HomeMy WebLinkAboutCOUNCIL MINUTES 2016-11-14 39994
MINUTES OF THE ONE THOUSAND EIGHT HUNDRED AND THIRTEENTH
REGULAR MEETING OF NOVEMBER 14, 2016
On November 14, 2016 the above meeting was held at the City
Hall, 33000 Civic Center Drive, Livonia, Michigan, and was called to order by
President Kathleen McIntyre at 7:00 p.m. Vice President Brandon Kritzman led
the meeting in the Pledge.
Roll was called with the following result: Brandon Kritzman, Jim
Jolly, Cathy White, Scott Bahr, Brian Meakin and Kathleen McIntyre. Absent:
Maureen Miller Brosnan.
Elected and appointed officials present: Scott Miller, Planner IV;
Todd Zilincik, City Engineer; Don Knapp, City Attorney; Susan M. Nash, City
Clerk; Judy Priebe, Director of Legislative Affairs; Michael Slater, Director of
Finance; and Mayor Dennis Wright.
On a motion by Jolly, supported by White, and unanimously
adopted, it was-
#429-16 RESOLVED, that the Minutes of the 1,812th
Regular Meeting of the Council held November 2, 2016 are
hereby approved as submitted.
Vice President Kritzman wished his daughter Alexandra a happy 4th birthday
coming up on November 26tH
Councilperson White sent birthday wishes to her twins who celebrate their 24th
birthday on November 17th
Councilperson Bahr apologized for his casual attire at this evening's Council
meeting.
President McIntyre congratulated Lieutenant Greg Yon from the Livonia Police
Department who was honored at the 64th Annual Attorney General Award
Ceremony in Washington, D.C. and received the prestigious William French
Smith Award. She detailed the circumstances leading up to being named the
recipient of the award.
Regular Meeting Minutes of November 14, 2016 39995
City Clerk Nash thanked her staff for their outstanding work on the November 8th
Presidential Election as well as the poll workers and the over 54,000 citizens who
came out to vote. She stated it was truly a team effort by all in making things run
smoothly and she commended the Livonia Police Department for their help as
well.
President McIntyre stated there was new data received on Items 8 and 12 on the
Agenda.
During Audience Communication a resident came to the podium to talk
about the proposed dog park and was informed that that topic will be covered in
the Study Meeting which is to follow at 8:00 p.m.
A communication from the Department of Finance dated October 20,
2016, re: forwarding various financial statements for the month ending
September 30, 2016, was received and placed on file for the information of the
Council.
On a motion by Kritzman, supported by Jolly, it was-
#430-16 RESOLVED, that having considered a communication from
the City Engineer, dated October 24, 2016, approved for submission by
the Mayor, to which is attached a letter from Benjamin Couch, dated
October 19, 2016, requesting a waiver of the sidewalk requirement in front
of the residence located at 18316 Lathers Street, in the NE '/4 of Section
12, the Council does hereby approve this request inasmuch as omitting
the sidewalk on the subject property would have no detrimental effect
upon the neighboring properties at this time because there are no public
sidewalks existing on Lathers Street located midblock between Curtis
and Puritan; FURTHER, the Council does hereby reserve the right to
require sidewalks at this location in the event that additional sidewalks
are installed in this area at some future date.
#431-16 RESOLVED, that having considered the report and
recommendation of the Library Director, dated October 12, 2016, which
bears the signature of the Director of Finance and is approved for
submission by the Mayor, the Council does hereby accept the bids of a)
Library Design Associates, Inc., 1149 S. Main Street, Plymouth, MI 48170
for performing all work required in connection with the carpet installation
for the Alfred Noble Library and the Carl Sandburg Library at a total cost
not to exceed $146,178.00 and b) SCI Floor Covering, Inc., 30610 Ecorse
Regular Meeting Minutes of November 14, 2016 39996
Road, Romulus, MI 48174 for performing all work required in connection
with the carpet installation for the third floor of the Robert and Janet
Bennett Civic Center Library at a total cost not to exceed $12,008.54, for
a total amount not to exceed $158,186.54; the same having been the
lowest bids received and meeting all specifications; FURTHER, the
Council does hereby authorize an appropriation and expenditure in an
amount not to exceed $158,186.54 from funds already budgeted for this
purpose from the Capital Outlay — Building Improvement Accounts:
Noble: Account No. 271-739-971-000; Sandburg: Account No. 271-740-
971-000 and Civic Center: Account No: 271-738-971-000.
#432-16 RESOLVED, that having considered communications from
the Director of Community Resources, dated October 31, 2016 and
October 3, 2016, which bear the signature of the Finance Director and the
City Attorney, and are approved for submission by the Mayor, to which is
attached a proposed Addendum to the Specialized Services Vehicle
Agreement between the Suburban Mobility Authority for Regional
Transportation (SMART) and the City of Livonia to cover three (3) 2016
Champion lift equipped buses which have been provided by the Federal
Transit Administration (FTA) 5310 Grant through SMART for the Livonia
Community Transit Program, the Council does for and on behalf of the
City of Livonia, authorize the Mayor and City Clerk to execute the said
agreement upon approval as to form and substance by the Law
Department.
#433-16 RESOLVED, that having considered a communication from
the Director of Finance, dated October 17, 2016, approved for submission
by the Mayor, with regard to proposals received from insurance carriers in
connection with the City's self-insurance program for Workers'
Compensation, the Council does hereby authorize the Mayor and City
Clerk to enter into a contract for the period December 1, 2016 to
November 30, 2018, with York Risk Services Group, 645 West Grand
River, Howell, Michigan 48843, to provide the City with claims
administrative services for a total estimated premium cost of $42,000.00
in year one and $43,260.00 in year two; with said estimated costs having
been in fact the lowest quotation received for this item; FURTHER, the
Council does hereby authorize the Mayor and the City Clerk to enter into
a Contract for the period December 1, 2016 to November 30, 2018 with
Midwest Employers Casualty Company, 14755 North Outer Forty Drive,
Suite 300, Chesterfield, Missouri 63017, to provide the City with excess
insurance coverage when losses from any one claim reach $750,000.00,
for a total estimated premium cost of $128,189.00; with said estimated
cost having been in fact the lowest quotation received for this item. and
the Director of Finance is hereby requested to do all other things
necessary or incidental to the full performance of this resolution.
Regular Meeting Minutes of November 14, 2016 39997
#434-16 RESOLVED, that having considered the report and
recommendation of the Director of Finance dated October 19, 2016,
approved for submission by the Mayor, in connection with renewal options
for the City's Liability and Property Insurance coverage, the Council does
hereby authorize the Mayor and City Clerk, for and on behalf of the City
of Livonia, to execute a contract with the Michigan Municipal Risk
Management Authority (MMRMA), 14001 Merriman Road, Livonia,
Michigan 48154, for the period December 1, 2016 to November 30, 2017,
for the City's Liability and Property Insurance Coverage for a total
premium of $1,128,312.00 and for the period December 1, 2017 to
November 30, 2018, with a premium increase to be based upon
reinsurance increases incurred by MMRMA in 2017, not to exceed eight
percent (8%), as detailed in the aforementioned report; and the Director
of Finance is hereby requested to do all other things necessary or
incidental to the full performance of this resolution.
#435-16 RESOLVED, that having considered a communication from
the Department of Public Works, dated October 10, 2016, approved for
submission by the Mayor, and which bears the signature of the Director of
Finance and the City Attorney, concerning the inclusion in the local street
system, for Act 51 revenue computation purposes, of the following streets:
Sarah Beth Road Extension
(Additional)
Length: 102.30 ft.
Termini: Easterly Segment of Existing Sarah Beth Road to End
Legal Description:
Part of Lot 14 of Fairway Subdivision located in the northwest'/4 of Section
4, T. 1 S., R. 9 E., City of Livonia, Wayne County, Michigan as recorded
in Liber 70, Page 86, Wayne County Records described as beginning at
a point distant N 89048'10" E, 2293.22 feet; thence S 0011'50" E, 330 feet;
thence S 89048'10"W, 155.30 feet; thence S 0011'50" E, 165.00 feet from
the Northwest '/4 corner of said Section 4 and proceeding thence N
89048'10" E, 102.30 to the Point of Ending.
Location: N.W. '/4 of Section 4
Rouge Bluff Court
(Addition)
Length: 738.82 ft.
Termini: Ann Arbor Trail to End
Legal Description:
Part of Lots 728 and 729 of Supervisor's Livonia Plat No. 11, located in
the Southeast '/4 of Section 32, T. 1 S., R. 9 E., City of Livonia, Wayne
Regular Meeting Minutes of November 14, 2016 39998
County, Michigan as recorded in Liber 66, Page 64 of Wayne County
Records being more particularly described as beginning at a point distant
S 01°50'10" W, 1673.28 feet along the east line of Section 32; thence N
86010'00" W, 667.85 feet; thence N 03035'23" E, 60.00 feet to the north
right-of-way line of Ann Arbor Trail; thence N 86010'00" W, 54.99 feet
along said north right-of-way line to the centerline of Rouge Bluff Court
and the Point of Beginning; thence N 03050'00" E, 53.40 feet; thence
26.68 feet along a curve to the left, radius 115.50 feet, chord bearing N
02°47'01" W, 26.62 feet; thence N 09°24'01" W, 34.86 feet; thence 54.27
feet along a curve to the left, radius 40.50 feet, chord bearing N 47047'01"
W, 50.30 feet; thence N 86010'00" W, 569.11 feet to the Point of Ending.
Location: S.E. '/4 of Section 32
Richfield Avenue Extension
(Addition)
Length: 150.31 ft.
