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HomeMy WebLinkAboutResolutions - 2005.09.01 - 27991August 18, 2005 MISCELLANEOUS RESOLUTION #05162 By: Planning and Building Committee, Charles E. Palmer, Chairperson IN RE: DRAIN COMMISSIONER — TRIBUTE DRAINAGE DISTRICT - FULL FAITH AND CREDIT To the Oakland County Board of Commissioners Chairperson, Ladies and Gentlemen WHEREAS, pursuant to Chapter 20 of Act 40 of the Public Acts of 1956, as amended, MCL 280.461 et seq., (hereinafter sometimes referred to as "Drain Code"), and as a matter of public health, the Tribute Drainage District was established and the cost of the construction, operation and maintenance of the Tribute Drain ("Drain") was apportioned against the City of Wixom, and the County of Oakland (herein, the "Public Corporations"); and, WHEREAS, there exists a public health necessity to plan, design and construct the Tribute Drain; and WHEREAS, it is proposed that the cost of the improvements with respect to the Drain be financed in part by the issuance of bonds; WHEREAS the Drainage Board for the Tribute Drain (the "Drainage Board"), by resolution adopted on July 19, 2005, authorized and provided for the issuance by the Tribute Drainage District of its Drain Bonds, Series 2005 (the "Bonds"), in the aggregate principal amount of not to exceed $3,000,000; and WHEREAS, the Bonds will be dated as of such date, will bear interest at such rates not to exceed 6% per annum, will be in the aggregate principal amount, will mature in such years and principal amounts, and will be subject to redemption prior to maturity as shall be determined by the Drainage Board at the time of sale; and WHEREAS the Drainage Board deems it advisable and necessary to obtain from this Board a resolution pledging the full faith and credit of the County for the payment of the principal of and interest on the Bonds; and WHEREAS it is in the best interest of the County that the Bonds be sold in order to achieve debt service savings for the Public Corporations. Planning & Building Committee Vote: Motion carried unanimously on a roll call vote with Woodward absent NOW THEREFORE BE IT RESOLVED: 1. Pursuant to the authorization provided in Section 474 of the Drain Code of 1956, as amended, the Board of Commissioners of the County hereby pledges irrevocably the full faith and credit of the County for the prompt payment of the principal of and interest on the Bonds and 2. agrees that, in the event the City of Wixom or the County shall fail or neglect to account to the County Treasurer of the County for the amount of any special assessment installment and interest when due, the amount thereof shall be advanced immediately from County funds, and the County Treasurer is directed to make such advancement to the extent necessary. 2. In the event that, pursuant to the pledge of full faith and credit, the County advances out of County funds all or any part of an installment and interest, it shall be the duty of the County Treasurer, for and on behalf of the County, to take all actions and proceedings and pursue all remedies permitted or authorized by law for the reimbursement of such sums so paid. 3. The County Treasurer or the financial consultant, Municipal Financial Consultants Incorporated, is authorized to file with the Department of Treasury of the State of Michigan on behalf of the County an Application for State Treasurer's Approval to Issue Bonds with respect to the Bonds. 4. The County Treasurer is authorized to approve the circulation of a preliminary and final official statement for the Bonds, to cause the preparation of those portions of the preliminary and final official statement that pertain to the County, and to do all other things necessary for compliance with Rule 15c2-12 issued under the Securities Exchange Act of 1934, as amended (the "Rule") . The County Treasurer is authorized to execute and deliver such certificates and to do all other things that are necessary to effectuate the sale and delivery of the Bonds. 5. The County Treasurer is hereby authorized to execute and deliver in the name and on behalf of the County (i) a certificate of the County to comply with the requirements for a continuing disclosure undertaking of the County pursuant to subsection (b) (5) of the Rule and (ii) amendments to such certificate from time to time in accordance with the terms of such certificate (the certificate and any amendments thereto are collectively referred to herein as the "Continuing Disclosure Certificate"). The County hereby covenants and agrees that it will comply with and carry out all of the provisions of the Continuing Disclosure Certificate. The remedies for any failure of the County to comply with and carry out the provisions of the Continuing Disclosure Certificate shall be as set forth therein. Mr. Chairperson, on behalf of the Planning and Building Committee, I move adoption of the foregoing resolution. CANNING AND BUILDING COMMITTEE -2- FISCAL NOTE (M.R. #05162) September 1, 2005 BY: FINANCE COMMITTEE, CHUCK MOSS, CHAIRPERSON IN RE: DRAIN COMMISSIONER - TRIBUTE DRAINAGE DISTRICT - FULL FAITH AND CREDIT 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. The Drainage Board for the Tribute Drainage District is requesting that the Board of Commissioners pledge the full faith and credit of the County of Oakland for the payment of principal and interest on the Tribute Drainage District Drain Bonds, Series 2005. 2. The bond issue is not to exceed $3,000,000 and is to be used to plan, design and construct the Tribute Drain. 3. The Bonds shall bear an interest rate not to exceed 6% per annum, will be in aggregate principal amounts, will mature in such years and principal amounts and will be callable prior to maturity as determined necessary by the Drainage Board at the time of issue. 4. The statutory limit for County debt is $7,345,918,835 (10% of State Equalized Value). As of July 31, 2005, the total pledged debt is $326,177,351 or approximately .44% of the S.E.V. 5. The Public Corporations participating in the Tribute Drain construction includes the City of Wixom and Oakland County for drainage of county highways. 6. The estimated project cost is $3,000,000 with $2,832,600 or 94.42% apportioned to the City of Wixom, $167,400 or 5.58% apportioned to Oakland County. 7. The City of Wixom and Oakland County will pay for the bonds through a Special Assessment Roll for the Tribute Drain. 8. Funding is available in the Non-Departmental Current Drain Assessment account to cover Oakland County's apportionment cost of the project. 9. No budget amendment is required. FINANCE COMMITTEE e FINANCE COMMITTEE: Motion carried unanimously on a roll call vote. Resolution #05162 August 18, 2005 The Chairperson referred the resolution to the Finance Committee. There were no objections. I ::Y APPROVE TIE *MIX RERUN 0-oti t_29 4 ole 4 'Ile Resolution #05162 September 1, 2005 Moved by Nash supported by Long the resolutions on the Consent Agenda be adopted (with accompanying reports being accepted). AYES: Coleman, C oulter, C rawford, Douglas, G ershenson, G regory, Hatchett, Jamian, Kowall, Long, Melton, Middleton, Molnar, Moss, Nash, Palmer, Patterson, Rogers, Scott, Suarez, Wilson, Woodward, Zack, Bullard. (24) NAYS: None. (0) A sufficient majority having voted in favor, the resolutions on the Consent Agenda, were adopted (with accompanying reports being accepted). 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 September 1, 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 1st day of September, 2005. Ruth Johnstfn, County Clerk