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HomeMy WebLinkAboutResolutions - 2016.08.18 - 22540MISCELLANEOUS RESOLUTION # 16232 BY: Commissioner Adam Kochenderfer, District #15 IN RE: BOARD OF COMMISSIONERS — PILOT LOCAL ROAD IMPROVEMENT PROGRAM FISCAL YEAR 2016 APPROPRIATION — CITY OF ROCHESTER — MILL AND RESURFACE LETICA DRIVE — PROJECT NO. 2016-26 To the Oakland County Board of Commissioners: Chairperson, Ladies and Gentlemen: WHEREAS the Oakland County Board of Commissioners has authorized the Pilot Local Road Improvement Program to assist Oakland County's cities and villages with the construction, maintenance and repair of roads under the supervision, direction and control of cities and villages; and WHEREAS Miscellaneous Resolution #16103 provides that any Oakland County appropriation in support of the Pilot Local Road Improvement Program shall be distributed only after completion of all of the following: 1. The municipality has fully completed and returned the standard project application form approved by the Local Road Improvement Program Subcommittee; and 2. The municipality has submitted a statement detailing that the project will fulfill the requirement of encouraging and assisting businesses to locate in the county, as required in MCL 123.872; and 3. The municipality has agreed to comply with the provisions of MCL 123.872 that require that a report shall be submitted to the Board of Commissioners outlining the project activities and the degree that the municipality has met the stated purpose of the project; and 4. The municipality has agreed to comply with policies and procedures of the program as approved by the Board of Commissioners including supplementary policies approved by the Local Road Improvement Program Subcommittee; and 5. The Local Road Improvement Program Subcommittee of the Finance Committee has reviewed and recommended approval of the application; and 6. The Commissioner(s) representing the city or village requesting the project submits a resolution authorizing the appropriation of the County's maximum 50% share of the project from the General Fund Designated Fund Balance for Pilot Local Road Improvement Program. The resolution shall be approved by the Finance Committee and the full Board; and 7. A public hearing on the proposed project is conducted during a meeting of the Board of Commissioners; and 8. The municipality has approved and executed a cost participation agreement prepared by Corporation Counsel in accordance with requirements provided in the policies and procedures of the program as approved by the Board of Commissioners including supplementary policies approved by the Local Road Improvement Program Subcommittee; and 9. The municipality submits an invoice to the county in accordance with the conditions included in the cost participation agreement; and WHEREAS the City of Rochester has identified a project and submitted an application detailing the goals and outcomes of the project; and WHEREAS the City of Rochester has demonstrated that it has available funding equal to a minimum of 50% the project costs; and WHEREAS Oakland County's share of the Fiscal Year 2016 authorized amount of the Local Road Improvement Program funding for Project No. 2016-26 in the City of Rochester is $14,440; and WHEREAS a public hearing regarding the project has been held before the Board of Commissioners in accordance with the requirements of MCL 123.872; and WHEREAS upon review of the project application, the Board of Commissioners has determined that the completion of the project will encourage and assist businesses to locate in Oakland County. NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners hereby approves the project submitted by the City of Rochester and authorizes the release of Local Road Improvement Program funds from the Oakland County Designated Fund Balance. BE IT FURTHER RESOLVED that the Chairman of the Board of Commissioners is authorized to execute the cost participation agreement with the City of Rochester prepared by Corporation Counsel for the Pilot Local Road Improvement Program Project No. 2016-26. BE IT FURTHER RESOLVED that the Oakland County Clerk is requested to forward copies of this resolution to Oakland County Fiscal Services and the City of Rochester. Chairperson, I move the adoption of the foregoing Resolution. Commissioner Aderrn Kochenderfer District #15 LOCAL ROAD IMPROVEMENT MATCHING FUND PILOT PROGRAM COST PARTICIPATION AGREEMENT Mill and Resurface Letica Drive City of Rochester Board Project No. 2016-26 This Agreement, made and entered into this day of , 2016, by and between the Board of Commissioners of the County of Oakland, Michigan, hereinafter referred to as the BOARD, and