Loading...
HomeMy WebLinkAboutReports - 2023.09.21 - 40565 AGENDA ITEM: Grant Acceptance for Michigan Economic Development Corporation (MEDC) Strategic Outreach and Attraction Reserve (SOAR) Fund Pilot Grant DEPARTMENT: Economic Development MEETING: Board of Commissioners DATE: Thursday, September 21, 2023 9:30 AM - Click to View Agenda ITEM SUMMARY SHEET COMMITTEE REPORT TO BOARD Resolution #2023-3300 Motion to approve the grant agreement and accept the grant funding from the Michigan Economic Development Corporation in the amount of $2,000,000 for the grant period of October 1, 2022 through December 31, 2025; further, authorizes the Chair to execute the grant agreement upon final review and approval of Corporation Counsel and to approve any grant extensions or changes and amends the FY 2023 budget as detailed in the Schedule A - Budget Amendment. ITEM CATEGORY SPONSORED BY Grant Yolanda Smith Charles INTRODUCTION AND BACKGROUND The Michigan Economic Development Corporation (MEDC) has awarded Oakland County’s Economic Development Department pilot grant funding in the amount of $2,000,000. The grant is the result of Oakland County’s request for a supplemental budget appropriation which was approved by the Michigan legislature. This is the first year the County has been awarded the Strategic Outreach and Attraction Reserve (SOAR) Fund Grant to support business retention efforts focused on small and medium enterprises (SMEs). The funding will be used to provide flexible funding intended to meet specific challenges faced by Oakland County’s cities, villages, townships, and developers conducting eligible activities on, or related to, strategic sites in Oakland County. This will include enhancing business retention and expansion efforts focused on domestic and international firms, creating new jobs, and stimulating new investments in Oakland County by creating a countywide inventory of investment-ready sites. The total program budget consists of the following: $400,000 for consultants/outside contractors, $100,000 for marketing, $500,000 for construction (incl. water & electrical infrastructure), $200,000 for general administration, $500,000 for sub-grants/scholarships, and $300,000 for road infrastructure. The grant has completed the grant review process. The acceptance of the grant does not obligate the County to any future commitment and continuation of the grant program is contingent upon future levels of grant funding. There is no County match required. POLICY ANALYSIS BUDGET AMENDMENT REQUIRED: Yes Committee members can contact Michael Andrews, Policy and Fiscal Analysis Supervisor at 248.425.5572 or andrewsmb@oakgov.com, or the department contact persons listed for additional information. CONTACT Sean Carlson, Deputy County Executive II Jeanne Broad, Director Economic Development ITEM REVIEW TRACKING Aaron Snover, Board of Commissioners Created/Initiated - 9/21/2023 AGENDA DEADLINE: 09/21/2023 9:30 AM ATTACHMENTS 1. MEDC SOAR Pilot Grant - Schedule A 2. MEDC SOAR Grant Review Sign-Off 3. MEDC SOAR Grant Agreement - Case-381283 COMMITTEE TRACKING 2023-09-20 Economic Development & Infrastructure - Recommend and Forward to Finance 2023-09-20 Finance - Recommend to Board 2023-09-21 Full Board - Adopt Motioned by: Commissioner Charles Cavell Seconded by: Commissioner Yolanda Smith Charles Yes: David Woodward, Michael Spisz, Karen Joliat, Kristen Nelson, Christine Long, Robert Hoffman, Philip Weipert, Gwen Markham, Angela Powell, Marcia Gershenson, Janet Jackson, Yolanda Smith Charles, Charles Cavell, Brendan Johnson, Ajay Raman (15) No: None (0) Abstain: None (0) Absent: William Miller III, Gary McGillivray, Michael Gingell, Penny Luebs (4) Passed Oakland County, Michigan ECONOMIC DEVELOPMENT, PLANNING AND LOCAL BUSINESS DEVELOPMENT - MICHIGAN ECONOMIC DEVELOPMENT CORPORATION (MEDC) STRATEGIC OUTREACH AND ATTRACTION RESERVE (SOAR) FUND PILOT GRANT Schedule "A" DETAIL R/E Fund Name Division Name Fund # (FND) Cost Center (CCN) # Account # (RC/SC) Program # (PRG) Grant ID (GRN) # Project ID # (PROJ) Regio