HomeMy WebLinkAboutResolutions - 2016.10.26 - 22627MISCELLANEOUS RESOLUTION #16294 October 26, 2016
BY: Planning and Building Committee, Philip J. Weipert, Chairperson
IN RE: WATER RESOURCES COMMISSIONER — HERON DRAINAGE DISTRICT DRAIN BONDS -
FULL FAITH AND CREDIT RESOLUTION
To the Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen
WHEREAS pursuant to Chapter 20 of Act 40 of the Public Acts of 1956, as amended, MCL 280A61 et
seq. (the "Drain Code"), and as a matter of public health, the Heron Drainage District was established and
the cost of the construction, operation and maintenance of the Heron Drain (the "Drain") was apportioned
against the County of Oakland (the "County") and the Charter Township of West Bloomfield (the "Public
Corporations"); and
WHEREAS there exists a public health necessity to plan, design and construct the Drain; and
WHEREAS it is proposed that the cost of the improvements with respect to the Drain be financed in part
by the issuance of bonds; and
WHEREAS the Drainage Board for the Heron Drainage District proposes that the Heron Drainage District
issue its Drain Bonds, Series 2016 (the "Bonds") in the aggregate principal amount of not to exceed
$840,000 to defray part of the cost of the acquisition and construction of improvements to the Drain; and
WHEREAS the Bonds will be dated as of such date, will bear interest at such rates not to exceed 5% per
annum, will be in the aggregate principal amount, will mature in such years and principal amounts, and will
be subject to redemption prior to maturity as shall be determined by the Drainage Board at the time of
sale; and
WHEREAS the Drainage Board deems it advisable and necessary to obtain from this Board a resolution
pledging the full faith and credit of the County for the payment of the principal of and interest on the
Bonds; and
WHEREAS it is in the best interest of the County that the Bonds be sold in order to achieve debt service
savings for the Public Corporations.
NOW THEREFORE BE IT RESOLVED:
1. Pursuant to the authorization provided in Section 474 of the Drain Code, the Board of
Commissioners of the County hereby pledges irrevocably the full faith and credit of the County for
the prompt payment of the principal of and interest on the Bonds and agrees that, in the event the
Charter Township of West Bloomfield or the County shall fail or neglect to account to the County
Treasurer for the amount of any special assessment installment and interest when due, the
amount thereof shall be advanced immediately from County funds, and the County Treasurer is
directed to make such advancement to the extent necessary.
2. In the event that, pursuant to the pledge of full faith and credit, the County advances out of County
funds all or any part of an installment and interest, it shall be the duty of the County Treasurer, for
and on behalf of the County, to take all actions and proceedings and pursue all remedies
permitted or authorized by law for the reimbursement of such sums so paid.
3. The County Treasurer or the financial consultant, Municipal Financial Consultants Incorporated, is
authorized, if necessary, to make application to the Department of Treasury for permission to
issue and sell the Bonds.
4. The County Treasurer is authorized, if necessary, to approve the circulation of a preliminary and
final official statement for the Bonds, to cause the preparation of those portions of the preliminary
and final official statement that pertain to the County, and to do all other things necessary for
compliance with Rule 15c2-12 issued under the Securities Exchange Act of 1934, as amended
(the "Rule"). The County Treasurer is authorized to execute and deliver such certificates and to
do all other things that are necessary to effectuate the sale and delivery of the Bonds.
5. The County Treasurer is authorized, if necessary, to execute and deliver in the name and on
behalf of the County (i) a certificate of the County to comply with the requirements for a continuing
disclosure undertaking of the County pursuant to subsection (b)(5) of the Rule and (ii)
amendments to such certificate from time to time in accordance with the terms of such certificate
(the certificate and any amendments thereto are collectively referred to herein as the "Continuing
Disclosure Certificate"). The County hereby covenants and agrees that it will comply with and
carry out all of the provisions of the Continuing Disclosure Certificate. The remedies for any
failure of the County to comply with and carry out the provisions of the Continuing Disclosure
Certificate shall be as set forth therein.
PLANNING AND BUILDING COMMITTEE VOTE:
Motion carried unanimously on a roll call vote with Dwyer & Crawford absent.
Chairperson, on behalf of the Planning and Building Committee, I move adoption of the foregoing
resolution.
PLANNING AND BUILDING COMMITTEE
Form DC-001
OAKLAND COUNTY
WATER RESOURCES COMMISSIONER MEMORANDUM
TO: Philip J. Weipert, Chairperson, Planning and Building Committee
FROM: Sidney Lockhart, P.E., Special Projects Manager
SUBJECT: REVISED: Resolution Authorizing the County to Pledge its Full Faith and Credit
for Bonds Associated with the Heron Drain
DATE: October 18, 2016
Enclosed is a resolution requesting that the Board pledges the full faith and credit of Oakland County
for the payment of principal and interest on the Heron Drain Bonds in the amount of $840,000.
Background
The Heron Drain was established pursuant to Chapter 20 of Act 40 of the Public Acts of 1956, as
amended, MCL 280,461 et seq. to protect and promote the public health. The cost of construction,
operation and maintenance of the Heron Drain was apportioned on August 23, 2016 by Drain Board
for the Heron Drainage District; 36.07% against the County of Oakland and 63.93% to the Charter
Township of West Bloomfield.
The Heron Drain Improvement Project is located along the east side of Middlebelt Road just north of
Long Ridge Court and is intended to reduce flooding on adjacent properties. Construction consists of
installing concrete pipe, drainage structures, grading, site restoration and related work.
In order to resolve flooding problems noted above, the Charter Township of West Bloomfield
submitted a petition to the Oakland County Water Resources Commissioner's office on June 15, 2015
to construct a County Drain in this area.
Bids were received on September 19, 2016. The project is anticipated to be awarded to Pamar
Enterprises, Inc. from New Haven, Michigan.
It is our intention to have this issue on the agenda for the November 10, 2016 Board of
Commissioners meeting for approval. In order for the proposed resolution to be adopted, statute
requires a 2/3 majority vote by the Board of Commissioners.
OAKLAND COUNTY WATER RESOURCES COMMISSIONER
Page 1 of 1 Rev.: 11/05/08
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Resolution #16294 October 26, 2016
The Vice Chairperson referred the resolution to the Finance Committee. There were no objections,