HomeMy WebLinkAboutResolutions - 1987.12.10 - 17882MISCELLANEOUS RESOLUTION #87330 December 10, 1987
BY: FINANCE COMMITTEE, DR. G. WILLIAM CADDELL, CHAIRPERSON
IN RE: ECONOMIC DEVELOPMENT CROUP - 1987/1988 AREA DEVELOPMENT OFFICE
GRANT ACCEPTANCE
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Mr. Chairperson, Ladies and Gentlemen:
WHEREAS a report was submitted to the Board of Commissioners, October 1,
1987, for the Economic Development Group 1987/1988 Area Development 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, 1987 through September 30,
1988; and
WHEREAS the total program as approved by the Michigan State Department of
Commerce is in the amount of $92,000 ($45,000 State funded; $47,000 County
funded), as shown in Schedule A; and
WHEREAS the County match $47,000 is contained in the 1988 Economic
Development Budget and no additional County funding is required; and
WHEREAS the grant agreement has been approved as to form by the Office of
Corporation Counsel.
NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners
accept the 1987/1988 Area Development Grant in the amount of $92,000, and the
Chairperson of the Board of Commissioners be and is hereby authorized to
execute the agreement.
BE IT FURTHER RESOLVED that the 1988-89 Biennial Budget be amended to
reflect the grant acceptance.
BE IT FURTHER RESOLVED that 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
y A pi,*
r '-OREGOING RESOLUTION
- . Date
MDOC Grant Nc. 88-864
MDOC Account No. 110-63-3102
STATE OF MICHIGAN
DEPARTMENT OF COMMERCE
A
GRAFT AGREEMENT
BETWEEN
THE STATE OF MICHIGAN
AND
OAKLAND COUNTY ECONOMIC DEVELOPMENT DIVISION
FEDERAL I.D. NO. 38-6004876
TABLE OF CONTENTS
Section 1. Offer. . . 000 0.0000.......
Page
i• 0 1
Section 2. Acceptance . 0 et ae. a a a a,.,0 at 0 0 1
Section 3. Provisions
3 .1 Performance. • ..• . •OD• • 0.• •.• O. • • 1
3.2 Limitations on Payment . . . . . . . 2
3.3 Reduction of Grant Amount. . . . . 2
3.4 Authorized Budget. • ••• • • •...• •e• •.• 2
3.5 Changes. . . . . . . . . . . . 2
3.6 Program Manager..• • • . • • • .0•Op•e• 0 3
3 .7 Fey Personnel- • • • • • •40.. • • 490.• • • 3
3.8 Records and Financial Management . . . . . 3
3.9 Payments • • •-• •M• • •.3
3.10 Payment Requests •OP• • 000.0 • • 40•.•03
3011 Reporting. e • • • • • • • • • • 0 • • • • • • • 14
3.12 Audits..• • • . • ••••• •06 00* • • 00 14
3.13 Liability... •We.• • •90• • • •••• • • • 4
3.14 Political Activity • 0 • • • • • • 0 0 • • • • • 0 14
3015 Civil Rights and Equal Employment Opportunity. . . . 4
3.16 Conflict of Interest . . . . . . 4
3.17 Sectarian Involvement Prohibited . . . . . 4
3.18 Temporary Suspension . . . . . . . 4
3.19 Termination of the Agreement . . . . . . 4
3.20 Disputes • 0000.• • •0 .0 9 • 0 • • •a• • 5
3.21 Oral and Written Agreements. . . . . . . • • . • 5
Signatories. • • • •-• • • •.•.5
Section 4 •
Section 5.
Eider A (Program Statement). . . • • • . • . • 6-7
Rider B (Performance Goal) . . . . . . • - 8
Rider C (Budget) . . . 9-11
Attachments rL,
1. Attachment Financial Status Report and/or
Payment Request Form . . . . . • . . . . 12
2. Payment Request Form & Instructions. . . . . . 13
3. Quarterly Activity Report Form . . . . . 14
4. Grant Amendment Application Form . . . . . . 15
BV‹
jeaneyte M. Hercik
AssisY4Int Chief Deputy Director
Michfigan Department of Commerce
4 .7q7,0,16„4 4 And:
Micheryn E. Past5hr
Deputy Director
Michigan Department of Commerce
t, s
name and title here I Prin
Grant No 66-864
STATE OF MICHIGAN
DEPARTMENT OF COMMERCE
AGREEMENT
1. OFFER: The Michigan Department of Commerce (hereinafter the "Department") hereby -
offers to the
Oakland County Economic Development Division
1200 N. Telegraph
Pontiac, MI 48053
(hereinafter the "Granteem) a grant of forty-five thousand dollars ($45,000.00) to
carry out Area Development Office activities, as more fully described in the
Grantee's proposal, between October 1, 1987 and September 30, 1988.
Dated this
4o-2_
day of , 1967.
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 provisions
and lim.jions of t4s agreement and its attachments.
- By ,.
Grantee's rized Official
ft— (1 •
G7-47 Dated this - day of /I/ (Z.7-2,-.:,/n- , 191(.
