Loading...
HomeMy WebLinkAboutResolutions - 1977.01.20 - 13183January 20, 1977 RESOLUTION NO. 7798 BY : PLANNING & BUILDING-Richard R. Wilcox IN RE: HOLLY SEWAGE DISPOSAL SYSTEM TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS MR. CHAIRMAN, LADIES AND GENTLEMEN: WHEREAS, the Village of Holly 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 "Holly Sewage Disposal System" (hereinafter sometimes referred to as the "county system" or the "system"), in order to abate pollution of the waters of the village 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 Sections 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 Village of Holly, dated as of August 1, 1976, providing for the acquisition, construction and financing of said county system and has also caused to be prepared by the county's preliminary consulting engineers/plans for the construction thereof and 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 facili- ties and said estimates being respectively set forth in Exhibits A and B attached to said proposed contract; and WHEREAS, this Board of Commissioners desires to pro- ceed with the establishment of said system and the acquisition, construction and financing of said 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 authorize and direct that there be established, and there is hereby established, under and pursuant to Act No, 342, Public Acts of Michigan, 1939, as amended, a system of sewage disposal improvements and services to be known as the "Holly Sewage Disposal System", which 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 said system shall serve the Village of Holly and certain adjacent areas in the Township of Holly; that the Oakland County Drain Commissioner is hereby desig- nated and apointed as the "County Agency" for said County system; that the said County Agency shall have all the powers and duties with respect to said County 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 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 Village of Holly as provided in the said contract. -2- 2. That the actions of the County Agency in causing preliminary the/plans and estimates for the 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 Village of Holly, dated as of August 1, 1976, 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 contract for and on behalf of the county in as many counterparts 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 January 20 attached to the minutes of this meeting. 197, and be MR. CHAIRMAN, on behalf of the Planning and Building Committee, I move the adoption of the foregoing resolution. PLANNING AND BUILDING COMMITTEE ADOPTED: Yeas — Lanni, McConnell, McDonald, Moffitt, Montante, Moxley, Murphy, Olson, Page, Patterson, Perinoff, Pernick, Peterson, Roth, Simson, Wilcox, Aaron, Daly, DiGiovanni, Doyon, Fortino, Gabler, Gorsline, Hoot, Kelly. (25) Nays —None. (0) Absent — Kasper, Price. (2) —3— STATE OF MICHIGAN ) COUNTY OF OAKLAND ) If the undersigned, the duly qualified and acting County Clerk of the County of Oakland, do hereby certify that the foregoing is a true and complete copy of a resolution adopted at a regular meeting of the Oakland County Board of Janu , Commissioners, held on the 20th day of ary 1977 the original of which is on file in my office. IN WITNESS WHEREOF, I have hereunto affixed my SS : January official signature this 20th day of A.D. 1977 Lynn D. Al len, County Clerk HOLLY SEWAGE DISPOSAL SYSTEM CONTRACT THIS CONTRACT, made and entered into as of the first day of August, 1976,bY and between the COUNTY OF OAKLAND, a county corpora- tion in the State of Michigan (hereinafter sometimes referred to as the "county"), by and through its Drain Commissioner, County Agency, party of the first part, and the VILLAGE OF HOLLY, a village corpora- tion in said county and state (hereinafter sometimes referred to as the "village"), party of the second part. WITNESSET H: .WHEREAS, pursuant to Act No 342, Public Acts of Michigan, 1939, as amended (hereinafter sometimes referred to as "Act 342"), the Board of Commissioners of the county has heretofore, by majority vote of its members-elect, authorized and directed that there be established a county system of sewage disposal improvements and services to serve the village and dertain areas located in the Town- ship of Holly, said system to be known as the "Holly Sewage Disposal System" (hereinafter sometimes referred to as the "county system" or as the "system"), and has designated the Oakland County Drain Commis- sioner as the County Agency for the system with all powers and duties with respect thereto as are provided by Act 342 (said Drain Commissione] 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 con- struct the sewage disposal improvements and facilities hereinafter described as constituting the county system, the county and the village 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 the cost thereof by the issuance of bonds by the county secured by the pledge of the full faith and credit of the "APPROVED BY BOARD OF COMMISSIONERS ON JANUARY 20, 1977" village 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 Board of Commissioners, to pledge its full faith and credit for the payment of such bonds and the interest thereon; and WHEREAS, there is an urgent need for such sewage disposal improvements and facilities to provide the means of treating and disposing of sanitary sewage originating in the village and certain . areas of the Township of Holly, in order to abate pollution of the waters of the village, township, county and State of Michigan, 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 5c thereof; and WHEREAS, the County Agency has obtained preliminary plans for the county system and also estimates of the cost of the system and the period of usefulness thereof, all of which have been prepared by Capitol Consultants, Inc. (hereinafter sometimes referred to as the consulting engineers) and have been submitted to and approved by the Board of Commissioners of the county and the Council of the village and placed on file in the office of the County Agency, said estimates being set forth in Exhibit B hereunto attached; and WHEREAS, the Township Board of the Township of Holly has requested that certain areas of the township be served by the county system; and WHEREAS, in order to provide for the acquisition and con- struction of the system by the county and the financing of the cost 2. 