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HomeMy WebLinkAboutResolutions - 1973.05.17 - 10436May 17, 1973 6322 RESOLUTION NO. RE: AWARD OF DELINQUENT TAX REVOLVING FUND NOTES, SERIES 1973 BY: FINANCE COMMITTEE - Fred Do Houghten, Chairman TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS MR. CHAIRMAN, LADIES AND GENTLEMEN: 1 WHEREAS, this Board of CoMmissioners on March 1, 1973, authorized the Treasurer to sell its Delinquent Tax Revolving FUnd Notes, Series 1973 in an amount not to exceed $14,250,000 pursuant to Chapter 4 Act No. 202 of the Public Acts of 1943, as amended; and to apply to the Municipal Finance Commission So permission to do so; and WHEREAS, on May 1, l973 the Municipal Finance Commission authorized the County to issue such notes in an amount not to exceed $14,250,000, by its Order approving the issuance of Oakland County Delin- quent Tax Revolving Fund Notes, Series 1973; and WHEREAS, the said Order of Approval of the Municipal Finance Commission imposes certain restrictions which are inconsistent with parts of Resolution No 6236 (being a resolution of this Board of Commissioners to establish a Delinquent Tax Revolving Fund) and of Resolution No. 6237 (being a resolution authorizing the County to borrow against delinquent anticipated taxes) both of which resolutions were adopted by this Board of Commissioners on March -1, 1973; and WHEREAS, this Board of Commissioners wishes to amend Resolu- tions Nos. 6236 and 6237 to conform to the requirements set forth in said Order of the Municipal Finance Commission; and WHEREAS, the Treasurer ha S presented the following proposals which had been received by him which proposals and as to interest rates and premiums were as set forth in th e attachments hereto: NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COMMISSIONERS •. OF OAKLAND COUNTY AS FOLLOWS: 1. Paragraph 6 of Resolution No. 6236 adopted by this Board of Commissioners on March 1, 1973, is hereby amended to read as follows: 6. So long as any notes are outstanding for theaccount of any delinquent tax for any year for ' which a borrowing has been made and an account estab- lished, no surplus regardless of its source in the • Oakland County Delinquent Tax Revolving Fund Account for such year shall be transferred out of such Fund . Account,' 2. Paragraphs 3 and 5 of Resolution No 6237 adopted by this Board of Commissioners on March 1, 1973, are hereby amended to read as follows: 3. All-collections Of the aforesaid 1972 delinquent taxes outstanding on March 1, 1973, together with all interest thereon (including fees and penalties on such delinquent taxes), are here- by pledged to the prompt payment of the principal of and interest on the aforesaid notes;- the proceeds of the 1972 delinquent taxes so pledged shall be used for no other purpose until the aforesaid notes are paid in full including interest and all such delin-7 quent taxes so pledged together with all interest thereon (including such fees and penalties) shall be deposited into and accounted for separately in the . Oakland County Delinquent Tax Revolving Fund No. 46190.' 5. Pursuant to the resolution of this Board of Commissioners adopted March 1, 1973, there is hereby established OaklandlCounty Tax Revolving Fund No. 46190 effective as of March 1, 1973, into which Fund the County Treasurer is hereby directed to place on his books and records all payments received on or , after March 1, 1973, on account of the 1972 delinquent taxes as returned to him by any tax collector in the county on or after March 1; 1973, which Fund is pres- ently estimated to be in at' aggregate amount in excess of $14,250,000, including the proceeds of the borrow- ing hereby authorized, andlfrom which Fund the County Treasurer shall repay the borrowing using the receipts of the delinquent taxes including interest outstanding on the date of said borrowing including fees and pen- alties on such taxes and shall pay from the proceeds of the borrowing, the fuillamount of 1972 delinquent taxes delivered to him by any tax collector in the - 2 - 1 through 9 10 through 34 35 and 36 37 $500,000 $100,000 $ 50,000 $ 25,000 county and outstanding and unpaid on or after March 1, 1973. Collection fees and penalties received after March 1, 1973, by the County Treasurer in connection with the payment to him of .1972 delin- quent taxes shall be separately recorded and shall be transferred as provided in the March 1, 1973, ,Resolution of the Oakland County Board of Commis- sioners establishing the pakland.County Delinquent Tax Revolving Fund." • 3. The proposal of Michigan National Bank of DetrI-it.to purchase the Delinquent Tax RevolviIng -Fund Notes, Series 1973 in an 'amount not to exceed $14,250,000, t o be issued by the County and dated April 1, 1973, at par plus accrued interest to date of deliv- ery bearing interest per annum as f ollows: Principal Amount Notes Maturing Interest Rate $7,1 .2.5,000 4,275,000 Not to exceed 2,850,000 On or before May 1, 1974 On or before May 1, 1975 On or before May 1, 1976 4.30% (same being the proposal [among several obtained] which produces the lowest net interest cost to the County), a copy of which is attached hereto, be and the same is hereby accepted, and the rejec tion of any and all other proposal* is hereby confirmed. 