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HomeMy WebLinkAboutResolutions - 1977.04.12 - 13028RESOLUTION NO 7913 BY: IN RE: OAKLAND COUNTY WATER SUPPLY AND SEWAGE DISPOSAL SYSTEMS FOR AVON TOWNSHIP, SEWER EXTENSION NO. 2 TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS MR. CHAIRMAN, LADIES AND GENTLEMEN: WHEREAS, the Township of Avon is in urgent need of the sewage disposal improvements and facilities which are described in the form of proposed contract hereinafter mentioned as constituting the "Oakland County Water Supply and Sewage Disposal Systems for Avon Township, Sewer Extension No. 2" (hereinafter sometimes referred to as the "Sewer System" or the "System"), in order, to abate pollution of the waters of the township and thus to promote the health and welfare of the residents thereof, which improvements and facilities would likewise benefit the county and its residents, and the parties to said proposed contract have concluded that such improvements and facilities can be most economically and efficiently provided and financed by the County through the exercise of the powers conferred by Act 342, Public,Acts*of Michigan, 1939, as amended, and especially SecitonS 5a, 5b, and 5c thereof; and - WHEREAS, the County Drain Commissioner (hereinafter sometimes-referred to as the "County Agency") -has accordingly caused to be prepared a proposed contract between the county and the Township of Avon, dated as of January 1, 1977, pro- viding for the acquisition, construction and financing of said Sewer System and has also caused to be prepared by the county's consulting engineers, estimates of the cost and the period of usefulness thereof, all of which have been submitted to this Board of Commissioners for its approval and adoption and have been placed on file in the office of the County Agency, a description of such facilities and said estimates being respectively set forth in Exhibits A and B Sewer attached to said proposed contract; and WHEREAS, this Board of Commissioners desires to pro- ceed with the establishment of said Sewer System and the acquisition, construction and financing of said Sewer System as provided in said contract; THEREFORE, BE IT RESOLVED BY THE BOARD OF COMMISSIONERS OF OAKLAND COUNTY, MICHIGAN, as follows: 1. That this Board by majority vote of its members- elect does hereby authroize and direct that there be established, and there is hereby established, under and pursuant to Act No. 342 0 Public Acts of Michigan, 1939, as amended, a system • of sewage disposal improvements and services to be known as the uOakland County Water Supply and Sewage Disposal Systems for Avon Township, Sewer Extension No 2", which Sewer System - shall consist of enlargements, additions and improvements to the existing sewage treatment facilities and sanitary sewers - and related facilities, as specified and to be located as stated in the form of proposed contract above mentioned; that the Oakland County Drain Commissioner is hereby designated and appointed as the "County Agency" for said County Sewer System; that the said County Agency shall have all the powers and duties with respect to said County Sewer System as are provided by law and especially by said Act 342; and that all obligations incurred by the County Agency with respect to said Sewer System, unless otherwise authorized by this Board, shall be payable solely from funds derived from State and/or Federal grants or payments to be made by the Township of Avon as provided in the said contract. 2. That the actions of the County Agency in causing the estimates for the Sewer System to be prepared are hereby ratified and confirmed and said plans and estimates are hereby approved and adopted. 3. That the proposed contract between the County of Oakland and the Township of Avon, dated as of January 1, 1977, is hereby approved and adopted, and the Oakland County Drain Commissioner (as the County Agency for the system) is hereby authorized and directed to execute and deliver said mntract for and on behalf of the• county in as many counter- parts as may be deemed advisable. 4. That the copy of said proposed contract as sub- mitted to and approved by this Board be identified by endorse ment thereon by the County Clerk of the statement "Approved by Board of Commissioners on Ap ril 12, attached to the minutes of this meeting. ;-1977", and be - - --MR. CHAIRMAN, on beh-laf of the Planning and Building Committee, I move the adoption of the foregoing resolution. PLANNING AND BUILDING COMMITTEE Approyed by . Board of Comrnissiorars Apr T2, 1977 County cler,, Lynn ID. Al len CONTRACT • OAKLAND COUNTY WATER SUPPLY AND SEWAGE DISPOSAL SYSTEMS FOR AVON TOWNSHIP SEWER EXTENSION NO. 2 THIS CONTRACT, made and entered into as of the 1st day of January, 1977, by and between the COUNTY OF OAKLAND, a Michigan county corporation (hereinafter referred to as the "county"), by and through its Drain Commissioner, County Agency, party of the first part, and the TOWNSHIP OF AVON, a Michigan township corporation in the County