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HomeMy WebLinkAboutResolutions - 1990.06.28 - 16835June 28, 1990 MISCELLANEOUS RESOLUTION NO. 90156 BY: PLANNING AND BUILDING COMMITTEE, Larry Crake, Chairperson IN RE: DRAIN COMMISSIONER -- RESOLUTION TO APPROVE EVERGREEN AND FARMINGTON SEWAGE DISPOSAL SYSTEMS POLLUTION CONTROL FACILITIES - SEGMENT II - STAGE 3 CONTRACT TO: THE OAKLAND COUNTY BOARD OF COMMISSIONERS Mr. Chairperson, Ladies and Gentlemen: WHEREAS, by Resolution No. 7674, adopted September 2, 1976, the County established by consolidation and merger 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 Resolutions No. 3270 and 3339 as the Farmington District, which consolidated and merged system as so established was designated as the "Evergreen and Farmington Sewage Disposal Systems" (the "Systems") and the Oakland County Drain Commissioner was designated and appointed as the "County Agency" for the Systems for the acquisition, construction and financing of new facilities with all the powers and duties with respect to the acquisition, construction and financing of facilities for the Systems as are provided by law and especially by said Act 342; and WHEREAS, the County is the lead applicant and has made and will make applications for Federal and State grants for the planning, design, contracting and construction of the additional facilities to enlarge, extend and relieve the Systems as shown on Exhibits A and B set forth in the Contract hereto attached and incorporated herein, and will coordinate and supervise the compliance with and performance of conditions and terms of said grants; and WHEREAS, in order to obtain grants, and in order to enlarge, extend and relieve the Systems and to provide for the Municipalities named in the Contract hereto attached additional pollution control facilities and capacities for the transporta- tion and treatment of sanitary sewage emanating from the service areas of the Systems in the jurisdiction of said Municipalities and to abate and control pollution and polluting discharges and to comply with requirements imposed by the United States Environ- mental Protection Administration and the Michigan Department of Natural Resources, it is necessary that the County and said Municipalities enter into a Contract for construction of and service by the existing facilities and by additional pollution control facilities herein described, particularly by reference to the Exhibits to the Contract hereto attached by this reference incorporated herein, which additional pollution control facili- ties as described on Exhibits A and B are called the "Project" in said Contract; and WHEREAS, preliminary plans for the Project and also estimates of the cost of such Project and the period of useful- ness thereof have been prepared by Hubbell, Roth & Clark, Inc. (hereinafter sometimes referred to as the "Consulting Engineers") and are herewith submitted for approval by the Board of Commis- sioners of the County, said estimates being set forth in Exhibit B to the form of Contract attached hereto; and WHEREAS, there has been submitted to this Board of Commissioners a proposed Contract between the County, by and through the County Drain Commissioner, County Agency, party of the first part, and the Municipalities named in said Contract, parties of the second part, which Contract provides for the acquisition, construction and financing of the Project pursuant to Act 342, which Contract is hereinafter set forth in full. 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 $12,825,000 as the cost of the Project described on Exhibits A and B to the Contract and the estimate of 40 years and upwards and 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 Evergreen and Farmington Sewage Disposal System Pollution Control Facilities -- Segment II -- Stage 3 Contract, dated as of September 30, 1989, between the County, by and through the County Drain Commissioner, party of the first part, and the Municipalities named in said Contract, parties 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 many counterparts as may be deemed advisable, after the Contract has been executed by the appropriate officials of the Municipalities. Said Contract reads as follows: EVERGREEN AND FARMINGTON SEWAGE DISPOSAL SYSTEMS POLLUTION CONTROL FACILITIES -- SEGMENT II -- STAGE 3 CONTRACT THIS AGREEMENT, made as of this 30th day of September, 1989, by and between the COUNTY OF OAKLAND, a Michigan county corporation (hereinafter sometimes referred to as the "County"), by and through its County Drain Commissioner (hereinafter referred to as the "County Agency"), party of the first part, and the TOWNSHIP OF WEST BLOOMFIELD, the