HomeMy WebLinkAbout2000 LEDC minutesEconomic Development Corporation
of the City of Lansing
Board of Director's Meeting
City Council Conference Room
Tenth Floor, Lansing City Hall
Wednesday, February 2, 2000
4:00 P.M.
Members Present: Ann Brazeau; James Butler; Kim Coleman;
David Hollister; William Long; Larry Meyer;
Joseph Pandy
Members Absent: Paula Cunningham; William Porter, Jr.
Temporary EDC
Members Present: None
Temporary EDC
Members Absent: Ed Carpenter; Jan Hayhow
Staff Present: Tracy Carney; Patricia Cook; Karl Dorshimer;
Barbara Foreman
Guests Present: Chuck Clark; Gregg Hanner; Chris Holman
1) Call to Order
Chair Long called the meeting to order at 4:16 p.m.
2) Approval of the Board of Director's Meeting Minutes from Dec. 1, 1999
Motion - James Butler motioned the Board to approve
the Board of Director's Meeting Minutes from
Dec. 1, 1999 as presented and place them
on file. Ann Brazeau seconded the motion.
Yeas: Unanimous. Motion carried.
3) Financial Statements (thru December, 1999)
The Board unanimously agreed to receive and place on file the Financial Statements
(thru December, 1999) as presented.
4) 1999 Annual Report on EDC, TIFA & LBRA Initiatives
5) 2000 Annual Goals & Program Initiatives
Motion - Larry Meyer motioned the Board to approve
Agenda Items 4 & 5 above as presented.
James Butler seconded the motion.
Yeas: Unanimous. Motion carried.
6) BWL Ottawa Power Plant Project Update - Joe Pandy
Joe Pandy, Manager of the Board of Water, introduced to the Board Gregg Hanner of
Steiner & Associates which is located in Columbus, OH. Steiner & Associates has been
retained by the Board of Water & Light to do a feasibility analysis to determine if the
Lansing area can support an Urban Entertainment Destination Center. The Ottawa
Power Plant Building is being looked at as the most probable site for the project, but
other sites in the Lansing area are being looked at as well. The feasibility analysis
should be completed within 60 to 90 days.
7) EDC B.F.A.P. Projects
a) Analysis of Program Loan Funds (thru 12/31/99)
The Board received a copy of the Analysis of Program Loan Funds dated
12/31/99, which was prepared by Barbara Foreman.
b) Update on BFAP Projects:
* Status of Elbinger Loan - Negotiate with 1 st Mortgagee
Staff continues to negotiate a payoff amount with first mortgagee's
legal council.
8) Other Business
a) Capital Consultants Contract Extension thru 6/30/2000 for the "Retain GM
Effort"
Motion - Larry Meyer motioned the Board to approve the
extension of Capital Consultants Contract thru
6/30/2000 for the "Retain GM Effort" as
presented. Kim Coleman seconded the motion.
Yeas: Unanimous. Motion carried.
b) EDC Current Projects Update (December/January)
The Board received a copy of the EDC Activities Update dated December '99/
January 2000, which was prepared by Tracy Carney.
c) EDC/Ingham County Retention Contract
Pat Cook reminded the Board that when the current EDC budget was proposed
last year, the expectation was that a retention contractor would be on board by
September 1, 1999 and that the Contract would run through one year.
Pat stated that due to a variety of challenges, it is now anticipated that the
retention contractor will start on March 1, 2000. This means that six months
of the proposed costs for the position in the current FY will not occur.
Pat further stated that Ingham County, by Resolution, has reserved funding for
the position through December 31, 2001. Pat asked the Board to authorize
conceptually that the program be considered through December 31, 2001.
Motion - Kim Coleman motioned the Board to endorse
conceptually the retention program through
December 31, 2001, provided that funds are
available. Ann Brazeau seconded the motion.
Yeas: Unanimous. Motion carried.
9) Public Comment
None.
10) Adjournment
Chair Long declared the meeting adjourned at 5:22 p.m.
Minutes by B. Foreman
Patricia A. Cook
EDC Manager
Economic Development Corporation
of the City of Lansing
Board of Director's Meeting
Mayor's Conference Room
Ninth Floor, Lansing City Hall
Wednesday, April 5, 2000
4:30 P.M.
