02-14-47SpMtg FEBRUARy l~th, 19~7.
A Special Meeting of the City Council of the City of Delray Beach was
held in the City Manager's Office at 3:00 P.M., with Mayor M.M. DeWitt, City
Manager H.P. Edmond, and the following Councilmen present: B.C. Butler, F.B.
McNeece, J.B. Smith and C.J. White, a quorum being present.
A contract between the City of Delray Beach, and Stranahan, Harris &
Company and Equitable Securities Corporation for the purchase of $200,000.00
Water Revenue Certificates, which had been signed by Geo. N. ~,llard, as repre-
sentative of the above Companies, was presented for the consideration of the
Council, and read in full as follows:
CONTRACT
THIS CONTRACT Made this the l$th day of February, 19&7, by and between
the City of Delray Beach, a municipal corporation of Palm Beach County, Florida,
hereinafter referred to as the party of the first part, and Stranahan Harris
Company and Equitable Securities Corporation, hereinafter referred to as the
parties of the second part,
WITNESSETH That whereas the parties of the second part did heretofore
on June 8, 19~6, contract to purchase from the party of the first part Three
Hundred Fifty Thousand ($350,000.00) Dollars in Delray Beach Water Revenue Certi-
ficates to be dated June 1, 19~6, in the amount of One Thousand ($1,OO0.OO)
Dollars each, bearing interest at the rate of 2% per annum from date, interest
payable on the first days of December and June of each year at and for the sum
of Three Hundred Thirty Six Thousand Four Hundred Fifty-five ($336,~55.)
AND WHEREAS, after several conferences between the party of the first
part and the parties of the second part, it has been agreed to reduce the
amount of the certificates to be purchased by the parties of the second part
from $350,000.00 to $200,000.00.
NOW, THEREFORE_ in consideration of the mutual covenants herein contained
and the sum of One Doilar paid by each of the parties to this agreement to the
other party, the receipt whereof is hereby acknowledged, the parties of the
second part hereby agree to purchase from the party of the first part Two
Hundred Thousand ($200,000.00) Dollars in Delray Beach Water Revenue Certificates
which have been validated by a decree of the Circuit Court of Palm Beach County,
Florida, in Chancery Case No. 22,319, which decree was entered on December 17,
19~6. The parties of the second part agree to pay for said Water Revenue Certi-
ficates the sum of One Hundred Ninety Two Thousand Two Hundred Sixty ($192,260.O0)
Dollars, plus interest thereon from December 1, 19~6, and agree that the first
interest coupon on each of said Water Revenue Certificates shall be cancelled.
The Two Hundred Thousand ($200,000.00) Dollars in Revenue Certificates shall be
in the denomination of One Thousand ($1,0OO.00) Dollars each, shall be numbered
1 to 200, inclusive, shall bear interest at the rate of 2% per annum, payable semi-
annually on the first days of December and June of each year and shall mature
serially in numerical order on June 1st of each year as follows:
Year Amount Y. ear .Amount Year Amount
$ 2,000 1954 $ll, ooo 196o o0o
19~9 5,000 1955 ll,OO0 1961 ' 15,O00
1950 8,000 1956 12,OOO 1962 16,0OO
1951 lO, OOO 1957 12,000 1963 17, 0OO
1952 lO,OO0 1958 13,OOO 196~ 17,000
1953 10, 0OO 1959 13, OOO 1965 4, O00
FEBRUARY ]4th, 19~7.
IT IS FURTHER MUTUALLY AGREED by both parties hereto that all provisions
of Ordinance G-7 which is the ordinance of the City of Delray Beach authoriz-
ing the issuance of Three Hundred Fifty Thousand ($350,000.00) Dollars in Water
Revenue Certificates, Series 19A6 shall be complied with by the parties hereto
except that the amount of the Water Revenue Certificates to be delivered to and
purchased by the parties of the second part shall be Two Hundred Thousand
($200,000) Dollars of the first maturing certificates instead of Three Hundred
Fifth Thousand ($350,000.00) Dollars.
IT IS FURTHER AGREED that the remaining. One Hundred Fifty Thousand ($150,000.00)
Dollars of originally authorized Delray Beach Water Revenue Certificates shall be
cancelled and that the parties of the second part will not in any way object to the
subsequent validation by the City of Delray Beach of additional Water Revenue
Certificates on a parity with the outstanding $200,000.00 in certificates as long
as the provisions set out in said ordinance G-7 for the issuance of such certifi-
cates are complied with.
