View the PDF version Google Docs PDF Viewer
CITY OF MUSKEGON
LOCAL DEVELOPMENT FINANCE AUTHORITY
REGULAR MEETING
MINUTES
September 10, 2002
D. Seifert called the meeting to order at 12:05 p.m. and roll was taken.
MEMBERS PRESENT: C. Larson, R. Kersman, P. Roy Jr., D. Seifert, R. Long, D. Witte, J.
Kolkema-Shafer, J. Derbin
MEMBERS ABSENT: D. Woodward, excused; J. Bodrie, excused; V. Zukiewicz, M.
Balzic, J. Hayner
STAFF PRESENT: B. Mazade, C. Brubaker-Clarke, J. Fitzpatrick, H. Griffith; T. Paul
OTHERS PRESENT: P. McGow, Miller Canfield; F. Culver, Attorney (phone
conference call); D. Alexander, Muskegon Chronicle, A. Jenks,
Workstage; M. Sands, Workstage; R. Mills, Workstage.
APPROVAL OF MINUTES
A motion to approve the minutes of the regular meeting of August 22, 2002 was made by J.
Derbin, supported by R. Kersman and unanimously approved.
A motion to approve the minutes of the regular meeting of August 27, 2002, was made by J.
Derbin, supported by R. Kersman and unanimously approved.
NEW BUSINESS
Authorize the Issuance of Bonds for the SmartZone Center of Excellence – P. McGow stated that
the tax increment revenues would be paying off the bonds once funds are available. Since there
are not revenues in the district yet, they would need the City’s full faith and credit for repayment
of the bonds. This would be going before the City Commission tonight for approval. Once
everything is approved, the Department of Treasury would be receiving the application to issue
the bonds. This usually takes up to 6 weeks. The split of the $4,725,000 (changed from
$4,655,000 due to additional costs) is 75% (tax exempt) and 25% (taxable). Once the Treasury
approves the issuance of bonds, the LDFA would need to take action on when the bonds could be
sold. This would occur at least 8 weeks from now. T. Paul added that the construction could
start before the bonds are for sale. J. Derbin inquired about the LDFA’s role in this and what
they are being asked to approve. T. Paul stated that the LDFA would be the issuer of the bonds.
The City will have to make the payments on the bonds if there are not any tax increment
revenues available. P. McGow stated that the LDFA would own the GV building, issue bonds,
and be part of the construction itself.
1
A motion to approve the adoption of the resolution for the issuance of bonds for the SmartZone
Center of Excellence, was made by R. Kersman, supported by R. Long and unanimously
approved.
Election of a Secretary – D. Seifert inquired if there were any volunteers for the position. R.
Kersman volunteered.
A motion to elect R. Kersman as the secretary for the LDFA, was made by R. Long, supported
by C. Larson and unanimously approved.
Property Transfer Agreement for SmartZone Center of Excellence from Lakefront LLC to
LDFA. – C. Brubaker-Clarke stated that this is still being worked on. Lakefront is asking for a
date that Shoreline Drive will be completed. F. Culver stated they are still working on the
details. It is anticipated that this will be signed at the same time as Lakefront LLC’s closing with
Teledyne. B. Mazade asked for clarification regarding the Lakefront LLC deeding property to
the City and the LDFA with the public right-of-ways going to the City. F. Culver stated that the
Lakefront LLC would be deeding the GVSU property to the LDFA with the public right-of-ways
going to the City.
Approve the Lease Agreement with GVSU/LDFA for the Center of Excellence Building. – F.
Culver stated that the Community Foundation agreed to contribute should there be a need, up to
a certain amount per year. He understands that the Chamber is also willing to help. This would
be provided that GVSU agrees that the LDFA can make payments on the loan with the tax
increment revenues. J. Derbin inquired about the length of the agreement. F. Culver stated that
the agreement is short and is between the LDFA, City, Community Foundation, and the
Chamber. B. Mazade stated that the Chamber’s board would still need to approve their
participation of funding first.
Approve the Workstage Contract for the Construction of the Center of Excellence Building. – F.
Culver stated that there were a few things that still needed changing regarding this agreement. R.
Mills stated that the building size was reduced to 25,000 square feet. There would be a barrel
roof for the solar panels. A. Jenks provided drawings of the floor plans for the building. The
roof will be white barrel. J. Derbin inquired about snow in regards to the roof design. A. Jenks
stated that they have not had any problems with any other buildings with this design. This would
carry less snow than a flat roof. A. Jenks stated the windows would have one-inch glazing. R.
Kersman inquired if the window was made up of two panes of glass with the glazing in the
middle. A. Jenks stated that it was. He showed the different elevations of the building. He gave
an overview of the different offices, assembly areas, etc. for each of the two floors. The building
would have an open floor plan so it could easily be renovated. R. Mills stated that there would
be three buildings in total. The plans that are being shown to the members are for one of the
buildings.
Next Meeting – C. Brubaker-Clarke inquired if the members would be available for another
meeting on September 17 at noon. This meeting would only be held if the items they need to
take action on were ready. C. Brubaker-Clarke stated that if the items were not ready by Friday,
September 13, there would not be a meeting and the members would be notified. R. Long stated
that he would not be able to attend this meeting.
2
Other
None.
There being no further business, the meeting was adjourned at 1:17 p.m.
hmg
9/10/02
3
Sign up for City of Muskegon Emails