HomeMy WebLinkAboutResolutions - 1984.07.26 - 16639July 26th, 1964
RESOLUTION NO. 842o4
BY: Planning and Building Committee - Anne M. Hobart, Chairperson Drain Cn7aissioner -
IN RE: EVERGREEN AND FARMINGTON SEWAGE DISPOSAL SYSTEMS
PoLLT,TION CONTROL FACILITIES
TO THE OAKLAND COUNTY BOARD COMMISSIONERS
MR. CHAIRMAN, LADIES AND GENTLEMEN:
WHEREAS, the County of Oakland established, under and
pursuant to Act No. 342, Public Acts of Michigan, 1939, as
amended, a system of sewage disposal improvements and services
to serve the areas and the districts heretofore designated and
described in Oakland County, Michigan, in Resolutions No. 3269,
3435 and 4115 as the Evergreen Seviage Disposal District and in
Resolutions No. 3270 and 3339 as the Farmington Sewage Disposal
District, which system as so established was designated the
"Evergreen and Farmington Sewage Disposal Systems" and the
Oakland County Drain Commissioner was designated and appointed
as the "County Agency" for said County systems with all the
powers and duties with respect to said County systems as are
provided by law and especially by said Act 342; and
-UHERRAS, the State of Michigan Department of Natural
Resources designated the areas and districts served by the
Oakland County Evergreen and Farmington Sewage Disposal Systems
as a single plan of study area for the purposes of Step I
Facilities Planning and determined that there is a need to
obtain studies, reports, plans and estimates for the abatement
of pollution, control of pollutants and polluting discharges,
and the relief of both the Evergreen and Farmington Sewage Dis-
posal Systems; and
WHEREAS, the Step I Facilities Planning is almost
completed and on the basis thereof the county and the cities
desire to procE!ed into Step TT and Step III, using a combination,
as for Step I, of Federal and State grant mone . and local funds
as needed for a part o the proposed Pollution Control Facth-
t.ies as shown on Exhibit "A" hereto attached, for which part
contractual arrangements for design, construction and financin
are required only with the City of Southfield and City of
Farmington Hills (herein the "cities") and the County of Oakland
(herein the "county") among all of the municipallties named as
participants in and users of the Evergreen and Farmington Sewage
Disposal Systems (herein "Systems"); and
WHEREAS, the cities are in urgent need of such sewage
disposal improvements and pollution control facilities to pro-
vide the means of collecting and disposing of sanitary sewage
of the cities, in order to abate pollution of the waters of the
cities and thus to promote the health and welfare of the
residents thereof, which improvements and facilities would like-
wise benefit the county and its residents, and the cities 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 all as described and
set forth in the EVERGREEN AND FARMINGTON SEWAGE DISPOSAL SYSTEMS,
POLLUTION CONTROL FACILITIES CONTRACT, dated as of July 1, 1984,
(herein the "Contract") and submitted herewith; and
WHEREAS, the City of Southfield and City of Farmington
Hills have approved the Contract and have authorized their
Mayors and City Clerks to execute and deliver the same on their
behalf subject to the giving of notice and expiration of
referendual rights as provided in Section 5b of Act 342, MichiTan
Public Acts of 1939, as amended, as related to the PROJECT
described in the Contract which provides for construction in
Oakland County of additions to and enlargements of the 5ystem5
and allocates capacity in and shares of cost of the additional
facilities and capacity and service rights (herein the "PROJECT");
and
WHEREAS, it appears both necessary and desirable for
Oakland County to enter into said Contract and agree to acquire
the PROJECT and to construct the additional facilities, using to
the extent available, Federal grants and other funds as described
in the Contract; and
WHEREAS, the acquisition of capacity in new and exist-
ing facilities and construction of additional pollution control
facilities will protect the public health and welfare of the
citizens of Oakland County to be served thereby.
THEREFORE, BE IT RESOLVED BY THE BOARD OF COMMISSIONERS
OF OAKLAND COUNTY, MICHIGAN, as follows:
1. The Board of Commissioners of the County of Oakland,
Michigan, by a majority vote of its members elect, does authroize
and direct that the Evergreen Sewage Disposal System and the
Farmington Sewage Disposal System, each heretofore established
under Act 185, Public Acts of Michigan, 1957, as amended, be
hereby eatablish:ed and be enlarged, extended, continued, main-
tained and operated as a single sewage disposal system and
district designated EVERGREEN AND FARMINGTON SEWAGE DISPOSAL
SYSTEMS AND DISTRICTS consisting of capacity in existing and
new Wayne County and Oakland County Sewage disposal facilities
necessary to supply additional sewage disposal services presently
to the City of Southfield and City of Farmington Hills, and in
the future when the PROJECT is completed, to the other cities,
villages and townships in the Evergreen and Farmington Sewage
Disposal Districts and consisting of .capacity in new inter- ,
ceptor transportation and control capacity in the Detroit
System for use of the Evergreen and Farmington Systems of
Oakland County and the Rouge Valley System of Wayne County.
