Res 389 RESOLUTI ON NO ~
A RESOLUTION OF TEE CITY COUNCIL OF TEE CITY OF DELRAY BEACH, FLORIDA,
AUTHORIZING THE ISSUANCE OF SERIES "B" REFUNDING BONDS PROVIDING FOR
THE DENOMINATION TH~K~EOF, TME DATE OF ISSUANCE, ~EE DATE OF ~ATURITY
PROVIDING FOR THE METHOD OF EXCHANGING SAID
AND
P~TE
OF
II~EREST
BONDS FOR THE NOW 0UTSTAI~NDING EVIDENCES OF ALL INTEREST ACCRUED TO
JULY l, 1938, ON HERETOFORE REFUNDED BONDS OF THIS CITY WHETHER REP-
RESE~TED BY INTEREST COUPONS, OR ACCRU":D INTEREST ON ~IATURED BONDS,
~ETHER OR NOT I~iERGED. iNT0 JUD ~G~ENTS, AND ¥~ETHER OR NOT SAME HAVE BEEN
DEPOSITED IN ESCROW UNDER THE PROVISIONS OF SECTION ll OF THE REFUNDING
RESOLUTION ADOPTED BY THE CITY COUNCIL OF THE CITY OF D~Y BEACH,
FLORIDA, ON JANUARY 26, l~3w, AND WHETEER OR NOT CERTIFICATES 'OF DE-
POSIT HAVE BEEN ISSUED THEREFOR BY THE ESCROW AGENT UNDER THE TERMS
OF SAID RESOLUTION, AND REAFFIRMING AND RATIFYING TEE PROVISIONS OF
SECTION 5 OF SAID ABOVE DESCRIBED REFUNDING RESOLUTION DATED JUNE 26,
1~3~, INSOFAR AS THE SAME 1S APPLICABLE FOR THE PAY~ENT OF INTEREST
ON, AND CREATING A SINKING FUND FOR, THE RETIREMENT OF CLASS "B" BONDS.
WHEREAS, on June 26, 193~, a considerable part or the funded
debt of the City of Delray Beacn, Florida, was in default, and it
was necessary that such indebtedness be refunded in order for the
city to properly function and meet its o~llgations,
AND, WHERF~S, such indebtedness was incurred prior to November
6, 1~34, an~ holders t~ereof, by virtue of the laws in existence
at t~e time of the incurring of such indebtedness had the legal right
to require that taxes for the payment ~hereoX be levied on all prop-
erty subject to taxation, incluaing ~omesteads exemptea from maxation
by the amendment ratified November 6, 1~3~, adding Section 7 to Article
l0 or the Constitution of Florida, and to require the COllection of
such taxes in cash at the same time and in the same manner as other
taxes levied by the City, and ~o otne~se enzorce their lnaebtedness
and the security tnerefor mn~epenGently or any res~rmctmon or limitation
upon the enf°rcemen~ thereo~° enacted by ~he State Leg£slaDure since the
incurring of such indeo~edness, and were enti'oled t~ a reZmna~ng ocli-
gation which would have the same security and be subject to the same
remeczes ana rzgnts or enforcement as exzsted prior to November 6, I~3A,
aha which then appertained to said outstancing indebtedness.
AND, WHEREAS, in or,er to permit of a readjustment and rezuncing
that Will ~e accep~ao~e ~o i~s creditors, the City deemea it aavisa~ze
an~ necessary to auDnor~ze the issuance of refunding bonds under such
metros and conaitions as w~uma reserve 'to the holders thereo~ the rights,
security and remedies now a~a~la~le to them as holders or the c~ty's
ou~s~anu~n~ ~n=eD~edness.
