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HomeMy WebLinkAboutResolutions - 1970.04.28 - 16330The Clerk presented to the Board a letter from the County Drain Commissioner stating that a resolution has been adopted by the Drainage Board for the Wagner Drain authorizing the issuance of Drain Bonds in the aggregate amount of $1,655,000, and requesting that the Board of Commissioners adopt a resolution for the purpose of pledging the full faith and credit of the County of Oakland as secondary security for the prompt payment of said drain bonds. At a meeting of the Oakland County Board of Commissioners, held in the County Building in the City of Pontiac, Michigan, on the 28th day o f April ,1970, at 9:3 0 o'clock A.M., Eastern Standard Time, PRESENT: Aaron, Bawden, Benson, Brennan, Coy, Edwards, Gabler, Grba, Horton, Houghten, Kasper, Mainland, Mastin, Mathews, O'Brien, O'Donoghue, Olson,,Patnales, Perinoff, Pernick, Powell, Richards, Richardson, Szabo Walker, Wilcox. (26) ABSENT: Hamlin. (1) Misc. 5358 IN RE: WAGNER DRAIN The following resolution was offered by Mr. Horton and seconded by Mr. Perinoff WHEREAS, proceedings have been taken by the Statutory Drainage Board for the location, establishment and construction of the Wagner Drain under the provisions of Act No. 40 of the Public Acts of Michigan of 1956, as amended, pursuant to a petition filed by the City of Southfield on January 8, 1968; and WHEREAS, the said Drainage Board by resolution adopted on April 14, 1970, authorized and provided for the issuance of bonds in the aggregate principal amount of $1,655,000 in anticipation of the collection of an equal amount of special assessments against the City of Southfield and the County of Oakland as their rezpive shares of the cost of said drain, Said special assessments havin,17 been therefore duly confirmed by said Drainage Board; and WHEREAS, said bonds are to be designated Drain Bonds, are to be dated April 1, 1970, will bear interest at a rate not exceeding 8%, and will be subject to redemption prior to maturity in accordance with the provisions of the bond resolution; and WHEREAS, Section 474 of said Act No. 40, as amended, provides in part as follows: If any public corporation fails or neglects to account to the county treasurer for the amount of any installment and interest, then the county treasurer shall advance the amount thereof from county funds in the following cases: "(1) If any bonds or other evidence of indebted- ness have been issued to finance a project, the peti- tion for which was filed after June 6, 1961 in -anti- cipation of the collection of the installment and in- terest pursuant to the provisions of this chapter and the board of supervisors has previously acted, by a resolution adopted by a 2/3 vote of its members elect, to pledge the full faith and credit of the county for the prompt payment of the principal of and interest on the bonds or evidence of indebtedness, or "(2) If any bonds or Other evidence of indebt- edness have been issued to finance a project, the petition for which was filed prior to June 6, 1961 in anticipation of the collection of the installment and interest pursuant to the provisions of this chapter." WHEREAS, said Drainage Board deems it advisable and necessary to obtain from this Board aresolution consenting to the pledge of the full faith and credit of the county on the aforesaid bonds; and WHEREAS, the said drainage project is immediately necessary to protect and preserve the public health and therefore it is in the best interest of the County of Oakland that said bonds be sold. NOW, THEREFORE, BE IT RESOLVED By THE OAKLAND COUNTY BOARD OF COMMISSIONERS: 1. That pursuant to the authorization provided in Section 474 of Chapter 20 of the Drain Code of 1956, as amended, the Oakland County Board of Commissioners does hereby irrevocably pledge the full faith and credit of the County of Oakland for the prompt payment of the principal of and interest on the said Drain Bonds, and does agree that in the event the City of Southfield or the County of Oakland shall fail or neglect to account tb the County Treasurer. of the County of Oakland for the amount of any special assessment installment and interest, for the Wagner Drain, when due, then the amount thereof shall be immediately advanced from County Funds, and the County Treasurer is directed to immediately make such advancement to the extent necessary. 