2. The County agrees to take such actions and to
exercise such powers and duties for financing and construction
in respect to the Contract, the PROJECT and the several Oakland
County Systems as are conferred upon it by law acting through
the Oakland County Drain Commissioner, hereby designated the
County Agency, provided that there shall be no authority to
create any other or different liability of any kind upon the
County of Oakland beyond that described in the Contract, unless
authorized by this Board of Commissioners, and provided that
the operation, management and maintenance of all existing and
new facilities in Oakland County as described in the Contract,
shall continue as at present.
3. The EVERGREEN AND FARMINGTON SEWAGE DISPOSAL
SYSTEMS, POLLUTION CONTROL FACILITIES CONTRACT, to be dated
as of July 1, 1984, is hereby approved and the Oakland County
Drain Commissioner is hereby authorized and directed to execute
said Contract on behalf of the County of Oakland. Said Contract
is attached.
beit M PriY, Date
Mr. Chairman, on behalf of the Plannjug and Building
17 ,-,-ittee, I move adepti. of the foregoing ro!mlution.
Planning and Building Committee
I WER' APPROVE THE FOREGOING RESOLUTION
EVERGREEN AND FARMINGTON SEWAGE DISPOSAL SYSTEMS
POLLUTION CONTROL FACILITIES
SOUTHFIELD AND FARMINGTON HILLS
CONTRACT
THIS CONTRACT, made and entered into as of the first
day of July, 1984, by and between the COUNTY OF OAKLAND, a
county corporation in the State of Michigan (hereinafter some-
times referred to as the "county"), by and through its Drain
Commissioner, County Agency, party of the first part, and the
CITY OF SOUTHFIELD and CITY OF FARMINGTON HILLS, each an Home
Rule city corporation in said county and state (hereinafter some-
times referred to as the "cities"), parties of the second part.
WITNESSET H:
WHEREAS, the Oakland County Board of Supervisors by
resolution, Misc. No. 3269, adopted August 12, 1957, as amended
by resolution, Misc. No. 3435, adopted October 13, 1958, did
approve the establishment of the Evergreen Sewage Disposal
System (herein called the "Evergreen System") to serve the
Evergreen Sewage Disposal District (herein called the "Evergreen
District"), within which District are included areas in each of
the municipal corporations hereinafter named; and
WHEREAS, pursuant to the Evergreen Sewage Disposal
System Agreement, dated November 10, 1958, as amended by
amendatory agreements dated December 22, 1958 and February 9,
1959, all between the county of Oakland and the Cities of
Southfield, Birmingham, Bloomfield Hills, Lathrup Village and
Troy, the Village of Westwood (now Village of Beverly Hills),
and the Townships of Bloomfield and Pontiac, municipal corpora-
tions in said County of Oakland, the said county acting through
its Department of Public Works, did acquire the original
Evergreen 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 provisions of said Agreement, as amended (herein referred
to as the "Evergreen Agreement"); and
WHEREAS, the Oakland County Board of Supervisors by
resolution, Misc. No. 4115, adopted March 6, 1963, did enlarge
the Evergreen District to include all of the Village of Franklin
and all of the Village of Bingham Farms within the area to be
served by the Evergreen System; and
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 "Farmington System") to serve the
Farmington Sewage Disposal District (herein called the
"Farmington District") within which District are included areas
in each of the municipal corporations hereinafter named; 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 (now City of Farmington Hills), municipal cor-
porations in said County of Oakland, the said county acting
thru its Department of Public Works, did acquire the original
Farmington Sewage Disposal System and did finance such acquisi-
tion by the issuance of bonds in anticipation of payments to
be made by said municipal corporations to the county in accor-
dance with the provisions of said Agreement, as amended (herein
referred to as the "Farmington Agreement"); and
WHEREAS, by annexation of part of the former Township
of Farmington the City of Farmington has become a user of the
Farmington System and has area included in the Farmington
District: and
WHEREAS, by contractual relationships with members of
the Farmington System, the City of Sylvan Lake and the City of
Orchard Lake Village have become users of the Farmington System;
and
WHEREAS, the State of Michigan Department of Natural
Resources designated the areas and districts served by the
Oakland County Evergreen and Farmington Sewage Disposal Systems
as a single plan of study area for the purposes of Step I
Facilities Planning and determined that there is a need to
obtain studies, reports, plans and estimates for the abatement
of pollution, control of pollutants and polluting discharges,
and the relief of both the Evergreen and Farmington Sewage Dis-
posal Systems; and
WHEREAS, the county established under and pursuant to
Act No. 342, Public Acts of Michigan, 1939, as amended, a
system of sewage disposal improvements and services to serve
the areas and the districts heretofore designated and described
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in Oakland County, Michigan, in Resolutions No. 3269, 3435 and
4115 as the Evergreen Sewage Disposal District and in Resolutions
No. 3270 and 3339 as the Farmington Sewage Disposal District,
which system as so established was designated as the "Evergreen
and Farmington Sewage Disposal System" and the Oakland County
Drain Commissioner was designated and appointed as the "County
Agency" for said County systems with all the powers and duties