Termini: Northerly Segment of Existing Richfield Avenue to End
Legal Description:
That part of the Southeast'/4 of Section 31, T. 1 S., R. 9 E., City of Livonia,
Wayne County, Michigan more fully described as commencing at the East
'/4 corner of said Section 31; thence S 01°15'51" E, 705.38 feet along the
East line of said Section 31; thence N 89003'50" W, 671.16 feet; thence S
0043'43" W, 161.90 feet to the North line of Churchill Manor Site
Condominium, Wayne County Condominium Subdivision Plan No. 902,
as recorded in Liber 44234, Page 74, Wayne County Records; thence N
89003'46" W, 371.13 feet to the Point of Beginning; thence N 0050'37" E,
105.84 feet; thence 44.47 feet along a curve to the right, Radius 55.00
feet and a chord bearing N 23055'39" E, 43.27 feet to the Point of Ending.
Location: S.E. '/4 of Section 31
Quail Chase Drive
(Addition)
Length: 156.66 ft.
Termini: Richfield Avenue to End
Legal Description:
That part of the Southeast'/4 of Section 31, T. 1 S., R. 9 E., City of Livonia,
Wayne County, Michigan more fully described as commencing at the East
'/4 corner of said Section 31; thence S 01°15'51" E, 705.38 feet along the
East line of said Section 31; thence N 89003'50" W, 671.16 feet; thence S
0043'43" W, 161.90 feet to the North line of Churchill Manor Site
Condominium, Wayne County Condominium Subdivision Plan No. 902,
Regular Meeting Minutes of November 14, 2016 39999
as recorded in Liber 44234, Page 74, Wayne County Records; thence N
89003'46"W, 371.13 feet, thence N 0050'37" E, 105.84 feet, thence 44.47
feet along a curve to the right, Radius 55.00 feet and a chord bearing N
23055'39" E, 43.27 feet to the Point of Beginning; thence 42.09 feet along
a curve to the right, Radius 55.00 feet and a chord bearing N 69000'54" E,
41.07 feet; thence S 89003'44" E, 114.57 feet to the Point of Ending.
Location: S.E. '/4 of Section 31
Shrewsbury Drive
(Addition)
Length: 658.80 ft.
Termini: Seven Mile Road to Bridge Street
Legal Description:
That part of the Southeast '/4 of Section 3, T. 1 S., R. 9 E., City of Livonia,
Wayne County, Michigan more fully described as commencing at the
Southeast '/4 corner of said Section 3; thence N 90000'00" W, 797.00 feet
along the South line of said Section 3 and the centerline of Seven Mile
Road; thence N 0017'00" W, 60.00 feet; thence N 90000'00" W, 158.16
feet to the centerline of Shrewsbury Drive and the Point of Beginning;
thence N 0°17'00" W, 129.84 feet; thence 13.85 feet along a curve to the
left, radius 229.77 feet, chord bearing N 2000'36" W, 13.84 feet; thence N
3044'13"W, 75.76 feet; thence 66.94 feet along a curve to the right, radius
651.29 feet, chord bearing N 0047'38" W, 66.91 feet; thence N 2009'10"
W, 50.00 feet; thence 15.58 feet along a curve to the right, radius 230.00
feet, chord bearing N 4005'32" E, 15.57 feet; thence N 6001'54" E, 60.06
feet; thence 39.06 feet along a curve to the left, radius 354.41 feet, chord
bearing N 2052'27" E, 39.05 feet; thence N 0017'00" W, 164.38 feet;
thence 43.33 feet along a curve to the right, radius 55.00 feet, chord
bearing N 22017'18" E, 42.22 feet to the Point of Ending.
Location: S.E. '/4 of Section 3
Bridge Street
(Addition)
Length: 137.47 ft.
Termini: Shrewsbury Drive to End
Legal Description:
That part of the Southeast '/4 of Section 3, T. 1 S., R. 9 E., City of Livonia,
Wayne County, Michigan more fully described as commencing at the
Southeast '/4 corner of said Section 3; thence N 90000'00" W, 797.00 feet
along the South line of said Section 3 and the centerline of Seven Mile
Road; thence N 0017'00" W, 60.00 feet; thence N 90000'00" W, 158.16
feet to the centerline of Shrewsbury Drive, thence N 0017'00" W, 129.84
Regular Meeting Minutes of November 14, 2016 40000
feet; thence 13.85 feet along a curve to the left, radius 229.77 feet, chord
bearing N 2000'36"W, 13.84 feet; thence N 3044'13"W, 75.76 feet; thence
66.94 feet along a curve to the right, radius 651.29 feet, chord bearing N
0047'38" W, 66.91 feet; thence N 2009'10" W, 50.00 feet; thence 15.58
feet along a curve to the right, radius 230.00 feet, chord bearing N
4005'32" E, 15.57 feet; thence N 6001'54" E, 60.06 feet; thence 39.06 feet
along a curve to the left, radius 354.41 feet, chord bearing N 2052'27" E,
39.05 feet; thence N 0°17'00" W, 164.38 feet; thence 43.33 feet along a
curve to the right, radius 55.00 feet, chord bearing N 22017'18" E, 42.22
feet to the Point of Beginning; thence 43.33 feet along a curve to the right,
radius 55.00 feet, chord bearing N 67025'42" E, 42.22 feet; thence S
90000'00" E, 94.14 feet to the Point of Ending.
