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HomeMy WebLinkAboutResolutions - 1998.08.06 - 25280Miscellaneous Resolution #98164 - THE NORTH ARM RELIEF DRAIN DRAINAGE DISTRICT: EXECUTION OF THE INTERLOCAL AGREEMENT; EXECUTION OF CONTRACT TO ADVANCE AND REPAY FUNDS NOT TO EXCEED THREE MILLION TWO HUNDRED EIGHTY-SIX THOUSAND FIVE HUNDRED TWENTY-EIGHT ($3,286,528.00) DOLLARS; AUTHORIZATION FOR COUNTY OF OAKLAND TO PAY ITS ASSESSMENT FOR COUNTY ROADS LOCATED WITHIN DRAINAGE DISTRICT This resolution was introduced at the July 16, 1998 Board of Commissioners' meeting. The resolution was adopted on that date. On August 6, 1998, a motion was made to reconsider; the resolution and Agreement were amended and adopted. (See folder for August 6, 1998 meeting for complete copy) 'a July 16, 1998 MISCELLANEOUS RESOLUTION # 98164 BY: Planning and Building Committee, Charles E. Palmer, Chairperson IN RE: THE NORTH ARM RELIEF DRAIN DRAINAGE DISTRICT; EXECUTION OF THE INTERLOCAL AGREEMENT; EXECUTION OF CONTRACT TO ADVANCE AND REPAY FUNDS NOT TO EXCEED THREE MILLION TWO HUNDRED EIGHTY-SIX THOUSAND FIVE HUNDRED TWENTY-EIGHT ($3,286,528.00) DOLLARS; AUTHORIZATION FOR COUNTY OF OAKLAND TO PAY ITS ASSESSMENT FOR COUNTY ROADS LOCATED WITHIN DRAINAGE DISTRICT. To The Oakland County Board of Commissioners Chairperson, Ladies and Gentlemen: WHEREAS, pursuant to Act 40 of the Public Acts of 1956, as amended [hereinafter referred to as the Drain Code], the Cities of Birmingham and Royal Oak have petitioned the Drain Commissioner's office to construct the North Arm Relief Drain to reduce basement flooding; and WHEREAS, pursuant to Chapter 20 of the Drain Code, the Drainage Board, having determined that a drainage project is necessary for the public health, and further determined that drainage facilities be located, established and constructed with the costs thereof to be assessed wholly against the public corporations [as defined by the Drain Code] benefiting from said project; and WHEREAS, there is an urgent need for said drainage facilities to alleviate flooding thereby promoting the health and welfare of the residents located within the North Arm Relief Drain Drainage District [hereinafter referred to as the Drainage District]; and WHEREAS, the total project costs for the North Arm Relief Drain is estimated to be $17,920,000; and WHEREAS, pursuant to Chapter 20 of the Drain Code, by final order of apportionment issued by the Drainage Board, the public corporations to be assessed for said Drain include the Cities of Birmingham, Clawson, Madison Heights, Royal Oak, Southfield, and Troy; the Village of Beverly Hills; the County of Oakland; and the State of Michigan; and WHEREAS, at the present time, the Drainage District is not able to issue bonds to finance construction of the North Arm Relief Drain because of pending litigation instituted by the City of Clawson, a public corporation to be assessed with a portion of the total project cost for the Drain; and WHEREAS, in order to proceed with the construction of the Drain, the City of Royal Oak has agreed to sell revenue bonds to the Michigan Bond Authority, as a part of the State Revolving Funds [SRF] Program at a favorable interest rate of 2-1/4%; and WHEREAS, in order to finance and construct the North Arm Relief Drain, all public agencies and corporations to be assessed the costs for said Drain, except the City of Clawson, have been requested to execute the attached Interlocal Agreement; and WHEREAS, at the Village of Beverly Hills and the cities of Birmingham, Madison Heights, Royal Oak, Southfield and Troy have or will have executed the attached Interlocal Agreement; and, WHEREAS, pursuant to Chapter 20 of the Drain Code, specifically Section 479 [MCL 280.479], the County of Oakland is authorized to advance moneys for the payment of any part of the cost of the drainage project constructed under Chapter 20 of the Drain Code of 1956 and be reimbursed by the Drainage District with interest when funds are available therefor; and WHEREAS, pursuant to Chapter 20 of the Drain Code of 1956, Section 479, the County of Oakland is willing to advance moneys for the estimated share of the North Arm Relief Drain to be assessed against the City of Clawson by the Drainage District, in an amount not to exceed $3,286,528, to the Drainage District, and be reimbursed by the Drainage District in accordance with the terms of the attached Contract between the Drainage District and the County of Oakland [Appendix 3 of the Interlocal Agreement]; and WHEREAS, the County of Oakland has been assessed on account of the County roads located within the Drainage District $180,275.20. Planning and Building Committee Vote: Motion carried unanimously on a roll call vote. IJ MO HUNDRED LLA ( 41 • NOW THEREFORE BE IT RESOLVED: (1) APPROVAL OF INTERLOCAL AGREEMENT. The Interlocal Agreement among the County of Oakland, the North Arm Relief Drain Drainage District, the State of Michigan, the Village of Beverly Hills, and the Cities of Birmingham, Madison Heights, Royal Oak, Southfield, and Troy, to permit the immediate construction of the North Arm Relief Drain by the North Arm Relief Drain Drainage District, which said Agreement having been submitted to the Board of Commissioners and reviewed by the County's Department of Corporation Counsel, is hereby approved and adopted, and the Chairperson is hereby authorized to execute and deliver the same for and on behalf of the County provided and until such time that the Village of Beverly Hills and the cities of Birmingham, Madison Heights, Southfield and Troy have executed the same. (2) APPROVAL OF CONTRACT FOR ADVANCE AND REPAYMENT OF A SUM NOT EIGHTY,SIX THOUSAND FIVE HUNDRED TWENTY-EIGHT ($3,286,528.00) DOLLARS. Pursuant to Act 40 of the Public Acts of 1956 (commonly known as the Drain Code of 1956), and provided and until such time that the Village of Beverly Hills and the cities of Birmingham, Madison Heights, Southfield and Troy have executed the Interlocal Agreement, the Board of Commissioners does hereby approve and adopt the contract between the County and the North Arm Relief Drain Drainage District providing for the advancement and repayment of a sum not to exceed $3,286,528, and the Chairperson is hereby authorized to execute and deliver the same for and on behalf of the County. Upon execution of said contract, the County Treasurer is hereby authorized to transfer and deliver said amount of funds from the Delinquent Tax Revolving Fund to the General Fund; and, the General Fund will then advance said funds to the Drainage District. (3) APPROVAL FOR COUNTY TO PAY ITS ASSESSMENT FOR COUNTY ROADS LOCATED IN DRAINAGE DISTRICT. The Board of Commissioners does hereby authorize its participation in the Royal Oak bond issue in the amount of $180,275.20 as its assessment on account of the County roads located within the Drainage District. Chairperson, on behalf of the Planning and Building Committee, I move the adoption of the foregoing resolution. PLANNING AND BUILDING COMMITTEE Hes E. Palmer, Carperson a 10, : • OAKLAND COUNTY DRAIN COMMISSIONER REVISED MEMORANDUM DATE: June 30, 1998 TO: Mr. Charles E. Palmer, Chairperson Planning & Building Committee FROM: Glen Yrjanainen, P.E./P.S., Chief Deputy Drain Commissioner SUBJECT: North Arm Relief Drain; Execution of Interlocal Agreement; Execution of Contract to Advance and Repay Funds for Clawson's Apportioned Project Share; Authorization for County of Oakland to Pay Their Apportioned Share as an Upfront Cash Payment Enclosed are several copies of a Board of Commissioners' Resolution, prepared for us by the Oakland County Department of Corporation Counsel, regarding the North Arm Relief Drain. Also included are documents, etc., in support of the Resolution. As you are aware, the Cities of Birmingham and Royal Oak have petitioned the Drain Commissioner's Office in accordance with the provisions of Act 40 of the Public Acts of 1956, to construct the North Arm Relief Drain, to lessen the impact of basement flooding in their communities. It was subsequently determined that the cost of the proposed $17,920,000.00 project be allocated as follows to the public entities comprising the overall watershed: Public Entity Apportionment % Cost Allocation Beverly Hills 2.578% $ 461,977.60 Birmingham 21.175% $ 3,794,560.00 Clawson 18.340% $ 3,286,528.00 Madison Heights 0.187% $ 33,510.40 Royal Oak 47.836% $ 8,572,211.20 Southfield 0.544% $ 97,484.80 Troy 6.509% $ 1,166,412.80. State of Michigan 1.825% $ 327,040.00 County of Oakland 1.006% $ 180,275.20 TOTAL 100.000% $ 17,920,000.00 • The City of Clawson then filed litigation against the project challenging its necessity and their apportionment percentage. The matter is still pending, and has not yet been resolved. To provide funds to be able to proceed with the project at this time, before the said litigation is settled, the City of Royal Oak is proceeding with the sale of Revenue Bonds to the Michigan Bond Authority, as part of the State Revolving Fund (SRF) Program, at the favorable interest rate of 2- 1/4%. Our Resolution provides for authorization for the Board of Commissioners' Chairperson to execute an Interlocal Agreement, relative to Royal Oak's issuance of Revenue Bonds, covering the conveyance of the bond proceeds to the Drainage District, and to provide for retirement of the Bonds, etc. Also, because Clawson's apportionment percentage is in question due to their litigation, our Resolution provides for the County of Oakland to advance Clawson's share of the project cost, not to exceed $3,286,528.00, as outlined in the enclosed Contract to be executed by your Board Chairperson. This advance is to be paid back at the T-bill rate of interest at the conclusion of the said litigation, by whomever it is determined should pay Clawson's share. Finally, our Resolution provides for authorization for the County of Oakland's share of the project cost, on account of road drainage benefit, or $180,275.20, to be included as a part of the overall Bond Issue. On behalf of the Village of Beverly Hills, the Cities of Birmingham, Clawson, Madison Heights, Royal Oak, Southfield and Troy, and our office, we request that this matter be placed on the Planning & Building Committee Agenda for July 7, 1998. Our intent is to then present this matter to the Finance Committee on July 9, 1998, and then receive full Board of Commissioners approval on July 16, 1998. Thank you for your assistance. td Enclosures cc: Mr. John McCulloch, Chairperson, Board of Commissioners Ms. Sue Ann Douglas, Chairperson, Finance Committee Mr. Joseph Colaianne, Corporation Counsel Mr. John Everhardus, Dickinson Wright, PLLC Interoffice: G. Kuhn/File; W. Klockow; J. Kozma; P. Sanzica; B. Lewis; N. Fournier I , NORTH ARM RELIEF DRAIN ESTIMATE OF APPORTIONMENT COST 1. Apportionment Beverly Hills Birmingham Clawson Madison Heights Royal Oak Southfield Troy State of Michigan County of Oakland Total 2.578% 21.175% 18.340% 0.187% 47.836% 0.544% 6.509% 1.825% 1.006% 100.000% 2. Estimated Project Cost Construction Cost $11,696,000.00 Administration $6,224,000.00 Total Estimated Project Cost $17,920,000.00 3. Apportioned Cost: Beverly Hills $461,977.60 Birmingham $3,794,560.00 Clawson $3,286,528.00 Madison Heights $33,510.40 Royal Oak $8,572,211.20 Southfield $97,484.80 Troy $1,166,412.80 State of Michigan $327,040.00 County of Oakland $180,275.20 Total $17,920,000.00 Prepared By: Philip Sanzica, PE 06/25/98 t CouyIty of Oaklahd County Clerk LAW OFFICES OF JOHN R. AXE JOHN R. AXE AND ASSOCIATES SUITE 360 21 KERCHEVAL AVENUE GROSSE POINTE FARMS, MICHIGAN 48236-3601 TELEPHONE: (3 I 3) 684-1550. 