J. 10 I o iii 4: 05
.. ii,v Ci i 1' CLERK,
Members Present: Ann Brazeau; Kim Coleman; Paula Cunningham;
William Long; Joseph Pandy
Members Absent: James Butler; David Hollister; Larry Meyer;
William Porter, Jr.
EDC Temporary
Members Present: Ed Carpenter; Jan Hayhow
Staff Present: Tracy Carney; Patricia Cook; Karl Dorshimer;
Barbara Foreman
Guests Present: Dru Mitchell; John Pearson
1) Call to Order
Chair Long called the meeting to order at 4:36 p.m.
2) Introduction of Business Retention Contractor
Patricia Cook introduced to the Board Dru Mitchell, EDC & Ingham County EDC's
new Business Retention Contractor.
3) Approval of the Board of Director's Meeting Minutes from February 2, 2000
Motion - Joe Pandy motioned the Board to approve the
Board of Director's Meeting Minutes from
February 2, 2000 as presented and place them
on file. Ann Brazeau seconded the motion.
Yeas: Unanimous. Motion carried.
4) Financial Statements - January & February, 2000
Motion - Joe Pandy motioned the Board to approve the
Financial Statements (January & February, 2000)
as presented. Ann Brazeau seconded the motion.
Yeas: Unanimous. Motion carried.
5) Proposal to Engage Auditors
Motion - Ann Brazeau motioned the Board to approve
engaging the accounting firm of Kutas & Hawes,
PC to perform the EDC Audit for the next three
FY's, as outlined in their proposal. Kim Coleman
seconded the motion.
Yeas: Unanimous. Motion carried.
6) Resolution Approving EDC FY O1 Budget Request to City
Motion - Paula Cunningham motioned the Board to approve
the Resolution Approving EDC's FY Ol Budget
Request to the City as presented. Joe Pandy
seconded the motion.
Yeas: Unanimous. Motion carried.
7) EDC B.F.A.P. Projects
a) Analysis of Program Loan Funds (thru 2/29/2000)
The Board received a copy of the Analysis of Program Loan Funds dated
2/29/2000, which was prepared by Barbara Foreman.
b) Update on BFAP Projects
- Elbinger Laboratories
Patricia Cook informed the Board that the foreclosure was entered by the EDC
on the Elbinger property on N. Washington Ave. A sheriffs sale will take place
on April 28th, 2000.
8) Other Business
a) EDC Current Projects Update (February & March)
The Board received a copy of the EDC Activities Update dated February &
March, 2000, which was prepared by Tracy Carney.
b) Ingham County EDC Strategic Plan
The Board received a copy of the Ingham County EDC's Strategic Plan which
outlines their long term goals.
Joe Pandy informed the Board that GM has expressed interest in having the Board of
Water & Light finance the Central Utilities Complex for their Platinum Project in Delta
Township. The possibility exists that the Economic Development Corporation may be
considered as a means for the issuance of bonds to finance the CUC. Joe supplied
the Board with a chart outlining the structure of the possible financing for the project.
9) Public Comment
None.
10) Adjournment
Chair Long declared the meeting adjourned at 5:05 p.m.
Minutes by B. Foreman
Patricia A. Cook
EDC Manager
Economic Development Corporation
of the City of Lansing
2 Board of Directors Meeting
Mayor's Conference Room
Ninth Floor, Lansing City Hall
Wednesday, June 7, 2000
4:00 P.M.
Members Present: Ann Brazeau; James Butler; David Hollister; William
Long; Larry Meyer
Members Absent: Kim Coleman; Paula Cunningham; Joseph Pandy;
William Porter, Jr.
Temporary EDC
Members Present: Ed Carpenter; Jan Hayhow
Staff Present: Tracy Carney; Patricia Cook; Karl Dorshimer;
Barbara Foreman
Guests Present: Brian Eggers; Kate Johnson; David VanHaaren
1) Call to Order
Chair Long called the meeting to order at 4:05 p.m.
At this time a quorum was not present and it was suggested by Chair Long to move ahead with
the EDC Agenda and vote on action items (excluding the EDC FY O1 Budget) with the
assumption that a quorum would soon be present.
2) Approval of the Board of Director's Meeting Minutes from April 5, 2000
Motion - Ann Brazeau motioned the Board to approve the
Board of Director's Meeting Minutes from April 5,
2000 as presented and place them on file. David
Hollister seconded the motion.
