HomeMy WebLinkAboutResolutions - 1990.02.22 - 16693Miscellaneous Resolution No 90015 , February 8 , 1990
BY: PLANNING AND BUILDING COMMITTEE
LARRY CRAKE, CHAIRPERSON
IN RE: DRAIN COMMISSIONER - RESOLUTION TO APPROVE
CITY OF ORCHARD LAKE VILLAGE SANITARY SEWAGE
COLLECTION AND DISPOSAL SYSTEM CONTRACT
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
MR. CHAIRMAN, LADIES AND GENTLEMEN
WHEREAS, under and subject to the terms of Act 342,
Public Acts of Michigan, 1939, as amended (Act "342") the
County of Oakland (the "County") is authorized, through the
Drain Commissioner as County Agency, to acquire and
construct sanitary sewage collection and disposal facilities
to be located in the City of Orchard Lake Village (the
"City") and capacity in the Evergreen and Farmington Sewage
Disposal System to serve the City; the County and the City
are authorized to enter into a contract for the acquisition
and construction of the aforesaid facilities and capacity
and for the financing of 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 City to pay such cost with
interest to the County in installments extending over a
period not exceeding forty (40) years; and the County is
authorized to issue such bonds and to pledge its full faith
and credit for the payment of such bonds and the interest
thereon; and
WHEREAS, the City is in urgent need of such
facilities and capacity to provide the means of collecting
and disposing of sanitary sewage originating in the City, in
order to abate pollution of the waters of the City and thus
to promote the health and welfere of the residents thereof,
which facilities and capacity likewise would benefit the
County and its residents, and the parties hereto have
concluded that such facilities and capacity can be provided
and financed most economically and efficiently by the County
through the exercise of the powers conferred by Act 342, and
especially Sections 5a, 5b and 5c thereof; and
WHEREAS, the County and the City desire to proceed
with the acquisition and construction of the facilities and
capacity which are described and shown on Exhibits A and A-1
to the contract hereinafter set forth in full and which are
hereinafter referred to as the "Project"; and
WHEREAS, the County Agency has obtained preliminary
plans for the Project and estimates of $9,300,000 as the
total cost of the Project and forty (40) years and upwards
as the period of usefulness of the Project, all of which
have been prepared by Hubbell, Roth & Clark, Inc., said
estimates being set forth on Exhibit B to the contract
hereinafter set forth in full; and
WHEREAS, in order to provide for the acquisition
and construction of the Project 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 County and the City to enter into the contract; and
WHEREAS, the electors of the City of Orchard Lake
Village have approved the contract.
THEREFORE, BE IT RESOLVED BY THE BOARD OF
COMMISSIONERS OF OAKLAND COUNTY, MICHIGAN, as follows;
1. ESTIMATES OF PERIOD OF USEFULNESS AND COST.
The estimate of $9,300,000 as the cost of the Project and
the estimate of 40 years and upwards as the period of
usefulness thereof, as submitted to this Board of
Commissioners, be and the same are approved and adopted.
2. Approval Of Contract. The City of Orchard .
Lake Village Sanitary Sewage Collection and Disposal System
Contract, dated as of November 1, 1989, between the County,
by and through the County Drain Commissioner, County Agency,
party of the first part, and the City, party of the second
part, which Contract has been submitted to this Board of
Commissioners, be and the same is approved and adopted, and
the County Drain Commissioner is authorized and directed to
execute and deliver the same for and on behalf of the
County, in as may counterparts as may be deemed advisable,
after the Contract has been executed by the appropriate
officials of the City. Said Contract reads as follows:
CITY OF ORCHARD LAKE VILLAGE SANITARY SEWAGE
COLLECTION AND DISPOSAL SYSTEM CONTRACT
THIS CONTRACT, made and entered into as of the 1st
day of November, 1989, by and between the COUNTY OF OAKLAND,
a county corporation in the State of Michigan (hereinafter
sometimes referred to as the "County"), by and through its
Drain Commissioner, County Agency, party of the first part,
and the CITY OF ORCHARD LAKE VILLAGE, a city located in the
County (hereinafter sometimes referred to as the "City"),
party of the second part.
