HomeMy WebLinkAboutResolutions - 2004.03.04 - 27574MISCELLANEOUS RESOLUTION 104045 March 4, 2004
BY: FINANCE COMMITTEE, Chuck Moss, Chairperson
In Re: RESOLUTION TO INITIATE ACTION TO REDEEM ALL OF THE
OUTSTANDING CALLABLE COUNTY OF OAKLAND, MICHIGAN
OAKLAND COUNTY CHARTER TOWNSHIP OF WATERFORD WATER AND
SEWER BONDS PRIOR TO MATURITY
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Chairperson, Ladies and Gentlemen:
WHEREAS, the Charter Township of Waterford, 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
Charter Township of Waterford Water and Sewer Bonds to service
the Township in the following amounts:
Oakland County Water Supply Bonds
Waterford Township System,
Extension No. 3,
dated May 1, 1972
Oakland County Sewage Disposal
Bonds-Clinton-Oakland System,
Waterford Extensions Phase II
dated May 1, 1972
Waterford Iron Removal Facilities
(LTGO) Bonds Series 1992-A
dated July 1, 1992
Waterford Iron Removal Facilities
(LTGO) Bonds Series 1993
date July 1, 1993
for that purpose; and
$ 400,000
$2,350,000
$2,400,000
$1,900,000
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 thru EXHIBIT D, which as
of the date hereof, remain outstanding in the principal amount of
$4,825,000 (such bonds referred to as the "Bonds to be
Redeemed"); and
FINANCE COMMITTEE: Motion carried unanimously on a roll call vote
with Palmer and Long absent.
WHEREAS, it appears to this Board 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 and Charter Township of Waterford Water and
Sewer Debt Prior to Maturity, adopted by the Township Board on
, 2004, and recommends that the Board of Commissioners
approve the necessary resolution which is attached as APPENDIX A.
2. The Chairman 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
2
EXHIBIT A
DEBT SERVICE SCHEDULE OF OUTSTANDING BONDS TO BE REDEEMED
Redemption Date: May 1, 2004
PRINCIPAL ANNUAL
YEAR DUE MAY 1 RATE PREMIUM (1.0) TOTAL
2005 1,200,000 4.00% 12,000 1,212,000.00
TOTAL $ 1,200,000 $12,000 $1,212,000.00
(1) Bonds maturing prior to May 1, 1980 shall not be subject to
redemption prior to maturity. Bonds maturing on or after May 1, 1980
shall be subject to redemption as a whole on any one interest payment
date on or after May 1, 1980, and shall be subject to redemption in
inverse numerical order, at the option of the County prior to
maturity, on any one or more interest payment dates on and after May
1, 1990. Bonds called for redemption shall be redeemed at the par
value thereof and accrued interest plus a premium on each bond
computed as a percentage of the face amount thereof in accordance
with the following schedule:
3.0% if called to be redeemed on or after May 1, 1980, but prior
to November 1, 1989;
2.0% if called to be redeemed on May 1, 1990 thru November 1,
1999; and
1.0% May 1, 2000 to maturity.
dmh.RD-OAK131(DW)
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EXHIBIT A-1
NOTICE OF REDEMPTION
$20,400,000
OAKLAND COUNTY SEWAGE DISPOSAL BONDS-
CLINTON-OAKLAND SYSTEM, WATERFORD EXTENSIONS PHASE II
Dated as of May 1, 1972
DUE MAY 1, 2005
NOTICE IS HEREBY GIVEN that the County of Oakland, State of Michigan has called for
redemption, on May 1, 2004, (the "Redemption Date"), all of the callable outstanding Oakland County Sewage
Disposal Bonds-Clinton-Oakland System, Waterford Extensions Phase II (the "Bonds"), pursuant to the
redemption provisions contained in the Bonds, bearing the original issue date of May 1, 1972, maturing in the
principal amounts, on the dates, bearing interest at the rates, with the "CUSIP" numbers, as follows:
Principal Rate
1„ 00
CUSIPS* Due
672818HQ7 May 1, 2005
Said Bonds will be redeemed at 101.00% of the par value thereof.
Said Bonds should be surrendered for redemption to J.P. Morgan Trust Company, National Association
(f/k/a Bank One Trust Company, National Association), Detroit, Michigan, as paying agent, for payment as of
May 1, 2004, after which date all interest on said Bonds shall 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 or Otherwise:
Standard Federal — Corporate & Institutional Trust,
A division of LaSalle Bank National Association
f/k/a/ Michigan National Bank
Corporate Trust Department
2600 West Big Beaver Road
Troy, Michigan 48084
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
Patrick M. Dohany, County Treasurer
* No representation is made as to the correctness of the CUSIP numbers either as printed on the Bonds
or as contained herein and reliance may be placed only on the identification numbers.
