HomeMy WebLinkAboutResolutions - 2009.12.09 - 9735MISCELLANEOUS RESOLUTION 109299 December 9, 2009
BY: PLANNING AND BUILDING COMMITTEE, JOHN SCOTT, CHAIRPERSON
IN RE: PLANNING AND ECONOMIC DEVELOPMENT SERVICES DIVISION RESOLUTION
APPROVING PROJECT PLAN (NORTH AMERICAN BANCARD, INC. PROJECT) - CITY OF TROY
To Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen:
WHEREAS The Economic Development Corporation of the County of Oakland
(the has recommended that the Board of Commissioners approve the
Project Plan required by the Economic Development Corporations Act (the "Actu)
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 Troy, Oakland County,
Michigan, has also approved the Project Plan and given its consent to the
exercise of juri s diction over the Project by the EDC; and
WHEREAS the Beard of Commissioners has held a public hearing to consider
whether the Pro j ect 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.
BE IT FURTHER RESOLVED that the Oakland County Board of Commissioners
hereby certifies and approves the Project Plan.
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.
BE IT F-JRTHER RESOLVED that the County Clerk is hereby directed to
provide tour certified copies of this resolution to the Assistant Secretary of
the Board of the EDC.
Chairperson, on behalf of the Planning and Building Committee, 1 move
the adoption of the forecToing resolution.
PLANNING AND EU.XDTWG COMMITTEE
PLANNING & BUILDING COMMITTEE VOTE!
Motion carried unanimously on a roll call vote.
IV. A DESCRIPTION OF THE CONSTRUCTION OR STAGES OF
CONSTRUCTION PLANNED, AND THE ESTIMATED TIME OF COMPLETION OF EACH
STAGE:
Plans are presently being finalized and substantial construction is expected to commence in
January, 2010. Definitive timeline will be established by the general contractor but has not yet
been determined.
V. A DESCRIPTION OF THE PARTS OF THE PROTECT AREA TO BE LEFT
AS OPEN SPACE AND THE USE CONTEMPLATED FOR THE SPACE:
All work will be within the existing facility and there is expected to be no changes to any open
space within the Troy Concept Center.
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 Expected/Not Applicable.
VIII. A DESCRIPTION OF THE PROPOSED METHOD OF FINANCING THE
PROJECT, LNCLUDING ATTACHMENT OF A COPY OF THE LETTER OF CREDIT OR
BOND PURCHASER'S COMMITMENT LETTER:
Issuance of S2,500,000 EDC bonds
5
PROJECT PLAN
SUN/MARY DESCRIPTION OF
250 STEPHENSON PROJECT
OWNER OF PROJECT:
North American Bancard, Inc.
CONTACT PERSON: (Name, address, telephone number)
Howard N. Morof, CFO
North American Bancard, Inc.
250 Stephenson Hwy.
Troy, MI 48083
LOCATION OF PROJECT: (Local municipality)
Troy, Michigan
PROJECT AREA/DISTRICT AREA: See Exhibit A
Building located at 250 Stephenson Hwy., Troy, Michigan
NATURE OF PROJECT:
Reconstruction and retrofit of interior space at 250 Stephenson Hwy.
EMPLOYNIENT CREATED OR RETAINED:
Approximately 290 retained employees with additional capacity to add in excess of 50 additional
staff over the next year, plus capacity for expansion thereafter,
TOTAL PROJECT COST:
S2,500,000
BONDS TO BE ISSUED:
$2,500,000
LETTER OF CREDIT ISSUER OR BOND PURCHASER:
Letter of Credit Issuer; Comerica Bank
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
COM1vIUNITY, AND THE ESTIMATED CAPACITY OF PRIVATE AND PUBLIC
HOUSING AVAILABLE TO DISPLACED FAMILIES AND INDIVIDUALS:
Not Applicable.
XIV. A PLAN FOR ESTABLISHING PRIORITY FOR THE RELOCATION OF
PERSONS DISPLACED BY THE PROJECT IN NEW HOUSING IN THE PROTECT 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
7
PROJECT PLAN
STATUTORILY REQUIRED INFORMATION REGARDING
250 STEPHENSON 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:
Project is within the 250 Stephenson Hwy building on the northwest corner of 14 mile road and
Stephenson Hwy. and located in the three building complex known as the Troy Concept Center.
Legal description of Project Area attached as Exhibit A,
II. A DESCRIPTION OF EXISTING IMPROVEMENTS LN THE PROIECT AREA
TO BE DEMOLISHED, REPAIRED, OR ALTERED; A DESCRIPTION OF REPAIRS AND
ALTERATIONS; AND AN ESTIMATE OF THE TIME REQUIRED FOR COMPLETION:
Within the existing building, parts of the third floor shall be demolished and reconstructed to suit
the specific use of North American Bancard, Inc. This includes substantial improvements to the
data center, backup power generation capabilities and installation of new work stations,
employee break areas, and conference rooms. Additional project scope will include
improvements to the first floor for supplies storage., employee break and cafeteria, office build
out and related electrical, sprinkler, heating and cooling improvements required throughout the
building. Project will also include enhancements to the building's security systems.
Completion is expected June, 2010.
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:
Location will be at the 250 Stephenson Hwy facility, and total estimated project cost is
$2,500,000. Completion is expected June, 2010.
