November 23, 2009

 

A regular meeting of the City Council was held on Monday, November 23, 2009, at 7:00 p.m. in the Council Chambers of City Hall.  Mayor Donker presided.  The Pledge of Allegiance to the Flag was led by Boy Scout Troop #763 – First Baptist Church.

 

Councilmen present:

Thomas Adams, Maureen Donker, Scott Gaynor, Bruce Johnson, Marty Wazbinski

Councilmen absent:

None

 

MINUTES

Approval of the minutes of the November 9, 2009 regular meeting was offered by Councilman Adams and seconded by Councilman Wazbinski.  (Motion ADOPTED.)

 

PUBLIC COMMENTS

No public comments were made.

 

GOLF COURSE FEES ORDINANCE AMENDMENT (1st reading)

Assistant City Manager Jack Duso presented information on an ordinance to amend Section 21-71 of Division 2 of Article II of Chapter 21 of the Code of Ordinances – Golf Course Fees.  Introduction and first reading of the following ordinance amendment was then offered by Councilman Adams and seconded by Councilman Wazbinski:

 

ORDINANCE NO. _____

AN ORDINANCE TO AMEND THE CODE OF ORDINANCES OF THE CITY OF MIDLAND, MICHIGAN, BY AMENDING SECTION 21-71 OF DIVISION 2 OF ARTICLE II OF CHAPTER 21 THEREOF.

The City of Midland Ordains:

Section 1.        Section 21-71 of Division 2 of Article II of Chapter 21 is amended to read as follows:

Sec. 21-71.  Golf Course Fees

The fees for golfing privileges at the Currie Municipal Golf Course are as follows:

Currie East Municipal Golf Course Daily Fees

9-hole rate

 

 

     Regular weekday

 

$13.50 11.50 per play

     Regular weekend

 

$15.00 11.50 per play

     Senior & Youth weekday (7:00 a.m. – 3:00 p.m.)

 

$  9.00   8.00 per play

     Youth weekday & weekend

 

$  5.00 per play

18-hole rate

 

 

     Regular weekday

 

$21.00 15.00 per play

     Regular weekend

 

$23.00 15.00 per play

     Senior & Youth weekday (7:00 a.m. – 3:00 p.m.)

 

$15.00 13.00 per play

     Youth weekday & weekend

 

$  9.00 per play

Winter rate

 

 

(November 1 – March 1)

 

$  5.00 per play

Currie West Municipal Golf Course Daily Fees

9-hole rate

 

 

     Regular weekday

 

$15.00 per play

     Regular weekend

 

$17.50 15.00 per play

     Senior & Youth weekday (7:00 a.m. – 3:00 p.m.)

 

$10.00 per play

     Youth weekday & weekend

 

$  8.00 per play

18-hole rate

 

 

     Regular weekday

 

$25.00 per play

     Regular weekend

 

$30.00 25.00 per play

     Weekend after 2:00 p.m.

 

$24.00 per play

     Senior & Youth weekday (7:00 a.m. – 3:00 p.m.)

 

$17.00 per play

     Youth weekday & weekend

 

$12.00 per play

Winter rate

 

 

(November 1 – March 1)

 

$  5.00 per play

Currie East and Currie West Municipal Golf Courses Season Pass Membership Fees

Good April 1 through September 30

Dual Unlimited play (East and West Courses)

 

 

     Single Season pass Membership

 

$  780.00 1000.00 per pass Membership

     Couple season pass Membership

 

$1270.00 1500.00 per pass Membership

*  Currie Dual Members receive:

  • 10% discount on all Golf Shop merchandise excluding special sale items
  • 10% discount on all Food Menu items

 

 

Unlimited play - East Course Only

 

 

     Single season pass Membership

 

$  700.00 550.00 per pass Membership

     Couple season pass Membership

 

$1140.00 750.00 per pass Membership

     Youth season Membership

 

$  275.00 per Membership

*    Currie East Members receive:

  • 20% discount on Currie West green fees
  • 10% discount on all Golf Shop merchandise excluding special sale items
  • 10% discount on all Food Menu items

 

 

Unlimited play - West Course Only

 

 

     Single season Membership

 

$  750.00 per pass Membership

     Couple season Membership

 

$1200.00 per pass Membership

     Youth season Membership

 

$  400.00 per Membership

*    Currie East Members receive:

  • 20% discount on Currie East green fees
  • 10% discount on all Golf Shop merchandise excluding special sale items
  • 10% discount on all Food Menu items

 

 

Dual Senior & Youth restricted play - (East and West Courses Only Monday through Friday before 3:00 p.m. and after 1:00 p.m. on weekends)

 

 

     Single season pass Membership

 

$560.00 600.00 per pass Membership

     Couple season pass Membership

 

$900.00 1100.00 per pass Membership

*   Currie West Members receive:

  • 20% discount on Currie East green fees
  • 10% discount on all Golf Shop merchandise excluding special sale items
  • 10% discount on all Food Menu items

 

 

Senior & Youth restricted play – (East Course Only Monday through Friday before 3:00 p.m. and weekends after 1:00 p.m.)

 

 

     Single season pass Membership

 

$500.00 450.00 per pass Membership

     Couple season pass Membership

 

$800.00 700.00 per pass Membership

*   Currie East Members receive:

  • 20% discount on Currie West green fees
  • 10% discount on all Golf Shop merchandise excluding special sale items
  • 10% discount on all Food Menu items

 

 

Dual Family Pass Membership (East and West Courses Only for Unlimited Family Members 18 years of age and under 19 Years)

 

$1450.00 per pass Membership

*   Currie West Members receive:

  • 20% discount on Currie East green fees
  • 10% discount on all Golf Shop merchandise excluding special sale items
  • 10% discount on all Food Menu items

 

 

Family pass Membership (East Course only for Unlimited Family Members 18 years of age and under 19 Years)

 

$1300.00 1100.00 per pass Membership

*   Currie East Members receive:

  • 20% discount on Currie West green fees
  • 10% discount on all Golf Shop merchandise excluding special sale items
  • 10% discount on all Food Menu items

 

 

Power Cart Fees

     9 Holes per person

 

Not to exceed $  9.00

     18 Holes per person

 

Not to exceed $15.00

Cart Lease

 

 

     Single

 

$450.00 per season

     Couple

 

$675.00 per season

Trail Fee (Private carts used only by owner or member of immediate family.)  All other riders must pay a cart rental fee.

