HomeMy WebLinkAboutResolutions - 2000.12.14 - 25965MISCELLANEOUS RESOLUTION #00322 December 14, 2000
BY: Finance Committee, Sue Ann Douglas, Chairperson
IN RE: DEPARTMENT OF MANAGEMENT & BUDGET/DRAIN
COMMISSIONER — LONG TERM ADVANCES FOR MAINTAINING LAKE
LEVELS AND PROVIDING FOR OTHER LAKE IMPROVEMENTS
To the Oakland County Board of Commissioners
Chairperson, Ladies and Gentlemen:
WHEREAS the Board of Commissioners, for the protection of public safety, to
protect the natural resources of Oakland County, and to protect the value of properties
around inland lakes located in Oakland County, from time to time deems it expedient to
advance funds for projects that maintain lake levels or provide for other lake
improvements; and
WHEREAS the present procedure for advancing funds does not ensure repayment
to the County due to the lack of a requirement to establish a Special Assessment before
funds are advanced; and
WHEREAS Public Act 146 of 1961, as amended, the Inland Lake Level Act, and
Public Act 345 of 1966, as amended, the Inland Lake Improvement Act, specify
procedures for the establishment of lake levels and other lake improvements for inland
lakes in Michigan; and
WHEREAS implementation of recommended revised procedure would entail
initiation of a contractual agreement between the Board of Commissioners and the local
assessing authority, i.e., the Drain Commissioner in the case of lake level maintenance,
and both the local municipality and Lake Improvement Board in the case of a proposed
lake improvement; and
WHEREAS an essential element of said contract would be the establishment of a
Special Assessment prior to the advancement of funds from the County; and
WHEREAS recommended contracts for lake level maintenance and lake
improvements (copies attached) have been prepared by Corporation Counsel, in
cooperation with representatives of the Drain Commissioner, Treasurer's Office and the
Department of Management & Budget; and
WHEREAS the Board of Commissioners, by Misc. Resolution #92252 dated
November 19, 1992, established the Long Term Revolving Fund, to provide a mechanism
for advancement and repayment of such loans, and transferred $535,000 from the General
Fund for its operation; and
WHEREAS, prior to the establishment of the Long Term Revolving Fund, the
General Fund advanced monies directly to the Drain Commissioner for such projects
upon authorization of the Board of Commissioners, including Bunny Run Lake and Long
Lake in Commerce Township, which have outstanding balances of $28,198 and $48,392,
respectively; and
WHEREAS the Department of Management & Budget recommends consolidation
of these balances in the Long Term Revolving Fund, thereby increasing total
authorization to $611,590; and
WHEREAS the County Executive, with the concurrence of the newly elected
Drain Commissioner, recommends approval of this resolution.
FINANCE COMMITTEE VOTE:
Motion carried unanimously on a roll call vote with Palmer absent.
NOW THEREFORE BE IT RESOLVED that the Oakland County Board of
Commissioners authorizes implementation of recommended procedures regarding long
term advances for maintaining lake levels and providing other lake improvements with
the prerequisite of a contractual agreement that entails the establishment of a Special
Assessment prior to the advancement of funds.
BE IT FURTHER RESOLVED that the outstanding balances for Bunny Run
Lake and Long Lake be consolidated in the Long Term Revolving Fund, increasing total
authorization to $611,590 for loan advances.
Chairperson, on behalf of the Finance Committee, I move adoption of the
foregoing resolution.
FINANCE COMMITTEE
LAKE LEVEL IMPROVEMENT CONTRACT.
Between the
COUNTY OF OAKLAND
. And
SPECIAL ASSESSMENT DISTRICT FOR
LAKE
THIS CONTRACT (hereafter, this "Contract") is made and entered into between the
COUNTY OF OAKLAND, a Michigan Constitutional and Municipal Corporation, whose
address is 1200 North Telegraph Road, Michigan 48341 (hereafter, the "County"), and SPECIAL
ASSESSMENT DISTRICT FOR LAKE, (hereafter, the "Special Assessment
District") by and through the OAKLAND COUNTY DRAW COMMISSIONER, the delegated
authority under Part 307 of the Michigan Natural Resources and Environmental Protection Act
("NREPA"), MCL 324.30701 et seq. In this Contract, either the Comity and/or the Special
Assessment District may also be referred to individually as a "Party" or jointly as "Parties."
