HomeMy WebLinkAboutResolutions - 1959.02.24 - 19066M i sc. 31+94
24, 1939
In re: Farmington Sewage Disposal System
Mr. Thatcher offered the following amendatory bond resolution and stated that the
same had been approved by the Department of Public Works:
WHEREAS, the Board of Supervisors did on the 24th day of January, 1958 adopt
Miscellaneous Resolution No. 3341 providing for the issuance by the County of Oakland of
$4,900,000 "Oakland County Sewage Disposal Bonds - Farmington System" to be dated
July 1, 1958; and
WHEREAS, subsequent thereto the agreement dated November 1, 1957, between the
County of Oakland and the several municipalities lying wholly or part/y within the Farmington
Sewage Disposal District was amended by an agreement dated December 22, 1953, which
reads as follows:
AMENDMENT TO FARMING TON SEWAGE
DISPOSAL SYSTEM AGREEMENT
THIS AGREEMENT made this 22nd day of December, 1958 by and between
the COUNTY OF OAKLAND, a Michigan County Corporation (hereinafter called
the "County"), the TOWNSHIP OF FARMINGTON, a Michigan Township Corpor-
ation in Oakland County; the TOWNSHIP OF WEST UOOMFIELD, a Michigan
Township Corporation in Oakland County; the CITY OF SOUTHFIELD, a Michigan
City Corporation in Oakland County (whose territory was formerly a part of the
Township of Southfield); and the CITY OF KEEGO HARBOR, a Michigan City Cor-
poration in Oakland County,
WITNESSETI-1:
WHEREAS, on the 1st day of November, 1957 a contract in respect to the
establishment, financing and operation of the Farmington Sewage Disposal System
was entered into by the County of Oakland, the Township of Farmington, the Town-
ship of West Bloomfield, the Township of Southfield (now the City of Southfield in
respect to the property affected by said contract) and the City of Keego Harbor,
and
WHEREAS, the parties hereto desire to amend paragraph 7 of said contract.
THEREFORE.. IS HEREBY AGREED by and between the parties hereto
that paragraph 7 of said contract of November 1, 1 957 is hereby amended to read
in its entirety as follows:
7. Each municipality does hereby pledge its full faith and credit
for the prompt payment of the aforesaid obligations and shall each year
levy a tax in an amount which taking into consideration estimated de-
linquencies in tax collections, will be sufficient for the prompt payment
of any amount falling due before the time of the following tax collection,
unless at the time of making such annual levy there shall be cash on hand
(as provided for in paragraph 2, Section 12, of Act No, 135, Public Acts
of 1957) earmarked for the payment of the current obligations for which
the tax levy is to be made, then the annual levy may be reduced by that
amount. Funds for which credit may be so taken, may be raised in the
manner provided in said paragraph (2), Section 12 of said Act No, 185,
Public Acts of 1957 as now existing or hereafter amended, Nothing in
this paragraph shall be construed as attempting to require any munici-
pality to levy a tax beyond the limitation prescribed in Article X,
Section 21 of the Michigan Constitution, or any lawful increase thereof.
If because of said Article X, Section 21, the taxing power of any munici-
pality is not adequate to provide a tax levy sufficient to pay principal
installments and interest as the same become due, then such municipality
agrees that it will from time to time raise sufficient funds to pay the same
by one or more of the other methods set forth in paragraph (2) of said
Section 12 and that it will at the time of each annual tax levy set aside
from the funds so raised or from other funds an amount equal to the next
maturing principal installment and interest.
IN WITNESS WHEREOF, the parties hereto have caused this agree-
ment to be executed and delivered by their respective duly authorized
officers, all as of the day and year first above written.
COUNTY OF OAKLAND
By Its Board of Public Works
By /s,/ Delos Hamlin
Chairman
By ,/s/ Hi land M, Thatcher
Secretary
TOWNSHIP OF FARMINGTON TOWNSHIP OF WEST BLOOMFIELD
By i/s/ F. J. Stephenson By /s/ Hilancl tvA. Thatcher
Supervisor Supervisor
B y /s/ Floyd A, Cairns By /s/ Frank Hallett
Township Clerk Township Clerk
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CITY OF SOUTHFIELD CITY OF KEEGO HARBOR
By /s/ Donald L. Swanson By /s/ Vernon B. Edward
Mayor Mayor
By /s/ Patrick G Flannery
City Clerk
by /s/ Eileen B. Van Horn
City Clerk
; and
WHEREAS, the estimated cost of acquiring the said Farmington Sewage
Disposal System has been increased from $4,900,000 to $5,748,000, which latter estimate
has been approved by the Board of Public Works and this Board of Supervisors, and as a
consequence the amendment of said bond resolution of January 24, 1 958 is necessary; and
WHEREAS, the Board of Public Works pursuant to said contract of November 1,
1957, as amended, has determined the aggregate amounts of the several annual installments
to be paid under said contract by the municipalities, based upon the new estimated cost of
$5,748,000, which amounts are the same as the annual bond maturities hereinafter set forth;
and
WHEREAS, the said agreement of November 1, 1 957 has been again amended
by an agreement dated February 9, 1959, which reads as follows;
AMENDATORY FARMING TON SEWAGE
DISPOSAL SYSTEM AGREEMENT
THIS AGREEMENT made this 9th day of February, 1959, by and between
the COUNTY OF OAKLAND, a Michigan county corporation (hereinafter called
the "county"), party of the first part, and the TOWNSHIP OF FARMINGTON,
the TOWNSHIP OF WEST BLOOMFIELD, the CITY OF SOUTHFIELD and the CITY
OF KEEGO HARBOR, municipal corporations in the County of Oakland (hereinafter
called the "municipalities"), parties of the second part,
WITNESSETH;
WHEREAS, the County of Oakland and the Township of Farmington, Town-
ship of West Bloomfield, Township of Southfield and the City of Keego Harbor did
enter into a certain agreement dated November 1, 1957, for the acquisition,
financing and operation of the Farmington Sewage Disposal System, paragraph 7 of
which agreement was amended by an agreement dated December 22, 1'.:158; and
WHEREAS, subsequent to November 1, 1957, the City of Southfield was
incorporated from certain territory within the Township of Southfield, which
territory so incorporated includes all of the area to be served by the Farmington
Sewage Disposal System; and
WHEREAS, pursuant to said agreement of November 1, 1957, as amended,
the Oakland County Board of Public Works did secure an estimate of the cost of
acquiring said system which was in the sum of $4,900,000; and
WHEREAS, after the receipt of construction bids the Board of Public Works
found that the system could not be acquired within the said estimated cost and
therefore caused a new estimate to be made of such acquisition cost, which is in
the sum of $5,748,000; and
WHEREAS, the parties hereto desire to make certain further amendments
to said contract of November 1, 1957.
THEREFORE, IT IS AGREED by and between the parties hereto as follows:
I, That the City of Southfield shall be substituted for the Township of
Southfield as a party to said contract of November 1, 1957, as amended,
2. That the Board of Public Works shall proceed with the acquisition and
financing of the Farmington Sewage Disposal System under said agreement of
November 1, 1957, as amended, upon the basis of an estimated cost of $5,748,000;
that said agreement shall be construed as though the said revised estimate were the
original estimate.
3, That paragraph 5 of said agreement of November 1, 1957, is hereby
amended to read as follows:
5. The amount to be paid by each municipality shall be divided
into 30 annual installments, numbered in direct order of their maturities.
The aggregate amount of each installment as to all municipalities shall
be determined by the Board of Public Works prior to the time it shall
submit to the Board of Supervisors a bond resolution or ordinance, which
aggregate amount shall be divided between the municipalities on the
basis of the total percentage of the total project cost which each munici-
pality is required to pay computed in accordance with the applicable per-
centages specified in paragraph 4 above. Said installments shall be due
in consecutive numerical order on the first day of April in each year, be-
ginning with the year 1960, and all amounts thereof from time te time
unpaid, shall bear interest from the date of the issuance of the bonds by
the county, at the rate of 6% per annum until paid, payable on April I,
1960 and on the first day of April in each year thereafter: Provided,
that if the bond issue shell include any amount for capitalized interest,
then the unpaid installments shall not bear interest prior to one month
preceding the expiration of the period in which the capitalized interest
will pay the interest on the bonds. If the amount of interest due on
April 1 of any year on unpaid installments, shall be collected by the
county in excess of the amount of interest which the county shall be re-
quired to pay upon its said bonds prior to the next principal installment
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/s/ Township Clerk City Clerk
due date, then any such excess in the amount so paid after deducting the
annual fees and expenses connected with the payment of said bonds, shall
be credited pro rota to the municipalities in accordance with the several
amounts of interest paid by them in such year, which credit shall be applied
on the next interest becoming due. If any municipality shall fail to pay any
installment or interest when the some becomes due, then the amount thereof
shall be subject to a penalty, in addition to interest, of 1/2 of 1% for each
month or fraction thereof that the same remains unpaid after the due date.
