HomeMy WebLinkAboutResolutions - 2005.04.28 - 27764Miscellaneous Resolution #05074 Apri1,14, 2005
BY: PLANNING & BUILDING COMMITTEE, CHARLES E.PALMER,
CHAIRPERSON
IN RE: DRAIN COMMISSIONER - RESOLUTION TO ESTABLISH
OAKLAND COUNTY OXFORD TOWNSHIP WATER SUPPLY SYSTEM
AND AUTHORIZE OAKLAND COUNTY OXFORD TOWNSHIP WATER
SUPPLY SYSTEM CONTRACT
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Mr. Chairperson, Ladies and Gentlemen:
WHEREAS, the Charter Township of Oxford (the "Township") is in urgent need of a
water supply system and facilities constituting a part of the system as described in the form of the
proposed contract hereinafter mentioned, in order to promote the health and welfare of the
residents thereof, which water supply facilities and system also would benefit the County and its
residents, and the parties to said proposed contract have concluded that such facilities can be
provided and financed most economically and efficiently by the County through the exercise of
the powers conferred by Act 342, Public Acts of Michigan, 1939, as amended ("Act 342"), and
especially Sections 5a, 5b and Sc thereof; and
WHEREAS, by the terms of Act 342, the County and the Township are authorized to
enter into a contract for the acquisition, construction and financing of the water supply system
facilities to serve the Township and for the payment of the cost thereof by the Township, with
interest, and the County is then authorized to issue its bonds in one or more series to provide the
funds necessary therefor; and
WHEREAS, there has been submitted to this Board of Commissioners a proposed
contract between the County, by and through the County Drain Commissioner, County Agency,
party of the first part, and the Township, party of the second part (the "Contract"), which
Contract provides for the acquisition, construction and financing of the water supply system
facilities and which Contract is hereinafter set forth in full; and
WHEREAS, Oakland County Department of Corporation Counsel has reviewed and
approved the Contract; and,
WHEREAS, there have also been submitted for approval and adoption by this Board of
Commissioners, preliminary plans, specifications and estimates of the cost and period of
usefulness of the water supply system facilities; and
PLANNING & BUILDING COMMITTEE:
Motion carried unanimously on a roll call vote with Hatchett, Potter and Palmer absent.
LANNING AND BUILDING COMMITTEE
WHEREAS, this Board of Commissioners desires to establish the water supply system
and to proceed with the water supply system facilities and the approval and execution of the
Contract to acquire, construct and finance the water supply system facilities as provided in the
Contract.
THEREFORE, BE IT RESOLVED by the Board of Commissioners of Oakland County,
Michigan, as follows:
1. APPROVAL OF PROJECT AND DESIGNATION OF COUNTY AGENCY.
This Board of Commissioners by majority vote of its members-elect does hereby approve, under
and pursuant to Act 342, the establishment of the Oakland County Oxford Township Water
Supply System (the "System"), which shall consist of (i) water supply system facilities, as
specified and to be located as shown in Exhibit A to the Contract (the "Project") and (ii) the
services provided thereby; that the Project and the System shall serve the Township; that the
Oakland County Drain Commissioner is hereby designated and appointed as the "County
Agency" for the Project and the System; that the County Agency shall have all the powers and
duties with respect to the Project and the System as are provided by law and especially by Act
342; and that all obligations incurred by the County Agency with respect to the Project and the
System, unless otherwise authorized by this Board of Commissioners, shall be payable solely
from funds derived from the Township as hereinafter provided.
2. PLANS AND SPECIFICATIONS — ESTIMATES OF PERIOD OF
USEFULNESS AND COST. The preliminary plans and specifications for the Project and the
estimates of $17,725,000 as the cost thereof and of 30 years and upwards as the period of
usefulness thereof, as submitted to this Board of Commissioners, are hereby approved and
adopted.