INTRODUCTION
WHEREAS, Lake is located
City/Village/Township, Oakland County, Michigan.
WHEREAS, the Oakland County Board of Commissioner adopted Misc. resolution No.
on , directing the Prosecuting Attorney to initiate a Complaint to
establish the legal or normal level for Lake in accordance with Part 307 of the
NREPA.
WHEREAS, the Oakland County Circuit Court by its Order dated established
the normal height and level for lake and confirmed the special assessment district
whose property owners will be assessed for all costs related to the finance, construction and
maintenance of normal lake level project
WHEREAS, the County Board of Commissioners, pursuant to Miscellaneous Resolution
No. has created a long term revolving fund to advance funding for lake level control
projects initiated by the delegated authority for the protection of the health safety and welfare of
the public, to protect the natural resources of the State, and to protect the value of properties
around lakes;
WHEREAS, Section 30717 of Part 307 of the NREPA, MCL 324.30717, authorizes the
delegated authority to accept the advance of work, material or money in connection with a normal
level project; and to repay the advance out of the special assessments;
WHEREAS, the delegated authority, on behalf of the Special Assessment District, has
requested the County for an advance of and amount not to exceed $ to pay for the
costs to finance, construct, manage, and implement normal level project of the lake for the
protection of the public health, welfare and safety; the conservation of the natural resources of the
state; and to preserve property values around the lake;
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WHEREAS, the County Board of Commissioner agrees to advance, an amount not to
exceed $ to the Special Assessment District upon the terms and conditions set
forth in this Contract.
NOW, THEREFORE, pursuant to Miscellaneous Resolution # adopted by
the Oakland County Board of Commissioner, hereinafter "MR # ", dated
2000, which is incorporated herein, and in consideration of the mutual
promises, representations, and agreements set forth in this Contract, and for other good and
valuable consideration, the receipt and adequacy of which is hereby acknowledged, the Parties
agree as follows:
ARTICLE L DEFINED TERMS. In addition to the above defined terms (i.e.,
"Contract", "County", "Special Assessment District", "Party" and "Parties"), the Parties agree
that the following words and expressions, whether used in the singular or plural, possessive or
non-possessive, and/or either within or without quotation marks, shall, be defined and interpreted
as follows:
1.1 "County Board" means the county board of commissioners.
1.2 "Delegated Authority" means the county drain commissioner or any person designated by
the county board to perform duties required under Part 307 of the NREPA, MCL
324.30701 et seq.
1.3 "Normal Level" means the level or levels of the water of an inland lake as established by
the circuit court pursuant to Part 307 of the NREPA.
1.4 "Part 307" means Part 307 of the Michigan Natural Resources and Environmental Act,
1994 P.A. 451, as amended, f/k/a the Inland Lake Level of 1961
1.5 "Special Assessment District's Account" means the account of the Special Assessment
District for Lake, maintained by the County's Department of Management and
Budget, in conjunction with the County Treasurer, at its offices located at 1200 N.
Telegraph Road, Pontiac, Michigan.
1.6 "State" shall be defined as the "State of Michigan," a sovereign governmental entity of
the United States, and shall also include within its definition any and all departments or
agencies of State government including specifically, but not limited to, the Michigan
Department of Environmental Quality ("MDEQ -).
ARTICLE H. PURPOSE OF ADVANCE FROM COUNTY REVOLVING FUND
TO SPECIAL ASSESSMENT DISTRICT.
2.1 The County hereby agrees to advance an amount not to exceed $ to the
Special Assessment District in connection with a normal level project!