Any municipality may pay in advance of maturity all or any part of an annual
installment by surrendering to the county bonds issued in anticipation of
payments to be made under this contract, of a like principal amount maturing
in the same calendar year, with all future due interest coupons attached
thereto. Accrued interest upon the amount so paid upon any installment and
accrued interest upon the bonds surrendered, shall be adjusted to the date of
surrender and any difference shall be paid in cash. All surrendered bonds
and coupons shall be canceled.
4. That this agreement shall be effective as of January 29, 1959,
IN WITNESS WHEREOF, the parties hereto have caused this agreement to be executed
and delivered by their respective duly authorized officers, all as of the day and year first
above written.
COUNTY OF OAKLAND
BY ITS BOARD OF PUBLIC WORKS
By /s/ Delos Hamlin
Chairman
/s/ Hi land M. Thatcher
Secretary
R
TOWNSHIP OF FARMING TON
By /s/ F, _I, Stephenson
Supervisor
By /s/ Floyd
Township C
CITY OF SOUTHFIELD
By /s/ Donald L. Swanson
Mayor
/s/ Patrick G. Flannery
City Clerk
TOWNSHIP OF WEST BLOOMFIELD CITY OF KEEGO HARBOR
By A/ Hiland M, Thatcher By /s/ Vernon B. Edward
Supervisor Mayor
By /s/ Frank Hallett By /s/ Eileen B, Van Horn
; and
THEREFORE, BE IT RESOLVED, that paragraphs 1, 2, 4, 6 and 7 of said Miscellaneous
Resolution No, 3341 are hereby amended and paragraphs 3, 5, 3, 9 and 10 thereof are hereby
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readopted, so that said paragraphs 1 thru 10 of said resolution will read as follows:
1 That the bonds of said County of Oakland, aggregating the principal sum of
Five Million Seven Hundred Forty-Eight Thousand Dollars ($5„748,000) be issued for the
purpose of defraying the cost of acquiring said Farmington Sewage Disposal System That
said bonds shall be known as "Oakland County Sewage Disposal Bonds - Farmington System";
shall be dated April 1, 1959; shall be numbered consecutively in the direct order of their
maturities from 1 to 5,748, both inclusive; shall be in the denomination of $1,000 each;
shall bear interest at a rate or rates to be hereafter determined not exceeding six per cent
(6%) per annum, payable on November 1, 195 9 and semi-annually thereafter on the first
days of May and November in each year; and shall mature on the first day of May in each
year as follows:
Total Amount Total Amount
Installments Due From all Instal lments Due From all
Due Aeri I 1 Municipalities Due April 1 Municipalities
May 1, 1 960 $ 5,000 May 1, 1975 $ 215,000
May 1, 1961 5,000 May 1, 1976 220,000
May 1 7 1 962 5,000 May 1, 1977 225,000
May 1, 1963 98,000 May 1, 1 978 230,000
May 1, 1964 105,000 May 1 7 1979 235,000
May 1, 1965 130,000 May 1, 1980 240,000
May 1, 1966 135,000 May 1, 1 981 245 7 000
May 1, 1 967 140,000 May 1, 1 982 250,000
May 1, 1 968 150,000 May 1, 1 983 255,7 000
May I, 1969 160,000 May 1, 1984 265 000
May 1, 1970 170,000 May 1, 1985 275,000
May 1, 1971 180,000 May 1, 1 986 285,000
May 1, 1 972 190,000 May 1, 1987 295,000
May 1, 1 973 200,000 May 1, 1 988 310,000
May 1, 1974 210,000 May 1, 1939 320,000
Bonds maturing on and after May 1, 1975 from time to time outstanding, shall be subject to
redemption as a whole, at the option of the County prior to maturity on any one or more
interest payment dates, on or after May 1, 1974. Bonds called for redemption shall be re-
deemed at the par value thereof and accrued interest plus a premium on each bond in
accordance with the following schedule;
$30 if called to be redeemed on or after May 1, 1974 but prior to May 1, 1 976
$25 if cal led to be redeemed on or after May 1, 1 976 but prior to May 1, 1978
$20 i f cal led to be redeemed on or after May 1, 1978 but prior to May 1, 1 980
$15 if ca led to be redeemed on or after May 1, 1980 but prior to May 1, 1982
$10 if called to be redeemed on or after May 1, 1 982 but prior to May 1, 1984
$ 5 if called to be redeemed on or after May 1, 1984
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Notice of redemption shall be given to the holders of the bonds to be redeemed by
publication of such notice not less than thirty (30) days prior to the date fixed for redemption,
at least once in a newspaper or publication circulated in the City of Detroit, Michigan,
which carries as a part of its regular service, notices of the sale of municipal bonds, Bonds
so called for redemption shall not bear interest after the date fixed for redemption, provided
funds are on hand with the paying =lent to redeem the same, Bonds maturing prior to the
year 1975 shall not be subject to redemption prior to maturity. All bonds shall have proper
coupons attached thereto evidencing interest to their respective dates of maturity.
