Loading...
HomeMy WebLinkAboutResolutions - 2006.02.02 - 28127Planning & Building Committee/Vote: Motion carried unanimously on a roll call vote. February 2, 2006 MISCELLANEOUS RESOLUTION #06024 BY: Planning and Building Committee, Charles E. Palmer, Chair IN RE: RESOLUTION APPROVING FORM OF SUBLEASE AMONG THE COUNTY OF OAKLAND AS LESSOR, THE CITY OF PONTIAC AND THE CITY OF PONTIAC GENERAL BUILDING AUTHORITY AS LESSEES AND THE CITY OF PONTIAC TAX INCREMENT FINANCE AUTHORITY REGARDING THE PHOENIX CENTER LOCATED IN THE CITY OF PONTIAC, OAKLAND COUNTY, MICHIGAN TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS Chairperson, Ladies and Gentlemen: WHEREAS, there has been prepared and attached hereto as APPENDIX A, a form of sublease among the County of Oakland (the "County"), the City of Pontiac (the "City"), the City of Pontiac General Building Authority (the "City Authority"), and the City of Pontiac Tax Increment Finance Authority (the "Sublease") whereby the City and the City Authority will sublease certain real estate described therein from the County for up to twenty- one (21) years; and WHEREAS, the final Sublease cannot be completed until the bonds are sold for the project. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COMMISSIONERS OF THE COUNTY OF OAKLAND, MICHIGAN, as follows: 1. The Sublease, in the form attached hereto as APPENDIX A, is hereby approved and the blanks therein continued in Appendix B and C of the Sublease shall be completed by the Chairperson of the Board of Commissioners of the County after the bonds are sold which will include inserting the debt retirement schedule for the bonds. 2. The Chairperson of the Board of Commissioners of the County and the County Clerk are hereby authorized to execute and deliver the Sublease once the blanks therein have been completed. 3. All resolutions and parts of resolutions, insofar as they conflict with the foregoing resolution, are hereby rescinded. Chairperson on behalf of the Planning and Building Committee, I move adoption of the foregoing resolution. PLANNING & BUILDING COMMITTEE APPENDIX A SUBLEASE THIS SUBLEASE ("Sublease") made as of February 1, 2006 by and among the COUNTY OF OAKLAND (the "County"), a State of Michigan Constitutional and Municipal Corporation, the CITY OF PONTIAC (the "City"), a municipal corporation located in the County of Oakland, State of Michigan organized and existing under the Home Rule City Act, the CITY OF PONTIAC GENERAL BUILDING AUTHORITY (the "City Authority"), an authority organized and existing under and pursuant to the provisions of Act No. 31, Public Acts of Michigan, 1948 (First Extra Session), as amended ("Act 31") and the CITY OF PONTIAC TAX INCREMENT FINANCE AUTHORITY (the "TIFA") an authority organized and existing under and pursuant to the provisions of Act No. 450, Public Acts of Michigan, 1980, as amended ("Act 450"). WITNESSETH: WHEREAS, the Oakland County Building Authority (the "Authority") has been incorporated by the County for the purpose of acquiring, furnishing, equipping, owning, improving, enlarging, operating and maintaining a building or buildings, automobile parking lots or structures, recreational facilities and stadiums, and the necessary site or sites therefor, for the use of the County; and WHEREAS, the _County desires to undertake a project consisting of the acquisition of the Project as more fully described in APPENDIX A to this Sublease (the "Project"), and it is proposed that the Authority undertake the Project as more fully described in a certain Full Faith and Credit General Obligation Lease Contract (the "County Lease") pursuant to which the Project is being acquired by the Authority for the County; and WHEREAS, once the Authority has acquired the Project the County wishes to sublease part of it to the City and the City Authority pursuant to the terms of this Sublease; WHEREAS, the County and City agree that the Project may be used involving homeland security events with the mutual consent of both parties. THEREFORE, IN CONSIDERATION OF THE MUTUAL UNDERTAKINGS AND AGREEMENTS SET FORTH BELOW, IT IS HEREBY AGREED BY AND BETWEEN THE PARTIES TO THIS SUBLEASE AS FOLLOWS: 1. Authorization and Issuance of Bonds. The County intends to cause the Authority to issue its building authority bonds in the aggregate principal amount of not to exceed $20,500,000 (the "Bonds") for the purpose of defraying part or all of the cost of the Project. The Bonds are to be dated February 1, 2006 or the first day of any later month in 2006 and bear interest at a rate that will result in a net interest cost of not to exceed 8% per annum. Interest shall be payable semi- annually on and shall begin as specified in the Bond Resolution until maturity of the Bonds and shall mature in accordance with