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HomeMy WebLinkAboutResolutions - 1990.06.28 - 16854June 28, 1990 Miscellaneous Resolution # 90147 BY: PLANNING & BUILDING COMMITTEE, LARRY CRAKE, CHAIRPERSON IN RE: DRAIN COMMISSIONER-- RESOLUTION TO APPROVE SECOND AMENDMENT TO HURON-ROUGE SEWAGE DISPOSAL SYSTEM WALLED LAKE - NOVI WASTEWATER TREATMENT PLANT 1989 ENLARGEMENT CONTRACT AND TO AUTHORIZE THE ISSUANCE OF BONDS TO: THE OAKLAND COUNTY BOARD OF COMMISSIONERS Mr. Chairperson, Ladies and Gentlemen: WHEREAS, the County of Oakland (the "County") and the Cities of Walled Lake and Novi (the "Cities") have entered into the Huron-Rouge Sewage Disposal Systems Walled Lake-Novi Wastewater Treatment Plant 1989 Enlargement Contract, dated as of March 1, 1989 (the "Contract") and the First Amendment to Huron-Rouge Sewage Disposal System Walled Lake-Novi Wastewater Treatment Plant 1989 Enlargement Con- tract, dated as of March 1, 1990, pursuant to the provisions of Act No. 342, Public Acts of Michigan, 1939, as amended ("Act 342"); and WHEREAS, it is necessary to approve a revised esti- mate of the cost of the project and to approve a second amendment to the Contract; and WHEREAS, the Contract as amended provides for the issuance of bonds by the County to defray part of the cost of acquiring and constructing the Huron-Rouge Sewage Disposal System Walled Lake-Novi Wastewater Treatment Plant 1989 Enlargement Project, said bonds to be secured by the contractual obligation of the City of Walled Lake to pay to the County amounts sufficient to pay the principal of and interest on the bonds and the pay such paying agent fees and other expenses as may be incurred on amount of the bonds; and WHEREAS, it is in the best interest of the County of Oakland that the bonds be issued and the project be acquired and constructed. THEREFORE, BE IT RESOLVED BY THE BOARD OF COMMIS- SIONERS OF OAKLAND COUNTY, MICHIGAN, as follows: 1. APPROVAL OF REVISED COST ESTIMATE. The re- vised cost estimate submitted by the County Drain Commis- sioner for the Huron-Rouge Sewage Disposal System Walled Lake - Novi Wastewater Treatment Plant 1989 Enlargement Project in the amount of $8,428,690 is approved. 2. APPROVAL OF SECOND AMENDMENT TO CONTRACT. The Second Amendment to Huron-Rouge Sewage Disposal System Walled Lake - Novi Wastewater Treatment Plant 1989 Enlarge- ment Contract, dated as of June 1, 1990, among the County, by and through the County Drain Commissioner, party of the first part, and the Cities of Walled Lake and Novi, parties of the second part, which Second Amendment has been submit- ted to this Board of Commissioners, 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 Second Amendment has been executed by the appropriate officials of the Cities. The Second Amendment reads as follows: SECOND AMENDMENT TO HURON-ROUGE SEWAGE DISPOSAL SYSTEM WALLED LAKE-NOVI WASTEWATER TREATMENT PLANT 1989 ENLARGEMENT CONTRACT THIS CONTRACT, made and entered into as of the first day of June, 1990 by and among 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 WALLED LAKE and the CITY OF NOVI, home rule cities located in the County (hereinafter sometimes referred to as the "Cities"), parties of the second part. WITNESSET H: WHEREAS, the County and the Cities heretofore have entered into the Huron Rouge Sewage Disposal System Walled Lake - Novi Wastewater Treatment Plant 1989 Enlargement Contract (the 11 1989 Enlargement Contract") and the First Amendment to Huron-Rouge Sewage Disposal System Walled Lake - Novi Wastewater Treatment Plant 1989 Enlargement Contract (the "First Amendment") pursuant to the provisions of Act No. 342, Public Acts of Michigan, 1939, as amended; and WHEREAS, it now is necessary to amend further the 1989 Enlargement Contract. THEREFORE, in consideration of the premises and the covenants of each other, the parties hereto agree that Section 6 of the 1989 Enlargement Contract as amended by the First Amendment is amended to read as follows: 6. The Cities shall pay to the County the total cost of the Project (less such funds as may become available from other sources), which total cost for this purpose shall include, in addition to the items of the nature set forth in Exhibit p (Second Revised) (represented by the principal