with respect to said County systems as are provided by law and
especially by said Act 342; and
WHEREAS, under and subject to the terms of Act 342,
the county is authorized, through the County Agency, to acquire
and construct the sewage disposal improvements and pollution
control facilities hereinafter described as the County systems,
the county and the cities are authorized to enter into a con-
tract, as hereinafter provided, for the acquisition and con-
struction of the systems 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
cities to pay such cost with interest to the county in install-
ments 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 Commis-
sioners, to pledge its full faith and credit for the payment of
such bonds and the interest thereon; and
WHEREAS, the cities are in urgent need of such sewage
disposal improvements and pollution control facilities to pro-
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vide the means of collecting and disposing of sanitary sewage
of the cities, in order to abate pollution of the waters of the
cities 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, Sb and 5c thereof; and
WHEREAS, the Step I Facilities Planning is almost
completed and on the basis thereof the county and the cities
desire to proceed into Step II and Step III, using a combination,
as for Step I, of Federal and State grant moneys and local funds
as needed for a part of the proposed Pollution Control Facili-
ties as shown on Exhibit "A" hereto attached, for which part
contractual arrangements for design, construction and financing
are required only with the two cities among all of the munici-
palities named herein above as participants in and users of the
Evergreen and Farmington Sewage Disposal Systems (herein
"Systems"); and
WHEREAS, the County Agency has obtained preliminary
plans for the County systems and also an estimate of
$37,779,000 as the total cost of the systems and an estimate of
forty (40) years and upwards as the period of usefulness thereof,
all of which have been prepared by Hubbell, Roth & Clark, Inc.
(hereinafter sometimes referred to as the consulting engineers)
submitted herewith for approval by the Board of Commissioners
of the County and the city councils of the cities and will
be placed on file in the office of the County Agency, said
estimates being set forth in Exhibit B hereunto attached; and
WHEREAS, in order to provide for the acquisition and
construction of the systems by the county and the financing of
the cost thereof by the issuance of county bonds, and for other
related matters, it is necessary for the parties hereto to
enter into this contract.
THEREFORE, IN CONSIDERATION OF THE PREMISES AND THE
COVENANTS OF EACH OTHER, THE PARTIES HERETO AGREE AS FOLLOWS:
1. The parties hereto do hereby approve and agree to
the establishment, acquisition, construction and financing of
the Evergreen and Farmington Sewage Disposal Systems, as herein
provided, under and pursuant to Act 342. The cities by way of
compliance with Section 29, Article VII, Michigan Constitution
of 1963, consent and agree to the establishment and location
of the systems within the corporate boundaries of each and to
the use by the county of its streets, highways, alleys, lands,
rights-of-way or other public places for the purpose and facili-
ties of the systems and any improvements, enlargements or
extensions thereof, and the cities further agree that, in order
to evidence and effectuate the foregoing agreement and consent,
each 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 Evergreen and Farmington Sewage Disposal Systems
Pollution Control Facilities to be acquired, constructed and
financed hereunder shall consist of the facilities shown on
Exhibit A which is hereunto attached and which is hereby made a
part hereof, and as are more particulary set forth in the pre-
liminary plans which have been prepared and submitted by the
consulting engineers, which plans are on file with the County
Agency and are hereby approved and adopted. The particular
facilities herein involved are to be acquired in two segments
in two years as follows:
1984 Segment #1 Stage 1 and Stage 2
1985 Segment #2 Stage 3 and Stage 4 and
Stage 7 South Part
These segments are herein sometimes referred to as the "Project".
The Project shall be acquired and constructed substantially 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 materially change the location, capacity or overall design
of the Project, and which do not require an increase in the
total estimated cost of the Project, 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 Councils of the Cities and if provisions required by
Paragraph 8 hereof are made for payment or financing of any
resulting increase in the total estimated cost. The estimate of
cost of the Project and the estimate of period of usefulness
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
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necessary to be so financed to defray that part of the total cost
to the county of the Project which is in excess of funds avail-
able 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 cities 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 (40) years from the
date thereof.
4. The County Agency shall proceed to take construc-
tion bids for the Project and, subject to the sale and delivery
of said bonds, enter into construction contracts with the
lowest responsible bidder or bidders, procure from the con-
tractors all necessary and proper bonds, cause the Project 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 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 cover-
ing all facilities to be constructed pursuant to this contract.