CITY OF SOUTHFIELD, the CITY OF FARMINGTON HILLS and the CITY OF ORCHARD LAKE VILLAGE, municipal corporations in the County of Oakland (hereinafter sometimes collectively referred to as the "Municipalities" and individually as a "Municipality"), parties of the second part: WITNESSET H: WHEREAS, the Oakland County Board of Supervisors by Resolution, Misc. No. 3269, adopted on August 12, 1957, as amended by Resolution, Misc. No. 3435, adopted on October 13, 1958, did approve of establishment of the Evergreen Sewage Disposal System to serve the Evergreen Sewage Disposal District; and WHEREAS, pursuant to the Evergreen Sewage Disposal System Agreement, dated November 10, 1958, as amended by amenda- tory agreements dated December 22, 1958 and February 9, 1959, all between the County of Oakland and the Cities of Birmingham, Bloomfield Hills, Lathrup Village, Troy and Southfield, the Village of Westwood (now the Village of Beverly Hills) and the Townships of Bloomfield and Pontiac (now the City of Auburn Hills), municipal corporations in the County, the County, acting through its Department of Public Works, did acquire the original Evergreen 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. 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 to serve the Farmington Sewage Disposal District; and WHEREAS, pursuant to the Farmington Sewage Disposal System Agreement, dated November 1, 1957, as amended by amenda- tory 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 the County, the County acting through its Department of Public Works, did acquire the original Farmington 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 "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 sewage Disposal System and has area included in the Farmington Sewage Disposal District; and WHEREAS, by contractual relationships with members of the Farmington Sewage Disposal System, the City of Sylvan Lake and the City of Orchard Lake Village have become users of the Farmington Sewage Disposal 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 Facili- ties Planning and determined that there is a need to obtain studies, reports, plans and estimates for the abatement of pollu- tion, control of pollutants and polluting discharges, and the relief of both the Evergreen and Farmington Sewage Disposal 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 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 Systems" (hereinafter referred to as the "Systems") and the Oakland County Drain Commissioner was desig- nated and appointed as the "County Agency" for the Systems as 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 part of the Systems, the County and the Municipalities are authorized to enter into a contract, as hereinafter provided, for the acquisition and construction of the improvements and facilities 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 -2- credit of the Municipalities 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, there is an urgent need for such sewage disposal improvements and pollution control facilities to provide the means of collecting and disposing of sanitary sewage originating in the Municipalities, in order to abate pollution of the waters of the Municipalities 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, 5b and 5c thereof; and WHEREAS, the County and the Municipalities desire to proceed with the acquisition and construction of improvements and facilities using a combination of federal and state grant moneys and local funds as needed for the proposed project as shown on Exhibit A hereto attached (the "Project"), for which Project contractual arrangements for design, construction and financing are required only with the Municipalities among all of the parties named hereinabove as participants in and users of the Systems; and WHEREAS, the County Agency has obtained preliminary plans for the Project and also an estimate of $12,825,000 as the total cost of the Project 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 governing bodies of the Municipalities 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, IT IS HEREBY AGREED BY AND BETWEEN THE PARTIES HERETO, as follows: 1. The parties hereto hereby approve and agree to the establishment, acquisition, construction and financing of the Project as herein provided, under and pursuant to Act 342. Each Municipality, by way of compliance with Section 29, Article VII of the Michigan constitution of 1963, consents and agrees to the establishment and location of the Project within its corporate boundaries 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 and extensions thereof, and each Municipality 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 