Local Development Finance Authority

CITY OF STERLING HEIGHTS Regular Meeting of the LOCAL DEVELOPMENT FINANCE AUTHORITY 6633 18 Mile Road, Sterling Heights 586-884-9322 VELOCITY BUILDING February 19, 2019 8:00 AM MEETING CALLED TO ORDER PLEDGE OF ALLEGIANCE ROLL CALL APPROVAL OF AGENDA APPROVAL OF MINUTES OF January 15, 2019 Regular Meeting NEW BUSINESS 1. To approve final project payment for LDFA Improvements Phase I. 2. Quarterly Update – Oakland University OLD BUSINESS PUBLIC COMMENT ADJOURNMENT  CITY OF STERLING HEIGHTS LOCAL DEVELOPMENT FINANCE AUTHORITY Draft MINUTES OF THE REGULAR MEETING January 15, 2019 – 8:00 a.m. 6633 18 Mile Road, Sterling Heights, MI 48314 586-884-9322 Velocity Building Phil Hunsberger called the meeting to order at 8:00 a.m. Pledge of Allegiance Members present at roll call: David Corba, Ellanore Evans, Phil Hunsberger, Laurel Johnson, John Lettang, Steve Pomaville, Jim Ruma, Jill Tomyn, Corey Venetis Members absent: Stephanie Eagen, Robert Ljucovic, Fred Molnar, Camille Silda, Orest Zachary Also in attendance: Jason Castor, City Development Director – City of Sterling Heights; Kathryn Quell, Management Services Specialist – City of Sterling Heights; Larry Herriman, Executive Director – Macomb OU Incubator Motion to Approve the Agenda Moved by Ruma, supported by Evans, to approve the agenda as presented. Ayes: All Nays: None Motion carried. Motion to Approve the Minutes of December 18, 2018 Regular Meeting Moved by Lettang, supported by Venetis, to approve the minutes as presented. Ayes: All Nays: None Motion carried. New Business To approve the Lease Renewal Agreement between Defense Center Executive Group, LLC and the Local Development Finance Authority (LDFA). Ms. Quell presented a Lease Renewal Agreement for the time period of January 1, 2019 thru December 31, 2019 between Defense Center Executive Group, LLC and the Local Development Finance Authority (LDFA) for spaces #1-A, #1-B and #1-G consisting of approximately 77, 77, 560 square feet at a rate of $679.00/month. Moved by Evans, supported by Lettang to approve the Lease Renewal Agreement between the Defense Center Executive Group, LLC and the Local Development Finance Authority (LDFA). Ayes: All Nays: None Motion carried. To approve the Lease Renewal Agreement between Jetco Solutions and the Local Development Finance Authority (LDFA). Ms. Quell presented a Lease Renewal Agreement for the time period of February 1, 2019 thru January 31, 2020 between Jetco Solutions and the Local Development Finance Authority (LDFA) for space #1-D consisting of approximately 237 square feet at a rate of $322.00/month. Moved by Pomaville, supported by Johnson to approve the Lease Renewal Agreement between Jetco Solutions and the Local Development Finance Authority (LDFA). Ayes: All Nays: None Motion carried. To approve the Lease Renewal Agreement between Microcide, Inc. and the Local Development Finance Authority (LDFA). Ms. Quell presented a Lease Renewal Agreement for the time period of February 1, 2019 thru January 31, 2020 between Microcide, Inc. and the Local Development Finance Authority (LDFA) for space #2-G consisting of approximately 1554 square feet at a rate of $1064.00/month. Moved by Ruma, supported by Venetis to approve the Lease Renewal Agreement between Microcide, Inc. and the Local Development Finance Authority (LDFA). Ayes: All Nays: None Motion carried. To approve the 2019/2020 Budget Proposal for the Local Development Finance Authority (LDFA). Ms. Quell presented the 2019/2020 Budget Proposal for the Local Development Finance Authority. This proposal will be presented to and approved by City Council and then presented to the LDFA Board in June for adoption. Moved by Lettang, supported by Evans to approve the 2019/2020 Budget Proposal for the Local Development Finance Authority (LDFA). Ayes: All Nays: None Motion carried. Old Business Board Members Report Public Comment None Adjournment Moved by Venetis, supported by Evans to adjourn. Ayes: All Nays: None Motion carried. The meeting adjourned at 8:22 am. Kq  Interoffice Memorandum Date: January 31, 2019 To: Kathryn Quell, Building Services Specialist From: Jason Castor Jason Castor, City Development Director Subject: LDFA Improvements Phase 1, Project Update, City Project CP#17-295 Provided is a final summary of the project. Let me know if you have any questions. GENERAL INFORMATION: At the April 24, 2017 LDFA Business meeting, the LDFA awarded the bid for the subject project in the amount of $496,765.55 to Anglin Civil, LLC. The project has been successfully completed and all project specifications have been met. Therefore, the City is preparing to make final payment which is anticipated to occur at the Regular City Council meeting on March 5, 2019. TECHNICAL INFORMATION: The final contract price of $451,062.91 is less than the original contract price of $496,765.55 by $45,702.64, or 9.2%. This decrease in part was due to reduced quantities and eliminating electrical work at Mitchell Drive and Velocity entrance due to infrastructure in place at the time of construction. The electrical infrastructure at Mitchell Drive was not in place when this project was bid and resulted in project savings through unused funds set aside for DTE electrical permits. Attached please find the final pay estimate for LDFA Improvements Phase 1, CP#17-295 releasing retainage held. Also attached is the contractor’s request for final payment and agreeance of final quantities, contractor’s declaration, contractor’s affidavit, and consent of surety. STAFF ANALYSIS AND FINDINGS: All work has been successfully completed and the necessary paperwork submitted to enable the City to proceed with final payment. Suggested Action: MOVED BY: SECONDED BY: RESOLVED, to approve final payment to Anglin Civil, LLC, in the amount of $39,952.32 plus interest on retainage, for LDFA Improvements Phase 1, City Project #17-295. Attachment