1-600-383-6324 TELECOPIER: (313) 884-0626 • August 5, 1998 VIA AIRBORNE EXPRESS Mr. Lynn Allen County Clerk County of Oakland 1200 N. Telegraph Pontiac, MI 48341 Re: Contract and Interlocal Agreement Among the County of Oakland, the North Arm Relief Drain Drainage District, the State of Michigan, the Village of Beverly Mille, the City of Birmingham, the City of Madison Heights, the City of Royal Oak, the City of Southfield and the City of Troy: Dated - June I, 1.998 Dear Mr. Allen: Pursuant to Act No. 7 of the Public Acts of 1967, extra session, as amended, the enclosed Contract and Interlocal Agreement is being filed in your office. Please, acknowledge the filing by signing and dating the line below. Please return this letter to our office as soon as possible. A return Airborne Express envelope has been included for your convenience. Enclosures cc: Charles Semchena las.1-royal I hereby certify that a copy of the c tioned Contract k Interlocal Agreement was filed in m pff'ce on ,gust fAx-, 1998. v4 EXECUTION COPY CONTRACT AND INTERLOCAL AGREEMENT AMONG THE COUNTY OF OAKLAND, THE NORTH ARM RELIEF DRAIN DRAINAGE DISTRICT, THE STATE OF MICHIGAN, THE VILLAGE OF BEVERLY HILLS, THE CITY OF BIRMINGHAM, THE CITY OF MADISON HEIGHTS, THE CITY OF ROYAL OAK, THE CITY OF SOUTHFIELD, AND THE CITY OF TROY TO PERMIT THE IMMEDIATE CONSTRUCTION OF THE NORTH ARM RELIEF DRAIN BY THE NORTH ARM RELIEF DRAIN DRAINAGE DISTRICT DATED AS OF JUNE 1, 1998 6/11/98 This Interlocal Agreement, dated as of June 1, 1998, is made and entered into pursuant to Act No. 7 of the Public Acts of Michigan of 1967, Extra Session, as amended, known as the "Urban Cooperation Act of 1967", Act No. 35 of the Public Acts of Michigan of 1951, as amended, and Act No. 40 of the Public Acts of Michigan of 1956, as amended known as the Drain Code of 1956 (the "Enabling Acts"), by and among the Village of Beverly Hills (the "Village"); the City of Birmingham, the City of Madison Heights, the City of Royal Oak, the City of Southfield, and the City of Troy (the "Cities"); the County of Oakland (the "County"); the State of Michigan, Department of Transportation ("MDOT"); (together the "Constituent Public Agencies and Corporations") and the North Arm Relief Drain Drainage District (the "Drainage District") for the purposes set forth in this Agreement. WITNES SETH NOW THEREFORE, pursuant to the power granted to them by the Enabling Acts, the Constituent Public Agencies and Corporations and the Drainage District hereby agree as follows: ARTICLE A DEFINITIONS Section 1. Unless otherwise provided, or unless the context clearly requires otherwise, the following terms shall have the following meanings in this Agreement: 1 :4 (a) Act 7. "Act 7" shall mean Act No. 7 of the Public Acts of Michigan of 1967, Extra Session, as amended. (b) Act 35. "Act 35" shall mean Act No. 35 of the Public Acts of Michigan of 1951, as amended. (c) Act 40. "Act 40" shall mean Act No. 40 of the Public Acts of Michigan of 1956, as amended. (d)- Additional Bonds. "Additional Bonds" shall mean the City of Royal Oak North Arm Relief Drain Revenue Bonds, Additional Series in an amount necessary to cover any increase in the Estimate of Costs or to repay the County Advance. (e) Agreement. "Agreement" shall mean this Interlocal Agreement entered into pursuant to the Enabling Acts, as from time to time amended. (f) Best Efforts. "Best Efforts" shall mean taking whatever action is reasonably necessary to effectuate the objective including, but not limited to, instituting or defending legal actions. (g) Bonds. "Bonds" shall mean the City of Royal Oak North Arm Relief Drain Revenue Bonds, Series 1998, in such amount as is required under this Agreement as more fully described in Appendix 1. (h) Cities. "Cities" shall mean: the City of Birmingham, the City of Madison Heights, the City of Royal Oak, the City of Southfield, and the City of Troy 2 (i) City of Clawson. "City of Clawson" shall mean the municipal Corporation known as the City of Clawson, Oakland County, Michigan. (j) Clawson Drain Assessment_ "Clawson Drain Assessment" shall mean the total drain assessment against the City of Clawson to be set forth in a special assessment roll to be adopted by the Drain Board, after receipt of construction bids by the Drainage District, based upon the Estimate of Costs and the Revised Final Order of Apportionment, and any additional assessment resulting from an increase in the Estimate of Costs. (k) Clawson Litigation. "Clawson Litigation" shall mean the lawsuit and any other law suit in connection therewith described in Appendix 2. (1) Constituent Public Agencies and Corporations. "Constituent Public Agencies and Corporations" shall mean the Cities, the Village, the County of Oakland, and the State of Michigan, Department of Transportation. (m) County. "County" shall mean the County of Oakland. (n) County Advance. "County Advance" shall be an advance of money to the Drainage District from the County in an amount not to exceed the Clawson Drain Assessment as evidenced by an agreement between the County and the Drainage District in substantially the form attached as Appendix 3. (o) Drain. "Drain" shall mean the North Arm Relief Drain and all improvements constituting such Drain as described in Appendix 4 attached hereto. 3 (p) Drain Bonds. "Drain Bonds" shall mean any bonds that may be issued by the Drainage District in whatever amount is necessary to retire the County Advance and/or pay an increase in the Estimate of Costs to complete the Drain as more fully described in Appendix 5. (q) Drainage District. "Drainage District" shall means the North Arm Relief Drain Drainage District a drainage district located in the County of Oakland formed pursuant to Act 40. (r) Drain Assessment or Drain Assessments. "Drain Assessment" or "Drain Assessments" shall mean the following drain assessments: (i) the special assessments against the Constituent Public Agencies and Corporations to be set forth in a special assessment roll to be adopted by the Drainage Board after preparation of the Estimate of Costs; (ii) any Extra Drain Assessments; (iii) any additional special assessments against any Constituent Public Agencies and Corporations which are adopted by the Drainage Board because of a reduction in the Clawson Drain Assessment because of the Clawson Litigation; and (iv) the Clawson Drain Assessment. (s) Drain Board. "Drain Board" shall mean the statutory drain board created by Act 40 for the Drainage District. (t) Drain Construction Agreement. "Drain Construction Agreement shall mean the agreement between the Drainage District and the City of Royal Oak in the form attached as Appendix 6. 4 • Apportionment entered by the Drainage Board on February 17, 1998 attached as Appendix 7. (z) Village. "Village" shall mean the Village of Beverly Hills. ARTICLE B GENERAL PROVISIONS Section 1. The Constituent Public Agencies and Corporations agree to exercise jointly the power and authority set forth in this Agreement pursuant to the Enabling Acts and jointly enter into this Agreement with the Drainage District. Section 2. The Constituent Public Agencies and Corporations agree to: (a) Construction of the Drain described in Appendix 4 by the Drainage District. (b) The apportionment of the cost of the Drain set forth in Appendix 7. (c) Share in any extra costs in accordance with the percentages set forth in Appendix 8, resulting from any decrease in the Clawson Drain Assessment caused by a reduction ordered by a court in the Clawson Litigation. (d) The repayment of the County Advance, in accordance with the percentages set forth in Appendix 8, at such time as the County Advance shall become due. (e) Share in the issuance costs for the Bonds and Additional Bonds in accordance with the percentages set forth in Section 7. 6 (u) Enabling Acts. "Enabling Acts" shall mean Act No. 7 of the Public Acts of Michigan of 1967, Extra Session, as amended, known as the "Urban Cooperation Act of 1967," Act No. 35 of the Public Acts of 1951, as amended, and Act No. 40 of the Public Acts of Michigan of 1956, as amended. (v) Estimate of Costs. "Estimate of Costs" shall mean the estimate of the total cost of the Drain to be prepared and approved by the Drainage Board after receipt of bids for the construction of the Drain. (w) Extra Drain As ses sment. "Extra Drain Assessment" shall mean the special assessments made against the Constituent Public Agencies and Corporations by the Drainage District on account of an increase in the Estimate of Costs approved by the Drainage Board. (x) Proceeds tom the Bonds. "Proceeds from the Bonds" shall mean: the proceeds from the sale of the Bonds to (i) the State of Michigan, less the amount of the costs of issuing the Bonds, which proceeds will be received in increments once Royal Oak has submitted to the State of Michigan a request for disbursement of funds in the form attached as Exhibit 1 to Appendix A of the Drain Construction Agreement; or (ii) a purchase at a public competitive sale of the Bonds which proceeds will be received in their entirety when the Bonds are delivered to such purchaser all in accordance with the provisions of the Drain Construction Agreement. (y) R_ear_i_aFira.daa_Q_r_d_e.rs2fa 2eat.. "Revised Final Order of Apportionment" shall mean the Revised Final Order of Section 3. The City of Royal Oak shall contract with the Drainage District to carry out the construction of the Drain as provided in the Drain Construction Agreement. ARTICLE C AGREEMENT BY THE DRAINAGE DISTRICT AND AGREEMENTS WITH RESPECT TO REPAYMENT OFON REPAYMEN7 CTITY DIES AD VAN Section 1. The Drainage District agrees with the Constituent Public Agencies and Corporations to construct the North Arm Relief Drain in accordance with the Drain Construction Agreement. Section 2. The Drainage District agrees to continue the Clawson Litigation until it is resolved by a final court order or all of the parties hereto agree, by resolutions of their governing bodies, to a settlement thereof. Section 3. The Drainage District agrees that after it approves the Estimate of Costs it will cause the special assessments described in Article A, Section l(r)(i) to be made against the Constituent Public Agencies and Corporations. Section 4. The Drainage District agrees that in the event the apportionment of costs against the City of Clawson is confirmed by a final court order, not appealed from or not appealable, it will use its Best Efforts to collect the Clawson Drain Assessment. Section 5. The Drainage District agrees that in the event the apportionment against the City of Clawson set forth in the Revised Final Order of Apportionment is reduced and the Clawson 7 Drain Assessment is thereby reduced, the amount of any reduction shall be assessed against and paid by the Constituent Public Agencies and Corporations in amounts determined by the percentages set forth in Appendix 8. Section 6. The Drainage District agrees to seek an advance from the County of Oakland in an amount not to exceed the Clawson Drain Assessment as estimated at the time the County Board of Commissioners shall approve the advance. Section 7. In the event the Drainage District is unable to obtain an advance from the County of Oakland, it will obtain an advance from the City of Royal Oak in an amount not to exceed the Clawson Drain Assessment all as provided in the Construction Agreement. Section 8(a). If the provisions of Section 5 of this Article apply and if the County Advance has been made, the Drainage District will use its Best Efforts to issue Drain Bonds in anticipation of assessments against the City of Clawson and the Constituent Public Agencies and Corporations in an amount sufficient to repay the County Advance with interest and use the proceeds after payment of issuance costs for that purpose with interest to the date of repayment. (b) If the Drainage District has not issued Drain Bonds as provided in paragraph (a) of this Section by one hundred and twenty (120) days after the Clawson Litigation is concluded by the entry of a final court order, not appealed from or not appealable, the City of Royal Oak will use its Best Efforts to issue Additional Bonds in the amount of the County Advance plus 8 interest to the date of repayment and to pay the proceeds thereof, after payment of the costs of issuance to the Drainage District which shall immediately repay the County Advance. (c) If no bonds are issued under (a) or (b) of this Section, the Constituent Public Agencies and Corporations shall pay to the Drainage District the amount of the County Advance plus interest to the date of repayment in the percentages set forth in Appendix 8. Section 9. In the event there is no County Advance, the Drainage District will cause the Clawson Drain Assessment to be payable in such a way that it will include payments equal to and due sufficiently in advance of the debt service payments due on the Bonds equal to the Amount of the Bonds issued to cover the Clawson Drain Assessment and thereafter from the amounts received under the Clawson Drain Assessment to pay to the City of Royal Oak such amounts semi-annually as will allow the City of Royal Oak to retire the pro-rata amounts of the Bonds which were advanced to cover the Clawson Drain Assessment. Section 10. Prior to the City of Royal Oak issuing Additional Bonds, the Drainage District agrees to cause the City of Clawson and the Constituent Public Agencies and Corporations to be assessed based upon the percentages set forth in Appendix 7 in an amount equal to the Additional Bonds and to use the Clawson Drain Assessments to pay to the City of Royal Oak the amount of the City's advance equal to the Clawson Drain Assessment. 