3. APPROVAL OF CONTRACT. The Oakland County Oxford Township Water
Supply System Contract between the County, by and through the County Drain Commissioner,
party of the first part, and the Township, party of the second part, which Contract has been
submitted to this Board of Commissioners, is hereby approved and adopted, and the County
Drain Commissioner is hereby authorized and directed to execute and deliver the same for and on
behalf of the County, in as many counterparts as may be deemed advisable. The Contract reads
as follows:
4. CONFLICTING RESOLUTIONS. All resolutions and parts of resolutions
insofar as they may be in conflict herewith are rescinded.
Mr. Chairperson, on behalf of the Planning and Building Committee, I move adoption of
the foregoing resolution.
OAKLAND COUNTY OXFORD TOWNSHIP
WATER SUPPLY SYSTEM CONTRACT
THIS CONTRACT, made and entered into as of the 1st day of March, 2005, by and
between the COUNTY OF OAKLAND, a county corporation in the State of Michigan
(hereinafter sometimes referred to as the "County"), by and through its Drain Commissioner,
County Agency, party of the first part, and the CHARTER TOWNSHIP OF OXFORD, only on
behalf of the unincorporated area of the Charter Township of Oxford, a charter township located
in the County (hereinafter sometimes referred to as the "Township"), party of the second part.
WITNESSETH:
WHEREAS, pursuant to Act No. 342, Public Acts of Michigan, 1939, as amended
(hereinafter sometimes referred to as "Act 342"), the Board of Commissioners of the County, by
majority vote of its members-elect, authorized and directed that there be established a county
system of water supply improvements and services to serve the Township, said system to be
known as the "Oakland County Oxford Township Water Supply System" (hereinafter sometimes
referred to as the "System"), and has designated the Oakland County Drain Commissioner as the
county agency for the System with all powers and duties with respect thereto as are provided by
Act 342 (said Drain Commissioner being hereinafter sometimes referred to as the "County
Agency"); and
WHEREAS, under and subject to the terms of Act 342, the County is authorized, through
the County Agency, to acquire and construct the water supply system facilities hereinafter
described as constituting the System (the "Project"), the County and the Township are authorized
to enter into a contract, as hereinafter provided, for the acquisition and construction of the
Project by the County and for financing all or part of the cost thereof by the issuance of bonds by
the County secured by the pledge of the full faith and credit of the Township to pay such cost
with interest to the County in installments extending over a period not exceeding thirty (30)
years, and the County is authorized to issue such bonds and, if authorized by majority vote of the
members-elect of its Board of Commissioners, to pledge its full faith and credit for the payment
of such bonds and the interest thereon; and
WHEREAS, there is an urgent need of such water supply system facilities to provide
water supply services to the Township in order to promote the health and welfare of the residents
thereof, which facilities would likewise benefit the County arid its residents, and the parties
hereto have concluded that such facilities can be provided and financed most economically and
efficiently by the County through the exercise of the powers conferred by Act 342, and
especially sections 5a, 5b and 5c thereof; and
WHEREAS, the consulting engineers have prepared preliminary plans for the Project and
estimates of the cost and period of usefulness thereof, all of which have been submitted to and
approved by the Board of Commissioners of the County and the Township Board and placed on
file with said Board of Commissioners in the office of the County Agency, said estimates being
set forth in Exhibit B hereunto attached; and
WHEREAS, it is proposed that the cost of the Project be financed in whole or in part by
the issuance of one or more series of County bonds; and
WHEREAS, in order to provide for the acquisition and construction of the Project by the
County and the financing of all or part of the cost thereof by the issuance of County bonds, and
for other related matters, it is necessary for the parties hereto to enter into this contract.
THEREFORE, IN CONSIDERATION OF THE PREMISES AND THE COVENANTS
OF EACH OTHER, THE PARTIES HERETO AGREE as follows:
1. The parties hereto approve and agree to the acquisition, construction and
financing of the Project as part of the System, as herein provided, under and pursuant to Act 342.
The Township by way of compliance with Section 29, Article VII, Michigan Constitution of
1963, consents and agrees to the establishment and location of the System within its corporate
boundaries and to the use by the County of its streets, highways, alleys, lands, rights-of-way or
other public places for the purpose and facilities of the System and any improvements,
enlargements or extensions thereof, and the Township further agrees that, in order to evidence
and effectuate the foregoing agreement and consent, it will execute and deliver to the County
such grants of easement, right-of-way, license, permit or consent as may be requested by the
County.
