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HomeMy WebLinkAboutResolutions - 1989.11.09 - 17083\( APPROVE THE FOREG,OiNG RESOLUTM.{. „ Miscellaneous Resolution # 89287 November 9 , 1989 BY: PLANNING & BUILDING COMMITTEE - ANNE M. HOBART, Chairperson IN RE: DRAIN COMMISSIONER--DEPT. OF PUBLIC WORKS-SEWER & WATER HURON-ROUGE SEWAGE DISPOSAL SYSTEM - AMENDMENT #2 TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS Mr. Chairperson, Ladies and Gentlemen: WHEREAS, the County of Oakland has, by acting in cooperation with the County of Wayne and the local units of government in the Wayne County Rouge Valley Sewage Disposal System, acquired capacity in the Rouge Valley System existing facilities and in additions thereto to be constructed by Wayne County under the Wayne County-Oakland County, Construction, Finance, and Service Agreement dated February 1, 1988, as amended by an Amendment to the Agreement dated as of November 1, 1988, including Exhibits "A" through "H" (collectively the AGREEMENT), to which there is submitted herewith aSecond Amendment to the Agreement to be dated as of August 1, 1989, including revised Exhibits E-1, E-2 and E-3 and an Exhibit .3 (collectively the "AMENDMENT"), which AMENDMENT contains changes to provide for the financing, construction and operation of Segment 2 of the North Huron Valley-Rouge Valley System facilities; and WHEREAS, the City of Novi (the "OAKLAND LOCAL UNIT") ,- has approved the AMENDMENT and has authorized the County of Oakland to approve and adopt the same on its behalf. NOW THEREFORE BE IT RESOLVED, by the Board of Commissioners of Oakland County, Michigan, as follows: 1. The Board of Commissioners does hereby approve and adopt the AMENDMENT, in substantially the form submitted herewith. 2. The AGREEMENT is hereby so amended and the Oakland County Drain Commissioner as County Agency is hereby authorized and directed to execute the AMENDMENT and take such steps as necessary in order to effectuate the AMENDMENT. Mr. Chairperson, on behalf of the Planning and Building Committee, I move the adoption of the foregoing resolution. PLANNING AND BUILDING COMMITTEE = MILLER, CANFIELD. PADDOCK AND STONE SECOND AMENDMENT TO WAYNE COUNTY-OAKLAND COUNTY Construction, Finance and Service Agreement THIS CONTRACT, made and entered into as of the 1st day of August, 1989, by and among the COUNTY OF WAYNE, a Michigan charter county corporation (hereinafter referred to as t'Wayne"), the CITY OF DEARBORN HEIGHTS, the CITY OF GARDEN CITY, the CITY OF INKSTER, the CITY OF LIVONIA, the CITY OF NORTHVILLE, the CITY OF ROMULUS, the CITY OF WAYNE, the CITY OF WESTLAND, the TOWNSHIP OF REDFORD, and the TOWNSHIP OF VAN BUREN, all Michigan public corporations located in the County of Wayne. State of Michigan (hereinafter sometimes referred to as the "Wayne Local Units"), and the COUNTY OF OAKLAND, a Michigan county corporation (hereinafter referred to as "Oakland"), representing the CITY OF NOVI, a Michigan public corporation located in the County of Oakland, State of Michigan (hereinafter sometimes referred to as the "Oakland Local Unit"). All local units in Wayne and Oakland are gometimes hereinafter referred to as the "Local Units", or individually as a "Local Unit", WITNESSETH: WHEREAS, the parties hereto have entered into a certain contract entitled Wayne County-Oakland County Construction, Finance and Service Agreement (the "Primary Contract") and Amendment thereto dated November 1, 1988 (the "Amendment") (together the "Contract") for the financing, construction and operation of a wastewater control system sometimes known as the North Huron Valley-Rouge Valley System and certain 8/24/89 related local improvements as hereinafter described (the "Facilities"); and WHEREAS, the Contract contemplated the need for amendments to provide various details of the parties' agreement for the construction and financing of segments of the System, when the program for financing and construction of the Facilities progressed to the point when such details could be developed; and WHEREAS, Wayne has received and accepted or will 0 LU 0 very short deadlines having been established for the .0 0 0 initiation of such financing and construction; and WHEREAS, it is now necessary for the parties to the Contract to enter into this contract (the "Second 2 Amendment") further amending the Contract to provide all of the details necessary to undertake the financing, construction and operation of Segment 2 of the Facilities. NOW, THEREFORE, in consideration of the premises and the covenants of each other, the parties hereto agree as follows: I. All terms in this Second Amendment shall have the same meanings as provided in the Contract, unless specifically indicated otherwise. 