WITNESSETH:
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, approved 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 Evergreen 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 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 (now
City of Auburn Hills), municipal corporations in the County,
the County acting through its Department of Public Works,
acquired the original Evergreen System and financed 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 Agree-
ment"); and
WHEREAS, the Oakland County Board of Supervisors,
by resolution, Misc. No. 4115, adopted March 6, 1963,
enlarged 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.
1958, approved the establishment
3339, adopted January 24,
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 Farmington 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 and the Cities of
Southfield and Keego Harbor and the Townships of West
Bloomfield and Farmington (now City of Farmington Hills),
municipal corporations in said County of Oakland, the
County acting through its Department of Public Works
acquired the original Farmington System and financed 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 "Farmington Agree-
ment"); and
WHEREAS, by annexation of part of the former Town-
ship of Farmington the City of Farmington has become a user
of the Farmington System and has area included in the
FaLwington District: and
WHEREAS, by contractual relationships with members
of the Farmington System, the City of Orchard Lake Village
has become a user of the Farmington System; and
WHEREAS, the State of Michigan Department of
Natural Resources designated the areas and districts served
by the Evergreen System and the Farmington System as a
single plan of study area for the purposes of Step I Facili-
ties 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 System and the
Farmington System; 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 in Oakland County, Michigan, in Resolutions No.
3269, 3435 and 4115 as the Evergreen District and in Resolu-
tions No. 3270 and 3339 as the Farmington District, which
system as so established was designated as the "Evergreen
and Farmington Sewage Disposal System" (herein called the
"System") and the Oakland County Drain Commissioner was
designated and appointed as the "County Agency" for the
System with all the powers and duties with respect to the
System 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 sanitary sewage collection and dis-
posal facilities to be located in the City and capacity in
the System to serve the City, the County and the City are
authorized to enter into a contract, as hereinafter
provided, for the acquisition and construction of the
aforesaid facilities and capacity 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 City to pay such cost with interest to the County in
installments extending over a period not exceeding forty
(40) years, and the County is authorized to issue such bonds
and, if authorized by majority vote of the members-elect of
its Board of Commissioners, to pledge its full faith and
credit for the payment of such bonds and the interest
thereon; and
WHEREAS, the City is in urgent need of such
facilities and capacity to provide the means of collecting
and disposing of sanitary sewage originating in the City, in
order to abate pollution of the waters of the City and thus
to promote the health and welfare of the residents thereof,
which facilities and capacity likewise would benefit the
County and its residents, and the parties hereto have
concluded that such facilities and capacity can be provided
and financed most economically and efficiently by the County
through the exercise of the powers conferred by Act 342, and
especially Sections 5a, 5b and Sc thereof; and
WHEREAS, the County and the City desire to proceed
with the acquisition and construction of the facilities and
capacity which are described and shown on Exhibits A and A-1
hereto attached and are hereinafter referred to as the
"Project"; and
WHEREAS, the County Agency has obtained preliminary
plans for the Project and estimates of $9,300,000 as the
total cost of the Project and forty (40) years and upwards
as the period of usefulness of the Project, all of which
have been prepared by Hubbell, Roth & Clark, Inc.
(hereinafter sometimes referred to as the consulting
engineers) and have been approved by the Board of
Commissioners of the County and the City Council of the City
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 Project 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 financ-
ing of the Project, as herein provided, under and pursuant
to Act 342. The City, by way of compliance with Section 29,
Article VII, Michigan Constitution of 1963, consents and
agrees to the location of portions of the Project within the
corporate boundaries of the City and to the use by the
County of its streets, highways, alleys, lands, rights-of-
way or other public places for the purpose and facilities of
the Project and any improvements, enlargements or extensions
thereof, and the City further agrees that, in order to
evidence and effectuate the foregoing agreement and consent,
it will execute and deliver to the County such grants of
easement, right-of-way, license, permit or consent as may be
requested by the County.
