HomeMy WebLinkAboutResolutions - 1978.02.16 - 12688February 16, , 1978
RESOLUTION NO.
RE: OAKLAND COUNTY WATER SUPPLY AND SEWAGE DISPOSAL SYSTEMS
FOR AVON TOWNSHIP SEWER EXTENSION NO. 2
BY: PLANNING AND BUILDING COMMITTEE
TO: THE OAKLAND COUNTY BOARD OF COMMISSIONERS
MR. CHAIRMAN, LADIES AND GENTLEMEN:
WHEREAS, the Oakland County Board of Supervisors, by Miscellaneous
Resolution No. 4342, adopted on June 22, 1964, as amended by Miscellaneous Resolution
No. 4667, adopted on December 14, 1966, and as amended by Miscellaneous Resolution
No. 4690, adopted on March 9, 1967, did approve the establishment of a sewage disposal
system to be known as the Clinton-Oakland Sewage Disposal System to serve the Clinton-
Oakland Sewage Disposal District as therein described; and
WHEREAS, the Oakland County Board of Supervisors, by Miscellaneous
Resolution No. 4921, adopted on August27, 1968, did approve the establishment of a
water supply system to be known as the Oakland County Water Supply System for Avon
Township to serve the Oakland County Water Supply District for Avon Township; and
WHEREAS, pursuant to Board of Commissioners Resolution Miscellaneous
No. 7913, adopted April 12, 1977, and pursuant to a resolution adopted by the Township
Board of the Township of Avon on February 23, 1977, the County and the Township
entered into a Contract dated as of January 1, 1977, providing for the acquisition of
Sewer Extension No. 2 of the said Oakland County Water Supply and Sewage Disposal
Systems for Avon Township, pursuant to Act No. 342 of Michigan Public Acts of 1939,
as amended, through the Oakland County Drain Commissioner acting as the County
Agency, at an estimated project cost of $23,800,000, the net amount of which cost,
after application of the proceeds of Federal Environmental Protection Administration
(EPA) grants made pursuant to Public Law 92-500 and of State Department of Natural
Resources (DNR) grants made pursuant to State law, is to be paid by said Township
in amounts and at times necessary to pay when due the principal of and interest on
bonds of the County issued to defray such net cost; and
8342
WHEREAS, the Township and the County have received grant contracts
from the EPA and the DNR for Step HI construction of Sewer Extension No 2 and
this Board of Commissioners, by Resolution No. 8302, adopted December 15, 1977,
authorized the issuance of two series of bonds to finance the project and it has now
been determined that only one series of bonds should be issued so that a revised
Exhibit "B" to said Contract of January 1, 1977, has been prepared and is submitted
herewith as follows;
CONTRACT NO. 1
CONTRACT NO. 2
CONTRACT NO. 3
CONTRACT NO. 4
CONTRACT NO. 5
CONTRACT NO. 6
CONTRACT NO. 7
CONTRACT NO. 8
CONTRACT NO. 9
CONTRACT NO. 10
CONTRACT NO. 11
CONTRACT NO. 12
CONTRACT NO. 13
$ 1,260,604.00
1,505,870.00
1,372,195.00
1,339,056.00
1,278,715.00
1,272,578.00
1,503,236.00
1,337,230.00
1,350,316.00
709,817.00
926,076.00
1,109,663.00
500,000.00
Less Step 1 Grants
E.P.A. $ 43,425.00
State 2,895,00
$ 46,320.00
Less Anticipated Grants
$6, E.P.A. 455,100.00
State 438,904.00
$6,894,004.00
Sub-Total $22,690,324.00
46,320.00
6,894004.00
1-23-73
Exhibt
Revised
0.C.W.S. & S.D.S. FOR AVON TOWNSHIP
EXTENSIONS NO. 2 (SEWER)
ESTIMATE OF COST
(Based on latest construction estimate from
Johnson and Anderson and anticipated
State and Federal grants)
TOTAL CONSTRUCTION COST $15,515,356.00
Engineering