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 COVEN- ANTS 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 Holly Sewage Disposal System' as herein provided, under and pursuant to Act 342. The village by way of compliance with Section 29, Article VII, Michigan Constitution of 1963, consents and agrees to the establish- ' ment and location of the system 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 system and any improvements, enlargements and extensions thereof, and the village 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 Holly Sewage Disposal System shall consist of enlargements, additions and improvements to the existing sewage treat- ment facilities and sanitary sewers and related facilities as shown on Exhibit A which is hereunto attached and which is hereby made a part hereof, and as are more particularly set forth in the preliminary plans which have been prepared and submitted by the consulting engineeen which plans are on file with the County Agency and are hereby approved and adopted. The system shall be acquired and constructed substan- tially in accordance with the said preliminary plans and in accordance with final plans and specifications to be prepared and submitted by the consulting engineers, but variations therefrom which do not 3. materially change the location, capacity or overall design of the system, and which do not require an increase in the total estimated cost of the 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 Village Council and if pro- visions required by Paragraph 8 hereof are made for payment or financ- ing of any resulting increase in the total estimated cost. The estimate of cost of the system and the estimate of period of use- fulness thereof as set forth in Exhibit B 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 that part of the total cost of the county system which is in excess of funds available from Federal and/or State grants or other sources. Such bonds shall be issued in anticipation of, and be payable primarily from, the payments to be made by the village 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 construction bids for the 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 system to be constructed within a reasonable time, and do all other things required by this contract and the laws of the State of Michigan. All certificates for required payments to 4. 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 construction adequate property damage and public liability insurance covering all facilities to be consturcted pursuant to this contract. All policies and memo- randums of insurance shall provide that the county and the village . shall be insured parties thereunder and shall contain a provision requiring that the village be notified at least ten days prior to cancellation thereof. One copy of each policy and memorandum of insurance shall be filed with the village. 5. It is understood and agreed by the parties hereto that the system is to serve the village and certain areas within the Town- ship of Holly and not the individual property owners and users thereof, unless by special arrangement between the County Agency and the village The responsibility of requiring connection to and use of the system and/or providing such additional facilities, as may be needed, shall be that of the village which shall cause to be constructed and main- tained, 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 village shall pay to the county the total cost of the system (less such funds as may become available from Federal and/or State grants or from other sources), which total cost for this purpose shall ,include, in addition to the items of the nature set forth in Exhibit B (represented by the principal amount of the bonds to be issued by the county plus such funds as may become available from Federal and/or State grants or other sources), all interest 5. payable by the county on said bonds and all paying agent fees and other expenses and charges (including the County Agency's adminis- trative 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 yeat, 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 Village 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 village, advise the Village Treasurer of the amount payable to the county on such date. If the village 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 village from the obligation to make payment when due. Such payments shall be made by the village when due whether or not the system has then been completed or placed in operation. In the event that additional county bonds shall be issued under the authority of this contract, to defray a part of the cost of the system, the foregoing obligations shall apply to such part of the cost and to said additional bonds insofar as appropriate thereto. 6. 