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HomeMy WebLinkAboutResolutions - 2003.04.17 - 27037April 17, 2003 MISCELLANEOUS RESOLUTION #03075 BY: PLANNING AND BUILDING COMMITTEE, CHARLES E. PALMER, CHAIRPERSON IN RE: PLANNING AND ECONOMIC DEVELOPMENT SERVICES DIVISION RESOLUTION APPROVING PROJECT PLAN (A & M LABEL PROJECT) - CHARTER TOWNSHIP OF LYON To Oakland County Board of Commissioners Chairperson, Ladies and Gentlemen: WHEREAS The Economic Development Corporation of the County of Oakland (the "EDC") has recommended that the Board of Commissioners approve the Project Plan required by the Economic Development Corporations Act (the "Act") for the captioned Project, a copy of which has been presented to this meeting (the "Project Plan"); and WHEREAS the EDC's recommendations to the Board of Commissioners were based upon its determinations that the Project is reasonable and necessary to effectuate the purposes of the Act and that the Project Plan satisfies all of the requirements of the Act regarding project plans; and WHEREAS the governing body of the Charter Township of Lyon, Oakland County, Michigan, has also approved the Project Plan and given its consent to the exercise of jurisdiction over the Project by the EDC; and WHEREAS the Board of Commissioners has held a public hearing to consider whether the Project Plan constitutes a public purpose as contemplated by the Act; and WHEREAS the Board of Commissioners, following such public hearing and its review of the Project Plan, concurs in the determinations of the EDC with respect thereto; NOW THEREFORE BE IT RESOLVED that the Project Plan is hereby determined to constitute a public purpose as contemplated by the Act and is hereby approved; and BE IT FURTHER RESOLVED that the EDC is hereby authorized to take such steps as are necessary to implement the Project and the financing thereof by the issuance of its limited obligation revenue bonds as contemplated by the Project Plan; and BE IT FURTHER RESOLVED that the County Clerk is hereby directed to provide four certified copies of this resolution to the Assistant Secretary of the Board of the EDC. Chairperson, on behalf of the Planning and Building Committee, I move the adoption of the foregoing resolution. Planning & Building Committee Vote: Motion carried on unanimous roll call vote THE ECONOMIC DEVELOPMENT CORPORATION OF THE COUNTY OF OAKLAND Oakland County, Michigan A&M Supply Company, Inc. d.b.a A & M Label Project PROJECT PLAN CONTENTS 1. Summary Description of Project (Page 1) 2. Project Plan Certification by Company (Page 2) 3. Statutorily Required Information (Page 3) 4. Exhibits "A" - Project Area Legal Description "B" - Letter of Credit or Bond Purchaser's Commitment Letter "C" - Company Certificate Regarding Transfer of Employment - Company Certificate Regarding Payment of Prevailing Wages Other PROJECT PLAN SUMMARY DESCRIPTION OF A&M Supply Company, Inc. d.b.a A & M Label Project OWNER OF PROJECT: JP Ventures, Inc. CONTACT PERSON: (Name, address, telephone number) Pat Watson PO Box 7120 47087 Grand River Novi Mi 48376-7120 LOCATION OF PROJECT: (Local municipality) Lyon Township, Michigan 28505 Automation Blvd. Lyon Twp. (Wixom mailing), MI 48393 PROJECT AREA/DISTRICT AREA: See Exhibit A NATURE OF PROJECT: Acquisition of approximately 3 acres and the construction of 46,000 square foot manufacturing facility. EMPLOYMENT CREATED OR RETAINED: Retained: 55 employees Created: 15 to 20 positions TOTAL PROJECT COST: $4,000,000 BONDS TO BE ISSUED: $3,135,000 LETTER OF CREDIT ISSUER OR BOND