Consulting Engineer (Design) ..... . $ 751,550.00
Consulting Engineer (Staking & Layout). : 310,310.00
Soil Borings ......... . . . 14,000.00
$ 1,075,860.00 1,075,860.00 •
Project Administration 459,800.00
Inspectior 698,200.00
Easement Acquisition 776,000.00
System Acquisition 292,000.00
Act 347 Permits 8,360.00
Financial Consultant 22,550.00
Bond Counsel 38,000.00
C.P.A.. Report 3,300.00
Bond Prospectus 3,000.00
Bond Printing. . ............ 1,000.00
D.N.R. Fee 42,819.00
Publishing
Oakland Press 400.00
Michigan Contractor & Builder 150.00
Bond Buyer. ..... . 700.00
Local Publication . . . . . . 400.00
1,650.00 1,650.00
1,547,229.00
Capitalized Interest 2,205,000.00
Contingency
$15,750,000.00 Total Estimated Bond Issue
WHEREAS, construction plans and specifications for Sewer Extension
No„ 2 of the Oakland County Water Supply and Sewage Disposal Systems for Avon
Township, as prepared by Johnson rIc. Anderson, Inc., registered professional engineers,
and an estimate of $22,690,324, as the aggregate project cost of Sewer Extension No
2 and an estimate of $15,750,000 as the net project cost to be financed by the issuance
of bonds and an estimate of forty (40) years and upwards as the period of usefulness
thereof, all as prepared by said registered professional engineers, have been developed
in the Step 1, 2 and 3 processing of Federal and State Grants pursuant to Federal and
State law and approved by the EPA and DNR and by the governing body of the Township
of Avon and are herewith presented to this Board of Commissioners for approval; and
WHEREAS, pursuant to the provisions of said Contract of January 1, 1977,
the aggregate amounts of the several annual installments to be paid by the Township
to finance the net cost of the Sewer Extension No 2 project are the same as the annual
bond maturities aggregating $15,750,000 hereinafter set forth, and the amounts of
said bonds, Federal and State grants and surplus funds heretofore appropriated to this
Sewer Extension No, 2 project are in an aggregate amount equal to the estimated
project cost thereof; and
WHEREAS, under said Contract of January 1, 1977, and exhibits thereto,
the said Township is to pay annually the amount of each annual installment to the
County and in addition thereto is to pay semi-annually interest and paying agent fees
and other bond handling costs as determined pursuant to said Contract; and
WHEREAS, the County is desirous of issuing bonds in anticipation of the
payments to be made by the said Township under said Contract of January 1, 1977,
and exhibits thereto; and
WHEREAS, the County Agency and Planning and Building Committee have
approved this resolution and recommended its adoption by the Board of Commissioners.
THEREFORE, BE IT RESOLVED BY THE BOARD OF COMMISSIONERS
OF OAKLAND COUNTY, MICHIGAN, as follows:
1. That the plans and specifications and the estimates of cost and of
period of usefulness of the Sewer Extension No. 2, developed and approved pursuant
to the January 1, 1977, Contract and presented herewith are hereby accepted and
approved and the County Clerk is hereby directed to initial same and return them
to the County Agency.
2. That the bonds of said County of Oakland, aggregating the principal
sum of Fifteen Million Seven Hundred Fifty Thousand Dollars ($15,750,000) be issued
for the purpose of defraying part of the cost of acquiring Sewer Extension Na. 2 of
said Oakland County Water Supply and Sewage Disposal Systems for Avon Township.
