Local Development Finance Authority

CITY OF STERLING HEIGHTS LOCAL DEVELOPMENT FINANCE AUTHORITY Approved MINUTES OF THE REGULAR MEETING June 16, 2020 – 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 8:01 a.m. Pledge of Allegiance Members present at roll call: David Corba, Phil Hunsberger, Laurel Johnson, John Lettang, Steve Pomaville, Camille Silda, Howard Sizemore, Jill Tomyn, Corey Venetis Members absent: Stephanie Eagen, Ellanore Evans, Robert Ljucovic, Fred Molnar, Jim Ruma Also in attendance: Luke Bonner, CEO Bonner Advisory Group, Senior Economic Development Advisor – City of Sterling Heights; Marc Kaszubski, City Attorney – O’Reilly Rancilio PC; 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 Venetis, supported by Lettang, to approve the agenda as presented. Ayes: All Nays: None Motion carried. To consider termination of Program Services Agreement between the Sterling Heights Local Development Finance Authority and Oakland University dated November 15, 2018, and authorize issuance of an RFP for entrepreneurial services. Mr. Bonner explained Local Development Finance Authority; a Development Plan and Tax Increment Finance Plan and how the financing works including eligible expenditures. Mr. Bonner discussed the structure of Velocity and other SmartZones State-Wide. He said, through an RFP, the LDFA would seek proposals for a new service provider. The proposals would be narrowed down to the top three finalists plus Oakland University would be a finalist automatically if they chose to submit. Mr. Herriman introduced representatives from: NuBox, Coliant/Powerlet, Giddeon Tech Labs, Keihin North America, Leadership Macomb and SBDC to speak about their relationship with Macomb OU-Incubator. Mr. Herriman said Macomb OU-Incubator has established connections and works to assist in funding. He also spoke of Macomb OU-Incubator’s relationship with clients. Dr. Stone spoke of changing providers in the midst of the COVID crisis and Macomb OU-Incubator accomplishments. Mr. Sizemore asked the speakers if their companies were in Macomb County. They responded yes. Ms. Johnson inquired why terminate before the new service provider is determined. Mr. Bonner stated that there is a 60-day notification and it coincides with the new fiscal year which avoids pro-rating. Mr. Corba asked if the RFP will follow guidelines. Mr. Bonner stated that the City’s purchasing director will be posting the RFP and providing the eligible candidates. Once the candidates are reviewed, finalists will be chosen to present to the LDFA Board. A review of the RFP will be at the next LDFA meeting. Mr. Hunsberger said the LDFA Board will vote: To terminate the Program Services Agreement between the Sterling Heights Local Development Finance Authority and Oakland University dated November 15, 2018, and authorize issuance of an RFP for entrepreneurial services. David Corba – yes Phil Hunsberger – yes Laurel Johnson – yes John Lettang – yes Steve Pomaville – yes Camille Silda – no vote; request to recuse Howard Sizemore – yes Jill Tomyn – yes Corey Venetis - yes Ayes: All Nays: None Motion carried. Old Business Public Comment None Adjournment Moved by Lettang, supported by Pomaville to adjourn. Ayes: All Nays: None Motion carried. The meeting adjourned at 9:28 am. Kq Minutes Approved 6/23/2020 John Lettang Secretary