Yeas: Unanimous. Motion carried.
3) Financial Statements - March & April, 2000
The Board unanimously agreed to accept and place on file the March & April,
2000 Financial Statements as presented.
5) EDC B.F.A.P. Projects
a) Analysis of Program Loan Funds (thru 4/30/00)
The Board received a copy of the Analysis of Program Loan Funds dated
4/30/00, which was prepared by Barbara Foreman.
The Board also received a copy of an Overview of the BFAP Funding
(May, 1995 thru May, 2000), which was prepared by Patricia Cook.
The overview outlines the funds that have been disbursed over the course
of the five years, the loan guarantees and also the balance available to
finance future projects, should the Board decide to activate the BFAP.
James Butler entered the meeting at 4:30 p.m. Chair Long informed Mr. Butler that Items 2 & 3
on the Agenda had been approved by the Board contingent upon the arrival of another Board
member in order to complete a quorum. Mr. Butler concurred with the Board's vote on Items 2
& 3 on the EDC Agenda.
Bare Bone Art Studio
Motion - Jan Hayhow motioned the Board to approve the
renewal of the Bare Bone Art Studio loan as
presented (with a 6 % interest rate for 60 months).
Ed Carpenter seconded the motion.
Yeas: Unanimous. Motion carried.
Goldenrod Distribution
Motion - Ed Carpenter motioned the Board to approve the
renewal of the Goldenrod Distribution loan as
presented (with a 6% interest rate for 60 months).
Jan Hayhow seconded the motion.
Yeas: Unanimous. Motion carried.
4) Presentation of EDC FY O1 Budget
Motion - Larry Meyer motioned the Board to approve the EDC
FY O1 Budget as presented. James Butler seconded
the motion.
Yeas: Unanimous. Motion carried.
Patricia Cook requested of the Board a vote of support for EDC staff to move forward with the
restructuring of the Business Financing Assistance Program and a recommendation to present new
program guidelines for consideration at the next Board meeting.
Motion - Ann Brazeau motioned the Board to support the above
request as presented by Patricia Cook. James Butler
seconded the motion.
Yeas: Unanimous. Motion carried.
6) Other Business
a) EDC Current Projects Update (April/May)
The Board received a copy of the EDC Activities Update (April/May, 2000),
which was prepared by Tracy Carney. A new category has been added to
the Activities Update: Joint City/County EDC Retention Activities, with
an attached list of those companies that have been contacted by Dru Mitchell
(EDC/Ingham County Business Retention Contractor).
b) Status of Central Utilities Complex (CUC) for GM Platinum Plant
Patricia Cook stated that the EDC has an opportunity to issue bonds to
construct a CUC that would serve the platinum plant of Delta Township.
The cost could be as much as $120 million and could mean a possible
half million dollars a year, for a period of years, for the EDC. The EDC
is continuing to pursue this opportunity.
7) Public Comment
None.
8) Adjournment
Chair Long declared the meeting adjourned at 5:15 p.m.
Minutes by B. Foreman
Q e Q
Patricia A. Cook
EDC Manager
At this time a quorum was not present and it was suggested by Chair Long to move ahead and
review Item 3 on the EDC Agenda.
3) Financial Statements (thru June, 2000 - Unadjusted)
Patricia Cook gave the Board a brief overview of the EDC Unadjusted Financial
Statements through June, 2000.
At 4:15 p.m. a quorum was still not present and it was decided by Chair Long to review Item
4 on the EDC Agenda.
4) Presentation of New BFAP Guidelines/Criteria
Patricia Cook reviewed with the Board the Guidelines and Criteria for the
New Business Financing Assistance Program.
Kim Coleman entered the meeting at 4:25 p.m.
Larry Meyer suggested that the interest rate for the BFAP loans be reviewed
annually. After some discussion the Board unanimously agreed to accept
Economic Development Corporation
of the City of Lansing
Board of Director's Meeting
Mayor's Conference Room
Ninth Floor, Lansing City Hall
�" t
Wednesday, August 2, 2000
4:00 P.M.