amount of the bonds to be issued by the County and the cash payment to be made by the City of Novi of its share of the cost), 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 and the obligations of the Cities are allocated between the Cities as shown on Exhibit B (Second Revised) which is attached hereto and made a part hereof. The City of Novi shall pay its share of the cost to the County prior to the delivery of the County bonds. Payments shall be made to the County by the City of Walled Lake 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. An annual installment shall be paid in each year if any principal and/or non-capitalized interest on the bonds falls due during the twelve-month period beginning on such principal maturity date in said year, and the amount of each installment so due and payable shall be at least sufficient to pay all such principal and/or interest thus falling due and all bond service charges then due and payable. The County Agency, within thirty days after delivery of the County bonds to the purchaser, shall furnish the Treasurer of the City of Walled Lake 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 of Walled Lake, also shall advise the City Treasurer of the amount payable to the County on such date. If the City of Walled Lake 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 of Walled Lake from the obligation to make payment when due. Such payments shall be made by the City of Walled Lake when due whether or not the Project has then been completed or placed in operation. In the event that additional County bonds shall be issued under the authority of this contract to defray a part of the cost of the Project, the foregoing obligations shall apply to such part of the cost and to said additional bonds insofar as appropriate thereto. If a grant, advance or payment becomes available from the state or federal government or any other source, each City hereby agrees to adopt such resolutions or ordinances as may be required by state or federal laws, regulations or orders to make the County and the Project eligible to accept and receive the grant, advance or pay- ment, and if the terms of the grant, advance or payment require a local contribution, each City hereby agrees to raise and make such local contribution. THE PARTIES FURTHER AGREE that Exhibit B (Revised) shall be amended by Exhibit B (Second Revised) which is attached hereto and by this reference is made a part hereof. This Second Amendment to Huron-Rouge Sewage Disposal System Walled Lake - Novi Wastewater Treatment Plant 1989 Enlargement Contract shall become effective upon -2- its execution by each party hereto and the expiration of 45 days after the date or dates 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 City Clerk of a City in accordance with the provi- sions of said Section 5b of Act 342 then this contract shall not become effective until approved by the vote of a major- ity 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. COUNTY OF OAKLAND BY: County Drain Commissioner (County Agency) CITY OF WALLED LAKE CITY OF NOVI By: By: Mayor Mayor By: By: Clerk Clerk JAE/09007/0206/BR2/3 -3- HURON-ROUGE SEWAGE DISPOSAL SYSTEM WALLED LAKE-NOVI WASTEWATER TREATMENT PLANT 1.989 ENLARGEMENT ESTIMATE OF COST CONTRACTED SERVICES - CONSTRUCTION - Based on Bid Prices TOTAL CONSTRUCTION COST $6,998,000.00 CONTRACTED SERVICES - PROJECT DEVELOPMENT & MANAGEMENT Engineering Services: Report $ 10,000.00 Pilot Plant Studies & Chemical Tests 25,000.00 Design 381,000.00 General Engineering 128,000.00 Resident Engineering 186,000.00 Start-up Training, 0 & M Manual 40,000.00 Performance Monitoring 20,000.00 Compaction Testing 25,000.00 Soil Borings 8,000.00 Legal Services 5.000.00 SUB-TOTAL $ 828,000.00 COUNTY SERVICES - PROJECT MANAGEMENT Engineering $ 45,000.00 Administration 5,000.00 Right-of-Way (Including Legal) 10,000.00 Contingency 440.700.00 SUB-TOTAL $ 500,700.00 SUB-TOTAL - ESTIMATED PROJECT COST $8,326,700.00 TOTAL ESTIMATED PROJECT COST: - CITY OF NOVI (70% of SUB-TOTAL) - CITY OF WALLED LAKE (30% of SUB-TOTAL) $5,828,690.00 $2,498,010.00 EXHIBIT - B (Second Revised) Page 1 of 2 Bond Counsel Financial Advisor Official Statement Bond Rating Fees Bond Printing Bond Advertisement Bond Discount $ 20,000.00 