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HomeMy WebLinkAboutResolutions - 2022.07.19 - 37483BOARD OF COMMISSIONERS July 19, 2022 MISCELLANEOUS RESOLUTION #22-257 Sponsored By: William Miller III Economic Development - Business Development - Resolution Approving the Memorandum of Understanding Between the County of Oakland and the Oakland County Business Finance Corporation Chairperson and Members of the Board: WHEREAS the County of Oakland and the Oakland County Business Finance Corporation ("BFC") are parties to a certain Memorandum of Understanding dated as of May 10, 2017 (which amended and restated a prior Memorandum of Understanding dated as of September 1, 1988), pursuant to which the County contributes full- time professional management and provides other valuable services and facilities to the BFC in recognition of the BFC's valuable service to the County and the business community within the County by providing small business loans under the U.S. Small Business Administration's 504 Loan Program; and WHEREAS the Memorandum of Understanding expired by its terms on May 10, 2022; and WHEREAS, the U.S. Small Business Administration required the BFC to enter into a new Memorandum of Understanding with the County in order to extend the term and to incorporate certain provisions which are necessary to address recent changes in applicable federal law governing the U.S. Small Business Administration's 504 Loan Program; and WHEREAS, the Oakland County Board of Commissioners approved a new Memorandum of Understanding on April 14, 2022; however, the U.S. Small Business Administration subsequently required additional revisions to the new Memorandum of Understanding (attached); and WHEREAS the Board of Trustees of the BFC has approved a resolution (attached) adopting the new, further revised Memorandum of Understanding, for a term of five (5) years from the date of approval, and authorizing the chairperson of the BFC to execute the new, further revised Memorandum of Understanding on behalf of the BFC; and , WHEREAS Oakland County Corporation Counsel has reviewed and approved the attached Memorandum of Understanding. NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners does hereby approve the attached Memorandum of Understanding to be entered into between the County and the BFC for a period of five (5) years from the date of approval. BE IT FURTHER RESOLVED that the Chairperson, Vice Chairperson, or any other officer of the Oakland County Board of Commissioners is hereby authorized to execute the new Memorandum of Understanding on behalf of the Oakland County Board of Commissioners. Chairperson, the following Commissioners are sponsoring the foregoing Resolution: William Miller 111. 2�dU Date: July 19, 2022 David Woodward, Commissioner Date: July 25 2022 Hilarie Chambers, Deputy County Executive II I Date: July 28, 2022 Lisa Brown, County Clerk / Register of Deeds COMMITTEE TRACKING 2022-07-13 Economic Development & Infrastructure - recommend to Board 2022-07-19 Full Board VOTE TRACKING Motioned by Commissioner Kristen Nelson seconded by Commissioner Michael Gingell to adopt the attached Resolution: Approving the Memorandum of Understanding Between the County of Oakland and the Oakland County Business Finance Corporation. Yes: David Woodward, Michael Gingell, Michael Spisz, Karen Joliat, Kristen Nelson, Eileen Kowall, Christine Long, Philip Weipert, Gwen Markham, Angela Powell, Thomas Kuhn, Chuck Moss, Marcia Gershenson, William Miller III, Yolanda Smith Charles, Charles Cavell, Penny Luebs, Janet Jackson, Gary McGillivray, Robert Hoffman, Adam Kochenderfer (21) No: None (0) Abstain: None (0) Absent: (0) Passed ATTACHMENTS 1. MOU June 29 final for EGI 2. BFC June Bd Rez revised MOU STATE OF MICHIGAN) COUNTY OF OAKLAND) I, Lisa Brown, 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 July 19, 2022, 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 Circuit Court at Pontiac, Michigan on Tuesday, July 19, 2022. �f. Lisa Brown, Oakland County Clerk /Register of Deeds MEMORANDUM OF UNDERSTANDING This Memorandum of Understanding (this "Memorandum") is entered into as of , 2022 (the "Effective Date"), by and between OAKLAND COUNTY BUSINESS FINANCE CORPORATION, a Michigan nonprofit corporation (the "BFC") and the COUNTY OF OAKLAND (the "County"), and is based upon the following: RECITALS: A. The BFC is a Certified Development Company within the meaning of 13 CFR § 120,10 (61 FR 3235, Jan. 31, 1996, as amended at 64 FR 2117, Jan. 13, 1999; 68 FR 57980, Oct. 