2. The Project shall consist of the water supply facilities as described and specified
on Exhibit A, which is hereunto attached and is made a part hereof, and as are more particularly
set forth in the preliminary plans that have been prepared and submitted by the consulting
engineers, which plans are on file with the County Agency and are approved and adopted. The
Project shall be acquired and constructed substantially in accordance with said preliminary plans
and in accordance with final plans and specifications to be prepared and submitted by the
consulting engineers, but variations therefrom that do not materially change the location,
capacity or overall design of the Project, and that do not require an increase in the total estimated
cost of the Project, may be permitted on the authority of the County Agency. Other variations or
changes may be made if approved by the County Agency and by resolution of the Township
Board and if provisions required by paragraph 5 hereof are made for payment or financing of any
resulting increase in the total estimated cost. The estimate of the cost of the Project and the
estimate of the period of usefulness thereof as set forth in Exhibit B are approved and adopted.
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3. The County Agency shall take or cause to be taken all actions required or
necessary, in accordance with Act 342, to procure the issuance and sale of bonds by the County,
in one or more series, in whatever aggregate principal amount is necessary to finance the cost of
the Project not paid from other sources. Such bonds shall be issued in anticipation of, and be
payable primarily from, the payments to be made by the Township to the County as provided in
this contract, and shall be secured secondarily, if so voted by the Board of Commissioners of the
County, by a pledge of the full faith and credit of the County, and the said bonds shall be payable
in annual maturities the last of which shall be not more than forty years from the date thereof.
4. The County Agency shall proceed to take construction bids for the Project and,
subject to the sale and delivery of bonds, enter into construction contracts with the lowest
responsible bidder or bidders, procure from the contractors all necessary and proper bonds, cause
the Project to be constructed within a reasonable time, and do all other things required by this
contract and the laws of the State of Michigan. The County Agency may, in its sole discretion,
retain the services of a third-party engineering firm to perform contract administration of the
Project, and payment for such services shall be the responsibility of the Township as part of the
cost of the Project as described in paragraph 6 hereof. All certificates for required payments to
contractors shall be approved by the consulting engineers before presentation to the County
Agency and the latter shall be entitled to rely on such approval in making payments.
5. In the event that it shall become necessary to increase the estimated cost of the
Project for any reason, or if the actual cost of the Project shall exceed the estimated cost, whether
as the result of variations or changes made in the approved plans or otherwise, then the County
Agency shall not be obligated to pay such increased or excess cost unless the Township Board
shall have adopted a resolution approving such increase or excess and agreeing that the same (or
such part thereof as is not available from other sources) shall be defrayed by the issuance of
increased or additional bonds in anticipation of increased or additional payments agreed to be
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made by the Township to the County in the manner hereinafter provided; provided, however, that
the adoption of such resolution by the Township Board shall not be required prior to or as a
condition precedent to the issuance of additional bonds by the County, if the County previously
has issued or contracted to sell bonds to pay all or part of the cost of the Project and the issuance
of the additional bonds is necessary (as determined by the County) to pay such increased,
additional or excess costs as are essential to completion of the Project according to the plans as
last approved prior to the time when the previous bonds were issued or contracted to be sold.
6. The Township shall pay to the County the entire cost of the Project not defrayed
by grants and funds available from other sources. The Township hereby acknowledges that,
except as may be pledged by the County for payment of bonds as described in paragraph 3
hereof or as may be advanced by the County pursuant to paragraph 13 hereof, no County general
funds shall be appropriated or pledged pursuant to this contract or for the Project. The County's
role in the Project is strictly limited to that set forth in Act 342, and the Township shall be solely
responsible for all administration, finance and construction costs (including attorney fees and all
dispute resolution costs), and all costs of operation and maintenance of the Project. Without
limiting the general nature of the preceding sentence, the cost to be paid by the Township shall
include, in addition to the items of the nature set forth in Exhibit B (represented by the principal
amount of the bonds to be issued by the County), all interest payable by the County on said
bonds, all paying agent fees and other expenses and charges (including the County Agency's
administrative expenses) that are payable on account of said bonds (such fees, expenses and
charges being herein called "bond service charges"), all costs and expenses relating to lawsuits as
described in paragraph 19 hereof and all items of cost described in paragraph 7 hereof. Such
payments shall be made to the County in semiannual installments, which shall be due and
payable at least thirty days prior to each interest payment date specified in the County bonds.