the City of Rochester, hereinafter referred to as the COMMUNITY, provides as follows: WHEREAS, the BOARD has established the Pilot Local Road Improvement Matching Fund Program, hereinafter the PROGRAM, for the purposes of improving economic development in Oakland County cities and villages. The terms and policies of the PROGRAM are contained in Attachment A. The BOARD intends the PROGRAM to assist its municipalities by offering limited funds, from state statutory revenue sharing funds, for specific, targeted road maintenance and/or improvement projects on roadways under the jurisdiction of cities and villages; and WHEREAS, the BOARD shall participate in a city or village road project in an amount not exceeding 50% of the cost of the road improvement, hereinafter referred to as the PROJECT, and also not exceeding the Preliminary Distribution Formula as it relates to the COMMUNITY, (Attachment B); and WHEREAS, the COMMUNITY has identified the PROJECT as the Mill and Resurface Letica Drive, as more fully described in Attachment C, attached hereto, and made a part hereof, which improvements involve roads under the jurisdiction of and within the COMMUNITY and are not under the jurisdiction of the Road Commission for Oakland County or state trunk lines; and WHEREAS, the COMMUNITY has acknowledged and agreed to the BOARD's policies regarding the PROGRAM, Attachment A, and further acknowledge and agree that the PROJECT's purpose is to encourage and assist businesses to locate and expand within Oakland County and shall submit a report to the BOARD identifying the effect of the PROJECT on businesses in the COMMUNITY at the completion of the PROJECT. In addition, the COMMUNITY acknowledges that the program is meant to supplement and not replace funding for existing road programs or projects; and WHEREAS, the COMMUNITY has acknowledged and agreed that the PROGRAM is expressly established as a pilot program and there is no guarantee that the PROGRAM will be continued from year to year. The COMMUNITY further acknowledges and agrees that if the PROJECT is a multi-year road improvement project, the maximum number of years for the PROJECT funding is three (3) years, although the BOARD anticipates that most PROJECT's funded under the PROGRAM will be completed by the end of calendar-year 2017, and there is no obligation on behalf of the BOARD to fund either the PROJECT or the PROGRAM in the future; and WHEREAS the COMMUNITY has acknowledged and agreed that the COMMUNITY shall assume any and all responsibilities and liabilities arising out of the administration of the PROJECT and that Oakland County shares no such responsibilities in administering the PROJECT; and WHEREAS, the estimated total cost of the PROJECT is $28,880; and WHEREAS, said PROJECT involves certain designated and approved Local Road Improvement Matching Funds in the amount of $14,440, which amount shall be paid to the COMMUNITY by the BOARD; and WHEREAS, the BOARD and the COMMUNITY have reached a mutual understanding regarding the cost sharing of the PROJECT and wish to commit that understanding to writing in this Agreement. NOW, THEREFORE, in consideration of the mutual covenants set forth herein and in conformity with applicable law and BOARD resolution(s), it is hereby agreed between the COMMUNITY and the BOARD that: 1. The BOARD approves of the PROJECT, and in reliance upon the acknowledgements of the COMMUNITY, finds that the PROJECT meets the purpose of the PROGRAM. 2. The BOARD approves of a total funding amount under the PROGRAM for the PROJECT in an amount not to exceed $14,440, The COMMUNITY shall submit an invoice to the COUNTY in the amount of $14,440, addressed to Lynn Sonkiss, Manager of Fiscal Services, Executive Office Building, 2100 Pontiac Lake Road, Building 41 West, Waterford, MI 48328, upon execution of this Agreement. Upon receipt of said invoice, the BOARD shall pay the COMMUNITY the sum of $14,440 from funds available in the PROGRAM. IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and date first written above. OAKLAND COUNTY BOARD OF COMMISSIONERS By: Its: COMMUNITY By: It's: Attachment "A" PILOT LOCAL ROAD IMPROVEMENT MATCHING FUND PROGRAM STATEMENT OF PURPOSE Oakland County Government recognizes that Michigan law places the primary responsibility for road funding on the State and non-county local units of government. However, the County also recognizes that the law does permit a limited, discretionary role for the County in assisting a road commission and local units within a county by supporting some road maintenance and improvement efforts. Accordingly, for many years Oakland County has voluntarily provided limited assistance to its cities, villages and townships (CVT's) and to the Road Commission of Oakland County (RCOC) by investing in a discretionary Tr-Party Road Program. Authorized under Michigan law, the County's tri-party funding contributions primarily facilitate safety improvement projects on CVT roads under the jurisdiction of the RCOC. By law, tri-party funds cannot be used to fund projects on roads solely under the jurisdiction of CVT's. Recognizing a continuing need to better maintain local CVT streets and roads, yet being ever mindful of the County's limited responsibility for and jurisdiction over non-county roads and streets, Oakland County Government wishes to pilot a discretionary program that is more flexible than the current Tr-Party Road Program, one that will allow Oakland County to assist its cities and villages with maintenance and safety projects on non-county roads. Not being the funding responsibility of County government, local CVT roads generally cannot be maintained or improved using county funds because doing so would be considered to be the "gifting" of County resources. However laudable the purpose, Michigan law generally forbids the gifting of government resources. To avoid application of the constitutionally-based gifting restriction, the state legislature must, and in this arena has, determine that a public benefit results from a taxpayer investment, one that provides a quid pro quo sufficient to avoid application of the gifting prohibition. Here, the legislature has determined that the economic development benefit presumed to accrue to a county as a result of local street and road investments can provide a sufficient quid pro quo to county taxpayers justifying a discretionary county investment in a non-county road, a benefit that constitutes a fair exchange for value and not a gift. This legislative determination is set forth in 1985 P.A. 9, which amended 1913 P.A. 380, by adding a new section 2, which in pertinent part provides: "(1)...A county may grant or loan funds to a township, village or city located within that county for the purpose of encouraging and assisting businesses to locate and expand within the county... (2) A loan or grant made under subsection (1) may be used for local public improvements or to encourage and assist businesses in locating or expanding in this state, to preserve jobs in this state, to encourage investment in the communities in this state, or for other public purposes." Communities that wish to attract, retain and grow business, retain jobs and encourage community investment, needs a safely maintained road infrastructure. This road infrastructure must include both residential and commercial roads as workers and consumers need to get to and from work, shopping, schools and recreation. In a fiscally prudent and limited manner, the County wishes to help its cities and villages accomplish this objective by test-piloting a new local road improvement matching fund program. Any such program must be mindful of the limits imposed under Public Act 9. One important restriction Public Act 9 imposed on grants or loans made pursuant subsection 2 of the Act is the mandate that, "A grant or loan under this subsection shall not be derived from ad valorem taxes except for ad valorem taxes approved by a vote of the people for economic development." This means that funding for an expanded local road assistance program cannot utilize proceeds from any of Oakland County's ad valorem tax levies since no levy has been approved by voters specifically for economic development. Given this limitation, it appears that the state statutory revenue sharing appropriated to the County can provide a non-ad valorem source of funds that legally can be used to support the pilot program. Competition for those funds, which are limited in amount, is fierce and their yearly availability is subject to the state legislative process. In the recent past, the State stripped all of those funds away from Michigan counties. Understanding that reality, it shall be the policy of the Oakland County Board of Commissioners that the Board shall not appropriate any county funds for a local road improvement matching fund program for non- county roads in any year where the State of Michigan fails to appropriate statutory revenue sharing funds to Oakland County in an amount sufficient to allow the County to first prudently address its core functions. Act 9 imposes additional conditions on grants and loans. These include requirements that the loan or grant shall be administered within an established application process for proposals; that any grant or loan shall be made at a public hearing of the county board of commissioners and that the Board shall require a report to the county board of