7. The village may pay in advance any amount payable 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 village 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 futuredue 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 allinterest thereon to the first date 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 installments or 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 system as hereinbefore stated, or if the actual cost of the 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 Village Council may, by resolution adopted within fifteen days after the receipt of construc- tion bids, 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 system, or in the absence of the adoption of such a resolution the village shall pay or procure the payment of 7. the increase Or excess in cash, or county bonds in an increased or additional amount shall (upon adoption of an authorizing resolution therefor 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 system or any par -b .-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 system to exceed by more than 5% its total estimated cost as hereinbefore stated, unless the Village Council 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 village in cash or be defrayed by the issuance of increased or additional county bonds . in anticipation of increased or additional payments agreed to be made by the village to the county in the manner hereinbefore provided: Provided, further, that the adoption of such resolution by the Village Council shall not be required prior to or as 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, addition- al 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 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 8. Village Council be used either to improve, enlarge or extend the - system, 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 system only if authorized by the Board of Commissioners. Any such surplus may, for the purpose of improving, enlarging or extending the system, be supplemented by cash payments to be made by the village, or such, improvements, enlargments or extensions may be financed entirely from such cash payments, where authorized by the Village Council.- 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 .village to the county shall be redueed.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 village fail for any reason to pay the county at the times specified, the amounts herein required to be paid, the village does hereby authorize the State Treasurer or other official charged with the disbursement of unrestricted state funds returnable to the village 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 pay- ment 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 village, 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 village and to pay such amount to the county. 9. 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 village. 11. The village, pursuant to 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 following -year's tax collections: Provided, however, that if at the time of making its annual tax levy, the village shall have OD 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 by such amount. The Village Council shall each year, at least 90 days prior to the final date provided by law for the making of the annual village tax .levy, submit to the County Agency a written statement setting forth the amount of its obligations to the county which become due and pay- able under this contract prior to the time of the next following year's tax collections, the amount of the funds which the village 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 village 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 village tax levy is insufficient, he shall so notify the - Village Council, and the village hereby covenants and agrees that it will thereupon increase its levy to such extent as may be required by the County Agency. 10. 12. No change in the jurisd4cation over any territory in the village shall in any manner impair the obligations of this con- . • tract or affect the obligations of the village hereunder. In the event. that all or any part of the territory of the village is incor- porated 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 obli- gations (including the pledge of full faith and credit) of the village, 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 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 Village Council shall by mutual agreement and with the written --approval of the County Agency fix and determine such proper propor- tionate share. The County Agency shall, prior to making such deter- mination, receive a written recommendation as to the proper propor- tionate share from a committee composed of one representative desig- nated by the Village Council of the village, 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 repre- sentative 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 thanthe appointee of the County Agency) is not appointed 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 within any exten- sion thereof by the County Agency, then the County Agency may proceed without such recommendation. - 11. 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 system as is necessary to be financed, which bonds shall be issued under the authorization provided in Section 5a,. 5b and 50 of said Act 342. Interest on the bonds shall be capitalized and paid from the bond proceeds for a period not exceeding the esti- mated construction. period and one year .thereafter In the event that the bonds are not issued within three years . from the date of this contract, then unless extended by mutual agreement it shall become null and void, except that the village shall Day all engineering, legal and other costs and expenses theretofore incurred and shall be entitled to all plans, specifications and other engineering data and materials. 