HomeMy WebLinkAboutResolutions - 1990.03.08 - 16726Miscellaneous Resolution 90053 March 8, 1990
BY: Mark W. Chester, Commissioner, District 10
IN RE: Approval of Contract with Oakland County Building Authority
for Computer Center Facilities and Notice Therefor
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Mr. Chairperson, Ladies and Gentlemen:
WHEREAS, the Oakland County Building Authority (the "Authority")
and the County of Oakland, State of Michigan (the "County"), executed
a Limited Tax Full Faith and Credit General Obligation Contract of Lease
(the "Contract") dated as of April 18, 1989; and
WHEREAS, the Authority was unable to enter into a construction
contract to build the facility described in the Contract until recently;
and
WHEREAS, as a result of the delay it is necessary that
the Authority and the County amend the Contract in order that the
Authority may comply with the terms of the Contract including the
construction completion dates and the maturity schedule for the payments
described therein; and
WHEREAS, the proposed changes to the Contract will not
substantially effect the financial obligations of the County; and
WHEREAS, an amendment to Limited Tax Full Faith and
Credit General Obligation Contract of Lease (the "Arnendment")(attached
hereto as Exhibit A) between the County and the Authority providing
for the amendments has been prepared.
NOW THEREFORE BE IT RESOLVED that the Oakland County
Board of Commissioners hereby approves the attached Amendment.
BE IT FURTHER RESOLVED that the Chairperson of the Board
of Commissioners and the County Clerk are authorized to execute immediately
and deliver to the Authority the Amendment approved by this resolution.
BE IT FURTHER RESOLVED that all resolutions and parts
of resolutions insofar as the same conflict with the provisions of this
resolution be and the same are hereby rescinded.
Mr. Chairperson, I move adoption of the foregoing resolution.
Mvic W. Chester,
Commissioner, District 10
AMENDMENT TO LIM:TED TAX FULL FMTE .AND
CREDIT GENERAL OB:AGATION COTR,k,CT OF LEU,E.
TES AMENDMLNT TO LIVATED FULL FAITH AND MEDIT GEHERM,
OrlIGATIO CONTCT OF LEASE (the "Amendment .") made End
executed thip ci.L-,y of , 1O by an between the
OAKLAND COUNTY BUILDING AUTHORITY, F, public , corporation
organized and exitino under the authority of At 31, Public
Acta. of MichiTt.n, 194S (First Extra SesEion) as amended
(the ''LUTBORITY"), and the COUNTY OF 0A1714a4Di a Michigan
municipal corporat.ion organized and existin under the
Constltution and laws of the stt,te of Michigan (the
'COUNTY") mendIng the Limited Tax Full Faith and Crtdit
General Obligation Contract of Lease dated az pf April l8,
1989 between the AUTHORITY and the COUNTY . (the Contact);
WITNESSETK:
WHEREAS, the Contract dated as of April le, 148g, WaE
executed between the COUNTY and the AUTHORITY; alnd
WHEREAS, the AUTHORITY and the COUNTY have found it
neceeeary to amend the Contract due to a delay ;in entering
into the construction contract and the issuance of bonds
contemplated by the Contract: and
WHEREAS, the COUNTY has authorized this Amendment to
the Contract in a resolution dated March 8, 1990 ,;
IT IS THEREFORE, AOREED BY AND BETWEEN THE PARTIES
HERETO:
1. Definitions. Capitalized terms used in this
Amendment without definition shall have the respective
meanings assigned thereto in the Contract.
2. Amendments to Contract. (A) Paragraph 1(b) of the
Contract shall be deleted in its entirety and in lieu
thereof shall be substituted the following:
The Authority will enter into a final contract or
contracts calling for the acquisition and construction
of the Project prior to November 1, 1992, and shall
proceed to cause the Project to be acquired and
constructed prior to said date in accordance with plans
prepared by the architects, to be submitted by the
Authority to the County and approved by the County, so
that the Project shall be available for the use of the
COUNTY on or before November 1, 1992.
Paragraph 3 shall be deleted in its entirety and
in lieu thereof shall be substituted the following:
The County hereby covenants and agrees to pay to the
Authority cash rentals for the use of the Project
(hereinafter referred to as "Cash Rental" or "Cash
Rentals") in amounts based upon the Authority's debt
service requirements on the Bonds, as hereinafter set
forth.
The Bonds will be issued in the amount of $10,250,000
with principal maturities on May 1st of each year as
follows:
1993 $325,000 1999 $550,000 2005 $ 875,000
1994 350,000 2000 575,000 2006 925,000
1995 375,000 2001 625,000 2007 1,000,000
1996 425,000 2002 675,000 2008 1,075,000
1997 450,000 2003 725,000
1998 500,000 2004 800,000
The COUNTY will pay to the AUTHORITY, commencing on
April 1, 1993, and annually thereafter so long as any
of the Bonds are outstanding, Cash Rentals in an amount
corresponding to the principal amount of Bonds maturing
on the next succeeding May 1st.
