HomeMy WebLinkAboutResolutions - 1971.05.20 - 1620020th day of
At a regular meeting of the Board of Commissioners Of Oakland County,
Michigan, held in the Commissioners' Auditorium in the County Service Center,
in the City of Pontiac, Michigan, on Thursday the
1971
May ica220, at
Standard Time.
PRESENT: Aaron, Barakat, Bawdea, Brennan, Burley, Coy, Daly, Edwards, Gabitr,
Ha:mlin,-. Harrison, Horton, Houghten, Kasper, Lennon, Mainland, Mathews,
Olson, Patnal .es, Perinoff, Pernick, Powell, Richards, Richardson,
Simson, Szabo, Wilcox, (27)
ABSENT: • Non.e. (0)
Miscellaneous Resolution No, 5708
Recommended by the Board of Public Works
Re: BINGHAM FARMS SEWAGE DISPOSAL SYSTEM
Mr. _Lennon presented the following resolution,
a copy of which has been sent to each member of the Board of Commissioners.
9:30 O''Clock A.M., Eastern
RESOLUTION PROPOSED, BY OAKLAND
COUNTY BOARD OF PU3LIC WORKS
WITH RESPECT TO BINHAM FARMS
SEWAGE DISPOSAL sy.T:r.zm
WHEREAS, the Oakland County Board of Commissioners by
resolution, Miscellaneous No. 5315 adopted on March 19, 1970,
established the Bingham Farms Sewage Disposal System to serve all
of the area in the Village of Bingham Farms designated as the
Bingham Farms Sewage Disposal District and directed the Oakland
County Board of Public Works to submit a Contract with the Village
of Bingham Farms in respect to the construction, operation and
financing of said system; and
WHEREAS, the Board of Public Works has submitted to this
Board plans and specifications and an estimate of cost and an estimate
of the period of usefulness of the Bingham Farms Sewage Disposal
System, prepared by Giffels-Webster Engineers, Inc., registered pro-
fessional engineers, both of which have been approved by the Board
of Public Works; and
WHEREAS, the Oakland County Board of Public Works has
approved a form of Contract to be dated as of April 1, 1971, between
the County of Oakland and the Village Of Bingham Farms providing for
the construction, operation and financing of the Bingham Farms
Sewage Disposal System and did authori'ze the Chairman and Secretary
of the Board of Public Works to execute said Contract subject to
the approval of this Board of Co=missiOners; and
,WHEREAS, the Village.of Bingham Farms constitutes the
only party needed to contract with the County for 100% of the cost
of the project;
NO 5.aF 1:::;7J.E.E IT RESOLVEO, that the said plans and
specification$, estimate•of• cost and estimate of period of u .ful
ness be approved and the County Clerk iS hereby authorized to
endorse on said plans and specifications and estimates the fact of
such approval and return same to the Bard of Public Works.
BE IT FURTHER RESOLVED, that the Chairman and Secretary
of the Board of Public Works be and thy are hereby authorized and
directed to execute and deliver on behalf of said County of Oakland
a Contract to be dated as of April 1, 1971, between the County of
Oakland and the Village of Bingham Fars, which reads as follows
BINGHAM FARMS SEWAGE DISPOSAL S YS TEN CONTRACT —
THIS CONTRACT, made and entered into as of the let day
of April, 1971, by and between the COUNTY OF OAKLAND, a Michigan
county corporation (hereinafter referred to as the 'county"), party
of the first part and the VILLAGE OF BINGHAM FARMS, being a village
corporation located in the County of Oakland, Michigan (hereinafter
referred to as the "municipality"), party of the second part;
NITNESSETH:
WHEREAS, it is immediately necessary and imperative for
the public health and welfare of the present and future residents
of the above municipality that adequate and proper sewage disposal
facilities be acquired and constructed, to serve the part thereof
lying within the district hereinafter described; and
WHEREAS, the county, Under the provisions of Act 185,
Public Acts of Michigan, 1957, as amended, has established a
Department of Public Works for the administration of the powers
conferred upon the county by said act,1which department is under
the immediate control of a Board of Public Works (hereinafter
sometimes referred to as the "board"), and under the general control
of the Board of Commissioners of the County of Oakland; and
WHEREAS, the County of Oakland by Board of Commissioners
Resolution, Misc. No. 5315 adopted March 19, 1970, established the
Bingham Farms Sewage Disposal District to be served by the Bingham
Farms Sewage Disposal System (herein called the "System"), which
System is to consist of a storm sewer to he discharged into the
Franklin River, a branch of the Rouge River, all substantially as
described, on "Exhibit A-1" attached hereto and by this reference
made a part hereof; and
WHEREAS, said act authorizes a county to acquire sewage
disposal systems as defined in said
extend and operate such systs; and
7 .-sd to improve, enlarge.
