REGULAR COUNCIL MEETING
MILFORD CIVIC CENTER
President Rusas called the meeting to order in the Milford Civic Center at 7:30 p.m. President Rusas led the Pledge of Allegiance.
PRESENT President Theresa Rusas, Councilmembers Jerry Aubry, Jennifer Frankford, Michael Glagola, Elizabeth Heer, James Kovach
ALSO PRESENT Don Green, Township Supervisor; Dale Feigley and Ann Barnette, DDA; Phyllis Motley, Water Board; John Heidt and Karen Worrell, P.C., Michael Borg, ZBA; Richard Harrison, P.A.; Chief Wayne Walli; Jennifer Elowsky, Legal Counsel; Arthur Shufflebarger, Village Manager
President Rusas read an announcement that the recordings of the meetings were for transcription purposes only.
APPROVE CONSENT AGENDA
CM-02-023-10 Heer moved, Glagola seconded, to approve the February 16, 2010, consent agenda. Motion CARRIED.
Minutes of the Regular Council Meeting of February 1, 2010
Minutes of the Budget Session, Monday, February 8, 2010
Council Approval Direct Debits
Council Approval Payroll 2/03/2010
Transfers and Disbursements
| General |
$ 39,915.36 |
| Major Street Fund |
3,275.77 |
| Local Street Fund |
1,640.64 |
| Police Fund |
10,113.93 |
| Downtown Development Authority |
4,156.97 |
| Senior Citizens |
176.95 |
| Water/Wastewater Fund |
32,841.94 |
| Escrow Fund |
1,158.75 |
| Total |
$93,285.20 |
APPROVE REGULAR AGENDA
CM-02-024-10 Heer moved, Glagola seconded, to approve the February 16, 2010, agenda as presented. Motion CARRIED.
PRESENTATION
Huron Valley Schools Superintendent Jackie Johnston
Jackie Johnston spoke to Council about the Building Utilization Phase II program for the Huron Valley School District. This included recommendation to the School Board to close Baker Elementary, close the year-round school at Kurtz Elementary and look into a study of possibly reducing four middle schools to three in 2011. Ms. Johnston explained to Council the rationale for these decisions. The School Board will have dialogue on these recommendations on February 18 at an open meeting and will vote on March 4.
Council’s largest concern was the closing of Baker Elementary without any plans for its use, and the possibility of closing Muir Middle School, both in the same neighborhood. Mr. Shufflebarger stated he would forward a list of recommended uses for the school to Ms. Johnston. Ms. Johnston stated Huron Valley Board had no intention of leaving two abandoned schools in the Village.
Members from the audience spoke against the closing of Baker Elementary stating the importance of a neighborhood school and their concerns with the decrease in property values. They felt the School Board should look at other ways to cut the budget.
Police Department Annual Report
Chief Wayne Walli was present and highlighted points of the annual report that he has displayed on the Police Department website.
NEW BUSINESS
Adopt Resolution Authorizing 2010 Capital Improvement Bonds
It was questioned whether the bond would need to be paid off if the Village were to go to Cityhood. Mr. Shufflebarger stated the bond is being paid through water and sewer rates, the DDA and general fund. He stated the bond would not need to be paid off in advance.
CM-02-025-10 Glagola moved, Frankford seconded, to adopt the resolution authorizing 2010 Capital Improvements Bonds in the amount of $1.4M. Motion CARRIED.
WHEREAS, the Village Council of the Village (the “Village Council”) has determined that the Village should sell general obligation capital improvement bonds pursuant to Act 34, Public Acts of Michigan, 2001, as amended (“Act 34”), in an amount not to exceed One Million Four Hundred Thousand Dollars ($1,400,000) (the “Bonds”), in one or more series, to pay part of the cost of the following improvements: 1) acquiring, constructing, furnishing and equipping water supply system improvements, including replacement of a water well, together with all appurtenances and attachments; 2) acquiring, constructing, furnishing and equipping sanitary sewage disposal system improvements, including sewer main lining and treatment plant upgrades, together with all appurtenances and attachments; 3) acquiring Department of Public Services equipment; and 4) acquiring land for public purposes (together, the “Projects”); and
WHEREAS, a notice of intent was published on December 17, 2009 in the Milford Times in accordance with Act 34 which provides that the bonds may be issued without a vote of the electors of the Village unless a proper petition for an election on the question of the issuance of the bonds is filed with the Village Clerk within a period of forty-five (45) days from the date of publication; and
WHEREAS, at least 45 days have elapsed since the date of publication of each notice without the filing of a petition for referendum on the question of the sale and issuance of the bonds described in the notices; and
WHEREAS, the aggregate outstanding balance of municipal securities issued under Section 517 of Act 34 by a Village shall not exceed 5% of the state equalized valuation of the property assessed in that Village, and the outstanding balance of all municipal securities issued under Section 517 of Act 34 by the Village will not exceed this limit after the issuance of the bonds.
