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HomeMy WebLinkAboutResolutions - 2011.08.04 - 18655MISCELLANEOUS RESOLUTION #11-1173 BY: COMMISSIONER JIM RUNESTAD, District 6 IN RE: CHARTER TOWNSHIP OF WHITE LAKE - REQUEST FOR $150,000 LOAN FROM THE LONG TERM REVOLVING FUND FOR ADMINISTRATION, DESIGN AND REPAIR OF THE LAKE NEVA LAKE LEVEL CONTROL STRUCTURE. TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS Chairperson, Ladies and Gentlemen: WHEREAS, Lake Neva is an inland lake located in the Charter Township of White Lake, County of Oakland, State of Michigan; and WHEREAS, the lake level of Lake Neva is regulated, among other things, by a stand pipe structure ("lake level structure") that is in serious need of repair and/or replacement; and, WHEREAS, the Michigan Department of Environmental Quality has indicated that the lake level structure poses a substantial risk of failure; and, WHEREAS, the failure of the Lake Neva lake level control structure poses a substantial risk to people and property; and, WHEREAS, the estimated cost, that includes the administration, legal proceedings, design and repair of the lake level control structure project ("Project") is approximately $ 150,000.00; and WHEREAS, pursuant to Miscellaneous Resolution #02019, adopted February 21, 2002, established a Long Term Revolving Fund to assist in the financing of water and sewer projects; and, WHEREAS, Miscellaneous Resolution #02019 authorized loans up to $150,000; and, WHEREAS the Charter Township of White Lake .("Township") intends to establish a special assessment district in accordance with 1954 P.A. 188, as amended and its charter to make the necessary repairs to the lake level control structure and agrees to pledge its full faith and credit of the Township for the prompt repayment of the principal and interest of the loan from the County; and WHEREAS, in order to pay for the initial costs associated with administration, legal proceedings, design and repair of the Project, the Township requests a loan from the Long Term Revolving Fund in the amount of $150,000 with the understanding that the Township agrees to pay back to the County over a period of 5 years. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COMMISSIONERS OF THE COUNTY OF OAKLAND, MICHIGAN, as follows: 1 I. The County Board of Commissioners hereby authorizes a loan not to exceed $150,000 from the County's Long Term Revolving Fund to the Charter Township of White Lake with an annual interest rate to be determined in accordance with County policy at the time the funds are disbursed for the costs associated with the administration, legal proceedings, design and repair of the lake level control structure for Lake Neva. 2. The loan shall be applied to all costs for administration, legal proceedings, design and repair of the Project. 3. The loan with applicable interest shall be paid in full and shall be assessed against the Township in five (5) annual installments beginning with 2012 tax year. 4. The Chairperson is authorized to execute and agreement between the County and the Charter Township of White Lake, in the form recommended and approved by Corporation Counsel with terms and conditions necessary for the repayment of the loan provided herein. Chairperson, I move the foregoing resolution Jim Runestad, District 6 2 FISCAL NOTE (MISC. #11173) BY: FINANCE COMMITTEE, TOM MIDDLETON, CHAIRPERSON IN RE: CHARTER TOWNSHIP OF WHITE LAKE - REQUEST FOR $150,000 LOAN FROM THE LONG TERM REVOLVING FUND FOR ADMINISTRATION, DESIGN AND REPAIR OF THE LAKE NEVA LAKE LEVEL CONTROL STRUCTURE. TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS Chairperson, Ladies and Gentlemen: Pursuant to Rule XII-C of this Board, the Finance Committee has reviewed the above referenced resolution and finds: 1. The Charter Township of White Lake is requesting a $150,000 loan from the Long-Term Revolving Fund to be used for the administration, legal proceedings, design and repair of a lake level control structure in order to properly attain and maintain the legal level for Neva Lake. 2. Miscellaneous Resolution No. 02019 authorized that monies be made available for loans to local units for amounts up to $150,000, 3. The Charter Township of White Lake is managing, computing all costs of the project and preparing a special assessment roll for all the lands benefited by the Neva Lake Level Control Structure. 4. To repay the loan the Charter Township of White Lake will establish a special assessment district and pledge the full faith and credit of the Township for the prompt repayment of principal and interest on the loan over a 5 year period. 5. Also, MR# 89276 states that an interest rate no less than the prevailing six-month Treasury Bill rate should be charged. The six-month Treasury Bill rate is quite a bit lower than the average interest rate from the Treasurer's pooled investments and therefore the rate to be charged will be the last published Treasurer's pooled investment average monthly rate for the month of July 2010 is 1.192%. 6. Funding is currently available in the Long-Term Revolving Fund to issue a loan in the amount of $150,000 to the Charter Township of White Lake. 7. No budget amendment is required. CE COMMITTEE Resolution #11173 August 4, 2011 Moved by Runestad supported by Hatchett to suspend the rules and vote on Miscellaneous Resolution #11173 — Charter Township of White Lake — Request for $150,000 Loan From the Long Term Revolving Fund for Administration, Design and Repair of the Lake Neva Lake Level Control Structure. Discussion followed. Vote on Motion to suspend the rules: AYES: Covey, Dwyer, Gershenson, Gingell, Gosselin, Greimel, Hatchett, Hoffman, Matis, Middleton, Nuccio, Potts, Runestad, Scott, Weipert, Woodward, Zack, Bosnic. (18) NAYS: None. (0) A sufficient majority having voted in favor, the motion to suspend the rules and vote on Miscellaneous Resolution #11173 — Charter Township of White Lake — Request for $150,000 Loan From the Long Term Revolving Fund for Administration, Design and Repair of the Lake Neva Lake Level Control Structure carried. Moved by Runestad supported by Hatchett the resolution by adopted. AYES: Dwyer, Gershenson, Gingell, Gosselin, Greimel, Hatchett, Hoffman, Matis, Middleton, Nuccio, Potts, Runestad, Scott, Weipert, Woodward, Zack, Bosnic, Covey. (18) NAYS: None. (0) A sufficient majority having voted in favor, the resolution was adopted. STATE OF MICHIGAN) COUNTY OF OAKLAND) I, Bill Bullard Jr., 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 August 4, 2011, 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 4th day of August, 2011. ELDL ,Q4. Bill Bullard Jr., Oakland County