Section 30717 of Part 307, MCL 324.30717, provides that "Rif the principal amount of all notes or
contracts issued under this section for a single normal level project is not more than $500,000.00, a contract
or note shall not be considered an obligation within the meaning of the municipal finance act" 1943 PA.
1943, as amended, MCL 131.1 to 139.3.
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2.2 The amount advanced by the County shall be applied to the allowable costs of a normal
level project as defined under Section 30712 of Part 307 (MCL 324.30712).
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2.3 The funds advanced by the County to the Special Assessment District shall be repaid out
of the special assessments against the following that are benefited by the project:
privately owned parcels of land, political subdivisions of the state, and state owned lands
under the jurisdiction and controlled by the department. See MCL 324.30711.
2.4 If any revenues raised pursuant to the special assessment district are insufficient to meet
the computation of costs wider Section 30712 of Part 307, the special assessment district
may be reassessed without hearing using the same apportioned percentage used for the
original assessment as provided in Section 30711 of Part 307 (MCL 324.30711).
2.5 Special assessments under Part 307 shall be spread upon the county tax rolls; shall be
subject to the same interest and penalty. charges; and shall be collected in the same
manner as county taxes as provided in Section 30715(3) of Part 307 (MCL 324.30715).
2.5.1 INSTALLMENTS: The special assessments shall be paid in equal
installments beginning . [optional]
2.6 Upon the satisfaction of the conditions precedent required under this contract, a special
assessment for a normal level project under Part 307 shall constitute a lien on the parcel
assessed and shall have the same character and effect as a lien created for county taxes as
provided in Section 30715(4) of Part 307 (MCL 324.30711).
2.7 The County's Department of Management & Budget, in conjunction with the County
Treasurer shall maintain the Special Assessment District's Account.
ARTICLE M. CONDITIONS PRECEDENT. This contract to advance funds to the
Special Assessment District shall require the following conditions precedent:
3.1 The Circuit Court has determined the normal level of the lake and has confirmed the
special assessment district as provided in Part 307.
3.2 The delegated authority has calculated the cost of the project and prepared an assessment
roll. The computation of cost of the project and scope of the project shall be attached as
Exhibit to this contract and incorporated herein.
3.3 Any other conditions required necessary to accomplish the intent of the parties under Part
307.
ARTICLE V. CAPTIONS AND VALIDITY.
4.1 The section headings or titles and/or all section numbers contained in this Contract are
intended for the convenience of the reader and not intended to have any substantive
meaning and are not to be interpreted as part of this Contract.
4.2 If any provision of this contract or the application to any person or circumstance is, to
any extent, judicially determined to be invalid or unenforceable, the remainder of the
Contract, or the application of the provision to persons or circumstances other than those
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as to which it is invalid or unenforceable, is not affected and is enforceable, provided the
invalid provision does not substantially alter the contract or make execution impractical.
FOR AND IN CONSIDERATION of the mutual assurances, promises,
acknowledgments, warrants, representations, and agreementS set forth in this Contract, and for
other good and valuable consideration, the receipt and adequacy of which is hereby
acknowledged, the undersigned hereby execute this Contract on behalf of the Parties, and by
doing so legally obligate and bind the Parties to the terms and conditions of this Contract.
WITNESS 'WHEREOF, , the delegated authority of the
SPECIAL ASSESSMENT DISTRICT FOR LAKE, hereby accepts and binds
the Special Assessment District to the terms and conditions of this Contract.
SPECIAL ASSESSMENT DISTRICT
FOR LAKE,
By:
DATE:
Its:
WITNESSED: DATE:
IN WITNESS WHEREOF, Chairperson, Oakland County Board of
Commissioners, hereby acknowledges that he has been authorized by a resolution of the Oakland
County Board of Commissioners, a certified copy of which is attached, to execute this Contract
on behalf of the Oakland County, and hereby accepts and binds the Oakland County to the terms
and conditions of this Contract.