AND, WHEREAS, under t~e provzslons of the laws of ~he State
of Florida, the City Council or the Oity or Delray Beach was
authorized to issue such refunding bon~s wlnhou~ su~mlttlng the
approval or disapproval thereof to a vote of the freeholders of said
City,
AND, WHEREAS, notwithstanding the provisions of such laws of the
State of Florida, the City Council of the City of Delray Beach, Florida,
did call such a freeholders election by ordinance and the Mayor of
said City of Delray Beach did also call such election by proclamation,
which election was for the purpose of allowing the qualified registered
electors who were freeholders in that portion of the City affected by
the proposed refunding to either approve or disapprove of the issuance
of refunding bonds, which election was held on February 21, A. D. 1939,
and at said election a majority of the qualified registered freeholders
of said City participated and a majority of those participating in the
election voted in favor or the issuance of the said refunding bonds.
WHEREAS, there had been theretofore duly authorized and issued
under and by virtue of the Constitution and statutes of t~e State of
Florida in such case mdc and provided negotiable coupon bonds of the
Town of Delray and the City of Delray in the following sums:
DATE OF ISSUE DESIGNATION AUTHORIZED ORIGINAL
_ ~_ AMOUNT OF ISSUE
~uly l, l~lA water and Light $ EO,000.O0
· anuary l, l~O Improvement SE,§00.00
March 1, 19B~ Improvement ~, 000.00
~uly l, 19~3 Improvement §0,000.0~
November l, 19~.~ Special Improvement 35,A~. ?S
May l, 19~ General Improvement 80,000.00
April l, l~E$ Improvement 900,O0o.00
November l, 19~$ Improvement ll? ,SO1. $0
March l, l~? Improvement ll~,000.O0
WHE~S, the said bonas that were then outstanding bonds (herein-
after together with accrued and unpaid interest thereon) which con-
stituted legal and valid unpaid indebtedness of the said City i~en~mrieC
as to issue~date, denomination, interes~ rate, and amounts, were as
follows:
TOWN OF DELRAY, Water and Light Bonds,
dated July 1, 1914, in denominations of
$1,000, bearing interest at 6% per annum,
payable semi-annually, on which there is
outstanding unpaid principal in amount of ...... $ 10,000.00
CITY OF DELRAY, Improvement Bonds, dated
January l, 1920, in denominations of
$500.00, bearing interest at 6% per annum,
payable semi-annually, on which there is
outstanding unpaid principal in amount of ...... 51,000.00
CITY OF DEIP~Y, Improvement Bonds, dated
March l, 1923, in denominations of $500.00,
bearing interest at 6% per annum, payable
semi-annually, on which there is outstanding
unpaid principal in amount of ............ 7,000.00
CITY OF DELRAY, Improvement Bonds, dated
July l, 1923, in denominations of $1,000,
bearing interest at 6% per annum payable
semi-annually, on which there is out-
standing unpaid principal in amount of ........ 36,665.00
CITY OF DEL~AY, Special Improvement Bonds,
dated November l, 1924, in denominations of
$1,000, bearing interest at 6~ per annum,
payable semi-annually, on which there is
outstanding unpaid principal in amount of ...... 24,260.00
CITY OF DELRAY, General Improvement Bonds,
dated May l, 1925, in denominations of ~l,O00,
bearing interest at 6% per annum, payable semi-
annually, on which t~ere is outstanding un-
paid princip~.l in amount of ............. 72,000.00
CITY OF DEIL~AY, Improvement Bonds, dated April
l, 1926, in denominations of $1,000, bearing
interest at 5~% per annum, payable semi-
annually, on which there is outstanding unpaid
principal in amount of ................ 682,330.00
CITY OF DELi~Y, Improvement Bonds, dated
November l, 1926, in denominations of $1,000,
bearing interest at 6% per annum, payable semi-
annually, on which there is outstanding unpaid
principal in amount of ................ 91,900.00
CITY OF DELRAY, Improvement Bonds, dated March
l, 1927, in denominations of $1,000, bearing
interest at 5~ per annum, payable semi-
annually, on which there is outstanding unpaid
principal in amount of ................ 39,480.00
The Total Bonds of said issues outstanding on
June 26, 1939 ................... $1,014,635.00
The odd balances shown for the unpaid principal on some of the
above bond issues were due to the fact that partial payments
were made on some of the bonds during the years 1929 and 1930.
