HomeMy WebLinkAboutResolutions - 2006.11.01 - 28270November 2, 2006
MISCELLANEOUS RESOLUTION #06212
BY: PLANNING AND BUILDING COMMITTEE, CHARLES E. PALMER, CHAIRPERSON
IN RE: PLANNING AND ECONOMIC DEVELOPMENT SERVICES DIVISION RESOLUTION
APPROVING PROJECT PLAN (OAKLAND STEINER SCHOOL PROJECT)- CITY OF ROCHESTER
HILLS
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 Rochester Hills, 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 unanimously on a roll call vote
THE ECONOMIC DEVELOPMENT CORPORATION
OF THE COUNTY OF OAKLAND
Oakland County, Michigan
Oakland Steiner School 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
OAKLAND STEINER SCHOOL PROJECT
OWNER OF PROJECT: Oakland Steiner School
CONTACT PERSON: Lisa Peyser, Business Coordinator, Robert Patterson, Board President
or William Kennis, board member.
3976 South Livemois, Rochester Hills, MI 48307
(248) 299-8755 ext 11
LOCATION OF PROJECT: Rochester Hills
3976 South Livemois, Rochester Hills, MI 48307
PROJECT AREA/DISTRICT AREA: See Exhibit A
SIDWELL #15-33-476-026: T3N, R11E, SEC 33 Homestead Acres Lots 105, 106, 107.
SIDWELL #15-33-476-027: T3N. R1 1E, SEC 33 PART OF SE 1/4 BEG AT SE SEC COR, TH
N 88-15-00 W 396 FT, TH N 01-00-00 E 361 FT, TH S 88-00-00 E 338 FT, TH S 08-15-00 E
365 FT TO BEG 3 AB576.
SIDWELL #15-33-476-014: T3N. R11, SEC 33 HOMESTEAD ACRES LOTS 1 TO 7 INCL.
NATURE OF PROJECT: Purchase and preserve the historically significant Stiles School
building and property to continue its use as a school.
EMPLOYMENT CREATED OR RETAINED: 38
TOTAL PROJECT COST: $1.800,000.00
BONDS TO BE ISSUED: $1,500.000.00
LETTER OF CREDIT ISSUER OR BOND PURCHASER:
Fifth Third Securities
1000 Town Center, Suite1400
Southfield, MI 48075
DATE AND EXPIRATION DATE OF LETTER OF CREDIT OR BOND PURCHASE
COMMITMENT:
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
THE PROJECT PLAN PERTAINS.
OAKLAND STEINER SCHOOL
Its:
Dated:
reck,s
2
PROJECT PLAN
STATUTORILY REQUIRED INFORMATION REGARDING
OAKLAND STEINER SCHOOL 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 is an existing building and property known as the Stiles School (formerly part of the
Avondale School District) located at 3976 South Livernois in Rochester Hills. The site is situated
on the northwest corner of Livernois Road and South Boulevard in section 33 at the southern
border of Rochester Hills. The overall site is approximately 7.15 acres more or less. The site is
"L" shaped. The site has approximately 861.30 feet of frontage on Livernois Road and 597.00
feet on South Boulevard.
The school building is near the southeast corner of the property. It consists of a one- and two-
story school built in 1929 to 1967. The total building contains approximately 34,222 SF plus a
partial basement. The building has masonry and steel construction with brick and stucco exterior
walls and a gable roof for the 2-story section and flat built roof for the 1-story sections.
The school is surrounded by newer development. Houses built in the 1970s and 1980s have been
constructed on parcels to the west. Houses constructed in the 1980s are on parcels to the north.
Across South Blvd. in the city of Troy there is a mix of 1980s and 1930s houses. Across
Livernois to the east are two 1960s area office buildings and a mix of houses constructed.
Appraisal indicated that the best use of the property is for continued use as a school.
Property described as:
Parcel 1: Lots 1 through 7, both inclusive and Lots 105. 106 and 107, Homestead Acres
Subdivision, according to the plat thereof as recorded in liber 50, pages(s) 60 of Plats, Oakland
County Records.
Parcel 2: Part of the southeast V4 of section 33, town 3 north. range 11 east, City of Rochester
Hills, Oakland County, Michigan, beginning at southeast section corner, thence north 88 degrees
15 minutes 00 seconds west 396 feet; thence north 01 degree 00 minutes 00 seconds east 361
feet; thence south 88 degrees 00 minutes 00 seconds east 338 feet; thence south 08 degrees 16
minutes 00 seconds east 365 feet to beginning
Parcel Identification Nos.
15-33-476-014, 15-33-476-026 and 15-33-476-027
Legal description of Project Area attached as Exhibit A.
3
II. 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:
No demolition, repairs or alterations current planned.
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:
None
IV. A DESCRIPTION OF THE CONSTRUCTION OR STAGES OF
CONSTRUCTION PLANNED, AND THE ESTIMATED TIME OF COMPLETION OF EACH
STAGE:
None
V. A DESCRIPTION OF THE PARTS OF THE PROJECT AREA TO BE LEFT
AS OPEN SPACE AND THE USE CONTEMPLATED FOR THE SPACE:
Currently the playground and soccer field (over half the property) are open space and there are
no plans to change the use.