4. The said notes shall be issued in the following denominations, numbers and with the maturities stated hereafter: A. Notes Maturing May 1,:! 1974: Number or Numbers Denomination of All inclusive Each Note $250,000 $100,000 $ 50,000 $ 25,000 *97 through 123 $ 50,000• B. Notes Maturing May 1,I1975: Number or Numbers Denomination of All Inclusive Each Note 38 through 40 41 through 70 71 through 80 81 C. Notes Maturing May 1,K1976: Number or Numbers Denomination of All Inclusive Each Note *82 through 96 1 $100,000 *(optional as provided :below) provided that, in order to comply w the notes maturing May 1, 1976, the the option to deliver one note in a mined at his option, such note to b and bearing the last number issued, th paragraph 5 hereof, as to County Treasurer shall have denomination to be deter- the last note so delivered in which event (as required in said paragraph 5) some of Notes Nos. 82 through 121 shall not be delivered in the numbers and denominations specified above. 5. In the event the final amount of 1972 taxes deter- mined to be Delinquent as of March 1, 1973 is determined by the County Treasurer to be an amount less than $14,250,000, which therefore requires the issuance of notes in an aggregate principal amount less than $14,250,000, the County Treasurer is further authorized to deliver notes maturing May 1, 1976, aggregating less than $2,850,000, in which event he shall,beginning in inverse numerical order, not deliver such notes, with such numbers and of such denominations as is necessary to reduce the aggregate ht -5 ' Fred oug enf C.4611- man borrowing to the exact amount of 19712 Delinquent Taxes finally determined to have been delinquent as of March 1, 1973, and he shall, if necessary, be authorized to issue one further note, bearing the last number so issued of Such denomination as shall bermit the borrowing in full of the lexact amount of such taxes as were delinq uent on March 1, 1973. 6. The County Treasurer is authorized to deliver the notes at such times and places as he and the purchaser may agree provided: - (a) At each delivery the Purchaser shall pay the par value of the notes so delivered p1us1 accrued interest thereon to the date of delivery; (b) The total amount of notes so delivered shall not exceed the amount of 1972 Delinquent Taxes determined by the Cou Treasurer to be delinquent on March delivery; and • (c) Deliveries shall occur with respect to the various maturities as follows: -(1) All notes maturing on or before May 1, 1974 shall be delivered prior to June 15, 1973; (2) All notes maturing on or before May 1, 1975 shall be delivered on or before July 15, 1973, and all notes maturing on or before May 1, 1976 shall be delivered on or before July 31, 1973. 7. The aforesaid notes shall be subject to redemption as provided in this Board's Resolution No. 6237 in inverse numerical order and shall be in substantially the form attached hereto and hereby approved. 8. The Clerk and County Treasurer are hereby authorized to execute any and all other documents, as may be necessary in connection with the issuance of the 'aforesaid notes. The Finance Committee, by Fred D.1 Houghten, Chairman, moves the adoption of the foregoing resolution.• FINANCE COMMITTEE 1973, as of the date of such • • UNITED STATES OP AMERICA STATE OF MICHIGAN COUNTY OF OAKLAND DELINQUENT TAX REVOLVING FUND NOTE, SERIES 1973 No. KNOW ALL MEN BY- THESE PRESENTS, that the County of Oakland, Michigan, acknowledges itself to owe and for value received promises to pay to the order of of , Michigan, on theist day of April, 197 , the sum - of Dollars..._($--- • together with interest thereon from the date hereof until paid, at the rate of percent per annum, both principal and interest payable in lawful money of the United States of America at the Michigan National HBank .of Detroit, in the City of Detroit, .Wayne County, Michigan, upon _ presentation and surrender of this NO -be. This note is one of a series of notes of like date and tenor, except as to principal amount and rate of interest in denominations and maturing as follows: Numbers 1 through 9, $500,000 each, Numbers 10 through 34 $100,000 each, Numbers 35 and 36, $50,000 each and Number 37, $25,000, all maturing May 1, 1974; Numbers 38 through 40, $250,000 each. Numbers 41 through 70, $100,000 each, Numbers 71 through 80, $50,000 each and Number 81, $25,004, all