All policies and memorandums of insurance shall provide that
the county and the cities shall be insured parties thereunder
and shall contain a provision requiring that the cities be
notified at least ten days prior to cancellation thereof. One
copy of each policy and memorandum of insurance shall be filed
with the cities.
5. It is understood and agreed by the parties hereto
that the systems facilities are to serve the cities and not the
individual property owners and users thereof, unless by special
arrangement between the County Agency and the cities. The
responsibility of requiring connection to and use of the
facilities of the systems and or providing such additional
facilities, as may be needed, shall be that of the cities which
shall cause to be constructed and maintained, directly or
through the county, any such necessary additional facilities.
The county shall not be obligated hereunder to acquire or con-
struct any facilities other than those designated in paragraph
2 hereof.
6. The cities shall pay to the county the total cost
of the Project, less such funds as may become available from
Federal and/or State grants or from other sources, in local
shares and for population equivalent assignments and cubic
feet per second capacity equivalent assignments as described in
paragraph 12 hereof and on Exhibit C hereunto attached. The
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 payable by the county
on said bonds and all paying agent fees and other expenses
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and charges (including the County Agency's administrative
expenses) which are payable on account of said bonds (such fees,
expenses and charges being herein called "bond service charges").
Such payment shall be made to the county in annual or semi-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 or semi-annual interest
date. Such installments shall be so paid in each year, if any
principal and/or non-capitalized interest on said bonds falls due
during the twelve-month period beginning on such principal maturity
date in said year, and the amount of each installment so due and
payable shall be at least sufficient to pay all such principal and/or
interest thus falling due and all bond service charges then due
and payable. The County Agency shall, within thirty days after
delivery of the county bonds to the purchaser, furnish the
Treasurer of each of the cities 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 cities, advise the said Treasurer of the amount
payable to the county on such date. If either of the cities
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 cities from the obligation
to make payment when due. Such payments shall be made by the
cities when due whether or not the system has then been completed
or placed in operation but neither of the cities is responsible
for any payment due from the other. 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 Project, the foregoing obliga-
tions shall apply to such part of the cost and to said additional
bonds insofar as appropriate thereto, it being understood that
at all times the obligations of the cities to pay hereunder shall
not be less than the amount of the county bonds outstanding and
unpaid plus interest thereon.
7. The cities 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 cities may also pay in advance any one
or more installments or any part thereof (a) by surrendering to
the county any of said county bonds of like principal amount
with all future-due coupons attached thereto, or (b) by paying
to the county in cash the principal amount of any county bonds
which are subject to redemption prior to maturity, plus all
interest thereon to the first 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 sur-
rendered 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 Project as hereinbef ore
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 Councils of the cities may, by resolution adopted
within fifteen days after the receipt of construction bids,
direct that a portion of the Project be deleted sufficient to
reduce the total cost as hereinbefore stated by more than 5%,
provided that such deletion shall not materially change or
terminate the eligibility of the Project for Federal and/or
State grants, change the general scope, overall design, and
purpose of the Project, and in the absence of the adoption of
such a resolution the cities shall pay or procure the payment
of the increase or excess in cash, or county bonds in an
increased or additional amount shall (upon adoption of an
authorizing resolution 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 Project or
any part thereof or incur any obligation for or pay any item
of cost therefor, where the effect thereof would be to cause
the total cost of the Project to exceed by more than 5% its
total estimated cost as hereinbefore stated, unless the councils
of the cities shall have previously adopted a resolution ap-
proving 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 cities 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 cities or either of them to the county in the
manner hereinbefore provided: Provided, further, that the
adoption of such resolution by the councils of the cities 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 ad-
ditional bonds is necessary (as determined by the county) to
pay such increased, additional or excess costs as are essential
to completion of the Project according to the plans as last
approved prior to the time when the previous bonds were issued
or contracted to be sold.
9. In the event that the actual cost of the Project
is less than the total estimated cost, then any surplus avail-
able to the county from the sale of county bonds shall, at the
option of the councils of the cities, be used either to improve,
enlarge or extend the systems or to apply upon future payments
due to the county, or to redeem bonds or to purchase the same
on the open market, provided that such surplus shall be used
to improve, enlarge or extend the systems only if authorized
by the Board of Commissioners. Any such surplus may, for the
purpose of improving, enlarging or extending the systems, be
supplemented by cash payments to be made by the cities, or
such improvements, enlargements or extensions may be financed
entirely from such cash payments, where authorized by the
councils of the cities. Where any such surplus is used to re-
deem or purchase bonds, the same shall be cancelled, and the
payments thereafter required to be made by the cities to the
county shall be reduced so as to reflect the resulting saving
of interest and the payment required to be made in the calendar
year of the stated maturity of said bonds shall be reduced by
the principal amount thereof.