commissioners regarding the activities of the recipient and a report as to the degree to which the recipient has met the stated public purpose of the funding. Understanding all of the above, the Oakland County Board of Commissioners hereby establishes the following Pilot Local Road Improvement Matching Fund Program: PROGRAM SUMMARY The Board of Commissioners establishes a Pilot Local Road Improvement Matching Fund Program for the purposes of improving economic development in Oakland County cities and villages. The County intends this Program to assist its municipalities by offering limited matching funds for specific, targeted road maintenance and/or improvement projects on roadways under the jurisdiction of cities and villages. A city or village participating in the Local Road Improvement Matching Fund Program shall match any fund authorized by the Board of Commissioners in an amount equal to a minimum of 50% of the cost of the total project award. County participation shall be limited to a maximum of 50% of the cost of the total project budget. Funding shall be utilized to supplement and enhance local road maintenance and improvement programs. Funding is not intended to replace existing budgeted local road programs or to replace funding already committed to road improvements. PROJECT GUIDELINES Program funding shall be utilized solely for the purposes of road improvements to roads under the jurisdiction of local cities and villages. Road improvements may include, but not be limited to, paving, resurfacing, lane additions or lengthening, bridges, or drainage as such improvements relate to road safety, structure or relieving congestion. Program funding: May be utilized to supplement a local government's matched funding for the purposes of receiving additional federal transportation funding; May not be utilized to fulfill a local government's responsibility to fund improvements to state trunklines; Shall be limited to real capital improvements to roadways and shall not be utilized for other purposes, such as administrative expenses, personnel, consultants or other similar purposes; Shall not be utilized for non-motorized improvements, unless these improvements are included in a project plan for major improvements to a motorized roadway; Shall be utilized for projects that will result in a measurable improvement in the development of the local economy and contribute to business growth. Recipients shall be responsible for providing an outline of the economic benefits of the project prior to approval and for reporting to the Board of Commissioners after the completion of the project on the benefits achieved as a result of the projects. ADMINISTRATION Local Road Improvement Matching Fund Program projects may be appropriated by the Board of Commissioners in compliance with the County budget process. The amount of funds to be dedicated for the Pilot Program shall be determined by the Board of Commissioners on an annual basis. Program funding may be reduced or eliminated based upon the ability of the County government to meet primary constitutional and statutory duties. The Board of Commissioners expressly reserves the right to adjust the County matching funds share at any time based upon County budget needs. In accordance with MCL 123.872, funds dedicated to the Local Road Improvement Matching Fund Program shall not be derived from ad valorem tax revenues. Program funding shall be limited to funds derived from the County's distribution from the Michigan General Revenue Sharing Act. Reduction or elimination of the County's distribution of revenue sharing funds may result in the elimination or suspension of the program. Funding availability shall be distributed based upon a formula updated annually. The formula will consist of: 1. A percentage derived from the number of certified local major street miles in each city and village divided by aggregate total of certified local major street miles of all cities and villages in the county. 2. A percentage derived from the population of each city and village as determined by the last decennial census conducted by the U.S. Census Bureau divided by the aggregate total population of cities and villages in the county. 