EXECUTED: DATE:
WITNESSED: DATE:
G. William Caddell,
County of Oakland Clerk/Register of Deeds
4 C.
LAKE IMPROVEMENT CONTRACT
Between the
COUNTY OF OAKLAND
And
LAKE IMPROVEMENT BOARD
And
CITY/TOWNSHIP/VILLAGE OF
THIS CONTRACT (hereafter, this "Contract") is made and entered into between the
COUNTY OF OAKLAND, a Michigan Constitutional and Municipal Corporation, whose
address is 1200 North Telegraph Road, Michigan 48341 (hereafter, the "COUNTY"), and
LAKE IMPROVEMENT BOARD, a Michigan statutory body,
whose address is , Michigan,
(hereinafter "LAKE BOARD") and the CITY/TOWNSHIP/VILLAGE of
a municipal corporation, whose address is
(hereafter MUNICIPALITY). In this Contract, either the COUNTY and/or the LAKE BOARD
and/or MUNICIPALITY) may also be referred to individually as a "Party" or jointly as
"Parties."
INTRODUCTION
WHEREAS, Lake is located
City/Village/Township, Oakland County, Michigan.
WHEREAS, LAKE BOARD was established pursuant of Part 309
of the Michigan Natural Resources and Environmental Protection Act ("NREPA"), MCL
324.30901 et seq., to finance, manage, and implement improvements of the lake for the protection
of the public health, welfare and safety; the conservation of the natural resources of the state; and
to preserve property values around the lake;
WHEREAS, the County Board of Commissioners, pursuant to Miscellaneous Resolution
No. , has created a long term revolving fund to advance funding for lake improvement
projects for the protection of the health safety and welfare of the public, to protect the natural
resources of the State, and to protect the value of properties around lakes;
WHEREAS, pursuant to Section 30922 of Part 309 of the NREPA (MCL 324.30922),
the LAKE BOARD is authorized to borrow money in anticipation of special assessments to
defray the costs of lake improvements and has requested from the COUNTY a loan of
to pay for the costs to finance, manage, and implement improvements of the lake for
the protection of the public health, welfare and safety; the conservation of the natural resources of
the state; and to preserve property values around the lake;
WHEREAS, the COUNTY agrees to loan an amount not to exceed $ to
the LAKE BOARD upon the terms and subject to the conditions set forth in this agreement.
'WHEREAS, in the event of default or other irregularities with respect to the collection
of special assessments to defray the costs of lake improvements, the
CITY/TOWNSHIP/VILLAGE OF agrees that if there is any amount due and
owing to the COUNTY, the COUNTY shall be entitled to reduce, set-off, and permanently retain
any amount due to the MUNICIPALITY from Delinquent Tax Revolving Fund (DTRF) .
NOW, THEREFORE, pursuant to Miscellaneous Resolution # adopted by
the Oakland County Board of Commissioners, hereinafter "MR # ", dated
2000, which is incorporated herein, and in consideration of the mutual
promises, representations, and agreements set forth in thit Contract, and for other good and
valuable consideration, the receipt and adequacy of which is hereby acknowledged, the Parties
agree as follows:
ARTICLE I. LOAN, INTEREST AND PAYMENT FROM SPECIAL
ASSESSMENTS.
1.1 The COUNTY hereby agrees to loan an amount not to exceed $
("principal") to the LAKE BOARD in connection with a lake improvement project
initiated pursuant to Part 309. The principal shall be applied to the allowable project costs
as defined under Section 30927 of Part 309 of the Michigan Natural Resources and
Environmental Act, 1994 P.A. 451, as amended (MCL 324. 30927), including preliminary
costs as defined in Section 30901(e) (MCL 324.30901(e)) and in accordance with this
agreement.