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10. Should either of the cities fail for any reason
to pay the county at the times specified, the amounts herein
required to be paid, each of the cities does hereby authorize
the State Treasurer or other official charged with the disburse-
ment of unrestricted state funds returnable to the cities pur-
suant to the Michigan constitution to withhold sufficient
funds to make up any default or deficiency in funds. If the
full faith and credit of the county is pledged for the prompt
payment of the principal of and interest on the bonds to be
issued by the county and if the county is required to advance
any money by reason of such pledge on account of the delinquency
of either of the cities, the County Treasurer is hereby author-
ized 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 such of the
cities and to pay such amount at the county.
The foregoing shall not operate to limit the county's
right to pursue any other legal remedies for the reimbursement
of moneys advanced on account of the default of either of the
cities.
11. The cities, pursuant to the authorization of
Section 5a of Act No. 342, do each 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,
within applicable tax limitations in an amount which, taking
into consideration estimated delinquencies in tax collections,
will be sufficient to pay its obligations under this contract
as a first budget obligation 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 cities or
either of them shall have on hand cash or 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 council of each of
the cities shall each year, at least 90 days prior to the final
date provided by law for the making of the annual tax levy,
submit to the County Agency a written statement setting forth
the amount of its obligations to the county which become due and
payable under this contract prior to the time of the next fol-
lowing year's tax collections, the amount of the funds which
each of the cities 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 cities 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 tax levy is insufficient, he shall so notify
the councils of the cities and each of the cities hereby
covenants and agrees that it will thereupon increase its levy
to such extent as may be required by the County Agency.
12. As shown on Exhibits A and C, the Pollution
Control Facilities to be acquired by completion of the Project
are to supplement, improve, extend and enlarge the systems as
parts of the Evergreen System and the Farmington System and
will serve additional population and provide additional capacity
in each of the cities in the proportions shown on Exhibit C.
The provisions of the Evergreen Agreement and of the Farmington
Agreement, to the extent not specifically amended or eliminated
hereby, shall apply to the total systems when completed and
placed in operation and shall continue in full effect including
any rights now or hereafter existing by contract on behalf of
the systems by the county with the City of Detroit and/or the
County of Wayne relative to treatment or transportation of
sanitary wastewater and other pollution control activities.
As indicated on Exhibit A, there are other Pollution
Control Facilities proposed by the Step I Facilities Planning
(herein "future facilities") as well as the facilities described
in paragraph 2 hereof as Segment #1 and Segment #2 (herein
it current facilities"). Even though the cities are the only units
of local government now contracting with the county, it is under-
stood that by reason of the Evergreen Agreement and the Farming-
ton Agreement and because of the Step I Facilities Planning, all
of the units of local government named hereinabove as parties
to those Agreements or as users or potential users of the systems
are entitled and may be obligated to participate in sharing the
cost of and in using the Proposed Pollution Control Facilities
or any part or parts thereof (including this Project). Such
participation shall be administered by the county in dividing
and assigning shares of population to be served, capacity to
be available and costs to be shared and the decisions of the
county in this regard shall be final, but only to the extent the
costs and the future facilities or current facilities result in
an increase of systems capacity available to a unit of local
government or in an enlargement of the Districts therein or the
acquisition of facilities in any unit of local government or
for the systems elsewhere is made necessary by conditions which
exist in the unit of local government, with or without an in-
crease of such capacity or such enlargement.
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 authoriza-
tion provided in Section 5a, 5b and 5c of said Act 342. Interest
on the bonds shall be capitalized and paid from the bond pro-
ceeds for a period not exceeding the estimated 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 cities shall pay a share of all
engineering, legal and other costs and expenses theretofore in-
curred as part of Step I Facilities Planning and hereunder and
shall be entitled to all plans, specifications and other engineer-
ing data and materials, as provided in resolutions heretofore
adopted by the cities and other units of local government per-
taining thereto.
14. Upon completion of the Project the county and
the cities hereby agree that the operation and maintenance of
all of the facilities of the systems shall be carried on and
continued in the same fashion and manner as integral parts of
the systems as are now in existence and in effect pursuant to
the Evergreen Agreement and the Farmington Agreement, with costs
thereof billed, collected and paid as at present.
If a grant, advance or payment becomes available from
the State or Federal euveLeitielits or any other source, the cities
hereby agree to adopt such resolutions or ordinances as may be
required by State or Federal laws, regulations or orders to make
the County of Oakland and the systems and Districts eligible to
accept and receive the grant, advance or payment, and if the
-17-
terms of the grant, advance or payment require a local contribu-
tion, the cities hereby agree to raise and contribute its share
thereof as herein provided.
