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Home My WebLink AboutSRF Project #05050 ltr dated 3-11-13 1 1 v B D BROWN, GARGANESE, WEISS & D'AGRESTA, P.A. Attorneys at Law I 111 N. Orange Ave.,Suite 2000 P.O.Box 2873 Anthony A. Garganese Orlando,Florida 32802-2873 Board Certified City,County&Local Phone(407)425-9566 Government Fax(407)425-9596 agarganese@orlandolaw.net 1 March 11, 2013 Department of Environmental Protection i Bureau of Water Facilities Funding t Twin Towers Office Building 2600 Blair Stone Road Tallahassee, FL 32399-2400 1 RE: CITY OF CAPE CANAVERAL 1 S.R.F. Project# 05050 1 Dear Sirs: 1 The undersigned law firm is the duly appointed City Attorney for the City of Cape Canaveral, Florida(the"City"). In such capacity, we have participated in various proceedings in connection with a loan from the State of Florida Department of Environmental Protection in an amount approximating $551,265, plus capitalized interest, pursuant to the State Revolving Fund For Point Source Water Pollution Control Loan application, which was approved by the City Council pursuant to Ordinance No. 01-2013 at a duly held public meeting on February 19, 2013 (the "Loan Application"). All terms not otherwise defined herein shall have the meanings ascribed thereto in the Loan Agreement, approved by 1 the City Council on February 19, 2013 (the "Loan Agreement"). 1 In rendering the opinions set forth herein, we have examined the proceedings of the City in connection with the authorization and execution of the Loan Application, Loan Agreement, relevant provisions of the Constitution of the State of Florida, the Florida Statutes, the City Charter, and other provisions of law as we deemed applicable. We have also made such investigations and have examined such ordinances, resolutions, certificates and documents as we have deemed relevant and necessary in connection with the opinions expressed below. 1 i 1 As to questions of fact material to our opinion, we have relied upon representations of the City contained in the certified proceedings of the City Council and other certifications of public officials furnished to us, without undertaking to verify the same by independent investigation. We have not I undertaken independent audit, examination, investigation or inspection of such matters and have relied i solely on the facts, estimates and circumstances described in such proceedings and certifications. We Ihave assumed the genuineness of signatures on all documents and instruments, the authenticity of documents submitted as originals and the conformity to originals of documents submitted as copies. : Based upon the foregoing, we are of the opinion that as of the date of this letter, that: I Ft.Lauderdale (954) 670-1979 • Kissimmee (321) 402-0144 • Cocoa (866)425-9566 Website:www.orlandolaw.net • Email: firm @orlandolaw.net i I i 1 i 3/11/2013 Page-2- (a) Upon execution by the Department of Environmental Protection and the City, the Loan Agreement will constitute a special obligation of the City, and the principal and interest payment thereunder,subject to bankruptcy laws and other laws affecting creditors' rights and to exercise of judicial • discretion,will be payable from and secured by a lien upon the Pledged Revenues. The Loan Agreement and the lien on the Pledged Revenues created thereby will be valid and enforceable in accordance with their terms, subject to bankruptcy laws and other laws affecting creditors' rights and to the exercise of judicial discretion, and the lien on the Pledged Revenues will have been perfected in accordance with 1 applicable law. i (b) The City has the authority to increase stormwater and sewer rates to ensure repayment of the I Loan, subject to applicable general and special laws. 1 1 (c) The Pledged Revenues shall be expressly subject and subordinate to the following prior liens: I 4 Florida Department of Environmental Protection, Loan# CS 120825020, secured by the Wastewater Enterprise Fund Utility Revenue; and 1 4 Florida Department of Environmental Protection, Loan# CS 120825030, secured by the Wastewater Enterprise Fund Utility Revenue. I Furthermore, we advise the State of Florida that the Loan Agreement and any interest and principal due to be paid thereunder shall not constitute a general obligation or general indebtedness of the City within the meaning of the Constitution and laws of Florida. The Loan Agreement and any interest and principal due to be paid thereunder shall not constitute a pledge of the full faith and credit of the City or a lien upon any property of the City other than as provided in the Loan Agreement and under prior liens on the Pledged Revenues. Further,we also advise the State of Florida that the State of Florida shall not have the right to compel the exercise of any taxing power of the City to pay the Loan Agreement or the interest and principal due to be paid thereunder, and the Loan Agreement shall be secured solely by the Pledged Revenues as provided in the Loan Agreement. The opinions expressed herein are predicated upon present law(and interpretations thereof),facts and circumstances, and we assume no affirmative obligation to update the opinions expressed herein if such laws (and interpretations thereof), facts or circumstances change after the date hereof. Sincerely, BROWN, GARGANESE, WEISS & D' • A, P.A. /011 Anthony A. Garganese City Attorney AAG/ 1 cc: Mr. David Greene, City Manager I 1 i , .9 B klik BROWN, GARGANESE, WEISS & D'AGRESTA, P.A. D Attorney at Law 1 Y 111 N.Orange Ave.,Suite 2000 P.O.Box 2873 Orlando,Florida 32802-2873 Phone(407)425-9566 Fax(407)425-9596 1 i 1 t I March 12, 2013 I 4 t I 1 j David L. Greene 4 City Manager City of Cape Canaveral PO Box 326 Cape Canaveral, FL 32920 i Re: City of Cape Canaveral S.R.F. Project# 05050 1 Dear Mr. Greene: 1 Please find enclosed Mr. Garganese's original letter to the Department of Environmental Protection - Bureau of Water Facilities Funding regarding S.R.F. Project I #05050. I As always, should you have any questions please do not hesitate to contact Mr. Garganese. 1 Thank you, Sally Temple I 4 I Ft.Lauderdale(954) 670-1979•Kissimmee(321)402-0144•Cocoa(866)425-9566 Website:www.orlandolaw.net•Email: firm @orlandolaw.net 1 1