 

 

     Season pass

 

$450.00 per pass

     Daily pass

 

$  10.00 per pass

Par Three Course Daily Fees

Par 3 – Regular

 

$6.50 per play

Par 3 – Senior and Youth

 

$4.50 per play

Par 3 – Youth

 

$2.50 per play

Driving Range Fees

Driving Range

 

 

     Small Basket

 

$3.00

     Small Medium Basket

 

$5.00

     Large Basket

 

$7.00

Driving Range Season Pass Membership Fees

     Single

 

$200.00

     Course Season Pass Holder Membership (Single)

 

$125.00

     Course Season Pass Holders Membership (Couple)

 

$200.00

Youth Golf Program

     Program Fee

 

$50.00 70.00 or Youth Restricted Play Pass Youth Membership

Senior is defined as 60 years of age and older.

Youth is defined as under 19 18 years of age and under.

Couple is defined as husband and wife.

Family is defined as husband and wife and their children 18 years of age and under.

Exception:  The Golf Course Manager is authorized with the approval of the City Manager to reduce daily fees on a discretionary basis for the purpose of marketing additional play.

Section 2.        This Ordinance shall take effect upon publication.

(Motion ADOPTED.  Considered first reading. Yeas:  Adams, Donker, Gaynor, Wazbinski   Nays:  Johnson)

 

2010-11 BUDGET PREPARATION SCHEDULE

Fiscal Services Director David Keenan presented the 2010-11 Budget Preparation Schedule.  The following resolution was then offered by Councilman Wazbinski and seconded by Councilman Johnson:

 

RESOLVED, that the attached budget preparation schedule for the 2010-11 fiscal year is hereby received; and

RESOLVED FURTHER, that said budget preparation schedule shall be filed for public examination in the City Clerk’s office and at the Grace A. Dow Memorial Library; and

RESOLVED FURTHER, that the City Manager shall set a special meeting of the City Council at a time yet to be determined in the Council Chambers of City Hall on Saturday, January 16, 2010, for the purpose of setting Council goals for the 2010-11 fiscal year; and

RESOLVED FURTHER, that the City Manager shall set a special meeting of the City Council at 7:00 p.m. in the Council Chambers of City Hall on Monday, April 19, for the purpose of budget review and public input on the budget; and

RESOLVED FURTHER, that the City Manager, at the regular meeting of the City Council at 7:00 p.m. in the Council Chambers of City Hall on Monday, January 25, 2010, shall review the proposed Engineering Priorities Listing and receive public input on the listing; and

RESOLVED FURTHER, that a preliminary public hearing shall be conducted at 7:00 p.m., Monday, April 26, 2010, in the Council Chambers of City Hall, on the proposed 2010-11 budget; and

RESOLVED FURTHER, that in accord with Section 11.4 of the Charter of the City of Midland, a public hearing shall be conducted at 7:00 p.m., Monday, May 10, 2010, in the Council Chambers of City Hall on the proposed 2010-11 budget; and,

RESOLVED FURTHER, that with respect to each meeting included herein the City Clerk shall give notice as provided by Section 5.11 of the Charter of the City of Midland.  (Motion ADOPTED.)

 

LANDFILL GAS-TO-ENERGY PROJECT

Utilities Director Noel Bush gave a presentation on the Landfill Gas-to-Energy project and presented five resolutions pertaining to the project.  William Danoff, Miller, Canfield, Paddock and Stone, spoke regarding the issuance of the General Obligation Limited Tax Bonds.  The following five resolutions were then presented for consideration.


 

LANDFILL GAS-TO-ENERGY GENERAL OBLIGATION LIMITED TAX BONDS

The following resolution was offered by Councilman Johnson and seconded by Councilman Wazbinski:

 

City of Midland
Counties of Midland and Bay, State of Michigan

RESOLUTION AUTHORIZING ISSUANCE AND SALE OF
GENERAL OBLIGATION LIMITED TAX BOND, SERIES 2010

A RESOLUTION TO PROVIDE FOR:

·         Issuance of a Bond up to $10,000,000 to construct a methane recovery system from the City’s landfill, and a methane powered electric generating facility;

·         Sale of Bond to the Michigan Municipal Bond Authority at an interest rate of 2.5% as part of the State Revolving Fund Program;

·         Pledge of the City’s limited tax full faith and credit for the payment of the Bond;

·         Execution by the City of Supplemental Agreement among the City, the Michigan Municipal Bond Authority, and Michigan Department of Environmental Quality;

·         Finance Director authorized to sell Bond as part of the State Revolving Fund Program without further Council Resolution;

·         Other matters relative to sale and delivery of the Bond.

