Loading...
HomeMy WebLinkAboutResolutions - 2004.08.05 - 27430August 5, 2004 MISCELLANEOUS RESOLUTION #04187 BY: PLANNING AND BUILDING COMMITTEE, CHARLES E. PALMER, CHAIRPERSON IN RE: PLANNING AND ECONOMIC DEVELOPMENT SERVICES DIVISION RESOLUTION APPROVING PROJECT PLAN (MICHIGAN SEAMLESS TUBE LLC PROJECT) - CITY OF SOUTH 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, that the Project Plan satisfies all of the requirements of the Act regarding project plans and that a letter of credit issued by a financial institution acceptable to the EDC will be available to pay debt service; and WHEREAS the governing body of the City of South 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, hereby certifies, approves and concurs in the determinations of the EDC with respect thereto; NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners hereby determines that the Project Plan constitutes a public purpose as contemplated by the Act; and BE IT FURTHER RESOLVED that the Oakland County Board of Commissioners hereby certifies and approves the Project Plan; 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 AND BUILDING COMMITTEE Planning & Building Committee Vote: Motion carried on unanimous roll call vote with Coleman absent THE ECONOMIC DEVELOPMENT CORPORATION OF THE COUNTY OF OAKLAND Oakland County, Michigan Michigan Seamless Tube LLC 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 "A-1" — Site Overview "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 MICHIGAN SEAMLESS TUBE LLC PROJECT OWNER OF PROJECT: Michigan Seamless Tube LLC, a Delaware limited liability company CONTACT PERSON: (Name, address, telephone number) Paul C. Maier, Vice President & Chief Financial Officer, Michigan Seamless Tube LLC, 400 McMunn Street, South Lyon, MI 48178; phone 248-486-0149 LOCATION OF PROJECT: (Local municipality) City of South Lyon PROJECT AREA/DISTRICT AREA: See Exhibit A NATURE OF PROJECT: The Project will be used primarily for the manufacture of specialty seamless steel (carbon and alloy steel) mechanical and pressure tubes for a variety of industrial applications, including Automotive, Oil Field, Steam and Power Generation, Chemical Processing and Aerospace. The Project includes the October 18, 2002 acquisition of an existing dormant manufacturing facility (318,000 square foot steel tube mill on a 58-acre site) from Michigan Specialty Steel out of bankruptcy proceedings. The principal components of the facility are a "Hot Mill" and a "Cold Mill". The Hot Mill processes SBQ steel bars by heating the bar in a rotary hearth furnace to approximately 2,250 degrees Fahrenheit. The hot bars are fed between a pair of rotating rolls that drive the bars over a piercing point to form tube shells which are further reduced in a rolling mill and then allowed to cool. Pierced and rolled shells are inspected, pickled and then cold drawn in the cold mill. The Cold Mill then finishes tubes to the specifications required by the facility's customers. The Company manufactures all of its products to the specifications of its customers in a broad selection of sizes and wall thicknesses. The Project further includes the rehabilitation and renovation of such facilities, the acquisition and installation of new machinery and equipment, and the construction and equipping of a new addition to the Cold Mill to be used as a small diameter product finishing line. EMPLOYMENT CREATED OR RETAINED: The Project is expected to create approximately 200 full-time jobs within 2 years of the original acquisition of the facilities. These jobs can be broken down into the following general categories: Management & administrative staff: 50 Hourly production employees 150 The Project currently has approximately 172 employees (125 hourly; 47 salaried). TOTAL PROJECT COST: $9,000,000 BONDS TO BE ISSUED; $9,000,000 LETTER OF CREDIT ISSUER OR BOND PURCHASER: The Company is engaged in negotiations with respect to the terms of letter of credit commitments with Standard Federal Bank and Comerica Bank. DATE AND EXPIRATION DATE OF LETTER OF CREDIT OR BOND PURCHASE CO1V1CMI1MENT: It is expected that the letter of credit commitments will be issued