2. That in the event that, pursuant to said pledge of full faith and credit, the County of Oakland advances out of County Funds, all or any part of said installment and interest, it shall be the duty of the County Treasurer, for and on behalf of the County of Oakland, to take all actions and proceedings and purse all remedies permitted or authorized by law for the reimbursement of such sums so paid. 3. That all resolutions and parts of resolutions insofar as the same may be in conflict with the provisions of this resolu- tion be and the same hereby are rescinded. ADOPTED; Yeas - Aaron, Bawden, Benson, Coy, Edwards, Gabler, Grba, Horton, Houghten, Kasper, Mainland, Mastin, Mathews, O'Brien, O'Donoghue, Olson, Patnales, Perinoff, Pernick, Powell, Richards, Richardson, Szabo, Wilcox. (24) Nays - Brennan. (1) Apri 1 office. STATE OF MICHIGAN ) )SS: COUNTY OF OAKLAND ) I, the undersigned, the d#1y qualified and acting County Clerk and Clerk of the Oakland County Board of Commissioners, do hereby certify that the foregoing is a true and complete copy of a resolution adopted by a 2/3rds vote of its members-elect at the meeting of the Board of Commissioners held on the ..28th day of , 1970, the original of which is on-file in my CounEY----CLiik JAMES R. NICHOLS Chief Deputy Conarnisfioner DANIEL W. RARRY Commi“ioser JAMES E. PEMBERTON Deputy and ChW Engineer HOWARD V. RUMMELL Finance Officer OAKLAND COUNTY DRAIN COMMISSIONER 550 SOUTH TELEGRAPH ROAD PONTIAC, MICHIGAN 48053 FEDERAL 8-4585 Honorable Commissioners County of Oakland 1200 North Telegraph Road Pontiac, Michigan Reference: WAGNER DRAIN Mr. Chairman, Ladies and Gentlemen: There is submitted to herewith a certified copy of a resolution adopted by the Drainage Board for the Wagner Drain authorizing the issuance of Drain Bonds in the aggregate amount of $1,655,000 pursuant to the pro- visions of Chapter 20 of Act No. 40 of the Public Acts of 1956, as amended, and other applicable law. Also submitted to you herewith is a form of proposed resolution for adoption by the Board of Commissioners for the purpose of pledging the full faith and credit of the County of Oakland as secondary security for the prompt payment of said Drain Bonds. The said Drain Bonds are issued in anticipation of the payment by the City of Southfield and the County of Oakland of Drain Assessments at large against each of the said public corporations in the aggregate amount at least equal to the amount of said bonds. The full faith and credit of each of said public corporations is pledged, by law, to the prompt payment of said assessments and the interest thereon, when due. The law further authorizes and obligates each of said public corporations to levy a tax in an amount sufficient to make said payments (unless other funds are on hand available for said purpose) which tax may be levied without limitation as to rate or amount. The County is entitled, by law, to recover from said public corporations the amount advanced from County funds at anytime in fulfillment of the County's secondary pledge of its full faith and credit. It is respectfully requested that the enclosed resolution be adopted for the reasons set forth in the preamble thereto and because the pledge of the County's full faith and credit will result in a material savings in bond interest to be paid. Very truly!yours, WAGNER DRAINAGE DISTRICT MINUTES OF THE MEETING OF THE DRAINAGE BOARD FOR THE WAGNER DRAIN April 14, 1970 A meeting of the Drainage Board for the Wagner Drain was held in the office of the Oakland County Drain Commissioner, 550 South Telegraph Road, in the City of Pontiac, Michigan, on the 14th day of April, 1970, at 10:15 o'clock A.M., Eastern Standard Time. The meeting was called to order by the ChairMan. PRESENT: Daniel W. Barry, Chairman Oakland County Drain Commissioner Daniel T. Murphy, Chairman of the Oakland County Board of Auditors Robert F. Patnales, Chairman Oakland County Board of Commissioners ABSENT: None ALSO James R. Nichols PRESENT: Deputy Drain Commissioner John A. Everhardus Bond Counsel Dave Waring A. Van Kampen Michigan Department of State El.):ghways • Don Eddy Michigan Department of State Highways James E. Pemberton Drain Commissioner's Office! The minutes of the March 20, 1970 meeting of the Board were read. It was moved by and seconded by Patnales that the said minutes be approved as read. ADOPTED: Yeas - 3 Nays - 0 The Chairman reported on the recommendation of Kenower, MacArthur & Co., the financial consultants for the Drainage Board, concerning the computation and preparation of an assessment roll to assess the cost of the Wagner Drain project against the City of Southfield, the County of Oakland and the State of Michigan in accordance with the apportionments as adopted and confirmed by the Drainage Board on March 5, 1970. The suggestions which had been made on behalf of the public corporations and the payment schedules which had been agreed upon were discussed and it was reported that the State of Michigan will prepay its share of the cost in full in cash. The following resolution was offered by and seconded by Patnales Murphy WHEREAS, the Drainage Board for the Wagner Drain has fixed and confirmed apportionments of the cost of