Members Present:
Ann Brazeau; Kim Coleman; David Hollister;
,� .V -
William Long; Larry Meyer
Members Absent:
James Butler; Paula Cunningham; Joseph Pandy;
William Porter, Jr.
Temporary EDC
Members Present:
Ed Carpenter; Jan Hayhow
Staff Present:
Tracy Carney; Patricia Cook; Karl Dorshimer;
Barbara Foreman
Guests Present:
None
At this time a quorum was not present and it was suggested by Chair Long to move ahead and
review Item 3 on the EDC Agenda.
3) Financial Statements (thru June, 2000 - Unadjusted)
Patricia Cook gave the Board a brief overview of the EDC Unadjusted Financial
Statements through June, 2000.
At 4:15 p.m. a quorum was still not present and it was decided by Chair Long to review Item
4 on the EDC Agenda.
4) Presentation of New BFAP Guidelines/Criteria
Patricia Cook reviewed with the Board the Guidelines and Criteria for the
New Business Financing Assistance Program.
Kim Coleman entered the meeting at 4:25 p.m.
Larry Meyer suggested that the interest rate for the BFAP loans be reviewed
annually. After some discussion the Board unanimously agreed to accept
the BFAP Guidelines and Criteria as presented by Patricia Cook with two
changes:
1. modify language on description of commercial.
2. the interest rate for loans will be reviewed and or set annually by the EDC
Board.
A quorum was now present and Chair Long called the meeting to order at 4:40 p.m.
2) Approval of the Board of Director's Meeting Minutes from June 7, 2000
Motion - Larry Meyer motioned the Board to approve
the Board of Director's Meeting Minutes
from June 7, 2000 as presented and place
them on file. Ann Brazeau seconded the
motion.
Yeas: Unanimous. Motion carried.
3) Financial Statements (thru June, 2000 - Unadjusted)
Motion - Ann Brazeau motioned the Board to accept
and place on file the Unadjusted Financial
Statements (thru June, 2000) as previously
presented. Kim Coleman seconded the
motion.
Yeas: Unanimous. Motion carried.
4) Presentation of New BFAP Guideline/Criteria
Motion - Larry Meyer motioned the Board to accept
the Program Guidelines/Criteria for the
BFAP as previously presented (with
modifications listed above). Kim Coleman
seconded the motion.
Yeas: Unanimous. Motion carried.
5) EDC Revenue Bond Project Closeout - Parkside Company
Patricia Cook informed the Board that Parkside Company is expecting to pay off their EDC
Bond. The Board received copies of the documents (prepared by Kester So) for the
Parkside Project Closeout. Pat requested the Board's authority for the EDC Chair and other
officers to execute the Parkside documents pending the EDC receiving final resolutions from
National City Bank acknowledging that Parkside has paid their loan in full.
Motion - Larry Meyer motioned the Board to approve Patricia
Cook's request as presented. David Hollister seconded
the motion.
Yeas: Unanimous. Motion carried.
6) EDC BFAP Projects
a) Analysis of Program Loan Funds (thru 6/30/00)
The Board received a copy of the Analysis of Program Loan Funds dated
6/30/00, which was prepared by Barbara Foreman.
7) Other Business
a) EDC Current Projects Update (June/July)
The Board received a copy of the EDC Activities Update (June/July,2000),
which was prepared by Tracy Carney.
Patricia Cook informed the Board that over the last six months the EDC and the City have been
approached by a number of businesses that are geared toward information technology. Pat
mentioned that the EDC has been working with the Mayor's Office and the City Planning
Department to understand some of the complexities of these projects. Pat further mentioned that
the EDC has engaged James Butler and his staff to offer the EDC consulting services on a
temporary basis to analyze some of these projects in terms of their economic impact on the City
of Lansing.
Chair Long reminded the Board that they had previously given EDC staff the authority to enter
into Contracts and asked that the minutes reflect that the Board unanimously agreed with the
EDC staff decision to engage James Butler and his staff as mentioned above.
b) Status of the Central Utilities Complex (CUC) for GM Platinum Plant
Patricia Cook informed the Board that the EDC has submitted a proposal
expressing the EDC's interest in facilitating the financing of the CUC in
the amount of up to 120 million dollars. Pat further informed the Board
that the EDC will be issuing an RFQP next week asking for underwriters.
8) Public Comment
None.