n (REG) Budget Fund Affiliate (BFA) Ledger Account Summary Account Title FY 2023 Amendment FY 2024 Amendment FY 2025 Amendment R Other Grants Planning & Local BusinessFND11011 CCN1090201 RC615571 PRG171000 GRN-1004246 615000 State Operating Grants $-$1,000,000 $1,000,000 Total Revenues $-$1,000,000 $1,000,000 E Other Grants Planning & Local BusinessFND11011 CCN1090201 SC730373 PRG171000 GRN-1004246 730000 Contracted Services -1,000,000 1,000,000 Total Expenditures $-$1,000,000 $1,000,000 GRANT REVIEW SIGN-OFF – Economic Development and Community Affairs/Marketing GRANT NAME: MEDC Strategic Outreach and Attraction Reserve (SOAR) Grant FUNDING AGENCY: Michigan Economic Development Corporation (MEDC) DEPARTMENT CONTACT: Dominique Holmes STATUS: Acceptance (Greater than $50,000) DATE: 09/18/2023 Please be advised that the captioned grant materials have completed internal grant review. Below are the returned comments. The Board of Commissioners’ liaison committee resolution and grant acceptance package (which should include this sign- off and the grant agreement/contract with related documentation) may be requested to be placed on the agenda(s) of the appropriate Board of Commissioners’ committee(s) for grant acceptance by Board resolution. DEPARTMENT REVIEW Management and Budget: Approved – by Shannon Lee on behalf of Sheryl Johnson (09/12/2023) Human Resources: Approved by Human Resources. No position impact – Heather Mason (09/12/2023) Risk Management: Approved. No County insurance requirements contained in document. – Robert Erlenbeck (09/12/2023) Corporation Counsel: The SOAR grant agreement, as presented, contains unacceptable indemnification and insurance language in Section XV. Oakland County cannot agree to indemnify, defend, or hold harmless MEDC, its Board, officers, directors, employees, or agents. As a governmental entity and a Michigan Municipal and Constitutional Corporation, Oakland County is prohibited by state law from indemnifying a third party. See Michigan Municipal Liability & Property Pool v Muskegon County Bd of County Rd Comm, 235 Mich App 183 (1999); OAG, 197701978, No 5305, p 436 (May 3, 1978). Corporation Counsel has asked that Economic Development reach out to the MEDC grant administrator and request that all indemnification language be removed and proposed the alternative language "Each party to this Agreement will remain responsible for any claims arising out of that party's performance of this Agreement as provided by this Agreement or by law. This Agreement is not intended to increase or decrease either party's liability for or immunity from tort claims. This Agreement is not intended to nor will it be interpreted as giving either party a right of indemnification, either by Agreement or at law, for claims arising out of the performance of this agreement. Additionally, we requested the following language be added to the agreement: Nothing herein shall be construed as a waiver of any governmental immunity. that has been provided to the Subcontractor or its employees by statute or court. decisions. Section XV also contains unacceptable insurance language. Bob Erlenbeck requested the insurance language be changed to allow governmental self-insurance. Corporation Counsel and Risk Management frequently request that indemnification and insurance language be removed or changed, and the other party is usually receptive and accommodating. As of 9/19/2023 still being reviewed by Heather Lewis DocuSign Envelope ID: AB836B95-37F6-4BB9-A002-3C30DB78BA94 DocuSign Envelope ID: AB836B95-37F6-4BB9-A002-3C30DB78BA94 DocuSign Envelope ID: AB836B95-37F6-4BB9-A002-3C30DB78BA94 DocuSign Envelope ID: AB836B95-37F6-4BB9-A002-3C30DB78BA94 DocuSign Envelope ID: AB836B95-37F6-4BB9-A002-3C30DB78BA94 DocuSign Envelope ID: AB836B95-37F6-4BB9-A002-3C30DB78BA94 DocuSign Envelope ID: AB836B95-37F6-4BB9-A002-3C30DB78BA94 DocuSign Envelope ID: AB836B95-37F6-4BB9-A002-3C30DB78BA94 DocuSign Envelope ID: AB836B95-37F6-4BB9-A002-3C30DB78BA94 8/16/2023 DocuSign Envelope ID: AB836B95-37F6-4BB9-A002-3C30DB78BA94