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HomeMy WebLinkAboutResolution No. 1985-26 firileROMMED AUG 87 RESOLUTION NO. 85-26 A RESOLUTION AUTHORIZING THE ISSUANCE OF $1 ,000 ,000 1985 SANITARY SEWER REVENUE CERTIF- ICATE ANTICIPATION NOTES IN ANTICIPATION OF THE ISSUANCE OF $2 ,500 ,000 SANITARY SEWER REVENUE CERTIFICATES; AMENDING CERTAIN OTHER PROVISIONS OF THE RESOLUTION AUTHORIZING THE ISSUANCE OF SUCH CERTIFICATES AND PROVIDING FOR AN EFFECTIVE DATE. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CAPE CANAVERAL, FLORIDA, that: SECTION 1 . This resolution is adopted pursuant to the provi- sions of Chapter 159 , Part I, and Chapter 166 , Florida Statutes , and other applicable provisions of law. SECTION 2. It is hereby found and determined as follows, that: A. The City of Cape Canaveral, Florida (the "City") owns, operates and maintains a sanitary sewer system. B. The City has , by Resolution No. 81-76 dated November 19 , 1981 , as amended by Resolution No. 81-78 dated December 11 , 1981 , as amended by Resolution No. 83-36 and as further amended by Resolution No. 84-12 (collectively, the "Resolution") , authorized the issuance of $2 ,500 , 000 Sanitary Sewer Revenue Certificates (the "Certifi- cates") , $2,000 ,000 1981 Sanitary Sewer Revenue Certificate Antici- pation Notes (the "1981 Notes") , $1, 800 ,000 1983 Sanitary Sewer Revenue Certificate Anticipation Notes (the "1983 Notes") and $1,500 ,000 1984 Sanitary Sewer Revenue Certificate Anticipation Notes (the "1984 Notes") . The 1981 Notes and the 1983 Notes have been issued and redeemed, and the 1984 Notes have been issued and remain outstanding. C. The Project contemplated by Resolution No 81-76 has been completed, all monies in the Construction Fund established pursuant to Section 25 .C. of Resolution 81-76 have been expended for the Project and for the redemption of the 1981 Notes , and the City has determined that it will be to its advantage to issue a new series of notes authorized hereby rather than issue Certificates at this time. D. A negotiated sale of the 1985 Notes (as defined herein) is required and necessary, and is in the best interest of the City, for the same reasons set forth in Section 2 , Paragraph K of Resolution 81-76. SECTION 3 . AUTHORIZATION OF ISSUANCE OF 1985 NOTES. In anticipation of the issuance of the Certificates , the issuance of the 1985 Sanitary Sewer Revenue Certificate Anticipation Notes of the City in an aggregate principal amount of not to exceed at any one time $1 ,000 ,000 the (the "1985 Notes") is hereby authorized, such 1985 Notes to be issuable from time to time. The 1985 Notes shall be subject to all of the provisions of the Resolution relating to "Notes" as defined therein, except as amended hereby. SECTION 4. FORM OF 1985 NOTE. The form of Note contained in Section 17 of Resolution No. 81-76 , as amended, is amended to include the form attached as Exhibit I to this resolution. The City acknowledges that the 1984 Notes were issued according to the form of note set forth as Exhibit I to Resolution No. 84-12 , and that such issuance was proper in all respects. This Section 4 is intend- ed to provide for an alternative form of note to be issued by the City as its 1985 Notes. The 1985 Notes shall be issued in fully registered form without coupons. gMNXITIONNO. 85-26 PAGE 1 OF 3 MICRO-FILMED AUG 87 SECTION 5 . APPLICATION OF 1985 NOTE PROCEEDS FOR REDEMPTION OF 1984 NOTES. All of the proceeds of the 1985 Notes, including accrued interest and premium, if any, received from the sale of any or all of the 1985 Notes shall be applied by the City simultaneously with the delivery of the 1985 Notes to the redemption of the 1984 Notes, including any accrued interest thereon. SECTION 6 . AMENDMENT OF SECTION 15 . Section 15 of the Resolu- tion is hereby amended to read as follows: "SECTION 15 . NEGOTIABILITY OF NOTES. The City Clerk shall keep books for the registration of transfers of 1985 Notes as provided herein. The transfer of any 1985 Notes may be registered only upon such books and only upon surrender thereof to the City Clerk together with an assignment duly executed by the holder or his attorney or legal representative in such form as shall be satisfactory to the City Clerk. Upon any such registration of transfer the City shall execute and the City Clerk shall attest and deliver in exchange for such 1985 Note a new 1985 Note or 1985 Notes registered in the name of the transferee, and in an aggregate principal amount equal to the principal amount of such 1985 Note or 1985 Notes so surrendered. In all cases in which 1985 Notes shall be exchanged, the City shall execute and the City Clerk shall attest and deliver, at the earliest practicable time, a new 1985 Note or 1985 Notes in accordance with the provisions