NOW, THEREFORE, BE IT RESOLVED THAT:
1. Authorization of Bonds; Bond Terms. Bonds of the Village designated 2010 CAPITAL IMPROVEMENT BONDS (LIMITED TAX GENERAL OBLIGATION) (the “Bonds”) are authorized to be issued in the aggregate principal sum of not to exceed One Million Four Hundred Thousand Dollars ($1,400,000), or such lesser principal amount as authorized by the President, Village Clerk, Village Treasurer/Finance Director or Village Manager prior to the sale of the Bonds, for the purpose of paying all or part of the cost of the Projects, including the costs incidental to the issuance, sale and delivery of the Bonds. The issue shall consist of bonds in fully-registered form of the denomination of $5,000, or multiples thereof not exceeding for each maturity the maximum principal amount of that maturity, numbered consecutively in order of registration, dated as of April 1, 2010. The Bonds shall bear interest, mature and be payable at the times and in the manner set forth in Sections 6 and 7 hereof.
The Bonds shall be sold at public sale at a price not less than 98.5% of the principal amount thereof.
The Bonds shall be subject to redemption prior to maturity in the manner and at the times and prices set forth in Sections 6 and 7 hereof and if term bonds are selected by the original purchaser of the bonds, then the bonds will be subject to mandatory redemption in accordance with the foregoing maturity schedule at par.
Interest shall be payable to the registered owner of record as of the 15th day of the month prior to the payment date for each interest payment. The record date of determination of registered owner for purposes of payment of interest as provided in this paragraph may be changed by the Village to conform to market practice in the future. Interest shall be payable to the registered owner of record as of the 15th day of the month preceding the payment date for each interest payment. The principal of the Bonds shall be payable at The Huntington National Bank, Grand Rapids, Michigan who is hereby selected to act as the transfer agent for the bonds (the “Transfer Agent”).
The Bonds shall be issued in book-entry only form through The Depository Trust Company in New York, New York (“DTC”) and the President, Village Clerk, Village Treasurer/Finance Director and Village Manager are each authorized to execute such custodial or other agreement with DTC as may be necessary to accomplish the issuance of the Bonds in book-entry only form and to make such changes in the Bond Form within the parameters of this Resolution as may be required to accomplish the foregoing.
2. Execution of Bonds. The Bonds of this issue shall be executed in the name of the Village with the facsimile signatures of the President and Village Clerk and shall have the seal of the Village, or a facsimile thereof, printed or impressed on the Bonds. No Bond shall be valid until authenticated by an authorized officer or representative of the Transfer Agent. The Bonds shall be delivered to the Transfer Agent for authentication and be delivered by the Transfer Agent to the purchaser or other person in accordance with instructions from the President, Village Clerk or Village Treasurer/Finance Director, upon payment of the purchase price for the Bonds in accordance with the bid therefore when accepted.
3. Transfer of Bonds. The Transfer Agent shall keep the books of registration for this issue on behalf of the Village. Any Bond may be transferred upon such registration books by the registered owner of record, in person or by the registered owner’s duly authorized attorney, upon surrender of the Bond for cancellation, accompanied by delivery of a duly executed written instrument of transfer in a form approved by the Transfer Agent. Whenever any Bond or Bonds shall be surrendered for transfer, the Village shall execute and the Transfer Agent shall authenticate and deliver a new Bond or Bonds, for like aggregate principal amount. The Transfer Agent shall require the payment by the bondholder requesting the transfer of any tax or other governmental charge required to be paid with respect to the transfer.
Unless waived by any registered owner of Bonds to be redeemed, official notice of redemption shall be given by the Transfer Agent on behalf of the Village. Such notice shall be dated and shall contain at a minimum the following information: original issue date; maturity dates; interest rates; CUSIP numbers, if any; certificate numbers (and in the case of partial redemption) the called amounts of each certificate; the place where the Bonds called for redemption are to be surrendered for payment; and that interest on the Bonds or portions thereof called for redemption shall cease to accrue from and after the redemption date.