WHEREAS, by the terms of said act the county and the
municipality are authorized to enter into a contract for the
acquisition, improvement, enlargement or extension of a sewage
disposal system and for the payment of the cost thereof by the
municipality with interest, over a period not exceeding forty
(40) years, and the county is then authorized, pursuant to appro-
priate action of its Board of CommissiOners, to issue its cnds
to provide the funds therefor, secured jprimarily by the full faith
and credit contractual obligation of the municipality, and
secondarily by the full faith and credit pledge of the county;
and
WHEREAS, said act provides, in the opinion of the munici-
pality and the county, the fairest and most equitable means of
acquiring the sewage diposal faciliti*s so vitally necessary for
the public health and welfare of the residents of the county within
the district to be served, at the mostLreasonable cost; and
WHEREAS, the county through the board has olotnRc=,' plans
and specifications of the facilities and service areas of the System,
as outlined on "Exhibit A-la, as prepared by Giffels-Wsr
Engineers, Inc., consulting engineers,1 (hereinafter
to as the "Engineers"), and obtained an estimate of cost
on "Exhibit B-1"; and
specifications, all as prepared by the:Engineers. a:cte dis-• It, 2
WHEREAS, in order to issue such bonds,. it is necessary
that the county and said municipality enter into such a contract;
and
WHEREAS, it is also necessary for the county and said
municipality to contract relative to the operation and maintenance
of said sewage disposal system and the use thereof to serve
residents of said village;
NOW, THEREFORE, in consideration of the premises and
the covenants of each other, the parties hereto agree as follows:
1. The county and the municipality approve the establish-
ment of the System for the Village of Bingham Farms and the County
of Oakland, under the provisions of Act 185, Public Acts of Mic
1957, as amended, which is to dispose Of storm water originat i ng in
the area which has been designated by the County Board of Com-
sioners as the BINGHAM FARMS SEWAGE DISPOSAL DISTRICT ';.ainafter
sometimes referred to as the "District").
2. The sewage disposal system referred to in paragraph 1
above has been designated by the County Board of Commissioners as
the BINGHAM FARMS SEWAGE DISPOSAL SYST7M and shall consist of a
storm sewer discharging into the Franklin River substantially as
indicated on "Exhibit A-1" attached hereto.
3. The county and the municipality hereby approve the
estimate of costof the System consisting of the items set forth
in "Exhibit B-1" attached hereto, and .:he estimate of .5Q yeP:,..7s and
upwards as the period of usefulness treof and the plans , -71
posal facilities are hereby sometimes referred to as the "project".
Tisioners of
7y.a. the bond resolu-
all necessary
he approvals of '17
4, After the execution of this,contct by the c ounty
and the municipality, the board ,thallHtakel the followin
(a) Submit to the Board of Commissioners of
Oakland County a resolution, duly ap-
proved and recomled .by the board,
providing for the issuance of bonds in
the aggregate principal aurt of the
present estimated cost of the project
or such different amount reflecting
any revision in the estimate of cost,
or reflecting the amo1,4t of other
funds available to pay the cost of the
project, maturing serially as autho-
rized by law, over a period not to
exceed thirty (30) years, which bonds
will be secured primarily by the pay-
ments hereinafter provided to be made
by the municpality, to the making of
which payments its full faith and
credit is hereby pledged, and secon-
darily, if 3/5ths of the members
elect of the Board of Commissioners
so vote, by the full faith and credit
pledge of the county,
(b) After the Board of On
Oakland County h
tio, the board will
procedures to obtain
Municipal Finance Cpr:.mi .,sion of th*
of Michigan necessary to the issuance of
the bonds by the county cln construc-
tion bids for the project, a enter into
construction coot:: i t s lowest
responsible bidders, sell and deliver
the bonds in manner acrized by law, and
construct the project. :
5. It is understood and agreed by the parties her e to
that the System is to serve the municipality and not the individual
property owners and users thereof, unless by special agreement
between the board and the municipality: The responsibility of
serving the individual users connect to the System shall be that •
of the municipality which shall cause to be constructed and
maintained any other facilities necessry for such
bill and collect all charges in connection therewith. The county
shall not be obligated by this agreement_to serve any area outside
the District as described in pargra7;h 1. hereof, or to construct
any facilities other than -n - .19nated in 1-.,=',rg--4dp '1? hof
6. The municipality shall pay to the county the entire
cost of the facilities of the systeto !The term. "cost" as used
herein shall be construed to include all items of
set forth in "Exhibit B-1" attached hereto ana any Qt.I it,•ms of
cost of a simil ar nature as may be set! forth in any revision of
"Exhibit B-1" -.E ..gseed to by the parties hereto.