WHEREAS, the City of Midland, Counties of Midland and Bay, State of Michigan (the “City”) determines it to be necessary for the public health, safety and welfare of the City and its residents to acquire and construct a methane recovery system from the City’s landfill, and a methane powered electric generating facility, together with any appurtenances and attachments thereto and any related site acquisition or improvements (the “Project”); and

WHEREAS, under the provisions of Section 517 of Act No. 34, Public Acts of Michigan, 2001, as amended (“Act 34”) a City may issue municipal securities to pay the cost of capital improvement items, and the issuance by the City of a bond under Section 517 of Act 34 in an amount not to exceed Ten Million Dollars ($10,000,000) for the purpose of financing costs of the Project appears to be the most practical means to that end; and

WHEREAS, on May 4, 2009, in compliance with the requirements of Section 517 of Act 34 and Section 5(g) of the Home Rule Cities Act, Act 279, Public Acts of Michigan, 1909, as amended, the City published the “Notice to Electors and Taxpayers of the City of Midland of Intent to Issue Bonds Secured by the Taxing Power of the City and Right of Referendum Thereon” in the Midland Daily News describing bonds to be issued for the purpose of paying the costs of the Project, and no petition has been filed requesting a referendum on the issuance of bonds to construct the Project; and

WHEREAS, the City expects to receive an offer from the Michigan Municipal Bond Authority (the “Authority”) to purchase the City’s bond to construct the Project at an interest rate of 2.5% per annum as part of the State Revolving Fund Program, pursuant to a Supplemental Agreement to be executed by and among the City, the Authority, and the State of Michigan acting through the Department of Environmental Quality (“MDEQ”); and

WHEREAS, Act 34 permits the City to authorize, within limitations which shall be contained in the authorization resolution of the governing body, an officer to sell and deliver and receive payment for obligations; and

WHEREAS, the City Council determines that it is necessary to authorize the Director of Finance to complete sale and delivery of a limited tax general obligation bond for the purpose of constructing the Project, within limitations contained in this authorization Resolution.

NOW, THEREFORE, BE IT RESOLVED THAT:

1.         A Bond of the City designated as the GENERAL OBLIGATION LIMITED TAX BOND, SERIES 2010 (the “Bond”) is authorized to be issued for the purpose of paying costs of acquiring and constructing the Project and the costs incidental to the issuance, sale and delivery of the Bond.  The Bond shall be issued in the principal sum of Ten Million Dollars ($10,000,000) or such lesser amount as shall be determined at the time of sale by the Director of Finance in consultation with the Utilities Director of the City, the Authority, and MDEQ.  The City anticipates that the Authority will disburse payment to the City for the Bond in installments as needed to pay costs of the Project.  Under the terms of the Bond, the City will only be required to repay the principal portion of the Bond as shall have been disbursed to the City by the Authority (the “Principal Amount”). 

The Authority has advised the City that the Authority will periodically provide to the City a statement showing the portion of the Principal Amount that has been advanced and the date of each advance.

The Bond shall be issued in the form of a single fully-registered, nonconvertible bond of the denomination of the principal sum issued, dated as of the date of delivery of the Bond.  The maturity schedule for repayment by the City to the Authority of the Principal Amount of the Bond shall provide for annual payments in amounts to be determined at the time of sale of the Bond, on October 1 or April of each year beginning on October 1 or April 1, 2010 or on such other dates as may be determined by the Director of Finance in consultation with the Authority.  The Authority has advised the City that in the event that the maturity schedule approved at the time of sale of the Bond provides for payment of a principal sum greater than the Principal Amount disbursed to the City by the Authority, then the Authority shall prepare a new payment schedule.  Final determination of the principal sum of the Bond and the payment dates and maturity schedule shall be evidenced by execution of the Purchase Contract between the City and the Authority providing for sale of the Bond.

The Principal Amount of the Bond will be subject to prepayment prior to maturity as may be approved by the Authority.

The City shall pay the Authority interest on each installment of the Principal Amount disbursed by the Authority to the City from the date such installment of principal is disbursed at the rate of not-to-exceed 2.5% per annum, on April 1 or October 1, 2010 and semiannually thereafter on April 1 and October 1 of each year until maturity or earlier prepayment.  At the time of sale of the Bond the Director of Finance may approve other dates for payment of interest in consultation with the Authority.

The City Treasurer shall record on the registration books payment by the City of each installment of principal or interest or both when made and the cancelled checks or other records evidencing such payments shall be returned to and retained by the City Treasurer and shall be conclusive evidence of such payments and the obligation of the City with respect to such payments shall be discharged to the extent of such payments.

The Bond shall be executed in the name of the City with the manual or facsimile signatures of the Mayor and Clerk of the City, provided that at least one of the signatures on the Bond shall be a manual signature, and shall have the seal of the City, or a facsimile thereof, printed or impressed on the Bond.  After execution, the Bond shall be delivered to the Authority by the Director of Finance. 

2.         The City intends to pay principal of and interest on the Bond from revenues received by the City from the operations of the Project.  Notwithstanding the intent to use revenues from the Project for payment of principal of and interest and premium on the Bond, the Bond shall be payable, as a first budget obligation, from the general fund of the City, and the City shall levy annually ad valorem taxes on all taxable property in the City which, taking into consideration estimated delinquencies in tax collections, shall be fully sufficient to pay the principal and interest on the Bond, provided, however, that if at the time of making any such tax levy there shall be other legally available funds for the payment of principal of and interest on the Bond, such as revenues from the Project, then credit therefor may be taken against the levy for payment of the Bond.  The levy shall be subject to constitutional, statutory and charter tax rate limitations.

3.         The City Treasurer is authorized and directed to open a separate depository or trust account with a bank or trust company to be designated as the GENERAL OBLIGATION LIMITED TAX BOND, SERIES 2010 DEBT RETIREMENT FUND (the “Debt Retirement Fund”).  The Debt Retirement Fund may be pooled or combined with other debt retirement funds for issues of bonds of like character as provided by Act 34 or other state law.  An amount sufficient to assure timely payment of the principal of and interest on the Bond shall be transferred each year into the Debt Retirement Fund from funds legally available therefor, including the revenues received by the City from the operations of the Project and the general fund of the City.  The moneys deposited in the fund shall be used solely for the purpose of paying the principal of and interest on the Bond and, as may be necessary, to rebate arbitrage earnings, if any, to the United States Department of Treasury as required by the Internal Revenue Code of 1986, as amended.  All proceeds from taxes levied for the Debt Retirement Fund shall be deposited into the Debt Retirement Fund as collected.