In addition, further notice shall be given by the Transfer Agent in such manner as may be required or suggested by regulations or market practice at the applicable time, but no defect in such further notice nor any failure to give all or any portion of such further notice shall in any manner defeat the effectiveness of a call for redemption if notice thereof is given as prescribed herein.
4. Limited Tax Pledge; Debt Retirement Fund; Defeasance of Bonds. The Village hereby pledges its limited tax full faith and credit for the prompt payment of the Bonds. The Village shall, each year budget the amount of the debt service coming due in the next fiscal year on the principal of and interest on the Bonds and shall advance as a first budget obligation from its general funds available therefore, or, if necessary, levy taxes upon all taxable property in the Village subject to applicable constitutional and statutory tax rate limitations, such sums as may be necessary to pay such debt service in said fiscal year.
The Village Treasurer/Finance Director is authorized and directed to open a depositary account with a bank or trust company designated by the Village Council, to be designated 2010 CAPITAL IMPROVEMENT BONDS DEBT RETIREMENT FUND (the “Debt Retirement Fund”), the moneys to be deposited into the Debt Retirement Fund to be specifically earmarked and used solely for the purpose of paying principal of and interest on the Bonds as they mature.
In the event cash or direct obligations of the United States or obligations the principal of and 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 redemption, the principal of, premium, if any, and interest on the Bonds, shall be deposited in trust, this Resolution shall be defeated and the owners of the Bonds shall have no further rights under this Resolution except to receive payment of the principal of, premium, if any, and interest on the Bonds from the cash or securities deposited in trust and the interest and gains thereon and to transfer and exchange Bonds as provided herein.
5. Construction Fund; Proceeds of Bond Sale. The Village Treasurer/Finance Director is authorized and directed to open a separate depositary account with a bank or trust company designated by the Village Council, to be designated 2010 CAPITAL IMPROVEMENT BONDS CONSTRUCTION FUND (the “Construction Fund”) and deposit into said Construction Fund the proceeds of the Bonds less accrued interest and premium, it any, which shall be deposited into the Debt Retirement Fund. The moneys in the Construction Fund shall be used solely to pay the costs of the Projects and the costs of issuance of the Bonds.
6. Bond Form. The Bonds shall be in substantially the following form:
UNITED STATES OF AMERICA
STATE OF MICHIGAN
COUNTY OF OAKLAND
VILLAGE OF MILFORD
2010 CAPITAL IMPROVEMENT BOND
(LIMITED TAX GENERAL OBLIGATION)
Interest Rate Maturity Date Date of Original Issue CUSIP October 1, 20__ April 1, 2010
Registered Owner: Cede & Co.
Principal Amount: Dollars
The Village of Milford, County of Oakland, State of Michigan (the “Village”), acknowledges itself to owe and for value received hereby promises to pay to the Registered Owner specified above, or registered assigns, the Principal Amount specified above, in lawful money of the United States of America, on the Maturity Date specified above, unless prepaid prior thereto as hereinafter provided, with interest thereon (computed on the basis of a 360-day year consisting of twelve 30-day months) from the Date of Original Issue specified above or such later date to which interest has been paid, until paid, at the Interest Rate per annum specified above, first payable on October 1, 2010 and semiannually thereafter. Principal of this bond is payable at the designated corporate trust office of The Huntington National Bank, Detroit, Michigan, or such other transfer agent as the Village may hereafter designate by notice mailed to the registered owner not less than sixty (60) days prior to any interest payment date (the “Transfer Agent”). Interest on this bond is payable to the registered owner of record as of the fifteenth (15th) day of the month preceding the interest payment date as shown on the registration books of the Village kept by the Transfer Agent by check or draft mailed to the registered owner of record at the registered address. For prompt payment of this bond, both principal and interest, the full faith, credit and resources of the Village are hereby irrevocably pledged.
This bond is one of a series of bonds of even Date of Original Issue aggregating the principal sum of $1,400,000, issued for the purpose of paying part of the cost of various capital improvements in the Village. This bond is issued under the provisions of Act 34, Public Acts of Michigan, 2001, as amended, and a duly adopted resolution of the Village. Bonds of this issue maturing in the years 2011 to 2020 inclusive, shall not be subject to redemption prior to maturity. Bonds or portions of bonds of this issue in multiples of $5,000 maturing in the year 2021 and thereafter shall be subject to redemption prior to maturity, at the option of the Village, in any order of maturity and by lot within any maturity, on any date on or after October 1, 2020, at par and accrued interest to the date fixed for redemption.
