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HomeMy WebLinkAboutCOUNCIL MINUTES 1951-10-29 SPECIAL Page 511 MINUTES OF THE TWELFTH SPECIAL MEETING OF THE COUNCIL OF TIE CITY OF LIVONIA On October 29, 1951, above meeting was held at 33110 Five Mile Road, Livonia, Michigan, and was called to order at approximately 8 :17 P. M by the President of the Council, Harry S Wolfe Roll was called with the following result: Present-- Harry S Wolfe, Raymond E Grimm, iiison W Edgar, Nettie Carey, Harvey Jahn, William Taylor and John Whitehead Absent-- None. Councilman Edgar as chairman of the Special Committee on refunding of water bonds made a report in which it was recommended that a certain proposed agreement bearing date of October 29, 1951, be entered into by and between the City of Livonia and K K Martin, Municipal Consultant, the form of such agreement having been approved by John H Nunneley as bond attorney. By Councilman Edgar, seconded by Councilman Whitehead and unanimously adopted as follows, it was . �- 7A11 RESOLVED, that the City of Livonia make and enter into the following agreement. THIS AGREESNT, made and entered into the 29th day of October, A D , 1951, by and between the CITY OF LIVONIA, Wayne County, Michigan, party of the FIRST PART, and K. K. MARTIN, MUNICIPAL CONSULTANT, of Detroit, Michigan, party of the SECOND PART, witnesseth. WHEREAS, the party of the first part is desirous of issuing approximately $1,660,000 Water Supply System Refunding and Extension, Revenue Bonds, under Act 9L1, Public Acts of Michigan, 1933, as amended; for the purpose of extending and improving its water supply system and refunding its now outstanding $516,000 «tater Revenue Bonds, dated February 1, 1950, and maturing serially August 1st each year 1952 to 1979, inclusive, such bonds being payable from a statuatory first lien on the revenues of the system. AND WHEREAS, it would be deemed advantageous to the party of the first part, if said new issue of bonds could be issued as 111 a first lien and sold at open public sale in accordance with the existing laws of Michigan, Page 542 AND WREREAS, in order to obtain this advantage it would be necessary to obtain the voluntary consent of the holders of the presently outstanding $516,000 First Lien Bonds to allow the bonds to be called, or exchanged, for the new bonds proposed to be issued, including the amount of aiy premium to be paid within the limits permitted by law; 5 AND WHEREAS, the party of the second part has been identified with the City's water revenue financing since its inception and has successfully concluded two previous refunding and extension programs and is therefore in position to render valuable services in obtaining the consent of the present holders of the above mentioned $516,000 First Lien Bonds, which would permit the call, or exchange, of such bonds for bonds of the proposed new issue at an equal interest rate; NON, THEREFORh, IT IS 111UTUALTY AGREED between the parties hereto, that the party of the first part hereby engages the party of the second part as Financial Agent, and in consideration of the services to be rendered, agrees as follows . FIRST: This Agreement is to endure for a period of 90 days from the date hereof and, if within this period the consent of the holders of the present outstanding bonds has been obtained and the plan of financing the new issue proposed thereafter until such time as the new issue of bonds has been sold, but in no event longer 111 than six months from the date hereof SECOND• All details, plans, engineering and legal reports are to be made available by the party of the first part to the second party in order that a comprehensive and feasible financing plan can be developed and the second party agrees to prepare, at his own expense, a ' prospectus setting forth the details of such plan and the attractive features of the new bond issue from an investment standpoint, to circulate such s information to prospective purchasers, with a view of obtaining numerous competitive bias and to advise the k City in the .eter-lino Lion of the bid which would result in the lowest interest cost; THIRD• That that portion of the new proposed issue of bonds not to be reserved under the exchange set forth above, will oe advertised and sold, without restriction, in accordance with the laws of the State of Michigan, FOURTH: In consideration of these services, party