Location: S.E. '/4 of Section 3
The Council does hereby authorize the City Engineer acting as the Street
Administrator to apply to the Michigan Department of Transportation for
the inclusion of said streets in the City's local street system for purposed
of computing the City's share of Act 51 revenues.
AND BE IT FURTHER RESOLVED THAT the street is an approved public
street and is open for public purposes; and FURTHER, that said streets
are accepted into the City's local street system and are located within a
right-of-way under the control of the City of Livonia and that said streets
were open to the public as of December 31, 2016.
#436-16 RESOLVED, Enrico Soave, Kucyk, Soave, & Fernandes,
PLLC, as proprietor, having requested the City Council to approve the
Washington Park Site Condominiums, located on the southwest corner of
Hix and Ann Arbor Roads (former Washington Elementary School site), in
the Southwest '/4 of Section 31 of the City of Livonia (hereafter the
"Condominium"), and it further appearing that approval of the Master
Deed, bylaws and site plan for the Condominium was given by the City
Council pursuant to Council Resolution 151-16, adopted on April 4, 20167
and it further appearing that such site plan, together with Development
Plans and specifications for improvements have been examined and
approved by the Department of Public Works as set forth in the report of
that Department, dated February 25, 2016, THEREFORE, THE CITY
COUNCIL DOES HEREBY DETERMINE AS FOLLOWS:
(1) All of the public improvements, utilities and grading shall be
constructed, installed and accomplished in conformity with the
provisions of the ordinances of the City of Livonia, including
Sections 18.62 and 18.63 of Ordinance No. 543, as amended, and
the provisions referenced therein, and the regulations and
specifications of the Department of Public Works and the
Development Plans submitted by the proprietor and approved by
such Department; all such improvements to be constructed,
Regular Meeting Minutes of November 14, 2016 40001
installed, accomplished and completed within a period of two (2)
years from the effective date of this resolution; failing this, the
approval granted by the City shall be considered null, void and of
no effect whatsoever;
(2) That all inspection fees and other charges due to the City of Livonia
shall be fully paid at the time and in the manner provided in the said
ordinance provisions;
(3) That the installation of all such improvements shall be subject at all
times to the supervision and inspection and final approval of the
Department of Public Works, and such improvements shall not be
considered as having been satisfactorily and completely installed
until there is filed with the City Council the certificate as provided in
such ordinance provisions;
(4) That the proprietor shall enter into an agreement with the City of
Livonia agreeing to construct, within the prescribed period of time
and in the prescribed manner, all improvements required to the
extent required by the City of Livonia and as shown on the
approved Development Plans;
(5) That as a condition of obtaining necessary engineering permits
prior to commencing the required improvements, the proprietor
shall file with the City of Livonia a corporate surety bond, certified
check, cash bond, irrevocable letter of credit, or other financial
assurance in such form as may be approved by the Department of
Law guaranteeing the satisfactory installation of all such
improvements, utilities and grading by the proprietor within the
prescribed period in the following amounts:
(a) General Improvement Bond $ 60,557.00 (minimum cash)
(b) Sidewalk Bond $ 10,000.00 (minimum cash)
(c) Grade & Soil Erosion Control Bond $7,800.00 (minimum cash)
(d) Entrance Markers/Landscaping $ 7,500.00 (all cash)
(e) Monuments and Markers Bond $ 1,500.00 (all cash)
(f) Public Utility Bond $ 5,000.00 (all cash)
(g) Site Development Bond $ 500.00 (all cash)
(h) As-Built Drawings Bond $ 2,000.00 (all cash)
Regular Meeting Minutes of November 14, 2016 40002
and require cash payments in the total amount of$88,107.59.
(6) That all required cash deposits and certified checks which shall be
established by the City Engineer pursuant to Article XVIII of
Ordinance 543, Section 18.66 of the Ordinance, shall be deposited
with the City prior to the issuance of engineering permits for this
condominium development;
(7) That the distribution lines for telephones and electric service are to
be placed underground and ornamental street lights are to be
provided throughout the Condominium in accordance with City
ordinances.
A roll call vote was taken on the foregoing resolutions with the
following result:
AYES: Kritzman, Jolly, White, Bahr, Meakin and McIntyre
NAYS: None
A communication from the Office of the Treasurer, dated October
247 2016, re: Petition 2016-08-01-05, was received and placed on file for
the information of the Council.
A communication from the Office of the Treasurer, dated November
107 2016, re: Petition 2016-08-01-05 taxes being paid to Wayne County,
was received and placed on file for the information of the Council.