9 ARTICLE D PAYMENTS IN CASH Section 1. To the extent that the Estimate of Costs exceeds the Proceeds of the Bonds and this is ascertainable at the time of the closing of the Bonds, each Constituent Public Agency and Corporation shall pay to the Drainage District, in cash on such date, its share as set forth on Appendix 8 of the difference. Section 2. Any Constituent Public Agency and Corporation may pay the amount of its Drain Assessment in cash to the Drainage District. Section 3. Any Constituent Public Agency and Corporation intending to make such payment to the Drainage District shall notify the Drainage District and the City of Royal Oak of its intention to do so no later than July 15, 1998. Section 4. Any Constituent Public Agency and Corporation wishing to make such payments shall make the payment to the Oakland County Treasurer for the Account of the Drainage District no later than August 15, 1998. Otherwise the Bonds will include the principal amount of its Drain Assessment. Section 5. In the event any Constituent Public Agency and Corporation pays its share of the Estimate of Costs as shown 1 0 in Appendix 8 in cash, such Constituent Public Agency and Corporation shall have no obligation to make any payments to the City of Royal Oak or the Drainage District on the Bonds unless a revised or supplemental special assessment roll is prepared on account of a reduction of the Clawson Drain Assessment or an increase in the Estimate of Costs. ARTICLE E AGREEMENT BY THE CITY OF ROYAL OAK Section 1, The City of Royal Oak agrees to use its Best Efforts to issue the Bonds in an amount not to exceed the cost of Drain, plus the costs of issuance of the Bonds. Section 2. In the event the County of Oakland advances the Drainage District the amount of the Clawson Drain Assessment, the Bonds shall be reduced by that amount. Section 3. In the event there is no County Advance, the City of Royal Oak shall advance to the Drainage District the amount of the Clawson Drain Assessment as a part of the Proceeds from the Bonds or proceeds from Additional Bonds. The terms and conditions regarding repayment to the City of Royal Oak of amounts advanced by Royal Oak to the Drainage District for the Clawson Drain Assessment from the Drainage District shall be set forth in the Drain Construction Agreement. Section 4. In the event any Constituent Public Agency and Corporation pays the amount of its Drain Assessment in cash, the Bonds shall be reduced by that amount. 1 1 Section 5. The City of Royal Oak agrees to provide to the other Constituent Public Agencies and Corporations copies of proceedings and information regarding the issuance of the Bonds including the amount of the debt service owed by each of the other Constituent Public Agencies Corporations to the City of Royal Oak. Section 6. The City of Royal Oak agrees to pay any assessment against MDOT which is greater than the sum which would be yielded by application of the formula in Section 14a of 1951 PA 51, as amended, MCL 247.664a; NSA 9.1097(14a). ARTICLE F AGREEMENT BY THE OTHER CONSTITUENT PUBLIC AGENCIES AND CORPORATTONA Section 1. Unless it has paid to the Drainage District in cash the amount of its Drain Assessment, each Constituent Public Agency and Corporation shall be obligated to pay to the City of Royal Oak its share of the debt service on the Bonds to be issued as set forth in Appendix 1 which payments shall be made to the City of Royal Oak five business days before the payments by the City of Royal Oak are due on the Bonds. Section 2. Unless it has paid to the Drainage District in cash the amount of any Extra Drain Assessment, each Constituent Public Agency and Corporation shall be obligated to pay to the City of Royal Oak its share of the debt service on any Additional Bonds to be issued which payments shall be made to the City of Royal Oak five business days before the payments by the City of Royal Oak are due on the Bonds. Section 3. If there is an Extra Drain Assessment and no Additional Bonds have been issued, unless it has paid to the City of Royal Oak or the Drainage District in cash the amount of its Extra Drain Assessment, each Constituent Public Agency and 12 Corporation shall be obligated to pay to the Drainage District in accordance with the provisions of the revised or supplemental special assessment roll its Extra Drain Assessment. Section 4. If there has been a County Advance which has not been repaid, each Constituent Public Agency and Corporation agrees that should it fail to make any payment to the Drainage District as required by this Interlocal Agreement, the County of Oakland shall have the right to institute an action against such Constituent payments. Public Agency and Corporation to require such ARTICLE G ADDITIONAL MUNICIPAL CORPORATIONS AND WITHDRAWAL OF MUNICIPAL CORPORATIONS Section 1. this Agreement. Section 2. No additional public corporations may join in Neither the Drainage District nor any of the Constituent Public Agencies and Corporations may withdraw from this Agreement at any time until the purposes for which it was established have been completed and all amounts owing hereunder have been repaid in full. ARTICLE H TERMINATION.AXENDMENT Awn PPFPCTTVP nnmp Section 1. This Agreement shall continue in full force and effect so long as the Bonds are outstanding or the City of Royal Oak or any other party is owed any amount hereunder. 13 Section 2. This Agreement may be amended by a written document signed by authorized officers of all Constituent Public Agencies and Corporations and the Drainage District after approval of such amendment by resolution of the governing body of each. Section 3. This Agreement is dated as of June 1, 1998 for convenience of reference, but it shall become effective upon the filing of a true copy with the County Clerk of Oakland County and the Secretary of State. IN WITNESS WHEREOF, the undersigned have caused this Agreement to be made and entered into as of , 1998. NORTH ARAELIEF DRAIN DRAZNAGE,DISTRICT By: 41, Its: Chairman By: Its: 14 CITY OF ROYAL OAK ( By: -- Its : By: Its: Clerk 15 By: A 4 CITY OF BIRMINGHAM .."--C - c-------- 1 .. rc te—Damman, Lir . Its: Mayor By: Its: Clerk 16 CITY OF ROY By: I ,1 A . 0/e) Jeanne M. Stine Its: Mtivgir By: Tamara A. Renshaw Its: Clerk 17 • CITY OF MADISON HEIGHTS By: /tt‘ 4: George W.eiguarez Its: Mayor By: 00)C64¢._ CY6-c_61 - Carole Corbett, Deputy Clerk Its : Clerk Susan H. Rydelf, Deputy Cittlerk Its: Clerk By: CITY 0 SOUTHFIELD By: Its Mayor 19 VILLAGE OF BEVERLY HILLS By: Its : Manascr eSiolgtil BY: id_6,_e -maitziwo E'..n n E. Marsha-il Its : Clerk 20 COUNTY OF OAKLAND By: Its : By: Its: 21 STATE OF MICHIGAN By: Its: By: Its: -fur Director 22 APPENDIX 1 1. The City of Royal Oak North Arm Relief Drain Revenue Bonds, Series 1998 shall be issued by the City of Royal Oak pursuant to Act No. 94 of the Public Acts of 1933, as amended. 2. Based upon current engineer's estimates, the total amount of the bond issue (including the costs of issuance) will be $17,920,000. If that is the case the debt service due on the Bonds will be (a) as set forth on Appendix 1, page 2 assuming the Bonds are sold to the State of Michigan at a rate of 2W% per annum, or (b) as set forth on Appendix 1, page 3 if the Bonds are sold at a public sale, based on current estimates of interest rates. 3. If there is a County Advance in the amount of $3,286,528 the amount of the Bonds will be reduced to $14,633,472 and debt service on the Bonds will be: (a) as set forth on Appendix 1, page 4 assuming the Bonds are sold to the State of Michigan at a rate of 2V4 96 per annum or, (b) as set forth on Appendix 1, page 5 if the Bonds are sold at a public sale, based on current estimates of interest rates. las.rl-roy19 1 Interest Rate Interest 2.25% $403,200.00 A I) P.EN 1, ottg,e 2 City of Royal Oak North Arm Relief Drain Revenue Bonds, Series 1998 Debt Service Schedule Assuming No County Advance and the Bonds are sold to the State of Michigan Period Ending 9/1 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Principal $720,000.00 735,000.00 750,000.00 770,000.00 785,000.00 805,000.00 820,000.00 840,000.00 860,000.00 880,000.00 900,000.00 920,000.00 940,000.00 960,000.00 980,000.00 1,005,000.00 1,025,000.00 1,050,000.00 1,075,000.00 1,100,000.00 $17,920_000.00 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 387,000.00 370,462.50 353,587.50 336,262.50 318,600.00 300,487.50 282,037.50 263,137.50 243,787.50 223,987.50 203,737.50 183,037.50 161,887.50 140,287.50 118,237.50 95,625.00 72,562.50 48,937,50 24150.00 Total 1,123,200.00 1,122,000.00 1,120,462.50 1,123,587.50 1,121,262.50 1,123,600.00 1,120,487.50 1,122,037.50 1,123,137.50 1,123,787.50 1,123,987.50 1,123,737.50 1,123,037.50 1,121,887.50 1,120,287.50 1,123,237.50 1,120,625.00 1,122,562.50 1,123,937.50 1 124.750.00 $41,612.50 $22,451 612.50 las.lotus.royl 9a $17,920.000_00 $11,401 .452.50 $29.32_1_4.525Q APPENDLN 1. ae 3 • City of Royal Oak North Arm Relief Drain Revenue Bonds, Series 1998 Debt Service Schedule Assuming No County Advance and the Bonds are sold at a Public Sale Based on Current Estimates of Interest Rates Period Ending 9/1 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Principal $555,C00.00 580,000.00 605,000.00 630,000.00 660,000.00 690,000.00 720,000.00 755,000.00 795,000.00 830,000.00 875,000.00 915,000.00 965,000.00 1,015,000.00 1,065,000.00 1,125,000.00 1,185,000.00 1,250,000.00 1,315,000.00 1,390,000.00 Interest Rate Interest Total 4.15% 5911,130.00 1,466,130.00 4.35% 888,097.50 1,468,097.50 4.45% 862,867.50 1,467,867.50 4.55% 835,945.00 1,465,945.00 4.65% 807,280.00 1,467,280.00 4.70% 776,590.00 1,466,590.00 4.80% 744,160.00 1,464,160.00 4.85% 709,600.00 1,464,600.00 4.90% 672,982.50 1,467,982.50 4,95% 634,027.50 1,464,027.50 5.00% 592,942.50 1,467,942.50 5.10% 549,192.50 1,464,192.50 5.20% 502,527.50 1,467,527.50 5.30% 452,347.50 1,467,347.50 5.35% 398,552.50 1,463,552.50 5.40% 341,575.00 1,466,575.00 5.45% 280,825.00 1,465,825.00 5.45% 216,242.50 1,466,242.50 5.45% 148,117.50 1,463,117.50 5.50% 76,450.00 1.466.450.00 las.lotus.royl9a APPENDIX 1, page 4 City of Royal