prior to July 20, 2004 and that they will be effective for 60 days. The Company intends to close the bond financing in late August or early September of this year. 2 MICHIGAN SEAMESS/TUBE LLC By: C. Maier Its: Vice President & Chief Financial Officer PROJECT PLAN CERTIFICATION TI-HS 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 WHIC: THE PROJECT PLAN PERTAINS. Dated: July 12, 2004 3 PROJECT PLAN STATUTORILY REQUIRED INFORMATION REGARDING MICHIGAN SEAMLESS TUBE LLC 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: The Project District Area (which is coterminous with the Project Area) consists of an approximately 58-acre site, encompassing existing steel processing facilities first developed 78 years ago. The facilities include approximately 318,000 square feet of building space. There are no public streets or other public facilities within the Project District Area. A legal description of the Project Area is attached as Exhibit A. A site overview depicting all categories of use is attached as Exhibit A-1. II. A DESCRIPTION OF EXISTING IMPROVEMENTS IN TILE PROJECT AREA TO BE DEMOLISHED, REPAIRED, OR. ALTERED; A DESCRIPTION OF REPAIRS AND ALTERATIONS; AND AN ESTIMATE OF THE TIME REQUIRED FOR COMPLETION: The Company acquired the existing dormant specialized steel manufacturing facilities located in the Project Area from Michigan Specialty Steel out of bankruptcy proceedings on October 18, 2002. Prior to being able to commence manufacturing operations at the site, the Company had to expend approximately $700,000 in repair, rehabilitation and maintenance costs. Refurbishment included repairing the pickling tanks and associated equipment, rehabilitating and installing waste water treatment equipment, and making substantial repairs to production equipment and annealing furnaces. Since start-up, the Company has continued to expend considerable amounts in refurbishing existing buildings and in repairing and replacing existing equipment through to current date, with significant additional rehabilitation scheduled over the next two years. III. 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: The approximate costs of the Project to be financed with proceeds of the Bonds are as follows: 4 Existing manufacturing building $1,200,000 Existing machinery & equipment 2,850,000 Land 95,000 Rehabilitation/renovation including (DX units & other) 1,050,000 New machinery and equipment (roll stands & other) 810,000 New Cold Mill small diameter finishing line construction and equipment 3,545,000 TOTAL $9,000,000 IV. A DESCRIPTION OF THE CONSTRUCTION OR STAGES OF CONSTRUCTION PLANNED, AND THE ESTIMATED TIME OF COMPLETION OF EACH STAGE: Original acquisition: October 18, 2002 Two month period of rehabilitation and repair necessary to start-up Continuing rehabilitation through August 2006. Installation of new machinery and equipment through August 2006. Construction of Cold Mill building expansion to be determined V. A DESCRIPTION OF. THE PARTS OF THE PROJECT AREA TO BE LEFT AS OPEN SPACE AND THE USE CONTEMPLATED FOR THE SPACE: Other than the Cold Mill expansion, there are no immediate plans to alter the general site layout as depicted on Exhibit A-1. 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: 5 VII. A DESCRIPTION OF DESIRED ZONING CHANGES AND CHANGES IN STREET, STREET LEVELS, rNTERSECTIONS AND 'UTILITIES: None VIII. A DESCRIPTION OF THE PROPOSED METHOD OF FrNANCING THE PROJECT, INCLUDING ATTACHMENT OF A COPY OF THE LETTER OF CREDIT OR BOND PURCHASER'S COMMITMENT LETTER: The Company requests the assistance of the EDC in issuing tax-exempt industrial development bonds in a principal amount not to exceed $9,000,000, payment of debt service on which will be secured by an irrevocable direct pay letter of credit of either Standard Federal Bank or Comerica Bank. The bonds are expected to be structured as variable rate demand bonds, and to be purchased and sold, or privately placed, by an investment banking firm which may or may not be affiliated with the issuer of the letter of credit. Copy of Letter of Credit or bond purchaser's commitment letter to be attached as Exhibit D prior to July 20,2004 meeting of the EDC. IX. 