In the event a deposit of trust is made of cash or direct obligations of the United States or obligations the principal of an interest on which are guaranteed by the United States, or a combination thereof, the principal of and interest on which, without reinvestment, come due at times and in amounts sufficient to pay at maturity or irrevocable call for earlier optional or mandatory redemption, the principal of, premium, if any, and interest on the Bond, this Resolution shall be defeased and the owners of the Bond shall have no further rights under this Resolution except to receive payment of the principal of, premium, if any, and interest of the Bond from the cash or securities deposited in trust and the interest and gains thereon.

4.         The proceeds of the Bond shall be deposited in the fund designated as the 2010 GENERAL OBLIGATION LIMITED TAX BOND CONSTRUCTION FUND (the “Construction Fund”).  The moneys in the Construction Fund shall be used to pay the costs of the Project and to pay the costs of issuance of the Bonds.  Any balance remaining after such expenditure shall be paid into the Debt Retirement Fund and used for the prepayment of installments of the Bond.  After completion of the Project and disposition of remaining proceeds, if any, of the Bond pursuant to the provisions of this Section, the Construction Fund shall be closed.

5.         The Bond shall be in substantially the following form with such revisions, additions and deletions as may be advisable or necessary to comply with the final terms of the Bond established upon sale thereof:

 

 

 

 

United States of America
State of Michigan
Counties of Midland and Bay

CITY OF MIDLAND
GENERAL OBLIGATION LIMITED TAX BOND, SERIES 2010

The CITY OF MIDLAND, Counties of Midland and Bay, State of Michigan (the “City” or the “Issuer”), acknowledges itself to owe and for value received hereby promises to pay to the Michigan Municipal Bond Authority (the “Authority”) the sum of _____________________ ___________________ ($_____________) Dollars or such portion thereof as shall have been advanced to the City (the “Principal Amount”) pursuant to a Purchase Contract between the City and the Authority, and a Supplemental Agreement by and among the City, the Authority and the State of Michigan acting through the Department of Environmental Quality.

During the time the Principal Amount is being drawn down by the City under this Bond, the Authority will periodically provide to the City a statement showing the amount of principal that has been advanced and the date of each advance, which statement shall constitute prima facie evidence of the reported information; provided that no failure on the part of the Authority to provide such a statement or to reflect a disbursement or the correct amount of a disbursement shall relieve the City of its obligation to repay the outstanding Principal Amount actually advanced (subject to any principal forgiveness as provided for in Schedule A), all accrued interest thereon, and any other amount payable with respect thereto in accordance with the terms of this Bond.

The Principal Amount shall mature and be payable by the City to the Authority on the dates and in the annual principal installment amounts set forth in Schedule A attached hereto and made a part hereof, as such Schedule may be adjusted if less than $_______, 000 is disbursed to the City or if a portion of the Principal Amount is prepaid or reduced as provided below.  The City shall pay the Authority interest on the Principal Amount disbursed by the Authority to the City from the date principal is disbursed, until maturity or earlier prepayment, at the rate of _____% per annum, first payable __________ 1, 200__ and semiannually thereafter on the first day of _______ and ________ of each year.

Notwithstanding any other provision of this Bond, so long as the Authority is the owner of this Bond, (a) this Bond is payable as to principal, premium, if any, and interest at The Bank of New York Mellon Trust Company, N.A. or at such other place as shall be designated in writing to the City by the Authority (the “Authority’s Depository”); (b) the City agrees that it will deposit with the Authority’s Depository payments of the principal of, premium, if any, and interest on this Bond in immediately available funds by 12:00 noon at least five business days prior to the date on which any such payment is due whether by maturity, redemption or  otherwise; in the event that the Authority’s Depository has not received the City’s deposit by 12:00 noon on the scheduled day, the City shall immediately pay to the Authority as invoiced by the Authority an amount to recover the Authority’s administrative costs and lost investment earnings  attributable to that late payment; and (c) written notice of any redemption of this Bond shall be given by the City and received by the Authority’s Depository at least 40 days prior to the date on which such redemption is to be made.

Additional Interest

In the event of a default in the payment of principal or interest hereon when due, whether at maturity, by redemption or otherwise, the amount of such default shall bear interest (the “additional interest”) at a rate equal to the rate of interest which is two percent above the Authority’s cost of providing funds (as determined by the Authority) to make payment on the bonds of the Authority issued to provide funds to purchase this Bond but in no event in excess of the maximum rate of interest permitted by law. The additional interest shall continue to accrue until the Authority has been fully reimbursed for all costs incurred by the Authority (as determined by the Authority) as a consequence of the City’s default.  Such additional interest shall be payable on the interest payment date following demand of the Authority.  In the event that (for reasons other than the default in the payment of any municipal obligation purchased by the Authority) the investment of amounts in the reserve account established by the Authority for the bonds of the Authority issued to provide funds to purchase this Bond fails to provide sufficient available funds (together with any other funds which may be made available for such purpose) to pay the interest on outstanding bonds of the Authority issued to fund such account, the City shall and hereby agrees to pay on demand only the City’s pro rata share (as determined by the Authority) of such deficiency as additional interest on this Bond.

This Bond is a single, fully‑registered, non‑convertible bond in the principal sum of $10,000,000 issued pursuant to Act 34, Public Acts of Michigan, 2001, as amended, and a resolution duly adopted by the City Council of the City, for the purpose of acquiring and constructing a methane recovery system from the City’s landfill and a methane powered electric generating facility, together with any appurtenances and attachments thereto and any related site acquisition or improvements.

