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HomeMy WebLinkAboutLansing Building Authority 2005 Minutes SI�C OFFICE OF THE CITY A.TTORiNEY MEMORANDUM TO: Chris Swope, City Clerk FROM: Mary Jo Powell, Legal Assistant DATE: March 13,2007 RE: Filing Request: Minutes of a Special Meeting of the Lansing Building Authority held on December 16, 2005 Please file the attached original minutes referenced above which were approved Nov -be -ber.3�0, 2006, at a Special Meeting of the Lansing Building Authority. ty' Thank you. s} `GO Attachment Approved at the Special Meeting of the LBA on 11/30/06 - r �• a MINUTES OF A SPECIAL MEETING OF U� THE LANSING BUILDING AUTHORITY =' co HELD ON DECEMBER 16, 2005, 10:30 a.m. Members Present: William Bergman, Interim Public Service Director, Chair Glenn Kirk, Finance Director, Treasurer Paul Novak, City Attorney, Secretary Others Present: Jack Roberts, Law Department Sheila Wheeler, Finance Department Andy Kilpatrick, Transportation Department Ron Boji Patrick Reid, Attorney for Mr. Boji Mary Jo Powell, Recording Secretary, City Attorney's Office The meeting was held in the Public Service Department, 71h Floor Conference Room, and was called to order by William Bergman, at 10:35 a.m.; roll call was taken and a quorum was present. 1. APPROVAL OF MINUTES a. December 8, 2005, Regular Meeting of the Lansing Building Authority; and b. December 13, 2005, Special Meeting of the Lansing Building Authority Motion was made by Paul Novak to approve the December 8, 2005 Regular Meeting minutes; supported by Glenn Kirk; minutes approved by 3-0 vote. Discussion ensued regarding minor changes to minutes of the December 13, 2005, Special Meeting. Motion was made by Glenn Kirk to approve the December 13, 2005 Special Meeting minutes,with changes; supported by Paul Novak; minutes approved by 3-0 vote. 2. REVIEW AND APPROVE DMB PARKING LEASE Andy Kilpatrick handed out a Proposed Townsend Ramp Pro Forma showing the differences over 30 years, and $20,000,000 in reserves. Mr. Kilpatrick explained that DMB is requesting a change to their agreement, consisting of 250 parking spots, with 400 possible spaces leased. Mr. Kilpatrick then presented an Addendum to Lease for LBA consideration. He pointed out that the Lease contained language that would provide for 30 day cancellation for cause provision, as well as 90 day cancellation for no cause provision. 1 Approved at the Special Meeting of the LBA on 11130106 Discussion ensued regarding interest income/loss and increase in the annual rate. Andy stated that DMB is pushing to get this signed. Glen Kirk inquired as to whether we got conceptually, that which we asked for? Mr. Kilpatrick responded"yes, conceptually." LBA member Novak questioned Mr. Kilpatrick's statement. Mr. Novak expressed his concern regarding the effect of the proposed DMB lease on the existing DMB lease,the lease of the other spaces and the total impact of all the leases. Mr. Novak reviewed the history regarding the City's acquisition of the property and execution of the SOM lease. He referred to language in House Bill 4547 and specifically the language that the "City will cause (the) spaces"to be available to the senate. He observed that this did not require the City to specifically provide the spaces at the $40 per space senate rate. He then discussed the value of the senate parcel acquired by the City and that the established purchase price was $820,000 and that it was through a swap for 19 acres of property of approximately equal value at the airport. He further observed that if$820,000 was the real value of the property at the time of transfer, and the market rate for lease spaces on the property at the time of acquisition was $85 per space, then the lower senate rate per space would have been capitalized over time to establish the true value of the property at the time of acquisition. Mr. Novak calculated that the difference between the $85 per space, as market rate, and the $40 per space over the statutory 50 years would result in a negative value of the property at time of acquisition of 14.8 million dollars. Clearly, if this had been the intent of the parties, the City would never have taken on the obligation nor built the ramp. A copy of House Bill 4547 addressing the lease of senate spaces was provided by Mr. Kilpatrick. Paul Novak pointed out that the State can be contractually obligated at a higher rate than the senate employee pays the state and still comply with HB 4547. He also pointed out that Section 12.7 of the State of Michigan lease acknowledges compliance with the HB, and that the lease shows that it was "prepared by" and "approved as to form" by the Attorney General's Office, and that it was also approved by the State Ad Board. Mr. Novak concluded that the current interpretation suggested by the AG does not make any sense. The State of Michigan signed the lease and the Senate is not a party to the lease. He also acknowledged that there are a number of ramps around the state of MI where the state pays more for each space then the state employees' are charged. Mr. Kilpatrick then provided copies of the proposed new lease agreement between the City and the State, and advised the committee of a letter he received from MEDC. Mr. Boji then addressed the committee regarding the inaccuracy of the Accident Fund leased spaces calculation listed in the Pro Forma. He recalled that Accident Fund lease was assigned to the City, and the number of spaces was spelled out in that lease. Mr. Reid stated that he thought the new State lease seemed to be acceptable to the City, but the Senate lease is not. He suggested approval of the new State lease and renegotiation of the Senate lease. He further offered that the City could make a modification to the State lease and approve it"subject to" satisfactory resolution of the Senate lease. 2 Approved at the Special Meeting of the LBA on 11130106 Paul Novak was reluctant to lock into something without talking with the State first. Jack Roberts stated his understanding that the State lease and Senate lease are looked at as one unit, not separate. Discussion ensued regarding the number of spaces currently leased and the rate at which they are leased, under the existing lease with State of Michigan. It was pointed out that approval of the State lease addendum, without there being an agreement between the City and State on the proposed Senate lease, would put the LBA/Lansing in violation of HB 4547. It was discussed that the State is not currently making payment for its leased spaces. Paul Novak made a motion to immediately invoice the State for spaces currently under permit under the existing State lease at the existing lease rate; supported by Glenn Kirk; motion carried 3-0. Glenn Kirk restated that the proposal before the LBA was from DMB, and they were requesting approval of the addendum to the lease contract. Andy Kilpatrick interjected that the Addendum removes any reference to Senate employees and changes the number of spaces to be leased. Glenn Kirk stated that he was concerned that if approved, the addendum would become the new standard for rates, since the language in the Addendum states "changes or replaces"but is not an addition to the original contract. Mr. Kirk further stated that the Addendum needs to be an addition, or add on, to the original lease, and not a change to the original terms. An addendum should state "this in no way alters the terms of the original lease," and the document before the LBA does not state that. He stated that he could not go along with the addendum because he believes it would set a precedent and