7, 2003; 72 FR 18360, Apr. 12, 2007; 73 FR 75510, Dec. 11, 2008; 76 FR 63545, Oct. 12, 2011; 85 FR 7647, Feb. 10, 2020; 85 FR 14780, Mar. 16, 2020; 85 FR 80588, Dec. 14, 2020), and, in pursuance of its corporate purposes and objectives, has initiated, processed, closed and serviced, and is continuing to initiate, process, close and service economic development loans to certain qualified small businesses operating in the State of Michigan. B. Pursuant to 13 CFR §120.824, which governs the management of a Certified Development Company providing loans under the Small Business Administration's 504 Loan Program, the BFC is required to have full-time professional management, including an executive director (or equivalent) managing its daily operations, which management may be contributed by another non-profit entity that has economic development as one of its principal activities. C. The purposes and objectives of the BFC and their implementation are in the best interests of the County and assist in the achievement of the County's economic development goals, including increased employment and tax base. D. The County has provided and continues to provide valuable services and facilities to the BFC in recognition of the BFC's valuable service to the County and the business community within the County. E. The BFC and the County are currently operating under the terms of a Memorandum of Understanding dated as of May 10, 2017 (the "Prior Agreement") which expires by its terms on May 10, 2022, and the BFC and the County have determined that it is in their respective best interests to amend and restate the terms of the Prior Agreement so as (i) to reflect their mutual understandings regarding the continued provision of services and facilities by the County to the BFC and the BFC's payment of compensation to the County therefore, and (ii) to incorporate certain updated requirements of the Small Business Administration relating to the County's contribution of the management of the BFC. NOW, THEREFORE, in consideration for the agreements set forth in this Memorandum, the parties hereto agree as follows: 1. Contribution of Manager. The County agrees to continue to contribute the County's Administrator of Financial Services (or such'other person as the County may deem appropriate from time to time who meets the certification requirements of the U.S. Small Business Administration) to serve as the BFC's manager/executive director. The BFC's manager/executive director shall at all times remain an employee of the County, governed and bound by a uniform merit system of rules established by the County. Notwithstanding the foregoing, the County acknowledges and agrees that the Board of Trustees of the BFC shall at all times retain the authority to remove or prohibit the manager/executive director 000131944\0024\3228473,v5 from providing services to or on behalf of the BFC, regardless of the employment status of such individual by the County. 2. Provision of Additional Personnel and Services. The County agrees to continue to provide County personnel (other than that of the Administrator of Financial Services) to fill the positions of the BFC identified on the attached Exhibit A to assist with the daily operations of the BFC, and to provide such facilities as are reasonably necessary for the BFC to conduct its operations. The personnel provided to the BFC by the County shall at all times remain employees of the County, governed and bound by a uniform merit system of rules established by the County. Notwithstanding the foregoing, the County acknowledges and agrees that the Board of Trustees of the BFC shall at all times retain the authority to remove or prohibit any such personnel provided to the BFC by the County from providing services to or on behalf of the BFC, regardless of the employment status of such individual by the County. 3. Reimbursement of Additional Personnel. As consideration for the County's agreement to provide personnel to the BFC in addition to the contribution of the Administrator of Financial Services, as set forth in Paragraph 2 of this Memorandum or as may hereafter be more specifically delineated by the County and agreed to by the BFC, the BFC (and no other person or entity) shall continue to fully reimburse the County, to the extent permitted by law, for the County's payment of the salaries, including benefits, of all personnel identified on Exhibit A, which amounts shall be paid to the County promptly following completion of each periodic pay cycle of the County, it being understood and agreed that all such personnel are compensated directly by the County separate and apart from the payments made by the BFC hereunder. 