No change in the jurisdiction over any tettory in
municipality shall in any 17f, impair the of•thi
contract based on the full faith and credit of the municipality or
the county. In the event all or any part of the territory of the
municipality in the area to be served by the System is incorporated
as a new city or is annexed to or bY'Y 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 ConOtractual obligation and
capacity in the System of the mOnicipality from which such
territory is taken, based upon a division determined by the board,
which shall make such determination after taking into consideration
all factors necessary to make the division equitable, and in addition
shall, prior to such determination, receive a written recommendation
as to the proper division from a committee composed of one repre-
sentative designated by the governing body of the municipality from
which the territory is taken, one designated by the governing body
of the new municipality or the municipality annexing such territory,
and one independent registered engineer appointed by the board.
Each municipality shall appoint its representative within fifteen
(15) days after being notified to do so by the board and within a
like time the board shall appoint the engineer third member.. If any
municipality shall fail to appoint itslrepresentative within the
time above provided, then the board may proceed without said recom-
mendation If the committee shall notImake its recommendation within
forty-five (45) days after its appointMent or within any extension
thereof by the board, then the board may proceed without such re-
commendation. In the consideration of the matters herein provided,
including the designation of the third member of the committee, any
member of the board who is also an official of either affected
municipality shall be disqualified to act or vote,
'L A schedule of prin to 17., r.1;!1 .7, by the
municipality b ' .ed upon the est:',",,!d 'cost of the project anF3
dates of such payments is attachs, her6to as "Exhibit C-1 and lw -,
this reference made a part leof. ImMediatelv unJon the issuance of
any bonds by the county to finance the cost of the 7-ro -4.eo.t, the
board shall notify the municipality, by writ
addressed to its treasurer, of any revsions in said b.th t C-1"
and of the schedule of payments of the principal of and intsrst on
the county bonds, and of the payin(j -q6 -nt fees and fnaoii7-..FF harges
with respect thereto, and the amount of such payments, fee.s and
charges to be paid by said municipalitY. Said municipality hereby
covenants and agrees, not less than thirty (30) days prior to the
due date of any principal of or interest on any such bonds, to remit
to the board sufficient funds to meet Said payments in ft: 11 and
said fees and charges applicable thereto The obligation herein
expressed shall be applicable to all bonds is,u ,- by the ceunty to
construct and complete the project, as herein defined, wht,her
at one time or more than one time It, is assumed that the principal
of the bonds represents the cost of the project, If the municipality
should pay the project cost, or any prtion thereof, or funds shall
be received by grant or otherwise to apply against the t of .t,1•.:
project, prior to the issuance of b..on, then the ol .:171ton.
municipality shall he adjusted accordingly, If the mucipality
shall fail to make any of such payment;:s when due, the 2-7/rmt
shall be subject to a penalty in additIn to interest of ons-half
of one percent (1/2 of 1%) for each month or fraction th e reof that
the same remains unpaid after the due 'date, The munic
pay in advance of maturity all or any Part of an
due the county, by surrendering to the- county I
anticipation of payments to be Made Unar this contract, of a like
principal amount maturing in the same Calendar year with all future
due interest coupons attached thereto,
8. In the event that the municipality shall fail for any
reason to pay to the board at the times, specified, the amounts
herein required to be paid, the board shall immediately notify, in
writing, both the County Treasurer of the County of Oakland and the
governing body of the municipality of such default and the amount
thereof, and if such default is not corrected within ten (10) days
after such notification, the county treasurer or other county
official charged with disbursement to such municipality of funds
derived from the state sales tax levy under the provisions of Act
167, Public Acts of Michigan, 1933, as 'amended, and returnable to
such municipality pursuant to the Michigan Constitution or of any
other funds, is by these presents specifically authorized by the
municipality to withhold sufficient funds derived from such sales
tax levy (but not in excess in any one year of 25% of the amount of
default) or other funds and returnable to the municipality in default,
and to pay said sums so withheld to the board to apply on the obliga-
tion of the defaulting municipality as herein set forth. Any such
moneys so withheld and paid shall be cOnsidered to have been returned
to the municipality within the meaning of the Michigan Constitution,
the purpose of this provision being solely to voluntarily authorize
the use of such funds to meet past due obligations of the municipality
to which said moneys are owed. In addition to the foregoing, the
board shall have all other rights and remedies provided by law to
enforce the obligation of the municipality to make payments in the
manner and at the times required by tlii!s contract. t is specific7ally
recognized by the municipality that the. payments required to be made
by it pursuant to the terms of this contract are to be pledged for
the Payment of the principal of and interest on bonds to be issued
by the county, and the municipality covenants and agrees that it
will make its required payments to the board promptly and at the
times herein specified so long 4s this Contract remains in effect
and operation, without regard as to whether the project herein
contemplated is actually completed or placed in operation,
9. After completion of the project and payment of all
costs thereof, any surplus remaining frOm the sale of the bonds
therefor shall be used to purchase such, bonds on the open market and
in such event the contract obligation of the municipality in respect
to the project shall be reduced by the principal amount of bonds so
purchased, said reduction to beapplied as to year, in accordance
with the year of the maturity of the bonds so purchased. Any bonds
so purchased shall be cancelled In the alternative, the surplus
funds may be used to improve, enlarge and extend the System on the
approval by resolution of the legislatiVe body of the municipality
and of the board of commissionerspf: the county.