of this Resolution. All 1985 Notes surrendered in any such exchange or registration of transfer shall forthwith be cancelled by the City Clerk. The City or the City Clerk may make a charge for every such ex- change or registration of transfer of 1985 Notes sufficient to reimburse it for any tax or other governmental charge required to be paid with respect to such exchange or registration of transfer, but no other charge shall be make to any holder for the privilege of exchanging or registering the transfer of 1985 Notes under the provisions of this Resolution. Neither the City nor the City Clerk shall be required to make any such exchange or registration of transfer of 1985 Notes during the fifteen (15) days immediately preceding any interest payment date. The Notes shall be and shall have all of the qualities and incidents of negotiable instruments under the laws of the State of Florida, and each successive owner, in accepting any of such Notes, shall be conclusively deemed to have agreed that such Notes shall be and have all the qualities and incidents of negotiable instruments under the laws of the State of Florida. " SECTION 7. PAYMENT OF COSTS. The City shall pay out of available revenues all costs relating to the issuance of the 1985 Notes, including, but not limited to, financial, legal and adminis- trative costs and fees. SECTION 8 . AWARD OF NOTES TO PURCHASER AND AUTHORIZATION OF EXECUTION AND DELIVERY OF THE CONTRACT OF PURCHASE. The Contract of Purchase, substantially in the form attached hereto as Exhibit II, with such changes , corrections, insertions and deletions as may be approved by The First Bankers, N.A. , and The First Bankers of Indian River County (collectively, the "Purchaser") and by the Mayor and City Clerk of the City, such approval to be evidenced conclusively by their execution thereof, is hereby approved and authorized; the City hereby authorizes and directs the Mayor and City Clerk to date and execute and the City Clerk to attest, under the official seal of the City, the Contract of Purchase and to deliver the Contract of Purchase to the Purchaser; and all of the provisions of the Contract of Purchase, when executed and delivered by the City as authorized herein and by the Purchaser, shall be deemed to be a part of this Resolution as fully and to the same extent as if incorporated RESOLUTION M. 85-26 PAGE 2 OF 3 _ __ MICROFILMED AUG 87 verbatim herein. The 1985 Notes shall be sold and delivered to the Purchaser as provided in the Contract of Purchase, at a price equal to 100% of the face amount of the 1985 Notes plus interest, if any, accrued thereon from the date thereof to the date of their delivery to the Purchaser. SECTION 9. REPEAL OF INCONSISTENT PROVISIONS. The Resolution shall remain in full force and effect, except to the extent that it is inconsistent herewith. All prior resolutions or parts of resolu- tions inconsistent with this resolution are hereby amended and superseded by this resolution, but only to the extent of any such inconsistency. , „ SECTION 10. EFFECTIVE DATE. This resolution shall take effect immediately. PASSED AND ADOPTED this 18th day of April, 1985. • & tea. Ni ? tai_ A Mayor Attest: D Ste• Lid e .,,,t,/ NAME ty Clerk . , IIIMIIIIII MARCHETTI App • `ed'as to Form: NICHOLAS RUTHERFORD Or%;:f. ,?;i;tii;H`-StEt: 0,17 Attorney ornik 'fir RESOLUTION 85-26 PAGE 3 OF 3 EXHIBIT I MCROFILMED Q7 AtiO -3 Q r No. UNITED STATES OF AMERICA STATE OF FLORIDA COUNTY OF BREVARD CITY OF CAPE CANAVERAL 1985 SANITARY SEWER REVENUE CERTIFICATE ANTICIPATION NOTE The City of Cape Canaveral in Brevard County, a municipal corporation of the State of Florida (the "City") , for value re- ceived, hereby promises to pay to the order of - , or registered assigns, as herein provided, on the 21st day of April, 1986, from the revenues hereinafter mentioned, the principal sum of with interest thereon, payable semiannually on the 21st day of October, 1985, and on the 21st day of April, 1986 at the rate of 8-1/2% from the date hereof to maturity. Both principal of and interest on this Note are payable in any coin or currency which on the respective dates of payment of the same is legal tender for the payment of public and private debts at The First Bankers of Florida, N.A. , Cape Canaveral, Florida. This Note is issued under the authority of and in full compli- ance with the Constitution and statutes of the State of Florida, including the Charter of the City of Cape Canaveral, in anticipation of the issuance of definitive Certificates (hereinafter called the "Certificates") , authorized by a Resolution heretofore adopted by the Authority on the 19th day of November, 1981 , and authorizing the issuance of this Note, as amended on December 14 , 1981 , June 7, 1983 , May 1 , 1984 and April 18 , 