Local Development Finance Authority
Regular MeetingSterling Heights, MI · May 21, 2019
Minutes
CITY OF STERLING HEIGHTS
LOCAL DEVELOPMENT FINANCE AUTHORITY
Approved
MINUTES OF THE REGULAR MEETING
May 21, 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 8:05 a.m.
Pledge of Allegiance
Members present at roll call: David Corba, Ellanore Evans, Phil Hunsberger, Laurel Johnson,
Steve Pomaville, Jim Ruma, Camille Silda, Corey Venetis
Members absent: Stephanie Eagen, John Lettang, Robert Ljucovic, Fred Molnar, Jill Tomyn,
Orest Zachary
Also in attendance: Luke Bonner, CEO Bonner Advisory Group, Senior Economic Development
Advisor – City of Sterling Heights; Jason Castor, City Development Director – City of Sterling
Heights; Kathryn Quell, Management Services Specialist – City of Sterling Heights; Dr. David
Stone, Associate Vice President-Research – Oakland University; Larry Herriman, Executive
Director – Macomb OU Incubator, Vicky Rad, Director – Macomb County Planning and
Economic Development; George Hartmann – George J. Hartmann Architects, PC
Motion to Approve the Agenda
Moved by Venetis, supported by Ruma, to approve the agenda as presented.
Ayes: All
Nays: None
Motion carried.
Motion to Approve the Minutes of April 16, 2019 Regular Meeting
Moved by Silda, supported by Johnson, to approve the minutes as presented.
Ayes: All
Nays: None
Motion carried.
New Business
Presentation of the Macomb Robotics Collaboration and Innovation Center.
Ms. Vicky Rad stated that the Macomb Robotics Collaboration and Innovation Center creates a
triple purpose: incubation, workshops and linking students to the business community. The
Center will be the first after school program for K-12 students. The physical space of the Center
will be at Velocity. Approximately 6,000 square feet of the Velocity building will be committed
to the Center. The Collaboration Center at Velocity will be the site for testing. A three-year
Lease Agreement is being created. The 1st year will be in-kind by the City of Sterling Heights
with $0 rent. The 2nd and 3rd years will be in the amount of $90,000/year. In order to
accommodate the Center, tenants may be relocated to other suites in the building. Budgetarily
we have the ability to absorb the one year in-kind donation from the LDFA city capture. By a
supporting letter, the City is covering the cost gap and modifications of renting the space. The
Macomb Robotics Collaboration and Innovation Center will tie together Oakland University,
Cyber, Students and Businesses and fully utilize the Velocity building. Further updates will
continually be presented to the LDFA Board.
Moved by Silda, supported by Evans to approve an in-kind donation of a one-year Lease for the
Macomb Robotics Collaboration and Innovation Center at Velocity.
Ayes: All
Nays: None
Motion carried.
Presentation of Co-Working Space.
Mr. Hartmann, President of George J. Hartman Architects, P.C., presented conceptual drawings
of the proposed Co-Working Space at Velocity. Based on these conceptual ideas, a more defined
layout, along with financial projections, will be presented to the LDFA Board at the next
meeting.
Old Business
Board Members Report
Public Comment
None
Adjournment
Moved by Pomaville, supported by Johnson to adjourn.
Ayes: All
Nays: None
Motion carried.
The meeting adjourned at 9:19 am.
Kq
Minutes Approved 9/05/2019
John Lettang
Secretary
Agenda
CITY OF STERLING HEIGHTS
Regular Meeting of the
LOCAL DEVELOPMENT FINANCE AUTHORITY
6633 18 Mile Road, Sterling Heights
586-884-9322
VELOCITY BUILDING
May 21, 2019
8:00 AM
MEETING CALLED TO ORDER
PLEDGE OF ALLEGIANCE
ROLL CALL
APPROVAL OF AGENDA
APPROVAL OF MINUTES OF April 16, 2019 Regular Meeting
NEW BUSINESS
1. Presentation of the Macomb Robotics Collaboration and Innovation Center
by Vicky Rad, Director, Macomb County Department of Planning and
Economic Development.
2. Approval of in-kind donation by City of Sterling Heights for Robotics
Collaboration Center at Velocity.
3. Presentation of Co-Working Space by George Hartman, President, George
J. Hartman Architects, P.C.
OLD BUSINESS
PUBLIC COMMENT
ADJOURNMENT
CITY OF STERLING HEIGHTS
LOCAL DEVELOPMENT FINANCE AUTHORITY
Draft
MINUTES OF THE REGULAR MEETING
April 16, 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 8:02 a.m.
Pledge of Allegiance
Members present at roll call: Stephanie Eagen, Ellanore Evans, Phil Hunsberger, Laurel Johnson,
John Lettang, Steve Pomaville, Camille Silda, Jill Tomyn, Corey Venetis
Members absent: David Corba, Robert Ljucovic, Fred Molnar, Jim Ruma, Orest Zachary
Also in attendance: Luke Bonner, CEO Bonner Advisory Group, Senior Economic Development
Advisor – City of Sterling Heights; Jason Castor, City Development Director – City of Sterling
Heights; Kathryn Quell, Management Services Specialist – City of Sterling Heights; Dr. David
Stone, Associate Vice President-Research – Oakland University; Larry Herriman, Executive
Director – Macomb OU Incubator
Motion to Approve the Agenda
Moved by Silda, supported by Evans, to approve the agenda as presented.