of Oakland (hereinafter referred to as the "township"), party of the second part: WITNESSET H: WHEREAS, the Oakland County Board of Supervisors by Resolution, Misc. No. 4921, adopted on August 27, 1968, did establish the Oakland County Water Supply System for Avon Township to serve the Oakland County Water Supply District for Avon Township which district shall consist of all of the territory in the Township of Avon not incorporated as a city or village; and WHEREAS, the Oakland County Board of Supervisors by Resolution, Misc. No. 4342, adopted June 22, 1964, did establish the Clinton-Oakland Sewage Disposal System to serve the Clinton-Oakland Sewage Disposal District which district consists of territory in several municipalities in the County of Oakland including the unincorporated area in the Township of Avon; and WHEREAS, the county and the township have heretofore agreed to establish and extend Oakland County Sewage Disposal and Water Supply Systems in Avon Township (herein sometimes called the "Systems" or the "Sewer System" and "Water System") under the provisions of Act No. 185 of the Michigan Public Acts of 1957, as amended, for the purpose of collecting and disposing of sewage originating within that part of the said Clinton-Oakland Sewage Disposal District located in said town- ship, and to acquire water supply facilities in said township, and to issue bonds to finance said sewage disposal and water supply facilities in anticipation of the collection by the county of amounts to become due under a contract between the county and the township, parties hereto, dated as of November. 1, 1968, as amended by revised exhibits, whereby the township agreed to pay the entire $14,500,000 cost of said Oakland County Water Supply and Sewage Disposal Systems in Avon Township in installments; and WHEREAS, the county and the township have heretofore agreed to use cash and money advanced by Aetna Life Insurance Company to finance the Gibson-Avon Arm under contracts between the county and the township, parties hereto, and Aetna Life Insurance Company, dated April 29, 1972, and May 1, 1972, which said contracts have been carried out and will be hereby cancelled by the payment of the unpaid balance due thereunder to Aetna Life Insurance Company and the inclusion of the Gibson-Avon Arm as part of Sewer. Extension No. 2; and WHEREAS, it is now desired to extend said Systems by construction and acquisition of the so-called Sewer Extension No. 2 in said Township of Avon under the provisions of Act No. 342 of the Michigan Public Acts of 1939, as amended, for .1141 the purpose of collecting and disposing of sewage originating in said township, and to issue bonds to finance Sewer Extension No. 2 in anticipation of the collection by the county of amounts to become due under this contract between the county and the township parties hereto, whereby the township agrees to pay the entire cost thereof; and WHEREAS, pursuant to Act No. 342, Public Acts of Michgian, 1939, as amended (hereinafter sometimes referred to as "Act 342"), the Board of Commissioners of the county has in connection with the approval of this contract, and by majority vote of its members-elect, authorized and directed that there be established a county system of water supply and sewage disposal improvements and services to serve the township said system to be known as "Oakland County Water Supply and Sewage Disposal Systems for Avon Township, Sewer Extension No. 2 and Water Extension No. 2" (hereinafter sometimes referred to as the "County Systems" or as the "Systems"), and has designated the Oakland County Drain Commissioner as the County Agency for the Systems with all powers and duties with respect thereto as are provided by Act 342 (said Drain Commissioner being hereinafter sometimes referred to as the "County Agency"); and WHEREAS, under and subject to the terms of Act 342, the County is authorized, through the County Agency, to acquire and construct the sewage disposal improvements and facilities hereinafter described as constituting the Sewer System; the county and the township are authorized to enter into a contract, as hereinafter provided, for the acquisition and construction of the system by the county and for financing all or part of -3- the cost thereof by the issuance of bonds by the county secured by the pledge of the full faith and credit of the township to pay such cost with interest to the County in installments extending over a period not exceeding forty (40) years; and the county is authorized to issue such bonds and, if authorized by majority vote of the members-elect of its Boad of Commis- sioners, to pledge its full faith and credit for the payment of such bonds and the interest thereon; and WHEREAS, the township is in urgent need of such sewage disposal improvements and facilities to provide the means of collecting and disposing of sanitary sewage in the township, in order to abate pollution of the waters of the township and thus to promote the health and welfare of the residents