enlargements, addi- tions and improvements to the existing pumping station facilities and sanitary sewers and related facilities as described and shown on Exhibit A and Exhibit B which are attached hereto and which are 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 hereby approved and adopted. The Project shall be acquired and constructed substantially in accordance with the 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 governing body of each Municipality 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 necessary to be so financed to defray that part of the total cost of the Project which is in excess of funds available from federal and/or state grants or other sources, including cash contributions from the City of Orchard Lake Village and any other Municipality. Such bonds shall be issued in anticipation of, and be payable primarily from, the payments to be made by the Municipalities to the County in the percentages as provided in Exhibit C which is attached hereto and which is hereby made a part hereof, and shall -4- 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 years from the date thereof; provided, however, that the percentages provided in Exhibit C shall be adjusted to reflect cash contributions to be made by the City of Orchard Lake Village and any other Municipality. 4. The County Agency shall obtain and accept an offer of grant by the EPA/DNR for the Project, proceed to take construction bids for the Project and, subject to the sale and delivery of said bonds, enter into construction contracts with the lowest responsive and responsible bidder or bidders, procure from the contractors all necessary and proper bonds and insurance, cause the Project to be constructed within a reason- able time, and do all other things required by this Contract and the laws of the State and the United States of America. 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 and main- tain, 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 memorandums of insurance shall provide that the County and the Municipalities shall be insured parties thereunder and shall contain a provision requiring that each Municipality be notified at least ten days prior to cancel- lation thereof. One copy of each policy and memorandum of insurance shall be filed with each Municipality. 5. It is understood and agreed by the parties hereto that the Project is to serve the Municipalities and not the individual property owners and users thereof, unless by special arrangement between the County Agency and the governing body of the Municipality wherein such property is located. The responsi- bility of requiring connection to and use of the Project and/or providing such additional facilities as may be needed shall be that of the Municipality wherein such property is located and such Municipality shall cause to be constructed and maintained, directly or through the County, any such necessary additional facilities. The County shall not be obligated to acquire or construct any facilities other than those designated in paragraph 2 hereof. 6. The City of Orchard Lake Village and any other Municipality which elects to pay its share of the cost of the Project through a cash contribution shall pay in full to the -5- County their respective shares of the total cost of the Project (less such funds as may become available from federal and/or State grants or from other sources) not later than the date of the issuance of County bonds issued pursuant to this Contract. All other Municipalities (the "Borrowing Municipalities") shall pay to the County their respective shares of the total cost of the Project (less such funds as may become available from federal and/or State grants or from other sources), which 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 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"). The cost of the Project is hereby allocated to the Municipalities in accordance with the percentages set forth in Exhibit C. The percentage shares of the Borrowing Municipalities with respect to payments of principal of and interest and bond service charges on the bonds shall be adjusted to reflect the cash contributions of any Municipality. Such payments of each Borrowing Municipality shall be made to the County in 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. Such an annual installment of each Borrowing Municipality 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 of each Borrowing Municipality so due and payable shall be at least sufficient, when added to the amount of the installments of the other Borrowing Municipalities so due and payable, 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 Borrowing