Agenda Reg 12-03-02City of Delray Beach
Regular Commission Meeting
Tuesday. December 3, 2002
Regular Meeting 6:00 p.m.
Public Hearings 7:00 p.m.
Commission Chambers
Delray Beach City HaH
100 NW lat Avenue
Delray Beach, Florida 33444
Phone: (561) 243-7000
Fax: (561) 243-3774
RULE8 FOR PUBLIC PARTICIPATION
1. PUBLIC COMMENT: The public is encouraged to offer comments with the
order of presentation being as follows: City Staff, public comments, Commission
discussion and official action. City Commission meetings are business meetings
and the right to limit discussion rests with the Commission. Generally, remarks
by an individual will be limited to three minutes or less. The Mayor or
presiding officer has discretion to adjust the amount of time allocated.
A. Public Hearings: Any citizen is entitled to speak on items under this
section.
Comments and Inquiries on Non-Agenda Items from the Public: Any citizen
is entitled to be heard concerning any matter within the scope of
jurisdiction of the Commission under this section. The Commission may
withhold comment or direct the City Manager to take action on requests or
comments.
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Regular Agenda and First Reading Items: When extraordinary
circumstances or reasons exist and at the discretion of the Commission,
citizens may speak on any official agenda item under these sections.
2. 8IGN IN SHEET: Prior to the start of the Commission Meeting, individuals
wishing to address public hearing or non-agendaed items should si~n in on the
sheet located on the right side of the dais. If you are not able to do so prior to the
start of the meeting, you may still address the Commission on an appropriate item.
The primary purpose of the sign-in sheet is to assist staff with record keeping.
Therefore, when you come up to the podium to speak, please complete the sign-in
sheet if you have not already done so.
3. ADDRRSSING THE COMMISSION: At the appropriate time, please step up to
the podium and state your name and address for the record. All comments must
be addressed to the Commission as a body and not to individuals. Any person
making impertinent or slanderous remarks or who becomes boisterous while
addressing the Commission shall be barred by the presiding officer from speaking
further, unless permission to continue or again address the Commission is granted
by a majority vote of the Commission members present.
APPELLATE PROCEDURES
Please be advised that if a person decides to appeal any decision made by the City
Commission with respect to any matter considered at this meeting, such person
will need to ensure that a verbatim record includes the testimony and evidence
upon which the appeal is based. The City neither provides nor prepares such
record.
The City will furnish auxiliary aids and services to afford an individual with a
disability an opportunity to paruclpate m and enjoy the benefits of a service,
program, or activity conducted by the City. Contact Doug Randolph at 243-
7127, 24 hours prior to the event m order for the City to accommodate your
request. Adapnve listening devices are available for meetings in the
Commission Chambers.
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INVOCATION.
PLEDGE OF ?,LLEGIANCE TO THE FLAG.
AGENDA APPROVAL.
APPROVAL OF MINUTES:
· November 19, 2002 - Regular Meeting
PROCLAMATIONS:
· NONE
PRESENTATIONS:
A. Site Plan Review and Appearance Board (SPRAB) Awards
B. "All About Me" Contest Winners - Delray Beach Parks and Recreation Depa~oaient
CONSENT AGENDA; City Manager Recommends Approval.
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FINAL SUBDMSION PLAT APPROVAL/DELRAY 403: Approve the
subdivision plat for Delray 403, located on the northeast side of S.E. 1st Street and S.E.
4°~ Avenue.
FINAL SUBDIVISION PLAT APPROVAL/MERIDIAN; Approve the
subdivision plat for the Meridian, located on the east side of S.E. 6~' Avenue, between
S.E. 3ra Street and S.E. 4~ Street.
RESOLUTION NO. 84-02/ABANDONMENT OF WATER
EASEMENT: Approve the abandonment of a 12' wide water easement lying
within a portion of Lots 3 and 4, Blank-Nichols Subdivision along with the
combined preliminary/final plat for a 1.973 acre development known as the
Meridian, located on the east side of S.E. 6~ Avenue (Northbound Federal
Highway), between S.E. 3~d Street and S.E. 4t~ Street.
RESOLUTION NO. 9$-02/ABANDONMENT OF UTILITY EASEMENT:
Approve the abandonment of a 6' wide utility easement within the Plat of Sabal Lakes
Phase Three, located east of Barwick Road and north of the L-31 Canal off of Seagrape
Circle.
RESOLUTION NO. 96-02: Approve Resolution No. 96-02 assessing costs for the
demolition of an unsafe structure located at 234 S.W. 10~ Avenue.
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PURCHASE OF RECTRAC SOFTWARE: Approve the purchase of the RecTrac
software in the amount of $46,625.00 for the Deb:ay Beach Parks and Recreation
Department to synchronize payments and registration at all six (6) remote sites with a
link to the AS400. Funding is available from 115-492S-572-64.90 (Special Projects
Fund/After School Program/Other Machinery/Equipment).
CHANGE ORDER NO. 1/FINAL PAYMENT/G.T.E. BUILDERS, INC.:
Approve Change Order No. 1 in the amount of $10,887.20, and final payment in the
amount of $18,017.01 to G.T.E. Builders, Inc. for the Community Teen Center (505)
Project. Funding is available from 117-6111-519-63.40 (Recreation Impact
Fee/Recreation Improvements), 334-6111-572-62.09 0Delray Youth Teen Council), and
442-5178-536-61.83 (Water/Sewer/Lift Station Rehabilitation).
CHANGE ORDER NO. 1/FINAL PAYMENT/CORNERSTONE
BUSINESSES. INC.: Approve Change Order No. 1 in the amount of a $21,000.00
decrease, and final payment in the amount of $33,651.00 to Cornerstone Businesses,
Inc. for the Barrier Island 16" ICWW Force Main Crossing Project. Funding is
available from 441-5161-536-69.23 (Water/Sewer Fund).
HOUSING REHABILITATION GRANT\CONTRACT AWARD: Approve
Housing Rehabilitation grant\contract award through Community Development
Division in the amount of $21,000.00 to Preston Construction (329 S.W. 12~ Avenue).
Funding is available from 118-1963-554-49.19 (SHIP Housing Rehabilitation Grant).
SPECIAL EVENT REOUEST/HOWARD ^LAN 14TM ANNUAL
DOWNTOWN ART FESTIVAL: Approve a special event request for the 14~
annual Downtown Art Festival sponsored by Howard Alan Events, Ltd. to be held on
January 18 and 19, 2003, granting a temporary use permit per LDR Section 2.4.6(H) for
street closure of Atlantic Avenue, east of N.E./S.E. 62 Avenue east to Salina, and
Vittoro's parking lot for vendor parking; authorize staff to apply for the FDOT street
closure permit; authorize staff support for security and traffic control, and permit an
event sign to be erected on Atlantic Avenue just east of I-9S one week prior to the
event with the sponsor paying all overtime costs; contingent on sponsor providing a
certificate of liability insurance.
REVIEW OF APPEALABLE LakND DEVELOPMENT BOARD ACTIONS:
Accept the actions and decisions made by the Land Development Boards for the period
November 18, 2002 through November 29, 2002.
HUMAN RESOURCES MANAGEMENT PARTNERS, INC./SALARY
STUDY: Approve the three percent (3%) base rate adjustment for general employees
and other pay plan adjustments as recommended by Human Resources Management
Partners, Inc. to be effective December 1, 2002.
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L. AWARD OF BIDS AND CONTRACTS:
Contract award to Insituform Technologies, Inc. in the amount of $528,972.00
for trenchless sanitary sewer rehabilitation of 9,112 feet of gravity sewer (System
17/Barrier Island). Funding is available from 442-5178-536-63.51 (Sewer
Mains).
Bid award to various vendors for the purchase of chemicals and fertilizers via
Co-op Bid #2002-43 for a total amount of $183,000.00. Funding is available
from 001-4131-572-52.26 (General Fund/Gardening Supplies), 445-4714-572-
52.26 (Delray Beach Municipal Golf Course Fund/Gardening Supplies), 446-
4714-572-52.26 (Lakeview Golf Course Fund/Gardening Supplies), and 001-
4511-539-52.26 (General Fund/Gardening Supplies).
Lease award to Meats Motor Leasing in the amount of $28,000.00 for FY 2002
for the lease of five (5) police vehicles under the Florida Sheriff's Association
and Florida Association of Counties, Bid #02-10-0826. Funding is available
from 001-2115-521-44.40 (Rental and Lease Vehicles).
REGULAR AGENDA:
A. PUBLIC FINANCIAL MANAGEMENT, INC, PRESENTATION
RESOLUTION NO. 90-02: Consider approval of Resolution No. 90-02 authorizing
the negotiated sale of the City's Utility Tax Revenue Refunding Bonds, Series 2002, in
the aggregate principal amount of not exceeding $16,500,000 for the purpose of paying
and defeasing the City's Utilities Tax Revenue Refunding and Improvement Bonds,
Series 1992; Utilities Tax Revenue Refunding and Improvement Bonds, Series 1994;
Utilities Tax Revenue Bonds, Series 1995; Utilities Tax Revenue Bonds, Subordinate
Seres 1996; and Utilities Tax Revenue Bonds, Subordinate Series 1998 (Collectively the
"Refunded Bonds").
RESOLUTION NO. 91-02: Consider approval of Resolution No. 91-02 authorizing
the issuance of not exceeding $18,000,000 in the initial aggregate principal amount of
the City's General Obligation Refunding Bonds, Series 2002 (Decade of Excellence
Program); providing for the form and terms of the bonds.
RESOLUTION NO. 92-02: Consider approval of Resolution No. 92-02 authorizing
the negotiated sale of the City's General Obligation Refunding Bonds, Series 2002
(Decade of Excellence Program) in the initial aggregate principal amount of not
exceeding $18,000,000.
BONUS PAYMENT TO JCD SPORTS GROUP: Consider approval of FY 2002
bonus payment to JCD Sports Group for golf operations in the amount of $14,700 and
for Tennis Center operations in the amount of $2,360. Funding is available from 445-
4711-572-34.90 (Delray Beach Municipal Golf Course Fund/Other Contractual
Services), 446-4711-572-34.90 (Lakeview Golf Course/Other Contractual Services), and
001-4215-575-34.90 (General Fund/Other Contractual Services).
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CONDITIONAL USE REQUEST/ALBATROSS CHILD CARE CENTER:
Consider a request for conditional use approval to allow the establishment of a child
care facility for Albatross Child Care Center, located at the southeast comer of
Albatross Road and Curlew Road. (Ouasi-Ju&'cial Heating)
PROPOSAL/VILI.&GE FOUNDATION: Consider approval of a proposal from
the Village Foundation, Inc. for a partnership with the Delray Beach Parks and
Recreation Depatmxent for teen programming at Pompey Park in the amount of
$23,000.00. Funding is available from 115-4101-572-49.90 (Special Projects Fund).
RESOLUTION NO. 94-02: Consider approval of Resolution No. 94-02 authorizing
the acquisition of property by eminent domain for parking purposes.
CLARIFICATION/APPEAL OF HISTORIC PRESERVATION
BOARD/TREEHOUSE: Consider a request from the City Attorney for the purpose
of clarification regarding the motion made on November 19, 2002.
APPOINTMENTS TO THE PEDESTRIAN-BICYCLE TASK TEAM: Appoint
seven (7) members to the Pedestrian-Bicycle Task Team. According to Resolution No.
88-02, each member of the City Commission will appoint members to the Pedestrian-
Bicycle Task Team with the task team membership electing a Chairperson. Based on
the rotation system, the appointments will be made by Commissioner Perlman (Seat
#1), Commissioner Archer (Seat #2), Commissioner Levinson (Seat #3), Commissioner
McCarthy (Seat $$4), and Mayor Schmidt (Seat #5).
PUBLIC HEARINGS:
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ORDINANCE NO. 47-02 (ADOPTION HEARING FOR {~OMPREHEN$IVE
PLAN AMENDMENT 2002-02): Consider on second reading an ordinance
adopting Comprehensive Plan Amendment 2002-02 and associated Future Land Use
Map (FLUM) amendment. Amendment 2002-02 includes:
· Modification of the definitions' section of the Public Schools Facilities Element, by
adding numerous new definitions.
· Modification of Policy B-2.1 of the Future Land Use Element, regarding
Concurrency, to add specific language with respect to Public School Concurrency
Review.
Modification of Policy A-2.4 of the Future Land Use Element, regarding the
location of the automobile dealerships, to decrease the area which dealerships
should be directed to, as a result of a rezoning which expanded the CBD (Central
Business District).
Modification of the Inventory and Analysis section of the Coastal Management
Element to reflect the recent completion of the Beach Renourishment Project.
Modification of the Introduction and Summary of Major Features (Planning Area
subsection), Objective B-3 and Policies B-3.1 and B-3.2 of the Future Land Use
Element, all regarding the provision of services to land within the planning area.
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Privately initiated Future Land Use Map amendment from LD (Low Density
Residential, 0-5 du/ac) to CC (Commercial Core) for a 0.025 acre parcel of land
located on the north side of S.E. 4'~ Street, approximately 127 feet east of S.E. 6~h
Avenue (northbound Federal Highway) associated with the Meridian Mixed-Use
Development.
ORDINANCE NO. 52-02: An ordinance rezoning from R-l-AA (Single Family
Residential) to CBD (Central Business District) for a 0.025 acre parcel of land located
on the north side of S.E. 4~h Street, approximately 127 feet east of S.E. 6°~ Avenue
(northbound Federal Highway) associated with the Meridian Mixed-Use Development.
COMMENTS AND INQUIRIES ON NON-AGENDA ITEMS FROM THE
PUBLIC- IMMEDIATELY FO!.I.OWING PUBLIC HEARINGS.
A. City Manager's response to prior public comments and inquiries.
B. From the Public.
FIRST READINGS:
ORDINANCE NO. 53-02: An ordinance modifying Ordinance No. 4-99 by
amending Subsection 4.6.9(E), "Location of Parking Spaces" of the Land Development
Regulations to extend the In-Lieu of Parking Fee regulations. If passed, a public
hearing will be scheduled for January 7, 2003.
ORDINANCE NO. 54-02: An ordinance revising Ordinance No. 51-02 to clarify
that Lot 3 of Block 2 and Lot 3 of Block 3 of the Silver Terrace Subdivision are
included in Ordinance No. 51-02. If passed, a public heating will be scheduled for
January 7, 2003.
ORDINANCE NO. 55-02: An ordinance amending Chapter 111, "Advertising" of
the City Code of Ordinances by enacting a new Section 111.18, "Distributing
Commercial and Non-Commercial Handbills in Public Places". If passed, a public
hearing will be scheduled for January 7, 2003.
COMMENTS AND INQUIRIES ON NON-AGENDA ITEMS.
A. City Manager
B. City Attorney
C. City Commission
POSTED: NOVEMBER 27, 2002
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NOVEMBER 19, 2002
A Regular Meeting of the City Commission of the City of Delray Beach, Florida,
was called to order by Mayor David W. Schmidt in the Commission Chambers at City Hall at
6:00 p.m., Tuesday, November 19, 2002.
1.~. Roll call showed:
Present -
Commissioner Jon Levinson
Commissioner Alberta McCarthy
Commissioner Jeff Perlman
Mayor David W. Schmidt
Absent -
Patricia Archer, City Commissioner
David T. Harden, City Manager
Also present were -
Robert A. Barcinski, Assistant City Manager
Susan A. Ruby, City Attorney
Barbara Garito, City Clerk
2. The opening prayer was delivered by Father Brian Horgan with St. Vincent Ferrer
Catholic Church.
The Pledge of Allegiance to the flag of the United States of America was given.
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AGENDA APPROVAL.
Mayor Schmidt stated he has a request to pull Item 8.K., Service Authorization
No.9/CH2M Hill~ Inc. from the Consent Agenda.
Mayor Schmidt noted the addition of Item 7.E., Presentation for the City of
Delray Beach Residents Academy Certificates to the Agenda by addendum.
Mayor Schmidt stated there is also a request to postpone Item 9.E., Resolution
No. 94-02 to a date certain of December 10, 2002.
Mr. Perlman requested that Item 8.I., Request for Proposal (RFP)/Swinton
Gardens be removed from the Consent Agenda and moved to the Regular Agenda as Item
9.A.A.
Mr. Levinson moved to approve the Agenda as amended, seconded by Ms.
McCarthy. Upon roll call the Commission voted as follows: Mr. Perlman - Yes; Mr. Levinson -
Yes; Ms. McCarthy - Yes; Mayor Schmidt - Yes. Said motion passed with a 4 to 0 vote.
5_. APPROVAL OF MINUTES:
Mayor Schmidt noted a correction to paragraph four on page 12 of the Minutes
from the Regular City Commission Meeting of November 5, 2002. This should read Mayor
Schmidt stated he does not support the idea of the CDD in any of the proposals.
Mr. Perlman moved to approve the Minutes of the Regular Meeting of November
5, 2002 as amended, seconded by Ms. McCarthy. Upon roll call the Commission voted as
follows: Mr. Levinson - Yes; Ms. McCarthy - Yes; Mayor Schmidt - Yes; Mr. Peflman - Yes.
Said motion passed with a 4 to 0 vote.
PROCLAMATIONS:
None.
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PRESENTATIONS:
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Government Finance Officers Association - Certificate of Achievement for
Excellence in Financial Reporting
Mayor Schmidt stated the Finance Department has received the Certificate of
Achievement for Excellence in Financial Reporting Award for fiscal year ending September 30,
2001 and noted that this is the 19th consecutive year the Finance Department has received this
award. Due to the absence of the Finance Director, the City Clerk accepted the award on his
behalf.
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Boca Raton Airport Authority - Ken Day
Bill Schwartz, former Commissioner and Chairman of the Boca Raton Advisory
Committee, stated as the City of Delray Beach's representative for the Boca Raton Airport he
informed everyone that the airport is on State land and it is a regional airport. Mr. Schwartz
introduced Ken Day, Airport Manager for the Boca Raton Airport, and briefly reviewed his
credentials. Russ Buck, Community Services Officer and Noise Compatibility Officer, assisted
Mr. Day with his presentation.
Ken Day, Airport Manager for the Boca Raton Airport Authority, gave a brief
presentation regarding the Boca Raton Airport Noise Program. Mr. Day stated to connect to
BCT Airport Monitor, log on to www.bocaairport.com for flight tracking and for a full screen
view of the BCT Airport Monitor go straight to www4.passur.com/bct.html.
Mr. Levinson stated he feels the website is great and congratulated Mr. Day. Mr.
Levinson stated the City needs to make sure the web address and the phone number are on the
City's site so that someone who is in the City site can click and get over to
www.4.passur.com/bct.html site. Mr. Levinson asked if Mr. Day can restrict new stage l's that
fly in and base there. In response, Mr. Day stated he will have a meeting in Washington on
Friday regarding the restriction of Stage 1 aircraft. Mr. Day stated the purpose of the meeting is
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to develop the scope in order to develop such procedures. Mr. Day continued to state that they
received a grant for a new monitoring system. This will be state of the art and is an $800,000
budgetary item which will eventually be on the website as well.
Mayor Schmidt thanked Mr. Day and stated he appreciates this new spirit of
cooperation from the Airport Authority recognizing that they are a regional airport with regional
impact.
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Elder Ready Task Force- Officer Skip Brown
Skip Brown, Officer/Volunteer Program (Police Department), stated the Elder
Ready Task Force for the City of Delray Beach ceases to exist in two days (November 21, 2002)
and therefore presented the first phase of the final project. Mr. Brown explained that by doing
this project he has learned there is a lot of information in reference to seniors that is not kept by
the City, County, or State. Mr. Brown stated this project is labeled as an assessment for
November 2002. The copy was sent to the Department of Elder Affairs in Tallahassee last week
and it will take approximately six weeks for them to review. At that point, the Department of
Elder Affairs will make any recommendations they have to the City and will contact the City
about Phase II of the project. Mr. Brown stated compiling all this information together for the
past year he would consider Delray Beach approximately 60% elder ready. Mr. Brown thanked
the following members of the Elder Ready Task Force:
Arthur Anderson
· Richard Evans
· Gerald Franciosa
· Alberta Gaum-Rickard
· Ivan Ladizinsky
· Phyllis Rosen
· Bern Ryan
· Karen Schell
· Jeanette Slavin
· James Smith
· Carolyn Zimmerman
· Skip Brown
Mayor Schmidt commented about the next step being that the State will make
recommendations on implementation and asked Mr. Brown to explain further. In response, Mr.
Brown stated just submitting the recommendations to Tallahassee the City of Delray Beach is
only designated as "Elder Friendly" and what the "Elder Ready" designation means is the State
of Florida will put Delray Beach on all their printed material saying to seniors throughout the
nation to come down.
Mayor Schmidt thanked Mr. Brown and the Elder Ready Task Force for all their
time and effort. In addition, Mayor Schmidt stated he looks forward to reviewing Mr. Brown's
assessment and understands this is something that has been needed for a long time in the
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community.
7.9.
Jefferson Manor Homeowners' Association - Delores Penn
Delores Penn, 1309 Lee Street, Delray Beach and President of the Jefferson
Manor Homeowners' Association, (located off Lake Ida Road just behind Pompey Park), stated
her community started in the early 50's and they finished the construction in the 1960's with
about 60 homes. Ms. Penn stated although they are not very proud of this they have succeeded
in not getting another church in their community. Ms. Penn stated they are getting rid of a half-
way house in their neighborhood. Currently, Ms. Penn stated they are in the process of doing
their 3ra annual block party and stated it is a good way for all the neighbors to meet one another.
Ms. Penn stated the Roots Cultural Festival came from the Jefferson Manor Homeowners' and
continues to this day. Ms. Penn stated they have also participated in "Paint up Delray". Ms.
Penn stated the association meets the first Monday of every month at Pompey Park at 7:00 p.m.
Ms. Penn stated the Police officers' have been very helpful to help with any drug problems that
they have had in the past and noted that to this point there has been no drag activity in their
neighborhood. Ms. Penn stated the Jefferson Manor Homeowners' Association will be
proposing that the City help with some kind of beautification for the stretch of road that leads
into their community because of the heavy traffic flow coming from Lake Ida Road onto
Roosevelt Avenue.
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City of Delray Beach Residents Academy Certificates
Lula Butler, Director of Community Improvement, stated she is pleased to present
the 3rd graduating class of the City of Delray Beach Residents Academy. Ms. Butler expressed
thanks to the elected officials and stated it is greatly appreciated that they take the time to attend.
Ms. Butler stated there was a suggestion from this class that a requirement be added that they
attend at least one Planning and Zoning Board Meeting and one City Commission Meeting.
Mayor Schmidt presented the following individuals with certificates:
· Kenneth D. Allen
· Greta Britt
· Anna Blangiardo
· Sandy Blovad
· Steven Carlino
· Irwin & Shirley Fields
· Kendra Graham
· Hank Higginbotham
· Stephen Lampel
· George Mavlios
· Eileen & Robert Marks
· Curt Manler
· Peter Perri
· Samuel Resnick
· Suzy Rusk
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· Karen Schell
Charlotte Schneider
Susanne Sobon
· Stacey Winick
· Scott Zubek
CONSENT AGENDA: City Manager Recommends Approval.
8.A. FINAL SUBDIVISION PLAT APPROVAL/PINE VIEW ESTATES:
Approve the subdivision plat for Pine View Estates, located north of N.W. 9th Street, between
N.W. 1st and N.W. 2ad Avenues.
8.B. RESOLUTION NO. 93-02: Approve Resolution No. 93-02 assessing costs for
action necessary to abate nuisances on twelve (12) properties throughout the City.
The caption of Resolution No. 93-02 is as follows:
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF
DELRAY BEACH, FLORIDA, PURSUANT TO CHAPTER 100 OF
THE CODE OF ORDINANCES OF THE CITY OF DELRAY BEACH,
ASSESSING COSTS FOR ABATING NUISANCES UPON CERTAIN
LAND(S) LOCATED WITHIN THE CITY OF DELRAY BEACH
AND PROVIDING THAT A NOTICE OF LIEN SHALL
ACCOMPANY THE NOTICE OF ASSESSMENT; SETTING OUT
ACTUAL COSTS INCURRED BY THE CITY TO ACCOMPLISH
SUCH ABATEMENT AND LEVYING THE COST OF SUCH
ABATEMENT OF NUISANCES; PROVIDING FOR AN EFFECTIVE
DATE AND FOR A DUE DATE AND INTEREST ON ASSESS-
MENTS; PROVIDING FOR THE RECORDING OF THIS
RESOLUTION, AND DECLARING SAID LEVY TO BE A LIEN
UPON THE SUBJECT PROPERTY FOR UNPAID ASSESSMENTS.
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(The official copy of Resolution No. 93-02 is on file in the City Clerk's office.)
ACCEPTANCE OF EASEMENT DEED/FOUNTAINS OF DELRAY
BEACH~ L.L.C.: Approve and accept an easement deed granting to the City the means to
install/maintain water and sanitary sewer lines to the Fountains of Delray Beach, a new retail
development, located at the southwest comer of Military Trail and the L-33 Canal.
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FLORIDA DEPARTMENT OF STATE/CONSTRUCTION GRANT
AGREEMENT: Approve an agreement between the City of Delray Beach and the Florida
Department of State, Division of Library and Information Services, for the Delray Beach Public
Library.
8.E. COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) SUB-
RECIPIENT FUNDING AGREEMENTS: Approve and authorize the execution of funding
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agreements with seven (7) sub-recipients (Alpha Time Children's Center, Community Child
Care Center, Community Neighborhood Helping, Fair Housing Center of Greater Palm Beaches,
Village Foundation, Palm Beach County Resource Center, and Urban League of Palm Beach
County) under the Community Development Block Grant (CDBG) program for FY 2002-2003,
with the total funding in the amount of $114,650.00 from various accounts within the CDBG
fund.
8.F. AMENDED SUB-RECIPIENT FUNDING AGREEMENTS: Approve the
amendments to the funding agreements with The Center for Technology, Enterprise and
Development, Inc. and the Delray Beach Community Development Corporation, Inc. under the
Community Development Block Grant (CDBG) program for FY 2002 to increase their
reinvestment commitment to $37,500.00 each.
8.G. SERVICE AUTHORIZATION NO. 16/MATHEWS CONSULTING, INC.:
Approve Service Authorization No. 16 to Mathews Consulting, Inc. for the preparation of a
City-wide Reclaimed Water Master Plan and design/permitting of engineering plans for
construction of reclaimed water mains in conjunction with Golf Course greens reconstruction
and irrigation rehabilitation project. Funding is available from 441-5181-536-31.90 (Other
Professional Services).
8..H. AGREEMENT/PLAYER'S INTERNATIONAL MANAGEMENT: Approve
an agreement between the City of Delray Beach and Player's International Management, Inc.
(PIM) in the amount of $20,000 per year for a term of five (5) years for the USTA 12's Super
National Spring Championships.
AMENDMENT NO. 6fMATCH POINT, INC. AGREEMENT:
Approve Amendment No. 6 to the agreement between City of Delray
Beach and Match Point, Inc. providing a waiver of exclusivity for office
space to the extent to allow Player's International Management, Inc. use of
the office during the five (5) year term of the agreement.
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THIS ITEM HAS BEEN MOVED TO THE REGULAR AGENDA AS
ITEM 9.A.A.
8.J. AMENDMENT NO. 1/BAKA ENTERPRISES OF FLORIDA, L.L.C.
LICENSE AGREEMENT: Approve Amendment No. 1 to the license agreement with BAKA
Enterprises, Inc. setting December 8, 2002 as a "Rain" date for the boxing event to be held at the
Tennis Center Stadium on December 7, 2002.
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THIS ITEM HAS BEEN PULLED FROM THE AGENDA.
REVIEW OF APPEALABLE LAND DEVELOPMENT BOARD ACTIONS:
8oL.
Accept the actions and decisions made by the Land Development Board for the period November
4, 2002 through November 15, 2002.
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AWARD OF BIDS AND CONTRACTS:
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None.
Mr. Perlman moved to approve the Consent Agenda as amended, seconded by
Ms. McCarthy. Upon roll call the Commission voted as follows: Ms. McCarthy - Yes; Mayor
Schmidt - Yes; Mr. Perlman - Yes; Mr. Levinson - Yes. Said motion passed with a 4 to 0 vote.
At this point, the Commission moved to Item 9.A.A. of the Regular Agenda.
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REGULAR AGENDA:
9.A.A. REQUEST FOR PROPOSAL (RFP)/SWINTON GARDENS: Approve the
RFP Review Team's recommendation of Randolph and Dewdney Construction, Inc. for the
construction of eleven (11) single family homes to be located in Swinton Gardens.
Mr. Peflman commented that he is happy to see a local construction company get
this opportunity. Mr. Peflman continued to state that while he is happy with the floor plans he
asked if the architecture for the entranceways can be enhanced a little. In response, Lula Butler,
Director of Community Improvement, stated staff will be recommending some minor changes
that will need to be made to help with the esthetics of the different elevations and thus giving it a
better appeal. Mrs. Butler stated staff expects to give the builder his notice to proceed within the
next two weeks and she is hopeful that most of the residents will be in their homes by the end of
June 2003.
Ms. McCarthy commented that she sent Mrs. Butler an email regarding the HOPE
Awards and feels this is a prime candidate for that particular award.
Mr. Perlman moved to approve the RFP Review Team's recommendation of
Randolph and Dewdney Construction, Inc. as the builder for the homes to be located in Swinton
Gardens, seconded by Ms. McCarthy. Upon roll call the Commission voted as follows: Mayor
Schmidt - Yes; Mr. Perlman - Yes; Mr. Levinson - Yes; Ms. McCarthy - Yes. Said motion
passed with a 4 to 0 vote.
9.A. APPEAL OF HISTORIC PRESERVATION BOARD DECISION: Consider
an appeal of a decision of the Historic Preservation Board's action regarding the existing
accessory structure located at 610 North Ocean Boulevard (Fontaine Fox House). (Quasi-
Judicial Hearing)
Mayor Schmidt read into the record a summary of how a quasi-judicial hearing is
conducted by the City of Delray Beach.
The City Clerk swore in those individuals who wished to give testimony on this
item.
Mayor Schmidt asked the Commission to disclose any ex parte contacts. Mayor
Schmidt stated he has given all written documentation to the City Clerk and he had a telephone
conversation with Jean Beer and also met with Mr. McKinney at the tree house to look at it. Mr.
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11/19/02
Peffman stated he has not had the opportunity to print out his emails but has listed the people and
will get this information to the City Clerk. Mr. Peflman stated he had telephone conversations
with Scott Christensen, Carolyn Zimmerman, Jean Beer, and Tom Lynch and had conversations
with Jay Alperin, John Weaver, and Bob Costin. Mr. Perlman stated he has also talked to the
following City staff: Paul Doffing, Lula Butler, and Jeff Costello. In addition, Mr. Peffman
stated he had telephone calls from Frank McKinney, a meeting with Frank McKinney, Nilsa
McKinney, and Rebecca Henderson. Mr. Levinson stated he has printed out his emails and will
deliver them to the City Clerk and also a list of the telephone conversations. Ms. McCarthy
stated she has forwarded all her emails to the City Attorney and she received a telephone call
from Scott Christensen and commented that she did speak with him. In addition Ms. McCarthy
stated she spoke to Paul Doffing, Lula Butler, Frank and Nilsa McKinney, and Rebecca
Henderson.
The City Attorney distributed copies of an email to the Commission she received
today outlining a proposal by Mr. McKinney.
Paul Doffing, Director of Planning and Zoning, entered the Planning and Zoning
Department Project file #2002-164 into the record.
The property is located approximately 900 feet south of George Bush Boulevard
between Andrews Avenue and N. Ocean Boulevard. The property contains a 1,184 square foot
cottage, which was constructed in 1936 of Florida cypress. Mr. Doffing stated it was inspired by
the trolley made famous in Fontaine Fox's "Toonerville Trolley" cartoon strips and the Cape
Cod style cottage is located on Lot 2. The lot also contains three outbuildings, one of which is a
free-standing "tree house". Sometime in the year 2001 the applicant constructed this free-
standing structure in front of the historic Fontaine Fox House. Mr. Doffing stated there were no
permits or prior HPB approval and the structure is more elaborate in detail than a typical tree
house being free-standing and is therefore considered an accessory structure which requires
Board approval. The free-standing structure is currently located east of the historic main
building and is supported by four large wood posts and contains a wood staircase that leads from
the ground level to the main entrance. It measures 10 feet x 12feet and is approximately 28 feet
high. The structure is built of frame construction with a wood shingle exterior intended to match
the extant historic home and displays a gable roof with wood shakes, a balcony, electricity, and
plumbing and is connected to the main dwelling via a rope bridge. After the construction the
applicant sought a Certificate of Appropriateness (COA) from the Historic Preservation Board.
At its meeting of June 5, 2002, the HPB considered the application at which time
it was tabled with a request to provide some as-built plans. The item returned for HPB
consideration at their September 4, 2002 meeting.
Mr. Doffing stated while this facility may be visibly compatible with respect to
design and material, the Board found it was not with respect to scale, massing, or location. The
Board also found that it did not meet the criteria of the Secretary of the Interior Standards nor
was it consistent with Comprehensive Plan Policy A-10, A-10.1 of the Housing Element which
requires it to be consistent with Section 4.5.1(E)(4), 4.5.1(E)(7), 4.5.1(E)(8)(a-k), of which it is
not. Mr. Doffing stated it was also found to be inconsistent with Objective C-l, Coastal
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11/19/02
Management Element in the City's Comprehensive Plan.
At this point, Mr. Dorling stated one of the items was brought up during the
review at the HPB Meeting by the applicant's attorney was that John Volk often provides
significant structures in front of his other historic homes. Mr. Dorling entered into the record an
email that City staff received from Amy Groover Streelman who is the Senior Architectural
Historian for Janus Research along with her r6sum6 (the email contains a rebuttal made at the
HPB Meeting by the applicant's attorney).
Wendy Shay, Historic Preservation Planner, entered into the record the Secretary
of the Interior's Standards for Rehabilitation and Illustrated Guidelines established by the United
States Department of the Interior for rehabilitating historic structures and explained that these are
guidelines used by the State as well as local governments. Ms. Shay stated there could not be
positive findings with regard to scale, height, orientation, and location and because of this the
Board could not support the current location of the accessory structure.
In summary, Mr. Dorling reiterated that at its meeting of September 4, 2002, HPB
did deny the COA for this project based upon the failure to find positive findings with respect to
LDR Section 4.5.1.(E)(4), (E)(7), & (E)(8), Objectives and Policies of the Comprehensive Plan
and the Secretary of the Interior's Standards for rehabilitation.
Rebecca Henderson, Attorney representing the applicant~ explained that this
is a tree house which is located near the historic property but is not attached to it and in no way
destroys it. Ms. Henderson stated the tree house cannot be seen from any surrounding property
and is completely contained within the McKinney residence. Ms. Henderson presented photos to
the Commission of the tree house showing where the trees actually grow through the tree house.
Mayor Schmidt declared the public hearing open.
Kevin Warner~ 248 Venetian Drivel Delray Beach~ stated he does not feel this
will detract from the overall importance of this property as an historic asset and feels the
Commission should take this into consideration when making their decision. Mr. Warner stated
he does not feel the slightest intrusion of the tree house in terms of being able to appreciate the
historic aspects of this main dwelling.
Ruth Ann Kuehn (unable to obtain address), stated she was unaware that
Fontaine Fox's house was in Delray Beach until she read an article in the newspaper about the
tree house. Ms. Kuehn stated she feels that the City has gotten so much publicity out of this that
the tree house should stay where it is because people might come to see the tree house and the
Fontaine Fox house.
Mary Lou Jamison, Chairperson of the Historic Preservation Board, stated
the Board based their rulings on the City's guidelines and therefore urges the Commission to
uphold the City's Historic Preservation guidelines.
Clemence Buleer, friend of the applicant (unable to obtain address), stated he
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11/19/02
feels guidelines are meant to "guide" not "rule". Mr. Bulger stated he does not feel the tree
house should be ruled away because it is not really attached to the home and does not change the
public view about Delray Beach.
Jean Beer, 2145 S.W. 26t~ Terrace~ Delray Beach, urged the Commission to
support the Historic Preservation Board's decision. Mrs. Beer stated there is a lot of talk about
how the tree house cannot be seen and feels the question is really whether or not the tree house is
or is not compatible and consistent and how will this affect other decisions of historic property.
Carolyn Zimmerman~ 212 S.W. 2nd Avenue, Delray Beach, stated a contractor
is supposed to know to obtain permits and get permission to do things. Ms. Zimmerman
expressed concern over setting a precedent that residents can do anything they want since the
City allowed a contractor to get away with doing his thing. Furthermore, Ms. Zimmerman urged
the Commission to do what is right for Delray Beach.
Alice Finst, 707 Place Tavant, Delray Beach, stated when this property was
originally approved as a historic preservation activity for the City of Delray Beach she was part
of the Historic Preservation Board that made the approval and emphasized that the Board never
considered that this property would be hidden from public view. Mrs. Finst stated everyone is
relying on foliage and in the event of a hurricane the foliage may not be there. Mrs. Finst
continued to state that the tree house detracts from the historic building and the Board approved
the historic building as part of the preservation program. Mrs. Finst urged the Commission to
honor the Boards decision from almost 20 years ago and feels this should stay the way it was
approved.
John Bennett, President of Progressive Residents of Delray (PROD) and
speaking on behalf of the organization by authorization of the Board of Directors~ urged the
Commission to support the recommendation of the expert planner and the unanimous decision of
HPB and deny the appeal.
Mr. Bennett stated he was on the grassy area east of A-1-A with his dog and
stated the accessory structure is readily visible as is a small portion of the original historic
dwelling. Second, during consideration of the request from the applicant for increased number
of building lots on the rest of this property that the Fontaine Fox house was not designed by Volk
according to the applicant. Mr. Bennett read an advertisement describing 610 N. Ocean
Boulevard (the current structure) "designed by John Volk" and the adjacent house as "an
authentic John Volk design home" (622 N. Ocean Boulevard). Mr. Bennett stated pursuant to
LDR Section 1.4.4(A) provides that "Any person who violates these Regulations, or fails to
comply with any of its requirements, shall upon conviction thereof, be fined not more than $500
and/or imprisonment for up to 60 days or both, and shall pay all costs and expenses involved in
the case. Each day such violation continues shall be considered a separate offense." Mr. Bennett
stated aside from any building permits the failure to have a Certificate of Appropriateness could
add up. Mr. Bennett stated this is mainly the rule of law and commented that this is very
important public interest. Furthermore, Mr. Bennett noted there are rules and regulations to be
followed and feels the applicants took a risk.
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11/19/02
Mr. Bennett stated that HPB was told that the tree house was very carefully
picked out from the cartoon to match a clubhouse in the cartoon. Mr. Bennett stated the agent
also claimed that this was something that just started small and grew out of proportion.
For the record, Mr. Bennett entered the pertinent reports of the pleading and the
advertisements in question.
Gerry Franciosa~ 939 Eve Street~ Delray Beach~ stated it appears that everyone
agrees that this is a tree house and read a magazine article dated August 2002 into the record.
Monty Helm~ 1221 Harbor DriveI Delra,y Beach~ stated this piece of property is
a historically designated site and strongly opposes the appeal. Mr. Helm stated he finds this
situation disturbing and asked if it is a beginning of more to come. Mr. Helm commented that
there are very few pieces of property in Delray Beach that are worth saving and/or preserving.
Mr. Helm stated the applicant was fully aware that the property was a historically designated
piece of ground when the property was purchased. Mr. Helm stated now a tree house has been
added to the property which he feels should not have been done and stated the applicant is also
trying to have this property subdivided in order to develop.
There being no one else from the public who wished to address the Commission
regarding the appeal, the public hearing was closed.
Rebecca Henderson stated this property has been around since 1936 and stated the
site plan which Mr. Dorling presented showed three buildings that were historic on this site and
the remainder is all new. Ms. Henderson stated that the Secretary of Interior Standards
recognizes that historic structures can be modified to accommodate new property owners. Ms.
Henderson stated one of the ways this has been made harmonious with the community is
buffering which is a concept which is well accepted in the LDR's. Ms. Henderson stated the
buffering was already there and the applicant has offered to leave the buffering. Ms. Henderson
reviewed the conditions that the applicant has offered that they believe would meet some of
Historic Preservation Board's concerns. Ms. Henderson stated (1) deed restriction requiring the
vegetation to remain and if it were destroyed knowingly and intentionally by the owner that the
tree house be removed in a reasonable amount of time, (2) If the vegetation (sea grapes) was
destroyed otherwise that the property owner be required to replace it or allow it to grow
(whichever would be the quickest in a reasonable amount of time), and (3) If the tree house itself
was destroyed by hazard or by a hurricane that it not be replaced but if it were destroyed by an
intentional act that it be allowed to be replaced and that the existing supports be painted to match
the tree trunk. Ms. Henderson believes this would make the structure even more compatible.
Frank McKinne¥~ 610 N. Ocean Boulevard (applicant)~ stated he built what
has always been a childhood dream of his and a playhouse for his daughter. Mr. McKinney
stated he took great pride in the manner in which the tree house was constructed in keeping with
the main house using old Fontaine Fox cartoon books for design reference. Mr. McKinney
apologized to the Commission and City staff in the Building Department for putting them in an
uncomfortable position. Mr. McKinney stated while he is here for appeal of only those items
found in the HPB recommendation, he hopes that the submittal of the plans and permanent
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11/19/02
application show his intent.
Mayor Schmidt stated the applicants have suggested the following alternative "If
the vegetation is removed or reduced in height other than voluntarily and knowingly by the
owner, that the owner be permitted to replace and/or re-grow the vegetation in a reasonable
period of time." Mayor Schmidt stated staff's recommendation is that if the Commission is to
consider that condition that the language be changed to state "If the vegetation were removed,
trimmed, damaged by storm, etc. to an extent that would make the tree house and/or main
structure visible from the property line, the tree house/accessory structure would be removed."
Mayor Schmidt inquired if this language is acceptable to the applicants.
Brief discussion followed between Mayor Schmidt, Ms. Henderson, and staff.
Mr. Perlman asked Ms. Shay to address concerns regarding scale and massing.
Ms. Shay stated the issue is the size of the structure and its relationship to the main dwelling.
Ms. Shay stated this is an independent structure that is 28 feet high in front of the two-story
structure. Ms. Shay continued to state that in the City's LDR Section 4.5.1(E)(4), (E)(7), and
(E)(8) the issue is visual compatibility, height, scale, massing, and some reference is made to
location as well. Ms. Shay stated the Board made their decision based on the LDR's and was not
just based on the fact that staff tried to use those guidelines in preservation.
Mayor Schmidt stated he would support some sort of compromise along the lines of
what has been presented by the applicant. Mayor Schmidt stated he requested staff to research if
the City has ever had any structures demolished after they were built because of the failure to get
a COA or a building permit. Mayor Schmidt stated staff has found two instances going back
approximately 13 years and read into the record the response from staff (also entered this into the
record). Mayor Schmidt feels the City would be setting a precedent if we require a removal of
the building given our record in the past and therefore he will not support that this evening.
Mr. Levinson stated he supports HPB and believes the accessory structure is
incompatible.
Mr. Perlman stated he sees this as three issues (1) the importance of the City's rules,
(2) the integrity of the Historic Preservation efforts, and (3) this Commission and past
Commission's ability to make decisions that respect Delray's uniqueness and longstanding
policy to try to strive for consensus and to find common ground where possible. Mr. Perlman
suggested this may be something that the Commission may want to remand back to HPB to see if
they can come up with a workable solution and if they cannot do it then he would support HPB.
Ms. McCarthy stated she appreciates what the position of the HPB is supposed to be
and the guidance they are supposed to give to the Commission. Ms. McCarthy stated she
believes the Volk house is just as important in the City of Delray Beach as the old original Perish
house or another historic home that she sited down on Swinton Avenue and S.W. l0th Street
which she has not seen come forward on an agenda. Ms. McCarthy stated she is very disturbed
to see that approximately five homes in the West Settlers area have been demolished and that
HPB did not fight for those homes. Ms. McCarthy stated she strongly believes in equality for all
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11/19/02
people and feels all historic homes should be treated the same. As a layperson and a real estate
licensee, Ms. McCarthy stated she feels it does not appear to be offensive to the structure that is
already designated historic. Ms. McCarthy stated she is in favor of this tree house being
preserved within the tree with some type of compromise. Furthermore, Ms. McCarthy stated she
does not believe because you can see the A-Frame at the top from standing on the beach on a hill
or your tip toes that it distracts from the structure. Ms. McCarthy stated the sea grapes are a
protected entity. Ms. McCarthy stated the tree house is not an addition to the house and does not
touch the house. Ms. McCarthy stated most of the discussions this evening were about the
remodeling of a historic structure and she does not see this being done and sees this as a tree
house. With regard to the size being out of perspective in comparison to the volume that the
house takes up, Ms. McCarthy stated she has not heard any guidelines that say what that volume
is supposed to be and does not see this as a distraction. In summary, Ms. McCarthy supports
keeping the tree house in the tree and leaving it in its current location.
Brief discussion followed between Mayor Schmidt and the City Attorney with
regard to sending this back to HPB to find a compromise.
Mr. Perlman moved to approve asking HPB and staff to try and negotiate a
settlement on a particular COA and what impact they think after-the-fact requests for a COA will
have on the future improvements to historic properties, seconded by Ms. McCarthy.
Prior to the vote, Ms. McCarthy stated the reason she seconded the motion made by
Mr. Perlman is because although she does not agree with all the decisions that HPB has made in
other areas of the City, them are many things they have done that she applauds them for. Ms.
McCarthy stated she would like HPB to have the opportunity to review these compromises.
Ms. Henderson stated those conditions were discussed with the Board and the
applicant would like to see some resolution to this now. Therefore, Ms. Henderson stated the
applicant cannot come up with any other compromise to present to HPB.
Mr. Perlman withdrew his first motion.
Mr. Peflman moved to deny the appeal of the Historic Preservation Board's action
regarding the existing accessory structure located at 610 N. Ocean Boulevard, seconded by Mr.
Levinson. Upon roll call the Commission voted as follows: Mr. Peflman - Yes; Mr. Levinson -
Yes; Ms. McCarthy - No; Mayor Schmidt - No. Said motion to deny the appeal failed based on
a tie vote (2 to 2), upholding the Historic Preservation Board's decision.
At this point, the time being 8:15 p.m. the City Commission took a short break.
The time being 8:20 the City Commission reconvened and moved to Item 9.B. of
the Regular Agenda.
9.B. REQUEST TO REDUCE LOT AREA/LOT FRONTAGE WIDTH/S.E.
O'NEAL PLAT:
Consider a request to
reduce the total lot area and lot frontage width
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11/19/02
requirements in conjunction with the proposed plat for an extant historic property known as S.E.
O'Neal Plat, located on the west side of N.E. 2nd Avenue, between N.E. 9th Street and N.E. l0th
Street. (Quasi-Judicial Hearing)
Mayor Schmidt read into the record a summary of how a quasi-judicial hearing is
conducted by the City of Delray Beach.
The City Clerk swore in those individuals who wished to give testimony on this
Mayor Schmidt asked the Commission to disclose any ex parte contacts. No ex
parte contacts were disclosed.
Paul Doffing, Director of Planning and Zoning, entered the Planning and Zoning
Department project file #2002-398 into the record.
The property currently consists of five lots with Lot 3 containing the historically
designated O'Neal House, which is a two-story dwelling and a one-story detached garage,
constructed in 1926. The garage also contains a 400 square foot frame shed addition that is
structurally unstable and demolition is proposed (previously approved by HPB on November 6,
2002). The proposed plat will reconfigure five lots into three, fee-simple, single-family detached
lots with the retention of the historic house.
The proposed plat requires waivers to the LDR Section 4.3.4 for reduction lot
frontage/width from 75 feet to 60 feet, and lot size from 9,500 square feet to 9,368 square feet
for the proposed Lots 1 and 3 and the lot size from 9,500 to 6,000 square feet for the proposed
Lot 2.
Mr. Dorling stated required findings are made in the Planning and Zoning Staff
Report with respect to Section 3.1.1 and Section 3.2.3 and therefore staff recommends approval
of both the plat and the waivers.
Mayor Schmidt expressed concern that this development has a number of
significant mature trees and he would not like to see these trees leveled so that houses could be
built. Mayor Schmidt entered a memo into the record from Nancy Davila, City Horticulturist.
Jack Frvsin~,er, 419 S.E. 4th Avenue~ Delra¥ Beach {applicant), stated he
believes the specimen trees are all outside of the permitted building lines. Furthermore, Mr.
Frysinger stated when they started with this project he was informed by staff that the house be
declared historic if in fact it is historic. Mr. Frysinger stated the entire five lots have been
declared historic so therefore he believes they fall under the control of HPB. Mr. Frysinger
stated he would like to see the trees saved.
Mr. Doffing stated HPB does not control the removal of vegetation but they could
consider that in their approval process as a condition of approval.
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11/19/02
Brief discussion by the applicant, staff, and the Commission followed.
Mr. Doffing stated Commission could direct staff that these trees be restored and
be a part of the review process.
Mayor Schmidt suggested that the Commission give direction to both the Historic
Preservation Board and to the City Horticulturist to save as many of the significant trees in the
development of the property as possible.
Wendy Shay~ Historic Preservation Planner~ stated the site plan approval will
need to come through her prior to going to HPB for review and commented she would be more
than happy to work with the City Horticulturist to set up retention of the trees as a condition of
approval.
Ms. McCarthy stated she has found this particular builder to be very responsible
and responsive to things that the City has asked and requested.
Mayor Schmidt declared the public hearing open.
Mary Lou ~lamison~ 515 N. Swinton Avenue (Chairperson for HPB), urged the
Commission for their support with regard to this matter.
There being no one else from the public who wished to give testimony regarding
the request and therefore the public was closed.
Ms. McCarthy moved to approve the request with direction to both the Historic
Preservation Board and the City Horticulturist that as many of the significant trees be saved in
the development of the property as possible, seconded by Mr. Perlman. Upon roll call the
Commission voted as follows: Mr. Levinson - Yes; Ms. McCarthy - Yes; Mayor Schmidt -
Yes; Mr. Perlman - Yes. Said motion passed with a 4 to 0 vote.
9.C. REQUEST FOR FUNDING/PERFECT RESULTS~ INC.: Consider a request
from Perfect Results, Inc. for financial support in the amount of $10,000.00 for the C. Spencer
Pompey Tribute Video.
Mayor Schmidt stated it appears that Jane Bassa Tolliver with Perfect Results,
Inc. is asking the City to fund the entire budget for this. Mayor Schmidt stated if the City
granted the request and gave her $10,000 this would be more than the entire discretionary budget
for the entire year. Mayor Schmidt asked Ms. Tolliver what other organizations, if any, she has
sought funding from in addition to the City. In response, Ms. Tolliver stated she did not seek
any additional funding. However, Ms. Tolliver stated last year Commissioner Addie Greene
contributed $15,000 to their budget for what was supposed to be co-sponsorship for the video
itself. Ms. Tolliver stated because of other commitments that were not honored, they ended up
utilizing a portion of that budget instead of using it as money for the video itself for the
reception.
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11/19/02
Ms. Tolliver stated a video of the magnitude of the one that was produced in
honor of C. Spencer Pompey including the archival footage and the licensing agreements and
other archival facilities, the video alone would have been approximately $15,000-$35,000. Ms.
Tolliver stated because of the interest from the community they felt if they could receive
additional funding it would help them finish the video since the video is not complete ($5,000).
Ms. Tolliver stated the other fees requested would be the catering for the three receptions, which
would be held at the Delray Beach Library, Carver Middle School, and Old School Square,
which would all take place in February 2003. In addition, Ms. Tolliver stated there was also the
proposal to add a photo exhibit.
Ms. McCarthy commented that the City has events throughout the year and the
events that were cast for this next fiscal year have already been approved and budgeted for and
this request has not been budgeted for. Ms. McCarthy stated she would like to recommend that
we do not move on this item so that staff can work with Ms. Tolliver so that it can be put in the
proper budget format and then that it be brought back to the Commission so the Commission will
have time to address it.
Ms. McCarthy moved approval to table this item so that it can be put in the
proper budget format, seconded by Mr. Levinson. Upon roll call the Commission voted as
follows: Ms. McCarthy - Yes; Mayor Schmidt - Yes; Mr. Perlman - Yes; Mr. Levinson - Yes.
Said motion to table passed with a 4 to 0 vote.
9.D. APPOINTMENT TO THE EDUCATION BOARD: Appoint one (1) regular
member to the Education Board to fill an unexpired term ending July 31, 2004. Based on the
rotation system, the appointment will be made by Commissioner Perlman (Seat gl).
Mr. Perlman moved to appoint Diane Allerdyce as a regular member to the
Education Board to fill an unexpired term ending July 31, 2004, seconded by Ms. McCarthy.
Upon roll call the Commission voted as follows: Mayor Schmidt - Yes; Mr. Perlman - Yes; Mr.
Levinson - Yes; Ms. McCarthy - Yes. Said motion passed with a 4 to 0 vote.
9.E. RESOLUTION NO. 94-02: Consider approval of Resolution No. 94-02
authorizing the acquisition of property by eminent domain for parking purposes.
The caption of Resolution No. 94-02 is as follows:
A RESOLUTION OF THE CITY COMMISSION OF THE
CITY OF DELRAY BEACH, FLORIDA, AUTHORIZING
AND DIRECTING THE ACQUISITION OF FEE SIMPLE
TITLE TO CERTAIN REAL PROPERTY HEREAFFER
DESCRIBED FOR THE PUBLIC PURPOSE OF CLEARING
TITLE TO THE SUBJECT PROPERTY, FOR PROVIDING
PUBLIC PARKING IN DOWNTOWN DELRAY BEACH
AND FOR STIMULATING ECONOMIC DEVELOPMENT IN
THE DOWNTOWN AREA OF THE CITY OF DELRAY
BEACH; DECLARING THAT THE ACQUISITION OF THE
PROPERTY IS NECESSARY FOR SAID PUBLIC PURPOSE;
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11/19/02
AUTHORIZING THE HIRING OF LEGAL COUNSEL,
APPRAISERS, AND EXPERTS IN OTHER DISCIPLINES
AND THE FILING OF EMINENT DOMAIN PROCEEDINGS
PURSUANT TO CHAPTERS 73 AND 74, FLORIDA
STATUTES; PROVIDING AN EFFECTIVE DATE; AND FOR
OTHER PURPOSES.
(The official copy of Resolution No. 94-02 is on file in the City Clerk's office.)
This item has been postponed to a date certain of December 10, 2002.
PUBLIC HEARINGS:
None.
At this point, the Commission moved to Item 11, Comments and Inquiries on
Non-Agenda items from the City Manager and the Public.
ll.A.
City Manager's response to prior public comments and inquiries.
ll.B.
From the Public.
ll.A.
City Manager's response to prior public comments and inquiries.
Robert A. Barcinski, Acting City Manager, had no response to prior public
comments and inquiries.
ll.B.
From the Public.
ll.B.1. Jean Beer~ 2145 S.W. 26th Terrace~ Delray Beach, complimented Officer Skip
Brown and the Elder Ready Task Force.
Mrs. Beer stated she appreciates Mayor Schmidt and the Finance Director for
thoroughly addressing the Parks Bond Issue at the PROD Meeting. Mrs. Beer stated a bond
issue adds to the millage and commented for some people particularly retirees $70 a year is a lot
of money. Mrs. Beer feels it is very easy to say "everything we do raises the value of your
home" and stated it could be a potential problem for someone if they cannot sell their home and
buy another one with the taxes being less. Furthermore, Mrs. Beer urged the Commission that
when they look at something that is going to raise the millage rate, to take into consideration that
there are a lot of people in the community who are barely making ends meet and cannot afford to
pay more.
Mrs. Beer stated she is delighted to see the house on the southeast comer of S.W.
l0th Avenue and S.W. 10th Street has been tom down. Mrs. Beer stated there is a huge track of
vacant property and feels this is something that should be brought to the attention of Lula Butler,
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11/19/02
Director of Community Improvement and to the homeowners' association in this area so that
they can work together to get something really good on this comer.
ll.B.2. Steve Carlino, owner of AIM Mail Center, 255 N.E. 2nd Avenue, Delray
Beach~ expressed concern over the Post Office being transferred to a private enterprise. Mr.
Carlino stated he started his business on October 14, 2002, and is located diagonally across from
the Post Office. Mr. Carlino expressed concern over the CPU (Contracted Postal Unit) in place
of the Post Office and explained that a CPU is private enterprise and they are allowed to expand
and change with the permission of the Post Office. He is concerned that these people may not
follow the current CPU contract. Mr. Carlino stated his facility allows for expansion and
currently has 160 free standing mailboxes. Mr. Carlino stated his facility will help Pineapple
Grove and stated the CPU has been presented to a number of people around town and none of the
businesses that were approached found it to be cost effective. Mr. Carlino requested that the
Commission reconsider providing a subsidy to a private entity.
ll.B.3. Gerry Franciosa, 939 Eve Street, Delray Beach~ apologized for breaking the
rules at the last City Commission Meeting and commented he will abide by the rules from now
on.
12....:
FIRST READINGS:
None.
13.
Comments and Inquiries on Non-Agenda Items.
13.A. City Manager.
Robert A. Barcinski, Acting City Manager, had no comments or inquiries on non-
agenda items.
13.B. City Attorney.
The City Attorney had no comments or inquiries on non-agenda items.
13.C.
City Commission.
13.C.1.
Commissioner Perlman
Mr. Perlman stated several months ago when the Commission was reviewing
ordinances for the sober houses he envisioned some kind of Summit Meeting with everyone
involved. Mr. Perlman stated he believes the Drug Task Force took over but he is not sure where
the effort is and feels this is important enough to make a priority.
Mayor Schmidt stated Commissioner Archer is the Chair for the Drug Task Force
and suggested that she give the Commission an update at the next meeting since she is not
present this evening.
-18-
11/19/02
With regard to comments expressed by Mr. Carlino, Mr. Peflman stated he was
under the assumption that Mr. Weiss had Board support to save the Post Office and he was
thrown by the Board voting against their providing subsidy. Mr. Perlman stated he has a
problem with subsidizing after year one especially since the business district that they are trying
to benefit does not want to "step to the plate" with their own funds. Mr. Perlman suggested that
the Commission obtain more information from the Pineapple Grove Executive Committee.
Mr. Peflman stated he spoke to the General Manager of the Marriott earlier in the
week who informed him that the hotel received 1,000 room nights from the filming of the Bad
Boys II movie and commented that it really helped them through the month of September.
13.C.2.
Mayor Schmidt
With regard to comments expressed by Mrs. Beer, Mayor Schmidt stated he spoke
at PROD this morning with Joe Safford, Director of Finance and Joe Weldon, Director of Parks
and Recreation and had been asked to make a presentation on the proposed Parks Bond Issue
thinking in anticipation that it would be on the March 2003 ballot. Mayor Schmidt stated he
hopes he made it clear this morning that the Commission has not made any decisions on what
they are going to do. Since the Commission has been asked to discuss it, Mayor Schmidt stated
he presented it as here is the list of items and here is the estimated cost. Mayor Schmidt stated if
the City did a bond issue for all of these items at these estimates this is what it would cost.
Mayor Schmidt stated there was a list given to the Commission as part of the Capital
Improvement Project budget process and at that time the Commission decided that they would
probably need to have a separate Workshop Meeting on this in order to get information
prioritized and see whether or not the Commission may want to move forward or not.
Furthermore, Mayor Schmidt stated the total cost is approximately $18.5 million.
Secondly, Mayor Schmidt stated he was very pleased to get a letter from the City
Manager of Moshi, Tanzania and they have entered into a Sister City with Miyazu, Japan.
Mayor Schmidt stated he is glad to see this relationship moving forward after their meeting here.
13.C.3.
Commissioner McCarthy
Ms. McCarthy stated a few meetings ago she thanked everyone for their help and
cooperation when the City hosted the Palm Beach County Black Elected Officials' Annual Gala
held at the Marriott Hotel. Ms. McCarthy stated she has found out since that time that there are
Commissioners of neighboring counties who have now turned around and are booking the
Marriott Hotel for family reunions in bringing large families to the City. Ms. McCarthy stated
Robert A. Barcinski, Assistant City Manager, has been working with her diligently through
Tracey Sweeney, Executive Assistant and they made a presentation in Broward County to get a
breakout session for approximately 900 attendees to the 20th Anniversary for the National Forum
for Black Public Administrators throughout the United States. Ms. McCarthy stated they
received word this week that they won that breakout session and thus these attendees will be here
in Delray Beach. Ms. McCarthy stated they are staying in Fort Lauderdale and will come to
-19-
11/19/02
Delray Beach on April 28, 2003. Ms. McCarthy commended and applauded Mr. Barcinski and
Tracey Sweeney for all their hard work.
13.C.4. Commissioner Levinson
Mr. Levinson commented about the letter sent to Coral Trace with some offers to
settle and inquired if the City has heard back from their attorney. In response, the City Attorney
stated the City has not yet heard back from the attorney representing Coral Trace.
Secondly, Mr. Levinson congratulated the Atlantic High School football team for
winning 11 consecutive football games and making it to the play-offs. Mr. Lcvinson suggested
that something be done to recognize the team for making it this far.
Mr. Levinson stated hopefully the shuttle which has been delayed twice before
will actually get off the ground Friday evening (November 22nd).
Mr. Levinson suggested that the Commission recognize Vince Canning Shoes for
their $0th anniversary.
There being no further business, Mayor Schmidt declared the meeting adjourned
at 9:20 p.m.
City Clerk
ATTEST:
MAYOR
The undersigned is the City Clerk of the City of Delray Beach, Florida, and the information
provided herein is the Minutes of the Regular City Commission Meeting held on November 19,
2002, which Minutes were formally approved and adopted by the City Commission on
-20-
City Clerk
11/19/02
NOTE TO READER:
If the Minutes you have received are not completed as indicated above, this means they are not
the official Minutes of the City Commission. They will become the official Minutes only after
review and approval which may involve some amendments, additions or deletions as set forth
above.
-21-
11/19/02
TO:
THRU:
FROM:
SUBJECT:
~ECEIVED
2 5 2.001.
C~TY MANAGER
SCOTT PAPE, SENIOR PLANNER
MEETING OF DECEMBER 3, 2002
SITE PLAN REVIEW AND APPEARANCE BOARD AWARD RECOGNITION
PROGRAM
The Site Plan Review and Appearance Board (SPRAB) is conducting its 11th annual Award Recognition
Program. The awards are given to those property owners and their design teams who have significantly
contributed to the beauty of the community through creative design or renovations to existing properties.
Eligible projects are those that were approved by the Board, and received a Certificate of Occupancy
during the previous fiscal year (October 1, 2001 - September 30, 2002). The SPRAB awards will be
presented to the recipients mentioned below at the City Commission meeting.
This year's design categories and recipients include:
NEW COMMERCIAL DEVELOPMENT
Autobahn Motors
Autobahn Motors, Inc. (Owner)
Eliopoulos and Associates, Inc. (Architect)
Dave Bodker Landscape Architecture and
Planning (Landscape Architect)
PRIVATE COMMUNITY FACILITY
MULTIPLE FAMILY RESIDENTIAL
DEDEVELOPMENT
Co-Winners:
The Estuary
Porten Companies (Owner)
Robert G. Currie Partnership (Architect)
Jerry Turner & Associates (Landscape Architect)
Morton Downey Family Resource Center
Community Child Care Center of Delray Beach
(Owner)
), Robert G. Currie Partnership (Architect)
~, Dave Bodker Landscape Architecture and
Planning (Landscape Architect)
Ocean Hammock
Ironwood Properties, Inc. (Owner)
Rustem Kupi (Architect)
Mucciolo Design (Landscape Architect)
EXTERIOR RENOVATIONS
NEW INDUSTRIAL DEVELOPMENT
Co-Winners:
SOPRA Restaurant
TD1 Restaurant (Owner)
Robert G. Currie Partnership (Architect)
Just Tiles and Marble
CMSI (Owner)
JMS Design, Inc. (Architect)
Butterfly Landscaping, Inc. (Landscape Architect)
Zenith Commerce Center
D.P.O.C. Associates Ltd. (Owner)
Kenneth Carlson (Architect)
Kevin E. Holler (Landscape Architect)
WALL SIGNAGE
Longhorn Steak House
> Longhorn Steak House (Owner)
~, Art Sign Co., Inc. (Contractor)
FREESTANDING SIGNAGE
Delray Bay Apartments
>' Olen Communities, Inc. (Owner)
> McNeill Signs, Inc. (Contractor)
I:IT¥ KIEl. RI:IV
DELRAY BEACH
AII-AmedcaCity
1993
2001
300 N.W 1st AVENUE
Memorandum
DELRAY BEACH, FLORIDA 33444
561/243-7000
To'
From:
Thru:
Subject:
City Manager--David Harden
Director of Out of School Progra~,To~ya Smith
Director of Parks and Recreation--~oe Weldon
After School Program Presentation
Date: 11/21/02
I would h~kc to have thc oppommity for our After School Program children to present to
City Commission on December 3, 2002 winners from a contest we held on "All About
Me". The selected winners are from three sites, Pine Grove Elementary., Community
Center, and Pompey Park.