4. Overhead Fee. In addition to the BFC's reimbursement to the County in accordance with paragraph 3, above, the BFC shall also pay to the County, in consideration of the County's provision of services and facilities to the BFC, an annual overhead fee of Forty Thousand and 00/100ths Dollars ($40,000.00), which fee shall be paid to the County promptly following the close of the BFC's fiscal year. 5. SBA Revolutions. The BFC and the County acknowledge and understand that the BFC is required to comply with certain rules and regulations of the SBA which are intended to ensure, among other things, that the BFC, as a Certified Development Company providing loans under the SBA 504 Loan Program, is an independent entity exercising its own discretion in connection with the SBA 504 Loan Program. In furtherance of such understanding, the BFC and the County acknowledge and agree as follows: a. That the BFC's Board of Trustees shall at all times retain sole authority and responsibility for the operations of the BFC: b. That the BFC's Board of Trustees shall at all times retain sole authority and responsibility for all SBA 504 loan approvals and SBA 504 loan servicing actions, and that such responsibility shall continue to be carried out independently of any control by the County; C. That no personnel provided to the BFC by the County pursuant to Paragraph 2, above, may be a voting or non -voting member of the BFC's Board of Trustees; d. That the County is prohibited from requiring an SBA 504 loan applicant or borrower to purchase other services from the County as a condition of any County personnel performing BFC staff or management functions; e. That all compensation required to be paid to the County hereunder shall be paid 000131944\0024\3228473. v5 solely from the BFC's processing and servicing fees and all other sources of revenue of the BFC, and that the County shall not charge any other person or entity, including an SBA 504 loan applicant or borrower, for the same services; f. That the BFC shall not be permitted to pay, and the County shall not be permitted to accept, any additional compensation from the BFC's fee income, including, without limitation, multipliers or bonuses; g. That contract payments for professional services should not exceed seventy-five percent (75%) of the BFC's 504 loan.processing and servicing fee income; h. That the BFC's Board of Trustees, the BFC's manager/executive director and all personnel provided to the BFC by the County shall at all times be required to comply with and abide by the BFC's policy regarding "conflicts of interest", as the same may be amended from time to time, and all applicable laws and regulations governing confidentiality; and i. That the BFC shall conduct a character determination on each individual performing services for or on behalf of the BFC, which determination shall be made in accordance with Part 1, Section B, Ch. 1, Para. B., Form 1081 CDC Character Determinations, of the SBA's Standard Operating Procedure as then in effect. 6. Insurance. The BFC further agrees to continue to maintain Directors' and Officers' Liability and Errors and Omissions insurance in amounts established by the SBA from time to time, based on the size of the BFC's portfolio and other relevant factors. 7. Indemnity. In recognition of the fact that the Board of Trustees of the BFC renders significant and valuable services which are directly and indirectly beneficial to the County, the County indemnifies and holds harmless such Board of Trustees, including the individual members thereof, from and against any liability arising from the negligent errors and omissions of the BFC and its Board of Trustees in the fulfillment of the terms of this Memorandum, which indemnification shall be pursuant to, and strictly in accordance with, the County's Defense and Indemnification Policy as then in effect. 8. Period of Agreement. The understandings of the parties hereto shall commence on the Effective Date and continue in full force and effect for a period of five (5) years thereafter (the "Term"). Notwithstanding the foregoing, either party may terminate this Memorandum, at any time during the Term without penalty and with or without cause, by providing at least sixty (60) days' prior written notice of such termination to the other party, in which event the understandings of the parties hereto shall terminate and be of no further force or effect from and after the date set forth in such written notice. Neither party shall have any further liability to the other following the termination of this Memorandum, except for any accrued but unpaid amounts owing under this Memorandum as of the effective date of such termination. 