10-08-50SpMtg OCTOBER 8th, 1950.
A Special Meeting of the City Council of the City of
Delray Beach, together with the Bond Committee, was held
in the City Manager's office at I o'clock p.m., with Mayor
John N. Kabler in the Chai~, and City Attorney John Moore,
City Manager Charles E. Black, and ~he following Councilmen
present: R.J.Holland, W.A.Jacobs, a~_d J.L.Saunders; and
Charles A. Crane, Chairman, H.A.HubDard, and B.C.Butler,
members of the Bond Committee present.
Mayor Kabler explained that the meeting had been called
for the purpose of authorizing the City Attorney to issue an
invitation to bid on a fiscal agency contract for the handl-
ing of a Refunding Bond Issue of the General Refunding Bonds
of the City of Delray Beach.
As the Council and Bond Committee had studied proposed
schedules prepared by McCreedy & Co., Inc., of Miami, and
Sullivan, Nelson & Goss, Inc. of West Palm Beach,~they dis-
cussed the term for which the bonds should be issued which
it appeared the City would be able to handle, figuring on a
minimum normal growth of the City, without raising the debt
service millage; the maximum rate of interest they would app-
rove, as well as the date the bonds should be callable and
the maximum call premium.
As a result of this discussion, the following letter
was drafted by the City Attorney, incorporating the decis-
ions of the Council and the Bond Committee on the above
items:
CITY OF DELRAY BEACH Delray Beach,Florida.
October 9, 1950.
Mr.~.T.McCreedy
McCreedy & Company, Inc.
Ingraham Building
Miami, 32, Florida.
Dear Mr. McCreedy:
Sealed proposals will be received by the City Council of
the City of Delray Beach, Florida, at the City Hall until
7:30 o'clock P.M. on October 12th, 19%0, on a fiscal agency
contract for refunding of $ 1,119,000.O0 Refunding Bonds of
the City of Delray Beach, dated July 1st, 1938, and July 1st,
19~0, and callable any interest date at par and interest,
now bearing interest at 3% to July l, 19%5, then $% to July
l, 1960, then %% to maturity July l, 1968.
New Refunding Bonds are to be dated January l, 19%1, and
mature serially 19%2 through 1971. Bonds of the new issue
9/9/50
shall be made callable not later th~n ten (10) years from
the date of issue, but not at a call premium exceeding
The Proposal will state:
(1) Rate of interest each maturity of the new bonds will bear,
provided that no coupon rate shall exceed 3%.
(2) Guaranteed minimum bid on the bonds.
(3) Guarantee to prosecute the program diligently so that barr-
ing unforseen legal difficulties the program will be comp-
leted by January 2~ 1951.
(~) The proposal from the Fiscal Agent shall state his fee,
which shall include the fee paid to the approving Attorney
the printing of bonds, paying the Circuit Court Clerk's
fee, the delivery expenses, the advertising costs, and all
other expenses incident to the issuance of said bonds, ex-
cept the fee paid by the City to the Attorney for the City
of Delray Beach, Florida.
(5) That the sale of the above issue of bonds shall be adver-
tised extensively, including an advertisement in the Bond
Buyer, prior to the invitation for bids.
The Fiscal Agent is to be the exclusive Exchange Agent for the
City in this refunding and to recommend procedure and dates of
exchanges and public sale.
The City will cooperate with the Fiscal Agent in passing of nec-
essary resolutions, signing of bonds, furnishing information
and furthering the program as expediously as possib~.
The award will be made by the City of Delray Beach on the basis
of the lowest net interest cost to the City, taking into con-
sideration the amount of the fee charged by the Fiscal Agent~
as well as the best guaranteed bid.
The City reserves the right to reject all or any proposal
submitted, and in the event an a~ard is made, the successful
bidder will be notified promptly.
Yours very truly,
THE CITY OF DELRAY BEACH
By.
City Attorney
9/9/~0
A motion was then made by Councilman Saunders that
the foregoing letter, calling for sealed proposals, to
be received not later than 7:30 p.m. on October 12th, 1950,
on a fiscal agency contract for refunding $ 1,119,000.O0
General Refunding Bonds of the City of Delray Beach, be
sent to Sullivan, Nelson & Goss, Inc., of West Palm Beach,
Florida~ Thomas M. Cook & Co. of West Palm Beach, Florida,
and McCreedy& Co., Inc., of Miami, Florida, the letters
to be mailed the following morning by registered mail,
Special Delivery. The motion was seconded by Councilman
Holland, and upon call of roll carried unanimously~
Councilmen Holland, Jacobs, Kabler and Saunders voting in
favor of the motion.
The meeting then adjourned.
.Ruth R, Smith
City Clerk