HomeMy WebLinkAboutResolutions - 2003.03.19 - 27196MISCELLANEOUS RESOLUTION #03055
BY: FINANCE COMMITTEE, Chuck Moss, Chairperson
March 20, 2003
In Re: RESOLUTION TO INITIATE ACTION TO REDEEM ALL OF THE
OUTSTANDING CALLABLE COUNTY OF OAKLAND, MICHIGAN
OAKLAND COUNTY WATER SUPPLY BONDS (WEST BLOOMFIELD
SYSTEM SECTIONS XIII & XIV) PRIOR TO MATURITY
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Chairperson, Ladies and Gentlemen:
WHEREAS, the Charter Township of West Bloomfield, Michigan
(the "Township") has previously requested that the County of
Oakland, Michigan (the "County"), acting through its Board of
Commissioners, to finance the acquisition and construction of
the West Bloomfield Water Supply System to service the Township
in the amount of $3,360,000 for that purpose; and
WHEREAS, the Township has requested that the County redeem
all of such callable outstanding bonds with maturities and
interest rates as set forth in EXHIBIT A, which as of the date
hereof, remain outstanding in the principal amount of $2,340,000
(such bonds referred to as the "Bonds to be Redeemed"); and
WHEREAS, it appears to this Committee that the redemption
of said bonds is advisable to save further interest costs; and
WHEREAS, the Board of Commissioners of the County must
approve such redemption;
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF
COMMISSIONERS OF THE COUNTY OF OAKLAND, MICHIGAN as follows:
1. The Board of Commissioners of the County hereby
confirms the request of the Township to call the Bonds to be
Redeemed, pursuant to the Resolution To Initiate Action to
Redeem the Oakland County Water Supply (1,7GO) Bonds (West
Bloomfield System Sections XIII and XIV) Prior to Maturity,
adopted by the Township Board on February 3, 2003, and
recommends that the Board of Commissioners approve the necessary
resolution which is attached as APPENDIX A.
2. The Chairperson of the Board of Commissioners and bond
counsel, Axe & Ecklund, P.C., are instructed to take whatever
steps are necessary to call the Bonds to be Redeemed.
3. All resolutions and parts of resolution, insofar as
the same may be in conflict herewith, are hereby rescinded.
Chairperson, on behalf of the Finance Committee, I move the
adoption of the foregoing resolution.
FINANCE COMMITTEE
Motion carried unanimously on a roll call vote with Middleton
absent.
A - 1
EXHIBIT A
DEBT SERVICE SCHEDULE OF OUTSTANDING BONDS TO BE REDEEMED
Redemption Date: May 1, 2003
PRINCIPAL ANNUAL
YEAR DUE MAY 1 RATE PREMIUM (1.0) TOTAL
2004 155,000 5.40% 1,550 156,550
2005 165,000 5.50% 1,650 166,560
2006 175,000 5.50% 1,750 176,750
2007 185,000 5.60% 1,850 186,850
2008 195,000 5.70% 1,950 196,950
2009 210,000 5.80% 2,100 212,100
2010 225,000 5.90% 2,250 227,250
2011 240,000 6.00% 2,400 242,400
2012 255,000 6.00% 2,550 257,550
2013 265,000 6.00% 2,650 267,650
2014 270,000 6.00% 2,700 272,700
TOTAL $2,340,000 $23,400 $2,363,310
(1) Refunding Bonds on after May 1, 2004 shall be subject to
redemption prior to maturity, at the option of the County, in
any order, on any one or more interest payment dates on and
after May 1, 2003 at par and accrued interest to the date fixed
for redemption, plus a premium as follows:
1.00% of the par value of each bond called for redemption
on or after may 1, 2003, but prior to May 1, 2004;
0.50% of the par value of each bond called for redemption
on or after May 1, 2004, but prior to May 1, 2005;
No premium if called for redemption on or after May 1,
2005.