2. The Project shall consist of (1) the sanitary
sewage collection and disposal facilities located in the
City described on Exhibit A-1 which is hereunto attached and
which is hereby made a part hereof, and as are more
particularly set forth in the preliminary plans which have
been prepared and submitted by the consulting engineers,
which plans are on file with the County Agency and are
approved and adopted (the "City System") and (2) the
capacity in the System described on Exhibits A and A-1 (the
"Evergreen-Farmington Capacity"). The City System 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 City System, 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 City Council of the City and if provisions
required by Paragraph 8 hereof are made for payment or
financing of any resulting increase in the total estimated
cost. The Evergreen-Farmington Capacity shall be acquired
and constructed in accordance with the provisions of this
agreement and other agreements among the County, the City
and other public corporations. The estimate of cost of the
Project and the estimate of period of usefulness thereof as
set forth in Exhibit B are 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 princi-
pal amount is 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 available from other sources. Such bonds
shall be issued in anticipation of, and be payable primarily
from, the payments to be made by the City 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 con-
struction 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 contractors 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 pay-
ments 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 agrees that it will secure and maintain,
or cause to be secured and maintained, during the period of
construction adequate property damage and public liability
insurance covering all facilities to be constructed pursuant
to this contract. All policies and memoranda of insurance
shall provide that the County and the City shall be insured
parties thereunder and shall contain a provision requiring
that the City be notified at least ten days prior to can-
cellation thereof. One copy of each policy and memorandum
of insurance shall be filed with the City.
5. It is understood and agreed by the parties
hereto that the Project is to serve the City and not the
individual property owners and users thereof, unless by
special arrangement between the County Agency and the City.
It is the responsibility of the City to require connection
to and use of the facilities of the Project and to provide
such additional facilities as may be needed, and the City
shall cause to be constructed and maintained, directly or
through the County, any such necessary additional facili-
ties. The County shall not be obligated hereunder to
acquire or construct any facilities other than those desig-
nated in paragraph 2 hereof.
6. The city shall pay to the County the total
cost of the Project, less such funds as may become available
from other sources. 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), all interest payable by the
County on said bonds and all paying agent fees and other
expenses and charges (including the County Agency's admini-
strative expenses) which are payable on account of said
bonds (such fees, expenses and charges being herein called
"bond service charges"). Such payments shall be made to the
County in annual or semiannual 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 semiannual interest date. Such
installments shall be so paid in each year that any princi-
pal 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 install-
ment so due and payable shall be at least sufficient to pay
all such principal and interest thus falling due and all
bond service charges then due and payable. The County
Agency, within thirty days after delivery of the County
bonds to the purchaser, shall furnish the City Treasurer
with a complete schedule of the principal and interest
maturities thereon, and the County Agency, at least thirty
days before each payment is due to be made by the City, also
shall advise the City Treasurer of the amount payable to the
County on such date. If the City 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 City from the obligation
to make payment when due. Such payments shall be made by
the City when due whether or not the Project then has been
completed or placed in operation. In the event that addi-
tional County bonds shall be issued under the authority of
this contract to defray a part of the cost of the Project,
the foregoing obligations shall apply to such part of the
cost and to said additional bonds insofar as appropriate
thereto.
