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HomeMy WebLinkAboutResolutions - 1974.05.16 - 15249THE FARMINGTON SEWAGE DISPOSAL SYSTEM - 10 MILE ROUGE ARM AND IS TO APPROVE AGREEMENT DATED February 1, 1973 BETWEEN THE OAKLAND COUNTY DEPARTMENT OF PUBLIC WORKS AND FART\ENGTON TOWNSHIP (NOW CITY OF F.ARMINGTON HILLS) • • • •. • At a regular , 1974, at 10:15 o'clock meeting of the Board of Commissioners of Oakland County held in the Commissioners Auditorium Room in the County Service Center in the City of Pontiac, Michigan, on Thursday the 16th d ay o f May A.M., Eastern Daylight Time. PRESENT: Berman, Burley, Button, Coy, Douglas, Dunleavy, Gabler, Hobart, Hoot, Houghten, Kasper, Lennon, Mathews, Moffitt, Montante, Nowak, Olson, Patnales, Perinoff, Pernick, Quinn, Richardson, Vogt, Walker, Wilcox. (25) ABSENT: Brotherton, Dearborn, (2) Pat nal es offered the following resolution: Mr. Miscellaneous Resolution No. 6677 Submitted and recommended by the Board of Public Works Re: FARMINGTON SEWAGE DISPOSAL SYSTEM - 10 MILE ROUGE ARM Submitted by Mr. Patnales MR. CHAIRMAN, LADIES AND GENTLEMEN: At a meeting of the Board of Public Works of Oakland .County held on April 22 , 1974, estimates of the cost and period of usefulness for the Farmington Sewage Disposal System - 10 Mile Rouge Arm and an Agreement between the County of Oakland and the Township of Farmington (now City of Farmington Hills) pertaining to the acquisition of the 10 Mile Rouge Arm, were reviewed and approved by said Board and ordered submitted to the Board of Commissioners for approval. Pursuant to said resolution, I now submit such estimates of cost and period of usefulness and such Agreement. Robert F. Patnales, Chairman Resolution proposed by Oakland County Board of Public Works with respect to Farmington Sewage Dis- posal System - 10 Mile Rouge Arm. WHEREAS, the Board of Public Works has submitted to this Board estimates of cost and period of usefulness for the 10 Mile Rouge Arm, to the Farmington Sewage Disposal System which have been approved by the Board of Public Works; and WHEREAS, the Oakland County Board of Public Works has approved a form of Agreement to be dated February 1, 1973, between the County of Oakland and the Township of Farmington (now City of Farmington Hills) pertaining to the extension of the Farmington Sewage Disposal System to be known as 10 Mile Rouge Arm, and the financing thereof, and did authorize the Chairman and Secretary of the Board of Public Works to execute said Agreement subject to the approval of this Board of Commissioners; and WHEREAS, the said Agreement has been approved and executed by said Township and ratified and adopted by said City; NOW, THEREFORE BE IT RESOLVED, that the said estimates of cost and period of usefulness be approved and the County Clerk is hereby authorized to endorse thereon the fact of such approval and return same to the Board of Public Works. BE IT FURTHER RESOLVED, that the Chairman and Secretary of the Board of Public Works be and they are hereby authorized and directed to execute and deliver on behalf of said County of Oakland, said Agreement to be dated February 1, 1973, between the County of Oakland and the Township of Farmington (now City of Farmington Hills), which reads as follows: AGREEMENT FARMINGTON SEWAGE DISPOSAL SYSTEM 10 MILE ROUGE ARM This Agreement made this 1st day of February, 1973, by and between the COUNTY OF OAKLAND, a Michigan county corporation (hereinafter called the "county"), by and through its Board of Public Works, party of the first part, and the TOWNSHIP OF FARMINGTON, a Michigan township corporation in the County of Oakland, Michigan (hereinafter called the "township"), party of the second part. WITNESSETH: WHEREAS, the Oakland County Board of Supervisors by resolution, Misc. No. 3270, adopted August 12, 1957, as amended by resolution, Misc. No. 3339, adopted January 24, 1958, did approve the establishment of the Farmington Sewage Disposal System (herein called the "System") to serve the Farmington Sewage Disposal District (herein called the "District") within which District lies all of the area of the Township of Farmington and other areas; and WHEREAS, pursuant to the Farmington Sewage Disposal System Agreement, dated November 1, 1957, as amended by amendatory agreements dated December 22, 1958 and February 9, 1959, all between the County of Oakland and the Cities of Southfield and Keego Harbor and the Townships of West Bloomfield and Farmington, municipal corporations in said County of Oakland, the said county acting through its Department of Public Works, did acquire the original Farmington Sewage Disposal System and did finance such acquisition by the issuance of bonds in anticipation of payments to