the Debt Retirement Schedule set forth on APPENDIX B to this Sublease. Each date on which any payment of principal of and/or interest on any Bond is due is referred to herein as a "Bond Payment Date." The Bonds may be payable on the first day of a different month if necessary to match rental income paid to the County. The County and the City recognize and acknowledge that (a) such Debt Retirement Schedule is based upon an assumed interest rate and date of issuance of the Bonds and assumed Bond Payment Dates, all as set forth in APPENDIX B, (b) the Bond Payment Dates will be specified in the Bond Resolution, (c) the date and amount of each payment of cash rental required under this Sublease will be determined (subject to the limitations expressed in the preceding paragraph of this Section) when the Bond Resolution is adopted by the Authority and the Bonds are sold, by application of the rate or rates of interest (that will result in a net interest cost not exceeding 8% annum) actually borne by the Bonds. The Bonds shall be sold subject to redemption prior to maturity at the option of the Authority and at the direction of the City Finance Director, with the redemption premiums and upon sUch'termS -a --a-re set - forth rff—APPENDIX C attached—hereto: -The Authority agrees that upon request of the City it shall redeem the Bonds; provided the City has deposited or will deposit sufficient money to permit such redemption with the Authority prior to calling the Bonds. In the event that for any reason after the date upon which this Sublease is executed, but before the Bonds have been issued, it appears to the County and the City that the part of the Project to be paid by Bond proceeds can be accomplished for less than $20,500,000, the County shall cause the Authority to reduce the amount of Bonds to be issued in multiples of $5,000 and reduce the annual maturities or the years of maturities as the County shall direct and as approved by the City Finance Director. 2. Acquisition of Project. The Authority will acquire the Project from the City of Pontiac General Building Authority by Warranty Deed. 3. Maximum Project Costs. The acquisition of the Project shall occur after issuance of the Bonds and the maximum cost of the Project cannot exceed $20,500,000. The actual cost of the Project will be determined as follows: 2 a. $11,135,000, plus the amount of the difference between 2% and the actual discount on the Bonds; and b. The actual amount of Bond Proceeds deposited with the escrow agent to defease the City of Pontiac General Building Authority, Building Authority Bonds, Series 2002. 4. Structural Alteration, Maintenance, and Repair Insurance Requirements. In the event any work is done on the Project, the County shall cause the City to require any contractor or contractors for the Project to furnish all necessary bonds guaranteeing performance and all labor and material bonds and all owner's protective, workers' compensation and liability insurance required for the protection of the Authority, the County, and the City. Such bonds and insurance, and the amounts thereof, shall be subject to approval of an authorized official of the County and the Authority. 5. Sublease Term; Possession. (a) The County does hereby sublease the Project to the City and the City Authority for a term commencing on the effective date of this Sublease (determined as provided in paragraph 20) for 21 years after acquisition of the Project. Possession of the Project, subject to the Sublease, shall vest in the City upon the execution of the Sublease. The City agrees to use the Project solely for lawful purposes. (b) Upon retirement of the Bonds, the County agrees to cause the Authority to convey the Project to the City without consideration. (c) Upon termination of this Sublease in the manner set forth above, the County shall promptly pay over to the City any an all funds held by -it -pertaining to the Bonds or in any other manner relating to the Project. 6. Cash Rental. (a) Agreement of the TIFA. In order to provide payments due to the County from the City, the TIFA agrees to such periodic amounts as shall be sufficient to enable the County to meet its payments to the Authority on the Project to pay the principal of and interest on the Bonds as such principal and interest shall become due, whether at maturity or by redemption. During the term of the Sublease or any extensions thereof, the TIFA shall pay to the County, at least 30 days before each Bond Payment Date, an amount sufficient to pay the principal and/or interest due on the Bonds on such Bond Payment Date to the fullest extent that tax increment revenues from the TIFA's Development Area No. 2 are available to pay such principal and/or interest then due. Anything in this Sublease to the contrary