Municipality 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 each Borrowing Municipality, advise the Treasurer of each Borrowing Municipality of the amount payable to the County on such date. If a Borrowing Municipality 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 a Borrowing Municipality from the obligation to make payment when due. Such payments shall be made by each Borrowing Municipality when due whether or not the Project has then been completed or placed in operation. In the -6- event that additional County bonds shall be issued under the authority of this Contract to defray a part of the cost of the System, the foregoing obligations shall apply to such part of the cost and to said additional bonds insofar as appropriate thereto. 7. A Borrowing Municipality may pay in advance any one or more of its installments or any part thereof payable to the County pursuant to this Contract (a) by surrendering to the County any of said County bonds of like principal amount maturing in the same calendar year, 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 payment and credit therefor shall be limited in amount at any given time to the amount of bonds available for purchase or redemption by call within the twelve-month period succeeding the date of the advance payment. 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 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 to be made in the approved plans or otherwise, then (without execution of any further contract or amendment of this Contract) the governing bodies of the Municipalities 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 to an amount which shall not exceed the total estimated 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, or materially change the general scope, overall design and purpose of the Project. In the absence of the adoption of such resolution the Municipalities 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 Commis- sioners of the County) 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 -7- 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 governing body of each Municipality shall have previously 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 Municipal- ities 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 Municipalities to the County in the manner hereinbefore provided; provided, further, that the adoption of such resolution by the governing body of each Municipality 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. In the event that the actual cost of the Project is less than the total estimated cost, then any surplus available to the county from the sale of County bonds, at the option of the governing bodies of the Municipalities shall be used to improve, enlarge or extend the Systems, to apply upon future payments due to the County, to redeem bonds or to purchase bonds 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 of the County. Any such surplus may, for the purpose of improving, enlarging or extending the Systems, be supplemented by cash payments to be made by the Municipalities, or such improvements, enlargements or extensions may be financed entirely from such cash payments, where authorized by the governing bodies of the Municipalities. Where 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 Municipal- ities 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. 10. Should a Municipality fail for any reason to pay the County at the times specified, the amounts herein required to be paid, such Municipality does hereby authorize the State Treasurer or other official charged with the disbursement of unrestricted state funds returnable to such Municipality 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 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 such Municipality, the County Treasurer is hereby authorized 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 Municipality 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 such Municipality. 11. Each Municipality, 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 each year shall levy a tax in an amount which, taking into consideration estimated delinquencies in tax collections, will be sufficient to pay its obligations under this Contract becoming due before the time of the following year's tax collections; provided, however, that if at the time of making its annual tax levy, a Municipality shall have on hand in cash other funds (including but not limited to funds from special assessments, user charges or connection fees) 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 ability of each Municipality to levy taxes is subject to constitutional, statutory and charter limitations. The governing