put the LBA in violation of the HB requirements to provide the Senate spaces. Mr. Kirk added, however, that he does support the concept of adding additional spaces at the original rate with the 3% escalator when the lease is hammered out with the State. Paul Novak added that assuming the State commitment to abide by the terms of the original State of Michigan December 18, 2001 lease is confirmed,then he conceptually supports the structure of the additional leased spaces being requested by the State and the proposed modification being requested by Boji Group of Lansing to reduce its required permit spaces. Mr. Kirk concurred with Mr. Novak, and conceptually agrees with modification being requested by Boji Group of Lansing subject to original State of Michigan lease confirmation. Andy Kilpatrick then requested that the letter from MEDC be entered into the record as it relates to TIF revenue. Discussion ensued regarding the TIF and the projects affected. Finally, all the members concurred that the addendum being requested by DMB was not in a form to be approved at this time. 3. Other Business: None 3 Approved at the Special Meeting of the LBA on 11130106 4. Public Comment: None 5. Adjourn: Glenn Kirk made a motion to adjourn; Paul Novak supported the motion; the meeting was adjourned by unanimous vote, 3-0, at 11:55 a.m. Recorded and qubrnit4 by: ��. - P Mary Jo P 1, Recording Secretary Legal Assist t, City Attorney's Office 4 Approved by the LBA at a IV E Cl Special Meeting on 12116105 �; ni _1; Pi�� 12 00 MINUTES OF A SPECIAL MEETING OF THE LANSING BUILDING AUTHORITY -.. I ��JLI..i\ � HELD ON DECEMBER 13, 2005, 3:00 p.m. Members Present: William Bergman, Interim Public Service Director, Chair Glenn Kirk, Finance Director, Treasurer Paul Novak, City Attorney, Secretary Others Present: Sheila Wheeler, Finance Department William Danhoff, Attorney with Miller Canfield Julia Baker, Legal Assistant with Miller Canfield Mary Jo Powell, Recording Secretary, City Attorney's Office The meeting was held in the Law Department, 5th Floor Conference Room, and was called to order by William Bergman, at 3:05 a.m.; roll call was taken and a quorum was present. 1. APPROVAL OF REFUNDING BONDS Mr. Danhof gave a brief overview of the refunding bonds and explained that he was there to obtain approval from the Authority for refinancing of the 1995 and 1998 bonds. He further explained that the City has requested debtservice tend the bonds for three (3)years. He presented a e provide for in the existing bonds and the refunding would resolution for approval which outlines the establishment of the bonds and the refunding purposes. He also presented a document prepared b Edwards, 7, 2005.underwriter Danhof expla bonds, ned th t the well as a Prelimary Official Statement Dated December Resolution authorizes the refinancing; approves money to be put in escrow; approves the form of the bonds; and outlines the sale provisions. He stated that adopting this single resolution would authorize purchase and sale of the bonds. The closing is expected to be on the 28' of December, and the money would be put in escrow. The money would earn interest while it is in escrow. A motion was made by Glenn Kirk for approval of the Resolution; Paul Novak supported; motion carried 3-0. 2. Other Business: None 3, Public Comment: None 4. Adjourn: 1 Approved by the LBA at a Special Meeting on 12116105 Glenn Kirk made a motion to adjourn; Paul Novak supported the motion; the meeting was adjourned by unanimous vote, 3-0, at 3:17 p.m. Re, rded and Submitted b, Mary Jo Po 11 ecording Secretary Legal Assistant, City Attorney's Office 2 Approved by the LBA at a O(p L r`!OI F Special Meeting on 12116105 � ` lY �'i f�f 1 MINUTES OF A REGULAR MEETING OF THE LANSING BUILDING AUTHORITY HELD ON DECEMBER 8,2005, 8:15 a.m. Members Present: William Bergman, Public Service Director, Chairperson Paul Novak, City Attorney, Secretary Glenn Kirk, Finance Director, Treasurer Others Present: Andrew Kilpatrick, Public Service, Transportation Engineer Sheila Wheeler, Finance Dept. Donald Kulhanek, Assistant City Attorney Mary Jo Powell, Recording Secretary, City Attorney's Office The meeting was held in the Public Service Department, 7"'Floor Conference Room, and was called to order by William Bergman Berridge, Chairperson, at 8:15 a.m.; roll call was taken and a quorum was present. 1. APPROVAL OF MINUTES: a. October 13, 2005, Regular Meeting of the Lansing Building Authority; and b. December 5, 2005, Special Meeting of the Lansing Building Authority Motion was made by Glenn Kirk to approve the October 13, 2005 regular meeting minutes; supported by Paul Novak; minutes approved by 3-0 vote. Motion was made by Paul Novak to approve the December 5, 2005, special meeting minutes; supported by Glenn Kirk; minutes approved by 3-0 vote. 2. STADIUM DISTRICT PROJECT LAND TRANSFER Donald Kulhanek, Assistant City Attorney, addressed the members regarding the Stadium District project and explained the development progress. Then Mr. Kulhanek informed the Building Authority of the need to transfer the portion of land owned by the LBA, on the south side of the 500 block of West Michigan Ave.,to the City in order to complete the project, and presented a proposed resolution regarding the transfer. Motion was made by Paul Novak that the portion of Stadium District Project land titled to the LBA be transferred to the City for development by the Stadium District group, and further authorizing the current Chairperson,William Bergman, to execute the necessary documents as acting Chairperson. Further,this transfer would be contingent on the 1 Approved by the LBA at a Special Meeting on 12116105 successful sale of the property to the Stadium District,L.L.C. If not, the land would remain with the LBA. Discussion ensued regarding the debt financing and any prohibitions to the transfer. Andy Kilpatrick of the Transportation Department advised that the time has expired on any such restrictions to the sale of the property. Mr. Kirk asked about the percentage of total project that the LBA owns and what percentage of the sale proceeds would go to the LBA. Mr. Kulhanek responded that the resolution does not address the percentage to go to the LBA. Further he advised that he was informed that 29 percent was to go to Ranney Park. Andy Kilpatrick interjected that he believed that the intention was that any funds not going to Parks was to go to the LBA for the debt retirement. Further,he stated that it is his understanding that the proceeds will be used toward payment on the original debt on the property acquisition. Glen Kirk supported the motion; motion carried 3-0. 4. Other Business: Paul Novak advised the members that Councilmember Wood has requested an update regarding the Boji property, specifically the parking ramp. Andy Kilpatrick responded that he had talked with Councilmember Wood about the change in management companies,but no substantial change in the overall management of the facility. Discussion ensued regarding City parking structures and availability for new development, as well as the Boji Townsend ramp. It was decided to leave this item for the new members to review. Then there was a brief discussion regarding setting meetings in 2006. Glen Kirk made a motion that the Regular Meeting in January 2006 be set for Thursday, January 26, at 8:15, in the 7`h Floor Conference Room; Paul Novak supported the motion; motion carried 3-0. 