9. Notices. All notices or other communications pursuant to this Memorandum shall be sufficiently given and shall be deemed given when delivered by hand or on the second day following the day on which the same have been mailed by certified mail, postage prepaid, addressed as follows: if to the BFC, at 2100 Pontiac Lake Road, Waterford, Michigan 48328, Attention: Chairperson; and if to the County, at 2100 Pontiac Lake Road, Waterford, Michigan 48328, Attention: Director of Economic Development and Community Affairs. The parties may, by notice given hereunder, designate any further or different addresses to which subsequent notices or communications shall be sent. 10. Confidentiality. All notes, correspondence, entity documentation, financial information, 000131944\0024\3228473.v5 credit memoranda, loan authorizations, drafts, photographs, papers, documents and records as defined in their broadest sense (collectively "Records") which BFC allows any of the County's personnel to review and/or otherwise inspect or utilize in connection with this Memorandum shall be considered confidential. The County agrees, represents, and warrants that its personnel will only use the Records in performing the functions of and duties as set forth herein and/or otherwise in relation to his/her association with the BFC. The County shall not appropriate or otherwise use any of the Records and/or any information contained in any of the Records provided by the BFC for any purpose other than as set forth herein. This prohibition applies to, without limitation, appropriating, or disclosing, names of the BFC's customers, trade secrets, vendor names, financial information, and personal information. The BFC agrees not to disclose to any third party (other than those parties specifically related to assignments to be performed under this Memorandum) the name, address, or telephone number of any of the County's personnel without the County's or such personnel's prior approval. The BFC agrees not to disclose to any party other than SBA, the terms of compensation paid to the County personnel pursuant to this Memorandum. The BFC and County have taken all actions and secured all approvals necessary to authorize and complete this Memorandum. The persons signing this Memorandum on behalf of each party have legal authority to sign this Memorandum and bind the parties to the terms and conditions contained herein. [signatures appear on following page] 0001 31944\0024\3228473.v5 Signature Page to Memorandum of Understanding IN WITNESS WHEREOF, Stephen J. Ball, Chairperson, Oakland County Business Finance Corporation, hereby acknowledges that he has been authorized by a resolution of the Oakland County Business Finance Corporation, a certified copy of which is attached, to execute this Memorandum on behalf of the Oakland County Business Finance Corporation and hereby accepts and binds the Oakland County Business Finance Corporation to the terms and conditions of this Memorandum. 1L90 Nei ok= M David P. Ellis, President Oakland County Business Finance Corporation Date: OAKLAND COUNTY BUSINESS FINANCE CORPORATION By: Stephen J. Ball Its: Chairperson Date: IN WITNESS WHEREOF, David T. Woodward, Chairperson, Oakland County Board of Commissioners, hereby acknowledges that he has been authorized by a resolution of the Oakland County Board of Commissioners, a certified copy of which is attached, to execute this Memorandum on behalf of the Oakland County, and hereby accepts and binds the Oakland County to the terms and conditions of this Memorandum. WITNESS: BE Date: 000131944\0024\3228473.v5 OAKLAND COUNTY BOARD OF COMMISSIONERS By: David T. Woodward its: Chairperson Date: EXHIBIT A Description of Personnel Provided by County as of Fiscal Year 2022 Position' Brief Descriotion of Services Provided by County Personnel Compensation Grader Business Markets, intakes and underwrites the SBA 504 loan applications. The Loan Officer meets UNI/122 Development directly with the business applicant and interfaces with the participating financial institution Representative throughout the application and funding process. The Loan Officer presents the loan to the (currently BFC loan review committee for initial