HomeMy WebLinkAboutOrdinance No. 07-2017 ORDINANCE NO. 07-2017
AN ORDINANCE OF THE CITY OF CAPE CANAVERAL, BREVARD
COUNTY, FLORIDA, ADOPTED IN FURTHERANCE OF THE
REQUIREMENT SET FORTH IN SECTION 2.12(5), CAPE CANAVERAL
CHARTER; AUTHORIZING THE ISSUANCE OF NOT EXCEEDING
$6,200,000 CAPITAL IMPROVEMENT REVENUE NOTE, SERIES 2017,
OF THE CITY TO FINANCE THE COST OF A MULTIGENERATIONAL
CENTER, CULTURAL ARTS PRESERVATION ENRICHMENT (CAPE)
CENTER AND RELATED CAPITAL IMPROVEMENTS; PROVIDING
FOR THE SERIES 2017 NOTE TO BE SECURED BY THE CITY'S PUBLIC
SERVICE TAX, HALF-CENT SALES TAX, GUARANTEED
ENTITLEMENT, COMMUNICATIONS SERVICES TAX AND CERTAIN
FRANCHISE FEES; AUTHORIZING THE CITY'S FINANCING TEAM
TO PROCEED TO DEVELOP NECESSARY DOCUMENTS; PROVIDING
FOR THE REPEAL OF PRIOR INCONSISTENT ORDINANCES AND
RESOLUTIONS OR PARTS OF PRIOR INCONSISTENT ORDINANCES
AND RESOLUTIONS IN CONFLICT HEREWITH; SEVERABILITY AND
AN EFFECTIVE DATE.
BE 1T ENACTED BY THE CITY COUNCIL OF THE CITY OF CAPE CANAVERAL,
BREVARD COUNTY, FLORIDA, as follows:
SECTION 1. Authority for this Ordinance. This Ordinance is enacted pursuant to the
provisions of Chapter 166, Part II, Florida Statutes, Section 2.12(5) of the City Charter, City of
Cape Canaveral, Florida(the "City") and other applicable provisions of law (the "Act").
SECTION 2. Findings. It is hereby ascertained, determined and declared that:
(A) The City (i) pursuant to Section 166.231, Florida Statutes and certain ordinances,
levies a tax on the purchase of certain utility services provided within the jurisdictional limits of
the City(the"Public Service Tax"); (ii)pursuant to the provisions of Chapter 218,Part VI,Florida
Statutes, receives a distribution from the Local Government Half-Cent Sales Tax Clearing Trust
Fund (the "Half-Cent Sales Tax"); (iii) in accordance with the provisions of Chapter 218, Part II,
Florida Statutes,receives funds from the Revenue Sharing Trust Fund for Municipalities,a portion
of which distribution is the"guaranteed entitlement" as defined in Section 218.21,Florida Statutes
(the"Guaranteed Entitlement"); (iv)pursuant to the authorization set forth in Chapter 202, Florida
Statues,the City receives the Communications Services Tax(the"Communications Services Tax")
and (v) receives fees as a result of granting various entities permission to provide within the City
electric and directly electric-related services and a natural gas distribution system(collectively,the
"Franchise Fees"). Such Public Service Tax, Half-Cent Sales Tax, Guaranteed Entitlement,
Communications Services Tax and Franchise Fees are not now pledged in any manner other than
to the City's Capital Improvement Revenue Note, Series 2014.
(B) The City is without currently available funds to pay for all of the costs of acquiring
and constructing a Multigenerational Center, a Cultural Arts Preservation Enrichment (CAPE)
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Center and related capital improvements (the "Project"), and therefore proposes to pay a portion
of such costs thereof from the proceeds of its not exceeding $6,200,000 Capital Improvement
Revenue Note, Series 2017 (the "Series 2017 Note") to be issued by the City.