Such semiannual installments shall commence on the date that interest (other than capitalized
interest) or principal first becomes payable on the bonds, and the aggregate amount of the
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installments shall be at least sufficient to pay, when due, all principal and interest on the bonds,
all bond service charges payable on account of the bonds and all other . costs described in this
paragraph. The County Agency, within thirty days after delivery of the County bonds to the
purchaser, shall furnish the treasurer of the Township with a complete schedule of the principal
of and interest on the bonds, and the County Agency also, at least thirty days before each
payment is due, shall advise the treasurer of the Township of the amount payable to the County
on such date. If the Township fails to make any payment to the County when due, the same shall
be subject to a penalty of 1% thereof for each month or fraction thereof that such amount
remains unpaid after due. Failure of the County Agency to furnish the schedule or give the
notice as above required shall not excuse the Township from the obligation to make payments
when due. The foregoing obligations shall apply to all bonds issued by the County to defray the
cost of the Project. Payments shall be made by the Township when due whether or not the
Project has then been completed or placed in operation.
7. The County Agency is hereby authorized, but not required, to utilize County
personnel for the administration of the Project. The Township agrees that the costs of contract
administration, auditing and financial services shall be part of the cost of the Project for purposes
of paragraph 6 hereof, whether such services are provided by County personnel or third parties.
In the case of County personnel, the costs attributed to the Project shall include the allocable
share of such personnel's salary and fringe benefits to the Project as determined by the County
Agency.
8. The Township may pay in advance of maturity all or any part of an installment
due the County on the bonds by surrendering to the County bonds issued hereunder of a like
principal amount maturing in the same calendar year or by paying to the County in cash the
principal amount of any County bonds that are subject to redemption prior to maturity, plus all
interest thereon to the first date upon which such bonds may be called for redemption, and plus
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all applicable call premiums and bond service charges, and in such event the County Agency
shall call said bonds for redemption at the earliest possible date. The installments or parts
thereof so prepaid shall be deemed to be the installments or parts thereof falling due in the same
calendar year as the maturity dates of the bonds surrendered or called for redemption.
9. The proceeds of sale of the bonds shall be used solely and only to pay the cost of
the Project, and after completion thereof and payment of all costs in connection therewith, any
surplus remaining from the sale of the bonds shall be (i) used to purchase the bonds on the open
market or (ii) retained by the County Agency as a reserve for payment of the bond principal and
interest maturities next falling due, and in such event the contract obligations of the Township in
respect to such bonds or such maturities shall be reduced by the principal amount of bonds so
purchased or of said reserve, said reduction in case of the purchase of bonds to be applied as to
year in accordance with the year of the maturity of the bonds so purchased. Any bonds so
purchased shall be cancelled. In the alternative, such surplus may be used, on request of the
Township and approval by the Board of Commissioners of the County, to extend, enlarge or
improve the System or to acquire and construct additional water supply system facilities to serve
the Township.