approval and then submits the application to the SBA functions as Loan for Authorization. The Loan Officer is also required to assist in some aspects of loan & Finance servicing such as loan grading and site visits. Officer) Loan Closer Works with legal counsel to prepare loan closing packages and coordinate the closing UNI/115 process for submittal and approval to the SBA, contacts and visits clients to obtain necessary documentation and verify project expenses, analyzes documentation for compliance with SBA regulations, maintains working relationship with clients, bankers, accountants, community representatives. Loan Coordinator Compiles and prepares loan application and closing packages for submittal and approval to UNI/117 SBA, analyzes application and closing documentation for compliance with SBA regulations, analyzes financial spreadsheets and performs financial analysis associated with application processing, closing and debenture sale of SBA 504 loans, meets with clients and various professionals regarding all aspects of SBA 504 loan process, facilitates coordination of the project documentation flow, assuring deadlines are met, filings complete and customers satisfied. Loan and Finance Oversees the BFC's SBA 504 loan portfolio. Creates and maintains loan servicing files, UNI/120 Officer (functions monitors all monthly payments, annual financial statements, credit reports, insurance as Portfolio coverage, UCC filings and job creation confirmation. Prepares loan -servicing documents Coordinator) for review and approval by SBA, analyzes documentation for compliance with SBA regulations. Interfaces directly with borrowers, bankers, SBA professionals, legal counsel and the Board of Trustees. Senior Business Markets, intakes and underwrites the SBA 504 loan applications. The Senior Loan Officer UNI/123 Development meets directly with the business applicant and interfaces with the participating financial Representative institution throughout the application and funding process. The Senior Loan Officer (a/k/a Senior presents the loan to the BFC loan review committee or Board of Trustees for initial Loan and Finance approval and then submits the application to the SBA for Authorization. The Senior Loan Officer) Officer is also required to assist in Some aspects of loan servicing such as loan grading and site visits. The Senior Loan Officer is also responsible for assisting in complex servicing actions that may require detailed financial analysis. 'Positions identified in this Exhibit A are current as of FY2022, and are subject to change from time to time by, and at the sole discretion of, the County. tSalary grades for each position are set forth on the attached Exhibit A-1: salary grade information is current as of FY2022, and is subject to annual increases pursuant to the County's uniform merit -based system of compensation, as they same may change from time to time by, and at the sole discretion of, the County. EXHIBIT A-1 (see attached] 000131944\0024\3228473.v 5 Organizations 169030E Business Development/Financial Services (Catherine Rasegan (17863)} Include Subordinate Organizations No Most Recent Compensation Employee ID Employee _ Hire Date Position Compensation Package Grade 2 05 Auore_v Cadieux ,254u5i 1211 Ei2510 P0001;724 LoaCre c:i ,a:o - G_ercra'. Comassacion Fac�ao= UN UNI -Ajjb eyCadieux {25405), 23E33 Kevin Ccngdon (238331 11 'C5I2008 PDG'J06b2B Business Ge-erai Compense:ion Package €3NIt123 Development Representative Sen=o; - Kevin Congdon (23833 i 2-t'4Q 'Nisiiam Zaglani•czn)� i2474D) GB122,i201- F"-3CC38C446usmn ss Ge!^era3 Compensation Pac'.<age UNIi12C+ Develop.—e,^.t Represen:a:i>e- '44s:E)am=agianiczny i2474D1 Compensation Grade Profile Full Time Salary Schedules - HCM -CR Compensation Step I Job Salary Classification Comments Profile Plan Exempt/Non-Exempt Step' Hourly I Bi -Weekly � Annual 84 30.4651 2,437.21 63,367 Business Analyst-021 01 21,7623 1,740.98 45,265 J001246 021/P Non -Exempt 12 22.8505 1,828.04 47,529 24 23.9930 1,919.44 49,905 _36_ _ 25.1925 2,015.40 52,400 48 26.4524 2,116.19 55,021 60 27.7749 2,221-99 57,772 72 29A573 _ 2,332.58 _60,647 Business Analyst-UNI 01 21.6556 1,732.45 45,044 J000072 _ UNI/114 Non -Exempt _ 12 _ 22.7068 1,816.54 _ 47,230 24 23.7584 1,900.67 49,417 36 24.8094 1,984.75 51,604 48 25.8605 2,068.84 53,790 60 26.9121 2,152.97 55,977 72 27.9633 2,237.06 58,164 84 29.0144 2,321.15 60,350 Business Development - 01 35.2746 2,821.97. 