Grade K--1 participated in the Coloring Coritest. Grade 2--3 participated in the Drawing
Contest. Grade 4--5 participated in the Essay Contest. We would like to present the
C/ty Commission with a copy of our newsletters featuring these essays and display the
drawing on a board, or on the walls of the Commission Chambers. We have
Departmental certificates I hope the Mayor would be willing to present to the children.
We also would like to introduce our Out of School Advisory Board members for the
Out of School Program. They help review and suggest new ideas to enhance the Out of
School Program.
I strongly believe acknowledging the efforts of these children will encourage them to
learn and develop ideas about their role as citizens in our community and the world at
large.
I greatly appreciate your attention. Thank you.
S thu / ·
Director of Out ~)School Program
THE EFFORT ALWAYS MATTERS
Pnnted on Recycled Paper
DELRAY BEACH
Delray Beach Parks & Recreation
Out School Program
Essay Contest Winner
November 2002
Community Center
Valeria Mandujano
Jim Loscielle
Rudy Con&
Jeremy Morris
Pine Grove
Jasmine Smith
Carmeron Lewis
Marlo Aparicio
Dinashell Noel
Drawing Contest Winners:
Community Center Pine Grove
Pompey Park
Aridly Thelismon
Tatyona Evans
Riana Towsend
Desmond Phillips
Pompey Park
Travon Campbell
Kayla Thomas
Andres Aguirre
Kadesha Baker
Fabiana Damisse
Todney Evans
Kenisha Brown
Kiesha Odom
Rejene Gabriel
Coloring Contest Winners:
Community Center
Brian Welch
Alexis Mendoza
Mariariette Rolon
Pine Grove
Frank Barker
Francisca Dieubon
Ariel Rolle
Pompey Park
Kaisja Evans
Alexandria Fenelon
Ariel Cherry
Date: Nov. 21~ 2002
AGENDA REQUEST
Request to be placed on:
Consent Agenda , × Regular Agenda
1Vhen: Dec. 3, 2002
Workshop Agenda Special Agenda
Description of Agenda Item (who, what, where, how much): Request approval
present to City Commission the winners of the "All About Me" contest, a copy of
newsletter featuring the essays and drawings and introduce the Out of School
Advisory Board members.
to
the
Department Head~ _k ~'~ ~)_Q ~
Signature: (~'-~--,' ~'--~ ~
City Attorney Review/Recommendation (if applicable):
Budget Director Review (required on all items involving expenditure of funds):
Funding Available: Yes / No Initials:
Account Number
Description
Account Balance:
Funding Alternatives:
City Manager Review:
Approved for Agenda: ~/No Initials:
Hold Until:
Agenda Coordinator Review:
Received:
(if apphcable)
MEMORANDUM
TO:
FROM:
SUBJECT:
MAYOR AND CITY COMMISSIONERS
CITY MANAGER ~'-12k
AGENDA ITEM # c3\\. REGULAR MEETING OF DECEMBER $, 2002
FINAL PLAT APPROVAL/DELRAY 403
DATE:
NOVEMBER 27, 2002
This is before the Commission to approve the final subdivision plat for Dekay 403. The property
is a minor two (2) lot subdivision located on the northeast side of S.E. 1st Street and S.E. 4th
Avenue.
All technical and staff comments have been addressed and the plat is ready for approval.
Recommend approval of the final subdivision plat for Delray 403.
S:\City Clerk\chevelle folder\agenda memos\Final Plat. Delray s,03.1Z3 02
City Of Delray Beach
Department of Environmental Services
M E M 0 R A N D U M
TO:
FROM:
DATE:
PROJECT:
ACTION:
David T. Harden
Randal L. Krejcarek, P.E.
26 Nov 2002
Delray 403 Plat
Subdivision Plat Approval
The attached agenda request is for Commission approval of the plat for Delray 403.
Also attached is a location map and reduced copy of the plat. The property is located
on the north east side of SE 1s~ Street and SE 4th Avenue.
Since this is a minor two lot subdivision, Planning and Zoning Board approval is not
required.
Please place this agenda request on the 3 Dec 2002 Commission Agenda.
Thanks!
ertc
cc TAC file
file: S:\EngAdmin\TAC\Delray 403\plat agenda memo 03dec2002.doc
Printed: 11/26/2002
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Date:
August 27, 2002
AGENDA REQUEST
AGENDA ITEM NUMBER:%~
(if applicable)
Funding Available: Yes / No Initials:
Account Number
Description
Account Balance:
Funding Alternatives:
City Manager Review:
Approved for Agenda.~'/No Initials:
Hold Until:
Agenda Coordinator Review:
Received:
S:XEngAdmin\TACXDelray 403\plat agenda 03dec2002.doc
N.A.
Request to be placed on:
X Consent Agenda Regular Agenda Workshop Agenda Special Agenda
When: September 3, 2002
Description of Agenda Item (who, what, where, how much):
Request for Commission approval of the Delray 403 subdivision plat. The property is
located on the north east corner of SE Ist Street and SE 4th Avenue.
Since this is a minor two lot subdivision, Planning and Zoning Board approval is not
required.
Attached is a location map and reduced copy pf the pl~
Department Head Signature: ~/~~~/~'~
City Attorney Review/Recommendation (if applicable):
Budget Director Review (required on all items involving expenditure of funds):
TO:
THRU:
FROM:
SUBJECT:
I ' I ' I IIII II II 'i~'~'
DAVID T. HARDEN, CITY MANAGER ~.,~/~ff/3r~,.~
.^u.
MEETING OF DECEMBER 3, 2002 ~SENT AGENDA*
NGUYEN TRAN, SENIOR PLANNER, ~a~..~
ABANDONMENT OF A 12' WIDE WATER EASEMENT LYING WITHIN A PORTION
OF LOTS 3 & 4, BLANK-NICHOLS SUBDIVISION ALONG WITH THE COMBINED
PRELIMINARY/FINAL PLAT FOR A 1.973 ACRE DEVELOPMENT KNOWN AS THE
MERIDIAN, LOCATED ON THE EAST SIDE OF S.E. 6TM AVENUE (NORTHBOUND
FEDERAL HIGHWAY), BETWEEN S.E. 3RD STREET AND S.E. 4TM STREET.
11111111111111111111111111111111111111 III II I I · ~ ~ II III~
The subject property consists of Lots 1 through 6 of Blank-Nichols Subdivision (Plat Book 13, Page 28)
and the west 143' of the south half of Block 120, Town of Delray (Plat Book 1, Page 3). At its meeting
of September 17, 2002, the City Commission approved the abandonment of the 16-foot north-south
alleyway within Blank-Nichols Subdivision. The west 8' of this abandoned alleyway adjacent to Lots 1
through 6, Blank-Nichols Subdivision and the west half of the alleyway running through the center of the
North 87.5' of the south half of Block 120 is also included as part of the subject property. The entire
1.973 acre development is located on the east side of S.E. 6th Avenue, between S.E.3rd Street and
S.E.4th Street. The property previously contained the Bou§hton Hotel (apartments), the Steve Moore
Chevrolet used car sales facility, the Nozzle Nolen offices and the 7-11 convenience store. The hotel,
used car dealership and offices were demolished in August of 2002. The 7-11 convenience store is the
only structure on site and is still in operation.
The request before the Commission involves the abandonment of a 12-foot wide east/west water
easement lying within the south 6-feet of Lot 3 and the north 6-feet of Lot 4, Blank-Nichols Subdivision.
The 12' wide water easement was created through an easement deed (ORB 6700, PG 267) recorded in
January of 1991 between the former Dennis Fronrath Car Dealership and the City of Delray Beach in
order to service a fire hydrant located on S.E. 6th Avenue. At its meeting of August 28, 2002, the Site
Plan Review and Appearance Board granted site plan approval for a mixed-use (residential and offices)
development on the subject property. According to the site plan, the fire hydrant will be relocated and
the water line removed.
In conjunction with this abandonment request is the Final Plat Approval for the Meridian. The plat
currently before the Commission is required for developments which will be dedicating easements and
aggregating lots; and was listed as a condition of approval by SPRAB.
Abandonment Analysis:
Pursuant to LDR Section 2.4.6 (P) (5) (Public Easement Abandonment Findings) the following finding
must be made prior the City Commission granting an abandonment: That the abandonment will not
result in the detriment for the provision of utility services to the adjacent properties or the general area.
The City's Environmental Services Department (water & sewer service) has identified a 6" water main
located within the abandonment area. A fire hydrant, located on the east side of S.E. 6th Avenue
(Northbound Federal Highway) is the only connection to this water main. As part of the Meridian
City Commission Documentation
Meeting of December 3, 2002
Meridian Plat
Page 2
development, the existing fire hydrant will be removed and relocated to the project's main entrance on
S.E. 6th Avenue and a new easement dedicated as part of the plat. Therefore, the existing water
easement is no longer needed. The developer has agreed to provide replacement easements which will
be handled on the plat.
Utility Notification letters were sent to all utility service providers requesting comments for the easement
abandonment. Florida Power & Light, ^delphia Cable, Florida Public Utilities Co. (gas) and BellSouth
have reviewed the request and have no objection.
Plat Analysis:
Pursuant to LDR Section 3.1.1, prior to approval of development applications, certain findings must be
made in a form which is part of the official record. This may be achieved through information in the
application, the staff report, or minutes. Findings shall be made by the Board to approve or deny the
development application. These findings re/ate to Future Land Use Map Consistency, Concurrency
and Consistency with the Comprehensive Plan, and Compliance with the Land Development
Regulations.
The property has a Future Land Use Map designation of CC (Commercial Core) and is zoned CBD
(Central Business District). Within the CBD zone district, residential projects with a density of up to 30
units per acre are a permitted use. The proposed 22 unit mixed use development represents a density
of 11.30 units per acre, thereby meeting this requirement. The addition of 22 mixed-use units will have
a minimal impact on water and sewer demands, traffic and solid waste as it relates to their level of
service standards. Water service will be provided by extending an 8" main from S.E. 3rd Street along
the east side of the building (within the parking area), which will create a loop to an existing 12" water
main along S.E. 4th Street. Sewer service will be provided to the site via service lateral connections to
a proposed 8" sewer main within the parking area which will connect to an existing 8" sewer main along
the east side of the property. Water and Sewer mains will be covered on the plat by a water and sewer
easement. Drainage will be accommodated on site via an exfiltration trench system, with an outflow to
the City's drainage system on SE 3rd Street. Since this is a private drainage system, drainage
easements will not be necessary. No internal street system is proposed with this development as all
residents and tenants will take direct access from either S.E. 3rd Street, S.E. 4th Street or S.E. 6th
Avenue (Northbound Federal Highway). A park impact fee of $500 for each unit will be collected prior
to the issuance of a building permit. A total fee of $11,000 will be required of this development for
parks and recreation purposes.
Pursuant to LDR Section 3.2.3 (Standards for Site Plan and/or Plat Actions) shall be the basis upon
which a finding of overall consistency is to be made.
As described in Appendix "A", a positive finding with respect to consistency can be made as it relates to
Standards for Plat Actions.
Based upon the above, positive findings with respect to Future Land Use Map Consistency,
Concurrency and Consistency with the Comprehensive Plan, and Compliance with the Land
Development Regulations can be made.
City Commission Documentation
Meeting of December 3, 2002
Meridian Plat
Page 3
By motion, approve the abandonment of the 12-foot wide water easement lying within the south 6-feet
of Lot 3 and the north 6-feet of Lot 4, Blank-Nichols Subdivision (PB 13, PG 28), based upon positive
findings with respect to LDR Section 2.4.6(P)(5), and approve the preliminary plat of Meridian and
certify the final plat based upon positive findings with respect to Section 3.1.1, Section 3.2.3 and
Objectives and Policies of the Comprehensive Plan.
Attachments:
· Appendix A
· Location Map
· Abandonment Resolution
· Description & Survey of Abandonment Area
· Reduced Surveyand Reduced Plat
· Reduced Site Plan
S:~ P&Z~boards~city commission\Meridian Plat-CCdoc
City Commission Documentation
Meeting of December 3, 2002
Meridian Plat
Page 4
STANDARDS F AC TIQ~i~ S
A.
Building design, landscaping, and lighting (glare) shall be such that they do not create
unwarranted distractions or blockage of visibility as it pertains to traffic circulation.
Not applicable
Meets intent of standard
Does not meet intent
X
Separation of different forms of transportation shall be encouraged. This includes
pedestrians, bicyclists, and vehicles in a manner consistent with policies found under
Objectives D-1 and D-2 of the Transportation Element.
Not applicable
Meets intent of standard
Does not meet intent
X
C. Open space enhancements as described in Policies found under Objective B-1 of the Open
Space and Recreation Element are appropriately addressed.
Not applicable X
Meets intent of standard
Does not meet intent
D. The City shall evaluate the effect that any street widening or traffic circulation modification
may have upon an existing neighborhood. If it is determined that the widening or
modification will be detrimental and result in a degradation of the neighborhood, the project
shall not be permitted.
Not applicable X
Meets intent of standard
Does not meet intent
E. Development of vacant land which is zoned for residential purposes shall be planned in a
manner which is consistent with adjacent development regardless of zoning designations.
Not applicable
Meets intent of standard
Does not meet intent
X
Vacant property shall be developed in a manner so that the future use and intensity are
appropriate in terms of soil, topographic, and other applicable physical considerations;
complementary to adjacent land uses; and fulfills remaining land use needs.
City Commission Documentation
Meeting of December 3, 2002
Meridian Plat
Page 5
Not applicable
Meets intent of standard
Does not meet intent
X
G. Redevelopment and the development of new land shall result in the provision of a variety of
housing types which shall continue to accommodate the diverse makeup of the City's
demographic profile, and meet the housing needs identified in the Housing Element. This
shall be accomplished through the implementation of policies under Objective B-2 of the
Housing Element.
Not applicable
Meets intent of standard
Does not meet intent
X
H. The City shall consider the effect that the proposal will have on the stability of nearby
neighborhoods. Factors such as noise, odors, dust, traffic volumes and circulation patterns
shall be reviewed in terms of their potential to negatively impact the safety, habitability and
stability of residential areas. If it is determined that a proposed development will result in a
degradation of any neighborhood, the project shall be modified accordingly or denied.
Not applicable
Meets intent of standard
Does not meet intent
X
Development shall not be approved if traffic associated with such development would create
a new high accident location, or exacerbate an existing situation causing it to become a high
accident location, without such development taking actions to remedy the accident
situation.
Not applicable
Meets intent of standard
Does not meet intent
X
J. Tot lots and recreational areas, serving children from toddler to teens, shall be a feature of all
new housing developments as part of the design to accommodate households having a
range of ages. This requirement may be waived or modified for residential developments
located in the downtown area, and for infill projects having fewer than 25 units.
Not applicable X
Meets intent of standard
Does not meet intent
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CITY OF DELRAY BEACH, FL
PLANNING & ZONINGDEPARTMENT
· ----- MERIDIAN PLAT .----.
IN ASSOCIATION WITH
THE ABANDONMENT OF A 12' WIDE EAST-WEST WATER EASEMENT
(BLOCK 120, BLANK-NICHOLS SUBDIVISION)
-- DIGITAL BASE MAP SYSTEM --
RESOLUTION NO. 84-02
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF
DELRAY BEACH, FLORIDA, VACATING AND ABANDONING A
A 12-FOOT WIDE WATER EASEMENT LYING WITHIN A
PORTION OF LOT 3 AND LOT 4 OF BLANK-NICHOLS
SUBDIVISION (PB 13, PG 28), AS MORE PARTICULARLY
DESCRIBED IN EXHIBIT "A".
WHEREAS, the City of De[ray Beach, Florida, received an application for abandonment
of a 12 foot wide water easement lying wxthm a pomon of Lot 3 and Lot 4 of Blank-Nichols Sub&vision
(PB 13, PG 28), as more particularly described in Exhibit "A"; smd Blank-Nichols Subdimsxon being
located on the southeast corner of S.E. 6th Avenue (Northbound Federal Htghway) and S.E. 3~d Street; and
WHEREAS, the application for abandonment of said easement was processed pursuant to
Section 2.4.6(P), "Abandonment of Public Easements", of the Land Development Regulations of the City
of Delray Beach, Florida; and
WHEREAS, pursuant to LDR Section 2.4.6(P)(3)(c), the application was forwarded to the
City Commission with the recommendation that the abandonment be approved, based upon positive
findings; and
WHEREAS, the City Commission of the City of Delray Beach, Florida, pursuant to LDR
Section 2.4.6(P)(5), finds that the abandonment will not result m detriment for the provision of utility
services to adjacent properttes or the general area, that ~ts interest m the described property is no longer
needed for the pubhc good and deems it to be m the best interest of the City of Delray Beach to vacate
and abandon said easement, as more parttcularly described m Exbabit "A".
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF
THE CITY OF DELRAY BEACH, FLORIDA, AS FOLLOWS:
Section 1. That the foregoing recitals are hereby incorporated herein by this reference.
Section 2. That pursuant to Chapter 177 and Chapter 166 of the Florida Statutes, it is hereby
determined to vacate and abandon all right and interest it holds to the following real property, more
parttcularly described as follows:
See Exhibit "A"
PASSED AND ADOPTED in regular session on this the __ day of
2002.
ATTEST:
MAYOR
City Clerk
EXHIBIT "A"
LAND DESCRIPTION
12' WATER EASEMENT TO BE ABANDONED
A portion of Lot 3 and Lot 4, Block 120, BLANK-NICHOLS SUBDIVISION, according to the plat
thereof, recorded in Plat Book 13, Page 28 of the Public Records of Palm Beach County, Florida,
being more particularly described as follows:
The South 6.00 feet, as measured at right angles, of said Lot 3, less the west 5.00 feet thereof;
TOGETHER WITH:
The North 6.00 feet, as measured at dght angles, of said Lot 4, less the West 5.00 feet thereof;
Same being that certain 12 foot Water Easement described in Official Records Book 6700, Page
267of said Public Records, less the West 5.00 feet thereof.
Said lands lying in the City of Delray Beach, Palm Beach County, Flodda, containing 1560 square
feet, more or less.
Land Description Prepared By:
SHAH, DROTOS & ASSOCIATES
1835 South Perimeter Road, Suite 190
Fort Lauderdale, Florida 33309
Prepared by: MDR
Checked by: MDR
Project No.: 01-0557B
File Name: 0557B.WATER.EASEMENT. WPD
May 20, 2002
Sheet 1 of 2 Sheets
SKETCH OF DESCRIPTION
12' WATER EASEMENT TO BE ABANDONED
LOTS5 AND 4-BLOCK 120-BLANK-NICHOLS SUBDIVISION
(PB 13, PG 28, PBCR)
~'-SOUTH RIGJ-rr-OF-WAY UNE
1 24
2 23
5' ADDmONN. RIGHT-OF-WAY ~ . ,~,_~
~ ~ ~PB 15, PG 2B
NORTH UNE OF
.. ~' OF BLOCK 120
16' ALLEY
~DB .352, PG 584
DB 550, PG 282
PROFESSIONAL SURVEYOR AND MAPPER
PROJECT NO:. 01--0557B FLORIDA REGtS':'rRATION NO. ~998
SHEET 2 OF 2 SHEE.'[S ~ SURVEYOR ANO MN'PER TH~ ~ IS FOR INFORt~TIONN.
PtlRPtI~J~ ONlY AND IS NOT VALID
~ A s $ 0 c I A T E S PLANNING
CERTIFICATE OF AUTHORIZATION NO. LB 64*56
SKETCH OF DESCRIPTION MDR 05/20/02, MDR 18~5 S. Perimeter Rood · Suite 190e FI. l_¢=uderd,fle, FI. 35309
REVISIONS DWN DATE FB/PG CHKD PH: 954-776-7604 · FAX: 954-776-7608
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SUBJECT:
ABANDONMENT OF A 6-FOOT WIDE UTILITY EASEMENT WITHIN
THE PLAT OF SABAL LAKES PHASE THREE, LOCATED EAST OF
BARWICK ROAD AND NORTH OF THE L-31 CANAL.
The request involves abandoning a 6-foot utility easement located within Lots 42 thru 66
and Tract "F" of the plat of Sabal Lakes Phase Three (Plat Book 72, Page 180). The
easement is offset 20-feet from the rear lot line of all above referenced lots. The subject
easement was dedicated with the recordation of the plat in June of 1994.
The dedication language for this easement gives permission to any public or private
utility, such as but not limited to, storm drainage, sanitary sewer, electric power, water
service, gas service, and telephone lines. All major utility companies were notified, and
indicated they did not have facilities located in the subject area.
As its meeting of January 8, 2002, the City Commission approved a similar
abandonment of easement request located to the north within Lots 92-102, 104-109,
111-124 and Tract "AE-I" of this same plat.
The abandonment request was submitted by Mr. Rob Martin, the owner of Lot 65, in
order to facilitate the construction of a patio, and was limited to the portion of the utility
easement to the rear of his property. During the standard review by the Development
Services Management Group (DSMG), it was suggested that the abandonment request
be expanded to include the entire utility easement on multiple lots.
Pursuant to LDR Section 2.4.6 (P) (5) the following finding must be made prior the City
Commission granting an abandonment: The abandonment will not result in the
detriment for the provision of utility services to the adjacent properties or the general
area.
As mentioned previously, no utilities were located within the proposed abandonment
area. The City's Environmental Services Department (water & sewer service), Florida
Public Utilities Company (gas service), Florida Power & Light, BellSouth, and Adelphia
Cable have reviewed the request and have no objection to the abandonment.
By motion, approve the abandonment of the 6-foot wide utility easement located within
Lots 42 thru 66 and Tract "F" of the plat of Sabal Lakes Phase Three (Plat Book 72,
Page 180), based upon positive findings with respect to LDR Section 2.4.6(P)(5).
Attachment.
Abandonment Resolution
· Location Map
· Reduced Plat Map
S:\boards\citycommission\SabaI-Lakes-e-Aban-Martin.doc
RESOLUTION NO. 95-02
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF
DELRAY BEACH, FLORIDA, VACATING AND ABANDONING A 6-
FOOT WIDE UTILITY EASEMENT WITHIN THE SABAL LAKES
PHASE THREE DEVELOPMENT, LOCATED EAST OF BARWICK
ROAD, NORTH OF CANAL L-31, AS MORE PARTICULARLY
DESCRIBED HEREIN.
WHEREAS, the City of Delray Beach, Florida, received an application for
abandonment of a 6 foot wide utility easement lying within Lots 42 thru 66 and Tract "F", Sabal Lakes
Phase Three (Plat Book 72, Page 180), as more particularly described herein; said Sabal Lakes
Phase Three being located east of Barwick Road, North of Canal L-31; and
WHEREAS, the application for abandonment of said easement was processed
pursuant to Section 2.4.6(P), "Abandonment of Public Easements", of the Land Development
Regulations of the City of Delray Beach, Florida; and
WHEREAS, pursuant to LDR Section 2.4.6(P)(3)(c), the application was forwarded to
the City Commission with the recommendation that the abandonment be approved, based upon
positive findings; and
WHEREAS, the City Commission of the City of Delray Beach, Florida, pursuant to LDR
Section 2.4.6(P)(5), finds that the abandonment will not result in detriment for the provision of utility
services to adjacent properties or the general area, that its interest in the described property is no
longer needed for the public good and deems it to be in the best interest of the City of Delray Beach
to vacate and abandon said easement, as more particularly described herein.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY
OF DELRAY BEACH, FLORIDA, AS FOLLOWS:
reference.
Section 1.
That the foregoing recitals are hereby incorporated herein by this
Statutes, it is
real property,
Section 2. That pursuant to Chapter 177.101(5) and Chapter 166 of the Florida
hereby determined to vacate and abandon all right and interest it holds to the following
more particularly described as follows:
THE 6-FOOT WIDE UTILITY EASEMENT LOCATED 20 FEET FROM THE REAR
PROPERTY LINE, WITHIN LOTS 42 THRU 66 AND TRACT "F", OF THE PLAT
OF SABAL LAKES PHASE THREE, AS RECORDED IN PLAT BOOK 72, PAGE
180, OF THE PUBLIC RECORDS OF PALM BEACH COUNTY, FLORIDA.
PASSED AND ADOPTED in regular session on this the __ day of
.,2002.
A'I-rEST:
MAYOR
City Clerk
LEAF COURT
SUNRISE BLVD. O
PALM RIDGE BLVD.
SABAL
BANYAN CREEK
ELEMEN TAR Y
SCHOOL
133 ROAD SOUTH
LAURELWOOD
SABAL
SEA GRAPE
TRACT W-1
SEA GRAPE CIRCLE
CANAL L-51
NW
10TH
lOTH ST
P~uVNIN~.
-- DI¢Ii'AL BASE klAP SYSI'EM --
ABANDONMENT OF UTILITY EASEMENT
SABAL LAKES PHASE THREE (P.B. 72, P.G 180)
MAP REF LM663
~®
MEMORANDUM
TC~.
FROM:
SUBJECT:
DATE:
MAYOR AND CITY CIDMMISSIONERS
CITY MANAGER~
AGENDA ITEM ~'~- REGULAR. MEETING OF DECEMBER 3, 2002
RESOLUTION NO. 96-02
NOVEMBER 27, 2002
This is a resolution assessing costs for abatement action required for the demolition of an unsafe structure
located at 234 SW 10~h Avenue.
The resolution sets forth the actual costs incurred and provides the mechanism to attach a lien against the
property in the event the assessment remains unpaid.
Recommend approval of Resolution No. 96-02.
Agmemo. Res.No.96-02DEMO
RESOLUTION NO. 96-02
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF DELRAY
BEACH, FLORIDA, PURSUANT TO ARTICLE 7.8, "UNSAFE BUILDINGS",
OF THE LAND DEVELOPMENT REGULATIONS OF THE CITY OF DELRAY
BEACH, ASSESSING COSTS FOR ABATEMENT ACTION REGARDING AN
UNSAFE BUILDING ON LAND(S) LOCATED WITHIN THE CITY OF DELRAY
BEACH; SETTING OUT ACTUAL COSTS INCURRED BY THE CITY TO
ACCOMPLISH SUCH ABATEMENT AND LEVYING THE COST OF SUCH
ACTION; PROVIDING FOR AN EFFECTIVE DATE AND FOR A DUE DATE
AND INTEREST ASSESSMENTS; PROVIDING FOR THE RECORDING OF THIS
RESOLUTION, AND DECLARING SAID LEVY TO BE A LIEN UPON THE
SUBJECT PROPERTY FOR UNPAID ASSESSMENTS; PROVIDING FOR THE
MAILING OF NOTICE.
WHEREAS, the Building Official or his designated representative
has, pursuant to Article 7.8 of the Land Development Regulations, declared
the existence of an unsafe building upon certain lots or parcels of land,
described in the list attached hereto and made a part hereof, for violation
of the building codes and building requirements adopted by Article 7.8 and
those Codes adopted in Chapter 96 of the Code of Ordinances; and,
WHEREAS, pursuant to Article 7.8 of the Land Development
Regulations of the City of Delray Beach, the Building Official or his
designated representative has inspected said land(s) and has determined that
an unsafe building existed in accordance with the standards set forth in
Article 7.8 and/or Chapter 96 of the Code of Ordinances, and did furnish the
respective owner(s) of the land(s) described in the attached list with
written notice of unsafe building and detailed report of conditions and
notice to vacate as the Building Official determined that the building was
manifestly unsafe and is considered a hazard to life and public welfare
pursuant to Article 7.8 of the Land Development Regulations, describing the
nature of the violations and sent notices that the building was to be vacated
and that the building was to be repaired or demolished; work must be begun
within sixty (60) days and all work must be completed within such time as the
Building Official determines, said notice also advised that all appeals must
be filed within thirty (30) days from the date of service of the notice and
failure to file an appeal or to make the repairs required that the Building
Official would have the authority to have the building demolished from the
date of the said notice; and,
WHEREAS, all the notice requirements contained within Article 7.8
have been complied with; and,
WHEREAS, neither an appeal to the Board of Construction Appeals or
corrective action was undertaken in accordance with the order of the Chief
Building Official; therefore pursuant to Article 7.8 of the Land Development
Regulations the Building Official caused the abatement action to be done;
and,
WHEREAS, the City Manager of the City of Delray Beach has, pursuant
to Section 7.8.11 of the Land Development Regulations of the City of Delray
Beach, submitted to the City Commission a report of the costs incurred in
abating said condition as aforesaid, said report indicating the costs per
parcel of land involved; and,
WHEREAS, the City Commission of the City of Delray Beach, pursuant
to Article 7.8 of the Land Development Regulations desires to assess the cost
of said condition against said property owner(s).
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY
OF DELP~AY BEACH, FLORIDA, AS FOLLOWS:
Section 1. That assessments in the amount of
as shown by the
report of the City Manager of the City of Delray a copy of which is attached
hereto and made a part hereof, are hereby levied against the parcel(s) of
land described in said report and in the amount(s) indicated thereon. Said
assessments so levied shall, if not paid within thirty (30) days after
mailin9 of the notice described in Section 7.8.11 become a lien upon the
respective lots and parcel(s) of land described in said report, of the same
nature and to the same extent as the lien for general city taxes and shall be
collectible in the same manner and with the same penalties and under the same
provisions as to sale and foreclosure as City taxes are collectible.
Section 2. That such assessments shall be legal, valid and bindin9
obligations upon the property against which said assessments are levied.
Section 3. That the City Clerk of the City of Delray Beach is
hereby directed to immediately mail by certified mail, postage prepaid,
return receipt requested, to the owner(s) of the property, as such ownership
appears upon the records of the County Tax Assessor, notice(s) that the City
Commission of the City of Delray Beach has levied an assessment against said
property for the cost of abatement action regardin9 an unsafe building by the
thirty (30) days after the mailing date of said notice of assessment, after
which a lien shall be placed on said property, and interest will accrue at
Res. No. 96-02
the rate of six percent (6%) per annum, plus reasonable attorney's fees and
other costs of collecting said sums.
Section 4. That this resolution shall become effective thirty (30)
days from the date of adoption and the assessment(s) contained herein shall
become due and payable thirty (30) days after the mailin9 date of the notice
of said assessment(s), after which a lien shall be placed on said
property(s), and interest shall accrue at the rate of six percent (6%) per
annum plus reasonable attorney's fee and other costs of collection.
Section 5. That in the event that payment has not been received by
the City Clerk within thirty (30) days after the mailing date of the notice
of assessment, the City Clerk is hereby directed to record a certified copy
of this resolution in the public records of Palm Beach County, Florida, and
upon the date and time of recordin9 of the certified copy of this resolution
a lien shall become effective on the subject property which shall secure the
cost of abatement, interest at the rate of 6%, and collection costs including
a reasonable attorney's fee.
PASSED AND ADOPTED in regular session on this the
, 2002.
day of
ATTEST:
MAYOR
City Clerk
Res. No. 96-02
CITY OF DELRAY BEACH
UNSAFE BUILDING/STRUCTURE
NOTICE OF ASSESSMENT
TO:
JE AND CARRIE L. TIGGETT
MAILING ADDRESS:
PROPERTY ADDRESS:
316 NW 7th AVE, POMPANO BEACH, FL 33060
234 l0th AVENUE, DELRAY BEACH, FL 33444
LEGAL DESCRIPTION: LOTS 20 AND 21, BLOCK 10, ATLANTIC GARDENS DELRAY
ACCORDING TO PLAT BOOK 14, PAGE 63 OF THE OFFICIAL RECORDS OF PALM BEACH
COUNTY, FL
You, as the record owner, of, or holder of an interest in, the above described property are
hereby advised that a cost of $ 3~073.25 by resolution of the City Commission of the
City of Delray Beach, Florida, dated ,2002 has been levied against the above
described property.
The costs were incurred as a result of an abatement action regarding the above described
property. You were given notice on April 15~ 2002 that the Chief Building official had
determined that a building/structure located on the above described property was unsafe.
You were advised in that notice of the action that would be taken to remedy that unsafe
condition and that the action would be initiated by the city if you failed to act.
__X You failed to appeal the decision of the chief Building Official to the Board
of Construction Appeals although you were informed of your right to an appeal and of
the procedures for obtaining an appeal. You have also failed to take the corrective action
required in the Notice of Unsafe Building/Structure.
You appealed the decision of the Chief Building official to the Board of
Construction Appeals. You were given written notification on the decision of the Board
of Construction Appeals within a stated period of time. You failed to take the action as
required by the order of the Board of Construction Appeals.
You appealed the decision of the Chief Building official to the Board of
Construction Appeals. You were given written notification on the decision of the Board
of Construction Appeals within a stated period of time. You failed to take the action as
required by the order of the Board of Construction Appeals.
You appealed the decision of the Chief Building Official to the Board of
Construction Appeals on The Board of Construction
upheld the decision of the Chief Building Official.
Res. No. 96-02
The City of Delray Beach has therefore taken remedial action to remove the unsafe
condition existing on the above described property on November 14~ 2002
at a cost of $ 3~073.25 which includes a ten percent (10%) administrative fee. If you fail
to pay this cost within thirty (30) days, that cost plus additional administrative and
recording costs shall be recorded in the official Records of Palm Beach County, Florida
against the above described property.
THE CITY MAY ENFORCE THE ASSESSMENT BY EITHER AN ACTION AT
LAW OR FORECLOSURE OF THE LIEN, WHICH SHALL BE FORECLOSED IN
THE SAME MANNER AS MORTGAGES ARE FORECLOSED UNDER STATE
LAW. IN EITHER TYPE OF ACTION, THE CITY SHALL BE ENTITLED TO
INTEREST AT THE RATE OF 8% FROM THE DATE OF ASSESSMENT,
COLLECTION COSTS, AND REASONABLE ATTORNEY'S FEES. SUCH LIENS
SHALL BE ON A PARITY WITH GENERAL CITY TAXES AND SHALL HAVE
PRIORITY OVER ALL OTHER LIENS AND ENCUMBRANCES, INCLUDING
MORTGAGES.
Copies of all notices referred to in this notice are available in the office of the Chief
Building Official.
BY ORDER OF THE CITY COMMISSION
City Clerk
Res. No. 96-02
5
MEMORANDUM
TO:
FROM:
SUBJECT:
DATE:
MAYOR AND CITY COMMISSIONERS
CITY MANAGER ~/1
AGENDA ITEM# ~-~ - REGULAR MEETING OF DECEMBER 3, 2002
RECTRAC SOFTWARE
NOVEMBER 27, 2002
This is before Commission to approve the purchase of the RecTrac comprehensive software in the
mount of $46,625.00 for the City of Delray Beach Parks and Recreation Department Out of School
Program.
The RecTrac software will enable the Parks and Recreation Department to create a one step entry for all
activities and registration with a single receipt, synchronizing payments at all six (6) sites with a link to the
AS 400; provide for on-line registration with credit card payments; and generate monthly reports for
activities/attendance.
Recommend approval of the purchase of the RecTrac Software.
S:\Ctty Clerk\chevelle folder\agenda memos\RecTrac.12.3.02
Memorandum
To:
Through:
From:
Date:
Subject:
David Harden, C4ty Manager
Joe Weldon, i~rector of Parks and Recreation
Alberta Gaum-Rickard, Accounting Assistant
November 18, 2002
Parks and Recreation Comprehensive Software
We are submitting for your review our recommendation for the installation of a computer
software system enabling the Parks and Recreation Department to synchronize payments
and registration at all six remote sites with a link to the AS400
The Parks & Recreation Department has been using Microsoft Access for all data entry
including the entry of cash receipts. The current system does not have the internal
controls to prevent data entry error and has a very limited report capability. It also does
not automatically interface with the City's current financial system. The Out of School
Program has several reports (attendance records, homework assistance, etc.) that are
required to be submitted at specific times to the Children's Services Council in order for
us to comply with our contract. All these reports are prepared manually. Currently, the
Recreation Leader must enter the counts and cash receipts twice, once manually and then
in the data base
A new comprehensive computer software package includes separate modules which
interact with each other to create a one step entry for all activities and registration with a
single receipt. The software will enable a photo image during registration and visual
reference during check-in, process cash receipts, generate financial and programmatic
reports, interface with the City's financial software and provide much more extensive
program information which will enable better program management. The software
package will also give the Parks and Recreation Department capability to do on-line
registration with credit card authorization.
The Photo ID System will increase the accuracy of reporting the daily attendance of the
Out of School Program, (after school, one day camps, holiday camps and summer camp)
by allowing the Recreation Leader to swipe a picture ID card which automatically
registers the attendance of each child. A daily, weekly or monthly report will generate
the names and total of children attending camps. A monthly capacity report is required
by Children's Services Council. The "505" Teen Center, Pompey Pool and Delray Swim
Club will utilize the photo ID system for memberships, equipment usage and security
(liability release form) minimizing the use of cash at each site
A review of each vendor's proposal was evaluated by Milena Walinski, Assistant Finance
Director, Lisa Hartmann, Accountant II, and Crreg Welch, MIS Project Manager.
Attached are their recommendations.
Proposals and quotes were demonstrated by three vendors' RecTrac by Vermont
Systems, Inc., RecWare by The Active Network, Inc. and Class Software Solution. All
three systems are compatible with HTE and all require an annual maintenance fee which
includes additional upgrades and training. The base multi-user software license fee
includes five users and is included in the cost (see attached cost comparison).
Additional users may be added for an additional cost. We recommend ten users at seven
sites: Community Center, Ocean Rescue, Veterans Park, Teen Center, Pompey Park,
Pompey Pool and Delray Swim Club.
RecTrac by Vermont System, Inc. is recommended because the initial cost plus additions
to the system (i.e. modules and users) are the best value. There are several local users of
RecTrac in Palm Beach County providing additional resource support. Additionally,
training costs are reduced by sharing RecTrac's training fees and travel costs with the
other users in our area RecWare and Class users are located mostly on the West Coast.
This recommendation is based on the following:
1. RecTrac is capable of importing existing information (i.e. names, addresses,
etc.) from our present data base to their system. This is not possible with the other two
products. RecWare was uncertain and Class recommended starting with a new data base
requiring inputting all existing information over again.
2 Both RecTrac and Class Solutions, Inc. do not charge for additional users
during peak times. RecWare's software will become inaccessible, if the maximum users
exceed the contracted amount.
3. RecTrac does not restrict the number of users present at training sessions per
module. Training for the new system was not emphasized by Class which is probably
the reason users from other cities in Florida found it complicated to use. Also, on-site
training was a $1,000 a day for five participants. RecWare offers only seven days of on-
site training for the complete program. All offered training through the internet for
upgrades and additional support.
4. Initially, RecTrac's system appeared to be more difficult to use because on
their demonstration screen all the various modules were displayed. Further investigation
confirms that access to specific screens is available to assigned users creating a more user
friendly system with increased security. RecWare is "user friendly" but does not provide
the same level of security desired. Class, while "user friendly", has too many different
windows to access in order to retrieve necessary information easily and efficiently.
2
5. All three vendors provided lists of current customers as references which were
contacted for feedback from users of their product. Three to six customers of each
vendor were contacted regarding their experience and satisfaction with the program.
RecTrac was rated extremely high on customer support and overall satisfaction.
RecWare, overall, had a negative response from the users. Cla£s used the internet for
their customer support although some responses indicated that there were training
problems in the initial customer training provided. Overall, RecTrac had the highest
satisfaction level based upon their customer's responses. A list of responses from the
FRPA web site along with the names and responses of contacted references is attached.
If approved, the total time for the installation of the RecTrac software is estimated to be
six months. RecTrac recommends three separate weeks of on-site trainings. At the first
training, they will set up and install the RecTrac workgroup software, review our
specifications and end with training for the users. At the second training, RecTrac will
follow up with the staff, reviewing problems and correcting any errors, and provide
training for additional users. The third training (1-4 days) is for the installation and
training of WebTrac, internet software for on-line registration and credit card payments.
Funding for the purchase of this comprehensive software system is available from the
After School rotary account # 115-0000-248-80.00.
If you have'any questions, please call me at ext. 7136.
CITY OF DELRAY BEACH
PARKS AND RECREATION DEPARTMENT
COMPREHENSIVE SOFTWARE PROPOSAL
Prepared by Alberta Gaum
Budget Technician
Parks and Recreation Department
243-7136
TABLE OF CONTENTS
Introduction and Proposal ................................................................ Page 1
Cost Comparison ........................................................................... Page 4
Evaluation-Finance Department ........................................................ Page 5
Evaluation-Management Information Systems ...................................... Page 6
References Contacted ..................................................................... Page 7
FRPA Respnses ........................................................................... Page 8
Quotes ...................................................................................... Page 9
9a RecTrac ........................................................................ Page 9
9b Class ........................................................................... Page 9
9c RecWare ....................................................................... Page 9
COST COMPARISON
RecTrac RecWare
Class
Software includes:
Program Registration, Facility
Booking, and Membership &
Pass Management $ 9,734 $11,985 $16,500
Financial Interface-HTE $ 1,500 N/A $ 2,000
Online Registrations $ 9,300 N/A $10,000
Payment Processing $ 750 N/A $ 2,500
Photo/Plastic ID Card System* $ 6,775 $ 5,133 $ 3,068
Safari Core System** N/A $ 9,995 N/A
Training & Support $10,830 $10,750 $21,000
Annual Maintenance $ 4,126 $ 5,091 $ 7,750
Subtotal (quotes for five users) $43,015 $42,954 $62,818
Additional recommended five users*** $ 1,500 $ 5,000 N/A
Annual Maintenance (additional users) $ 150 N/A N/A
Subtotal $44,665
Bar Code Reader/Decoder (3)**** $ 960
Total
$47,954
N/A
$45,625 $47,954
$62,818
N/A
$62,818
RecTrac's quote includes printer, cameras, ID card supplies and 1't year maintenance. Also, they
are responsible for all accessories purchased RecWare's quote includes the same as RecTrac but
the Photo ID system is purchased through a third party. Class's quote does not include software
needed to implement the Photo ID card system. Also, the printer and supplies are purchased
through a third party.
This is the base product required by RecWare allowing individual applications (i.e. Activity
Registration, Facility Registration, etc.) to be added to the database.
Class representative would not quote a price for an additional user.
Five Bar Code Reader/Decoders are recommended for the follo~ving sites: Community Center,
Pompey Park, Teen Center, Pompey Pool and Delray Sxvim Club. RecTrac includes two decoders
in their quote. Utilizing the ID bar code decoder encourages memberships which minimizes the
handling of cash. Credit card scanner attachment is available for $150 each (see quote page 9a).
4
MEMORANDUM
To'
Joseph Weldon, Director of Parks & Recreation
From:
Thru:
Milena Walinski, COFO, Assistant Finance Director
Lisa Hartman, Accountant II ~
Joseph M. Saff~ector of Finance
S ubj e ct:
Parks and Recreation Software Evaluations
Date: October 28, 2002
The Parks and Recreation Department is evaluating software programs to be used for the
various programs offered by Parks and Recreation. We xvere asked to assess the software
based upon our current knowledge of how the cash receipts are currently working and
what would be necessary in terms of the financial aspects of the programs from internal
control to interfacing with the current financial system. The three software programs
evaluated were Vermont Systems RecTrac, RecWare and Class Software Solutions.
These programs were presented on three different days with demonstrations provided as
to how the programs worked.
Vermont Systems RecTrac
The Vermont Systems RecTrac was the first software and it had many features that we
considered to be very useful. RecTrac can interface with the current HTE system. This is
a much more efficient use of staff time. The money being collected can be counted and
taken at the original transaction point and a unique receipt generated. Currently, Parks
and Recreation staff must verify the money when it is taken in, hand write a receipt,
collate the monies and receipts and prepare a Summary Cash Report manually writing the
information. This is then put together into a package which must then be recounted and
verified by the Parks and Recreation Accounting Assistant. After this point it must go to
the cashiers who enter the summary accounting information into the cash receipts of the
HTE system and they must also count the money again. Using RecTrac, this redundancy
is eliminated. At the delivery point the money is taken in, as the money is taken in, it is
automatically coded to the proper account for the correct amount of money and with
applicable sales tax if required, a receipt is automatically generated and a cash
reconciliation process can be done at the end of each business day. The software will
automatically generate an interface with HTE. Cash transactions can be tracked by
receipt number, name of the person who generated the transaction, date, time and is
always retrievable.
The security features allow different levels of authority so that different functions and
abilities can be limited so that management can determine who has authority for what
functions. For instance, a staff person who takes in funds for the after school program
would have access only to that portion of the program. This provides for greater internal
5
controls over the programs. The software also provides various reports including
financial reporting that can be tailored to the users needs. The system will allow preset
amounts for the various program charges so that date entry errors cannot be made in
terms of charging the wrong prices. It will also flag customers who are "cash only."
The data entry features allow for information that has already been entered to default to
information previously entered. For example, if there are multiple members of a
household you can keep adding the members without having to re-enter the address over
and over again. This feature helps to eliminate data entry errors. The data entry process
did not appear to be overly complex or difficult. The system will also allow a one time
printing of the annual marina contracts with the name and boat data entered in. This
eliminates the need for writing information on the individual contracts and photocopying
them.
Another feature that appeared to very good which was not offered by the other vendors
was that at peak times, you can have up to twice the number of users you have licenses
for without losing the ability to perform the work. For example, when the Summer Camp
registration is going on there will be greatly increased usage for a brief duration of time.
This helps to save money by not having to purchase a larger number of licenses when
they will only be utilized a small percentage of the time.
The RecTrac also has internet capabilities which would allow the City the ability to have
people be able to register for programs over the Web. It allows for credit card payment
and gives the person a receipt. We would have the ability to limit the registrations if
necessary. RecTrac also provided a current list of their customers using their software.
Based upon the current customer listings, there are several local users.
RecWare
This software was presented over a telephone conference. There were no handouts that
went with it. This software did not seem to fit the needs of the Parks and Recreation
Department as well as the previous software. The cash functions of the program appeared
to be limited although the program does interface with HTE. The security features appear
to be much more limited than the RecTrac. It appeared to be full access, no access or read
only. It did not appear that you could allow various levels of access. For example, the
supervisor could have full access and correct an error, but you could not allow a staff
person a limited amount of access. This would limit your internal controls.
It also appears that there are many screens in which data is entered in order to put a
customer in the system. Based on the demonstration it appeared that there were seven
areas that data entry could be made for a single person or family. This seemed excessive
and that it could lead to data entry error. The system lacks the ability to print a once a
year contract. It can only print additional information on the receipt.
Overall the most serious concern is with the security. The lack of ability to determine the
level of access could result in a compromise of internal control.
Class Software Solutions
The Class Software Solutions was also very functional and had many good features as
well. It is compatible with HTE and will generate an interface with the financial system.
The program had the ability to designate levels of security and can also flag customers
that are "cash only." The data entry portion of the program also appears to be relatively
easy like the RecTrac software. Many of the features of RecTrac are also available in
Class. However, Class does not allow the organization to exceed the number of licenses
that are purchased. So it would be necessary to determine how many licenses are needed
at peak periods in order to insure that staff has access to the system. There are also not as
many users in the South Florida area.
There are various levels of financial reporting available. The actual reporting such as the
Daily Cash Balance Report was not demonstrated although a copy of the report was
provided in the handouts. The same can be said of the receipts. There was no
demonstration of how the receipt process worked nor was a sample provided in the back
up information. However, per the hand out the software provides a comprehensive audit
including date, time and user transaction stamp.
One aspect of the presentation was confusing. It was not clear whether or not there was
an internet web access or not. The presentation indicated that there was intemet capability
but in the latter part of the presentation, a statement was made which would indicate that
some of the internet portion is still under development. This would need to be clarified.
There are not as many users in the South Florida area using the Class system software.
Overall, it appears that of the three soft ware programs presented that RecTrac or the
Class Software would be good choices with regards to the accounting aspects of the Parks
and Recreation programs. Based on the presentations and documentation provided, we
believe that RecTrac is the better choice.
Cc: Alberta Gaum, Accounting Specialist
5b
MEMORANDUM
To:
Thru'
From:
Joseph Weldon, Director of Parks & Recreation
Richard Zuccaro, Management Information Systems Manager
Gregory A. Welch, Project Manager ~:~.
Subject: Parks & Recreation Software Evaluation
Date:
CC:
10/31/2002
Joseph Saffo~'~irector of Finance
Alberta Gaum, Accounting Assistant
Introduction
The City of Delray Beach Parks & Recreation Department is evaluating software
for managing activities, memberships, and facilities. Three different software
products were reviewed in demonstrations given by the vendor. The Finance
Department, Management Information Systems division was ask to evaluate the
products from a technical standpoint paying close attention to technical
specifications for computers, software, security, connectivity, manageability, and
usability.
Vermont Systems RecTrac
Company Overview Including Support Services
Vermont Systems has been providing Parks & Recreation software since 1985.
We used their RecTrac product at the Delray Tennis Center and have been
satisfied with their service and support. Their web site is informative but has no
online technical support. The online technical support area is under construction
and is scheduled to be completed by the 1st quarter 2003. They have an
unpublished FTP site for downloading fixes. Their telephone support is very
good. Their software demonstration was informative and the instructor answered
all of our questions.
Functionality and Usability Including Security
The software modules we reviewed seemed to meet our current needs, including
a batch interface into HTE GMBA. This interface will save time and money by
eliminating our current manua~ procedures for cash collection and reporting.
Application security is built into the software utilizing user group and individual
user authorizations to specific functions. This seems adequate for our
installation. The user interface was intuitive and easy to use. The search criteria
used for inquiry was extensive. We were all impressed by the quality and quantity
of pre-packaged reports. Reports are written using Seagate Crystal Reports
6
writer, which is an industry standard report writer used by the city in many
locations, including Parks & Recreation.
Application Design Including Licensing
The software uses a centralized Progress Version 8 database and a 4GL
Progress client. Although we are not currently using Progress it is multi-platform
and has an installation base far greater than many other popular databases. The
database and client software should run fine on servers already in production.
The client software is compatible with Citrix and is currently being used with Citrix
in several locations. Individual client installations should be compatible with
existing hardware. RecTrac client licensing is tracked by concurrent usage.
RecTrac does not lock users out of the application when license count is
exceeded; rather it sends a warning message that can be bypassed. RecTrac
software is not modifiable and source code is not provided. Vermont Systems
supports open database architecture and will provide their customers with data
entity diagrams for writing add-on products and reports.
RecTrac integrates with other Vermont Systems application modules to provide
internet access, telephone access, ID card system interface, and full point of sale
functions. All RecTrac plug-ins are being used in a production environment by
other customers. RecTrac also works with 3rd party vendors to control such
things as facility lighting. RecTrac has many satisfied customers in this area and
even has a users group.
Active. Corn Inc. RecWare
Company Overview Includihg Support Services
Active.Com Inc. has been providing Parks & Recreation software since 1981.
Their web site is informative and has full online technical support. Their
telephone support is very good. Their software demonstration was a
combination of terminal server over the internet and telephone for voice. The
instructor had a hard time answering our questions. Product handouts and
technical specifications were not distributed to attendees. At one point the
instructor had to find another employee to he~p answer questions.
Functionality and Usability Including Security
The software modules reviewed did not have some of the same capabilities of
other products we reviewed. They did have an interface into HTE GMBA but, we
would need more clarification into the products implementation before making a
final purchasing decision. Application security exists but could not be
demonstrated to my full satisfaction. The user interface was intuitive and easy to
use but screen space was not utilized to it full potential making data entry more
difficult. The search criteria used for inquiry was moderate compared to other
products we reviewed. The quality and quantity of pre-packaged reports was
moderate and was not demonstrated very well. It appeared we would have to
write a lot of our own reports. Reports are written using Seagate Crystal
Reports writer, which is an industry standard report writer used by the city in
many locations, including Parks & Recreation.
Application Design Including Licensing
The software uses a centralized Microsoft SQL Server database and a C++
client, which fits well in our current back office environment. The database and
client software should run fine on servers already in production. The instructor
could not answer questions about Citrix compatibility. Individual client
installations should be compatible with existing hardware. RecWare client
licensing is tracked by concurrent usage. RecWare locks users out of the
application when the license count is exceeded. RecWare software is not
modifiable and source code is not provided. No information was provided
regarding database architecture.
Class Software Solutions
Company Overview Including Support Services
Class Software Solutions has been providing Parks & Recreation software since
1971. They have 120 employees with offices in Canada and Australia. Their
web site is informative and has full online technical support. Their telephone
support is very good. Their software demonstration was informative and the
instructor answered most of our questions.
Functionality and Usability including Security
The software modules we reviewed seemed to meet our current needs, including
a batch interface into HTE GMBA. The company is currently building application
program interfaces to other government applications such as Hansen.
Application security is built into the software utilizing user group and individual
user authorizations to specific functions. This seems adequate for our
installation. The user interface works just like most certified Windows
applications. It seemed to be the most comprehensive interface we reviewed.
The search criteria used for inquiry was moderate. The quality .and quantity of
pre-packaged reports was adequate. Reports are written using Seagate Crystal
Reports writer, which is an industry standard report writer used by the city in
many locations, including Parks & Recreation.
Application Design including Licensing
The software uses a centralized Microsoft SQL database and a Visual Basic
client, which fits well in our current back office environment. The software was
the only product certified by Microsoft. The database and client software should
run fine on servers already in production. The ctient software is compatible with
Citrix and is currently being used with Citrix in severa~ locations. Individua~ client
installations should be compatible with existing hardware. Class client licensing
is tracked by concurrent usage. Class locks users out of the application when
the license count is exceeded. Class software is not modifiable and source code
is not provided. Class has closed database architecture with no access to data
entity diagrams for writing add-on products.
6b
Class integrates with other Class application modules to provide internet access,
telephone access, ID card system interface, and full point of sale functions.
Class also works with 3rd party vendors to control such things as facility righting.
Conclusion
Both Vermont Systems RecTrac and Class seem provide good solutions for the
Parks & Recreation department. Class uses a database that we already support,
but they have a closed architecture. Classes interface is more Windows friendly
but does not have some of the functionality that RecTrac provides. RecTrac has
better reporting capabilities built into the application. RecTrac has more
customers in this area and is not as expensive. M.I.S believes that either of the
two software packages is technically sound and both run on the current industry
standard, platform and O/S. Therefore, as it is the user department that must use
this software on a day-to-day basis we will defer the final selection of the
software to Parks & Recreation department.
flOC
Date: Nov. 22, 2002
Request to be placed on:
AGENDA ITEM NUMBER:~~
AGENDA REQUEST
Consent Agenda x Regular Agenda .. Workshop Agenda Special Agenda
Vifhen: December ~, 2002
Description of Agenda Item (who, what, where, how much): Request approval
to purchase RecTrac comprehensive software for the Parks and Recreation Department
in the amount of $46,625. Funding is in the After School rotary account #115-.
0000-248-80.00. The expense will be paid from account #115-~3!-572 ~4.90.
Department Head
Signature: ~/-~~ ~
City Attorney Reviev~ecommendation (if applicable):
Budget Director Review (required on all i.t.e~ns involying expenditure of funds):
Funding
Available: ~e~ / No I~tials:
Funding ~tern~tives: (if opp~c~ble)
City Manager Review:
~ov~ ~o~ A~.~: ~ No ~.~: 7~
Hold Until:
Agenda Coordinator Review:
Received:
MEMORANDUM
TO:
FROM:
SUBJECT:
DATE:
MAYOR AND CITY COMMISSIONERS
CITY MANAGER ~~
AGENDA ITEM # ~o \ - REGULAR MEETING OF DECEMBER ~}. 2002
CHANGE ORDER NO, 1/FINAL PAYMENT/G,T.E. BUILDERS, INC,
NOVEMBER 27, 2002
This is before the City Commission to approve Change Order No. 1 in the net add amount of
$10,887.20, and final payment in the amount of $18,017.01 to G.T.E. Builders, Inc. for Community
Teen Center (505) Project.
Funding is available from 117-6111-519-63.40 (Recreation Impact Fee/Recreation Improvements),
334-6111-572-62.09 0Delray Youth Teen Council), and 442-5178-536-61.83 (Water/Sewer/Lift
Station Rehabilitation).
Recommend approval of Change Order No. 1 and final payment to G.T.E. Builders, Inc.
S:\City Clerk\cheveile folder\agenda memos\Final Payment. GTE Broiders.12.3.02
City Of Delray Beach
Department of Environmental Services
M E M 0 R A N D U M
TO:
FROM:
SUBJECT:
DATE:
DAVID T. HARDEN
City Manager
VICTOR MAJTENYI -~,/~
Assistant Construction Manager
COMMUNITY TEEN CENTER (PN 2000-042)
Change Order #1/Final, Final Payment
NOVEMBER 21, 2002
www. delrayesd corn
Attached for Commission approval is an agenda request for closeout Change Order gl/Final to G.T.E. Builders,
Inc. on the Community Teen Center project, PN 00-042. It is for the fmal plus/minus quantity adjustments and
miscellaneous changes to the original contract. Change Order gl/Final is in the net add amount of $10,887.20. A
request is also made for fmal payment in the amount of $18,017.01 to G.T.E. Builders, Inc. A Contractor Evaluation
form is attached for your review.
A list of items with a brief description of each is presented below.
Design Related Chan~,es
RCO1 During the demolition phase, contractor encountered a conflict with the proposed under slab
plumbing and an existing roof drain. The roof drain was modified and diverted to accommodate the
new layout.
RCO4 This item is for installation of audio speaker controls and wiring for future use.
RCO5
Modified soffit in main room (Room #1) to accommodate new A/C supply ducts and fur down
ceilings in kitchen and bath areas to accommodate new lighting fixtures.
RCO6
Demolished and rebuilt east parapet wall (flame construction). Three existing A/C units mounted on
the lower roof had supply ducts penetrating this wall. Upon removing the existing A/C units and
ductwork, evidence of water and termite damage from leaky connections was significant enough to
warrant complete replacement of this wall.
RCO7
Removed and replaced rotten and termite damaged paneling, furring strips, and base trim bom office
(Room #3).
RCO8.1 Electrical revisions to include installing three duplex receptacles to west wall of main room (Room
#1) and modify a surface mounted light fixtures in storage room (Rm # 2).
RCO9
Additional fill material, grading, and compacting of fill material at new basketball court and rear
patio areas for transitioning from proposed slab elevations to existing grade elevations.
S.'~Eng,4dmtnLProjects~2000~2000-O42~CONSTRC~col.final mere-12 03. 02 doc
Page 1 of 2
RCOIO
RCO14
RCO 17
Additional time and material to tie-in new sewer service to existing lateral. Existing lateral was 36'
from point shown on plans.
Furnish and install new 2" water service to existing meter shown 120LF from plan location.
Furnish and install additional sod at basketball and patio perimeter areas where additional fill
material was placed and graded.
Owner Initiated Changes
RCO3 Modified landscape island and extend driveway at lift station to accommodate larger trucks required
in servicing the station.
RCO8.2
Electrical revisions to include installing a pair of spare 1-1/2" conduits from panel location to
handhole at base of power pole for future use, and installation of low voltage wiring for future
security and computers.
RCO 11
Seal-coating of parking lot. With the reconfiguration of the parking lot and associated parking stalls,
the black-out of the existing stripping lines in conjunction with the new stripping would have made
the stripping appear very busy.
RCO12
Relocate security homerun wires at panel location to inside of adjacent storage closet at owners
request, install 110v duplex receptacle for monitoring cabinet and MIS network, and patch/paint
drywall.
RCO 13 Furnish and install dedicated circuit for proposed fire alarm panel, patch/paim drywall.
RCO15 Replace pair of interior double doors to storage closet.
RCO16 Paint from brick fagade green to match trim color.
Funding is available from the following accounts:
334-6111-572-62.09 Delray Youth Teen Council
442-5178-536-61.83 Water & Sewer/Lift Station Rehab.
$7,712.20 (after budget transfer)
$3,175.20
$10,887.20
CC:
Richard Hasko; Director of ESD
Joe Weldon; Director of Parks & Recreation
Randal Krejcarek; City Engineer
Rafael Ballestero; Dep. Dir, of Construction
City Clerk's Office
Agenda File 12/03/02
Project File 00-042(A)
$: ~Eng~dmm~Projects12000[2000-O421CONSTRC~col final mem-12 03.02 doc
Page 2 of 2
CHANGE NO.
PROJECT TITLE:
TO CONTRACTOR:
CITY OF DELRAY BEACH
CHANGE ORDER TO ORIGINAL CONTRACT
1/Final PROJECT NO. 00-042 DATE:
Community Teen Center
GTE Builders
YOU ARE HEREBY REQUESTED TO MAKE THE FOLLOWING CHANGES IN THE PLANS AND SPECIFICATIONS FOR
THIS PROJECT AND TO PERFORM THE WORK ACCORDINGLY, SUBJECT TO ALL CONTRACT STIPULATIONS AND
COVENANTS.
JUSTIFICATION
Plus/minus quantity adjustments and changes per attached Schedule "A'.
SUMMARY OF CONTRACT AMOUNT
ORIGINAL CONTRACT AMOUNT
COST OF CONSTRUCTION CHANGES PREVIOUSLY ORDERED
ADJUSTED CONTRACT AMOUNT PRIOR TO THIS CHANGE ORDER
COST OF CONSTRUCTION CHANGES THIS ORDER
ADJUSTED CONTRACT AMOUNT INCLUDING THIS CHANGE ORDER
PER CENT INCREASE THIS CHANGE ORDER 3.58 %
TOTAL PER CENT INCREASE TO DATE 3.58 %
$303,472.50 '~'
$0.oo
$303,472.50 j
$10,887.20
$314,359.70 ~
CERTIFIED STATEMENT: I hereby certify that the supporting cost data included is, in my considered opinion, accurate; that
the prices quoted are fair and reasonable and in proper ratio to the cost of the original work
contracted for under benefit of competitive bidding.
GTE Builders
(Contractor to sign & seal)
TO BE FILLED OUT BY DEPARTMENT INITIATING CHANGE ORDER
Funding is available from accounts:
334-6111-572-62.09, Delray Youth Teen Council; 442-5178-536-61.83, Water & Sewer/Lift Station I~eh~lb.
DEPARTMENT FUNDING CERTIFIED BY
DELRAY BEACH, FLORIDA by its City Commission
RECOMMEND:
for Environmental Services
APPROVED:
By:
ATTEST:
By:
Mayor
City Attorney City Clerk
S'~EngAdminLProjectsk2000~2000-042\CONSTRCT~COgl.Final GTE-12 03 02.doc
0
~ ,,cl.
I
C~O0000~O
o
o -~ o
e,,
0
AGENDA REQUEST
Agenda Item No.: ~/~
Request to be placed on:
DATE: November 21, 2002
X
Regular Agenda
Special Agenda
Workshop Agenda
When: December 3, 2002
Description of item (who, what, where, how much):
Approve a request for closeout Change Order #1/Final to GTE Builders on the Community Teen Center
project, PN 00-0042. It is for final plus/minus quantity adjustments and miscellaneous changes to the
original contract. Change Order #1/Final is a net add in the amount of $10,887.20.
A request is also made for final payment in the amount of $18,017.01 to GTE Builders. Y/
Funding is available from account:
Funding Source
Delray Youth Teen Council *
Water & Sewer/Lift Station Rehab.