1.2 The funds advanced by the COUNTY to the LAKE BOARD shall be distributed in the
following manner:
(a) The first installment shall consist of the amounts necessary to cover preliminary
costs. In the event that a project initiated under Part 309 is not finally constructed or
abandoned, or in the event the LAKE BOARD determines that that project is not
practicable, any funds advanced by the COUNTY for preliminary costs, including
interest, shall be repaid from special assessments in accordance with Section 30905
(MCL 324.30905). The LAKE BOARD hereby agrees to establish a special
assessment district as provided in Part 309 and delegate to the County Treasurer the
authority to collect special assessments sufficient to repay the principal and interest
of the amounts borrowed for the preliminary costs regardless of whether there has
been a determination that a lake improvement project is practicable.
(b) All subsequent installments shall be applied to the allowable project costs as defined
under Section 30927 of Part 309 (MCL 324. 30927), and following a determination
of practicability and confirmation of the assessment roll as provided in Article III.
1.3 The LAKE BOARD shall repay all funds advanced by the COUNTY, along with interest,
from the special assessments to be collected by the County Treasurer in accordance with
this contract. The interest on the principal shall bear an interest rate of as
established by County Miscellaneous Resolution #
ARTICLE II. CONDITIONS PRECEDENT.
2.1 Prior to the distribution of any funds, other than funds advanced to pay the preliminary
costs for a lake improvement project, the LAKE BOARD shall have determined the
practicability of the lake improvement project and confirmed the special assessment
district in accordance with the procedures provided in Part 309.
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2.2 Upon confirmation of the assessment roll, the LAKE BOARD shall provide the
assessment roll to the County Treasurer and delegate to the County Treasurer, . the
collection of the special assessments sufficient to repay the principal and interest of the
aggregate of the amounts borrowed by the LAKE BOARD under this contract.
2.3 Any other conditions required necessary to accomplish the intent of the parties under Part
309.
ARTICLE III. GENERAL CONDITIONS.
3.1 The LAKE BOARD shall provide upon COUNTY'S request all cost estimates for
implementation of the planned activities, including a breakdown of eligible and ineligible
cost items.
3.2 The LAKE BOARD will maintain and retain financial records and supporting
documentation in accordance with generally accepted accounting procedures and in
accordance with the requirements of federal and state regulations. The LAKE BOARD
(or municipality) shall maintain proper accounting records for the expenditures of the
related lake improvement activity, subject to audit by the COUNTY.
3.3 The LAKE BOARD is responsible for securing all necessary permits from federal, state
and local regulatory agencies and is responsible for obtaining any professional services
necessary for the lake improvement project.
ARTICLE IV. LIABILITY AND INDEMNIFICATION.
4.1 All liability, loss, or damage as a result of claims, demands, costs, or judgments arising
out of activities of LAKE BOARD will be the sole responsibility of LAKE BOARD and
not the responsibility of the COUNTY, its elected official, officers and employees.
4.2 To the extent as permissible under Michigan law, LAKE BOARD will indemnify,
defend, and save harmless the COUNTY, its officers, boards, employees, and agents
from and against any and all liabilities, obligations, damages, penalties, claims, costs,
charges, and expenses (including, but not limited to fees and expenses of attorneys,
expert witnesses, and other consultants) which may be imposed upon, incurred by, or
asserted against the COUNTY, its boards, officers, employees, and agents, by reason of
any act or omission of the LAKE BOARD, its personnel, employees, agents, or
subcontractors, in the performance of this Contract.
4.3 Notwithstanding any other provision in this Contract, no provision in this Contract is
intended, nor shall any such provision be construed, as either waiving or constituting a
waiver of any public or governmental immunity afforded to the COUNTY and/or
COUNTY's agents, employees, representatives as provided by applicable statutes and/or
court decisions.
ARTICLE V. DEFAULT OF SPECIAL ASSESSMENTS.
5.1 It is the intent of the Parties that any funds loaned by the COUNTY to the LAKE
BOARD defrayed by special assessments; however, in the event of default or other
irregularities with respect to the collection of special assessments to defray the costs of
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lake improvements, the CITY/TOWNSHIP/VILLAGE OF agrees that
if there is any amount due and owing to the COUNTY, the COUNTY shall be entitled to
reduce, set-off, and permanently retain any amount due to the MUNICIPALITY from
Delinquent Tax Revolving Fund (DTRF)
ARTICLE VI. CAPTIONS AND VALIDITY.