Ayes: All
Nays: None
Motion carried.
Motion to Approve the Minutes of February 19, 2019 Regular Meeting
Moved by Pomaville, supported by Lettang, to approve the minutes as presented.
Ayes: All
Nays: None
Motion carried.
New Business
To approve the Lease Agreement between STEAMBOX and the Local Development
Finance Authority (LDFA).
Ms. Quell stated that Mr. Couchman, a current tenant of Velocity, has two companies –
STEAMBOX and Live Picture. Due to increased activities in both businesses, Mr. Couchman is
requesting to occupy a second suite in the building to separate the two entities. It is requested
that the LDFA Board approve a Month-to-Month Lease Agreement commencing on March 15,
2019 for space #2-C consisting of 593 square feet at a rental rate of $650.00/month.
Additionally, STEAMBOX will provide 25% of net revenue generated from classes.
Moved by Evans, supported by Tomyn to approve the Lease Agreement between STEAMBOX
and the Local Development Finance Authority (LDFA).
Ayes: All
Nays: None
Motion carried.
To approve the Lease Agreement between Coliant Corporation and the Local Development
Finance Authority (LDFA).
Ms. Quell stated that Coliant Corporation, a former tenant of Velocity, is still an incubating
company and is requesting the LDFA Board approve a Month-to-Month Lease Agreement
commencing on May 1, 2019 for space #3-H consisting of 695 square feet at a rental rate of
$600.00/month.
Moved by Lettang, supported by Venetis to approve the Lease Agreement between Coliant
Corporation and the Local Development Finance Authority (LDFA).
Ayes: All
Nays: None
Motion carried.
To approve the Lease Agreement between UltraLevel, Inc. and the Local Development
Finance Authority (LDFA).
Trisha Ballard, CEO of UltraLevel presented that her company provides IT/Data Center
Solutions. Also providing the security of networks and Cloudsafe, protecting data systems and
providing disaster recovery. UltraLevel is not an incubating company. UltraLevel is requesting
LDFA Board approval of a Month-to-Month Lease Agreement commencing on March18, 2019
for space #2-I consisting of 799 square feet at a market rental rate of $1130.00/month.
Moved by Venetis, supported by Evans to approve the Lease Agreement between UltraLevel,
Inc. and the Local Development Finance Authority (LDFA).
Ayes: All
Nays: None
Motion carried.
To approve the Lease Agreement between The County of Macomb through the Macomb
County Planning and Economic Development and the Local Development Finance
Authority (LDFA).
Ms. Quell stated that the Macomb County Department of Planning and Economic Development
supports the International Landing Zone at Velocity. The program was suspended and is now
being restarted. Macomb County is requesting LDFA approval of a Month-to-Month Lease
Agreement commencing on March 14, 2019 for space “Cubicle” consisting of 54 square feet at a
rental rate of $250.00/month.
Moved by Lettang, supported by Johnson to approve the Lease Agreement between The County
of Macomb through the Macomb County Planning and Economic Development and the Local
Development Finance Authority (LDFA).
Ayes: All
Nays: None
Motion carried.
To approve the Lease Agreement between CBRNergetics USA, Inc. and the Local
Development Finance Authority (LDFA).
Ms. Quell stated that CBRNergetics USA, Inc. is a tenant of the International Landing Zone
(ILZ) through Macomb County Planning and Economic Development. CBRNergetics USA, Inc.
works in the defense industry. Approval of a Lease Agreement commencing on March 14, 2019
for $0 is requested.
Moved by Venetis, supported by Eagen to approve the Lease Agreement between CBRNergetics
USA, Inc. and the Local Development Finance Authority (LDFA).
Ayes: All
Nays: None
Motion carried.
Update – Oakland University
Dr. David Stone stated that OU has an R & D accelerator program and they are working to help
mid size companies to thrive. OU has hired a professor and a student to conduct a study. There
are three phases to the study. First phase is interviews with a dozen companies. In depth
interviews in regards to their ecosystem, logics of innovation and challenges. The second phase
is to develop a longer survey to 100 companies to get a broader understanding of needs and
struggles of innovation. Third phase is host a forum to discuss the findings. The outcome is to
give strength to companies that are the backbone of manufacturing in the area. Oakland
University is anticipating reporting back to the Board mid summer.
Mr. Herriman demonstrated the Instagram site that he created: velocity.oakland.university to
become more visible and spotlight activities at Velocity.
Old Business
Board Members Report
Public Comment
None
Adjournment
Moved by Venetis, supported by Eagen to adjourn.
Ayes: All
Nays: None
Motion carried.
The meeting adjourned at 8:35 am.
Kq
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