Oak North Arm Relief Drain Revenue Bonds, Series 1998 Debt Service Schedule Assuming a County Advance and the Bonds are sold to the State of Michigan Period Ending 9/1 Principal Interest Rate Interest Total 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 $587,000.00 601,000.00 614,000.00 628,000.00 642,000.00 657,000.00 671,000.00 686,000.00 702,000.00 718,000.00 734,000.00 750,000.00 767,000.00 784,000.00 802,000.00 820,000.00 839,000.00 857,000.00 877,000.00 897,472.00 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% 2.25% $329,253.12 316,045.62 302,523.12 288,708.12 274,578.12 260,133.12 245,350.62 230,253.12 214,818.12 199,023.12 182,868.12 166,353.12 149,478.12 132,220.62 114,580.62 96,535.62 78,085.62 59,208.12 39,925,62 20,193,12 916,253.12 917,045.62 916,523.12 916,708.12 916,578.12 917,133.12 916,350.62 916,253.12 916,818.12 917,023.12 916,868.12 916,353.12 916,478.12 916,220.62 916,580.62 916,535.62 917,085.62 916,208.12 916,925.62 917.665.12 $14,633,472.Q0 $3,700,134.90 $18,333.606.90 las.lotus.royl9b AMENDIX*1, page 5 • ; City of Royal Oak North Arm Relief Drain Revenue Bonds, Series 1998 Debt Service Schedule Assuming a County Advance and the Bonds are sold at a public sale Based on Current Estimates of Interest Rates Period Ending 9/1 Principal Interest Rate Interest Total 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 $453,000.00 472,000.00 492,000.00 514,000.00 538,000.00 563,000.00 589,000.00 618,000.00 648,000.00 679,000.00 713,000.00 749,000.00 787,000.00 828,000.00 872,000.00 918,000.00 968,000.00 1,021,000.00 1,076,000.00 1,135,472.00 4.15% 4.35% 4.45% 4.55% 4.65% 4.70% 4.80% 4.85% 4.90% 4.95% 5.00% 5.10% 5.20% 5.30% 5.35% 5.40% 5.45% 5.45% 5.45% 5.50% $744,072.46 725,272.96 704,740.96 682,846.96 659,459.96 634,442.96 607,981.96 579,709.96 549,736.96 517,984.96 484,374.46 448,724.46 410,525.46 369,601.46 325,717.46 279,065.46 229,493.46 176,737.46 121,092.96 62 450.96 1,197,072.46 1,197,272.96 1,196,740.96 1,196,846.96 1,197,459.96 1,197,442.96 1,196,981.96 1,197,709.96 1,197,736.96 1,196,984.96 1,197,374.46 1,197,724.46 1,197,525.46 1,197,601.46 1,197,717.46 1,197,065.46 1,197,493.46 1,197,737.46 1,197,092.96 1,197.922.96 $14.633,472..00 $9_314,033.7.0 $23.947,50510 las.lotus.royl9b APPENDIX 2 In re City of Olallacn, a case pending in the Circuit Court for the County of Oakland (#97-000937-AS) and In re City of Claw, a case pending in the Circuit Court for the County of Oakland (497-543863-AS). Matters relating to one or both of these cases are on Appeal to the Michigan Court of Appeals. las.rl-rov19 1 APPENDIX 3 PLEASE SEE ATTACHED APPENDIX 3 CONTRACT BETWEEN THE COUNTY OF OAKLAND AND THE NORTH ARM RELIEF DRAIN DRAINAGE DISTRICT THIS CONTRACT, made and entered into as of the ' 7 —day of, .4 1998, by and between the COUNTY OF OAKLAND, a municipal corporation in the State of Michigan (hereinafter referred to as the "COUNTY"), and the NORTH ARM RELIEF DRAIN DRAINAGE DISTRICT, a body corporate pursuant to Act 40 of the Public Acts of 1956, as amended (hereinafter referred to as the "Drainage District"); WITNESSETH: WHEREAS, pursuant to Act 40 of the Public Acts of 1956, as amended (hereinafter referred to as the "Drain Code") the Drainage Board for the Drainage District, having received a petition for and determined that a drainage project is necessary for the public health, and further determined that drainage facilities be located, established and constructed under the provisions of Chapter 20 of the Drain Code with the cost thereof to be assessed wholly against the public corporations benefiting from said project; WHEREAS, there is an urgent need of the Drain [as defined herein] to provide drainage to the public agencies and corporations located within the Drainage District, in order to alleviate flooding thereby promoting the health and welfare of the residents thereof; WHEREAS, at the present time, the Drainage District cannot currently issue bonds to finance the construction of said Drain because of pending litigation instituted by the City of Clawson, a public corporation and one of the municipalities to be assessed with the a portion of the cost for the Drain; WHEREAS, due to the pending litigation between the Drainage District and the City 2 • I • of Clawson, the Constituent Public Agencies and Corporations [as defined herein], have entered into an Interlocal Agreement dated June 1, 1998, to, among other things, construct the Drain, and share in their apportioned costs and any extra costs for said Drain; WHEREAS, pursuant to the Drain Code of 1956, specifically Chapter 20, Section 479 [MCL 280.479], the County of Oakland is authorized to advance moneys for the payment of any part of the cost of a drainage project constructed under Chapter 20 of the Drain Code of 1956 to be reimbursed by the Drainage District, with or without interest as may be agreed, when funds are available therefor; WHEREAS, the COUNTY is willing to advance moneys for the estimated share of of the drainage project assessed against the City of Clawson by the Drainage District to the Drainage District, and to be reimbursed by said drainage district with interest as provided herein when funds are available therefor; WHEREAS, the Drainage District is willing to construct said drainage facilities using moneys advanced by the COUNTY and to reimburse County with interest when funds are available; NOW THEREFORE, pursuant to the authority granted to them by statute and in consideration of the premises and the covenants of each other, the COUNTY and DRAINAGE DISTRICT hereby agree as follows: Article I Definitions: Section 1. Unless other provided, or unless the context clearly requires otherwise, the following terms shall have the following meanings in this agreement; 3 (a) Best Efforts. "Best Efforts" shall mean taking whatever action is reasonably necessary to effectuate the objective including, but not limited to, instituting or defending legal actions. (b) Cities. "Cities" shall mean: The City of Birmingham, the City of Madison Heights, the City of Royal Oak, the City of Southfield, and the City of Troy. (c) City of Clawson. "City of Clawson" shall mean the municipal corporation known as the City of Clawson, Oakland County, Michigan. (d) Clawson Drain Assessment. "Clawson Drain Assessment" shall mean the total drain assessment against the City of Clawson to be set forth in a special assessment roll to be adopted by the Drainage Board, after receipt of construction bids by the Drainage District, based upon the estimate of cost and revised final order of apportionment, and any additional assessment resulting from an increase in the estimate of costs as defined and provided in the agreement. (e) Clawson Litigation. "Clawson Litigation" shall mean the lawsuit as described in Appendix 2 of the Interlocal Agreement. Constituent Public Agencies Corporations. "Constituent Public Agencies Corporations" shall mean the Cities, the Village, the County of Oakland, and the State of Michigan, Department of Transportation. (g) County. "County' shall mean the County of Oakland. (h) County Advance. "County Advance" shall be an advance of money to the drainage district from the County in an amount not to exceed the Clawson Drain (1) 4 Assessment as evidenced by this contract. (i) Drain. "Drain" shall be the North Arm Relief Drain and all the improvements constituting such drain as described in Appendix 4 of the Interlocal agreement. Drainage District. "Drainage District" shall mean the North Arm Relief Drain Drainage District, a drainage district located in the County of Oakland established pursuant to Chapter 20 of the Drain Code. (k) Drainage Board. "Drainage Board" shall mean the statutory drainage drain board created by Chapter 20 of the Drain Code. (I) Interlocal Agreement. "Interlocal Agreement" shall mean the Interlocal agreement entered into between the constituent public agencies incorporations, dated June 1, 1998 for the construction and financing of the North Arm Relief Drain and all improvements constituting such drain. (m) Village. "Village" shall mean the Village of Beverly Hills. Article II General Provisions Section 1. The COUNTY, pursuant to the authority provided under section 479 of chapter 20 of the Drain Code [MCL 280.4791, hereby agrees to advance an amount not to exceed the sum of three million two hundred eithy-six thousand five hundred twenty eight [$3,286,528] dollars to the Drainage District for the construction of the Drain. Hereinafter referred to as "County Advance." Section 2. County Advance shall bear an interest rate prevailing on six-month United States Treasury Bills on the date of adoption of the resolution of the County Board of Commissioners approving the County Advance, to be compounded quarterly from the 5 (i) date of September 1, 1998. Section 3. The Drainage District agrees to construct the North Arm Relief Drain in accordance with the Interlocal Agreement and the attachments thereto; and promises to pay the County Advance and the accrued interest 120 days after the conclusion or settlement of the Clawson litigation. It is understood that pursuant to the Interlocal Agreement the Drainage District has agreed to continue the Clawson Litigation until it is resolved by a final court order or all of the parties to the Interlocal Agreement agree, by resolution of their respective governing bodies, to a settlement thereof. Section 4. Repayment of County Advance may be made payable out of the assessments made against public corporations or out of the proceeds from drain orders or bonds issued by the Drainage District pursuant to Drain Code or out of any other available funds or as provided in the Interlocal Agreement. Section 5. The COUNTY shalt have all other rights and remedies provided by law and/or the Interlocal Agreement to enforce and collect the obligation of the moneys advanced pursuant to this agreement. Section 6. Nothing herein expressed shall be construed as incurring to the COUNTY the obligation or responsibility with respect to the acquisition and construction of the Drain. Section 7. This contract shall become effective upon approval by resolution adopted by the COUNTY's Board of Commissioners. 