3. A percentage derived from the three year rolling total of the number of crashes on city and village major local streets divided by the aggregate three year rolling crash numbers for all city and village major local streets. The crash data will be supplied by the Road Commission for Oakland County using data from the Traffic Improvement Association. Each city and villages percentage allocation shall be determined by adding each factor percentage and dividing that total by three. The amount of funds available for match shall be determined by the total amount of funds allocated by the Board of Commissioners added to an equal amount representing the match provided by local cities and villages. The Chairman of the Finance Committee of the Board of Commissioners shall establish a Subcommittee on the Local Road Improvement Program. This subcommittee shall consist of three members, with two members representing the majority caucus and one member representing the minority caucus, It shall be the responsibility of the Subcommittee to direct the administration of this program, receive applications for program funding and make recommendation of acceptance to the Finance Committee and Board of Commissioners. The Subcommittee may consult with county departments, staff and the Road Commission for Oakland County in the conduct of its business. DISBURSEMENT The Subcommittee shall forward recommendations for approval of Local Road Improvement Matching Fund Program projects to the Chairman of the Board of Commissioners. This recommendation shall include a cost participation agreement between the County and participating municipality. Minimally, cost participation agreements shall include: responsibility for administering the project, the project location, purpose, scope, estimated costs including supporting detail, provisions ensuring compliance with project guidelines, as well as disbursement eligibility requirements. The cost participation agreement shall also require the maintenance of supporting documentation to ensure compliance with the following provisions: 1. Any and all supporting documentation for project expenditures reimbursed with appropriated funding shall be maintained a minimum of seven years from the date of final reimbursement for actual expenditures incurred. 2. The Oakland County Auditing Division reserves the right to audit any and all project expenditures reimbursed through the program. Upon receipt of recommendation of project approval from the Subcommittee, the County Commissioner or Commissioners, representing the area included in the proposed project, may introduce a resolution authorizing approval of the project and the release of funds. Resolutions shall be forwarded to the Finance Committee of the Board of Commissioners, who shall review and issue a recommendation to the Board on the adoption of the resolution. The Chairperson of the Finance Committee shall schedule a public hearing before the Board of Commissioners prior to consideration of final approval of the resolution. The deadline for projects to be submitted for consideration shall be established by the Subcommittee. The Subcommittee may work with participating municipalities to develop a plan for projects that exceed that municipality's annual allocation amount. This may include a limited plan to rollover that municipality's allocation for a period of years until enough funding availability has accrued to complete the project, subject to funding availability. Upon completion of project plans and execution of the local participation agreement by the County and governing authority of the local municipality, the participating municipality shall submit an invoice in accordance with the terms and conditions included in the agreement. The Oakland County Department of Management and Budget Fiscal Services Division shall process payments in accordance with policies and procedures as set forth by the Department of Management and Budget and the Oakland County Treasurer. In the event an eligible local unit of government chooses not to participate in the Local Road Improvement Matching Fund Program, any previously undistributed allocated funding may be reallocated to all participating local units of government in accordance with the formula included in this policy. At the completion of each project, the participating local government shall provide a report to the Board of Commissioners regarding the activities of the recipient and the degree to which the recipient has met the stated public purpose of the funding as required by MCL 123.872. LOCAL ROAD IMPROVEMENT SUBCOMMITTEE FINANCE COMMITTEE, OAKLAND COUNTY BOARD OF COMMISSIONERS Provision regarding existing funded local road programs and projects. The standard project agreement shall require participating municipalities to acknowledge that the Local Road Improvement Program is meant to supplement and to not replace funding for existing road programs or projects. Fulfillment of economic benefit provisions of MCL 123.872. The Pilot Local Road Improvement Program has been established by the Oakland County Board of Commissioners under the authority granted by MCL 123.872, which provides that "A county may grant or loan funds to a township, village