9) Adjournment
Chair Long declared the meeting adjourned at 5:01 p.m.
Minutes by B. Foreman
,
Patricia A. Cook
EDC Manager
Economic Development Corporation
of the City of Lansing
Special Board of Director's Meeting,-
Mayor's
eeting Mayor's Conference Room
Ninth Floor, Lansing City Hall '
Wednesday, September 27, 2000
9:00 A.M.
Members Present: Ann Brazeau; James Butler; David Hollister; William
Long; Joseph Pandy
Members Absent: Kim Coleman; Paula Cunningham; Larry Meyer;
William Porter, Jr.
Temporary EDC
Members Present: Ed Carpenter; Jan Hayhow
Staff Present: Patricia Cook; Karl Dorshimer; Barbara Foreman;
Tracy Carney -Miller; Marchelle Smith
Guests Present: Ryan Thelen
1) Call to Order
Chair Long called the meeting to order at 9:05 a.m.
Patricia Cook introduced to the Board Marchelle Smith, EDC's new Special
Projects Administrator. Pat stated that Marchelle will be administering the
EDC Loan Program, as well as, the Grants along Washington Square and the
Neighborhood Enterprise Zone Program.
2) Approval of the Board of Director's Meeting Minutes from August 2, 2000
Motion - David Hollister motioned the Board to approve
the Board of Director's Meeting Minutes from
August 2, 2000 as presented and place them on
file. James Butler seconded the motion.
Yeas: Unanimous. Motion carried.
Chair Long asked that it be noted that under Item 7 on the August 2, 2000 Meeting Minutes
no fees were charged to the EDC for the consulting services provided by James Butler and
his staff at IBM.
3) Central Utilities Complex - GM Platinum Plant
a) Resolution of Project Inducement
Motion - James Butler motioned the Board to approve the
Resolution of Project Inducement as presented
by Patricia Cook. Ann Brazeau seconded the
motion.
Yeas: Unanimous. Motion carried.
b) Authorize Negotiation with Underwriter & Financial Advisor
Motion - David Hollister motioned the Board to authorize
EDC staff to move forward in negotiating with
Underwriters & Financial Advisors as presented
by Patricia Cook. Ann Brazeau seconded the
motion.
Yeas: Unanimous. Motion carried.
4) EDC Revenue Bond Project - Plas Labs Development at UCRP
Patricia Cook informed the Board that EDC staff has been working with Plas Labs
over the past two years in consideration of their plans to expand. Pat mentioned
that Plas Labs is located in North Lansing and has been in business for 20 years.
They are a manufacturing company involved in research and the development of
controlled environment devices. Plas Labs is interested in the development of a
new building (20,000 sq. ft.) with a cost of approximately 1.5 million dollars. The
location for the new facility will be the University Corporate Research Park, which
is located in Lansing.
Pat asked the Board for approval to move forward with the initial steps required for
EDC's possible financing of the Plas Labs Project.
Motion - Joseph Pandy motioned the Board to approve the
Resolution of Project Inducement for the Plas Labs
Project as presented by Patricia Cook. David Hollister
seconded the motion.
Yeas: Unanimous. Motion carried.
5) EDC B.F.A.P. Projects
a) Consideration of Loan Extension (Angavine, Inc.)
Patricia Cook stated that it is now public knowledge that the Blue Coyote
Brewing Co. is no longer in business. Pat stated that the five-year balloon on
the Blue Coyote loan came due on 9/18/00. Harry Hepler, past President of
the Blue Coyote Brewing Co. has requested that the EDC extend the loan
for a six month period - giving him an opportunity to refinance and pay off
the EDC loan.
The Board was informed that EDC staff recommends extension of the loan for
six months only with timely payments of principal and interest at their current
6 % interest rate. Also, the Blue Coyote Brewing Co./Angavine Inc. shall pay
all attorney fees associated with the renewal of the loan (est. at $750.00) and
the EDC would have future security in an assignment of any new leases or rents.
Motion - Ann Brazeau motioned the Board to approve the
Resolution supporting the extension of the loan
for the Blue Coyote Brewing Co./Angavine, Inc.
as presented. Jan Hayhow seconded the motion.
Yeas: Unanimous. Motion carried.
Patricia Cook added that during this six month extension should loan payments
not be received on a timely basis, the EDC would proceed with immediate
foreclosure.