notwithstanding, the TIFA shall only be responsible for paying cash rentals and other amounts hereunder from available tax increment 3 revenues generated from the TIFA's Development Area No. 2. The TIFA's obligation to pay the cash rentals and other amounts under this Sublease is subject to its obligation to pay debt service on its outstanding Tax Increment Revenue Bonds and its obligation to make payments to the City Building authority for any of its bonds, issued before the date hereof. (b) Agreement of the City. (1) Amount of Payment. In the event that the TIFA is unable to fully meet its payment obligations to the County under Section 6(a) above, the City hereby agrees during the term of this Sublease or any renewal hereof to pay to the County as cash rental for the Project such periodic amounts as shall be sufficient, together with the required TIFA payments under Section 6(a) above, to enable the County to meet its payments to the Authority on the Project to pay the principal of and interest on the Bonds as such principal and interest shall become due, whether at maturity or by redemption. During the term of the Sublease or any extensions thereof, the City shall pay to the County, at least 30 days before each Bond Payment Date, an amount sufficient, together with the required TIFA payments under Section 6(a) above, to pay the principal and/or interest due on the Bonds on such Bond Payment Date. (2) Payment from General Fund or other Funds. In the event the TIFA fails, for any reason, to make the full amount of the payments due under (a) of this paragraph, the City hereby agrees to pay such shortfalls from its general fund, or such other fund(s) as the City may designate, the cash rental payments when due. The obligation of the City to make such cash rental payments shall not be subject to any set-off by the City nor shall there be any abatement of the cash rental payments for any cause, including, but not limited to, casualty that results in the Project being untenantable. (3) Right of the County to Affect Amounts due to the City from the Oakland County Delinquent Tax Revolving Fund. In the event that the City has failed to make any payments on the Bonds to the County on the date such payment is due; thereafter, any time the County owes to the City an amount due from the Oakland County Delinquent Tax Revolving Fund, the County shall, prior to making any payments to the City, deduct from the amount of such payment the amount due on the Bonds plus interest on that amount from the date due to the date withheld at the rate of one percent (1%) per month and pay that amount to itself. Thereafter, the County shall pay whatever balance remains owing to the City from the Delinquent Tax Revolving Fund. 4 7. Expenses of Issuing and Payment of Bonds. The County shall cause the Authority to pay from the proceeds of the sale of the Bonds all expenses incurred with respect to the issuance of the Bonds. The TIFA agrees to pay to the County, in addition to the cash rental provided for in Section 6, all expenses incurred with respect to the issuance and payment of the Bonds, to the extent not so paid from the proceeds from the sale of the Bonds. In the event that the TIFA is unable to fully pay the foregoing issuance expenses, the City agrees to pay any shortfalls that the TIFA is unable to pay. The obligation of the City to make such payments shall be a general obligation of the City. 8. Maintenance and Repairs. The City/TIFA shall, at its own expense, operate and maintain the Project and shall keep the same in good condition and repair. If the City decides not to operate the Project for any period of time it will still keep the Project in good repair so as not to endanger any other properties or the general public. Operation and maintenance shall include (but not be limited to) the providing of all personnel, equipment and facilities, all light, power, heat, water, sewerage, drainage and other utilities, and all properties and services of whatever nature, as shall be necessary or expedient in the efficient and lawful operation and maintenance of the Project. Premiums for insurance required to be carried upon or with respect to the Project or the use thereof dud- -taxes levied upon either party hereto on account of the ownership or use of the Project, or on account of rentals or income from the Project, shall likewise be deemed operation and maintenance expenses. The obligation of the City to pay all costs and expenses of the operation and maintenance of the Project shall be a general obligation of the City. 9. Insurance Proceeds All insurance proceeds shall be payable to the City, the TIFA, the County, and the Authority as their interests may appear. In the event of the partial or total destruction of the Project, or