On a motion by Bahr, supported by Jolly, and unanimously
adopted, it was-
#437-16 RESOLVED, that having considered a communication from
the City Planning Commission, dated September 19, 2016, which
transmits its resolution 09-94-2016, adopted on September 13, 2016, with
regard to Petition 2016-08-01-05, submitted by Michael Gowen,
requesting to rezone a portion of the property at 38105 Plymouth Road,
located on the south side of Plymouth Road between Newburgh Road and
Jarvis Avenue in the Southeast '/4 of Section 30, from C-1 (Local
Business) to R-1 (One Family Residential), and the Council having
conducted a public hearing with regard to this matter on Monday, October
247 2016, the Council does hereby approve Petition 2016-08-01-05, for
Regular Meeting Minutes of November 14, 2016 40003
preparation of the ordinance for submission to Council; and the City
Planner is hereby instructed to cause the necessary map for publication
to be prepared indicating the zoning change herein approved and to
furnish the same to the Department of Law and, upon receipt of such map,
the Department of Law is requested to prepare an ordinance amending
Ordinance 543, as amended, in accordance with this resolution.
On a motion by Meakin, supported by Jolly, it was-
#438-16 WHEREAS, the Commission of the Municipal Building
Authority of Livonia, County of Wayne, State of Michigan (the "Authority")
has undertaken or will shortly undertake proceedings to refund all or a
portion of the Authority's Building Authority Refunding Bonds, Series
2007, dated January 3, 2007 (the "Prior Bonds"); and
WHEREAS, such refunding will result in lower costs to the City of Livonia
(the "City") for the use of the facilities leased to the City; and
WHEREAS, a refunding contract between the City and the Authority (the
"Refunding Contract") has been prepared respecting said refunding; and
WHEREAS, it is necessary that the City undertake and make certain
covenants and representations respecting the Authority's proposed
issuance of refunding bonds to refund the Prior Bonds (the "Refunding
Bonds").
NOW, THEREFORE, BE IT RESOLVED THAT-
1.
HAT:1. The City shall, to the extent permitted by law, take all actions within
its control necessary to maintain the exclusion of the interest on the
Refunding Bonds from gross income for federal income tax purposes
under the Internal Revenue Code of 1986, as amended, (the "Code")
including, but not limited to, actions relating to any required rebate of
arbitrage earnings and the expenditure and investment of bond proceeds
and moneys deemed to be bond proceeds, and to prevent the Authority's
refunding bonds from being or becoming "private activity bonds" as that
term is used in Section 141 of the Code.
2. The City hereby authorizes the Authority to prepare and circulate a
preliminary and final official statement in connection with the refunding
bonds and, if applicable, further authorizes the Mayor, Clerk, Finance
Director, or Treasurer to execute such official statements on behalf of the
City.
3. The Mayor, Clerk, Finance Director, and Treasurer of the City are
each hereby authorized to execute any certificates on behalf of the City
necessary for the issuance of such Refunding Bonds.
Regular Meeting Minutes of November 14, 2016 40004
4. The City hereby covenants to comply with Securities and Exchange
Commission Rule 15c2-12 (the "Rule") and shall enter into an undertaking
for the benefit of the holders and beneficial owners of the Refunding
Bonds (the "Undertaking"). In connection therewith, the Mayor and
Finance Director are each hereby authorized to execute and deliver the
Undertaking prior to the delivery of the Refunding Bonds.
5. The Refunding Contract shall be dated such date as may be
appropriate and the same in substantially the form attached hereto as
Exhibit A, is hereby approved. The Mayor and Clerk are hereby directed
to execute and deliver said Refunding Contract on behalf of the City. The
Refunding Contract shall become effective immediately upon execution
and delivery by the City and the Authority.
6. The City Council does hereby ratify and confirm its covenant in the
Refunding Contract to levy ad valorem taxes against all taxable property
in the City to the extent necessary to meet the obligations of the City
thereunder in the event revenues from other sources are insufficient for
any reason whatsoever. Any such taxes levied to pay the obligations
under the Refunding Contract shall be subject to applicable constitutional,
statutory and charter tax rate limitations.
7. All resolutions and parts of resolutions insofar as the same conflict
with the provisions of this Resolution be and the same hereby are
rescinded.
EXHIBIT A
REFUNDING CONTRACT
THIS CONTRACT, made and entered into as of the 14th day of November,
2016, under the provisions of Act 31, Public Acts of Michigan, 1948 (First
Extra Session), as amended (the "Act") and Act 34, Public Acts of
Michigan, 2001, as amended, ("Act 34") (the Act and Act 34 collectively,
the "Acts") by and between the MUNICIPAL BUILDING AUTHORITY OF
LIVONIA, a public corporation organized and existing under the authority
of the Act (the "Authority"), and the CITY OF LIVONIA, County of Wayne,
a Michigan municipal corporation organized and existing under the
Constitution and laws of the State of Michigan (the "City").