6 /7 , 1998 By: John P. Mc obh IN WITNESS WHEREOF, the parties hereto have caused this contract to be executed and delivered by the undersigned; Executed on COUNTY OF OAKLAND Chairman CoWity Board of Commissioners North Arm Relief Drain Drainage District Executed on 7/7 , 1998 - By: eorge VV;Kuhn Drain Coithissioner and Chairman North Arm Relief Drain Drainage District NORTHARM,CON 7 June 15, 1998 APPENDIX 4 PLEASE SEE ATTACHED APPENDIX 4, page 1 PROPOSED NORTH ARM itti 31-a- DRAIN ROUTE DESCRIPTION To be located in Sections 2 & I I, T. IN., R.I1L, City of Madison Heights; Sections 3, 4, 5, 6 & 8; TAN., R.I1E., City of Royal Oak; and Section 31; T.2N., R.11E. and Section 36; T.214., R.10E., City of Birmingham, Oakland County, Michigan BRANCH No. 1 Beginning at a Point "A" along the north-south centerline clan existing 15'43" high horseshoe shaped section of the North Section of the Twelve Towns Relief' Drain, said Point "A" being located at tho intersection of Stephenson Highway and Thirteen Mile Road in the N.W. 1/4 of Section 11, T.LN, R.11E., City of Madison Heights; thence westerly along Thirteen Mile Road approximately 1880 lineal feet of an ending Point "B", along the north-south centerline of an existing 8'-0" diameter section of the North Section of the Twelve Towns Relief Drain, said Point "B" being located at thc intersection of Campbell Road and Thirteen Mile Road. BRANCH No. 2 Beginning at a Point "C' along the nut th-south centerline of an existing ICY-0" high horseshoe shaped section of the North Section of the Twelve Towns Relief Drain, said Point "C" being located at the intersection of Stephenson Highway and 1,1'hitcorrib Avenue in the West 1/2 of Section 2, TAN., R.11E., City of Madison Heights; thence westerly along Whitcomb Avenue approsdmately 3300 lineal feet to an ending Point "D", located at the intersection of Blair Avenue and Whitcomb Avenue. APPENDIX 4, page 2 BRANCH No. 3 Beginning at a Point "E" along the east-west centerline of an existing 13'-0" diameter section of the North Section of the Twelve Towns Relief Drain, said Point "E" being located at the intersection of Washington Avenue and Thirteen Mile Road in the S.E. 1/4 of Section 4, TAN., R.11E., in the City of Royal Oak; thence northerly along Washington Avenue approximately 1050 feet to an ending Point "F", located at the intersection of Washington Avenue and Lexington Boulevard. BRANCH No. 4 Beginning at a Point "G" along the north-south centerline of an existing 13'-0" diameter section of the North Section of the Twelve Towns Relief Drains said Point "C" being located at the intersection of Marais Avenue and Me Vernon Boulevard S.W. 1/4 of Section 4, RI 1E., City of Royal Oak; thence westerly along Mt. Vernon Boulevard approximately 1,937 feet to Crooks Road; thence northerly along Crooks Road approximately 476 feet; thence southwesterly approximately 980 feet and into Section 5 of the City of Royal Oak to a Point "H" being located at Durham Road approximately 508 feet south of Chester Road; thence southerly along Durham Road approximately 882 feet to Thirteen Mile Road; thence southwesterly approximately 460 feet into the N.E. 1/4 of Section 8, City of Royal Oak, to an ending Point "I", at the intersection of Woodland Avenue and Thirteen Mile Road. ALSO, continuing from Point "H" northerly along Durham Road approximately 508 feet to Chester Road; thence westerly along Chester Road approximately 350 feet to Woodland Avenue; thence northerly along Woodland Avenue approximately 1217 feet to Normandy Road; thence northwesterly approximately 730 feet to the intersection of Woodland Avenue and Massoit Road; thence northerly along Woodland Avenue approximately 634 feet to an ending Point Py, located at the intersection of Woodland Avenue and Nakota Road. BRANCH No. 5 Beginning at a Point "K", being an existing junction chamber interconnection of a 72" diameter section of the Graham Branch of the Royal Oak Drain and a 66" diameter section of the North Section of the Twelve Towns Relief Drains, said Point "K" being located at the intersection of Olivia Avenue and Nakota Road in the N.E. 1/4 of Section 6, T.1N., R.11E., City of Royal Oak; thence westerly along Nakota Road approximately 775 feet to the intersection of Nakota road and Elmwood Avenue; thence northerly along Elmwood Avenue approximately 778 feet to the intersection of Elmwood Avenue and Samoset Road; thence westerly A F,TENpJX 4, page 3 along Sarnoset Road approximately 317 feet, to an ending Point "L", located at the intersection of Cooper Avenue and Samosct Road. BRANCH Ni. 6 Beginning at a Point "M", being an existing junction chamber interconnection of a 72" diameter section of the Graham Branch of the Royal Oak Drain and a 48" drain, said Point "M" being located on the easterly side of Woodward Avenue approximately 500 feet southeasterly of Fourteen Mile Road in the N.W. 1/4 of Section 6, T. IN., LI IE., City of Royal Oak; thence northwesterly approximately 3650 feet along the easterly side of Woodward Avenue, crossing Fourteen Mile Road into the City of Birmingham to an ending Point "N", located at the intersection of Woodward Avenue and Lincoln Drive in the E. 1/2 of Section 36, T.2N., R.10E., City of Birmingham. IMPROVEMENTS: The proposed improvements shall consist of pipe enclosures along the described routes, to be installed by a combination of open cut and tunnel methods of construction. edcwis\wpwin\projccts\ncrtliarm\rolite.di:-. 9/3/97 57.4 -C••••-• • CD Eift:14INGHAiti SCALE: 1" = 2000' rOURTIen ;110 C L A(W S • BRAJOOM NO4 4 —77 • • • .161 ovese..:44P44 I ia cw6s-rti.11,-cA 1 ;111 THINVitIO if ` I s 1031:1 n•nn• t 111 /A. ta S3 dow,fr. AY. Ar.7 $0.3 Ant. Deor:•-.1 ' A404XE-09E BA/004 SO. 1 • '4 ROYAL OAK voessnat BERKLEY MAD1S HE 10 XHISIT "A DAM:1-30-91 DRAWN: KV; REV. '5 -Z5- .71 REV. REV. GEORGE W. KUHN OAKLAND COUNTY DRAIN COMMISSIONER -•..- %,,,Notte nom= wATFRFORD. MICHIGAN 48328 PROPOSED RELIEF PROJECT NORTH SECTION TWELVE TOWNS RELIEF DRAINS APPENDIX 4, page 5 NORTH ARM RELIEF DRAIN ESTIMATE OF CONSTRUCTION COST CONS • UCTION TOTAL '---------"aliWirolla COST COST Thirteen Mile Road 2,345,145 1 8' - 6" Tunnel 1 399 LF 6' - 0" Tunnel 468 L I 2A Whitcomb Avenue ______ 60" Open C—ii1,52.5 LF L -- 60" Tunnel 140 LF ' 1 - — 213 Whitcomb Avenue $539480 42" Open Cut 1,412 LF , i 3 Washington Road $770,600 , , 60" Tunnel 976 LF I i. 4A Royal Oak Schools & Worden Park $1,542,740 i 8' - 6" Open Cut 2-,71-531 LF 1 I ,. 413 Starr Elementary, Durham & 13 Mile Rd. $2,595,340 1 8' - 6" Tunnel 1,8481 LF 8' -6" Open Cut , 101 LF 1 54" TCrinel 3821 LF 1 ) 1- 40 Durham, Chester & Woodland Avenue $668,870 — 54" Open Cut 2,077 ' LE I I 4D Elks Park & Woodland Avenue $469,140 54" Open Cut 1,380 LF 5 Nakota, Elmwood & Samoset Road $670,600 48" 0 ien Cut 1,852 LF Woodward Avenue Branch $1,323 333 54" Open Cut I 2560 ______ 36" Open Cut' 210 ' LF ___.., .__. a • . : 0 k - 11 662 748 ) BLL PROJCOST.WK4 02/20198 - 10:45 AM APPENDIX 4, page 6 . • NORTFI ARM TWELVE TOWNS DRAIN IMPROVEMENT OAKLAND COUNTY, MICHIGAN September 4, 1997 HRC Job No_ 95730.22 DRAINAGE DISTRICT DESCRIPTION A parcel of land located in the Cities of Birmingham, Clawson, Madison Heights, Royal Oak, Southfield, Troy, and the Village of Beverly Hills, and being more particularly described as follows Beginning at the Northeast Corner of Section 33, T 2N., RI lE at the intersection of Maple and Livernois Roads; thence Westerly 5250 feet, more or less to the northwest corner of Section 33 at the intersection of Maple and Crooks Roads; thence Southerly along the west line of Section 33, 2604 feet, more or less, to the East 114 corner of Section 32 at the intersection of Crooks and Elmwood; thence Westerly along the East-West 1/4 line. of Section 32, 4452 feet, more or less: thence Northerly 641 feet, more or less to the north line cf Birmingham Airport Subdivision; thence Westerly along said north line, 350 feet, more or less; thence Northerly 672 feet, more or less to the south property line of paioel No. 20-32-126-008; thence Easterly e:ong the said south line 350 feet, more or less; thence Northerly 511 feet, more or less to the southeast corner of Maple Coolidge Esfates also being on the east right of way line of Axte:1 Road, South of Maple Road and also being the centerline of Axtel Road, North of Maple; thence Northerly along said line 990 feet more or less to the north lino of Section 32 at Maple Road; thence Easterly along said line 456 feet, more or less to the intersection of the east line of Maple View Subdivision extended and the north line cf Section 32; thence Northerly into Section 29 along said sLibclivision line extended 2210 feet, more or less; thence Westerly across Troy Apartment SubdivisiOn No. 2, Dorchester North Road and Troy Apartment Subdivision No. 1, 1335 feet, more or less to the west line of Section 29 at Coolidge Highway; thence Northerly along said line 340 feet, more or less to the east 1/4 corner of Section 30: thence Westerly along the east-west 114 line of Section 30, also being the center line of Derby Road 2355 feet, more or less; thence Northerly 1280 feet, more or less to the north line of tw-,,,i..0%967-4snotn.mws.d. Pagel of 5 APPENDIX 4, page 7 Buckingham Woods SuLdivision, thence Waseerly along said line 312 feet, more or less to the southwest corner of Buckingham Woods Subdivision No. 2; thence Northerly 1257 feet, more or less to the north line of Section 30 at Big Beaver Road; thence Westerly along said line 1131 feet, more or less to the centerline of Wrenwood Drive: thence Southerly along said line 955 feet, more or less; thence Westerly 150 feet, more or less to a Point "A", thence Northerly 360 feet, more or less; thence Westerly 404 feet, more or less, thence Northerly 250 feet, more or less; thence Westerly 224 feet. more or less; thence Southerly 564 feet, more or less; thence Easterly 628 feet, more or less to Point "A''; thence Southerly 367 feet, more or less to the southwest corner of John E Englehardt Subdivision; thence Westerly 400 feet, more or less; thence Southerly 920 feet, more or less to the north R.O.W. of Derby Road; thence Southwesterly 1005 feet, more or less, along said R.O.W. line extended to the west line of Section 3C at Adams Road: thence Southerly along said line 1106 feet, more or less; thence Westerly 997 feet, more or less to the west R.O.W. liee of Poppleton Ave; thence Southerly along said line 135 feet, more or less to the northwest comer of Poppleton and Oakland Avenues; thence Easterly 114 feet. mere or less to the souteeast corner of Lot 006 of Highland View Add.; thence Southerly 515 feet, more or less tc the southeast corner of Lot 15 cf Highland View Add.; thence Westerly 120 feet, more or less to the northeast corner cf Assessors Plat No. 26; thence Southerly 170 feet, more or less to the south R.O.W. line of Knox Avenue at the northwest corner of Lot 4 of FLA_ Poppletions Add.; thence Westerly along said R.O.W. line extended, 255 feet, more or less; thence Southerly 350 feet, more or less to the south line of Section 25 at Maple Road; teence Westerly along said line 340 feet, more or less to the west R.O.W. line of Woodward Avenue extended; Thence Northerly along said line 150 feet, more or less; thence Westerly 575 feet, more or less; thence Southerly 150 fee: more or less to the soutneast corner of Woodward Avenue and Maple Roads; thence Northwesterly along the east R.O.W. line of Woodward Avenue extended, 270 feet, more or less to the southeast corner of Woodward and Harniiton Avenues; thence Westerly 1GC feet, more or less to the west le.O.W. tine of Woodward Avenue; thence Southeasterly along said line 120 feet, more or less to the northwest corner of Woodward Avenue and Maple Roads; thence Westerly along the north R.O.W. line of Maple Road 645 feet, more or less; thence Southerly 93 feet, more Cr less to the northeast corner of Bates Street and Maple Road: thence Westerly 100 feet, more or less to the northwest corner of lot 13 of Merrill's Plat; thence Southerly 103 feet, more or less: thence Westerly 120 feet, more or rpm. dra\951.85705730currAirS6.fitc Page 2 of 5 less to the northwest APPENDIX 4, page 8 corner of Lot 21 of Merrill's plat; thence Southerly 532 feet, more or less to the northwest corner of Lot 93 of :mid plot; thence Easterly 190 feet, more or less to the centerline of Bates Street; thence Southerly along said fine 265 feet, more or less; thence Westerly 150 feet, more or less; thence Southerly 266 feet. more or less; thence easterly 752 feet, more or less to the centerline of Pierce Street; thence Southerly along said line 2930 feet, more or less to the centerline of Catalpa Drive; thence Easterly along said line 1280 feet, more or less to the centerline of Grant Street; thence Southerly 1382 feet, more or less to the centerline of 14 Mile Road; thence Southerly along said line 3940 feet; more or less to the northwest corner of Greenfield Villas Subdivision; thence Southerly along the west line of ead Subdivision 1301 feet, more or less to the centerline of 13 Mile Road at the northwest corner of Meadowlawn Gardens Plat; thence Southerly 901 feet, more cr less to the centerline of Judson Avenue; thence Easterly 16-15 feet, more or less, along said line; thence Southerly 900 feet, more or less, to the south R.O.W. line of Albert Avenue; thence Easterly 900 feet, more or less, to the centerline of Garden Avenue; thence Southerly 