12,000.00 6,000.00 9,000.00 1,500.00 1,490.00 52,000.00 By: EDRON-ROUGE SEWAGE DISPOSAL SYSTEM WALLED LAKE-NOVI WASTEWATER TREATMENT PLANT 1989 ENLARGEMENT ESTIMATE OF COST CITY OF WALLED LAKE (30% of SUB -TOTAL) CONTRACTED SERVICES - PROJECT FINANCING $2,498,010.00 SUB-TOTAL $_ 101,990.00 TOTAL ESTIMATED PROJECT COST - CITY OF WALLED LAKE (Bond Issue) TOTAL ESTIMATED PROJECT COST $2,600,000.00 $8,428,690.00 I hereby estimate the period of usefulness of this facility to be twenty-five (25) years and upwards. McNAMEE, PORTER AND SEELEY, INC. EXHIBIT - B (Second Revised) Page 2 of 2 May 10, 1990 3. AUTHORIZATION OF BONDS -- PURPOSE. Bonds of the County aggregating the principal sum of Two Million Six Hundred Thousand Dollars ($2,600,000) shall be issued and sold pursuant to the provisions of Act 342, and other applicable statutory provisions, for the purpose of defray- ing part of the cost of acquiring and constructing Huron- Rouge Sewage Disposal System Walled Lake - Novi Wastewater Treatment Plant 1989 Enlargement Project. 4. BOND DETAILS. The bonds shall be designated Huron-Rouge Sewage Disposal System Walled Lake - Novi Wastewater Treatment Plant Enlargement Bonds; shall be dated July 1, 1990; shall be numbered from 1 upwards; shall be fully registered; shall be in the denomination of $5,000 each or any integral multiple thereof not exceeding the aggregate principal amount for each maturity at the option of the purchaser thereof; shall bear interest at a rate or rates not exceeding 12% per annum to be determined upon the sale thereof payable on May 1, 1991, and semiannually there- after on the first days of May and November in each year; and shall mature on May 1 in each year as follows: 1992 $ 50,000 1993 50,000 1994 50,000 1995 100,000 1996 100,000 1997 100,000 1998 150,000 1999 150,000 2000 $200,000 2001 200,000 2002 200,000 2003 300,000 2004 300,000 2005 300,000 2006 350,000 5, PAYMENT OF PRINCIPAL AND INTEREST. The prin- cipal of and interest on the bonds shall be payable in lawful money of the United States. Principal shall be pay- able upon presentation and surrender of the bonds to the bond registrar and paying agent as they severally mature. Interest shall be paid to the registered owner of each bond as shown'on the registration books at the close of business on the 15th day of the calendar month preceding the month in which the interest payment is due. Interest shall be paid when due by check or draft drawn upon and mailed by the bond registrar and paying agent to the registered owner at the registered address. 6. PRIOR REDEMPTION. Bonds maturing prior to May 1, 2000 shall not be subject to redemption prior to maturity. Bonds maturing on and after May 1, 2000 shall be subject to redemption prior to maturity upon the terms and -3- conditions set forth in the form of bond contained in Section 10 hereof. 7. BOND REGISTRAR AND PAYING AGENT, The County Treasurer shall designate, and may enter into an agreement with, a bond registrar and paying agent for the bonds which shall be a bank or trust company located in the State of Michigan which is qualified to act in such capacity under the laws of the United States of America or the State of Michigan. The County Treasurer may from time to time as required designate a similarly qualified successor bond registrar and paying agent. 8. EXECUTION, AUTHENTICATION AND DELIVERY OF BONDS. The bonds shall be executed in the name of the coun- ty by the facsimile signatures of the Chairman of the Board of Commissioners and the County Clerk and authenticated by the manual signature of an authorized representative of the bond registrar and paying agent, and the seal of the County (or a facsimile thereof) shall be impressed or imprinted on the bonds. After the bonds have been executed and authenti- cated for delivery to the original purchaser thereof, they shall be delivered by the County Treasurer to the purchaser upon receipt of the purchase price. Additional bonds bearing the facsimile signatures of the Chairman of the Board of Commissioners and the County Clerk and upon which the seal of the County (or a facsimile thereof) is impressed or imprinted may be delivered to the bond registrar and paying agent for authentication and delivery in connection with the exchange or transfer of bonds. The bond registrar and paying agent shall indicate on each bond the date of its authentication. 