be made by said municipal corporations to the county in accordance with the pro- visions of said Agreement, as amended (herein referred to as the "Base Agreement").; and WHEREAS, Act No. 185 of the Michigan Public Acts of 1957, as amended, (herein referred to as "Act No 185") grants to the Board of Public Works in any county having a Department of Public Works the power to extend any system acquired pursuant thereto; and WHEREAS, it is necessary to extend said System in said Township of Farmington under the provisions of said Act No. 185 by the construction of certain sewers andrelated facilities (herein- after sometimes referred to as "10 Mile Rouge Arm" or as the "project") generally described and located as shown on Exhibit "A" attached hereto and by this reference made a part hereof for the purpose of collecting and disposing of sewage originating within that part of said township shown on Exhibit "A", and to finance said 10 Mile Rouge Arm by the issuance of the bonds of the county in anticipation of the collection of amounts to become due to the county from the township as hereinafter provided; and WHEREAS, the Oakland County Department of Public Works (hereinafter sometimes referred to as the "DPW") has obtained plans and specifications for the construction of said 10 Mile Rouge Arm, and an estimate of the cost and of the period of usefulness thereof prepared by Pate, Him n & Bogue, Inc., registered professional engineers, which estimates are attached hereto as Exhibit "B" and by this reference made a part hereof; and WHEREAS, no other municipality in the District will be affected by the construction of said 10 Mile Rouge Arm at this time; and -2- WHEREAS, in order to acquire said 10 Mile Rouge Arm, it is necessary that the county and the said township, parties hereto enter into this Agreement; THEREFORE, IT IS HEREBY AGREED BY AND BETWEEN THE PARTIES HERETO, as follows: 1. The plans and specifications for said 10 Mile Rouge Arm, and the estimate of the cost and the period of Usefulness thereof, as prepared by the registered professional engineers, are hereby approved and adopted in the form of Exhibit "B". The said 10 Mile Rouge Arm shall consist of sewers as above described and located as shown, on the attached Exhibit "A" and shall be designed and used ely for collecting and disposing of sanitary sewage originating in that part of said township which is described in the attached Exhibit "A". The said plans and specifications and estimate of cost and period of usefulness shall be submitted to the Board of Commis- ners of said county, together with,a resolution approved by the Beard of Public Works of said county providing for the issuance of bonds by the county as hereinafter provided, and if such resolution. be approved by said Board of Commissioners, then the DPW shall proceed to issue said bonds and to acquire said 10 Mile Rouge Arm. The said project shall be divided into sections by the DPW for pur- poses of acquisition, construction and the letting of construction contracts. Section 1 of the project consists of those facilities shown on Exhibit "A" as now in existence and Section 2 of the p consists of those facilities shown on Exhibit "A" now to be con- structed and financed by the county. Section 1 of the project is hereby conveyed, assigned and transferred to the county by the township without cost and free of any obligation to reimburse to the township or any other perSon, firm or corporation any money on account of the cost of Section 1, Deeds, bills of sale or other documents required to effectuate and complete the transfer to the county of Section 1 will be executed and delivered by the township at the request of the Board. The said plans and specifications and the said locations of the sewers may be altered if approved by the Township Board of said township and by the Board of Public Works. 2 Said 10 Mile Rouge Arm being an extension of that part of the Farmington Sewage Disposal System heretofore constructed and being a part of the ultimate county system to serve the Farmington Sewage Disposal District, the provisions of the Base Agreement shall . continue in full force and effect and be applicable to this 10 Mile Rouge Arm, and, in particular without limiting the generality of the foregoing, such provisions shall be applicable to this 10 Mile Rouge Arm insofar as connections, connection charges, service to individual users, service charges, maintenance, maintenance charges, operation and limitations on use are concerned Neither the township nor the county shall permit the discharge of sewage into said 10 Mile Rouge Arm in violation of said Base Agreement. Any requirements, rules or' regulations requested, required or imposed by Federal at State agencies or authorities relative to the 10 Mile Rouge Arm or the Farmington Sewage Disposal System, and the acquisition, financing, operating or maintaining of the same in connection with grants, loans, environmental protection or other Federal or State concerns now or hereafter in effect shall be deemed to be incorporated herein and in the Base Agreement and shall be fully complied with and met by both the county and the township in full cooperation with each other. 