7. The City 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 City also may 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 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; provided, however, that such advance cash payment and
credit therefor shall be limited in amount at any given time
to the amount of bonds available for redemption by call
within the twelve-month period succeeding the date of the
advance cash payments. 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 matu-
rity dates of the bonds surrendered or called for redemption
and bonds 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 hereinbefore
stated, or if the actual cost of the Project shall exceed
the estimated cost, whether as the result of variations or
changes permitted or needed to be made in the approved plans
or otherwise, then (without execution of any further con-
tract or amendment of this contract) the City Council, by
resolution adopted within fifteen days after the receipt of
construction bids, may direct that a portion of the City
System not yet acquired or constructed and not under
contract to be acquired or constructed be deleted sufficient
to reduce the total cost to an amount which shall not exceed
the total estimated cost Of the Project by more than 5%;
provided that such deletion shall not change the general
scope, overall design, and purpose of the City System, In
the adoption of such a resolution the City shall pay or
procure the payment of the increase or excess up to said 5%
in cash or shall agree that 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. Where
the effect of any increase in the estimated cost of the
Project or of any excess of actual cost over estimated cost
would be to cause the total cost of the Project to exceed by
more than 5% its total estimated cost as hereinbefore
stated, the County shall not enter into any new or further
contract or change order for acquisition or construction of
the Project or any part thereof or incur any new or further
obligation for or pay any new or further item of cost
thereof until the City Council shall have adopted a
resolution approving such increase or excess and agreeing
that the same (or such part thereof as is not available from
other sources) shall be paid or its payment procured by the
City 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 City to the
County in the manner hereinbefore provided; provided,
further, that the adoption of such resolution by the City
Council shall not be required prior to or as a condition
precedent to the issuance of additional bonds by the County,
if the County has previously issued or contracted to sell
bonds to pay all or part of the cost of the Project and the
issuance of the additional bonds is necessary (as determined
by the County) to pay such increased, 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. If the actual cost of the Project is less than
the total estimated cost, any surplus available to the
County from the sale of County bonds, at the option of the
City Council, shall be used to improve, enlarge or extend
the Project, to apply upon future payments due to the
County, to redeem bonds maturing or callable for payment
within one year, or to purchase bonds of any maturity on the
open market, provided that such surplus shall be used to
improve, enlarge or extend the Project only if authorized by
the Board of Commissioners. Any such surplus to be used for
the purpose of improving, enlarging or extending the Project
may be supplemented by cash payments to be made by the City
or by the proceeds of additional County bonds, or such
improvements, enlargements or extensions may be financed
entirely from such cash payments, if authorized by the City
Council. If any such surplus is used to redeem or purchase
bonds, the same shall be cancelled, and the payments
thereafter required to be made by the City to the County
shall be reduced so as to reflect the resulting saving of
interest and the payment required to be made by the City in
the calendar year of the „stated maturity of said bonds shall
be reduced by the principal amount thereof.
10. Should the City fail for any reason to pay the
County at the times specified the amounts herein required to
be paid, the City hereby authorizes the State Treasurer or
other official charged with the disbursement of unrestricted
state funds returnable to the City pursuant to the Michigan
constitution to withhold sufficient funds to make up any
default or deficiency in funds. If the full faith and
credit of the County are 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 the City, the County Treasurer is authorized hereby to
notify the State Treasurer to deduct the amount of money so
advanced by the County from any unrestricted moneys in the
State Treasurer's possession belonging to the City and to
pay such amount to 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 the City.
11. The City, pursuant to the authorization of
Section 5a of Act No. 342, hereby pledges its full faith and
credit for the prompt and timely payment of its obligations
expressed in this contract and shall each year levy a tax in
an amount which, taking into consideration estimated delin-
quencies in tax collections, will be sufficient to pay its
obligations under this contract becoming due before the time
of the following year's tax collections; provided, however,
that if at the time of making its annual tax levy, the City
shall have on hand cash or other funds which have been set
aside and pledged or are budgeted or 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. Taxes levied
by the City shall be without limitation as to rate or
amount. The City Council each year, at least 90 days prior
to the final date provided by law for the making of the
annual tax levy, shall 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 following year's tax collec-
tions, the amount of the funds which the City has or will
have on hand or to its credit in the hands of the County
which have been or will be set aside and pledged for payment
of said obligations to the County, and the amount of the
City taxes next proposed to be levied for the purpose of
raising money to meet such obligations. The County Agency
shall review such statement promptly and, if he finds that
the proposed tax levy is insufficient, he shall so notify
the City Council, and the City hereby covenants and agrees
that it thereupon will increase its levy to such extent as
may be required by the County Agency.