5. Public Comment: None. 6. Adjourn. The meeting was adjourned at 8:50 a.m. Ree rded and Su itted, : Mary Jo P Recording Secretary Legal Assistant, City Attorney's Office 2 Approved by the LBA at a Regular Meeting on 12108105 n� . Pl 12. MINUTES OF A SPECIAL MEETING OF THE LANSING BUILDING AUTHORITY HELD ON DECEMBER 5, 2005,3:00 p.m. Members Present: Glenn Kirk, Finance Director, Treasurer Paul Novak, City Attorney, Secretary Others Present: Jack Roberts, Chief Deputy City Attorney Ron Boji Attorney Pat Reid Mary Jo Powell, Recording Secretary, City Attorney's Office The meeting was held in the Law Department, 5th Floor Conference Room, and was called to order by Glenn Kirk, at 3:00 a.m.; roll call was taken and a quorum was present. 1. DELEGATION OF CHAIRMAN'S DUTIES There was a brief discussion as to David Berridge's position being covered by the Interim Public Service Director, Bill Bergman. An attempt was made to contact Mr. Bergman, and it was learned that he was unavailable at this time. The By-Laws were reviewed and it was determined that this meeting could continue with the two other members in attendance. Motion was made by Paul Novak, for Glenn Kirk, in Bill Bergman's absence, to sit as Chairman for today's meeting and for executing any documents that are approved in the course of today's meeting, as Acting Chairman. Motion was supported by Glenn Kirk; motion carried 2-0. Glenn Kirk, acting as the Chairman, then asked about approval of the minutes of the last LBA meeting. Because of the retirement of the previous recording secretary, no minutes were available for approval. Glenn requested that the minutes from the previous regular LBA meeting and the minutes of this Special meeting be prepared and submitted for approval at the next Regular LBA meeting scheduled for Thursday, December 8. Mr. Kirk then moved on to the two items of business. 2. APPROVAL OF ESTOPPEL CERTIFICATE - BOJI OFFICE BLDG. MORTGAGE 3. APPROVAL OF ESTOPPEL CERTIFICATE - EASEMENT AGREEMENT FOR CROSS EASEMENTS BETWEEN BOJI OFFICE BLDG. AND TOWNSEND 1 Approved by the LBA at a Regular Meeting on 12108105 PARKING RAMP Jack Roberts addressed the members regarding these two items, as follows: In the Development Agreement for the parking structure and the Boji Building, provisions provide for payment of the MEDC loan within the Development Agreement and that the repayment be secured with a mortgage on the office building. In addition, the Development Agreement provides that the City will subordinate that mortgage for purposes of financing of the construction of the Building. The language also anticipated that, upon completion of construction, the construction mortgage would be converted to an end mortgage or similar first lien on the Building. The subordination of mortgage was to be commercially reasonable and meet the requirements of the first mortgage lender. Additionally, under the Development Agreement, the City was to be able to file a Memorandum regarding tax liability. The Development Agreement similarly provided for the subordination of the filed Memorandum of the tax liability document. The Boji Group of Lansing, L.L.C. has made arrangements for a first mortgage, from LaSalle Bank National Association, and LaSalle has requested that the City execute a Subordination of Mortgage and the Subordination Agreement Regarding Tax Lien, as well as two Estoppel Certificates. The Estoppel Certificates are 1) for the mortgage, and 2) for the Joint Cross Easement Agreement between Boji and the LBA. In reviewing the proposed mortgage Subordination Agreement, it was determined that based upon the requested terms, it would be commercially reasonable for the City to request additional security in the form of a personal guaranty of the MEDC obligation from Louie Boji. This has been negotiated and agreed upon. The Boji Group of Lansing,pursuant to and represented by Attorney Pat Reid and Ron Boji at this meeting, are requesting the LBA approve the execution of the two Estoppel Certificates and execute the other agreements referenced to enable the closing on the first mortgage with LaSalle Bank. Discussion ensued regarding discussions with MEDC to convert the loan to a grant in the near future. Paul Novak made a motion for approval of execution of the Estoppel Certificates. Glenn Kirk asked who prepared the documents. Jack Roberts responded that Mr. Reid received the documents from the bank and made some changes which were approved by Mr. Roberts. Mr. Kirk then reviewed the documents provided by Mr. Reid. After review, Mr. Kirk asked if the subordination increases the City's obligation to be the first responsible party on the MEDC loan. Mr. Roberts responded that the City's obligation to the MEDC is not changed. After review of the documents, 2 Approved by the LBA at a Regular Meeting on 12108105 Mr. Kirk supported Mr. Novak's motion. Motion carried 2-0. Mr. Kirk next made a motion for approval of the subordination agreements as authorized in the amended Development Agreement between the Boji Group and the City, as being commercially reasonable, provided we receive a personal guaranty as referenced in Jack Roberts presentation. Paul Novak supported the motion. Motion carried 2-0. Mr. Kirk then asked that the LBA be presented and receive the personal guaranty. Mr. Reid provided the LBA with the document. Mr. Kirk, acting as Chair, signed the agreements and received the Personal Guaranty and directed that these actions be reflected in the minutes and filed with LBA records. 4. Other Business: None 5. Public Comment: None 6. Adjourn: Paul Novak moved to adjourn; Glenn Kirk supported the motion; the meeting was adjourned by unanimous vote, 2-0, at 3:40 p.m. Recorded and Submitted by:, C Mary Jo tq 11, Recording Secretary Legal Assistant, City Attorney's Office 3 Approved by the LBA at a Regular Meeting on 12108105 MINUTES OF A REGULAR MEETING OF THE LANSING BUILDING AUTHORITY i ;LEFt' HELD ON OCTOBER 13, 2005, 8:15 a.m. Members Present: David Berridge, Public Service Director, Chairperson Paul Novak, City Attorney, Secretary (Acting Chairperson) Members Absent: Glenn Kirk, Finance Director, Treasurer Others Present: James Ruff, Director of Planning &Neighborhood Development Andrew Kilpatrick, Public Service, Transportation Engineer Sheila Wheeler, Finance Dept. Mike Peplowski, Boji Group William L. Clark, Clark Construction Donald Kulhanek, Assistant City Attorney Kathleen Frantz, Recording Secretary, City Attorney's Office The meeting was held in the Public Service Department, 7`h Floor Conference Room, and was called to order by David Berridge, Chairperson, at 8:15 a.m.; roll call was taken and a quorum was present. 1. APPROVAL OF MINUTES: a. June 9, 2005, Regular Meeting of the Lansing Building Authority; and b. August 19, 2005, Special Meeting of the Lansing Building Authority Motion was made by Paul Novak to approve the June 9,2005 and August 19, 2005 minutes; supported by David Berridge; minutes approved by 2-0 vote. 2. TOWNSEND RAMP a. Status of Leases [Discussion was first directed to item 2, b.] Mr. Ruff advised that we have the draft lease from the Senate which was in the City Attorney's Office for review approximately one and one-half weeks ago. To date,we have not received the revised lease from the Department of Management and Budget. However, we are continuing to invoice them on a monthly basis. Discussion ensued. 