WITNESSETH
WHEREAS, the Authority has been incorporated under and in pursuance
of the provisions of the Act for the purpose of acquiring, furnishing,
equipping, owning, improving, enlarging, operating and maintaining a
building or buildings, automobile parking lots or structures, recreational
facilities, stadiums, and the necessary site or sites therefor, together with
appurtenant properties and facilities necessary or convenient for the
Regular Meeting Minutes of November 14, 2016 40005
effective use thereof, for use for any legitimate public purpose of the City;
and
WHEREAS, the City and the Authority previously entered into a Refunding
Contract, dated November 20, 2006, (the "Prior Refunding Contract"),
pursuant to which the Authority issued bonds designated Building
Authority Refunding Bonds, Series 2007, dated January 3, 2007 (the
"Prior Bonds"); and
WHEREAS, the Authority and the City have been advised that conditions
in the bond market have now improved to the point that all or a portion of
the Prior Bonds could be refunded at a savings; and
WHEREAS, it is the determination and judgment of the Authority and the
City that all or a portion of the Prior Bonds should be refunded (the
"Refunding") to secure for the City the interest savings anticipated and
thereby permit the operation of the financed facilities in a more economical
fashion for the benefit of the users of the facilities and the taxpayers of the
City; and
WHEREAS, the execution of this contract (the "Refunding Contract") is
necessary in order to implement a refunding program;
NOW, THEREFORE, in consideration of the premises and the covenants
of each other, the parties hereto agree as follows-
1.
ollows:1. The Authority and the City hereby approve and confirm the
Refunding under the provisions of the Acts in the manner provided by and
pursuant to this Refunding Contract.
2. The Authority will issue a single series of refunding bonds (the
"Refunding Bonds") in a total principal amount not to exceed $23,500,000
in order to pay all or part of the costs of the Refunding. All costs of the
Refunding and of issuing the Refunding Bonds, including, but not limited
to, payment of the principal of and interest on the Prior Bonds,
underwriting discount, bond and other printing, administrative, legal and
financial advisory expenses, credit enhancement costs, rating fees,
trustee and paying agent/registrar fees and all related expenses shall be
paid from the proceeds of sale of the Refunding Bonds or from cash
amounts to be made available by the City to pay such costs.
3. To carry out and accomplish the Refunding in accordance with the
provisions of Michigan law, the Authority shall take the following steps:
(a) The Authority will adopt a resolution providing for the
issuance of the Refunding Bonds in an aggregate principal amount not to
exceed $23,500,000 (the "Refunding Bond Resolution"), such resolution
to be substantially in the form attached hereto and based upon the
Regular Meeting Minutes of November 14, 2016 40006
Authority's analysis of the financial benefits of the Refunding. The
Refunding Bonds shall mature serially or be subject to mandatory sinking
fund redemption, or both, as authorized by law, and will be issued in
anticipation of the debt service installment payments required to be made
by the City as provided in this Refunding Contract and will be secured
primarily by the contractual obligations of the City to pay said installments
when due, including interest. After due adoption of the Refunding Bond
Resolution, the Authority will take all legal procedures and steps
necessary to effectuate the sale and delivery of the Refunding Bonds.
(b) The Authority, upon receipt of proceeds of sale of the
Refunding Bonds, will comply with all provisions and requirements of law,
the Refunding Bond Resolution and this Refunding Contract relative to the
disposition and use of the proceeds of sale thereof.
(c) The Authority shall not make any investments or take any
other actions which would cause the Refunding Bonds herein authorized
to be constituted as arbitrage bonds pursuant to any applicable federal
statutes or regulations.
(d) The Authority shall take all steps necessary to refund the
Prior Bonds.
4. The full principal amount of the Refunding Bonds shall be charged
to and paid by the City to the Authority in annual principal installments,
together with interest and other expenses as herein provided. It is
understood and agreed that the Refunding Bonds of the Authority will be
issued in anticipation of such payments by the City.
It is agreed that the City shall pay to the Authority, at least one business
day prior to the annual maturity or mandatory redemption date of principal
amounts of the Refunding Bonds, such principal amount, and in addition,
at least one business day prior to each interest payment date on the
Refunding Bonds, as accrued interest on the principal installments
remaining unpaid, an amount sufficient to pay all interest due on the next
succeeding interest payment date. From time to time as the Authority is
billed by the registrar/transfer/paying agent for the Refunding Bonds for
their services, and as other costs and expenses accrue to the Authority
from handling of the payments made by the City or from other action taken
in connection with the Refunding Bonds, the Authority shall notify the City
of the amount of such fees, costs and expenses, and the City shall, within
thirty (30) days from such notification, remit to the Authority sufficient
funds to pay such amounts.
The Authority shall, within thirty (30) days after the delivery of the
Refunding Bonds, furnish the City with a complete schedule of said
installments and the interest thereon and due dates and shall also, at least
thirty (30) days prior to each due date, advise the City, in writing, of the
Regular Meeting Minutes of November 14, 2016 40007
exact amount due on the next due date. The failure to give such notice
shall not, however, excuse the City from making required payments when
due under the provisions hereof.