said drain as set forth in the resolution of the Board adopted March 5, 1970, and in the final order of apportionment of the cost of said drain filed in the office of the Chairman of this Board on March 5, 1970 THEREFORE, BE IT RESOLVED BY1THE DRAINAGE BOARD FOR THE WAGNER DRAIN, as follows: -2- 1. That the Chairman of Said Drainage Board is hereby directed to prepare a special assessment roll assessing the sum of $1,780,000 (which is the revised estimated cost of the Wagner Drain) against the several public corporations in accordance with the said apportionments heretofore confirmed, and to divide the total amount assessed against the City of Southfield and County of Oakland in 20 annual installments, the first of which shall become due and payable on April 1, 1971 and] one additional installment shall become due and payable on the first day of April in each year thereafter. That unpaid installments shall bear interest at the rate of 8% per annum from such date as shall be hereafter established. 2. That the assessment against the State of Michigan shall be payable on or before September 1, 1970 and the total installments of principal payable on April 1st of each year by the City of Southfield and County of Oakland shall be as follows: 1971 - $ 57,005.56 1972 - 50,000.00 1973 - 50,000.00 1974 - 50,000.00 1975 - 50,000.00 1976 - 75,000.00 1977 - 75,000.00 1978 - 75,000.00 1979 - 75,000.00 1980 - 75,000.00 1981- $ 75,000.00 1982 - 75,000.00 1983 - 100,000.00 1984 - 100,000.00 1985 - 100,000.00 1986 - 100,000.00 1987 - 100,000.00 19 88 - 125,000.00 1989 - 125,000.00 1990 - 125,000.00 3. That the said sp cial assessment roll shall be prepared in accordance with the provisions of Chapter 20 of Act No. 40 of the Public Acts of 1956, as amended, and that when the said special assessment roll shall have been prepared it shall be presented to this Drainage Board for approval. ADOPTED: Yeas - 3 0 Nays - The Chairman presented to the Drainage Board, Special Assessment Roll No. 1 for the Wagner Drain, which special assessment roll contains a statement signed by the Chairman and the other members of this Board to the effect that it was prepared in accordance with the directions of this Board and the statutory provisions applicable thereto. The following resolution was offered by Murphy and seconded by Patnales 1. That Special Assessment Roll No. 1 for the Wagner Drain to be constructed pursuant to a, petition filed with the Oakland County Drain Commissioner on January 8, 1968, upon which special assessment roll are spread assessments against the City of Southfield, County of Oakland and theState of Michigan, aggregating the principal sum of $1,780,000 be and the same is hereby approved and ordered to be filed with the Chairman 2. That the Chairman shall execute the statement affixed to said roll setting forth the date of such approval. 3. That the several annual installments of the total assessments against the City of Southfield and County of Oakland as set forth on said special assessment roll, shall become due on April 1 of each year as indicated thereon, and that all installments from time to time unpaid shall bear interest from September 1, 1970 until paid, at the rate of 8% per annum payable annually on the due date in each year of each installment:-: Provided, that if at any time the amount of assessment installments and the interest on unpaid installments collected by the Drainage Board and on hand shall exceed the amount of principal and interest which said Board is required to pay, pursuant to the schedule of maturities, upon the bonds to be issued in anticipation of the payment of said special assessments, then any excess in the amount of assessment installments and interest so collected and on hand (after allowance for administrative expenses in connection with said bonds, and after allowance for any excess in assessmentinstallments in one or more: years required to be accumulated to meet bond maturities in a subse- quent year or years) shall be credited to the City of Southfield and County of Oakland which credit shall be applied first to reduce the amount of the interest becoming due on the next assessment installment payment date and secondrte reduce the amount of the next such assessment installment. 4, The City of Southfield Or County of Oakland may pay in advance of maturity all or any part of an annual installment due from it by surrendering to the county, bonds issued in anticipation of the said special assessments, of a like principal amount maturing in the same calendar year as the installment, with all future due interest coupons attached thereto. Accrued interest upon the amount so paid upon any instaIllment and-the accrued interest upon the bonds surrendered, shall be paid in cash. All bonds and coupons so surrendered shall be cancelled.