The COUNTY acknowledges also that the Bonds will be
issued at a maximum interest rate of not to exceed
twelve percent (12%) per annum and that so long as
Bonds remain outstanding, such interest will accrue on
the outstanding principal balance semiannually.
-2-
(B)
Therefore, the CoUh!TY further covenants and agr ees to pay to the AUTHORITY, as a part of Cash Rentals,
commencing an October 1, 1990, and semiarinually
thereafter so long as Bonds axe outstanding, such
additional sums as shall be necessary to Plr interest
due on the Bonds prior to the next succeeding Cash.
Rental payment date,
it is understood and agreed by the parties hereto that
the County's mintmu:• Cash Rental obligation hereunder
shall be the payment of such amounts as shall equal
debt -service requirements on the Bonds falling due
prior to the next. cash Rental payment date, However,
the COUNTY shall retain the unrestricted right and
privilege. to prepay at any time whatever amounts of
Cash Rentals it may choose in order to retire fully or
partially the Bonds and any interest then due thereon
or in order to provide for such retirement at a
specified future dat.e. The total aggregate obligation
of the COUNTY hereunder for Cash Rentals shall at any
given point in time be equal to the su.1 of the Cash
Rentals yet to be paid to retire principal of the
Bonds, plus interest accrued thereon since the last
Cash Rental payment at. the rate borne by the Bonds.
The COUNTY warrants and represents that the amount of
-its obligations under this Contract, when taken
together with other indebtedness of the COUNTY, will
not cause its obligations under this Contract to exceed
any constitutional or statutory debt limitation
applicable to the COUNT?.
The AU CRT? shall, within thirty (30) days after the
delivery of the Bonds, furnish the CoUNTY with a
complete schedule of maturities of principal and
intereat thereon, and the AUTHORITY shall also, at
least thirty (30) days prior to April 1st and
October 1st of each year, advise the COUNTY, in
writing, of the exact amount of Cash Rental due on the
next said date, and the COUNTY shall pay 'such amcunt on
the due date.
C. Paragraph 5 shall be deleted in its entirety and in
lieu thereof shall be substituted the following:
It is understood and agreed by and between the parties
hereto that the Bonds will be issued by the Authority
In anticipation of the cOUNTY's contractual Cash Rental
obligation, as stated in Section 5 hereof. The COUNTY,
,pursuant to authorization of Section Sa of the Act,
hereby recognizes and affirms that its contractual
obligations expressed in Sections 3 and 4 hereof are
full faith and credit general obligations of the
COUNTY,
-3-
The CovNTY expressly and irrevocably plcdges itn limited tax full faith and credit for. the prompt
timely payment - of the .Cash Rentals pledged for Bon:4, paym%ts as expressed in section 3 of this Contract,
and hali each year, commencing with thc year 1930
appropriate from its general funds as a first budgt
obligation sufficient moneys to pay such cash Rentals.
Such pledge shall include, if n..cos5ry, the obligation
to levy annually, except as provided below, such 4d
valorem taxes on all the taxable prorerty in the COUNTY
which, taking into consideration estimated
delinquencies in tax collections, shall be fully
sufficient to pay such Cash Rentals under and pursuant
to this Contract. Such levy, however, shall be subject
to applicable constitutional and statutory limitations
unless this contract is approved by the elector i of the
COUNTY and shall not be in an &mount or at a rate
exceeding that necessary to pay such Ch Rentals, such
levy 1-,ting for the purpose of providing funds to meet
the contractual obligations of the COUNTY in
anticipation of which the Bonds are issued. Nothing
herein contained shall be construed to prevent the
CCVNTY from using any, or any combination, of the means
and r'.sthods provided in Section Ea of said Act for the
purpose of providing funds to meet it obliga,ticns
undr this Contract, and if at the time of making any
annual tax levy there shall be other funds on hand
earmarked and set aside for the payment of the
contractual obligations due prior to the next tax
collection period, then such tax levy may be reduced by
such amount.
(D) Paragraph 6 shall be deleted in its entirety and in
lieu thereof shall be substituted the followingz
The COUNTY will include in its budget for the fiscal
year commencing in 1990, and shall include in its
budget for each fiscal year thereafter, an amount
sufficient to pay the total obligations under this
Contract coming due in each such fiscal year. Annually
before finalization of its budget for the next ensuing
fiscal year the COUNTY shall prepare and transmit to
the AUTHORITY a statement of the moneys to be included
In said budget for payment of all costs of the Project.
The AU7MOR1TY shall have the right to eormunioate
directly with the County Board of Commissioners of the
COUNTY regarding any items in said budget relative to
the Project which might be disputed, and, in any event,
the budget shall be reasonably adequate to cover all
obligations of the COUNTY herein contained in this
Contract.