PROVISIONS
3.1. PERFORMANCE: The Grantee agrees to carry out the activities of an Area - -
Development Office (ADO) as more fully described in the Scope incorl)ora -,:ed in this
agreement as Rider A, with due diligence and to put forth its best efforts to attain,
the annual goals made a part of this agreement by attachment as Rid(.r B.
7(.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
Section 3.11. Payment of the total amount of the grant is contingent upon
attainment of the annual goals made a part of this agreement by attachment as Eider
E.
REDUCTION OF THE GRANT AMOUNT; The Department reserves the right to reduce the
amount of the grant in the following circumstances:
a) If state general funds available to the Department are reduced during the
course of the fiscal year,
b) If revenue available from restricted funds is less than currently
appropriated,
c) If the Grantee's actual expenditures are less than those anticipated in the
budget.
If a reduction becomes necessary, the Department will provide the Grantee with a
written notice thirty (30) days prior to the reduction.
AUTHORIZED BUDUT: The Grantee agrees that funds received under this agreement
shall be used only for those items and activities set forth in the guidelines in the
amounts established in the budget made a part of this agreement by attachment as
Rider C 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 not itemized in the budget and to return any funds used for anything other
than those items and activities set forth in this agreement immediately after 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, shal] 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.
7c.9. CHANCES: No term or provision of this agreement and its attachments ex- cept
modifications of the budget totaling ten (10) per cent or less of the state funds,
may be changed, waived, added or deleted except by written amend- merit approved_ by
the Department. Application for amendment must be initiated by filing a properly'
completed application for amendment form, attachment 4 of this agreement, with the
program manager.
2
3.6. PROGRAM MANAGER: The person designated - by the Department to monitor the
activities the Grantee must carry out under this agreement. The Area Development
Program Manager is:
Director
Area Development Division
Michigan Department of Commerce
P.O. Box 30225
Lansing, MI 48909
9.7, KEY PERSONNEL: The Grantee agrees that any personnel specified in Attachment A
to the budget are considered essential to the activities being performed hereunder.
No substitution for these personnel nor change in the amount of time they spend on
ADO activities shall be made without written notice from to the Program Manager.
9.8. 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.
9.9. PAYMENTS: One advance payment of up to twenty-five (25) per cent of the grant
amount will be made upon execution of this agreement and receipt of a payment
request. Two additional payments of up to twenty-five percent will be made
quarterly upon receipt of a payment request provided all reporting requirements have
been met. Payment of the remaining twenty-five per cent will be contingent upon
attainment of the annual goals established in Rider B. One per cent of the maximum
grant amount will be paid for each twenty per cent increment of each state
marketing, lead/prospect, industrial site inventory, manufacturing retention and
financial packaging goal attained. In no case will the performance payments
increase the maximum amount of the grant established in Section 1.
9.10. PAYMENT REOUESTS: The Grantee agrees that only a properly completed Financial
Status Report and/or Payment Request Form, attachment 1 of this agreement shall
constitute a payment request and that such requests shall be submitted tc:
Michigan Department of Commerce
Local Services Division
6500 Mercantile Way, Suite 2
Lansing, Michigan 48911
PHONE: (517) 334-6175
9.11. REPORTING: The Grantee agrees to submit quarterly financial status and
activity reports, attachments. 1 and 3. of this agreement on or before the fifteenth
of January, April, July, and October, 1988. Each activity report shall be
accompanied by a narrative describing any problems affecting achievement of annual
goals and steps being taken to resolve them. 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, 1988. Any unspent funds must be returned
to the Department with the report.
7.12. _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.
7,19. 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.
7.14. 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.
EM PLO YMENT OPPORTUNITY. The Grantee agrees to comply
with applicable state and federal Civil Rights and Equal Employment Opportunity
statutes.
7 .16. 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.
7.17. 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.
9.18 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 anysuspension 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.
7.1q. ;TERMINATION OF HE 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 he
returned to the Department within seven days of this settlement meeting.
.20. 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.
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.
3.22. SIGNATQRIES: The signatories warrant that they are empowered to enter into
this agreement.
5
Name % of Total flours Title
fiDEP A
SECTION 1: CONTACT IDENTIFICATION
The contact person for the Oakland County Community Growth Alliance's Area
Development Office is:
Jeffrey A. Kaczmarek
Manager
Oakland County Economic Development Division
1200 N. Telegraph Rd.
Pontiac, MI 48053
(313) 858-0732
Federal ID No. 38-6004876
SECTION 2: ADO SERVICE PROVISION
All ADO functions for the Oakland County Community Growth Alliance are provided
by the County's Economic Development Division. The following staff are involved
in support of the ADO function:
Jeffrey A. Kaczmarek
Daniel P. Hunter
Mary P. Langhauser
David J. Schreiber
Marianne Kure
Patricia J. Doyon
ADD Director
Business Development Rep
Business Development Rep
Business Development Rep
Finance & Loan Officer
Secretary
80%
100%
100%
• 100%
70%
70%
The Division is a full-service economic development agency and its geographic _
area covers all of Oakland County regardless of whether or not the local community
has capacity to provide economic development services.
