07-05-57SpMtg 193
JULY 5th, 1957.
A Special Meeting of the City Council was held in the Council Cha~-
bets at 2:30 P.M., with Mayor George V. Warren in the Chair, City Man-
ager W. E. Lawson Jr., City Attorney Harry T. Newett and the following
Council Members being present, Col. Dugal G. Campbell, R. J. Holland,
Martha K. Holland and Catherine E. Strong.
Mayor Warren informed the Council that this meeting had been called
to consider adoption of an Ordinance providing for issuance of Water
Revenue Certificates in the amount of $1,378,000.00, to be known as
Series of 1957 City of Delray Beach, and for the purpose of refunding
certain outst a nding Water Revenue Certificates of said city, and also
for the purpose of making certain improvements and extensions to the
waterworks plant and system of the city.
The Mayor further stated that proceeds from the sale of such an
issue would permit completion of the over-all waterworks expansion
program, together with improvements to the plant, as recommended by
Smith & Gillespie, and, further, that such action supercedes a de-
cision of the Council, which was determined at a Council meeting held
on March 21st and 25th, 1957, at which time it was believed the
commended improvement program would have to be accomplished in two
phases.
Commissioner Campbell referred to his motion, unanimously agreed
upon, made during the regular meeting held on June 10th, 1957, which
was read by City Manager Lawson and appears in the minutes of said
meeting as fbllows: "Commissioner Campbell moved that the City At-
torney be instructed to prepare an Ordinance, subject to approval by
the Cityls Fiscal Agents and the City Manager, to provide authoriz-
ation for requesting financing of proposed Water Plant Expansion Pro-
grams and refunding of present Water Revenue Certificates, which it
is believed will provide approximately_ .$1, 378 , 000 00, thereby making
available a sufficient amount, namely $982,000.00' to accomplish the
complete proposed Water Expansion Improvement at the present time,
and further to permit the City to issue additional bonds, at a later
date as the need'may arise, and to further consider the possibility
of providing for the pledging of this revenue and such other revenues,
now pledged, as they may become free by virtue of debt cancellation,
if it is later determined to be feasible and desirable. Motion sec-
onded by Commissioner Strong and unanimously carried."
Bonding Attorneys, Chapman & Cutler, approved such an issuance,
prepared Emergency Ordinance, referred to herein, and identified as
Ordinance G'265, amending, i n part, Section 7, Page 12, thereof by
phone conversation during this meeting, reviewed and approved by City
Attorney Harry T. Newett.
General discussion followed, during which, Mr. Fred B. Clarke, of
B. J. Van Ingen & Co. Inc., co-fiscal agents, clarified the misinter-
pretation of certain provisions contained in said Ordinance by various
Council Members concerning future annexation, for a period of time, by
stating that the 0nly change of conditions, created by Ordinance No.
G-265, is that reimbursement to Subdivision Developers of advanced funds
covering certain costs of Water Main Distribution Lines would be made
from Surplus Water Revenue rather than from 100% of total revenue as
received as ;has recently been granted.
The City Manager then read Emergency Ordinance No. G-265, together
with Amendment for part of Section 7, Page 12 thereof, and further a-
mendment of investment time period for surplus funds from l0 years, as
shown on Pages 13 and 15, to 5 years as recomzaended by Commissioner
Campbell and Mr. C. T. McReedy of the fiscal agents.
ORpINANCE NO. G-265.
AN ORDINANCE OF THE CITY OF DELRAY BEACH, AUTHORIZING
THE ISSUANCE OF $1,378,000. WATER REVENUE CERTIFICATES,
SERIES 1957, OF THE CITY OF DELRAY BEACH FOR THE PUR-
POSE OF REFUNDING CERTAIN OUTSTANDING WATER REVENUE
CERTIFICATES OF SAID CITY AND FOR THE PURPOSE OF MAKING
JULY 5th, 1957.
IMPROVEMENTS AND EXTENSIONS TO THE WATERWORKS
PLANT AND SYSTEM OF SAID CITY; PROVIDING FOR
THE SALE OF SAID CERTIFICATES; PROVIDING FOR
THE SECURITY AND PAY~T THEREOF; MAKING
CERTAIN PROVISIONS IN THAT CONNECTION, AND
DECLARING' AN 'EMERGENCY.
Commissioner Strong moved that Ordinance No. G-265 be passed
and adopted on this first and final reading. Motion seconded by
Co~muissioner R. J. Holland and unanimously agreed upon.
Mr. C. T. McReedy, co-fiscal agent, irnformed the Council that
the fiscal agents FEE of 1.~5%, for servicing an issuance of $500,
000. of Water Revenue Certificates, approved by the Council, per
minutes of Special Meeting held on March 29th, 1957, be revised in
view of the present determination of the Council to issue Certifi,
cates in the amount of $1,378,000. as follows; 1.45% Fee for Servic-
ing the First $500,000. and a Fee of 1.25% for Servicing Balance of
said Issue.
Commissioner Campbell moved for acceptance of such revision of
rates and to authorize Mr. C. T. McReedy and B. J. Van Ingen & Co.
Inc., to act as fiscal agents for servicing this issuance of $1,378,
000. Water Revenue Certificates on a FEE basis of 1.45% on the first
$500,000. thereof, and 1.25% for Balance of said Issue. Motion was
seconded by Com~uissioner Strong and unanimously carried.
Commissioner Strong moved that the City Manager authorize Smith
& Gillespie to proceed with the Engineering phases and Plans, pre-
viously agreed upon, for an over-all Improvement Program relating to
Water Plant Expansion, subject to Issuance and Sale of the proposed
Water Revenue Certificate issue, as provided for in Emergency Ordi-
nance No. G-265. Motion seconded by Cormuissioner M. K. Holland and
unanimously carrie d.
Meeting adjourned.
/S/ R~. D. Worthing
City Clerk
APPROVED: