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HomeMy WebLinkAboutResolutions - 1989.02.23 - 17233DATE: February 9, 1989 MISCELLANEOUS RESOLUTION NO. 89015 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 Participatin, 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 487134 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 was the 12 month progress deadline for the 1987 CAP program; and WHEREAS in accordance with the provisions of Miscellaneous Resolution 485118 regarding recapture of CAP funds, the Oakland County Community Development Division recommends the recapture of $119,340.79 in 1985 CAP funds, $85,544.80 in 1986 CAP funds and $12,833.87 in 1987 CAP funds as described in Attachment A; and WHEREAS in accordance with the provisions of Miscellaneous Resolution #88141 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 unanimously recommends approval 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 by a 12 - 0 roll call vote. NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Comiuissioners 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. MISC RES(9)(bbe) COMMUNITY 1985 1986 1987 TOTAL City of Ferndale City of Hazel Park Village of Holly Village of Milford Village of Ortonville Village of Oxford City of Walled Lake $ 67,235.00 37,187.00 33,349.64** 4,988.00** 10,022** 16,406.12** 30,642.00 $199,829.76 Communities CAP Allocation ATTACHMENT A RECAPTURE OF COMMERCIAL ASSISTANCE PROGRAM FUNDS FROM THE 1985, 1986 & 1987 CAP PARTICIAPTING COMMUNITIES Recommendation recommends the unused 1986 CAP communities: - The Oakland County Community Development Division (OCCD) recapture of $131,672.79 in unused 1985 CAP funds, $85,544.80 in funds and $12,833.87 in unused 1987 CAP funds from the followino City of Berkley Village of Clarkston City of Farmington City of Ferndale City of Hazel Park Village of Holly City of Keego Harbor Village of Lake Orion City of Madison Heights Village of Oxford Royal Oak Township City of Walled Lake -0- $22,486.00 -0- -0- 57,319.00 27,182.52 12,419.27 -0- -0-- -0- 9,309.00 -0- 13,111,00 $119,340.79 $85,544.80 -0-- 4,410.25 -0- -0- -0- -0- -0- 4,045.62 -0- -0- 4,378.00 -0- $12,833.87 $ 22,486.00 4,410.25 33,173.80 57,319.00 27,182.52 12,419.27 7,561.00 4,045.62 22,324.00 9,309.00 4,378.00 13,111.00 $217,719.46 -0- 33,173.80 -0- -0- -0- 7,561.00 -0-- 22,324.00 -0- -0- -0- Justification For Recapture - The 1985 CAP communities completed their CAP participation on June 30, 1987 and the 1986 communities completed their 18 month program participation on March 31, 1988. Both the 1985 and 1986 conutunities were given a final deadline of December 31, 1988 to get any outstanding projects under construction. Funds not committed to projects under construction are being recommended for recapture. The CAP Loan Pool is available to the 1985 and 1986 CAP communities for outstanding projects that did not meet the December 31, 1988 deadline and for new projects. The 1987 CAP communities completed their 12 months in CAP on December 31, 1988. Pursuant to their Letter of Agreement, 50% of each community's CAP allocation was to be reserved through an application, loan commitment, or disbursement. If this condition was not met 25% of the CAP allocation was subject to recapture.. Table 1 1985 CAP Communities Funding Allocation and Recapture Status Report *Funds Depleted Through Balance to 12/31/88 be Recaptured $ 9,916.00 $ 57,319.00 10,004.48 27,182.52 20,930.37 12,419.27 4,988.00 -0- 10,022.00 -0-- 7,097.12 9,309.00 17,531.00 13,111.00 $80,488.97 $119,340.79 Communities Village of Clarkston Independence Township Village of Lake Orion Oakland Township Royal Oak Township Table 2 1986 CAP Communities Funding Allocation and Recapture Status Report Communities - City of Berkley Village of Beverly Hills City of Farmington City of Keego Harbor City of Madison Heights City of Oak Park City of Rochester City of Rochester Hills Springfield Township CAP Allocation $ 70,252.00** 15,947.00** 39,555.75** 7,561.00** 22,324.00** 8,215.00** 70,724.00 12,820.00** 7,733.00** $255,131.75 *Funds Depleted Through 12/31/88 $ 47,766.00 15,947.00 6,381.95 -0- -0- 8,215.00 70,724.00 12,820.00 7,733.00 = $169,586.95 Balance to be Recaptured $ 22,486.00 -0- 33,173.80 7,561.00 22,324.00 -0- -0- -0- -0- + $85,544.80 *Depleted means any combination of CAP funds: 1) disbursed upon project completion 2) reserved upon a loan commitment **CAP allocation adjusted through previous recaptures Table 3 1987 CAP Communities 12 Month Funding Allocation and Recapture Status Report CAP Allocation $17,641.00 22,700.00 16,182.50 18,876.50 17,512.00 $92,912.00 Criteria 50% $8,820.50 11,350.00 8,091.25 9,438.25 8,756.00 ***Funds Depleted Through 12/31/88 $ 6,288.00 20,065.78 6,444.39 18,413.00 3,157.56 $54,368.73 25% to be Recaptured $ 4,410.25 -0- 4,045.62 -0- 4,378.00 $12,833.87 ***Depleted means any combination of CAP funds: 1) reserved upon an active application 2) reserved upon a loan commitment 3) disbursed upon project completion RECAP CAP (1) kjf 1/20/89 February 23, 1989 FISCAL NOTE BY: FINANCE COMMITTEE, DR. G. W1TLIAM 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 MI k. US RESOLUTION #89015 TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS Mt. Chairperson, Ladies and Gentlemen: Pursuant to Rule XI-G of the Board, the Finance Committee has reviewed Miscellaneous Resolution #89015 and finds: 1) The County of Oakland by Miscellaneous Resolution #85118 of April 15, 1985 approved general criteria and procedures for the recapturing and reallocation of unused CAP funds and subsequently modified by Miscellaneous Resolution #88141 of May 26, 1988; 2) This Miscellaneous Resolution (#89015) authorizes the recapture of $217,719 in 1985, 1986 and 1987 CAP Funds as described in Attachment A. These CAP Funds will be made available as pool of funds for loan applications for all participating communities and to be committed to applicants on a first come first served priority basis; 3) The 1989 Budget is to be amended per attached Schedule I. FINANCE COMMITTEE LIST OF COMMUNITIES CITIES: $ 210,851 $ 434,157 55,449 207,509 554,174 296,254 14,509 47,428 39,264 774,900 6,000 320,202 246,308 24,053 59,217 31,124 107,988 20,815 30,775 532,181 119,492 30,965 107,632 $ 221,528 137,850 209,340 417,827 467,139 13,596 85,907 28,219 404,960 19,531 227,007 204,673 6,000 50,883 52,968 442,497 19,622 28,480 266,214 23,947 101,148 ' SCHEDULE I COMMUNITY DEVELOPMENT DIVISION PROPOSED 1989 BUDGET AMENDMENTS FOR RECAPTURED FUNDS 1989 ADOPTED BUDGET 1989 MENDED BUDGET 1989 CAP FUNDS RECAPTURED 1989 PROPOSED BUDGET $ 4,163,615 $ 15,442 $ 35,457 S 50,101 44,353 56,620 97,859 57,465 28,046 57,096 54,395 84,322 14,673 201,862 150,766 44,409 122,252 98,012 94,058 102,994 20,283 213,714 93,551 59,733 55,002 91,520 70,574 212,000 148,949 194,033 148,224 418,351 160,579 318,629 97,993 AUBURN HILLS BERKLEY CLAWSON FARMINGTON FERNDALE HAZEL PARK HUNTINGTON WOODS KEEGO HARBOR LATHROP VILLAGE MADISON HEIGHTS NORTHVILLE NOVI OAK PARK ORCHARD LAKE PLEASANT RIDGE ROCHESTER ROCHESTER HILLS SOUTH LYON SYLVAN LAKE TROY WALLED LAKE WIXOM TOTAL CITIES: TOWNSHIPS: ADDISON BRANDON COMMERCE GROVELAND HIGHLAND HOLLY INDEPENDENCE LYON MILFORD OAKLAND ORION OXFORD ROSE ROYAL OAK SPINGFIELD WEST BLOOMFIELD WHITE LAKE TOTAL TOWNSHIPS: 0 $ 107,632 (22,486) 199,042 137,850 (33,174) 176,166 (57,319) 360,508 (27,182) 439,957 0 13,596 (7,561) 78,346 0 28,219 (22,324) 382,636 19,531 0 227,007 0 204,673 0 6,000 0 50,883 0 52,968 0 442,497 0 19,622 0 28,480 0 266,214 (13,111) 10,836 0 101,148 0 S 35,457 0 44,353 0 97,859 0 28,046 0 54,395 14,673 0 150,766 0 122,252 0 94,058 0 20,283 0 93,551 55,002 0 70,574 (4,378) 144,571 0 148,224 0 160,579 0 97,993 3,536,968 $ (183,157) $ 3,353,811 2,276,323 $ 1,437,014 $ (4,378) $ 1,432,636 VILLAGES: BEVERLY HILLS CLARKSTON HOLLY LAKE ORION LEONARD MILFORD ORTONVILLE OXFORD WOLVERINE LAKE 21,931 $ 6,000 115,813 59,283 6,000 194,021 21,440 13,110 29,633 51,920 $ 43,207 13,549 67,980 16,679 128,577 9,640 33,382 54,365 0 $ 51,920 (4,410) 38,797 (12,419) 1,130 (4,046) 63,934 0 16,679 0 128,577 0 9,640 (9,309) 24,073 0 54,365 TOTAL VILLAGES: TOTAL COMMUNITIES OAKLAND COUNTY-CAP OAKLAND COUNTY TOTAL UNITS BALANCE-RENTAL CARRY- IN AND ALLOCATION $ 467,231 $ $ 6,907,169 $ 5,393,281 0 $ 148,235 $ $ 3,054,879 $ 3,178,152 $ 9,962,048 $ 8,719,668 58,000 $ (30,184) $ 389,115 (217,719) $ 5,175,562 217,719 $ 365,954 $ 3,178,152 -------------- 8,719,668 419,299 $ 559,080 TOTALS $10,020,048 $ 9,278,748 0 $ 8,719,668 COMMUNITY 1985 1986 1987 TOTAL Communities *Funds Depleted Through 12/31/88 CAP Allocation Balance to be Recaptured T AC i Tf. RECAPTURE OF COMMERCIAL ASSISTANCE PROGRAM FUNDS FROM THE 1985, 1986 5, 1987 CAP PARTICIAPTING COMMUNITIES Recommendation recommends the unused 1986 CAP communities: - The Oakland County Community Development Division (CCM) recapture of $119,340.79 in unused 1985 CAP funds, .,;85,544.80 in funds and $12,833.87 in unused 1987 CAP funds from the following Berkley of Clarkston Farmington Ferndale Hazel Park of Holly Keego Harbor Village of Lake Orion City of Madison Heights Village of Oxford Royal Oak Township City of Walled Lake -0- -0- -0- 57,319.00 27,182.52 12,419.27 -0- -0- -Q- 9,309.00 -0- 13,111,00 $22,486.00 $ -0- $ 22,486.00 4,410.25 4,410.25 -0- 33,173.80 -0- 57,319.00 -0- 27,182.52 -0- 12,419.27 -0- 7,561.00 -0- 4,045.62 4,045.62 22,324.00 -0- 22,324.00 -0- -0- 9,309.00 -0- 4,378.00 4,378.00 -0- -0- 13,111.00 City of Village City of City of City of Village City of -0- 33,173.80 -0- -0- -0- 7,561.00 $119,340.79 $85,544.80 $12,833.87 $217,719.46 Justification For Recapture - The 1985 CAP communities completed their CAP participation on June 30, 1987 and the 1986 communities completed their 18 month program participation on March 31, 1988. Both the 1985 and 1986 communities were given a final deadline of December 31, 1988 to get any outstanding projects under construction. Funds not committed to projects under construction are being recommended for recapture. The CAP Loan Pool is available to the 1985 and 1986 CAP communities for outstanding projects that did not meet the December 31, 1988 deadline and for new projects. The 1987 CAP communities completed their 12 months in CAP on December 31, 1988. Pursuant to their Letter of Agreement, 50% of each community's CAP allocation was to be reserved through an application, loan commitment, or disbursement. If this condition was not met 25% of the CAP allocation was subject to recapture. Table 1 1985 CAP Communities Funding Allocation and Recapture Status Report City of Ferndale City of Hazel Park Village of Holly Village of Milford Village of Ortonville Village of Oxford City of Walled Lake $ 67,235.00 $ 9,916.00 37,187.00 10,004.48 33,349.64** 20,930.37 4,988.00** 4,988.00 10,022** 10,022.00 16,406.12** 7,097.12 30,642.00 17,531.00 $199,829.76 = -$80,488.97 $ 57,319.00 27,182.52 12,419.27 -0- -0- 9,309.00 13,111.00 $119,340.79 RESOLUTION # 89015 February 23, 1929- Moved by Richard Kuhn supported by Pappageorge the resolution (with Fiscal Note attached) be adopted. AYES: Pernick, Price, Rewold, Skarritt, Wolf, Caddell, Chester, Crake, Hobart, Johnson, R. Kuhn, S. Kuhn, Law, Luxon, McConnell, Oaks, Olsen, Pappageorge, (18) 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 and having a seal, do hereby certify that I have compared the annexed copy of the attached resolution, adopted by the Oakland County Board of Commissioners at their regular meeting held on February 23, , 198g with the original record thereof now remaining on file in my office, and that it is a true and correct transcript therefrom, and of the whole thereof. In Testimony Whereof, I have hereunto set my hand and affixed the seal of said County at Portiac,Michigan this 2ard day of Febewry , 1981 LYN D. ALLEN, County Clerk Register of Deeds