It is anticipated between the parties hereto that
the Project to be built shall qualify for a segmented Federal
grant in accordance with the Code of Federal Regulations, Part
40 S35.2108. For purposes of financing the Project, it is
anticipated that the Project shall be eligible for Federal
grants with respect to Segment #1 and Segment #2 in the amounts
as noted on Exhibit B. The applicant, Oakland County, in ac-
cordance with the requirements of said S35.2108, agrees to
complete the Project regardless of whether or not grant funding
is available for both Segments, in accordance with the require-
ments of said §35.2108, except that the Project shall not be
commenced unless a grant of at least 75% of the eligible cost
of Segment #1 is received.
15. The county shall have no obligation or responsi-
bility for providing facilities except as herein expressly
provided with respect to the acquisition of the Project or
as otherwise provided by contract. The cities shall have
the authority and the responsibility to provide such other
facilities and shall have the right to expand the facilities
of the systems by constructing or extending sewers or re-
lated facilities, connecting the same to the systems, and
otherwise improving the systems. It is expressly agreed,
nevertheless, that no such connection shall be made to the
systems and no impLOVenientb, enlargements or extensions there-
of shall be made without first securing a permit therefor from
the County Agency. Any such permit may be made conditional
upon inspection and approval of new construction by the County
Agency. It is further agreed that the systems shall be used
for collection and conveyance of sanitary sewage only and that
the cities shall take all necessary action to prevent entry into
the systems of storm waters (except as permitted in the Ever-
green Agreement or the Farmington Agreement) and also to
prevent entry of sewage or wastes of such a character as to be
injurious to the system or to the public health and safety.
16. All powers, duties and functions vested by this
contract in the county shall be exercised and performed by the
County Agency, for and on behalf of the county, unless otherwise
provided by law or in this contract.
17. The parties hereto recognize that the holders from
time to time of the bonds to be issued by the county under the
provisions of Act 342, and secured by the full faith and credit
pledge of the cities to the making of the payments as set forth
in this contract, will have contractual rights in this contract,
and it is therefore covenanted and agreed that so long as any of
said bonds shall remain outstanding and unpaid, the provisions
of this contract shall not be subject to any alteration or
revision which would in any manner adversely affect either the
security of the bonds or the prompt payment of principal or
interest thereon. The right to make changes in this contract,
by amendment, supplemental contract or otherwise, is neverthe-
less 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 pro-
visions of this contract shall for any reason be held to be
invalid, illegal or unenforceable in any respect, such invalidity,
illegality or unenforceability shall not affect any other pro-
visions hereof, but this contract shall be construed as if such
invalid, illegal or unenforceable provision has never been con-
tained herein.
19. This contract shall become effective upon its
execution by each party hereto and the expiration of 45 days
after the date of publication of the notice required by Section
5b of Act 342; Provided, however, that if, within the 45 day
period, a proper petition is filed with the City Clerk of either
of the cities in accordance with the provisions of said Section
5b of Act 342, then this contract shall not become effective
as to that one of the cities until approved by the vote of a
majority of the electors of that one of the cities 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 counter-
parts. The provisions of this contract shall inure to the
benefit of and be binding upon the successors and assigns of
the parties hereto.
IN WITNESS WHEREOF, the parties hereto have caused
this contract to be executed and delivered by the undersigned,
being duly authorized by the respective governing bodies of
such parties, all as of the day and year first above written.
CITY OF FARMINGTON HILLS COUNTY OF OAKLAND
By
Mayor
By
City Clerk By
County Drain Commissioner (County
Agency)
CITY OF SOUTHFIELD
By
Mayor
By
City Clerk
k
STAGE 5 n
,
c9,
STAGE 3
rSTACiE 7 _
mount PART)
IOUTIIFICL
PONTIAC
PONTIAC
III4P11
STAGE 6
riLookAFIE
+IRAs ,
_I -7
TROT
40Ala1 •
SLOOHFIELO
TOWNSHIP
STAGES.
STAGE 7
(NORTH PART)
ARMINOtovIt
STAGE 2 r
F17.1* r •^,
- a.
•
*Lima
TO OttlItAt
SOIISINES
SEVERS
0 2
SCALE IN MILES
COMPREHENSIVE FACILITIES PLAN
OAKLAND COUNTY, MICHIGAN
EVERGREEN—FARMINGTON
POLLUTION CONTROL FACILITIES
LEGEND
45" EXHITINI INTERCEPTORS a PIPE: SIZES
0•• EXISTING MAJOR PUMP STATION AND FORCE MAIN
111/ PROPOSED PUMP STATION IMPROVEMENTS
00• PROPOSED PUMP STATION AND FORCE MAIN
fall•ssaimial PROPOSED TUNNEL SEWER pm PIPE
Ismommomolm RECOMMENDED INTERCEPTOR IMPNOVEMLRTIJ Sing
COMBINED SEWER AREA SEPARATION, RETENTION
AND TREATMENT PROJECTS.