2. Exhibits E-1, E-2 and E-3 attached to the Amendment have required revision, and the parties hereto agree that such Exhibits as attached hereto shall represent the last current effective forms of such Exhibits. shortly receive and accept a federal grant offer for payment of the eligible portions of the cost of Segment 2 of the Facilities, including certain local improvements in the City of Dearborn Heights described herein (together "Segment 2"), and steps must be taken for the financing of Segment 2 of the Facilities and the commencement of construction thereof, -2- 8/24/89 3. The contracts for construction of the Facilities shall specify completion dates presently estimated to be as follows: Segment 1 Segment 2 Segment 3 - June, 1991 - December, 1992 June, 1993 MILLEN, CANHEI_D, PADDOCK AND STONE 4. The Amendment contained provisions for the administration, management and supervision by Wayne of the construction, operation and maintenance of certain local improvements consisting of sewer rehabilitation and relief •- work to be performed on internal sewer collector systems owned by some of the Local Units and financed in part from federal grant funds. It is agreed by the parties hereto that such work may be performed in accordance with such provisions, or the affected Local Units may contract with Wayne, subject to the approval of U.S. EPA and MDNR, for broader local participation in such administration, management and supervision. 5. All parties hereto obligated to pay costs of Seyment 2 of the Facilities have indicated to Wayne that they will each pay in cash their respective shares of such costs, as shown on Exhibit F-3 to and as provided in the Contract. In addition there shall be included in Segment 2 a portion of the local improvements in the City of Dearborn Heights, as described in Exhibit J attached hereto and made a part hereof, at a presently estimated total cost of $9,440,000, with an estimated grant share of $5,140,000 and a local share to be paid in cash by the City in the estimated amount of $4,300,000. Wayne is agreeable to such cash payments, upon the understanding and agreement of all parties hereto that such cash payments will be made available to Wayne in the total amounts shown on Exhibit E -3 -3- 8/24/89 1.1.1 as the respective shares of such parties for the Segment 2 costs, plus in the case of the City of Dearborn Heights the local share costs of the local improvements included in Segment 2 as specified above, subject to the terms of the Second Amendment and the Contract and without the two percent (2%) added for Wayne's bond issuance costs, no later than March 15, 1990. Such cash payments shall be made to Manufacturers National Bank of Detroit under custodial arrangements similar to those approved in connection with Segment 1 financing, as appropriately adjusted to apply to Segment 2 as well. 6. All parties hereto which have issued or will issue their own bonds to pay their Segment 2 costs shall, severally and not jointly, hold Wayne harmless from any loss a O • or liability in any way related to federal arbitrage 0 requirements. a O 7. The parties hereto do hereby authorize their respective chief executive officers, clerks, treasurers and/or other officials, agents and employees to execute any documents, including but not limited to escrow or custodial agreements or other required documents and/or to take all actions necessary or desirable to implement the Contract and/or this Second Amendment. 