In case less than the full amount of an outstanding bond is called for redemption, the Transfer Agent, upon presentation of the bond called in part for redemption, shall register, authenticate and deliver to the registered owner of record a new bond in the principal amount of the portion of the original bond not called for redemption.
Notice of redemption shall be given by the Transfer Agent to the registered owners of bonds or portions thereof called for redemption by mailing of such notice not less than thirty (30) days prior to the date fixed for redemption to the registered address of the registered owner of record. Bonds or portions thereof so called for redemption shall not bear interest after the date fixed for redemption, whether presented for redemption or not, provided funds are on hand with the Transfer Agent to redeem said bonds or portions thereof.
This bond is transferable only upon the registration books of the Village kept by the Transfer Agent by the registered owner of record in person, or by the registered owner’s attorney duly authorized in writing, upon the surrender of this bond together with a written instrument of transfer satisfactory to the Transfer Agent duly executed by the registered owner or the registered owner’s attorney duly authorized in writing, and thereupon a new registered bond or bonds in the same aggregate principal amount and of the same maturity shall be issued to the transferee in exchange therefore as provided in the resolution authorizing this bond and upon the payment of the charges, if any, therein prescribed.
This bond, including the interest thereon, is payable as a first budget obligation from the general funds of the Village, and the Village is required, if necessary, to levy ad valorem taxes on all taxable property in the Village for the payment thereof, subject to applicable constitutional, statutory and charter tax rate limitations.
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 and the series of bonds of which this is one, 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 Village, including this bond and the series of bonds of which this is one, does not exceed any constitutional, statutory or charter debt limitation.
This bond is not valid or obligatory for any purpose until the Transfer Agent’s Certificate of Authentication on this bond has been executed by the Transfer Agent.
Consider Approval of Conditional Rezoning Agreement
Marc Weinbaum, owner, Detroit Development Co. and Prospect Hill spoke on behalf of the rezoning request, emphasizing Kroger’s past history and improvements made in Prospect Hill. The rezoning to B-3 is being requested to allow Kroger to place a fuel station in the parking lot of Prospect Hill, which is currently zoned B-2.
CM-02-026-10 Aubry moved, Kovach seconded, to allow Councilmember Frankford to abstain from discussion and voting as she is a Kroger employee. Motion CARRIED.
Mr. Shufflebarger stated the proposed agreement is for a conditional rezoning to only allow a fuel station; all other B-3 district uses would be excluded. The rezoning is also conditional on site plan approval and special condition use consideration from the Planning Commission. Council would then need to approve the special conditional use.
Ann Barnette, DDA Director, stated the DDA Board is taking a proactive position in the redevelopment of Prospect Hill. She stated the development character of this site is more conducive to a B-3 district than a B-2 district. Ms. Barnette stated Kroger is making a $6-7 million dollar investment that will greatly benefit the economic development of this site.
Will Curry, Program Engineer with SSOE, gave a presentation to Council which covered an overview of the Kroger fuel station site plan items and environmental concerns. (Copy on file).
Procedures were discussed on how spills or leaks at the fuel station would be handled. As part of the lease agreement, if Kroger were to leave this site, they would be required to remove the fuel station and restore area back to original condition.
CM-02-027-10 Kovach moved, Heer seconded, to approve agreement authorizing Village Council President Rusas to sign on behalf of the Village, establishing the conditional rezoning from B -2 to B -3 for Sidwell 16-10-227-020, Prospect Hill Shopping Center owned by Detroit Development Company, Prospect Hill Group, LLC. The reasons and findings of fact offered in Planning Commission motion PC-10- 04 of the January 14, 2010 meeting are also hereby incorporated.
Barbara and Ken Clark, 339 W. Commerce, were present to state their opposition to the rezoning request due to environmental concerns in a wellhead protection area. Ms. Clark felt the fuel station would jeopardize the health, safety and welfare of the surrounding residents. She asked Council to vote no to the rezoning request.
Mike Borg had concerns with the close proximity of the fuel station to the Village’s water source.
Rick Lawson, Huron River Watershed Council, stated his position and provided comments as to why placement of a fuel station in a wellhead protection area was not a good idea. He suggested asking Kroger what their past experience was in developing gas stations in a wellhead protection area.
Jim Crane, 222 Clinton St., commented that cars probably leak more gas and oil into the ground than a state-of-the-art station will leak.
Richard Harrison, 525 N. Main, commented that technology with fuel stations has come a long way minimizing risk.