thereof, which improvements and facilities would likewise benefit the county and its residents, and the parties hereto have concluded that such improvements and facilities can be most economically and efficiently provided and financed by the county through the exercise of the powers conferred by Act 342, and especially Sections 5a, 5b and Sc thereof; and WHEREAS, the County Agency has obtained from preliminary plans for the Sewer System an estimate of $23,800,000.00 as the total cost of the Sewer System and an estimate of forty (40) years and upwards as the period of usefulness thereof, all of which have been prepared by Johnson & Anderson, Inc., (hereinafter sometimes referred to as the "consulting engineers") and have been submitted to and approved by the Board of Com- missioners of the county and the Township Board of the township and placed on file in the office of the County Agency, said estimates being set forth in Exhibit B Sewer hereunto attached; and WHEREAS, in order to provide for the acquisition and construction of the Sewer System by the county and the financing of the cost thereof by the issuance of county bonds, and for other related matters, it is necessary for the parties hereto to enter into this contract. THEREFORE, IN CONSIDERATION OF THE PREMISES AND THE COVENANTS OF EACH OTHER, THE PARTIES HERETO AGREE AS FOLLOWS: 1. The parties hereto do hereby approve and agree to the establishment, acquisition, construction and financing of the County System as herein provided, under and pursuant to Act 342. The township by way of compliance with Section 29, Article VII, Michigan Constitution of 1963, consents and agrees to the establishment and location of the Systems within its corporate boundaries and to the use by the county of its streets, highways, alleys, lands, rights-of-way or other public places for the purpose and facilities of the Systems and any improvements, enlargements or extensions thereof, and the township further agrees that in order to evidence and effectuate the foregoing agreement and consent, it will execute and deliver to the county such grants of easement, right-of-way, license, permit or consent as may be requested by the county. 2. The Sewer System shall consist of the sewage disposal facilities shown on Exhibit A Sewer which is hereunto attached and which is hereby made a part hereof. The Sewer System shall be acquired and constructed substantially in accordance with final plans and specifications to be prepared and submitted by the consulting engineers, but variations there- from which do not materially change the location, capacity or overall design of the Sewer System, and which do not require -5- an increase in the total estimated cost of the Sewer System, may be permitted on the authority of the County Agency. Other variations or changes may be made if approved by the County Agency and by resolution of the Township Board and if provi- sions required by Paragraph 8 hereof are made for payment or financing of any resulting increase in the total estimated cost. The estimate of cost of the Sewer System and the estimate of period of usefulness thereof as set forth in Exhibit B Sewer are likewise hereby approved and adopted. 3. The County Agency shall take or cause to be taken all actions required or necessary, in accordance with Act 342, to procure the issuance and sale of bonds by the County, in one or more series, in whatever aggregate principal amount is necessary to be so financed to defray the total cost of the Sewer System which is in excess of funds available from other sources. Such bonds shall be issued in anticipation of and be payable primarily from, the payments to be made by the township to the county as provided in this contract, and shall be secured secondarily, if so voted by the Board of Commissioners of the county, by the pledge of the full faith and credit of the county, and the said bonds shall be payable in annual maturities the last of which shall be not more than forty years from the date thereof. 4. The County Agency shall proceed to take construc- tion bids for the Sewer System and, subject to the sale and - delivery of said bonds, enter into construction contracts with the lowest responsible bidder or bidders, procure from the contractors all necessary and proper bonds, cause the Sewer System to be constructed within a reasonable time, and do all other things required by this contract and the laws of the -6- State of Michigan. All certificates for required payments to contractors shall be approved by the consulting engineers before presentation to the County Agency and the latter shall be entitled to rely on such approval in making payment. The county hereby agrees that it will secure, or cause to be secured, and maintained during the period of con- struction adequate property damage and public liability insurance covering all facilities to be constructed pursuant to this contract. All policies and memorandums of insurance shall provide that the county and the township shall be insured parties thereunder and shall contain a provision requiring that the township be notified at least ten days prior to cancellation thereof. One copy of each policy and memorandum of insurance shall be filed with the township. 