5. The City, pursuant to Section 8a of the Act and pursuant to Act 34,
hereby irrevocably pledges its full faith and credit for the prompt and timely
payment of its obligations pledged for payment of the Refunding Bonds
as expressed in this Refunding Contract. Pursuant to such pledge, if other
funds are not available, the City shall be required to pay such amounts
from any of its general funds as a first budget obligation and shall each
year levy an ad valorem tax on all the taxable property in the City in an
amount which, taking into consideration estimated delinquencies in tax
collections, will be sufficient to pay such obligations under this Refunding
Contract becoming due before the time of the following year's tax
collections, such annual levy shall however be subject to applicable
constitutional, statutory and charter tax rate limitations. Commitments of
the City are expressly recognized as being for the purpose of providing
funds to meet the respective contractual obligations of the City in
anticipation of which the Refunding Bonds are issued. Nothing herein
contained shall be construed to prevent the City from using any, or any
combination, of the means and methods provided in Section 8a of the Act
for the purpose of providing funds to meet its obligations under this
Refunding Contract, and if at the time of making the annual tax levy there
shall be other funds on hand earmarked and set aside for the payment of
the contractual obligations due prior to the next tax collection period, then
such annual tax levy may be reduced by such amount.
6. Additional moneys over and above any of the payments specified
in this Refunding Contract may be prepaid as provided in this Refunding
Contract.
7. All provisions of the Prior Refunding Contract not inconsistent
herewith, and particularly all covenants relative to the payment of and
security for the Prior Bonds made by the City therein, shall remain in full
force and effect and shall apply with equal effect to the Refunding Bonds
authorized hereby, it being understood that upon issuance of the
Refunding Bonds, all or any portion of the Prior Bonds refunded will be
defeased and the Refunding Bonds shall be substituted therefor and shall
be outstanding in their place and stead.
8. Nothing herein contained shall in any way be construed to prevent
additional financing under the provisions of the Act.
9. The obligations and undertakings of each of the parties to this
Refunding Contract shall be conditioned upon the successful
accomplishment of the proposed Refunding, and therefore if for any
reason whatsoever the Refunding Bonds are not issued, then this
Refunding Contract shall be considered void and of no force and effect;
Regular Meeting Minutes of November 14, 2016 40008
provided, however, that in such event, all costs and expenses shall be
paid by the City in accordance with existing commitments to the Authority,
and the Authority shall not be obligated for such costs and expenses.
10. The Authority and the City each recognize that the holders from
time to time of the Refunding Bonds will have contractual rights in this
Refunding Contract, and it is therefore covenanted and agreed by each of
them that so long as any of the Refunding Bonds shall remain outstanding
and unpaid, the provisions of this Refunding Contract shall not be subject
to any alteration or revision which would in any manner materially affect
either the security of the Refunding Bonds or the prompt payment of
principal of or interest thereon. The City and the Authority further
covenant and agree that they will each comply with their respective duties
and obligations under the terms of this Refunding Contract promptly at all
times and in the manner herein set forth, and will not suffer to be done any
act which would in any way impair the Refunding Bonds, the security
therefor, or the prompt payment of principal of and interest thereon. It is
hereby declared that the terms of this Refunding Contract insofar as they
pertain to the security of the Refunding Bonds shall be deemed to be for
the benefit of the holders of said Refunding Bonds.
11. This Refunding Contract shall remain in full force and effect until
the Refunding Bonds issued by the Authority are paid, at which time this
Refunding Contract shall be terminated, and the provisions of the Contract
relative to disposition of the financed facilities shall be carried out. In any
event, the obligations of the City to make the payments required
hereunder shall be terminated at such time as all of the Refunding Bonds
are paid in full by the City, togetherwith all interest and penalties and other
obligations hereunder.
12. This Refunding Contract shall inure to the benefit of and be binding
upon the respective parties hereto, their successors and assigns.
IN WITNESS WHEREOF, the MUNICIPAL BUILDING AUTHORITY OF
LIVONIA, by its Commission, and the CITY OF LIVONIA, COUNTY OF
WAYNE, MICHIGAN, by its City Council, have each caused its name to
be signed to this instrument by its duly authorized officers and its seal to
be affixed hereto the day and year first above written.
In the presence of: MUNICIPAL BUILDING
AUTHORITY OF LIVONIA
By:
Chairman
By:
Secretary
Regular Meeting Minutes of November 14, 2016 40009
(Seal)
CITY OF LIVONIA
By:
Mayor
By:
Clerk
(Seal)
STATE OF MICHIGAN )
)ss
COUNTY OF WAYNE )
On this day of 2016, before me appeared
and , to me
personally known, who, being by me duly sworn, did, each for himself or
herself, say that they are respectively the Chairman and Secretary of the
Commission of the MUNICIPAL BUILDING AUTHORITY OF LIVONIA, a
public corporation of the State of Michigan, and that said instrument was
signed and sealed on behalf of said Authority by authority of its
Commission, and the said persons acknowledged said instrument to be
the free act and deed of said Authority.