3. The township consents to the use by the county of the public streets, alleys, lands and rights of way in the township -4- for the purpose of constructing, operating and maintaining the 10 Mile Rouge Arm and of any improvements, enlargements and extensions thereto The township reaffirms its covenant and warrant that all sanitary sewage originating in said township shall be delivered only to the System, including extensions thereto, for transportation therein and ultimate disposal. Lands (other than highways) owned by or under the jurisdiction of the township or the county within the township shall be liable, to the same extent as privately owned lands, if sanitary sewage emanates therefrom, to pay the charges for sewage disposal services with respect thereto. 4. The township shall pay to the county the capital cost of said 10 Mile Rouge Arm, Such capital cost shall be deemed to be the estimated cost shown on Exhibit "B" until the actual cost has been determined and set forth on a revised Exhibit "A". If the actual cost shall be less than the estimated cost, then the surplus from the sale of bonds therefor shall be used to redeem bonds by call prior to maturity or to purchase bonds on the open market, and in such event the bonds so retired shall be cancelled and the ultimate liability of the township shall. be reduced by the principal amount of the bonds so retired and cancelled and such amount shall be credited upon the installments payable by the township, as hereinafter provided, in inverse order of the maturity of such installments, As an alternative the county and township may agree by resolution adopted by the Board, the Board of Commissioners and the Township Board to expend such surplus to tend the Arm or the System in the township If the actual cost exceeds the estimated cost, then the remaining installments payable by the township shall -be increased proportionately, so as to provide full recovery of the actual cost by the county. The term "capital cost" as used above shall include all items of the type shown on Exhibit "a" or any amendment to Exhibit "LI" agreed to by the parties. -5- 5. The township shall make payment for said project to the county, subject to the provisions of paragraph 4 above, in annual installments as set forth on Exhibit "C" attached hereto and by this reference made a part hereof, together with interest on the balance from time to time remaining unpaid at the rate per annum - payable on the county bonds such installments and the interest there- on being due and payable thirty (30) days before the due date of principal and interest on the county bonds. If any installment or interest is not paid when due, then the amount thereof shall be sub- ject to a penalty, in addition to interest, of 1/2 of 1% for each month or fraction thereof that the same remains unpaid after its due date. The township may pay all or any part of any installment in advance of its due date together with accrued interest thereon to the date of payment. In addition there shall be payable by the township from time to time an amount sufficient to enable the county to meet Its current obligations for paying agent's fees and other expenses related to said bonds. 6. The township does hereby pledge its full faith and credit for the prompt payment of the aforesaid obligations and shall each year levy a tax (which shall not be within any statutory or charter limitation) in an amount which, taking into account estimated delinquencies in tax collections, will be sufficient for the prompt payment of any amount falling due before the time of the following year's tax collection, unless at the time of making such annual levy there shall be cash on hand (as provided for in paragraph (2), Section 12, of Act No. 185) earmarked for the payment of the current obliga- tions for which the tax levy is to be made, in which case the annual tax levy may be reduced by that amount. Funds for which credit may be so taken may he raised in any manner provided in said paragraph (2), Section 12, of Act No. 185, as now existing or hereafter amended. -6- authorized o all as of the day and year first above written. 