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:. •
/
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ry S. no j , Presideri