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 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: The Company is a privately-held Delaware limited liability company, headquartered at the site of the Project. The Applicant was organized in 2002 for the purpose of acquiring the dormant manufacturing facilities of Michigan Specialty Steel out of bankruptcy proceedings. 6 The principal management personnel are: Russell W. Maier, President and Chief Executive Officer Paul C. Maier, Vice President and Chief Financial Officer . James M. Royce, Controller Les Whitver, Vice President-Operations. 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: The Company will be the sole owner and operator of the Project. XII. IF THERE IS NOT AN EXPRESS OR IMPLIED AGREEMENT WITH A PERSON OR PERSONS, NATURAL OR CORPORATE, THAT THE PROJECT WELL 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 XIEL 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: There are no persons residing in the Project Area. 7 XIV. A PLAN FOR ESTABLISHENG PRIORITY FOR THE RELOCATION OF PERSONS DISPLACED BY THE PROJECT rN 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 8 XVII, OTHER MATERIAL AS THE ECONOMIC DEVELOPMENT CORPORATION, LOCAL PUBLIC AGENCY, OR GOVERNING BODY CONSIDERS PERTINENT: Not Applicable Exhibit A PROJECT AREA LEGAL DESCRIPTION , SOUTH LYON, MI 48178-1392 View Pliotos View Map . 40 P revel ID 21-30-203-003 msuacoauty CITY OF SOUTH LYON Owner(s) MICHIGAN SPECIALTY TUBE Parcel ID 21.30-2057001 Municipality CITY OF SOUTH • tycv • Owner Mailing Address 400 MCMUNN An ix CONTROLLER, SOUTH LYON,lvil 48178-1392 Praperv Description TIN, R7E, SEC 30 C HEI,MUTH'S ADD LOTS 6 TO 15 INCL, ALSO S 1/2 OF VAC LIBERTY ST ADJ. TO SAME, ALSO W 24.75 FT OF VAC HA.GADORN ADJ TO SAME, - ALSO ALL OF VAC LENOX ST ADJ TO SAME Parcel ID 21-30-126-004 MunicOaltty CTIY OF SOUTH . • LYON Owner(s) • MICHIGAN SPECIALTY TUBE Owner Malin:Address 400 MCMUNN AU TX CONTROLLER, SOUTH LYON, MI 481784392 • ProperV DescrVIon T1N, R7E, SEC 30 PART OF NW FRC 1/4 BEG AT PTDIST S 01-28-00 E 970.90 FT FROM N 1/4 COR,111 S 01-28-00E 580.65 FT, TH S 84-48-30W ALGNLY UNEOF GTW RR R/W 1482.30 FT, 7TH N 00-38-00W 686.20 FT 'MN 88-53-30 E 1470 FT TO BEG 21.37 ACM 6C Parcel ID 21-30-233-003 • crry OF SOUTH • LYON Owner(s) MICHIGAN SPECIALTY TUBE Owner Mailing Actdress 400 MCMUNN AIT TX CONTR.OLLER., SOUTH LYON, MI 48178-1392 •=111M • Property Description T1N, R7E, SEC 30 CALKINS ADD LOTS 1 TO 10 Nu, ALSO ALL OF VAC LEWIS ST API TO SAME, ALSO THAT PART OF OUTLOT 3 LYING N OF MAL RR R/W BLK 9 Ownerr) MICHIGAN SPECIALTY TUBE Owner Mailing Address 400 mcmumi An TX CONTROLLER, SOUTH LYON, MI 48178-1392 • - • • Property Description • • .•, : TiN,.R7E, SEC 19 & 30 PART OF NE 114 OF SEC 30 & PART OF SE 1/4 OF SEC 19 BEG AT N 1/4 COR OF SEC 30, TH N 01-13-00 E.62.41 FT, TH S 81-47-25 E 276.04 FT, TH S 00- 34-45 E 332.54 FT, THN 89-25-30 E 43.50 Fr, TH S 01-10-45 E424.41 FT, TH ELY 352.42 FT, TH N 198 FT, THE ALG S LINE OF 1KINGSLEYCALKINS ADD' 642.73 FT, TH S ALG W LINE OF WEST ST 910.25 FT, 7TH WLY ALGNLY LINE OF GTRR R/W 1261.25 FT TO N & S 1/4 LINE, TIN 01-28-00W 1550.52 FT TO BEG 31.27 ACJ12 rr. ' • • • ". • GENERAL INFORMATION Site Address 400 MUM SOUTH LYON.M148178-1392 Pesti' kklress 450 MCMLNI ATI Ix CONTROLLER SOUTrl LYON,M1.48176-1392 Pa meld) 21801'5001 Prods) MINGAN SEAMLESS TUBE MunicOalily OrlY Of SOUTH LYON ASSESSMENT INFORMATION Assessed Value 1011850 Taxable Value 101 Igo Use NDUSTRIAL IMPROVED School District saini DO% SCHOOLS Neighborhood Code MST Date Added Property lkscron TIN. R7E, SEC i 9 8 30 FART Of AE 1,4 OF SEC 30 PART OF SE 1,4 Cf SEC 19 BEG AT N 14 CCR OF SEC 30, TH N01-13-00 E 6241 FT, TN S 8141•25E 276.04 FT. Th 500-3445 E 332 54 FT. TH N 89-25-30 E 43.50 Fr. IllS 01-1045 E 424 41 FT. TN ELY 35242 FT, IAN 130F1, TH E ALG S LINE OF TINGSLEYCALKNS ADD' 642.73 FT, 11-IS ALG W LNE Of WEST ST 910.25 FT. 11 SKY ALG 1-YLl1-EOFGTRWI261.25FTTO NOS 14 LNE, IAN 01-28-50W 1550.52 FT TO BEG 31.27 ACJ12 2002 Color Disclaimer: The information provided in this system has been compiled from recorded deeds, plats, tax maps. surveys and other public records and data. It is not a legally recorded map or survey and is not intended to be used as one. Users of this data are hereby notified Mat the information sources mentioned above should be consulted for verification of the information. , EXHIBIT A-1 SITE OVERVIEW / FACILITY SITE MAP I Uri S i 0 Ci El Nri rla Haggadorn St, *MICHIGAN 403 klaturcl tsarina., tube South ILYDA.MIckllisc 45178 LONG 83° 39' 45' Mcliattie st, Si MAIM BO Vence Drain ; -115WE tt — ... _ _ ... 