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:
None
4
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 property was purchased by Oakland Steiner School from the Avondale school district on
August 31, 2006 for $1,800,000. Supporters of the school provided the down payment of
$360,000 and the remainder was financed through a S1,440,000 bridge loan from Fifth Third
bank as we proceed with the bond approval process.
Fifth Third Bank has provided a letter of credit for $1,500,000
Copy of Letter of Credit or bond purchaser's commitment letter attached as Exhibit B.
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:
Robert Patterson, Board President
William Kennis, Board Member
Lisa Peyser, Business Coordinator
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:
None
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:
None
XIII. 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:
None
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
Oakland Steiner School 248 2998755 P. a
Oakland Steiner School
3976 S. Livernois Rd.
Rochester Hills, Ml 48307
General Description:
The property is located on the northwest corner of Livc:rnois Road and South Boulevard,
generally known as the Stiles Elementary School site. It consists of an approximately
33,208 square foot school building located on approximately eight acres of land. The
address is 3976 South LiVeMOiS Road, Rochester Hills, MI 48307. The property is zoned
One Family Residential.
Legal Description: -
SIDWELL #15-33-476-026: T3N, RUE, SEC 33 HOMESTEAD ACRES LOTS 105,
106 & 107,
SIDWELL #15-33-476-027: T3N, R1 1E, SEC 33 PART OF SE 1/:4 BEG AT SE SEC
COR, TH N 88-15-00 W 396 FT, TH N 01-00-00 E 361 FT, TH S 88-00-00 E 338 FT,
TH S 08-15-00 E 365 FT TO BEG 3 _AB576.
SIDWELL #15-33-476-014: T3N, R11E, SEC 33 HOMESTEAD ACRES LOTS 1 TO 7
INCL.
04/14/05 THU 15:36 [TX/RX NO 7053]
ED
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OakMa
NORTH
1 inch equals 100
2006 Aerials
L. Brooks Patterson
Oakland County Executive Discleimw: The Information provided herewith has been compiled from recorded deeds,
plats, tax maps, surveys arid other public records. It is not a legally recorded map or
survey and is not intended to be used as one. Users should consult the inforrnation
sources mentioned above when questions arise.
Legend
Pares+ Lines
CVT Boundaries
Core:tun
Section Lines
* Survey Corners
FEMA Data
aim Base Flood Bedew
Cross Becton
Floodeey
Floodplain
IS too yr app., at 100 yr detailed
11111 500 yr
Oakland County Pfanninp and Economic Development Services 1200 North Teleareoh Road Bido. 34 East Pontiac. MI 48341 Web: htity/Nnwr oakum norninss Phone: 248-858-0720
Exhibit B
LETTER OF CREDIT OR
BOND PURCHASER'S COMMITMENT LETTER
Sincerely.;
Kimberly R. Za
Vice President
Fifth Third Bank
Kimberly R. Zszula. Vice President
Fifth Third Bank, Eastern Michigan
Public Funds, Non-Pret Group
1D00 Town Center, Suite 1400
Southfield, MI 40076
24S/603-0548
240/603-0752 (fas)
October 16, 2006
Mary P. Langhauser
Supervisor Financial Services
Oakland County Economic Development Corporation
1200 North Telegraph Road
Pontiac, Ml 45341
Dear Ms. Langhauser.
This letter is to advise that, subject to approval, Fifth Third Bank will issue a Letter of Credit not to
exceed $1,520,000 to support the issuance of a tax-exempt variable rate bond to Oakland Steiner
School.
Please feel free to contact me if further information is required.
Exhibit C
COMPANY CERTIFICATE REGARDING
TRANSFER OF EMPLOYMENT
(Oakland Steiner School Project)
The undersigned, Oakland Steiner School, a Michigan nonprofit corporation (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 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 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 Oakland Steiner School 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 Rochester Hills, 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.
OAKLAND STEINER SCHOOL,
a Michigan nonprofit corporation
Its: –7—re CIS
By:
Dated: ( 6-, '
By:
Its:
Exhibit D
COMPANY CERTIFICATE REGARDING
PAYMENT OF PREVAILING WAGES
(Oakland Steiner School Project)
The undersigned, Oakland Steiner School. a Michigan nonprofit 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 Oakland Steiner School 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.
OAKLAND STEINER SCHOOL,
a Michigan nonprofit corporation
c'r 61 -Er fTh C41-11.
Dated: t -
BH 790617v1
Resolution #06212 November 2, 2006
Moved by Moss supported by Coleman the resolutions (with fiscal notes attached) on the amended
Consent Agenda, be adopted (with accompanying reports being accepted).
AYES: Coleman, Coulter, Crawford, Douglas, Gershenson, Gregory, Hatchett, Jamian, KowaII,
Long, Melton, Moss, Nash, Palmer, Potter, Rogers, Suarez, Wilson, Woodward, Zack,
Bullard. (21)
NAYS: None. (0)
A sufficient majority having voted in favor, the resolutions (with fiscal notes attached) on the amended
Consent Agenda, were adopted (with accompanying reports being accepted )•
rMIlda
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 November 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 November, 2006.
Ruth Jefnson, ffunty Clerk