(C) The principal of, premium, if any, and interest on the Series 2017 Note and all
required sinking fund, reserves and other payments will be payable solely from (i) the Public
Service Tax, the Half-Cent Sales Tax, the Guaranteed Entitlement, the Communications Services
Tax and the Franchise Fees and (ii) until applied in accordance with the provisions of a
supplemental resolution (the "Resolution") of the City adopted prior to the delivery of the Series
2017 Note, all moneys, including investments thereof, on deposit in or credited to certain funds
and accounts established under the Resolution (collectively with (i) above, the "Pledged
Revenues") and the City will never be required to levy ad valorem taxes on any property therein
to pay the principal of and interest on the Series 2017 Note or to make any other payments provided
for herein or in the Resolution, and the Series 2017 Note will not constitute a lien upon any
properties owned by the City or located within the boundaries of the City, but will be payable
solely from the Pledged Revenues in the manner provided in this Ordinance and in the Resolution
supplemental hereto.
(D) It is necessary and desirable to confirm the professionals who will continue to assist
the City in the proceedings necessary for the authorization, sale and issuance of the Series 2017
Note and investment of proceeds of the Series 2017 Note.
SECTION 3. Authorization of Series 2017 Note and Acquisition and Construction of
Project. The issuance by the City of its not exceeding$6,200,000 Capital Improvement Revenue
Note, Series 2017 for the purpose of paying costs of acquiring and constructing the Project and the
cost of issuance for the Series 2017 Note is hereby authorized.The Series 2017 Note shall be dated,
shall bear interest at a rate or rates not exceeding the maximum legal rate per annum, shall mature,
shall be subject to redemption, shall be secured solely by a lien upon and pledge of the Pledged
Revenues and shall have such other characteristics as shall be provided by the Resolution. Any
Note(s)required by the lender shall be in form approved by the City Manager in consultation with
the Finance Team, as hereinafter defined, consistent with the terms and conditions of this
Ordinance and the Resolution.
SECTION 4. Designation of Finance Team and Approval of Terms of Engagement.
The Finance Team with respect to the Series 2017 Note shall consist of: Larson Consulting
Services, LLC, as Financial Advisor to the City, Akerman LLP as Bond Counsel, Garganese,
Weiss & D'Agresta, PA as City Attorney, the City Manager, the Finance Director and the City
Clerk(the"Finance Team"). Under the direction of the City Manager,the Finance Team is hereby
approved and shall take such action and execute such documents on behalf of the City, deemed
reasonably necessary to effectuate the loan closing authorized by this Ordinance. In addition, to
the extent required by the lending institution and deemed advisable by the Finance Team, the
Mayor or Mayor Pro Tem is hereby authorized to execute loan documents on behalf of the City.
SECTION 5. Conflicting Prior Inconsistent Ordinances and Resolutions. All prior
inconsistent ordinances and resolutions or parts of prior inconsistent ordinances and resolutions in
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conflict herewith are hereby repealed and all prior inconsistent ordinances and resolutions or parts
of prior inconsistent ordinances and resolutions not in conflict herewith are hereby continued in
full force and effect.
SECTION 6. Severability. If any portion, clause, phrase, sentence or classification of
this Ordinance is held or declared to be either unconstitutional, invalid, inapplicable, inoperative
or void, then such declaration shall not be construed to affect other portions of this Ordinance; it
is hereby declared to be the express opinion of the City Council of the City of Cape Canaveral that
any such unconstitutional, invalid, inapplicable, inoperative or void portion or portions of this
Ordinance did not induce its passage, and that without the inclusion of any such portion or portions
of this Ordinance, the City Council would have enacted the valid constitutional portions thereof.
SECTION 7. Effective Date. The provisions within this Ordinance shall take effect
immediately upon the adoption date.
ADOPTED by the City Council of the City of Cape Canaveral, FL this 18th day of July,
2017.
Bob Hoog, Mayor
ATTEST:
Name FOR AGAINST
Mike Brown Second
Mia Goforth, C4,
City Clerk Bob Hoog x
First Reading: June 20, 2017 Brendan McMillin x
Legal Ad Published: July 6, 2017
Second Reading: July 18, 2017 Rocky Randels x
Betty Walsh Motion
Approved as to legal form and sufficiency
for the City of Cape Canaveral only by:
A hony A. Garganese, f ity Attorney
City of Cape Canaveral
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