None. (0)
A sufficient majority having voted therefor, the resolution was adopted.
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
1, Lynn D. Allen, Clerk of the County of Oakland andhaving a seal,
do hereby certify that ( have compared the annexed copy of the attached
resolution adopted by the Oakland County Board of Commissioners at their regular
(qeeting held on November —9r, 1 989
with the original record thereof now remaining in my office, and
that it is a true and correct transcript therefrom, and of the
whole thereof.
to Tostirpony Whereof, I have he set my hand and affixed the
seal of said County at Pontiac, Michigan
this 9th