or city located within that county for the purposes of encouraging and assisting businesses to locate and expand within the county". It shall be the responsibility of the municipality to outline the extent to which the project included in their application will meet these standards. The Subcommittee shall only consider projects that meet the standards provided in MCL 123.872. The standard project agreement shall include a provision requiring the participating municipality to fulfill the statutory requirement included in MCL 123.872 that, "the grant or loan contract made by county shall require a report to the county of board of commissioners regarding the activities of the recipient and the degree to which the recipient has met the stated purpose of the funding." Multi-year projects. The Local Road Improvement Program has been expressly established as a pilot program. There is no guarantee the program will be continued from year to year. The Subcommittee recognizes that the allocation authorized for local governments may not provide adequate funding in a single year to allow a project to move forward. Local governments shall be offered the opportunity to submit project plans that would necessitate the accumulation of multiple years of the community's allocation amount to fulfill the county's share of a project budget. A multi-year project plan submittal shall not exceed three years in duration. The allocation amount available to each community is subject to change annually based upon the factors utilized in the formula. Consideration of multi-year project plans does not obligate Oakland County in any way to funding any project or program in the future. These plans are meant to be utilized for planning purposes and for consideration by the Oakland County Board of Commissioners regarding authorizing a limited carryover of a community's allocation year to year. Completion of projects and submittal of post-project report. The standard cost participation agreement shall include a provision requiring the municipality to complete the project and submit the required post-project completion report prior to the end of the next calendar year following the date of project approval. An alternative schedule may be approved for a project by action of the Board of Commissioners, upon recommendation of the Subcommittee. PRELIMINARY DISTRUBUTION FORMULA OAKLAND COUNTY LOCAL ROAD IMPROVEMENT PILOT PROGRAM „Ati urn HPIs 3233 -,,o-- 1ORKIIIP . 4.82% 21,411 230% 236 1.34% 2.99% 550,753 $23,877 Berkley 15.63 2.33% 14,970 1.96% 55 0.31% 133% 530,683 $15,342 Beverly HRH 10.99 1.64% 10,267 1.34% 40 023% 107% $21,398 510,699 33-wham Farms 1.22 3.15% 1,111 0.15% 54 031% 020% $4,025 52,0131 Birmingham 21.87 326% 20,103 2.63% 589 329% 3.06% $61,105 $33,598 Bloomfield HilH 8.03 1.32% 3,369 0.51% 235 133% 1.05% $21,030 $10,520 Clarkston 148 0_22% 332 0.12% 37 0.21% 0.15% $3,640 $1,020 Clawson 9.82 1.44% 11,325 155% 134 176% 1.25% $24,960 $15,450 Parrnington 7.36 1.10% 10,372 136% 183 1.04% 1.16% $23,284 $11,542 Farmington Hilts 58.36 8.71% 79,740 10.43% 1955 12.05% 10.07% $201,492 $100,746 Ferndale 20,99 343% 19,902 2.60% 219 1_24% 2.33% $46313 $23,257 Franklin 4.34 0.65% 3,150 0.41% 48 0.27% 0.44% $8,878 $4,439 Hazel Park 17_12 255% 16,422 2.15% 188 105% 152% 588,445 519,223 Holly 7 1.04% 6,086 0.80% 63 0.476 0.77% 515,421 57,711 Huntington Woods 6.95 1.04% 5,235 282% 58 0.33% 0.73% 514,533 57,267 Keego Harbor 1.93 0.2995 2,970 0.39% 80 0.46% 0.38% 57,547 $3,774 Lake Angelus 0 0.9076 290 0.04% 22 0.1295 0,0414 51,084 $542 Lake Orion 2.74 0.41% 2,973 0.39% 123 0.70% 0.59% $9,980 $4,990 Lathrop Village 736 LEI% 4,075 0.33% 135 13554 0.89% $17,867 $8,934 Leonard 2.34 0.35% 403 0.05% 4 0.02% 0.14% $2,817 $1,409 Madison Heights 215 3.21% 25,694 329% 745 4.22% 3.7715 $75,431 $27,716 Milford 7.3 1.09% 6375 0.81% 103 0.5134 0.84% $16,716 $8,358 Northville" 0.8 0.1254 3,570 0.78% 109 0.52% 0.51% 510,110 $5,055 Novi 3952 5.90% 55,224 7.23% 1313 7.44% 6.86% 5137,104 568,555 Oak Park 1835 2.74% 25,319 3.84% 275 135% 2.71% 554,725 $27210 Orchard Lake 1.3 027% 2,375 0.31% 120 0.58% 0.42% $8,307 $4,199 Oroanyille 3,21 0.48% 1,442 0.19% 40 0,23% 030% 55,962 $2,981 Omiord 5.01 0_50% 3,436 0.45% 107 0,50% 0.55% 513,006 56,503 Pleasant Ridge 3.59 0.54% 2,526 033% 145 0.82% 0.56% $11,254 $5,627 Pontiac 70.21 10,47% 59,515 7.79% 1234 7.16% 848% 5169,507 534,754 Rochester 8.59 128% 12,711. 