of the first part agrees to pay the party of the second part a fee of one per cent (1%) of the par value of bonds issued, and in addition thereto, a sum equal to one-quarter 1 (1/4) of one per cent (1%) of the par value of the bonds issued to cover expenses, such fee and expenses to be paid simultaneously with, but only when and if the new bonds are issued and all, or the amount remaining after any exchange, are sold and payment therefor received by the City E' Page 543 In consideration of the agreements entered into, the parties hereto have set their hands and seals as of the date hereof, and that the Mayor and City Clerk be directed to affix their signatures IL to said agreement on behalf of the City of Livonia With the consent of all present, a recess was called until 10.00 P M , following which the meeting reconvened with all members of the Council present. By Councilman Taylor, seconded by CouncilmanWhitehead and unanimously ii adopted as follows, it was : 19'707.5 RESOLVED that, pursuant to recommendation of the City Engineer under date of October 17, 1951, the council does hereby formally accept the roads in Melody Manor, a subdivision located in the N E 1/4 of Section 7, City of Livonia, Michigan; that the bond furnished by Bernard Edelman, as principal and Continental Casualty Company, as surety to the City of Livonia under date of December 20, 1950, in the amount of $3,000 00 is hereby canceled; and that the City Clerk is directed to give notice of such cancellation. • The result of the roll call vote on the foregoing resolution was as follows . AYES• Grimm, Jahn, Edgar, Carey, Whitehead, Taylor & Wolfe. NAYS. None lk , By Councilman Jahn, seconded by Councilman Taylor and unanimously adopted as follows, it was 9 7c26' RESOLVED that, on recommendation of Herald Hamill, City Engineer dated October 29, 1951, the City of Livonia does hereby accept full control and jurisdiction of all of the streets within B E Taylor's Schoolcraft Manor Subdivision, which is a part of the W 1/2 of Section 23, City of Livonia, Michigan, does hereby release the Board of Road Commissioners for the County of Wayne from any further responsibility in connection with said streets and does hereby agree that said Board of Road Commissioners release to B E T , Inc. the cash bond here„ofore filed with said Board of Road Commissioners to guarantee the completion of said streets; provided, however, that the above release of bond is made on condition that the City of Livonia will retain the $2,000 00 cash bond filed with said city for said B E T , Inc , not only for the purpose originally intended, that is the satisfactory completion of streets in B.E. Taylor's Schoolcraft Manor No. 2 Subdivision, but likewise to guarantee the satisfactory completion of Lyndon Avenue within B E Taylor's Schoolcraft Manor Subdivision; and, provided further, that this resolution shall not become effective until acceptance and approval of its terms has been given by said B E T , Inc., in a form of a letter addressed to the City of Livonia, copy of ILwhich shall be filed with the said Board of Road Commissioners. 1 Page 544 The result of the roll call vote on the foregoing resolution was as follows : AYES: Grimm, Jahn, Edgar, Carey, 4hitehead, Taylor & Wolfe NAYS None. By Councilman Taylor, seconded by Councilman Whitehead and unanimously adopted as follows, it was : {� 70'l7 RESOLVED, that the sum of $1293 00 be appropriated from the Contingency Fund to the Department of Public Works to pay the following bills submitted by Herald Hamill, City Engineer, under date of October 15, 1951: For taking bids and supervising work on old portion of Rosedale Gardens streets $774 74 For preparing profiles, plans and grades on Rosedale Gardens streets $518 26 The result of the roll call vote on the foregoing resolution was as follows: AYES. Grimm, Jahn, Edgar, Carey, 'iihitehead, Taylor & Wolfe NAYS• None. By Councilman Grimm, seconded by Councilman Carey and unanimously adopted as follows, it was ' ft 7°2a7 RESOLVED, that the sum of $300 00 be appropriated from the Contingency Fund to the police Department for the purpose of purchasing uniforms The result of the roll call vote on the foregoing resolution was as follows AYES: Grimm, Jahn, Edgar, Carey, Whitehead, Taylor & Wolfe. NAYS. None. By Councilman Jahn, seconded by Councilman Carey and unanimously adopted as follows, it was : p 