if the Project is for any reason made unusable, the cash rental payments provided in Section 6 shall continue unabated. The City shall have the option to use the proceeds of insurance, in the event of loss or damage to the Project, for the repair or restoration of the Project. If the City shall determine not to use the proceeds of insurance for the repair or restoration of the Project, the amount of such insurance proceeds shall be paid to the County and by it paid to the Authority which shall deposit the same in the bond and interest redemption fund, and the City shall receive appropriate credits on future cash rental payments due under this Sublease. The City's obligation for the payments provided in Section 6 shall continue until the obligation is satisfied, and shall not be extinguished or compromised by paying over any insurance proceeds to the County as contemplated in this Section 9. Any insurance proceeds in excess of the amount necessary to retire the Bonds in full shall be retained by the City. 5 10. Insurance Requirements. (a) Insurance: The City shall provide and maintain at its own expense during the term of this Sublease or until the bonds are retired, all insurances as set forth below, protecting the City, the County and the Authority against loss on account of damage or injury to persons or property, imposed by reason of the ownership, possession, use, operation, leasing, maintenance or repair of the Project and the site of the Project, or resulting from any acts of omission or commission on the part of the City, the County or the Authority or their respective officers, employees or agents in the connection with the Project. Such insurance shall be maintained in full force and effect during the term of this Sublease or until the Bonds are retired. Such insurance shall be made effective from the date acquisition of the Project commences. (b) Coverage Required: (1) Commercial General Liability Occurrence Form insurance with a minimum limit of $10,000,000 each occurrence/$10,000,000 general aggregate. Coverage _shall include premises operations, products/completed operations, personal and advertising injury, independent contractors, contractual liability, broad form property damage, liability assumed under an insured contract. (2) Automobile Liability insurance (including Michigan No- Fault) covering liability arising out of any owned, hired, and non-owned vehicles with minimum combined single limit of $10,000,000 each accident. (3) Workers Compensation insurance, Coverage A, with limits statutorily required by any applicable Federal or State law and Employers Liability Insurance, Coverage B, with minimum limit of $1,000,000 each accident, disease each employee, and disease policy limit. (4) Public Officials Liability with a minimum limit of $10,000,000 each occurrence. The coverage amounts set forth may be met by a combination of primary liability and umbrella policies so long as in combination the limits equal or exceed those stated. (5) The City, shall provide Real Property Insurance to insure the Project for the full One Hundred Percent (100%) replacement cost value. Coverage shall be on a special form, agreed amount, replacement cost basis and be subject to a maximum per occurrence deductible of $35,000.00 . Flood and Earthquake coverages shall also be carried for $1,000,000 6 per occurrence, per coverage with a maximum deductible not to exceed $50,000.00 per occurrence, per coverage. In event of any loss not covered by the City's insurance, the County shall have the right to enter the Project and cause it to be rendered safe so that there is no danger from the Project to any adjacent property or the general public and to charge the City as additional rent the cost thereof and recover it, if necessary, in accordance with its rights to affect amounts due to the City under Paragraph 6 Subparagraph b(3). (c) Rental/Use of Project by Others: Before any use of the Project may be made by anyone who shall invite the general public to any concert, play, production or event of any sort (hereafter together "event") the City shall obtain from such persons: (1) Commercial General Liability Occurrence Form insurance with a minimum limit of $5,000,000 each occurrence/$5,000,000 general aggregate. Coverage shall include premises operations, products/completed operations, personal and advertising injury, independent contractors, contractual liability, broad form property damage, liability assumed under an insured contract. -(2)— Automobile Liability -insurance (including Michigan NG-- Fault) covering liability arising out of any owned, hired, and non-owned vehicles with minimum combined single limit of $5,000,000 each accident. (3) Workers Compensation insurance, Coverage A, with limits statutorily required