· after budget transfer
Account Number
334-6111-572-62.09
442-5178-536-61.83
ORDINANCE/RESOLUTION REQUIRED: YES/NO DRAFT ATTACHED
YES/NO
Amount
$7,712.00
$3,175.20
Recommendation: Staff recommends approval of Change Order #1/Final and final payment to GTE
Builders for the construction of..~qprovements to the Community Teen Center, PIN 2000-042.
Department Head ~'~/?,'-,~/~" ,~~
Signature: ~,_~)'~ ~ ~_J ~ I I-Z~----* v
Determination of Consistency with Comprehensive
Plan:
City Attorney Review/Recommendation (if applicable)
Budget Director Review (required on all it~ems [nvolv, ing expenditure of funds):
Funding available ~,/N~ ~
Funding altemative~' "
(ifa plicable)
Account No. & Description See above
Account Balance ~~ ~ 3=~ abuv~
Approved for agenda:Hold Until: C~"-7¢L (~~
Agenda Coordinator Review:
Re~ived:
Placed on Agenda:
Action:
Approved/Disapproved
file 2000-042(A)
projects/2000-042/constrct/agenda req 12.03.02.doc
MEMORANDUM
TO:
FROM:
SUBJECT:
DATE:
MAYOR AND CITY CO~MISSIONERS
AGENDA ITEM# ~ k.~. REGULAR MEETING OF DECEMBER $, 2002
CHANGE ORDER NO. 1/FINAL PAYMENT/CORNERSTONE
BUSINESSES. INC.
NOVEMBER 27, 2002
This is before the City Commission to approve Change Order No. 1 in the net deduct mount of
$21,000.00 and final payment in the amount of $33,651.00 to Cornerstone Businesses, Inc. for the
Barrier Island 16" ICWW Force Main Crossing Project.
Funding is avuihble from 441-5161-536-69.23 (Florida Teleport/Intracoastal) and 441-5181-536-
65.21 (Davis Road/Lone Pine Road).
Recommend approval of Change Order No. 1 and final payment to Cornerstone Businesses, Inc.
S:\Caty Clerk\chevelle folder\agenda memos\Final Payment. Cornerstone Businesses. 12.3 02
City Of Delray Beach
Department of Environmental Services
M E M 0 R A N D U M
TO:
FROM:
SUBJECT:
DATE:
DAVID T. HARDEN
City Manager
RAFAEL BALLESTERO
Deputy Director of Construction
Barrier Island 16" ICWW Force Main Crossing (Pn 2001-014)
Change Order gl/Final, Final Payment
NOVEMBER 20, 2002
www. delrayescL com
Attached for Commission approval is an agenda request for closeout Change Order gl/Final to
Cornerstone Businesses, Inc. on the Barrier Island 16" ICWW Force Main Crossing project, PN
01-014. It is for the final plus/minus quantity adjustments and miscellaneous changes to the
original contract. Change Order gl/Final is a net deduct mount of $21,000.00.
A request is also made for final payment in the amount of $33,651.00 to Cornerstone Businesses,
Inc. A Contractor Evaluation form is attached for your review.
Residual funds to be liquidated from PO#604116 to account # 441-5161-536-69.23 ($21,000.00).
Richard Hasko; Director of ESD
Randal Krejcamk; City Engineer
Victor Majtanyi, Assistant Construction Manager
City Clerk's Office
Agenda File 10/01/02
Project File 01-014(A)
& ~Eng4dmtn ~Projectsl2OO l ~2OO l-O141CONSTRCI~co l finalmem-12 03 02. doc
CHANGE NO.
PROJECT TITLE:
TO CONTRACTOR:
CITY OF DELRAY BEACH
CHANGE ORDER TO ORIGINAL CONTRACT
1 and Final PROJECT NO. 2001-014 DATE:
Barrier Island 16" Force Main Crossing
Cornerstone Businesses, Inc.
YOU ARE HEREBY REQUESTED TO MAKE THE FOLLOWING CHANGES IN THE PLANS AND SPECIFICATIONS FOR
THIS PROJECT AND TO PERFORM THE WORK ACCORDINGLY, SUBJECT TO ALL CONTRACT STIPULATIONS AND
COVENANTS.
JUSTIFICATION:
Final Contract reconciliation, based on the plus/minus quantity adjustments.
SUMMARY OF CONTRACT AMOUNT
ORIGINAL CONTRACT AMOUNT
COST OF CONSTRUCTION CHANGES PREVIOUSLY ORDERED
ADJUSTED CONTRACT AMOUNT PRIOR TO THIS CHANGE ORDER
COST OF CONSTRUCTION CHANGES THIS ORDER
ADJUSTED CONTRACT AMOUNT INCLUDING THIS CHANGE ORDER
PER CENT DECREASE THIS CHANGE ORDER 5.87%
TOTAL PERCENT DECREASE TO DATE 5.87%
$ 357,510.00
$ o.oo
$ 357,510.00
$ (21,000.00)
$ 336,510.00
CERTIFIED STATEMENT: I hereby certify that the supporting cost data included is, in my considered opinion, accurate; that
the prices quoted are fair and reasonable and in proper ratio to the cost of the original work
contracted for under benefit of competitive bidding.
Cornerstone Businesses, Inc..
(Contractor to sign & seal)
TO BE FILLED OUT BY DEPARTMENT INITIATING CHANGE ORDER
Funding Source is 441-5161-536-69.23 (Water/Sewer Transmission Main) ~%
DELRAY BEACH, FLORIDA by its City Commission
RECOMMEND:
for Environmental Services
APPROVED:
By:
Mayor
ATTEST:
By:
City Attorney City Clerk
Agenda Item No. ~--~-'"
Request to be placed on:
AGENDA REC~UEST
Date: November 20, 2002
--X-Regular Agenda
Special Agenda
Workshop Agenda
When: December 3, 2002
Description of item (who, what, where, how much):
Attached for Commission approval is an agenda request for closeout Change Order #1/Final to
Cornerstone Businesses, Inc. on the Barrier Island 16" ICWW Force Main Crossing project, PN 01-014. It
is for the final plus/minus quantity adjustments and miscellaneous changes to the original contract.
Change Order #1/Final is a net deduct in the amount of $21,000.00.
A request is also made for final payment in the amount of $33,651.00 to Cornerstone Businesses, Inc.
Residual funds to be liquidated from PO~604116 to account # 441-5161-536-69.23 ($21,000.00).
ORDINANCE/RESOLUTION REQUIRED: Not required.
Recommendation: Staff re(xxfl~ends award
Cornerstone Businesses, Inc.
Department head signature: ~,.~'--~<.<~,~!~,.~ .
\
o.~~rder
#1/Final and Final Payment to
Determination of Consistency with Comprehensive Plan:
City Attorney Review/Recommendation if applicable):
Budget Director Review (req~ed on all, items involvir~ expen/diture of funds):
Funding available: ~E~,~NO
Funding altemative~'~f applicab,:le): see a~e
Account No. & Description
Account Balance
City Manager Review:
Approved for agenda: E~NO
Hold Until:
Agenda Coordinator Review:
Received:
Placed on Agenda:
Action:
Approved/Disapproved
s:~..301-O14~AgReqCO1 closeout 12.03.02
MEMORANDUM
TO:
FROM:
SUBJECT:
DATE:
MAYOR AND CITY COMMISSIONERS
CITY MANAGER ~~
AGENDA ITEM # c3! ~ \-REGULAR MEETING OF DECEMBER 3, 2002
GRANT AWARD FOR HOUSING REHABILITATION CONTRACT
November 27, 2002
This is before the Commission to consider approval of the following housing rehabilitation contract:
* $21,000.00 to Preston Construction for 329 S.W. 12'~ Avenue
Funding for the total amount of $21,000.00 for this grant is available from 118-1963-554-49.19
(SHIP Housing Rehabilitation).
Recommend approval of the housing rehabilitation grant award contract as outlined above.
S:\C:ty Clerk\chevelle folder\agenda memos\CDBG Housing Rehab Award 12.3.02
City of Delray Beach Community Development Division
MEMORANDUM
TO:
THRU:
FROM:
DATE:
SUBJECT:
David T. Harden, City Manager
Lula Butler, Director of Community Im~ovement
Kendra W. Graham, C.D. Administrator
November 21, 2002
Community Development Division Housing Rehabilitation Grant Award
ITEM BEFORE CITY COMMISSION
Approval is requested for one (1) Housing Rehabilitation grant award to the lowest responsive
bidder. This request is in accordance with the City's Community Development Division's
approved Policies and Procedures.
BACKGROUND
The grant awards are based on the actual cost of the rehabihtation, as determined by the low
responsive b~dder, plus a 5% contingency. The contingency may be used for change orders and
all unused funds will remain w~th the Housing Rehabilitation grant program.
Inspection of work is done by the Department of Commumty Improvement' s Building Inspection
and Commumty Development D~vision. Contracts are executed between the bmlding contractor
and the property owner. The City remains the agent and this office monitors all work performed
by the contractor, ensuring comphance accor&ng to specfficat~ons and program guidelines. Pay
request forms require both contractor and homeowner's signatures. Grant recipients have met all
eligibility requirements as spemfied in the approved Pohcies and Procedures.
The rehabihtation actiwties will bring the homes to minimum code requirements by repainng the
roof, electric and plumbing systems and correcting other incipient code violations. Detailed
work write-ups and ~ndividual case files are available for rewew in the Community Development
Division Office.
The Community Development D~vision is responsible for ensunng that the housing rehabilitation
contracts are awarded to the lowest responsible bidder, as a result of a formal bid process.
Therefore, an m-house pohcy was created to hm~t awards to the lowest responsible b~dder as ~t
relates to the Division's professional in-house estimate. This serves to disquahfy unreasonably
low bids and therefore protect against the resulting change order requests. Th~s pohcy further
assists the Division with ~ts goal of completing each rehabilitation actimty utihz~ng the estimated
amount of funding required.
RECOMMENDATION
Staff recommends awarding the bid £or one (1) Housing Rehabilitation project to the verified
responsible low bidder and authorize award in the following amount:
Case Number Address Contractor Grant Amount
99-029 HR 329 SW 12th Ave. Preston Construction
$21,000.00
CITY OF DELRAY BEACH COMMUNITY DEVELOPMENT DIVISION
AFFORDABLE HOUSING REHABILITATION PROGRAM
BID/QUOTATION INFORMATION SHEET
BID/QUOTATION #: 2003-02 SH
APPLICANT: Mary Houston
PROJECT ADDRESS: 329 SW 12th Avenue
DATE OF BID LETTERS: October 24, 2002
DATE OF BID OPENING: November 7~ 2002
NAME OF CONTRACTORS
ABISSET CORPORATION
CRAFTSMAN PLUS, INC.
DAKOTA CONSTRUCTION, INC.
HENRY L. HAYWOOD
HORIZON ROOFING
PRESTON CONSTRUCTION
SOUTH FLORIDA CONSTRUCTION
WRIGHT'S WAY ROOFING
IN-HOUSE ESTIMATE
CONTRACTOR AWARDED CONTRACT:
AMOUNT OF BIDS
$ 21~825.00
$ 19~325.00
$
$ 20~725.00
$
$ 20~000.00
$ 20~195.00
$
$
$
$ 17~961.00
Preston Construction
BID/CONTRACT AMOUNT: $20~000 + 5% contineency ($1,000.00) = $21,000
FUNDING SOURCE: CDBG Rehabilitation Program Account No. 118-1963-554-49.19
COMMENTS: Lowest bidder, Craftsman Plus currently has two open jobs. Project awarded to second
lowest bidder
AGENDA REQUEST
Request to be placed on:
Regular Agenda
Special Agenda
__ Workshop Agenda
Consent Agenda
Date:
~vrhen[
November 21, 2002
December 3, 2002
Description of item (who, what, where, how much):
Case Number Address
Contractor
Grant Amount
00-029 CDBG HR 329 SW 12th Ave.
Preston Construction
$21,000.00
ORDINANCE / RESOLUTION REQUIED: YES/NO Draft Attached: YES/NO
Recommendation: Recommend approval of one (1) Community Development Block
Grant (CDBG) Housing Rehabilitation Grant and Contract award from Account 118-
1963-554-49.19 in the total amount of $21,000.00. This grant amount includes a 5%
contingency.
Department Head Signature: ~'"~~ ~ [ ~'~o-.-~'~
City Attorney Review/Recommendation (if applicable):
Budget Director Review (required on all items involving expenditure of funds):
Funding available: ~lqO
Funding Alternatives:
Account No. & Desc. ription:
Account Bal~ce: ~
City M~ager Review:
Approved for agenda: ~O
Hold Until:~
Agenda Coordinator Review:
Received:
Placed on Agenda:
Action: Approved/Disapproved
[ITT' DELRI:I¥ 9ER[H
DELRAY BEACH
~ 100 N W. lstAVENUE
1993
2001 TO:
FROM:
SUBJECT:
DELRAY BEACH, FLORIDA 33444
David T. Harden, City Manager
~Robert A. Barcinski, Assistant City Manager
AGENDA ITEM - DECEMBER 3~ 2002 SPECIAL EVENT REQUEST -
DOWNTOWN DELRAY ART FESTIVAL
DATE: November 21, 2002
561/243-7000
Action
City Commission is requested to endorse the 14t~ Annual Downtown Art Festival sponsored by Howard
Alan Events, Ltd. to be held January 18-19, 2003, to grant a temporary use permit per LDR's section
2.4.6(H) for use of city right-of-way, and Vittorio's lot for vendor parking, to authorize staffto apply for the
FDOT street closure permit, to authorize staff support for security, traffic control, and to permit an event
sign to be erected on Atlantic Avenue just east of 1-95 one week prior to the event.
Background
Howard Alan Events, LTD. will again be conducting the 14t~ Annual Downtown Arts Festival. This year
again, a portion of the proceeds will be given to the Joint Venture. Mr. Alan is requesting closure of
Atlantic Avenue, from just east of NE/SE 6th Avenue east to Salina. He is also requesting the use of
Veteran's Park for vendor parking and requesting security service from the Police Department. Mr. Alan
has indicated that he would rent and install barricades with volunteers; however, because Federal Highway,
as well as Atlantic Avenue, will need to be barricaded, I am recommending that City staff install the
barricades for safety reason. The estimated overtime cost for City services $3,800. Mr. Alan will pay for
these costs as well as provide for trash removal, clean up, and port-a-lets. Signage per LDR's section
4.6.7(D)(3)(j)(i) can be installed one week prior to the event and must be under 20 square feet. We have
attached a rough site plan, budget, and hold harmless agreement. This is not a new event and does not
exceed the limit established.
Recommendation
Staff recommends endorsement of the event, granting of the temporary use permit for the street closure and
parking lot use as requested, providing staff assistance for traffic control and barricading as recommended,
and allowing the event sign to be installed with all overtime costs to be paid by the vendor. The vendor is
also required to provide a certificate of liability insurance.
RAB:tas
cc: Marjorie Ferrer
Fde'u sweeney/events
Doc'14 ,inn Downtown .4rt Festival
Pnnted on Recycled Paper
THE EFFORT ALWAYS MATTERS
October 23, 2002
Mr. Robert Barcinsld
Assistant City Manager
City of Delray
100 NW l~t Avenue
Delray Beach, FL 33444
A/14Et~ /~-.A '5 FINF__S T
Dear Mr. Barcinski:
We are planning for the 14a Annual Downtown Delray Art Festival, to be held January 18 - 19,
2003 on Atlantic Avenue starting just east of Federal Highway and going our typical route to Salena.
Salena and Andrews will be left open.
Please be advised that the following logistics for the 14t~ Annual Downtown Delray Art Festival
will be arranged:
Street Closure: Bob's Barricades will drop off barricades on Friday, January 17, 2003, and our
employees will set them up early Saturday morning.
Police: The Delray Police Department will arrange for Police and Sec~dty from 10:00 am - 5:00 pm
on Saturday and Sunday, and overnight security on Saturday from 6:00 pm - 6:00 am.
Port-O.Lets and Dumpster: 5 regular and 2 handicap portolets have been ordered through
Anderson Rentals and will be dropped off on Friday, January 17, 2003 and will be picked up on
Monday, January 20, 2003, with servicing on Sunday, January 19, 2003.
Two 30-yard rolloff dumpsters are ordered from BFI. They will be dropped off on Friday and picked
up on Monday as well. Locations of dumpsters will include municipal spots behind Veterans Park on
city street and on Seabreeze as indicated.
Trash Receptacles: Trash receptacles will be supplied and maintained by our professional clean-
up crew, Profest (Mitch). They will handle clean up of the trash throughout the area each day.
Vendor Parking: RV's and large rig vehicles will park in the municipal parking lots just west of the
Intracoastal Waterway. Cars and vans will park at Bank of America during the day only.
Insurance: City required certificates will be issued, including a $2 million dollar liability policy.
As always, we greatly appreciate your great help and time that you put into these events.
have any questions, please feel free to call me at (954) 472-3755.
/'Howard Alan, President
Howard Alan Events, Ltd.
If you
9695 W.
BROWARD BLVD. · PLANTATION. FLORIDA 33324
(954) 472-3755 ° FAX (954) 472-3891
www. artfesti val. eom
HOWARD ALAN EVENTS;
9544723891;
Nov-29-01 15:58;
AVE.
.El
AVE.
Page 2/2
.... H',':' NO]I)I
Howard Alan Events
The 13th Annual Delray Art Festival
January 19-20, 2002
PROPOSED BUDGET FOR JANUARY 2002
INCOME:
Artist Revenue $64,125
Food Vendor Revenue $3,900
Total Revenue $68,026
EXPENSES:
Advertisin~l:
Boca Raton News Expense $708.50
Palm Beach Post Expense $2,543.57
South Florida Newspaper Expense $715.00
Sun Sentinel Expense $8,274.90
WPEC CHANNEL 12 Expense $7,500.00
Sun Sentinel CharitIes Ad Program Expense $2,$00.00
Advertisin~l SubTotal $22,241.97
Services:
Permit ~Palm Beach County Health Expense $25.00
Si~nage 'AA Sign Lines Expense $942.72
Sanitation IWaste Management-portolets Expense $671.00
Samtation - 2 30 yd dumpsters !Waste Management- dumpster Expense $950.00
Sanitation Pro Fest Expense $2,t00.00
Barricades !Bob's Barricades Expense $515.00
City of Delray, O/T barricade set up ICity Of Delray Beach Expense $325.00
Security ~Clty Of Delray Beach Expense $3,983.00
Rentals !Pro Fest Expense $1,400.00
Graphics for advertising !Expense Expense $12.5.00
Payroll Staff Expense $1,200.00
Rental Property Delray Joint Venture Expense $15,000.00
Lodgings and meals, travel Expense $650.00
Media Related Expenses Expense $1,208.00
Two Million Dollar liability ins policy Expense $425.00
Administrative Overhead telephone, mailings,etc Expense $t,100.00
Entertainment $3,000.00
Misc expense $900.00
Service SubTotal $34,519.72
Total Expenses $56,761.69
Show Profit $11,263.31
11~Y-22-2001 TIE 11:20 ~ ClTY. IIGR. D£L~Y. BCH P. 02
HOLD H~/MLE~ ~R~NT
~I~,.,~.._, 200~ by and between thc CITY OF DELRAY BF_,ACH, FLORIDA, a
Florida municipal corp~oration (hereinafter
SPONSOR").
referred to as "CITY")
_, (he. reimfmr referred to as "EVENT
WIT, NES SETH:
(hereinafter referred to as the "Event"); and / t
kllOWn as
WHEREAS, the B~ent will be held within the City limits of Delray Beach; and
WHRREAS, tie City Commission has dcm'mined that such an Event promotes the
public's health, safety and welfare.
NOW, .TF!ERI~ORE, for the mutual covenants and. matters set forth herein, as of the
date set forth above, the parties hereby agree as follows:
1, The recirafiom set forth above ~ incorporated herein.
2. Indemnification. EV'~rI" gPONSOR, for good and valuable
consideration, agrees to defend, indem_-!fy, ~-a hold harmless the CITY, its agents, officers,
employees and servants from any and all suits, causes of action or any claim whatsoever made,
and d.m_.ges, which may result from any activity conducted by EVENT SPONSOR, its
ag~s, embloyebs, assigns or contractors, in relation to the Event.
~1~Y-22-2001 T~ 11:21 ~i~ (]ITY, FIr~P~.D£L~Y. Bf]H P, 03
~. Insurance. EVENT SPONSOR s_h_s_ll obtain insurance cove. ring the Event in
the s__mounts and of the types specifw, d in Exhibit "A~ attached hereto which is incorporated
herein as if fully set forth.
4. Gov,.e~l laws~ venue. This agreement shall be governed by the hws of the
State of Florida. Any procee~g initiated to enforce the provisions of _~b!s agreement ~hall be
~ .
brought in the State or Federal courts located in Palm Beach County, Fl~rida.
5. Binding Effect,. All of the terms and provisions of this Agreement shall be
binding upon, inure to the be.n~t of, arid be ca,forcible by, thc parties hereto and their
respective heirs, successors, legal representatives, and permitted assigns.
6. Entire Agreement. This Agreement shall constitute the entire agreement of the
parties with resp~t to the subject matter of it. All prior understandings and agreements
betwee~ the parties with respect to such matters are merged into this Agreement, which alone
fully and con~letely expresses their understanding.
?. .Ameu&men~s. This Agreement may not be amended, modified, altered, or
changed in any respect, except by a further agreement in writing duly executed by each of the
parties hereto.
S. .Third Parties. Noth~ in th~s. A~re~.ment, whether express or implied, is
intended to confer any rights or r~medies under or by reason of this Agreement upon any
person other than the parties hereto and their respective heirs, successors, ~egal
representatives,, end permitted assigv, s, nor is anything in this Agreement intended to relieve or
discharge the obligation or liability of any third persons to any party to .this Agreement, nor
shall any provision thereof give any third person any' right of subrogation or action over or ·
against any party to this Ag~*ment.
2
CITY, iiGR. DELRAY. BOil
P. 04
IN WrrNBSS WHBRBOF, file parties hereto have ~n~ered into mi.~ ~gre~r~-t the
day and year f'~t wril~en above.
ATTBST:
C~ C1~1~I
Approved as
CITY OF DELRAY BEACH, FLORIOA,
'a Florida mtmicipal corporation
By:
Da'~,id Schmidt, Mayor
~:iry AUor~
STATE OF FLORIDA
COUNTY OF
The foregoing imtmment was aclmowled~cd bd6~ me this .. day of
~(~il~/l~ .. 20072 by_ ~]~0~,k~ ~,~' (~e of officer or agent, tiff, of
ac~wledg~),, ~O~x ~ _ _ ira, or p~e of ~orafion) ~omgon, on be~lf
of .~ ~fi~. ~/She ~ p~o~y ~ to ~ or has prodded
(~e of
~igi~u.~e ~ Nblary Public-
~at~ of Florida
Caren Siegler ·
MEMORANDUM
TO: MAYOR AND CITY COMMISSIONERS
FROM: CITY MANAGER ~71/~
SUBJECT: AGENDA ITEM # - REGULAR MEETING OF DE(~EMBER 3,2002
REPORT OF APPEALABLE LAND DEVELOPMENT BOARD ACTIONS
DATE: NOVEMBER 27, 2002
Attached is the Report of Appealable Land Use Items for the period November 18, 2002 through
November 29, 2002. It informs the Commission of the various land use actions taken by the
designated boards, that may be appealed by the City Commission.
Recommend review of the appealable actions for the period stated. Receive and file the report as
appropriate.
S:\City Clerk\chevelle folder\agenda memos\apagmtm~12.3.02
TO:
THRU:
FROM:
SUBJECT:
DAVI.D~T. HARDEN, CITY MANAGER
PAUL DORLING, ~RECTOR OF PLANNING AND ZONING
0ASMIN ALLEN, PLANNER
MEETING OF DECEMBER 3, 2002 *CONSENT AGENDA*
REPORT OF APPEALABLE LAND USE ITEMS NOVEMBER 18, 2002
THRU NOVEMBER 29, 2002
The action requested of the City Commission is that of review of appealable actions
which were made by various Boards during the period of November 18, 2002 through
November 29, 2002.
This is the method of informing the City Commission of the land use actions, taken by
designated Boards, which may be appealed by the City Commission. After this meeting,
the appeal period shall expire (unless the 10 day minimum has not occurred). Section
2.4.7(E) of the LDRs applies. In summary, it provides that the City Commission hears
appeals of actions taken by an approving Board. It also provides that the City
Commission may file an appeal. To do so:
1. The item must be raised by a Commission member.
2. By motion, an action must be taken to place the item on the next meeting of the
Commission as an appealed item.
Ao
Approved with conditions (5 to 0, Jess Sowards absent, Mark Krall stepped down),
a master plan modification in conjunction with the construction of 90 zero lot-line
single family units on 18.94 acres within Phase IV of the Sabal Lakes
Subdivision, located at the southeast corner of Barwick Road and Sabal Lakes
Road. Concurrently, the Board approved the following internal adjustments:
- Reduced the front setback from 20' to 15' to accommodate Model 319 for lots
55-62, 69 and 71-86.
Reduced the required side interior setback from 15' to 10' throughout Phase IV.
- Reduced the required right-of-way width from 50' to 40' on the terminus of the
private roadways.
City Commission Documentation
Appealable Items Meeting of December 3, 2002
Page 2
No other appealable items were considered by the Board. The following items will be
forwarded to the City Commission for action.
Recommended denial (6 to 0), of a conditional use request to allow the
establishment of a child care facility for Albatross Child Care Center, located at the
southeast corner of Albatross Road and Curlew Road.
Recommended approval (6 to 0), of a combined preliminary/final plat for Calypso
Bay Townhomes, a proposed 6-unit townhouse development, located on the west
side of Gleason Street, approximately 100 feet south of Miramar Drive.
Recommended approval (6 to 0), of a combined preliminary/final plat for Seabreeze
Isles, a proposed 5-unit townhouse development, located at the southwest corner of
Seabreeze Avenue and Lowry Street.
Recommended approval (6 to 0), of a combined preliminary/final plat for a 4.15 acre
development known as Pineapple Grove Village, located on the east and west sides
of NE 3rd Avenue, between NE 3rd Street and NE 2nd Street and extending
approximately 154 feet south of NE 2nd Street.
Approved (6 to 0, Deborah Dowd absent), a request for a color change for an
existing residential building for The Dorchester, located at the northwest corner
Ocean Boulevard and Thomas Street.
Tabled (6 to 0), the architectural elevation plan to allow the installation of a
retractable awning for Caf~ Veri Amici, located on the east side of Pineapple Grove
Way (NE 2nd Avenue), south of NE 2nd Street. The Board requested that the
applicant provide other alternatives for the proposed awning.
Approved (6 to 0), the architectural elevation plan associated with the installation of
a new door and awning along the west elevation for Rotelli, an existing restaurant
located at the northeast corner of SE 5th Avenue (southbound Federal Highway) and
East Atlantic Avenue.
Tabled (6 to 0), the architectural elevation plan associated with the installation of
Iouvered shutters, decorative railing and a color change for Waterway East, an
existing commercial building, located at the southeast corner of the Intracoastal
Waterway and East Atlantic Avenue. The Board requested that the applicant rethink
the design and the architectural elements proposed.
Approved (6 to 0), the architectural elevation plan associated with the addition of an
awning on the west elevation at 59 SE 4th Avenue, an existing commercial building,
located on the east side of SE 4th Avenue, south of East Atlantic Avenue.
City Commission Documentation
Appealable Items Meeting of December 3, 2002
Page 3
Approved (6 to 0), the architectural elevation plan associated with the addition of
awnings for 495 NE 4th Street, an existing commercial building, located at the
northwest corner of NE 5th Avenue (southbound Federal Highway) and NE 4th Street.
Approved (5 to 0, Mark Gregory stepped down), the architectural elevation plan
associated with fa(;ade changes for the Antique Experience, located at the
southeast corner of SE 5th Avenue (southbound Federal Highway) and East Atlantic
Avenue.
Approved (5 to 0, Gary Eliopoulos stepped down), the architectural elevation plan
associated with elevation changes for Spanish River Inn, an existing hotel, located
at the northeast corner of East Atlantic Avenue and Seabreeze Avenue.
Approved with conditions (6 to 0), a Class II site plan modification and landscape
plan for Old Palm Grove, a proposed residential development, located at the
northeast and southeast corners of North Federal Highway and Royal Palm
Boulevard. The Board tabled the architectural elevation plan and directed the
applicant to reduce the number of architectural elements so as to lessen the
"gingerbread" effect.
10.Approved with conditions (6 to 0), a Class V site plan, architectural elevation plan
and landscape plan associated with the construction of a 2,400 square foot
contractor's office for Tropical Awning, located on the west side of SE 1st Avenue,
approximately 50' north of SE 4th Street.
Approved (6 to 0, Perez-Azua absent), a request to modify the architectural plan for
Atlantic Grove (townhomes component), located on the north side of West Atlantic
Avenue between NW 3rd Avenue and NW 4th Avenue.
Approved (6 to 0), a Certificate of Appropriateness associated with a color change
for the Colony Hotel, located at the northwest corner of NE 6th Avenue (northbound
Federal Highway) and East Atlantic Avenue (525 East Atlantic Avenue).
Approved (6 to 0), a Certificate of Appropriateness associated with the installation of
awnings for the Popper/Barnett Residence, located on the west side of SE 7th
Avenue, between SE 3rd Street and SE 4th Street (330 SE 7th Avenue).
By motion, receive and file this report.
Attachment: Location Map.
CITY OF DELRAY BEACH, FLORIDA
- City Commission Meeting-
December 3, 2002
GULF STRFJtM BLVD
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L-38 CANAL
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P &Z:
A SABAL LAKES PHASE IV
S.P.R.A.B '
1. THE DORCHESTER
2 CAFE VERI AMICl
3 ROTELLI
4 WATERWAYEAST
5 59S. E 4THAVENUE
6. 495 N.E 4TH STREET
7 THE ANTIQUE EXPERIENCE
8. SPANISH RIVER INN
9 OLD PALM GROVE
10 TROPICAL AWNING
H. PB ·
X ATLANTIC GROVE
Y COLONY HOTEL
Z POPPER/BARNETT RESIDENCE
CITY LIMITS
/ V
I ONE MILE I
GRAPHIC SCALE
CITY OF DELRAY BEACH, FL
PLANNING & ZONING DEPARTMENT
2002
- - DIGITAL BASE-MAPPING SYSTEM - -
$
MelTIO
To:
From:
City Commission /~
David Harden ~'f
November 27, 2002
General Employee Pay Plan Adjustments
Distributed with this agenda package is a copy of the Salary Study recently completed by
Human Resources Management Partners, Inc. The study proposes numerous adjustments
to our pay plan as well as adjustments to individual jobs in order to keep us competitive in the
market place.
You will recall that we budgeted a relatively large amount in Contingencies this year, primarily
to fund needed adjustments in our general employee pay scales. The amount needed to
fund the changes recommended in the Study and the attached memo from our Human
Resources Director is about $350,000, including fringe benefits. We have sufficient funds
available in Contingencies to cover this cost.
Recommendation: I recommended that the Commission approve all the pay plan changes
proposed in the HRMP Salary Study report and the attached memo from Ned Gusty.
HUMAN RESOURCES
MEMORANDUM
TO: Mayor David Schmidt
City Commissioners
TItROUGH: David Harden, City Manager
FROM: Ned Gusty, Human Resources Director'~/,l~
DATE.' November 27, 2002
SUBJECT: HRMP, Inc. Salary Study
The Human Resources Management Partners, Inc. have completed the
Salary Study for the non-represented job classifications and offered their
final report.
The study compares salary schedules for the Director, Exempt and Non-
Exempt classifications with the external labor market ranges, as well as,
notes internal equity adjustments. A three percent (3%) adjustment is
recommended at the minimum/maximum rate for all three schedules.
Additionally, there are appropriate recommendations for reallocations of
certain job classifications within the schedules, primarily to adjust for
external labor market comparisons.
Finally, in order to alleviate salary compression issues with incumbents
and future hires, it is recommended by this office, that all incumbent
employees within the non-represented job classifications, receive a three
percent (3%) base rate adjustment effective December 1,2002.
MEMORANDUM
TO:
FROM:
SUBJECT:
DATE:
MAYOR AND CITY COMMISSIONERS
AGENDA ITEM - REGULAR MEETING OF DECEMBER 3. 2002
AWARD OF BIDS AND CONTRACTS
NOVEMBER 27, 2002
This is before the City Commission to approve the award of the following bids:
Contract award to Insituform Technologies, Inc. in the amount of $528,972.00 for
trenchless sanitary sewer rehabilitation of 9,112 feet of gravity sewer (System
17/Barrier Island). Funding is available from 442-5178-536-63.51 (Sewer Mains).
Bid award to various vendors for the purchase of chemicals and fertilizers via Co-op
Bid #2002-43 for a total amount of $183,000.00. Funding is available from 001-
4131-572-52.26 and 001-4511-539-52.26 (General Fund/Gardening Supplies), 445-
4714-572-52.26 (Delray Beach Municipal Golf Course Fund/Gardening Supplies),
and 446-4714-572-52.26 (Lakeview Golf Course Fund/Gardening Supplies).
Lease award to Meats Motor Leasing in the amount of $28,000.00 for FY 2002 for
the lease of five (5) police vehicles under the Florida Sheriff's Association and
Florida Association of Counties, Bid #02-10-0826. Funding is available from 001-
2115-521-44.40 (Rental and Lease Vehicles).
Recommend approval of the above bids and purchases.
S:\City Clerk\chevelle folder\agenda memo\B~d Memo.12.3.02
City Of Delray Beach
Department of Environmental Services
M E M 0 R A N D
U
M
TO:
FROM:
DATE:
SUBJECT:
David T. Harden
City Manager
C. Danvers Beatty, P.E.-~~~
Deputy Director of Publi~tiliff~
November 25, 2002
Rehabilitation of Gravity Sewer
System 17
Attached is an Agenda Request and supporting documentation for award of a contract to
Insituform Technologies, Inc. for trenchless sanitary sewer rehabilitation of 9,112 feet of gravity
sewer. The specific area identified for rehabilitation is System 17, Barrier Island.
The work will be performed based on unit prices from the existing Manatee County Contract on
file in the Purchasing Division. The total amount of this contract is $528,972.00 and funding is
available from R&R Account # 442-5178-536-63.51, Sewer Mains.
Please place this item on the December 3, 2002 Agenda for consideration by City Commission.
CDB/pd
CC:
Richard Hasko, P.E., Director of Environmental Services
Scott Solomon, Manager of Water/Sewer Network Division
City Clerks Office
Agenda File
U.\wwdatahMemo\C~ty ManagerLRehabfi~taUon of Gravity Sewer 112502 doc
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AGENDA REQUEST
No,
Request to be placed on:
X Regular Agenda
__ Special Agenda
__ Workshop Agenda
Agenda Item ~.~._
Date: November 25, 2002
When: D~cember 03, 2002
Description of item (who, what, where, how much): Staff requests Commission award of a contract to
Insltuform Technologies, Inc. for trenchless sanitary sewer rehabilitation of 9,112 feet of gravity sewer. The
work will be performed based on unit prices from the existing Manatee County Contract on file in the
Purchasing Dixnslon. The total amount of this contract is $528,972.00 and funding is available from
Account # 442-5178-536-63.51, Sewer Mains.
ORDINANCEfRESOLUTION REQUIRED: YES/NO DRAF'r ATTACHED YES/NO
Recommendation:
County Contract in the amount of $528.972.00.
Department head signature:
Determination of Consistency with Comprehensive Plan:
Staff recommends award of a contract to Insituform Technolo~es, Inc. off the Manatee
City Attorney Review/Recommendation (if applicable):
Budget Director Review (re. gqni~d on all items involving expenditure of funds):
Funding available:~
Funding alternatives ~' (if applicable)
Account No. & Description
Account Balance
City Manager Review:
Approved for agenda: ~/NO ~/~/
Hold Until:
Agenda Coordinator Review:
Received:
Placed on Agenda:
Action:
Approved/Disapproved
U:\wwdata~Forms~genda Requests~AgendaReq - Grawty Sewer 112502.doc
MEMORANDUM
TO:
FROM:
THROUGH:
DATE:
SUBJECT:
David T. Harden, City Manager
Jacklyn Rooney, Purchasing Supervisov~
Joseph Safford, Finance Director
November 26, 2002
DOCUMENTATION - CITY COMMISSION MEETING
DECEMBER 03, 2002 - BID AWARD - BID//2002-43
CO-OP BID CHEMICALS AND FERTILIZERS
Item Before Commission:
City Commission is requested to approve multiple awards to low responsive bidder(s), as stated
below, at an estimated annual cost of $183,000 for the City of Delray Beach.
Background:
The City of Delray Beach is the lead entity for this co-operative bid. Bids were received on
Thursday, October 10, 2002 from eighteen (18) vendors, all in accordance with City purchasing
policies and procedures. (Bid #2002-43), documentation on file in the Purchasing office.) A
tabulation of bids with the awarded vendor highlighted and award recommendations per item
number is attached for your review.
A meeting was held on November 19, 2002, with Tom Arendt, Delray Beach Municipal Golf
Course, Tom Gyrm, Lakeview Golf Course, Tim Simmons, Parks Superintendent, and
Purchasing to review bids received and make award recommendations. See attached memo
dated November 26, 2002 to Palm Beach County Cooperative Purchasing Council.
Awarded vendors are as listed below:
Vendor(s):
Argo Distribution d/b/a Pro Source One
DuCor International Corp.
Carso Inc
Southeastern Turf Grass Supply Inc.
Helena Chemical Company
Lesco Inc.
Parkway Research
Univar USA (Vopak Van Waters & Rodgers)
Lykes Agri Sales Inc.
United Horticulture Supply
Diamond R. Fertilizer Co.
Parkway Research / Division of Brandt
Atlantic FEC Fertilizer & Chemical Co.
Howard Fertilizer & Chemical Co. Inc.
Liquid Ag Systems (Div. of Douglass Fert)
Recommendation:
Staff recommends multiple awards to vendors as stated above at an estimated annual cost of
$183,000 for the City of Delray Beach. Funding from the City of Delray Parks and Recreation
Department operating budget of $69,000 and City of Delray Beach Municipal Golf Course, and
Lakeview Golf Course operating budget of $114,000.
Attachments:
Tabulation of Bids
Memo to Co-op Members
Award Recommendations
Cc:
Joe Weldon, Director of Parks & Recreation
Tim Simmons, Superintendent of Parks & Recreation
Brahm Dubin, Delray Beach Municipal Golf Course
Tom Arendt, Delray Beach Municipal Golf Course
Tom Gynn, Lakeview Golf Course
City of Boca Raton
City of Boynton Beach
City of West Palm Beach
Solid Waste Authority of Palm Beach County
City of Lake Worth
City of Greenacres
DELRAY BEACH
AII-AmedcaCity
1993
2001 Members of the Palm Beach
County Cooperative Purchasing Council
100 N.W 1st AVENUE
November 26, 2002
DELRAY BEACH, FLORIDA 33444
561/243-7000
RE: Bid #2002-43 - Co-op Bid "Chemicals and Fertilizers"
Dear Members;
As the City of Delray Beach is the lead entity for this Co-op Bid, attached you will find the City
of Delray Commission Agenda package with bid awards broken down per item number for
Chemicals and Fertilizers. This contract is scheduled for the December 03, 2002 Commission
Agenda.
The City of Delray Beach recommended award to low bid per item to the responsible, responsive
bidder who bid per the required specifications. In some items substitutes were submitted and
approved for award. In the case of tie bids, the award was made to the vendor closest to the City
of Delray Beach. In the case of minimum shipping requirements, as stated by vendor(s), each
entity may choose to award accordingly to their quantities and minimum shipping size
requirements and storage space available.
If you have any questions, you may contact me at (561) 243-7163.
Purchasing Supervisor
Attachments
Cc:
Joseph Safford, Finance Director
City of Boca Raton
City of West Palm Beach
Solid Waste Authority of Palm Beach Cnty.
Tom Arendt, Delray Beach Golf Course
Tim Simmons, Superintendent of Parks & Recreation
Tom Gyrm, Lakeview Golf Course
City of Boynton Beach
City of Lake Worth
City of Greenacres
Prmted Or;, Recycled
THE EFFORT ALWAYS MATTERS
CHEMICAL AND FERTILIZERS
BID #2002-43
AWARD RECOMMENDATIONS
CHEMICALS:
ITEM
# DESCRIPTION
UNIT PRICE
VENDOR COST
COMMENTS
1. Acephate
2. Alliette
Amdro Ant Killer
4. Aquathol Super K
5. Arsenal
6. Asulox
7. Atrazine 4L
Herbicide
8. Award
9. Barricade 65 WG
10. Basagran
11. Bivert Sticking
Agent
12. Blazon SP or
Equivalent
13. Buffer Control
Howard Fertilizer
& Chemical Co.
Agro Distribution
d/b/a Pro Source One
Agro Distribution
Agro Distribution
United Horticultural
Supply
Helena Chemical
Helena Chemical
Agro Distribution
Carso, Inc.
Carso, Inc.
Lesco Inc.
Company
Parkway Research
DeCor International
$8.00 lb.
10lb. min.
$16.25 lb.
$6,05 lb.
$12.30 lb.
$241.00 gal.
$54.70 gal.
$9.65 gal.
$6.30 lb.
$34.00 lb.
$62.00 gal.
$10.85 gal.
2.5 gal. min.
Lesco Spreader
Sticker
$16.75 gal.
Big Foot
$7.05 gal.
DuCor Buffer II
Low Bidder
Low Bidder
Low Bidder Univar
Bid Substitute Item,
Award to Agro
Low Bidder
Low Bidder
Low Bidder
LOw Bidder
Low Bidder
Low Bidder
Low Bidder
Award to Lesco as
low bidder Future
Horizons requirement
For shipping was a 30
gal dram (too large)
Low Bidder
Low Bidder
CHEMICALS:
ITEM
# DESCRIPTION
VENDOR
UNIT PRICE
COST
COMMENTS
14. Captain
15. Chipco 26019
Agro Distribution
nesco, Inc.
$15.00 gal.
$105.00 gal.
Chipco 26GT
16. Corsair Herbicide Helena Chemical $229.00 - 8 oz. blt.
17. Clean Carbon Helena Chemical $2.38 lb.
18. Daconil Weather Southeastern Turf $47.76 gal.
Stick Concord SST
19. Daconil ZN Helena Chemical $44.00 gal.
w/Zinc
20. Defoamer
Non Toxic
21. Dithan 45 Wetable
Powder
22. Dursban 2.%
Granular Insecticide
23. Dursban Cricket
Bait 1%
Dursban Pro
2-1/2 gal
Finale Herbicide
24.
Parkway Research
Low Bidder
Low Bidder - Carso
bid substitute item -
Tie bid - Lesco &
Helena, Lesco closet
To Delray
Low Bidder
Low Bidder
Low Bidder
25
26.
Fire Ant Amdro
Bait (granular)
Low bidders - Glades
& Carson bid a
substitute - award to
Helena
$1.12 pt. Low Bidder
De foamer
Agro Distribution $2.80 lb. Low Bidder
Helena Chemical
Lesco Inc.
$.62 lb. Low Bidder
Chlorpyifos 2.32 G
$.44 lb. Low Bidder
Lesco Dursban
1% Gran Bait
For Golf Course Only
Agro Distributors $30.00 gal. Low Bidder
Helena Chemical
Lesco Inc.
$48.00 gal.
$5.84 lb.
Varsity
Low Bidder
Univar USA bid a
Substitute item -
Award to Lesco
CHEMICALS:
ITEM
# DESCRIPTION
VENDOR
UNIT PRICE
COST
COMMENTS
27. Fusilade Liquid
28. Garlon 424
29. Green Lawnger
30. Heritage
31. Illoxan 3EC6
32. Image
33. Kerb 50 W SP
34. L1 700 Surfactant
35. Lemwet
36. Manage Herbicide
37.
Mancozeb Fungicide
38. Manicure
39. Manor
40. Mavrik
41. Merit or equal
Agro Distribution
Helena Chemical
Helena Chemical
Carrso, Inc.
Southeastem Turf
Helena Chemical
Agro Distribution
Agro Distribution
Du Cor International
Argo Distribution
Lesco Inc.
Lesco Inc.
Agro Distribution
Agro Distribution
Lesco Inc.
$152.00 gal.
$76.10 gal.
Vegetation 4
$27.50 gal.
$348.5O lb.
$91.87 gal.
$65.00 pkg.
11.43 oz. pkg
$31.11 lb.
$7.75 gal.
$5.80 gal.
$70.75 btl.
1.3 oz. per bottle
$12.50 gal.
Lesco Mancozeb
4 Flo
$9.10 case
Lesco Manicure
Uitrex
$51.00 oz.
$311.80 gal.
$15.20 oz.
Diamond R bid a
substitute item -
Award to Agro
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low bidder - Regal.
bid substitute item
Award to Lesco
Low Bidder
Low Bidder
Low Bidder
CHEMICALS:
ITEM
# DESCRIPTION
VENDOR
UNIT PRICE
COST
COMMENTS
42.
Mole/Cricket Bait
Lesco Inc.
43. MSAM 6.6 Helena Chemical
44. MSMA + Surfactant Agro Distribution
45. Newmacur (3)
Liquid
46. Nemacur 10Q
United Horticultural
Agro Distribution
$.44 lb.
Lesco Dursban
1% Grain Bait
$14.40 gal.
$16.36 gal.
R/Z 912
$85.00 gal.
$2.99 lb.
Low Bidder- Helena
bid substitute item -
award to Lesco
Low Bidder
Low Bidder
Tie bid Agro and
United Horticultural -
Award to United -
Closet to Delray-
Low Bidder Parkway
Bid Substitute Item
Low Bidder
47. Optima Diamond R $11.70 gal.
Fertilizer
48. Organcide Helena Chemical $24.00 gal.
49. Orthene 1 lb. cans Lesco Inc. $8.75 can
Lesco Fate
50. Orthene TT&O
51.
Pendulum 3.3 EC
52. Pre-M
53. Primer 604
Lesco Inc. '
Lesco Inc.
Lesco Inc.
$8.65 lb.
Lesco Fate
$33.00 gal.
Lesco Pre-M
3.3 EC
$7.20 lb.
Prem 60 DG
No Award
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low Bidders -
Regal and Carso
bid alternates that
Are not acceptable
Low Bidder
Requested by City of
Boca Raton - No
Award
CHEMICALS:
ITEM
# DESCRIPTION
VENDOR
UNIT PRICE
COST
COMMENTS
54. Primo
55. Pro Star 50 WP
56. Reward
57. Rodeo 140
58. Ronstar 2 G
59.
Round-up Herbicide
60. Round-up Pro
61. Round-up Pro
2 ½ gal bottle
62. Sencor 75 T.H.
63. Sevin 80 WSP
64. Snail & Slug Bait
Pellets
65. Subdue 2E
66. Subdue Grandular
67. Surfland As T/O
68. Talstar Liquid
Agro Distribution
Agro Distribution
United Horticultural
Helena Chemical
Helena Chemical
Southeastern Turf
Southeastern Turf
Southeastern Turf
Agro Distribution
Agro Distribution
Agio Distribution
Agro Distribution
Agro Distribution
Howard Fertilizer
Agro Distribution
$335.00 gal.
$35.50 lb.
$89.50 gal.
$28.57 gal.
Glypro
$1.29 lb.
$19.70 gal.
Clear Out 41
$19.70 gal.
Clear Out 41 Plus
$20.60 gal.
Clear Out 41 Plus
$31.00 lb.
$5.45 lb.
$.86 lb.
$495.00 gal.
$2.8O lb.
$84.00 gal.
$150.00 gal.
Low Bidder
Low Bidder
Tie bids with Helena
and Agro - award to
United Horticultural
Closet to Delray
Low Bidder
Low Bidder - Agro
shipping minimum
too large, and Regal
bid an substitute item
(Ronstar AC)
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low Bidder
CHEMICALS:
ITEM
# DESCRIPTION
VENDOR
UNIT PRICE
COST
COMMENTS
69. Talstar .2G
70. Tank Newtralizer
71. Top Choice
72. Tracker Dye
Blue Dye Spray
73. Trimec Plus
74. Wetting Agent
Lesco Inc.
Diamond R
Fertilizer
Lesco
Parkway Research
Helena Chemical
Liquid AG Systems
$.72 lb.
$5.25 qt.
$2.54 lb.
$16.75 gal.
$28.97 gal.
$3.50 gal.
Tie bid with Agro &
Lesco, award to Lesco
As minimum shipping
For Agro too large
Low Bidder
(City of Boca Raton
Requirement)
City of Boynton
Beach Requirement
/Recommendation
Low Bidder
Low Bidder
Low Bidder
FERTILIZERS:
ITEM
# DESCRIPTION
UNIT PR/CE
VENDOR COST
COMMENTS
1. 0-0-7
W/Atrazine
10.
11.
0-0-21
Sul Po-Mag
Granular
Kilbrew Trailer
Delivery
0-0-45 Super
K Greens Turf
Fertilizer
5-10-17
Ronstar .95%+
6-6-6 - 40%
Organic
6-6-6
40% Organic
Contains Secondaries
8-0-8 Greens Mix
12-0-0 Chelated
Iron
12-0-6 Bulk Liquid
12-2-14 Southern
Landscape &
Ornamental
8-10-10 Ornamental
Lesco Inc. $0.122 lb. Low Bidder
Agro Distribution
d/b/a Pro Source
$0.11 lb.
Lykes Agri Sales Inc. $193.65
Lesco Inc.
Howard Fertilizer
$0.21 lb.
Lesco Elite
0-0-50
$0.4885 lb.
Atlantic FEC
Fertilizer
Golf Ventures Inc.
$0.0848 lb.
$0.064 lb.
Bulk
Lesco Inc.
Liquid Ag Systems
Div. of Douglass
$0.25 lb.
Lesco Elite
15-0-15
$4.25 gal.
Super 12-0-0 plus
Chelated Iron
Lykes Agri Sales
Lesco Inc.
$0.067175 lb.
$0.17 lb.
Lykes Agri Sales $0.124125 lb.
Tie Bid w/Diamond,
Agro Closet to Delray
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Tie Bid w/Parkway
Research, Lesco is
Closet to Delray
Low Bidder Diamond
minimum shipping of
250 gal. too large-
award to Liquid Ag
Low Bidder
Low Bidder
Low Bidder
FERTILIZERS CONT ....
ITEM
# DESCRIPTION
VENDOR
UNIT PRICE
COST
COMMENTS
12. 13-2-13 Fertilizer
w/Talstar
13. 13-3-13 Greens Mix
14. 13-3-13 Tree &
Palm Fertilizer
15. 13-4-14 Greens
Greens Fertilizer
16. 14-2-14 Mirco
Greens & Tee
17. 14-14-14 Plus
Minors for Shrubs
18. 14-14-14
Osmocote
19. 15-5-10
w/1% Ronstar
20. 15-5-15 Grass
Fertilizer
21. 16-4-8 Premium
w/minors
22. 16-4-8 with
Minors
Lesco Inc.
Lesco Inc.
Lesco, Inc.
Howard
Fertilizer
Parkway Research
Golf Ventures
Diamond R.
Fertilizer
Howard Fertiliier
Univar USA
Lesco Inc.
Lesco Inc.
$0.318 lb.
w/.69% talstar
$0.256 lb.
Lesco Elite 13-2-13
97% PPSCU
$0.148 lb.
Tropical 13-3-13
$0.35 lb.
$.2375 lb.
.70 FE, 2.50 Mg
15 Free, 9.9 units
Slow Release N
$0.222 lb.
$0.56 lb.
15-15-15 4.0 mg
.02 fe, 3 month
Luxacote
$.535 lb.
$0.147 lb.
iron 3%
$0.122 lb.
25% PPSCU
$0.102 lb.
Lesco 16-4-8
All Chemicals
Low Bidder
Low Bidder, Parkway
Bid an alternate,
award to Lesco
Low Bidder
Low Bidder - Golf
minimum shipping of
4 tons too large
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low Bidder
Low Bidder - Atlantic
minimum shipping of
2 tons too large -
award to Lesco
Low Bidder
FERTILIZERS CONT ....
ITEM
# DESCRIPTION
VENDOR
UNIT PRICE
COST
COMMENTS
23. 16-4-16 Greens Mix Lesco Inc.
$0.25 lb. Low Bidder
Lesco 15-0-15 Elite
24. 16-25-12 Turf
Starter Fertilizer
Howard Fertilizer
$0.126 lb. Low Bidder
25. 17-1-10 Greens
Grade Fertilizer
Howard Fertilizer
$0.303 lb.
Low Bidder - Lesco -
Bid a substitute item-
Award to Howard
26.
17-4-6 Weed & Lesco Inc.
Feed w/.76% Atrizine
$0.162 lb.
Lesco 20-2-19
w/-0.92% Atrazine
Low Bidder
27.
18-2-9 Micro Lesco Inc.
Greens & Tee Mixture
$0.25 lb. Low Bidder
Lesco 21-4-11 Elite
28. 19-0-19 Pre- Lesco Inc. $0.279 lb.
Emergent Lesco 19-0-19
Weed Control w/1.31% Pre-M
Low Bidder
29.
20-2-10 Professional Howard Fertilizer
TurfFertlizer & Chemical Co.
$0.127 lb.
Low Bidder
30. 20-20-20 Water Lykes Agri Sales
Soluble Powder
$0.45 lb.
Sungro Soluble
Plant Food
Low Bidder
31. 21-0-0 Bulk Liquid Lykes Agri Sales $0.06 lb.
Low Bidder
32. 21-0-0 Sulfate Atlantic FEC $0.1062 lb.
of Ammonia Fertilizer
Low Bidder
33. 21-4-11 Grees Mix Lesco Inc.
$0.251b.
Low Bidder
34. 22-0-22 Lesco Inc.
$0.165 lb.
Lesco 19-0-19
75% PPSCU
Low Bidder
35. 24-5-11 (St. Lesco Inc. $0.129 lb.
Augustine Lesco 24-5-11
and Bahia Fert) 50% PPSCU
Low Bidder
FERTILIZERS CONT ........
ITEM
#
DESCRIPTION VENDOR
36. 25-3-10 Turf
Fertilizer plus Iron
Lesco Inc.
37. 29-3-5 Fertilizer Univar USA
w/Dursban
38. 29-3-5 St. Augustine Lesco Inc.
Weed Contron
39. Liquid Micro- Lesco Inc.
nutrient Soil
Supplement
40. Milorganite Lesco Inc.
UNIT PR/CE
COST
$0.123 lb.
Lesco 28-5-12
35% PPSCU
$0.35 lb.
$0.198 lb.
Lesco 22-3-11 Mini
w/1.05% atrazine
$4.39 gal.
Chelated Iron
Plus
Or; $245.00 for
55 gal dram
$0.11 lb.
Lesco 6-3-0
Elite
COMMENTS
Low Bidder
Sole Bidder
Low Bidder
Low Bidder - Liquid
AG System-
minimum shipping
Size too large 500 gal.
award To Lesco
Tie Bid with Agro,
award to Lesco,
closet to Delray
41. Step Hi Mag Agro Distribution $0.67 lb. Low Bidder
nl
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AGENDA ITEM NUMBER:
AGENDA REQUEST
Request to be placed on: December 03, 2002
Date: November 26, 2002
XX Consent Agenda Special Agenda ~ Workshop Agenda
Description of agenda item:
Approve multiple awards to various vendors for Bid # 2002-43, Co-op Bid for Chemicals and
Fertilizers for a total amount of $183,000 for City of Delray Beach.
ORDINANCE/RESOLUTION REQUIRED: YES
Draft Attached: YES
NO
NO
Recommendation:
Award multiple awards to various vendors for Bid #2002-43, Co-op Bid for Chemicals and
Fertilizers for a total amount of $183,000 for the City of Delray Beach.
Funding from the City of Delray Beach Parks and Recreation Department operating budget of
$69,000, and City of Delray Beach Golf Course and Lakeview Golf Course operating budget of
$114,000.
Department Head Signature:
Determination of Consistency with Comprehensive Plan:
City Attorney Review/Recommendation (if applicable):
Budget Director Review (required on all items involving expenditure of funds):
Funding available: Yes '~ No
Funding alternatives: -~ (~-~"-~ ~ .~~ (if applicable)
Account Number:
Account Description://' ~,
Account Balance:
City Manager Review: ~) '~l~
Approved for agenda:~ ~'1 No
Hold Until:
Agenda Coordinator Review:
Received:
Action: Approved Disapproved
Hi-America
1993
Joseph L. Schroeder 2007
Chief of Police
MEMORANDUM
TO:
FROM:
DATE:
SUBJECT:
Jackie Rooney
Purchasing Supervisor
David Junghanl~ ·
Administrative Serw"~s Director
November 26, 2002
AGENDA REC~UEST
Enclosed please find our Agenda Request, for the lease of five (5) vehicles from
Mears Motor Leasing. The lease of these vehicles is to replace the same number
of vehicles current lease through Enterprise Fleet Leasin The
will be used in support of the Department's ~,,~ ........ g... five (5) vehicles
u,,,.,,~,,.~ver Investigative Unit.
The COst of the lease for the remainder of this Fiscal Year is $28,000.00. The
vehicles will be leased through the Flodda Sheriffs Association and Flodda
Association of Counties, Bid # 02-10-0826.
Should you have any questions or require additional information, please call or e.-
mail me, and I will provide the necessary information.
DJ/
Enclosure
Serving with P.R. LD.E.
Florida Sheriffs
Association's
Municipal Lease Program
MEARS
MOTOR
LEASING
Mears Motor Leasing is offering BOTH Municipal Open-End and Closed-End
Lease Plans. The Open-End Lease Plan is the traditional tax-exempt $1.00 buy
out, which is also called a "Lease Purchase". The Closed-End Lease Plan
allows agencies to pay for only the useful life of the vehicle, which offers
greater flexibility and a variety of options. We also offer financing plans for all
types of equipment and projects. With these expanded services, Mears now
offers the widest range of lease plans available in today's market!
OPEN-END LEASE PLAN (Tax-Exempt Financing)
CLOSED-END LEASE PLAN (Pre-Set Residual Values)
OFFERED IN THESE LEASE PLANS:
Marked Patrol Cars
Administrative Vehicles
Undercover Vehicles
Trucks & Vans
Equipment
OVER 30 YEARS EXPERIENCE IN MUNICIPAL LEASING
~,- NO FLEET OR EQUIPMENT TOO SMALL
FLEXIBLE MILEAGE AND TERMS
CALL FOR A QUOTE: (407) 298-2982
VISIT OUR WEB SITE AT www. mearsleasing.com
Bid Award Announcement (~- I 0-0856) 959
MEARS
MOTOR
LEASING
2002 - 2003 UNDERCOVER PROGRAM
AUTOMOBILe, PICK-UP TRUCKS, AND VANS
Meats Motor Lea.ming pi~ the Undercover Car ProSram in 1992. Today we lease hundmis of
undercover vehicles to municipal a~uncies rJu~glxotm the state of Florida. The terms of our program are as
foilow~:
Term: T~lve (12) mouu~,s.
Milen.~_~ Allowa~e_: 2,000nn'les permonth, per vehicle. Over mi]eag= - .12 per mil=.
variety of czrs, pick-up trucks, nad vans (passeng~ or work)
E _ouiomenc All automobiles ~uip[~ with prdexred packe~s. All truc~ wi~ eqtmi equipment
except pow~' se, a~.
) _.S~scit~re~Vehicles:. biearsMotorLeasingwillprovid~substimt=tmit~forr~placen~ntifa
v~icle's securit~ is compromised. Rep~ is based on [h~ numi~- of vehicles in se~ice.
Radio & Surveilianc= E~u_ i_mn~nt: Radio end survmllance equipment may be utilized if no vis~le
damage is inctu-md (ie_holes in dash, sc~es, dent~ etc.).
Window Tintina: W'mdow tinting may be utilized if it is in,tailed at the deperUnent's expense.
Emergency Bre~Down~. Meats Motor Lcasing's Semite Manager is available at any reasonable
time £o rczolvc cmcrgezcy situations..
)> pick-Up and Return: Lessee will be ~espon.~'ble for th~ pick-up and t~mrn ofeJt vehicles to
M,~rs' Orlando ioc~on~ except in en~gcncy situations.
)' Insurance; ~ peovid~s all necessary i,~urauce. In case of a total Io~, ~ vuhicle shall b~
r~plaoed ss p~r u'~ Schedule "A".
Cos~:
~ monody cost on one yem' old, or current model ye, ar, low mi]cngc vehicles, with rectory
W~zTanty:
Autom0~les& Ynm $5,18.00 per month per vdzicle
True. ks & SUV's ~60.00 per month, per vehicle
The znontldy cost of new vehicle, s, factory ordered:
Pru~t ma~ iaw~ ~ trite h~ as mn,g: as $20.00
VEHICLES * EQUIPMENT · SALES
3905 El Rey Road. Orlando, FL. 32808 - Fax 407-578-.4924 · Phone 407-298-2982
WWW. MEARSLEASING.~M
MEARS
MOTOR
LE.A~iNG
2002 - 2003 Under Cover Program
Used Car Choices
2002 Model Year, Mileage in Mid Teens
Term 12 Months @ $540.00 per month
Buick Pontiac
Ct~nmry G-rand Am Sedan V6
Chevrolet Grand Prix Sedan
Malibu Bonneville
Monte Carlo Nissan
rmpala ~
Toyota
Used Truck, Van and SUV Choices
2002 Model Year, Mileage in Mid Teens
Term 12 Months @ $560.00 per month
Chevrolet
Trailblazer 4 dr. SOW
Venture Mini Van
Astro Mini Van
. G 1500 Work Van .~ _
Sflverado ½ ton F.,xmnded Cab
Durango SLT 4 dr. SUV
Graud Caravan S.E.
Lararaie SLT ~ ton Quad Cab
Ford
GMC
Jeep
Explorer XLS 4 dr. SLIV
Windstar LX Mini Van
F 150 XLT Super Cab Pick Up
FISO XLT Crew Cab Pick Up
GMC Safari SLE Mini Van
Sieaxa SLE Extended Cab
Clmad Cherokee 4 dr. Lamdo
AGENDA ITEM NUMBER:
AGENDA REQUEST
Request to be placed on:
X Consent Agenda
When: December 3, 2002
Description of agenda item:
Date:
Special Agenda
November 26 2002
Workshop Agenda
This request is for the approval of the lease of five (5) vehicles
from Meats Motor Leasing, Orlando Flodda. The lease of the
vehicles will be used to support the Departments undercover
unit. The lease of the vehicles will be from the Flodda Shedffs
Association and Flodda Association of Counties, Bid #02-10-
0826.
ORDINANCE/RESOLUTION REQUIRED:
Draft of Resolution Attached:
YES NO X
YES NO X
Recommendation: A,ppmval ~
Department Head Signature:
Determination of Consistency wi N/A
City Attorney Review/Recommendation (if applicable): N/A
Budget Director Review
(required on all items involving expenditure of funds):
Funding available: Yes X
No
Funding alternatives (if N/A
applicable):
Account Numbe~.
001-2115-521-44.40
Account Description:
Account Balance:
City Manager Review:
Approved for Agenda:
Hold Until:
Rental and Lease Vehicles tr
$27,50o o0
Agenda Coordinator Review:
Received:
Action: Approved: Disapproved:
P.O. #
To:
From:
Subject:
Date:
MEMORANDUM
City Commission
David T. Harden, City Manager~'J~,X
Resolution # 90-02, 91-02, and 92-02
November 25, 2002
In connection with proposed bond refundings, I recommend approval of the attached
Resolution# 90-02, #91-02, and #92-02. A brief description of each resolution is as
follows:
Resolution #90-02
Resolution #90-02 authorizes the issuance and negotiated sale of up to $16,500,000 in
Utility Tax Bonds. The proposed bonds will be issued for the purpose of refunding or
refinancing City of Delray Beach Bonds, Series 1992, 1994, 1995, 1996, and 1998.
The resolution stipulates that certain parameters must be met in order to effectuate the
sale. These parameters are 1.) the true interest cost does not exceed 5% per annum,
2.) the Underwriter's fee or discount paid is not more than $6.00 per thousand of the
original principal amount of the Bonds, 3.) the principal amount does not exceed
$16,500,000, 4.) the final maturity of the Bonds does not extend beyond June 1, 2016
and 5.) the net present value savings for paying and defeasing a portion of the
Refunded Bonds shall not be less than three percent (3%). The resolution also
authorizes the Mayor, or in his absence, the Vice-Mayor, to execute the documents to
effectuate the sale if these parameters have been met.