7a 9 RESOLVED, that the communication from Fred Blackwood, Inc , :r dated October 22, 1951, be referred to the City Planning Commission By Councilman Taylor, seconded by Councilman Edgar and unanimously adopted as follows, it was : A 730 RESOLVED, that on application of Jaynes L Hagen, Director of Public Safety, the City Clerk is directed to issue a purchase order for sever radios and transmitters provided in the budget of the Police Department for the fiscal year commencing December 1, 1951, with the understanding that the city will not be billed for said radios and transmitters until after the last mentioned date and that payment therefor will not be made until after such date page 545 The result of the roll call vote on the foregoing resolution was as follows . AYES: Grimm, Jahn, Edgar, Carey, Whitehead, Taylor & Wolfe. NAYS. None By Councilman Grimm, seconded by Councilman Jahn and unanimously adopted as follows, it was : A 737 RESOLVED, that the following petitions for change of zoning classification be referred to the City Planning Commission for its report and recommendations according to law: No 38 - Joseph S Klein, Jr and Margaret S. Klein No. 39 - Frischkorn Bros Real Estate Co No LO - Charles Hamburger and E L. Lieberman By Councilman Jahn, seconded by Councilman Carey and unanimously adopted as follows, it was . "'I- RESOLVED, on application dated October 18, 1951, identified by Job Order No K-61890 and approved by the City Engineer, the City Clerk is directed to issue a permit in accordance with such application By Councilman Whitehead, seconded by Councilman Carey and unanimously adopted as follows, it was . A '733 RESOLVED, that the request of ars Mabel C Ault as to a purchase of a station wagon for the American Red Cross be placed on the table temporarily and that the City Clerk ask Mrs Ault to furnish more information and details as to such request By Councilman Grimm, seconded by Councilman Jahn and unanimously adopted as follows, it was • 73 y RESOLVED, that the City Clerk answer the communication from Hugh J. Shumaker dated October 15, 1951, and advise Mr Schmaker that the Council is considering a revision of the present Hunting Ordinance By Councilman Taylor, seconded by Councilman Jahn and unanimously adopted as follows, it was . A' 7 33RESOLVED, that the sum of $900 00 is hereby appropriated from the Contingency Fund to the Department of Public Works to be used in paying the expense of covering temporary water mains to the new Ford Tank Plant, in order to avoid freezing The result of the roll call vote on the foregoing resolution was as follows: AYES. Grimm, Jahn, Edgar, Carey, Whitehead, Taylor & Wolfe NAYS. None Page 516 By Councilman Taylor, seconded by Councilman Carey and unanimously adopted as follows, it was : A- 736' RESOLVED that, on recommendation of the Mayor and on application of the Rosedale Gardens Civic Association, the City Attorney is instructed to prepare ordinance pertaining to the removal and planting of trees and shrubbery on city property, streets and alleys By Councilman Edgar, seconded by Councilman Jahn and unanimously adopted as follows, it was A- 737 RESOLVED, that the City of Livonia does hereby offer a reward of $100 00 to any person who furnishes information resulting in the arrest and conviction of anyone stealing, destroying, injuring, de'acing, removing or unlawfully interfering with any property belonging to the City of Livonia. The result of the roll call vote on the `'oregoing resolution was as follows : AYES: Grimm, Jahn, Edgar, Carey, ;Yhitehead, Taylor & Wolfe NAYS. None By Councilman Whitehead, seconded by Councilman Carey and unanimously adopted as follows, it was : 7`3, RESOLVED, that during the months of November and December, 1951, the regular meetings of the Council of the City of Livonia be held on the following dates : November 5th and November 30th, December 3rd and December 17th at 8.00 P. M on each of said dates, that the regular rules of the Council fixing the dates of regular meetings be suspended during said months; and that the regular rules be continued and given full effect following said months and until the further order of the Council On motion of Councilman Grimm, seconded by Councilman Taylor and unanimously passed, the meeting was adjourned at 11:31 P M , October 29, 1951 /dr_ �ifco I ar'e N Clar , City Clerk Attest:. • / / r ry S. no j , Presideri