9. EXCHANGE AND TRANSFER OF BONDS. Any bond, upon surrender thereof to the bond registrar and paying agent with a written instrument of transfer satisfactory to the bond registrar and paying agent duly executed by the registered owner or his duly authorized attorney, at the option of the registered owner thereof, may be exchanged for bonds of any other authorized denominations of the same aggregate principal amount and maturity date and bearing the same rate of interest as the surrendered bond. Each bond shall be transferable only upon the books of the County, which shall be kept for that purpose by the bond registrar and paying agent, upon surrender of such bond together with a written instrument of transfer satisfactory to the bond registrar and paying agent duly executed by the registered owner or his duly authorized attorney. -4- Upon the exchange or transfer of any bond, the bond registrar and paying agent on behalf of the county shall cancel the surrendered bond and shall authenticate and deliver to the transferee a new bond or bonds of any author- ized denomination of the same aggregate principal amount and maturity date and bearing the same rate of interest as the surrendered bond. If, at the time the bond registrar and paying agent authenticates and delivers a new bond pursuant to this section, payment of interest on the bonds is in default, the bond registrar and paying agent shall endorse upon the new bond the following: "Payment of interest on this bond is in default. The last date to which interest has been paid is ." The County and the bond registrar and paying agent may deem and treat the person in whose name any bond shall be registered upon the books of the County as the absolute owner of such bond, whether such bond shall be overdue or . not, for the purpose of receiving payment of the principal of and interest on such bond and for all other purposes, and all payments made to any such registered owner, or upon his order, in accordance with the provisions of Section 5 of this resolution shall be valid and effectual to satisfy and discharge the liability upon such bond to the extent of the sum or sums so paid, and neither the County nor the bond registrar and paying agent shall be affected by any notice to the contrary. The County agrees to indemnify and save the bond registrar and paying agent harmless from and against any and all loss, cost, charge, expense, judgment or liability incurred by it, acting in good faith and without negligence hereunder, in so treating such registered owner. For every exchange or transfer of bonds, the County or the bond registrar and paying agent may make a charge sufficient to reimburse it for any tax, fee or other govern- mental charge required to be paid with respect to such exchange or transfer, which sum or sums shall be paid by the person requesting such exchange or transfer as a condition precedent to the exercise of the privilege of making such exchange or transfer. The bond registrar and paying agent shall not be required to transfer or exchange bonds or portions of bonds which have been selected for redemption. 10. FORM OF BONDS. The bonds shall be in substan- tially the following form: UNITED STATES OF AMERICA STATE OF MICHIGAN COUNTY OF OAKLAND HURON-ROUGE SEWAGE DISPOSAL SYSTEM WALLED LAKE - NOVI WASTEWATER TREATMENT PLANT ENLARGEMENT BOND INTEREST RATE MATURITY DATE DATE OF ORIGINAL ISSUE CUSIP July 1, 1990 Registered Owner Principal Amount The County of Oakland, State of Michigan, (the "County"), acknowledges itself indebted to, and for value received, hereby promises to pay to the Registered Owner identified above, or registered assigns, the Principal Amount set forth above on the Maturity Date specified above, unless redeemed prior thereto as hereinafter provided, upon presentation and surrender of this bond at in the City of , Michigan, the bond registrar and paying agent, and to pay to the Registered Owner, as shown on the registration books at the close of business on the 15th day of the calendar month preceding the month in which an inter- est payment is due, by check or draft drawn upon and mailed by the bond registrar