1.11111..111011111EIMMIMMI111111111111511
)EXHIBIT
PROPOSED POLLUTION CONTROL FACILITIES
PREPARED NY
88.00 per L.F. =
80.00 per L.F. =
73.00 per L.F. =
67.00 per L.P. =
61.00 per L.F. =
56.00 per L.F. =
107.00 per L.F. =
53.00 per L.P. =
45.00 per L.F. =
0 11,000.00 Ea.
0 $ 630.00 per L.F. -
590.00 per L.F. =
150.00 per L.E. =
0
0
0
0
0
•
tv
ESTIMATE OF COST
EV7RGREN-FARMInCT0N POLLUTION conTRa FACILITTU
SaNENT
6540 L.F.
2650 L.F.
2930 L.F.
140 L.F.
1250 L. F.
4340 L.F.
1140 L.F.
2050 L.P.
1180 L.F.
2700 L.F.
450 L.F.
1850 L.F.
13 Ea.
L.S.
L.S.
L.S.
L.S.
L.S.
60" Tunnel Sanitary Sewer
54" Tunnel Sanit.:iry Sewer
43" Sanitary Sewer
24" Sanitary Sewer
21" Sanitary Sewer
18" Sanitary Sewer
15" Sanitary Sewer
12" Sanitary Sewer
10" Sanitary Sewer
48" Force Main
20" Force Main
16" Force Main
Relief Sewer Connections
Mnrwood Pump Station Expansion
Kendallwood Retention Trunk
Meter Chamber
Pump Station No. 10
Pump Station No. 11
$4,120,200.00
1,563,500.00
439,500.00
12,320.00
100,000.00
316,820.00
76,380.00
125,050.00
66,080.00
288,900.00
23,850.00
83,250.00
143,000.00
1,080,000.00
6,455,000.00
920,000.00
250,000.00
495,000.00
=$16,558,850.00
= 795,000.00
= 640,000.00
= 320,000.00
= 471,000.00
= 600,000.00
15,000.00
= 475,080.00
35,000.00
= 1,259,070.00
Estimated Construction Contract Cost
Engineering Plans & Specifications
Construction Inspection
Construction Stakeout
EasementALand Cost
Administration, Legal, Financial
Soil Borings
Facilities Planning and Phase I SSES
Value Engineering
Contingencies
Total Estimated Cost-Segment 1
Estimated Federal Grant
TOTAL ESTIMATED LOCAL COST - SEGMENT 1
(Excluding Interest and Financing Costs)
=S21,169.000.00
14,818,000.00
=$ 6.351,000.00
EXHIBIT
Page 1
104.00 per L.F. =
96.00 per L.F. =
88.00 per L.F. =
80.00 per L.F. =
73.00 per L.F. =
67.00 per L.F. =
61.00 per L.F. =
56.00 per L.F. =
18.00 per L.F. =
45.00 per L.F. =
33.00 per L.F. =
30.00 per L.F. =
@ 5,500.00 Ea.
SEGMENT 2
6530 L.F.
6340 L.F.
4700 L.F.
930 L.F.
3000 L.F.
5510 L.F.
2150 L.F.
9040 L.F.
2000 L.F.
1436 L.F.
7640 L,F.
3530 L. F.
5550 L.F.
7900 L.F.
1490 L.F.
1570 L.F.
920 L.F.
L. S.
L. S.
L.S.
L.S.
3 Ea.
54" Tunnel Sanitary Sewer
54" TkJinel Sanitary Sewer
48" SInitary Sewer
42" Sanitary Sewer
36" Sanitary Sewer
30" Sanitary Sewer
27" Sanitary Sewer
24" Sanitary Sewer
21" Sanitary Sewer
18" Sanitary Sewer
15" Sanitary Sewer
12" Sanitary Sewer
10" Sanitary Sewer
6" House Lead
16" Force Main
10" Force Main
8" Force Main
Pump Station No. 1
Pump Station No. 2
Pump Station No. 3
Pump Station No. 4
Remove Existing Pump Stations
$ 645.00 per L.F. = $4,211,830.00
@ 590.00 per L.F. = 3,740,600.00
@ 150.00 per L./. - 705,000,00
@ 132.00 pr L.F. = 122,760.00
@ 112.00 per L.F. = 336,000.00
573,040.00
206,400.00
795,520.00
160,000.00
104,390.00
511,880.00
215,330.00
310,800.00
142,200.00
67,050.00
51,810.00
27,600.00
190,000.00
65,000.00
65,000.00
90,000.00
16,500.00
=$12,708,730.00
= 610,000.00
- 510 1 000.00
= 310,000.00
= 724,000.00
= 440,000.00
• 15,000.00
• 25,000.00
= 1,267,270.00
$16,610,000.00
411,626,C00.00
4,984,000.0 0
Estimated Construction Contract Cost
Engineering Plans and Specifications
Construction Inspection
Construction Stakeout
Easement & Land Cost
Administration, Legal, Financial
Soil Borings
Vall.te Engineering
Contingencies
Total Estimated Cost - Segment 2
Estimated:Federal,Grant
TOTAL 75TIMATED LOCAL COST - SEGMENT 2
(Excluc7iiig Interest and Financing Costs)
I hereby eF;tite the period of usefulness of this projPrt to be 40 year:-;
and upwo4-0.