10. If the proceeds of the sale of the original bonds to
be issued by the county for the projectlare for any reason in
sufficient to complete the project in aCcordance with the plans and
specifications therefor, the board shall, if necessary, submit to
the board of commissioners of Oakiand County a resolution providing
for the issuance of additional bonds in an amount necessary to
provide funds to complete the project in which event the duties and
obligations of the board and the municipality as expressed and set
forth in the contract shall be applicable to such additional issue
of bonds as well as the Original issue,. it being at all times fully
recognized and,agreed that the p4ymentslto be made by the -(1%;i-
palitv, in the manner specified in paragraph 7 of this contract,
shall be based upon the cost of the project. In lieu of the
issuance of such additional bonds,.anyiothe37 method may he agreed
upon by the county and the municipalit to provide the necessary
funds to complete the project.
11. The municipality, pursuant to the authorization of
paragraph (2), Section 12 of Act 185, Public Acts of 1957, as amended,
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, commencing with the year 1971, 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
such annual tax levy there shall 1?e Other funds on hand earmarked
and set aside for the payment of such Contractual obligations
falling due prior to the next tax collection period, then the annual
tax levy may be reduced by such amount 7 Such other funds may be
raised in the manner provided in said paragraph (2), Section 12 of
Act 185, Public Acts of Michigan, 19$7, or any amendments thereto.
12. This contract is contingent upon the county issuing
its negotiable bonds as set forth in:s4paragraph (b) of paragraph
4 of this contract, to defray the estimated cost of the project,
which bonds shall be issued under the authorization provided in
paragraph (1), subparagraph (b), Section li of said Act 185, Public
Acts of Michigan, 1957, as amended.
The municipality_ consents to the estabaishment and.
location of said System as shown on "Eithibit A-1" and hereby grants
to the county the right to use the streets, alleys and pub:
places located in the village for the Purpose of constructing
project therein. Upon cc;mpletiQn of said System the county does
hereby lease the same to the municipality to operate and maintain
the same upon the following terms and 4onditions:
(a) The System shallbe used only to serve
the area in the District.
(b) The municipality shall Maintain said
System in, good. condition.
(c) The municipality and the county shall
not permit the discharge into said
System of any sanitary Sewage.
(d) The municipality shall appropriate in
each year of the System: such sums as
shall be sufficient at least to pay the
cost of operating and maintaining the
System, and to establish a fund for
replacements, improvements, and major
maintenance of the System. In addition,
the municipality may mal0 and collect
such special assessments to individual
users as shall be deemed desirable to
help to pay the operating costs of the
municipality and to provide such other
funds for sewage disposal purposes as
are deemed desirable. The municipality
shall enforce prompt payment of all such
assessments as the same shall become due
The municipality hereby accepts the lease of the System upon the
terms and conditions herein set forth
14. The county and the munlicipality each recognize that
the holders from time to time of the bonds issued by the county
under the provisions of said Act 185, 1Public Acts of Michigan, 1957,
as amended, and secured by the full faith and credit pledge of the
municipality to the making of its payMents as set forth in this
contract, will have contractual right$ in this contract and it
is therefore covenanted and agreed by each of them 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 laffect either the security
of the bonds or the prompt payment of principal or interest
thereon. The municipality and the county 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 lway impair the said bonds,
the security therefor, or the prompt payment of principal and
interest thereon. It is hereby declared that the terms of this
contract in as far as they pertain to the security of any such
bonds, shall be deemed to be for the benefit of the holders of
said bonds,
15. This contract shall become effective upon approval
by the legislative body of the municipality, by the Board of
Public Works of Oakland County, and by the Board of Commissioners
of Oakland County, and duly executed by the authorized officers of
the municipality and of the Board of Public Works, It shall
terminate fifty (50) years from the cate of this contract This
contract may be executed in several q .e:cparts,
The provisions of this contrAct-shall be in full force
. and effect and binding upon the suçr , and assigns of the
parties hereto.