The limited tax full faith, credit and resources of the City are pledged for the payment of this Bond, and the City has pledged that it shall pay the principal of and interest on this Bond as it becomes due as a first budget obligation from its general fund and, after taking into account funds which the City may have legally available for payment of principal of and interest on this Bond, shall levy annually ad valorem taxes on all taxable property in the City sufficient to pay the principal and interest on this Bond subject to applicable constitutional, statutory, and charter tax rate limitations. 

Principal installments of this Bond are subject to prepayment by the City prior to maturity only with the prior written consent of the Authority and on such terms as may be required by the Authority.

This Bond shall be registered as to principal and interest on the books of the City kept by the City Treasurer and may be transferred only upon surrender of this Bond by the registered owner of record in person, or by registered owner’s attorney duly authorized in writing, to the City Treasurer together with a written instrument of transfer satisfactory to the City Treasurer duly executed by the registered owner or the registered owner’s attorney duly authorized in writing, and thereupon a new registered bond in the same aggregate principal amount and of the same maturity shall be issued to the transferee in exchange therefor.

It is hereby certified and recited that all acts, conditions and things required by law to be done, precedent to and in the issuance of this Bond exist and have been done and performed in regular and due form and time as required by law, and that the total indebtedness of the City, including this Bond, does not exceed any constitutional, statutory or charter debt limitation.

IN WITNESS WHEREOF, the City of Midland, Counties of Midland and Bay, State of Michigan, by its City Council, has caused this Bond to be signed in the name of said City [by] / [with the facsimile signatures of] its Mayor and its City Clerk and the City seal or a facsimile thereof to be [manually impressed/printed], all as of the Date of Original Issue.

CITY OF MIDLAND, Michigan

[manual or facsimile

By      signature to appear here               ]

Mayor

(Seal)

Countersigned:

[manual or facsimile

By            signature to appear here               ]

City Clerk


 

SCHEDULE A

 

Loan Amount to be repaid:  $_________*

Based on the schedule provided below unless revised as provided in this paragraph, repayment of principal of the Bond shall be made until the full amount advanced to the City is repaid.  In the event the Order of Approval issued by the Department of Environmental Quality (the “Order”) approves a principal amount of assistance less than the amount of the Bond delivered to the Authority, the Authority shall only disburse principal up to the amount stated in the Order.  In the event (1) that the payment schedule approved by the City and described below provides for payment of a total principal amount greater than the amount of assistance approved by the Order, (2) that less than the principal amount of assistance approved by the Order is disbursed to the City by the Authority, or (3) that any portion of the principal amount of assistance approved by the Order and disbursed to the City is forgiven pursuant to the Order, the Authority shall prepare a new payment schedule which shall be effective upon receipt by the City.

Due Date

 

Amount of Principal
Installment Due

 

 

 

 

 

 

 

 

 

 

 

 

Interest on the Bond shall accrue on that portion of principal disbursed by the Authority to the City which has not been forgiven pursuant to the Order from the date such portion is disbursed, until paid, at the rate of 2.5% per annum, payable                      , 20   , and semi-annually thereafter.

The City agrees that it will deposit with The Bank of New York Mellon Trust Company, N.A., or at such other place as shall be designated in writing to the City by the Authority (the “Authority’s Depository”) payments of the principal of, premium, if any, and interest on this Bond in immediately available funds by 12:00 noon at least five business days prior to the date on which any such payment is due whether by maturity, redemption or otherwise.  In the event that the Authority’s Depository has not received the City’s deposit by 12:00 noon on the scheduled day, the City shall immediately pay to the Authority as invoiced by the Authority an amount to recover the Authority’s administrative costs and lost investment earnings attributable to that late payment.

* Not to exceed amount.  Loan reductions at close out will result in a proportional decrease

6.         The City shall not invest, reinvest or accumulate any moneys deemed to be proceeds of the Bond pursuant to the Internal Revenue Code of 1986, as amended (the “Code”), in such a manner as to cause the Bond to be an “arbitrage bond” within the meaning of the Code.  The City hereby covenants that, to the extent permitted by law, it shall take all actions within its control and that it shall not fail to take any action necessary to maintain the exclusion of the interest on the Bond from adjusted gross income for general federal income tax purposes under the Code, including, but not limited to, actions relating to the rebate of arbitrage earnings, if applicable, and the expenditure of investment of Bond proceeds and moneys deemed to be Bond proceeds, all as more fully set forth in the Non-Arbitrage and Tax Compliance Certificate to be delivered by the City with the Bond.

7.         City Council hereby determines to sell the Bond by negotiated sale to the Authority as part of the State Revolving Fund Program for the reason that participation in the State Revolving Fund Program will permit the City to sell the Bond at a lower rate of interest than available through sale by competitive bid.  The Director of Finance is hereby authorized to sell the Bond to the Authority at an interest rate of not-to-exceed 2.5% per annum and at the par value thereof as evidenced by execution of a Purchase Contract, and to deliver the Bond in accordance with the delivery instructions of the Authority.

8.         The proposed form of Purchase Contract between the City and the Authority (the “Purchase Contract”) and the proposed form of Supplemental Agreement among the City, the Authority and MDEQ (the “Supplemental Agreement”), and the proposed form of Issuer’s Certificate to be delivered by the City to the Authority, each of which are on file with the City Clerk, are hereby approved.  The Director of Finance, the Utilities Director, the Mayor, and the City Clerk are hereby jointly or severally authorized to execute and deliver the Purchase Contract, the Supplemental Agreement, and the City’s Certificate upon completion in the forms approved hereby with such revisions as they may determine to be necessary or desirable, permitted by law, and not materially adverse to the City.