10. The Township, pursuant to the authorization of Section 5a of Act 342, hereby
pledges its full faith and credit for the prompt and timely payment of its obligations expressed in
this contract and, subject to applicable constitutional and statutory tax limitations, each year shall
levy a tax on the taxable property located in the unincorporated area of the Township in an
amount that, taking into consideration estimated delinquencies in tax collections, will be
sufficient to pay its obligations under this contract becoming due before the time of the following
year's tax collections; provided, however, that if at the time of making its annual tax levy, the
Township shall have on hand in cash other funds, including special assessment funds and water
supply system revenues, that have been set aside and pledged or are otherwise available for the
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payment of such contractual obligations falling due prior to the time of the next tax collection,
then the annual tax levy may be reduced by such amount. The Township Board each year, at
least 90 days prior to the final date provided by law or charter for the making of the annual tax
levy, shall submit to the County Agency a written statement setting forth the amount of its
obligations to the County that become due and payable under this contract prior to the time of the
next following year's tax collections, the amount of the funds that the Township has or will have
on hand or to its credit in the hands of the County that have been set aside and pledged for
payment of said obligations to the County and the amount of the taxes next proposed to be levied
for the purpose of raising money to meet such obligations. The County Agency promptly shall
review such statement and, if he finds that the proposed tax levy is insufficient, he shall so notify
the Township Board. The Township hereby covenants and agrees that it will thereupon increase
its levy to such extent as may be required by the County Agency.
11. In the event that the Township shall fail for any reason to pay to the County
Agency at the times herein specified, the amounts herein required to be paid, the state treasurer
or other official charged with the disbursement of unrestricted state funds returnable to the
Township pursuant to the Michigan constitution is authorized hereby to withhold sufficient funds
to make up any default or deficiency in funds. In the event the County is required to advance
any money by reason of its pledge of full faith and credit on the bonds to be issued to finance the
acquisition and construction of the Project on account of the delinquency of the Township, the
County Treasurer shall notify the state treasurer to deduct the amount of money so advanced by
the County from any unrestricted moneys in the state treasurer's possession belonging to the
Township and to pay such amount to the County. In addition to the foregoing, the County shall
have all other rights and remedies provided by law to enforce the obligations of the Township to
make payments in the manner and at the times required by this contract. It is specifically
recognized by the Township that the payments required to be made by it pursuant to the terms of
this contract are to be pledged for the payment of the principal of and interest on bonds to be
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issued by the County, and the Township covenants and agrees that it will make its required
payments to the County promptly and at the times herein specified, without regard as to whether
the Project herein contemplated is actually completed or placed in operation; provided, only, that
nothing herein contained shall limit the obligation of the County to perform in accordance with
the covenants contained herein.
12. No change in the jurisdiction over any territory in the Township shall impair in
any manner the obligations of this contact or affect the obligations of the Township hereunder.
In the event that all or any part of the territory of the Township becomes a part of the territory of
another municipality, the municipality into which such territory is incorporated shall assume the
proper proportionate share of the contractual obligations (including the pledge of full faith and
credit) of the Township, which proper proportionate share shall be fixed and determined by the
County Agency and shall be binding upon all parties concerned unless, within sixty (60) days
after such incorporation becomes effective, the municipality into which such territory is
incorporated and the Township shall by mutual agreement and with the written approval of the
County Agency fix and determine such proper proportionate share. The County Agency, prior to
making such determination, shall receive a written recommendation as to the proper
proportionate share from a committee composed of one representative designated by the
Township Board, one designated by the governing body of the new municipality or the
municipality incorporating such territory and one independent registered engineer appointed by
the County Agency. Each governmental unit shall appoint its representative within fifteen (15)
days after being notified to do so by the County Agency and within a like time the County
Agency shall appoint the engineer third member. If any such representative (other than the
appointee of the County Agency) is not appointed within the time above provided, then the
County Agency may proceed without said recommendation. If the committee shall not make the
recommendation within forty-five (45) days after its appointment or within any extension thereof
by the County Agency, then the County Agency may proceed without such recommendation.