14. Upon completion of the system the county does hereby lease the same to the village to operate and maintain the same upon the following terms and conditions: (a) The syStem shall be used only to serve area in the village and those areas in the Township of Holly which are shown on Exhibit A unless the area to be served thereby is enlarged by agreement between the village and the County Agency. (b) The village shall maintain the system in good condition. (c) The village shall not permit the dis- - charge into the system of any sewage in violation of the standards and regulations controlling the discharge of industrial and/or commercial type waste into the system as said standards and regulations may be promulgated from time to time by the village. (d) The village shall make and collect from . the individual users of the system such charges for sewage disposal services as shall be sufficient at least to pay the cost of operating and maintaining the system and to establish a fund for re- placements, improvements, and major maintenance of the system. In addition, 12. the village may make and collect such charges to individual users as shall be necessary to pay the operating and collection costs of the village and to provide such other funds for sewage disposal purposes as are deemed desir- able. The village shall enforce prompt payment of all such charges as the same shall become due. (e) The village shall establish such charges as specified in paragraph (d) to be paid to the village quarterly or more often commencing with the first day of the calendar quarter in which the system is put into operation. (f) The village shall at all times operate, maintain and use the system and the facil- ities thereof in such manner -as to comply fliy and completely with the requirements of U.S. Public Law 92-540 and the contract of grant entered into pursuant thereto among the U.S. the State and the County of Oakland, a copy of which grant contract has been furnished to the village. The village hereby accepts the lease of the system upon the terms and conditions herein set forth. It is further agreed with respect to the system that at all times during the operation thereof by the village, as lessee, that it will obtain and maintain in effect adequate property damage, public liability and workmen's compensation insurance covering all facilities 13. l illage under any ease he contract wi county now Ur hereafter in effect. All policies and memorandums of insurance shall provide that the county and the village shall be insured parties . thereunder and shall contain a prevision requiring that the county be notified at least ten days prior to cancellation thereof. One copy of each policy and memorandum of insurance shall be filed with the County Agency. 15. The county shall have no obligation or responsibility for providing sewers or sewage disposal facilities except as herein. expressly provided with respect to the acquisition of the system or as otherwise provided by contract. The village shall have the authority and the responsibility to provide such other facilities and shall have the right to expand the facilities of the system by constructing or extending sewers or related facilities, connecting the same to the _system, and otherwise improving the system. It is expressly agreed, nevertheless, that no such connection (other than individual tap-ins) shall be made to the 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 condi- tional upon inspection and approval of new construction by the County Agency It-: is further agreed that the system shall be used for collection and conveyance of sanitary sewage only and that the village 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 con- tract 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. 14. 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 village 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 pay- ment of principal or interest thereon. The right to make changes in this contract, by amendment, supplemental contracts or otherwise, 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 supplemental 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 unenforce- ability shall not affect any other provisions hereof, but this contract shall be construed as if such invalid, illegal or unenforceable pro- vision has never been contained herein. 15. President esident COUNTY OF OAKLAND By VILLAGE OF HOLLY By By Village Clerk County Drain Commissioner (County Agency) 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 Village Clerk of the Village of Holly 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 village qualified to vote and voting thereon 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 the county bonds together with all bond service charges pertaining to said • bonds. This contract may be executed in several counterparts. 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. 16. - V di 0 ge LLm ond ImprovEnern` HOLLY SEWAGE DSPiSAL SYSTEM ug A'1 . $8,404,638.00 Total Construction Contract Cost . . August 19, 1976 HOLLY SEWAGE DISPOSAL SYSTEM Estimate of Cost Wastewater Treatment Plant Expansion & Improvements . . $1,750,000.00 Interceptor and Collection Sewers . . . . . 1,214,790.00 Rehabilitation of Existing Sewers . . . — . 439,848.00 Engineering Consulting Engineer (Design) . . . $370,000.00 Consulting Engineer (Staking & Layout) . 58,000.00 Soil and Material Testing . — 5,000.00 Soil Borings . . — 0 4 14,000.00 447,000.00 Project Administration ..... . „ , 92,000,00 Inspection .....•. . . — 110,000.00 Easement Acquisition . . . — . — 80,000.00 Act 347 Permit . . — ...... ..... 2,200.00 Financial Consultant „ , . , . 10,000,00 Bond Counsel „ . . . . . 15,000.00 Bond Prospectus . ..... . . . 3,000,00 Bond Printing . . 500.00 Publishing Oakland Press . ...... $ 250.00 Michigan Contractor & Builder . „ 150.00 Bond Buyer . . ..... . 500.00 Holly Herald-Advertiser . 100.00 1,000.00 Contingency . . „ •375_„462.00 Sub-Total . • • a 0 . . $4,540,800,00 Capitalized Interest (8% for 18 mo.) „ 619,200.00 Total Estimated Project Cost = p $5,160,000,00 I hereby estimate the period of usefulness of this facility to be forty (40) years and upwards. CAPITOL CONSULTANTS, INC. By jj p Milton D. Redick, P.E. P.E. 4f:12362 Exhibit "B"