5. It is understood and agreed by the parties hereto that the Sewer System is to serve the township and not the individual property owners and users thereof, unless by special arrangement between the County Agency and the township. The responsibility of requiring connection to and use of the Sewer System and or providing such additional facilities, as may be needed, shall be that of the township which shall cause to be constructed and maintained, directly or through the county, any such necessary additional facilities. The county shall not be obligated to acquire or construct any facilities other than those designated in paragraph 2 hereof. 6. The township shall pay to the county the total cost of the Sewer System (less such funds as may become avail- able from other sources), which total cost for this purpose shall include, in addition to the items of the nature set forth -7- in Exhibit B Sewer (represented by the principal amount of the bonds to be issued by the county plus such funds as may become available from other soruces), all interest payable by the county on said bonds and all paying agent fees and other expenses and charges (including the County Agency's administrative expenses) which are payable on account of said bonds (such fees, expenses and charges being herein called "bond service charges"). Such payment shall be made to the county in annual installments which shall be due and payable at least thirty days prior to the day of the month specified in the county bonds as the annual principal maturity date thereof. Such an annual installment shall be so paid in each year, if any principal and/or non-capitalized interest on said bonds falls due during the twelve-month period beginning on such principal maturity date in said year, and the amount of each installment so due and payable shall be at least sufficient to pay all such principal and/or interest thus falling due and all bond service charges then due and payable. The County Agency shall, within thirty days after delivery of the county bonds to the purchaser, furnish the Township Treasurer with a complete schedule of the principal and interest maturities thereon, and the County Agency shall also, at least thirty days before each payment is due to be made by the township, advise the Township Treasurer of the amount payable to the county on such date. If the township fails to make any payment to the county when due, the same shall be subject to a penalty of 1% thereof for each month or fraction thereof that such amount remains unpaid after due. Failure of the County Agency to furnish the schedule or give the notice as above required shall not excuse the township from the obligation to make payment when due. Such payments shall be made by the township when due whether or not the system has then been completed or placed -8- in operation. In the event that additional county bonds shall be issued under the authroity of this contract, to defray a part of the cost of the Sewer System, the foregoing obligations shall apply to such part of the cost and to said additional bonds insofar as appropriate thereto. 7. The Township may pay in advance any amount pay- able to the county pursuant to this contract and in that event shall be credited therefor on future-due amounts as may be agreed by the parties hereto. The township may also pay in advance any one or more installments or any part thereof (a) by surrendering to the county any of said county bonds of like principal amount with all future-due coupons attached thereto, or (b) by paying to the county in cash the principal amount of any county bonds which are subject to redemption prior to maturity, plus all interest thereon to the first day upon which such bonds may be called for redemption, and plus all applicable call premiums and bond service charges, and in such event the County Agency shall call said bonds for redemption at the earliest possible date. The installments or parts thereof so prepaid shall be deemed to be the installmentsor parts thereof falling due in the same calendar year as the maturity dates of the bonds surrendered or called for redemption and bonds and coupons so surrendered or redeemed shall be cancelled. 