James Butler asked that Mr. Hepler be invited to attend the next EDC Board
Meeting to discuss with the Board future strategies for the Blue Coyote Brewing
Company building.
b) Analysis of Program Loan Funds (thru 8/31/00)
The Board received a copy of the Analysis of Program Loan Funds dated 8/31/00,
which was prepared by Barbara Foreman.
Patricia Cook mentioned that the only loan in default is Elbinger Laboratories
and the redemptive period is up at the end of October. At that time the EDC
will move forward to market the property.
6) Other Business
a) Consideration to Extend Loan Guarantee to Lansing Community Micro -Enterprise
Fund
The Board received a copy of a letter from Denise Peek, Executive Director
of the Lansing Community Micro -Enterprise Fund, requesting that the EDC
consider support of the Project for another year. Patricia Cook informed the
Board that a second loan was in default in the amount of $2,234.65, which
will reduce EDC's guarantee amount to $17,765.35 for the year beginning
November 6, 2000 thru November 6, 2001.
Motion - Joseph Pandy motioned the Board to approve
authorization of a $17,765.35 Loan Guarantee
for the Micro -Enterprise Loan Fund (November
6, 2000 thru November 6, 2001). James Butler
seconded the motion.
Yeas: Unanimous. Motion carried.
b) EDC Current Projects Update (August/September)
The Board received a copy of the EDC Activities Update (August/September,
2000), which was prepared by Tracy Carney -Miller.
7) Public Comment
None
S) Adjournment
Chair Long declared the meeting adjourned at 10:20 a.m.
Minutes by B. Foreman
Patricia A. Cook
EDC Manager
Members Present:
Members Absent:
Temporary EDC
Members Present:
Temporary EDC
Members Absent:
Staff Present:
Guests Present:
1) Call to Order
Economic Development Corporation
of the City of Lansing
Special Board of Director's Meeting
Mayor's Conference Room
Ninth Floor, Lansing City Hall
Wednesday, December 6, 2000
3:00 P.M.
Ann Brazeau; Paula Cunningham; David Hollister;
William Long; Larry Meyer; Joseph Pandy
James Butler; Kim Coleman; William Porter, Jr.
Jan Hayhow
Ed Carpenter
Patricia Cook; Karl Dorshimer; Barbara Foreman;
Tracy Carney -Miller; Marchelle Smith
Steve Kutas, Jr.; Jeff Williams
Chair Long called the meeting to order at 3:10 p.m.
2) Approval of the Special Board of Director's Meeting Minutes from September 27, 2000
Motion - Ann Brazeau motioned the Board to approve the
Special Board of Director's Meeting Minutes from
September 27, 2000 as presented and place them
on file. David Hollister seconded the motion.
Yeas: Unanimous. Motion carried.
3) Approval of FY 99/00 EDC Audit
Motion - Ann Brazeau motioned the Board to receive and place on
file the FY 99/00 "Draft" Audit as presented by Steve
Kutas, Jr. of Kutas & Hawes, P.C. Joseph Pandy
seconded the motion.
Yeas: Unanimous. Motion carried.
4) Financial Statements
a) Final June, 2000
Will be presented at the next Board Meeting.
b) July thru September, 2000
The Board unanimously agreed to accept and place on file the July thru
September, 2000 Financial Statements as presented.
5) EDC Revenue Bond Project Closeout
Motion - Joseph Pandy motioned the Board to approve
the Resolution for the Southwind Park II Project
Closeout as presented by staff. Larry Meyer
seconded the motion.
Yeas: Unanimous. Motion carried.
6) EDC B.F.A.P. Projects
a) Analysis of Program Loan Funds (thru 10/31/00)
The Board received a copy of the Analysis of Program Loan Funds dated
10/31/00, which was prepared by Barbara Foreman.
7) Other Business
a) Update on Central Utilities Complex Project
No new information at this time.
b) EDC Current Projects Update (October/November, 2000)
The Board received a copy of the EDC Activities Update (October/November,
2000), which was prepared by Tracy Carney -Miller.
8) Public Comments
None.
9) Adjournment
Chair Long declared the meeting adjourned at 3:45 p.m.
Minutes by B. Foreman
J&,U4.—
Patricia A. Cook
EDC Manager