Wayne County committee backs pledge for North Branch Big Swan Creek intercounty drain bonds

The Wayne County Commission—ommittee on Public Services approved a resolution pledging limited-tax full faith and credit for drainage bonds issued by the North Branch Big Swan Creek Intercounty Drainage District.

The resolution authorizes Wayne County s part of an intercounty drainage district with Washtenaw and Monroe counties to pledge its limited-tax full faith and credit for its share of bonds to pay for a multi-county drain improvement project. The committee approved the measure as part of a bundled motion covering items 1 through 11.

Under Michigan rain law, the intercounty drainage board receives petitions for major projects and may propose issuance of drainage district bonds to pay for improvements. Elmika Steele, deputy director of Wayne County Department of Public Services (DPS), said the project was formally determined necessary following hearings and was bid out. She told commissioners that the drain code allows apportioned bonds and that each participating county must adopt a resolution reflecting its share of the apportionment.

Steele gave the committee the apportionment and updated dollar amounts after the low bid reduced the estimate. For Wayne County, the committee was asked to authorize an amount not to exceed $8,855,000 (previously stated in the packet as $10,062,500). Monroe County pportionment was listed as $412,500 (previously $468,750), and Washtenaw County s $1,732,500 (previously $1,968,750). Steele said the total authorization language in the packet was updated from $12,500,000 to $11,000,000 to reflect the lower bid.

Steele said the bonds would carry a roughly 4.85% interest rate and be repaid over 20 years; the debt will be collected as special assessments appearing on winter tax bills apportioned among benefiting properties and public corporations. She said the largest share of work and cost is within Sumter and Huron townships and that two public meetings held in affected townships produced "a lot of overwhelming support" from residents who described their experiences with the drainage problems.

The committee voted to approve items 1 through 11 on a single motion moved by Commissioner Beydoun and supported by Commissioner Clemente; the clerk recorded "Motion carried." The resolution will be carried out by the drainage district; the county pledge is a backstop for the district bonds as allowed under state law.

Clarifying details: the repayment period is 20 years; the updated county-specific not-to-exceed amounts are Wayne County $8,855,000; Monroe County $412,500; Washtenaw County $1,732,500; total not-to-exceed $11,000,000. Interest rate cited in the discussion: 4.85%.

The committee discussion closed without additional public comment at the meeting.