1 Approved by the LBA at a Regular Meeting on 12108105 [Mike Peplowski and William Clark left the meeting at 9:56 a.m.] b. Final Payment - Draw Request#19 Mr. Ruff advised that the final payment request is for a total amount of$198,175.00, and that the final endorsement was received from the title insurance company. A letter is also on file from the Accident Fund which confirms that they hold the City harmless in regard to the work that is to be finished on the plaza and the Tower Ramp. Mr. Ruff further advised that we also have the contractor's request for payment from the LBA. Discussion ensued. Mr. Kilpatrick reviewed the attached punch lists. Discussion was held regarding standing water in the elevator pit some time ago, which is not currently an issue. William Clark from Clark Construction indicated that they will continue to work with the City to resolve this problem, however this could have been a one time occurrence. Mr. Clark further advised that he will provide a letter from Clark Construction confirming that they will assist in resolving this problem. Paul Novak moved to approve Draw Request#19, contingent upon the following: (1) Subject to the provision that a letter from Summit Contractors must be received confirming that they will install expansion couplings in 1/Z" horizontal and vertical conduits in the stair tower, and that they provide contractually specified workmanship and product warranties to the City's Transportation Engineer; and (2) Clark Construction will install a water alarm in the elevator pit to resolve the concerns at no cost to the City. Motion Supported by David Berridge; motion carried 2-0. 3. STADIUM DISTRICT PROJECT a. Development Agreement - Review and Recommendation Mr. Ruff advised that some of the parking area is LBA property. Discussion ensued regarding the boundaries. Some of the LBA properties may have been pledged to TIFA. The list of assets needs to be reviewed by Finance and EDC and Mr. Ruff advised that he will advise EDC of the need for this review. Ruff provided a proposed schedule regarding this project. Mr. Kulhanek, Assistant City Attorney, advised that the first date indicated is too soon for the Attorney's office to be able to adequately review the agreement, and prepare necessary documents such as the Deed. Discussion ensued regarding the specific location of this property. b. Survey 2 Approved by the LBA at a Regular Meeting on 12108105 Mr. Kulhanek advised that Parcel B needs to be redefined as it relates to the original Agreement. The LBA will need to transfer this property to the City, conditioned upon City Council approval. C. Parks Payment. None of these monies need to be paid to the Park because there is no longer a Ranney Park Trust. There have been two City Attorney opinions issued directly related to this matter. 4. Other Business: None. 5. Public Comment: None. 6. Adjourn. The meeting was adjourned at 10:07 a.m. Recorded by Kathleen 1"Antz and Submitted by: Mary Jo P,� , Recording Secretary Legal Assistant, City Attorney's Office 3 Approved at a Regular Meeting of the LBA on 10/13105 MINUTES OF A SPECIAL MEETING OF THE LANSING BUILDING AUTHORITY HELD ON AUGUST 19, 2005, 8:00 a.m. Members Present: David Berridge, Public Service Director, Chairperson Glenn Kirk, Finance Director, Treasurer Paul Novak, City Attorney, Secretary Others Present: James Ruff, Director of Planning &Neighborhood Development Sheila Wheeler, Finance Dept. Mary Jo Powell, Recording Secretary, City Attorney's Office �XXiC i��C TIC The meeting was held in the Law Department, 51h Floor Conference Room, and was called to order by David Berridge, at 8:06 a.m.; roll call was taken and a quorum was present. 1. APPROVAL OF ACCIDENT FUND PLAZA EASEMENT Motion was made by Paul Novak to approve the Accident Fund Plaza Easement; supported by Glenn Kirk; motion carried 3-0. 2. Other Business: Jim Ruff provided the Townsend Ramp Leasing Information sheet to all present. Discussion ensued regarding the negotiation of spaces and terms of leases. Glenn Kirk asked to schedule another meeting to go over all the lease documents currently in place. More discussion ensued regarding DMB parking space -- dollar value to be paid by them pursuant to lease. Discussion subsequently shifted to finding a resolution for making up difference between$40 per space value and the terms of the lease with the State. No further discussion was had on next meeting date. 3. Adjourn. Glenn Kirk moved to adjourn the meeting at 8:55 am.; supported by Paul Novak; the meeting was adjourned by unanimous vote,3-0. 4Rerded and Su itted b P ell ecording Secretary Legal Assistant, City Attorney's Office 1 y P I S ,"c Department of Law MEMORANDUM C H I "Equal Opportunity Employer" _ L TO: DEBBIE MINER, CITY CLERK FROM: KATHLEEN M. FRANTZ, Office Administrato DATE: October 19, 2005 RE' FILING REQUEST: 1. Minutes of a Regular Meeting of the Lansing Building Authority held on June 9,2005; and 2. Minutes of a Special Meeting of the Lansing Building Authority held on August 19, 2005 Please file the attached original minutes referenced above which were approved on October 13, 2005, at a Regular Meeting of the Lansing Building Authority. Thank you for your assistance. i Attachments Approved by the LBA at its Regular Meeting on 10/13105 MINUTES OF A REGULAR MEETING OF THE LANSING BUILDING AUTHORITY HELD ON DUNE 9, 2005, 8:15 a.m. Members Present: Glenn Kirk, Finance Director, Treasurer Paul Novak, City Attorney, Secretary (Acting Chairperson) Members Absent: David Berridge, Public Service Director, Chairperson Others Present: James Ruff, Director of Planning &Neighborhood Development Andrew Kilpatrick, Public Service, Transportation Engineer Sheila Wheeler, Finance Dept. Kathleen Frantz, Recording Secretary, City Attorney's Office The meeting was held in the Public Service Department, 7`"Floor Conference Room, and was called to order by Paul Novak, Acting Chairperson, at 8:27 a.m.; roll call was taken and a quorum was present. 1. APPROVAL OF MINUTES: May 12,2005,Regular Meeting of the Lansing Building Authority Motion was made by Glenn Kirk to approve the minutes; supported by Glenn Kirk; minutes approved by 2-0 vote. 2. SALE OF LOT 53 - Old Town Mr. Novak indicated that the LBA has the right of first refusal to purchase in regard to the sale of this property. Mr. Ruff indicated that it does not look like a straight"right of first refusal". The City has been looking at the lot to see if it would benefit the City to purchase this site. Mr. Kilpatrick advised that the property owner, Mr. Emery has indicated he would sell the property for $12,000. Mr. Kilpatrick further advised that it would take the City approximately 20 years to recover those monies and this does not include payment of interest. Mr. Ruff indicated that it does not appear that there is a real need for the LBA to purchase this property. Mr. Kilpatrick advised that the property was appraised at a value of$3,000. Discussion ensued. Mr.Novak indicated that since no formal written document has been received by the LBA from Mr. Emery, no formal written response is required from the LBA. 1 Approved by the LBA at its Regular Meeting on 10113105 Mr. Kirk moved that the LBA refuse the opportunity to purchase this site with the contingency that the owner does not sell ts site to a party interested in authorized by the LBA to a11pMr.Em� terag an o business. Further,that Andy Kilpatrick make sure that if the LBA does not purchase the property, that Mr. Emery will not sell the property to a party who would operate an adult business on the site; and that if the property owner agrees to this contingency that Mr. Kilpatrick is authorized to advise Mr. Emery that the LBA is not interested in purchasing Lot 53; supported by Paul Novak; motion carried 2-0. 