The bonds shall be known as "Oakland County Water Supply and Sewage Disposal Bonds
- Avon Township Systems, Sewer Extension No. 2"; shall be dated June 1, 1978; shall
be numbered consecutively in the direct order of their maturities from 1 upwards;
shall be in the denomination of $5,000 each; shall bear interest at a rate or rates to
be hereafter determined not exceeding eight per cent (8%) per annum, payable on
November 1, 1978 and semi-annually thereafter on the first days of May and November
in each year; and shall mature on the first day of May in each year as follows:
YEAR AMOUNT
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1.995
1996
1.997
1998
1999
2000
2001
2002
2003
$ 350,000.00
400,000.00
450,000.00
450,000.00
500,000.00
550,000.00
550,000.00
600,000.00
650,000.00
650,000.00
700,000.00
750,000.00
800,000.00
850,000.00
900,000.00
950,000.00
1,000,000.00
1,050,000.00
1,100,000.00
1,200,000.00
1,300,000.00
$ 15,750,000.00
Bonds maturing prior to May 1, 1995, shall not be subject to redemption prior to maturity.
Bonds maturing on or after May 1, 1995, shall be subject to redemption prior to maturity,
in any order, at the option of the county prior to maturity on any one or more interest
payment dates on and after May 1, 1994. Bonds so called for redemption shall be
redeemed at the par value thereof and accrued interest plus a premium on each bond
computed as a percentage of the face amount thereof in accordance with the following
schedule:
3% if called to be redeemed on or after May 1, 1994, but prior to May 1, 1997
2% if called to be redeemed on or after May 1, 1997, but prior to May 1, 2000
1% if called to be redeemed on or after May 1, 2000, but prior to maturity.
Notice of redemption shall be given to the holders of the bonds to be redeemed by
publication of such notice not less than thirty (30) days prior to the date fixed for
redemption, at least once in a newspaper or publication circulated in the State of
Michigan, which carries as a part of its regular service, notices of the sale of municipal
bonds. Bonds so called for redemption shall not bear interest after the date fixed
for redemption, provided funds are on hand with the paying agent to redeem the same.
All bonds shall have proper coupons attached thereto evidencing interest to their
respective dates of maturity.
3. That the principal of said bonds and the interest thereon shall be
payable in lawful money of the United States of America, at such bank and/or trust
company which qualifies as a paying agent under Federal or Michigan law and which
shall be designated by the original purchaser of the bonds. Such purchaser shall have
the right to name a similarly qualified co-paying agent.
4. That the Chairman of the Board of Commissioners, the County Agency
and the County Clerk, of the County of Oakland, are each hereby authorized and directed
to execute said bonds for and on behalf of the said County and to affix the seal of
said County thereto, and the County Agency is hereby authorized and directed to execute
the interest coupons to be attached to said bonds by causing to be affixed thereto
his facsimile signature; and that upon the execution of said bonds and attached coupons,
the same shall be delivered to the Treasurer of said County who is hereby authorized
and directed to deliver said bonds and attached coupons to the purchaser thereof, upon
receipt of the purchase price therefor.
5. That the said bonds are to be issued pursuant to the provisions of
Act No. 342 of the Michigan Public Acts of 1939, as amended, in anticipation of the
payments to become due to the County from the Township of Avon under said Con-
tract of January 1, 1977, which payments are in the principal amount of the bonds
with interest thereon as therein provided. As provided in said Act No. 342 the full
faith and credit of the Township of Avon is pledged to the making of the said payments
when due, and in addition there is hereby pledged, as authorized in said Act No. 342,
the full faith and credit of the County of Oakland to the payment of the bonds, both
principal and interest, when due.
6. That all moneys paid to the County by the Township of Avon pursuant
to said Contract of January 1, 1977, and revised exhibits thereto, shall be set aside
by the County Treasurer in a separate fund and bank account to be used solely for
the payment of the principal of and interest on the bonds issued in anticipation thereof.
interest payable on the bonds for the period of eighteen (18) months subsequent to
the date of delivery thereof is capitsli zed and is payable from the proceeds of said
bonds.