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13. The County may advance funds, if approved by resolution adopted by a 2/3 vote
of the members-elect of its Board of Commissioners (as required by Section 8 of Act 342) for
administrative expenses, including engineering, legal and consulting expenses, incurred by the
County Agency in the performance of its duties and powers authorized by Act 342 and for
purposes of obtaining maps, plans, designs, specifications, cost estimates, rights-of-way and
permits for the Project. In such event, and to avoid paying interest on the advance, the Township
shall, not later than two years after the date of adoption of the resolution of the County Board of
Commissioners approving such advance, reimburse the County for the amount of any such
advance; provided, however, that (i) the County Board of Commissioners may extend the due
date of such reimbursement by resolution adopted by a 2/3 vote of its members-elect and (ii) the
obligations of the Township shall be reduced to the extent that County bonds are issued and the
proceeds thereof are used to reimburse the County for such advances. The obligations of the
Township to pay the amounts set forth in this paragraph are full faith and credit obligations as
described in paragraph 10 hereof. The County shall have all rights and remedies provided by
this contract and Act 342 and otherwise pursuant to law to enforce the obligations of the
Township described in this paragraph. In the event that the Township fails to reimburse the
County for an advance made pursuant to this paragraph when due, the Township shall pay to the
County interest on such unreimbursed amount from the date of such advance to the date of
repayment at the 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 advance, to be
compounded quarterly.
14. If County bonds are not sold to finance the acquisition and construction of any
portion of the Project within three years from the date of this contract through no fault of the
County or if the Project is abandoned for any reason, the Township shall pay, or reimburse the
County for the payment of, all engineering, legal and other costs and expenses incurred by the
County Agency in connection with the Project and the Township shall be entitled to all plans,
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specifications and other engineering data and materials. The provisions of this paragraph may be
waived or extended, either before or after the expiration of the three year period, by resolution of
the Township Board and the Board of Commissioners of the County.
15. After completion of the Project the operation and maintenance of the System shall
be in accordance with applicable agreements between the County and the Township.
16. It is understood and agreed by the parties hereto that the System is to serve the
Township and not the individual property owners and users thereof, unless by special
arrangement between the County Agency and the Township. The responsibility of requiring
connection to and use of the System and/or providing such additional facilities as may be needed
shall be that of the Township, which shall cause to be constructed and maintained, directly or
through the County, any such necessary additional facilities. The County shall not be obligated
to acquire or construct any facilities other than those designated in paragraph 2 hereof.
17. The County shall have no obligation or responsibility for providing facilities
except as herein expressly provided with respect to the acquisition and construction of the
Project or as otherwise provided by contract. The Township shall have the authority and the
responsibility to provide such other facilities and shall have the right to expand the facilities of
the System by constructing or extending water mains or related facilities, connecting the same to
the System, and otherwise improving the System. It is expressly agreed, nevertheless, that no
such connection shall be made to the System and no improvements, enlargements or extensions
thereof shall be made without first securing a permit therefor from the County. Any such permit
may be made conditional upon inspection and approval of new construction by the County.
18. To the fullest extent permitted by law, and except as covered by the contractor's
liability insurance, the Township shall indemnify and hold harmless the County and the County
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Agency, and agents and employees of each of them, from and against claims, damages, losses
and expenses, including but not limited to attorneys' fees, arising out of or resulting from design
or construction work relating to the Project, including, without limitation, claims for damage to
public or private property and for injuries to or death of any person or persons, excluding,
however, any claims or causes of action resulting from the County's or the County Agency's sole
negligence.
19. The parties hereto agree that the costs and expenses of any lawsuits or Claims (as
hereinafter defined) arising directly or indirectly out of this contract or the construction or
financing of the Project, to the extent that such costs and expenses are chargeable against the
County or the County Agency, shall be deemed to constitute a part of the cost of the Project and
shall be paid by the Township in the same manner as herein provided with respect to other costs
of the Project. In the event of such litigation or claims, the County Agency shall consult with the
Township and shall retain legal counsel agreeable to the County and the Township to represent
the County; provided that if the County and the Township cannot agree as to such representation
within a reasonable time, the County Agency shall exercise its discretion as to the retention of
such counsel. In this contract, "Claims" means any alleged losses, claims, complaints, demands
for relief or damages, liability, penalties, costs, and expenses, including, but not limited to,
reimbursement for reasonable attorney fees, witness fees, court costs, investigation expenses,
litigation expenses, amounts paid in settlement, and/or other amounts or liabilities of any kind
which are imposed on, incurred by, or assessed against the County, County Agency or Township,
or for which the County, County Agency or Township may become legally and/or contractually
obligated to pay or defend against, whether direct, indirect or consequential, whether based upon
any alleged violation of the federal or the State constitution, any federal or State statute, rule,
regulation, or any alleged violation of federal or State common law, whether any such claims are
brought in law or equity, tort, contract, or otherwise, and/or whether commenced or threatened.