3. TOWNSEND RAMP - Lease Status Mr. Ruff advised that last week he meet with Joe Chin of the State of Michigan Department of Management and Budget and other staff, as well as Attorney General staff to discuss the Townsend Ramp. Mr.Novak asked if there was discussion with State leaders about the cost not being in excess of$44.00. Mr. Ruff indicated that he was not aware whether this had occurred. Mr. Ruff provided documentation regarding projected revenues at the Townsend Ramp. It was noted that there are 20 more spaces than originally projected which was at 1230 parking spaces that he will need to review and is now at 1250 spaces. Discussionreview the state statuteadvised the lease and the deed, as well as r statute in regard to the cost per space issue for the State of Michigan. 4. Other Business: (A) Mr. Ruff advised that he met with Bob Smith from Hobbs and Black, and also the Restaurant Association next to the Secretary of State building on Washtenaw St. The Restaurant Association is considering building a new project and they will need a 10 foot easement in order to have windows on the parking ramp side of the building. No specific details have yet been provided regarding this project, however, Mr. Ruff advised that there would need to be an ACT285 or an amendment with Cooley Law School ACT285 relating to the 10 foot easement issue. (B) Sheila Wheeler provided the members with a copy of the MEDC Loan Agreement in regard to the Townsend Ramp, per the LBA request at its meeting on May 12, 2005. Receipt of the copy of the Agreement is noted with the LBA and will be placed on file. 2 Approved by the LBA at its Regular Meeting on 10113105 4. Public Comment: None 5. Adjourn. The meeting was adjourned at 9:09 a.m. Recorded and Submitted by: c athleen M. Frantz, RecV�Secretary Office Administrator, City Attorney's Office 3 yPr1 5 1 NG .department of La,-MEMORANDUM �rtCHiGP DEBBIE MINER, CITY CLERK TO: KATHLEEN M. FRANTZ, Office Administr FROM: DATE: June 13, 2005 RE: FILING REQUEST: 1. Minutes of a Regular Meeting of the Lansing Building Authority held on May 12,2005; Please file the attached original minutes referenced above which were approved on June 9,2005, at a Regular Meeting of the Lansing Building Authority. Thank you for your assistance. Attachments v c� c c i-- CD c�a i FASHARED\CityDept\City Clerk\2005\LBA minutes 031005 and 032415 filing.wpd Approved by the LBA at a Regular Meeting on 619105 MINUTES OF A REGULAR MEETING OF THE LANSING BUILDING AUTHORITY HELD ON MAY 12, 2005 8.15 a.m. Members Present: David Berridge, Public Service Director, Chairperson Glenn Kirk, Finance Director, Treasurer Paul Novak, City Attorney, Secretary Others Present: James Ruff, Director of Planning &Neighborhood Development Andrew Kilpatrick, Public Service, Transportation Engineer Sheila Wheeler, Finance Dept. Kathleen Frantz, Recording Secretary, City Attorney's Office The meeting was held in the Public Service Department, 7`h Floor Conference Room, and was called to order by David Berridge, at 8:27 a.m.; roll call was taken and a quorum was present. 1. APPROVAL OF MINUTES a) March 10, 2005, Regular Meeting of the Lansing Building Authority Discussion ensued. David Berridge made a friendly amendment to the minutes on page 2, line 2, last three words "with a two"... that the word"a"be deleted thereby rephrasing the sentence to read "He provided the members with two Application for payment documents with the new figures..." Also, page 2, 3`d paragraph, it was noted that "accident fund" should be capitalized. Motion was made by Paul Novak to approve the minutes as amended; supported by Glenn Kirk; minutes approved as amended by 3-0 vote. b) March 24,2005, Special Meeting of the Lansing Building Authority Motion to approve the minutes was made by Paul Novak; supported by Glenn Kirk; minutes approved by 3-0 vote. 2. LBA Bank Accounts - Interest Monies to City of Lansing General Fund Sheila Wheeler of the Finance Department provided the members with a copy of a report 1 Approved by the LBA at a Regular Meeting on 619105 reflecting the interest monies due to the City of Lansing in the amount of$75,468.23, and a Cash Analysis as of 4/30/05 regarding the LBA parking fund. Mr. Berridge explained the reasons for the interest being returned to the City for deposit into the General Fund. Ms. Wheeler advised that the balance of the Unbudgeted LBA Bank Account is in the amount of$221,861.25. Mr. Novak asked if there are any outstanding debt obligations. Mr. Berridge advised that we have outstanding bond issues and that the payments are being made on time. Mr. Berridge also noted that there are leases to back up those obligations. The LBA members discussed the LBA accounts through April 30, 2005. Mr. Novak requested that the item on the reports Ms. Wheeler printed under the title "Notes Payable" could be addressed at the next LBA meeting. Motion was made by Glenn Kirk to approve payment of the LBA interest monies due to the City of Lansing General Fund in the amount of$75,468.23; supported by Paul Novak; motion carried 3-0. 3. Other Business: (A) Sheila Wheeler advised that the 2003 Bond Issue Costs exceeded the budget by the amount of$365.50 and therefore, she is requesting authorization to allocate these monies from the LBA accrued interest account into the LBA bond issue account; so moved by Glenn Kirk; supported by Paul Novak; carried by 3-0 vote. (B) Andy Kilpatrick advised that in regard to the Boji/Townsend Parking Ramp project, the Boji's have outstanding invoices in the amount of approximately $30,000 for parking meter cappings, etc. Mr. Kirk requested a written report be provided to the LBA members regarding this matter. In addition, Mr. Kirk requested that a written monthly notification be forwarded to the Boji's regarding any outstanding monies they owe the LBA/City of Lansing and that a copy be provided to the LBA members. (C) Mr. Kilpatrick advised that there will be a meeting with the State of Michigan regarding the parking permits at the Townsend Ramp. Mr. Kilpatrick will provide the LBA members with a written summary of the meeting. (D) Mr. Kilpatrick advised that in regard to Lot 53 in Old Town, the property owner, Mr. Emery, has advised that he would like to provide the City with the right of first refusal to purchase Lot 53. Mr. Novak advised that the LBA would like Mr. Kilpatrick to request that Mr. Emery's offer be placed in writing under a formal Offer to Purchase. In the meantime, Mr. Kilpatrick will discuss this matter with the City Assessor and request that he (David Tijerina) perform an appraisal on this property to determine the value. 2 Approved by the LBA at a Regular Meeting on 619105 4. Public Comment: None 5. Adjourn. The meeting was adjourned at 9:14 a.m. Recorded and Submitted by: athleen M. Fr z, Re ding Secretary Office Administrator, ity Attorney's Office 3 01G .fie artment of La\,,p MEMORANDUM CITY CLERK TO: KATHLEEN M. FRANTZ, Office Administrat FROM: May 12, 2005 DATE: RE: FILING REQUEST: 1. Minutes of a Regular Meeting of the Lansing Building Authority held on March 10, 2005; and 2. Minutes of a Special Meeting of the Lansing Building Authority held on March 24, 2005 Please file the attached original minutes referenced above which were approved on May 12, 2005, at a Regular Meeting of the Lansing Building Authority. Thank you for your assistance. :^ j tv Attachments FASHARED\CityDept\City Clerk\2005\LBA minutes 12904 and 122104 filing.wpd Approved as Amended at a Regular `n Meeting of the LBA on 5112105 MINUTES OF A REGULAR MEETING OF = V THE LANSING BUILDING AUTHORITY HELD ON MARCH 10 2005 8:15 a.m. _ ' ry Members Present: David Berridge,Public Service Director, Chairperson Glenn Kirk, Finance Director,Treasurer Paul Novak, City Attorney, Secretary Others Present: Andrew Kilpatrick, Planning &Neighborhood Development, TransportationEngineer Ron Boji, Boji Group Mike Peplowski, Boji Group Sheila Wheeler, Finance Department Mary Jo Powell, Recording Secretary, City Attorney's Office 7th Floor of City The meeting was held in the Public Service Department Conference eToll call was,taken and a quorum Hall, and was called to order by David Berridge, a was present. 