PURCHASER: National City Bank of MichiganfIllinois 101 South Main Street Ann Arbor, MI 48104 DATE AND EXPIRATION DATE OF LETTER OF CREDIT OR BOND PURCHASE COMMITMENT: Letter dated: December 10, 2002 Expiration date of: August 31, 2003 03/12/2003 10:54 12483485277 AM LABEL PAGE 02/e4 PROJECT PLAN CERTIFICATION THIS PROJECT PLAN WAS PREPARED FOR THE ECONOMIC DEVELOPMENT CORPORATION OF THE COUNTY OF OAKLAND IN ACCORDANCE WITH THE REQUIREMENTS OF THE ECONOMIC DEVELOPMENT CORPORATIONS ACT, ACT NO. 338 OF THE MICHIGAN PUBLIC ACTS OF 1974, AS AMENDED. THE UNDERSIGNED HAS PROVIDED ALL OF THE INFORMATION CONTAINED HEREIN AND HEREBY CERTIFIES AS TO THE ACCURACY AND VALIDITY OF SUCH INFORMATION AS OF THIS DATE. THE UNDERSIGNED UNDERSTANDS THAT THIS PROJECT PLAN IS STATUTORILY REQUIRED AND, IF IT CONTAINS ANY MATERIAL MISREPRESENTATION OR INACCURACY, COULD RESULT IN THE INVALIDATION OF THE ECONOMIC DEVELOPMENT CORPORATION PROCEEDINGS REGARDING THE PROJECT TO WHICH ME PROJECT PLAN PERTAINS. A&Jvi Supply Company_Inc A&M Label By: Its: 7 President Dated: 4hZ/03 3 03/12/03 WED 10:58 [TX/RX NO 5460] PROJECT PLAN STATUTORILY REQUIRED INFORMATION REGARDING A & M SUPPLY COMPANY, INC. d.b.a. A & M LABEL PROJECT I. THE LOCATION AND EXTENT OF EXISTING STREETS AND OTHER PUBLIC FACILITIES WITHIN THE PROJECT DISTRICT AREA; THE LOCATION, CHARACTER, AND EXTENT OF THE CATEGORIES OF PUBLIC AND PRIVATE LAND USES NOW EXISTING AND PROPOSED FOR THE PROJECT AREA, INCLUDING RESIDENTIAL, RECREATIONAL, COMMERCIAL, INDUSTRIAL, EDUCATIONAL, AND OTHER USES; AND A LEGAL DESCRIPTION OF THE PROJECT AREA: Legal description of Project Area attached as Exhibit A. 11. A DESCRIPTION OF EXISTING IMPROVEMENTS IN THE PROJECT AREA TO BE DEMOLISHED, REPAIRED, OR ALTERED; A DESCRIPTION OF REPAIRS AND ALTERATIONS; AND AN ESTIMATE OF THE TIME REQUIRED FOR COMPLETION: Acquisition of approximately 3 acres land and construction of a 46,000 square foot manufacturing facility. Construction commenced December 2, 2002. Construction completion estimated for July 28, 2003. M. THE LOCATION, EXTENT, CHARACTER, AND ESTIMATED COST OF THE IMPROVEMENTS, INCLUDING REHABILITATION CONTEMPLATED FOR THE PROJECT AREA, AND AN ESTIMATE OF THE TIME REQUIRED FOR COMPLETION: Acquisition of land and construction of 46,000 square foot manufacturing facility at a cost of $3.2 million. Approximately $720,000 for building fixtures, which include, but are not limited to, HVAC, fire suppression system, electrical and data cabling, trash compactor and enclosure. The project will be completed by July 28, 2003. IV. A DESCRIPTION OF THE CONSTRUCTION OR STAGES OF CONSTRUCTION PLANNED, AND THE ESTIMATED TIME OF COMPLETION OF EACH STAGE: Construction commenced December 2, 2002. Structured steel completed March 12, 2003. Construction completion estimated for July 28, 2003. 3 - - V. A DESCRIPTION OF THE PARTS OF THE PROJECT AREA TO BE LEFT AS OPEN SPACE AND THE USE CONTEMPLATED FOR THE SPACE: Approved site plan is attached. The usual green spaces as required by the site plan that was approved by Lyon Township on September 10, 2002. VI. A DESCRIPTION OF PORTIONS OF THE PROJECT AREA WHICH THE ECONOMIC DEVELOPMENT CORPORATION OR THE COMPANY DESIRES TO SELL, DONATE, EXCHANGE OR LEASE TO OR FROM THE MUNICIPALITY AND THE PROPOSED TERMS: Not Applicable VII. A DESCRIPTION OF DESIRED ZONING CHANGES AND CHANGES IN STREET, STREET LEVELS, INTERSECTIONS AND UTILITIES: All zoning and street levels in compliance with Lyon Township zoning ordinances for the Quadrants Industrial Research Center which is the industrial