73,371 J001487 - UNI/124 Exempt - Coordinator-UNI 12 36.9870 2,958.96 76,933 24 38.6993 3,095.94 80,494 36 40.4121 3,232.97 84,057 48 42.1244 3,369.95 87,619 60 43.8369 3,506.95 91,181 72 45.5491 3,643.93 94,742 84 47.2615 3,780.92 98,304 Business Development 01 33.5950 2,687.60 69,878 J000451 UNI/123 Exempt Representative Senior-UNI 12 35.2259 2,818.07 73,270 24 36,8566 2,948.53 76,662 36 38.4875 3,079.00 80,054 48 40.1184 3,209.47 83,446 _ 60 _ 41.7493 3,339.94 86,838 72_ 43.3801 3,470.41 90,231 84 45.0108 3,600.86 93,622 Business Development 01 31.9955 2,559.64 66,551 J000073 UNI/122 Exempt Representative-UNI _ 12 33.5486_ 2,683.89 69,781 24 35.1015 2,808A2 73,011 _ 36 36.6548 _ _ 2,932.38_ 76,242 48 38.2079 3.056.63 79.472 08:07 AM 05/20/2022 Page 18 of 171 Occ Cat Professionals Professionals Professionals Professionals Professionals Classification Buyer-069 Captain-015 Case Management Accounting Specialist -U NI Case Management Coordinator- 021 Case Management Coordinator- 081 Comments Full Time Salary Schedules - HCM -CR Compensation Step Job I Salary ExemptlNon-Exempt Step I Hourly I Bi-Weekly I Annual I Profile Plan 60 39.7611 3,180.89 82,703 72 41.3144 3,305.15 85,934 84 42.8676 3,429.41 89,165 01 29.0208 2,321.66 60,363 J000076 069/120 Non -Exempt 12 30.4295 2,434,36 63,293 24 31.8383 2,547.06 66,224 36 33.2471 _ 2,659.77_ _69,154 48 34.6559 2,772.47 72,084_ 60_ _ _ 36.0648 2,885.18 75,015 72 _ 37.4735 2,997.88 77,945 84 38.8824 3,110.59 80,875 01 48.5414 3,883.31 100,966 J000732 0151A Exempt 12 50,1608 4,012.86 104,334 24 51,7843 4,142.74 107,711 01 21,6556 1,732.45 45,044 J001764 UNI/114 Non -Exempt 12 22.7068 1,816.54 47,230 24 23.7584 1,900.67 49,417 36 24.8094 1,984.75 51,604 48 25.8605 2,068.84 53,790 60 26.9121 2,152.97 55,977 72 27.9633 2,237.06 58,164 84 29.0144 2,321.15 60,350 01 23.9930 1,919.44 49,905 J000634 021/H Non -Exempt 12 25.1925 2,015.40 52,400 24 26.4524 2,116.19 55,021 36 27.7749 2,221.99 57,772 48 29.1636 2,333.09 60,660 60 30.6221 2,449.77 63,694 72 32.1461 2,571.69 66,864 01 23.8755 1,910.04 49,661 J001776 081/116 Non -Exempt 12 25.0344 _ _ 2,002.75_ _ 52,072 24 26.1934 _ 2,095.47 _ _ 54,482 36 27.3524 2,188.19 56,893 48 28.5113 2,280.90 59,303 60_ _ 29.6703 2,373.62 61,714 72 30.8296 2.466.37 64.126 08:07 AM 05/20/2022 Page 19 of 171 Occ Cat Professionals Officials and Administrators Office and Clerical Professionals Professionals Classification Loan Closer-UNI Loan Coordinator-UNI Locksmith-067 Mail & Distribution Clerk-UNI Comments Mail & Distribution Leader-091 Full Time Salary Schedules - HCM -CR 08-07 AM 05/20/2022 Page 93 of 171 Compensation Step I Job Salary Profile Plan Exempt/Non-Exempt Occ Cat Step I Hourly Bi -Weekly ( Annual I 72 37.4735 2,997.88 77,945 84 38.8824 3,110.59 80,875 01 22.7384 1,819.07 47,296 J001023 UNI/115 Non -Exempt Paraprofessional 12 23.8423 1,907.38 49,592 24 24.9460 _ 1,995.68 51,888 36 26.0499 2,083.99 _ 54,184 48 _ _ 27.1536 _ 2,172.29 56,480 60 282575 2,260.60_ 58,776 72 29.3613_ 2,348.90 _ 61,071 84 30.4651_ _ 2,437.21 _ 63,367 01 25.0690 2,005.52 52,144 J001025 UNI/117 Non -Exempt Professionals 12 26.2861 2,102.89 54,675 24 27.5031 2,200.25 57,207 36 28,7200 2,297.60 59,738 48 29.9371 2,394.97 62,269 60 31.1541 2,492.33 64,801 72 32.3706 2,589.65_ 67,331 84 33.5878 2,687.02 69,863 01 22.7384 1,819.07 47,296 J000299 067/115 Non -Exempt Protective Service Workers 12 23.8423 1,907.38 49,592 24 24.9460 1,995.68 51,888 36 26.0499 2,083.99 54,184 48 27.1536 2,172.29 56,480 60 28.2575 2,260.60 58,776 72 29.3613 2,348.90 61,071 84 30.4651 2,43721 63,367 01 16.1600 1,292.80 33,613 J001358 UNI/108 Non -Exempt Technicians 12 16.9441 1,355.53 35,244 24 177289 1,418.31 36,876 36 18.5130 1,481.04 38,507 48 19.2978 1,543.82 _ 40,139_ 60 20.0819 1,606.55 41,770 72 20.8665_ 1,669.32 43,402 84 21.6508 1,732.06 45,034 01 _ 16.9676 1,357.41 35,293 J001674 091/109 Non -Exempt Office and Clerical 12 17.7913 1,423.30 37,006 _ 24 18.6150 1,48920 38,719 36 19.4388 1,555.10 40,433 48 20.2625 1.621.00 42.146 RESOLUTION OF THE BOARD OF TRUSTEES OF OAKLAND COUNTY BUSINESS FINANCE CORPORATION APPROVING MEMORANDUM OF UNDERSTANDING WHEREAS, Oakland County Business Finance Corporation (the "Corporation") and the County of Oakland (the "County") are parties to a certain Memorandum of Understanding dated as of May 10, 2017, pursuant to which the County contributes full-time professional management and provides other valuable services and facilities to the Corporation in recognition of the Corporation's valuable service to the County and the business community within the County; and WHEREAS, the term of the