RESOLUTION #91-02 and #92-02
Resolution #91-02 authorizes the issuance of up to $18,000,000 in General Obligation
Bonds. The Bonds will be issued for the purpose of refunding the outstanding General
Obligation Bonds, Series A & B. The resolution provides for the form and terms of the
bonds as well as provides for City's undertaking regarding secondary market disclosure
as required by the Securities and Exchange Commission.
Resolution #92-02 authorizes the negotiated sale and sets the parameters to effectuate
the sale. The parameters are 1.) the principal amount does not exceed $18,000,000, 2.)
the true interest cost does not exceed 5%, 3.) the final maturity is not later than
February 1, 2013, 4.) the underwriter's discount is not greater than $6.00 per $1,000 of
the principal amount of the bonds and the 5.) the net present value savings for paying
and defeasing the refunded bonds is not less than 3%. The resolution also authorizes
the Mayor, or in his absence, the Vice-Mayor, to execute documents to effectuate the
sale of bonds.
MEMORANDUM
To:
David T. Harden, City Manager
From:
Joseph M. Safford, Director of Finance
Subject:
Resolution # 90-02, 91-02, and 92-02
Date:
November 25, 2002
We have attached for Commission approval Resolution# 90-02, #91-02, and #92-02. A
brief description of each resolution is as follows:
Resolution #90-02
Resolution #90-02 authorizes the issuance and negotiated sale of up to $16,500,000 in
Utility Tax Bonds. The proposed bonds will be issued for the purpose of refunding or
refinancing City of Delray Beach Bonds, Series 1992, 1994, 1995, 1996, and 1998.
The resolution stipulates that certain parameters must be met in order to effectuate the
sale. These parameters are 1 .) the true interest cost does not exceed 5% per annum,
2.) the Underwriter's fee or discount paid is not more than $6.00 per thousand of the
original principal amount of the Bonds, 3.) the principal amount does not exceed
$16,500,000, 4.) the final maturity of the Bonds does not extend beyond June 1, 2016
and 5.) the net present value savings for paying and defeasing a portion of the
Refunded Bonds shall not be less than three percent (3%). The resolution also
authorizes the Mayor, or in his absence, the Vice-Mayor, to execute the documents to
effectuate the sale if these parameters have been met.
Total net present value savings, which takes into consideration the time value of money,
is estimated at $931,000 over the term of the bonds or 6.07% of the refunded bonds.
RESOLUTION #91-02 and #92-02
Resolution #91-02 authorizes the issuance of up to $18,000,000 in General Obligation
Bonds. The Bonds will be issued for the purpose of refunding the outstanding General
Obligation Bonds, Series A & B. The resolution provides for the form and terms of the
bonds as well as provides for City's undertaking regarding secondary market disclosure
as required by the Securities and Exchange Commission.
Resolution #92-02 authorizes the negotiated sale and sets the parameters to effectuate
the sale. The parameters are 1 .) the principal amount does not exceed $18,000,000, 2.)
the true interest cost does not exceed 5%, 3.) the final maturity is not later than
February 1,2013, 4.) the underwriter's discount is not greater than $6.00 per $1,000 of
the principal amount of the bonds and the 5.) the net present value savings for paying
and defeasing the refunded bonds is not less than 3%. The resolution also authorizes
the Mayor, or in his absence, the Vice-Mayor, to execute documents to effectuate the
sale of bonds.
Total net present value savings is estimated at $738,000 over the term of the bonds or
4.35% of the refunded bonds.
A presentation from Public Financial Management, the City's financial advisor, will
precede the motion to approve the above referenced resolutions. PFM will explain the
background and discuss expected results relative to refunding or refinancing of the
City's prior bond issues.
Request to be placed on:
x
When:
AGENDA REQUEST
Date:
Regular Agenda
December 3, 2002
Special Agenda
11/25/02
Workshop Agenda
Description of agenda item (who., what, where, how much)..
Approve Resolution # 90-02 n,thnr~{ng the issuance and ~cEot~ated sal= u~ up tu
$16,500.000 in lTrql{r~ T~= p~.~o Approve
............. c ........ ~-u2 auth~lzing :he
ismumne~ n~ ,,p ~ ~lm.nnm,nnn ~_ Ccneral ~'~
- -- · ........... uu~txuil ~iulmlng Bonds. Approve
.......................... m ~,,~ n=~uLiaLed sale of ghe General Ubligation Refunding
O~I~4CE/ ~SOLUTION ~QUI~D: YE~/N~' D~aft Attached: YES/NO
Bonds and to set the parameters to effectuate the sale.
Recommendation:
Department Head Signature:
Determination of Consistency with Comprehensive Plan:
City Attorney Review/ Recommendation (if applicable):
Budget Director Review (required on all items involving expenditure
of funds):
Funding available: YES/ NO
Funding alternatives:
Account No. & Description:
Account Balance:
(if applicable)
City Manager Review:
Approved for agenda:
Hold Until:
Ag%nda Coordinator Review:
Received:
Action: Approved/Disapproved
RESOLUTION NO. R-90-02
CITY OF DELRAY BEACH, FLORIDA
Utilities Tax Revenue Refunding Bonds, Series 2002
Utilities Tax Revenue Refunding Bond Resolution
Adopted December 3, 2002
\\wpb~srv01\SANFORDS~399246v10\l 1/25/02\16787 011100 Resolution No. 90-02
SECTION 1.
SECTION 2.
SECTION 3.
SECTION 4.
SECTION 5.
SECTION 6.
SECTION
SECTION
SECTION
SECTION 10.
SECTION 11.
SECTION 12.
SECTION 13.
SECTION 14.
SECTION 15.
SECTION 16.
SECTION 17.
SECTION 18.
SECTION 19.
SECTION 20.
SECTION 21.
SECTION 22.
TABLE OF CONTENTS
DEFINITIONS ......................................................................................................... 6
PURPOSE AND BOND DESIGNATION .............................................................. 8
TERMS AND DETAILS OF BONDS .................................................................... 8
APPLICATION OF BOND PROCEEDS ................................................................ 8
COVENANTS OF THE CITY .............................................................................. 10
RULE 15C2-12 UNDERTAKING ........................................................................ 11
7. REDEMPTION PROVISIONS ............................................................................. 15
8. NEGOTIATED SALE ........................................................................................... 18
9. APPOINTMENT OF UNDERWRITER ............................................................... 18
PARAMETERS FOR THE SALE OF THE BONDS ......................................... 19
PRELIMINARY AND OFFICIAL STATEMENT ............................................. 20
PAYING AGENT AND REGISTRAR ............................................................... 20
BOOK ENTRY BONDS ..................................................................................... 21
APPOINTMENT OF ESCROW AGENT ........................................................... 21
APPROVAL AND EXECUTION OF THE ESCROW AGREEMENT ............. 21
BOND INSURANCE POLICY AND RESERVE POLICY ............................... 22
INSURANCE AGREEMENT ............................................................................. 22
AMENDMENTS AND SUPPLEMENTS TO ORIGINAL RESOLUTION ...... 22
AMENDMENT TO ORIGINAL RESOLUTION AND 1994 RESOLUTION .. 23
SEVERABILITY OF INVALID PROVISIONS ................................................. 24
FURTHER AUTHORIZATIONS; RATIFICATION OF PRIOR ACTS ........... 25
REPEALER ......................................................................................................... 25
\\wpb-srv01~ANFORDS~399246v10\l 1/25102\16787 011100 Resolution No. 90-02
RESOLUTION NO. R-90-02
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF
DELRAY BEACH, FLORIDA, AUTHORIZING THE NEGOTIATED
SALE OF CITY OF DELRAY BEACH, FLORIDA, UTILITIES TAX
REVENUE REFUNDING BONDS, SERIES 2002, IN THE INITIAL
AGGREGATE PRINCIPAL AMOUNT OF NOT EXCEEDING $16,500,000
FOR THE PURPOSE OF PAYING AND DEFEASING THE CITY'S
UTILITIES TAX REVENUE REFUNDING AND IMPROVEMENT
BONDS, SERIES 1992, ITS UTILITIES TAX REVENUE REFUNDING
AND IMPROVEMENT BONDS, SERIES 1994, ITS UTILITIES TAX
REVENUE BONDS, SERIES 1995, ITS UTILITIES TAX REVENUE
BONDS, SUBORDINATE SERIES 1996 AND ITS UTILITIES TAX
REVENUE BONDS, SUBORDINATE SERIES 1998 (COLLECTIVELY,
THE "REFUNDED BONDS"); DETERMINING CERTAIN DETAILS OF
SAID BONDS; APPOINTING THE UNDERWRITER; PROVIDING FOR
THE APPLICATION OF THE BOND PROCEEDS; APPROVING THE
FORM OF, AND AUTHORIZING THE EXECUTION AND DELIVERY
OF A BOND PURCHASE AGREEMENT TO EFFECT THE
NEGOTIATED SALE OF THE BONDS AND SETTING THE
PARAMETERS BY WHICH THE MAYOR OR VICE MAYOR SHALL BE
AUTHORIZED TO EXECUTE AND DELIVER THE BOND PURCHASE
AGREEMENT; APPROVING THE FORM OF AND AUTHORIZING THE
EXECUTION OF AN OFFICIAL STATEMENT IN CONNECTION WITH
THE OFFERING AND SALE OF THE BONDS AND AUTHORIZING THE
DISTRIBUTION OF A PRELIMINARY OFFICIAL STATEMENT AND
THE OFFICIAL STATEMENT BY THE UNDERWRITER; APPOINTING
A PAYING AGENT; APPOINTING A REGISTRAR; PROVIDING FOR A
BOND INSURANCE POLICY FOR THE BONDS PROVIDED BY
FINANCIAL SECURITY ASSURANCE, INC. AND AUTHORIZING AND
AGREEING TO ANY NECESSARY SUPPLEMENTS OR AMENDMENTS
TO THE BOND RESOLUTION IN CONNECTION THEREWITH; IF
APPLICABLE, APPROVING THE FORM OF AND AUTHORIZING THE
EXECUTION AND DELIVERY OF AN INSURANCE AGREEMENT IN
CONNECTION WITH THE ISSUANCE OF THE RESERVE POLICY BY
FINANCIAL SECURITY ASSURANCE, INC. PROVIDING FOR THE
UNDERTAKING BY THE CITY REGARDING SECONDARY MARKET
DISCLOSURE AS REQUIRED BY RULE 15c2-12 OF THE SECURITIES
AND EXCHANGE COMMISSION; AMENDING RESOLUTION NO. 98-91
IN CONNECTION WITH THE SECURITY FOR THE BONDS AND
AMENDING RESOLUTION NO. 98-91 AND RESOLUTION NO. 27-94 IN
CONNECTION WITH THE DEBT SERVICE RESERVE ACCOUNT FOR
THE BONDS; AUTHORIZING THE PROPER OFFICERS OF THE CITY
TO DO ALL OTHER THINGS DEEMED NECESSARY OR ADVISABLE
AS TO THE SALE AND DELIVERY OF THE BONDS; AND PROVIDING
FOR AN EFFECTIVE DATE.
\\x,tpb-arv01~SAN~ORDSk399246v10\ll/25/02\16787 011100 Resolution No. 90-02
WHEREAS, the City Commission (the "Commission") of the City of Delray
Beach, Florida (the "City") did, on December 3, 1991, adopt Resolution No. 98-91, as amended
and supplemented (herein, the "Original Resolution"), for the purpose, among other things, of
authorizing the issuance from time to time of Utilities Tax Revenue Bonds to finance and
refinance municipal projects; and
WHEREAS, any term not otherwise defined in this Resolution shall have the
meaning ascribed to such term in the Bond Resolution (as defined below); and
WHEREAS, pursuant to the terms and provisions of the Original Resolution, the
City did, on February 5, 1992, issue its first series of obligations under the Original Resolution
designated as Utilities Tax Revenue Refunding and Improvement Bonds, Series 1992, in the
aggregate principal amount of $14,800,000 for the purposes authorized thereunder (herein, the
"1992 Bonds"); and
WHEREAS, the Commission did, on November 10, 1994, issue its second series
of obligations under the Original Resolution, as such resolution was amended and supplemented
by Resolution No. R-27-94 (the "1994 Resolution") designated as Utilities Tax Revenue
Refunding and Improvement Bonds, Series 1994, in the aggregate principal amount of
$5,810,000 for the purposes authorized in the 1994 Resolution (herein, the "1994 Bonds"); and
WHEREAS, pursuant to the terms and provisions of the Original Resolution, the
1994 Resolution and Resolution No. R-54-95 (the "1995 Resolution"), the City did, on August
17, 1995, issue its third series of obligations designated as Utilities Tax Revenue Bonds, Series
1995, in the aggregate principal amount of $2,405,000 for the purposes authorized in the 1995
Resolution (herein, the "1995 Bonds"); and
\\wply-srv01\SANFORDSX399246vI0\l 1/25/02\16787 011100 2 Resolution No. 90-02
WHEREAS, for the purpose of this Resolution, the Original Resolution, the 1994
Resolution and the 1995 Resolution are sometimes collectively referred to as the "Bond
Resolution"; and
WHEREAS, pursuant to the Bond Resolution and Resolution No. 79-96 (the
"1996 Resolution',) the City did, on November 12, 1996, enter into that certain Line of Credit
Agreement with SunTrust Bank, South Florida, N.A. (now known as SunTrust Bank) whereby
the City was authorized to issue up to $3,300,000 of its Utilities Tax Revenue Bonds,
Subordinate Series 1996 (the "1996 Bonds") for the purposes authorized in the 1996 Resolution;
and
WHEREAS, pursuant to the Bond Resolution and Resolution No. 56-98 (the
"1998 Resolution") the City did, on September 25, 1998, enter into that certain Line of Credit
Agreement with SunTrust Bank, South Florida, N.A. (now known as SunTrust Bank) whereby
the City was authorized to issue up to $350,000 of its Utilities Tax Revenue Bonds, Subordinate
Series 1998 (the "1998 Bonds") for the purposes authorized in the 1998 Resolution; and
WI-IEREAS, the outstanding 1992 Bonds, 1994 Bonds, 1995 Bonds, 1996 Bonds
and 1998 Bonds are collectively referred to as the "Refunded Bonds"; and
WItEREAS, pursuant to Article III, Section 4.G of the Original Resolution, the
Commission hereby determines it to be in the best economic interest of the City to pay and
defease the Refunded Bonds through the issuance of its not to exceed $16,500,000 in initial
aggregate principal amount of Utilities Tax Revenue Refunding Bonds, Series 2002 (herein, the
"Bonds"); and
WHEREAS, effective July 3, 1995, Rule 15c2-12 of the Securities and Exchange
Commission (the "Rule',), provides that it is unlawful for a broker dealer or municipal securities
\\Wb'$rv01\SANFORDS~399246v10\I1/25/02\I6787 011100 3 Resolution No. 90-02
dealer to purchase or sell municipal securities, which includes the Bonds, unless the issuer,
which includes the City, has undertaken in a written agreement (herein, the "Undertaking") to
provide to specified information repositories annual financial information and operating data
relevant to the municipal securities and notice of certain specified material events; and
WHEREAS, the Commission hereby determines to provide its Undertaking with
respect to the Bonds in this Resolution; and
WHEREAS, in connection with the payment and defeasance of all or a portion of
the Refunded Bonds, the City will enter into that certain Escrow Deposit Agreement, expected to
be dated as of December 1, 2002, with Wells Fargo Bank, National Association, as escrow agent
(the "Escrow Agent") in substantially the form attached hereto as Exhibit A (herein, the "Escrow
Agreement"); and
WHEREAS, subject to the terms and conditions of this Resolution, the City will
enter into a Bond Purchase Agreement with Bear Steams & Co., Inc., hereby designated by the
Commission to be the underwriter of the Bonds (herein the "Underwriter"), setting forth the
terms and conditions of the City's agreement to sell and the Underwfiter's agreement to purchase
the Bonds, in substantially the form attached hereto as Exhibit B (herein, the "Purchase
Contract"); and
WHEREAS, based upon current market conditions, the complex nature of the
financing, the need to issue the Bonds upon the most favorable market conditions and the advice
of the City's financial advisor, the Commission hereby finds it is necessary and advisable to
negotiate the sale of the Bonds; and
\\wpb-$rv01~ANFORDS~399246v10\l 1/25/02\16787011100 4 Resolution No. 90-02
WHEREAS, the Commission hereby determines that it is in the best interest of
the City to accept the Purchase Contract and to award the Bonds to the Underwriter pursuant to a
negotiated sale and pursuant to the parameters set forth in Section 10 herein; and
WHEREAS, the City will be, prior to the execution of the Purchase Contract,
provided by the Underwriter with the disclosure statements required by Section 218.385, Florida
Statutes, a copy of which is attached as an exhibit to the Purchase Contract; and
WHEREAS, there have been also prepared and submitted to the Commission a
draft Preliminary Official Statement, attached hereto as Exhibit C.
WHEREAS, the City's financial advisor has recommended in a letter, attached
hereto as Exhibit D, that the principal and interest on the Bonds be insured by a financial
guaranty insurance policy (the "Bond Insurance Policy") to be issued by Financial Security
Assurance, Inc. or any successor thereto (the "Bond Insurer") and that, subject to final pricing of
the Bonds, in lieu of any required deposits into the Debt Service Reserve Account for the Bonds,
a Reserve Account Credit Facility Substitute, in the form of a municipal bond debt service
reserve fund insurance policy to be issued by the Bond Insurer (the "Reserve Policy") may be
provided with the coverage which will be equal to the Debt Service Reserve Requirement for the
Bonds as evidenced by the commitment of the Bond Insurer attached hereto as Exhibit E (the
"Commitment"); and
WI-IEREAS, the Commission has been advised that as a condition for the City to
receive the Reserve Policy from the Bond Insurer, it is necessary for the City to enter into an
Insurance Agreement with the Bond Insurer, the form of which is attached hereto as Exhibit F;
and
\\wb-srv01\SANFORDSk399246vI0\I 1/25/02\16787 011100 5 Resolution No. 90-02
WHEREAS, the Commission hereby adopts the recommendations of the City's
financial advisor regarding the Bond Insurance Policy and, subject to final pricing of the Bonds,
the Reserve Policy; and
WHEREAS, as a condition of obtaining the Bond Insurance Policy and Reserve
Policy, if any, for the Bonds, the Commission has been advised that it may be necessary to
amend and/or supplement the Bond Resolution and the Commission hereby determines that
agreeing to any such amendments and/or supplements is in the best interest of the City; and
WHEREAS, the Commission hereby determines it to be in the best financial
interest of the City to amend the definition of"Utilities Tax" set forth in Section 3 of Article I of
the Original Resolution; and
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION
OF THE CITY OF DELRAY BEACH, FLORIDA, AS FOLLOWS:
SECTION 1. DEFINITIONS. That, except as provided below, all capitalized
terms used in this Resolution not otherwise defined shall have the meanings ascribed to such
terms in the Bond Resolution, unless the context clearly indicates otherwise.
A. "Beneficial Owner" shall mean, for purposes of Section 6 of this
Resolution only, any person which (i) has the power, directly or indirectly, to vote or consent
with respect to, or to dispose of ownership of, any Bonds (including persons holding Bonds
through nominees, depositories or other intermediaries), or (ii) is treated as the owner of any
Bonds for federal income tax purposes.
B. "NRMSIR" shall mean any Nationally Recognized Municipal Securities
Information Repository for purposes of the Rule. The NRMSIRs currently approved by the
Securities and Exchange Commission as of the date of adoption of this Resolution are as follows:
\~wb-srv01\SANFORDS~399246v10\I 1/25/02\16787 011100 6 Resolution No. 90-02
Bloomberg Municipal Repositories
P.O. Box 840
Princeton, NJ 08542-0840
Phone: (609) 279-3225
Fax: (609) 279-5962
Intemet: Munis~Bloomberg.com
DPC Data Inc.
One Executive Drive
Fort Lee, NJ 07024
Phone: (201) 346-0701
Fax: (201) 947-0107
Internet: Nrmsir~dpcdata. com
Interactive Data
Attn: Repository
100 Williams Street
New York, NY 1003 8
Phone: (212) 771-6899
Fax: (212) 771-7390
E-mail: NRMSIR~interactivedata. com
Standard & Poor's J. J. Kenny Repository
55 Water Street
New York, NY 10041
Phone: (212) 438-4595
Fax: (212) 438-3975
E-mail: nrmsir_repository~sandp.com
C. "Tax Certificate" shall mean the Arbitrage Certificate executed by the City
on the date of initial issuance and delivery of the Bonds, as such Tax Certificate may be amended
from time to time, a source of guidance for achieving compliance with the Code.
D. "Utilities Tax" shall mean the tax imposed by the City on each and every
purchase in the City of electricity, metered and bottled gas (natural liquified petroleum gas or
manufactured). Said term shall also apply to all taxes imposed by the City on the purchase of
utility services other than water and communication services, whether levied in the amounts
prescribed by the Utilities Tax Ordinance or in any other amounts and whether imposed on the
purchase of the same utilities services or any other or additional utilities services, by amendment
\\wpb-srvOl\SANFORDSX399246vI0[11?25/02\16787011100 7 Resolution No. 90-02
to the Utilities Tax Ordinance. This definition shall be applicable to the Bonds and all pari passu
additional Bonds issued pursuant to Article III, Section G of the Original Resolution.
SECTION 2. PURPOSE AND BOND DESIGNATION. That the City hereby
determines at this time (i) to issue not exceeding $16,500,000 in the initial aggregate principal
amount of its Bonds for the purpose of (a) paying and defeasing the Refunded Bonds, (b) to pay
the costs of issuance of the Bonds, including paying the premium for the Bond Insurance Policy
and, if applicable, the Reserve Policy, and (ii) to designate such Bonds as its "Utilities Tax
Revenue Refunding Bonds, Series 2002."
SECTION 3. TERMS AND DETAILS OF BONDS. The terms and details of
the Bonds, including but not limited to the principal amounts, interest rates, maturity dates and
redemption provisions, shall be determined by the Mayor or Vice Mayor in accordance with the
parameters set forth in Section 10 herein.
SECTION 4. APPLICATION OF BOND PROCEEDS. All moneys received
by the City from the sale of the Bonds originally authorized and issued pursuant to this
Resolution, shall be disbursed as follows:
A. The accrued interest, if any, derived from the sale of the Bonds, shall be
deposited into the Interest Account, created and established under the Bond Resolution and
continued hereunder, and used for the purpose of paying interest on the Bonds, as the same
becomes due and payable.
B. There is hereby created and established in the Acquisition/Construction
Fund created and established under the 1994 Resolution, a separate line item to be known as the
"2002 Cost of Issuance Cost Center," into which shall be deposited an amount of the proceeds of
the Bonds sufficient to pay the costs of issuance of Bonds, including, but not limited to, payment
~x,~-,~o~s^NFoms~246vm~<25<02~6,87 om0o 8 Resolution No. 90-02
of the premium for the Bond Insurance Policy and, if applicable, the payment of the premium for
the Reserve Policy. The City is hereby authorized to permit the Underwriter to pay directly to
the Bond Insurer, from the proceeds of the Bonds, the cost of the Bond Insurance Policy and
Reserve Policy, if any. If, for any reason, any of the moneys allocated to 2002 Cost of Issuance
Cost Center, are not necessary for or are not applied to pay the costs of issuing the 2002 Bonds,
then such surplus proceeds shall be deposited in the following order:
First, to the Debt Service Reserve Account in the Sinking Fund created and
established under the Original Resolution and, pursuant to the terms of this Resolution,
continued for the Bonds, to the full extent necessary, either to reinstate any Reserve Account
Credit Facility Substitute on deposit therein, including, but not limited to the Reserve Policy, if
applicable, or, to deposit additional moneys so that such deposit, together with such moneys
already on deposit therein, equals the Debt Service Reserve Requirement for the Bonds;
Second, to the Interest Account, Principal Account or Bond Redemption Account
in the Sinking Fund in the amounts, if any, determined by subsequent proceedings of the
Commission; and
Third, the balance, if any, to be used by the City for any lawful municipal
purpose.
C. From the proceeds of the Bonds, an amount which, together with any other
moneys lawfully available therefor shall be deposited in the escrow deposit trust fund to be held
by the Escrow Agent (as herein defined), under the terms and provisions of the Escrow
Agreement, and such proceeds shall be held irrevocably in trust in the escrow deposit trust fund
under the terms and provisions of the Escrow Agreement; such moneys shall be invested at the
time of deposit in U. S. Obligations, which are not callable prior to maturity except by the holder
\\wpb-$rv01\SANFOKDSk399246v10kl 1/25/02\16757011100 9 Resolution No. 90-02
thereof, the principal and interest of which shall be sufficient to pay the principal of and interest
on the Refunded Bonds (other than the 1996 Bonds and 1998 Bonds) pursuant to the terms of the
Escrow Agreement as provided therein.
D. Unless, upon the advice of the Underwriter, the Debt Service Reserve
Requirement (to the extent not satisfied with the moneys, investment securities and Reserve
Account Credit Facility Substitute currently on deposit in the Debt Service Reserve Account in
the Sinking Fund for the Bonds) shall be satisfied with a Reserve Account Credit Facility
Substitute in the form of the Surety, from the proceeds of the Bonds there shall be deposited in
the Debt Service Reserve Account in the Sinking Fund, an amount equal to the Debt Service
Reserve Requirement for the Bonds, which requirement shall be determined at the time of the
pricing of the Bonds.
E. The balance of the proceeds derived fi.om the sale of the Bonds shall be
immediately applied on the date of issuance and delivery of the Bonds to pay in full the
outstanding 1996 Bonds and 1998 Bonds plus accrued interest to the date of payment.
The proceeds of the sale of the Bonds other than amounts deposited in the Escrow
Deposit Agreement and used to pay the 1996 Bonds and the 1998 Bonds pursuant to paragraph E
above shall be and constitute trust funds for the purposes hereinabove provided, and there is
already created a lien upon such moneys, until so applied, in favor of the Holders of the Bonds.
SECTION 5. COVENANTS OF THE CITY. Except as provided herein, the
Bonds authorized by this Resolution shall be deemed to have been issued pursuant to the Bond
Resolution (to which this Resolution is supplemental) and all of the covenants and agreements
contained in the Bond Resolution shall be deemed to have been made for the benefit of the
Owners of the Bonds issued pursuant to this Resolution.
\\wpb-$rv01\SANFORDS~399246vI0\I 1/25/02\16787 011100 10 Resolution No. 90-02
The Sinking Fund, the Principal Account, the Interest Account, the Bond
Redemption Account therein and each Debt Service Reserve Account, all created and established
under the Bond Resolution, shall be continued and maintained as provided in the Bond
Resolution as long as any of the Bonds, issued pursuant to the terms and provisions of the Bond
Resolution and this Resolution, are Outstanding.
SECTION 6. RULE 15C2-12 UNDERTAKING. That in order to assist the
initial purchasers of the Bonds with respect to compliance with the Rule, the City undertakes and
agrees to provide the information described below to the persons so indicated. The City's
Undertaking set forth in this Section 6 shall be for the benefit of the registered owners and
Beneficial Owners of the Bonds.
A. The City undertakes and agrees to provide to each NRMSIR and to the
State of Florida information depository (herein, the "SID") if and when such a SID is created (i)
the City's general purpose financial statements generally consistent with the financial statements
presented in Appendix B to the official statement relating to the Bonds (herein the "Official
Statement"), and (ii) the information concerning the Utilities Tax collections within the City with
respect to electricity, gas and fuel oil, the Utilities Tax rate or rates, exemptions from the Utilities
Tax and amendments to the Utilities Tax Ordinance generally consistent with the information set
forth in the Official Statement under the heading "UTILITIES TAXES." The information
referred to in clauses (i) and (ii) is herein collectively referred to as the "Annual Information."
B. The Annual Information described in clause (i) of paragraph A above in
audited form (for as long as the City provides such financial information in audited form) is
expected to be available on or before March 31 of each year for the Fiscal Year ending on the
preceding September 30, commencing March 31, 2003 for the Fiscal Year ending on the
\\wb-srv01XSANFORDS~399246vI0\I 1/25/02\16787011100 1 1 Resolution No. 90-02
preceding September 30, 2002. The Annual Information referred to in clause (i) of paragraph A
above in unaudited form (if the audited financial statements are not available or if the City no
longer provides such financial information in audited form) will be available on or before
March 31 for the Fiscal Year ending on the preceding September 30. The City also agrees to
provide the Annual Information to each registered owner and Beneficial Owner of the Bonds
who request such information and pays to the City its costs of reproduction and transmission of
such Annual Information. The City agrees to provide to each NRMSIR and the SID, if any,
timely notice of its failure to provide the Annual Information. Such notice shall also indicate the
reason for such failure and when the City reasonably expects such Annual Information will be
available.
C. The Annual Information referred to in clause (i) of paragraph A above and
presented as an appendix to the Official Statement has been prepared in accordance with
governmental accounting standards promulgated by the Government Accounting Standards
Board, as in effect from time to time, as such principles are modified by generally accepted
accounting principles, promulgated by the Financial Accounting Standards Board, as in effect
from time to time, and such other State mandated accounting principles as in effect from time
to time.
D. If, as authorized by paragraph F below, the City's undertaking with
respect to paragraph C above requires amending, the City undertakes and agrees that the Annual
Information described in clause (i) of paragraph A above for the Fiscal Year in which the
amendment is made will, to the extent possible, present a comparison between the Annual
Information prepared on the basis of the new accounting principles and the Annual Information
prepared on the basis of the accounting principles described in paragraph C above. The City
~-,r~0~XS^~O~SU99246v~0~,~/~/0~X~*7S70m00 1 2 Resolution No. 90-02
agrees that such a comparison will, to the extent possible, include a qualitative discussion of the
differences in the accounting principles and the impact of the change on the presentation of the
Annual Information.
E. The City undertakes and agrees to provide, in a timely manner, to each
NRMSIR or to the Municipal Securities Rulemaking Board and to the SID, if any, notice of the
occurrence of any of the following events with respect to the Bonds, if material:
1. principal and interest payment delinquencies;
2. non-payment related defaults;
3. unscheduled draws on any reserve account reflecting financial
difficulties;
4. unscheduled draws on credit enhancements reflecting financial
difficulties;
5. substitution of credit or liquidity providers, or their failure to
perform;
6. adverse tax opinions or events affecting the tax-exempt status of
the Bonds;
7. modifications to rights of Bondholders;
8. Bond calls (other than scheduled mandatory sinking fund
redemptions);
9. defeasance of the Bonds;
10. release, substitution, or sale of property securing repayment of the
Bonds;
1 1. rating changes; and
\\wpb-srv0BSANFORDS~399246vI0\l 1/25/02\16787011100 1 3 Resolution No. 90-02
12. any failure to comply with the provisions of this Section 6, which
in all cases, such failure will be deemed material.
Notwithstanding the foregoing, notice of the events described in clauses (8) and
(9) above need not be given any earlier than the time notice is required to be given to the
registered owners of the Bonds.
F. Notwithstanding any other provision of this Resolution or the Bond
Resolution to the contrary regarding amendments or supplements, the City undertakes and agrees
to amend and/or supplement this Section 6 (including the amendments referred to in paragraph D
above) only iff
1. The amendment or supplement is made only in connection with a
change in circumstances existing at the time the Bonds were
originally issued that arises from (i) a change in law, (ii) SEC
pronouncements or interpretations, (iii) a judicial decision
affecting the Rule or (iv) a change in the nature of the City's
operations or the activities that generate the Utilities Taxes.
2. The City's Undertaking, as amended, would have complied with
the requirements of the Rule at the time the Bonds were originally
issued after taking into account any amendments or interpretations
of the Rule, as well as any change in circumstances; and
3. The amendment or supplement does not materially impair the
interests of the registered owners and Beneficial Owners of the
Bonds as determined by Bond Counsel or by a majority of the
registered owners of the Bonds.
\\wb-srvOI~SANFORDS~399246vlO\]l/25/02\16787011100 14 Resolution No. 90-02
In the event of an amendment or supplement under this Section 6, the City shall
describe the same in the next report of Annual Information and shall include, as applicable, a
narrative explanation of the reason for the amendment or supplement and its impact, if any, on
the financial information and operating data being presented in the Annual Information.
G. The City's Undertaking as set forth in this Section 6 shall terminate if and
when the Bonds are paid or deemed paid within the meaning of this Resolution.
H. The City acknowledges that its Undertaking pursuant to the Rule set forth
in this Section 6 is intended to be for the benefit of the registered holders and Beneficial Owners
of the Bonds and shall be enforceable by such holders and Beneficial Owners; provided that, the
holder's and Beneficial Owners' right to enforce the provisions of this Undertaking shall be
limited to a right to obtain specific enforcement of the City's obligations hereunder, and any
failure by the City to comply with the provisions of this Undertaking shall not be or constitute a
covenant or monetary default with respect to the Bonds under this Resolution or the Bond
Resolution.
I. The City reserves the right to satisfy its obligations under this Section 6
through agents; and the City may appoint such agents without the necessity of amending this
Resolution. The City may also appoint one or more employees of the City to monitor and be
responsible for the City's Undertaking hereunder.
SECTION 7. REDEMPTION PROVISIONS. The Bonds maturing on June 1,
2012, and thereafter are redeemable at the option of the City from any legally available source, in
part, in any order of maturity selected by the City, at its discretion, and by lot within a maturity if
less than an entire maturity is to be redeemed, on June 1,2011, or at any time thereafter, or as a
whole, on June 1, 2011, or at any time thereafter, in either case, at the redemption prices
\\wpb-srv01\SANFORDS~99246v10\ll/25/02\16787011100 15 Resolution No. 90-02
(expressed as percentages of the principal amount to be redeemed) set forth below, together with
accrued interest to the date fixed for redemption:
Redemption Period
(Both dates inclusive)
June 1, 2011 to May 31, 2012
June 1, 2012 and thereafter
Redemption
Price
101%
100%
Notwithstanding the foregoing, if the City's Underwriter, upon consultation with
the Finance Director of the City, determines that market conditions require different or no
optional redemption provisions for the Bonds or for certain maturities of the Bonds, such
different optional redemption provisions or the exclusion of certain or all maturities of the Bonds
from such optional redemption provisions will be deemed approved by the City upon the
execution of the Purchase Contract so long as the maximum redemption premium does not
exceed 2% and the first optional redemption period is not more than eleven (11) years from the
date of issuance of the Bonds.
That the Bonds which are Term Bonds shall also be subject to mandatory sinking
fund redemption prior to maturity by lot, in such manner as the Registrar (as defined herein) may
deem appropriate, on June 1, in such years, at a price of par plus accrued interest to the date of
redemption, in the annual amounts established pursuant to the parameter set forth in Section 10
hereof.
Notice of redemption of the Bonds shall be mailed, postage prepaid, by the
Registrar not less than thirty (30) days before the date fixed for redemption to the registered
owners of any Bonds or portions of Bonds which are to be redeemed, at their addresses as they
appear fifteen (15) days prior to the date such notice is mailed on the registration books of the
City kept by the Registrar.
\\wpb-$rv0[\SANFORDS~399246v10\l 1/25/02\16787 011100 1 6 Resolution No. 90-02
The Registrar also shall mail (by certified mail, return receipt requested) a copy of
such notice for receipt not less than the second business day prior to the date notice of
redemption is mailed to the Bondholders to the following (or most current address): The
Depository Trust Company, 711 Stewart Avenue, Garden City, New York 11530; Midwest
Securities Trust Company, Capital Structures - Call Notification, 440 South LaSalle Street,
Chicago, Illinois 60605; Philadelphia Depository Trust Company, Reorganization Division, 1900
Market Street, Philadelphia, Pennsylvania 19103; Attention: Bond Department; provided,
however, that such mailing shall not be a condition precedent to such redemption and failure to
mail any such nbtice shall not affect the validity of any proceedings for the redemption of the
Bonds. The Registrar shall also provide notice, at the same time notice of redemption is given to
the Bondholders, to Kenny Information Systems Notification Service, 65 Broadway, 16th Floor,
New York, New York 10006, and Standard & Poor's Called Bond Record, 25 Broadway, New
York, New York 10004; provided, however, that such mailing shall not be a condition precedent
to such redemption and failure to mail any such notice shall not affect the validity of any
proceedings for the redemption of the Bonds.
A second notice of redemption shall be given sixty (60) days after the redemption
date in the manner required above to the registered owners of redeemed Bonds which have not
been presented for payment within thirty (30) days after the redemption date.
Such notice of redemption shall set forth (i) the date fixed for redemption, (ii) the
redemption price to be paid, (iii) that such Bonds will be redeemed at the designated corporate
trust office of the Paying Agent (as herein defined), and the name, address and telephone number
of a contact person, (iv) if less than all of the Bonds shall be called for redemption, the
distinctive numbers, letters and CUSIP identification numbers, if any, of such Bonds to be
\\wpb-$rv01\SANFORDS~399246vI0\I 1/25/02\16787 011100 1 7 Resolution No. 90-02
redeemed, (v) in the case of Bonds to be redeemed in part only, the portion of the principal
amount thereof to be redeemed, and (vi) any other information the City or the Registrar deems
relevant. In case any Bond is to be redeemed in part only, the notice of redemption that relates to
such Bond shall state also that on or after the redemption date, upon surrender of the Bond, a
new Bond or Bonds of the same maturity, bearing interest at the same rate and in aggregate
principal amount equal to the unredeemed portion of such Bond, will be issued. Failure of the
registered owner of any Bonds which are to be redeemed to receive any such notice shall not
affect the validity of the proceedings for the redemption of Bonds for which proper notice has
been given. Interest shall cease to accrue on any of the Bonds duly called for prior redemption if
payment of the redemption price has been duly made or provided for.
Notwithstanding any of the foregoing, no notice of redemption that relates to the
Bonds shall be given unless there are sufficient moneys for such redemption on deposit in the
Principal Account, Interest Account or Bond Redemption Account, as applicable, of the Sinking
Fund or unless such redemption shall be paid for with the proceeds of refunding Bonds or from
amounts provided by the Bond Insurer in its sole discretion.
SECTION 8. NEGOTIATED SALE. That the City hereby finds that, due to
the complicated nature of the financing, volatile market conditions, the need to issue the Bonds
upon the most favorable market conditions and the advice of its financial advisor that it would be
in the best interest of the City that the Bonds be sold on a negotiated basis.
SECTION 9. APPOINTMENT OF UNDERWRITER. That the City hereby
appoints Bear Steams & Co., Inc. as the Underwriter of the Bonds pursuant to the terms and
provisions of the Purchase Contract.
\\wpb-srv01\SANFORDSX399246v10\l 1/25/02\16787 011100 18 Resolution No. 90-02
SECTION 10. PARAMETERS FOR THE SALE OF THE BONDS. That the
proposal submitted by the Underwriter offering to purchase the Bonds at a purchase price for the
Bonds established pursuant to the parameters set forth below and on the terms and conditions set
forth in the Purchase Contract (substantially in the form attached hereto as Exhibit B), is hereby
approved and adopted by the City. Subject to the last sentence of this Section 6, the Mayor (or,
in his absence, the Vice Mayor) is hereby authorized to execute and deliver on behalf of the City,
and the City Clerk is hereby authorized (if so required) to affix the Seal of the City and attest to
the execution of the Purchase Contract in substantially the form presented at this meeting. The
disclosure statements of the Underwriter, as required by Section 218.385 of the Florida Statutes,
to be delivered to the City prior to the execution of the Purchase Contract, a form of which is
attached as an exhibit to the Purchase Contract, will be entered into the official records o£ the
City as part o£ the Purchase Contract. The Purchase Contract, when in final form as determined
by the City Attorney and Bond Counsel, may be executed by the City without further action of
the City, provided the Underwriter confirms in writing to the Finance Director, or in his absence,
the Treasurer o£ the City that (i) the true interest cost on the Bonds does not exceed five percent
(5%) per annum, (ii) the underwriting discount (exclusive of any original issue discount or
original issue premium) is not greater than $6.00 per $1,000 of the original principal amount of
the Bonds, (iii) the initial principal amount of Bonds sold thereunder does not exceed the
principal amount authorized under this Resolution, (iv) the final maturity of the Bonds does not
extend beyond June 1, 2016, and (v) the net present value savings for paying and defeasing the
Refunded Bonds shall not be less than three percent (3%).
The final terms and provisions of the Bonds shall be affixed as an exhibit to this
Resolution and entered into the records of the Commission.
\~wpb-$rv01~SANFORDSX399246v10\l 1/25/02\16787 0Il100 1 9 Resolution No. 90-02
SECTION 11. PRELIMINARY AND OFFICIAL STATEMENT. That the
form of the Preliminary Official Statement in substantially the form attached hereto as Exhibit C
with such changes as shall be approved by the Mayor or the City manager and the City's Bond
Counsel, be and the same is hereby approved, and the Commission hereby approves the use of
the final printed Official Statement by the Underwriter in connection with the offering and sale
of the Bonds in substantially the same form as the attached Preliminary Official Statement. The
Commission hereby further approves the use by the Underwriter of any supplement or
amendment to the Official Statement which is necessary so that the Official Statement does not
include any untrue statement of a material fact and does not omit to state any material fact
necessary to make the statements therein not misleading. The Mayor (or, in his absence, the
Vice Mayor) is each hereby authorized and directed to execute the Official Statement and any
amendment or supplement thereto, in the name and on behalf of the City, and thereupon to cause
the Official Statement and any such amendment or supplement to be delivered to the Underwriter
with such approval to be conclusively evidenced by his execution and delivery thereof. The
Underwriter is hereby authorized to use the Preliminary Official Statement in connection with
the marketing of the Bonds. The Mayor, the Vice Mayor, the City Manager, the Director of
Finance and the Treasurer are each authorized to execute a certificate deeming the Preliminary
Official Statement "final" within the meaning of the Rule. Notwithstanding the foregoing, the
Official Statement with respect to the Bonds shall not be executed prior to the date the Purchase
Contract, is executed in the manner contemplated in Section 10 herein and the form thereof is
approved by Bond Counsel and the City Attorney.
SECTION 12. PAYING AGENT AND REGISTRAR. That Wells Fargo
Bank, National Association is hereby appointed as paying agent (the "Paying Agent") and
\\wpb-$rv01\SANFORDS~399246v10\11/25/02\167870Il100 20 Resolution No. 90-02
registrar (the "Registrar") for the Bonds. By the acceptance of such appointment, Wells Fargo
Bank, National Association agrees to comply with the terms of the Paying Agent and Registrar
Agreement (as herein defined), the Bond Resolution, this Resolution, and the Bond Insurance
Policy and the Reserve Policy, if any, applicable to it. The Paying Agent and Registrar agree to
provide to the Bond Insurer copies of all notices and reports relating to the City or the Bonds
received by it or which either is required to be sent to the City or the registered owners of the
Bonds.
SECTION 13. BOOK ENTRY BONDS. That the Commission hereby
determines that the registration of the Bonds be by the Book Entry System of registration.
SECTION 14. APPOINTMENT OF ESCROW AGENT. That Wells Fargo
Bank, National Association, having its designated corporate trust office in Coral Springs,
Florida, is hereby as Escrow Agent under the Escrow Agreement.
SECTION 15. APPROVAL AND EXECUTION OF THE ESCROW
AGREEMENT. That the form of the Escrow Deposit Agreement (the "Escrow Agreement")
expected to be dated as of December 1, 2002, by and between the City and the Escrow Agent,
and in substantially the form presented at this meeting (and attached hereto as Exhibit A) is
hereby approved, subject to and with such changes therein as shall be approved by the Mayor (or
in his absence, the Vice Mayor), such approval to be evidenced conclusively by the execution of
said Escrow Agreement; either the Mayor or the Vice Mayor of the City is hereby authorized and
directed on behalf of the City to execute and deliver said Escrow Agreement; that the City Clerk
hereby is authorized, on behalf of the City, to attest and impress the seal of the City on, said
Escrow Agreement; and that said officers and all other officers of the City are hereby authorized
\\wpb-$rv01kSANFORDS~399246v10\l 1/25/02\16787011100 2 1 Resolution No. 90-02
and directed to carry out or cause to be carded out all obligations of the City under said Escrow
Agreement.
SECTION 16. BOND INSURANCE POLICY AND RESERVE POLICY.
That, based on the recommendations of the City's financial advisor, set forth in a letter attached
hereto as Exhibit D with respect to the Bonds, the Commission finds that obtaining the Bond
Insurance Policy and Reserve Policy (to be determined on or before the Purchase Contract is
executed) from the Bond Insurer is in the best interests of the City, and the Commission hereby
directs that the premium due on the Bond Insurance Policy and the Reserve Policy, if applicable,
be paid in accordance with the terms thereof. The City covenants to comply with the terms and
provisions of the Bond Insurer's commitment to provide the Bond Insurance Policy and Reserve
Policy and covenants to comply with the payment procedures with respect to the Bond Issuance
Policy.
SECTION 17. INSURANCE AGREEMENT. That the form, terms and
provisions of the Insurance Agreement between the City and Financial Security Assurance, Inc.
substantially in the form attached hereto as Exhibit F, as submitted to this meeting, be and the
same are hereby approved and accepted. If the Surety is purchased by the City, the Mayor of the
City or, in his absence, the Vice Mayor, is hereby authorized and directed to execute and deliver
the Insurance Agreement on behalf of the City in substantially the form submitted to this
meeting, with such changes, insertions and deletions thereto as are necessary or desirable for
carrying out the purposes thereof as may be approved by the City Attorney and Bond Counsel,
the execution of said Insurance Agreement being conclusive evidence of such approval.
SECTION 18. AMENDMENTS AND SUPPLEMENTS TO ORIGINAL
RESOLUTION. Notwithstanding any provision in the Original Resolution to the contrary, as a
\\wpb-srv01\SANFOKD$~99246v10[l 1/25/02\16787 011100 22 Resolution No. 90-02
condition of obtaining the Bond Insurance and Reserve Policy, if applicable, and for as long as
the Bond Insurer is not in default under the Bond Insurance Policy and/or Reserve Policy, if
applicable, the City covenants as follows: (i) not to issue pad passu additional Bonds pursuant to
Article III, Section 4.G. of the Original Resolution, that bear interest at a variable rate without
the express written consent of the Bond Insurer, (ii) not to optionally redeem the Bonds or use
any portion of the proceeds of the Utilities Tax for general municipal purposes if amounts are
due and owing the Bond Insurer under the Insurance Agreement, if applicable. In the event that
the City obtains more than one Reserve Account Credit Facility Substitute for the Bonds, one of
which is the Reserve Policy, the Paying Agent shall, if moneys are required therefrom, to draw
on such Reserve Account Credit Facility Substitutes on a pro rata basis. At any time amounts on
deposit in the Debt Service Reserve Account is less than the Debt Service Reserve Requirement
and the Reserve Policy has been drawn on, the City covenants to apply the first available
proceeds of the Utilities Tax to reimburse the Bond Insurer thereby reinstating the Reserve
Policy prior to making any cash deposits to the Debt Service Reserve Account to cure such
deficiency. In addition, to the extent that the terms and provisions of the Commitment attached
hereto as Exhibit E are not reflected in the Bond Resolution or this Resolution, the City agrees to
comply with such terms as if set forth herein.
SECTION 19. AMENDMENTS TO ORIGINAL RESOLUTION AND 1994
RESOLUTION.
(a) The definition of "Permitted Investments" set forth in the Original
Resolution is hereby amended to read as follows: "Permitted Investments" shall mean (i) to the
extent permitted by law, U.S. Obligations and (ii) all other investments permitted under the laws
\\wpb-srvOl\SANFORDS~399246v10\l 1/25/02\16787 011100 23 Resolution No. 90-02
of Florida that are permitted under the City's adopted investment policies and acceptable to any
Credit Facility Issuer.
(b) The Commission hereby determines to treat the Debt Service
Reserve Account established under the Original Resolution and continued under the 1994
Resolution for the 1992 Bonds and the 1994 Bonds as the Debt Service Reserve Account for the
Bonds, notwithstanding anything to the contrary set forth in the Bond Resolution.
(c) Any amount necessary to satisfy the Debt Service Reserve
Requirement for any pari passu additional Bonds issued pursuant to the Original Resolution
which will share in the Debt Service Reserve Account relating to the Bonds shall be funded in
full at the time such pari passu additional Bonds are issued, notwithstanding any provision in the
Original Resolution to the contrary.
(d) The amount of the Debt Service Reserve Requirement for the
Bonds and any pari passu additional Bonds issued pursuant to the Original Resolution which will
share in the Debt Service Reserve Account relating to the Bonds shall be determined pursuant to
the first sentence of the definition of the Debt Service Reserve Requirement set forth in the
Original Resolution.
SECTION 20. SEVERABILITY OF INVALID PROVISIONS. If any one or
more of the covenants, agreements or provisions of this Resolution should be held contrary to
any express provision of law or contrary to the policy of express law, though not expressly
prohibited, or against public policy, or shall for any reason whatsoever be held invalid, then such
covenants, agreements or provisions shall be null and void and shall be deemed separate from the
remaining covenants, agreements or provisions, and shall in no way affect the validity of any of
the other provisions of this Resolution or of the Bonds.
\\wb-$rv01~SANFORDS~399246v]0\l 1/25/02\16787 011100 24 Resolution No. 90-02
SECTION 21. FURTHER AUTHORIZATIONS; RATIFICATION OF
PRIOR ACTS. That the Mayor, the Vice Mayor, the City Manager, the Finance Director, the
Treasurer, the City Clerk, the City Attorney and any other authorized official of the City, be and
each of them is hereby authorized and directed to execute and deliver any and all documents and
instruments, including, but not limited to, any paying agent and registrar agreement, and to do
and cause to be done any and all acts and things necessary or proper for carrying out the
transactions contemplated by this Resolution, including, but not limited to, complying with any
conditions to obtain the Bond Insurance Policy or Reserve Account Credit Facility Substitute.
All actions heretofore taken and documents prepared or executed by or on behalf of the City by
any of its authorized officers in connection with the transactions contemplated hereby including,
without limitation, the subscription for the purchase of United States Treasury Obligations -
State and Local Government Series ("SLGs") for deposit and application to effect the payment
and defeasance of the Refunded Bonds, are hereby ratified, confirmed, approved and adopted.
SECTION 22. REPEALER.
thereof, in conflict with the provisions of this
hereby repealed.
SECTION 23. EFFECTIVE DATE.
immediately upon its passage.
That all resolutions or proceedings, or parts
Resolution are to the extent of such conflict
That this Resolution shall take effect
\\wpb-srv01\SANFORDSX399246vI0\ll/25/02\16787 011100 25 Resolution No. 90-02
PASSED AND ADOPTED in regular session on this the 3rd day of December,
2002.
CITY OF DELRAY BEACH, FLORIDA
Attest:
By:
Mawr
City Clerk
Date of Adoption:
December 3, 2002
The foregoing Resolution is hereby
approved by me as to form, language and
execution this 3rd day of December, 2002.
By:
City Attorney
\\wpb-$rv01\SANFORDS~399246v10\11/25/02\16787 011100 26 Resolution No. 90-02
City of Delray Beach, Florida
Utilities Tax Revenue Refunding Bonds, Series 2002
LIST OF EXHIBITS TO RESOLUTION NO. 90-02
Exhibit A
Exhibit B
Exhibit C
Exhibit D
Exhibit E
Exhibit F
Escrow Deposit Agreement
Bond Purchase Agreement
Draft Preliminary Official Statement
Letter of Recommendation from Public Financial Management
Commitment for Bond Insurance and Reserve Policy from Financial
Security Assurance, Inc.
Insurance Agreement
\\wpb-srv0BSANFORDSX399246vI0\I1/26/02\16787 011100 Resolution No. 90-02
Exhibit A
CITY OF DELRAY BEACH, FLORIDA
and
Wells Fargo Bank, National Association
as Escrow Agent
ESCROW DEPOSIT AGREEMENT
DATED AS OF DECEMBER 1, 2002
\\wpb-srv01 \SANFORDS~399656v08\ 11/25/02\16787 011 I00
THIS ESCROW DEPOSIT AGREEMENT, made and entered into as of December 1,
2002, by and between the CITY OF DELRAY BEACH, FLORIDA, a municipal corporation of
the State of Florida, and its successors and assigns (the "City"), and Wells Fargo Bank, National
Association, a national banking association duly organized and existing under the laws of the
United States with a corporate trust office in Coral Springs, Florida, as escrow agent hereunder,
and its successors and assigns (the "Escrow Agent"):
WITNESSETH:
WHEREAS, any term not defined in the following recitals shall have the meaning
ascribed to such term in Article I hereof; and.
WHEREAS, the City Commission of the City of Delray Beach, Florida (the
"Commission") did, on December 3, 1991, adopt Resolution No. 98-91, as amended and
supplemented by Resolution No. R-27-94 and Resolution No. R-54-95 (collectively, the
"Original Resolution"); and
WHEREAS, the Original Resolution was supplemented by the Commission on
December 3, 2002, by the adoption of Resolution No. 90-02 (the "2002 Bond Resolution"), for
the purpose of authorizing a Series of Bonds under the Original Resolution and the 2002 Bond
Resolution entitled "City of Delray Beach, Florida Utilities Tax Revenue Refunding Bonds,
Series 2002 (the "Series 2002 Bonds"), in the initial aggregate principal amount of not exceeding
$16,500,000; and
WHEREAS, the Commission has determined it to be in its best interest to issue the
Series 2002 Bonds in an initial aggregate principal amount of $ for the purpose of
paying and defeasing the 1992 Bonds, the 1994 Bonds and the 1995 Bonds, as such terms are
defined in the 2002 Bond Resolution (herein, collectively, the "Refunded Bonds") pursuant to
the terms of the Original Resolution, the 2002 Bond Resolution and this Agreement; and
WHEREAS, the Original Resolution provides that, among other things, all Refunded
Bonds shall, prior to the maturity or redemption date thereof, be deemed to have been paid
within the meaning of such resolution if there is deposited moneys or Defeasance Obligations (as
such term is defined in the Original Resolution) which such term includes direct obligations, the
payment of principal and interest on which is fully and unconditionally guaranteed by the United
States of America (the "U.S. Obligations"), the principal of and the interest on which when due
will provide moneys which, together with any other moneys deposited with the Escrow Agent,
shall be sufficient to pay such Refunded Bonds, the interest thereon and the redemption
premium, if any, as the same shall become due on the Refunded Bonds on or prior to the
redemption date or maturity date thereof; and
WHEREAS, the Commission has determined it to be in the best economic interest of the
City to pay and defease the Refunded Bonds as more particularly described on Schedule A
attached hereto, all in accordance with the terms and provisions of the Original Resolution, the
2002 Bond Resolution and this Agreement; and
\\wpb-$rvO 1 \SANFORDS~399656v08\ 11/25/02\16787 Ol 1100
WHEREAS, the City has determined to provide for the payment of the Refunded Bonds
by depositing a portion of the proceeds from the Series 2002 Bonds, together with certain other
lawfully available moneys, which shall be used in part to purchase U.S. Obligations, which U.S.
Obligations and money shall be sufficient, as verified by Causey Demgen & Moore, Inc. in a
letter dated December __, 2002, to pay the interest on the Refunded Bonds, as the same becomes
due and payable fi.om the date of this Agreement, and to pay the outstanding principal amounts
of the then outstanding Refunded Bonds on such dates, together with interest thereon and a
redemption premium of two percent (2%) of the principal amount of the Refunded Bonds, which
are subject to optional redemption pursuant to the Original Resolution and this Agreement; and
WHEREAS, in order to provide for the proper and timely application of the moneys
deposited in the trust created herein, the maturing principal amount of the U.S. Obligations
purchased thereby, and investment income and earnings derived therefrom to the payment of the
Refunded Bonds, it is necessary for the City to enter into this Escrow Deposit Agreement with
the Escrow Agent on behalf of the holders from time to time of the Refunded Bonds.
NOW, THEREFORE, the City, in consideration of the foregoing and the mutual
covenants herein set forth and in order to secure the payment of the principal of, redemption
premium, if any, and interest on all of the Refunded Bonds, according to their tenor and effect,
does by these presents hereby grant, warrant, demise, release, convey, assign, transfer, alienate,
pledge, set over and confirm, unto the Escrow Agent, and to its successors in the trusts hereby
created, and to it and its assigns forever, all and singular the property hereinafter described to
wit:
DIVISION I
All right, title and interest of the City in and to $ derived from the proceeds
of the sale of the Series 2002 Bonds and $__ derived from the liquidation of certain moneys
currently reserved to pay the Refunded Bonds (the "Transferred Moneys").
DIVISION II
All right, title and interest of the City in and to all income, earnings and increment
derived from or accruing to the U.S. Obligations purchased from the money (except for certain
uninvested cash balances) described in Division I hereof and more particularly described in
Schedule B attached hereto and made a part hereof.
DIVISION III
Any and all other property of every kind and nature from time to time hereafter, by
delivery or by writing of any kind, conveyed, pledged, assigned or transferred as and for
additional security hereunder by the City or by anyone in its behalf to the Escrow Agent, which
is hereby authorized to receive the same at any time as additional security hereunder.
~\v~pb'srvO I \SANFORDSXJ99656v08\I 1/25/02\16787 O l 1100 2
DIVISION IV
All property which is by the express provisions of this Agreement required to be subject
to the pledge hereof and any additional property that may, from time to time hereafter, by
delivery or by writing of any kind, be subject to the pledge hereof, by the City or by anyone in its
behalf, and the Escrow Agent is hereby authorized to receive the same at any time as additional
security hereunder.
TO HAVE AND TO HOLD, all and singular, the Trust Estate (as such term is
hereinafter defined), including all additional property which by the terms hereof has or may
become subject to the encumbrances of this Agreement, unto the Escrow Agent, and its
successors and assigns, forever in trust, however, for the benefit and security of the holders from
time to time of the Refunded Bonds; but if the Refunded Bonds shall be fully and promptly paid
when due in accordance with the terms thereof and hereof and all other obligations are
performed hereunder, then this Agreement shall be and become void and of no further force and
effect; otherwise, the same shall remain in full force and effect, and upon the trusts and subject to
the covenants and conditions hereinafter set forth.
ARTICLE I
DEFINITIONS; FINDINGS AND DETERMINATIONS BY THE AUTHORITY
SECTION 1.01 Definitions. In addition to words and terms elsewhere defined in
this Agreement, the following words and terms as used in this Agreement shall have the
following meanings, unless some other meaning is plainly intended.
"Act" shall have the meaning ascribed to such term in the Original Resolution.
"Agreement" shall mean this Escrow Deposit Agreement, dated as of December 1, 2002,
between the City and the Escrow Agent.
"Annual Debt Service" shall mean, as to the Refunded Bonds, principal called,
redemption premium and interest coming due in each year, as shown on Schedule C attached
hereto and hereby made a part hereof.
"Paying Agent for the Refunded Bonds" shall mean the entity identified as such in
Section 3.08 hereof.
"Total Debt Service" shall mean, as of any date during the period from the date of this
Agreement until June 1, 2004, the sum of the Annual Debt Service then remaining unpaid with
respect to the Refunded Bonds, all as shown on Schedule C attached hereto and hereby made a
part hereof.
"Trust Estate," "trust estate" or "pledged property" shall mean 'the property, rights and
interest of the City which are subject to the lien of this Agreement.
"U.S. Obligations" shall mean non-callable, non-prepayable, direct obligations of, or
non-callable, non-prepayable obligations the principal of and interest on which are fully and
unconditionally guaranteed by, the United States of America, constituting part of the Trust
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Estate. The initial U.S. Obligations are described in Schedule B attached hereto. U.S. Obligations
shall not include investments in mutual funds or unit investment trusts.
Words of the masculine gender shall be deemed and construed to include correlative
words of the feminine and neuter genders. Words importing the singular number shall include
the plural number and vice versa unless the context shall otherwise indicate. The word "person"
shall include corporations, associations, natural persons and public bodies unless the context
shall otherwise indicate. Reference to a person other than a natural person shall include its
successors.
ARTICLE II
ESTABLISHMENT OF TRUST FUND; FLOW OF FUNDS
SECTION 2.01 Creation of Escrow Deposit Trust Fund. There is hereby
created and established with the Escrow Agent a special and irrevocable trust fund designated the
Escrow Deposit Trust Fund (the "Trust Fund"), to be held in the custody of the Escrow Agent
and accounted for separate and apart from other funds of the City or of the Escrow Agent.
SECTION2.02 Deposit of Moneys and Payment of Refunded Bonds.
Concurrently with the execution of this Agreement, the City herewith deposits or causes to be
deposited with the Escrow Agent into the Trust Fund, and the Escrow Agent acknowledges
receipt of $__ derived from a portion of the proceeds of the Series 2002 Bonds and the
Transferred Moneys, to be used in part to purchase the U.S. Obligations, as described on
Schedule B in the maturing principal mount of $ ., and the balance of such deposit in
the amount of $ shall be held as immediately available moneys. The purchase of the
U.S. Obligations and cash being derived from a portion of the proceeds of the Series 2002 Bonds
and the Transferred Moneys deposited into the Trust Fund will, according to the opinion of
Causey Demgen & Moore, Inc., set forth in its letter dated December __, 2002, provide moneys
sufficient to pay the Total Debt Service on the Refunded Bonds. Money representing beginning
cash balances and any other moneys not directed to be invested hereunder shall remain
uninvested until applied in accordance with the terms hereof.
SECTION 2.03 Irrevocable Trust Created. The deposit of the cash and U.S.
Obligations in the Trust Fund shall constitute an irrevocable deposit of said cash and U.S.
Obligations for the benefit of the holders of the Refunded Bonds, except as provided herein with
respect to substitutions permitted under Section 2.05 hereof and amendments permitted under
Section 4.01 hereof. The holders of the Refunded Bonds shall have a lien on the principal of and
earnings on the U.S. Obligations and the cash deposited in the Trust Fund until applied in
accordance with this Agreement and the applicable terms and provisions of the Original
Resolution.
SECTION 2.04 Purchase of U.S. Obligations. The City hereby directs the
Escrow Agent to immediately purchase and the Escrow Agent hereby acknowledges the
purchase of the U.S. Obligations listed on Schedule B from the moneys transferred to the Escrow
Agent from the City in the manner described in Section 2.02 hereof. The Escrow Agent shall
apply the moneys deposited in the Trust Fund and the aforementioned U.S. Obligations, together
with all income or earnings thereon, if any, in accordance with the provisions hereof and the
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Original Resolution. The Escrow Agent shall have no power or duty to invest or reinvest any
moneys held hereunder or to make substitutions of the U.S. Obligations held hereunder or to sell,
transfer or otherwise dispose of the U.S. Obligations acquired hereunder except as provided in
this Agreement.
SECTION 2.05 Failure to Deliver Initial U.S. Obligations. In the event that the
underwriter for the Series 2002 Bonds (the "Underwriter") shall be unable to deliver any of the
U.S. Obligations, as set forth in Schedule B (the "Initial U.S. Obligations") hereto, at the time of
delivery of the Series 2002 Bonds, the Escrow Agent is hereby authorized to accept other U.S.
Obligations (the "Substitute Securities") and/or cash in substitution for the Initial U.S.
Obligations. Such substitution is subject to receipt by the City and the Escrow Agent of an
independent verification by a nationally recognized certified public accounting firm acceptable
to Greenberg Traurig, P.A. that the Substitute Securities and/or cash, together with any other
U.S. Obligations and cash on deposit with the Escrow Agent, will be sufficient, without
reinvestment, to meet the requirements for payment of the principal of, premium, if any, and
interest on the Refunded Bonds in accordance with the terms of this Agreement. At any time
prior to maturity of the Substitute Securities and/or cash, the City shall have the ability in writing
to direct the Escrow Agent to exchange any of the Substitute Securities and/or cash delivered by
the Underwriter for all or any part of the Initial U.S. Obligations. However, such exchange will
be subject to the receipt by the City and the Escrow Agent of an independent verification by a
nationally recognized independent certified public accounting firm acceptable to Greenberg
Traurig, P.A. to the effect that the substitution of the Substitute Securities and/or cash for the
Initial U.S. Obligations will be sufficient, without reinvestment, to meet the requirements for
payments of principal of, premium, if any, and interest on the Refunded Bonds in accordance
with the terms of this Agreement and the applicable provisions of the Original Resolution.