12. No change in the jurisdiction over any terri-
tory in the City shall impair in any manner the obligations
of this contract or affect the obligations of the City here-
under. In the event that all or any part of the territory
of the City is incorporated as a new city of village or is
annexed to or becomes a part of the territory of another
municipality, the municipality into which such territory is
incorporated or to which such territory is annexed shall
assume the proper proportionate share of the contractual
obligations (including the pledge of full faith and credit)
of the City, which proper proportionate share shall be fixed
and determined by the County Agency and shall be binding
upon all parties concerned unless, within sixty (60) days
after such incorporation or annexation becomes effective,
the governing body of the municipality into which such
territory is incorporated or to which such territory is
annexed and the City Council of the City, by mutual agree-
ment and with the written approval of the County Agency,
shall fix and determine such proper proportionate share.
The County Agency, prior to making such determination, shall
receive a written recommendation as to the proper propor-
tionate share from a committee composed of one representa-
tive designated by the City Council of the City, one desig-
nated by the governing body of the new municipality or the
municipality annexing such territory and one independent
registered engineer appointed by the County Agency. Each
governmental unit shall appoint its representative within
fifteen (15) days after being notified to do so by the
County Agency and within a like time the County Agency shall
appoint the engineer third member. If any such representa-
tive (other than the appointee of the County Agency) is not
appointed within the time above provided, then the County
Agency may proceed without said recommendation. If the
committee shall not make the recommendation within forty-
five (45) days after its appointment or within any extension
thereof by the County Agency, then the County Agency may
proceed without such recommendation.
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 Project as is
necessary to be financed, which bonds shall be issued under
the authorization provided in Section 5a, 5b and 5c of said
Act 342. Interest on the bonds may be capitalized and paid
from the bond proceeds for a period not exceeding the esti-
mated construction period and one year thereafter. In the
event that the bonds are not issued within five years from
the date of this contract, it shall become null and void
unless extended by mutual agreement, except that the City
shall pay all engineering, legal and other costs and
expenses theretofore incurred hereunder and shall be
entitled to all plans, specifications and other engineering
data and materials.
14. Upon completion of the City System it shall be
operated and maintained in accordance with a supplemental
agreement between the City and the County. The operation
and maintenance of the System shall continue as provided in
the Evergreen Agreement, the Farmington Agreement, and any
supplements or amendments thereto, with costs thereof
billed, collected and paid as at present.
If a grant, advance or payment becomes available
from the state or federal governments or any other source,
the City hereby agrees to adopt such resolutions or ordi-
nances as may be required by state or federal laws,
regulations or orders to make the County and the Project and
the System eligible to accept and receive the grant, advance
or payment, and if the terms of the grant, advance or
payment require a local contribution, the City hereby agrees
to raise and make such local contribution.
15. The County shall have no obligation or respon-
sibility for providing facilities except as herein expressly
provided with respect to the acquisition of the Project or
as otherwise provided by contract. The City shall have the
authority and the responsibility to provide such other
facilities and shall have the right to expand the facilities
of the City System by constructing or extending sewers or
related facilities, connecting the same to the Project, and
otherwise improving the Project. It is expressly agreed,
nevertheless, that no such connection shall be made to the
Project and no improvements, enlargements or extensions
thereof shall be made without first securing a permit
therefor from the County Agency. Any such pezmit may be
made conditional upon inspection and approval of new con-
struction by the County Agency. It is further agreed that
the City System shall be used for collection and conveyance
of sanitary sewage only and that the City shall take all
necessary action to prevent entry into the City System of
storm waters and also to prevent entry of sewage or wastes
of such a character as to be injurious to the City System or
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. The
County Agency shall prepare, with the aid of its consul-
tants, such covenants, representations and warranties and
have adopted by officials of the County and of the City such
procedures for construction, accounting, payment and
operating as are necessary to comply with the requirements
of state and federal law in order to create and maintain the
obligations of the City and of the County under this con-
tract and with respect to the bonds as valid and binding
obligations and in order to assure that the interest on the
bonds is excludable from gross income for federal income tax
purposes. Such covenants, representations and warranties
and such procedures shall be evidenced by and set forth in
certificates or resolutions prepared for the County Agency
which the City and the County agree to approve, execute and
adopt at or prior to issuance and delivery of any bonds.