(E) Paragraph 10(b) shall b deleted in its ent 4 rety
and in lieu thereof shall bo sub:5tituted the following
The AL7r1ORITY will prcTptly enter into and exE.oute
cow.ro.cts fcr the acquaition ot the Protect in
accnce t:'ne plans 73,pe-,oificstions therc,fc,,r
p r:c and approved by the AU=K171' and. the COUNT -i
No chges in said plans and F.,:pecification.5 sball be
made y the MTHOR2TY ,,ithout the consent of the
CCUYTY. Said c o ntracts E!.11 specify a cmy:Action date
of not later than Novir 1, 1552. n-„• A=HORIW•
shall not execute any contract in connection with th
acquisition of the Project until the sane has b een
approvcd by the County Board of Commtssioners of the
COMM,
(F) Paragraph 14 shall be deleted in its entirety and
in lieu thereof shall be substituted the following:
The AUTHORITY shall deliver posseesicn of the Project
and the Site to the COV•ITY simultaneously with
conveyance thereof by the =FTY to the AUTKORITY, as
provided in section 1(a) hereof. The Project sh.e.11 be
completed not later than Nover±er 1, 1992, but la the
event that for any reason, whatoever the Project iz not
completed by that date, the C..ligation of the CO}
for the payment of the Cash Rc:Itls and other costs of
the Project and the performf,.noe of its other
conAtments under this Contract shall in any event
zemin in full force and effect In order to provide for
the payment of principal of and interest on the Bonds
and other costs in connection therewith.
3. This Amendment shell inure to the benefit of and
be binding upon the respective parties hereto, their
successors and assigns,
Chairman of its Coh'zission
—1761.7e0
IN WITNESS WHEaEOF, the OAKLAND COUNTY BUILDING
AUTHORITY, by its Commission, and the CCUIZTY 07 OULAND :
Miohigan, by its Board of Commissioners, have each caused
its nane to be signed to this instrument by its thzly
authorized officers and its seal to be affixed hereto the
day and year first above written.
In the presence oft OAKLAND COUNTY BUILDING
AUTHORITY
BY
By
(Sea1)
the presence of COUNTY OV OAKLAND
BY
Chairman, Board 0
CommIssioners
By
County clerk
(Sea1)
STATE OF MICHIGAN
S .
COUNTY OF OAKLAND
On this day of _, 1990, before me
appeared and to
me personally known, who being by me duly sworn, did, each
for himself, say that they are, respectively, the Chairman
and Secretary of the Commission of the OAKLAND COUNTY
BUILDING AUTRORITY, a public corporation of the State of
Michigan, and that said instrument was signed and sealed in
behalf of said AUTHORITY by authority of ,its Commission, and
the said persons acknowledged said instrUment to be the free
act and deed of said AUTHORITY.
Notary Public,
County, Michigan
My Commission Expires!
who being by me
STATE OF MICHIGAN
COUNTY OS OAKLAND
On this
appeared
me personally hnown,
day of . . 1990, before me
and to
duly sworn, did, each
,
for himself, say that they are, respectively, the Chairman
of the Oakland County Board of Commissioners and the County
Clerk of the COUNTY OF OAKLAND, Michigan, a municipal
corporation in the State of Michigan, and that said
instrument was signed and sealed in behalf of said COUNTY by
authority of its County Board of Commissioners, and the said
persons acknowledged said instrument to he tho free act and
deed of said COUNTY.
Notary Public,
County, Michigan
My Commission Expires;
14:/65708/0002/dm112836.TXT
Resolution 90053 March 8, 1990
Moved by Chester supported by Olsen the rules be suspended for immediate
consideration of the resolution.
AYES: Wolf, Bishop, Caddell, Chester, Huntoon, Jensen, Johnson, R. Kuhn,
Law Luxon, McConnell, McCulloch, McPherson, Moffitt, Oaks, Olsen, Pappageorge,
Pernick, Price, Rewold, Skarritt. (21)
NAYS: Aaron, Calandro. (2)
A sufficient majority having voted therefor, the motion to suspend the
rules carried.
.Moved by Chester supported by Pappageorge the resolution be adopted.
AYES: Aaron, Bishop, Caddell, Chester, Huntoon, Jensen, Johnson, R. Kuhn, Law,
Luxon, McConnell, McCulloch, McPherson, Moffitt, Oaks, Olsen, Pappageorge, Pernick,
Price, Rewold, Skarritt, Wolf. (22)
NAYS: Calandra. (1)
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 March 8 L 1990
with the original record thereof now remaining in my office.
In Testimony Whereof, I have hereunto set my hand and affixed the seal of the County
of Oakland at Pontiac, Michigan this 8th day 9fl March .., 1990
Linn/ Allen, County ter'r —
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