2. That the principal of said bonds and the interest thereon shall be payable in lawful
money of the United States of America t at such bank and/or trust company as shall be desig-
nated by the original purchaser of the bonds. Such purchaser shall have the right to name a
co-paying agent.
3. That the Chairman of the Board of Supervisors and the County Clerk, of the County
of Oakland, are hereby authorized and directed to execute said bonds for and on behalf of
the said county and to affix the seal of said county thereto, and to execute the interest
coupons to be attached to said bonds by causing to be affixed thereto their facsimile signatures;
and that upon the execution of said bonds and attached coupons, the same shall be delivered
to the Treasurer of said county who is hereby authorized and directed to deliver said bonds
and attached coupons to the purchaser thereof, upon receipt of the purchase price therefor,
4, That the said bonds are to be issued pursuant to the provisions of Act No, 185 of
the Michigan Public Acts of 1957, in anticipation of the payment of the amounts to become
due to the County under said contract of November 1, 1 957, as amended, which amounts
agoregate the sum of $5,748,000 with interest as therein provided.
5. That the full faith and credit of the County is hereby pledged for the prompt pay-
ment of the principal of and interest on said bonds as the same shall become due,
6. That all moneys paid to the County by the municipalities toward the capital cost
of said Farmington Sewage Disposal System, pursuant to said contract of November 1, 1957,
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as amended, shall be set aside by the County Treasurer in a separate fund and bank account
to be used solely for the payment of the principal and interest on the bonds herein authorized.,
7„ That said bonds and attached coupons shall be substantially in the following form:
UNITED STATES OF AMERICA
STATE OF MICHIGAN
COUNTY OF OAKLAND
OAKLAND COUNTY SEWAGE DISPOSAL BOND -
FARMINGTON SYSTEM
Number
$1,000
KNOW ALL MEN BY THESE PRESENTS, that the County of Oakland, Michigan,
hereby acknowledges itself indebted and for value received, promises to pay to the bearer
hereof, the sum of
ONE THOUSAND DOLLARS
on the first day of May, A.D. 1 9 , together with interest thereon from the date hereof
until paid, at the rate of
per centum per annum, payable November 1, 1 95 9 and thereafter semi-annually on the first
days of May and November in each year. Both principal and interest hereof are payable in
lawful money of the United States of America at
, in the City of
This bond is one of a series of bonds of like date and tenor except as to maturity
, numbefed consecutively in the direct order of their
maturities from 1 to 5,748, bot inclusive, aggregating the principal sum of Five Million
Seven Hundred Forty-Eight Thousand Dollars ($5,748,000), issued under and pursuant to and
in full conformity with the Constitution and Statutes of the State of Michigan, and especially
Act No. 185 of the Michigan Public Acts of 1957, for the purpose of defraying the cost of
acquiring the Farmington Sewage Disposal System.
Bonds of this series maturing prior to May 1, 1 975 are not subject to redemption prior
to maturity. Bonds maturing on and after May 1, 1 975 from time to ti.-n z, outstanding, are
subject to redemption as a whole at the option of the county prior to maturity on any one or
more interest payment dates on or after May 1„ 1974. Bonds called for redemption shall be
redeemed at the par value thereof and accrued interest plus a premium on each bond in
accordance with the following schedule:
upon presentation and surrenderTE&and the coupons hereto attached as they severally
mature.