and paying agent by first class mail postage prepaid to the Registered Owner at the registered address, interest on such Principal Amount from the Date of Original Issue or such later date through which interest shall have been paid until the County's obligation with respect to the payment of such Principal Amount is dis- charged at the rate per annum specified above. Interest is payable on the first days of May and November in each year, commencing on May 1, 1991. Principal and interest are payable in lawful money of the United States of America. This bond is one of a series of bonds aggregating the principal sum of Two Million Six Hundred Thousand Dollars ($2,600,000) issued by the County under and pursuant to and in full conformity with the Constitution and Statutes -6- of Michigan (especially Act No. 342, Public Acts of 1939, as amended) and a bond authorizing resolution adopted by the Board of Commissioners of the County (the "Resolution") for the purpose of defraying part of the cost of acquiring and constructing improvements and enlargements to the Huron- Rouge Sewage Disposal System Walled Lake - Novi Wastewater Treatment Plant. The bonds of this series are issued in anticipation of payments to be made by the City of Walled Lake in the aggregate principal amount of Two Million Six Hundred Thousand Dollars ($2,600,000) pursuant to a contract among the County, the City of Walled Lake, and the City of Novi dated as of March 1, 1989, as amended by amendments dated March 1, 1990 and June 1, 1990. The full faith and credit of the City of Walled Lake have been pledged to the prompt payment of the foregoing amount and the interest thereon as the same become due. As additional security the full faith and credit of the County have been pledged for the prompt payment of the principal of and interest on the bonds of this series. Taxes levied by the City and the County to pay the principal of and interest on the bonds of this series are subject to constitutional tax limitations. This bond is transferable, as provided in the Resolution, only upon the books of the County kept for that purpose by the bond registrar and paying agent, upon the surrender of this bond together with a written instrument of transfer satisfactory to the bond registrar and paying agent duly executed by the registered owner or his attorney duly authorized in writing. Upon the exchange or transfer of this bond a new bond or bonds of any authorized denomina- tion, in the same aggregate principal amount and of the same interest rate and maturity, shall be authenticated and delivered to the transferee in exchange therefor as provided in the Resolution, and upon payment of the charges, if any, therein provided. Bonds so authenticated and delivered shall be in the denomination of $5,000 or any integral mul- tiple thereof not exceeding the aggregate principal amount for each maturity. The bond registrar and paying agent shall not be required to transfer or exchange bonds or portions of bonds which have been selected for redemption. Bonds maturing prior to May 1, 2000, are not sub- ject to redemption prior to maturity. Bonds maturing on and after May 1, 2000, are subject to redemption prior to matur- ity at the option of the County, in such order as shall be determined by the County, on any one or more interest payment dates on and after May 1, 1999. Bonds of a denomi- nation greater than $5,000 may be partially redeemed in the amount of $5,000 or any integral multiple thereof. If less -7- than all of the bonds maturing in any year are to be redeemed, the bonds or portions of bonds to be redeemed shall be selected by lot. The redemption price shall be the par value of the bond or portion of the bond called to be redeemed plus interest to the date fixed for redemption and a premium as follows: 1% of the par value if called for redemption on or after May 1, 1999, but prior to May 1, 2003; 1/2% of the par value if called for redemption on or after May 1, 2003, but prior to May 1, 2005; No premium if called for redemption on or after May 1, 2005. Not less than thirty days' notice of redemption shall be given to the holders of bonds called to be redeemed by mail to the registered holder at the registered address. Bonds or portions of bonds called for