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This paragraph shall not apply to a lawsuit instituted by the Township to enforce its rights under
this contract.
20. All powers, duties and functions vested by this contract in the County shall be
exercised and performed by the County Agency, for and on behalf of the County, unless
otherwise provided by law or in this contract.
21. The parties hereto recognize that the holders from time to time of the bonds to be
issued by the County under the provisions of Act 342, and secured by the full faith and credit
pledge of the Township to the payment of the principal of and interest on the bonds as set forth
in this contract, will have contractual rights in this contract, and it is therefore covenanted and
agreed that so long as any of said bonds shall remain outstanding and unpaid, the provisions of
this contract shall not be subject to any alteration or revision that would affect adversely either
the security of the bonds or the prompt payment of principal or interest thereon. The right to
make changes in this contract, by amendment, supplemental contract or otherwise is nevertheless
reserved insofar as the same do not have such adverse effect. The parties hereto further covenant
and agree that they each will comply with their respective duties and obligations under the terms
of this contract promptly, at the times and in the manner herein set forth, and will not suffer to be
done any act that would impair in any way the contract of said bonds, the security therefor or the
prompt payment of principal and interest thereon. It is declared hereby that the terms of this
contract and of any amendatory or supplemental contract and any contract entered into pursuant
hereto, insofar as they pertain to said bonds or to the payment of the security thereof, shall be
deemed to be for the benefit of the holders of said bonds.
22. In the event that any one or more of the provisions of this contract for any reason
shall be held to be invalid, illegal or unenforceable in any respect, such invalidity, illegality or
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unenforceability shall not affect any other provisions hereof, but this contract shall be construed
as if such invalid, illegal or unenforceable provision had never been contained herein.
23. This contract shall become effective after its execution by each party hereto and
the expiration of 45 days after the date of publication of the notice required by Section 5b of Act
342; provided, however, that if, within the 45-day period, a proper petition is filed with the
Township Clerk in accordance with the provisions of Section 5b of Act 342, this contract shall
not become effective until approved by the vote of a majority of the electors residing in the
unincorporated area of the Township qualified to vote and voting thereon at a general or special
election. This contract shall terminate forty (40) years from its date or on such earlier date when
the Township is not in default hereunder and the principal, interest and bond service charges on
the bonds issued as hereinabove described and all other amounts owed by the Township to the
County hereunder are fully paid and discharged. This contract shall be binding upon and inure to
the benefit of the parties hereto and their respective successors and assigns. Nothing herein
contained, however, shall require the County to finance the Project if it is unable to sell the
bonds to finance the same. This contract may be executed in any number of counterparts.
IN WITNESS WHEREOF, the parties hereto have caused this contract to be executed
and delivered by the undersigned, being duly authorized by the respective governing body of
such parties.
COUNTY OF OAKLAND
Executed on , 2005 By:
• County Drain Commissioner
(County Agency)
CHARTER TOWNSHIP OF OXFORD
By:
Supervisor
Executed on , 2005 And:
Clerk
BLOOMFIELD 9007-358 678720vI
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I. 10- Water Man
12, Mariam Lane r Maar Main
13 Lakevlae Road 1r Water Main
14, Sanders Road 16 Water Man 15, 12' Raw Water Line
16. Eau 113- wow Mein Lcrop
17. OralerneW24 krprovernew 16' Water Main
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Oakland County Oxford Township Water Supply System.