8. It is acknowledged and agreed between the parties hereto that the construction and financing of the Facilities is a segmented project, with construction to be completed over a period of years and financing to be accomplished by various bond issues and/or cash payments. The cash payments approved and authorized in this Second Amendment are estimated to be sufficient to pay the local share cost of Segment 2 of the Facilities. The total cost and scope of -4- 8/24/89 CANFIEL D, PADDOCK AND STONE the Facilities is presently estimated to be as set out in the Exhibits attached to the Amendment, except that the last current effective forms of Exhibits E-1, E-2 and E-3 shall be as attached hereto. . All parties hereto shall participate, in accordance with the applicable allocations of cost as set forth in such Exhibits, in the payment for the construction of the Facilities, until the Facilities are completed. Consequently, it is anticipated that additional amendments to the Contract will be required of all parties hereto, as construction and financing of the Facilities progresses. In the event that any party refuses to pay, either in cash or through payments of debt service to retire a bond issue, its share of the total cost of construction of the Facilities, then Wayne may incorporate such refusing party's allocated costs into the Rates for such refusing party as a debt service charge, and no other party hereto shall pay such costs. Further, Wayne shall have the right to exercise other remedies provided by law or the Contract as it in its discretion deems appropriate. 9. Any provisions of the Contract in conflict with the provisions hereof are to the extent of such conflict hereby rescinded and repealed, but all other provisions of such Contract are hereby ratified and confirmed it being the parties" intent that their full.. agreement as to the financing, construction and operation of the Facilities shall be embodied in the Contract and this Second Amendment, unless and until further supplemented or amended by further written agreement between the parties. 10. This Second Amendment shall inure to the benefit of and be binding upon the respective parties hereto, their successors and assigns. -5- 8/24/89 11. This Second Amendment shall become effective upon approval of the legislative body of Wayne, of Oakland and of each Local Unit a party hereto and when duly executed by the appropriate_officer or officers of each such party. This Second Amendment may be executed in several counterparts. IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed as of the date and year first above written. By Its By I ts 94863/0009/dwp15126.txt -6 - 8/24/89 (done) December 1, 1989 October 1, 1989 .February 1, 1990 December 9, 1989 March 1, 1990 January 11, 1990 April 10, 1990 March 15, 1990 May 15, 1990 April 1, 1990 June 15, 1990 11117/RV PROJECT SCHEDULE FOR SEGMENTS 2 AND 3 ecme (done) ITEM Complete Plans and Specs, submit to MCNR for approval Submit Grant Application (including A/E contract, approved Delegation Agreement) Receive Grant Advertise for Bids Open Bids Deliver local funds to Wayne County Award Contracts DATE nt 2 Sent 3 November 15, 1989 Community Project Local EXHIBIT E -1 $1114ARY OF ESTIMATED CONSTRUCTION COSTS BY COMMUNITY FOR 1,111V -RV PROJECT AND LOCAL IMPROVEMENTS (All DoIlars in Thousands) Segment 1 (comp. 1,2,3,4 0 8) pely,R.V Project Local Segment 2 Segment 3 Segments 1,2,3 Improvements (comp. la , 5,6) (comp. 7,9) (All 9 Components) (from Ex. G, H) Project Local • Project Local Project Local Project Local Dearborn Hgts, 19.91 6,460 4,212 1,818 995 831 . 400 9,109 5,607 10,793 4,908 Garden City 0.00 0 0 0 0 0 0 0 0 737 424 Inkster 2.13 691 450 195 106 89 43 975 599 88 54 Livonia 18.67 6,058 3,950 1,704 933 779 375 8,541 5,258 6,091 3,394 . Northville 3.86 1,252 816 352 195 161 78 1,765 1,089 11 5 Novi 31.08 10,085 6,575 2,837 1,554 1,297 . 