dmh.RD-OAK 13 1(dw)
EXHIBIT B
DEBT SERVICE SCHEDULE OF OUTSTANDING BONDS TO BE REDEEMED
Redemption Date: May 1, 2004
PRINCIPAL ANNUAL
YEAR DUE MAY 1 RATE PREMIUM (1.0) TOTAL
2005 200,000 3.50% 2,000 202,000
TOTAL $ 200,000 $2,000 $202,000
(1) Bonds due 1980 thru 2005 are callable as a whole on any one
interest payment date on or after May 1, 1980 and in inverse
numerical order on any one or more interest payment dates on and
after May 1, 1990 at par plus a premium as follows:
3.0% if called to be redeemed on or after May 1, 1980 thru
November 1, 1989;
2.0% if called to be redeemed on May 1, 1990 thru November 1,
1999; and
1.0% May 1, 2000 to maturity.
dmh.RD-OAK131(DW)
EXHIBIT B-1
NOTICE OF REDEMPTION
$4,200,000
OAKLAND COUNTY WATER SUPPLY BONDS
WATERFORD TOWNSHIP SYSTEM, EXTENSION NO. 3
Dated as of May 1, 1972
DUE MAY 1, 2005
NOTICE IS HEREBY GIVEN that the County of Oakland, State of Michigan has called for
redemption, on May 1, 2004, (the "Redemption Date"), all of the callable outstanding Oakland County Water
Supply Bonds Waterford Township System, Extension No. 3 (the "Bonds"), pursuant to the redemption
provisions contained in the Bonds, bearing the original issue date of May 1, 1972, maturing in the principal
amounts, on the dates, bearing interest at the rates, with the "CUSIP" numbers, as follows:
Principal Rate CUSIPS* Due
673394CG5 Wy 1, 2005
Said Bonds will be redeemed at 101.00% of the par value thereof
Said Bonds should be surrendered for redemption to Standard Federal — Corporate & Institutional Trust,
A division of LaSalle Bank National Association (f/k/a Michigan National Bank), Troy, Michigan, as paying
agent, for payment as of May 1, 2004, after which date all interest on said Bonds shall 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 or Otherwise:
J. P. Morgan Trust Company, National Association
f/k/a/ Bank One Trust Company, National Association
Corporate Trust Operations — OH1-0184
235 W. Schrock Road
Westerville, OH 43081
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
Patrick M. Dohany, County Treasurer
* No representation is made as to the correctness of the CUSIP numbers either as printed on the Bonds
or as contained herein and reliance may be placed only on the identification numbers.
dmh.RD-OAK131(dw)
EXHIBIT C
DEBT SERVICE SCHEDULE OF OUTSTANDING BONDS TO BE REDEEMED
Redemption Date: May 1, 2004
YEAR
2005
2006
2007
PRINCIPAL
DUE MAY 1
$ 575,000
625,000
650,000
ANNUAL
RATE
6.10%
6.15%
6.15%
PREMIUM (0.5)
$2,875.00
3,125.00
3,250.00
TOTAL
$577,875.00
628,125.00
653,250.00
TOTAL $ 1,850,000 $9,250.00 $1,859,250.00
(1) Bonds maturing on and after May 1, 2002, shall be subject to
redemption prior to maturity, at the option of the County of Oakland
(sometimes referred to herein as the "County"), in any order, on any
one or more interest payment dates on and after May 1, 2001, at par
and accrued interest to the date fixed for redemption, plus a premium
as follows:
1.0% of the par value of each bond called for redemption on or
after May 1, 2001, but prior to May 1, 2003;
0.5% of the par value of each bond called for redemption on or
after May 1, 2003, but prior to May 1, 2005;
No premium if called for redemption on or after May 1, 2005.
dmh,RD-OAK131(DW)
EXHIBIT C -1
NOTICE OF REDEMPTION
$6,000,000
Oakland County, State of Michigan
WATERFORD IRON REMOVAL FACILITIES BONDS.
SERIES 1992-A
Dated July 1, 1992
DUE MAY 1, 2005 THROUGH AND INCLUDING AND MAY 1, 2007
NOTICE IS HEREBY GIVEN that the County of Oakland, State of Michigan has called for
redemption, on May 1, 2004, (the "Redemption Date"), all of the callable outstanding Waterford Iron Removal
Facilities Bonds, Series 1992-A (the "Bonds"), pursuant to the redemption provisions contained in the Bonds,
bearing the original issue date of July 1, 1992, maturing in the principal amounts, on the dates, bearing interest
at the rates, with the "CUSIP" numbers, as follows:
Principal Rate CUSIPS* Due
$575,000 6.10% 672410E29 May 1,2005
625,000 6.15% 672410E37 May 1,2006
650,000 6.15% 672410E45 May 1,2007
Said Bonds will be redeemed at 100.50% of the par value thereof.