9.         In the event that the Director of Finance is not available at the time that it becomes necessary to take actions directed or authorized under this resolution, then the City Manager or a person designated by the Director of Finance or the City Manager is authorized to take the actions delegated to the Director of Finance by this Resolution.  The Director of Finance, the City Manager, the Utilities Director, the Mayor, the Treasurer, and the City Clerk are hereby jointly or severally authorized to take any actions necessary to comply with requirements of the Authority and MDEQ in connection with sale of the Bond to the Authority, and to execute and deliver such other certificates, documents, instruments, and other papers as may be required by the Authority or MDEQ or as may be otherwise necessary or convenient to effect the delivery of the Bond.

10.       All resolutions and parts of resolutions insofar as they conflict with the provisions of this resolution are hereby rescinded.  (Motion ADOPTED.)

 

GAS COLLECTION AND CONTROL SYSTEM CONTRACT

The following resolution was offered by Councilman Adams and seconded by Councilman Johnson:

 

WHEREAS, the City of Midland, State of Michigan, wishes to construct improvements to its existing wastewater treatment and collection system; and

WHEREAS, the wastewater system improvements project formally adopted on June 22, 2009 will be funded through Michigan’s State Revolving Fund Program; and

WHEREAS, the City of Midland has sought and received construction bids for the proposed improvements under three separate bid packages:  1) the Gas Collection And Control System Construction, 2) the Gas Pipeline Construction, and 3) the Gas-to-Energy Facility and Compressor Building Construction, and has received a low bid for the Gas Collection and Control System Construction in the amount of $1,344,312.36 from Catskill Remedial Contracting Services, Inc. of Otsego; and

WHEREAS, funding for the Gas Collection and Control System Construction has been separately budgeted in the 2009/10 Landfill budget account #517-9120-912.97-65 – Capital Construction Projects; and

WHEREAS, staff, along with the City’s project engineer, CTI and Associates, evaluated the proposals of each bidder and recommends awarding the contract to the low bidder; now therefore

RESOLVED, that the City of Midland authorizes the Mayor and City Clerk to execute a construction contract with Catskill Remedial Contracting Services, Inc., in the amount of $1,344,312.36, for the supply and installation of a gas collection and control system at the Landfill, as part of the proposed wastewater system improvements, subject to document approval by the City Attorney; and

RESOLVED FURTHER, that the City Manager has the authority to approve change orders modifying or altering said agreement in an aggregate amount not to exceed $20,000.00.  (Motion ADOPTED.)

 

GAS PIPELINE CONSTRUCTION CONTRACT

The following resolution was offered by Councilman Johnson and seconded by Councilman Gaynor:

 

WHEREAS, the City of Midland, State of Michigan, wishes to construct improvements to its existing wastewater treatment and collection system; and

WHEREAS, the wastewater system improvements project formally adopted on June 22, 2009 will be funded through Michigan’s State Revolving Fund Program; and

WHEREAS, the City of Midland has sought and received construction bids for the proposed improvements under three separate bid packages:  1) the Gas Collection And Control System Construction, 2) the Gas Pipeline Construction, and 3) the Gas-to-Energy Facility and Compressor Building Construction, and has received a low bid for the Gas Pipeline Construction in the amount of $608,815.75 from R. Roese Contracting Corporation, Inc. of Kawkawlin; and

WHEREAS, staff, along with the City’s project engineer, CTI and Associates, evaluated the proposals of each bidder and recommends awarding the contract to the low bidder; now therefore

RESOLVED, that the City of Midland authorizes the Mayor and City Clerk to execute a construction contract with R. Roese Contracting Corporation, Inc., in the amount of $608,815.75, for the supply and installation of a gas pipeline connecting the gas collection system at the Landfill to the power generation facility at the Wastewater Treatment Plant, as part of the proposed wastewater system improvements, subject to document approval by the City Attorney and successful financial arrangements with Michigan’s State Revolving Fund Program; and

RESOLVED FURTHER, that the City Manager has the authority to approve change orders modifying or altering said agreement in an aggregate amount not to exceed $20,000.00.  (Motion ADOPTED.)

 

COMPRESSOR BUILDING AND ENERGY PLANT CONSTRUCTION CONTRACT

The following resolution was offered by Councilman Johnson and seconded by Councilman Wazbinski:

 

WHEREAS, the City of Midland, State of Michigan, wishes to construct improvements to its existing wastewater treatment and collection system; and

WHEREAS, the wastewater system improvements project formally adopted on June 22, 2009 will be funded through Michigan’s State Revolving Fund Program; and

WHEREAS, the City of Midland has sought and received construction bids for the proposed improvements under three separate bid packages:  1) the Gas Collection And Control System Construction, 2) the Gas Pipeline Construction, and 3) the Gas-to-Energy Facility and Compressor Building Construction, and has received a low bid for the Gas-to-Energy Facility and Compressor Building Construction in the amount of $8,554,177.00 from The Christman Company of Lansing; and

WHEREAS, staff, along with the City’s project engineer, CTI and Associates, evaluated the proposals of each bidder and recommends awarding the contract to the low compliant bidder; now therefore

RESOLVED, that the City of Midland authorizes the Mayor and City Clerk to execute a construction contract with The Christman Company, in the amount of $8,554,177.00, for the supply and installation of a gas-to-energy facility and compressor building construction, as part of the proposed wastewater system improvements, subject to document approval by the City Attorney and successful financial arrangements with Michigan’s State Revolving Fund Program; and

RESOLVED FURTHER, that the City Manager has the authority to approve change orders modifying or altering said agreement in an aggregate amount not to exceed $20,000.00.  (Motion ADOPTED.)