1.66% 241 L39% 1.44% 520,875 514,440 RocliKeler Hills 3851 5.76% 70,955 9.23% 1945 11.02% 659% $173230 $86,915 Royal Oak 63.96 9.54% 57,236 7.49% 1083 6.14% 7.72% $154,451 $77,231 South Lyon 4.43 0.66% 11,327 1.48% 144 021% 0.99% 519,717 55,859 Southfield 64.71 5.55% 71,739 9.39% 2452 13.90% 10.98% 5219,625 $109,813 SSvnn Lake 2.50 938% 1,720 0.23% 66 0.38% 023% $6,074 $3,287 Troy 57.34 855% 80,980 10.60% 2343 13.28% 10.81% $216,211 $100,106 Waled Lake 534 0.80% 6,999 032% 153 0.87% 0.86% $17,212 58,605 Whom 10.49 156% 13,498 2.77% 445 2.31% 1.85% 537,628 $13,814 Wolverine 3.69 3.55% 4,312 0-56% 57 0.33% 0.48% 59,580 $4,759 TOTAL 670.29 100.00% 764,251 100.05% 17,539 100.00% 100.00% $2,000,000 52.000,002 ATTACHMENT C Pilot Local Road Improvement Matching Fund Program Mill and Resurface Letica Drive City of Rochester Board Project No. 2016-26 Mill and resurface Letica Drive ESTIMATED PROJECT COST Construction $26,989 Engineering/Inspection (7%) $ 1,890 *rounded up $1 $28,880 COST PARTICIPATION BREAKDOWN COMMUNITY BOARD TOTAL TOTAL COST $14,440 $14,440 $28,880 TELEPHONE NUMBER (248) 651-5165 CONTACT PERSON David J. Anason, RE. MUNICIPALITY Rochester, MI STREETADDRESS 1141 N. Wilcox CITY/ZIP Rochester, MI 48307 E-MAIL ADDRESS danason@rochestermi.org BOARD OF COMMISSIONERS 1200 M. Teiegraph Road Pontiac, MI 48341-0475 Phone: (248) 858-0100 Fax: (248)858-1572 2016 APPLICATION FORM LOCAL ROAD IMPROVEMENT MATCHING FUND PILOT PROGRAM Background: Oakland County has established a Local Road Improvement Matching Fund Pilot Program for the purposes of improving economic development in Oakland County cities and villages, The County intends this Program to assist its municipalities by offering limited matching funds for specific, targeted road maintenance and/or improvement projects on roadways under the jurisdiction of cities and villages. Project Policies arid Guidelines: The Oakland County Board of Commissioners and the Local Road Improvement Subcommittee has established policies, procedures and guidelines for project consideration. These documents have been included as Attachment "A". Available Funding: Oakland County's maximum contribution for projects in eligible cities or villages has been established within the distribution formula included as Attachment "B". Required Matching Funds: A city or village participating in the Local Road Improvement Matching Fund program shall match any funds authorized by the Oakland County Board of Commissioners in an amount equal to a minimum of 50% of the cost of the total project award. Funding shall be utilized to supplement and enhance local road maintenance and improvement programs, Funding is not intended to replace existing budgeted local road programs or to replace funding already committed to road improvements. REQUESTING LOCAL GOVERNMENT PROJECT INFORMATION SHORT DESCRIPTION OF PROJECT Mill and Overlay of a major road in Rochester, MI. ROAD/ROAD(S) TO BE IMPROVED Letica Drive DESCRIPTION Letica Drive is concrete and asphalt roadway in the City of Rochester, Michigan. It is a major roadway and a critical thoroughfare from the Northeast side of the city into downtown. Currently, the roadway is rated at a PASER rating of 3 (Poor). The concrete section is deteriorating at a high rate and requires excessive maintenance to repair the surface to be passable by vehicle traffic. Road crews are on this road multiple times a month in the wintertime filling potholes and joint spalling. Crack seal would do little to extend the life of this road and water currently is freely entering the subbase and washing the structure away. This project would mill the top 2" of concrete and resurface the road with 2" of asphalt. No curb work would be done with this project as the scope is small. This project must concentrate on the roadway surface. The curb, gutter and side drainage is in good condition and will need only minor maintenance from city DPW staff. PROJECT BUDGET FUNDING REQUESTED LOCAL MATCH TOTAL PROJECT BUDGET $14,440 $14,440 $28,880 DESCRIPTION OF PROPOSED PROJECT EXPENDITURES Construction: $26,989 Engineering/Inspection (7%): $1,890 Total Project Cost: $28,880 ECONOMIC IMPACT OF PROJECT The Local Road Improvement Pilot Program has been established under MCL 123.872, the Gifts of Property Act, which provides that "A county may grant or loan funds to a township, village, or city located within that county for the purpose of encouraging and assisting businesses to locate and expand within the county." DESCRIBE HOW THE PROJECT MEETS THE STATUTORY REQUIRMENT OF ENCOURAGING AND ASSISTING BUSINESS TO LOCATE AND EXPAND IN THE COUNTY If awarded the Local Road Improvement Grant, the City of Rochester plans to allocate the funds to Letica Drive. Funding a road improvement program for Letica will spur greater economic development within the downtown portion of Rochester, and Oakland County. It will encourage and assist businesses to locate and expand within Oakland County and the City of Rochester, Letica, being one of the primary streets