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 City to the making of the
payments as set forth in this contract, will have contrac-
tual 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 each will comply with their respective duties and obli-
gations 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 4iich 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 teLlus of this contract and of any amenda-
tory 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 provisions hereof, but this contract shall be
construed as if such invalid, illegal or unenforceable pro-
vision has never been contained herein.
19. This contract shall become effective upon its
execution by each party hereto and its approval by the vote
of a majority of the electors of the City qualified to vote
and voting thereon at a general or special election. This
contract shall terminate forty (40) years from the date
hereof or on such earlier date as shall be mutually agreed;
provided, however, that it shall not be terminated at any
time prior to the payment in full of the principal of and
interest on the County bonds together with all bond service
charges pertaining to said bonds. This contract may be
executed in Several counterparts. The provisions of this
contract shall inure to the benefit of and be binding upon
the successors and assigns of the parties hereto.
IN WITNESS WHEREOF, the parties hereto have caused
this contract to be executed and delivered by the under-
signed, being duly authorized by the respective governing
bodies of such parties, all as of the day and year first
above written.
CITY OF ORCHARD LAKE COUNTY OF OAKLAND
By: By
Mayor County Drain Commissioner
(County Agency)
By:
City Clerk
JAE/09007/0215/BH2/4
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'LOCAL RELIEF
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COMPREHENSIVE FACILITIES PLAN
OAKLAND COUNTY, MICHIGAN
EvE FIGREEN-• FARNMIGT0P4
PoLUrricrz cotrT/01_ FACILITIES
ETIST$NO INTEPOEPToPs
ExISDING NAJOR PIPAP STATION AND IrDIPCD I. AIN
PRopOSED PUMP Tail ON 10Vt.V4/S
00 PROPO3ED PUMP STATION ANID FOgCe. mAiN
RRINIMPAIRAIR/103 PROPOSE° TUNNEL SERE', 90 MP'
EPIMIPIPAPPPOPPM MECOmmEMDED INTERCEPTOR INPROVENENTS
\N:,,,:\\\"\\\\ \•.. CORRINE!) SevrVt AREA
0 PROJECT IDENTrFICATION
PROPOSED POLLUTION CONTROL FACILITIES
ppr rANDo sy
SEGMENT STAGES
1 — I a 2
11 — 3 8 5
9-28-89 EXHIBIT A-1 Page 1 of 2
•n-• • b.!, dd.,. V .6.
SANITARY SEWAGE COLLECTION AND DISPOSAL SYSTEM
PROJECT DESCRIPTIONS
CITY SYSTEM
CITY OF ORCHARD LAKE VILLAGE S.D.S.
Construct approximately 15.5 miles of 8-inch and 10-Inch
sanitary sewer and appurtenances to provide sanitary sewage
collection for all of that portion of the City of Orchard Lake
Village which is presently not served. Included in the project
are eleven (11) sewage pump stations and approximately three (3)
miles of force main. The proposed system will discharge sewage to
the existing Farmington and Evergreen Interceptors for
transportation to the City of Detroit sewerage system for
wastewater treatment and disposal.
EVERGREEN/FARMINGTON CAPACITY
FARMINGTON INTERCEPTOR RELIEF, SECTIONS F t G H 1 & L
'Construct approximately 2.7 miles of 10-inch, 12-inch, 15-
inch, 18-inch and 21-inch sanitary sewer and appurtenances to
provide increased sanitary wastewater flow capacity in the
Farmington Interceptor as local community growth continues -
(Reference Exhibit A)
EVERGREEN/FARMINGTON INTERCEPTOR SYSTEM
PERMANENT METER INSTALLATION (System-Wide)
Install permanent sanitary sewerage meters at forty-seven
(47) select locations within the Evergreen/Farmington Sewage
Disposal System to provide perpetual and continuous flow
monitoring for total community capacity verification and project
performance certification. In addition to the meter
installations, the project will provide a central computer and
associated equipment, software, software licenses and operator
training.