body of each Municipality shall each year, at least 90 days prior to the final date provided by law for the making of the annual tax levy of the Municipality, submit to the County Agency a written statement setting forth the amount of its obli- gations to the County which become due and payable under this Contract prior to the time of the next following year's tax collections, the amount of the funds which the Municipality 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 taxes of the Municipality 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 governing body of the Municipality, and each Municipality hereby covenants and agrees that it will thereupon increase its levy to such extent as may be required by the County Agency. 12. No change in the jurisdiction over any territory in any of the Municipalities shall in any manner impair the obli- gations of this Contract or affect the obligations of the Municipalities hereunder. In the event that all or any part of the territory of any Municipality is incorporated as a new city or 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 obliga- tions (including the pledge of full faith and credit) of such Municipality, 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 governing body of such Municipality shall by mutual agreement and with the written approval of the County Agency fix and determine such proper proportionate share. The County Agency shall, prior to making such determination, receive a written recommendation as to the proper proportionate share from a committee composed of one representative designated by the governing body of such Municipality, one designated 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 representative (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 Sc of Act 342. Interest on the bonds may be capitalized and paid from the bond proceeds 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 Municipalities shall pay all engineering, legal and other costs and expenses theretofore incurred in the percent- ages set forth in Exhibit C and shall be entitled to all plans, specifications and other engineering data and materials. -10- 14. Upon completion of the Project the County and the Municipalities 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 governments or any other source, each Municipality 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 Systems eligible to accept and receive •the grant, advance or payment, and if the terms of the grant, advance or payment require a local contribution, each Municipality hereby agrees to raise and make such local contribution. It is anticipated between the parties hereto that the Project to be built shall qualify for a federal grant in accordance with 40 Code of federal Regulations, Part 35.2108. For purposes of financing the Project, it is anticipated that the Project shall be eligible for federal grants as noted on Exhibit B. The applicant, Oakland County, in accordance with the requirements of said 35.2108, agrees to complete the Project regardless of whether or not grant funding is available for the Project, in accordance with the requirements of said 35.2108. 15. The County shall have no obligation or responsibil- ity for providing sewers or sewage disposal facilities except as herein expressly provided with respect to the acquisition of the Project or as otherwise provided by contract. The Municipalities shall have the authority and the responsibility to provide such other facilities and shall have the right to expand the facili- ties of the Systems by constructing or extending sewers or related facilities, connecting the same to the Systems, and otherwise improving the Systems. It is expressly agreed, nevertheless, that no such connection (other than individual unit tap-ins) shall be made to the Systems and no improvements, enlargements or extensions thereof 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 Municipalities shall take all necessary action to prevent entry into the Systems of storm waters and also to prevent entry of sewage or wastes of such a character as to be injurious to the Systems 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 each of the Municipalities to the making of its 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 contracts or otherwise, is nevertheless 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 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 or the security thereof, shall be deemed to be for the benefit of the holders of said bonds. 