redemption shall not bear interest after the date fixed for redemption, provided funds are on hand with the bond registrar and paying agent to redeem the same. It is hereby certified, recited and declared that all acts, conditions and things required to exist, happen and be performed precedent to and in the issuance of the bonds of this series, existed, have happened and have been performed in due time, form and manner as required by law, and that the total indebtedness of said County, including the series of bonds of which this bond is one, does not exceed any constitutional or statutory limitation. IN WITNESS WHEREOF, the County of Oakland, Michigan, by its Board of Commissioners, has caused this bond to be executed in its name by facsimile signatures of the Chairman of the Board of Commissioners and the County Clerk and its corporate seal (or a facsimile thereof) to be impressed or imprinted hereon. This bond shall not be valid unless the Certificate of Authentication has been manually executed by an authorized representative of the bond regis- trar and paying agent. COUNTY OF OAKLAND (SEAL) By: By: County Clerk Chairman Board of Commissioners CERTIFICATE OF AUTHENTICATION This bond is one of the bonds described in the within-mentioned Resolution. Bond Registrar and Paying Agent By: Authorized Representative AUTHENTICATION DATE: ASSIGNMENT For value received, the undersigned hereby sells, assigns and transfers unto (please print or type name, address and taxpayer identifica- tion number of transferee) the within bond and all rights thereunder and does hereby irrevocably constitute and appoint attorney to transfer the within bond on the books kept for registration thereof, with full power of substitution in the premises. Dated: Signature Guaranteed The signature must be guaranteed by a commercial bank, a trust company or a brokerage firm which is a member of a major stock exchange. 11. SECURITY. The bonds shall be issued in anti- cipation of payments to be made by the City of Walled Lake pursuant to the Contract, as amended. The bonds shall be secured primarily by the full faith and credit pledge made by the City of Walled Lake in the Contract as amended pursu- ant to the authorization contained in Act 342. As addition- al and secondary security the full faith and credit of the County are pledged for the prompt payment of the principal of and interest on the bonds as the same shall become due. If the City of Walled Lake shall fail to make payments to the County which are sufficient to pay the principal of and interest on the bonds as the same shall become due, an amount sufficient to pay the deficiency shall be advanced from the general fund of the County. 12. PRINCIPAL AND INTEREST FUND. There shall be established for the bonds a Principal and Interest Fund which shall be kept in a separate bank account. From the proceeds of the sale of the bonds there shall be set aside in the Principal and Interest Fund any premium and accrued interest received from the purchaser of the bonds at the time of delivery of the same. All payments received from the City of Walled Lake pursuant to the Contract as amended are pledged for payment of the principal of and interest on the bonds and expenses incidental thereto and as received shall be placed in the Principal and Interest Fund. 13. CONSTRUCTION FUND. The remainder of the pro- ceeds of the sale of the bonds shall be set aside in a construction fund and used to acquire and construct the Walled Lake-Novi Wastewater Treatment Plant 1989 Enlargement Project in accordance with the provisions of the Contract. All moneys received from the City of Novi for the cost of the project also shall be placed in the construction fund. 14. APPROVAL OF MICHIGAN DEPARTMENT OF TREASURY -- EXCEPTION FROM PRIOR APPROVAL. The issuance and sale of the bonds shall be subject to permission being granted therefor by the Department of Treasury of the State of Michigan or an exception from prior approval being granted by the Department of Treasury and the County Drain Commissioner and the County Treasurer are each hereby severally authorized to file with the Department of Treasury a Notice of Intent to Issue an Obligation with respect to the bonds and to pay, upon the filing of said notice, the