623 14,219 8,752 15 7 Plymouth 0.00 0 0 0 0 0 0 0 0 604 272 Redford Twp, 7.88 2,557 1,667 720 394 329 158 3,606 2,219 136 81 Romulus 0.00 0 0 0 0 0 0 0 0 50 31 Van Buren Twp, 2.60 844 550 237 129 108 52 1,189 731 TEID TBD Wayne 5.25 1,704 1,111 479 262 219 105 2,402 1,478 145 89 Westland 8.62 2,797 1,824 787 431 360 173 3,944 2,428 1,701 1,018 WAYNE COUNTY 0.00 0 0 0 0 0 0 0 0 1,496 707 TOTAL 100.00% $32,448 $21.155 9,129 4,999 $4,173 $2,007 $45,750 $28,161 $21,867 $10,990 0T8D . To Be Developed Construction costs for Segment 1 reflect as-bid prices, actual EPA grant eligibility determinations, executed construction engineering contracts, and a contingency, For Segment 2 the construction costs reflect engineer's estimates based on detailed design itOong with the proposed engineerng contract and a contingency, Segment 3 costs are preliminary englneerls estimates and 'Include ,7r...5% for engineering, administrative and contingency, EPA grant shares for Segment 2 and 3 are estimates, 09/06/89 Cs EXHIBIT E-2 SUMMARY OF ESTIMATED PROJECT COSTS FOR THE 111-1V/RV PROJECT (All Dollari in Thousands) Segment 1 Segment 2 (Components 1,2,3,4,8) (Components 1a,5,8) (Components 7,9) Segment 3 LOCAL NHV -RV PROJECT 1MPROYEMEHTS Segments 1,2,3 (All 9 Components) * * * to * Project Local Project Local Project Local Project Local Project Local 1. Construction Costs (from Exhibit E-I)$32,448 $21,155 $9,129 $4,999 $4,173 $2,007 $45,750 $28,161 $21,867 $10,990 2. FIFA Payback 648 648 0 0 0 . 0 648 648 0 0 3. Land Aqulsitlon 1,100 1,100 0 0 0 0 1,100 1,100 ? ? , 4. Engineering Costs Beyond Cash Advance 2,500 2,500 0 0 0 0 2,500 2,500 0 0 5. Force Account ( 1/2% of construction cost) 106 54 39 17 16 8 161 79 0 0 Total $36,802 $25,457 $9,168 $5,016 $4,189 $2,015 $50,159 $32,488 $21,867 $10,990 ** Funds Already Delivered 25,913 456 Cs 456 Funds Due 11/15/89 4,560 Add 2% to loce costs to cover bond Issuance costs 1F Project Is financed through Wayne Countyo Funds previously delivered under Segment •L 09/06/89 EXHIBIT E-3 • SUMMARY OF ESTIMATED PROJECT COSTS BY COMMUNITY FOR THE Pa1V/RV PROJECT (All Dollars in Thousands) TOTAL LOCAL LOCAL 1111V/RV PROJECT IMPROVEMENTS SlriARE Segment 1 Segment 2 Segment 3 Segments 1,2,3 (comp. 1,2,3,4,8) (comp. la ,5,6) (comp. 719) (All 9 Components) (From Ex. G & H) Inkster 2.13 784 552 195 97 89 43. 1,068 692 88 54 746 Livonia 18.67 6,871 4,839 1,712 852 782 376 . 9,365 6,067 6,091 3,394 9,461 Northville 3.86 1,421 1,001 354 176 162 78 1,937 1,255 11 5 1,260 Nov'l ' 31.08 11,438 8,053 2,850 1,418 1,302 626 15,590 10,097 15 7 10,104 Plymouth 0.00 0 0 0 0 0 0 0 0 604 272 272 Redford Twp, 7.88 2,900 2,042 723 359 330 159 3,953 2,560 136 81 2,641 Romulus 0.00 0 0 0 0 0 0 0 0 50 31 31 Yen Buren Twp. 2.60 957 673 238 119 109 52 1,304 844 TBD TBD 844 Wayne 5.75 1,932 1,360 481 239 220 106 2,633 1,705 145 89 1,794 Westland 8.62 3,172 2,234 790 392 361 174 4,323 2,800 1,701 1,018 3,818 wAYNE COUNTY 0.00 0 0 0 0 0 0 0 0 j496 707 707 • ...2_ , ** *** TOTAL 100.00% $36,802 S25,913 $9,168 $4,560 $4,189 $2,015 $50,159 $32,488 $21,867 $10,990 $43,478 * * * * * Community $ Project Local Project Local Project Local Project Local Project Local Dearborn ligts. 19.91 $7,327 $5,159 $1,825 $908 $834 $401 $9,986 $6,468 $10,793 $4,908 $11,376 .' GArden City 0.00 0 0 0 0 0 0 0 0 737 424 424 Add 2% to iocai costs to cover bond issuance costs IF Project is financed through Wayne County. ** *A*Segmen tends already provIded. Segment 2 funds due 03/15/90,, 180 = To Be OetermIned 09/06/89 EXHIBIT J. A new relief sewer commencing at Beech Daly Road and the Middle Rouge Interceptor and proceeding south on Beech Daly Road to Wilson Avenue, thence west on Wilson Avenue to Amboy Road, and a sewer•on -John Daly-Road from Wilson Avenue to a point approximately 1900 feet south. MILLER, CANFiELD, PADDOCK AND SLONE 94863/0009/dwp15126.txt 'day of November —4-989 ALLEN, County Clerk/Register of LYW Resolution #r 8,94/ November 9, 1989 Moved by Hobart supported by Crake the resolution be adopted. AYES; Johnson, R. Kuhn, S. Kuhn, Law, Luxon, McConnell, McCulloch, McPherson, Moffitt, Olsen, Papnageorge, Pernick, Rewold, Skarritt, Aaron, Caddell, Chester, Crake, Ferrens, Gosling, Hobart, Jensen. (22) NAYS: None. (0) A sufficient majority having voted therefor, the resolution was adopted. STATE OF MICHIGAN) COUNTY OF OAKLAND) i, Lynn 0. Allen, Clerk of the County of Oakland and having a seal, do herehy certify that I have compared the annexed copy of the attached rPsolution adopted by the pakiand County Board of Commissioners at their regular meeting held on November-9 -, 1989 with the or record thereof now remaining in my of and that it is a true and correct transcript therefrom, and of the whole thereof. , In Testinony Whereof, I have hereunto set my hand and affixed the seal or said County at Pontiac, Michigan • this 9th