18. The County Agency shall prepare, with the aid of its consultants, such covenants, representations and warranties and have adopted by officials of the County and the Municipali- ties 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 obliga- tions of the Municipalities and the County under this Contract and with respect to the bonds as valid and binding obligations and in order to create and maintain the bonds as tax-exempt obligations under State and federal income tax law. Such covenants, representations and warranties and such procedures shall be evidenced by and set forth in certificates or resolu- tions prepared for the County Agency which the Municipalities and the County all hereby agree to approve, execute and adopt at or prior to issuance and delivery of any bonds. 19. In the event that any one or more of the provisions 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 -12- provisions hereof, but this Contract shall be construed as if such invalid, illegal or unenforceable provision has never been contained herein. 20. 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 notices required by Section 5b of Act 342; provided, however, that if, within the 45-day period, a proper petition is filed with the Clerk of any Municipality in accordance with the provisions of said Section 5b of Act 342 then this Contract shall not become effective until approved by the vote of a majority of the electors of such Municipality qualified to vote and voting thereon at a general or special election. If a notice is not required by Section 5b of Act 342 for any Municipality this Contract shall be effective upon its execution by such Municipality. 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 if 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 Bv: 47, 11. - upervz.sor And: -Townsh.i.t, Clerk 2 COUNTY OE--.OAKLAND /N / County Drain Commissioner (County Agency) CITY 01. / ,pacH„ARD LA2 2- VILLAGE Bv: 1 Mayor iVY Clerk CITY OF SOUTHFIELD Mayor By: And: duly authorized by the respective governinc bodies of such parties, all as of the day and year first above written. TOWNSHIP OF WEST BLOOMFIELD CITY OF FARMINGTON HILLS CRM/09007/0215/AC5/3 -14- t41.1 'I 0 ( 516 Z "10 PONTIAC PON TSAO PON TSAO OTINSNIP• OTINSNIP• OlINSNIR• TR OY L etoourtru) InwN311IF ..ntE gnAo n RENDALLWOOD 'LOCAL R ELI EF rAnkfit7r n4 1-1 1044 rARI41./0 STLGE 2 oipty f ft.il." 3cr 4 -4 r " r ib DETROIT -1 CAOSIRES SEMIS IL 0 2 SCALE IN MILES COMBINED SEWER AREA 0 PROJECT IDENTIFICATMN )EXHIBIT "A"I PROPOSED POLLUTION CONTROL FACILITIES 9 s kl A Y rrT 11$1.{.,nTr: rrttErISREI, riY LEGEND EXISTING INTERCEPTORS SEGMENT STAGES Ds. EXISTING MAJOR PUMP STATION AND rORCE MA/N I ... i a 2 PI PROPOSED PUMP STATION IMPROVEMENTS OR IA PROPOSED PUMP STATION AND FORCE MAIN 11 — 3 a 5 MIEBORNI PRIM Pi PROPOSED TUNNEL SEWER --, , 14c tiot PwRo•PRIPmm`PAR RECOMMENDED INTERCEPTOR IMPROVEmENT! j SIZES 48" COMPREHENSIVE FACILITIES PLAN OAKLAND COUNTY, MICH I GAN EVERGREEN- FAIIMINGTON rouu -non CONTROL rAcILITIEs EVERGREEN FARMINGTON SEWAGE DISPOSAL SYSTEM POLLUTION CONTROL FACILITIES SEGMENT II - STAGE 3 ESTIMATE OF COST CONTRACTED SERVICES - CONSTRUCTION CONTRACT NO. 4 42-inch Tunnel Sewer 36-inch Sewer 36-inch River Crossing Sewer 30-inch Sewer 30-inch River Crossing Sewer 27-inch Sewer 27-inch Tunnel Sewer 15-inch Tunnel Sewer Tunnel Manholes Tunnel M.H. w/Drop Conn. Manholes, Standard M.H. No. 11 & Connection Junction Chamber - "A" Junction Chamber - "B" M.N. No. 90 & Connections 5,023 L.F. @ $ 503.00 = $ 2,526,569 693 L.F. @ $ 209.00 = 144,837 160 L.F. @ $ 280.00 = 44,800 4,303 L.F. @ $ 200.00 = 860,600 315 L.F. @ $ 280.00 = 88,200 33 L.F. @ $ 187.00 = 6,171 90 L.F. @ $ 300.00 = 27,000 140 L.F. @ $ 250.00 = 35,000 6 Ea. @ $25,000.00 = 150,000 5 Ea. @ $30,000.00 = 150,000 16 Ea. @ $ 3,000.00 = 48,000 L.S. 45,000 L.S. = 50,000 L.S = 30,000 L.S. 1,000 Sub-Total Construction Cost - Contract No, 4 = $ 4,207,177 CONTRACT NO. 30-inch Sewer 30-inch Tunnel Sewer 27-inch Sewer 27-inch Tunnel Sewer 27-inch River Crossing Sewer 24-inch Sewer 24-inch Tunnel Sewer 21-inch Sewer 2I-inch Tunnel Sewer 18-inch Sewer 6-inch H.L. Riser 6-inch H.L. Type A , 6-inch H.L. Type B Manholes, Standard Manholes, Drop Junction Chamber "C" Edgemont Road Culv. Ext. & H.W. 12-inch Conc. Culv. at new M.H. 12-inch CMP Culv. at new M.H. 2,443 L.F. @ $ 200.00 = $ 488,600 50 L.F. @ $ 345.00 = 17,250 4,225 L.F. @ $ 152.00 = 642,200 140 L.F. @ $ 300.00 = 42,000 70 L.F. @ $ 240.00 = 16,800 5,310 L.F. @ $ 100.00 = 531,000 50 L.F. @ $ 2 80 .0 0 = 14,000 5,851 L.F. @ $ 95.00 = 555,845 290 L.F. @ $ 270.00 = 78,300 1,674 L.F. @ $ 79.00 = 132,246 340 L.F. @ $ 40.00 = 13,600 1,333 L.F. @ $ 40.00 - 53,320 1,600 L.F. @ $ 45.00 = 72,000 58 Ea. @ $ 3,000.00 = 174,000 4 Ea. @ $ 4,000.00 = 16,000 L.S. = 50,000 L.S. 75,000 880 42 L.F. $ 40.00 = 1,680 236 L.F. @ $ 35.00 = 8,260 40.00 = 35.00 = 15-inch CM? Culv. at new M.H. 22 L.F. @ $ 40.00 = Sub-Total Construction Cost - Contract No. 5 TOTAL CONSTRUCTION COST - CONTRACT NO. 4 & NO. = $ 2,982,981 = $ 7,190,158 Page 1 of 3 3-15-90 EXHIBIT 3 107,800 36,000 566,600 349,200 6,500 716,_442 .1•1110. Wan EVERGREEN FARMINGTON SEWAGE DISPOSAL SYSTEM POLLUTION CONTROL FACILITIES SEGMENT II - STAGE 3 ESTIMATE OF COST CONTRACTED SERVICES - PROJECT DESIGN it MANAGEMENT Engineering = $ 903,300 Consulting Engineer-Design (Step II) $452,000 Consulting Engineer-Construction (Step III) $451,300 Legal & Financial 276,000 COUNTY SERVICES - PROJECT MANAGEMENT Engineering Administration Right-of-Way (Including Legal) Construction Inspection Soil Erosion Permit (Act 347) CONTINGENCY Sub-Total, Estimated Project Cost: Contract No. 4 fi No. 5 CONTRACTED SERVICES - CONSTRUCTION CONTRACT NO. 6 18-inch Sewer 15-inch Sewer 15-inch Tunnel Sewer 12-inch Sewer 12-inch Force Main 12-inch Force Main Tunnel 12-inch River Crossing Sewer 10-inch Sewer 10-inch Tunnel Sewer 8-inch Force Main 8-inch Force Main Tunnel 8 inch H.L. Riser 6-inch H.L. Type A 6-inch H.L. Type B Manholes, Standard Manholes, Drop Access Manhole P.S. #I, 11-Mile & Pebblecreek Abandon Exist. P.S. #1 P.S. #4, Beech Rd & Rouge River Abandon Exist. P.S. #2 Abandon Exist. P.S. Greenbrooke Abandon Exist. F.M. P.S. #2 & Greenbrooke L.S. 10-Mile Rd Culv. Ext. & H.W. L.S. I2-inch Conc. Culv. at new M.H. 54 L.F. @ $ 12-inch CMP Culv. at new M.H. 75 L.F. 0 $ TOTAL CONSTRUCTION COST - CONTRACT NO. 6 = $10,152,000 108.00 = $ 100.00 = 250.00 = 100.00 = 60.00 = 200.00 = 180.00 = 73.00 = 180.00 = 47.00 - 160.00 = 40.00 = 40.00 = 35.00 = 60,372 223,600 32,000 188,900 53,100 14,000 13,500 291,562 42,300 39,950 1,600 6,720 25,160 17,685 96,000 12,000 2,500 312,000 20,000 291,000 15,000 20,000 15,000 40,000 2,160 2,590 = $ 1,838,699 559 L.F. @ $ 2,236 L.F. @ $ 128 L.F. @ $ 1,889 L.F. P $ 885 L.F. 0 $ 70 L.F. @ $ 75 L.F. P $ 3,994 L.F. @ $ 235 L.F. @ $ 850 L.F. 0 $ 10 L.F. @ $ 168 L.F. 0 $ 629 L.F. @ $ 40.00 = 393 L.F. 0 $ 45.00 = 32 Ea. @ $ 3,000.00 = 3 Ea. El $ 4,000.00 = 1 Ea. 0 $ 2,500.00 = L.S. L.S. L.S. L.S. L.S. Page 2 of 3 3-15-90 EXHIBIT - B = $ 220,600 70,000 = $ 27,600 9,100 235,150 88,700 1,600 = 181,551 = $ 2,673,000 = $12,825,000 EVERGREEN FARMINGTON SEWAGE DISPOSAL SYSTEM POLLUTION CONTROL FACILITIES SEGNENT II - STAGE 3 ESTIMATE OF COST CONTRACTED SERVICES - PROJECT DESIGN i MANAGEMENT Engineering Consulting Engineer-Design (Step II) $105,300 Consulting Engineer-Construction (Step III) $115,300 Legal & Financial COUNTY SERVICES - PROJECT MANAGEMENT Engineering Administration Right-of-Way (Including Legal) Construction Inspection Soil Erosion Permit (Act 347) CONTINGENCY Sub-Total, Estimated Project Cost: Contract No. 6 TOTAL ESTIMATED PROJECT COST NOTE: An application for Federal Grant Assistance for project costs included in project Contracts No. 4 and No. 5 has been filed. The amount of grant assistance has not been determined. The estimated project costs will be adjusted by the amount of any grant assistance received. I hereby estimate the period of usefulness of these facilities to be forty (40) years and upwards. HUBBELL, ROTH & CLARK, INC. By: EXHIBIT - B Page 3 of 3 3-15-90 EVERGREEN FARMINGTON SEWAGE DISPOSAL SYSTEM POLLUTION CONTROL FACILITIES SEGMENT II - STAGE 3 ESTIMATE OF COST PROJECT COST ALLOCATION ESTIMATED COMMUNITY CONSTRUCTION BY PERCENTAGE COST SHARE Southfield 6 100.000 $ 2,673,000 Southfield 4 & 5 62.343 $ 6,329,100 Farmington Hills 4 & 5 15.080 $ 1,530,900 West Bloomfield Township 4 & 5 20.250 $ 2,055,800 Orchard Lake 4 & 5 2.327 8 236,200 TOTAL $12,825,000 NOTE: An application for Federal Grant Assistance for project costs included in project Contracts No. 4 and No. 5 has been filed. The amount of grant assistance has not been determined. The community cost shares will be adjusted by the amount of grant assistance received. 3-15-90 EXHIBIT C 3. CONFLICTING RESOLUTIONS. All resolutions and parts of resolutions insofar as they may be in conflict herewith are hereby rescinded. Mr. Chairperson, on behalf of the Planning and Building Committee, I move adoption of theforeg91,Ag resolution. NING/AND BUILDING COMMITTEE CRM/09007/0215/AE0/2 -3- Resolution # 90156 June 28, 1990 Moved by Crake supported by Chester the resolution be adopted. AYES: Caddell, Chester, Crake, Gosling, Huntoon, Jensen, Johnson, R. Kuhn, Law, McConnell, McCulloch, McPherson, Moffitt, Oaks, Olsen, Pappageorge, Pernick, Price, Rewold, Skarritt, Aaron, Bishop. (22) 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 June 28, 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 28th day pfl' June 19 90 Lynn 4). Allen, County Clerx