Further, such independent verification report must indicate that the return of monies (generated
by such Substitute Securities), in excess of the monies that would have been received on the
Initial U.S. Obligations, to the Underwriter for the Series 2002 Bonds are not needed to pay the
principal of, premium, if any, and interest on the Refunded Bonds when due in accordance with
this Agreement and the applicable provisions of the Original Resolution. In addition, such return
of the Substitute Securities and/or cash and any excess monies will not, as evidenced by an
opinion from Greenberg Traurig, P.A. to the effect that, under the statutes, rules and regulations
then in force and applicable to obligations issued on the date of issuance of the Refunded Bonds
and under the Internal Revenue Code of 1986, as amended (the "Code"), cause the interest on the
Series 2002 Bonds or the Refunded Bonds not to be excluded from gross income for federal
income tax purposes and such investment is not inconsistent with the statutes and regulations
applicable to the Series 2002 Bonds or the Refunded Bonds.
SECTION 2.06 Transfers from Trust Fund. As the principal of the U.S.
Obligations listed in Schedule B matures and is paid, and the investment income and earnings
thereon, if any, are paid, the Escrow Agent shall, no later than each interest payment date and
principal payment date for the Refunded Bonds transfer from the Trust Fund, in accordance with
the schedule of payments described in Schedule C attached hereto, to the Paying Agent for the
Refunded Bonds an amount sufficient to pay the principal of, redemption premium and interest
on the Refunded Bonds coming due on such interest payment date or principal payment date.
The Escrow Agent has relied on the opinion of Causey Demgen & Moore, Inc., set forth in its
letter dated ,2002, that the amount of money and securities on deposit herein and as
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reinvested in accordance with the terms hereof will be sufficient to pay Total Debt Service on the
Refunded Bonds, and the Escrow Agent shall have no responsibility for an insufficiency of such
amounts to pay Total Debt Service, provided the Escrow Agent performs in accordance with the
provisions hereof.
SECTION 2.07 Investment of Moneys remaining in Trust Fund. Subject to the
requirements of this Section 2.07, the Escrow Agent shall, as directed in writing by the City,
invest and reinvest any moneys remaining from time to time in the Trust Fund, until such time as
they are needed. Such moneys shall be reinvested in direct obligations of, or obligations fully
guaranteed by, the United States of America for such periods or at such interest rates or yields
that the Escrow Agent shall be directed in writing to invest by the City, which securities or
periods or interest rates or yields shall be set forth in an opinion to the City from Greenberg
Traurig, P.A., which opinion shall also be to the effect that such reinvestment of such moneys
will not, under the statutes, rules and regulations then in force and applicable to obligations
issued on the dates of issuance of the Refunded Bonds and the Series 2002 Bonds and under the
Code, cause the interest on the Series 2002 Bonds or the Refunded Bonds not to be excluded
from gross income for federal income tax purposes and that such investment is not inconsistent
with the statutes and regulations applicable to the Series 2002 Bonds or the Refunded Bonds.
Such reinvestment of moneys is subject to receipt by the City of an independent verification by a
nationally recognized independent certified public accounting firm acceptable to Greenberg
Traurig, P.A. Any interest income resulting from reinvestment of moneys, pursuant to this
Section 2.07 shall be promptly transferred to the City and used for any purpose permitted under
the Original Resolution, if such verification report indicates that such interest income is not
needed for the purposes contemplated by this Agreement, provided that the Escrow Agent shall
have no responsibility for the proper use by the City of money transferred to the City by the
Escrow Agent.
SECTION 2.08 Trust Fund. The Trust Fund created and established pursuant to
this Agreement shall be and constitute a trust fund for the purposes provided in this Agreement
and shall be kept separate and distinct from all other funds of the City and the Escrow Agent and
used only for the purposes and in the manner provided in this Agreement.
SECTION2.09 Transfer of Funds after all Payments Required by this
Agreement are Made. After all of the transfers by the Escrow Agent to the Paying Agent for
the Refunded Bonds for the payment of the Total Debt Service on the Refunded Bonds have
been made, all remaining moneys and U.S. Obligations, together with any income and interest
thereon, in the Trust Fund shall be transferred to the City by the Escrow Agent; provided,
however, that no such transfer (except transfers made in accordance with Sections 2.07 and 4.01
hereof) to the City shall be made until the Total Debt Service on the Refunded Bonds has been
paid.
ARTICLE III
CONCERNING THE ESCROW AGENT
SECTION 3.01 Appointment of Escrow Agent. The City hereby appoints Wells
Fargo Bank, National Association, having a corporate trust office in Coral Springs, Florida, as
Escrow Agent under this Agreement.
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SECTION 3.02 Acceptance by Escrow Aeent. By execution of this Agreement,
the Escrow Agent accepts the duties and obligations as Escrow Agent hereunder. The Escrow
Agent further represents that it has all requisite power, and has taken all corporate actions
necessary, to execute the trust hereby created.
SECTION 3.03 Liability of Escrow Agent. The Escrow Agent shall not be liable
in connection with the performance of its duties hereunder except for its own negligence or
willful misconduct. The Escrow Agent shall not be liable for any loss resulting from any
investment made pursuant to the terms and provisions of this Agreement. The Escrow Agent
shall have no lien, security interest or fight of set-off whatsoever upon any of the moneys or
investments in the Trust Fund for the payment of fees and expenses for services rendered by the
Escrow Agent under this Agreement.
As long as the Escrow Agent applies (by transfer to the Paying Agent for the Refunded
Bonds) any moneys, the U.S. Obligations and the interest earnings, if any, therefrom to pay the
Refunded Bonds, as provided herein, and complies fully with the terms of this Agreement, the
Escrow Agent shall not be liable for any deficiencies in the amounts necessary to pay the
Refunded Bonds. Further, the Escrow Agent shall not be liable for the accuracy of the
calculations as to the sufficiency of moneys and of the principal amount of the U.S. Obligations,
and the earnings, if any, thereon, to pay the Refunded Bonds.
In the event of the Escrow Agent's failure to account for any of the U.S. Obligations or
moneys received by it, said U.S. Obligations or moneys shall be and remain the property of the
City in trust for the holders of the Refunded Bonds, as herein provided, and if for any improper
reason such U.S. Obligations or moneys are not applied as herein provided, the Escrow Agent
shall be liable for the amount thereof until the required application shall be made.
Whenever the Escrow Agent shall deem it necessary or desirable that a matter be proved
or established prior to taking, suffering or omitting any action under this Agreement, such matter
may be deemed to be conclusively established by a certificate signed by an authorized officer of
the City. The Escrow Agent may conclusively rely, as to the correctness of statements,
conclusions and opinions therein, upon any certificate, report, opinion or other document
furnished to the Escrow Agent pursuant to any provision of this Agreement; the Escrow Agent
shall be protected and shall not be liable for acting or proceeding, in good faith, upon such
reliance; and the Escrow Agent shall be under no duty to make any investigation or inquiry as to
any statements contained or matters referred to in any such instrument. The Escrow Agent may
consult with counsel, who may be counsel to the City or independent counsel, with regard to
legal questions, and the opinion of such counsel shall be full and complete authorization and
protection in respect of any action taken or suffered by it hereunder in good faith in accordance
herewith. Prior to retaining such independent counsel, the Escrow Agent shall notify the City of
its intention.
The Escrow Agent and its successors, agents and servants shall not be held to any
personal liability whatsoever, in tort, contract or otherwise, by reason of the execution and
delivery of this Agreement, the establishment of the Trust Fund, the acceptance and disposition
of the various moneys and funds described herein, the purchase, retention or disposition of the
U.S. Obligations or the proceeds thereof, any payment, transfer or other application of funds or
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securities by the Escrow Agent in accordance with the provisions of this Agreement, or any
non-negligent act, omission or error of the Escrow Agent made in good faith in the conduct of its
duties. The Escrow Agent shall, however, be liable to the City and to holders of the Refunded
Bonds to the extent of their respective damages for negligent or willful acts, omissions or errors
of the Escrow Agent which violate or fail to comply with the terms of this Agreement. The duties
and obligations of the Escrow Agent shall be determined by the express provisions of this
Agreement.
SECTION 3.04 Permitted Acts. The Escrow Agent and its affiliates may become
the owner of or may deal in the Refunded Bonds as fully and with the same rights as if it were
not the Escrow Agent.
SECTION 3.05 Successor Escrow Agent. The Escrow Agent, at the time acting
hereunder, may at any time resign and be discharged from the trusts hereby created by giving not
less than sixty (60) days' written notice to the City, the Paying Agent for the Refunded Bonds
and any rating agency which is then rating the Refunded Bonds, but no such resignation shall
take effect unless a successor Escrow Agent shall have been appointed by the holders of the
Refunded Bonds or by the City as hereinafter provided and such successor Escrow Agent shall
have accepted such appointment, in which event such resignation shall take effect immediately
upon the appointment and acceptance of a successor Escrow Agent.
The Escrow Agent may be removed at any time by an instrument or concurrent
instruments in writing, delivered to the Escrow Agent, and to the City, and signed by the holders
of a majority in principal amount of each series of the Refunded Bonds then outstanding.
In the event the Escrow Agent hereunder shall resign or be removed, or be dissolved, or
shall be in the course of dissolution or liquidation, or otherwise become incapable of acting
hereunder, or in case the Escrow Agent shall be taken under the control of any public officer or
officers, or of a receiver appointed by a court, a successor may be appointed by the holders of a
majority in principal amount of each series of the Refunded Bonds then outstanding by an
instrument or concurrent instruments in writing, signed by such holders, or by their attorneys in
fact, duly authorized in writing; provided, nevertheless, that in any such event, the City shall
appoint a temporary Escrow Agent to fill such vacancy until a successor Escrow Agent shall be
appointed by the holders of a majority in principal amount of the Refunded Bonds then
outstanding in the manner above provided, and any such temporary Escrow Agent so appointed
by the City shall immediately and without further act be superseded by the Escrow Agent so
appointed by such holders. The City shall promptly notify the Escrow Agent of any change in
the identity of the Paying Agent for the Refunded Bonds.
In the event that no appointment of a successor Escrow Agent or a temporary successor
Escrow Agent shall have been made by such holders or the City pursuant to the foregoing
provisions of this Section within sixty (60) days after written notice of resignation of the Escrow
Agent has been given to the City, the holder of any of the Refunded Bonds or any retiring
Escrow Agent may apply to any court of competent jurisdiction for the appointment of a
successor Escrow Agent and such court may thereupon, after such notice, if any, as it shall deem
proper, appoint such successor Escrow Agent.
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No successor Escrow Agent shall be appointed unless such successor Escrow Agent shall
be a corporation with trust powers organized under the banking laws of the United States or any
state, and shall have at the time of appointment capital and surplus of not less than $50,000,000
or is a member of a bank group or bank holding company with aggregate capital and surplus of
not less than $50,000,000.
Every successor Escrow Agent appointed hereunder shall execute, acknowledge and
deliver to its predecessor, and to the City, an instrument in writing accepting such appointment
hereunder and thereupon such successor Escrow Agent, without any further act, deed or
conveyance, shall become fully vested with all the rights, immunities, powers, trusts, duties and
obligations of its predecessor; but such predecessor shall, nevertheless, on the written request of
such successor Escrow Agent or the City, execute and deliver an instrument transferring to such
successor Escrow Agent all the estates, properties, rights, powers and trusts of such predecessor
hereunder; and every predecessor Escrow Agent shall deliver all securities and moneys held by it
to its successor; provided, however, that before any such delivery is required to be made, all fees,
advances and expenses of the retiring or removed Escrow Agent shall be paid in full. Should any
transfer, assignment or instrument in writing from the City be required by any successor Escrow
Agent for more fully and certainly vesting in such successor Escrow Agent the estates, rights,
powers and duties hereby vested or intended to be vested in the predecessor Escrow Agent, any
such transfer, assignment and instruments in writing shall, on request, be executed,
acknowledged and delivered by the City.
Any corporation into which the Escrow Agent, or any successor to it in the trusts created
by this Agreement, may be merged or converted, or to which substantially all of its corporate
assets have been sold or assigned, or with which it or any successor to it may be consolidated, or
any corporation resulting from any merger, conversion, consolidation or reorganization to which
the Escrow Agent or any successor to it shall be a party, shall be the successor Escrow Agent
under this Agreement without the execution or filing of any paper or any other act on the part of
any of the parties hereto, anything herein to the contrary notwithstanding.
SECTION 3.06 Receipt of Proceedings. Receipt of tree and correct copies of the
proceedings authorizing the issuance of the Refunded Bonds, including the Original Resolution,
are hereby acknowledged by the Escrow Agent, and reference herein to or citation herein of any
provision of said documents shall be deemed to incorporate the same as a part hereof in the same
manner and with the same effect as if they were fully set forth herein.
SECTION 3.07 Ci.ty Indemni~.. The City agrees to indemnify and save the
Escrow Agent, its agents and employees, harmless, to the extent allowed by law, against any
liabilities, obligations, losses, damages, penalties, claims, actions, suits, costs, expenses and
disbursements of whatsoever kind or nature which it may incur in the exercise and performance
of its powers and duties hereunder, including legal expenses, and which are not due to its own
negligence or willful misconduct. Indemnification provided under this section shall survive the
termination of this Agreement.
SECTION 3.08 Payment to Escrow Agent and Paving Agent. The City hereby
agrees to provide for the payment, from its own legally available funds, the costs, charges,
services and expenses of the Escrow Agent incurred in connection with its duties under this
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Agreement. The Escrow Agent hereby acknowledges that it has agreed to accept, and the City
agrees to pay, on the date of execution of this Agreement, the compensation under this
Agreement, as shown on the attached Exhibit C, plus reasonable expenses. The City hereby
agrees to pay the fees and expenses of the Paying Agent referred to below and any publication
costs borne by such Paying Agent for the Refunded Bonds or by the Escrow Agent from the
City's own legally available moneys.
The paying agent for the Refunded Bonds is The Bank of New York, having a
representative office in Jacksonville, Florida.
SECTION 3.09 Notices of Redemption and Defeasance. The City hereby
irrevocably instructs the Escrow Agent to file a copy of the notice of redemption with the Paying
Agent for the Refunded Bonds not less than thirty-five (35) days prior to January 23, 2003 with
respect to the 1992 Bonds, June 1, 2003 with respect to the 1995 Bonds and June 1, 2004 with
respect to the 1994 Bonds, with instructions to such Paying Agent to mail such notice of optional
redemption to the registered owners of such Refunded Bonds not less than thirty (30) days prior
to January 23, 2003 with respect to the 1992 Bonds, June 1, 2003 with respect to the 1995 Bonds
and June 1, 2004 with respect to the 1994 Bonds. Such notices of redemption, with respect to the
Refunded Bonds shall be in substantially the forms attached hereto as Exhibit A. The cost of
mailings shall be borne by the City.
The City hereby instructs the Escrow Agent to publish the applicable notice of
defeasance, set forth on Exhibit B attached hereto, and then file the same with the Paying Agent
for the Refunded Bonds, all in accordance with the instructions set forth thereon. The cost of
such filings and publication shall be borne by the City. The notice of redemption for the 1992
Bonds shall also constitute the notice of defeasance for such 1992 Bonds.
ARTICLE IV
MISCELLANEOUS
SECTION 4.01 Amendments to this Agreement. This Agreement is made for the
benefit of the City and the holders from time to time of the Refunded Bonds and it shall not be
repealed, revoked, altered or amended in whole or in part without the written consent of all
affected holders, the Escrow Agent and the City if such amendment adversely affects its rights;
provided, however, that the City and the Escrow Agent may, without the consent of, or notice to,
such holders, enter into such agreements supplemental to this Agreement as shall not adversely
affect the rights of such holders and as shall not be inconsistent with the terms and provisions of
this Agreement, for any one or more of the following purposes:
(a) to cure any ambiguity or formal defect or omission in this Agreement;
(b) to grant to, or confer upon, the Escrow Agent, for the benefit of the
holders of the Refunded Bonds, any additional rights, remedies, powers or authority that
may lawfully be granted to, or conferred upon, such holders or the Escrow Agent; and
(c) to subject to this Agreement additional funds, securities or properties.
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The Escrow Agent shall be entitled to rely exclusively upon an unqualified opinion of
nationally recognized attorneys on the subject of municipal bonds with respect to compliance
with this Section, including the extent, if any, to which any change, modification, addition or
elimination affects the rights of the holders of the Refunded Bonds or that any instrument
executed hereunder complies with the conditions and provisions of this Section.
Notwithstanding the foregoing or any other provision of this Agreement other than
Sections 2.05 and 2.07 hereof at the written request of the City and upon compliance with the
conditions hereinafter stated, the Escrow Agent shall have the power to and shall, in
simultaneous transactions, sell, transfer, otherwise dispose of or request the redemption of the
U.S. Obligations held hereunder and to substitute therefor direct obligations of, or obligations
fully guaranteed by the United States of America, subject to the conditions that such moneys or
securities held by the Escrow Agent shall be verified to be sufficient, without reinvestment, to
pay Annual Debt Service on the Refunded Bonds, as the same shall become due, until the Total
Debt Service on the Refunded Bonds has been paid in accordance with Schedule C attached
hereto. The City hereby covenants and agrees that it will not request the Escrow Agent to
exercise any of the powers described in the preceding sentence (i) in any manner which will
cause the Series 2002 Bonds or the Refunded Bonds to be "arbitrage bonds" within the meaning
of Section 148 of the Code, and the regulations thereunder in effect on the date of such request
and applicable to obligations issued on the issue date of the Series 2002 Bonds and the Refunded
Bonds, and (ii) without payment of reasonable expenses of the Escrow Agent in connection
therewith. The Escrow Agent shall, as directed in writing by the City, purchase such substituted
securities with the proceeds derived from the maturity, sale, transfer, disposition or redemption
of the U.S. Obligations held hereunder or from other moneys available. The transactions may be
effected only if there shall have been obtained: (1) an independent verification by a nationally
recognized independent certified public accounting finn retained by the City concerning the
adequacy of such substituted securities with respect to principal and the interest thereon and any
other moneys or securities held for such purpose to pay Annual Debt Service on the Refunded
Bonds when due, until the Total Debt Service on the Refunded Bonds has been paid in
accordance with Schedule C attached hereto; and (2) an opinion from Greenberg Traurig, P.A.,
or from any other nationally recognized attorneys on the subject of municipal bonds, to the City
and the Escrow Agent to the effect that the disposition and substitution or purchase of such
securities will not, under the statutes, rules and regulations then in force and applicable to
obligations issued on the date of issuance of the Series 2002 Bonds and Refunded Bonds, cause
the interest on such Series 2002 Bonds or Refunded Bonds not to be excluded from gross income
for Federal income tax purposes and that such disposition and substitution or purchase is not
inconsistent with the statutes and regulations applicable to the Series 2002 Bonds and the
Refunded Bonds. Any surplus moneys, identified as such in the then applicable verification
report, resulting from the sale, transfer, other disposition or redemption of the U.S. Obligations
held hereunder and the substitutions therefor of direct obligations of, or obligations the principal
of and interest on which is fully guaranteed by, the United States of America, shall be released
from the Trust Estate and shall be transferred to the City. The City shall provide written notice of
any such amendment to the rating agencies then rating the Bonds prior to the effective date
thereof.
The City shall give prior written notice to Moody's Investors Service, Inc. (herein,
"Moody's"), together with draft copies, of any proposed amendment, alteration, revocation,
'~\wpb-srv01~SANFORDSB99656v08\l 1/25/02\16787 011100 11
severance or repeal of this Agreement pursuant to this Section. Such notice shall be given in
writing to: Moody's Investors Service, Inc., 99 Church Street, New York, New York 10007,
Attention: Public Finance Ratings Desk - Refunded Bonds.
SECTION 4.02 Severability. If any one or more of the covenants or agreements
provided in this Agreement on the part of the City or the Escrow Agent to be performed should
be determined by a court of competent jurisdiction to be contrary to law, such covenant or
agreement shall be deemed and construed to be severable from the remaining covenants and
agreements herein contained and shall in no way affect the validity of the remaining provisions
of this Agreement. The Escrow Agent shall notify Moody's as soon as practicable if any portion
of this Agreement becomes severable.
SECTION 4.03 Aereement Binding. All the covenants, promises and agreements
in this Agreement contained by or on behalf of the City or by or on behalf of the Escrow Agent
shall bind and inure to the benefit of their respective successors and assigns, whether so
expressed or not.
SECTION 4.04 Termination. This Agreement shall terminate when all transfers
and payments required to be made by the Escrow Agent under the provisions hereof shall have
been made.
SECTION 4.05 Governine Law. This Agreement shall be governed by the
applicable laws of the State of Florida.
SECTION 4.06 Execution by Counterparts. This Agreement may be executed in
several counterparts, all or any of which shall be regarded for all purposes as one original and
shall constitute and be but one and the same instrument.
SECTION 4.07 Notices. Until otherwise directed in writing by any person named
below, all notices, reports, or other communications required or permitted to be given in
accordance with the terms of this Agreement shall be in writing and sent by registered or
certified mail addressed as follows:
(a) As to the City:
Rebecca S. O'Connor
City of Delray Beach
100 N.W. 1 st Avenue
Delray Beach, FL 33444
(561) 243-7120
(561) 243-7166 - Fax
As to the Escrow Agent:
Wells Fargo Bank, National Association
210 North University Drive
Suite 302
Coral Springs, FL 33071
Attention: Corporate Trust Department
\\wpb~srv01\SANFORDS~399656v08~l 1/25/02\16787 011100 12
(c)
As to the Paying Agent:
The Bank of New York
c/o The Bank of New York
Trust Company of Florida, N.A.
10161 Centurion Parkway
Jacksonville, Florida 32256
Attention: Corporate Trust Department
\\wpb-srv01kSANFORDSk399656v08[l 1/25/02\16787 011100 13
IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to be
executed by its duly authorized officers and its corporate seal to be hereunto affixed and attested
as of the date of execution set forth below.
CITY OF DELRAY BEACH, FLORIDA
By:
(SEAL) Title: Mayor
Date of Execution: December __, 2002
Attest:
City Clerk
Wells Fargo Bank, National Association, as
Escrow Agent
(SEAL) By:
Authorized Officer
Date of Execution: December __, 2002
\\wpb-srv01 ~SANFORDS~399656v08\ 11/25/02\16787 011100 14
SCHEDULE A
REFUNDED BONDS
Series 1992 Bonds
Maturity
Date
6/01/03
6/01/04
6/01/07
Principal
Amount
$ 855,O00
905,000
3,050,000
$4,810,000
Interest
Rate
5.90%
6.00%
6.25%
Series 1994 Bonds
Maturity
Date
6/01/03
6/01/04
6/01/05
6/01/06
6/01/07
6/01/08
6/01/12
6/01/16
Principal
Amount
$340,000
365,000
385,000
410,000
430,000
1,580,000
1,010,000
1,290,000
$5,810,000
Interest
Rate
5.45%
5.55%
5.65%
5.75%
5.85%
6.00%
6.25%
6.35%
Series 1995 Bonds
Maturity
Date
6/01/03
6/01/04
6/01/05
6/01/06
6/01/07
6/01/08
6/01/09
6/01/16
Principal
Amount
$95,000
100,000
105,000
110,000
115,000
120,000
125,000
1,105,000
$1,875,000
Interest
Rate
4.700%
4.875%
5.000%
5.000%
5.250%
5.250%
5.300%
6.000%
\\wpb-srv01 ~SANFORDSk399656v08\ 11/25/02\16787 011100
SCHEDULE B
U.S. OBLIGATIONS
Purchased from Proceeds of the
Series 2002 Bonds and Transferred Moneys
Maturity Principal Interest
Date Amount Rate
6/01/03
12/01/03
6/01/04
TYpe
SLGs~
SLGs~
SLGs~
Purchase Price
u.s. Treasury Securities - State and Local Government Series
\\wpb-srv01 \SANFORDSX399656v08\ 11/25/02\16787 011100
Redemption
Date
January 23, 2003
SCHEDULE C
Annual Debt Service and Total Debt Service for Refunded Bonds
payable as indicated below
Series 1992 Bonds
Called Redemption
Principal Premium Interest
$4,810,000 $96,200
Total
Interest Payment
Date
June 1, 2003
December 1, 2003
June 1, 2004
M~ufing
Principal
$340,O00
$365,000
Series 1994 Bonds
Called Redemption
Principal Premium Interest
$5,105,000 $102,100
Total
Interest Maturing Called
Payment Principal Principal
Date
June 1, 2003 $95,000
Series 1995 Bonds
$1,780,000
Redemption
Premium Interest
$35,600
Total
\\wpb-srv01~SANFORDS~399656v08~l 1/25/02\16787 011100
EXHIBIT A-1
NOTICE OF DEFEASANCE AND CALL FOR REDEMPTION
$
CITY OF DELRAY BEACH, FLORIDA
Utilities Tax Revenue Refunding and Improvement Bonds, Series 1992
Maturing on June 1, 2003 through and including June 1, 2007
NOTICE IS HEREBY GIVEN that, pursuant to Resolution No. 98-91, adopted by the
City of Delray Beach, Florida (the "City"), on December 3, 1991, as amended and supplemented
(collectively, the "Resolution"), the City has irrevocably deposited with Wells Fargo Bank,
National Association, as escrow agent (the "Escrow Agent"), in trust, and irrevocably set aside
for such payment, cash and Defeasance Obligations (as such term is defined in the Resolution)
(collectively, the "Deposits"), maturing as to principal and interest in such amounts and at such
times as will ensure the availability of sufficient moneys to pay the principal of and interest
thereon to the redemption date of certain of the outstanding City of Delray Beach, Florida
Utilities Tax Revenue Refunding and Improvement Bonds, Series 1992 (the "Defeased Bonds"),
as described below, and that the Defeased Bonds are deemed to have been paid in accordance
with the terms and provisions of the Resolution and that the Defeased Bonds are hereby called
for optional redemption on January 23, 2003 (the "Redemption Date"), at a price of 102% of the
principal amount thereof plus accrued interest to the Redemption Date.
In the opinion ofCausey Demgen & Moore, Inc., set forth in their report dated December
__, 2002, the Deposits are fully sufficient to pay and refund the Defeased Bonds on the
Redemption Date.
Pursuant to the defeasance provisions set forth in the Resolutions, the Defeased Bonds
are deemed paid within the meaning thereof.
The maturities and principal amounts per maturity and CUSIP numbers of the Defeased
Bonds to be redeemed are as follows:
Maturity Principal
Date Amount CUSIP No.
06/01/03 $ 855,000
06/01/04 905,000
06/01/07 $3,050,000
\\wpb-srv0 I\SANFORDSX399656v08\I 1/25/02\16787 011100 A- 1 - 1
The Defeased Bonds subject to optional redemption on the Redemption Date shall be
presented for payment at the designated corporate tTUSt office of The Bank of New York,
Attention: Corporate Trust Department (the "Paying Agent"). On or after the Redemption Date,
no interest shall accrue on said Defeased Bonds.
This notice is given in conformity with the provisions of the Defeased Bonds and the
Resolution providing for their issuance, and the owners of said Defeased Bonds are hereby
notified and requested to present such Defeased Bonds for redemption and payment as provided
above. The Defeased Bonds which have been called for redemption will be paid from funds
irrevocably deposited for this purpose in an Escrow Deposit Trust Fund established with Wells
Fargo Bank, National Association, as Escrow Agent for the Defeased Bonds.
CITY OF DELRAY BEACH, FLORIDA
The Bank of New York, as Paying Agent and
Bond Registrar for the Defeased Bonds.
Dated ., 2002
\\wpb-srv01\SANFORDSX399656v08\l 1/25/02\16787 011100 A- 1-2
Withholding of 31% of gross redemption proceeds of any payment made within the
United States is required by the Interest and Dividend Tax Compliance Act of 1983, as amended,
unless the Paying Agent has the correct taxpayer identification number (social security or
employer identification number) or exemption certificate of the payee. Please furnish a properly
completed Form W-9 or exemption certificate or equivalent when presenting your bonds for
payment.
CUSIP numbers have been assigned by Standard & Poor's Corporation and are included
solely for the convenience of the holders. Neither the City nor the Escrow Agent shall be
responsible for the selection or use of the CUSIP numbers nor is any representation made
as to their correctness on the Defeased Bonds or as indicated in any redemption notice.
Instructions to Escrow Agent:
This notice must be filed, by the Escrow Agent, with the Paying Agent, as provided in Section
3.09 of the Escrow Deposit Agreement.
\\wpb-srv0 BSANFORDSX399656v08\ 11/25/02\16787 011100 A- 1-3
EXHIBIT A-2
NOTICE OF CALL FOR REDEMPTION
$
CITY OF DELRAY BEACH, FLORIDA
Utilities Tax Revenue Refunding and Improvement Bonds, Series 1994
Maturing on June 1, 2005 through and including June 1, 2016
NOTICE IS HEREBY GIVEN that, pursuant to Resolution No. 98-91, adopted by the
City of Delray Beach, Florida (the "City"), on December 3, 1991, as amended and supplemented
(collectively, the "Resolution"), the City has irrevocably deposited with Wells Fargo Bank,
National Association, as escrow agent (the "Escrow Agent"), in trust, and irrevocably set aside
for such payment, cash and Defeasance Obligations (as such term is defined in the Resolution),
maturing as to principal and interest in such amounts and at such times as will ensure the
availability of sufficient moneys to pay the principal of and interest thereon to the redemption
date of certain of the outstanding City of Delray Beach, Florida Utilities Tax Revenue Refunding
and Improvement Bonds, Series 1994 (the "Defeased Bonds"), as described below, and that the
Defeased Bonds are deemed to have been paid in accordance with the terms and provisions of
the Resolution and that the Defeased Bonds, other than the Defeased Bonds maturing on June 1,
2003 and June 1, 2004, are hereby called for optional redemption on June 1, 2004 (the
"Redemption Date"), at a price of 102% of the principal amount thereof plus accrued interest to
the Redemption Date.
The maturities and principal amounts per maturity and CUSIP numbers of the Defeased
Bonds to be redeemed are as follows:
Maturity Principal
Date Amount CUSIP No.
06/01/05 $ 385,000
06/01/06 410,000
06/01/07 430,000
06/01/08 1,580,000
06/01/12 1,010,000
06/01/16 1,290,000
The Defeased Bonds subject to optional redemption on the Redemption Date shall be
presented for payment at the designated corporate trust office of The Bank of New York,
Attention: Corporate Trust Department (the "Paying Agent"). On or after the Redemption Date,
no interest shall accrue on said Defeased Bonds.
\~wpb-srv0 I\SANFORDSX399656v08\I 1/25/02\16787 011100 A-2-1
This notice is given in conformity with the provisions of the Defeased Bonds and the
Resolution providing for their issuance, and the owners of said Defeased Bonds are hereby
notified and requested to present such Defeased Bonds for redemption and payment as pro*ided
above. The Defeased Bonds which have been called for redemption will be paid from funds
irrevocably deposited for this purpose in an Escrow Deposit Trust Fund established with Wells
Fargo Bank, National Association, as Escrow Agent for the Defeased Bonds.
CITY OF DELRAY BEACH, FLORIDA
The Bank of New York, as Paying Agent and
Bond Registrar for the Defeased Bonds.
Dated ,2004
\\wpb-srvOl\SANFORDS~399656vO8\l 1/25/02\16787 011100 A-2-2
Withholding of 31% of gross redemption proceeds of any payment made within the
United States is required by the Interest and Dividend Tax Compliance Act of 1983, as amended,
unless the Paying Agent has the correct taxpayer identification number (social security or
employer identification number) or exemption certificate of the payee. Please furnish a properly
completed Form W-9 or exemption certificate or equivalent when presenting your bonds for
payment.
CUSIP numbers have been assigned by Standard & Poor's Corporation and are included
solely for the convenience of the holders. Neither the City nor the Escrow Agent shall be
responsible for the selection or use of the CUSIP numbers nor is any representation made
as to their correctness on the Defeased Bonds or as indicated in any redemption notice.
Instructions to Escrow Agent:
This notice must be filed, by the Escrow Agent, with the Paying Agent, as provided in Section
3.09 of the Escrow Deposit Agreement.
\\wpb-$r~O 1KSANFORDS'x399656v08\ 11/25/02\16787 011100 A-2-3
EXHIBIT A-3
NOTICE OF CALL FOR REDEMPTION
$
CITY OF DELRAY BEACH, FLORIDA
Utilities Tax Revenue Bonds, Series 1995
Maturing on June 1, 2004 through and including June 1, 2016
NOTICE IS HEREBY GIVEN that, pursuant to Resolution No. 98-91, adopted by the
City of Delray Beach, Florida (the "City"), on December 3, 1991, as amended and supplemented
(collectively, the "Resolution"), the City has irrevocably deposited with Wells Fargo Bank,
National Association, as escrow agent (the "Escrow Agent"), in trust, and irrevocably set aside
for such payment, cash and Defeasance Obligations (as such term is defined in the Resolution),
maturing as to principal and interest in such amounts and at such times as will ensure the
availability of sufficient moneys to pay the principal of and interest thereon to the redemption
date of certain of the outstanding City of Delray Beach, Florida Utilities Tax Revenue Bonds,
Series 1995 (the "Defeased Bonds"), as described below, and that the Defeased Bonds are
deemed to have been paid in accordance with the terms and provisions of the Resolution and that
the Defeased Bonds, other than the Defeased Bonds maturing on June 1, 2003, are hereby called
for optional redemption on June 1, 2003 (the "Redemption Date"), at a price of 102% of the
principal amount thereof plus accrued interest to the Redemption Date.
The maturities and principal amounts per maturity and CUSIP numbers of the Defeased
Bonds to be redeemed are as follows:
Maturity Principal
Date Amount CUSIP No.
06/01/04 $ 100,000
06/01/05 105,000
06/01/06 110,000
06/01/07 115,000
06/01/08 120,000
06/01/09 125,000
06/01 /16 1,105,000
The Defeased Bonds subject to optional redemption on the Redemption Date shall be
presented for payment at the designated corporate trust office of The Bank of New York,
Attention: Corporate Trust Department (the "Paying Agent"). On or after the Redemption Date,
no interest shall accrue on said Defeased Bonds.
This notice is given in conformity with the provisions of the Defeased Bonds and the
Resolution providing for their issuance, and the owners of said Defeased Bonds are hereby
\\wpb-srv01LSANFORDS~399656 v08\ 11/25/02\16787 011100 A-3-1
notified and requested to present such Defeased Bonds for redemption and payment as provided
above. The Defeased Bonds which have been called for redemption will be paid from funds
irrevocably deposited for this purpose in an Escrow Deposit Trust Fund established with Wells
Fargo Bank, National Association, as Escrow Agent for the Defeased Bonds.
CITY OF DELRAY BEACH, FLORIDA
The Bank of New York, as Paying Agent and
Bond Registrar for the Defeased Bonds.
Dated ,2003
~,\wpb-srv01 ~SANFOKDSX399656v08\I 1/25/02\16787 011100 A-3-2
Withholding of 31% of gross redemption proceeds of any payment made within the
United States is required by the Interest and Dividend Tax Compliance Act of 1983, as amended,
unless the Paying Agent has the correct taxpayer identification number (social security or
employer identification number) or exemption certificate of the payee. Please furnish a properly
completed Form W-9 or exemption certificate or equivalent when presenting your bonds for
payment.
CUSIP numbers have been assigned by Standard & Poor's Corporation and are included
solely for the convenience of the holders. Neither the City nor the Escrow Agent shall be
responsible for the selection or use of the CUSIP numbers nor is any representation made
as to their correctness on the Defeased Bonds or as indicated in any redemption notice.
Instructions to Escrow Agent:
This notice must be filed, by the Escrow Agent, with the Paying Agent, as provided in Section
3.09 of the Escrow Deposit Agreement.
\\wpb-$rv01 \SANFORDS~399656v08\ 11/25/02\16787 011 ] 00 A-3- 3
EXHIBIT B-1
NOTICE OF DEFEASANCE
CITY OF DELRAY BEACH, FLORIDA
Utilities Tax Revenue Refunding and Improvement Bonds,
Series 1994
NOTICE IS HEREBY GIVEN that the City of Delray Beach, Florida (the "City"), has
caused to be deposited with Wells Fargo Bank, National Association, having a designated
corporate trust office in Coral Springs, Florida (the "Escrow Agent"), pursuant to the terms and
provisions of a certain Escrow Deposit Agreement, dated as of December 1, 2002 (the "Escrow
Agreement"), by and between the City and the Escrow Agent, bond proceeds and other legally
available moneys which have been invested (except for a small initial cash balance which will
remain uninvested) in direct obligations of, or obligations the principal of and interest on which
are unconditionally guaranteed by the United States of America (collectively, the "Deposits"), to
pay and defease the City's outstanding Utilities Tax Revenue Refunding and Improvement
Bonds, Series 1994 (the "Defeased Bonds"), maturing on June 1, 2003 through and including
June 1, 2016.
The Defeased Bonds, other than the Defeased Bonds maturing on June 1, 2003 and June
1, 2004, will be called for optional redemption on June 1, 2004, at a price of 102% of the
principal amount thereof, plus accrued interest to the redemption date.
In the opinion of Causey Demgen & Moore, Inc., set forth in their report dated December
__, 2002, the Deposits are fully sufficient to pay and refund the Defeased Bonds on their
respective payment or redemption dates.
Pursuant to the defeasance provisions set forth in the resolutions authorizing the issuance
of the Defeased Bonds (the "Bond Resolution"), the Defeased Bonds are deemed paid within the
meaning thereof.
\\wpb-srv01 ~SANFORDSX399656v08[11/25/02\t6787 011100 B- l - 1
The Paying Agent for the Defeased Bonds shall provide notice of redemption in
accordance with the provisions of the Bond Resolution.
CITY OF DELRAY BEACH, FLORIDA
Dated:
Instructions to Escrow Agent:
This notice must be published once in The Bond Buyer as soon as practicable after
December __, 2002, and filed with the Paying Agent for the Refunded Bonds as soon as
practicable after December __, 2002, with instructions to mail the same to the registered holders
of the Defeased Bonds.
\\wpb-srv01 \SANFORDS~399656v08\I 1/25/02\16787 011100 B- 1-2
EXHIBIT B-2
NOTICE OF DEFEASANCE
CITY OF DELRAY BEACH, FLORIDA
Utilities Tax Revenue Bonds,
Series 1995
NOTICE IS HEREBY GIVEN that the City of Delray Beach, Florida (the "City'), has
caused to be deposited with Wells Fargo Bank, National Association, having designated
corporate trust office in Coral Springs, Florida (the "Escrow Agent"), pursuant to the terms and
provisions of a certain Escrow Deposit Agreement, dated as of December 1, 2002 (the "Escrow
Agreement"), by and between the City and the Escrow Agent, bond proceeds and other legally
available moneys which have been invested (except for a small initial cash balance which will
remain uninvested) in direct obligations of, or obligations the principal of and interest on which
are unconditionally guaranteed by the United States of America (collectively, the "Deposits"), to
pay and defease the City's outstanding Utilities Tax Revenue Bonds, Series 1995 (the "Defeased
Bonds"), maturing on June 1, 2003 through and including June 1, 2016.
The Defeased Bonds, other than the Defeased Bonds maturing on June 1, 2003, will be
called for optional redemption on June 1, 2003, at a price of 102% of the principal amount
thereof, plus accrued interest to the redemption date.
In the opinion of Causey Demgen & Moore, Inc., set forth in their report dated December
__, 2002, the Deposits are fully sufficient to pay and refund the Defeased Bonds on their
respective payment or redemption dates.
Pursuant to the defeasance provisions set forth in the resolutions authorizing the issuance
of the Defeased Bonds (the "Bond Resolution"), the Defeased Bonds are deemed paid within the
meaning thereof.
\\wpb-srv0 I\SANFORDS~399656v08\I 1/25/02\16787 011100 B-2- l
The Paying Agent for the Defeased Bonds shall provide notice of redemption in
accordance with the provisions of the Bond Resolution.
CITY OF DELRAY BEACH, FLORIDA
Dated:
Instructions to Escrow Agent:
This notice must be published once in The Bond Buyer as soon as practicable after
December __, 2002, and filed with the Paying Agent for the Refunded Bonds as soon as
practicable after December __, 2002, with instructions to mail the same to the registered holders
of the Defeased Bonds.
~\wpb-srv0 BSANFORDS~399656v08\l 1/25/02\16787 O11100 B-2-2
EXHIBIT C
Acceptance Fee -0-
Escrow Agent Administration Fee
(One time up from due at Closing) $450.00
Reimbursement of out-of-pocket costs including postage, publication and legal fees, if necessary,
at cost.
\\wpb-srv01\SANFORDS~399656v08\l 1/25/02\16787 011100 C- 1
Exhibit B
BOND PURCHASE AGREEMENT
December __, 2002
$
City of Delray Beach, Florida
Utilities Tax Revenue Refunding Bonds, Series 2002
The City Commission of the
City of Delray Beach, Florida
100 N.W. First Avenue
Delray Beach, Florida 33444
Ladies and Gentlemen:
Bear Stearns & Co., Inc. (the "Underwriter") offers to enter into the folloxvmg agreement
(the "Purchase Contract") with the City of Delray Beach, Florida (the "City"), whnch, upon your
acceptance of this offer, will be binding upon the City and upon the Underwriter. Th~s offer is made
subject to your acceptance on or before 5:00 p.m., Eastern time, on the date hereof and if not so
accepted, will be subject to xv~thdra~val by the Underxvnter upon nonce to the City at any time prior
to your acceptance hereof.
1. Purchase and Sale. Upon the terms and condiuons and upon the basis of the
representauons, warranties and agreements set forth herein, the Underxvnter hereby agrees to
purchase from the City for offenng to the pubhc, and the City hereby agrees to sell and dehver to
the Underwriter for such purpose, all (but not less than all) of the City's $. Utihues Tax
Revenue Refunding Bonds, Series 2002 (the "Bonds"). The Bonds shall be dated as of December 1,
2002, and shall be issued m such pnnclpal amounts, bear such rates of interest, and be redeemable
upon such terms as set forth in Exhibit A attached hereto. Interest on the Bonds shall be payable on
June 1, 2003, and on each December 1 and June 1 thereafter. The aggre,::ate purchase price of the
Bonds is $_. (which takes into account a net original issue prermur, of $. and
an Undcrwnter's discount of $. ) plus accrued interest from December 1, 2002 to the
Closing Date (as hereinafter defined). The Bonds shall initially be offered to thc pubhc at such prices
or yields as indicated on Exhibit A attached hereto. The Bonds are being issued pursuant to the
Consfitunon and Laws of the State of Florida, parncularly, Chapter 166, Florida Statutes, as
amended, and other applicable provisions of la,v, and Resoluuon No. 98-91 of the C%, duly adopted
on December 3, 1991 and Resoluuon No. R-90-02 duly adopted on December 3, 2002 (Resolution
No. 98-91 and Resoluuon No. R-90-02 are someUmes, collecnvely, referred to herein as the
"Resolunon"). The Bonds are special and limited obligations of the City, payable solely from and
secured by the Pledged Funds (defined bcloxv).
The City, is proposing to issue the Bonds to finance the cost of (i) refunding, on a
current bas~s, the C~ty's outstanding Utfliues Tax Revenue Refunding and Improvement Bonds,
Series 1992 (the "Series 1992 Bonds"); 01) advance refunding the City's outstanding Utthues Tax
Revenue Refunding and Improvement Bonds, Series 1994 (the "Series 1994 Bonds"); (m) advance
refunding the Cwy% outstanding Unlltaes Tax Revenue Bonds, Series 1995 (the "Series 1995
Bonds"); 0v) refunding, on a current basis, the C~U,'s Uttlmes Tax Revenue Bonds, Subordinate
017005 00304~ 1078415v3
Series 1996 (the "Series 1996 Bonds"); (v) refunding, on a current basis, the City's Utilities Tax
Revenue Bonds, Subordinate Series 1998 (the "Series 1998 Bonds"); (m) providing a Reserve
Account Credit Facility Substitute (as defined in the Resolution) issued by the Insurer (as defined
below); and (vh) paying certain costs of issmng the Bonds, including payment of the premium for a
municipal bond insurance pohcy (the "Bond Insurance Pohcy") to be purchased from Financial
Security Assurance Inc. (the "Insurer"). The Bonds will be secured by a first lien on and pledge of
the proceeds of the Utihues Tax deposited in the Sinking Fund created and established under the
Resolutton, in the manner and to the extent described in the Resolution (collectively, the "Pledged
Funds").
Concurrently with the execution and delivery of the Bonds, there are to be executed
and delivered, among other things: (a) Escrow Deposit Agreement dated as of December __, 2002
(the "Escrow Agreement"), between the City and Wells Fargo Bank, Nauonal Associauon, as
registrar and paying agent for the Bonds (the "Registrar and Paying Agent" or the "Escrow Agent"),
(b) the Tax Certificate of the Issuer dated as of December ___, 2002 (the "Tax Certificate") and (c)
any other docuwtents related to the transacuons contemplated in the Official Statement in
connecnon with the pubhc offering, sale and distribution of the Bonds. This Purchase Contract, the
Escrow Agreement and the Tax Certtficate are sometunes collecuvely referred to herein as the "City
Documents".
2. Good Faith Deposit; Underwriter's Liability. Delivered to you herewith, as a good
faith deposit, is a corporate check of the Underxvnter payable to the order of the City tn the amount
of $__ (1% of the principal amount of the Bonds) as security for the performance by the
Underxvnter of its obligation to accept and pay for the Bonds at Closing tn accordance with the
provisions hereof. In the event that you accept flus offer, said check will be held uncashed by the
City as a good faith deposit. At the Clostng, the check will be returned to the Underwriter. In the
event you do not accept this offer, the check shall be immediately returned to the Underwriter. If
the Underwriter fails (other than for a reason perrmtted hereunder) to accept and pay for the Bonds
at the Closing as provided herein, the check may be cashed by the City and the proceeds retained by
the City as full hqmdated damages for the failure of the Underwriter to accept and pay for the Bonds
at closing and for any and all defaults hereunder on the part of the Undenvnter, and the retenuon of
such amounts shall consutute a full release and discharge of all clatms and damages for such failure
and for any and all such defaults hereunder on the part of the Underwriter, it betng understood by
both the Cl~ and the Underxvriter that actual damages in such circumstances may be chfficult or
impossible to compute.
In the event that the CiD' fatls to deliver the Bonds at the Closing, or ~f the City is
unable at or prior to the Closing Date to sausfy or cause to be satisfied thc conditions to the
obliganons of the Underwriter contained tn this Purchase Contact, or If thc obhgadons of the
Underxvnter contained here~n shall be cancelled or terminated for any reason perrmtted by this
Purchase Contract, the City shall be obhgated to Lmmediately return the chcck to the Underwriter
and such return shall consutute a full release and discharge of all claims by the City and the
Underwriter ansmg out of the transacuon contemplated herein except for the rcspecUve obhgations
of the C~' and the Underxvriter set forth in Section 8 hereof.
3. Offering. The Underwriter agrees to make a pubhc offering of the Bonds at the lmtial
offering prices set forth in Exhibit A attached hereto; provided, however, the Underwriter reserves
2
the right to make concessions to dealers and to change such initial offering prices as the Underwriter
shall deem necessary in connection w~th the marketing of the Bonds.
It shall be a condinon of your obligation to sell and deliver the Bonds to the
Underwriter, and the obhganon of the Underwriter to purchase and accept dehvery of the Bonds,
that the entire initial aggregate principal amount of the Bonds shall be sold and dehvered by you and
accepted and paid for by the Underwriter at the Closing.
4. Preliminary Official Statement and Official Statement. The C~ty hereby confirms
that it has heretofore made available to the Underwriter a Prelirmnary Officml Statement of the City
relating to the Bonds dated December 4, 2002 (wl:nch, together xvxth the cover page and appenchces
contained therein, ~s hereto called the "Preliminary Officml Statement"). Within seven business days
of the acceptance hereof by the C~ty, the C;ty shall deliver to the Underwriter, at the City's expense
such reasonable number of conformed cop~es of the Officml Statement (which, together w~th the
officml cover page and appendices contained there~n, is herein called the "Official Statement"), as
the Underwriter shall reasonably request, which shall be sufficient in number to permit the
Underwriter to comply with paragraph (b)(4) of Rule 15c2-12 of the Securities and Exchange
Commission ("SEC") under the Securities Exchange Act of 1934 and with Rule G-32 and all other
applicable roles of the Mumcipal Securities Rulemaking Board. The City, by ~ts acceptance hereof
raufies and approves the deeming £mal of the Prelirmnary Officml Statement as of ~ts date and the
distnbutton thereof by the Underwriter and approves and authorizes the Underwriter to use the
Officml Statement and all documents described thereto in connection with the pubhc offering and
the sale of the Bonds. The City agrees to make no amendments to the Officml Statement wxthout
the prior written consent of the Underwriter, winch consent shall not be unreasonably withheld. In
adchuon, the C~t¥ will undertake, pursuant to the Resolunon, to provide certain annual fmancml and
operating mformanon and notices of the occurrence of certazn events, zf matertal. A description of
this undertaking ~s set forth m the Prelmunary Officml Statement and will also be set forth in the
final Officml Statement.
In accordance w~th Section 218.385(6), Florida Statutes, the Underwriter hereby discloses the
requtred ihformanon as provided m Exhibit B attached hereto. In accordance w~th 218.385(2) and
(3), Florida 3tatutes, the Underwriter has delivered to the C~ty, the Truth-th Bon&ng statement,
whmh statement ~s attached hereto as Exhibit C.
5. Representations, Warranties and Agreements. The C~ty hereby represents, warrants
and agrees as follows:
a. As of the date of the Prelirmnary Official Statement and the date of th~s Purchase
Contract and at the ume of Closing, the statements and informatton contained in the Preliminary
Official Statement and Officml Statement are and xvfll be true, correct and complete m all material
respects and the Prehrnmary Official Statement and Official Statement xv~ll not on-ut any statement
or information which should be included therein for the purposes for xvh~ch the Prelnn~nary Officml
Statement and Official Statement are to be used or which ~s necessary to make the statements or
informauon contained thereto, m hght of the czrcumstances under xvh~ch they were made, not
nuslead~ng (provided, hoxvever, that no representauon or warranty ~s being provided ~v~th respect to
the Bond Insurance Policy or the Depos~toU' Trust Company ("DTC") and ~ts book-cntr3, system).
3
b. Between the date of this Purchase Contract and the time of Closing, the City will
not execute any bonds, notes or obligations for borrowed money, other than the Bonds, which
pledge the Pledged Funds, w~thout giving prior written nonce thereof to the Underwriter.
c. The City ~s, and will be at the Closing Date, duly organized and validly existing as
a mumcipal corporation of the State of Florida, with the powers and authority set forth in the Act
(as defined in the Resolution).
d. The City has full legal right, power and authority to: (1) enter into the City
Documents, (h) adopt the Resolunon, ('tii) sell, issue and dehver the Bonds to the Underwriter under
the Act as provided heretn and (iv) carry out and consummate the transacnons contemplated by the
City Documents, the Resolution and the Official Statement, and the City has comphed, and at the
Closing will be in comphance, m all respects, with the terms of the Act and xvlth the obligauons on
its part in connection with the issuance of the Bonds contained in the Resolution, the Bonds, the
Paying Agent Agreement, the Tax Ceruficate and this Purchase Contract.
e. By all necessary official acuon, the C~ty has (i) duly adopted the Resoluuon, (ii)
duly authorized and approved the Official Statement, and (iii) duly authorized and approved the
execution and delivery of, and the performance by the City of, the Bonds, the City Documents, the
Resolution and all other obhganons on its part in connection w~th the issuance of the Bonds and the
consummanon by it of all other transacuons contemplated by the City Documents and the Official
Statement m connecuon with the issuance of the Bonds; and upon delivery of the Bonds at the
Closing, the Resolution, the City Documents, will, assurmng the due authorization, execution and
dehvery of the City Documents by the other pames thereto, constitute legal, vahd and binding
obhgauons of the City, enforceable in accordance xvith their terms, sublect to apphcable bankruptcy,
insolvency, and snnilar laws affecung creditors' rights generally and sublect, as to enforceabtlity, to
general principles of equity.
f. When delivered to and paid for by the Underwriter at the Closing in accordance
with the provisions of this Purchase Contract, the Bonds shall be enutled to the benefits of the
Resoluuon m accordance with the provisio,.~s of the Resoluuon, subject to bankruptcy, insolvency,
reorganlzanon, moratorium and other suntlar l,tws affecting crechtors' rights generally and subject, as
to enforceab~hty, to general principles of eqtuty.
g. To the best knoxvledge of the City, the adopnon of the Resolution and the
authorization, execution and delivery of the City Documents and the Bonds, and comphance with
the provisions hereof and thereof, will not conflict with, or consntute a material breach of or default
under any laxv, admimstrauve regulanon, consent decree, ordinance, resolution or any agreement or
other instrument to which the C~ty xvas or ~s sublect, as the case may be, nor will such adoption,
execution, dehvery, authorization or comphance result m the creation or imposition of any hen,
charge or other security interest or encumbrance of any nature whatsoever upon any of the property
or assets of the C~ty, or under the terms of any laxv, adrmmstrafive regulauon, ordinance, resolution
or instrument, except as expressly provided by the Resoluuon.
h. At the time of Closing, the City xvfll be in comphance m all respects with the
covenants and agreements contained m the Resoluuon and no event of default and no event which,
w~th the lapse of nme or g~x, mg of nonce, or both, would consutute an event of default under the
Resoluuon, xvfil have occurred or be continuing.
i. Except as provided in the Official Statement, all approvals, consents,
authorizations and orders of any governmental authority or agency hamng jurisdicuon in any matter
which would consntute a condition precedent to the performance by the City of ~ts obligauons
hereunder and its obhgations under the Resoluuon have been obtained and are in full force and
effect, except that no representation is made w~th respect to comphance with any state blue sky or
other legal investment laws.
1. The City is lawfully empowered to pledge and grant a lien on the Pledged Funds
for payment of the principal of and interest on the Bonds.
k. Except as expressly disclosed m the Official Statement, there is no action, suit,
proceeding, tnqum/or tnvesugation, at law or m equity, before or by any court, government agency
or public board or body pending or, to the best knowledge of the C~ty, threatened against the City,
affecung or seeMng to prohibit, restrain or enjoin the sale, ~ssuance or dehvery of the Bonds or the
collectton of the Pledged Funds or the pledge of and lien on the Pledged Funds or contesting or
affectmg as to the City the validity or enforceabihty in any respect of the Bonds, the Resolution, the
Ctty Documents, or contesting the tax-exempt status of interest on the Bonds, or contesting the
completeness or accuracy of the Officml Statement or any supplement or amendment thereto, or
contesting the poxvers of the C~ty or the C~ty Commission (the "Commission") or any authority for
the ~ssuance of the Bonds, the adoption of the Resolunon or the execution and dehvery by the City
of the Bonds, the City Documents.
1. The City wall furnish such tnformation, execute such instruments and take such
other acuon tn cooperanon wtth the Underwriter as the Underwriter may reasonably request in
order to 0) quahff the Bonds for offer and sale under the "blue sky" or other secunues laws and
regulanons of such states and other lurischcuons of the Umted States as the Underwriter may
designate and (h) determine the eligibfitty of the Bonds for investment under the laws of such states
and other lunsdictions, and xvill use its best efforts to continue such quahficaUons tn effect so long
as required for the chsmbutton of the Bonds; provxded, however, that the C~ty shall not be required
to execute a general or special consent to servtce of process or quahfy to do bustness or register as a
broker/deaier in connecuon with any such quahfication or deterrmnauon tn any luns&cuon.
m. The C~ty will not take or omit to take any acuon which action or omission will in
any way cause the proceeds from the sale of the Bonds to be applied tn a manner contrary to that
provided for tn the Resolution, the Tax Ceruficate, and as described in the Officml Statement.
n The City nmther ~s nor has been ~n default at any nme after December 31, 1975,
as to princtpal or tnterest xv~th respect to an obligation issued or guaranteed by the City..
o. As of its date, the Prehrmnary Official Statement was deemed "f'mal" by the City
for the purposes of SEC Rule 15c2-12Co)(1) except for the ormss~on of certain matters pernmtted
thereby.
p. If, after the date of th~s Purchase Contract and unul the carter of (i) ninety (90)
days from the end of the "underwriung period" (as defined in SEC Rule 15c2-12) or (h) the time
xvhen the Offictal Statement ts available to any person from a nauonally recogmzed repository, but
in no case less than txventy-five (25) days follo~vmg the end of the underwrmng period, any event
shall occur ~vhmh n-nght or xvould cause the Officml Statement, as then supplemented or amended,
5
to contain any untrue statement of a materml fact or to ormt to state a material fact necessary to
make the statements therein, m the hght of the circumstances under which they were made, not
misleading, the City shall, if it has knowledge of such event, notify the Underwriter thereof and, if in
the opimon of the Underwriter such event requires the preparation and pubhcauon of a supplement
or amendment to the Official Statement, the City will at ~ts own expense forthwith prepare and
furnish to the Underwriter a sufficient number of copies of an amendment of or supplement to the
Official Statement (in form and substance satisfactory to the Underwriter) which xvfll supplement or
amend the Official Statement so that it will not contain an untrue statement of a material fact or
omit to state a material fact necessary m order to make the statements thereto, in light of the
circumstances existing at such time, not rmsleading.
q. Any certificate signed by any official of the City and delivered to the Underwriter
shah be deemed a representatton and warranty by the C~ty to the Underwriter as to the truth of the
statements therein contained.
r. The City has never failed to comply with any prior conunuing disclosure
obhgauon arising out of SEC Rule 15c2-12.
6. Closing. At noon, local time, on December 19, 2002 (the "Closing Date"), or at such
ume on such earher or later date as shall be agreed upon, the City will, subject to the terms and
conditions hereof dehver to DTC in the Cxty of New York, New York or such other location as
shall be acceptable to the City and DTC, the Bonds in permanent form, duly executed, and will
deliver the other documents hereto menuoned at a locaUon mutually agreed upon by the City and
the Underwriter; and the Underwriter wdl pay the purchase price of the Bonds as set forth in
Section 1 hereof plus accrued interest on the Bonds from December 1, 2002 to the Closing Date, by
immediately available funds, payable to the order of the City. This dehvery and payment is herein
called the "Closing."
7. Closing Conditions. The Underwriter has entered xnto this Purchase Contract in
reliance upon the representations and warranues of the City herein contained and the performance
by the CiD, of ~ts obligations hereunder, both as of the date hereof and as of the ume of Closing.