WHEREAS, the City of Delray Beach did refund said principal
indebtedness of $1,014,63B.00 by the issuance of Series "A" refunding
bends in that amount, such bonds being in an amount equal to the
amount of the City's then outstanding principal indebtedness, butthe
interest due on said principal indebtedness, whether represented
by interest coupons or accrued interest on nmtured bonds and whether
or not merged into Judgments, was not refunded at that time but
should now be refunded pursuant to the provisions of the agreement
therefor recited in that certain resoltuion passed by the City Council
of the City of Delray Beach on June 26, 1939, the same being ltesolution
No. 299.
NOW, T~E~EFORE, BE IT REsoLVED by the City Council of the City
of Delray Beach, Florida, as follows:
Section 1. That it is hereby found and determined that the un-
paid interest on the above refunded bonds, accruing prior to July 1,
1938, aggregating in principal amount the sum of $352,397.62 con-
stitutes a valid outstanding funded indebtedness of the City of Delray
Beach, Florida, incurred prior to November 6, 1934, for various
municipal purposes, and for the payment thereof all of the property
within the present territorial limits of the City of Delray Beach,
Florida, excepting that portion of said City which was formerly the
Town of Delray Beach, Florida, and excepting also such property as was
exempted from taxation by the Constitution of Florida as it existed
innnediately prior to November 6, 1934, is subject to the taxation
without limitation of rate or amount for the payment thereof, and in
addition all property which was formerly within the said City of Delray
Beach, Florida, as constituted on May 115 1927~ except that portion
thereof which was formerly the Town of Delray Beach, Florida, and also
that property which was constituted within the territorial limits of
the former City of Delray as the boundaries thereof were extended by
Chapter 10450 of the Acts of 1925, approved April 29, 1925.
SECTION ~. Series #B~ refunding bonds in the principal amount of
$352,350.00 are hereby authorized to be issued for the purpose of re-
funding the principal amount of indebtedness and Judgments thereon
described in Section 1 hereof and any additional Judgments that may
be hereafter recovered thereon~ the balance of $47.62 to be retired by
p aymen t.
Said refunding bonds Series "B" shall be dated July 1, 1940,
and shall mature July 1, 1968, subject to redemption on ~ interest
payment date prior to maturity upon payment of the par value thereof
and accrued interest to the date fixed for redemption.
Said Series "B" refunding bonds shall be numbered consecutively
and shall be in the following denominationa: $500, $100 and $50,
and shell bear interest payable semi-annually at the following rates:
Two per cent (2~ per annum for the first five (5) years; ~\
Tw~ and one-half per cent (2~%) per annum for the next succeeding
five (5) years; ~ - ~
Three per cent (3%) per annum for the next succeeding five
Four per cent (4) per annum for the next succeeding five (,5), y~ears;
Five per cent (5%) per annum thereafter until the maturity of said
refunding bonds. ~_ ~
Series "B" refunding bonds numbered consecutively from 1 to 276, both
inclusive, in the principal amount of $1000 each, and Series 'B' re-
funding bonds numbered 277, 278, each in the principal amount of
$500, and Series 'B" Refunding bonds numbered 279 in the principal
amount of $100 are to be exchanged for outstanding interest on City
of Delray Improvement Bonds, dated April 1, 1926, and March 1, 1927,
bearing interest at 5~ per annum, payable semi-annually, Series
refunding bonds numbered consecutively from 280 to 354, both inclusive,
in the principal amount of $1000 each, and Series 'B' refunding bonds
numbered consecutively from 355 to 356, both inclusive, each in the
principal amount of $100, and Series "B# refunding bonds numbered 357
in the principal amount of $50 are to be exchanged for outstanding
interest on original bonds of the City of Delray bearing interest at
the rate of 6% per annu~, payable semi-annually.