4
Exhibit A
PROJECT AREA LEGAL DESCRIPTION
Copy of Letter of Credit or bond purchaser's commitment letter attached as Exhibit B.
IX, A STATEMENT REGARDYG 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:
Officers and Executives of North American Bancard, Inc.
Marc A. Gardner, CEO/President
Howard N. Morof, CFO
Gordon Rimac, VP of IT
Gary Rutledge, COO
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:
North American Bancard, Inc. is presently the sole tenant in the facility. Mr. Gardner is the sole
shareholder of North American Bancard, Inc., and 250 Stephenson Associates, LLC, the owner
of the 250 Stephenson facility,
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
BEDDING FOR THE LEASING, PURCHASING OR CONVEYING OF THE PROJECT
UPON ITS COMPLETION:
Not Applicable,
6
Exhibit B
LETTER OF CREDIT OR
BOND PURCHASER'S COMMITMENT LETTER
i
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
8
1//:c., it• Dated:
By:
Its:
Exhibit C
COMPANY CERTIFICATE REGARDING
TRANSFER OF EMPLOYMENT
250 Stephenson Project
The undersigned, North American Bancard, Inc., a Michigan 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 Act4ct 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 250 Stephenson 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 transfeiTing
employment of more than 20 full-time persons from a municipality (as that term is defined in the
Act) of this State to Troy, 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,
North American Bancard, Inc., a
Michigan Corporation
C- I
!-,td-itt-ofxd r 1-r.som: 10:esu et;
F,XHIB1T A
LEGAL DESCRIPTION OF THE LAND
!Rep) estate located in the City of Troy, Oakland County, Michigan described more
particularly as follows.
Unit 2, Troy Concept Center, a. condominium, according to the Master Deed recorded
in Liber 24972, page 416 and ament rents thereto (if any), Oakland County Records,
and designate as Oakland County Condominium Subdivision Plan No. 1418, togethet
vvith rights in general common elements and limited 00111Mon elements as set forth in
thc above Master Deed, and amendments thereto, and as described in Act 59 of the
Public Acts of 1978, as amended.
Commonly known as: 250 Stephenson Highway, Troy, W 48083-1117
Tax Panel Number: 20-35-327-0251 1
To be updated with updated title
100 YJ.IX1Cl LECAL_VS_E # 779927?
Cometica Bank Comerica Tows.- at Dorn,' come.
=nu
November 6, 2009
Mr. Marc tiardner
President
North American Bancard,
250 Stephenson
Troy, Mi 48083
Dear Marc,
We are pleased to confirm that Comerica Bank ("Bank") has approved a Letter of Credit ("LOC")
to support an Economic Development Corporation of the County of Oakland ("EDC") tax exempt
bond financing of up to $2,500,000 principal axriount for renovation and improvements to your
existing facility within the City cf Troy, Michigan and operated by North American Bamard,
(the "Obligor"), This letter is the Bank's offer to commit to said LOC to support such financing,
subject to the terms and conditions described in the approval and to documentation satisfactory in
form and content to Bank, BUM ., Long, PC, as Bond Counsel, the EDC, and subject to an
appropriate volume cap allocation by ivlichigan Department of Treasury.
This offer to commit shall expire at Bank's option if (a) Bank has not received Oblitlor's
acceptance by the Acceptance Date, or (b) there is a material adverse change in the financial
condition and affairs of Obligor from that represented to Bank.
We wilt help in any way we can and look forward to working with you on this Project. Please
call me at any time if there are any questions on the content of this letter or the contemplated
transaction.
Very truly yours,
COMERICA BANK
Daniel J. Rousner
Vice President
THE ECONOMIC DEVELOPMENT CORPORATION
OF THE COUNTY OF OAKLAND
Oakland County, Michigan
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
- Letter of Credit or Bond Purchaser's Commitment Letter
"C" - Company Certificate Regarding Transfer of Employment
- Company Certificate Regarding Payment of Prevailing Wages
Other
By:
Its:
Exhibit I)
COMPANY CERTIFICATE REGARDING
PAYMENT OF PREVAILING WAGES
250 Stephenson Project
The undersigned, North American Bancarci, Inc., a Michigan 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 250 Stephenson 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.
North American Bancard, Inc., a
Michigan Corporation
Dated:
BI-1 561467v1
PROJECT PLAN CERTIFICATION
Dated:
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 CONTANED 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,
By: Howard N. Morof
North American Bancard, Inc.
Its: Chief Financial Officer
IQ /16 9,
3
Resolution #09299 December 9, 2009
Moved by Middleton supported by McGillivray the resolutions (with fiscal notes attached) on the amended
Consent Agenda oe adopted (with accompanying reports being accepted and appointments being
confirmed).
Discussion followed.
Vote on Consent Agenda:
AYES: Burns. Capello, Coleman, Coulter, Douglas, Gershenson, Gingeil, Gosselin. Greimel,
Hatchett, Jackson, Jacobsen, Long. McGillivray, Middleton, Nash, Potter, Potts, Runestad,
Schwartz, Scott, Taub, Woodward, Zack, Bullard. (25)
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 and appointments being
confirmed).
THE FOREGOING RESOLUTION
/z-P 4-1/01 STATE OF MICHIGAN)
COUNTY OF OAKLAND)
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 December
9, 2009, 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 9th day of December, 2009
ede
Ruth Johnson. County Clerk