The obhganons of the Underxvnter under thxs I'urchase Contract are and shall be sublect to each of
the following conchttons, and the obhgauons of the City shall be subject to the City receiving the
~tems described mcondittons (f)(fi), (i00v), (f)¢0 through (f)(x):
a. The representanons and warranues of the Cxty contained hereto shah be tree and
correct as of thc date hereof and as of the Closing Date, as if made on the Closing Date.
b. The C~ty shall have performed all agreements of the City' required to be
performed under the Resolution and this Purchase Agreement prior to or on the Closing Date.
c. ~\t the ume of the Closing, the Resoluuon shall be ~n full force and effect in
accordance xv~th its terms and shall not have been amended, mochfied or supplemented, and the
Official Statement shah not have been supplemented or amended, except in any such case as may
have been agreed to by the Underwriter.
d. At the nme of the Closing, all official acuon of the City relanng to the C~ty
Documents, the Resolution, the Official Statement and the Bonds shall be in full force and effect in
6
accordance with their respective terms and shall not have been amended, mo&fled or supplemented
in any material respect, except m each case as may have been agreed to by the Underwriter.
e. The Underwriter shall have the right to cancel the agreement contained herein to
purchase, to accept dehvery of and to pay for the Bonds by notifying you m wriung of then:
intention to do so ff
i. between the date hereof and the Closing Date, legislauon shall have
been enacted by the Congress of the Umted States ("Congress"), or recommended to the Congress
for passage by the President of the United States, or favorably reported for passage to either House
of Congress by any Comrmttee of such House, or passed by rather H6use of Congress, or a dec~sion
shall have been rendered by a court of the United States or the Umted States Tax Court, or a ruling
shall have been made or a regulation shall have been proposed or made by the Treasury Department
of the United States or the Internal Revenue Service, w~th respect to the federal taxation of interest
received on obhganons of the general character of the Bonds, which, in the opinion of Counsel for
the Underwriter has, or will have, the effect of making such interest sublect to inclusion in gross
income for purposes of federal income taxation, or
it. between the date hereof and the Closing Date, legxslation shall be
enacted or any acuon shall be taken by the Securities and Exchange Comn=ssion which has the
effect of requmng the contemplated issuance or distribuuon of the Bonds to be registered under the
Securiues Act of 1933, as amended, or of requiring the Resoluuon to be qualified under the Trust
Indenture Act of 1939, as amended, or
in. an event described m paragraph (p) of Section 5 hereof shall have
occurred which requires an amendment or supplement to the Official Statement and which, in the
reasonable oDmon of the Underwriter, adversely affects the marketab~hty of the Bonds or the
market price thereof, or
~v. in the reasonable oplmon of the Underwriter, payment for the
delivery of :he Bonds ~s rendered mapracticable or inadvisable because (A) trading in securities
generally shall have been suspended on the New York Stock Exchange, Inc or (13) a general
banlong moratorium shall have been estabhshed by Federal, New York or Florida authorities, or (C)
a war or terrorist act involving the United States or othcr naUonal calarni~r shall have occurred or
been declared, or
v. an order, decree or injunction of any court of competent jurisdicuon,
or any order, ruhng, regulauon or adrmmstrative proceeding by any governmental body or board,
shall have been ~ssued or commenced, or any legislation, enacted, with the purpose or effect of
prohibitmg the issuance, offenng or sale of the Bonds as contemplated hereby or by the Official
Statement or prohibiting the adopuon or performance of the Resolution, or
the CltT has, without the prior xvntten consent of the Underwriter,
offered or issued any bonds, notes or other obligauons for borroxved money, or incurred any
material hab~hues, chrect or conungent, other than as described in the Officml Statement, in either
case payable from the Pledged Funds, or
7
vn. the President of the United States, the Office of Management and
Budget, the Department of Treasury, the Internal Revenue Service or any other governmental body,
department, agency or commission of the Umted States or the State of Florida shall take or propose
to take any action or implement or propose regulations, rules or legislauon which, in the reasonable
judgment of the Underwriter, materially adversely affects the market price or marketability of the
Bonds or causes any material mforrnauon in the Official Statement, m light of the circumstances
under which it appears, to be misleading in any material respect, or
yin. any executive order shall be announced, or any legislation, ordinance,
rule or regulation shall be proposed by or introduced in, or be enacted by any governmental body,
department, agency or comrmsslon of the United States or the State of Florida or the State of New
York, having jurisdiction over the subject matter, or a decision by any court of competent
Iurisdlcnon within the United States or w~thin the State of Florida or the State of New York shall be
rendered ~vhlch, in the reasonable judgment of the Underwriter, materially adversely affects the
market price or marketability of the Bonds or causes any ~nformafion in the Official Statement to be
rmsleading m any material respect, or
prior to Closing, Moody's Investor's Service, Inc. ("Moody's") and
Standard & Poor's Rating Services, a division of The McGraw-Hill Companies ("Standard &
Poor's"), shall ~nform the Ctty or the Underwriter that the Bonds will not be rated at least "Aaa" and
"AAA," respectively, or the Insurer shall reform the City or the Underwriter that ~t wtll not deliver
its Bond Insurance Pohcy on the Closing Date.
documents:
f. At or prior to the Closing Date, the Underwriter shall receive the following
i. The Resolution cerufied by the CitT Clerk under seal as having been
duly adopted by the City and as being m effect, xv~th such supplements, modifications or
amendments as may have been agreed to by the Underwriter.
ii. A final approving opwaon of Greenburg Traurig, P.A., Bond
Counsel, addressed to the C~ty, dated the date o:' the Closing, m substanually the form included m
the Officml Statement as Appendix D.
id. A letter of Bond Counsel addressed to the Underwriter and the
Insurer, and dated the Closing Date, to the effect that thetr final approving opinion referred to in
Section 7(f)00 hereof may be rehed upon by the Underxvriter and the Insurer to the same extent as If
such opinion were addressed to the Underxvnter and the Insurer
iv. An opinion of Susan A. Ruby, Esqmre, City Attorney, addressed to
the City, the Underwriter and the Insurer, and dated the date of the Closing, substanually to the
effect that'
(1) the City. is a municipal corporauon duly ex,sung under the
Consntunon and laxvs of the State of Florida and has good right and lawful authority to adopt the
Resolution, execute and dehver the C~' Documents, and issue the Bonds, to secure the Bonds in the
manner provided in the Resolunon, to carD, out ~ts po~vers under the Act and to perform all of its
obhgauons under thc Resolunon, the Bonds and the City Documents;
(2) the Resolution has been duly adopted by the City and the Bonds,
the City Documents have been duly authorized, executed and delivered by the City, and the
Resoluuon and the Bonds, when duly authenticated, and the City Documents, when duly executed
by the other parties thereto consmute valid, legal and binding agreements of the City enforceable in
accordance with their respective terms; provided, however, the enforceabihty thereof may be subject
to bankruptcy, insolvency, reorganization, moratorium and other stmilar laws affecting creditors'
rights generally;
(3) no consent, waiver or any other action by any person, board or
body, public or private, other than the approval of the City which has been duly and validly
obtained, is required as of the date hereof for the City to issue the Bonds or adopt the Resolution, or
to execute and deliver the City Documents, or to perform its obligations under any of the foregoing,
except she need not express any opinion regarding any blue sky or legal investment laws;
(4) to the best of her knowledge, the adopnon of the Resolution and
the execution and dehvery of the City Documents and the Bonds and compliance with the
provisions of each do not and wdl not conflict with or consutute a breach of or default under any
apphcable law or adrmnistrative regulauon of the State of Florida, or any applicable judgment or
decree or any trust agreement, loan agreement, bond, note, resolunon, orchnance, agreement or
other instrument to whmh the City is a part or is otherwise sublect;
(5) except as otherwise chsclosed m the Official Statement, there is
no hfigafion or proceeding, pending or, to the best of her knoxvledge, threatened, challenging the
creauon, orgamzauon or existence of the City or the vahdity of the Bonds or the City Documents or
seeking to restrain or enlom any of the transacnons referred to therein or contemplated thereby, or
xvhich, ua any manner, quesuons the right of the City to issue the Bonds or to pledge the Pledged
Funds for repayment of the Bonds;
(6) there is no liugauon or proceeding pending to which the City is a
party, the ulumate dlsposluon of which would have a material adverse effect on the finances or
operations of :he CiD' or its ability to meet its obligations with respect to the Bor:,ls;
(7) nothing has come to her attenuon that xvould lead her to believe
that the Official Statement as of ~ts date or as of the date hereof contains any untrue statement of a
material fact or ormts to state a material fact necessary to make the statements therein, in the light of
the cn:cumstances under which they were made, not rmsleading;
(8) the Official Statement has been duly authorized, executed and
dehvered by the Ctty, and the City has consented to the use thereof by the Underwriter; and
(9) the C~ty ~s laxvfully empmvered to pledge and grant a hen on the
Pledged Funds, for the payment of the pnnclpal of and interest on the Bonds.
v. A cernficate, xvlmch shall be true and correct at the nme of Closing,
signed by the City Manager and the Finance Director or such other officials sausfactory to the
Underwriter, and m form and substance sansfactory to the Undet-,vnter, to the effect that, to the
best of then' knoxvledge and behef
(1) the representations, warranties and covenants of the City
contained herein are true and correct in all material respects as of the Closing Date and that the City
has satisfied all conditions to be performed or sausfied hereunder at or prior to Closing;
(2) the Official Statement did not as of its date, and does not as of
the Closing Date, contain any untrue statement of a material fact or omit to state a material fact
which should be included thereto for the purposes for which the Official Statement is to be used, or
which ~s necessary ~n order to make the statements contained therein, in light of the circumstances in
which they were made, not rmsleadmg (provided, that no opinion need be expressed regarding the
mformauon contained thereto relating to the Insurer, the Bond Insurance Pohcy, DTC and its book-
entry system);
0) that, except as disclosed ~n the Official Statement, no htigation or
other proceechngs are pending or, to his or her knowledge, threatened against the City in any court
or other tribunal of competent jurisdiction, State or Federal, in any way 0) restraining or enjoining
the ~ssuance, sale or dehvery of any of the Bonds, or (n) quesuoning or affecung the validity of the
C~ty Documents, the Bonds, the Resoluuon or the pledge by the C~ty to the Bondholders of the
Pledged Funds, or ('iii) questtoning or affecung the vahdity of any of the proceedings for the
authorization, sale, execunon, issuance or delivery of the Bonds or (iv) questiomng or affecting (A)
the organizauon or e,,astence of the C~ty or the rifle to office of the officers thereof or 03) the power
or authority of the C~ty to receive the Pledged Funds or (v) asserttng that the Prehminary Official
Statement or the Official Statement contains any untrue statement of a material fact or omits any
material fact necessary to make the statements therein, in hght of the crrcumstances under which
they were made, not rmsleading;
(4) that except as disclosed m the Officml Statement, the City is not
~n default nor has been m default at anytime after December 31, 1975 as to princtpal or interest with
respect to an3' obhgation issued or guaranteed by the C~ty;
(5) that no event affecting the City has occurred since the date of the
Officml Statement that should be disclosed in tl2e Official Statement for the purposes for which it ~s
to be used or that ~s necessary to be disclosed thereto in order to make the statements and
mformauon thereto not m~sleachng m any material respect; and
(6) that since the date of the financial statements ~ncluded m the
Official Statement, (i) no material adverse change has occurred in the financml condiuon of the City
and 00 the City has not incurred any material habflities other than m the ordinary' course of business,
except as set forth m or contemplated by the Officml Statement.
An opxmon of Greenburg Traurig, P A., as Bond Counsel, addressed
to the C~ty and the Underxvnter, and dated the Closing Date, to the effect that:
(1) with respect to the ~nformation in the Officml Statement and
based upon sa~d firm's revmxv of thc Official Statement, as Bond Counsel: (A) it is of the opinion
that the mformatton ~n the Official Statement under the headings "INTRODUCTION,"
"DESCRIPTION OF THE BONDS -- General," "DESCRIPTION OF THE BONDS -
Redemption Provisions," "SOURCE OF PAYMENT AND SECURFi~' FOR THE BONDS,"
"CONTINUING DISCLOSURE UNDERTAKING," (except for the financial and stausucal data
10
contained in any such headings, as to which no view need be expressed), and "APPENDIX C - The
Resolution" insofar as such information purports to be descriptions or summaries of the
Resolunons, the Bonds or state and federal laws to the extent ~ndicated thereto, are accurate and fair
statements or summaries of the matters set forth or the documents referred to therein; and (]3) the
statements on the cover page and under the secuon captioned "TAX EXEMPTION" insofar as
such statements summarize certain provisions of the tax law, regulauons, ruhngs and notices, are fair
and accurate statements of the provisions so summarized; and
(2) the Bonds are exempt from registration under the Securities Act
of 1933, as amended, and the Resolution is exempt from qualification as an indenture under the
Trust Indenture Act of 1939, as amended.
vii. A certtficate of an authorized representative of the Registrar, as
Paying Agent to the effect that:
(1) the Registrar and Paying Agent Is a national banking association
duly organized, validly e~sfing and in good stanchng under the laws of the United States of America
and ~s duly authorazed to exercise trust powers;
(2) the Registrar and Paying Agent has all the requisite authority,
power, hcenses, permats and franchises, and has full corporate power and legal authority to execute
and perform ~ts functaons under the Resolunon and any other documents to which ~t is a party
(hereto, the "Bond Documents");
(3) the performance by the Registrar and Paying Agent of its
funcnons under the Resoluuon and the Bond Documents will not result in any vaolanon of the
Arncles of Association or Bylaws of the Registrar and Paying Agent, any court order to which the
Registrar and Paying Agent is subject or any agreement, indenture or other obligauon or instrument
to which the Registrar and Paying Agent as a part3~ or by which the Registrar and Paying Agent is
bound, and no approval or other acuon by any governmental authoraty or agency having supervisory
authority over :he Registrar and Paying Agent ~s reqmred ~n order for the R~_g~strar and Paying
Agent to perform ,ts funcUons under the Resoluuon and the Bond Documents,
(4) the Bond Documents constitute vahd and binding obligations of
the Registrar and Paying Agent an accordance w~th ~ts terms, sublect to applicable bankruptcy,
~nsolvency, reorgamzanon, moratorium and other sinular laws affecting creditors' rights generally
and subject, as to enforceabflaty, to general pnncaples of eqmty; and
(5) to the best of such authorized representauve's knowledge, there
~s no action, stat, proceeding, or anvestiganon at laxv or in equity before any court, public board or
body pendang or, to his or her knoxvledge, threatened against or affecung the Registrar and Paying
Agent where~n an unfavorable dec~saon, mhng or finding on an issue rinsed by any party, thereto is
hkely to materially and adversely affect the ab~h~; of the Registrar to perform ~ts obhgations under
the Resolutton and the Bond Documents.
vm. Letters of Moody's and Standard & Poor's to the effect that the
Bonds have been assigned a ranng no less Gvorable than "Aaa" and "AAA," respecuvely, which
ratings shall be m effect as of the Closang Date
11
ix. Duly executed cop~es of the Bond Insurance Pohcy, the City
Documents and the Bond Documents in form acceptable to the Underwriter and bond counsel.
x. An opinion of general counsel to the Insurer and a certificate of an
officer of the Insurer dated the date of the Closing and addressed to the Underwriter and the City,
concerning the Insurer, the Policy, and the mformauon relating to the Insurer and the Bond
Insurance Policy, contained in the Official Statement, m form and substance sausfactory to the
Underwriter.
xi. A certificate executed by the Finance Dn:ector dated the Closing~
Date, satisfactory to Bond Counsel setting forth the facts, esttmates and circumstances which
estabhsh that it ~s not expected that the proceeds of the Bonds xvill be used in a manner that would
cause the Bonds to be "arbitrage bonds" within the meamng of the Internal Revenue Code of 1986,
as amended, and to the best of the knowledge and behef of such officer, such expectations are
reasonable.
xh. A letter of representations of the Issuer to DTC.
Internal Revenue Service Form 8038-G.
yav. State of Florida Dims~on of Bond Finance Form BF2003/2004-B.
xv. Such adchuonal legal opinions, certificates, instruments and other
documents as the Under~vnter may reasonably request.
If the C~ty shall be unable to sausfy the conditions to the obligations of the Underwriter to
purchase, to accept dehvery of and to pay for the Bonds contained m th~s Purchase Contract and the
Underwriter does not waive such mab~hty in ~vriung, or if the obhgauons of the Underwriter to
purchase, to accept dehvery of and to pay for the Bonds shall be terminated for any reason
permitted by this Purchase Contract, th~s Purchase Contract shall terminate, the good faith deposit
described m Section 2 hereof shall be returned tc the Underxvriter and neither the Underwriter nor
the City shall be under any further obhgauon hereunder, except that the respecuve obligauons of the
City and the Under~vnter set forth m Secuon 8 hereof shall continue m full force and effect.
8. Expenses. The Underxvriter shall be under no obhgauon to pay, and the City shall pay,
any expense incident to the performance of the C~ty's obhgauons hereunder including, but not
hmited to: (a) the cost of preparation, pnnting and dehvery of the Resolution; (b) the cost of
preparauon and printing of the Bonds; (c) the fees and expenses of Bond Counsel; (d) the fees and
expenses of Pubhc Financial Management, Inc., the C~ty's fmanctaI advisor for the Bonds; (e) the
fees and d~sbursements of any other experts, consultants or advisors retmned by the C~ty; (f) fees for
bond ratings; (h) the fees and expenses of the Registrar and Paying Agent; and (h) the costs of
preparing, prmung and dehvering the PreLtrmnary Official Statement and the Officml Statement and
any supplements or amendments thereto. The Underwriter shall pay: (a) the cost of prmtmg and
dehvery of this Purchase Contract; (b) the cost of all "Blue Sky" and legal investment memoranda
and related filing fees; (c) all adverUsmg expenses; and (d) all other expenses recurred by it in
connecuon xv~th the pubLtc offering of the Bonds including the fees and d~sbursements of counsel
for the Underxvnter. In the event that rather party shall have prod obhgauons of the other as set
forth ~n th~s Secuon 8, adlustment shall be made at the ume of the Closing.
12
9. Notices. Any notice or other communication to be gnven to you under this Purchase
Contract may be given by mailing the same to the attention of the City Manager, at the address set
forth on the first page hereof, and any such notice or other communicauon to be given to the
Underwriter may be mailed to Bear Stearns, 225 N.E. M~zner Blvd., Boca Raton, Florida 33483,
Attention: J.W. Howard.
10. Parties in Interest. This Purchase Contract is made solely- for the benefit of the City
and the Underwriter and no other party or person shall acquire or have any right hereunder or by
virtue hereof. All of the C~ty's representanons, warranties and agreements m this Purchase Contract
shall remain operaUve and in full force and effect and shall survive the delivery of the Bonds.
11. Waiver. Notw~thstanchng any provision herein to the contrary, the performance of any
and all obhgations of the City hereunder and the performance of any and all condiuons contained
herein for the benefit of the Underxvnter may be warred by the Underwriter, and the approval of the
Undenvriter when required hereunder or the determination of thetr sausfacuon as to any document
referred to herein shall be evidenced by its purchase of the Bonds.
12. No Liability. Neither the Commission, nor any of the members thereof, nor any officer,
agent or employee thereof shall be charged personally by the Underwriter with any hability, or held
hable to the Underwriter under any term or provision of thts Purchase Contract because of its
executaon or attempted execuUon, or because of any breach or attempted or alleged breach thereof.
13. Governing Law. Th~s Purchase Contract, and the terms and condiuons herein, shall
consutute the full and complete agreement between the City and the Underwriter with respect to the
purchase and sale of the Bonds. Tl'ns Purchase Contract shall be governed by and construed in
accordance xvlth the laws of the State of Florida.
14. Operation of Warranties, Etc. All the representations, xvarranues, covenants and
agreements of the C~ty in tlms Purchase Contract shall remain operative and m full force and effect
as if made on the date hereof and the Closing Date, regardless of (1) any investtgation made by or on
behalf of the Un,~'er~vnter or Counsel to the Underwriters or (n) delivery of and an) payment for the
Bonds hereunder.
15. Section Headings. Secuon headings have been inserted m th~s Purchase Contract as a
matter of convenience of reference only, and it is agreed that such section headings are not a part of
this Purchase Contract and w~ll not be used in the interpretauon of any provisions of this Purchase
Contract.
16. Severability. If any provision of th~s Purchase Contract shall be held or deemed to be,
or shall in fact be, mvahd, inoperative or unenforceable as apphed in any particular case m any
jurisdiction or jurischcuons, or in all lunschcuons because it confl~cts xv~th any provisions of any
consutuuon, statute, or rule of public policy, or for any other reasons, such circumstances shall not
have the effect of rendering the provision in questton mvahd, moperattve or unenforceable in any
other case or c~rcumstances, or of rendering any other provision or provisions of this Purchase
Contract invalid, moperauve or unenforceable to any extent xvhatever.
17. Execution of Counterparts. This Purchase Contract may be executed m any number of
counterparts, all of xvh~ch taken together shah be one and the same instrument, and any parties
hereto may execute this Purchase Contract by signing any such counterpart. The execution of this
Purchase Contract has been duly authorized by the Commission.
18. Effectiveness. This Purchase Contract shall become effecuve upon the execution by the
appropriate City officials of the acceptance hereof by the City and shall be valid and enforceable at
the time of such acceptance.
Very truly yours,
BEAR STEARNS & CO., INC.
By:
j.w. Howard, Associate Director
Accepted this __ day of December, 2002
by the City Comrmss~on of the
City of Delray Beach, Florida
By:.
(Vice) Mayor
14
EXHIBIT A
MATURITIES, AMOUNTS, INTEREST RATES, AND PRICES OR YIELDS
$ SERIAL BONDS
Maturities Interest
0une 1) Amounts Rates Yield
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
Redemption
A-1
EXHIBIT B
DISCLOSURE STATEMENT
The City Commission of the
City of Delray Beach, Florida
100 N.W. First Avenue
Delray Beach, Florida 33444
Re:
$ , City of Delray Beach, Florida
Utihties Tax Revenue Refunding Bonds, Series 2002
Laches and Gentlemen:
In connection with the proposed issuance by the City of Delray Beach, Florida of
$ of its Uulines Tax Revenue Refunding Bonds, Series 2002 (the "Bonds"), Bear
Stearns (the "Underwriter") is underxvriung a pubhc offering of the Bonds. The purpose of this
letter is to furnish, pursuant to the provisions of Section 218.385(6), Florida Statutes, certain
mformauon in respect of the arrangements contemplated for the underwriting of the Bonds as
follows:
A. The nature and estimated amount of expenses to be recurred by the Underwriter
in connecnon ~vith the purchase and reoffermg of the Bonds are set forth in Schedule I attached
hereto.
B. No person has entered into an understanding xvith the Underwriter, or to the
knowledge of the Underwriter, with the City, for any paid or protmsed compensauon or valuable
consideration, directly or indirectly, expressly or imphed, to act solely as an intermediary between the
City and the Underwriter or to exercise or attempt to exercise any influence to effect any transacuon
in the purchase of the Bonds.
C. The underwriting spread, the difference between the price at xvhich the Bonds
will be inlnally offered to the public by the Under~vnter and the price to be paid to the City for the
Bonds, excluswe of accrued interest, xvfll be $.__ per $1,000 of Bonds issued.
D. As part of the estimated underxvnting spread set forth in Paragraph (c) above,
the Under~vnter will charge a management fee of $ per $1,000 of Bonds ~ssued.
E. No other fee, bonus or other compensation is estimated to be pa~d l~y the
Underwriter m connection ~vith the issuance of the Bonds to any person not regularly employed or
retained by the Under~vriter (including any "finder" as defined m Section 218.3860)(a), Florida
Statutes), except as specifically enumerated as expenses to be recurred by the Underwriter, as set
forth in Paragraph (a) above.
B-1
We understand that you do not reqmre any further disclosure from
pursuant to Section 218.385(6), Florida Statutes.
BEAR STEARNS & CO., INC.
225 N.E. Mizner Boulevard
De[ray Beach, Florida 33484
the Underwriter,
By:
J.W. Howard, Associate Director
B-2
SCHEDULE I
UNDERWRITERS ESTIMATED EXPENSES
MSRB, CUSIP, DTC, PSA
Travel, Closing
Communicauons/Adverusing
Day Loan
Counsel Fees
Miscellaneous
Total Expenses
~)er $1,000)
B-3
EXHIBIT C
TRUTH-IN BONDING STATEMENT
The following truth-in-bonding statement is prepared pursuant to Secuon 218.385(2) and
(3), Florida Statutes, and is for informational purposes only. It shall not affect or control the actual
terms and condiuons of the debt or obligauons.
The City of Delray Beach, Florida (the "C~ty") is proposmg to ~ssue $ of City of
Dekay Beach, Florida, Uti_hues Tax Revenue Refunding Bonds, Series 2002 (the "Bonds") for the
purpose of providing funds to: (i) refund, on a current basis, the City's outstanding Uulities Tax
Revenue Refunding and Improvement Bonds, Series 1992 (the "Series 1992 Bonds"); (ii) advance
refund the City's outstanding Utthties Tax Revenue Refunding and Improvement Bonds, Series 1994
(the "Series 1994 Bonds"); ('~) advance refund the C~ty's outstanding Utilines Tax Revenue Bonds,
Series 1995 (the "Series 1995 Bonds"); 0v) refund, on a current basis, the C~ty's Ufihfies Tax
Revenue Bonds, Subordinate Series 1996 (the "Series 1996 Bonds"); (v) refund, on a current basis,
the City's Unhties Tax Revenue Bonds, Subordinate Series 1998 (the "Series 1998 Bonds"); (vi)
provide a Reserve Account Credit Facility Substitute (as defined m the Resolution); and (vii) pay
certain costs of issumg the Bonds, including payment of the prermum for a municipal bond
insurance pohcy (the "Bond Insurance Pohcy") to be purchased from Financial Security Assurance,
Inc. (the "Insurer"). The Bonds are expected to be repmd over a period of approximately 14 years.
At the interest rates set forth in Exhibit A of the Purchase Contract, total interest pa~d over the life
of the Bonds reclusive of accrued interest w~ll be $
The Bonds are secured by a fn:st hen upon and a pledge of the proceeds of the Cny's Ufilines
Tax deposited in the Sinking Fund (as defined ~n the Resolution) and all moneys on deposit to the
credit of certain funds and accounts created under the Resolution and the earnings on the
investment thereof, all in the manner and to the extent described in the Resolution (collectively, the
"Pledged Funds"). Because the Bonds xvdl refund the bonds set forth above and will result in a
lower debt service on such bonded ~ndebtedness, authorizing the Bonds will not ~csult in any
additional such Pledged tunds not being available to finance other projects of the C~ty
ExhibitC
PRELIMINARY OFFICIAL STATEMENT DATED DECEMBER 4,2002
NEWISSUE
RATINGS: (see "Ratings" herein)
tax. S ~ bourn, er, "Tax Exempnon" herein for a descrtption gr tvrtain txtx'r taxes imposed on ~. Bovd Co. o~d is also q' doe opirdm thar the
220, Florida Statutes, on imer~ ~ imorm or tm~ts on debt obligau~s ounM by a~:rratiom, hades and sav. r~ as sooatwns
CITY OF DELRAY BEACH, FLORIDA
$16,500,000'
Utilities Tax Revenue Refunding Bonds
Series 2002
Dated: December 1, 2002
Due: June 1, as shown on the inside cover
The City of Delray Beach, Florida Utilities Tax Revenue Refunding Bonds, Series 2002 (the "Bonds") will be issued as fully
registered bonds without coupons in principal denominations of $5,000 or any integral multiples thereof. The Bonds will be registered
in the name of Cede & Co., as nominee for the Depository Trust Company, New York, New York (~DTC'), and DTC will act as
securities depository for the Bonds. So long as Cede 8: Co is the registered owner of the Bonds, principal of and premium, if any, and
interest on the Bonds will be paid directly to Cede & Co., as nominee for DTC, by Wells Fargo Bank, National Assochtion, having a
designated corporate trust office in Coral Springs, Florida as Paying Agent for the Bonds (the "Paying Agent"). Interest on the Bonds is
payable sen'u-annually, commencing June 1, 2003, and each December 1 and June 1 thereafter.
The Bonds are subject to optional redemption and mandatory sinking fund redemption prior to their stated maturity under
the terms and conditions described hereim
This cover page contains certain information for quick reference only. It is not a summary of the issue. Investors must read
the entire Official Statement to obtain information essential to making an informed investment decision.
The Bonds wxll be issued by the City of Delray Beach, Florida (the "City") to (~ refund, on a current basis, the City's
outstanding Utilities Tax Revenue Refunding and Improvement Bonds, Series 1992; (h) advance refund the City's outstanding Utilkles
Tax Revenue Refunding and Improvement Bonds, Series 1994; (iii) advance refund the City's outstanding Utilities Tax Revenue Bonds,
Series 1995; (iv) refund, on a current basis, the Gty's Utihties Tax Revenue Bonds, Subordinate Series 1996; (v) refund, on a current
basis, the City's Utdities Tax Revenue Bonds, Subordinate Series 1998; (vi) provide a Reserve Account Credk Facility Substitute (as
hereinafter defined); and (vii) pay the costs of issuing the Bonds.
The Bonds are hmited obligations of the City, payable solely from and secured solely by a pledge of and first priority lien
upon the Pledged Revenues (which consist of the proceeds of the City's Utilities Tax deposked in the Sinking Fund), in the manner
herein described. The Bonds and the interest thereon shall not be and shall not constitute an indebtedness of the aty or of the State of
Florida or any political subdivision thereof within the meaning of any Constitutional, statutory, charter or other limitation of
indebtedness, and neither the full faith and credit nor the taxing powers of the State of Florida or the City are pledged as security for the
payment of the principal of, redemption premium, if any, or interest on the Bonds and no holder or holders of any Bonds shall ever
have the right to compel the exercise of the ad valorem taxing powers of the City, or taxation in any form of anyreal property therein to
paythe Bonds or the interest thereon.
The scheduled payment of principal of and interest on the Bonds when due will be guaranteed under an insurance
policy to be issued concurrently with the delivery of the Bonds b~
FINANCIAL SECURITY ASSURANCE lNG
For a discussion of the terms and provisions of such policy, including the limitations, see "MUNICIPAL BOND
INSURANCE" herein.
AMOUNTS, MATURITIES, INTEREST RATES,
PRICES OR YIELDS AND CUSIP NUMBERS
Serial Bonds
Principal Interest Price or Cusip
Amount Maturity Rate Yield Numbers
CITY OF DELRAY BEACH, FLORIDA
100 N.W. 1st Avenue
Delray Beach, Florida 33444
CITY COMMISSION
David W. Schmidt, Mayor
Jeff Perlman, Vice Mayor
Patricia Langley Archer, Vice Mayor
Jon 1L Levinson, Commissioner
Aberta Perry McCarthy, Commissioner
CITY OFFICIALS
David T. Harden, City Manager
Joseph M. Safford, Finance Director
Rebecca S. O'Connor, Treasurer
Richard C Hasko, Director of Environmental Services
Randal Krejcarek, City Engineer
Barbara Garito, City Clerk
CITY ATTORNEY
Susan A. Ruby, Esquire
BOND COUNSEL
Greenburg Taurig, P.A.
West Palm Beach, Florida
UNDERWRITER'S COUNSEL
Blank Rome Comisky & McCauley LLP
Boca Raton, Florida and Philadelphia, Pennsylvania
FINANCIAL ADVISOR
Public Financial Management, Inc.
Orlando, Florida
No dealer, broker, salesperson or other person has been authorized by the City or the Underwriter to
give any information or to make any representations with respect to the Bonds other than those contained in
the Official Statement, and, if given or made, such information or representations must not be relied upon as
having been authorized by any of the foregoing. This Official Statement is not to be construed as a contract
with the purchasers of the Bonds. This Official Statement does not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of the Bonds by any person in any jurisdiction in
which it is unlawful for such person to make such offer, solicitation or sale.
The information set forth herein has been obtained from the City, Financial Security Assurance Inc.
("Financial Security"), DTC and other sources which are believed to be reliable but it is not guaranteed as to
accuracy or completeness by, and is not to be construed as a representation of, the Underwriter. The City
makes no representation as to any information from sources other than the information provided by the City.
The information and expressions of opinion herein are subject to change without notice, and neither the
delivery of this Official Statement nor any sale of the Bonds, under any circumstances, create any implication
that there has been no change in any information set forth herein since the date hereof or the date as of
which particular information is given, if earlier. This Official Statement is not to be construed as a contract
or agreement between the City or the Underwriter and the purchasers or owners, from time to time, of any of
the Bonds.
IN GONNECTION WITH THIS OFFERING, THE UNDERWRITER MAY OVERAT.I.OT OR
EFFECT TRANSACTIONS THAT STABILIZE OR MAINTAIN THE MARKET PRICE OF THE
BONDS AT LEVELS ABOVE THAT WHICH MIGHT OTHERWISE PREVAIL IN THE OPEN
MARKET. SUCH STABILIZING, IF COMMENCED, MAY BE DISCONTINUED AT ANY TIME.
The following Official Statement contains a general description of the Bonds and sets forth certain
information about the City. All summaries and descriptions herein of documents, instruments and
agreements, including the Bonds, are qualified in their entirety by reference to the complete, definitive forms
of the Bonds and such documents, instruments and agreements, copies of which are on file at the office of
the Paying Agent.
THE BONDS HAVE NOT BEEN REGISTERED WITH THE SECURITIES AND
EXCHANGE COMMISSION UNDER THE SECURITIES ACT OF 1933, AS AMENDED, IN
RELIANCE UPON EXEMPTIONS CONTAINED IN SUCH ACT. THE REGISTRATION OR
QUALIFICATION OF THE BONDS IN ACIGORDANCE WITH APPLICABLE PROVISIONS OF
THE SECURITIES LAWS OF CERTAIN STATES, IF ANY, IN WHICH THE BONDS HAVE BEEN
REGISTERED OR QUALIFIED AND THE EXEMPTION FROM REGISTRATION OR
QUALIFICATION IN CERTAIN OTHER STATES CANNOT BE REGARDED AS A
RECOMMENDATION THEREOF. NEITHER THESE STATES NOR ANY OF THEIR AGENCIES
HAVE PASSED UPON THE MERITS OF THE BONDS OR THE ACCURACY OR COMPLETENESS
OF THIS OFFICIAL STATEMENT. ANY REPRESENTATION TO THE CONTRARY MAY BE A
CRIMINAL OFFENSE.
Other than with respect to information concerning Financial Security contained under the caption
"BOND INSURANCE" and Appendix E specimen "Municipal Bond Insurance Policy" herein, none of the
information in this Official Statement has been supplied or verified by Financial Security and Financial
Security makes no representation or warranty, express or implied, as to (i) the accuracy or completeness of
such information; (ii) the validity of the Bonds; or ('fii) the tax-exempt status of the interest on the Bonds.
TABLE OF CONTENTS
Page No.
INTRODUCTION .......................................................................................................................................... 1
PURPOSE OF BONDS .................................................................................................................................. 1
PLAN OF REFUNDING .............................................................................................................................. 2
Gurrent Refunding ...................................................................................................................................... 2
Advance Refunding .................................................................................................................................... 2
Deposit to Escrow Agreement ................................................................................................................. 2
ESTIMATED SOURCES AND USES OF FUNDS ................................................................................. 3
DESCRIPTION OF THE BONDS .............................................................................................................. 4
General ......................................................................................................................................................... 4
Book-Entry Only System .......................................................................................................................... 4
Discontinuance of Book-Entry Only System ......................................................................................... 7
Redemption .................................................................................................................................................
Notice of Redemption ...............................................................................................................................
SOURCE OF PAYMENT AND SECURITY FOR THE BONDS ....................................................... 9
General ......................................................................................................................................................... 9
Covenant Concerning Utilities Taxes ...................................................................................................... 9
Reserve Account ....................................................................................................................................... 10
Flow of Funds ........................................................................................................................................... 10
Additional Bonds ...................................................................................................................................... 12
UTILITIES TAXES ....................................................................................................................................... 12
BOND INSURANCE ................................................................................................................................... 15
Bond Insurance Policy ............................................................................................................................. 15
Financial Security Assurance Inc ............................................................................................................ 15
THE CITY ....................................................................................................................................................... 15
DEBT SERVICE REQUIREMENTS FOR THE BONDS ................................................................... 16
RATINGS ........................................................................................................................................................ 16
LEGALITY ...................................................................................................................................................... 17
TAX EXEMPTION ....................................................................................................................................... 17
UNDERWRITING ........................................................................................................................................ 18
CONTINUING DISCLOSURE UNDERTAKING .............................................................................. 19
ENFORCEABILITY OF REMEDIES ...................................................................................................... 21
LITIGATION ................................................................................................................................................. 22
GENERAL PURPOSE FINANCIAL STATEMENTS .......................................................................... 22
FINANCIAL ADVISOR .............................................................................................................................. 22
VERIFICATION OF MATHEMATICAL COMPUTATIONS ........................................................... 22
MISCELLANEOUS ....................................................................................................................................... 23
AUTHORIZATION OF AND CERTIFICATION CONCERNING OFFICIAL STATEMENT23
APPENDIX A -
APPENDIX B -
APPENDIX C -
APPENDIX D -
APPENDIX E --
APPENDIX F --
General Information Concerning the City of DelrayBeach and Palm Beach
General Purpose Financial Statements of the City of Delray Beach
Summary of Certain Provisions of the Bond Resolution
Form of Bond Counsel Opinion
Specimen Municipal Bond Insurance Policy
Specimen Municipal Bond Debt Service Reserve Insurance Policy
OFFICIAL STATEMENT
$16,500,000~
City of Delray Beach, Florida
Utilities Tax Revenue Refunding Bonds
Series 2002
INTRODUCTION
The purpose of this Official Statement, which includes its cover page and certain enclosed
Appendices, is to furnish information with respect to the issuance by the City of Delray Beach,
Florida (the "City') of its Utilities Tax Revenue Refunding Bonds, Series 2002 (the ~Bonds') in the
aggregate principal amount of $16,500,000.
The Bonds are being issued under the authority of and in full compliance with the
Constitution and laws of the State of Florida, including Chapter 166, Florida Statutes, as amended
and supplemented, the City Charter, as amended and supplemented, and other applicable provisions
of law. The Bonds are being issued more specifically pursuant to Resolution No. 98-91, adopted by
the City Commission of the City (the "Commission") on December 3, 1991, as amended and
supplemented which authorized the issuance from time to time of Utilities Tax Revenue Bonds in
one or more series (the "Original Resolution") and Resolution No. 90-02 adopted on December 3,
2002 authorizing the issuance of the Bonds and amending certain provisions of the Original
Resolution (the "Supplemental Resolution"). The Original Resolution and the Supplemental
Resolution are referred to herein as the "Bond Resolution".
The Bonds are special, limited obligations of the City payable solely from and secured solely
by a pledge of and first priority lien upon the Utilities Tax revenues levied and collected by the City
and deposited in the Sinking Fund created and established pursuant to the terms and provisions of
the Bond Resolution (sometimes hereinafter referred to as the "Pledged Revenues"), as further
described under the heading "Utilities Taxes" herein.
Capitalized terms not otherwise defined in this Official Statement shall have the same
meanings assigned to such terms in the Summary of the Bond Resolution, which is set forth in
Appendix "C". The description of the Bonds, the Bond Resolution, and certain statutory provisions
as well as the information from various reports and statements contained in this Official Statement
are not comprehensive or definitive. All references to such documents, reports and statements are
qualified by the actual content of such documents, reports and statements, copies of which may be
obtained by contacting the Director of Finance, City of Delray Beach, Florida, 100 N.W. First
Avenue, Delray Beach, FL 33444, (561) 243-7115 or during the offering period of the Bonds from
Public Financial Management, Inc., financial advisor to the City (407) 648-2208.
PURPOSE OF BONDS
The Bonds shall be issued by the City to (~ refund, on a current basis, the City's outstanding
Utilities Tax Revenue Refunding and Improvement Bonds, Series 1992 (the "Series 1992 Bonds");
(ii) advance refund the City's outstanding Utilities Tax Revenue Refunding and Improvement
Bonds, Series 1994 (the "Series 1994 Bonds"); (iii) advance refund the City's outstanding Utilities
Preliminary, subject to change.
Tax Revenue Bonds, Series 1995 (the ~Series 1995 Bonds"); (iv) refund, on a current basis, the
City's Utilities Tax Revenue Bonds, Subordinate Series 1996 (the "Series 1996 Bonds"); (v) refund,
on a current basis, the City's Utilities Tax Revenue Bonds, Subordinate Series 1998 (the "Series 1998
Bonds"); (vi) provide a Reserve Account Credit Facility Substitute in an amount equal to the Debt
Service Reserve Requirement for the Bonds; and (vii) pay certain costs incurred in connection with
the issuance of the Bonds including the premium for Bond Insurance.
PLAN OF REFUNDING
Current Refunding
A portion of the proceeds of the Bonds along with other legally available funds, will be used
to refund, on a current basis: (i) $4,810,000 aggregate principal amount of the Series 1992 Bonds;
$2,567,000 aggregate principal amount of the Series 1996 Bonds; and ('fii) $277,000 aggregate
principal amount of the Series 1998 Bonds. The current refunding is being undertaken for the
purpose of effectuating debt service cost savings to the City.
The monies required to refund the Series 1996 Bonds and the Series 1998 Bof~ds will be
derived from certain of the proceeds of the sale of the Bonds. On December 19, 2002', the Citywill
make the payment of the principal of and accrued interest on the Series 1996 Bonds and the 1998
Bonds to SunTrust Bank, South Florida, N.& (now known as SunTrust Bank).
Advance Refunding
A portion of the proceeds of the Bonds and other available moneys of the City will be used
to advance refund: (i) $5,810,000 aggregate principal amount of the Series 1994 Bonds; and (h~
$1,875,000 aggregate principal amount of the Series 1995 Bonds. The advance refunding is being
undertaken for the purpose of effectuating debt service cost savings to the City.
Deposit to Escrow Agreement
Ce~xain of the proceeds of the sale of Bonds, along with other legally available funds, will be
irrevocably deposited with Wells Fargo Bank, National Association, as escrow agent for the Series
1992 Bonds, the Series 1994 Bonds and the Series 1995 Bonds (the "Escrow Agent") pursuant to an
Escrow Deposit Agreement (the "Escrow Deposit Agreement"), by and between the City and the
Escrow Agent. The Escrow Deposit Agreement requires the Escrow Agent to use certain of the
monies held in escrow thereunder to purchase direct obligations of the United States of America
(such direct obligations are collectively referred to as "Government Obligations"). The
Government Obligations will mature at such times in such amounts so that sufficient monies will be
available from such maturing principal, together with interest income from the Government
Obligations, and cash balances, if any, to make scheduled debt service payments on the Series 1994
Bonds and the Series 1995 Bonds and to redeem the Series 1992 Bonds, the Series 1994 Bonds and
the Series 1995 Bonds at the respective first optional redemption dates. See "VERIFICATION OF
MATHEMATICAL COMPUTATIONS", herein.
Preliminary, subject to change.
ESTIMATED SOURCES AND USES OF FUNDS
The proceeds to be received from the sale of the Bonds are expected to be applied as
follows:
Sources of Funds
Principal Amount of Bonds
Less Original Issue Discount
Accrued Interest
Other Legally Available Funds
Total Sources of Funds
Uses of Funds
Deposit to Interest Account (1)
Deposit to Escrow Fund
Paymem to SunTrust Bank for the Series 1996 Bonds
and the Series 1998 Bonds
Underwriter's Discount
Costs of Issuance (2)
Total Uses of Funds
O)
(2)
Represents Accrued Interest.
Includes the premium for the Municipal Bond Insurance Policy [and the premium for the Reserve Account
Credit Facihty Substitute.]
DESCRIPTION OF THE BONDS
The Bonds shall be issued in fully registered form in denominations of $5,000 and integral
multiples thereof and shall be dated December 1, 2002, shall bear interest (payable semi-annually on
June 1 and December 1 of each year commencing June 1, 2003) at the rates per annum and shall
mature on the dates and in the amounts, all as set forth on the inside cover page of this Official
Statement. Wells Fargo Bank, National Association having a designated corporate trust office in
Coral Springs, Florida will serve as bond registrar (the "Bond Registrar") and paying agent (the
"Paying Agent") for the Bonds. The Bonds will be registered in the name of Cede & Co., as
nominee of the Depository Trust Company, New York, New York ("DTC").
So long as the Bonds shall be in book-entry form, the principal of and interest on such
Bonds is payable by check or draft mailed or wire transfer to Cede & Co., as nominee of DTC and
registered owners thereof for redistribution by DTC to the DTC Participants (as herein defined) and
in turn to Beneficial Owners (as herein defined) as described below under "Book-Entry Only
System". If the book-entry system should be discontinued, certificated Bonds will be issued to the
Beneficial Owners, who will then become the registered owners thereof. See "Discontinuance of
Book-Entry Only System" below.
Book-Entry Only System
The Depository Trust Company ("DTC"), New York, New York, will act as securities
depository for the Bonds under a book-entry system with no physical distribution of the Bonds
made to the public. The Bonds will initially be issued as fully-registered securities registered in the
name of Cede & Co. (DTC's partnership nominee), or such other name as may be requested by an
authorized representative of DTC One fully-registered Bond certificate will be issued for the
aggregate principal amount of each maturity of the Bonds and will be deposked with DTC.
DTC, the world's largest deposkory, is a limited-purpose trust company organized under the
New York Banking Law, a "banking organization" within the meaning of the New York Banking
Law, a member of the Federal Reserve System, a "clearing corporation" within the meaning of the
New York Uniform Commercial Code, and a "clearing agency" registered pursuant to the provisions
of Section 17A of the Securities Exchange Act of 1934, as amended. DTC holds and, provides asset
servicing for over 2 million issues of U.S. and non-U.S, equity issues, corporate and municipal debt
issues, and money market instruments from over 85 countries that DTC's participants ("Direct
Participants") deposit with DTC. DTC also facilitates the post-trade settlement among Direct
Participants of securities transactions, such as transfers and pledges, in deposked securities through
electronic computerized book-entry changes in Direct Participants' accounts, thereby eliminating the
need for physical movement of securities certificates. Direct Participants include both U.S. and non-
U.S. securities brokers and dealers, banks, trust companies, clearing corporations, and certain other
organizations. DTC is a wholly-owned subsidiary of The Depository Trust & Cleating Corporation
("DTCC"). DTCC, in mm, is owned by a number of its Direct Participants and members of the
National Securities Clearing Corporation, Government Securities Clearing Corporation, MBS
Clearing Corporation, and Emerging Markets Clearing Corporation, (NSCC, GSCC, MBSCC, and
EMCC, also subsidiaries of DTCC), as well as by the New York Stock Exchange, Inc., the American
Stock Exchange, LLC and the National Association of Securities Dealers, Inc. Access to the DTC
4
system is also available to others such as both U.S. and non-U.S, securities brokers and dealers,
banks and trust companies that clear through or maintain a custodial relationship with a Direct
Participant, ekher directly or indirectly ("Indirect Participants"). The rules applicable to DTC and
its Direct and Indirect Participants are on file with the Securities and Exchange Commission. More
information about DTC can be found at www.dtcc.com.
Purchases of the Bonds under the DTC system must be made by or through Direct
Participants, which will receive a credit for the Bonds on DTC's records. The ownership interest of
each actual purchaser of each Bond ("Beneficial Owner") is in rum to be recorded on the Direct and
Indirect Participants records. Beneficial Owners will not receive written confirmation from DTC of
their purchase, but Beneficial Owners are expected to receive written confirmations providing
details of the transaction, as well as periodic statements of their holdings, from the Direct or Indirect
Participant through which the Beneficial Owner entered into the transaction. Transfers of
ownership interests in the Bonds are to be accomplished by entries made on the books of Direct
and Indirect Participants acting on behalf of Beneficial Owners. Beneficial Owners will not receive
certificates representing their ownership interests in the Bonds, except in the event that use of the
book-entry system for the Bonds is discontinued.
To facilitate subsequent transfers, all Bonds deposited by Direct Participants with DTC are
registered in the name of DTC's partnership nominee, Cede & Co., or such other name as may be
requested by an authorized representative of DTC The deposk of Bonds with DTC and their
registration in the name of Cede & Co., or such other DTC nominee, does not effect any change in
beneficial ownership. DTC has no knowledge of the actual Beneficial Owners of the Bonds; DTC's
records reflect only the identity of the Direct Participants to whose accounts such Bonds are
credited, which may or may not be the Beneficial Owners. The Direct and Indirect Participants will
remain responsible for keeping account of their holdings on behalf of their customers.
Conveyance of notices and other communications by DTC to Direct Participants, by Direct
Participants to Indirect Participants, and by Direct Participants and Indirect Participants to
Beneficial Owners will be governed by arrangements among them, subject to any statutory or
regulatory requirements as may be in effect from time to time. Beneficial Owners of Bonds may
wish to take certain steps to augment transmission to them of notices of significant events with
respect to the Bonds, such as redemptions, tenders, defaults and proposed amendments to the Bond
documents. For example, Beneficial Owners of Bonds may wish to ascertain that the nominee
holding the Bonds for their benefit has agreed to obtain and transmit notices to Beneficial Owners,
or in the altemative, Beneficial Owners may wish to provide their names and addresses to the Paying
Agent and request that copies of the notices be provided directly to then~
Redemption notices shall be sent to DTC If less than all of the Bonds within an issue are
being redeemed, DTC's practice is to determine by lot the amount of the interest of each Direct
Participant in such issue to be redeemed.
Neither DTC nor Cede & Co. (nor such other DTC nominee) will consent or vote with
respect to the Bonds unless authorized by a Direct Participant in accordance with DTC's
Procedures. Under its usual procedures, DTC mails an Omnibus Proxy to the Paying Agent as soon
as possible after the record date. The Omnibus Proxy assigns Cede & Cods consenting or voting
rights to those Direct Participants to whose accounts the Bonds are credited on the record date
(identified in a listing attached to the Omnibus Proxy).
Principal, premium, if any, and interest payments on the Bonds will be made to Cede & Co.,
or such other nominee as may be requested by an authorized representative of DTC, DTC's
practice is to credk Direct Participants' accounts upon DTC's receipt of funds and corresponding
detail information from the City or Paying Agent, on the payable date in accordance with their
respective holdings shown on DTC's records. Payments by Direct and Indirect Participants to
Beneficial Owners will be governed by standing instructions and customary practices, as is the case
with securities held for the accounts of customers in bearer form or registered in "street name," and
will be the responsibility of such Direct and Indirect Participants and not of DTC (or its nominee),
the City or the Paying Agent subject to any statutory or regulatory requirements as may be in effect
from time to time. Payment of principal, premium, if any, and interest to Cede & Co. (or such other
nominee as may be requested by an authorized representative of DTC) is the responsibility of the
Paying Agent, disbursement of such payments to Direct Participants shall be the responsibility of
DTC, and disbursement of such payments to the Beneficial Owners shall be the responsibility of
Direct and Indirect Participants.
DTC may discontinue providing its services as securities deposkory with respect to the
Bonds at any time by giving reasonable notice to the City or the Paying Agent. Under such
circumstances, in the event that a successor securities depository is not obtained, Bond certificates
are required to be prepared, executed and delivered.
The City may decide to discontinue use of the system of book-entry transfers through DTC
(or a successor securities depository,. In that event, either a successor securities depository will be
selected bythe Cityor Bond certificates will be prepared, executed and delivered.
In the event of insolvency of DTC, if DTC has insufficient securities in its custody (e.g., due
to theft or loss) to satisfy the claims of its Direct Participants with respect to deposited securities
and is unable by application of (i) cash deposits and securities pledged to DTC to protect DTC
against losses and liabilities, (h) the proceeds of insurance maintained by DTC and/or its Direct
Participants or Indirect Participants, or (ih~ other resources, to obtain securities necessary to
eliminate the insufficiency, no assurances can be given that Direct Participants will be able to obtain
all of their deposited securities.
THE CITY, THE BOND REGISTRAR AND THE PAYING AGENT WILL NOT
HAVE ANY RESPONSIBILITY OR OBLIGATION TO DTC PARTICIPANTS,
BENEFICIAL OWNERS OR OTHER NOMINEES OF SUCH BENEFICIAL OWNERS
FOR (A) SENDING TRANSACTION STATEMENTS; (B) MAINTAINING,
SUPERVISING OR REVIEWING THE ACCU1UkCY OF ANY RECORDS
MAINTAINED BY DTC OR ANY DTC PARTICIPANT OR OTHER NOMINEES OF
SUCH BENEFICIAL OWNERS; (C) PAYMENT OR THE TIMELINESS OF
PAYMENT BY DTC TO ANY DTC PARTICIPANT, OR BY ANY DTC PARTICIPANT
OR OTHER NOMINEES OF BENEFICIAL OWNERS TO ANY BENEFICIAL
OWNER, OF ANY AMOUNT DUE IN RESPECT OF THE PRINCIPAL OF OR
REDEMPTION PREMIUM, IF ANY, OR INTEREST ON BOOK-ENTRY BONDS;
(D) DELIVERY OR TIMELY DELIVERY BY DTC TO ANY DTC PARTICIPANT, OR
BY ANY DTC PARTICIPANT OR OTHER NOMINEES OF BENEFICIAL OWNERS
TO ANY BENEFICIAL OWNERS, OF ANY NOTICE (INCLUDING NOTICE OF
REDEMPTION) OR OTHER COMMUNICATION WHICH IS REQUIRED OR
PERMITTED UNDER THE TERMS OF THE BOND RESOLUTION TO BE GIVEN
6
TO HOLDERS OR OWNERS OF BOOK-ENTRY BONDS; (E) THE SELECTION OF
THE BENEFICIAL OWNERS TO RECEIVE PAYMENT IN THE EVENT OF ANY
PARTIAL REDEMPTION OF BOOK-ENTRY BONDS, OR (F) ANY ACTION TAKEN
BY DTC OR ITS NOMINEE AS THE REGISTERED OWNER OF THE BOOK-
ENTRY BONDS.
The information in this section concerning DTC and DTC's book-entry system has been
obtained from DTC and other sources that the City believes to be reliable, but the City takes no
responsibility for the accuracy thereof.
Discontinuance of Book-Entry Only System
General. In the event that the book-entrysystem is discontinued and the Beneficial Owners
become the registered owners of the Bonds, interest on each Bond will be paid by check or draft of
the Paying Agent mailed to the person in whose name the Bond is registered, on the fifteenth (15m)
day of the month next preceding each interest payment date (the "Record Date"), provided,
however at the request of any holder of at least $1,000,000 aggregate principal amount of a Bond,
interest may be payable by wire transfer to the bank account number on file with the Paying Agent
on or before the Record Date. Principal of, and redemption premium, if any, on the Bonds will be
payable upon presentation and surrender of the Bonds at the designated corporate trust office of the
Paying Agent.
Negotiability, Registration and Cancellation. At the option of any registered owner of
the Bonds and upon surrender at the designated corporate trust office of the Bond Registrar with a
written instrument of transfer satisfactory to the Bond Registrar duly executed by the registered
owner or his or her duly authorized attorney, the Bonds may be exchanged for Bonds of the same
maturity of any authorized denominations.
The Bond Registrar shall keep books for the registration of Bonds and for the
registration of transfers of Bonds as provided in the Resolution. The Bonds shall be transferable by
the registered owner thereof in person or by his attorney duly authorized in writing only upon the
books of the City kept by the Bond Registrar and only upon surrender thereof together with a
written instrument of transfer satisfactory to the Bond Registrar duly executed by the registered
owner or his or her authorized attomey. Upon the transfer of any such Bonds, the City shall issue in
the name of the transferee a new Bond or Bonds.
The Gty, the Paying Agent and the Bond Registrar shall deem and treat the person
whose name any Bond shall be registered upon the books kept bythe Bond Registrar as the absolute
owner of such bond, whether such Bond shall be overdue or not, for the purpose of receiving
payment of, or on account of, the principal of and interest on such Bond as the same becomes due
and for all other purposes. All such payments so made to any such registered owner or upon his
order shall be valid and effectual to satisfy and discharge the liability upon such Bond to the extent
of the sum or sums so paid, and neither the City, the Paying Agent, nor the Bond Registrar shall be
affected by any notice to the contrary.
Transfer and Exchange. In all cases in which the privilege of exchanging Bonds or
transferring Bonds is exercised, the City shall execute and the Bond Registrar shall authenticate and
deliver Bonds in accordance with the provision of the Resolution. All Bonds surrendered in any
7
such exchanges or transfers shall forthwith be delivered to the Bond Registrar and cancelled by the
Bond Registrar in the manner provided by the Resolution. There shall be no charge for any such
exchange or transfer of Bonds, but the City or the Bond Registrar may require payment of a sum
sufficient to pay tax, fee or other governmental charges required to be paid with respect to such
exchange or transfer, Neither the City nor the Bond Registrar shall be required (a) to transfer or
exchange Bonds for a period from the Record Date to the next ensuing payment date on such
Bonds or fifteen (15) days next preceding any selection of Bonds to be redeemed or thereafter until
after the mailing of any notice of redemption; or (b) to transfer or exchange any Bonds called for
redemption.
Redemption
Optional Redemption. The Bonds maturing in the years __ through , inclusive,
shall not be subject to redemption prior to their stated dates of maturity. The Bonds maturing on
, , are subject to redemption prior to their stated maturity at the option of the City,
from any funds legally available for such purpose, in part in any order of maturity selected by the
City, and by lot within a maturity if less than an entire maturity is to be redeemed, on 1,
20__, or at anytime thereafter, or as a whole on ,1, 20__, or at anytime thereafter, at the
redemption prices (expressed as percentages of the principal amount of such Bonds to be redeemed)
as set forth below if redeemed in the following redemption periods, plus accrued interest to the
redemption date:
Redemption Periods (Both Dates Inclusive)
Redemption Price
[ ,200_ through ,200_
[ ,200_ through ,200_
[ ,200_ and thereafter
Mandatory Sinking Fund Redemption of the Bonds. The Bonds maturing on ~,
20__ are subject to mandatory sinking fund redemption prior to maturity in part, by lot, on each
~ 1 in the years and amounts set forth below at a redemption price equal to 100% of the
principal amount of such Bonds being redeemed plus accrued interest thereon to the date fixed for
redemption:
Principal
Year Amount
Notice of Redemption
Notice of redemption of the Bonds shall be mailed, postage prepaid, by the Bond Registrar
not less than thirty (30) days and not more than sixty (60) days, before the date fixed for redemption
to all registered owners of the Bonds (or any portions thereof) to be redeemed, to their addresses, as
they appear fifteen (15) days prior to the date such notice is mailed on the registration books for the
Bonds or to such other address as shall be furnished to the Bond Registrar by such Bondholder.
The Bond Registrar shall also mai/(by certified mail, return receipt requested) a copy of such notice
for receipt not less than the second (2"~) business day prior to the date the notice of redemption is
mailed to the Bondholders to: DTC, Midwest Securities Trust Company and the Philadelphia
Depository Trust Company. Failure of any registered owner of Bonds that are to be redeemed to
receive such notice of redemption, or any defect in such notice, shall not affect the validity of the
proceedings for such redemption of any other Bonds for which proper notice has been given.
When notice of redemption is given, the Bonds called for redemption will become due and
payable on the redemption date at the redemption price stated in the notice, interest on any Bond
duly called for redemption will ceased to accrue after the date fixed for redemption if funds
sufficient for payment of the redemption price has been deposited with the Paying Agent.
SOURCE OF PAYMENT AND SECURITY FOR THE BONDS
The principal of, redemption premium, if any, and interest on the Bonds are payable from
the Pledged Revenues and secured by a first lien on and pledge of the Pledged Revenues, which are
the proceeds of the Utilities Tax deposked in the Sinking Fund created and established under the
Bond Resolution.
The Bonds shall not be and shall not constitute an indebtedness of the City or the
State of Florida or any political subdivision thereof within the meaning of any Constitution,
statutory, charter or other limitation of indebtedness, and neither the full faith and credit nor
the taxing power of the City, the State of Florida, or any political subdivision thereof, are
pledged or obligated as security for the payment of the principal of or interest on any Bond.
The holders of the Bonds shall have no right to compel the exercise of the ad valorem taxing
power of the City or taxation in any form of real property therein to pay the Bonds or the
interest thereon.
Covenant Conceming Utilities Taxes
The City covenants under the Bond Resolution that, so long as any of the Bonds or any
other bonds issued on parity therewith under the Bond Resolution remain Outstanding, it shall take
all lawful action necessary or required to continue to entitle the City to receive the Utilities Tax
proceeds and will not take any action which would impair or adversely affect its receipt of such
proceeds. The City further covenants under the Bond Resolution that it shall not repeal the Utilities
Tax Ordinance. To the extent necessary to meet its obligations under the provisions of the Bond
Resolution, the City shall increase the rate of such Utilities Tax up to the highest rate permitted by
law and shall enact every substitute or supplemental ordinance that may for any reason become
legally necessary, or necessary to comply with the provisions of the Bond Resolution. The City is
required under the Bond Resolution to keep proper books and records regarding the collection and
uses made of the proceeds of the Utilities Tax, and that all records with respect thereto shall be
available for inspection at all reasonable times by the holders of any of the Bonds. For a more
detailed description of the requirements concerning the City's covenant as to the Utilities Taxes,
9
please refer to the Summary of Certain Provisions of the Bond Resolution comained in Appendix C
attached to this Offichl Statement.
Reserve Account
The Bond Resolution provides for the establishment and maintenance of a Debt Service
Reserve Account for each series of Bonds issued pursuant to the terms of the Bond Resolution in an
amount equal to the Debt Service Reserve Requirement for such series of Bonds. Unless provided
otherwise by resolution of the City, each such separate Debt Service Reserve Account shall
constitute security only for the series of Bonds to which it rehtes. The City has established a Debt
Service Reserve Account for the Bonds.
The Bond Resolution provides that the Debt Service Reserve Requirement may be satisfied,
in whole or in part, by a Reserve Account Credit Facility Substitute. A Reserve Account Credit
Facility Substitute may consist of a surety bond, an unconditional direct pay letter of credit issued by
any bank, a reserve account line of credk or a municipal bond insurance policy, and must be issued
by such institutions whose credk enhancement facilities have resulted in a rating on similar
obligations in the highest credit rating category by any Rating Agency and, in the case where such
Reserve Account Credit Facility Substitute is provided by an insurance company, such insurer holds
the highest policyholder rating accorded to insurers by any Rating Agency or Agencies then rating
the Bonds and by A. M. Best & Company or any comparable service. For a general description of
the restrictions and requirements relating to such Reserve Account Credit Facility Substitutes, please
refer to the Summary of Certain Provisions of the Bond Resolution contained in Appendix C
hereto.
The Debt Service Reserve Requirement for the Bonds shall be in an amount equal to the
lesser of (a) the maximum amount of the principal of and interest on the Bonds becoming due in
any succeeding fiscal year, (b) one hundred twenty-five percent (125%) of the average annual
amount of principal of and interest on the Bonds becoming due in any succeeding fiscal year, or (c)
ten percent (10%) of the "net proceeds" (as such-term is defined under the Internal Revenue Code
of 1986, as amended ("Code") for such purpose) of the Bonds. The Debt Service Reserve
Requirement with respect to the Bonds will be satisfied in full at the time of issuance of the Bonds.
The Debt Service Reserve Requirement for any other series of Bonds shall be determined by
subsequem proceedings of the City.
The Debt Service Reserve Account shall be funded, with respect to the Bonds, with a
Reserve Account Credk Facility Substitute in the form of a Municipal Bond Debt Service Reserve
Insurance Policy ("Reserve Account Policy") to be issued by Financial Security Assurance, Inc.,
which together with the moneys already on deposit therein, shall equal the Debt Service Reserve
Requirement for the Bonds. The form of the Reserve Account Policy is as set forth in Appendix
"F" to this Official Statement. Information about Financial Security Assurance Inc. is hereinafter
set forth on page 15 under the heading "BOND INSURANCE--Financial Security Assurance
Inc.'.
Flow of Funds
A brief summary of the deposits required to be made to the various funds and accounts
established under the Bond Resolution is provided below. For a more detailed description of such
10
deposits, reference should be made to the Sumrmry of Certain Provisions of the Bond Resolution
contained in Appendix C attached hereto.
All or a portion of the Utilities Tax proceeds collected by the City each month will be
deposited in the Sinking Fund in the following manner and amounts (such Utilities Tax proceeds
deposited in the Sinking Fund are referred to herein as the "Pledged Revenues"):
(4
On the fifteenth (15th) day of each month, beginning with the fifteenth (15~) day of
the first full calendar month following the date of issuance of anysefies of bonds, to
the credit of the Interest Account, an amount equal to the sum of one-sixth (1/6th)
of the interest becoming due on the bonds on the next succeeding Interest Payment
Date;
On the fifteenth (15~) day of each month in each year, to the credit of the Principal
Account, an amount equal to one-twelfth (1/12th) of the principal of all bonds,
payable by their respective stated terms within the next succeeding twelve (12)
months;
On the fifteenth (15th) day of each month in each year, to the credit of the Bond
Redemption Account, one-twelfth (1/12th) of the amount required for the payment
of any Term Bonds required to be paid on the next succeeding installment payment
date;
To the extent not funded from the proceeds of bonds or covered by a Reserve
Account Credk Facility Substitute, to the full extent necessary, for deposk into each
of the Debt Service Reserve Accounts on the fifteenth (15th) day of each month in
each year beginning with the fifteenth (15th) day of the first full calendar month
following the date of issuance of any series of bonds, such sums as shall be sufficient
to pay an amount equal to one-twelfth (1/12th) of twenty percent (20%) of the Debt
Service Reserve Account Requirement applicable to each series of bonds;
To the repayment of any obligations owed to the provider(s) of a Reserve Account
Credit Facility Substitute (pro rata, if necessary) and then to the payment of any
subordinated indebtedness issued by the City pursuant to the Bond Resolution; and
The balance, if any, remaining in the Sinking Fund after malting the deposits
described in chuses (a) through (e) above and after all deficiencies thereof have been
remedied, maybe released bythe City from the lien of the Bond Resolution and used
for any lawful municipal purpose.
If the amount deposited in any month to the credit of any of the accounts mentioned in (a)
through (d), inclusive, above shall be less than the amount required to be deposited therein under
the Bond Resolution, the requirement therefor shall nevertheless be cumulative and the amount of
any deficiency in any month shall be added to the amount otherwise required to be deposited in
each month thereafter until such time as all such deficiencies have been made up. Any interest
earned on the amounts held to the credit of the Principal Account, Bond Redemption Account and
Debt Service Reserve Accounts shall be transferred to the credit of the Interest Account and
credited against the amount required to be deposited therein as described in clause (a) above.
11
Notwithstanding the foregoing provisions of the Bond Resolution described in chuses (a)
through (d) above, if there shall be to the credit of the Interest Account, Principal Account or Bond
Redemption Account the amount required to be on deposk in such accounts on the next succeeding
Interest Payment Date, principal payment date, or due date of any term bonds called for
redemption, respectively, no further deposit to any such account, as the case may be, shall then be
required on account of the requirements described in said clauses (a) through (c) above.
Additional Bonds
The City is authorized under the Bond Resolution to issue pari passu additional bonds,
payable and secured equally and ratably with the Bonds, for any hwful purposes. Each such series
of pari passu addkional bonds shall be on parity with and shall be entkled to the same benefits and
security under the Bond Resolution as the Bonds (except as to any Debt Service Reserve Account
established solely for any one or more series of Bonds); provided, however, that in addition to
compliance with certain other conditions as set forth under the Bond Resolution, the following
conditions are complied with:
The City must be current in all deposits required to be made into the various funds
and accounts established under the Bond Resolution and all payments required to
have been theretofore deposked or made by the City under the provisions of the
Bond Resolution and any supplemental resolution hereafter adopted for the issuance
of addkional bonds. The City must also comply with the covenants and provisions
of the Bond Resolution and any resolution supplemental thereto adopted for the
purpose of the issuance of such additional bonds.
The Utilities Tax proceeds collected by the City in any consecutive twelve (12)
month period during the eighteen (18) month period immediately preceding the
month in which the pari passu additional bonds are being issued, as certified by the
City's Finance Director, shall be equal to at least one hundred twenty-five per
centum (125%) of the Maximum Annual Debt Service Requirements on the bonds
then outstanding, any pari passu additional bonds then outstanding and the pari
passu addkional bonds then proposed to be issued.
In the event any pari passu additional bonds are issued for the purpose of refunding
the Bonds, or any other pari passu additional bonds then outstanding, the provisions
of the Resolution described in the foregoing paragraph shall not apply, provided that
the issuance of such pari passu additional bonds shall resuk in a reduction in, or shall
not increase, the total annual debt service payments over the life of the series of
Bonds being refunded.
UTILITIES TAXES
Section 166.231, Florida Statutes, as amended, authorizes any Florida municipality to levy a
tax on the purchase within such municipality of electricity, metered natural gas, liquefied petroleum
gas either metered or bottled, manufactured gas either metered or bottled and water service.
Currently, the tax on the foregoing services may not exceed ten percent (10%) of the payments
received by the sellers of such utilities service from purchasers, except in the case of fuel oil for
which the maximum tax is four (4) cents per gallon. However, for municipalities levying less than
12
the maximum rate of ten percent (10%), the maximum tax on fuel oil shall bear the same proportion
to four (4) cents per gallon which the tax rate actually levied for the utilities with a maximum rate of
ten percent (10%) bears to ten percent (10%). Utilities taxes must be collected by the seller of the
utilities service from purchasers at the time of sale and remitted to the taxing municipality as
prescribed by ordinance of the municipality.