- 5. That the Chairman of the. DrainageBoard shall cer- tify within 1() days hereafter to each public corporation assessed the amount of the total assessment against it, and shall notify the City of Southfield and County of Oakland of the amount of the various installments, the due date of each installment and the rate of interest upon the installments from time to time 'unpaid, and that said Chairman shall also each year as provid ed by L_,w notify the City of Southfield and County of Oakland of the amount of the installment and interest next becoming due. ADOPTED: Yeas - Nays - 0 The following resolution was offered by Patnales and seconded by Murphy RESOLVED, that the Drainage Board for the Wagner Drain hereby adopts a seal for the drainage district which shall be cir- cular in form and upon it shall appear the words "Wagner Drainage District, Oakland County, Michiganorporate Seal". ADOPTED: Yeas - 3 Nays - 0 The following resolution Was offered by Murphy and seconded by Patnales WHEREAS, pursuant to a petition filed with the Oakland County Drain Commissioner of January 8, 1968, proceedings have heretofore been taken under the provisions of Chapter 20 of Act No 40 of the Michigan Public Acts Of1956, as amended, for the construction of the Wagner Drain in the County of Oakland, State of Michigan, at an estimated cost of $1,780,000, which amount has been assessed in accordance with the apportionments confirmed by the Drainage Board for said drain on March 5, 1970; and WHEREAS, the Final Order of Apportionment was filed in the Office of the Chairman of the Drainage Board on the 5th day of march, 1970; and WHEREAS, in accordance with said apportionments a special assessment roll designated "Special Assessment Roll No 1 for Wagner Drain" was approved by said Drainage Board on this date upon which special assessment roll the said sum of $1,780,000 was assessed; and WHEREAS, the amounts assessed on said roll to the City of Southfield and the County of Oakland Were divided into 40 install- ments one of which installments will become due and payable on April 1 in each year beginning with the year 1971, with interest upon all unpaid 'installments from September 1, 1970, at the rate of 8% per annum, payable on the due date of each installment in each year with the following proviso: Provided, that if at any time the amount of the assessment installments and. the interest on un- paid installments collected by the Drainage Board and on hand shall exceed the amount of principal and interest which said toard is required to pay :, pursuant to the schedule of ,maturities, upon the bonds to be issued in anticipation of the payment of said special assessments then any exCeSs in the amount of assessment.inStallments and interest so collected and on hand (after allowance for ad- ministrative expenses in cOnnection with said bonds, and after allowance for any excess in assessment installment in one or more years required to be accumulated to meet bond maturities in a subsequent year or years), shall be credited to the City of Southfield and County of Oakland, which Credit shall be applied first to reduce the amount of the interest becoming due on the next assessment install- ment mrtent date and second to reduce the amount of the next such assessment installment. WHEREAS, the State of Michigan will pay-its assessment in full on or before SepteMber-1, 19701, thereby leaving only the assessments against the City of Southfield and the County of Oakland; and ect is necessary for the the cost thereof it is neces- WHEREAS, the total annual installments payable on the assessment against the City of Southfield and the County of Oakland are as follows: Installment Due April 1 Total 1971 57,005.56 1972 50,000.00 1973 50,000.00 1974 50,000.00 1975 50,000.00 1976 75,000.00 1977 75,000.00 1978 75,000.00 1979 75,000.00 1980 75,000.00 1981 75,000.00 1982 75,000.00 1983 100,000.00 1984 100,000.00 1985 100,000.00 1986 100,000.00 1987 100,000.00 1988 125,000.00 1989 125,000.00 1990 125,000.00 $1,657,005.56 THEREFORE, BE IT RESOLVED BY THE DRAINAGE BOARD FOR THE WAGNER DRAIN, as follows: 1. That the said drain pro public health and in order to finance sary to issue bonds as hereinafter provided. 