Local Development Finance Authority

CITY OF STERLING HEIGHTS Regular Meeting of the LOCAL DEVELOPMENT FINANCE AUTHORITY 40555 UTICA ROAD 586-884-9322 CITY COUNCIL CHAMBERS November 20, 2013 5:30 PM MEETING CALLED TO ORDER PLEDGE OF ALLEGIANCE ROLL CALL APPROVAL OF AGENDA APPROVAL OF MINUTES OF October 30, 2013 Special Meeting NEW BUSINESS 1. To approve the Lease Agreement between Coliant Corporation, and the Local Development Finance Authority (LDFA). 2. To approve the Lease Agreement between CFO Leasing, and the Local Development Finance Authority (LDFA). 3. Election of Officers: Chairman Vice-Chairman Treasurer Secretary Appointment of Deputy Treasurer Appointment of Deputy Secretary 3. Set 2014 Meeting Schedule OLD BUSINESS BOARD MEMBERS REPORT PUBLIC COMMENT ADJOURNMENT  CITY OF STERLING HEIGHTS LOCAL DEVELOPMENT FINANCE AUTHORITY Draft MINUTES OF THE SPECIAL MEETING OCTOBER 30, 2013 – 5:30 p.m. 40555 Utica Road, Sterling Heights, MI 48313 586-446-2489 City Council Chambers Victor Martin called the meeting to order at 5:30 p.m. Pledge of Allegiance Members present at roll call: Stephen Cassin, David Corba, Phillip Hunsberger, John Lamerato, Victor Martin, Casey Sobczak, Jill Tomyn Members absent: Lori Doughty, Stephanie Eagen, Richard Kincaid, John Lettang, David Wilson, Orest Zachary Also in attendance: Barry Hicks, Economic Development Manager, Julie Gustafson, Director Macomb-OU INCubator Motion to Approve the Agenda Moved by Sobczak, supported by Lamerato, to approve the agenda as presented. Ayes: All Nays: None Motion carried. Motion to Approve the Minutes of August 21, 2013 Regular Meeting Moved by Lamerato, supported by Cassin, to approve the minutes as presented. Ayes: All Nays: None Motion carried. New Business To approve the lease agreement between Microcide, Inc. and the Local Development Finance Authority (LDFA). Mr. Martin asked if Microcide would be willing to bear the expense of installing a fan, if necessary. Mr. Hicks stated that the question was never posed to Microcide. Mr. Corba inquired as to whether Microcide is already an established company and do they qualify then as a tenant of the incubator. Ms. Gustafson stated that Microcide has had little commercialization of their products and are still in an R & D mode. Mr. Corba inquired as to how many employees. Ms. Gustafson stated that Microcide consists of two employees. Moved by Cassin, supported by Lamerato to approve lease agreement Ayes: All Nays: None Motion carried. Old Business None Board Members Report None Public Comment Mr. Corba inquired as to the status of the request of the LDFA board for an update on the agreement between the LDFA, OU INCubator and Oakland University. Ms. Gustafson stated that a partners meeting was recently held and attended by Macomb County, Oakland University and Sterling Heights. Ms. Gustafson responded that a potential meeting might occur between the attorneys representing the City of Sterling Heights and Oakland University to further discuss negotiations. Mr. Hunsberger inquired if the existing contract is in jeopardy of expiring. Ms. Gustafson replied that it is not near expiration. Adjournment Moved by Sobczak to adjourn. Ayes: All Nays: None Motion carried. The meeting adjourned at 5:42 pm KQ  LDFA Business Sterling Heights, Michigan 11/20/13 AGENDA STATEMENT OMB AS03 Rev. 11/04 Item Title: To approve the Lease Agreement between Coliant Corporation, and the Local Development Finance Authority (LDFA) Submitted By: Barry Hicks, Economic Development Manager 586-884-9327 Executive Summary Attached for LDFA review is a December 1, 2013 to November 30, 2014 lease agreement between Coliant Corporation and the LDFA. Coliant Corporation has signed a standard lease agreement for space #2-H in section 2 of the building containing approximately 845 square feet of space. Monthly rent will be $630.00 for a 12-month period. Coliant designs, manufactures, and sells rugged electrical accessories to maximize the comfort, convenience and safety of motorcyclists worldwide. Coliant is also exploring entrance into additional markets as well. They have three products that include: Powerlet which has both a U.S. and Canadian patent and is a system power outlet kit with cables customized for use on a motorcycle in order to power cell phones, I-pods and other electronic accessories; Rapid Fire heated patented clothing; and Luggage Electrix which are electronic storage containers customized for motorcycles—this product has several patents in both the U.S. and Canada. Currently they have a 4,000 square foot facility in Warren and occupy space #2-F, consisting of 824 square feet, at the Macomb-OU INCubator. They are in need of additional space and therefore have signed for a second space. Coliant is an accelerator client with the incubator. The Macomb-OU INCubator has helped them secure $500,000 to expand their operations through the Michigan pre-seed fund, The First Step Fund and private funds. Suggested Action: MOVED BY: SECONDED BY: RESOLVED: to approve the Lease Agreement between Coliant Corporation, and the Local Development Finance Authority (LDFA).  LDFA Business Sterling Heights, Michigan 11/20/13 AGENDA STATEMENT OMB AS03 Rev. 11/04 Item Title: To approve the Lease Agreement between CFO Leasing, Inc., and the Local Development Finance Authority (LDFA) Submitted By: Barry Hicks, Economic Development Manager 586-884-9327 Executive Summary Attached for LDFA review is a December 1, 2013 to November 30, 2014 lease agreement between CFO Leasing, Inc. and the LDFA. CFO Leasing, Inc. has signed a standard lease agreement for space #1-F in section 1 of the building containing approximately 344 square feet of space. Monthly rent will be $395.00 for a 12-month period. CFO Leasing, Inc. is a HUBZone/Service Disabled Veteran-Owned small business that provides services, training and consulting in the areas of: Accounting, Finance, Information Technology, Human Resources Management, Administrative Services and General Management Services. Our key personnel have multiple I/T, HR and accounting certifications and designations with over 30 years of experience with the Federal Government. CFO Leasing is authorized by NASBA to award continuing education credits (CPEs) for the training courses that it designs and delivers. CFO Leasing will utilize the space at the Macomb-OU INCubator to pursue prime contract opportunities in the areas of IT, specifically system design, implementation and network engineering. They will also provide consulting support to assist federal contracts with back- office support and federal compliance. Suggested Action: MOVED BY: SECONDED BY: RESOLVED: to approve the Lease Agreement between CFO Leasing, Inc., and the Local Development Finance Authority (LDFA).  2014 MEETING SCHEDULE CITY OF STERLING HEIGHTS LOCAL DEVELOPMENT FINANCE AUTHORITY Wednesday, January 15, 2014 Wednesday, February 19, 2014 Wednesday, March 19, 2014 Wednesday, April 16, 2014 Wednesday, May 21, 2014 Wednesday, June 18, 2014 Wednesday, July 16, 2014 Wednesday, August 20, 2014 Wednesday, September 17, 2014 Wednesday, October 15, 2014 Wednesday, November 19, 2014 Wednesday, December 17, 2014 The Sterling Heights Local Finance Development Authority (LDFA) meets at 5:30 pm in the Council Chambers of City Hall (40555 Utica Road, Sterling Heights, MI 48313). *The meetings typically take place on the third Wednesday of the month unless otherwise noted above. All meetings are open to the public.