by any applicable Federal or State law and Employers Liability Insurance, Coverage B, with minimum limit of $1,000,000 each accident, disease each employee, and disease policy limit. The policies required above, or copies thereof, shall be delivered to the County before such event. (d) General: (1) Insurance policies shall be issued by companies licensed or approved to do business within the State of Michigan. (2) Insurers shall possess a minimum A.M. Best rating of A6 (or) any Insurer or Municipal Pool as deemed acceptable by the Oakland County Risk Manager. (3) The insurance policies, except Workers' Compensation shall be endorsed to name the County, A Michigan Constitutional Corporation and the Authority and any and all, agents, officers, employees, and volunteers as "Additional Insureds" and shall also contain a written waiver of subrogation. (4) All policies of insurance must be on a primary basis, non-contributory with any other insurance and/or self- insurance carried by the County and/or the Authority. (5) All policies shall provide a minimum 90 days written notice to the County and the Authority, via certified mail, of cancellation, non-renewal or material change to any and all policies required under the contract. Renewal certificates of insurance must be provided at least 15 days prior to the expiration of all policies. (e) County's and Authority's Rights to Amend Requirements: The County and the Authority reserve the right to alter or amend any insurance requirements as stated in this contract as deemed reasonably necessary. (f) Indemnification: To the extent allowed by law, the City shall indemnify hold harmless and defend the Authority and the County, their officers, employees or agents against any and all claims for any—sttela—dermage—er 11. No Unlawful Use Permitted. The Project shall be used for those purposes permitted by Act No. 31, Public Acts of Michigan (First Extra Session), as amended and shall not be used or permitted to be used in any unlawful manner. To the extent permitted by law, the City shall hold the County and Authority harmless and keep it fully indemnified at all times against any loss, injury or liability to any persons or property by reason of the acts or negligence of the City in the use, misuse or non-use of the Project or from any act or omission in, on or about the Project. The City shall, at its own expense, make any changes or alterations in, on or about the Project which may be required by any applicable statute, charter or governmental regulation or order and shall hold the County and the Authority harmless and free from all costs or damages with respect thereto. 12. Alterations of Project. The City may install or construct in or upon, or may remove from, the Project any equipment, fixtures or structures, and may make any alterations to or structural changes in, the Project. If the changes impact areas outside the City's part of the overall Project, the County shall approve the changes as well. 13. Right of Inspection. The County and Authority, through its officers, employees or agents, may enter upon the Project at any reasonable time after reasonable notice during the term of this Sublease for the purpose of inspecting the Project and 8 determining whether the City is complying with the covenants, agreements, terms and conditions of this Sublease. 14. Contractual Rights of Bondholders. Inasmuch as this Sublease, and particularly the obligation of the City to make cash rental payments to the County, provides the security for payment of the principal of and interest on the Bonds, it is hereby declared that this Sublease is made for the benefit of the holders from time to time of the Bonds as well as for the benefit of the parties and that such holders shall have contractual rights under this Sublease. In the event of any default under this Sublease on the part of the City, the County and the Authority and the holders of the Bonds shall have all rights and remedies provided by law. The parties further agree that they will not do, or permit to be done any act, and that this Sublease will not be amended in any manner, which would impair the security of the Bonds or the rights of the holders of the Bonds. An amendment of this Sublease to authorize the issuance of additional Bonds and providing the payment of additional cash rentals for the payment of such Bonds shall not be deemed to impair the security of the Bonds or the rights of the holders of the Bonds. 15. Appurtenant Facilities. The site on which this Project is to be located includes, or will include, roadways, walks, drives, parking areas and landscaping which_aref_benefit to_and necessary to the full use and enjoyment of the Project, and it is hereby agreed that such appurtenant facilities will be maintained in good repair and condition by the City and available to the users and occupants of the Project. 