EXHIBIT B
NOTICE OF REDEMPTION
$3,360,000
OAKLAND COUNTY WATER SUPPLY BONDS
WEST BLOOMFIELD SYSTEM SECTIONS XIII 86 XIV
Dated as of April 1, 1994
DUE MAY 1, 2004 THROUGH AND INCLUDING AND MAY 1, 2014
NOTICE IS HEREBY GIVEN that the County of Oakland, State of Michigan has called for redemption, on
May I, 2003, (the "Redemption Date"), all of the callable outstanding Oakland County Water Supply Bonds (West
Bloomfield Sections XIII & XIV) (the "Bonds"), pursuant to the redemption provisions contained in the Bonds,
bearing the original issue date of April 1, 1994, maturing in the principal amounts, on the dates, bearing interest at
the rates, with the "CUSIP" numbers, as follows:
Principal
$15b,000
165,000 175,000
185,000
195,000
210,000
225,000
240,000
255,000
265,000
270,000
Rate
5.50%
5.50%
5.60%
5.70%
5.80%
5.90%
6.00% 6.00%
6.00%
6.00%
6.00%
CUSIPS* Due
6724 os2ro-
672410S57
672410S65
672410S73
672410S81
672410S99
672410T23
672410T31
672410T49
672410T56
672410T64
May 1, 2004
May 1, 2005
May 1, 2006
May 1, 2007
May 1, 2008
May 1, 2009
May 1, 2010
May 1,2011
May 1, 2012
May 1, 2013
May 1, 2014
Said Bonds will be redeemed at 101.00% of the par value thereof.
Said Bonds should be surrendered for redemption to Bank One Trust Company,
National Association (f/kia National Bank of Detroit), Detroit, Michigan, as paying
agent, for payment as of May 1, 2003, after which date all interest on said bonds cease to accrue, whether said Bonds are presented for payment or not.
Bonds may be surrendered for payment as indicated below. The method of
delivery is at the option of the holder, but if by mail, registered mail is suggested.
If by U.S Mail: Otherwise:
Bank One Trust Company, National
Association
f/k/a/ National Bank of Detroit
P.O. Box 710184
Columbus, OH 43271-0184
Bank One Trust Company, National
Association f/k/a/ National Bank of Detroit
1111Polaris Pkwy.
Suite N1-H01-0184
Columbus, OH 43240
Under the provisions of the Interest and Dividend Tax Compliance Act of 1983 and the Comprehensive
National Energy Policy Act of 1992, paying agents making payments of principal on municipal securities may be
obligated to withhold a 31% tax from remittances to individuals who have failed to furnish the paying agent with a
certified and valid Taxpayer Identification Number on a fully completed Form W-9. Holders of the above described
Bonds, who wish to avoid the application of these provisions, should submit certified Taxpayer Identification
Numbers on I.R.S. Form W-9 when presenting their securities for redemption.
OAKLAND COUNTY Pat Dohany, County Treasurer
Dated: , 2003
* No representation is made as to the correctness of the CUSIP numbers either as printed. on the Bonds or as contained herem and reliance may be placed only on the
identification numbers.
$3,360,000
OAKLAND COUNTY WATER SUPPLY BONDS
A - 3
WEST BLOOMFIELD SYSTEM SECTIONS XIII 86 XIV
Total paid on May 1, 2003 for redemption
PRINCIPAL ANNUAL
YEAR DUE MAY 1 RATE PREMIUM (1.0) TOTAL
2004 155,000
2005 165,000
2006 175,000
2007 185,000
2008 195,000
2009 210,000
2010 225,000
2011 240,000
2012 255,000
2013 265,000
2014 270,000
5.40% 1,550
5.50% 1,650
5.50% 1,750
5.60% 1,850
5.70% 1,950
5.80% 2,100
5.90% 2,250
6.00% 2,400
6.00% 2,550
6.00% 2,650
6.00% 2,700
156,550
166,560
176,750
186,850
196,950
212,100
227,250
242,400
257,550
267,650
272,700
$2,363,310 TOTAL $2,340,000 $23,400
Total interest savings if redeemed on 5/1/03 is $845,272.50
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Resolution #03055 March 20, 2003
Moved by Knollenberg supported by KowaII the resolutions on the Consent Agenda be adopted (with
accompanying reports being accepted).
AYES: Coulter, Crawford, Douglas, Gregory, Hatchett, Jamian, Knollenberg, KowaII, Law, Long,
McMillin, Middleton, Moffitt, Moss, Palmer, Patterson, Potter, Rogers, Scott, Suarez, Webster,
Zack, Bullard, Coleman. (24)
NAYS: None. (0)
A sufficient majority having voted therefore, the resolutions on the Consent Agenda were adopted (with
accompanying reports being 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
March 20, 2003, 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 20th day of March, 2003.