IN WITNESS WHEREOF, the parties hereto have caused this
contract to be executed and deli vered by their respective duly
authorized officers, all as of the day and year first above written.
COUNTY OF OAKLAND
By Its Board of Public Works
By
Chairman'
By
Secretary
VILLAGg', OF BINGHAM FARMS
By
PreildeE
By
Village Clerk
F 13 I NG-
f 1
1
SC.A 00
.5
E X H
EVERGREEN SEWAGE DISPOSAL SYSTEM
Description
53 x 83-inch Sewer
66-inch
60-dnch
54-inch
48-inch
42-inch
36-inch
30-inch
27-inch
21-inch
Sewer
Sewer
Sewer
Sewer
Sewer
Sewer
Sewer
Sewer
Sewer
Manholes
30-inch End Inlets
Catch Basin & Lead
Franklin River Outlet
$ 207,732.00
$207,732.00
19,402.17
6,231.96
5,193.30
800.00
3,000.00
2,014.66
1,631.38
19,044.53
J.1„_95Q,00
$285,000.00
GIFFELS-WEBSTER ENGINEERS, INC.
,
;
By;
ESTIMATE OF PROJECT COST
BINGHAM FARMS SEWAGE DISPOSAL SYSTEM
(Storm Sewer)
March 1971
Item Cost
= $ 12,168.00
56,700.00
23,800.00
6,972.00
12,312.00
27,900.00
14,808.00
1,050.00
22,802.00
7,020.00
17,100.00
600.00
900.00
= 3L600.J. 00
Quantity
169 L. F.
810 L. F.
425 L. F.
166 L. P.
324 L. F.
930 L. F.
617 L. F.
35
877
390
19
2
2 Ea.
1 Ea.
L. F.
L. F.
L. F.
1Ea.
Ea.
Ea.
Ea.
Unit Price
72.00
70.00
56.00
42.00
38.00
30.00
24.00
30.00
26.00
18.00
900.00
300.00
450.00
3,600.00
Construction Sub-Total
Construction
Engineering .
Inspection . . 6 .
Administration 6 6. 6 6 ep It
Soil Borings
Easement Acquisition
Legal
Financial. 6 fa e
Contingency I 6 6 6 e e
Apportioned cost of Capitalized Interest
on $725, 000. 00 Bond Issue 12 Months @7.0%
Total Project Cost
I hereby estimate the period of usefulness to
Fifty (50) years and upwards.
be
Franklin D. Webster, P. E.
EXHIBIT B-1
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
-0-
$ 25,000
25,000
25,000
30,000
30,000
30,000
30,000
30,000
30,000
30,000
April 1971
BINGHAM FARMS SEWAGE DISPOSAL SYSTEM
(Storm Sewer)
Schedule of Annual Principal Maturities
Principal Maturities
May I Year
Total $285,000
EXHIBIT C-1
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 Contract As they may deem advisable
PUBLIC WORKS COMA{IITTE
i'' ,-..-A 1 , -, f - . I ---, 1 -----t- 4..7., a.,,,....„ „,..,,,),/
Chairman
By
___21r—Lenacua_ moved the adoption of the foregoing
reso l ution, which motion was supported by Mrs. Simson •
On roll call, the resolution Was adopted by the follow-
ing vote:
YEAS: Coy, Daly, Edwards, Gabler, Hamlin, Harrison, Horton, Houghten, Kasper, Lennon,
Mainland, Mathews, Olson, Patnales, Perinoff, Pernick, Powell, Richards,
Richardson, Simson, Szabo, Wilcox, Aaron, Barakat, Bawden, Brennan, Burley. (27)
NAYS: None. (0)
ABSENT: None, (0)
of. proceedings taken at a regular meeting of the
Board of Commis s ioners of the
STATE OF MICHIGAN )
) $s:
COUNTY OF OAKLAND )
I, the undersigned, the dulylqualified and acting
County Clerk of the County of Oakland
do hereby certify that the foregoing is a true and complete copy
Of Oakland held on th0 20th day o
1971, the original of whiah is on file in my office.
IN WITNESS WHEREOF, I have hereunto affixed my official
May
signature this 20th day of May A.D. 1971.
Lynn D. Allen, County Clerk