Said Bonds should be surrendered for redemption to Standard Federal — Corporate & Institutional Trust,
A division of LaSalle Bank National Association (f/k/a Michigan National Bank), Troy, Michigan, as paying
agent, for payment as of May 1, 2004, after which date all interest on said Bonds shall 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 or Otherwise:
Standard Federal — Corporate & Institutional Trust,
A division of LaSalle Bank National Association
f/k/a/ Michigan National Bank
Corporate Trust Department
2600 West Big Beaver Road
Troy, Michigan 48084
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
Patrick M. Dohany, County Treasurer
* No representation is made as to the correctness of the CUSIP numbers either as printed on the Bonds
or as contained herein and reliance may be placed only on the identification numbers.
dmh.RD-OAK131;dw)
TOTAL $1,575,000 $0.00 $1,575,000.00
EXHIBIT D
DEBT SERVICE SCHEDULE OF OUTSTANDING BONDS TO BE REDEEMED
Redemption Date: May 1, 2004
PRINCIPAL ANNUAL
YEAR DUE MAY 1 RATE PREMIUM (0.0) TOTAL
2005 $ 375,000 5.125% $0.00 $375,000.00
2006 575,000 5.125% 0.00 575,000.00
2007 625,000 5.250% 0.00 625,000.00
If by U.S Mail:
National City Bank
Corporate Trust Operations
P.O. Box 92301
Locator 5352
Cleveland OH 44193-0900
National City Bank
Corporate Tru§it Operations ,
4100 West 100tn 50th Street, 3rd Floor
Locator 5352
Columbus, OH 44135-1385
Otherwise:
EXHIBIT D-1
NOTICE OF REDEMPTION
$3,900,000
OAKLAND COUNTY, STATE OF MICHIGAN
WATERFORD IRON REMOVAL FACILITIES BONDS,
SERIES 1993
Dated as of July 1, 1993
DUE MAY 1, 2005 THROUGH AND INCLUDING AND MAY 1, 2007
NOTICE IS HEREBY GIVEN that the County of Oakland, State of Michigan has called for
redemption, on May 1, 2004, (the "Redemption Date"), all of the callable outstanding Waterford Iron
Removal Facilities Bonds, Series 1993 (the "Bonds"), pursuant to the redemption provisions contained in
the Bonds, bearing the original issue date of July 1, 1993, maturing in the principal amounts, on the dates,
bearing interest at the rates, with the "CUSIP" numbers, as follows:
Principal
$373A-0
575,000
625,000
Rate
5.125%
5.125%
5.250%
CUSIPS*
672410L47
672410L54
672410L62
Due
May 1, 2005
May 1, 2006
May 1, 2007
Said Bonds will be redeemed at 100.00% of the par value thereof.
Said Bonds should be surrendered for redemption to National City Bank of Michigan/Illinois,
(f/k/a First of America Bank — Southeast Michigan, N.A.), Birmingham, Michigan, as paying agent, for
payment as of May 1, 2004, after which date all interest on said Bonds shall 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.
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
Patrick M. Dohany, County Treasurer
* No representation is made as to the correctness of the CUSIP numbers either as printed on the
Bonds or as contained herein and reliance may be placed only on the identification numbers.
dmh.RD-OAK131(dw)
STATEMENT OF RECEIPTS AND EXPENSES
REDEMPTION
OF ALL OF THE CALLABLE OUTSTANDING
OAKLAND COUNTY, STATE OF MICHIGAN
CHARTER TOWNSHIP OF WATERFORD
WATER AND SEWER BOND DEBT
PRIOR TO MATURITY
RECEIPTS:
Waterford Township
Principal to be Redeemed $4,825,000
Premiums 23,250
Legal Fees 6,000
Out of pocket expenses 2,000
TOTAL $4,856,250*
* This total does not include regular principal and interest
payments which are required to be paid in May 1, 2004
DISBURSEMENTS :
STANDARD FEDERAL BANK
Principal to be Redeemed $1,200,000
Premium (1.00%) 12,000
TOTAL $1,212,000
J.P. MORGAN TRUST COMPANY
Principal to be Redeemed $ 200,000
Premium (1.00%) 2,000
TOTAL $ 202,000
STANDARD FEDERAL BANK
Principal to be Redeemed $1,850,000
Premium (0.50%) 9,250
TOTAL $1,859,250
NATIONAL CITY BANK
Principal to be Redeemed $1,575,000
Premium (0.00%) 00
TOTAL $1,575,000
Dmh.RD-OAK131(dw) (5-1-04)
3
F ir
Resolution #04045 March 4, 2004
Moved by Long supported by Coleman the resolutions on the Consent Agenda be adopted (with
accompanying reports being accepted).
AYES: Coleman, Coulter, Crawford, Douglas, Gregory, Hatchett, Jamian, Knollenberg, KowaII, Law,
Long, McMillin, Middleton, Moffitt, Moss, Palmer, Patterson, Rogers, Scott, Suarez, Wilson, Zack,
Bullard. (23)
NAYS: None.
A sufficient majority having voted therefore, the resolutions on the Consent Agenda were adopted (with
accompanying reports being accepted).
Y APPROVE THE FOREGOING RESECIRON
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 4, 2004
with the original record thereof now remaining in my office.
In Testimony Whereof, I have hereunto set my hand and affixed the sealiS the-eottnty of Oakland at - Pontiac, Michigan this 4th day of March, 2004.
G. William Caddell, County Clerk