130 feet, more or less, along said line; thence Easterly 600 feet, more or less, to the centerline of Harvard Read; thence Northerly 135 feet, more or less; thence Easterly 370 feet, more or less, along the south R.O.W. of Albert Avenue extended to a point on Beaumont Hospital property: thence Northerly 35 feet, more or less, thence Westerly 30 feet, more or less; thence Northerly 105 feet, more or less; thence Easterly 175 feet, more or less; thence Southerly 75 feet, more or less; thence Easterly 70 feet, more or less; thence Southeasterly 83 feet, more or less; thence Northeasterly 195 feet, more or less; thence Southwesterly 210 feet, more or less, thence Southwesterly 115 feet, more or less; thence Southerly 135 feet , more or less; thence Easterly 85 feet, more or less; thence Southeasterly 100 feet, more or less; thence Easterly 225 feet, more or less; tnence Northeasterly 145 feet, more or less, to the scutheast corner of Lot 353 of Broadacres Subdivision; thence Northwesterly 320 feet, more or less, to a point approximately 25 feet weet of the west line of Broadacres Subdivision at Albert Street (vacated); thence Northeasterly 630 feet, more or less; thence Northwesterly 145 feet, more or less; thence Southwesterly 335 feet, more or less, to a point on the east R.O.W. line of Tyler Avenue (vacated) at the NW corner of Lot 309; thence Northwesterly 200 feet, more or less; thence Northeasterly 80 feet, more or less; thence Southeasterly 80 feet, more or less; thence Northeasterly 125 feet, more or less; thence Northerly 160 feet, more or less; thence Northeasterly 515 feet, more or less, to the centerline of Monier Avenue (vacated); thence Southerly 410 feet, more or less; thence rir:_d4ta`.9518.51:95721:1VMTAZ56.01DC Page3 of 5 - APPENDIX 4, page 9 Easterly 195 feet, more or less, to the west property line of Judson Bradways Woodward Monier Subdivision at the SW corner of Lot 156; thence Southerty along said line 520 feet, more or less; thence Northeasterly 740 feet, more or less,; thence Northwesterly 200 feet, more or less; thence Northeasterly 100 feet, more or less, to the west R.O.W. line of Coolidge Highway (at the south R.O.W. line of Albert Avenue); thence Northwesterly 200 feet, more or less, along said line; thence Northerly 365 feet, more or less; thence Northeasterly 950 feet, more or less, to the east R.O.W. line of Woodward Avenue extended; thence Southeasterly along said line 1500 feet, more or less to the southwest corner of Lot 181 of Woodwarciside Subdivision; thence Northeasterly 410 feet, more or less; thence Southeasterly 316 feet, more or less; thence Northeasterly along the back lot line between Sembridge and Raiford Roads, 1350 feet, more or less to the centerline of Shenandoah Drive; thence Northerly along said line 85 feet, more or lass; -thence Easterly 166 feet more 07 less to the northeast corner of Lot 8 of Starr Garden Farms; thence Southerly 400 feet, more or less; thence Easterly 351 feet, more or less; thence northerly 500 feet, more or less to the southeast corner of Lot 011 or Starr Garden Farms; thence Easterly 720 feet, more or less; thence Northerly 575 feet, more or less; thence Easterly 380 feet more or less to the centerline of Wood!and Avenue; thence Northerly 155 feet, more or less to the north line of Section 8 at Thirteen Mile Road; thence Fasterly along said line 1390 feet, more or less to the northeast corner of Section 8 at Crooks Road; thence Southerly along the east line of Section 8, 720 feet, more or less to the centerline of Poplar Avenue extended; thence Easterly along said line 2450 feet, more or less to the centerline of Marais; theoce Northerly along said line 205 feet, more or less to the centerline of Poplar Avenue; thence Easterly along said line 230 feet to the west line of Beverly Woods Subdivision, thence Northerly 525 feet, more or less to the north line of Section 9 at Thirteen Mile Read; tnence Easterly 500 feet more or less; thence Southerly 660 feet, more or less; thence Easterly 365 feet, more or less; thence Southerly 550 feet, more or less to the southeast corner of I3everly Woods Subdivision; thence Easterly 205 feet, more or less to the centerline of Columbus Avenue; thence Northerly 125 feet, more or less; thence Easterly 120 feet, more or less; thence Northerly 685 feet. more or less; thence Easterly 50 feet, more or less; thence Northerly 385 feet, more or less to the north line of Section 9 at Thirteen Mile Road; thence Easterly 330 feet. more or less to the northeast corner of Williams Meadows Subdivision; thence Southerly 333 feet, more or less; thence Easterly 95 feet, more or less; thence Southerly 124 feet, more or less; thence Easterly 465 feet, more cr less to the chmeinSST&S7304:1311141158,doe Page4 of 5 t • _ APPENDIX 4, page 10 northeast corner of Beverly Woods Subdivision No. 1; thence Northerly 300 feet, more or less; thence Easterly 300 feet, more or less; thence Northerly 153 feet, more or less to the north tine of Section 9 at Thirteen Mile Road; thence Easterly 152 feet, more or less te the northeast corner of Section 9 at Main Street; thence Southerly along the east line of Section 9, 1145 feet, more or less; thence Easterly 1410 feet, more or less to the centerline of Rochester Road; thence Southerly 90 feet. more or less; thence Easterly 355 feet, more or less to the northeast corner of Shulers Lucky Subdivision; thence Northerly 148 feet, more or less; thence Westerly 40 feet, mere or less; thence Northerly 173 feet, more or less to the centerline of LaSalle Avenue; thence Westerly 260 feet, more or less; thence Northerly 435 feet, more or less to the northwest corner of Red Run Heights No. 3 at Rochester Road;, thence Easterly 1410 feet, more or less to the north-south 114 line cf Section 10 at Alexander Avenue; thence Northerly 440 feet, more or-less to the north line of Section 10 at Thirteen Mile Road; thence Easterly 2400 feet to the northeast corner of Section 10 at Campbell Road; thence Northerly 3780 feet more or less; thence easterly 520 feet, more or less; thence northerly 980 feet., more or less; thence westerly 170 feet, more or lees; thence northerly 440 feet, more or less, to the north line of Section 2 at Fourteen Mile Road; thence westerly 350 feet, mcre or less, to the northeast corner of Section 3 at Fourteen Mile Road; thence Westerly 2600 feet, more cr less to the Royal Oak Corporation line at Rochester Road, thence Southerly 690 feet more or less to the centerline of Grove Avenue; thence Westerly 185 feet, more or leas; thence Southerly 170 feet, more or less to the southeast corner of Lot 89 of Parkland SubevisiOn; thence Westerly -1060 feet, more or less to the east line of Clawson park at Bellevue; thence Northerly 555 feet. more or less; thence Westerly 170 feet, more or less; thence Southerly 900 feet, more or less to the centerline of Wa!per Avenue; thence Westerly 1190 leet to the west line of Section 3 at Main Street; thence Northerly along said line 6625 feet, more or less to the northeast corner of Section 33 at Maple Road, also being the POINT OF BEGINNING. f 1lisc_dlnaigtt.57195270%.teNtltr511 doc Page 5 of 5 APPENDIX 4, page 11 TRCKE T I • 04-SEP- 99 124* y MO s nop.d 1 I II e 12 11111111= \ BE- vER AIRPORT Wow= _ 75 5CALE:1' • 2000' • • r. • • 28 RD. MAPLE [3; -14 27 I \ MEM 35 JOB NO. 95730 DATE B-1-37 & CLARK, INC. ENOINCERS P.O. BOX 824 48303-0824 SHEE T NO. FIGURE 1 .-APPENDIX 4, pap - 'PAH NOSN3Hd3IS J liargla"114 Orr 1411151111111.111 ANA. T 111.1111111.1. ' mm ew 111 111111171.1ailelFaiaril aig imam - D.X E D U ELMWC ELMWC)00 AVE. DRAINA iA E ins-rn CT SP NCER - 1- • -t ow= I I arti _ ' ,-- _ Annum t ANIIINNIIII c; r - -I -I I -I ' EU - 11111111611111 II r • • - -7114..1 11r1V--- . .- 1 - - - x iii NOM 1111111/ NEMaU 1• ,---r- I. REVISED 9-4-97 12 TOWNS NORTH ARM RELIEF 2 HUBBELL, ROTH CONSULTING 555 VuLET DRIVE 61.001AFIELD HILLS. MICH. Copirkitt Huttell. Rath axl Clark, Inc. 1995 All Rights Reserved APPNDI,e4, page 13 NORTH ARM RELIEF DRAIN Preliminary Estimate of Costs Construction Costs $11,696,000 Engineering 930,000 Financing Expenses 374,270 Oakland County Drain Commissioner Project Management 2,752,730 Construction Contingencies (10%) 1,792,000 Attorneys Fees on Lawsuits 375,000 TOTAL COSTS $17,920,000 las,ec-roy19 APPENDIX 5 As soon as the Clawson Litigation is completed, the Drainage District intends to sell drain bonds pursuant to the Drain Code of 1956, as amended which will be primarily payable from the Clawson Drain Assessment against the City of Clawson and any additional assessments against the Constituent Public Agencies and Corporations. The proceeds of these bonds will he used to repay the County Advance plus interest thereon and any increase in the Estimate of Costs approved by the Drainage Board. las.r1-roy19 1 APPENDIX 5, page 2 City of Royal Oak North Arm Relief Drain Revenue Bonds, Series 1998 Debt Service Schedule Assuming a County Advance and the Bonds are sold to the State of Michigan Period Ending 9/1 Principal Interest Rate Interest Total 1999 $590,000.00 2.25% $329,287.50 919,287.50 2000 600,000.00 2.25% 316,012.50 916,012.50 2001 615,000.00 2.25% 302,512.50 917,512.50 2002 630,000.00 2.25% 288,675.00 918,675.00 2003 645,000.00 2.25% 274,500.00 919,500.00 2004 655,000.00 2.25% 259,987.50 914,987.50 2005 670,000.00 2.25% 245,250.00 915,250.00 2006 685,000.00 2.25% 230,175.00 915,175.00 2007 700,000.00 2.25% 214,762.50 914,762.50 2008 720,000.00 2.25% 199,012.50 919,012.50 2009 735,000.00 2.25% 182,812.50 917,812.50 2010 750,000.00 2.25% 166,275.00 916,275.00 2011 765,000.00 2.25% 149,400.00 914,400.00 2012 785,000.00 2.25% 132,187.50 917,187.50 2013 800,000.00 2.25% 114,525.00 914,525.00 2014 820,000.00 2.25% 96,525.00 916,525.00 2015 840,000.00 2.25% 78,075.00 918,075.00 2016 860,000.00 2.25% 59,175.00 919,175.00 2017 875,000.00 2.25% 39,825.00 914,825.00 2018 895,000.00 2.25% 20.137.54 915 137.50 $14.635.000 $3,699.112.50 $18.334.112.50 las.lot us.royl 9 APPENDIX 6 DRAIN CONSTRUCTION AGREEMENT This Drain Construction Agreement dated as of June 1, 1998 is made and entered into pursuant to Act No. 40 of the Public Acts of Michigan of 1956, as amended, known as the Drain Code of 1956 ("Act 40") and Act No. 94 of the Public Acts of Michigan of 1933, as amended, known as the Revenue Bond Act ("Act 94") (together the "Enabling Acts") between the City of Royal Oak a Michigan Municipal Corporation (the "City") and the North Arm Relief Drain Drainage District, Oakland County, Michigan (the "Drainage District") WITNESSETH WHEREAS, the City has petitioned the Drainage District requesting that the Drainage District construct a drain to alleviate flooding within the City which drain cannot currently be financed by the Drainage District because of pending litigation; and WHEREAS, the City wishes to cause the drain to be constructed immediately and is willing to provide the funds through the sale of revenue bonds pursuant to Act 94 to cause such immediate construction to occur; and 1 WHEREAS, the Drainage District is willing to construct the Drain using the cash advanced from the City of Royal Oak on its behalf and on behalf of the Cities (as defined hereafter) as well as a cash advance to cover the estimated share of the City of Clawson which cash advance will be made either by the City or the County of Oakland. NOW, THEREFORE, pursuant to the power granted to the City and the Drainage District by the Enabling Acts, the City and the Drainage District agree as follows: ARTICLE I Section 1. The following terms shall be as defined in Article I of the Interlocal Agreement: (a) Act 40. (b) Act 94. (c) Additional Bonds. (d) Best Efforts. (e) Cities. (f) Bonds. (g) City of Clawson. (h) Clawson Drain AssessmPrit. (i) Clawson Litigatiork. (j) County. (k) County Advance. ( 1 ) Drain. 