leading residents and visitors to downtown, restoration will encourage both residents and non-residents to shop at local businesses, promoting the economy. In addition, potential business owners will be more inclined to choose Rochester as their future home, which will also stimulate the local economy, as well as create more jobs. Goods and Services are transported along this route as it is one of the few roadways rated for truck traffic into the Central Business District. OPTIONAL MULTI-YEAR PROJECT PLAN The Local Road improvement Program has been expressly established as a pilot program. There is no guarantee the program will be continued from year to year. The Local Road Improvement Program Subcommittee recognizes that the allocation authorized for local governments may not provide adequate funding in a single year to allow a project to move forward. Local governments shall be offered the opportunity to submit project plans that would necessitate the accumulation of multiple years of the community's allocation amount to fulfill the County's share of a project budget. A multi-year project plan submittal shall not exceed three years in duration. The allocation amount available to each community is subject to change annually based upon the factors utilized in the distribution formula. Consideration of multi-year project plans does not obligate Oakland County in any way to fund any project or program in the future. These plans are meant to be utilized for planning purposes and for consideration by the Oakland County Board of Commissioners to authorize a limited carryover of a community's allocation year to year. DESCRIPTION OF MULTI-YEAR PLAN INCLUDING ESTIMATED PROJECT BUDGET AND CARRYOVER PERIOD OF COMMUNITY'S ALLOCATION This project is a stand alone project, but can be easily expanded if the County decides to extend the Local Road Improvement Program into multiple years. The City of Rochester plans to submit an application for another project for resurfacing Letica Drive further north from the end of this project site. If the application process time-line for next year is convenient enough, the City of Rochester plans to combine the two matching fund grants into one construction project during the summer of 2018, but this is not required for this project to be executed successfully. ADDITIONAL INFORMATION The Local Road Improvement Program Subcommittee of the Finance Committee of the Oakland County Board of Commissioners has been tasked with managing this program and making recommendations for project approval. Please supply any additional information you believe may be helpful in the consideration of your application. OPTIONAL ADDITIONAL INFORMATION The condition of roads, bridges, sewers, water distribution systems throughout the United States greatly influences the economy's ability to function and grow. Commerce requires well-maintained infrastructure so that manufacturers can obtain raw materials and parts, and deliver finished products to consumers. Communities rely on well-functioning water and sewer systems. Every community needs infrastructure improvements with the potential to pay off economically in private sector investment and job growth. This program is greatly appreciated and needed by every community in Oakland County. Thank you. REPORT FOLLOWING COMPLETION OF THE PROJECT MCL 122.872 requires that "the grant or loan contract made by a county shall require a report to the county board of commissioners regarding the activities of the recipient and the degree to which the recipient has met the stated public purpose of the funding". 1, on behalf of City or Rochester, Michigan , have been provided with a copy of the Policies and Procedures of the Local Road Improvement Program (Attachment "A") and agree to comply with these terms and conditions. 1, on behalf of City of Rochester, Michigan • understand and agree to comply with the requirement to provide the Oakland County Board of Commissioners with a report following the completion of an approved project outlining the degree to which the project met the stated purpose of the funding. 71)1444/4.— Signature of Authorized Pai- Date Blaine Wing, City Manager Printed Name and Title Please return completed application to: Local Road Improvement Subcommittee Oakland County Board of Commissioners 1200 N. Telegraph Road Pontiac, MI 48341-0475 A pdf copy of application can be emailed to: Chris Ward, Senior Analyst wardccPoakgoy.corn Questions regarding the application and approval process should be directed to Chris Ward at the email address above or by phone at (248)858-0111 Resolution #16232 August 18, 2016 The Chairperson referred the resolution to the Finance Committee. There were no objections.