IT IS FURTHER MUTUALLY AGREED by the parties hereto that this contract will
replace the original agreement between the parties hereto for the sale, delivery
and purchase of the original $350,000.00 in Water Revenue Certificates, and
neither party hereto will hereafter make any claim or any damage or loss in
connection with said original contract and that the Ten Thousand Five Hundred
($10,500.00) Dollars good-faith check deposited by the parties of the second part
with the party of the first part shall become a good faith check for the perform-
ance of this contract, and if this contract is not performed by the parties of the
second Part said sum of Ten Thousand Five Hundred ($10,500.00) Dollars shall be
forfeited to the party of the first part as and for liquidated damages.
IT IS FURTHER AGREED by the parties hereto that the parties of the second
part are to cause to have printed the above described Revenue Certificates at the
expense of the parties of the second part and also to pay for the validating
opinion of the attorneys who pass upon the validity of the validation of said
WaterRevenue Certificates and that the parties of the second part will consummate
this transaction within 30 days after the party of the first part has furnished
to them or their attorneys all of the necessary information for the attorneys to
pass upon the validity of such validation proceedings.
IN WITNESS WHEREOF, the parties hereto have executed this agreement on the
date first above written.
CITY OF DELRAY BEACH
WITNESSES.
By: (Signed) M.M. DeWITT
(Signed) H.P. EDMOND Mayor
(Signed). 'AIL. GRw.~WOOD
ATTEST:
(si ned) RUTH R. S ITH
City Clerk.
Party of the First Part.
Approved as to Form:
(Signed) J.W. NOWLIN
(Signed) H.P. EDMOND City Attorney
(Signed) A.L. GRw32~WOOD STRANAHAN HARRIS COMPANY
BY ~QUITABLE SECURITIES CORP.
By: (Si~ned). GEO. N. BULLARD
Parties of the Second Pa~d.
FEBRUARY lath, 19~7.
Mr. Edmond explained that this would give the City funds enough to
finance all of the proposed improvements to the water system with the exception
of the Filtration Plant. $150,000.00 had been set up for the Filtration Plant,
and it might be advantageous to wait and see what the quality of the water
would be from the additional wells before building the Filtration Plant.
After a discussion of the percentage to be paid to Smith & Gillespie,
Engineers, under contract signed 8/12/~6, Mx. Edmond contacted Mr. Gillespie
by telephone, and was assured that they expected to be paid a percentage only
on the actual construction and not on the entire $350,000.00 project. A letter
confirming this agreement will be filed with the data concerning this meeting.
The following Resolution was then presented, and same was read in full:
RESOLUTION NO. 606
FEBRUARY /4th, 19~7.
A motion was made by Councilman Butler, seconded by Councilman White, that
the foregoing Resolution No. 606 be passed and adopted, and upon call of roll
the motion carried, all of the Councilmen voting in favor of same.
A letter from the Delray Beach Planning Board with reference to a plat of
a proposed Subdivision in Hofman Village, to be known as Avacado Grove, was read
as follows:
"DELRAY BEACH PLANNING BOARD
Drawer D
Delray Beach, Florida
February 13, 19~7
City Council of Delray Beach
Delray Beach, Florida
Gentlemen:
The Planning Board has considered the plat of Avacado Grove located in the Hofman
subdivi sion.
The Board passed on this plat as being acceptable with certain reccommendations
made by your City manager, Mr. Edmunds, correction discrepancies in the first plat
which was tendered for approval.
Provided the development is carried on as per the second plat submitted, the Planning
Board feels that this would comply with the general thought of having developments
fit into the present structure of City Planning.
Considerable discussion was entered into relative to this particular plat regarding
the North and South ends of this property not being built up by homes, but facing
abutting property which might be built up with substantial homes.
It was brought to the attention of the Planning Board that it was the intent and
purpose of this particular development to have beautification and groves on the
back end of each lot which would make desirable fronting for the house facing the
property.
Very truly yours,
(Signed) H.A. HUBBARD
H.A. Hubbard, Chairman
Delray Beach Planning Board
HAH:kmh"
After consideration, it was the consensus of opinion of the Council that
sufficient land must be deeded to the City for the continuation of N.E. 7th Street
and the developers must bring in written statements from the abutting property
owners stating that they have no objections to this type of project, and it will
then be considered by the Council.
Mr. King S. Cone was appointed by Mayor DeWitt to fill the vacancy existing on
the Zoning Board, for a term of three years, which appointment was confirmed by the
Counc il.
A letter from Jack A. and Laura M. Rhodes stating that they had purchased
Lots 5, 6, 7 and 8, Block 5, Southridge Subdivision, which property was at one
FEBRUARY 14th, 19~+7.
time within the City Limits but which had been outside of the City since 1931,
was read. They asked for an adjustment of the delinquent City taxes for the
years 1928, 1929 and 1930.
A motion was made by Councilman White that the delinquent taxes be
settled for $10.OO. The motion was seconded by Councilman Butler, and upon
call of roll carried unanimously.
Council then adjourned.
City Clerk