Notary Public, Wayne County, MI
My CommissionExpires:
STATE OF MICHIGAN )
)ss
COUNTY OF WAYNE )
On this day of 2016, before me appeared Dennis K.
Wright and Susan M. Nash, to me personally known, who, being by me
duly sworn, did, each for himself or herself, say that they are respectively
the Mayor and Clerk of the CITY OF LIVONIA, County of Wayne,
Michigan, a municipal corporation in the State of Michigan, and that said
instrument was signed and sealed on behalf of the said City by authority
of its City Council and the said persons acknowledged said instrument to
be the free act and deed of said City.
Regular Meeting Minutes of November 14, 2016 40010
Notary Public, Wayne County, MI
My Commission Expires:
Mike Slater, Director of Finance, came to the podium to address
this agenda item and stated that the City has a wonderful opportunity with
the refunding of the 2007 Recreation Bonds which would save the City
approximately 2.2 million dollars.
Tom Colis, bond attorney, was also present to answer any
questions of Council
Following discussion by Council a roll call vote was taken on the
above motion by Meakin, supported by Jolly, with the following result:
AYES: Kritzman, Jolly, White, Bahr, Meakin and McIntyre
NAYS: None
The President declared the resolution adopted.
On a motion by Meakin, supported by Jolly, and unanimously
adopted, it was-
#439-16 RESOLVED, that having considered a communication from
the Department of Law, dated October 27, 2016, approved for submission
by the Mayor, transmitting for Council acceptance a Grant of Easement
executed by Scott Maxwell, General Manager for McLaren Performance
Technologies, Inc., for a 10-foot wide public utility easement in connection
with the sanitary sewer constructed at 32367 W. Eight Mile Road in the
Northeast 1/4 of Section 3, more particularly described as-
(1 0-foot
s:(10-foot Wide Sanitary Sewer Easement)
Part of the Northeast '/4 of Section 3, Town 1 South, Range 9 East, City of
Livonia, Wayne County, Michigan, being more particularly described as:
Commencing at the North '/4 Corner of Section 3; thence S 00000'00" W,
60.00 feet; thence N 89049'52" E, 30.00 feet, to the point of beginning;
thence N 89049'52" E, 134.98 feet; thence S 00000'36" W, 10.00 feet;
thence S 89049'52" W, 135.01 feet; thence N 00000'20" E, 10.00 feet; to
the point of beginning.
Regular Meeting Minutes of November 14, 2016 40011
See Attached Sanitary Sewer Easement Sketch
The Council does hereby, for and in behalf of the City of Livonia, accept
the aforesaid Grant of Easement and the City Clerk is hereby requested
to have the same recorded in the Office of the Register of Deeds and to
do all other things necessary or incidental to fulfill the purpose of this
resolution.
On a motion by Jolly, supported by White, and unanimously
adopted, it was-
#440-16 RESOLVED, that having considered a communication from
the Department of Law, dated October 27, 2016, approved for submission
by the Mayor, transmitting for Council acceptance a Grant of Easement
executed by Scott Maxwell, General Manager for McLaren Performance
Technologies, Inc., for a 10-foot wide public utility easement in connection
with the sanitary sewer constructed at 32205 W. Eight Mile Road in the
Northeast 1/4 of Section 3, more particularly described as-
(1 0-foot
s:(10-foot Wide Sanitary Sewer Easement)
Part of the Northeast '/4 of Section 3, Town 1 South, Range 9 East, City of
Livonia, Wayne County, Michigan, being more particularly described as:
Commencing at the North '/4 Corner of Section 3; thence S 00000'00" W,
60.00 feet; thence N 89049'02" E, 494.94 feet, to the point of beginning;
thence N 89049'02" E, 134.98 feet; thence S 00001'13" E, 10.00 feet;
thence S 89049'02" W, 135.01 feet; thence N 00000'55" W, 10.00 feet to
the point of beginning.
See Attached Sanitary Sewer Easement Sketch
The Council does hereby, for and in behalf of the City of Livonia, accept
the aforesaid Grant of Easement and the City Clerk is hereby requested
to have the same recorded in the Office of the Register of Deeds and to
do all other things necessary or incidental to fulfill the purpose of this
resolution.
A communication from the Department of Law, dated November 14, 20167
re: Workers' Compensation Summary, was received and placed on file for the
information of the Council.
Regular Meeting Minutes of November 14, 2016 40012
Vice President Kritzman stated that it is upon his recommendation that Council
receive and file the Workers' Compensation Summary as it contains very useful
information.
There was no Audience Communication at the end of the meeting.
On a motion by Jolly, supported by Bahr, and unanimously adopted, this
1,813th Regular Meeting of the Council of the City of Livonia was adjourned at
7:22 p.m. on November 14, 2016.
Susan M. Nash
City Clerk