Section 3. The refunding bonds herein authorized to be issued
shall be signed by the Mayor and attested by the City Clerk and the
corporate seal of the City of Delray Beach, Florida, shall be affixed
thereto. The interest coupons thereto attached shall be executed
with the facsimile signatures of the said Mayor and City Clerk. The
text of said bonds, the coupons thereto attached and the validation
certificate to be endorsed thereon shall be in substantially the
following form:
UNITED STATES OF ~m~RICi
State of Fl~ida
City of Delray Beach
1B$$ General Refunding Bond
Issue of ~uly 1, 1~4~
Series "B"
NO~, ,, , , , , , $ ..... ~,
Know aA~ ,,,eh uy ~hese presents: That the City of Delray Beach
in the County of Palm Beach, State of Florida, hereby acknowledges
itself to be indebted and for value received hereby promises to
pay to the bearer the sum of
on the first day of .July, A. D. 1968, with the option of prior
redemption as hereinafter provided and to pay interest on the said
sum as hereinafter specified from date hereof until paid or called
for redemption; the said interest to be paid semi-annually on the
first days of ~anuary and ~uly of each year, both principal and
interest thereof are payable in lawful money of the United States
of America at the Irving Trust Company, New York, New York, upon
presentation and surrender of this bond and the interest coupons
hereto attached as they severally mature.
Interest on the amount of this bond as evidenced by the interest
coupons hereto aStached shall be payable and collectible at the
rateof two per cent (~%) per annum to ~uly l, 1945; thereafter at
the rate of two and one-half per cent (2~) per annum to ~uly l, 1950;
thereafter at the rate of three per cent (3%) per annum to ~uly l,
195§; thereafter at the rate of four per cent (4%) per annum to
~uly l, 1960; thereafter at the rate of five per cent (5%$ per annum
to ~uly 1, 1968.
In the e~ent the City defaults in the payment of interest, on
this bond, and such default continues for a period of six months
after its happening, then upon declaration in writing filed with
s~id City, and with Thomas M. Cook & Company, the fiscal agent for
said City, by the holders of at least forty per cent i40%) in prin-
cipal amount of all the bonds of this issue outstanding upon the
happening of such default, this bond shall, at the option of.the
holder, revert to the original interest rate of the security
exchanged therefor, but such reversion shall only be effective from
the date to which interest has been paid on this bond prior to the
date of the filtE of the declaration of intention to exercise such
option, and if the right to higher interest rate accrues, such
higher rate of interest will be evidenced in the manner then pro-
vided by law.
This bond is issued under the authority of and in full compliance
with the Constitution and statutes of the State of Florida, including
the Charter of the City of Delray Beach, and pursuant to a resolution
passed by the City Council of said City of Delray Beach for the
purpose of refunding valid subsisting bonded indebtedness of said
City, for the payment of which the City was obligated to levy taxes
upon all property within its present territorial limits, excepting
that portion of said City which was the former Town of Delray Beach,
and for the payment of which all property heretofore located in said
City of Delray Beach, exclusive of that portion of said City which
comprised the former Town of Delray Beach, which has been excluded by
Special Acts of the Legislature changing the territorial limits of
the City of Delray Beach since the creation of such bonded indebtedness
is also subject to tax, except such property as vms exempt from taxation
under the Constitution and Laws of Florida as they existed immediately
prior to November 6, 1934.
The City of Delray Beach hereby reserves the right to redeem this
bond on any interest payment date upon payment of par end accrue~
interest, and agrees that it will.apply the sinking fund created by
the resolution authorizing the issuance of this bond to the redemption
of the bonds of this issue at par and accrued interest by lot, whenever
such sinking fund amounts to Five Thousand Dollars {$5,000.00) or more
and is not used for the purchase of bonds of this issue et less than
par end accrued interest in the manner more particularly prescribed by
the resolution authorizing the issuance of this bond. In the event this
bond is so called for redemption, notice thereof shall be published in
a financial Journal published in the City of New York, New York, and in
e newspaper of general circulation published ~n Palm Beach County,
Florida, in one issue thereof, published not more than sixty (60) days,
nor less than thirty (30) days prior to the date fixed for redemption.
the sinking fund provided for said bonds may also be used in the pur-
chase thereof in accordance with the provisions of the resolution
authorizing their issuance.