1 I I) a. 0 EO. 1*' — ys 1 I Lift- / 11441,.............e.1.--- '...r I s.` .....„,-,,t.::, 4. • • -•• N. _ ..••••-* ..s. .4.6..9 ., 1 1 i ,Il SLUDGE DRYti.B.,E5(/ i . •n•.:n"' '14 .7 I i — —.....n•• Liberty Street f ; tit a Lenox St, TABLE OF IDENTIFIED FEATURES 1. Administration Offices 14. 2. EDP (Computer) Building 15. Cooling Tower Gas and Dismal Strage Tanks (Diked) 3. East MaInteriance - Store Room 16. Sulfuric Acid Tanks (Diked) 4. Hot Mili Complex IT, Cooling Panda 5. Electrical Shop 18. Waste Oil Tank (Diked) 5. Laboratory 10. Hazardous Waste storage Building T. Cafeteria, Women's Restroom 20. Chemical & Drum Storage 8. Employes Locker Room 21. Loading Dock (Pit) 0 g. Engineering Offices. Stare 22_ Acid Recover Building Room. Machine Shop 23. Wastsvrater Treatment Building C-3 8 § 10. Guard House 24. Clarifiers g 11. Fuel cli Storage Tanks 28. Chemical Storage Building 0 12. Neutralization Treatment Plant 20- Steelyard - Steel Bar Storage 13. Main Entrance 27. EDISON Sub-Station —III ° ] __._-....t...-,. - ____ ....... ___....0-.... I II SLUDGE DRYING BED t i." . Ce ttt Y. It "' ." --- — '' It = ..74-.;-c. -•.:".. , ... %," ,,,..• `..••••n V To 'fades Gran— FORMA GUM& KM WY, HURON VALLEY TAAL Y135035 Drain NORTH tiaitteamr Scale In Feet FACILITY SITE MAP MICHIGAN SEAMLESS TUBE, LIG 400 tvICMUNN SOUTH LYON, MICHIGAN 48178 OAKLAND COUNTY Revised 6,302004 ...11DComfort1DGINAsite_pm_2004.dgn 6/30/20044:12:49 PM Exhibit B LETTER OF CREDIT OR BOND PURCHASER'S COMMITMENT LETTER Exhibit C COMPANY CERTIFICATE REGARDING TRANSFER OF EMPLOYMENT (Michigan Seamless Tub e LLC Project) The undersigned, Michigan Seamless Tube LLC, a Delaware limited liability company (the "Company"), hereby certifies to The Economic Development Corporation of the County of Oakland (the "EDC") as follows: 1. This Certificate is made and based upon the best of the Companys 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 Development 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 Michigan Seamless Tube LLC 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 not 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 the City of South Lyon, 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 • / •LLC, a. By: hul C.Xaier Its: Vice Pfesident & Chief Financial Officer Dated: July 12, 2004 Michigan Seamless Delaware / / r / C-1 • • Michigan Seamless/TifilniLLC / By: aul C/Maier Its: Vice 'resident & Chief Financial Officer a a I • Exhibit D COMPANY CERTIFICATE REGARDING PAYMENT OF PREVAILING WAGES (Michigan Seamless Tube LLC Project) The undersigned, Michigan Seamless Tube LLC, a. Delaware limited liability company (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 Michigan Seamless Tube LLC 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 inie. 9atd. Dated: July 12, 2004 BH 561467v1 BI-1011471113.3 IDOVB D-1 4 • • 4 a August 5, 2004 Resolution #04187 Moved by Palmer supported by Potter the resolution be adopted. Discussion followed. Vote on resolution: AYES: Hatchett, Jamian, Knollenberg, KowaII, Law, Long, McMillin, Middleton, Moffitt, Moss, Palmer, Patterson, Potter, Rogers, Scott, Suarez, Webster, Wilson, Bullard, Coulter, Crawford, Douglas, (22) NAYS: None, (0) A sufficient majority having voted therefore, the resolution was adopted. I 1111P APPRNE THE RIMS IESOWTION STATE OF MICHIGAN) COUNTY OF OAKLAND) I, 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 August 5, 2004 with the original record thereof now remaining in my office. In Testimony Whereof, I have hereunto set my hand and affixed the seal of the "inty of Oakland at Pontiac, Michigan this 5th day of August, 2004. fi './1"64;io • 611'aL G. William Caddell, County Clerk