1985 (hereinafter collectively called the "Resolution") for the purpose of temporarily financing the project described in said Resolution. This Note is redeemable at any time at par plus interest accrued and unpaid on the Note at the time of redemption. This Note is one of the authorized issue of Notes in the aggregate principal amount of $1,000 ,000 of like date, general tenor and effect, except as to number, issued pursuant to the authority of and in full compliance with the Constitution and statutes of the State of Florida, and the Charter of the City of Cape Canaveral, to finance the cost of construction of improvements to the Sanitary Sewer System of the City and acquisition of certain extensions and to provide funds to redeem as part of the City' s 1984 Sanitary Sewer Revenue Certificate Anticipation Notes pursuant to and subject to the terms and conditions of the Resolution, specifi- cally authorizing the issuance of the Notes. This Note is payable from and secured by a pledge of the proceeds of said definitive Certificates when issued, and the City will be obligated to issue a sufficient amount of the definitive Certificates to pay the principal and interest on this Note, unless both the principal and interest are paid from other legally avail- able moneys. The principal of and interest on this Note will also be payable from and constitute a lien upon and a pledge of the revenues of the system and the excise taxes as defined in the Resolution, which lien is junior and subordinate in all respects to the outstanding portion of the City' s $1 ,350, 000 Sanitary Sewer Revenue Certificates dated February 1 , 1965 (hereinafter called the "1965 Certificate") , the outstanding portion of the City' s $250 ,000 Sanitary Sewer Revenue Certificates dated issued in 1966 (hereinaf- ter called the "1966 Certificates") , and said definitive Certifi- cates as to lien on and source and security for payment from said revenues and excise taxes. Such lien is also junior and subordinate in all respects as to the lien on and source and security for payment from said excise taxes to an obligation of the City to repay Ammuma"masaunamm. 85-26 PAall OF 6 inCROFIg MED /c‘LIC 87 $110,000 to United National Bank, as authorized by a resolution of the City dated April 2 , 1981. This Note does not constitute an indebtedness of the City of Cape Canaveral, of Brevard County, of the State of Florida, or any other political subdivision thereof, within the meaning of any constitutional or statutory provision or limitation, and it is expressly agreed by the holders of this Note that such holders shall never have the right, directly or indirectly to require or compel the exercise of the taxing power of the City, for the payment of this Note or the making of any sinking fund, reserve or other payments provided for in the Resolution. It is further agreed between the City and the holder of this Note that this Note and the obligation evidenced thereby shall not constitute a lien upon the property of the City or any part thereof, or on any other property of the City, but shall constitute a lien only on and payable from the revenues derived from the operation of the system in the manner provided in the Resolution, the proceeds of the excise taxes and the proceeds of the definitive Certificates when issued. The City in the Resolution has covenanted and agreed to fix, establish and maintain such rates and to collect such fees or other charges for services and facilities of such system so as to always provide revenue sufficient to pay the cost of operating and main- taining the system, and, together with the proceeds of the excise taxes, 125% of the largest amount of principal of and interest on the Certificates in anticipation of which this Note is issued and of the outstanding portion of the 1965 Certificates becoming due in any succeeding year and all reserve or other payments provided for in the 1965 Resolution and the Resolution, and all other obligations payable on a parity therewith, and that such rates, fees or other charges shall not be reduced so as to be insufficient to provide revenues for such purposes. The City has entered into certain further covenants with the holders of this Note, the Certificates in anticipation of which this Note is Issued, and of the 1965 Certifi- cates for the terms of which reference is made to the Resolution and the 1965 Resolution. It is hereby certified and recited that all acts, conditions and things required to exist, to happen and to be performed prece- dent to and in the issuance of this Note, exist, have happened and have been performed in regular and due form and time as required by the Constitution and Laws of the State of Florida and the laws and regulations of such State and of the United States of America