1. APPROVAL OF MINUTES: 01/27/05 SPECIAL LBA MEETING Paul Novak moved to approve the Minutes of the February 15, 2005, Special LBA i Meeting; supported by Glenn Kirk; motion carried by 3-0 roll call vote. 2. TOWNSEND RAMP PROJECT a. Status Report Andy Kilpatrick provided a status report of the project to date: Major items all completed; ramp opened to public last week. Mr. Berridge asked about the signage. Andy commented that they are working on plans for exterior signage; expect to have something up by August, or sooner. Mr. Berridge then asked where the funds were coming from for the signage. Kilpatrick said that y shoulthat shod Become ouin st ng of LBA something for signage. Kirk inquired as to whether that is g budget. Discussion ensued. Mr. Kilpatrick said he would come up with a cost estimate for presentation to the Board. b. Draw request 17 & 18 1 Approved as Amended at a Regular Meeting of the LBA on 5112105 Andy Kilpatrick, on behalf of Jim Ruff, pointed out a Change to pay request 17 (Application No. 22) to correct the amount. He provided the members with a two Application for Payment documents with the new figures, as well as a Partial Unconditional Waiver (attached). He stated it is considered to be 100% completion of the contract. Waiting on Title endorsement. (Title Endorsement document was provided to Mary Jo Powell on March 14, and is attached). Motion to approve pay request#17 by Paul Novak; supported by Glenn Kirk; motion carried by 3-0 unanimous vote. Draw request 18 Discussion and questions by Kirk and Novak regarding facade and deck. Mr. Kirk asked for letter of release from Accident Fund to say they have an agreement-- because it was a multi party agreement -- to protect Accident Funds interest. Mike Peplowski stated that he submitted a letter to Paul. Does that adequately address what Kirk is asking about. Mr. Kirk expressed his concerns especially about the facade meeting requirements. He asked about assurance that it will get done and that Accident Fund agrees with it. Mr. Boji said that the assurance was contained in the letter stating their intention to start work on the facade. Do we need more than what Mike has presented regarding the facade? Mr. Peplowksi stated he talked with Accident Fund last night and they are preparing a letter which is going to be more like a contract. This document is expected to address the issues of the plaza and facade. Andy talked with Aaccident F€und as well and his understanding is the same as Mr. Peplowski's Paul Novak had questions about the Development Agreement, specifically about the hold back provision. Peplowski stated that the hold back provisions had to do with timing of and falling back behind schedule. Falling behind schedule never happened,. They are ahead of schedule. Paul asked Andy if he believed there was anything that would create a reason to hold back. Paul asked if we have substantial completion -- has that trigger been met yet? It is his opinion that we don't have it yet. Mr. Peplowski thinks that 2 triggers have occurred so that substantial completion under the development agreement has occurred. Accident Fund is taking over some areas, especially the plaza. Mike stated the only stipulation he has has to do with the portion that Accident Fund is taking over. Dave Berridge stated that he would consider splitting the retainage amount until all contracts and understandings are put in place. Once all legal papers are in place we would release the remainder. 2 Approved as Amended at a Regular Meeting of the LBA on 5112105 Mr. Novak had reservations: no retention is being proposed for the facade improvements. Substantial completion includes the facade improvements, and that hasn't happened. Mr. Kirk asked for clarification regarding associating dollar amounts with facade and plaza. Berridge stated that there were big dollar amounts in the budgets for each,the facade and the plaza. ($250,000 on the plaza and$350,000 on the facade, stated by Boji). Boji responded that Tower has no agreement with Accident Fund. So when we release funds to Tower, there is no agreement with Accident Fund. More discussion ensued. Mike Peplowski stated that splitting funds for specific parts of the project is not proper. Mr. Kirk stated he was apprehensive about putting dollar amounts on specific areas of the project. Mr. Kirk further said that the Authority wants, as discussed in previous meetings, assurances that all interests are protected, including the Accident Fund's. He suggested a recess until documents are presented regarding Accident Fund's understandings regarding the plaza. If we have documentation, he thinks it is fair so that we don't hold back dollars. Mr. Berridge suggested adjourning and holding a special meeting next week. Boji asked for meeting on Monday. Berridge indicated that he needed time for a review and approval by City Attorney's office, but understands that time is of the essence. Boji said he would get the documents to the City Attorney by tomorrow (Friday). Discussion ensued about time for Special Meeting on Monday: Motion by Novak to set a Special Meeting for Monday,March 14, at 11:00. (Boji agreed with time.) Supported by Kirk. Unanimous 3-0 vote. Mr. Kirk left the meeting 9:25 because he was called to the Mayor's office. 3. Other: Sheila Wheeler addressed the board regarding the Core Community Initiative and provided a letter from Larry Roggenbuck from MEDC. Motion by Paul Novak to refer Roggenbuck letter to Jim Ruff, of the Development and Planning Department. Supported by Berridge. Carried 2-0 4. Public Comment: None 5. Adjourn: Dave Berridge moved to adjourn the meeting at 9:28 a.m.; supported by Paul Novak; meeting was adjourned by unanimous 2-0 vote. 3 Approved as Amended at a Regular Meeting of the LBA on 5112105 Recorded and submitted by: Mary/ Jo P ell ecording Secretary Legal Assistant, City Attorney's Office F:\SHARED\Lba\2005\LBA min 3_10_05.wpd 4 Approved at the Regular Meeting of the LBA on 5112105 i.1 c. MINUTES OF A SPECIAL MEETING OF THE LANSING BUILDING AUTHORITY HELD ON MARCH 24,2005,2:00 P.M. Members Present: David Berridge, Public Service Director, Chairperson Glenn Kirk, Finance Director, Treasurer Paul Novak, City Attorney, Secretary Others Present: James Ruff, Director of Planning &Neighborhood Development Andrew Kilpatrick, Public Service, Transportation Engineer Ron Boji, Boji Group Mike Peplowski, Boji Group Sheila Wheeler, Finance Dept. Kathleen Frantz, Recording Secretary, City Attorney's Office �C JF��SC iC* The meeting was held in the Public Service Department, 71h Floor Conference Room, and was called to order by David Berridge, at 2:08 p.m.; roll call was taken and a quorum was present. 