A brief summary of ADO services, corresponding to the CGA Guidelines and Procedures
Handbook, follows:
1. Area Marketing= The_Division has a complete portfolio of marketing/
communication/promotional material including: lure book; services
brochure; quality of life mini-brochures (in English, French, German
and Japanese); economic activities map; economic/demogrnphic profile;
individual community profiles; county development audit; :ind quarterly
newsletter. Also available is complete air photographic coverage of
the County, and property description maps.
2. State Marketing The Division has participated with MDOC in a number
-- of trade shows including: International -Machine•Tool-Show; National ---
Plastics Expo; IDRC Congress; SME/AutoFact; Robots Show; !;AE Auto .
Congress; Machine Vision Show; and others. For FY 1986, the Division
will be participating in six national trade shows in -conThncticn with
the Department. In addition, the ADC Director has and will continue
to serve on the statewide Marketing Committee.
3. Lead/Prospect Development and Servicing - Approximately 1,20D-1,500
inquiries are responded to by the Division over the ceur cf a year.
During any given time the Division is working with betw,,ch 70-110
prospects. All of our client development is done in cc::11ncion not
6
only with MDOC Account Executives but also Michigan Iii, Dc?trcit
Edison, Consumers Power and local development agencies including
chambers of commerce. A defined policy of referral and confidentiality
has been developed and is adhered to.
4. Industrial Site Inventory/Michigan Site Network - Since the Oakland
County Community Growth Alliance took over responsibility for MSN
maintenance from SEMCOG in July, 1986, we have continually expanded
and improved the file. As of this date, we have 440 industrial parks,
sites and buildings on the active file, with input from 247 cooperat-
ing brokers. Our CGA has consistently led the state in this area.
5. Manufacturing Retention - A formal business retention program was
put into operation in July, 1987 with over 600 target companies
identified. The call list was checked against retention call lists
generated by the Department as well as local utilities to reduce
duplication. Calls are focused in five areas: largest (over 500
employees) manufacturing companies; largest (over 5,000 employees)
retail and service firms; foreign firms; target industries; and
selected geographically targeted firms. All calls and follow-ups are
coordinated with MDOC and the utilities as well as local governmental
units.
6. Financial Packaging - The Division offers complete financial packaging
services both as part of the County's Local Development Company and
Economic Development Corporation, as well as in general and small
business assistance. We work closely with local banks and financial
institutions as well as public financing entities including local.
revolving loan funds and the Michigan Strategic Fund.
SECTION 3: NUMERIC PERFORMANCE GOALS
The chart below compares FY 1987 and FY 1988 numeric goals for the various
elements specified in ADO Quarterly Report form.
Item No.
FY 1987
Annual Goal
FY 1988
Annual Goal
4. f Retention Visits - Self 60 120
- With MDOC 60 50
- All Other 0 10
5. it Expansion Visits 120 120
6. 1/ Local firms assisted with expansion plans 30 80
7. f Firms assisted w/financial counseling 70 150
8. f Jobs - Retained - 500 500
- Created (expansion) 1,000 1,000
9. $ New public capital invested $40,000,000 $40,000,000
12. it New bonafied prospects 50 - 50
13. f Site, building & park presentations 100 100
14. 11 Successful locations 10 10
15. f Potential jobs (1 year) 200 200 .
16. $ New capital Invested (1 year) $10,000,000 $10,000,000
17. 1/ Prospect visits N.A. 20
18. //I Businesses qualified for joint venture 30 . 10
23. f Trade shows attended - 5 8
24. f Training seminars/conferences - Attended 20 _ .20
- Conducted 2 3
25. If New Michigan Site Network entries 300 1,000
26. f Presentations given(speaker) . 80 60
8
CATEGORIES
1 PERSONNEL
2 SPACE
COMPUTER EQUIP
4 OTHER EQUIP
5 TRAVR
6 CONSULTING ETC
7 OTHER OFFICE OPER
8 OTHER PROGRAM
9 .INDIRECT COSTS
P,LNET
10/1/87 - 08/30/86
STATE IDEA'
CASH CA,:,'H IN-KIND TOTAL
40,000 47,000 0 67,000
O 0 0 0
2 , -- ON) 0 0 2,000 -
O 0 0 0
700 0 0 700
O 0 0 0
O 0 0 0
300 0 0 300
2,000 0 0 2,000
TOTAL 45,000 47,000 0 92,000
RESOLUTION # 87330
December 10, 1987
Moved by Caddell supported by Hobart the resolution be adopted.
AYES: Law, McConnell, McDonald, A. McPherson, Moffitt, Oaks, Page, Pernick,
Rewold, Rowland, Skarritt, Wilcox, Aaron, Bishop, Caddell, Calandro, Crake, Gosling,
Hobart, Jensen, R. Kuhn, S. Kuhn, Lanni. (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 and having a seal,
do hereby certify that I have compared the annexed copy of
this Miscellaneous Resolution adopted by the Oakland County Board of Commissioners
at their meeting held on December 10, 1987
with the orginial record thereof now remaining 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 Pontiac, Michigan
10th day of 401, December 1987
A 40°P 45114. f
' ALLEN
County Clerk/Register of Deeds
this