park that the project is located in. VIII A DESCRIPTION OF THE PROPOSED METHOD OF FINANCING THE PROJECT, INCLUDING ATTACHMENT OF A COPY OF THE LETTER OF CREDIT OR BOND PURCHASER'S COMMITMENT LETTER: The project will be financed through Industrial Revenue Bonds in the amount of $3,135,000 secured by a letter of credit provided by National City Bank. Copy of Letter of Credit or bond purchaser's commitment letter attached as Exhibit B. DC. A STATEMENT REGARDING THE PAYMENT OF PREVAILING WAGE AND FRINGE BENEFIT RATES AS DETERMINED PURSUANT TO ACT NO. 166 OF THE MICHIGAN PUBLIC ACTS OF 1965, AS AMENDED (REGARDING WAGES ON STATE CONTRACTS): See Exhibit D 4 X. A LIST OF PERSONS WHO WILL MANAGE OR BE ASSOCIATED WITH THE MANAGEMENT OF THE PROJECT FOR A PERIOD OF NOT LESS THAN 1 (ONE) YEAR FROM THE DATE OF APPROVAL OF THE PROJECT PLAN: James A Listerman Jay A Listerman Ron Bulotta Pat Watson XI. DESIGNATION OF THE PERSON OR PERSONS, NATURAL OR CORPORATE, TO WHOM THE PROJECT IS TO BE LEASED, SOLD OR CONVEYED AND FOR WHOSE BENEFIT THE PROJECT IS BEING UNDERTAKEN, TO THE EXTENT THAT INFORMATION IS PRESENTLY AVAILABLE: A&M Supply Company, Inc. d/b/a A&M Label A&MGraphics Inc A&M West Supply Company, Inc. XII. IF THERE IS NOT AN EXPRESS OR IMPLIED AGREEMENT WITH A PERSON OR PERSONS, NATURAL, OR CORPORATE, THAT THE PROJECT WILL BE LEASED, SOLD, OR CONVEYED TO THOSE PERSONS, THE PROCEDURES FOR BIDDING FOR THE LEASING, PURCHASING OR CONVEYING OF THE PROJECT UPON ITS COMPLETION: Not applicable XBI. ESTIMATES OF THE NUMBER OF PERSONS RESIDING IN THE PROJECT AREA AND THE NUMBER OF FAMILIES AND INDIVIDUALS TO BE DISPLACED. IF OCCUPIED RESIDENCES ARE DESIGNATED FOR ACQUISITION AND CLEARANCE, INCLUDE A SURVEY OF THE FAMILIES AND INDIVIDUALS TO BE DISPLACED, INCLUDING THEIR INCOME AND RACIAL COMPOSITION, A STATISTICAL DESCRIPTION OF THE HOUSING SUPPLY IN THE COMMUNITY, INCLUDING THE NUMBER OF PRIVATE AND PUBLIC UNITS IN EXISTENCE OR UNDER CONSTRUCTION, THE CONDITION OF THOSE IN EXISTENCE, THE NUMBER OF OWNER-OCCUPIED AND RENTER-OCCUPIED UNITS, THE ' ANNUAL RATE OF TURNOVER OF THE VARIOUS TYPES OF HOUSING AND THE RANGE OF RENTS AND SALE PRICES, AN ESTIMATE OF THE TOTAL DEMAND FOR HOUSING IN THE COMMUNITY, AND THE ESTIMATED CAPACITY OF PRIVATE AND PUBLIC HOUSING AVAILABLE TO DISPLACED FAMILIES AND INDIVIDUALS: Not applicable 5 XIV. A PLAN FOR ESTABLISHING PRIORITY FOR THE RELOCATION OF PERSONS DISPLACED BY THE PROJECT IN NEW HOUSING IN THE PROJECT AREA: Not Applicable XV. PROVISION FOR THE COSTS OF RELOCATING PERSONS DISPLACED BY THE PROJECT AND FINANCIAL ASSISTANCE AND REIMBURSEMENT OF EXPENSES, INCLUDING LITIGATION EXPENSES AND EXPENSES INCIDENT TO THE TRANSFER OF TITLE, IN ACCORDANCE WITH THE STANDARDS AND PROVISIONS OF THE FEDERAL UNIFORM RELOCATION ASSISTANCE AND REAL PROPERTY ACQUISITION POLICIES ACT OF 1970,42 U.S.C. 4601 TO 4655: Not Applicable XVI. A PLAN FOR. COMPLIANCE WITH ACT NO. 227 OF THE MICHIGAN PUBLIC ACTS OF 1972, WHICH PERTAINS TO PROVIDING FINANCIAL ASSISTANCE, ADVISORY SERVICES AND REIMBURSEMENT OF CERTAIN EXPENSES TO DISPLACED PERSONS: Not Applicable XVII. OTHER MATERIAL AS THE ECONOMIC DEVELOPMENT CORPORATION, LOCAL PUBLIC AGENCY, OR GOVERNING BODY CONSIDERS PERTINENT: Not Applicable 6 Exhibit A PROJECT AREA LEGAL DESCRIPTION A4 : c LEatAL _EDESCRIPTIONI - 1 .5- 6-1 t• we' .7: tr1 6: • *fi <, • -;- LdekE3 E L. 47087 Grand River Ave. Nov. Michigan 48374-1340 C; WE LABEL:YOUR SUCCESS' Part of the Southeast 1/4 of Section 12,•T.IN., R.7E., Lyon* Township, Oakland County, Michigan, being more particulorly described