 

CONSTRUCTION MANAGEMENT & QUALITY ASSURANCE – PO INCREASE

The following resolution was offered by Councilman Johnson and seconded by Councilman Wazbinski:

 

WHEREAS, engineering work is ongoing to meet the tight schedule for the State Revolving Funds (SRF) loan application to the Michigan Department of Environmental Quality for three construction efforts necessary to complete the renewable energy project:  1) Gas Collection and Control System at the Landfill, 2) Gas Pipeline from the Landfill to the Energy Plant, and 3) Energy Plant at the Wastewater Treatment Plant and Compressor Building at the Landfill; and

WHEREAS, one of the engineering requirements for SRF loan eligibility is construction management, construction quality assurance, and final reporting to the SRF to show that work was completed according to the approved design, along with surveying and laboratory testing results; and

WHEREAS, the City’s consultant, CTI & Associates, Inc., has submitted to the City a proposal to provide the required work for the duration of the three overlapping projects, which will span an estimated twelve months, at a cost of $576,011.00; and

WHEREAS, staff is pleased with the work CTI has performed on the gas-to-energy project to date, and recommends acceptance of the proposal to perform management and oversight in continuation of previous efforts; now therefore

RESOLVED, that an increase of $576,011.00 to the existing purchase order of $224,500.00 to CTI & Associates, Inc. to provide construction management and construction quality assurance for: 1) gas collection & control system efforts, 2) gas pipeline, and 3) generator facility and compressor building, contingent upon successful financial arrangements with the Michigan Department of Environmental Quality’s State Revolving Fund Program for the three associated construction projects, bringing the total purchase order to $800,511.00, is hereby approved.  (Motion ADOPTED.)

 

OPPOSITION TO CHARTER COMMUNICATIONS CHANNEL CHANGES

MCTV Director Ron Beacom presented a resolution notifying Charter Communications of the City’s opposition to the changes in the location of Midland’s cable access channels and requesting reconsideration of said action.  The following resolution was then offered by Councilman Gaynor and seconded by Councilman Adams:

 

WHEREAS, Charter Communications notified the City of Midland on November 2 that Midland’s four cable access channels will be moved from their current high value locations      (3, 5, 15, 17)  to channels 96-99 on December 1; and

WHEREAS, there is limited funding for advertising and promotion, and the City of Midland is concerned the access channels will be difficult for some viewers to find after being in their current locations for the past 6 to 19 years; and

WHEREAS, the new locations for MGTV and the MCTV message board will be on channels 96 & 97 respectively, which are subject to FM signal interference thus potentially lowering the quality of the signals a viewer receives; now therefore

RESOLVED, that City Council approves this resolution to notify Charter Communications of the City’s opposition to these channel changes and requests Charter to reconsider this action.  (Motion ADOPTED.)

 

FLEXIBLE BENEFIT PLAN UPDATES

The following resolution was offered by Councilman Adams and seconded by Councilman Wazbinski:

 

WHEREAS, the City has received a recommendation to adopt an updated version of its Section 125 Flexible Benefit Plan from Flex Administrators, Inc. to comply with recent IRS administrative regulations; and

WHEREAS, the City has engaged the services of Flex Administrators, Inc. to administer the City of Midland Section 125 Flexible Benefit Plan and ensure legal compliance with IRS regulations; now therefore

RESOLVED, that the City of Midland Section 125 Flexible Benefit Plan Document is adopted as attached.  (Motion ADOPTED.)

 

CITY AND COUNTY OF MIDLAND JOINT BUILDING AUTHORITY AUDIT

The following resolution was offered by Councilman Adams and seconded by Councilman Wazbinski:

 

RESOLVED, that the audit of the City and County of Midland Joint Building Authority for the year ended June 30, 2009 is hereby acknowledged as being received by the Midland City Council on this date, and is ordered placed on file for public examination.  (Motion ADOPTED.)

 

2008-09 CABLE ACCESS ADVISORY COMMISSION ANNUAL REPORT

The following resolution was offered by Councilman Adams and seconded by Councilman Wazbinski:

 

WHEREAS, the Cable Access Advisory Commission has submitted an annual report for fiscal year 2008/2009 in accord with Article I of Chapter 15 of the Midland Code of Ordinances; and

WHEREAS, the Cable Access Advisory Commission has identified in the annual report activities that are in compliance with the duties defined in the ordinance; now therefore

RESOLVED, that the 2008/2009 Annual Report of the Cable Access Advisory Commission be accepted.  (Motion ADOPTED.)

 

BOARDS AND COMMISSIONS APPOINTMENT PROCESS REPORT

City Clerk/Community Relations Director Selina Tisdale presented a review of the boards and commissions appointment process.  The following resolution was then offered by Councilman Wazbinski and seconded by Councilman Gaynor:

 

RESOLVED, that Midland City Council hereby receives and files the review report on the 2009 Boards and Commissions appointment process.  (Motion ADOPTED.)

 

BROWNFIELD REDEVELOPMENT AUTHORITY – VELASQUEZ REAPPOINTMENT

The following resolution was offered by Councilman Adams and seconded by Councilman Wazbinski:

 

RESOLVED, that Jenee Velasquez is hereby reappointed to the Brownfield Redevelopment Financing Authority for a term expiring December 1, 2012.  (Motion ADOPTED.)

 

DDA – THOMPSON APPOINTMENT

The following resolution was offered by Councilman Adams and seconded by Councilman Wazbinski:

 

RESOLVED, that W. Douglas Thompson is hereby appointed as the resident representative to the Downtown Development Authority to fill a term expiring May 1, 2011.  (Motion ADOPTED.)

 

TRAFFIC CONTROL ORDER P-09-05

The following resolution was offered by Councilman Adams and seconded by Councilman Wazbinski:

 

RESOLVED, that Traffic Control Order No. P-09-05 filed September 15, 2009 pursuant to Chapter 24 of the Code of Ordinances to establish traffic control as follows:

That parking shall be prohibited on the north side of Reardon Street located from 240 feet east of Ashman Street to a point 285 feet east of Ashman Street weekdays from 10:00 a.m. to 1:30 p.m. for the purpose of establishing a loading zone.

is hereby made permanent.  (Motion ADOPTED.)