It is hereby certified and recited that all acts, conditions and
things required to happen, exist end be performed precedent to and in
the issuance of this bond have happened, exist and have been performed
in due time, form and manner as required by the Constitution and Laws
of the State of Florida And the Charter of the City of Delray Beach;
that the total indebtedness of said City, including this bond, does
not exceed and that t~e total indebtedness of said city, at the
creation of the indebtedness refunded hereby, did not then exceed any
constitutional or statutory limitations thereon, and for the prompt
and full payment of this bond, and the interest thereon, the full
faith and credit of sala City are hereby pledged.
This bohd is issued in exchange for a like amount of unpaid
interest on lndebDedness of said city which was outstanding on and
prior to November 6, 1~34, and does not constitute new indebtedness
or a novation of said outstanding indebtedness, but merely evidences
an extension or renewal in a new form of said original exisit~ng
inde~tedness refunded hereby, and is of like force and effect as to
obligation as if said original inaebtedness had remained unrezunded,
it being expressly hereby provided and recited that all contract
rights as to security, taxing power, obligation for payment, remedy,
and enforcement, enjoyed by said indebtedness in its original form,
has inured to, and is and shall be enjoyed by said indebtedness as
represented by this refunding bond. 0nly such property in said City
as' would be exempt from taxation under the provisions of the laws
and Constitution of ~lorida which were in force at the time of the
creation of the indebtedness refunded hereby shall be exempt from
taxation to pay the interest on and principal of this bond as the same
respectively be'come due. Laws enacted since the creation of the
indebtedness refunded hereby which are ineffective as to such indebted-
ness are hereby declared to be similarly ineffective as to this bond.
The bond is issued for the purpose of refunding an original ., %
obligation.
IN WITNESS WHEREOF the said City of Delray Beach has caused this
bond to be signed by its Mayor and attested by its City Clerk under
its corporate seal, and the interest coupons hereto attached to be
executed with the facsimile signatures of said Mayor and City Clerk as
of the first day of July, A. D. 19~0.
ATTEST:
(Form of Coupon for Semi-An~Bual Interest Payments)
No., _ _ $ ......
On the first day of , 19..._, the City of Delray Beach,
in the County of Palm Beach,' 'Sta'te of Florida, will pay to the
bearer at the Irving Trust Company, in the City of New York, New
York, the sum of $.______, as provided in and for the semi-annual
interest then due on the City of Delray Beach Refunding Bonds Series
~B~ ·
No. _... dated July 1, 1938.
- Clerk ...... -- ............
City of Delray Beach, Florida· City of Delray Beach, Florida.
(Validat ion Certificate)
Validatea and confirmed by decree of the Circuit Court of
the Fifteenth Judicial Circuit of the State of Florida, in and for
Palm Beach County, rendered on the ~ d~y of ...... ,
A. D. 19 __.
Clerk Of-the circuit-Court
of the Fifteenth Judicial
Circuit of Florida, in and
for Palm Beach County.
Section 4. Said Series "B" refunding bonds shall be transmitted
to the escrow agent, the West Palm Beach Atlantic National Bank of
West Palm Beach, Florlda, and shall be delivered upon instructions
from the fiscal agent of' the City to the holders of the now outs~analng
interest on original bonds, whether or not merged in judgments, and
whether or not placed in the escrow, described in Section i hereof
and in ex, hang, therefor on the basis of par for par for the principal
amount.
The refunaing bonds, Series "B", shall be callable at par upon
any interest payment date prior to maturity. If the option to call
the bonds prior to maturity is used, it shall be exercised in the
following manner: The bonds shall be drawn by lot by the governing
authority of the City of Delray Beach, and the respective lots shall
be so drawn from all the then outstanding bonds· Notice of redemption,
specifying the bonds called, shall be filed at the place where the
principal and interest of said refunding bonds, Series "B", are
payable at least thirty days prior to such redemption date. Notice
of intention to redeem said bonds shall be puolished once, not
more than sixty days, nor less than thirty days prior to the redemp-
tion date, in at least two publications, one of which shall be a
newspaper having general circulation in Palm Beach County, Florida,
and the other s~all be a financial Journal published in the City of
New York, State of New York.