4 The township agrees that it will, at the time of making each annual tax levy, set aside from other funds an amount equal to such principal installment and interest falling due before the next year's tax collection and that it will from time to time raise - sufficient funds therefor by one or more of the methods set forth in said paragraph (2), Section 12, of Act No. 185. 7. The county shall, upon adoption of a bond resolution by its Board of Commissioners, issue its negotiable bonds with annual principal maturities in the same amounts as the annual installments payable by the township, to defray the cost of said project. The said bonds shall pledge the full faith and credit of the county in addition to being payable from the amounts to be paid to the county by the township pursuant to this Agreement. Said bonds shall be issued under the proviSions of said Act No, 185 and the applicable general statutes of the state, where not in conflict with said act.' 8. This Agreement shall become effective upon being approved by the Township Board of the township, and by the Board of Public Works and Board of Commissioners of Oakland County and pro- perly executed by the officers of the township and of the Board of Public Works. This Agreement shall terminate when the Base Agreement terminates. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed and delivered by their respective duly COUNTY OF OAKLAND By its Board of Public Works By_ Chairman By Secretary TOWNSHIP OF FARMINGTON By SLIT.Det.:visor By Township Clerk FARMINGTON SEWAGE DISPOSAL SISTEM TEN MILE ROUGE ARM tP" gda #91816919106141% E PRO 0 0 0000 0 FOR CE lowegmeam sora cr:sa mmvaomems.:. ExIST [ N G ON INTERCEPTOR $ 73,500.00 111,720.00 53,767.50 250,712.50 478,625.00 453,675.00 35,887.50 183,360.00 30,000.00 7,920.00 2,940.00 45,900.00 96,117.50 45,000.00 250,000.00 270,000.00 $ 2,390,125.00 Sub-Total Less Cash on Hand . • • •15011100•41,0 • Capitalized Interest . • • • . • . • . . • • . . Bond.Issue••••••••••••••••.•••••• m FARMINGTON SEWAGE DISPOSAL SYSTEM TEN MILE-ROUGE ARM Juue 36" Tunnel Sewer 30" Sewer 24" Sewer 21" Sewer 18" Sewer 15" Sewer 12" Sewer 10°' Sewer 16" Force Main 12" Force Main 10" Force Main 24" Casing Pipe Manholes Pumping Station n Pumping Station Pumping Station ESTIMATE OF COST 420 L.F. 175.00 2,660 L.F. @ 42.00 1,605 L.F. 33,50 7,745 L.F. @ 32.50 13,675 L.F. @ 35.00 13,150 L.F. (P 34.50 1,305 L.F. 27.50 5,730 L.F. @ 32.00 1,200 L.F. 25.00 440 L.F. 18.00 210 L.F. @ 14.00 340 L.F. @ 135.00 169 Ea. 568.74 1 Ea. 45,000.00 1 Ea. 250,000.00 1 Ea. @ 270,000.00 Construction Total Items I thru 16 Engineering . • • Administration . • . Legal . . • • • Financial . • . Soil Borings . Easement Acquisition Inspection Contingency . Purchase of Existing Systems . . O 0 ma a e m 00 O 00 00 O 0000 O .0 .0 0 0 O 0900 O 9000 O 0000 O 000,0 O 00000000 O 00000.0 0 O 000000* 0 O e 00 0 .0 O*0 O 00000000 O a 0000 00 0 O 00000000 O 0 0 09*00 R0000000 0 206,745.81 59,753.13 12,600.00 6,600.00 7,500.00 200,000.00 71,703.75 221,197.77 329,774.54 3,506,000.00 1,000,000.00 294,000.00 2,800,000.00 O 0000 O 00 c ▪ S OS O 0000 *00 9 0.9 0 900 • a 000 I hereby estimate the period of usefulness of this facility to be fifty (50) years and upwards. • URENCE H. PATE, P.E. June 22, 1973 FARMINGTON SEWAGE DISPOSAL SYSTEM TEN MILE ROUGE ARM Schedule of Annual Principal Maturities Principal Maturities Year May 1 1974 1975 1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 -0- -0- -0- -0- -0- $ 50,000 50,000 50,000 50,000 50,000 50,000 75,000 75,000 75,000 75,000 75,000 100,000 100,000 100,000 100,000 125,000 125,000 125,000 125,000 150,000 150,000 175,000 175,000 175,000 200,000 200,000 $2,800,000 Exhibit "C" BE IT FURTHER RESOLVED, that the officers of the Board of Public Works are authorized to execute and deliver such number of original copies of said Agreement as they may deem advisable. PUBLIC WORKS COMMITTEE By Robert F, Patnales, Chairman Patnales moved the adoption of the forego- Mr. ing resolution. The motion was supported by Per inoff On roll call the resolution was adopted by the following vote: YEAS: Perinoff, Pernick, Quinn, Vogt, Walker, Wilcox, Berman, Burley, Coy, Douglas, Dunleavy, Gabler, Hobart, Hoot, Houghten, Lennon, Mathews, Moffitt, Montante, Nowak, Olson, Patnales. (22) NAYS: None. (0) ABSENT: Brotherton, Button, Dearborn, Kasper, Richardson. (5) regular meeting STATE OF MICHIGAN ) ss: COUNTY OF OAKLAND ) I, the undersigned, the County Clerk of the County of Oakland, do hereby certify that the foregoing are true and com- plete copies of Miscellaneous Resolution No 6677 , and of the proceedings pertaining thereto duly adopted and taken by the Board of -Commissioners of said County at a held May 16 in my office. , 1974, the originals of which are on file Lynn D. Allen Oakland County, County Clerk Dated: May 16 , 1974.