8. In the event that it shall become necessary to increase the estimated cost of the Sewer System as hereinbefore stated, or if the actual cost of the Sewer System shall exceed the estimated cost, whether as the result of variations or changes permitted to be made in the approved plans or otherwise, then (without execution of any further contract or amendment of this contract) the Township Board may, by resolution adopted within fifteen days after the receipt of construction bids, row we sp. • direct that a portion of the system be deleted sufficient to reduce the total cost to an amount which shall not exceed the total estimated cost as hereinbefore stated by more than 5%, provided that such deletion shall not materially change the general scope, overall design, and purpose of the Sewer System, or in the absence of the adoption of such a resolution the township shall pay or procure the payment of the increase or excess in cash, or county bonds in an increased or additional amount shall (upon adoption of an authorizing resolution there- for by the Board of Commissioners) be issued to defray such increased or excess cost, to the extent that funds therefor are not available from other sources: Provided, however, that no such increase or excess shall be approved and no such increased or additional county bonds shall be authorized to be issued, nor shall the county enter into any contract for acquisition or construction of the Sewer System or any part thereof or incur any obligation for or pay any item of cost therefor, where the effect thereof would be to cause the total cost of the Sewer System to exceed by more than 5% its total estimated cost as hereinbefore stated, unless the Township Board shall have previously adopted a resolution approving such increase or excess and agreeing that the same (or such part thereof as is not available from other sources) shall be paid or its payment procured by the township in cash or be defrayed by the issuance of increased or additional county bonds in antici- pation of increased or additional payments agreed to be made by the township to the county, in the manner hereinbefore pro- vided: Provided, further, that the adoption of such resolution by the Township Board shall not be required prior to or as -10- a condition precedent to the issuance of additional bonds by the county, if the county has previously issued or contracted to sell bonds to pay all or part of the cost of the project and the issuance of the additional bonds is necessary (as determined by the county) to pay such increased, additional or excess costs as are essential to completion of the project according to the plans as last approved prior to the time when the previous bonds were issued or contracted to be sold. 9. In the event that the actual cost of the Sewer System is less than the total estimated cost, then any surplus available to the county from the sale of county bonds shall, at the option of the Township Board, be used either to improve, enlarge or extend the Sewer System or the County Systems, or to apply upon future payments due to the county, or to redeem bonds or to purchase the same on the open market, provided that such surplus shall be used to improve, enlarge or extend the Systems only if authorized by the Board of Commissioners. Any such surplus may, for the purpose of improving, enlarging or extending the Systems, be supplemented by cash payments to be made by the township, or such improvements, enlargements or extensions may be financed entirely from such cash payments, where authorized by the Township Board. Where any such surplus is used to redeem or purchase bonds, the same shall be cancelled, and the payments thereafter required to be made by the township to the county shall be reduced so as to reflect the resulting saving of interest and the payment required to be made in the calendar year of the stated maturity of said bonds shall be reduced by the principal amount thereof. 10. Should the township fail for any reason to pay the county at the times specified, the amounts herein required -1 1- to be paid, the township does hereby authorize the State Treasurer or other official charged with the disbursement of unrestricted state funds returnable to the township pursuant to the Michigan constitution to withhold sufficient funds to make up any default or deficiency in funds. If the full faith and credit of the county is pledged for the prompt payment of the principal of and interest on the bonds to be issued by the county and if the county is required to advance any money by reason of such pledge on account of the delinquency of the township, the County Treasurer is hereby authorized to notify the State Treasurer to deduct the amount of money so advanced by the county from any unrestricted moneys in the State Treasurer's possession belonging to the township and to pay such amount to the county. The foregoing shall not operate to limit the county's right to pursue any other legal remedies for the reimbursement of moneys advanced on account of the default of the township. 