2. That the bonds of the Wagner Drainage District be issued in the aggregate principal sum of $1,655,000 in anticipation of the collection of an equal amount of special assessments assessed on Special Assessment Roll.No. 1 for Wagner Drain, said bonds to be dated April 1, 1970; to be, coupon bonds all in the denomination of $5,000 each; shell he registrable as to principal 1971 - $55,000 1972 - 50,000 1973 - 50,000 1974 - 50,000 1975 - 50,000 1976 - 75,000 1977 - 75,000 1978 - 75,000 1979 - 75,000 1980 - 75,000 1981 - $ 75,000 1982 - 75,000 1983 - 100,000 1984 - 100,000 1985 - 100,000 1986 - 100,000 1987 - 100,000 1988 - 125,000 1989 - 125,000 1990 - 125,000 only in the manner hereinafter set forth in the bond form; shall bear interest at a rate or rates to be hereafter determined not in excess of 8% per annum payable on November 1, 1970, and semi- annually thereafter thereafter on the first days of May and November in each year; to be numbered consecutively in the direct order of their maturities from 1 upwards; and to mature on the first day of May in each year as follows: All bonds shall have proper coupons attached thereto evidencing interest to their respective dates of maturity. Bonds maturing prior to May 1, 1979 shall not be subject to redemption prior to maturity. Bonds maturing on or after May 1, 1979 shall be sub- ject to redemption prior to maturity at the option of the county in inverse numerical order on any one Or more interest payment dates on and after May 1, 1978 at par and accrued interest plus a premium on each bond called to be redeemed computed as a per- centage of the principal amount thereof in accordance with the following schedule: 3% if called to be redeemed on or after May 1, 1978, but prior to maturity. Notice of redemption shall be given to the holders of the bonds called to be redeemed, by publication of such notice not less than thirty (30) days prior to the date fixed for redemption in a newspaper or publication circulated in the City of Detroit, Michigan, which carries as a part of its regular service, notices of the sale of municipal bonds: Provided, that where any bonds shall be regis- tered, then notice of the redemption thereof shall be given by registered or certified United States Imail addressed to the regis- tered holder thereof at the address shown on the principal paying agent's registration books, which notice shall be mailed not less than thirty (30) days prior to the date fixed for redemption. Bonds SO called for redemption shall not bear interest after the date fixed for redemption, provided funds are on hand with the principal paying agent to redeem the same. 3. That in said bonds the full faith and credit of the said drainage district shall be pledged for the prompt payment of the principal thereof and the interest .thereon as the same bedome due, and in addition, the full faith and credit of the County of Oakland will also be pledged therefor e pursuant. to the provisions of Section 474 of the Drain Code of 1956, as amended, if two-thirds of the members elect of the Board of CommisSioners.of the County of Oakland vote favorable on a resolution pledging the Tull faith and credit of the county on these bonds. 4. That the principal of said bonds and the interest thereon shall be payable in lawful money of the United States of America, at such bank or trust company Which qualifies as a paying agent under Federal or Michigan law and which shall be designated by the original purchasers of the bonds ., Such purchasers shall have the right to name a similarly qualified co-paying agent. 5. That the Chairman and either one or both of the remaining members of said Drainage Board are hereby authorized to execute said bonds for and on behalf of said drainage district and to affix the seal of said drainage district thereto, and the Chairman is hereby authorized to execute the interest coupons to be attached to said bonds by causing to be affixed thereto his facsimile signature; and that upon the execution of said bonds and attached coupons, the same shall be delivered to the Treasurer of said drainage district who is hereby authorized and directed to deliver said bonds and attached coupons to the purchasers thereof upon receipt of the purchase price therefor. 6. That the estimated periOd of usefulness of the project for which said bonds are being issued is hereby determined • to be in excess of 50 years. 7. That the issuance and sale of said bonds shall be subject to permission being granted therefor by the municipal Finance Commission of the State of Michigan and the Chairman is hereby authorized and directed to make application to said Commission for permission to issue and sell said bonds as provided by the terms of this resolution. 8. That of the proceeds of the sale of said bonds an - amount equivalent to the interest payable on said bonds for a period of twelve months from their date is to be Used to pay capitalized : interest thereon. 