The purchase of natural gas or fuel oil by a public or private utility for resale or for use as a
fuel in the generation of electricity, or the purchase of fuel oil or kerosene for me as an aircraft
engine fuel or propellant or for me in internal combustion engines is exempt from the levy of the
utilities tax.
A municipality may exempt from the utilities tax the purchase of metered or bottled gas
(natural liquefied petroleum gas or manufactured) or fuel oil for agricultural purposes.
A municipality may exempt from the utilities tax any amount up to the first 500 kilowatts
hours of electricity purchased per month for residential use. A municipality may also exempt
purchases by the United States Government, the State of Florida, or other public bodies from the
levy of such tax as well as certain nonprofit corporations, cooperative associations and any
recognized church in Florida, if used exclusively for church purposes. In addition, a municipality
may exempt not less than fifty percent (50%) of the utilities tax imposed on purchasers of electrical
energy for businesses located within an enterprise zone. All businesses located within an enterprise
zone which have satisfied the requirements of Section 166.231(8), Florida Statutes prior to
December 31, 2005 shall continue to be exempt from the utilities tax (subject to the limitations set
forth therein) from and after that date. However, from and after January 2006, a municipality may
not exempt any utilities tax imposed on purchasers of electrical energy for businesses located within
an enterprise zone which have not satisfied the requirements of Section 166.231(8) prior to
December 31, 2005.
A municipality may exempt from the utilities tax any amount up to, and including, the total
amount of electricity, metered natural gas, liquefied petroleum gas either metered or bottled, or
manufactured gas ekher metered or bottled purchased per month, or reduce the rate of taxation on
the purchase of such electricity or gas when purchased by an industrial consumer which uses the
electricity or gas directly in industrial manufacturing, processing, compounding or a production
process, at a fixed location in such municipality, of kems of tangible personal property for sale.
As used in the Bond Resolution and herein, the term "Utilities Tax'" means the taxes
imposed and levied by the City as authorized by Section 166.231, Florida Statutes. The City has
covenanted in the Bond Resolution that it will take all action permitted by law to collect the Utilities
Tax proceeds in the amount necessary to meet the requirements under the Bond Resolution.
Chapter 50 of Title V entitled "Public Works" of the City's Code of Ordinances, as
amended, contains the terms of the City's levy of its Utilities Tax (the "Utility Tax Ordinance"). The
City currently levies the Utility Tax at the rate of 9.7% on sales of electricity and 8.7% on the sale of
metered or bottled gas (natural liquefied petroleum gas or manufactured). The City also levies a tax
on the sale of fuel oil. The Utility Tax Ordinance states that became the City imposes a tax which is
less than the maximum rate of ten percent (10%) allowable by Florida Statute Section 166.231(1),
the maximum tax on fuel oil shall bear the same proportion to $.04 per gallon which the tax rate of
8.7% levied as described above on the sale of metered or bottled gas bears to 10%.
13
Residential dwelling units are exempted from the electricity portion of the Utility Tax for the
first ninety (90) kilowatt hours per month, then such residence will be subject to the tax on the sale
of electricity. Also, the Utilities Tax is not charged with respect to any fuel adjustment charge on the
bill.
The purchase of natural gas or fuel oil by a public or private utility, either for resale or for
use as fuel in the generation of electricity, or the purchase of fuel oil or kerosene for use as an
aircraft engine fuel or propellant or for use in internal combustion engines is exempt from the City's
Utilities Tax. Also exempted from the City's Utilities Tax are: Federal, the State of Florida and local
governments and agencies thereof and any recognized church if used exclusively for church
purposes. The City Commission is solely responsible for setting or revising the Utilities Tax it levies,
which it accomplishes through amendments and supplements to the Utilities Tax Ordinance.
The following table sets forth information about Utilities Tax proceeds collected by the City
in each of the City's hst four (4) full fiscal years, and the anticipated Utilities Tax proceeds budgeted
for fiscal year 2003 as compared with debt service requirements. This table does not include
proceeds of the tax on telecommunications, the legal authority for which expired June 1, 2001,
received in the years 1999-2001. Nor does the table include proceeds of the Communication Service
Tax ("CST") enacted effective October 1, 2001, received in 2002, because such proceeds are not
pledged to the Bonds.
City of Delray Beach
Utilities Tax Collections/Debt Service Coverage
Year Ended September 30
1999 2000 2001 2002 2003
Actual Actual Actual Actual Budget
Electric $3,776,866 $3,623,094 $3,659,792 $3,796,778 3,700,000
Gas & Fuel 113,674 125,919 148,405 144,234 144,000
Total $3.890.54~0 $3..749:013 $3.808.19_______~7 $3.941.01~2 $3.844.00~0
Debt Service (2)
Annual 2,403,600 2,399,041 2,407,224 2,393,900 2,059,977
Ma.qm~um 2,407,224 2,407,224 2,407,224 2,401,171 2,300,000
Debt Service Coverage
Annual 1.62 1.56 1.58 1.65 1.87
Maximum 1.62 1.56 1.58 1.64 1.67
0)
(1)
Source' Comprehensive Annual Financml Reports of the City for Fiscal Years 1999 through 2001; Unaudited financial
report for Fiscal Year 2002; budget for Fiscal Year 2003.
(1) Estimated Debt Service on the Bonds offered by this Official Statement. Until the Bonds are priced, these
amounts are preliminary and sub)ect to change.
(2) The debt service payments for the years 1999 through 2002 include interest on the Series 1996 Bonds and
Series 1998 Bonds which have a lien upon the Utilities Tax subordinate to the lien in favor of the Series 1992
Bonds, the Series 1994 Bonds and the Series 1995 Bonds.
14
BOND INSURANCE
Bond Insurance Policy
Concurrently with the issuance of the Bonds, Financial Security Assurance Inc. ("Financial
Security") will issue its Municipal Bond Insurance Policy for the Bonds (the "Policy"). The Policy
guarantees the scheduled payment of principal of and interest on the Bonds when due as set forth in
the form of the Policy included as in Appendix E to this Official Statement.
The Policy is not covered by any insurance security or guaranty fund established under New
York, California, Connecticut or Florida insurance law.
Financial Security Assurance Inc.
Financial Security is a New York domiciled insurance company and a wholly owned
subsidiary of Financial Security Assurance Holdings Ltd. ("Holdings"). Holdings is an indirect
subsidiary of Dexia, S.A., a publicly held Belgian corporation. Dexia, S.A., through its bank
subsidiaries, is primarily engaged in the business of public finance in France, Belgium and other
European countries. No shareholder of Holdings or Financial Security is liable for the obligations
of Financial Security.
At September 30, 2002 Financial Security's total policyholders' surplus and contingency
reserves were approximately $1,728,433,000 and its total unearned premium reserve was
approximately $972,390,000 in accordance with statutory accounting principles. At September 30,
2002, Financial Security's total shareholder's equity was approximately $1,928,564,000 and its total
net unearned premium reserve was approximately $814,684,000 in accordance with generally
accepted accounting principles.
The financial statements included as exhibits to the annual and quarterly reports filed by
Holdings with the Securities and Exchange Commission are hereby incorporated herein by
reference. Also incorporated herein by reference are any such financial statements so filed from the
date of this Official Statement until the terrninadon of the offering of the Bonds. Copies of
materials incorporated by reference will be provided upon request to Financial Security Assurance
Inc.: 350 Park Avenue, New York, New York 10022, Attention: Communications Department
(telephone (212) 826-0100).
The Policy does not protect investors against changes in market value of the Bonds, which
market value may be impaired as a result of changes in prevailing interest rates, changes in applicable
ratings or other causes. Financial Security makes no representation regarding the Bonds or the
advisability of investing in the Bonds. Financial Security makes no representation regarding the
Official Statement, nor has it participated in the preparation thereof, except that Financial Security
has provided to the Issuer the information presented under this caption for inclusion in the Official
Statement.
THE CITY
The City is a municipal corporation organized and existing under the laws of the State of
Florida. The City, located on Florida's Gold Coast, is the third largest city in Palm Beach County
15
with a population of 61,527 (estimated as of 2002) and 14.9 square miles within its municipal
boundaries, lying approximately eighteen miles south of West Palm Beach and approximately fifty
miles north of Miami along the-Atlantic Ocean, the City has been able to participate in the growth
of South Florida and benefit from the economic growth of this area in general.
The City is governed by a City Commission and operates under a Commission Manager
form of government. The City Commission appoints a full-time City Manager, and a full-time City
Attorney. The City employs a full-time Director of Finance, who has the responsibility for all
internal auditing and financial record keeping operations of the City.
The Gty is primarily a resort and residential community of well-kept homes and recent
developments of condominium apartments. The City has many recreational facilities including
tennis, golf, boating, fishing, water sports, and lawn bowling. During the winter months, the hotels,
motels, and restaurants and winter residents. The City's famous mile-long public beach is an
attraction for residents and tourists. The Intracoastal Waterway provides boat dockage, and the
Boynton inlet gives access to the Atlantic Ocean for sak water drift fishing Lake Ida, within the City,
also provides fishing and water skiing.
Further information on the City is contained in Appendix A - "General Information
Concerning the City of Delray Beach and Palm Beach County".
DEBT SERVICE REQUIREMENTS FOR THE BONDS
Set forth below are the total debt service requirements for the Bonds.
Bond Year Ending
September 30 Principal Interest Debt Service
Total $ $
RATINGS
It is expected that Moody's Investors Service, Inc. ("Moody's") and Standard & Poor's, a
division of McGraw-I-rail Companies ("S&P") will give the Bonds ratings of "Aaa" and "AAA",
respectively, on the understanding that the standard policy of municipal bond insurance insuring the
total payment of the principal of an interest on the Bonds will be issued by Financial Security upon
the issuance of the Bonds. Moodys and S&P have assigned the Bonds underlying ratings of "A2"
and "A', respectively.
16
Such ratings reflect the view only of the aforesaid credk rating organizations, and an
exphnation of the significance of these ratings may be obtained only from such, rating
organizations. There is no assurance that such ratings will continue for any given period of time, or
that such ratings may not be lowered or withdrawn entirely by the respective rating agency if, in its
judgment, circumstances so warrant. Any such downward change or withdrawal of either or both
such ratings may have an adverse effect on the market price of the Bonds.
LEGALITY
Certain legal matters in connection with the issuance of the Bonds are subject to the
approval of Greenberg Traurig, P.A., West Palm Beach, Florida, Bond Counsel, whose Bond
Counsel opinion will be available at the time of delivery of the Bonds. The proposed form of such
opinion of Bond counsel is attached to this Official Statement as Exhibk D certain legal matters will
be passed upon for the City by its City Attorney, Susan A. Ruby, Esquire, and for the Underwriter
by Blank Rome Cornisky & McCauley LLP, Boca Raton, Florida and Philadelphia, Pennsylvania.
TAX EXEMPTION
The Internal Revenue code of 1986 (the "Code") imposes certain requirements that must be
met subsequent to the issuance and delivery of the Bonds for interest thereon to be and remain
excluded from gross income for federal income tax purposes. Noncompliance with such
requirements could cause the interest on the Bonds to be included in gross income for federal
income tax purposes retroactive to the date of issue of the Bonds. The City has covenanted in the
Bond Resolution to comply with each requirement of the Code necessary to maintain the exclusion
of the interest on the Bonds from gross income for federal income tax purposes pursuant to Section
103(a) of the Code.
In the opinion of Bond Counsel, under existing hw, and assuming continuing compliance
with the aforementioned covenant, interest on the Bonds is excluded from gross income for federal
income tax purposes. Bond Counsel is also of the opinion that the Bonds are not "specified private
activity bonds~ within the meaning of Section 57(a)(5) of the Code and, therefore, interest on the
Bonds will not be treated as a preference item for purposes of computing the alternative minimum
tax imposed by Section 55 of the Code. Interest on the Bonds owned by corporations will,
however, be taken into account in determining the akemative minimum tax imposed by Section 55
of the Code on seventy-five percent (75%) of the excess of adjusted current eamings, over
akemative minimum taxable income (determined without regard to this adjustment and the
altemative tax net operating loss deduction).
Bond Counsel is also of the opinion that the Bonds and interest thereon are exempt from
taxation under the existing laws of the State of Florida, except as to estate taxes and taxes imposed
by Chapter 220, Florida Statutes, on interest, income and profits on debt obligations owned by
corporations, banks and savings associations.
Bond Counsel is further of the opinion that the difference between the principal amount of
the Bonds maturing on through ., and on ,
(the "Discount Bonds") and the initial offering price to the public (excluding bond houses, brokers,
or similar persons or organizations acting in the capacity of underwriters or wholesalers) at which
price a substantial amount of such Discount Bonds of the same maturity was sold constitutes
17
original issue discount which is excluded from gross income for federal income tax purposes to the
same extent as interest on the Bonds. Further, such original issue discount accrues actuarially on a
constant interest rate basis over the term of each Discount Bond and the basis of each Discount
Bond acquired at such initial offering price by an initial purchaser thereof will be increased by the
amount of such accrued original issue discount. The accrual of original issue discount may be taken
into account as an increase in the amount of tax-exempt income for purposes of determining
various other tax consequences of owning the Discount Bonds, even though there will not be a
corresponding cash payment. Owners of the Discount Bonds are advised that they should comult
with their own advisors with respect to the state and local tax consequences of owning such
Discount Bonds.
Bond Counsel has not undertaken to advise in the future whether any events after the date
of issuance of the Bonds may affect the tax status of interest on the Bonds. No assurance can be
given that future legislation, or amendments to the Code, if enacted into law, will not contain
provisions which could directly or indirectly reduce the benefit of the exclusion of the interest on
the Bonds from gross income for federal income tax purposes.
Furthermore, Bond Counsel expresses no opinion as to any federal, State or local tax law
consequences with respect to the Bonds, or the interest thereon, if any action is taken with respect
to the Bonds or the proceeds thereof upon the advice or approval of bond counsel other than Bond
Counsel.
Although Bond Counsel has rendered an opinion that interest on the Bonds is excluded
from gross income for federal income tax purposes, a Bondholder's federal, State or local tax
liability may otherwise be affected by the ownership or disposition of the Bonds. The nature and
extent of these other tax consequences will depend upon the Bondholder's other items of income
or deduction. Without limiting the generality of the foregoing, prospective purchasers of the Bonds
should be aware that (i) Section 265 of the Code denies a deduction for interest on indebtedness
incurred or continued to purchase or carry the Bonds or, in the case of a financial institution, that
portion of a holder's interest expense allocated to interest on the Bonds; (h) with respect to
insurance companies subject to the tax imposed by Section 831 of the Code, Section 832(b)(5)(B)(O
reduces the deduction for loss reserves by 15 percent (15%) of the sum of certain items; including
interest on the Bonds, (ih) interest on the Bonds earned by certain foreign corporations doing
business in the United States could be subject to a branch profits tax imposed by Section 884 of the
Code, (iv) passive investment income, including interest on the Bonds, may be subject to federal
income taxation under Section 1375 of the Code for Subchapter S corporations that have
Subchapter C earnings and profits at the close of the taxable year if greater than twenty-five percent
(25%) of the gross receipts of such Subchapter S corporation is passive investment income, and (v)
Section 86 of the Code requires recipients of certain Social Security and certain Railroad Retirement
benefits to take into account, in determining the taxability of such benefits, receipts or accruals of
interest on the Bonds. Bond Counsel has expressed no opinion regarding any such other tax
consequences.
UNDERWRITING
The Bonds are being purchased by the Underwriter pursuant to a purchase contract between
the City and the Underwriter as shown on the cover page hereof, from the City at an aggregate
18
purchase price of $ (the face amount of the Bonds less underwriter's
discount and original issue discount) plus accrued interest on Bonds.
The Bonds may be offered and sold to certain dealers (including underwriters and other
dealers depositing such Bonds into investment trusts) and others at prices lower than the public
offering prices set forth on the cover page of this Official Statement.
CONTINUING DISCLOSURE UNDERTAKING
In accordance with the continuing disclosure requirements of Rule 15c2-12 (the "Rule")
promulgated by the Securities and Exchange Commission (the "SEC"), the City has agreed pursuant
to the terms of the Bond Resolution as follows:
(a) The City undertakes and agrees to provide to each nationally recognized municipal
securities information reposkory (each a "NtLMSIW') and to the State of Florida information
deposkory (the "SID') if and when such a SID is created (i) the City's general purpose financial
statements generally consistent with the financial statements presented in Appendix B to this
Official Statement, and (h) the information concerning the Utilities Tax collections within the City
with respect to electricity, gas and fuel oil, the Utilities Tax rate or rates, exemptions from the
Utilities Tax and amendments to the Utilities Tax Ordinance generally consistent with the
information described herein under the heading "Utilities Tax". The information referred to in
clauses (~ and (ii) is herein collectively referred to as the "Annual Information."
(b) The Annual Information described in clause (~ of paragraph (a) above in audited
form (for as long as the City provides such financial information in audited form) is expected to be
available on or before March 31 of each year for the fiscal year ending on the preceding September
30, commencing March 31, 2003 for the fiscal year ending on the preceding September 30, 2002.
The Annual Information referred to in clause (i) of paragraph (a) above in unaudited form (if the
audited financial statements are not available or if the City no longer provides such financial
information in audited form) will be available on or before March 31 for the fiscal year ending on
the preceding September 30. The City also agrees to provide the Annual Information to each
registered owner and Beneficial Owner of the Bonds who request such information and pays to the
City its costs of reproduction and transmission of such Annual Information. The City agrees to
provide to each NRMSIR and the SID, if any, timely notice of its failure to provide the Annual
Information. Such notice shall also indicate the reason for such failure and when the City
reasonably expects such Annual Information will be available.
(c) The Annual Information referred to in clause (~ of paragraph (a) above and
presented in Appendix B to this Official Statement has been prepared in accordance with
governmental accounting standards promulgated by the Government Accounting Standards Board,
as in effect from time to time, as such principles are modified by generally accepted accounting
principles, promulgated bythe Financial Accounting Standards Board, as in effect from time to time,
and such other State of Florida mandated accounting principles as in effect from time to time.
(d) If, as authorized by paragraph (f) below, the City's undertaking with respect to
paragraph (c) above requires amending, the City undertakes and agrees that the Annual Information
described in clause (i) of paragraph (a) above for the fiscal year in which the amendment is made
will, to the extent possible, present a comparison between the Annual Information prepared on the
19
basis of the new accounting principles and the Annual Information prepared on the basis of the
accounting principles described in paragraph (c) above. The City agrees that such a comparison will,
to the extent possible, include a qualitative discussion of the differences in the accounting principles
and the impact of the change on the presentation of the Annual Information.
(e) The City undertakes and agrees to provide in a timely manner, to each NRMSIR or
to the Municipal Securities Rulemaking Board and to the SID, if any, notice of the occurrence of any
of the following events with respect to the Bonds, if material:
Principal and interest payment delinquencies;
(ii) Non-payment related defaults;
(ill) Unscheduled draws on any reserve account reflecting financial
difficulties;
(iv) Unscheduled draws on credit enhancements reflecting financial
difficulties;
(v) Substitution of credit or liquidity providers; or their failure to
perform;
Adverse tax opinions or events affecting the tax-exempt status of the
Bonds;
(vh) Modifications to rights of Bondholders;
(viii) Bond calls (other than scheduled mandatory sinking fund
redemptions);
(ix) Defeasances of the Bonds;
Release, substitution, or sale of property securing repayment of the
Bonds; and
Rating changes.
Notwithstanding the foregoing, notice of the events described in chuses (8) and (9) above
need not be given any earlier than the time notice is required to be given to the registered owners of
the Bonds.
(f) Notwithstanding any provision of the Bond Resolution to the contrary regarding
amendments or supplements, the City undertakes and agrees to amend and/or supplement the City's
undertaking (including the amendments referred to in paragraph (d) above) only if:
The amendment or supplement is made only in connection with a
change in circumstances existing at the time the Bonds were
originally issued that arises from (i) a change in law, (h) SEC
pronouncements or interpretations, (ih) a judicial decision affecting
2O
the Rule or (iv) a change in the nature of the City's operations or the
activities that generate the Utilities Tax;
The City's undertaking, as amended, would have complied with the
requirements of the Rule at the time the Bonds were originally issued
after taking into account any amendments or interpretations of the
Rule, as well as any change in circumstances; and
The amendment or supplement does not materially impair the
interest of the registered owners and Beneficial Owners of the Bonds
as determined by Bond Counsel or by a majority of the registered
owners of the Bonds.
In the event of an amendment or supplement under the City's undertaking, the City shall
describe the same in the next report of Annual Information and shall include, as applicable, a
narrative explanation of the reason for the amendment or supplement and its impact, if any, on the
financial information and operating data being presented in the Annual Information.
(g) The City's undertaking as set forth in the Bond Resolution and described herein shall
terminate if and when the Bonds are paid or deemed paid within the meaning of the Bond
Resolution.
(h) The City acknowledges that its undertaking pursuant to the Rule set forth in the
Bond Resolution and described herein is intended to be for the benefit of the registered holders and
Beneficial Owners of the Bonds and shall be enforceable by such holders and Beneficial Owners;
provided that, the holder's and Beneficial Owners' right to enforce the provisions of the City's
undertaking shall be limited to a right to obtain specific enforcement of the City's obligations under
the Bond Resolution and described herein, and any failure by the City to comply with the provisions
of its undertaking shall not be or constitute a covenant or monetary default with respect to the
Bonds under the Bond Resolution.
(i) The City reserves the right to satisfy its undertaking under the Bond Resolution
through agents; and the City may appoint such agents without the necessity of amending the Bond
Resolution. The City may also appoint one or more employees of the City to monitor and be
responsible for the City's undertaking under the Bond Resolution.
(j) "Beneficial Owner" shall mean, for purposes of the City's undertaking, any person
which (i) has the power, directly or indirectly, to vote or consent with respect to, or to dispose of
ownership of, any Bonds (including persons holding Bonds through nominees, depositories or other
intermediaries), or (h) is treated as the owner of anyBonds for federal income tax purposes.
The City has not failed to comply with any previous undertaking in a written contract or
agreement to provide continuing disclosure pursuant to the Rule.
ENFORCEABILITY OF REMEDIES
The remedies available to the owners of the Bonds under the Bond Resolution and any
policy of municipal bond insurance referred to herein are in many respects depended upon judicial
21
actions which are often subject to discretion and' dehy. Under existing constitutional and statutory
law and judicial decisions, including specifically Title 11 of the United States Code, the remedies
specified by the Federal Bankruptcy Code, the Bond Resolution and any policy of municipal bond
insurance referred to herein may not be readily available or may be limited. The various legal
opinions to be delivered concurrently with the delivery of the Bonds (including Bond Counsel's
approving opinion) will be qualified as to the enforceability of the various legal instruments, by
limitations imposed by bankruptcy, reorganization, insolvency, or other similar laws affecting the
rights of creditors or by such principles of equity as the court having jurisdiction may impose with
respect to certain remedies which require or may require enforcement by a court of equity.
LITIGATION
There is no litigation or controversy of any nature now pending or threatened (~ to restrain
or enjoin the issuance, sale, execution or delivery of the Bonds or (h) in any way questioning or
affecting the validity of the Bonds, the Bond Resolution, any proceedings of the city taken with
respect to the authorization, sale or issuance of the Bonds or the pledge or application of any
moneys provided for the payment of the Bonds.
The City is a party from time to time in various law suits incident to its operations. In the
opinion of Susan A. Ruby, Esquire, City Attomey, there are no pending legal proceedings to which
the City is a party, the ultimate disposition of which would have a material adverse effect on the
finances or operations of the City or its ability to meet ks obligations with respect to the Bonds.
GENERAL PURPOSE FINANCIAL STATEMENTS
The General Purpose Financial Statements and other information of the City for the fiscal
year ended September 30, 2001 are included in Appendix B to this Official Statement. Such
excerpts from the City's Comprehensive Annual Financial Report, including the auditor's report
thereon, have been included in this Official Statement as public documents and consent from the
audkors was not requested. The audkors have not performed any services relating to, and are
therefore not associated with, the issuance of the Bonds.
FINANCIAL ADVISOR
The City has retained Public Financial Management, Inc., Orlando, Florida, as financial
advisor (the "Financial Advisor") to the City in connection with the preparation of the City's plan of
financing and with respect to the authorization and issuance of the Bonds. Although the Financial
Advisor assisted in the preparation of this Official Statement, the Financial Advisor has not
undertaken to make an independent verification or to assume responsibility for the accuracy,
completeness or faimess of the information contained in this Official Statement. Public Financial
Management, Inc. is a financial advisory consulting organization and is not engaged in the business
of underwriting, marketing or trading of municipal securities or any other negotiable instruments.
VERIFICATION OF MATHEMATICAL COMPUTATIONS
The accuracy of (1) the mathematical computations of the adequacy of maturing principal of
and interest earned on the Government Obligations to be held under the Escrow Deposit
Agreement for the Series 1992 Bonds, Series 1994 Bonds and the Series 1995 Bonds to pay, when
22
due or redeemed the principal of, premium, if any, and interest on the Series 1992 Bonds, Seres
1994 Bonds and the Series 1995 Bonds, and (2) the mathematical computations supporting the
conclusion that the Bonds are not "arbkrage bonds" under Section 148 of the Code will be verified
for the City by Causey Demgen & Moore, Inc., independent certified public accountants. Such
verification of mathematical computations will be based upon information supplied by the City and
the Underwriter and on interpretation of Section 148 of the Code provided byBond Counsel.
MISCELLANEOUS
All information included herein has been provided by the City, except where attributed to
other sources. The summaries of and references to all documents, statutes, reports and other
instruments referred to herein do not purport to be complete, comprehensive or definitive, and each
such reference or summary is qualified in its entirety by reference to each such document, statute,
report or other instrument. Copies of all such documents referred to herein are on file with the City
Clerk of the City at 100 N.W. First Avenue, Delray Beach, Florida 33444. The information herein
has been compiled from official and other sources and, while not guaranteed by the City, is believed
to be correct. As far as any statements made in this Official Statement and the appendices attached
hereto involve matters of opinion or of estimates, whether or not expressly stated, they are set forth
as such and not as representatives of fact and no representation is made that any of the estimates
will be realized.
AUTHORIZATION OF AND CERTIFICATION
CONCERNING OFFICIAL STATEMENT
The delivery of this Official Statement has been authorized by the City Commission.
Concurrently with the delivery of the Bonds, the undersigned will furnish their certificate to the
effect that, to the best of their knowledge, this Official Statement other than information provided
by DTC and the Bond Insurer, did not as of its date, and does not as of the date of delivery of the
Bonds, contain any untrue statement of a material fact or omit to state a material fact which should
be included therein for the purpose for which this Official Statement is to be used, or which is
necessary in order to make the statements contained therein, in the light of the circumstances in
which they were made, not misleading.
CITY OF DELRAY BEACH, FLORIDA
By:.
Mayor
City Manager
23
APPENDIX A
General Information Concerning
the City of Dell'ay Beach and Palm Beach County
GENERAL INFORMATION CONCERNING THE CITY OF DELRAY BEACH
AND PALM BEACH COUNTY
The following information concerning City of Dekay Beach, Florida (the "City"), Palm
Beach County, Florida (the "County"), and the State of Florida is included only for the purposes of
providing general background mformauon. The information has been compiled by the City and on
behalf of the City, and such compflauon ~nvolved oral and written communtcatton with various
sources as indicated. The information in th~s Appendix A is sublect to change.
CITY OF DELRAY BEACH
Introduction
The C~ty, approximately 16 square miles in area, is located in the southeast portion of the
State of Florida, in the southeast section of the County. Incorporated m 1911, the City has an
esttrnated population of 61,527 (2002) and an estmaated seasonal population of 10,694 (2000) based
on projections by the C~ty's Planmng and Zomng Department.
Climate
The climate of the City ts best described as subtroptcal manne. The average year-round
temperature is 74.1 degrees wxth the mean winter temperature at 65.9 degrees and the summer mean
temperature at 82.3 degrees. Rainfall occurs year-round, but ts heavtest m the summer; the average
annual rainfall ts 64.26 roches. The mild chrnate ~s pranarfly a result of the proxmuty to the Gulf
Stream and the prevathng ocean breezes.
City Government
The City Comwnss~on of the Ctty (the "Commisston") ~s the principal legislative and
govermng body of the Cl~;. The Comrmsston's mailing address is 100 N.W. First Avenue, Delray
Beach, Florida 33444. The C~ty operates under a commission-manager form of government. The
Mayor, elected evexy txvo years, presides over a board of four commisston members who are elected
to txvo-year altcrnanng terms by the commumty at large. The City Commission appoints the City
Manager, City Attorney and certain, general advisory boards. Malor departments of the C~ty include:
Parks and Recreation, Pubhc Utilines, Englneenng, Pubhc Works, C~ty Clerk, Finance, Commumty
Improvement, Human Resources, Pohcc, F~re and Planmng & Zomng.
The City Manager
The chief adtmmstrative offictal of the City 1S the City Manager. Thts officml is directly
responsible to the Comrmss~on for adrmmstration and operation of varmus divisions under the
Commission and for execuuon of all Comtmssion pohc~es. Thc Ci~r Manager is also responsible to
the Commisston for preparation of the Cttv's budget and for control of expenditures throughout the
budget year.
A-1
0[7005 ~)0 ~13/2B~77928x 2
Education
The Cxty is served by four elementary schools, one rmddle school, and one high school, all
operated by the Palm Beach County School Board. Higher education is available at Palm Beach
Community College (11 miles to the north), Florida Atlanuc University (11 nules to the south), and
South County Technical Center Oust north of the City). Florida Atlanuc University is a four year and
graduate universxty, accepnng jumor college transfers for then: last two years. It has six colleges:
Business and Pubhc Administration, EducaUon, Engineering, Humanities, Natural Science and
Social Science. Masters degrees are offered in all fields.
The Palm Beach County School Board operates 74 elementary schools, 20 huddle schools,
16 senior high schools and 10 special schools.
Transportation
Lying along Florida's Gold Coast between Miami and West Palm Beach, the City has
benefited greatly from well-developed transportauon systems servicing all of Florida's southeast
coast.
There are mght north-south highxvays which run through Palm Beach County, including U.S.
Highway 1, Congress Avenue, State Road A1A, the Florida Turnpike and Interstate 95. U.S.
Highway 1 and Congress Avenue are the main arteries through the C~ty runmng north and south.
The Florida Turnpike and Interstate 95 have entrance access at Delray Beach. There are also two
railroads, Florida East Coast Railway and Seaboard Coast Line, and four east-west highways to
accommodate surface transportauon in Palm Beach County. Bus transportauon is also available in
the City through the County operated bus system.
The Port of Palm Beach, located within 30 rmles of the City, operates s?np terminal facihties
on approximately 90 acres of land located in Primera Be. :h, Florida and fronting on Lake Worth,
Florida. A 35-foot deep channel to the Lake Worth Inlet pr..vldes access to the port facRifies. Port
Everglades, xmthm 50 nules of the C~ty is a major port for cruise and cargo transportation.
Commercial an: service is provided at Palm Beach Intemauonal An'port ("PBIA") by major
am carriers and commuter airlines. PBIA is fifteen mdes to the north of the C~ty. The volume of
passenger traffic at PBIA increased from 5,842,594 in 2000 to 5,934,904 m 2001. PBIA also serves
general avlauon traffic, and there are five general aviauon au'ports m the County.
The Fort Lauderdale-Hollyxvood International An'port and the Mlarm Internauonal Airport
are within 50 miles to the South of the City.
The City is served by Greyhound Bus L~nes xvh~ch provides transportauon to most malor
Florida c~ties. Amtrak provides passenger raft accommodauons and has a stauon stop located in the
City.
The City ~s also served by the Tri-County Rail System ("Tn-Rail"). Tri-Rail, is a highspeed
commuter rail line which operates regularly scheduled service between M~ami and West Palm Beach.
Tn-Rail has a stauon stop located m the C~ty.
CITY OF DELRAY BEACH
POPULATION ESTIMATES
The following table shows the City population and the annual average percentage changes
from 1980 to 1990 and from year to year from 1990 through 2002.
Year
City Annual
Population Percentage Change
1980 34,329
1990 47,181 37.4%
1991 48,206 2.2
1992 48,346 0.3
1993 48,644 0.6
1994 49,298 1.3
1995 50,195 1.8
1996 52,039 3.7
1997 52,920 1.7
1998 53,471 1.0
1999 53,589 0.2
2000 60,020 12.0
2001 60,645 1.0
2002 61,527 1.5
Sources U S Bureau of the Census as of April I, for the )'ears 1980 and 1990 through 2000, Umvers~ty of Florida,
Bureau of Econo,mc Bus~ness Research for the years 2001 and 2002, C~tv Plamung and Zomng Department for C~ty
populanon esnmates for all other years.
A-3
CITY OF DELRAY BEACH
BUILDING PERMIT ACTIVITY
The number of building permits issued for industrial, commercial and residential
construcuon within the City from 1991 through 2002 and the value of such construction is shown
below:
Industrial and
Commercial Construction
Residential
Construction
Fiscal Year Ended Number of
September30 Number of Permits Value Units Value
1991 27 $11,767,551 203 $21,348,434
1992 13 8,405,390 403 32,160,179
1993 18 8,193,527 172 20,894,643
1994 8 3,224,875 364 39,818,084
1995 16 5,006,576 242 27,963,390
1996 31 17,796,738 800 52,207,344
1997 34 6,852,230 489 58,382,613
1998 24 9,343,455 291 39,461,414
1999 26 7,850,092 350 39,407,811
2000 42 16,897,724 343 39,410,536
2001 55 27,106,834 536 55,920,946
2002 36 19,886,320 599 59,890,130
Source C~ty of Delray Beach Comprehensive Annual Financial Report for the year ended September 2001 for years
1991 through 2001, Commumty Improvement Department esumates fo.' 2002
[REMAINDER OF THIS PAGE LEFT BLANK INTENTIONALLY]
A-4
PALM BEACH COUNTY, FLORIDA
General Introduction
Palm Beach County, Florida was founded in 1909 and encompasses an area of 2,023 square
miles. It is located on the south lower east coast of the Florida peninsula, with 46 miles of Atlantic
Ocean frontage and 25 males of frontage on Lake Okeechobee. The County has a semi-tropical
climate with an average temperature of 74.5F degrees and an average rainfall of 60.77 inches. These
and other natural amenities, including 88 local, State and Federal recreanonal areas of more than 10
acres and 163 golf courses, have enabled the County' to develop a year-around tourist industry.
There are 38 incorporated municipahnes within the County, nine of which have a population
in excess of 25,000. West Palm Beach is the County, seat and is the largest city' m the County, with a
2001 U.S. Census population of 1,154,464.
POPULATION GROWTH
Population
In 2001, Palm Beach County was the third largest county m the State of Florida in terms of
population. Its populauon increased 65.3% in the 1970-1980 decade, 49.7% m the 1980-1990 decade
and 23.1% in the 1990-2000 decade.
Palm Beach County Florida United States
Year Populauons Change Populauon Change Population Change
1994 937,190 2.1% 13,878,905 2.0% 259,718,000 1.0%
1995 962,802 2.7 14,149,317 1.9 262,176,000 .9
1996 981,793 2.0 14,411,563 1.9 266,538,000 1.7
1997 1,003,798 2.2 14,712,365 2.1 267,636,000 .4
1998 1,020,521 1.7 15,475,000 5.2 270,733,000 1.2
1999 1,042,196 2.1 15,322,000 (1.0) 272,190,000 .5
2000(~) 1,131,184 8.5 15,982,378 4.3 275,860,949 1.3
2001 1,154,464 2.1 16,331,739 2.2 285,371,621 3.4
Due to the census, there was an adjustment for the popuhmon of Pahn Beach County.
Source- Umvers~ty of Florida, Bureau of Ecouom~c and Business Research and the U S Bureau of Census. Palm Beach
CounU~ and Florida data ~s as of April I Umted States data 1s as of October 1.
A-5
Age Distribution
The age chstribution ~n the County ~s similar to that of Florida, but chffers significantly with
that of the nanon. Both the County and Florida have a considerably larger proportion of persons 65
years and olden than the rest of the nanon.
PALM BEACH COUNTY
POPULATION DISTRIBUTION BY AGE GROUP°)
Age Group 2000 1999 1998 1997 1996 1995 1994
0-14 18% 18% 18% 18% 18% 18% 18%
15-64 59 59 58 58 58 58 58
65+ 23 23 24 24 24 24 24
(t) Totals may not add to 100% because of rounding
Source: Unlverstty of Flonda, Bureau of Economic and Business Research and the U S Bureau of Census
Income
The folloxv~ng table shows the per capita personal ~ncome reported for Palm Beach County,
the State of Florida and the Uruted States.
PER CAPITA PERSONAL INCOME
Palm Beach County Florida U.S.
Year Dollars % of Fla. % of U S Dollars % of U S Dollars
1992 $31,028 156.7% 154.3% $19,797 98.5% $20,105
1993 32,230 156.1 155.0 20,650 99.3 20,800
1994 33,862 155.5 153.6 21,777 98.8 22,044
1995 36,213 156.5 155.0 23,139 99.1 23,359
1996 38,081 157.4 155.8 24,198 99 0 24,436
1997 38,772 156.3 153.3 24,799 98.1 25,288
1998 40,044 149.2 147.2 26,845 98.7 27,203
1999 41,907 150.8 146.8 27,781 97.3 28,546
Source' Umversm,- of Florida, Bureau of Economic and Business Research
Note Data for 2000 and 2001 ~s not avadable
A-6
Employment
Tourism and agriculture, together with the service industries related to these actsvities, are
the leading sources of income for the County's residents. Manufacturing, primarily electronics and
other high technology products, also play an important role in the County's economy. The table that
follows shows the County's estimated average annual non-farm employment by economic sector.
PALM BEACH COUNTY
ESTIMATED AVERAGE ANNUAL NON-AGRICULTURAL EMPLOYMENT
BY ECONOMIC SECTOR
2000 1999 1998 1997 1996
AH Indusmes 424,501 406,123 396,371 378,679 367,398
Agriculture Forestry
and Fisheries 17,328 18,070 18,590 18,308 17,850
Mining 18 13 14 23 24
Construcuon 30,415 27,054 26,157 24,789 24,068
Manu~ctunng 30,715 32,542 30,638 29,926 28,980
Transportation
Cornmumcauons
and PubhcUtiliues 16,481 15,916 15,692 15,184 15,316
Wholesale Trade 23,044 21,920 21,821 20,375 19,132
Reta~ Trade 94,608 92,027 92,112 89,028 88,086
Finance Insurance and
Real Estate 33,333 32,312 32,050 29,296 27,830
Services 176,641 164,098 156,819 149,769 143,853
Other 1,918 2,171 2,478 1,982 2,259
Source' UmversnT of Florida, Bureau of Economtc and Bustness Research, based upon data from U S Bureau of the
Census, 1998-2001 Florida Stansncal Abstracts
A-7
The data on County unemployment m the following table represents annual averages.
PALM BEACH COUNTY
ANNUAL AVERAGE LABOR FORCE AND UNEMPLOYMENT ESTIMATES
Unemployment Rates
Civilian Palm Beach United
Year Labor Force County Florida States
1995 454,852 6.2% 5.4% 5.6%
1996 461,526 7.0 5.2 5.4
1997 482,486 6.3 4.8 4.9
1998 507,754 5.5 4.3 4.5
1999 543,006 4.8 4.0 3.8
2000 524,708 4.1 3.6 3.8
2001 541,377 5.9 4.5 4.7
Source Florida Department of Labor and Employment Security, Bureau of Labor Market Unemployment Informauon;
Labor Stausucs Department
Largest Employers
The folloxvmg table shoxvs employment at the ten largest private employers in the County.
Employees
Apphed Cards (F~nancml - Cre&t Cards)
Florida Poxver & L~ght Company (Utihfies)
Boca Raton Resort & Club (Hotel)
Office Depot (Retad - Office Supphes)
The Breakers (Hotel)
Siemens Companies (PBX Systems)
Palm Beach Nexvspapers, Inc. (Nexvspaper Pubhshing)
Pratt & Whitney Arrcraft (Jet Engines)
Motorola Inc. (Electromc Pagers)
Bell South (Utihues)
2,500
2,300
1,850
1,500
1,500
1,500
1,300
1,300
1,300
1,200
Source' Bustness Development Board of Palm Beach CountT
A-8
Tourism
Visitors to the Palm Beaches have a significant econormc impact on the County. According
to the Florida Department of Business Regulation, there were 231 licensed hotels and motels in the
County, having a total of over 15,000 rooms. The Tourism Development Council of Palm Beach
County estimates that over three (3) million people visit the County annually and spend
approxamately $1.1 bflhon.
Agriculture
Agriculture, together with the related service ~ndustries, is the leading source of income for
the County's residents. The "Glades" region of the County is one of the nauon's most productive
agricultural areas. Palm Beach County is the largest agricultural county m Florida and the fourth
largest m the United States, with annual sales m excess of $2 billion.
Banking
The total deposits of banking instituuons m the County as of September 30 of each of the
years indicated below were as follows:
Total Bank Deposits
(in thousands)
Fiscal
Year
Commercial Banks
Federal Savings and
Loan Assocmtions
1994 $8,601,035 $7,805,278
1995 9,055,476 7,606,601
1996 9,545,424 6,578,158
1997 9,911,930 5,941,909
1998 10,715,881 6,949,839
1999~) 13,283,898 7,243,923
2000 12,843,897 7,646,519
2001 13,841,347 8,571,953
(t) FDIC Webs~te Florida League of Ftnancml Insntunons data was not available for 1999
Source Florida League of Fmanoal Insutunons.
A-9
Construction
Building permit activity in the County has been reported as follows:
BUILDING PERMIT ACTIVITY
COUNTY OF PALM BEACH, FLORIDA
(DOLLARS IN THOUSANDS)
1996 - 2001
Value of Building Permits Issued
Fxscal Resxdenfial Commercial Tot~ Permit
Year Units Value Value Other0) Valuation
1996 9,311 $ 932,675 $143,940 323,503 1,400,118
1997 6,060 979,247 188,227 451,299 1,618,773
1998 10,677 1,159,302 227,318 752,374 2,138,994
1999 10,242 1,217,582 394,868 776,015 2,388,465
2000 10,026 1,507,878 360,271 918,780 2,786,929
2001 10,091 1,377,870 484,771 798,827 2,661,467
(t) Hotels, motels, mobile home parks, and miscellaneous
Source The Palm Beach County Department ofPlanmng, Zomng and Braiding.
Retail Sales
Total retail sales in the County for the last seven calendar years have been as follows for the
years inchcated:
Retail Sales
Year
1994
1995
1996
1997
1998
1999
2000
Retail Sales
$21,680,285,125
23,746,717,448
24,818,102,000
27,600,033,550
27,828,417,249
30,213~35,156
34,393,336,408
Source State of Flonda, Departtnent of Revenue
A-10
APPENDIX B
General Purpose Financial
Statements of the City of Delray Beach
APPENDIX C
Summary of Certain Provisiom of the Bond Resolution
APPENDIX D
Form of Bond Coumel Opinion
APPENDIX E
Specimen Municipal Bond Insurance Policy
l~/aa/u~ li:~z '~'4u/ 0~5 l~zJ FU~LIC FINANCIAL ~002/003
Public Financial Management
Financial ~nd Investment Advisors
Suite 720
201 So~th Orange Avenue
Orlando, FL
32801.3470
4O7 648-2208
407-648-1323 fax
Exhibit D
December 3, 2002
The City Commission of
The City of Delray Beach, Florida
100 N.W. 1" Avenue
Dekay Beach, Florida 33444
Dear Ladies and Gentleman:
In serving in our capacity as Financial Advisor to the City of Delray Beach, Florida on the City's
Utilities Tax Revenue Refunding Bonds, Series 2002, Public Financial Management, Inc. is
zecommending the use of the negotiated sale process as opposed to the competitive sale format. We
believe that given the current volatility of the tax-exempt mumcipal market, the negotiated sale
process is most beneficial to the City.
Additionally, we are of the opinion that the use of bond insurance to insure the principal and
interest payments on the Bonds and a surety bond in lieu of the debt service reserve fund provides
economic benefit to the City, and are therefore recommending its use.
Sincerely,
Public Financial Management, Inc..
Senior Managing Consultant
Exhibit E
November 25, 2002
VIA FEDEX
Mr. Joe Safford, Finance Director
City of Delray Beach
100 NW First Avenue
Delray Beach, Florida 33444
Re: Not to Exceed $15,505,000 aggregate principal amount of City of Delray Beach,
Flonda Utilities Tax Refunding Revenue Bonds, Series 2002
Dear Mr. Safford:
Please find attached two originals each of our commitment letter and debt service reserve commitment letter in
respect of the above-referenced issue. Please return one fully executed copy of each to Ms. Lillie Santana of
our office, prior to any reference to Financial Security as insurer of the issue being made in marketing efforts in
respect of the issue.
Please note that a blacklined copy of each draft of each financing document and opinion, each draft of the
preliminary and final official statements and the bond proof should be delivered to us via e-mail, if possible, for
review and comment.
Please note that Financial Security's website may be accessed at www.fsa.com/products/municipaledoc.php.
The logo, statement of insurance, disclosure language, specimen policy, procedures for premium payment,
form of opinion and form of disclosure, no default and tax certificate may be accessed and downloaded as
needed. Financial Security will require, prior to closing, six hard copies of the final official statement.
We will deliver to Bond Counsel, at the preliminary closing, assuming the requirements of the
commitment letter have been met, an opinion of counsel as to the enforceability of the policy, a
disclosure, no default and tax certificate of Financial Security and the executed policy. Prior to the
closing, Financial Security will obtain rating letters from the rating agencies indicated in the official
statement. Note that any questions with regard to rating agency fees should be directed to the
respective rating agency.
Please ensure the following people are added to the Distribution List for this Financing:
Francis J. Coughlin, Jr., Associate General Counsel
Juliet Kong, Analyst
Lillie Santana, Assistant Vice President
Documentation and Closing Supervisor
Telephone:
Telecopier:
E-Maih
Telephone:
Telecopier:
E-Maih
Telephone:
Telecopier:
E-Maih
(212) 339-3411
(212) 339-3529
FCoughlin@FSA.com
(212) 893-9659
(212) 339-3450
JKong@FSA.com
(212) 339-3537
(212) 339-0872 or (212) 339-3588
LSantana@FSA.com
Financial Security requires one original and two copies of the final closing transcript of proceedings and it may
be in the form of either hard copies or three CD-ROMs.
Yours truly,
CC'
Francis J. Coughlin, Jr.
Associate General Counsel
Stephen D. Sanford, Esq.; Greenberg Traung, LLP
Mr. J.W. Howard, Managing Underwriter; Bear Stearns & Co., Inc.
Jeffrey Blumenfeld, Esq.; Blank Rome Comisky & McCauley LLP
Mr. Jay Glover; Public Financial Management, Inc
MUNICIPAL BOND INSURANCE COMMITMENT
FINANCIAL SECURITY ASSURANCE INC. ("Financial Security" or "FSA") hereby commits to issue its Municipal Bond Insurance
Policy (the "Policy") relating to whole maturities of the debt obligations described in Exhibit A attached hereto (the "Bonds"), subject to
the terms and conditions set forth in this Commitment, of which Commitment Exhibit A is an integrated part, or added hereto (the
"Commitment"). To keep this Commitment m effect after the Expiration Date set forth in Exhibit A attached hereto, a request for
renewal must be submitted to Financial Security prior to such Expiration Date. Financial Security reserves the right to refuse wholly or
in part to grant a renewal.
THE MUNICIPAL BOND INSURANCE POLICY SHALL BE ISSUED IF THE FOLLOWING CONDITIONS ARE SATISFIED:
1. The documents to be executed and delivered in connection with the issuance and sale of the Bonds shall not contain any
untrue or misleading statement of a material fact and shall not fail to state a material fact necessary in order to make the information
contained therein not misleading.
2. No event shall occur which would permit any underwriter or purchaser of the Bonds, otherwise required, not to be required to
underwrite or pumhase the Bonds on the date scheduled for the issuance and delivery thereof ("Closing Date").
3. There shall be no material change in or affecting the Bonds (including, without limitation, the security for the Bonds) or the
financing documents or the Official Statement (or any similar disclosure documents) to be executed and dehvered in connection with
the issuance and sale of the Bonds from the descriptions or forms thereof approved by Financial Security.
4. The Bonds shall contain no reference to F~nancial Security, the Policy or the insurance ewdenced thereby except as may be
approved by Financial Security. BOND PROOFS SHALL HAVE BEEN APPROVED BY FINANCIAL SECURITY PRIOR TO
PRINTING. The Bonds shall bear a Statement of Insurance in the form prowded by Financial Security
5. Financial Security shall be provided with:
(a) Executed copies of all financing documents, any disclosure document (the "Official Statement") and the vadous legal
opinions delivered in connection with the issuance and sale of the Bonds (which shall be dated the Closing Date and which, except for
the opinions of counsel relating to the adequacy of disclosure, shall be addressed to F~nancial Security or accompanied by a letter of
such counsel permitting Financial Security to rely on such opinion as if such opinion were addressed to Financial Security), including,
without limitation, the approving opinion of bond counsel. Each of the foregoing shall be in form and substance acceptable to Financial
Security. Copies of all drafts of such documents prepared subsequent to the date of the Commitment (blackhned to reflect all revisions
from previously reviewed drafts) shall be furnished to Financial Security for review and approval. Final drafts of such documents shall
be provided to Financial Security at least three (3) business days prior to the ~ssuance of the Policy, unless Financial Security shall
agree to some shorter period.
(b) Evidence of wire transfer in federal funds of an amount equal to the insurance premium, unless alternative
arrangements for the payment of such amount acceptable to Financial Security have been made prior to the delivery date of the
Bonds.
(c) Standard & Poor's Credit Market Services, Moody's Investors Service Inc. and Fitch IBCA, Inc. will separately
present bills for their respective fees relating to the Bonds. Payment of such bills should be made directly to such rating agency.
Payment of the rating fee is not a condibon to release of the Pohcy by Financial Security.
6. Promptly after the closing of the Bonds, Financial Security shall receive three completed sets of executed documents (one
original and e~ther (i) two photocopies (each unbound) or (i0 three compact discs).
7. The Official Statement shall contain the language provided by Financial Security and only such other references to Financial
Security or otherwise as Financial Security shall supply or approve. FINANCIAL SECURITY SHALL BE PROVIDED WITH SIX
PRINTED COPIES OF THE OFFICIAL STATEMENT.
EXHIBITA
MUNICIPAL BOND INSURANCE COMMITMENT
TERM SHEET
Issuer: City of Delrey Beach, Florida
Name of Bonds Insured: Utilities Tax Refunding Revenue Bonds, Series 2002
Principal Amount of Bonds Insured: Not to Exceed $15,505,000
Date of Commitment: November 25, 2002 Expiration Date: Friday, January 24, 2003*
Premium: .325% of total debt service on the Bonds Insured
Additional Conditions:
The amortization schedule for, and final maturity date of, the Bonds shall be acceptable to
Financial Security.
The Issuer shall covenant not to issue any other limited tax bonds that are secured by a lien that is
senior to the lien securing the Bonds.
3. See attached Exhibits B-C.
Terms used in this Commitment and not otherwise defined shall have the meanings ascribed to them in the
document authorizing the issuance of and setting forth the terms for the Bonds described above (the "Resolution").
FINANCIAL SECURITY ASSURANCE INC.
Authorized Officer
*To keep the Commitment in effect to the Expiration Date set forth above, Financial Security must receive a
duplicate of this Exhibit A executed by an authorized officer by the earlier of the date on which the Official Statement
containing disclosure language about Financial Security is c~rculated and ten days from the date of this Commitment.
The undersigned agrees that if the Bonds are insured by a policy of municipal bond insurance, such insurance shall
be provided by F~nancial Security in accordance w~th the terms of the Commitment.
CITY OF DELRAY BEACH, FLORIDA
Authorized Officer
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OPINION REQUIREMENTS
EXHIBIT B
Page I of 1
The Bond Resolution, as supplemented, is a legal, valid and binding obligation of the parties thereto, has
been duly authorized, executed and delivered and is enforceable in accordance with its terms.
There does not exist any action, suit, proceeding or investigation pending, or to the best of such counsel's
knowledge, threatened which if adversely determined, could materially adversely affect (a) the financial
condition of the Issuer, (b) the ability of the Issuer to perform its obligations under the Related Documents, (c)
the security for the Bonds, or (d) the transactions contemplated by the Bond Resolution.
Nothing has come to the attention of disclosure counsel which would cause them to believe that the final
Official Statement (excluding information provided by Financial Security), as of its date and the date of
issuance of the Policy, contained any untrue statement of a material fact or omitted to state a material fact
required to be stated therein or necessary ~n order to make the statements therein, in the light of the
circumstances under which they were made, not misleading.
The Bonds are special, limited obligations of the Issuer payable solely from and secured solely by a pledge of
and first priority lien upon the Utilities Tax revenue levied and collected by the Issuer and deposited in the
Sinking Fund created and established pursuant to the terms and provisions of the Bond Resolution.
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BOND RESOLUTION REQUIREMENTS
EXHIBIT C
Page 1 of 4
The Resolution shall incorporate the following requirements either in one section or article entitled "Provisions Relating
to Bond Insurance" (or the like), the provisions of which section or article shall be stated in the Resolution to
govern, notwithstanding anything to the contrary set forth in the Resolution, or individually in the appropriate
sections:
(a)
"Insurance Policy" shall be defined as follows: "the insurance policy issued by the Insurer guaranteeing the
scheduled payment of principal of and interest on the Bonds when due". "Insurer" shall be defined as follows:
"Financial Security Assurance Inc., a New York stock insurance company, or any successor thereto or
assignee thereof''.
(b) In the definition of Permitted Investments delete the capacity of the Credit Facility Issuer to approve
investments.
(c)
The Insurer shall be deemed to be the sole holder of the Insured Bonds for the purpose of exercising any
voting right or privilege or giving any consent or direction or taking any other action that the holders of the
Bonds insured by it are entitled to take pursuant to paragraph H of Section 4 of Resolution R-98-91.
(d) The Insurer shall be included as a third party beneficiary to the Resolution.
(e)
Upon the occurrence of an extraordinary optional or special or extraordinary mandatory redemption in part, the
selection of Bonds to be redeemed shall be subject to the approval of the Insurer. The exercise of any
provision of the Resolution which permits the purchase of Bonds in lieu of redemption shall require approval of
the Insurer wherein any Bond so purchased is not extinguished.
(0
No modification or amendment to the Resolution or any other transaction document including any underlying
security agreement (each a "Related Document") may become effective except upon obtaining the prior written
consent of the Insurer. Copies of any modification or amendment to the Resolution or any other Related
Document shall be sent to Standard & Poor's Credit Market Services and Moody's Investors Service, Inc. at
least 10 days prior to the effective date thereof.
(g)
Unless the Insurer otherwise directs, upon the occurrence and continuance of an Event of Default or the
occurrence and continuance of an event whmh with notice or lapse of time or both would constitute an Event of
Default amounts on deposit in the Construction Fund shall not be disbursed but shall instead be applied to the
payment of debt service or redemption price of the Bonds.
(h)
The rights granted to the Insurer under the Resolution or any other Related Document to request, consent to or
direct any action are rights granted to the Insurer in consideration of its issuance of the Insurance Pohcy. Any
exercise by the Insurer of such rights is merely an exercise of the Insurer's contractual rights and shall not be
construed or deemed to be taken for the benefit or on behalf of the Bondholders nor does such action evidence
any position of the Insurer, positive or negative, as to whether Bondholder consent is required in addition to
consent of the Insurer.
(i)
To accomplish defeasance the Issuer shall cause to be delivered (i) a report of an independent firm of
nationally recognized cerbfied public accountants or such other accountant as shall be acceptable to the
Insurer ("Accountant") verifying the sufficiency of the escrow established to pay the Bonds in full on the maturity
or redemption date ("Verification"), (ii) an Escrow Deposit Agreement (which shall be acceptable in form and
substance to the Insurer), (iii) an opinion of nationally recognized bond counsel to the effect that the Bonds are
no longer "Outstanding" under the Resolution and (iv) if there is a Paying Agent for the Bonds a certificate of
discharge of the Paying Agent with respect to the Bonds; each Verification and defeasance opinion shall be
acceptable ~n form and substance, and addressed, to the Issuer, the Paying Agent and the Insurer. The Insurer
shall be provided with final drafts of the above-referenced documentabon not less than five bus~ness days prior
to the funding of the escrow.
Bonds shall be deemed "Outstanding" under the Resolution unless and until they are in fact paid and retired or
the above criteria are met.
(J)
Amounts paid by the Insurer under the Insurance Policy shall not be deemed paid for purposes of the
Resolution and shall remain Outstanding and continue to be due and owing until paid by the Issuer in
accordance with the Resolution. The Resolution shall not be discharged unless all amounts due or to become
due to the Insurer have been paid in full or duly provided for.
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(k)
(m)
EXHIBIT C
Page 2 of 4
Each of the Issuer and the Paying Agent covenant and agree to take such action (including, as applicable, filing
of UCC financing statements and continuations thereof) as is necessary from time to time to perfect or
otherwise preserve the priority of the pledge of Trust Estate under applicable law.
Claims Upon the Insurance Policy and Payments by and to the Insurer.
If, on the third Business Day prior to the related scheduled interest payment date or principal payment date
("Payment Date") there is not on deposit with the Paying Agent, after making all transfers and deposits required
under the Resolution, moneys sufficient to pay the principal of and interest on the Bonds due on such Payment
Date, the Paying Agent shall give notice to the Bond Insurer and to its designated agent (if any) (the "Insurer's
Fiscal Agent") by telephone or telecopy of the amount of such deficiency by 12:00 noon, New York City time,
on such Business Day. If, on the second Business Day prior to the related Payment Date, there continues to be
a deficiency in the amount available to pay the principal of and interest on the Bonds due on such Payment
Date, the Paying Agent shall make a claim under the Insurance Policy and give notice to the Insurer and the
Insurer's Fiscal Agent (if any) by telephone of the amount of such deficiency, and the allocation of such
deficiency between the amount required to pay interest on the Bonds and the amount required to pay principal
of the Bonds, confirmed in writing to the Insurer and the Insurer's Fiscal Agent by 12:00 noon, New York City
time, on such second Business Day by filling ~n the form of Notice of Claim and Certificate delivered with the
Insurance Policy.
In the event the claim to be made is for a mandatory sinking fund redemption installment, upon receipt of the
moneys due, the Paying Agent shall authenticate and deliver to affected Bondholders who surrender their
Bonds a new Bond or Bonds in an aggregate principal amount equal to the unredeemed portion of the Bond
surrendered. The Paying Agent shall designate any portion of payment of principal on Bonds paid by the
Insurer, whether by virtue of mandatory sinking fund redemption, maturity or other advancement of maturity, on
its books as a reduction in the principal amount of Bonds registered to the then current Bondholder, whether
DTC or its nominee or otherwise, and shall issue a replacement Bond to the Insurer, regmtered in the name of
Financial Secunty Assurance Inc., in a principal amount equal to the amount of principal so paid (without
regard to authorized denominations); provided that the Paying Agent's failure to so designate any payment or
issue any replacement Bond shall have no effect on the amount of principal or interest payable by the Issuer on
any Bond or the subrogation rights of the Insurer.
The Paying Agent shall keep a complete and accurate record of all funds deposited by the Insurer into the
Policy Payments Account (defined below) and the allocation of such funds to payment of ~nterest on and
principal paid m respect of any Bond. The Insurer shall have the right to inspect such records at reasonable
times upon reasonable nobce to the Paying Agent.
Upon payment of a claim under the Insurance Policy the Paying Agent shall estabhsh a separate special
purpose trust account for the benefit of Bondholders referred to herein as the "Pohcy Payments Account" and
over which the Paying Agent shall have exclusive control and sole right of withdrawal. The Paying Agent shall
receive any amount paid under the Insurance Policy in trust on behalf of Bondholders and shall deposit any
such amount Jn the Policy Payments Account and distribute such amount only for purposes of making the
payments for which a claim was made. Such amounts shall be disbursed by the Paying Agent to Bondholders
in the same manner as principal and interest payments are to be made with respect to the Bonds under the
sections hereof regarding payment of Bonds. It shall not be necessary for such payments to be made by
checks or wire transfers separate from the check or wire transfer used to pay debt servme w~th other funds
avadable to make such payments. Notwithstanding anything to the contrary otherwise set forth in the
Resolution, and to the extent permitted by law, in the event amounts paid under the Insurance Policy are
apphed to claims for payment of principal of or interest on the Bonds, interest on such principal of and interest
on such Bonds shall accrue and be payable from the date of such payment at the greater of (0 the per annum
rate of interest, publicly announced from time to time by JPMorgan Chase Bank or its successor at its pnncipal
office in the City of New York, as its prime or base lending rate plus 3%, and (il) the then apphcable rate of
interest on the Bonds provided that in no event shall such rate exceed the maximum rate permissible under
applicable usury or similar laws limiting interest rates.
Funds held in the Policy Payments Account shall not be invested by the Paying Agent and may not be applied
to satisfy any costs, expenses or liabilities of the Paying Agent. Any funds remaining in the Policy Payments
Account following a Bond payment date shall promptly be remitted to the Insurer.
The Insurer shall, to the extent it makes any payment of principal of (or, in the case of Capital Appreciation
Bonds, accreted value) or interest on the Bonds, become subrogated to the rights of the recipients of such
payments in accordance with the terms of the Insurance Policy. The obligations to the Insurer shall survive
discharge or terminabon of the Related Documents.
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(n)
(o)
(P)
(q)
ir)
EXHIBIT C
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The Issuer shall pay or reimburse the Insurer any and all charges, fees, costs and expenses which the Insurer
may reasonably pay or incur in connection with (i) the administration, enforcement, defense or preservation of
any rights or security in any Related Document; (ii) the pursuit of any remedies under the Resolution or any
other Related Document or otherwise afforded by law or equity, (iii) any amendment, waiver or other action with
respect to, or related to, the Resolution or any other Related Document whether or not executed or completed,
(iv) the violation by the Issuer or the Obhgor of any law, rule or regulation, or any judgment, order or decree
applicable to it or iv) any litigation or other dispute in connection with the Resolution or any other Related
Document or the transactions contemplated thereby, other than amounts resulting from the failure of the
Insurer to honor its obligations under the Insurance Policy. The Insurer reserves the right to charge a
reasonable fee as a condition to executing any amendment, waiver or consent proposed in respect of the
Resolution or any other Related Document.
After payment of reasonable expenses of the Paying Agent, the application of funds realized upon default shall
be applied to payment of expenses of the Issuer or rebate only after the payment of debt service due and past
due on the Bonds, together with replenishment of the Debt Service Reserve Fund.
The Insurer shall be entitled to pay principal (or, in the case of Capital Appreciation Bonds, accreted value) or
interest on the Bonds that shall become Due for Payment but shall be unpaid by reason of Nonpayment by the
Issuer (as such terms are defined in the Insurance Policy) and any amounts due on the Bonds as a result of
acceleration of the maturity thereof in accordance with the Resolution, whether or not the insurer has received
a Notice of Nonpayment (as such terms are defined in the Insurance Policy) or a claim upon the Insurance
Policy.
The notice address of the Insurer is: Financial Secudty Assurance Inc., 350 Park Avenue, New York, New York
10022-6022, Attention: Managing Director- Surveillance, Re: Policy No. , Telephone: (212) 826-0100;
Telecop~er: (212) 339-3556. In each case in which notice or other communicabon refers to an Event of Default,
then a copy of such notice or other communication shall also be sent to the attention of the General Counsel
and shall be marked to indicate "URGENT MATERIAL ENCLOSED."