as: commencing at' the ISoutheast Corner of aced Section 12; thence -along the South line of said Section 12 and the Oienteriine of 12 bite Rood (66.00 feet wide), 14.86'50140W. 1013.00 feet to the point of beginning; thence continuing along said line, 1n1,65•50'40W, 1653.06 feet to the South 1/4 Corner of ectid Section 12; thence N.00 423'66°E. 540.00 feet; *thence Sa89a53 116*W. 1333.86 feet: thence 141.00°27159NE. 2081.6E1 feet to a point on the East and West 1/4 line 'of .sold Section 12; thence W00'4517 11E. 88.42 feet; thence 5.0914'43HE. 770.00 feet; Menet) N.1906 148°E. 395,07 feet to 'a point on the South right—of—way !fro of Grand River Avenue (100.00 feet wid); Thence clone said line, S.70'63'12'E. 755.48 feet; thence 5.19 606'484W. 650.00 feet; thence .5.70 453'121'E, 330.00 feet; thence N.52403122)4E, 655.38 feet to a point on the said right—of443y line of Grand River Avenue; thence along said line, 6,7053'12*E, 70.00 fiiet; thence S.00 121'21"W. 1265.06 feet; thence S.891200 °E. 648.57 feet; thence s.oryos'arw. 577,51 feet; thence N,0950'52'W. 292,72 feet; thence S.00'09'08"W. 350,00 feet; thence 5.89 450152"E. 292.72'feet; thence s.00icko iorw, 387.14 feet to the point of beginning. Containing 6,213,441 square feet or 142,641 acres. Subject to easements and restrictions of record, ;. eaio?t;virezwfo:4k.ij.,4r;ti.,iWV.jf•$xzz Exhibit B LETTER OF CREDIT OR BOND PURCHASER'S COMMITMENT LETTER pllaticon;gid city. Nationat City Bank at Milchigan/11111nois 101 South Ma In Street Ann Arbor. MI 40104 SENT BY: AMLABEL; 2483467486; MAR-11-03 4:46PM; PAGE 2/3 December 10, 2002 Mr. JAIDCS Listertnan A & M Supply Company J.P. Ventures, Inc. 47087 Grand River Avenue Novi MI 48374,-1340 Re: Commitment Letter for Letter of Credit backed Tax-Exempt Bond for A & M Supply Company and IP. Ventures, Inc. Dear Jim: We are pleased to confirm that National City Bank of Michigan/Illinois (the "Bank") has approved tax-exempt letter of credit backed financing for A & M Supply Company ("Supply") and I.?. Ventures, Inc. ("Ventures") jointly and severally (Supply and Ventures are herein collectively termed the "Borrower"). This letter is the Bank's offer to commit to said financing, subject to the terms and conditions described herein and to documentation satisfactory in form and content to the Bank, to Howard & Howard Attorneys ("Bank Counsel"), Bond Counsel and to the Issuer and further subject to appropriate volume cap allocation. This offer to commit shall expire at the Bank's option if (a) the Bank has not received the Borrower's acceptance by the Acceptance Date, (b) Closing does not occur on or before the Expiration Date, or (c) there is a material adverse change in the Borrower's financial condition or affairs from that represented to the Bank. 1.0 TERMS AND CONDITIONS OF TAX-EXEMPT BOND: Issuer: The Oakland County Economic Development Corporation Obli gor,: Jointly and severally, Supply and Ventures. Bond Size; Up to $3,135,000 in tax-exempt variable rate bonds not to exceed 80% of the appraised value of the proposed land and buildings and 80% of the cost of new equipment to be purchased with Bond proceeds, Purpose of Financing: To provide funding for the Borrower to purchase a new manufacturing facility in Lyon Township, Michigan and to pay costs of new machinery and equipment and related eligible costs (the "Project"), in accordance with information previously furnished the Bank. 1)00 Term & AmortiZation: Up to twenty (20) years maturity with blended amortization of seven (7) years on equipment and twenty (20) years on real estate with approximately level principal and interest payments to fully amortize the Bonds_ .'I 03/11/03 TUE 16:48 [TX/RX NO 5464] APPROVED BY: GUARANTORS: GUARANTOR: A & 1+4 GRAPHICS, INC. A & MA? ' • Y WEST, INC.. By: Its: SENT BY: AMLABEL; '2483487468; MAR-11-03 4:411PM; PAGE 3/3 Page 8 GUARANTOR: KArnueliceArnisenthmkormaltlecent2002lA&M Supply-cladoc 03/11/03 TUE 16:48 (TX/FIX NO 54541 AM LABEL PAGE 83/04 03/12/2003 10:54 12483485277 A gtIghlbit C • - COMPANY CERTIFICATE REGARDING TRANS Or OF EMPLOYMENT A&M Supply Company, Inc d/b/a_AildVI Label Project The undersigned, A&M Sap,plY Conmanv. Inc d/b/a Atk/vI Label Michigan . Corporation (the "Company"), hereby certifies to The Economic Development Corporation of the County of Oakland (the "E:DC") as follows: 1. This Certificate is made and based upon the best of the Company's knowledge and belief, only after thorough investigation and discussion with, all owners of the Company and others who might have knowledge regarding the subject matter. 2. The Company acknowledges that this Certificate will be employed by the EDC as the sole basis for the EDC's certification to the Board of Commissioners of the County of Oakland as to transfer of employment as required by Section 8(3) of the Economic Developmeir Corporations Act, Act No. 338 of the Michigan Public Acts of 1974, as amended (the "Act"). 3. The Company understands that the EDC's Certification to the Board of Commissioners of the County of Oakland is a statutory requirement which, if improperly made or based upon any material misrepresentation or inaccuracy, might invalidate the proceedings regarding the A&M_Supolv Company. Inc d/b/a A&M Label Project (the "Project") pursuant to which the EDC expects ultimately to issue its limited obligation economic development revenue bonds to finance all or part of the Project. 4. As of the date hereof, the Project shall have the effect of transferring employment of more than 20 full-time persons from a municipality (as that term is defined in the Act) of this State to Lyon Township, Michigan, the municipality in which the Project will be located. 5. The Company understands that a covenant to effectuate the purposes of this Certificate will be included in those covenants to be made by the Company when bonds are issued by the EDC for the benefit of the Project. & a Michigan Corporation By: Its: President Dated: C-1 03/12/03 WED 10:58 [TX/RX NO 54601 By: 03/12/2003 10:54 12483485277 A8,1,4 LABEL PACE 04/04 mir Exhibit COMPANY CERTIFICATE REGARDING PAYMENT OF PREVAILING WAGES A_&114 Supply Company, Inc d/b/a A&I41 Label Project The undersigned, A&M Supply Company. Inc d/b/a A&M Label , a Michigan _Corporation (the "Company"), hereby certifies to The Economic Development Corporation of the County of Oakland (the "EDC") as follows: 1. The Company understands that this Certificate is a statutory requirement under the Economic Development Corporations Act, Act No. 338 of the Michigan Public Acts of 1974, as amended (the "Act") which, if improperly made or based upon any material misrepresentation or inaccuracy, might invalidate the proceedings regarding the A&M Supply Company. Inc d/b/a A&M Label Project (the "Project") pursuant to which the EDC expects ultimately to issue its limited obligation economic development revenue bonds to finance all or part of the Project. 