applicable thereto, and that the issuance of this Note does not violate any constitutional or statutory limitation. The transfer of this Note is registerable by the holder hereof in person or by his attorney or legal representative at the office of the City Clerk of the City, but only in the manner and subject to the conditions provided in the Resolution and upon surrender and cancellation of this Note. This Note has all the qualities and incidents of a negotiable instrument under the Uniform Commercial Code--Investment Securities of the State of Florida. The Certificates in anticipation of which this Note is issued have been validated by judgment of the Circuit Court for Brevard County rendered on February 19 , 1982 . IN WITNESS WHEREOF, the City of Cape Canaveral of the State of Florida, has issued this Note and has caused the same to be executed by its Mayor, either manually or by his facsimile signature, attest- ed and countersigned with the manual or facsimile signature of its ATTAaTaNI"TO RESOLUTION NO. 85-26 PAGE 2 OF 6 _ _ _ MECROMMED AUG 87 Secretary and a facsimile of its corporate seal to be affixed hereto or imprinted hereon, all as of the 19th day of April, 1985. CITY OF CAPE CANAVERAL By Mayor (SEAL) ATTESTED AND COUNTERSIGNED: City Clerk ASSIGNMENT AND TRANSFER For value received the undersigned hereby sells, assigns and transfers unto (Please insert Social Security or other identifying number of transferee) the attached Note of the City of Cape Canaveral, Florida, and does hereby consti- tute and appoint , attorney, to transfer the said Note on the books kept for registration thereof, with full power of substitution in the premises . Date Signature Guaranteed by By: NOTICE: No transfer will be Title: registered and no new Notes will be issued in the name of the Transferee, unless the signature to this assignment corresponds with the name as it appears upon the face of the within Notes in every particular, without altera- tion or enlargement or any change whatever and the Social Security or Federal Employer Identifica- tion Number of the Transferee is supplied. ATTACHMENT TO RESOLUTION NO. 85-26 PAGE 3 OF 6 ;',,q,K$7 /g7-11rAFD, (AP fr-b A t-tto EXHIBIT II April 19 , 1985 City of Cape Canaveral Cape Canaveral, Florida Gentlemen: The First Bankers, N.A. , and The First Bankers of Indian River County (collectively, the "Note Purchaser") , have been advised that the City of Cape Canaveral (the "City") has authorized, by a Resolu- tion dated November 19 , 1981 , amended on December 11 , 1981 , June 7 , 1983 , May 1 , 1984, and April 18 , 1985 (collectively, the "Resolu- tion") , the issuance of the $2 ,500 ,000 Sanitary Sewer Revenue Certificates (the "Certificates") on a parity with the $1 ,350 ,000 Sanitary Sewer Revenue Certificates issued by the City in 1965 (the "1965 Certificates") and the issuance of $1,000 ,000 1985 Sanitary Sewer Revenue Certificate Anticipation Notes in anticipation of the issuance of the Certificates (the "1985 Notes") . The 1985 Notes and the Certificates will be issued to finance a portion of the cost of improvements to a sanitary sewer system of the City (the "System") . The Certificates are to be payable solely from and secured by a lien upon and pledge of the net revenues derived from the operation of the System and from the proceeds of the excise taxes as described in the Resolution. Such lien is junior and subordinate to other liens as described in the 1985 Notes. The 1985 Notes will be issued in anticipation of the issuance of the Certificates and shall be payable from the proceeds of the Certificates when issued. The Notes shall also be secured by a lien on the revenues of the System and the proceeds of the excise taxes, which lien shall be subordi- nate to that of the Certificates and the 1965 Certificates. The purpose of the 1985 Notes is also to redeem in part the City' s $1 ,500 ,000 1984 Sanitary Sewer Revenue Certificate Anticipation Notes . The Note Purchaser offers to purchase the 1985 Notes at a negotiated sale at the price and on the terms and conditions set forth herein. If the provisions hereof are acceptable to you, your execution and delivery hereof to the undersigned shall constitute an agreement to sell the 1985 Notes to the undersigned as provided in the following sections hereof. Section 1 . The City will issue the 1985 Notes in the aggregate principal amount of $1,000 ,000. The 1985 Notes will be a limited obligation of the City, payable solely from the proceeds of the Certificates when issued, and will be secured by a lien on the revenues of the System and the proceeds of the excise taxes, as described in the Resolution. The 1985 Notes will bear interest at the rate determined as set forth below. The rate of interest on the 1985 Notes shall be 8-1/2%, which