9. That the advance payment to be made by the State of Michigan in the amount of $122,994.44 and $2,005.56 of the assess- ment installments due on or before April 1, 1971, shall be set aside for the construction of the Wagner Drain and all other collec- tions (including both principal and interest) on said Special Assess- ment Roll No. 1, shall be placed in a.. fund to be known as the "Wagner Drain Special Assessment Roll No. 1 Eland" and shall be used solely to pay the principal and interest on the bond authorized herein. All excess funds, indluding proceeds of the sale of bonds, remaining after construction of the Wagner Drain is completed, and all charges in connection with the location, establishment and construction of said Drain are paid in full, shall be divided among the public corporations assessed on the basis oflapportionments and shall be used by the Drainage Board to pay principal and interest on the bonds authorized herein, when due, or to purchase said bonds and the obligations of said public corporations shall be reduced accordingly. All bonds so paid or purchased shall be cancelled. The portion of such excess attributable to the State of Michigan shall be refunded to it in cash. 10. That said bonds shall be in substantially the following form, to wit: 2- Number $5,000 UNITED STATES OF AMERICA STATE OF MICHIGAN COUNTY OF OAKLAND, WAGNER DRAINAGE DISTRICT DRAIN BOND KNOW ALL MEN BY THESE PRESENTS, that the Wagner Drainage District, Oakland County, Michigan, hereby acknowledges itself indebted and for value received, promises to pay to the bearer hereof. (or if this bond be registered, to the registered holder hereof) the sum of FIVE THOUSAND DOLLARS on the first day of May, A.D. 19 , Itogether with interest thereon from the date hereof until paid at the rate of . per centum %) per annum, payable on November 1, 1970, and thereafter semi-annually on the first days of May and November in each year , principal and interest hereof are payable in law- ful money of the United States of America at the !, in the City of , upon presentation and surrender of this bond and the cOupons hereto attached as they severally mature. This bond is one of a series of bonds of like date and tenor except as to maturity numbered consecutively in the direct order of their maturities from 1 through 331, aggregating the principal sum of One Million Six. Hundred Fifty Five Thousand Dollars ($1,655,000)., issued under and pursuant to and in full conformity with the Constitution and Statutes of the State of Michigan, and particularly Chapter. 20 of Act No 40 of the Public Acts of 1956, as amended. The bonds of this series are issued in anticipation of the collection of an equal amount of special assessments assessed against the City of Southfield and the County of Oakland on Special Assessment RolieNo. 1 for the Wagner Drain (an intra-county .drain), which assessments were made to defray the cost of constructing the said drain and which assessments are a general obligation of said city and county. The full faith and credit of the Wagner Drainage District is hereby pledged to the prompt payment of the principal of and interest on this bond as the same become due and in addition the full faith and credit of the County of Oakland is pledged therefor. Bonds of this series maturing prior to May 1, 1979, are not subject to redemption prior to maturity. Bends maturing on and after May 1, 1979, are subject to redemption prior to maturity at the option of the Drainage District in inverse numerical order on any one or more interest payment dates on and after May 1, 1978, at par and accrued interest plus a premium on each bond called to By Me her of the Drainage Board (SEAL) be redeemed computed as a percentage of the principal amount thereof in accordance with the following schedule: 3% if called to be redeemed on or after May 1, 1978, but prior to maturity. Notice of redemption shall be given to the holders of bonds called to be redeemed, by publication of such notice not less than thirty (30) days prior to the date fixed for redemption, at least once in a newspaper or publication circulated in the City of Detroit, Michigan, which carries as a part of its regular service, notices of the sale of municipal bonds: Provided, that where any bond shall be registered, then notice, of the redemption thereof shall be given by registered or certified United States mail addressed to the registered holder thereof at the address shown on the bond registration books of the principal paying agent, which notice shall be mailed not less than thirty (30) days prior to the date fixed for redemption. Bonds so called for redemption shall not bear interest after the date fixed for redemption, provided funds are on hand with the principal paying agent to redeem the same. This bond may be registered as to principal only in thefl name of the holder on the books of the principal paying agent; and such registration noted on the back hereof by an official of said paying agent, and thereafter no transfer shall be valid unless made upon the said books and likewise noted on the back hereof. Trans- ferability by delivery may be restored by registration to the bearer. Negotiability of the interest coupons, shall not be affected by regis- tration. It is hereby certified, recited