1. TOWNSEND RAMP PROJECT a) Release of Liability for Construction Cost Issues Paul Novak advised that a proposed release was sent to Patrick Reid, the Developer's attorney, to address obligations and obtain release in exchange for $37,880.000 to resolve some of the outstanding construction cost issues. Mr. Novak advised that Mr. Reid provided a response which indicated that the proposed release was too broad and suggested an alternative release to address his client's concerns. Mr. Novak provided a copy of the proposed alternative release to the LBA members. Discussion ensued. b) Draw Request#18 Motion was made by Glenn Kirk and modified by Paul Novak to approve Draw Request #18 to pay for retainage funds in the amount of$1,783,394.00, contingent upon the following: 1. monies being held in retainage in the amount of$98,175.00 to ensure punch list items are completed; 2, monies being held in retainage in the amount of$100,000.00 to ensure facade 1 Approved at the Regular Meeting of the LBA on 5112105 improvements are completed; 3. delivery of a letter in a form acceptable by the City Attorney from the Accident Fund releasing the LBA/City of obligations related to the Facade and Pedestrian Plaza; 4, execution of a release and in agreement in a form acceptable to the City Attorney which indemnifies and holds the City harmless from "material change" costs increases in exchange for the payment by LBA of$37,888.00. Paul Novak supported the motion; motion unanimously carried by 3-0 roll call vote. c) Facade and Pedestrian Plaza Discussion was held regarding the issues involved with this item and the responsibility of the Accident Fund to complete the facade and pedestrian plaza. d) Status Report: None 2. Other Business: None 4. Public Comment: None 5. Adjourn. Glenn Kirk moved to adjourn the meeting at 3:15 pm.; supported by Paul Novak; the meeting was adjourned at 3:15 p.m. by unanimous 3-0 roll call vote. Recorded and Submitted by: leen M. Fran , ecordi ecretary ffice Administrator, City ttorney's Office 2 OHI epartment of Lau MEMORANDUM DEBBIE MINER, CITY CLERK TO: KATHLEEN M. FRANTZ, Office Administrator FROM: Dk1T--,,: April 14, 2005 FILING REQUEST: 1. Minutes of a Regular Meeting of the Lansing Building Authority held on February 15, 2005 Please file the attached original minutes referenced above which were approved on March 10,2005, at a Regular Meeting of the Lansing Building Authority. Thank you for your assistance. Attachments FASHARED\CityDept\City Clerk\2005\LBA minutes 012705 filing.wpd Approved by the LBA at a Regular Meeting on 03110105 MINUTES OF A SPECIAL MEETING OF, THE LANSING BUILDING AUTHORITY HELD ON FEBRUARY 15, 2005, 2:00 p.m. Members Present: David Berridge, Public Service Director, Chairperson Glenn Kirk, Finance Director, Treasurer Paul Novak, City Attorney, Secretary Others Present: James Ruff, Director of Planning &Neighborhood Development Andrew Kilpatrick, Planning &Neighborhood Development, Transportation Engineer Ron Boji, Boji Group Mike Peplowski, Boji Group Kathleen Frantz, Recording Secretary, City Attorney's Office Sheila Wheeler, Finance Department F�s'cx kFx The meeting was held in the City Attorney's Conference Room, 5`h Floor Conference Room, and was called to order by David Berridge, at 2:00 p.m.; roll call was taken and a quorum was present. 1. APPROVAL OF MINUTES: 01/27/05 SPECIAL LBA MEETING Paul Novak moved to approve the Minutes of the January 27, 2005, Special LBA Meeting; supported by Glenn Kirk; motion carried by 3-0 roll call vote. 2. TOWNSEND RAMP PROJECT a. Status Report Andy Kilpatrick and Jim Ruff provided the members with the status of the project to date. Discussion ensued. b. Draw Request#16 Mr. Ruff provided reviewed documentation previously provided to the members and provided Sheila Wheeler of the Finance Department, and Kathy Frantz, Recording Secretary for the LBA, copies of additional updated documents for this pay request. Mr. Ruff advised that this pay request is for a total amount of$127,045.88. Mr. Ruff advised that the next draw request will include two different sets of paperwork, as one will be specifically for the retainage issue. Mr. Novak asked about the plaza work noted on page 15, item#190 which indicates the plaza work is 100% completed, and requested 1 Approved by the LBA at a Regular Meeting on 03110105 clarification. Mr. Peplowski indicated the "plaza work" noted in 4190 on page 15 of this pay request is work completed by Eagle for preliminary work on the site. This was for some remediation work as to an abandoned steam line, not the Accident Fund plaza work. Discussion ensued. Motion to approve pay request#16 by Paul Novak; supported by Glenn Kirk; motion carried by 3-0 unanimous vote. C. Outstanding Cost Issues Mr. Ruff provided the members with documentation for today's discussion regarding the outstanding cost issues on the project. Mr. Ruff referenced the'memo from Mr. Peplowski dated February 11, 2005,with the attached 8 item list of"open issues and status". Mr. Ruff also provided a copy of a letter from Joe Sovis of Matrix Consulting Engineers, Inc. regarding"Code Blue system design including redesign of system to simplify conduit routing". Discussion ensued. Mr. Peplowski provided a copy of a letter from Clark Construction to the LBA members dated February 20, 2004, regarding the $1,887.42 barricade issue. Discussion ensued. Mr. Ruff directed discussion to item#2 on the list regarding the electrical separation issue and advised that this is a new item and more time will be needed for the LBA members to evaluate this issue. Mr. Kirk moved that the City pay for the Code Blue Engineering Costs in the amount of$5,310.00. Mr.Novak advised that he would like to know more information on 42 on the list before supporting this motion. Discussion ensued. Mr. Kirk withdrew his motion. 3. Other Business: None 4. Public Comment: None 5. Adjourn. Glenn Kirk moved to adjourn the meeting at 3:17 p.m.; supported by Paul Novak; the meeting was adjourned at 3:17 p.m. by unanimous 3-0 vote. Recorded and Submitted by: athleen M. Frai ecor ng Secretary Office Administ ator, Ci y Attorneys Office 2 r: rl s I Department of Lave MEMORANDUM DEBBIE MINER, CITY CLERK TO: KATHLEEN M. FRANTZ, Office Administra FROM: DATE: February 15,2005 r� a FILING REQUEST: 1. Minutes of a Special Meeting of the Lansing Building Authority held on January 27, 2005 Please file the attached original minutes referenced above which were approved on February 15, 2005, at a Special Meeting of the Lansing Building Authority. Thank you for your assistance. Attachments FASHARED\CityDept\City Clerk\2005\LBA minutes 12904 and 122104 filing.wpd Approved by the LBA at a Special Meeting on 2115105 MINUTES OF A SPECIAL MEETING OF THE LANSING BUILDING AUTHORITY HELD ON JANUARY 27 2005 8:30 a.m. Members Present: David Berridge,Public Service Director, Chairperson Glenn Kirk,Finance Director, Treasurer Paul Novak, City Attorney, Secretary Others Present: James Ruff, Director of Planning &Neighborhood Development John M. Roberts, Jr. (Jack),Deputy City Attorney Andrew Kilpatrick, Public Service, Transportation Engineer Ron Boji, Boji Group Mike Peplowski,Boji Group Kathleen Frantz, Recording Secretary, City Attorney s Office om, and was The meeting was held in the Public Service Department,c llwas taken and arquorumowas present called to order by David Berridge, at 8:39 a.m.; roll 1. APPROVAL OF MINUTES: 01/13/05 SPECIAL LBA MEETING Paul Novak moved to approve the Minutes of the January call 3,vote?005,Regular LBA Meeting; supported by Glenn Kirk; motion carried by 3 2. TOWNSEND RAMP PROJECT a. Letter from Bo'i Group - Separation of Ownership Issue/Additional Cost Jim Ruff advised that today's agenda was to go over the on of of Ow rship est For costs and provided the members with a memo titled Draft Review o f the Assistance on The Cost of Separation of the Office Building and the ntained Ramp", November January 2 , 2005,with attachments. The memo addressed the issues letter from the Boji Group to Jim Ruff. Discussion ensued. [Ron Boji and Mike Peplowski arrived at 8:52 a.m.] Further discussion ensued between those present regardingthis he facts. Mr. Boji then