9-28-89 EXHIBIT A-1 Page 2 of 2
ozntst,.a.Q
PROJECT DESCRIPTIONS
INTERCEPTOR REHABILITATION - EVERGREEN FARMINGTON
INTERCEPTORS (System-Wide)
Removal of inflow in the County Interceptors is detailed in
the Sewer System Evaluation Survey Report of May 1989, as
amended, prepared for Oakland County by Hubbell, Roth & Clark,
Inc., Consulting Engineers. Rehabilitation, repair and associated
work will be performed at 315 manhole locations within the county
interceptor system.
EVERGREEN/FARMINGTON INTERCEPTOR RELIEF
SEGMENT II, STAGE 3
Construct approximately 6.4 miles of 18-inch through 54-inch
sanitary interceptor relief sewer and appurtenances to provide -
increased sanitary wastewater flow capacity in the Farmington
Interceptor. (Reference Exhibit A)
EVERGREEN/FARMINGTON SEWAGE DISPOSAL SYSTEM
POLLUTION CONTROL FACILITIES, SEGMENT I STAGE 2
Construct approximately 2.7 miles of 30-inch through 54-inch
sanitary interceptor relief sewer and appurtenances and remodel
the Eight Mile-Muirwood pumping station to provide increased
sanitary wastewater flow capacity in the Farmington and Evergreen
Interceptors. (Reference Exhibit A)
= 2,293,927 L.S.
9-28-89 EXHIBIT "B" Page 1 of 2
f-Lt' k..:4A14.1) A-A.tIE VILLAGE
SANITARY SEWAGE COLLECTION AND DISPOSAL SYSTEM
ESTIMATE QE' COST
PROJECT COST CITY OP ORCHARD LAKE VILLAGE S.D.S.
10-inch Sewer 2,600 L.F. @ $ 50.00
8-inch Sewer 79,000 L.F. @ $ 47.00
6-inch House Lead 15,000 L.F. @ $ 26.00
Manholes 310 Ea. @ $ 2,000.00 =
Sewage Ejector Station 5 Ea. @ $45,000.00 =
Sewage Ejector Station 4 Ea. @ $55,000.00 =
Sewage Pump Station 1 Ea. @ $75,000.00 =
Sewage Pump Station 1 Ea. @ $85,000.00 =
8-inch Force Main 2,700 L.F. @ $ 30.00 =
6-inch Force Main 13,000 L.F. @ $ 28.00 =
4-inch Force Main 1,500 L.F. @ $ 25.00 =
Portable Elec. Gen. 5 Ea. @ $20,000.00 =
Portable Pumps 2 Ea. @ $12,000.00 =
Sub-Total Estimated Construction Cost
= $ 130,000
• 3,713,000
390,000
620,000
225,000
220,000
75,000
85,000
81 ;000
364,000
37,500
100,000
24,000 -
$ 6,064,500
Easement Acquisition,
Engineering, Legal,
Financial, Inspection,
Administration, Permits,
Contingencies, etc.
= $ 8,358,427 Sub-Total Estimated Project Cost
PROJECT COST SHARE EVERGREEN/FARMINGTON S.D.S. P.C.F.
INTERCEPTOR RELIEF SECTIONS P o G o Hp & L
Sub-Total Estimated Project Cost Share,
Interceptor Relief
Relief Section F & G
Relief Section H
Relief Section L
L.S. @
L.S. @
• $ 76,000
46,000
380,000
▪ $ 502,000
PROJECT COST SHARE EVERGREEN/FARMINGTON S.D.S. P.C.F.
PERMANENT METERS & INTERCEPTOR REHABILITATION
Sub-Total Estimated Project Cost Share,
Meters & Rehabilitation , = $ 16,95
9-28-89 EXHIBIT "B" Page 2 of 2
CITY OF 0ROHARD LAKE VILLAGE
SANITARY SEWAGE COLLECTION AND DISPOSAL SYSTEM
ESTIMATE OF COST
PROJECT COST SHARE - EVERGREEN/FARMINGTON S.D.S. P.C.F.