Memorandum of Understanding expired on May 10, 2022, and the Board of Trustees of the Corporation has determined that it is in the best interests of the Corporation to continue the Corporation's relationship with the County in order to continue to provide SBA 504 loans to borrowers in the most cost-effective manner possible and thus assist in the achievement of the County's economic development goals, including increased employment and tax base; and WHEREAS, the Corporation desires to enter into a new Memorandum of Understanding with the County in order to continue the foregoing relationship and to incorporate certain recent changes to the provisions of a "professional services contract" pursuant to 13 CFR §120.824; and WHEREAS, the U.S. Small Business Administration (the "SBA") has reviewed the Memorandum of Understanding attached to these By -Laws as Exhibit A, and has determined that the attached Memorandum of Understanding includes the pertinent provisions of a "professional services contract" pursuant to 13 CFR §120.824; and WHEREAS, the SBA requires that the Corporation's Board of Trustees approve the Memorandum of Understanding pursuant to a resolution containing certain statements mandated by the SBA; and WHEREAS, after discussion and due consideration, and upon motion duly made and seconded, the Board of Trustees of the Corporation hereby adopts the resolutions set forth herein; NOW, THEREFORE, BE IT HEREBY RESOLVED, that the Board of Trustees does hereby approve and adopt the attached Memorandum of Understanding (a copy of which the Secretary is instructed to file with this Resolution), for a term of five (5) years, subject only to final approval of the SBA and subsequent execution of the Memorandum of Understanding by the Corporation; and BE IT HEREBY FURTHER RESOLVED, that the Board of Trustees further states and provides as follows: i.) That the Board of Trustees retains and exercises all corporate powers and authority and is responsibility for all corporate actions and business of the Corporation, as required in 13 CFR §120,823; 000131944\0024\3228531.v2 ii.) That the Board of Trustees has determined that, based on the long-standing arrangement between the County and the Corporation under the original Memorandum of Understanding entered into on September 1, 1988 and continued under the Memorandum of Understanding entered into on May 10, 2017, and in light of the unique relationship between the County and the Corporation, the compensation paid to the County pursuant to the attached Memorandum of Understanding, as well as the term thereof, is reasonable and customary for similar services in the area and such compensation is actually less than the Corporation would likely otherwise be required to pay to outside contractors; iii.) That the Board of Trustees shall at all times retain sole authority and responsibility for all SBA 504 loan approvals and SBA 504 loan servicing actions, and that such responsibility shall continue to be carried out independently of any control by the County; iv.) That the Board of Trustees has determined that entering into the Memorandum of Understanding does not create any actual or apparent conflict of interest or self -dealing on the part of any of the Corporation's officers, management, and staff, including any members of the Board of Trustees or the Corporation's SBA 504 Loan Committee; V.) That the Memorandum of Understanding is in compliance with 13 CFR §§120.823, 120.824 and 120.825 and applicable SBA 504 Loan Program Requirements; vi.) That the Board of Trustees understands that the Memorandum of Understanding is subject to pre -approval and yearly review by the SBA; and vii.) That the Board of Trustees understands that the Corporation is required to submit the Memorandum of Understanding with the Corporation's Annual Report and does not constitute a request for pre -approval. BE IT HEREBY FURTHER RESOLVED, that the Chairperson, Vice Chairperson, or any other officer of the Corporation is hereby authorized to execute the Memorandum of Understanding on behalf of the Corporation. CERTIFICATE OF SECRETARY The undersigned certifies that she is the duly elected and acting Secretary of Oakland County Business Finance Corporation (the "Corporation"), and that the foregoing Resolutions were duly adopted and ratified at a meeting of the Board of Trustees of the Corporation, duly noticed, called, held and attended on June 28, 2022, at the Corporation's registered offices. Catherine J. Rasegan, Secretary 000131944\0024\3228531.v2