provided his d that Jim Ruff did a great job in his presentation of this issue view on this matter. Discussion ensued. Mr. Novak asked Mr. Boji if they tried to address the 1 Approved by the LBA at a Special Meeting on 2115105 code issues they were concerned about with Christine Segerlund from the City of Lansing. Mr. Boji advised that they did not push the issue as they felt Ms. Segerlund would not change her mind. Discussion ensued. Mr. Ruff advised that Mr. Boji's view that Christine Segerlund would most likely not change her mind is accurate, however, it is not up to the Zoning Division staff to find solutions to the problems, but rather the architect. Mr. Kirk provided his understanding of this matter and indicated that he feels Christine Segerlund was exercising due diligence in this matter and her stance on the zoning/code issues. Mr. Kirk feels that the Planning and Development Department office worked with the Boji Group to the best of their ability and at that time,the Boji Group made a decision to go forward with the project rather than trying to pursue the issue regarding the stairwells and the Zoning Administrator's position. Mr. Kirk does not feel the City is responsible in any way for the estimated cost of$400,000,however, Mr. Kirk has a different view in regard to the other four issues (not on the agenda today). Discussion ensued. Mr.Novak agrees with Mr. Kirk in regard to this matter and that the Separation of Ownership costs are not the City's responsiblility. Mr. Novak requested that the Boji Group provide the LBA with a comprehensive list of all outstanding issues. Mr. Boji advised he will get this list to the City in writing. Paul Novak moved to deny the request from the Boji Group that the LBA pay the "Separation of Ownership" costs identified in Mr. Boji's letter dated November 29, 2004 in the amount of$400,339.63; supported by Glenn Kirk; motion carried by 3-0 roll call vote. 3. Other Business: Mr. Kirk asked about the status of the ramp and that he had spoken to the representatives of the Accident Fund who advised him that the ramp will not be opening on February 1, 2005. Discussion ensued. 4. Public Comment: None 5. Adjourn. Glenn Kirk moved to adjourn the meeting at 10:01 a.m.; supported by Paul Novak; the meeting was adjourned at 10:01 a.m. by unanimous 3-0 vote. Recorded and Submitted by: *athleenM. 'r tz, ording Secretary Office Admi istrator, City Attorney's Office 2 yP� S ' Department of Lave MEMORANDUM �tCH [GP� �e DEBBIE MINER, CITY CLERK TO: FROM: KATHLEEN M. FRANTZ, Office Administrator DATE: January 31, 2005 RE: FILING REQUEST: 1. Minutes of a Regular Meeting of the Lansing Building Authority held on January 13,2005 Please file the attached original minutes referenced above which were approved on January 27,2005, at a Special Meeting of the Lansing Building Authority. Thank you for your assistance. Attachments FASHARED\CityDept\City Clerk\2005U.BA minutes 12904 and 122104 5ling.wpd Approved by the LBA at a Special Meeting on 1127105 MINUTES OF A REGULAR MEETING OF i THE LANSING BUILDING AUTHORITY HELD ON JANUARY 13, 2005, 8:15 a.m. ` Members Present: David Berridge, Public Service Director, Chairperson Glenn Kirk, Finance Director, Treasurer Paul Novak, City Attorney, Secretary Others Present: James Ruff, Director of Planning &Neighborhood Development John M. Roberts, Jr. (Jack), Deputy City Attorney Andrew Kilpatrick, Public Service, Transportation Engineer Ron Boji, Boji Group Mike Peplowski, Boji Group Sheila Wheeler, Finance Dept. Kathleen Frantz, Recording Secretary, City Attorney's Office The meeting was held in the Public Service Department, 7th Floor Conference Room, and was called to order by David Berridge, at 8:17 a.m.; roll call was taken and a quorum was present. 1. APPROVAL OF MINUTES: 12/09/04 REGULAR LBA MEETING Paul Novak moved to approve the Minutes of the December 9, 2004 Regular LBA Meeting; supported by David Berridge; motion carried by 2-0 roll call vote. [Glenn Kirk arrived at the meeting at 8:23 a.m.] Paul Novak moved to approve the Minutes of the December 21, 2004 Special LBA Meeting subject to the language under "Gates and Booths" on page two being struck out and replaced with "Discussion ensued."; supported by Glenn Kirk; motion unanimously carried by 3-0 roll call vote. 2. TOWNSEND RAMP PROJECT a. Status Report Andrew Kilpatrick of the City of Lansing, Public Service Dept., Transportation Division, provided information regarding the status of the project to date. Discussion ensued. 1 Approved by the LBA at a Special Meeting on 1127105 [Agenda Item 2 c was discussed before "b Pay Request#1" at the request of John M. Roberts, Jr.l b. Pay Request#15 Mr. Ruff reviewed the documentation attached to Pay Request#15 with the LBA members. This pay request brings the project to 98.57% completed and the total amount of this pay request is $338,477.78. Discussion ensued. Mr. Ruff recommended that this pay request be approved by the Lansing Building Authority. Motion to approve Pay Request#15 was made by Glenn Kirk; supported by Paul Novak; Pay Request#15 approved by 3-0 roll call vote. C. Law Department Review of Letter from Accident Fund dated 11/15/04 to Ron Boii of the Boji Group Mr. Roberts provided the LBA members with information in response to the letter from Joseph Shebuski of the Accident Fund Insurance Company dated November 15, 2004. Mr. Roberts advised that the Accident Fund is requesting a delay in the completion of items contained in the contract. Specifically, Mr. Shebuski indicated that they are choosing to delay commencement of work on the pedestrian plaza on the west exposure of the Accident Fund building at 232 S. Capital Avenue, as well as re-facing of the old Ellis parking ramp located at 204 W. Allegan St. Pursuant to the contract, both of these items were to be completed at the same time. Mr. Roberts advised that he spoke with Mr. Shebuski and that there are also items included which are in addition to what was agreed to in the contract. Discussion ensued. Mr. Roberts advised that he has requested an easement for the opening in the parking ramp and also will request a letter from the Accident Fund which indicates what their intent is in regard to the plaza, including a legally binding document which indicates a date certain as to when the work will be completed. Mr. Berridge advised that the document should include some type of declaration of what the maintenance requirements will be on the exterior on this structure over the life of the structure. 3. Other Business: • A Special LBA meeting will be held on January 27, 2005 at 8:30 a.m. in the 7"Floor Conference Room to discuss the Separation of Ownership issue. 2 Approved by the LBA at a Special Meeting on 1127105 Mr. Ruff provided the LBA members with documentation a Group dated meeting on December 21, 2004, which included a letter from the Boj January 11, 2005, regarding parking equipment with attached reports from HNTB. Shiela Wheeler advised the LBA members that MEe rend ced the l an bhe LBA$350.00 because of the project sign costs. Therefore,M s.authorize the appropriation of funds in the amount of$350.0a fund review,from e LBA LBA balance. Glenn Kirk moved that contingent up t t David authorize the appropriation of$350.00 from the fund balance; supped by Berridge; motion carried by 3-0 unanimous roll call vote. No further business. 4. Public Comment: None. rted 5, Adjourn. Glenn Kirk moved to adjourn the by unanimou s3- Paul Novak; the meeting was adjourned at 9:35 a.m. 0 vote. Recorded and Submitted by: thleen M. Fr ecor ng Secretary Office Administrator, Ci Attorneys Office 3