HomeMy WebLinkAboutResolutions - 1996.03.07 - 24829MISCELLANEOUS RESOLUTION #96046 March 7, 1996
BY: Planning and Building Committee, Charles E. Palmer, Chairperson
IN RE: DRAIN COMMISSIONER - IRELAND DRAINAGE DISTRICT REFUNDING
BONDS - FULL FAITH AND CREDIT
To the Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen
WHEREAS the Ireland Drainage District previously has issued
its Drain Bonds, dated July 1, 1988 (the "Drain Bonds") in the
principal amount of $1,925,000, and this Board of Commissioners, by
Resolution No. 88164 adopted on July 14, 1988, pledged the full
faith and credit of the County of Oakland for the prompt payment of
the principal of and interest on the Drain Bonds; and
WHEREAS the Drainage Board for the Ireland Drain, by
resolution adopted on January 23, 1996, authorized and provided for
the issuance by the Ireland Drainage District of its Refunding
Bonds, Series 1996 (the "Refunding Bonds"), in the aggregate
principal amount of not to exceed $1,800,000 to refund the Drain
Bonds maturing in the years 1998 through 2010; and
WHEREAS the Refunding Bonds will be dated as of such date,
will bear interest at such rates not to exceed 8% 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 of Oakland (the "County") for the payment of
the principal of and interest on the Refunding Bonds; and
WHEREAS it is in the best interest of the County that the
Refunding Bonds be sold in order to achieve debt service savings
for the City of Rochester Hills and the County.
NOW THEREFORE BE IT RESOLVED:
1. Pursuant to the authorization provided in Section 474 of
the Drain Code of 1956, as amended, 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 Refunding Bonds and agrees that, in the event the City of
Rochester Hills or the County shall fail or neglect to account to
the County Treasurer of the County 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 cidvanuemeuL 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 is authorized to file with the
Department of Treasury of the State of Michigan on behalf of the
County an Applicatlnn for State Treasurer's Approval to Issue Bonds
with respect to the Refunding Bonds.
4. The County Treasurer is authorized to approve the
circulation of a preliminary and final official statement for the
Refunding 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
Refunding Bonds.
5. The County Treasurer is hereby authorized 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.
Mr. Chairperson, on behalf of the Planning and Building
Committee, I move adoption of the foregoing resolution.
PLANNING AND BUILDING COMMITTEE
FISCAL NOTE (Misc. #96046)
BY: FINANCE AND PERSONNEL COMMITTEE, Sue Ann Douglas, Chairperson
IN RE; DRAIN COMMISSIONER - IRELAND DRAINAGE DISTRICT REFUNDING BONDS -
FULL FAITH AND CREDIT RESOLUTION - MISCELLANEOUS RESOLUTION #XXXXX
To the Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen:
Pursuant to Rule XII-F of this Board, the Finance Committee has reviewed
Miscellaneous Resolution 4 96046 and finds:
1) Resolution #88184, on July 14, 1988, pledged full faith and credit
for Drain Bonds which were issued on July 1, 1988 in the amount of
$1,925,000 for the construction of the Ireland Drain.
2) This resolution authorizes the refunding of $1,525,000 of the
current $1,675,000 in outstanding bonds to take advantage of lower
interest rates with the County pledging full faith and credit. The
City of Rochester Hills is the primary obligor.
4) Debt service on the current bonds is $2,510,125; estimated debt
service on refunding bonds is $2,384,547 for a net savings of
$125,578.
5) The City of Rochester Hills will receive 97.256% of the savings
($122,132) and the County of Oakland will receive 2.7441s of the
savings ($3,446).
6) Refunding bonds will not be sold if, at the time bids are received,
it is not possible to achieve savings of at least $10C,000 and net
present value savings of at least 2% of the principal amount.
7) Amendments to the 1996-1997 budget are not required.
FINANCE AND PERSONNEL COMMITTEE
(16 L Aez
F,AEGOING RESOLUTION
3 / /1-4 C1;11J OVE I HEREBY
Resolution 096446 March 7, 1996
Moved by Palmer supported by Douglas the resolution be adopted,
AYES: McCulloch, McPherson, Moffitt, Obrecht, Palmer, Pernick, Powers,
Schmid, Taub, Amos, Crake, Devine, Dingeldey, Douglas, Garfield, Holbert, Jacobs,
Jensen, Johnson, Kaczmar, Kingzett, Law. (22)
NAYS: None. (0)
A sufficient majority having voted therefor, the resolution was adopted.
L. Brooks PatteTem YGUtIYO Date
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
I, Lynn D. Allen, Clerk of the County of Oakland, do hereby certify that the
foregoing resolution is a true and accurate copy of a resolution adopted by t.he
Oakland County Board of Commissioners on March 7, 1996 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 7th day of March 1996.
. Allen, County Clerk