11. The township, pursuant ot the authorization of Section 5a of Act No. 342, does hereby pledge its full faith and credit for the prompt and timely payment of its obligations expressed in this contract and shall each year levy a tax in an amount which, taking into consideration estimated delinquencies in tax collections, will be sufficient to pay its obligations under this contract becoming due before the time of the follow- ing year's tax collections: Provided, however, that if at the time of making its annual tax levy, the township shall have on hand in cash other funds which have been set aside and pledged or are otherwise available for the payment of such contractual obligations falling due prior , to the time of the next tax collection, then the annual tax levy may be reduced -12- by such amount. The Township Board shall each year, at least 90 days prior to the final date provided by law for the making of the annual township tax levy, submit to the County Agency a written statement setting forth the amount of its obligations to the county which become due and payable under this contract prior to the time of the next following year's tax collections, the amount of the funds which the township has or will have on hand or to its credit in the hands of the county which have been set aside and pledged for payment of said obligations to the county, and the amount of the township taxes next proposed to be levied for the purpose of raising money to meet such obligations. The County Agency shall promptly review such statement and, if he finds that the proposed township tax levy is insufficient, he shall so notify the Township Board, and the township hereby covenants and agrees that it will thereupon increase its levy to such extent as may be required by the County Agency. 12. No change in the jurisdiction over any territory in the township shall in any manner impair the obligations of this contract or affect the obligations of the township hereunder. In the event that all or any part of the territory of the township is incorporated as a new city or village or is annexed to or becomes a part of the territory of another municipality, the municipality into which such territory is incorporated or to which such territory is annexed shall assume the proper proportionate share of the contractual obligations - (including the pledge of full faith and credit) of the township, which proper proportionate share shall be fixed and determined by the County Agency and shall be binding upon all parties concerned unless, within sixty (60) days after such incorporation -13-- or annexation becomes effective, the governing body of the municipality into which such territory is incorporated or to which such territory is annexed and the Township Board shall by mutual agreement and with the written approval of the County Agency fix and determine such proper proportionate share. The County Agency shall, prior to making such determination, receive a written recommendation as to the proper proportionate share from a committee composed of one representative designated by the Township Board of the township, one designated by the governing body of the new municipality or the municipality annexing such territory, and one independent registered engineer appointed by the County Agency. Each governmental unit shall appoint its representative within fifteen (15) days after being notified to do so by the County Agency and within a like time the County Agency shall appoint the engineer third member. If any such representative (other than the appointee of the County Agency) is not apppointed within the time above provided, then the County Agency may proceed without said recommendation. -If the committee shall not make the recommendation within forty- five (45) days after its appointment or with any extension therof by the County Agency, then the County Agency may proceed without such recommendation. 13. This contract is contingent upon the county issuing its negotiable bonds as herein provided, to defray such part of the total estimated cost of the Sewer System as is necessary to be financed, which bonds shall be issued under the authorization provided in Section 5a, 5b and 5c of said Act 342. Interest on the bonds may be capitalized and paid from the bond proceeds for a period not exceeding the estimated construction period and one year thereafter. In the event -14- that the bonds are not issued within three years from the date of this contract, or if the township shall for any reason, prior to the offering of the county bonds for public sale, advise the county in writing that it desires to withdraw from the project and that it will re-assume its liability to Aetna Life Insurance Company, then unless extended by mutual agreement it shall become null and void, except that the township shall pay all engineering, legal and other costs and expenses there- tofore incurred (less the amount of surplus funds [approximately $850,000i used at the request of the township or of funds actually advanced by the township for these water and sewer projects) and shall be entitled to all plans, specifications and other engineering data and materials. 