2 ns (a) (m) Drain Bonds. (n) Drain Assessment or Drain Assessmentq (o) Drain Board. (p) Extra Drain Assessment. (q) Proceeds from the Bonds. (r) Revised Final Order of Apportionment, (s) Village. Section 2. The following additional terms shall be defined as follows: EuOIiC Aaen Hnn vornc-yr "Constituent Public Agencies and Corporations" shall mean the Cities, the Village, the County, the Michigan Department of Transportation and the Drainage District. (b) Interlocal Agreement. "Interlocal Agreement" shall be the Agreement dated as of June 1, 1998 among the Constituent Public Agencies and Corporations pursuant to which the Bonds are being issued and the funds provided to construct the Drain. ARTICLE II CONSTRUCTION OF DRAIN Section 1. The City of Royal Oak intends to issue the Bonds and, if necessary, to issue the Additional Bonds for the 3 purpose of paying special assessments against the Constituent Public Agencies and Corporations to enable construction of the Drain. Section 2. The Drainage District is willing to construct the Drain to benefit the Constituent Public Agencies and Corporations in advance of the issuance of Drain Bonds if the Constituent Public Agencies and Corporations pay or cause to be paid sufficient funds to the Drainage District to permit construction of the Drain to begin in 1998. Section 3. Before construction of the Drain, the Drainage District will publicly advertise for and solicit bids from contractors to construct the Drain based upon engineering plans and specifications approved by the Drain Board, which bids are expected to be received on July 28, 1998. Section 4. Once the low bidder has been determined by the Drain Board, it will award the contract or contracts for construction subject to receipt of the Proceeds from the Bonds, which action is expected to occur on August 11, 1998. Section 5. The Drainage District agrees to cause the Engineers for the Drain to deliver to the City such descriptions of the Drain, its route and costs as are necessary for the City to issue the Bonds. 4 ARTICLE III SPECIAL ASSESSMENTS FOR THE DRATN Section 1. After approving the Estimate of Costs, the Drain Board will cause the preparation of and approve a special assessment roll to be based upon the apportionments set forth in the Revised Final Order of Apportionment. Section 2. If, it shall be necessary to increase the Estimate of Costs for any reason, the Drainage District shall prepare a revised or supplemental special assessment roll assessing the amount of such increase to the public corporations in accordance with the apportionment formula reflected in the Revised Final Order of Apportionment. Section 3. If, after the Clawson Litigation is completed by either a final order not appealable or not appealed from, which changes the percentages set forth in the Revised Final Order of Apportionment, the Drain Board shall prepare a Second Revised Final Order of Apportionment and thereafter hold a hearing thereon after which a revised or supplemental assessment roll will be prepared and approved. Section 4. Once the payment schedule for the special assessments under Section 1 is approved, the City of Royal Oak intends to issue the Bonds which will be repaid by the Cities the 5 proceeds of which, after payment of issuance costs, will be paid to the Drainage District to satisfy the special assessments. The special assessments required under Section 2 of this Article once paid to the Drainage District shall either be used to pay the County for the County Advance or to pay the City of Royal Oak for its advance. ARTICLE IV PAYMENTS TO DRAINAGE DISTRICT FROM THE PRWRRT)R rpnm mT.7, nnmnq Section 1. The City agrees that as soon as it issues the Bonds and it received the Proceeds from the Bonds, after the payment of issuance costs, it will disburse or cause to be disbursed the remaining Proceeds from the Bonds to the Drainage District in accordance with the provisions of Section 2 or Section 3 whichever is applicable. Section 2. If the Bonds are sold to the State of Michigan, Proceeds from the Bonds will be disbursed as provided in Appendix A of this Agreement. Section 3. If the Bonds are not sold to the State of Michigan, the Proceeds from the Bonds will be disbursed to the Drainage District on the day the Bonds are delivered to the purchaser. 6 Section 4. If Additional Bonds are issued, the City agrees to disburse the proceeds of the Additional Bonds, less any costs of issuance, to the Drainage District on the day the Additional Bonds are delivered to the purchaser. ARTICLE V DRAINAGE DISTRICT ACTIONS Section 1. If the Bonds are sold to the State of Michigan and the Drainage District does not receive the County Advance, the Drainage District will acknowledge the satisfaction of its special assessment against each of the Constituent Public Agencies and Corporations as provided in Exhibit A to this Agreement. Once all Bond Proceeds are disbursed this credit will equal 100% of the assessments being satisfied in this manner. Section 2. If the Bonds are not sold to the State of Michigan but the Drainage District receives the County Advance, the Drainage District will issue a credit to each of the Constituent Public Agencies and Corporations in the amount of the Bond Proceeds obtained by the Drainage District on behalf of each. Section 3. If the Drainage District has received the County Advance, when the Clawson Litigation is concluded by the 7 entry of a final order of a court not appealable or not appealed from, the Drainage District shall proceed to use its Best Efforts to issue the Drain Bonds in anticipation of the collection of the Clawson Drain Assessment plus interest thereon from September 1, 1998 at a rate sufficient to repay interest on the County Advance, less the amount of any cash payments received by the Drainage District from the City of Clawson. Once the proceeds of the Drain Bonds and any cash payments are received, the proceeds thereof, less the costs of issuance, shall be paid to the County of Oakland to repay the County Advance. Section 4. If the Drainage District has not received the County Advance, when the Clawson Litigation is concluded by the entry of a final order of a court not appealable or not appealed from, the Drainage District shall proceed to use its Best Efforts to collect the Clawson Drain Assessment plus interest thereon from September 1, 1998. Once the proceeds of the Clawson Drain Assessment are received, the proceeds shall be paid to the City of Royal Oak and used by it to retire the Bonds as provided in Article C, Section 9 of the Interlocal Agreement. 8 By: Its: Chairm By: Its: CITY OF ROYAL OAK By: Its: By: Its: Clerk ARTICLE VI AMENDMENT AND EFFECTIVE DATE Section 1. This Agreement may be amended by a written document signed by authorized officers of the parties hereto after approval of such amendment by resolution of the governing body of each party. Section 2. This Agreement is dated as of June 1, 1998 for convenience of reference, but it shall be come effective upon the approval of the governing bodies and he execution thereof by the authorized officers of each party. IN WITNESS WHEREOF, the undersigned have caused this Agreement to be made and entered into as of June 1, 1998. NORTH ARM/RELIEF DRAIN DRAINAGE DISTRICT las.rl-roy19 9 APPENDIX A PROCEDURES FOR DISBURSEMENT OF BOND PROCEEDS FROM THE MICHIGAN WATER POLLUTION CONTROL REVOLVING LOAN FUND PROGRAM 1. The Drainage District agrees to prepare and submit as the agent of the City a request for disbursement of funds to the Michigan Department of Environmental Quality once each month beginning on October 15, 1998 and continuing in the 15th day of each succeeding month until the Drain is completed and all Bond Proceeds are disbursed, which request will be in the form attached as Exhibit 1. 2. Upon approval of the City Commission of the City, the Disbursement of Funds will be requested by the Oakland County Drain Commissioner as the Agent for the City under such terms as are provided for in the approval. 3. The City agrees to provide to the Drainage District the necessary information regarding the financing costs for the Bonds which will be provided to the Drain Commissioner no later than October 1, 1998. 4. As each disbursement is received by the Drainage District, a credit will be made against the special assessments due from each of the Constituent Public Agencies and Corporations in a form set forth as Exhibit 2 attached hereto. las.r1-roy19 AMOUNT REQUESTED THIS PERIOD (City. State & Zip) G. Recipient's Bank Name: Address: (Street, P,O. Bac) (cty. state & ZP) Account Name: Special Instructions: H. Budget Items (Round amounts to the nearest dollar) BIN: Phone* ( ABA1 Account# AMOUNT REQUESTED CUMULATIVE TO DATE EXHIBIT 1 MICHIGAN DEPARTMENT OF.ENVIRONMENTAL QUALITY - ENVIRONMENTAL ASSISTANCE DIVISION MUNICIPAL FACILITIES SECTION MICHIGAN WATER POLLUTION CONTROL REVOLVING LOAN FUND PROGRAM REQUEST FOR DISBURSEMENT OF FUNDS MIS INF3RM4770N IS REQU'RED LWDLR AUTHORITY OF PART 63 CLEAN WATER ASSISTANCE, OF ME NATURAL RESOURCE AND ENVIRONMENTAL PROTECTION ACT (NREPAI. ACT 451 OF THE PUBLIC ACTS OF 1994. BEING SEC770N 324.5301 TO 324.5316 OF ME MICHIGAN COMPILED LAWS ANNOTATED. FAILURE TO SUBMIT REQUEST WILL RESULT IN NON-DISBURSEMENT OF LOAN FUNDS. PLEASE SEE OTHER SIDE FOR INSTRUCTIONS TO COMPLETE REQUEST A. SRF Project # B. Request # C. Period Covered by Request D. Type of Request E. SRF Loan Amount to CI partial 0 final iVuUiT) iM/1,31 T F. Recipient's Name: Phone# ( ) _ I Address: (street. P.O. 801 1. USER CHARGE SYSTEM DEVELOPMENT COSTS 2. DESIGN ENGINEERING COSTS 3. LEGALIFINANCLAL SERVICE FEES 4. ADMINISTRATIVE COSTS 5. BOND COUNSEL FEES 6. BOND ADVERTISEMENT COSTS 7. BID ADVERTISEMENT COSTS B. CAPITALIZED INTEREST 9. LAND ACQUISITION/RELOCATION COSTS 10. LAND PURCHASE COSTS 11. CONSTRUCTION ENGINEERING COSTS 12. CONSTRUCTION COSTS (bid contracts) 13. CONSTRUCTION COSTS (force 'accouni) 14. EQUIPMENT COSTS 15. OTHER PROJECT COSTS 16. TOTAL AMOUNT REQUESTED THIS PERIOD 17. TOTAL CUMULATIVE AMOUNT REQUESTED TO DATE 18. AMOUNT PREVIOUSLY DISBURSED 19. AMOUNT REQUESTED FOR DISBURSEMENT I certify that, to the best of my knowledge and belief, the costs above were incurred in accordance with the terms of the supplemental agreement and the application for SRF assistance for this project. I further certify the amount requested for disbursement represents the loan amount due, which has nct previously been requested. Authorized Representative Name (Print or Type): Authorized Representative Signature (Original): PLEASE RETURN THIS COMPLETED REQUEST TO THE ADDRESS SHOWN ON REVERSE SIDE Date EXHIBIT 2A ACKNOWLEDGMENT OF RECEIPT OF SPECIAL ASSESSMENTS AGAINST CONSTITUENT PUBLIC AGENCIES AND CORPORATIONS FOR THE NORTH ARM RELIEF DRAIN The undersigned Drain Commissioner of the County of Oakland and Chairman of the Drainage Board of the North Arm Relief Drain Drainage District (the "District") hereby acknowledges receipt of part of the drain assessment approved on , 1998 by the Drainage Board for the District against the following municipalities and public agencies: Assessed Unit of Government Amount of Original Assessment Amount of Assessment Paid by Disbursement of Pond Proceeds Principal Amount of Remaining Assessment City of Royal Oak City of Birmingham City of Southfield Village of Beverly Hills City of Madison Heights City of Troy County of Oakland on account of drainage of County highways State of Michigan on account of drainage of State highways Dated: las.rl-roy19 George W. Kuhn Drain Commissioner and Chairman, Drainage Board Share of Total Advance Amount of Partial Advance Paid by Disbursement of Bond Proceeds Principal Amount Remaining To Be Advanced EXHIBIT 2B ACKNOWLEDGMENT OF RECEIPT OF COUNTY ADVANCE BY CONSTITUENT PUBLIC AGENCIES AND CORPORATIONS (NO COUNTY ADVANCE HAS OC('URRED) The undersigned Drain Commissioner of the County of Oakland and Chairman of the Drainage Board of the North Arm Relief Drain Drainage District (the "District") hereby acknowledges receipt of part of an advance equal to Clawson's share of the amount received: Unit of Gov ,=rnment City of Royal Oak City of Birmingham City of Southfield Village of Beverly Hills City of Madison Heights City of Troy County of Oakland on account of drainage of County highways State of Michigan on account of drainage of State highways Dated: George W. Kuhn Drain Commissioner and Chairman, Drainage Board las.rl-roy19 100.000% DRAINAGE BOARD FOR THE NORTIkiLRM RELIEF DRAIN By: Chairm APPENDIX 7 REVISED FINAL ORDER OF APPORTIONMENT IN RE NORTI I ARM RELIEF DRAIN In accordance with a resolution adopted by the Drainage Board for the North Arm Drain on the 17th day of February, 1998, the apportionments of the cost of the North Arm Drain to be borne by the several public corporations are as follows . City of Royal Oak 47.836% City of Southfield 0.544% Village of Beverly Hills 2.578% City of Birtaingharn 21.175% City of Clawson 18.340% City of Madison Heishts 0.187% City of Troy 6.509% • County of Oakland, on account of drainage of county highways 1.006% State of Michigan, on account of drainage of state higNways 1.825% Dated: February 17, 1998 Filed: Febniary 17, 1998 berstorr P101440 1099J6 • APPENDIX 8 PERCENTAGE OF OBLIGATIONS EXCLUSIVE OF THE CITY OF CLAWSON Public Corporation Percentage Beverly Hills 3.157% Birmingham 25.931% Madison Heights 0.229% Royal Oak 58.579% Southfield 0.666% Troy 7.971% State of Michigan 2.235% (Highways) County of Oakland 1.232% (Roads) TOTAL 100.000% Each of the Constituent Public Agencies and Corporations agree to the allocation set forth above (as applied to the principal amount of the Bonds or Additional Bonds) as its benefit from the Bonds or Additional Bonds to be issued by the City of Royal Oak for purposes of Section 265(b)(3)(C)(iii) of and rebate obligations under the Internal Revenue Code of 1986, as amended; and provided that if any Constituent Public Agency or Corporation pays the amount of its drain assessment in cash to the Drainage District by August 15, 1998 pursuant to Article D of the Contract and Interlocal Agreement, the allocation of the amount of the Bonds shall be zero ($0). las.r1-roy19 1 C S I FISCAL NOTE (Misc. Itc,8164 BY: Finance Committee, sue Ann Douglas, Chairperson IN RE: THE NORTH ARM RELIEF DRAIN DRAINAGE DISTRICT; EXECUTION OF THE INTERLOCAL AGREEMENT; EXECUTION OF CONTRACT TO ADVANCE AND REPAY FUNDS NOT TO EXCEED THREE MILLION TWO HUNDRED EIGHTY-SIX THOUSAND FIVE HUNDRED TWENTY-EIGHT ($3,286,528) DOLLARS; AUTHORIZATION FOR COUNTY OF OAKLAND TO PAY ITS ASSESSMENT FOR COUNTY ROADS LOCATED WITHIN DRAINAGE DISTRICT To The Oakland County Board of Commissioners Chairperson, Ladies and Gentlemen: Pursuant to Rule XII-F of this Board, the Finance Committee has reviewed the above referenced resolution and finds: 1. The Interlocal Agreement among Oakland County, the North Arm Relief Drain Drainage District, the State of Michigan, and the six local municipalitiess identified in the Interlocal Agreement have entered into an agreement to permit the immediate construction of the North Arm Relief Drain project. 2. This project is urgent and necessary in that it addresses serious public health and welfare concerns. 3. The total cost for this project is $17,920,000 to be assessed to benefiting cities and governing authorities based on proportionate benefits assessed. 4. The City of Clawscn's obligation of $3,286,528 is pending the outcome of litigation to determine reqpnn1h111ty. 5. In order to proceed with this project funds of $3,286,528 will be loaned from the Delinquent Tax Revolving Fund (DTRF) to the General Fund. Funds will be repaid with interest at the current six month Treasury Bill rate. The interest rate will change every six months and ionterest will be compounded quarterly. The North Arm Construction Fund will borrow funds from the General Fund at the same interest rate and conditions as the loan from the DTRF. 6. Oakland County's apportionment of 1.006% which equates to an assessment of $180,275.20 will be funded through the Royal Oak bond sale.Funds are budgeted in the General Fund Non-Departmental Drain Assessment Account for repayment of the bond (ref. County Executive Recommended Budget for FY 1999 and FY 2000).In the event that Oakland County receives an additional assessment, an additional appropriation may be necessary. 7. Administrative costs of the Oakland County Drain Commission for this project shall be paid by the North Arm Relief Drain Drainage District. 8. The City of Clawson's legal costs and attorney fees will be borne by the City of Clawson and not by the North Arm Relief Drain Drainage District. FINANCE COMMITTEE /OIL( Finance Committee Vote: Motion carried on roll call vote with Palmer dissenting. ATTACHMENT TO FISCAL NOTE REVOLVING FUND BORROWING AGREEMENT WHEREAS the County of Oakland is desirous of borrowing monies from the Oakland County Delinquent Tax Revolving Fund, and WHEREAS the Delinquent Tax Revolving Fund Agent has determined sufficient monies are available to loan to the County, THEREFORE, in consideration of agreements set forth below it is hereby agreed by and between the parties as follows: The County General Fund will borrow the principal sum of $3,286,528 from the Delinquent Tax Fund to be paid back in annual principal and interest payments not to exceed five (5) years. Said payments shall be deducted from the annual Revolving Fund distribution made to the County on or about June 1st of each year. Interest on each payment will be based on the average monthly rate paid during the term of this agreement by the agent of the Delinquent Tax Revolving Fund for that year's outstanding borrowing. The schedule of principal payments will be: Year 4 Principal Tota l AGENT FOR REVOLVING FUND FINANCE AND PERSONNEL COMMITTEE I HEREBY L. Brooks *otters° ()linty Executh7e- EGOING F?ESOLUT? Date r' I • 4 Resolution #98164 July 16, 1998 Moved by Palmer supported by Jensen the resolution be adopted. AYES: Kaczmar, Kingzett, Law, McCulloch, Millard, Moffitt, Obrecht, Palmer, Schmid, Taub, Wolf, Amos, Coleman, Devine, Dingeldey, Douglas, Garfield, Gregory, Hoffman, Holbert, Huntoon, Jacobs, Jensen, Johnson. (24) NAYS: None. (0) A sufficient majority having voted therefore, the resolution was adopted. »tee 2:o:7 a4-me ade-p& 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 the Oakland County Board of Commissioners on July 16, 1998 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 16th day o July 8. D. Allen, County Clerk MEMO To: All Commissioners From: John P. McCulloch, Chairperson Subject: Memorandum dated July 22, 1998, from Joseph W. Colaianne Date: July 30, 1998 Attached is a copy of a memorandum I received from Mr. Colaianne of Corporation Counsel's Office regarding the North Arm Relief Drain Interlocal Agreement, which I believe is self- explanatory. I have asked staff to add this memorandum to the August 6, 1998, Board of Commissioners' agenda under New and Miscellaneous Business if you should have any questions or comments. /ru Attachment g1 a- C or • * • • L BROOKS PATTERSON, OAKLAND COUNTY EXECUTIVE Gerald D. Poisson, Director 858-0553 DEPARTMENT OF CORPORATION COUNSEL Joseph W. Colsianne 975-9616 Memorandum PRIVILEGED AND CONFIDENTIAL To: John P. McCulloch, Chairperson Oakland County Board Of Commissioners From: Joseph W. Colaianne Date: July 22, 1998 Subject: North Arm Relief Drain Interlocal Agreement As I indicated in our telephone conversation of July 22, 1998, yesterday I learned for the first time that the Interlocal Agreement which you and Mr. Kuhn executed last week, was different from the Interlocal Agreement that was presented to and approved by the Board of Commissioners. Specifically, page 12 of the interlocal agreement added a "Section 6" to Article E, This section reads as follows: Section 6. The City of Royal Oak agrees to pay any assessment against MDOT which is greater than the sum which would be yielded by application of the formula in Section 14a of 1951 PA 51, as amended, M.C.L. 247.664a; MSA 9.1097(14a). The discrepancy [between the Interlocal Agreement passed by the BOC and the Interlocal Agreement you executed] was identified when all 25 copies of the agreements were delivered to the State of Michigan and reviewed by an assistant with the Attorney General's Office. I learned about the discrepancy when Royal Oak's City attorney, Charles Semchena, called me to inform me that the attorney general's office had certain concerns with the agreement. Mr. Semchena explained further, that the section 6 language to the Interlocal Agreement was added at the last minute sometime last week and that he simply forgot to inform me. As I indicated to you yesterday, the above referenced addition to the Interlocal Agreement, obligates Royal Oak to indemnify the State, and therefore, this section will have no impact on the County. Nonetheless, once again, I apologize for not detecting this additional language prior to the agreements being executed by you and Mr. Kuhn. COUNTY MICHIGAN Finally, I have spoken with Assistant Attorney General George M. Elworth, the Couil Tower - 'Nest 'Meg • 1200 North Telegraph Road • Pontiac. Michigan 48341-0419 • (248) 858-0550 • Fax (248) 858-1003 joseiTh W. Colaianne Assistant Corporation Counsel • . • •••• • • • OAKLAND COUNTY CORPORATION COUNSEL John P. McCulloch, memo (July 22, 1998) Page 2. attorney assigned to review the Interlocal Agreement on behalf of the State. I informed him that I had spoken with you, and that, despite the discrepancy noted above, that the executed Interlocal Agreement was acceptable. Based on the foregoing, it may be prudent to have the Board approve this added language to the Interlocal Agreement. However, I will leave it to you to take any further BOG action you believe is necessary. Should you have any questions, please call. OAKLAND COUNTY CORPORATION COUNSEL Gerald D. Poisson, Director cc: Gerald D. Poisson, Director Court Tower • West Wing • 1200 North Telegraph Road • Pontiac, Michigan 48341.0419 • (248) 858-0550 • Fax (248) 858.1003 f o, Resolution 498164 August 6, 1998 Moved by Palmer supported by Jacobs the resolution be amended in the Interlocal Agreement, on page 12, by adding a "Section 6" to Article E. This section reads as follows: Section 6. The City of Royal Oak agrees to pay any assessment against MDOT which is greater than the sum which would be yielded by application of the formula in Section 14a of 1951 FA 51, as amended, M.C.L. 247.664a; MSA 9.1097(14a). A sufficient majority having voted therefor, the amendment carried. Moved by Palmer supported by Jensen the resolution be amended by adding the following BE IT FURTHER RESOLVED, to read as follows: BE IT FURTHER RESOLVED that the Drainage Board for the North Arm Relief Drainage District use its best efforts to facilitate having the City of Clawson included in the 2;1% SRF bond issue. A sufficient majority having voted therefor, the amendment carried. Vote on resolution, as amended: AYES: Obrecht, Palmer, Schmid, Taub, Wolf, Amos, Coleman, Dingeldey, Douglas, Garfield, Gregory, Hoffman, Holbert, Huntoon, Jacobs, Jensen, Johnson, Kaczmar, Kingzett, Law, McCulloch, McPherson, Millard, Moffitt. (24) NAYS: None. (0) A sufficient majority having voted therefor, the resolution, as amended, was adopted. L Brooks Patty‘son, County Executive Date I HEREBY LJJ - ' E FOREGOING RESpLUTvION 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 the Oakland County Board of Commissioners on August 6, 1998 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 6th day of August J42.8. LynA D. Allen, County Clerk