16. Successors and Assigns. This Sublease shall inure to the benefit of, and be binding upon, the respective parties hereto and their successors and assigns, provided, however, that no assignment shall be made in violation of the terms of this Sublease nor shall any assignment be made by the City without the approval of the County or which would impair the security of the Bonds or the rights of the holders of the Bonds. 17. Abandonment of Project. In the event none of the Bonds to finance the Project are issued by the Authority on or before December 1, 2006, the Project shall be abandoned, the City shall pay from available funds its share of expenses of the Authority incurred to the date of abandonment, and neither party shall have any further obligations under this Sublease. 18. Consents, Notices, Etc. The right to give any consent, agreement or notice required or permitted in this Sublease shall be vested, in the case of the County, in its Board of Commissioners, and in the case of the City, in its City Council. Any notice required or permitted to be given under this Sublease shall be given by delivering the same, in the case of the County, 9 to the County Clerk, and in the case of the City, to its City Clerk. 19. Changes in Law or Corporate Status. In the event there shall occur changes in the Constitution or statutes of the State of Michigan which shall affect the organization, territory, powers or corporate status of the City or the County, the terms and provisions of this Sublease shall be unaffected thereby insofar as the obligation of the City to make the cash rental payments is concerned. The proceeds of any sale or other liquidation of any interest of the City in the Project are hereby impressed with a first and prior lien for payment of any outstanding Bonds or other obligations of the Authority incurred by reason of the Project or any additions or improvements thereto. 20. Quiet Enjoyment. The County covenants that the City and the TIFA, upon compliance with the terms of this Sublease, shall and may peacefully and quietly have and hold and enjoy the Project and site thereof for the term herein provided. 21. Additional Obligations. Nothing herein contained shall in any way be construed to prevent the TIFA or the City from undertaking additional financing or incurring additional obligations under the provisions of Act 450 or any other applicable law. 22. Effective Date of Sublease. This Sublease shall become effective on the date of execution. IN WITNESS WHEREOF, the CITY OF PONTIAC as authorized by its City Council, the CITY OF PONTIAC GENERAL BUILDING AUTHORITY, by its Commission, the COUNTY OF OAKLAND, by its Board of Commissioners, and the CITY OF PONTIAC TAX INCREMENT FINANCE AUTHORITY by its Board have caused this Sublease to be signed by their duly authorized officers, and their seals to be affixed hereto, all as of the day and year first above written. las.r4-oak160 10 WITNESS: CITY OF PONTIAC By: Mayor and By: Clerk WITNESS: CITY OF PONTIAC GENERAL BUILDING AUTHORITY By: Chairman and By: Secretary COUNTY OF OAKLAND By: Chairperson, Board of Commissioners and By: County Clerk CITY OF PONTIAC TAX INCREMENT FINANCE AUTHORITY By: and By: las.r4-oak160 1 1 STATE OF MICHIGAN ) )SS. COUNTY OF OAKLAND) On this day of , the foregoing instrument was acknowledged before me by and , who are the Mayor and the Clerk of the City of Pontiac, a , on behalf of said . Notary Public County, Michigan My Commission Expires: STATE OF MICHIGAN ) )SS. COUNTY OF OAKLAND) On this day of , the foregoing instrument was acknowledged before me by and , who are the Chairman and the Secretary of the City of Pontiac General Building Authority, a , on behalf of said . Notary Public County, Michigan My Commission Expires: STATE OF MICHIGAN ) )SS. COUNTY OF OAKLAND) On this day of , the foregoing instrument was acknowledged before me by and , who are the Chairperson of the Board of Commissioners and the County Clerk of the County of Oakland, a , on behalf of said Notary Public County, Michigan My Commission Expires: 12 STATE OF MICHIGAN ) )SS. COUNTY OF OAKLAND) On this day of , the foregoing instrument was acknowledged before me by and , who are the and the of The City of Pontiac Tax Increment Finance Authority, a , on behalf of said . Notary Public County, Michigan My Commission Expires: las.r4-oak160 13 APPENDIX A PROJECT DESCRIPTION Project Description: The Project includes the acquisition of the Phoenix Center in Downtown Pontiac. The Phoenix Center is a 3 story, 2300 space above ground parking structure, with a park/amphitheater on top of the facility. The plaza was designed to accommodate fixed seating of 3,000 with additional