14. Upon completion of the Sewer System the county does hereby lease the same to the township to operate and maintain the same upon the following terms and conditions: (a) The facilities shall be used and operated by the township in compliance with all con- tractual and legal obligations applicable to the township, and the township expressly covenants and agrees to comply with the provi- sions of U.S. Public Law 92-500, the Federal rules and regulations thereunder, and the rules, regulations and orders of the Michigan Depart- ment of Natural Resources all of which are applicable to the system by reason of Federal and State grants made and received to finance part of the cost of the facilities hereby leased. (b) The township, at its own expense shall maintain said facilities in good condition and repair -15- to the satisfaction of the County Agency. The County Agency shall have the right to inspect the said facilities at any time and if said facilities or any part thereof are not in a state of good condition and repair, then the County Agency shall notify the township in writing as to any deficiency. If the township shall fail to restore the facilities to a good condition and repair within a reasonable time thereafter, then the County Agency shall have the right to perform the necessary work and furnish the necessary materials, and reimburse- ment for any expense incurred by the county shall be made by the township to the county within thirty (30) days after the expense has been incurred. (c) The township shall adopt and continue in existence and shall enforce an ordinance or ordinances concerning the connections of premises in the township to the facilities and concerning the use of and the payment of charges for the use of the facilities. (d) The township shall make and collect from the individual users of the facilities such charges for sewage disposal services as shall be suf- ficient to pay the cost of the operation and maintenance of the facilities, the cost of sewage disposal charges required to be paid by the township, and to establish suitable reserves for operation and maintenance. Such -16- charges may also include an amount determined • by the township to be used to meet the obliga- tions of the township to the county under this contract and other contracts with the county for sewage disposal services and facilities. The township shall enforce prompt payment of all such charges as the same shall become due. (e) The township shall secure and maintain adequate property damage and public liability insurance covering all facilities hereby leased to it by the county. All policies of insurance shall provide that the township and the county shall be insured parties thereunder and shall contain a provision requiring that the County Agency be notified at least ten days prior to cancel- lation thereof. One copy of each policy of insurance shall be filed with the County Agency. The township agrees to lease the project form the county upon the foregoing terms and conditions and for the period of this contract and agrees to pay the sum of $1.00 per year on January 1st of each year commencing January 1, 1979, and in addition to perform its covenants and agreements set forth in this contract as a rental for said project. 15. The county shall have no obligation or respon- sibility for providing sewers or sewage disposal facilities except as herein expressly provided with respect to the acquisi- tion of the Sewer System or as otherwise provided by contract. The township shall have the authority and the responsibility to provide such other facilities and shall have the right to -17- expand the facilities of the Sewer System by constructing or extending sewers or related facilities, connecting the same to the Sewer System and otherwise improving the Sewer System. It is expressly agreed, nevertheless, that no such connection (other than individual tap-ins) shall be made to the Sewer System and no improvements, enlargements or extensions thereof shall be made without first securing a permit therefor from the County Agency. Any such permit may be made conditional upon inspection and approval of new construction by the County Agency. It is further agreed that the Sewer System shall be used for collection and conveyance of sanitary sewage only and that the township shall take all necessary action to prevent entry into the system of storm waters and also to prevent entry of sewage or wastes of such a character as to be injurious to the system or to the public health and safety. 16. All powers, duties and functions vested by this contract in the county shall be exercised and performed by the County Agency, for and on behalf of the county, unless otherwise provided by law or in this contract. 