$30 if called to be
$25 if called to be
$ 20 if cal led to be
$15 if cal led to be
$10 if called to be
$ 5 if called to be
redeemed on or after May 1, 1 974 but prior to May 1, 1 976
redeemed on or after May 1, 1 976 but prior to May 1, 1 978
redeemed on or after May 1, 1978 but prior to May 1, 1980
redeemed on or after May 1, 1 980 but prior to May 1, 198 2
redeemed on or after May 1, 1982 but prior to May 1, 1 984
redeemed on or after May 1, 1984
Ntice of redemption shall be given to the holders of bonds called for redemption by publication
of such notice not less than thirty (30)days prior to the date fixed for redemption„ at least once
in a newspaper or publication circulated in the City of Detroit, Michigan, which carries as a
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County Clerk Chairman of the Board of Supervisors
part of its regular service, notices of the sale of municipal bonds,, Bonds so called for
redemption shall not bear interest after the date fixed for redemption, provided funds are
on hand with the paying agent to redeem the same.
This bond as to both principal and interest, is payable from moneys to be paid to the
County of Oakland by the Township of Farmington, Township of West Bloomfield, City of
Southfield and City of Keego Harbor, pursuant to a certain contract dated November 1, 1957,
as amended, between the County of Oakland and said municipalities, whereby each of the
said municipalities agrees to pay to the said County a certain percentage of the capital cost
of said Farmington Sewage Disposal System, with interest, in 30 annual installments beginning
April 1, 1960, Pursuant to the resolution authorizing the issuance of this series of bonds,
adopted by more than a 3/5ths vote of the members-elect of the Board of Supervisors of
Oakland County, the full faith and credit of the County of Oakland, Michigan, is hereby
pledged for the prompt payment of the principal of and interest on the bonds of this series
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 the Constitution and Statutes of the State of Michigan, and that the total indebtedness of
said county, including this series of bonds, does not exceed any constitutional or statutory
IN WITNESS WHEREOF, the County of Oakland, Michigan, by its Board of Supervisors,
has caused this bond to be signed in its name by the Chairman of said Board of Supervisors and
by the County Clerk of the county, and its corporate seal to be affixed hereto, and has caused
the annexed interest coupons to be executed with the facsimile signatures of said Chairman and
County Clerk, all as of the first day of April, A.,D 1959,
COUNTY OF OAKLAND, MICHIGAN
By
Chairman of its Board of Supervisors
By
Its County Clerk
(COUPO N)
Number
On the 1st day of A,,D„ 19 , the County of Oakland,
Michigan, will pay to the bearer hereof the sum of
Dollars lawful money of the United States of America at the
in the City of
same being the interest due on that day on its Oakland County
Sewage Disposal Bond - Farmington System, dated April 1, 1959, No,
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Mr„ Lil
8. That the said bonds shall not be issued until the Municipal Finance Commission
of the State of Michigan shall have first issued its order granting permission to so do, as
provided in Act No, 202, Michigan Public Acts of 1943, as amended„ and the Board of
Public Works through its Director is hereby authorized and directed to make application
to said commission for the issuance of such order.
9. The Board of Public Works is hereby authorized to sell said bonds at not less than
par and accrued interest in accordance with the laws of this state and to do all things
necessary to effect the sale and issuance of said bonds„ subject to the provisions of this
resolution.
10. All resolutions and ports of resolutions, insofar as the same may be in conflict
herewith, are hereby rescinded.
Mr. Thatcher moved the adoption of this resolution. The motion was supported by
Yeas: Alwar:a, BemAer, Brenda, Caron, Carey, Castle, Christ= 5 cn,
Olariz, Clawson, Crenshaw, Croteau, CunT“g, Davis, Dickens, DohanY,
J. D%Inan., Fouts, Frid, Goodspeed, Ili:Alin, Heacock, nry, Hill,
Ebar, Holmes, Horkey, Horton, HuIson Hult, Hursfall, Ingraham,
Johnson, Kelley, Lephart, Inowles, LeVinson, Lewis, Lilly, Lockhart,
f;cCartney, ;R:G<A.:sm, Menzies, Clarence Mi11 ,7x, Cyril Miller, Mitch
011nburp,!., Marl, Phillips, Ram.7,
i , Solley, Stamaa, Step'aenson,
Sida.non, Taylor, natcer, Tiley, Tinwnan, Vol?, Webber
Nays: Norw. (0)
A sufficient majority having voted therefor, the resolution was adopted.