space for 3,000 lawn seating. The stage area is approximately 2,900 square feet and includes dressing rooms, administrative area and a gathering space/dining area for performers. It is designed to accommodate major touring acts and symphony orchestras. County of Oakland Right to Use Project: The County of Oakland reserves the right to use the Project in the event of a national, state or local emergency which will require the County's Homeland Security Division to provide for any of the following: 1. The parking structure any be used to serve as a predetermined staging area for evacuees; 2. The open air structure of the parking complex may be used for any emergency vehicles or any other vehicles being used in connection with the emergency to remain running and provide temporary shelter from cold weather conditions during an emergency and/or evacuation; 3. The in and out vehicular accessibility of the Project and the 3,000 seat capacity may be used for assemblies, accountability trainings, post-incident debriefing and as a transfer site for victims and general population being moved or otherwise evacuated; 4. The inner floors of the Project may be used for dispensing supplies (food water medicine, etc..) either as a drive-thru or walk-in operation and the County shall have access for vehicles containing logistical disaster support items; 5. Both the County of Oakland and the City of Pontiac shall have the right to use the Project as central staging area for arrival, accountability and deployment of first responder units, 911 vehicles and personnel to a disaster site; and 6. The county will have the right to use the Project as a mass casualty triage location or for mass immunizations either on a drive-thru or walk-in basis. 1 Legal Description: PARCEL ID 14-29-484-006 Municipality CITY OF PONTIAC Owner(s) CITY OF PONTIAC GBA PARCEL "K" PHOENIX PARKING DECK MAILING ADDRESS OF PROPERTY OWNER 8 N. Saginaw Pontiac, MI 48342 PROPERTY DESCRIPTION T3N, R10E, SEC 29 & 32 ASSESSOR'S PLAT NO 131 LOTS 8 TO 13 INCL, PART OF LOT 45, PARTS OF LOTS 47 & 48, ALL OF LOTS 49 TO 62 INCL, PART OF LOT 64, ALL—CF LOT- 65-, PART OF LOT_6_6_, ALL OF LOT 67 & PART OF LOT 68, ALSO VAC ALLEY ADJ TO LOTS 11 & 59, ALSO PART OF VAC PERRY ST, ALSO PART OF LOTS 4 TO 14 INCL OF 'ASSESSOR'S PLAT NO 130', ALSO VAC PART OF AUBURN AVE LYING N OF 'ASSESSOR'S PLAT NO 130', ALSO THAT PART OF VAC SAGINAW ST LYING WITHIN OR ADJ TO 'ASSESSOR'S PLAT NOS 130 & 131', ALSO PART OF LOT 101 OF 'PONTIAC ORIGINAL PLAT', ALSO PART OF 'ASSESSOR'S PLAT NO 65' BEING ALL OF LOTS 1, 2 & 3, ALSO PART OF LOTS 4 & 5, ALSO PART OF VAC DAWSON ALLEY, ALSO PART OF 'ASSESSOR'S PLAT 114' BEING PART OF LOT 8, ALSO ALL OF LOTS 9, 10 & 11, ALSO PART OF LOTS 12, 13 & 14, ALSO PART OF LOT 35, ALSO PART OF LOTS 38 & 39, ALSO PART OF VAC PATTERSON AVE ALL DESC AS BEG AT PT DIST S 14-36-54 E 360.29 FT FROM NE COR OF LOT 96 OF 'PONTIAC ORIGINAL PLAT', TH N 75-13-16 E 94.87 FT, TH S 14-32-05 E 35.76 FT, TH N 75-27-55 E 35.00 FT, TH S 14-32-05 E 76.00 FT, TH N 75-27-55 E 263.00 FT, TH S 14-32-05 E 187.00 FT, TH N 75-27-55 E 121.00 FT, TH S 14-32-05 E 579.77 FT, TH N 85-36-14 W 107.83 FT, TH N 14-32-05 W 181.79 FT, TH S 75-27- 55 W 124.91 FT, TH N 14-32-05 W 2.42 FT, TH S 75-27-55 W 64.00 FT, TH S 14-32-05 E 2.42 FT, TH S 75-27-55 W 128.00 FT, TH S 14- 30-01 E 144.67 FT, TH S 75-25-42 W 96.55 FT, TH N 14-10-39 W 144.72 FT, TH S 75-27-55 W 153.93 FT, TH N 14-32-05 W 197.00 FT, TH N 75-27-55 E 54.58 FT, TH N 14-32-05 W 245.00 FT, TH S 75-27- 55 W 64.00 FT, TH N 14-32-05 W 159.00 FT, TH N 75-27-55 E 67.00 FT, TH N 14-32-05 W 52.00 FT, TH N 75-27-55 E 97.14 FT, TH N 14- 36-54 W 8.35 FT TO BEG 2 Preliminary Project Cost Estimate: Acquisition Costs, Financing Costs and Bond Discount $20,500,000 las.r4-oak160 3 APPENDIX B ESTIMATED SCHEDULE OF PRINCIPAL AND INTEREST [INSERT ESTIMATED SCHEDULES] The final debt service schedules for both bond issues will be attached to the Sublease after the bonds are sold. las.r4-oak160 4 APPENDIX C REDEMPTION PROVISIONS [TO BE INSERTED] las.r4-oak160 February 2, 2006 Resolution #06024 Moved by Douglas supported by Hatchett the resolution be adopted. Discussion followed. AYES: Gregory, Hatchett, Jamian, KowaII, Long, Melton, Molnar, Moss, Nash, Patterson, Potter, Rogers, Scott. Suarez, Wilson, Woodward, Zack, Bullard, Coleman, Coulter, Douglas, Gershenson. (22) NAYS: None. (0) A sufficient majority having voted in favor, the resolution was adopted. I HEREBY APPROVE THE FOREGOING RESOLUTION STATE OF MICHIGAN) COUNTY OF OAKLAND) I, Ruth Johnson, 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 February 2, 2006, 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 County of Oakland at Pontiac, Michigan this 2nd day of February, 2006. Rut fn n, County Clerk