2. Within the meaning and intent of Section 8(4)(h) of the Act, all persons performing work on the construction of the Project will be paid the prevailing wage and fringe benefit rates for the same or similar work in the locality in which the work is to be performed, as determined pursuant to Act No. 166 of the Michigan Public Acts of 1965, as amended. A&M Supply Company. Inc d/b/a A&M Label Its: President Dated: KAgoiklu-1:111.1.A.STERMOAK-RE.SlOak EDC - Project Rim Forta.doc 04 03/12/03 WED 10:58 (TX/RX NO 64601 Dated: February 24 ,.2003 4C-4(4t/L -t..-n • .. -- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NOVI CONSENTING TO THE TRANSFER OF EMPLOYMENT FROM THE CITY OF NOVI TO CHARTER TOWNSHIP OF LYON (Re: A & M Label) WHEREAS, A & M Label and/or S. P. Ventures, Inc., each a Michigan corporation (collectively, the "Company"), which presently operates a manufacturing facility in the City of Novi, desires to acquire and equip a new, custom built, shop/warehouse/office building in the Charter Township of Lyon to which it intends to transfer more than 20 full-time employees from its present location in the City of Novi; and WHEREAS, acquisition and equipping of the Charter Township of Lyon facility by the Company is to be financed in part through the issuance of limited obligation revenue bonds by The Economic Development Corporation of the County of Oakland; and • WHEREAS, Section 8(3) of the Economic Development Corporations Act ("EDC Act") requires a consent by resolution of the governing body of any municipality from which employment of more than 20 full-time persons is to be transferred by reason of the completion of a project for which revenue bond financing under the EDC Act is sought. i; NOW, THEREFORE, the City Council hereby adopts the following resolutions: 1. The City Council hereby consents to such trarisfer of employment from the City of Novi. to the Charter Township of Lyon as may result from the Company's project to be financed in part with revenue bonds by The Economic Development Corporation of the County of Oakland. • 2. The City Clerk be and is hereby directed to deliver a certified copy of this Resolution to The Economic Development Corporation of the County of Oakland. 3. All resolutions and parts of resolutions insofar as they conflict with the provisions of this Resolution be and the same hereby are rescinded. 1, Maryanne Cornelius , the duly qualified and acting Clerk of the City of Novi, Oakland County, Michigan, certify that the foregoing is a true and complete copy of a resolution adopted by the City Council, at a regular meeting held ..on Feb. 24 , ,'2003, the original of which is on file in my office and available to the public. City Clerk g GAE\EconDev\oaklancl\SONLAA&MNCity Council Novi Consent to transfer of ErnpIoyrocnt.cloc G. William Caddell, County Clerk A A Resolution #03075 April 17, 2003 Moved by Bullard supported by Coulter the resolutions on the Consent Agenda, as amended, be adopted (with accompanying reports being accepted). AYES: Coleman, Coulter, Crawford, Douglas, Gregory, Jarnian, Knollenberg, Law, Long, McMillin, Moffitt, Moss, Palmer. Patterson, Potter, Rogers, Scott, Suarez, Zack, Bullard. (20) NAYS: None. (0) A sufficient majority having voted therefore, the resolutions on the Consent Agenda, as amended, were adopted (with accompanying reports being accepted). Brooks Pedereon, County Executive Date STATE OF MICHIGAN) COUNTY OF OAKLAND) G. William Caddell, 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 April 17, 2003, with the original record thereof now remaining in my office. In Testimony Whereof, I have hereunto set my hand and affixed the4seal of)tie County of Oakland at Pontiac, Michigan this 17th day of April, 2003.