Detroit FRC City Meeting Minutes June 26, 2023
Detroit Financial Review Commission
REGULAR CITY MEETING
Monday, June 26, 2023, at 1:00 p.m.
Using: Microsoft Teams
MINUTES
Approved
- Call to Order
- Chairman, Kevin A. Smith called the meeting to order at 1:02 p.m.
- Roll Call
- Let the record show that 5 Commission members eligible to vote were present. A quorum was present.
- Approval of proposed Minutes from the May 22, 2023, Regular City Meeting
- Motion made by commissioner Barnwell and supported by commissioner Rose to approve the draft minutes of the commission’s May 22, 2023, city meeting as presented. The commission unanimously approved the minutes as presented.
- Executive Director’s Report
- Patrick Dostine stated that based upon the city’s monthly financial report for the 10 months ending April 30, 2023, the city continues to remain in compliance with all statute relevant to the waiver status.
- Mr. Dostine also noted that the commission convenes today and is taking up for consideration the year-six waiver for the city of Detroit. He stated that over the course of the fifth-waiver year, the city submitted reports required by statute and by FRC resolution 2018-13, Sec. 3. These reports and other data served to inform the Detroit Financial Review Commission on statutory benchmarks required of the city while in waiver status. The city complied and remained in compliance with the requirements. He further noted that the finance subcommittee and contracts/grants subcommittee were re-convened for the purposes of transparency and review of the city’s finances and contracts and procurement operations over the course of the year; the subcommittee meetings advantaged commissioners with additional data and analyses and created opportunities for commissioners to engage with city staff on relevant matters.
- The meeting was also informed that Sec. 8 of Public Act 181 of 2014 sets forth the conditions that, if met, require the Financial Review Commission to adopt a resolution and grant a waiver.
- Old Business
- None
- New Business:
- Consideration of the City’s request to certify three deficit free budgets and compliance with Michigan Financial review Commission’s Act per MCL 141.1638 (g) (FRC Resolution 2023-1)
- Motion made by commissioner Rose and supported by commissioner Walsh to certify the City’s three deficit free budgets request and compliance with Michigan Financial Review Commission’s Act (FRC City Resolution 2023-1) as presented.
- Motion moved and supported. The Commission approved City Resolution 2023-1 as presented.
- Consideration of the City’s request to approve granting a waiver per MCL141.1638 (2) (FRC Resolution 2023-2)
- Motion made by commissioner Rose and supported by commissioner Walsh to approve the City’s waiver request (FRC City Resolution 2023-2) as presented. Motion moved and supported. The Commission approved City Resolution 2023-2 as presented.
- City’s request to issue $25 million in UTGO Capital Bonds – Presentation
- Chief Financial Officer, Jay Rising made a detailed presentation to the commission. He noted that Detroit voters approved Proposal N for Neighborhoods, and a $250M comprehensive plan to address vacant houses in Detroit through rehabilitation or demolition. $175M were issued in 2021 and this issuance will cover the remaining$75M.He further stated that 25M for capital, $13M for transportation and $12M recreation was previously approved, and these investments are affordable under the city’s strengthened debt policy. The city developed processes to spend and document bond proceeds to ensure tax compliance.
- Consideration of the City’s request to issue $25 million in UTGO Capital Bonds (FRC Resolution 2023-3)
- Motion made by commissioner Rose and supported by commissioner Walsh to approve the city’s request to issue $25million in UTGO Capital Bonds (FRC City Resolution 2023-3) as presented. Motion moved and supported. The commission approved City Resolution 2023-3 as presented.
- Comments from the commissioners
- The commissioners thanked the staff of the city of Detroit and Financial Review Commission for their hard work and dedication over the course of the past year for the city to be able to achieve the year-six waiver.
- City’s Financial Report for the 10 months ended April 30, 2023
- staff from the OCFO’s office of the city of Detroit discussed the above-mentioned financial report and addressed questions from the commissioners.
- Consideration of the City’s request to certify three deficit free budgets and compliance with Michigan Financial review Commission’s Act per MCL 141.1638 (g) (FRC Resolution 2023-1)
- Public Comment
- None
- Next Meeting Date
- City Regular Meeting: Monday, July 31, 2023, at 1:00 p.m. using Microsoft Teams
- Adjournment
- Motion made by commissioner Rose and supported by commissioner Walsh to adjourn. Motion moved and supported; the commission approved the motion to adjourn.
- There being no further business, the meeting adjourned at 1:25 p.m.
Roll Call:
Members Present –
- Dr. J. Barnwell
- Jay Rising
- Ron Rose
- Kevin A. Smith
- Angelique Peterson-Mayberry (non-voting)
- Jeremy Vidito – (non-voting)
- John Walsh
Members Absent –
- Chris Harkins
- Mary Sheffield
FRC 6/26/2023 Meeting (City of Detroit) |
City of Detroit Resolution 2023-1 (Consideration of the City’s request to approve adoption and adherence to deficit free budgets for 3 consecutive years and compliance with Michigan Financial Review Commission’s Act. - Roll Call |
City of Detroit Resolution2023-2 (Consideration of City’s request to approve/extend the city’s waiver) - Roll Call |
City of Detroit Resolution 2023-3 Consideration of the City’s request to issue $25 million in UTGO Capital Bonds (FRC Resolution 2023-3) - Roll Call |
Dr. Barnwell |
Yes |
Yes |
Yes |
Mr. Harkins |
Absent |
Absent |
Absent |
Mr. Rising |
Yes |
Yes |
Yes |
Mr. Rose |
Yes |
Yes |
Yes |
Ms. Sheffield |
Absent |
Absent |
Absent |
Mr. Kevin A. Smith |
Yes |
Yes |
Yes |
Mr. Walsh |
Yes |
Yes |
Yes |