17. The parties hereto recognize that the holders from time to time of the bonds to be issued by the county under the provisions of Act 342, and secured by the full faith and credit pledge of the township to the making of its payments as set forth in this contract, will have contractual rights in this contract, and it is therefore covenanted and agreed that so long as any of said bonds shall remain outstanding and unpaid, the provisions of this contract shall not be subject to any alteration or revision which would in any manner adversely affect either the security of the bonds or the prompt payment of principal or interest thereon. The right to make changes in this contract, by amendment, supplemental contracts or other- -113- wise, is nevertheless reserved insofar as the same do not have such adverse effect. The parties hereto further covenant and agree that they will each comply with their respective duties and obligations under the terms of this contract promptly, at the times and in the manner herein set forth, and will not suffer to be done any act which would in any way impair the contract of said bonds, the security therefor, or the prompt payment of principal and interest thereon. It is hereby declared that the terms of this contract and of any amendatory or sup- plemental contract and any contract entered into pursuant hereto, insofar as they pertain to said bonds or to the payment of the security thereof, shall be deemed to be for the benefit of the holders of said bonds. 18. In the event that any one or more of the provisions of this contract shall for any reason be held to be invalid, illegal or unenforceable in any respect such invalidity, illegality or unenforceability shall not affect any other pro- visions hereof, but this contract shall be construed as if such invalid, illegal or unenforceable provision has never been contained herein. 19. This contract shall become effective upon its execution by each party hereto and the expiration of 45 days after the date of publication of the notice required by Section 5b of Act 342: Provided, however, that if, within the 45-day period, a proper petition is filed with the Township Clerk of the Township of Avon in accordance with the provisions of said Section 5b of Act 342 then this contract shall not become effective until approved by the vote of a majority of the electors of the township qualified to vote and voting thereon -19- at a general or special election. This contract shall terminate forty (40) years from the date hereof or on such earlier date as shall be mutually agreed: Provided, however, that it shall not be terminated at any time prior to the payment in full of the principal of and interest on issued and outstanding county bonds together with all bond service charges pertaining to said bonds. This contract may be executed in several counter- parts. The provisions of this contract shall inure to the benefit of and be binding upon the successors and assigns of the parties hereto. IN WITNESS WHEREOF, the parties hereto have caused this contract to be executed and delivered by the undersigned, being duly authorized by the respective governing bodies of such parties, all as of the day and year first above written. TOWNSHIP OF AVON COUNTY OF OAKLAND By By Supervisor County Drain Commissioner (County Agency) By Township Clerk -20- $ 400.00 150.00 • . 700.00 • • 400.00 $. 1,650.00 O 0000 sOS• Sub-Total • • •to or • .0 • 0 O. ff 0 • 459,800.00 698,200,00 776,000.00 292,000.00 8,360.00 30,600,00 54,100.00 3,500.00 3,000.00 1,000.00 1,650.00 . 1,548,574.00 $20,468,000.00 . 3,332,000.00 .$23,800,000.00 OA FT.2\ND COUNTY WATER SUPPLY AND SEWAGE DISPOSAL SYSTEM FOR AVON TOWNSHIP - EXTENSIONS NO. 2 (SEWER) ESTIMATE OF COST CONTRACT No. CONTRACT No. CONTRACT No. CONTRACT No. CONTRACT No, CONTRACT No. CONTRACT No. CONTRACT No. CONTRACT No, CONTRACT No, CONTRACT No. CONTRACT No. CONTRACT No. TOTAL CONSTRUCTION COST Engineering Consulting Engineer (Design) $751,550.00 Consulting Engineer (Staking &Layout) 310,310.00 Soil Borings . . 14,000.00 $1,075,860.00 1 2 3 4 5 6 7 8 9 10 11 12 13 $ 1,260,604.00 1,505,870,00 1,372,195,00 1,389,056.00 1,278,715.00 1,2 7 2,578.00 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 $15,515,356.00 $ 1,075,860.00 Project Administration . . — . . Inspection Easement Acquisition System Acquisition Act 347 Permit Financial Consultant . . . Bond Counsel ...... , C.P.A. Report . ...... , Bond Prospect-us . Bond Printing . . . _ Publishing Oakland Press Michigan Contractor & Builder Bond Buyer . . Local Publication — . . Contingency . Capitalized Interest. . . Total Estimated Project Cost r hereby estimate the period of usefulness of this facility to be forty (40) years & upwards. JOHNSON & ANDERSON, INC. By P.E. # çç 7L EXHIBIT "B" SEWER The Planning and Building Committee, by Mr. Richard H. Wilcox, Chairman, moves the adoption of the foregoing resolution PLANNING AND BUILDING COMMITTEE Richard R. Wilcox, Chairman Moved by Wilcox supported by Murphy the resolution be adopted. Vote on Motion: YEAS: Patterson, Perinoff, Pernick, Price, Simson, Wilcox, Aaron, Daly, DiGiovanni, Doyon, Fortino, Gabler, Hoot, Kasper, Kelly, Lanni, McDonald, Moffitt, Montante, Moxley, Murphy, Olson, Page. (23) NAYS: None. (0) ADOPTED: SS: April 1977, .STATE OF MICHIGAN ) COUNTY OF OAKLAND ) the undersigned, the duly qualified and acting County Clerk of the County of Oakland, do hereby crtify that the foregoing is a true and complete copy of a resolution adopted at a regular meeting of the Oakland County Board of Commissioners, held on the 12th day of the original of which is on file in my office. IN WITNESS WHEREOF, I have hereunto affixed my 12th April official signaturethis day of A.D. 1977. Lynn D. Allen, County Clerk