7. That the obligation of said Township to make the payments set forth
in the Contract of November 1, 1968, and especially the revised exhibits thereto, in
anticipation of which the Oakland County Water Supply and Sewage Disposal Bonds
Avon Township Systems, in the original amount of $14,500,000 are issued, is separate
but equal and on a parity as a pledge of full faith and credit with the obligation of
said Township to make the payments set forth in the Contract of January 1, 1977,
in anticipation of which these Oakland County Water Supply and Sewage Disposal
Bonds Avon Township Systems,Sewer Extension No. 2, dated June 1, 1978, in the
amount of $15,750,000 are issued. The pledge by the County of Oakland of its full
faith and credit to payment of all bonds, applies equally and without preferences and
priority to the bonds of each series.
8„ That said bonds and attached coupons shall be substantially in the
following form:
UNITED STATES OF AMERICA
STATE OF MICHIGAN
COUNTY OF OAKLAND
OAKLAND COUNTY WATER SUPPLY AND SEWAGE
DISPOSAL BOND AVON TOWNSHIP SYSTEMS SEWER EXTENSION
NO. 2
Number $5,000
KNOW ALL MEN BY THESE PRESENTS, that the County of Oakland, Michigan,
hereby acknowledges itself indebted and for value received, promises to pay to the
• bearer hereof the sum of
FIVE THOUSAND DOLLARS
on the first day of May, A.D. 19 , together with interest thereon from the data
hereof until paid, at the rate of
per centum per annum, payable November 1, 1978, and thereafter semi-annually on
the first days of May and November in each year. Both principal and interest hereof
are payable in lawful money of the United States of America at
, in the City of 5
, upon presentation and surrender of this bond and the coupons
hereto attached as they severally mature.
This bond is one of a series of bonds of like date and tenor except as to
maturity , numbered consecutively in the direct
order of their maturities from 1 to 3 .15.0, both inclusive, aggregating the principal
sum of Fifteen Million Seven Hundred. Fifty Thousand Dc.11ars ($15,75;V,)0(\,00)
issued under and pursuant to and in full conformity with the Constitution and Statutes
of the State of Michigan, and especially Act No. 342 of the Michigan Public Acts of
1939, as amended, for the purpose of defraying part of the cost of Sewer Extension
No. 2 of the Oakland County Water Supply and Sewage Disposal Systems for Avon
Township in the Township of Avon.
Bonds of this series maturing prior to May 1, 1995, are not subject to re-
demption prior to maturity. Bonds maturing on or after May 1, 1995, shall be subject
to redemption prior to maturity, in any order, at the option of the County prior to
maturity on any one or more interest payment dates on and after May 1, 1994. Bonds
called for redemption shall be redeemed at the par value thereof and accrued interest
plus a premium on each bond computed as a percentage of the face amount thereof
in accordance with the following schedule:
3% if called to be redeemed on or after May 1, 1994, but prior to May 1, 1997
2% if called to be redeemed on or after May 1, 1997, but prior to May I, 2000
1% if called to be redeemed on or after May 1, 2000, but prior to maturity.
Notice of redemption shall be given to the holders of bonds cailed -fr redern'ption
by publication of such notice not less than thirty (30) days prior to the date fixed for
redemption, at least once in a newspaper or publication circulated in the State of Michigan,
which carries as a part of its regular service, notices of the sale of municipal bonds.
Bonds so called for redemption shall not bear interest after the date fixed for redemption,
provided funds are on hand with the paying agent to redeem the same.
This bond as to both principal and interest, is payable from moneys to be
paid to the County of Oakland by the Township of Avon pursuant to a certain Contract,
dated January I, 1977, between the County of Oakland and said Township whereby the
said Township agrees to pay to the said County the cost of said Sewer Extension No.