Section §. For the purpose of adequately providing for the
pa~ent of the interest on all said rex'unGing bonds and for the
creation of a sinking fund for the retirement of all said refunding
bonds, the City shall levy for debt service a millage which will be
sufficient to raise a sum at least equal to the interest 'due in such
fiscal year if 60~ of the levy is collected in such fiscal year. If,
.' however, the percentage of collection for the prior fiscal year, up
to the date of the levy (not including any estimate of collections
after the levy is made), is less than 60%, the levy shall be based
on the collectibility of such less percentage. For the fiscal year
in which the new bonus snail mature, the City shall levy a tax in
such amount as shall be sufficient, together with sinking funds then
in hand, to pay such bonds upon their maturity. Such taxes shall be
· Levied and computed upon the extended and finally equalized valuation
of all property subject to taxation within the City, excluding the
old Town or Delray Beach, which is how a part of the City of Delray
Beach, Florida. The territorial lZmits of the City of Delray Beach,
Florida, have been reduced by Chapter 1~677 of the Special Acts of
1927 and by Chapter 184~4, Special Acts, lw37, since the bonds hereby
refunded were issued and since it was provided in and by said Special
Acts that the territory excluded from said City should be held res-
ponslble for and be bound for all bonds, contracts, judgments and debts
then held against said city, the City of Delray Beach does herecy reserve
the right to tax any territory excluded from the 9ity for the payment
of any obligations existing at the t~m_e such territory was eliminated.
The taxes so levied shall be in aduitlon to all ot~er taxes levied
by the City and the proceeds shall be kept in a special fund and
used exclusively for the purpose for w~ich the same are levied.
Section 6. If at any time there is $5,0oo.vO or more in the
Refunming Bond Interest and Sinking Fund Account over and above the
amount of the next interest requirement, the said fund snali be
used by the City, after giving reasonable pu01ic notice or its
intention, for the purpose of pnrc~as-~ng refumcing bones of the
issues contemplated herein, which purchases shall be made in the
following man_nar: The City snail ~es~gnate a date at which time
it will receive sealec tenters oZ bonas of the re~umcing issued
~erein authorized, and act upon such tenders in open session. The
entire avalla01e surplus for the retire,~.ent of bonus shall be used
to purchase bonas orfered by such fencers at the lowest p-,'lces;
pro.vialed, however, that ir the said City ~e dissatisfied with any
or all tencers thus receiveC, ~ sIlall have the option to reSect
any or all or same, cna within thirty-one (31; days ax'tar such re-
jection, it shall readvertise for additional sealea tenders in
the same manner as herein~erore provided, and sllall purc~lsse the
bones oXrered at the lowest p~ices upun suc~ reaCvertlsement,
a~sorbln~ all surplus [un~s availaole in the Refuncing Bond Interest
aha Si~king Fund Account, and, provided ~urtner, that following each
respective ten,er cate said City may prov~tely purchase additional
~oncs with su0sequenD sux~pi~s accumulations as long as private
purchases may be mace upon such easis as w~ll mow an equal or
higher income yield than the highest yield' calculated on bones
purcnasec responsive to tenCers received at the last prece~lng
da~e. In the event tha~ no oi~'erZngs can ~e o~tazned at or below
the caliabze price, the said City s~all proceed to call bonas by
lot ·
Section 7. The rez'uncing uon~s proposed to ~e lssueG hereunder
saall be issued as continuations, extensions, mergers and renewals
o~ the inCeD~e~ess proposed to be re,un,ed and nave the lCen~cal
tax base as the said original bonds, and all rights and remedies
which were available for the support and enforcement of the original
bonds, shall continue and remain available for the support and
enforcement of the refunding bonds when issued, and shall be issued
~nder a procedure which will be approved by nationally recognized
bond attorneys.