maturing May 1, 1975; and Numbers 82 through 96, 5100,000 each and 97 through 123, $50,000 each, all maturing May 1, 1976, provided that notes numbered 82 and upwards are optional as to delivery and as to denomination, as provided in a Resolution of the Board of Commissioners of said County of Oakland, dated May 1973. This series of notes which shall not aggregate in excess of $14,250,000 are issued by said County of Oakland in accordance with the provisions of Act No. 202 of the Michigan Public Acts of 1943, as amended, in anticipation of the collection of delinquent taxes for the year 1972 paid or to be paid to the Oakland County Treasurer for deposit in the Oaklandounty Delinquent Tax Revolving Fund No. . The proceeds of this series of notes has been placed in and will be used as the whole of the Oakland County Delinquent Tax Revolving Fund No. and the moneys in said Fund will be used to make payment to local tax collectors for taxes returned to the County Treasurer as delinquent on March 1, 1973. For the payment of the principal of and interest on these notes,' there is hereby pledged all of the collections of the delinquent taxes of Oakland County for the year 1972 which were outstanding on March 1, 1973, together with all interest, fees and penalties thereon. In addition, thereto the full faith, Credit and resources of the County of Oakland are hereby irrevocably pledged for the prompt payment of said principal and interest at maturity. The notes of this _series shall cc subject to redemption in inverse order of maturity -and in inverse numerical order within each maturity, at par and accrued interest on the first day of any month prior to maturity upon 90 days notice served by registered mail upon the .known holder or holders thereof, or published in a news- paper or .publication circulated in the State of Michigan . whici. carries as a part of its regular serice notices of the 'sale of municipal bonds and notes. it is hereby certified, reCited and •declared that all. acts, conditions and things required, to exist, happen and be per - • formed precedent. to and in the issuance of the notes. of this series, existed,- have happened and have been, performed in due time, form and manner as recfuired by the Constitution and Statutes of the State - -of Michigan and that the amount or said notes -, together with all other indebtedness of said County, does not exceed an Constitutional or statutory - limitation, IN .WITNESS WHEREOF, the Co3anty of Oakland, Michigan, has •caused this note to he signed and sealed in its name by the Chairman of the Oakland County Board of Commissioners and its County Clerk as of the 1st day of April, 1973. - • - COUNTY OF OAKLAND • By Chairman, Board of CommisSioners The folllowinq wr.to were present iot ca on the foregoing resolution Yeas Douglas, Dunleavy, Gabler, Hobart, Hoot, Houghten, Kasper, Lennon, Mathews, Moffitt, Montante, Olson, Perinoff, Pernick, Quinn, Walker, Wilcox, Berman, Brotherton, Burley, Button, Coy, Dearborn. (23) Nays: None, (0) Resolution declared adopted. The following Commissioners were absent from the meeting: Nowak, Patnales, Richardson, Vogt. (4) . the nn5r'sigfleS. .ho ray q all a ti ncf Clark 11. an d 5 :10 555 OF SP:Mg T(-17=, ) := COUNTY OF OPaLAND ) of t's], Board, of of the of Oakland, Michig=m, Sr hereby certify Cuet the for-KyLhrj is a Itrue complete copy c,f proceedings taken at a regular Ineclt.ing of the Board of slaners of said County held on. the 7th day of May, 1973, insofar as the same relate to the issuance of not to exceed $14,250,000 of r),-1inc4.1 -1c-mt Tax Revolv:inu Fund which is on file in my office Noi-eFi, SeHies 1973, the oriqjnal of IN WITNESS WHEREOF, I have heeunto affixed my official signature toes .18t .1-1 .. day of May, A.D. 19rn. Cle rk of Oakland County #6322 Moved by lioughten supported by Quinn the resolution be adopted. AYES: Douglas, Dunleavy, Gabler, Hobart, Hoot, Houghten, Kasper, Lennon, Mathews, Moffitt, Montante, Olson, Perinoff, Pernick, Quinn, Walker, Wilcox, Berman, Brotherton, Burley, Button, Coy, Dearborn. (23) NAYS 1 None. (0) A sufficient majority having voted therefor, the resolution was adopted. STATE OF MICHIGAN) - ( COUNTY OF OAKLAND) . I, Lynn D. Allen, Clerk of the County of Oakland and having a seal, do hereby certify that I have compared the annexed copy of Resolution #6322 adopted by the Oakland County Board of Commissioners 4.0400,04D 00 0000,e 000 0 ,000 0 qao0.000,12.00004dO110005.09M0.04.04,00000610000000.941500000 at their May 17, 1 973 meeting with the original record thereof now remaining in my office, and that it is a true and correct transcript therefrom, and of the whole thereof. In Testimony Whereof, I have hereunto set my hand and affixed the seal of said County at Pontiac, Michigan 18th May 73 4 la Lynn D. By00041,89ffle.M.Sa41 • Clerk