2 of the Oakland County Water Supply and Sewage Disposal Systems for Avon Township,
in annual installments in the same amounts as to Sewer Extension No. 2 as the annual
maturities of the bonds of this issue and semi-annually to pay the amount of the interest
and bond handling charges, such payments to be made at least thirty (30) days prior
to the respective due dates specified in this bond. The full faith and credit of said
Township is pledged for the prompt payment of its obligation pursuant to said Contract,
and in addition, by affirmative vote of a majority of the members elect of its Board
of Commissioners, the full faith and credit of the County of Oakland is pledged to
the payment of each bond, principal and interest, when due, on a parity and without
priority with the bonds of the County of Oakland issued in the amount of $14,500,000,
for Oakland County Water Supply and Sewage Disposal System for Avon Township,
dated , 19 , and of any bonds issued by said County to refund any
of said bonds.
It is hereby certified, recited and declared that all acts, conditions and
things required to exist, happen and be performed precedent to and in the issuance
of the bonds of this series, existed, have happened and have been performed in due
time, form and manner as required by the Constitution and Statutes of the State of
Michigan, and that the total indebtedness of said County, including this series of bonds,
does not exceed any constitutional or statutory limitation.
IN WITNESS WHEREOF, the County of Oakland, Michigan, by its Board
of Commissioners, has caused this bond to be signed in its name by the Chairman of
said Board of Commissioners, its County Agency and its County Clerk, and its corporate
seal to be affixed hereto, and has caused the annexed interest coupons to be executed
with the facsimile signatures of said County Agency, all as of the first day of June,
A.D. 1978.
COUNTY OF OAKLAND, MICHIGAN
By By
Its County Clerk Chairman of its Board of Commissioners
By
Its County Agency
(SEAL)
(COUPON)
Number
On the 1st day of , A.D. 19 , the County of Oakland,
Michigan, will pay to the bearer hereof the sum shown hereon in lawful money of the
United States of America, at the
in the City of , same being the interest due on
that day on its Oakland County Water Supply and Sewage Disposal Bond Avon Township
Systems, Sewer Extension No, 2, dated June 1, 1978. No.
(FACSIMILE)
Oakland County Drain Commissioner and County Agency
9. That the said bonds shall not be issued until the Municipal Finance
Commission of the State of Michigan shall have first issued its order granting permission
to so do, as provided in Act No. 202 of the Michigan Public Acts of 1943, as amended,
and the County Agency is hereby authorized and directed to make application to said
Commission for the issuance of such order.
10. The County Agency is hereby authorized to sell said bonds at not
less than•par and accrued interest in accordance with the laws of this state and to
do all things necessary to effect the sale and issuance of said bonds, subject to the
provisions of this resolution.
1L Resolution No 8302,, adopted December 15, 1977, and all other
resolutions and parts of resolutions, insofar as the same may be in conflict herewith,
are hereby rescinded.
The Planning and Building Committee, by Mr. Richard EL Wilcox, Chairman,
moves the adoption of the foregoing resolution.
PLANNING AND BUILDING COMMITTEE
- Richard R. Wilcox, Chairman
ROLL CALL:
YEAS: McConnell, Montante, Moxley, Murphy, Olson, Page, Patterson, Perinoff,
Pernick, Peterson, Price, Roth, Wilcox, Daly, DiGiovanni, •Doyon, Fortino,
Gabler, Gorsline, Hoot, Kasper, Kelly, Lanni. (23)
NAYS: None. (0)
ABSENT: Aaron, McDonald, Moffitt, Simson. (4)
RESOLUTION ADOPTED.
16th d ay o f February , A.D. 1978. this
STATE OF MICHIGAN )
CO'JNTY OF OAKLAND )
undersigned:„ the 'duly qualified and acting County Clerkof
the CtlInty- of Oakland; do 'hereby certify that the foregoing is a true and
c017:plete copy of a resolution adopted at a regular meeting of the Oakland
SS:
County Board of Commissioners, held on the 16th day of February
the oriQinal of which is on file in my office.
, 19 78,
IN WITNESS WHEREOF, I have hereunto affixed my official signature
Lynn D. Allen, County Clerk