and declared that all acts, conditions and things required to exist, happen and be per- formed precedent to and in the issuance of the bonds of this series,- existed, have happened and have been performed in due time, form and manner as required by the Constitution and Statutes of the State of Michigan, and that the total indebtedness of said Drainage District, including this series of bonds does not exceed any consti- tutional or statutory limitation. IN WITNESS WHEREOF, THE WAGNER DRAINAGE DISTRICT, Oakland County, Michigan, by its Drainage Board, has caused this bond to be signed in. its name by the Chairman and at least one other member of said Drainage Board, and its corporate. seal to be affixed hereto, and has caused the annexed interest coupons to be executed with the facsimile signature of said Chairman., all as of the 1st day of April, A.D. 1970. WAGNER DRAINAGE DISTRICT By : Chairman of the Drainage Beard - By Member of the Drainage Board (COUPON) Number On the 1st day of , A.D. 19 , the WAGNER DRAINAGE DISTRICT, Oakland County, Michigan, will pay to the bearer hereof the sum shown hereon, lawful money of the United States of America at the , in the City of , same being the interest due on that day on its Drain Bond, sated April 1, 1970, No. . This coupon is subject to the redemption provisions in said bond.' (FACSIMILE) Ch airman REGISTRY Signature of Official of Principal Paying In Whose Name Registered Date of Registration Agent 11. That if for any reason the original assessments shall not be sufficient to pay the principal and interest on said bonds, then the Drainage District shall make such additional assessments therefor as may be necessary, apportioned as in the first instance. ADOPTED: Yeas - 3 Nays - 0 The following resolution was offered by Murphy and seconded by Patnales BE IT RESOLVED, that sealed proposals for the purchase of $1,655,000 Drain Bonds to be issued by the Wagner Drainage District, to be dated April 1, 1970, be received up to such time as shall be later determined by this Drainage Board and that notice thereof be published in accordance with law in the Bond Buyer and in the Daily Tribune, a newspaper of general circulation in the said Drainage District, which noticeLshall be substantially in the following form: - OFFICIAL NOTICE OF SALE $1,655,000 WAGNER DRAINAGE DISTRICT COUNTY OF OAKLAND, STATE OF MICHIGAN DRAIN BONDS Sealed bids for the purchase of Drain Bonds to be_issued by the Wagner Drainage District in Oakland County, Michigan, of the par value of $1,655,000 will be received by the undersigned at his _ office, 550 South Telegraph Road, in the C 7 of Pontiac, Michigan, until o'clock .M., Eastern1Stano-,rd Time, on the day of , 1970, at which time and place said bids will be publicly opened and-read. Said bonds will be dated April 1, 1970, will be coupon bonds (registrable as to principal only), all in the denomination of $5,000 each, will be numbered consecutively in thedirect order of their maturities from 1 upwards, and will bear_interestfrom their date at a rate or rates not exceeding 8% per annum payable on November 1, 1970, and thereafter semi-annually on May land November 1 of each year. Each bid shall state the annual interest rate or rates upon which it is submitted, expressed in multiples of 1/8th of 1% or 1/20th of 1% or both. The interest on all bonds maturing in the same year shall be at lone rate only and shall be evidenced by one coupon only for each 'coupon period. No bond. shall bear interest at a rate less than 50% of the rate borne by any other bond of this issue. Accrued interest to date of delivery of such bonds must be paid by the purchaser at the time of _delivery. Said bonds will mature serially on the 1st day of May in each year as follows: 1971 - $ 55,000 1972 - 50,000 1973 - 50,000 1974 - 50,000 1975 - 50,000 1976 - 75,000 1977 - 75,000 1978 - 75,000 1979 - 75,000 1980 - 75,000 1981 - $ 75,000 1 1982 - 75,000 1983 - 100,.000 - 100,000 - 11985 - 100,000 1986 - 100,000 1987 - 100,000 11988 - 125,000 1989 - 125,000 1990 - 125,000 Bonds maturing prior to May 1, 1979 shall not be subject to redemption prior to maturity. Bonds maturing on. or after May 1, 1979 shall be subject to redemption prior to maturity at the option of the Drainage District in inverse numerical order on any. one or more interest payment dates on and after May 1, 1978, at par and accrued interest plus a premium on each bond called to be redeemed computed as a percentage of the principal amount thereof in accor- dance with the following schedule 3% if called to be redeemed on or after May 1, 1978, but prior to maturity, Notice of redemption shall, be published not less than thirty (30) days prior to the date fixed for redemption, at least once in a newspaper or publication circulated in the City of Detroit, Michigan, which