 

UNLEADED FUEL PURCHASE

The following resolution was offered by Councilman Adams and seconded by Councilman Wazbinski:

 

WHEREAS, City Council adopted a resolution on December 17, 2007 that allows the Purchasing Agent to purchase full tankers of unleaded gasoline and diesel fuel exceeding $20,000, and seek approval for the purchase at the next City Council meeting; and

WHEREAS, the volatility of the fuel market does not allow for staff to follow the usual sealed bid process for purchases exceeding $20,000; and

WHEREAS, staff instead uses a competitive bid process whereby fuel vendors fax in prices that are valid for a particular day with the bid awarded to the lowest priced vendor; now therefore

RESOLVED, that the requirements for sealed proposals for the purchase of fuel are waived due to the volatility of the fuel market; and

RESOLVED FURTHER, that the purchase of 13,700 gallons of diesel fuel from Hirschman Oil of Reese, Michigan for $29,633.10 executed by the Purchasing Agent on November 4, 2009, is hereby approved.  (Motion ADOPTED.)

 

PLAYGROUND EQUIPMENT PURCHASE

The following resolution was offered by Councilman Adams and seconded by Councilman Wazbinski:

 

WHEREAS, sealed proposals were advertised and received in accord with Article II of Chapter 2 of the Midland Code of Ordinances for the purchase of playground equipment, Bid No. 3224; and

WHEREAS, sufficient funds are included in the capital budget in the Parks Fund for the purchase of the playground equipment; now therefore

RESOLVED, that the low bid meeting City specifications submitted by Miracle Recreation of Okemos, Michigan for the purchase and installation of playground equipment is hereby accepted; and

RESOLVED FURTHER, that the City Purchasing Agent is authorized to issue a purchase order to Miracle Recreation in the amount of $54,910.00 in accord with this resolution, the proposal selected and City specifications.  (Motion ADOPTED.)

 

LEGAL ASSISTANCE PO INCREASE – NPDES PERMIT APPROVAL PROCESS

The following resolution was offered by Councilman Adams and seconded by Councilman Wazbinski:

 

WHEREAS, the State of Michigan Department of Environmental Quality (MDEQ), in compliance with the provisions of the Federal Water Pollution Control Act, gives authorization to discharge wastewater under the National Pollutant Discharge Elimination System (NPDES) to the City of Midland Wastewater Treatment Plant; and

WHEREAS, the MDEQ made its first draft permit response this past July that contained several new and restrictive limits and conditions that were not directly connected to the wastewater treatment plant’s operations or the wastewater it treats and discharges, for which the City saw no regulatory or technical basis for the limits and conditions; and

WHEREAS, a purchase order to Miller, Canfield, Paddock and Stone, P.L.C. of Lansing in the amount of $20,000.00 was administratively approved in August to expedite the negotiation process of the NPDES permit renewal; and

WHEREAS, the City was successful in influencing the final draft of its NPDES permit, which took effect on October 1, 2009, and will expire on October 1, 2013; and

WHEREAS, legal assistance totaled $33,600.00, requiring an increase of $13,600.00 to the existing purchase order; and

WHEREAS, funding for this purpose is available in the 2009/10 Wastewater Fund account #590-8010-801.81-99 – Miscellaneous Contractual Services; now therefore

RESOLVED, that an increase of $13,600.00 to the existing purchase order with Miller, Canfield, Paddock and Stone, P.L.C. of $20,000.00, bringing the total amount to $33,600.00 for legal assistance provided during the NPDES renewal process is hereby approved.  (Motion ADOPTED.)

 

CONDITIONAL USE PERMIT NO. 36

The following resolution was offered by Councilman Adams and seconded by Councilman Wazbinski:

 

WHEREAS, Daniel and Mary Spegel submitted a request for a group daycare home (7-12 children) located at 5805 West Wackerly Street located in a Residential A-1 zoning district on 2.67 acres; and

WHEREAS, the City Planning Commission has conducted a public hearing in accord with Section 28.02(A) of the Zoning Ordinance of the City of Midland on said conditional use; and

WHEREAS, the Planning Commission has submitted its recommendation of approval, in accord with Section 28.02(B) of the Zoning Ordinance of the City of Midland; now therefore

 

RESOLVED, that notice is hereby given that a public hearing will be held by the City Council on December 21, 2009, at 7:00 p.m. in the Council Chambers, City Hall, for the purpose of considering the request for a conditional use permit; and

RESOLVED FURTHER, that the City Clerk is hereby directed to notify property owners and occupants within three hundred (300) feet of the area proposed by transmitting notice on December 4, 2009 and to publish said notice on December 5, 2009.  (Motion ADOPTED.)

 

PLANNED UNIT DEVELOPMENT NO. 16

The following resolution was offered by Councilman Adams and seconded by Councilman Wazbinski:

 

WHEREAS, the City Council has received the recommendation of the City Planning Commission for approval of the request from the Carolina Cove Condominium Association to remove the requirement to construct a 4’ wide sidewalk on Kitty Hawk Circle; now therefore

RESOLVED, that notice is hereby given that a public hearing will be held by the City Council on Monday, December 21, 2009, at 7:00 p.m. in the Council Chambers, City Hall, for the purpose of considering the removal of the requirement to construct a 4’ wide sidewalk on Kitty Hawk Circle in Carolina Cove Condominiums on 6.74 acres west of Abbott Road north of Betsey Drive and south of Alta Court; and

RESOLVED FURTHER, that the City Clerk is hereby directed to notify property owners within three hundred (300) feet of the area by transmitting notice on December 4, 2009 and to publish said notice on December 5, 2009.  (Motion ADOPTED.)

 

Being no further business the meeting adjourned at 8:50 p.m.

 

 

______________________________________

            Selina Tisdale, City Clerk