I EXHIBIT "B" I
Page 2
M. D. Warin, P.E. No. 9775
11
JCIPAL
BOTH S1:GMEN1'S $11,335' $5.394• $5-9 ,11M
ADDITIONAL CA.'AflETUS AND POVULATION MAIVALENTS
EVEROREEN-FARYi POLLUTION CONV.OL FACILITIES
Additioal Addition!li
COPT:IorliLy Flow-C.F.S. Equivalent PrIpli.aion
Southik'id 38.16* 90,974
F?:,rmir.ton Hills 16.34* 22,781
Bevrly Hills 0 0
Binghx:! lirms 1.08* 2,62')
Birm;.1h;:im 0 0
Bloo-Af'.1c1d Hills 1.61 3,382
Blocriliold Township 3.37 14,715
Franlin 0.18 461
Lathrup Village 0.48* 0
Auburn Hills 0.22* 0
Troy 0 0
Farmington 0 0
Kecgo Harbor 0 0
Orchard Lake Village 1.64 4,110
Sylvan Lake 0 0
West Bloomfield Twp. 1.54 3,868
*Including Extraneous Flow Allowance
COST SHARES BASED ON ALLOCATION OF ALL COSTS
TO CITIES OF SOUTHFIELD AND FARMINGTON BILLS
(Excluding Interest and Financing Costs)
SEGMENT 1
Farmington Hills Southfield
Stage Local Cost Total Total
1 $3.165M 100 $3.165M 0 0
2 3.186M 30* 0.956M 70 $2.230M
$6.351M $4.121M $2.230M
SEGMENT 2
Farmington Hills Southfield
StnLge Local Cost % Total % Total
3 Main $2.469M 30* $0.741M 70* $1.728M
3 Local 0.380M 0 0 100 0.380M
4 0.532K 100 0.532M 0 0
7 South 1.6G3X 0 0 100 1.603M
$4,9A4 $1.273M $3.711M
on Southfield Additional 38.16 cfs (70.0Y) and Farmington H1115:: 16.34 cfs
(30.0)
EXHIBIT "C"
COS SFARES BASED ON ALLOCATION OF ALL COSTS
TO CITIES OF SOUTHFIELD AND FARMINGTON HILLS
(':.xcluding Interest and Financing Costs)
EVERGREEN-FARMINGTON POLLUTION CONTROL FACILITJES
SEGYENT
Estimated Estimated Southfield Farmington Hills
Stage Total Cost Local Cost Total Z Total
1 $10-549M $3.165M 0 0 100 $3.165M
2 $10.620M 3.186M 70* $2.230M 30* 0.956M
$21.169M $6.351M $2.230M $4.121M
SEGMENT
Estimated Estimated Southfield Farmington Hills
Stage Total Cost Local Cost % Total Total
3 Main $ 8.231M $2.469M 70* $1.728M 30* $0.741M
3 Local 1.265M 0.380M 100 0.380M 0 0
4 1.772M 0.532M 0 0 100 0.532M
7 South 5.342M 1.603M 100 1.603M 0 0
$16.610M $4.984M $3.711M $1.273M
TOTAL
'BOTH SEGMENTS $37.789M $11.335M $5.941M $5.394M
ased on Southfield Mditional 38.16 cfs (1(.0%) and Farmington :Llts 16.34 cfs
(30.0%)
Ihibit "C" I___Page 2
#842 o4 July 26, 1984
•
Moved by Hobart supported by Calandro the resolution be adopted.
AYES: Rewold, Aaron, Caddell, Calandro, Doyon, Fortino, Hobart,
Jackson, R. Kuhn, Lanni, Law, McPherson, Moffitt, Moore, Nelson, Olsen, Page,
Pernick. (18)
NAYS: None. (0)
A sufficient majority having voted therefor, the resolution was
adopted.
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
I, Lynn D. Allen, Clerk of the County of Oakland and having a seal.
do hereby certify that I have compared the annexed copy of
Miscellaneous Resolution #84204 adopted by the Oakland County Board of Commissioners
at their meeting held on July 26„1,984 .
with the orginial record thereof now remaining in my office, and
that it is a true and correct transcript therefrom, and of the
whole thereof.
In Testimony Whereof, I have hereunto set my hand and affixed the
seal of said County at Pontiac, Michigan
26th day of Aill
•
101 1.11114.1111W
11 P. ALLEN
County Clerk/Register of Deeds
19 84 this