interest shall be paid semiannually on the 21st day of October, 1985 , and the 21st day of April, 1986 , on the outstanding principal balance of the 1985 Notes. The principal of the 1985 Notes shall be repaid as follows: The 1985 Notes shall be issued in fully registered form in the maturities and in the amounts as indicated below: Amount Maturity Bank $400 ,000 April 21 , 1986 The First Bankers of Indian River County $600,000 April 21 , 1986 The First Bankers , N.A. AaTACHOIDE"TO RESOLUTION NO. 85-26 PAGE 4 OF 6 TVYBROFiLMED AUG 87 The 1985 Notes shall be redeemable at any time at par plus interest accrued and unpaid. Section 2 . The City will sell to the Note Purchaser and the Note Purchaser will purchase from the City, in accordance with the provisions hereof, the 1985 Notes at 100% of the principal amount thereof. Section 3 . The Note Purchaser' s obligation to purchase the 1985 Notes is conditioned on the following: (1) The 1985 Notes, and all other documents to be delivered at the closing shall be satisfactory to the City and to the Note Purchaser. (2) The 1985 Notes shall be delivered to the Note Purchaser in Merritt Island, Florida, or such other place as is mutually satis- factory to the City and the Note Purchaser, against payment in immediately available funds. (3) Delivery of the 1985 Notes will be made on or before April 19 , 1985 , or such later date as may be agreed upon by the City and the Note Purchaser. Section 4 . All expenses of issuing the 1985 Notes shall be paid out of legally available funds of the City. Section 5 . The Note Purchaser hereby makes the following representations, which representations may be relied upon by the City and by bond counsel: (A) the Note Purchaser has full power and authority to execute this agreement, to purchase the 1985 Notes as herein provid- ed, and to make the representations set forth in this Section 5 of this Contract of Purchase; (B) the Note Purchaser is aware: (i) that investment in the 1985 Notes involves various risks; (ii) that the 1985 Notes are not general obligations of the City; and (iii) that the principal of, premium, if any, and interest on the 1985 Notes is payable solely from the sources specified in the 1985 Notes and in the Resolution; (C) the Note Purchaser has made such independent investi- gation of the plans and specifications for the improvements to the System as the Note Purchaser, in the exercise of sound business judgment, considers to be appropriate under the circumstances; the Note Purchaser has had the opportunity to ask questions of, and receive answers from, officers of the City concerning the property comprising the System, the business and financial condition of the City, and to obtain such other information as the Note Purchaser deemed necessary to verify the accuracy of the information referred to above and that the Note Purchaser has relied solely upon its independent investigation in making a decision to purchase the 1985 Notes; (D) the Note Purchaser has knowledge and experience in financial and business matters and is capable of evaluating the merits and the risks of its investment in the 1985 Notes and that it can bear the economic risk of its investment in the 1985 Notes; (E) the Note Purchaser acknowledges its understanding that the 1985 Notes are not being registered under the Securities Act of 1933 , as amended (the "1933 Act") or Chapter 517 , Florida Statutes; ATTAZNINI"TO RESOLUTION NO. 85-26 PAGE 5 OF 6 m CEOFLMED AUG 87 (F) the Note Purchaser is not a bond house, broker or other intermediary, and it is purchasing the 1985 Notes as an investment for its own account and/or for the account of affiliated banks under common control with Note Purchaser and not with a present view to a resale or other distribution to the public. The City may rely on this representation in the certification required by section 103 (c) of the Internal Revenue Code of 1954 , as amended, and the regulations promulgated thereunder. In the event that the Note Purchaser proposes to resell or otherwise disposes of the 1985 Notes, such resale or other disposition shall comply with all then applicable laws. Except as otherwise expressly provided in this paragraph, the resale or other distribution of the 1985 Notes shall at all times be within the sole control of the Note Purchaser; (G) the Note Purchaser has not paid and will not pay any bonus, fee, or gratuity to any "finder, " within the meaning of Section 218. 386 , Florida Statutes, in connection with the sale of the 1985 Notes. Respectfully submitted, THE FIRST BANKERS OF INDIAN RIVER COUNTY By: Authorized Officer or Agent THE FIRST BANKERS, N.A. By: Authorized Officer or Agent Accepted: Attest: CITY OF CAPE CANAVERAL By: City Clerk Mayor ATTAMODUTTO RESOLUTION NO. 85-26 PAGE 6 OF 6 . ,