6.1 The section headings or titles and/or all section numbers contained in this Contract are
intended for the convenience of the reader and not intended to have any substantive
meaning and are not to be interpreted as part of this Contract.
6.2 If any provision of this contract or the application to any person or circumstance is, to
any extent, judicially determined to be invalid or unenforceable, the remainder of the
Contract, or the application of the provision to persons or circumstances other than those
as to which it is invalid or unenforceable, is not affected and is enforceable, provided the
invalid provision does not substantially alter the contract or make execution impractical.
ARTICLE VII. ENTIRE CONTRACT. This Contract sets forth the entire agreement
between the COUNTY and the LAKE BOARD and fully supersedes any and all prior agreements
or understandings between them in any way related to the subject matter hereof. It is further
understood and agreed that the terms and conditions herein are contractual and are not a mere
recital and that there are no other agreements, understandings, contracts, or representations
between the COUNTY and the LAKE BOARD in any way related to the subject matter hereof,
except as expressly stated herein. This Contract shall not be changed or supplemented orally and
may be amended only as otherwise provided herein.
FOR AND IN CONSIDERATION of the mutual assurances, promises,
acknowledgments, warrants, representations, and agreements set forth in this Contract, and for
other good and valuable consideration, the receipt and adequacy of which is hereby
acknowledged, the undersigned hereby execute this Contract on behalf of the Parties, and by
doing so legally obligate and bind the Parties to the terms and conditions of this Contract.
WITNESS WHEREOF, of the
LAKE IMPROVEMENT BOARD, hereby acknowledges that he/she has
been authorized to execute this Contract on behalf of the LAKE BOARD and hereby accepts and
binds the LAKE BOARD to the terms and conditions of this Contract.
LAKE IMPROVEMENT
BOARD, a Michigan a statutory body, DATE:
• By:
Its:
WITNESSED: DATE:
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IN WITNESS WHEREOF, of the
CITY/TOWNSHIPNILLAGE of hereby
acknowledges that he has been authorized by a resolution of the Council/Board/Commission, a
certified copy of which is attached, to execute this Contract on behalf of the Municipality and
hereby accepts and binds the Municipality to the terms and conditions of this Contract.
EXECUTED: DATE:
WITNESSED: DATE:
, Clerk
CITY/TOWNSHWNILLAGE
IN WITNESS WHEREOF, , Chairperson of the Oakland
County Board of Commissioner hereby acknowledges that he has been authorized by a resolution
of the Oakland County Board of Commissioners, a certified copy of which is attached, to execute
this Contract on behalf of the Oakland County, and hereby accepts and binds the Oakland County
to the terms and conditions of this Contract.
COUNTY OF OAKLAND,
A Michigan Constitutional Corporation
DATE:
Chairperson, Oakland County
Board of Commissioners
WITNESSED: DATE:
G. William Caddell,
County of Oakland Clerk/Register of Deeds
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E FOREG(YNG RESOLU -1
//r/1?
L Eirookyrattersuin,. County Executive Date
Resolution #00322 December 14, 2000
Moved by Taub supported by Law the resolutions on the Consent Agenda be
adopted, with the accompanying reports being accepted.
AYES: Buckley, Causey-Mitchell, Colasanti, Coleman, Dingeldey, Douglas,
Galloway, Gregory, Jensen, Law, McCulloch, McPherson, Melton, Millard,
Moffitt, Obrecht, Palmer, Patterson, Sever, Suarez, Taub, Amos. (22)
NAYS: None (0)
A sufficient majority having voted therefor, the resolutions on the
Consent Agenda were adopted, with accompanying reports accepted
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
I, G. William Caddell, 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 December 14, 2000 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 144h dame0Sf December, 2000.
G. William Caddell, County Clerk