filing fee of $400. If an exception from prior approval is not granted the County Drain Commissioner or the County Treasurer shall make application to the Department of Treasury for permission to issue and sell the bonds as provided by the terms of this resolution and for approval of the form of Notice of Sale. -11- 15. REDUCTION OF PRINCIPAL AMOUNT OF BOND ISSUE. If the County Drain Commissioner shall determine that it is not necessary to sell bonds in the principal amount of Two Million Six Hundred Thousand Dollars ($2,600,000), he may by order reduce the principal amount of bonds to be sold to that amount deemed necessary. In the event the principal amount of the bond issue is reduced pursuant to this sec- tion, the County Drain Commissioner shall reduce the amount of bonds maturing in any one or more years as necessary. 16. SALE, ISSUANCE, DELIVERY, TRANSFER AND EX- CHANGE OF BONDS. The County Drain Commissioner is authorized to prescribe the form of notice of sale for the bonds, to sell the bonds at not less than 98% of par plus accrued interest in accordance with the laws of this state and to do all things necessary to effectuate the sale, issu- ance, delivery, transfer and exchange of the bonds in accordance with the provisions of this resolution. The County Drain Commissioner is authorized to cause the preparation of an official statement for the bonds for purposes of compliance with Rule 15c2-12 issued under the Securities Exchange Act of 1934, as amended (the "Rule") and to do all other things necessary to comply with the Rule. After the award of the bonds, the County will provide copies of a "final official statement" (as defined in paragraph (e)(3) of the Rule) on a timely basis and in reasonable quantity as requested by the successful bidder or bidders to enable such bidder or bidders to comply with paragraph (b)(4) of the Rule and the rules of the Municipal Securities Rulemaking Board. 17. TAX COVENANT. The County covenants to comply with all requirements of the Internal Revenue Code of 1986, as amended, necessary to assure that the interest on the bonds will be and will remain excludable from gross income for federal income tax purposes. The County Drain Commis- sioner and other appropriate County officials are authorized to do all things necessary (including the making of cove- nants of the County) to assure that the interest on the bonds will be and will remain excludable from gross income for federal income tax purposes. 18. CONFLICTING RESOLUTIONS. All resolutions and parts of resolutions insofar as they may be in conflict herewith are rescinded. NING(AND BUILDING COMMITTEE Mr. Chairperson, on behalf of the Planning and Building Committee, I move the adoption of _:51,1e foregoing resolution. JAE/09007/0206/BT5/3 -13- LV4/JN9024FN June 28, 1990 FISCAL NOTE (Misc. 90147) BY: FINANCE COMMITTEE, DR. G. WILLIAM CADDELL, CHAIRPERSON IN RE: DRAIN COMMISSIONER-RESOLUTION TO APPROVE SECOND AMENDMENT TO HURON-ROUGH SEWAGE DISPOSAL SYSTEM WALLED LAKE-NOVI WASTEWATER TREATMENT PLANT 1989 ENLARGEMENT CONTRACT AND TO AUTHORIZE THE ISSUANCE OF BONDS, , 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 # and finds: 1) The resolution authorizes the issuance of tax-exempt Act 342 bonds with the County pledging its full-faith and credit as the secondary obligator. 2) The primary obligator is the City of Walled Lake, pledging its full-faith and credit. 3) The obligations of the County and the City are limited tax obligations. 4) The principal amount of the bond issue is $2,600,000 at an interest rate not to exceed 12%. 5) The statutory limit for County debt is $2,339,540,375 (10% of 1989 State Equalized Value). As of May 31, 1990, the outstanding debt is $345,614,756 or approximately 1.5% of the S.E.V. 6) No budget amendments are necessary. FINANCE COMMITTEE Lynp'j). Allen, County Clerk Resolution # 90147 June 28, 1990 Moved by Crake supported by Caddell the resolution be adopted. AYES: Moffitt, Oaks, Pappageorge, Pernick, Price, Rewold, Skarritt, Wolf, Aaron, Bishop, Caddell, Calandro, Chester, Crake, Gosling, Huntoon, Johnson, R. Kuhn, Law, Luxon, McConnell, McPherson. (22) HAYS: Jensen. (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 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 of 19 90