Estimate of Probable Cost
1) Contracted Services:
1. Elevided 'Storage Tick $1,515,152
2. Aquifer Invoitigitloh (Neer Well Field) $454,545
3. Oklortl WoOdS Water Treatment Plant 51,459,091
4. Oxford Oaks Water Treatment Plant 5909.091
5, New Water Treatment Plant (4th Plant) $1,213,636
6, Granger Road Waft Treatment Plant
$2,727,273
• 7. Back-Up Well (Griangar Road) $118,182
• Waist Main:
8. North M-24 Water Main $154,545
9. South M-24 Water Mein $454,545
10. Granger Road Water Main $363,636
11. 16" Water Main $690,909
12. Mariltou Lane Water MainD $127,273
. 13. Lakeville Road Water Main 5500,000
14. Sanders Road Water Main
$681,818
• 15. Raw Water Line $227,273
16. East 16" Water Main Loop $454,545
17. Drahner/M-24 Improvement $272,727
Sub-Total $12,627,273
2) Project Development
Consulting Englwaring:
Design $467,701
construction $595,ocio
Soil Borings $100,000
Sub-Total $1,162,701
3) Contracted Senilcas:ProJect Flnartting
Staid Counsel 558.200
Flnandal Constiltant $26,100
Offkatal Statement $6,000
Bond Rating Foes $20,000
Bond Advertisement 52,000
Auditor's Consent $4,000
Bond Diecotmt (1%) $177,250
Sub-Total $293,550
3) County SerVicos:
AdmInIstnitlon $110,000
Engineering $250,000
Right-Of-Way Including legal $519,776
Constructlian Inepection $303,800
Surveying $185,400
4) Repayment Of Oxford Township Funds
5) ConUngency (10%)
Estimated of Probable Cost
I heraby codify the period of usefulness of
these facilltios to be thirty (SO) years and upwards.
Exhibit "B"
Sub-Total $1,368,976
Sub-Total $500,000
Sub-Total $1,772,500
$17.725.00Q
Contract Estimate.xis
FISCAL NOTE (M.R. #05074) April 28, 2005
BY: FINANCE COMMITTEE, CHUCK MOSS, CHAIRPERSON
IN RE: DRAIN COMMISSIONER - RESOLUTION TO ESTABLISH OAKLAND COUNTY
OXFORD TOWNSHIP WATER SUPPLY SYSTEM AND AUTHORIZE OAKLAND COUNTY OXFORD
TOWNSHIP WATER SUPPLY SYSTEM CONTRACT
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
Chairperson, Ladies and Gentlemen:
Pursuant to Rule XII-C of this Board, the Finance Committee has
reviewed the above referenced resolution and finds:
1. This resolution establishes the Oakland County Oxford
Township Water Supply System and authorizes the contract
for Oakland County to proceed with the Project for Oxford
Township.
2. The Project can be financed most economically and
efficiently by the County through the exercise of the
powers conferred by Act 342, Public Acts of Michigan, 1939,
as amended ("Act 342").
3. The Project consists of constructing an urgently needed
water supply system with facilities constituting part of
the system that will promote the public health and welfare
of the residents.
4. The estimated cost of the project is $17,725,000 with a
useful life of 30 years.
5. The Charter Township of Oxford shall pay Oakland County for
the entire cost of the Project not defrayed by grants or
other funds that may become available.
6. A separate resolution will be forthcoming requesting
approval of the issuance of the Bonds and Oakland County's
full faith and credit on the Bonds.
7. No County general funds shall be appropriated to this
Project.
FINANCE COMMITTEE
FINANCE COMMITTEE
Motion carried unanimously on a roll call vote.
Resolution #05074 April 14, 2005
The Chairperson referred the resolution to the Finance Committee. There were no objections.
#
Ruth Johns °n, County Clerk
Resolution #05074 April 28, 2005
Moved by Crawford supported by Melton the resolutions on the Consent Agenda be adopted and the
report be confirmed.
AYES: Coulter, Crawford, Douglas, Gershenson, Gregory, Hatchett, Jamian, KowaII, Long,
Melton, Middleton, Molnar, Moss, Nash, Palmer, Patterson, Potter, Scott, Suarez, Wilson,
Woodward, Zack, Bullard, Coleman. (24)
NAYS: None. (0)
A sufficient majority having voted therefore, the resolutions on the Consent Agenda were adopted and the
report was confirmed.
I *MY APPROk THE FOREGOING RES011151
5 70C"
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
I, Ruth Johnson, 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 April 28, 2005 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 28th day of April, 2005.