Owners from the UPS Store and Dimitris spoke in favor of the rezoning request stating upgrades would be good for the shopping center.
Karen Worrell recommended amendments to the Conditional Rezoning Agreement which included adding Kroger as a party to the contract. Jennifer Elowsky stated from a legal perspective, that it was cleaner to have only one entity listed on the contract. She stated all the contract does is conditionally rezone the site. The applicant still has to take the site plan through special use, and then the conditions could be applied.
Marc Weinbaum stated he and Kroger would address specific conditions particularly with environmental issues and prepare a list to present at the next Planning Commission meeting.
Council felt comfortable with Kroger’s plans for the gas station stating Kroger was exceeding the Village’s and DEQ’s environmental regulation requirements. They did not feel rezoning from B-2 to B-3 was an issue.
CM-02-027-10 Motion CARRIED.
Frankford ABSTAINED.
Council took a 5 minute recess.
Review In-Kind Donation for Festival Events
Mr. Shufflebarger requested Council set a date to speak with event holders regarding reduction of in-kind donations.
CM-02-028-10 Kovach moved, Ziegler seconded, to set in-kind donation for festivals and events to a maximum of $500 per event, unless otherwise authorized by Village Council, to be effective July 1, 2010.
Council discussed the possibility of increasing the in-kind donation for larger, multi-day events. Suggestion was made to have smaller parades such as Homecoming and Baseball parades take place at the schools or fields. Council encouraged the event holders to look into using other services when they can, however there are certain services that have to be supplied through the Village.
Roll Call Vote:
Ayes: Aubry, Kovach, Ziegler, Rusas, Frankford
Nays: Heer, Glagola
Motion CARRIED.
Introduce Ballot Proposal Language
Mr. Shufflebarger stated this proposal was exactly the same as the one presented in September 2009.
CM-02-029-10 Frankford moved, Glagola seconded, to adopt resolution to introduce the Street millage ballot language.
Council discussed whether to have the ballot language proposed in the August or November election. This language was for the August election. There was concern that there were going to be too many millage requests on the August ballot. Mr. Shufflebarger stated if this language was not placed on this year’s ballot, it would be two years before it would be brought back, unless the Village decided to have a special election.
Roll Call Vote:
Ayes: Rusas, Glagola, Frankford, Ziegler
Nays: Kovach, Heer, Aubry
Motion FAILS. (Majority vote required.)
Set Date for Special Council Meeting to Hold Public Hearing to Consider Adoption of Ballot Language
No action needed.
Set Public Hearing for Skate Park, March 15, 2010
CM-02-030-10 Aubry moved, Glagola seconded, to set the Skate Park public hearing for March 15, 2010. Motion CARRIED.
Set Public Hearing for Parking Authority Special Assessment District, May 3, 2010
CM-02-031-10 Aubry moved, Kovach seconded, to set a Public Hearing for Parking Authority Special Assessment District for May 3, 2010. Motion CARRIED.
Set Public Hearing for 2010-11 Budget Adoption, May 3, 2010
CM-02-032-10 Aubry moved, Kovach seconded, to set a Public Hearing for 2010- 2011 Budget Adoption for May 3, 2010. Motion CARRIED.
CALL TO THE PUBLIC
Rusas asked if there was anyone who wished to address Council on an item that was not on the agenda.
Phyllis Motley, 273 Noble, read a statement requesting Council not move Milford’s Dispatch to Novi.
Jim Crane felt language could be created for a Creative Arts center in the Office district or Performance Arts center in the Business district.
MANAGER’S REPORT
Matt Parks, OHM, stated the sewer rehabilitation/relining project is in its final phase and should be done late March.
Mr. Shufflebarger informed Council of the meeting to be held February 18 at 4:00 to discuss police millage. He added that the Police Dept. was holding a public forum February 18, 7:00 p.m. at Bakers.
Council asked for a resolution to be placed on the next agenda regarding the closing of Baker Elementary.
COUNCILMEMBER REMARKS
Glagola asked if the Civil War Encampment could do a firing of the canon at night. He also asked if rules had been made for the use of the trail. Mr. Shufflebarger stated he thought the Township currently had a moratorium on the use of the trail and they were working on rules.
Heer stated Oakland County was offering a grant up to $4,000, with matching funds, for performing arts. She thought this would be good for the concerts in the park. The application was due by Thursday.
ADJOURN
The meeting was adjourned at 10:35 p.m.
Deborah S. Frazer, Clerk
Village of Milford | 