SEGMENT II, STAGE 3, INTERCEPTOR RELIEF
Sub-Total Estimated Project Cost Share,
Segment II, Stage 3 = $ 236,200
PROJECT COST SHARE - EVERGREEN/FARMINGTON S.D.S. P.C.F.
SEGMENT I, STAGE 2, INTERCEPTOR RELIEF
Relief Stage 2 East
Relief Stage 2 West
L.S. @ = $ 69,862
L.S = 115,561
Sub-Total Estimated Project Cost Share,
Segment I, Stage 2 = $ 186,423'
TOTAL ESTIMATED PROJECT COST = $ 9,300,000
NOTE: Federal Grant Assistance for Segment I, Stage 2, Interceptor
Relief has been received. The project cost for Segment I, Stage
2 is the local cost share.
An application for Federal Grant Assistance has been filed for
Segment II, Stage 3 and for Permanent Meters and Interceptor
Rehabilitation. The amount of grant assistance has not been
determined. The total estimated cost will be adjusted by the
amount of grant assistance received.
No Federal Grant Assistance is available for the City System or
for Interceptor Relief Sections F, G, H, & L.
I hereby estimate the period of usefulness of these facilities
to be forty (40) years and upwards.
Hubbell, Roth & Clark, Inc.
By:
3. CONFLICTING RESOLUTIONS. All resolutions and
parts of resolutions insofar as they may be in conflict
herewith are rescinded.
Mr. Chairperson, on behalf of the Planning and
Building Committee, I move adoption of the foregoing
resolution.
L,PLANNIK AND BUILDING COMMITTEE-
JAE/09007/0215/8K2/3
FISCAL NOTE (Misc. 90015) February 22, 1990
64.
BY: FINANCE COMMITTEE, DR. G. WILT,IAM CADDELL, CHAIRPERSON
IN RE: DRAIN COMMISSIONER - RESOLUTION TO APPROVE CITY OF ORCHARD LAKE
VILLAGE SANITARY SEWAGE COTTECTION AND DISPOSAL SYSTEM CONTRACT -
MISCELLANEOUS RESOLUTION #90015
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Mr. Chairperson, Ladies and Gentlemen:
Pursuant to Rule XI-G of this Board, the Finance Committee has
reviewed Miscellaneous Resolution #90015 and finds:
1. The resolution approves the contract with the City of
Orchard Lake Village for this project with an estimated cost
of $9.3 million.
2. The voters within the City have approved the contract.
3. Funding will be provided through the issuance of bonds
pledging the full faith and credit of the City as the
primary obligator and the full faith and credit of the
County as the secondary obligator.
4. The statutory limit for County debt is $2,339,540,375 (10%
of 1989 State Equalized Value). As of January 31, 1990, the
outstanding debt is $331,267,723, or approximately 1.4% of
the S.E.V.
5. No financial impact is anticipated.
FINANCE COMMITTEE
1v/fnorchard
In Testimony Whereof, I have hereunto set my hand and affixed the seal of the County
of Oakland at Pontiac, Michigan this 22nd day #13 F4Imay 0 ,P 1990 of Oakland at Pontiac, Michigan this 22nd
Resolution # 90015 Feb. 22, 1990
Moved by Crake supported by Law the resolution be adopted.
AYES: Caddell, Chester, Crake, Gosling, Huntoon, Jensen, Johnson,
R. Kuhn, S. Kuhn, Law, Luxon, McConnell, McCulloch, Moffitt, Oaks, Olsen,
Pappageorge, Pernick, Price, Rewold, Skarritt, Wolf, Aaron. (23)
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, do hereby certify that the foregoing
resolution is a true and accurate copy of a resolution adopted by the Oakland County
Board of Commissioners on February 22, 1990
with the original record thereof now remaining in my office.
1, LynVD. Alien, County Clerk