Section 8. Said refunding bonds, Series ~B', shall also pro-
vide that upon a default in the payment of interest on said refunding
bonds, then, upon the declaration in v~iting filed with Thomas M.
Cook & Company, the fiscal agent, and with the City of Delray Beach,
by the holders of at least forty (40~) per cent, in principal amount
of the refunding bonds outstanding upon the happening of such
default, said refunding bonds shall, at the option of the respective
holders, revert to the original interest rate of the securities
exchanged therefor, but such reversion shall only be effective from
the date to which interest had been paid on said refunding bonds
prior to the date of the filing of the declaration of intention to
exercise such option, end if the right to the higher interest rate
accrues, the higher rate of interest will be evidenced in the manner
then provided by law~ PROVIDED, said bonds shall not ~evert to the
original interest rate unless the failu~re, refusal, or default is
continued for a period of six (6) months after its happening.
Section 9. The Mayor and City Clerk of the City of Delrey
Beach~ Florida, are hereby authorized and directed to sign said
refunding bonds and the said City Clerk is hereby authorized end
directed to affix the corporate seal of the City of Delray Beach,
Florida, to each of said bonds so signed.
Section 10. ~11 taxes levied by the City for 1937 and sub-
sequent years shall be paid in legal tender only. The City intends
to adjust the a~unt due on account of the delinquent ~taxes for the
year 1936 and prior and special assessment lien~ in a manner which
is designated to result ~n & collection oF the reasonable maximum
equity therein.
Section il. That all the said refunding bonds and interest
thereon shall be payable in lawrui money of the United States of
A~er~ica at the Irving Trust Company, New YorK, New York.
Section 12. That all covenants, representations, agreem~ents,
and underDa~ings herein set out, as well as those appearing in ~he
face of each of the said refunding bonds, s~aii constitute contract
wi~h the holders oI° rel~Gnaing bonds, which contract shall be eh-
forcible by suit, action, or mandamus on behalf of any oond~older
in any Court of competent Jurisdiction whether or not a monetary de-
fault s~aii then prevail in the payment of the principal or interest of
such refunding bond, and all rlg~ts ana remeaies wn~'ch were avaziaole
for the support and en~°orce~ent o~· the oonas revunaed nereoy snaz± Oe
ava~±ao±e for the support and enforcement of said refunding bonds.
Section 13. That if any cia~se, section, paragraph or provision
of this resolumion or of the re~-un~ing ~onGs ~ereby authorized, be
declared unenforcible by any Court of final jurisdiction, it shall not
affect or invalidate any remainder thereof, and ir any of the refunding
bonds ~ereOy authorized be adjudgeG lllega~ or unenforc~le, the
holders thereof s~all 0e entitled to be su~roga~eG to ~ne rights of
the ~olders of the indebtedness hereby provided to oe refunded t~ereoy
an~ as such, enzorce ~he~r claim for payment.
Section 14. That if any mistake or error snail ~ave occurred in
this Resolution in the description or any o~~ ~he ou~s~anaing ~onas
proposed to be refunded, such mistake or error shall Oe deemed to be
immaterial, provided the total amount of outstanding bonas surrenGered
in exchange does no~ e~ceed ~ne a~ount ox' re~-unding 0onds hereby
authorized ~o be issued.
Section 15. That the firm ox Adams & Nowlln, Attorneys at Law,
be a~d is ~ere~y au~horize~ and directed to ~a~e appropriate pro-
ceedings in the Circuit Court of the Fifteenth Judzczal~ Circuit of
Florida in and for Palm Beach County for thevalidation of said
bonds, and the Mayor, president of the Council, and the city clerk
are hereby authorized to verify any pleadings in such proceedings and
to impress thereon the corporate seal of this municipality.