carries as a part of its regular service, notices of the sale of municipal bonds or if the bonds be regis- tered, then notice shall be sent by registered or certified mail to the registered holders, at least thirty (30) days-prior to the date fixed for redemption. Bonds so. called for redemption shall not bear interest after the date fixed for redemption, provided funds are on hand with the paying agent to redeem the same. Both principal and interest will be payable at such bank or trust company which qualifies as a paying agent under Federal or Michigan law and which shall be designated by the original purchaser of the bonds, who.may also designate a similarly qualified co-paying agent. The said bonds are to be iSsued under, the provisions of Chapter 20 of Act No 40 of the Public Acts of 1956, as amended, in anticipation of the collection of special assessments assessed against public corporations on Special Assessment Roll No 1 for the Wagner Drain, made to defray the !cost of constructing the said drain. The assessments are against the City of Southfield and the County of Oakland. The assessments against the City of Southfield and the County of Oakland are general obligations of said city and county. The statute under which the bonds are to be issued provides that the full faith and credit of the, said Drainage District is pledged to the prompt payment of the principal of and interest on said bonds.* No bids for less than all of the bonds or at less than the par value of the bonds will be acCepted. For the purpose of awarding l the bonds, the interest cost of each bid will be computed by deterMining, at the rate or rates specified therein, the total dollar value of all intereSt on all of the bonds from (here insert the first day of the month next following the date of receiving bids or the date of the bonds, whichever, is later) to their respective maturities and deducting therefrom any premium. Such bonds will be awarded to the bidder whose bid on i the above computation pro- duces the lowest cost to the Drainage District on all of the bonds. A certified or cashier's check in the amount of $33,100, drawn upon an incorporated bank or trust company and payable to the order of the Treasurer of the Drainage Board for the Wagner Drain must accompany each bid as a guarantee of good faith on the part of the bidder, to be forfeited as liquidated damages if such bid be accepted and the bidder fails to take up and pay for the bonds. No interest shall be allowed on the good faith checks and checks of the unsuccessful bidders will be promptly returned to each bidder's representative or by registered Mail. The successful bidder shall have the right at his option, to cancel the contract -18- of purchase if the bonds are not tendered for delivery within 60 days from the date of sale thereof, 4nd in such event, the successful bidder shall be entitled to the return of the deposit accompanying the bid. Bids shall be conditioned upon the unqualified opinion of Dickinson, Wright, McKean & Cudlip, attorneys, Detroit, Michigan, approving the legality of the bonds. The cost of said legal opinion and of the printing of the bonds will be paid by the Drainage District. Bonds will be delivered at Detroit, Michigan, Chicago, Illinois, or New York, New York. The right is reserved to relject any or all bids. Envelopes containing the bids should be plainly marked "Proposal for Wagner Drain Bonds," DANIEL W. BARRY Chairman of €E —Drainage Board for the Wagner Drain 550 South Telegraph Road Pontiac, Michigan APPROVED: , 1970 STATE OF MICHIGAN MUNICIPAL FINANCE COMMISSION * (To be added if Board of Commissioners approves) By resolution adopted by the affirmative vote of two-thirds of the members elect of the Board of Commissioners of the County of Oakland, and pursuant to said Chapter 20 of Act No. 40 of the Public Acts of 1956, as amended, the full faith and credit of the County of Oakland is pledged to the prompt payment of the principal and interest on said bonds. BE IT FURTHER RESOLVED, that the Chairman of this Board be and he is hereby authorized and directed to forward the foregoing Notice of Sale to the Municipal Finance Commission for its approval. ADOPTED: Yeas.. 3 Nays - 0 It was moved by Barry_ and seconded by Murphy that payment in the amount of $25.00 to Robert.F. Patnales for attendance at this meeting be approved. ADOPTED: Yeas - 3 Nays - There being no further business, upon motion by Murphy and seconded by Patnales and unanimously carried, the meeting was adjourned. office. STATE OF MICHIGAN SS: COUNTY OF OAKLAND I, the undersigned do hereby certify that the foregoing is a true and complete copy of proceedings taken by the Drainage Board for the Wagner Drain, Oakland County, Michigan, at the meeting above indicated, the original of which is on file in my