Title
Request to Approve the Rochester Hills Economic Development Corporation's Project Plan for Vehma International of America, Inc.
Body
Whereas, there exists in the City of Rochester Hills, County of Oakland, Michigan (the "City") the need for projects to alleviate and prevent conditions of unemployment, to assist and retain local industrial and commercial enterprises in order to strengthen and revitalize the City's economy and to encourage the location and expansion of such enterprises to provide needed services and facilities to the City and its residents; and
Whereas, The Economic Development Corporations Act, Act No. 338 of the Michigan Public Acts of 1974, as amended (the "Act") provides a means for the encouragement of such projects in this City through the City's Economic Development Corporation (the "EDC"); and
Whereas, the EDC has commenced proceedings under the Act for the benefit of such a project (the Vehma International Project, the "Project") and, in accordance with the Act, has prepared, approved and recommended to this City Council a "Project Plan" relating to the Project (a copy of which is attached hereto as Exhibit A), which contemplates the issuance by the EDC of its limited obligation economic development revenue bonds to assist in the financing of the Project (the "Bonds"); and
Whereas, the EDC's bond counsel has opined that the Project Plan complies with the Act and contains all of the information required by the Act to enable this City Council to consider its approval; and
Whereas, the Act and the Internal Revenue Code of 1986, as amended (the "Code") require that, as a condition precedent to the City Council's consideration of the Project Plan, this City Council hold a public hearing on the Project Plan and the EDC's issuance of the Bonds; and
Whereas, this City Council has held a public hearing in accordance with the requirements of the Act and the Code and has determined that the Project is reasonable and necessary to effectuate the purposes of the Act and that the Project Plan constitutes a public purpose and satisfies all of the requirements of the Act regarding project plans and the issuance of the Bonds by the EDC; and
Whereas, before the EDC can proceed with the Project and the issuance of the Bonds under the Act, the Act and the Code require that this City Council approve the Project Plan.
Resolved, that the Project Plan constitutes a public purpose and satisfies the requirements of the Act relating thereto.
Be It Further Resolved, that in accordance with the Act, the Rochester Hills City Council hereby approves the Project Plan, including the issuance of the Bonds contemplated thereby.
Be It Further Resolved, that the City Clerk is hereby directed to provide four certified copies of this resolution to the Secretary of the Board of the EDC.
Be It Finally Resolved, that all resolutions and parts of resolutions insofar as they conflict with the provisions of this resolution be and they are hereby rescinded.