ADOPTED by unanimous vote of the City Council, all members
being present, at a regular meeting of the said City Council, on
this, the 17th day of February, 1941. ~
ATTEST:
Ci~ ~" APPROVED: ~ ~
MayOr
Delray Beach, Fla. $--,_~$!
It is reported that Circuit Judge
C. E. Chillingworth has set May 12th
as the time for a hearing on a peri-
tion of ~he C,~y of Delray Beach, Fla., ,
to validate a series of refunding
bonds to eliminate $352,350 of de-
faulted interest payments on $1,014,-
63.5 in bonded indehf~tness.
T~e ~rincipal wa~ refunded by an
issue dated July 1, 19.38.
Interest on the refunding bonds
would ,begin at 2~ and increase each
five years to 5~.
IN. THE '~I~CUIT-~::¢O--'"~ OF -'THE'
~FIF'I'EBJ~;J~ DICIAL CIRCUIT ,G;F
' FLORIDA~"~tN AND FOR
BEACH COUNTY, CHANCERY NO.
C~ OF:'DE~Y B~C~,
a municipa~ cor~raMon,
Petitioner
vs, .
~TA~ OF FLORIDA, Respondent
" VAL~A~ON PROCEED~'
ClTA~ON ~' NO~CE OF
CEEDINGSco~RMTO R~D~G.
' BO~$.
IN ~E NA~ OF ~E STA~ OF~
FLOR~A, TO ~E CI~Z~S AND;
TA~AYE~ OF ~. C~ OF
RAY BEACH, PA~ ]BEACH COUP,~
F~RIDA, AND '.~O ALL O~
.P~SONS ~~, G~G~
NO~CE IS H~BY GI~N ~t
~e City of Delray B~c~ a ,m~ici~
~ corporation l~at~ in Palm
'Co~ty, in the ~nth Judicial Cir-
cuit of the S~ of ~o~d~, des~i~g
:~to recur bond~ debt ~7 .%he
of r~und~ng bonds~i~ the aggrega~
~mount of ~52,350 for ~e purpose
refund~ the out~and~-~re~
deb~dne~ of ~ch mun~cipatXt7
~o~ b7 that ee~ ~ ~'
~nd ~dopted by ~e C~ Council of the'
[~id C~ o~ De1~ ~eh on the X~th
which res~.i~.~-'~: ~d~e P~
~tfon for~'V~iaa~cn heretofore filed
in the fore~oin~ en~. cause, ~d
[.that said City has filed ~ ~e
st~led cs~e ~d h~ pr~nt~~ to ~
Court ~ Petition ~ek~g validation and
confi~ation ol such rei~dinl bon~
and ~e~' ~ance, and thata h~-
in~ wiR be .had upon ~ch Pe~ ~-~
fore the Judge ,of ~e above ~yl~ ~t
at ~e ~ambers of ~ch C~rt in
C~n~ Co~ Hough,in ~e City of
] mater maY,~, h~, a~ ~ ~ ~
[place ~u ~ each of YOu ~e. ~
~and dir~ ~ ~w 'Ca~ ff a~
~you have, why tach re~d~g ~n~
ou~ not ~. ~at~ or con~.
0f ~eneral cWc~tlom_'.~. ~d pub~
~s~ ~ the City of ~a~ ~
· .; ~ ~SS W~OF; .! ~e
~ere~ ~t my ~ as Cl~k' ct
Uircuit :Co~' of-~e' F~n~ .~
~a~ C0~W, ~d ~v~ ~x~- h~r~
~he seal ~ '~d co~ at West
~ach, ~ Beach Co~ly, on th~
~e 16th. day of April, A. D. 1~1.
~. ~ ~N~, Clerk of the
Circuit Co~t of the Fi~th Ju-
d!ci~ C~t of ~e S~ ~ Flori-
da, in ad for Pa ~ach County.
By M~le'P. Jo~st~,
~u~ Cler~
(Circuit Cou~ ~) .~
~AD~S & NO~ - "'
i By J. W. Nowl~__
Attorneys for
,[Aprit 18~ ~, May 2~t , 3~, May 2,a ~.