The Insurer shall be provided with the following information:
(i)
Annual audited financial statements within 150 days after the end of the Issuer's fiscal
year (together with a certification of the Issuer that it is not aware of any default or Event
of Default under the Resolution), and the Issuer's annual budget within 30 days after the
approval thereof together with such other reformation, data or reports as the Insurer shall
reasonably request from time to time;
(ii)
Notice of any draw upon the Debt Service Reserve Fund within two Business Days after
knowledge thereof other than ii) withdrawals of amounts in excess of the Debt Service
Reserve Requirement and (ii) withdrawals in connection with a refunding of Bonds;
(iii)
Notice of any default known to the Paying Agent or the Issuer within five Business Days
after knowledge thereof;
(iv)
Prior notice of the advance refunding or redemption of any of the Bonds, including the
pnncipal amount, maturities and CUSIP numbers thereof;
iv)
Nobce of the resignation or removal of the Paying Agent and Bond Registrar and the
appointment of, and acceptance of duties by, any successor thereto;
(vi)
Notice of the commencement of any proceeding by or against the Issuer commenced
under the United States Bankruptcy Code or any other applicable bankruptcy,
insolvency, receivership, rehabilitation or similar law (an "Insolvency Proceeding");
(VII)
Not~ce of the makJng of any claim in connection w~th any Insolvency Proceeding seeking
the avoidance as a preferential transfer of any payment of principal of, or interest on, the
Bonds;
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EXHIBIT C
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(s)
(t)
(u)
(v)
(viii)
A full original transcript of all proceedings relating to the execution of any amendment or
supplement to the Related Documents; and
(ix)
All reports, notices and correspondence to be delivered to Bondholders under the terms
of the Related Documents.
Notwithstanding satisfaction of other conditions to the issuance of Additional Bonds contained in the
Resolution, no such issuance may occur (1) should any Event of Default (or any event which, once all notice or
grace periods have passed, would constitute an Event of Default) have occurred and be continuing unless such
default shall be cured upon such issuance and (2) unless the Debt Service Reserve Fund is fully funded at its
requirement (including the new issue) upon the issuance of such Additional Bonds, in either case unless
otherwise permitted by the Insurer. For tax-backed transactions, subordinate debt shall be subject to the
Insurer's consent.
In determining whether any amendment, consent or other action to be taken, or any failure to act, under the
Resolution would adversely affect the security for the Bonds or the rights of the Bondholders, the Paying Agent
shall consider the effect of any such amendment, consent, action or inaction as if there were no Insurance
Policy.
No contract shall be entered into nor any action taken by which the rights of the Insurer or security for or
sources of payment of the Bonds may be impaired or prejudiced in any material respect except upon obtaining
the prior written consent of the Insurer.
If the proceeds of the Bonds include a refunding there shall be delivered an opinion of Bond Counsel
addressed to the Insurer (or a rehance letter relating thereto) or a certificate of discharge of the Paying Agent
for the Refunded Bonds to the effect that, upon the making of the required deposit to the escrow, the legal
defeasance of the Refunded Bonds shall have occurred, If the Refunded Bonds are FSA-~nsured, at least
three business days prior to the proposed date for delivery of the Policy with respect to the Refunding Bonds,
the Insurer shall also receive (i) the verification letter, of which Financial Security shall be an addressee, by an
independent firm of certified public accountants which is either nationally recognized or otherwise acceptable to
the Insurer, of the adequacy of the escrow established to provide for the payment of the Refunded Bonds in
accordance with the terms and provisions of the Escrow Deposit Agreement, and (ii) the form of an opinion of
Bond Counsel addressed to the Insurer (or a reliance letter relating thereto) to the effect that the Escrow
Deposit Agreement is a valid and binding obligation of the parties thereto enforceable in accordance with its
terms (such Escrow Deposit Agreement to provide that only with the Insurer consent may an amendment
occur) An executed copy of each of such opinion and reliance letter, if applicable, or Paying Agent's discharge
certificate, as the case may be, shall be forwarded to the Insurer prior to delivery of the Bonds.
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MUNICIPAL BOND DEBT SERVICE RESERVE
INSURANCE COMMITMENT
Issuer:
Bonds Insured:
Premium:
Policy Limit:
City of Delray Beach, Florida Date of Commitment: November 25, 2002
Bonds
2.00% of Policy Limit Expiration Date: Friday, January 24, 2003
A dollar amount equal to the Debt Service Reserve Requirement, as specified under the Resolution
FINANCIAL SECURITY ASSURANCE INC. ("Financial Security"), a stock insurance company, hereby commits to
issue its Municipal Bond Debt Service Reserve Insurance Policy (the "Reserve Policy"), in the form attached hereto
as Exhibit A, relating to the above-described debt obligations (the "Bonds"), subject to the terms and conditions
contained herein or added hereto. All terms used herein and not otherwise defined shall have the meanings
ascribed to them ~n the document setting forth the security for and authorizing the issuance of the Bonds (the
"Resolution").
To keep this Commitment in effect after the Expiration Date set forth above, a request for renewal must be submitted
to Financial Secunty prior to such expiration date. Financial Security reserves the right to refuse wholly or in part to
grant a renewal. To keep the Commitment in effect to the Expiration Date set forth above, Financial Security must
receive a duplicate of this Commitment executed by an appropriate officer of the Issuer by the date whmh is ten days
from the date of this Commitment.
THE RESERVE POLICY SHALL BE ISSUED UPON SATISFACTION OF THE FOLLOWING CONDITIONS:
The documents to be executed and delivered in connection with the issuance and sale of the Bonds shall not
contain any untrue or misleading statement of a material fact and shall not fail to state a material fact
necessary in order to make the information contained therein not misleading.
The Resolution shall provide: that the DSRF will be fully funded upon the issuance of any additional bonds
and that the draws on the Reserve Fund shall be restored from the first available Revenues with not less than
1/12th paid per month.
There shall be no material change in or affecting the Bonds (including, without limitation, the security for the
Bonds) or the financing documents or the Official Statement (or any similar disclosure documents) to be
executed and delivered in connection with the issuance and sale of the Bonds from the descriptions or forms
thereof approved by Financial Secunty.
4. Financial Security shall be provided with:
(a) A letter from Greenberg Traurig, LLP ("Bond Counsel") addressed to Financial Security to the effect
that Financial Security may rely on the approving opinion(s) of Bond Counsel as if such opinion(s) were
addressed to Financial Security.
(b) An opinion(s) of Bond Counsel, addressed to and in form and substance satisfactory to Financial
Security, as to the (i) due authorization, validity and enforceability of the Resolution, the Insurance Agreement
and the document which incorporates the requirements set forth in Paragraph 5 hereof and (ii) the Policy
constituting a debt service reserve insurance policy under the applicable prows~ons of the Resolubon.
Page 1 of 3
(c) Evidence of wire transfer in federal funds in an amount equal to the insurance premium, unless
alternabve arrangements for the payment of such amount acceptable to Financial Security have been made
prior to the delivery date of the Reserve Policy.
The Resolution shall include the following terms and conditions and shall be in form and substance
acceptable to Financial Security:
(a) The Issuer shall repay any draws under the Reserve Policy and pay all related reasonable expenses
incurred by Financial Security. Interest shall accrue and be payable on such draws and expenses from the
date of payment by Financial Security at the Late Payment Rate. "Late Payment Rate" means the lesser of
(a) the greater of (i) the per annum rate of interest, pubhcly announced from time to time by JPMorgan Chase
Bank at its principal office in the C~ty of New York, as ~ts prime or base lending rate ("Prime Rate") (any
change in such Prime Rate to be effective on the date such change is announced by JPMorgan Chase Bank)
plus 3%, and (ii) the then applicable highest rate of interest on the Bonds and (b) the maximum rate
permissible under applicable usury or similar laws limiting interest rates. The Late Payment Rate shall be
computed on the basis of the actual number of days elapsed over a year of 365 days. In the event JPMorgan
Chase Bank ceases to announce ~ts Prime Rate publicly, Prime Rate shall be the publicly announced prime or
base lending rate of such national bank as Financial Security shall specify.
Repayment of draws and payment of expenses and accrued interest thereon at the Late Payment Rate
(collectively, "Policy Costs") shall commence in the first month following each draw, and each such monthly
payment shall be in an amount at least equal to 1112 of the aggregate of Policy Costs related to such draw.
Amounts in respect of Policy Costs paid to Financial Secudty shall be credited first to interest due, then
to the expenses due and then to principal due. As and to the extent that payments are made to Financial
Security on account of principal due, the coverage under the Reserve Policy will be increased by a like
amount, subject to the terms of the Reserve Policy.
All cash and investments in the debt service reserve fund established for the Bonds (the "Reserve
Fund") shall be transferred to the debt service fund for payment of debt service on Bonds before any drawing
may be made on the Reserve Policy or any other credit facility credited to the Reserve Fund in lieu of cash
("Credit Facility"). Payment of any Policy Costs shall be made prior to replenishment of any such cash
amounts. Draws on all Credit Facilities (including the Reserve Pohcy) on which there is available coverage
shall be made on a pro-rata basis (calculated by reference to the coverage then available thereunder) after
applying all available cash and investments in the Reserve Fund. Payment of Policy Costs and
reimbursement of amounts with respect to other Credit Facilities shall be made on a pro-rata basis prior to
replenishment of any cash drawn from the Reserve Fund.
(b) If the Issuer shall fail to pay any Policy Costs in accordance with the requirements of Paragraph 5(a)
hereof, Financial Security shall be entitled to exercise any and all legal and equitable remedies available to it,
including those provided under the Resolution other than (i) acceleration of the maturity of the Bonds or (ii)
remedies which would adversely affect owners of the Bonds.
(c) The Resolution shall not be discharged until all Policy Costs owing to Financial Security shall have
been paid in full. The Issuer's obligabon to pay such amounts shall expressly survive payment in full of the
Bonds.
(d) The additional bonds test and the rate covenant in the Resolution shall expressly provide for at least
one braes coverage of the Pohcy Costs then due and owing.
(e) The Resolution shall require the Paying Agent to ascertain the necessity for a claim upon the Reserve
Policy and to prowde notice to Financial Security in accordance with the terms of the Reserve Policy at least
five business days prior to each date upon which interest or principal is due on the Bonds. Where deposits
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are required to be made by the Issuer with the Paying Agent to the debt service fund for the Bonds more often
than semi-annually, the Paying Agent shall be instructed to give notice to Financial Security of any failure of
the Issuer to make timely payment in full of such deposits within two business days of the date due.
The Reserve Policy shall expire on the eadier of the date the Utilities Tax Revenue Refunding Bonds, Sedes
2002 are no longer outstanding and the final maturity date of the Bonds.
The Issuer shall deliver to Financial Security an executed Insurance Agreement in substantially the form of
Exhibit B hereto.
Any official statement or similar disclosure document relating to the Bonds shall contain only such references
to the Reserve Policy and Financial Security as we shall supply or approve.
Financial Security shall insure the Bonds pursuant to its Commitment Letter dated November 25, 2002.
Promptly after the issuance of the Reserve Policy, Financial Security shall receive a complete set of executed
documents implementing the requirements of this Commitment.
FINANCIAL SECURITY ASSURANCE INC.
Authorized Officer
To keep this commitment in effect to the Expiration Date set forth on the first page, Financial Security must receive
by the date which is ten days from the date of this Commitment a duplicate of this Commitment executed by an
appropriate officer of the Issuer.
The undersigned agrees that if the debt service reserve fund requirement for the Bonds is met in whole or in part by
credit instrument, such credit instrument shall be a Reserve Policy provided by F~nancial Security in accordance with
the terms of this Commitment.
CITY OF DELRAY BEACH, FLORIDA
Authorized Officer
Page 3 of 3
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EXHIBIT B
FINANCIAL
SECURITY
ASSURANCE®
MUNICIPAL BOND DEBT SERVICE
RESERVE INSURANCE POLICY
ISSUER: City of Delray Beach, Florida Policy No.:
BONDS: $[total par amount of bonds insured] in aggregate Effective Date: December 19, 2002
principal amount of Bonds Premium: $
FINANCIAL SECURITY ASSURANCE INC. ("Financial Security.'), for consideration received, hereby
UNCONDITIONALLY AND IRREVOCABLY agrees to pay to the trustee (the 'q'rustee") or paying agent (the
"Paying Agent") as set forth in the documentation (the "Bond Document") providing for the issuance of and
secudng the Bonds, for the benefit of the Owners, subject only to the terms of this Policy (which includes each
endorsement hereto), that portion of the pnncipal of and interest on the Bonds that shall become Due for
Payment but shall be unpaid by reason of Nonpayment by the Issuer.
Financial Secudty will make payment as provided in this Policy to the Trustee or Paying Agent on the later
of the Business Day on which such principal and interest becomes Due for Payment or the Business Day next
following the Business Day on which Financial Security shall have received Notice of Nonpayment, in a form
reasonably satisfactory to it. A Notice of Nonpayment w~ll be deemed received on a given Business Day if it is
received pdor to 1:00 p.m. (New York time) on such Business Day; otherwise, it will be deemed received on the
next Business Day. If any Notice of Nonpayment received by Financial Secudty is incomplete, it shall be
deemed not to have been received by F~nancial Secudty for purposes of the preceding sentence and Financial
Secudty shall promptly so advise the Trustee, Paying Agent or Issuer, as appropnate, who may submit an
amended Notice of Nonpayment. Payment by Financial Secudty to the Trustee or Paying Agent for the benefit
of the Owners shall, to the extent thereof, discharge the obligation of Financial Secudty under th~s Policy. Upon
such payment, Financial Secudty shall become entitled to reimbursement of the amount so paid (together with
interest and expenses) pursuant to the [Bond Document or][Insurance Agreement]. Upon disbursement in
respect of a Bond, Financial Security shall become the owner of the Bond, any appurtenant coupon to the
Bond or right to receipt of payment of principal of or interest on the Bond and shall be fully subrogated to
the rights of the Owner, including the Owner's right to receive payments under the Bond and all insurance
policies in respect of the Bond, to the extent of any payment by Financial Security hereunder.
The amount available under this Policy for payment shall not exceed the Policy Limit. The amount available
at any particular time to be paid to the Trustee or Paying Agent under the terms of this Policy shall automatically
be reduced by any payment under this Policy. However, after such payment, the amount available under this
Policy shall be reinstated in full or in part, but only up to the Policy Limit, to the extent of the reimbursement of
such payment (exclusive of interest and expenses) to Financial Secudty by or on behalf of the Issuer. Within
three Business Days of such reimbursement, Financial Secudty shall provide the Trustee, the Paying Agent and
the Issuer with nobce of the reimbursement and reinstatement.
Payment under th~s Policy shall not be available with respect to (a) any Nonpayment that occurs pdor to the
Effective Date or after the Termination Date of this Policy or (b) Bonds that are not outstanding under the Bond
Document. If the amount payable under this Policy is also payable under another insurance policy or surety
bond insudng the Bonds, payment first shall be made under this Policy to the extent of the amount available
under this Policy up to the Policy Limit. In no event shall Financial Secudty incur duplicate liability for the same
amounts owing with respect to the Bonds that are covered under this Pohcy and any other insurance policy or
surety bond that Financial Secudty has issued.
Except to the extent expressly modified by an endorsement hereto, the following terms shall have the
meanings specified for all purposes of this Pohcy. "Business Day'' means any day other than (a) a Saturday or
Sunday or (b) a day on which banking institutions in the State of New York are, or the Insurer's Fiscal Agent is,
authonzed or required by law or executive order to remain closed. "Due for Payment" means (a) when referring
to the pnncipal of a Bond, payable on the stated matudty date thereof or the date on which the same shall have
been duly called for mandatory s~nking fund redemption and does not refer to any eadier date on which payment
is due by reason of call for redemption ((~ther than by mandatory sinking fund redemption), acceleration or other
advancement of maturity unless Financial Secudty shall elect, in its sole discretion, to pay such principal due
Page 2 of 2
Policy No.
upon such acceleration together with any accrued interest to the date of acceleration and (b) when referring to
interest on a Bond, payable on the stated date for payment of interest. "Insurance Agreement" means the
Insurance Agreement dated as of the effective date hereof in respect of this Policy, as the same may be
amended or supplemented from time to time. "Nonpayment" means, in respect of a Bond, the failure of the
Issuer to have provided sufficient funds to the Paying Agent for payment in full of all principal and interest that is
Due for Payment on such Bond. "Nonpayment" shall also include, in respect of a Bond, any payment of
principal or interest that is Due for Payment made to an Owner by or on behalf of the Issuer that has been
recovered from such Owner pursuant to the United States Bankruptcy Code by a trustee in bankruptcy in
accordance with a final, nonappealable order of a court having competent jurisdiction. "Notice" means
telephonic or telecopied notice, subsequently confirmed in a signed writing, or written notice by registered or
certified mail, from the Issuer, the Trustee or the Paying Agent to Financial Security which nobce shall specify (a)
the person or entity making the claim, (b) the Policy Number, (c) the claimed amount and (d) the date such
claimed amount became Due for Payment. "Owner" means, in respect of a Bond, the person or entity who, at
the tJme of Nonpayment, is entitled under the terms of such Bond to payment of principal or ~nterest thereunder,
except that "Owner" shall not include the Issuer or any person or entity whose direct or indirect obligation
consbtutes the underlying security for the Bonds. "Policy Limit" shall be the dollar amount of the debt service
reserve fund required to be maintained for the Bonds by the Bond Document from time to time (the "Debt
Service Reserve Requirement"), but in no event shall the Policy L~mit exceed $1,300,000. The Policy Limit shall
automabcally and irrevocably be reduced from time to time by the amount of each reduction in the Debt Service
Reserve Requirement, as provided in the Bond Document. '"Termination Date" means the earlier of June 1,
2016 and the date the Bonds are no longer outstanding under the Bond Document.
Financial Secunty may appoint a fiscal agent (the "Insurer's Fiscal Agent") for purposes of this Policy by
giving written notice to the Trustee and the Paying Agent specifying the name and notice address of the Insurer's
Fiscal Agent. From and after the date of receipt of such notice by the Trustee and the Paying Agent, (a) copies
of all notices required to be delivered to Financial Security pursuant to this Policy shall be simultaneously
delivered to the Insurer's Fiscal Agent and to Financial Secudty and shall not be deemed received untJI received
by both and (b) all payments required to be made by Financial Security under this Policy may be made directly
by Financial Secudty or by the Insurer's Fiscal Agent on behalf of F~nancial Security. The Insurer's Fiscal Agent
is the agent of F~nancial Secunty only and the Insurer's F~scal Agent shall in no event be liable to any Owner for
any act of the Insurer's Fiscal Agent or any failure of Financial Secudty to deposit or cause to be deposited
sufficient funds to make payments due under this Policy.
To the fullest extent permitted by applicable law, Financial Security agrees not to assert, and hereby waives,
only for the benefit of each Owner, all dghts (whether by counterclaim, setoff or otherwise) and defenses
(including, w~thout limitation, the defense of fraud), whether acquired by subrogation, assignment or otherwise, to
the extent that such rights and defenses may be available to Financial Secudty to avoid payment of its
obligations under this Policy in accordance with the express pmwsions of this Pohcy.
This Pohcy sets forth in full the undertaking of Financial Security, and shall not be modified, altered or
affected by any other agreement or instrument, including any modification or amendment thereto. Except to the
extent expressly modified by an endorsement hereto, (a) any premium paid in respect of th~s Policy is
nonrefundable for any reason whatsoever, including payment, or provision being made for payment, of the
Bonds pdor to matudty and (b) this Pohcy may not be canceled or revoked. THIS POLICY IS NOT COVERED
BY THE PROPERTY/CASUALTY INSURANCE SECURITY FUND SPECIFIED IN ARTICLE 76 OF THE NEW
YORK INSURANCE LAW.
In witness whereof, FINANCIAL SECURITY ASSURANCE INC. has caused this Policy to be executed on
its behalf by its Authorized Officer.
[Countersignature]
FINANCIAL SECURITY ASSURANCE INC.
By By
A subsidiary of Financial Security Assurance Holdings Ltd.
350 Park Avenue, New York, N.Y. 10022-6022
Form 501B NY (8/96)
Authorized Officer
(212) 826-0100
· Exhibit F
INSURANCE AGREEMENT
INSURANCE AGREEMENT, dated as of , by and between City of Delray Beach (the
"Issuer") and Financial Security Assurance Inc. (the "Insurer") (the "Agreement").
In consideration of the issuance by the Insurer of its Municipal Bond Debt Service Reserve Insurance Policy
(the "Reserve Policy") with respect to the Issuer's Bonds (the "Bonds") issued under the Resolution dated (the
"Resolution") and the Issuer's payment to the Insurer of the insurance premium for the Reserve Policy, the Insurer
and the Issuer hereby covenant and agree as follows:
Upon any payment by the Insurer under the Reserve Policy, the Insurer shall furnish to the Issuer
written instructions as to the manner in which payment of amounts owed to the Insurer as a result
of such payment under the Reserve Policy shall be made.
The Issuer shall pay the Insurer the principal amount of any draws under the Reserve Policy and
pay all related reasonable expenses incurred by the Insurer and shall pay interest thereon from the
date of payment by Financial Security at the Late Payment Rate. "Late Payment Rate" means the
lesser of (a) the greater of (i) the per annum rate of ~nterest, publicly announced from time to time
by JPMorgan Chase Bank at its principal office in the City of New York, as its prime or base
lending rate ("Prime Rate") (any change in such Pnme Rate to be effective on the date such
change is announced by JPMorgan Chase Bank) plus 3%, and (ii) the then applicable highest rate
of interest on the Bonds and (b) the maximum rate permissible under applicable usury or similar
laws hmit~ng interest rates. The Late Payment Rate shall be computed on the basis of the actual
number of days elapsed over a year of 360 days. In the event JPMorgan Chase Bank ceases to
announce its Prime Rate, the Prime Rate shall be the prime or base lend~ng rate of such national
bank as the Insurer shall designate.
Repayment of draws and payment of expenses and the interest accrued thereon at the Late
Payment Rate (collectively, "Policy Costs") shall commence in the first month following each draw,
and each such monthly payment shall be in an amount at least equal to 1/12th of the aggregate of
Policy Costs related to such draw.
Amounts in respect of Policy Costs paid to the Insurer shall be credited first to interest due, then to
the expenses due and then to principal due.
As and to the extent that payments are made to the Insurer on account of principal due, the
coverage under the Reserve Policy will be increased by a like amount, subject to the terms of the
Reserve Policy.
All cash and investments in the Reserve Fund shall be transferred to the debt service fund for
payment of debt service on the Bonds before any drawing may be made on the Reserve Policy or
on any alternative credit instrument. Payment of any Policy Costs shall be made prior to
replenishment of any such cash amounts. Draws on all alternative credit instruments (including
the Reserve Policy) on which there is available coverage shall be made on a pro rata basis
(calculated by reference to coverage then available under each such alternabve credit instrument)
after applying available cash and investments in the Reserve Fund. Payment of Policy Costs and
reimbursement of amounts with respect to alternative credit instruments shall be made on a pro-
rata basis prior to replenishment of any cash drawn from the Reserve Fund.
If the Issuer shall fail to pay any Policy Costs in accordance with the requirements of the
Resolution and this Agreement, the Insurer shall be enbtled to exercise any and all legal and
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equitable remedies available to it, including those provided under the Resolution, other than (i)
acceleration of the maturity of the Bonds or (ii) remedies which would adversely affect owners of
the Bonds.
The Resolution shall not be discharged until all Policy Costs owing to the Insurer shall have been
paid in full. The Issuer's obligation to pay such amounts shall expressly survive payment in full of
the Bonds.
In order to secure the Issuer's payment obligations with respect to the Policy Costs, there is hereby
granted and perfected in favor of the Insurer a security interest (subordinate only to that of the
owners of the Bonds) in all revenues and collateral pledged as security for the Bonds.
10. Policy Costs due and owing shall be included in debt service requirements for purposes of
calculation of the additional bonds test and the rate covenant in the Resolution.
11.
The Paying Agent shall ascertain the necessity for a claim upon the Reserve Policy and provide
notice to the Insurer in accordance with the terms of the Reserve Policy at least five business days
prior to each date upon which interest or principal is due on the Bonds. Where deposits are
required to be made by the Issuer with the Paying Agent to the debt service fund for the Bonds
more often than semi-annually, the Paying Agent shall g~ve notice to the Insurer of any failure of
the Issuer to make timely payment in full of such deposits within two bus~ness days of the date
due.
12.
Notices to the Insurer shall be sent to the following address (or such other address as the Insurer
may designate in writing): Financial Secudty Assurance Inc., 350 Park Avenue, New York, New
York 10022-6022 Attention: Managing Director - Surveillance.
13. This Agreement may be executed in counterparts, each of which alone and all of which together
shall be deemed one original Agreement.
14.
If any one or more of the agreements, provisions or terms of this Agreement shall be for any
reason whatsoever held invalid, then such agreements, provisions or terms shall be deemed
severable from the remaining agreements, provisions or terms of this Agreement and shall in no
way affect the validity or enforceability of the other provisions of this Agreement.
15. All capitalized terms used herein and not otherwise defined shall have the meanings ascdbed to
them in the Resolution.
16. This Agreement and the rights and obligations of the parties of the Agreement shall be governed
by and construed and interpreted in accordance with the laws of the State of New York.
IN WITNESS WHEREOF, the parties hereto have set their hands as of the date written above.
CITY OF DELRAY BEACH, FLORIDA
FINANCIAL SECURITY ASSURANCE INC.
By: By:
Title: T~tle: Managing Director
C.\Documents and Settmgs\wilhamsm GTLAW\Local Settings~,Ternporary Internet Files\OLK3897\EMAIL 59304_D doc
RESOLUTION NO. 91-02
CITY OF DELRAY BEACH, FLORIDA
General Obligation Refunding Bonds, Series 2002
(Decade of Excellence Program)
General Obligation Refunding Bond Resolution
Adopted December 3, 2002
\\wpb-srv01~SANFORDS\399705v05\I 1/25/02\16787 011000 Resolution No. 91-02
SECTION 1.
SECTION 2.
SECTION 3.
SECTION 4.
SECTION 5.
SECTION 6.
SECTION 7.
SECTION
SECTION
SECTION
SECTION
SECTION
SECTION
SECTION
SECTION
SECTION 20.
SECTION 21.
SECTION 22.
SECTION 23.
TABLE OF CONTENTS
DEFINITIONS ......................................................................................................... 3
FINDINGS ............................................................................................................... 8
AUTHORITY OF THIS RESOLUTION ................................................................ 9
RESOLUTION CONSTITUTES CONTRACT ...................................................... 9
AUTHORIZATION AND DESCRIPTION OF BONDS ....................................... 9
REDEMPTION PROVISIONS ............................................................................. 11
EXECUTION OF BONDS .................................................................................... ! 1
8. NEGOTIABILITY, REGISTRATION ,aND CANCELLATION ........................ 12
9. BONDS MUTILATED, DESTROYED, STOLEN OR LOST ............................. 14
10. FORM OF BONDS .............................................................................................. 15
11. APPLICATION OF BOND PROCEEDS ............................................................. 24
12. SECURITY FOR THE BONDS .......................................................................... 25
13. COVENANTS OF THE CITY ............................................................................ 25
14. RULE 15C2-12 UNDERTAKING ...................................................................... 30
19. MODIFICATION OR AMENDMENT ............................................................... 34
SEVERABILITY OF INVALID PROVISIONS ................................................. 35
SALE OF BONDS ............................................................................................... 36
REMEDIES .......................................................................................................... 36
EFFECTIVE DATE ............................................................................................. 36
\\wpb-srv01\SANFORDS\399705v05\l 1/25/02\16757 011000 i Resolution No. 91-02
Resolution No. 91-02
A RESOLUTION OF THE CITY COMMISSION OF DELRAY BEACH,
FLORIDA, AUTHORIZING THE ISSUANCE OF NOT EXCEEDING
$18,000,000 IN THE INITIAL AGGREGATE PRINCIPAL AMOUNT OF CITY
OF DELRAY BEACH, FLORIDA GENERAL OBLIGATION REFUNDING
BONDS, SERIES 2002 (DECADE OF EXCELLENCE PROGRAM);
PROVIDING THE FORM AND TERMS OF THE BONDS; PROVIDING FOR
THE PAYMENT OF THE BONDS FROM A TAX ON ALL TAXABLE
PROPERTY IN THE CITY OF DELRAY BEACH; PROVIDING FOR THE
UNDERTAKING BY THE CITY REGARDING SECONDARY MARKET
DISCLOSURE AS REQUIRED BY RULE 15c2-12 OF THE SECURITIES
AND EXCHANGE COMMISSION; PROVIDING FOR THE RIGHTS,
REMEDIES AND SECURITY OF THE HOLDERS OF THE BONDS;
PROVIDING FOR CERTAIN OTHER MATTERS DEEMED NECESSARY
AND PROPER IN CONNECTION WITH THE ISSUANCE OF THE BONDS;
AND PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, the City Commission of Delray Beach, Florida (the "Commission"), did, on
October 16, 1989, adopt Resolution No. 77-89 entitled "A RESOLUTION OF THE CITY
COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA, REPEALING
RESOLUTION NO. 70-89 AND RESOLUTION NO. 76-89; PROVIDING HEREIN IN LIEU
OF SUCH RESOLUTIONS FOR THE ISSUANCE OF GENERAL OBLIGATION BONDS
FOR THE PURPOSE OF FINANCING THE (A) ACQUISITION, CONSTRUCTION,
RECONSTRUCTION AND EQUIPPING OF CERTAIN FIRE FACILITIES IN THE
PRINCIPAL AMOUNT OF NOT EXCEEDING $5,180,000, (B) ACQUISITION,
CONSTRUCTION, AND RECONSTRUCTION OF CERTAIN STREET, SIDEWALK,
ALLEY, RIGHTS OF WAY, DRAINAGE AND BEAUTIFICATION PROJECTS IN THE
PRINCIPAL AMOUNT OF NOT EXCEEDING $11,207,000, (C) ACQUISITION,
CONSTRUCTION, AND EQUIPPING OF IMPROVEMENTS TO CERTAIN
RECREATIONAL AND CULTURAL FACILITIES IN THE PRINCIPAL AMOUNT OF NOT
EXCEEDING $4,605,000, AND (D) THE ACQUISITION AND CONSTRUCTION OF
Resolution No. -02
VARIOUS NEIGHBORHOOD IMPROVEMENT PROJECTS IN THE PRINCIPAL AMOUNT
OF NOT EXCEEDING $500,000; CALLING FOR A BOND REFERENDUM OF THE
QUALIFIED ELECTORS OF THE CITY OF DELRAY BEACH TO BE HELD ON
NOVEMBER 21, 1989, AS TO WHETHER GENERAL OBLIGATION BONDS FOR SUCH
PROJECTS SHOULD BE ISSUED; AND PROVIDING AN EFFECTIVE DATE" (the
"Original Resolution"), and the qualified electors of the City of Delray Beach, Florida (the
"City"), did, at an election held on November 21, 1989 (the "Referendum"), authorize by
majority vote the issuance of $21,492,000 general obligation bonds to finance the cost of the
acquisition and construction of the projects described above (the "Decade of Excellence General
Obligations Bonds").
WHEREAS, pursuant to Resolution No. 98-89, adopted by the Commission on
December 12, 1989, as supplemented, the City did, on June 12, 1990, issue a portion of its
Decade of Excellence General Obligation Bonds in the principal amount of $11,280,000 and
designated such bonds "City of Delray Beach, Florida, General Obligation Bonds, Series 1990
(Decade of Excellence Program) (herein, the "1990 Bonds"); and
WHEREAS, pursuant to Resolution No. 91-93 adopted by the Commission on
September 28, 1993, the City did, on November 2, 1993, issue its City of Delray Beach, Florida,
General Obligation Refunding Bonds, Series 1993 B (Decade of Excellence Program) (the
"1993 B Bonds") in an aggregate principal amount of $8,835,000 for the purpose of paying and
defeasing a portion of the City's outstanding 1990 Bonds; and
WHEREAS, pursuant to the Original Resolution, as supplemented, and the authority
granted by the Referendum, the City did, on November 2, 1993, issue the remaining unissued
Decade of Excellence General Obligation Bonds in the principal amount of $10,210,000 and
\\wpb-srv0BSANFORDSL399705v05\I 1/25/02\16787 011000 2 Resolution No. 91-02
designated such bonds "City of Delray Beach, Florida General Obligation Bonds, Series 1993 A
(Decade of Excellence Program) (herein the "1993 A Bonds"); and
WHEREAS, the outstanding 1993 A Bonds and the 1993 B Bonds are herein
collectively referred to as the "Refunded Bonds"; and
WHEREAS, the Commission hereby determines it to be in the best financial and
economic interest of the City to issue its City of Delray Beach, Florida, General Obligation
Refunding Bonds, Series 2002 (Decade of Excellence Program) (the "Bonds"), in the initial
aggregate principal amount of not exceeding $18,000,000 to pay and defease the Refunded
Bonds; and
WHEREAS, effective July 3, 1995, Rule 15c2-12 of the Securities and Exchange
Commission (the "Rule"), provides that it is unlawful for a broker dealer or municipal securities
dealer to purchase or sell municipal securities, which includes the Bonds, unless the issuer,
which includes the City, has undertaken in a written agreement (herein, the "Undertaking") to
provide to specified information repositories annual financial information and operating data
relevant to the municipal securities and notice of certain specified material events; and
WHEREAS, the Commission hereby determines to provide its Undertaking with respect
to the Bonds in this Resolution; and
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE
CITY OF DELRAY BEACH, FLORIDA:
SECTION 1. DEFINITIONS. That, in addition to the terms defined above, as used in
this Resolution, the following terms shall have the following meanings unless the text otherwise
expressly requires:
\\wpb-srvOl\SANFORDS\399705v05\ll/25/02\16787 011000 3 Resolution No. 91-02
"Act" shall mean the Florida Constitution, Chapter 166, Florida Statutes, as
amended and supplemented, the City Charter of Delray Beach, as amended and supplemented,
and other applicable provisions of law.
"Beneficial Owner" shall mean, for purposes of Section 14 of this Resolution
only, any person which (i) has the power, directly or indirectly, to vote or consent with respect
to, or to dispose of ownership of, any Bonds (including persons holding Bonds through
nominees, depositories or other intermediaries), or (ii) is treated as the owner of any Bonds for
federal income tax purposes.
"Bond Insurance Policy" shall mean an insurance policy issued for the benefit of
the Holders of any Bonds, pursuant to which the Bond Insurer shall be obligated to pay when due
the principal of and interest on such Bonds to the extent of any deficiency in the amounts in the
funds and accounts held under this Resolution, in the manner and in accordance with the terms
provided in such Bond Insurance Policy.
"Bond Insurer" shall mean
successors.
the issuer of a Bond Insurance Policy and its
"Bondholder" or "Holder of Bonds" or "Owner" or any similar term, shall mean
any person who shall be the registered owner of any Bond or Bonds Outstanding under the terms
of this Resolution.
"Bonds" shall mean the not exceeding in initial aggregate principal amount
$18,000,000 General Obligation Refunding Bonds, Series 2002 (Decade of Excellence Program),
authorized to be issued pursuant to this Resolution.
"Code" shall mean the Internal Revenue Code of 1986, as amended, and all
subsequent tax legislation duly enacted by the Congress of the United States.
\\wpb-srv01\SANFOROS\399705v05\l 1/25/02\16787 011000 4 Resolution No. 91-02
"Defeasance Obligations" shall mean to the extent permitted by law:
(a) U.S. Obligations;
(b) Any bonds or other obligations of any state of the United States of
America or of any agency, instrumentality or local governmental unit of any such state (i) which
are not callable prior to maturity or as to which irrevocable instructions have been given to the
trustee of such bonds or other obligations by the obligor to give due notice of redemption and to
call such bonds for redemption on the date or dates specified in such instructions, (ii) which are
secured as to principal and interest and redemption premium, if any, by a fund consisting only of
cash or bonds or other obligations of the character described in clause (a) hereof which fund may
be applied only to the payment of such principal of and interest and redemption premium, if any,
on such bonds or other obligations on the maturity date or dates thereof or the redemption date or
dates specified in the irrevocable instructions referred to in subclause (i) of this clause (b), as
appropriate, and (iii) as to which the principal of and interest on the bonds and obligations of the
character described in clause (a) hereof which have been deposited in such fund along with any
cash on deposit in such fund are sufficient to pay principal of and interest and redemption
premium, if any, on the bonds or other obligations described in this clause (b) on the maturity
date or dates thereof or on the redemption date or dates specified in the irrevocable instructions
referred to in subclause (i) of this clause (b), as appropriate;
(c) Evidences of indebtedness issued by the Federal Home Loan Banks,
Federal Home Loan Mortgage Corporation (including participation certificates), Federal
Financing Banks, or any other agency or instrumentality of the United States of America created
by an act of Congress provided that the obligations of such agency or instrumentality are
unconditionally guaranteed by the United States of America or any other agency or
\\wpb-srv01\SANFORDSk399705v05\l 1/25/02\16787 011000 5 Resolution No. 91-02
instrumentality of the United States of America or of any corporation wholly-owned by the
United States of America; and
(d) Evidences of ownership of proportionate interests in future interest and
principal payments on obligations described in (a) held by a bank or trust company as custodian.
"Escrow Deposit Agreement" shall mean the Escrow Deposit Agreement, entered
into by and between the City and a bank or trust company or national banking association, as
trustee and escrow agent, to be hereafter designated by subsequent proceedings of the
Commission, in connection with the refunding of the Refunded Bonds.
"NRMSIR" shall mean any Nationally Recognized Municipal Securities
Information Repository for purposes of the Rule. The NRMSIRs currently approved by the
Securities and Exchange Commission as of the date of adoption of this Resolution are as follows:
Bloomberg Municipal Repositories
P.O. Box 840
Princeton, NJ 08542-0840
Phone: (609) 279-3225
Fax: (609) 279-5962
Intemet: Munis~Bloomberg.com
DPC Data Inc.
One Executive Drive
Fort Lee, NJ 07024
Phone: (201) 346-0701
Fax: (201) 947-0107
Intemet: Nrmsir~dpcdata.com
Interactive Data
Attn: Repository
100 Williams Street
New York, NY 10038
Phone: (212) 771-6899
Fax: (212) 771-7390
E-mail: NRMSIR~interactivedata. com
\\wpb-srv01\SANFORDS\399705v05\l 1/25/02\16787'011000 6 Resolution No. 91-02
Standard & Poor's J. J. Kenny Repository
55 Water Street
New York, NY 10041
Phone: (212) 438-4595
Fax: (212) 438-3975
E-mail: nnnsir_repository~sandp.com
"Outstanding" shall mean, when used with reference to the Bonds, as of any
particular date, all Bonds theretofore, or thereupon being, authenticated and delivered by the
Registrar under this Resolution, except (i) Bonds theretofore or thereupon cancelled by the
Registrar or surrendered to the Registrar for cancellation; (ii) Bonds with respect to which all
liability of the City shall have been discharged in accordance with Section 13.D of this
Resolution; (iii) Bonds in lieu of or in substitution for which other Bonds shall have been
authenticated and delivered by the Registrar pursuant to any provision of this Resolution; (iv)
Bonds cancelled after purchase in the open market or because of payment at, or redemption prior
to maturity; and (v) Bonds held by the City.
"Paying Agent" shall mean the bank or trust company and any successor bank or
trust company appointed by the Commission to act as Paying Agent hereunder.
"Permitted Investments" shall mean (i) U. S. Obligations, and (ii) all other
investments permitted under the laws of Florida and acceptable to the Bond Insurer, if any.
"Registrar" shall mean the bank or trust company and any successor bank or trust
company appointed by the Commission to act as Registrar hereunder.
"Tax Certificate" shall mean the Arbitrage Certificate executed by the City on the
date of initial issuance and delivery of the Bonds, as such Tax Certificate may be amended from
time to time, a source of guidance for achieving compliance with the Code.
"U. S. Obligations" shall mean the direct obligations of, or obligations the timely
payment of principal of and interest on which are unconditionally guaranteed by, the United
\\wpb-srv01~SANFORDS~399705v05\l 1/25/02\16787 011000 7 Resolution No. 91-02
States of America, and, if determined by subsequent proceedings of the Commission, certificates
which evidence ownership of the right to the payment of the principal of, or interest on, such
obligations.
Words of the masculine gender shall be deemed and construed to include correlative
words of the feminine and neuter genders. Words importing the singular number shall include
the plural number and vice versa unless the context shall otherwise indicate. The word "person"
shall include corporations; associations, natural persons and public bodies unless the context
shall otherwise indicate. Reference to a person other than a natural person shall include its
successors.
SECTION 2. FINDINGS.
A. That it is necessary, advantageous, desirable and in the best interests of the
City and its residents that the Bonds be issued to accomplish the payment and defeasance of the
Refunded Bonds.
B. That for the payment and defeasance of the Refunded Bonds, the City
shall deposit a portion of the proceeds derived from the sale of the Bonds in an escrow deposit
trust fund, which together with other available funds, if any, and the income and earnings derived
from the investment thereof shall be sufficient to pay and defease the Refunded Bonds, as the
same become due and payable or are redeemed prior to maturity in accordance with the
proceedings which authorized their issuance, all as provided in this Resolution and the Escrow
Deposit Agreement.
C. That the Bonds may be issued either all at one time or in part from time to
time as the Commission may in its discretion hereafter determine by subsequent resolution.
\\wpb-srv01\SANFOROS~399705v05\l 1/25/02\16787 011000 8 Resolution No. 91-02
SECTION 3. AUTHORITY OF THIS RESOLUTION. This Resolution is adopted
pursuant to the Act.
SECTION 4. RESOLUTION CONSTITUTES CONTRACT. In consideration of the
acceptance of the Bonds, authorized to be issued hereunder by those who shall hold the same
from time to time, the Resolution shall be deemed to be and shall constitute a contract between
the City and such Bondholders, and the covenants and agreements herein set forth to be
performed by the City shall be for the equal benefit, protection and security of the Holders of any
and all of such Bonds, all of which shall be of equal rank and without preference, priority, or
distinction of any of the Bonds over any other thereof except as expressly provided therein and
herein.
SECTION 5. AUTHORIZATION AND DESCRIPTION OF BONDS. Subject and
pursuant to the provisions of this Resolution, Bonds of the City to be known as "General
Obligation Refunding Bonds, Series 2002 (Decade of Excellence Program)," are hereby
authorized to be issued in the initial aggregate principal amount of not exceeding Eighteen
Million Dollars ($18,000,000) for the purpose of the payment and defeasance of the Refunded
Bonds pursuant to the provisions of this Resolution and the Escrow Deposit Agreement and to
pay the cost of' issuance of the Bonds. The Bonds shall be issued in registered form, shall be in
the denomination of $5,000 each, or any integral multiple thereof, and shall be numbered
separately and consecutively upward. The Bonds shall be designated "General Obligation
Refunding Bonds, Series 2002 (Decade of Excellence Program)," with such other designation
deemed appropriate and determined by subsequent proceeding of the Commission, shall bear
interest at not exceeding the maximum rate or rates permitted by law, payable by check or draft
made payable to the Holder of Bonds and mailed to the address of such Holder of Bonds as such
\\wpb-$rv01\SANFORDSX399705v05\I 1/25/02\16787 011000 9 Resolution No. 91-02
name and address shall appear on the registration books of the City maintained by the Registrar
at the close of business on the fifteenth day of the calendar month preceding each interest
payment date or on the date the principal sum of any Bond is paid (herein, the "Record Date");
provided, however, that payment of interest on the Bonds may, at the option of any Holder of
Bonds in an aggregate principal amount of at least $1,000,000, be transmitted by wire transfer to
the designated account number of such Holder of any Bonds within the continental United States
on file with the Paying Agent as of the Record Date. The Bonds may be issued as either serial
Bonds or term Bonds or any combination thereof. The Bonds authenticated prior to the first
interest payment date shall be dated and bear interest from the date determined by subsequent
proceedings of the Commission. Bonds authenticated on or subsequent to the first interest
payment date shall be dated as of the date of their registration and shall bear interest as of the
interest payment date immediately preceding the date of registration, unless such date of
registration shall be an interest payment date, in which case, such Bonds shall bear interest from
such date of registration, or if registered during the period from a Record Date preceding an
interest payment date to such interest payment date, then from such interest payment date if
interest is then paid, as the case may be; provided, however, that if and to the extent there is a
default in the payment of the interest due on such interest payment date, such defaulted interest
shall be paid to the persons in whose name Bonds are registered on the registration books of the
City maintained by the Registrar at the close of business on the fifteenth day prior to a
subsequent interest payment date established by notice mailed by the Registrar to the registered
owner not less than the tenth day preceding such subsequent interest payment date, such interest
shall be payable semiannually of each year, and shall mature in such years and amounts, all as
shall be determined by subsequent proceedings of the Commission. In the event any payment of
\\wpb-srv01\SANFORDSX399705v05\I 1/25/02\16787 011000 10 Resolution No. 91-02
interest or of interest and principal on the Bonds shall not be paid when due, the amount so in
default shall continue to bear interest to the extent permitted by law from the date such payment
became due until payment thereof at the rate set forth on the face of each Bond. Such Bonds
shall mature in such amounts and at such times not exceeding forty (40) years from the date of
issuance of the Refunded Bonds, and shall be payable and registrable at such place or places
within or out of the State of Florida as shall hereafter be determined by subsequent proceedings
of the Commission.
SECTION 6. REDEMPTION PROVISIONS. The Bonds may be subject to
redemption prior to maturity at such times, at such redemption prices and upon such terms as
shall be determined by subsequent proceedings of the Commission.
SECTION 7. EXECUTION OF BONDS. That the Bonds shall be executed in the
name of the City by the Mayor, and the official seal of the City shall be affixed thereto or
lithographed, impressed, imprinted or otherwise reproduced thereon and attested by the City
Clerk, or in such manner as may be permitted by law. The signatures of the Mayor or the City
Clerk on the Bonds may be manual or facsimile signature. In case any one or more of the officers
who shall have signed or sealed any of the Bonds shall cease to be such officer before the Bonds
so signed and sealed have been actually sold and delivered, such Bonds may nevertheless be sold
and delivered as herein provided and may be issued as if the person who signed or sealed such
Bonds had not ceased to hold such office. Any of the Bonds may be signed and sealed on behalf
of the City by such person as at the actual time of execution of such Bonds shall hold the proper
office, although at the date of such Bonds such person may not have held such office or may not
have been so authorized.
\\wpb-srv01\SANFORDS\399705v05\l 1/25/02\16787 011000 1 1 Resolution No. 91-02
The Bonds shall bear thereon a certificate of registration and authentication, in the form
set forth in Section 1 0 hereof, executed manually by the Registrar. Only such Bonds as shall bear
thereon such certificate of registration and authentication shall be entitled to any right or benefit
under this Resolution and no Bond shall be valid or obligatory for any purpose until such
certificate of registration and authentication shall have been duly executed by the Registrar. Such
certificate of the Registrar upon any Bond executed on behalf of the City shall be conclusive
evidence that the Bond so authenticated has been duly registered and authenticated and delivered
under this Resolution and that the holder thereof is entitled to the benefits of this Resolution.
SECTION 8. NEGOTIABILITY, REGISTRATION AND CANCELLATION. At
the option of the registered holder of any Bond and upon surrender thereof at the designated
corporate trust office of the Registrar, with a written instrument of transfer satisfactory to the
Registrar duly executed by the registered holder of a Bond or his duly authorized attorney and
upon payment by such holder of any charges which the Registrar or the City may make as
provided in this Section, the Bonds may be exchanged for Bonds of the same series and maturity
of any other authorized denominations.
The Registrar shall keep books for the registration of Bonds and for the registration of
transfers of Bonds. The Bonds shall be transferable by the registered holder thereof in person or
by his attorney duly authorized in writing only upon the books of the City kept by the Registrar
and only upon surrender thereof together with a written instrument of transfer satisfactory to the
Registrar duly executed by the registered holder or his duly authorized attorney. Upon the
transfer of any such Bond, the City shall issue in the name of the transferee a new Bond or
Bonds.
\\wpb-srv01\SANFORDS\399705v05\l 1/25/02\16787 0 ! 1000 1 2 Resolution No. 91-02
The City, the Registrar and the Paying Agent shall deem and treat the person in whose
name any Bond shall be registered upon the books kept by the Registrar as the absolute holder of
such Bond, whether such Bond shall be overdue or not, for the purpose of receiving payment of,
or on account of, the principal of, premium, if any, and interest on such Bond as the same.
become due and for all other purposes. All such payments so made to any such holder or upon
his order shall be valid and effectual to satisfy and discharge the liability upon such Bond to the
extent of the sum or sums so paid, and neither the City, the Registrar nor the Paying Agent shall
be affected by any notice to the contrary.
In all cases in which the privilege of exchanging Bonds or transferring Bonds is
exercised, the City shall execute and the Registrar shall authenticate and deliver Bonds in
accordance with the provisions of this Resolution. All Bonds surrendered in any such exchanges
or transfers shall forthwith be delivered to the Registrar and cancelled by the Registrar in the
manner provided in this Section. There shall be no charge for any such exchange or transfer of
Bonds, but the City or the Registrar may require the payment of a sum sufficient to pay any tax,
fee or other governmental charge required to be paid with respect to such exchange or transfer.
Neither the City nor the Registrar shall be required (a) to transfer or exchange Bonds for a period
commencing on the Record Date and ending on the next ensuing interest payment date for such
Bonds or 15 days next preceding any selection of Bonds to be redeemed or thereafter until after
the mailing of any notice of redemption; or (b) to transfer or exchange any Bonds called for
redemption. However, if less than all of a Bond is redeemed or defeased, the City shall execute
and the Registrar shall authenticate and deliver, upon the surrender of such Bond, without charge
to the Bondholder, for the unpaid balance of the principal amount of such Bond so surrendered, a
registered Bond in the appropriate denomination.
\\wpb-srv01\SANFORDS\399705v05\l 1/25/02\16787 011000 1 3 Resolution No. 91-02
All Bonds paid or redeemed, either at or before maturity shall be delivered to the
Registrar when such payment or redemption is made, and such Bonds, together with all Bonds
that may be purchased by the City, shall thereupon be promptly cancelled. Bonds so cancelled
may at any time be destroyed by the Registrar, who shall execute a certificate of destruction in
duplicate by the signature of one of its authorized officers describing the Bonds so destroyed,
and one executed certificate shall be filed with the City and the other executed certificate shall be
retained by the Registrar.
SECTION 9. BONDS MUTILATED, DESTROYED, STOLEN OR LOST. In case
any Bond shall become mutilated, destroyed, stolen or lost, the City may execute and the
Registrar shall authenticate and deliver a new Bond of like date, maturity, denomination and
interest rate as the Bond so mutilated, destroyed, stolen or lost; provided that, in the case of any
mutilated Bond, such mutilated Bond shall first be surrendered to the City and, in the case of any
lost, stolen or destroyed Bond, there shall first be furnished to the City and the Registrar
evidence of such loss, theft, or destruction satisfactory to the City and the Registrar, together
with indemnity satisfactory to them. In the event any such Bond shall be about to mature or have
matured or have been called for redemption, instead of issuing a duplicate Bond, the City may
pay the same without surrender thereof. The City and the Registrar may charge the holder of
such Bond their reasonable fees and expenses in connection with this transaction. Any Bond
surrendered for replacement shall be cancelled in the same manner as provided in Section 8 of
this Resolution.
Any such duplicate Bonds issued pursuant to this Section shall constitute additional
contractual obligations on the part of the City, whether or not the lost, stolen or destroyed Bonds
be at any time found by anyone, and such duplicate Bonds shall be entitled to equal and
\\wpb-srv01\SANFORDSX399705v05\l 1/25/02\16787 011000 14
Resolution No. 91-02
proportionate benefits and rights as to lien on and source and security for payment with all other
Bonds issued hereunder.
SECTION 10. FORM OF BONDS. The text of the Bonds shall be of substantially the
following tenor, with such omissions, insertions and variations as may be necessary and
desirable:
~\wpb-srv01XSANFORDSk399705v05\l 1/25/02\16787 011000 1 5 Resolution No. 91-02
(Face of Bond)
No.
UNITED STATES OF AMERICA
STATE OF FLORIDA
PALM BEACH COUNTY
CITY OF DELRAY BEACH
GENERAL OBLIGATION REFUNDING BOND
SERIES 2002
(Decade of Excellence Program)
Interest Rate Maturity Date Dated Date CUSIP
$ ,000
Registered Owner:
Principal Amount:
KNOW ALL MEN BY THESE PRESENTS, that City of Delray Beach, Florida, a
municipal corporation created and existing under and by virtue of the laws of the State of Florida
(the "City"), hereby acknowledges itself to be indebted, and for value received, hereby promises
to pay the Registered Owner or registered assigns on the Maturity Date specified above, from the
sources hereinafter mentioned, upon the presentation and surrender hereof at the designated
corporate trust office of as paying agent (said
and any bank or trust company becoming successor paying agent
being herein called the "Paying Agent"), the Principal Amount stated above together with
interest thereon at the Interest Rate payable on the first day of and of
each year commencing Interest on this Bond (except for Holders of at least $1,000,000 in
aggregate principal amount of bonds, who may receive payment of interest by wire transfer in
\\wpb-srv01\SANFORDS~399705v05\l 1/25/02\16787 011000 1 6 Resolution No. 91-02
the manner provided in the herein referred to Resolution) is payable by check or draft of the
Paying Agent made payable to the Registered Owner and mailed to the address of the Registered
Owner as such name and address shall appear on the registration books of the City initially
maintained by ., as registrar (said and any bank
or trust company becoming successor registrar being herein called the "Registrar") at the close of
business on the fifteenth day of the calendar month preceding each interest payment date or the
date on which the principal of a Bond is to paid (the "Record Date"); provided, however, that if
and to the extent there is a default in the payment of the interest due on such interest payment
date, such defaulted interest shall be paid to the persons in whose name Bonds are registered on
the registration books of the City maintained by the Registrar at the close of business on the
fifteenth day prior to a subsequent interest payment date established by notice mailed by the
Registrar to the registered owner not less than the tenth day preceding such subsequent interest
payment date. Such, interest shall be payable from the most recent interest payment date next
preceding the date of registration to which interest has been paid, unless the date of registration
is an 1 or 1 to' which interest has been paid, in which case from the
date of registration, or unless the date of registration is prior to ,2002, in which
case from ., 2002, or unless the date of registration is between a Record Date and
the next succeeding interest payment date, in which case from such interest payment date. The
Principal Amount and accrued interest thereon is payable in any coin or currency of the United
States of America, which, on the date of payment thereof, shall be legal tender for the payment
of public and private debts.
This bond is one of an issue of bonds in the aggregate principal amount of not exceeding
$ , of like date, tenor and amount, except as to the number, date of maturity and
\\wpb-srv01\SANFORDS\399705v05\l 1/25/02\16787 011000 1 7 Resolution No. 9 1-02
interest rate, issued by Delray Beach, Florida, for the purpose of paying and defeasing all or a
portion of the City's General Obligation Bonds, Series 1993 A (Decade of Excellence Program)
and the City's General Obligation Refunding Bonds, Series 1993 B (Decade of Excellence
Program), under the authority of and in full compliance with the Constitution and statutes of the
State of Florida, including Chapter 166, Florida Statutes, as amended and supplemented, the City
Charter of Delray Beach, as amended and supplemented, and other applicable provisions of law
and pursuant to a resolution (the "Resolution") duly adopted by the City Commission of Delray
Beach, Florida, authorizing the issuance of the bonds.
Reference is hereby made to the further provisions of this bond set forth on the reverse
side hereof and such further provisions shall for all other purposes have the same effect as if set
forth on the front side hereof.
It is hereby certified and recited that all acts, conditions and things required to exist, to
happen and to be performed precedent to and in the issuance of this bond, exist, have happened
and have been performed in regular and due form and time as required by the laws and
Constitution of the State of Florida applicable thereto, and that the issuance of this bond and of
the bonds of the issue of which this bond is one does not violate any constitutional or statutory
debt limitation or provision; that due provision has been made for the levy and collection of a
direct annual tax in addition to all other taxes, upon all the taxable property within the City
sufficient to pay the principal of and interest on safd bonds as the same shall mature and become
due, and that the full faith and credit of Delray Beach, Florida, are hereby irrevocably pledged
for the punctual payment of the principal of and interest on this bond, as the same shall become
due and payable.
\\wpb-srv01\SANFORDS\399705v05\l 1/25/02\16787 011000 1 8 Resolution No. 91-02
IN WITNESS WHEREOF, Delray Beach, a municipal corporation of the State of
Florida, has caused this bond to be signed by its Mayor either manually or with his facsimile
signature, and the seal of said City or a facsimile thereof, to be affixed hereto, or lithographed,
impressed, imprinted or otherwise reproduced hereon, attested by the City Clerk of said City-
either manually or with her facsimile signature, all as of the Dated Date.
(SEAL) CITY OF DELRAY BEACH, FLORIDA
ATTEST:
Mawr
City Clerk
\\wpb-srv01\SANFORDSk399705v05\l 1/25/02\16787 011000 1 9 Resolution No. 91-02
(FORM OF CERTIFICATE OF REGISTRATION AND AUTHENTICATION)
This bond is one of the bonds delivered pursuant to the within mentioned Resolution of
the City Commission of Delray Beach, Florida.
Date of
Authentication:
as Registrar
By:
Authorized Officer
\\wpb-srv01\SANFORDS\399705v05\l 1/25/02\16787 01 I000 20 Resolution No. 91-02
(Back of Bond)
(Insert Applicable Redemption Provisions)
The original registered owner, and each successive registered owner of this bond shall be
conclusively deemed to have agreed and consented to the following terms and conditions:
(1) The Registrar shall keep books for the registration of bonds and for the
registration of transfers of bonds as provided in the Resolution. The bonds shall be transferable
by the registered owner thereof in person or by his attorney duly authorized in writing only upon
the books of the City kept by the Registrar and only upon surrender hereof together with a
written instrument of transfer satisfactory to the Registrar duly executed by the registered owner
or his duly authorized attorney. Upon the transfer of any such bond, the City shall issue in the
name of the transferee a new bond or bonds.
(2) The City, the Paying Agent and the Registrar shall deem and treat the person in
whose name any bond shall be registered upon the books kept by the Registrar as the absolute
owner of such bond, whether such bond shall be overdue or not, for the purpose of receiving
payment of, or on account of, the principal of and interest on such bond as the same becomes
due, and for all other purposes. All such payments so made to any such registered owner or upon
his order shall be valid and effectual to satisfy and discharge the liability upon such bond to the
extent of the sum or sums so paid, and neither the City, the Paying Agent, nor the Registrar shall
be affected by any notice to the contrary.
(3) At the option of the registered owner thereof and upon surrender hereof at the
designated corporate trust office of the Registrar with a written instrument of transfer satisfactory
to the Registrar duly executed by the registered owner or his duly authorized attorney and upon
payment by such registered owner of any charges which the Registrar or the City may make as
\\wpb-srv01\SANFORDS\399705v05\l 1/25/02\16787 011000 2 1 Resolution No. 91-02
provided in the Resolution, the bonds may be exchanged for bonds of the same series and
maturity of any other authorized denominations.
(4) In all cases in which the privilege of exchanging bonds or transferring bonds is
exercised, the City shall execute and the Registrar shall authenticate and deliver bonds in
accordance with the provisions of the Resolution. There shall be no charge for any such
exchange or transfer of bonds, but the City or the Registrar may require payment of a sum
sufficient to pay any tax, fee or other governmental charge required to be paid with respect to
such exchange or transfer. Neither the City nor the Registrar shall be required (a) to transfer or
exchange bonds for a period commencing on a Record Date and ending on the next ensuing
interest payment date for such bonds or 15 days next preceding any selection of bonds to be
redeemed or thereafter until after the mailing of any notice of redemption; or (b) to transfer or
exchange any bonds called for redemption. However, if less than all of a Bond is redeemed or
defeased, the City shall execute and the Registrar shall authenticate and deliver, upon the
surrender of such Bond, without charge to the Bondholder, for the unpaid balance of the
principal amount of such Bond so surrendered, a registered Bond in the appropriate
denomination.
This Bond shall not be valid or become obligatory for any purpose or be entitled to any
security or benefit under the Resolution until the certificate of registration and authentication
hereon shall have been signed by an authorized officer of the Registrar.
\\wpb-srv01~SANFORDS~399705v05\l 1/25/02\16787 0110(K} 22 Resolution No. 91-02
ASSIGNMENT AND TRANSFER
FOR VALUE RECEIVED the undersigned sells; assigns and transfers unto
(please print or typewrite name and address of transferee)
the within bond and all fights thereunder, and hereby irrevocably constitutes and appoints
Attorney to transfer the within' bond on the books kept for registration thereof, with full power
of substitution in the premises.
Dated:
In the presence off
\\wpb-srv01\SANFORDS~399705v05\l 1/25/02\16787 011000 23 Resolution No. 91-02
SECTION 11. APPLICATION OF BOND PROCEEDS. The accrued interest derived
from the sale of the Bonds, if any, shall be deposited in the Interest Account, hereinafter created
and established and used for the purpose of paying the interest on the Bonds as the same
becomes due and payable.
From the proceeds of the sale of the Bonds an amount which together with any other
moneys lawfully available therefor, if any, shall be deposited in one or more escrow deposit trust
funds to be held by a bank or trust company, as trustee and escrow agent, under the terms and
provisions of the Escrow Deposit Agreement and such proceeds shall be held irrevocably in trust
in such escrow deposit trust fund(s) under the terms and provisions of the Escrow Deposit
Agreement; such moneys (except for any open cash balances) shall be invested at the time of
deposit in U. S. Obligations, which U. S. Obligations and all investment earnings thereon,
together with such cash balances, shall provide moneys which will be sufficient to pay the
Refunded Bonds in the manner provided-in the resolutions authorizing the issuance of the
Refunded Bonds and the Escrow Deposit Agreement.
The remaining proceeds of such sale shall be deposited in a Costs of Issuance Cost
Account, hereby created and established, to be held by the City and used for the purpose of
paying any legal expenses, expenses for fiscal agents or financial services, the costs associated
with the purchase and subsequent management of the U.S. Obligations, expenses in connection
with the performance of the duties of the escrow agent under the provisions of the Escrow
Deposit Agreement and such other expenses as may be necessary or incidental and incurred by
the City in connection with the issuance of the Bonds.
The proceeds of the sale of the Bonds (other than amounts deposited in the Escrow
Deposit Agreement) shall be and constitute trust funds for the purposes hereinabove provided
\\wpb-srv01\SANFORDS~399705~05\I 1/25/02\16787 011000 24 Resolution No. 91-02
and there is hereby created a lien upon such moneys, until so applied, in favor of the Holders of
said Bonds.
SECTION 12. SECURITY FOR THE BONDS. That in each year while any of the
Bonds are outstanding and unpaid, there shall be levied and collected a tax on all the taxable
property within the City sufficient to pay the interest on the Bonds as it becomes due, and to
provide for the payment of the principal and redemption premium, if any, of said Bonds at their
maturity or earlier redemption, and the City is, and shall be irrevocably and unconditionally
obligated to levy and collect such ad valorem taxes without limitation as to rate or amount on all
the taxable property within the City, sufficient in amount to pay all principal of, redemption
premium, if any, and interest on said Bonds, as the same shall become due.
SECTION 13. COVENANTS OF THE CITY. As long as any of the principal of or
interest on any of the Bonds shall be Outstanding and unpaid, or until there shall have been set
apart in the Sinking Fund, consisting of the Interest Account and Principal Account, herein
created and established, a sum sufficient to pay, when due, the entire principal of the Bonds
remaining unpaid, together with interest accrued and to accrue thereon, or until the provisions of
Section 13.D of this Resolution have been complied with, the City covenants with the Holders of
any and all of the Bonds issued pursuant to the Resolution as follows:
A. TAX COVENANT.
1. The City covenants to comply with each requirement of the Code, and any
successor provisions thereto, necessary to maintain the exclusion of the interest on the Bonds
from gross income for Federal income tax purposes pursuant to Section 103(a) of the Code. In
furtherance of the covenant contained in the preceding sentence, the City agrees to comply with
the provisions of the Tax Certificate.
, \\wpb-srv01\SANFORDSX399705v05\l 1/25/02\16787 011000 25 Resolution No. 91-02
2. The City shall make any and all payments required to be made to the
United States Department of the Treasury in connection with the Bonds pursuant to Section
148(0 of the Code from amounts on deposit in the fund and accounts established under this
Resolution and available therefor.
3. Notwithstanding any other provision of this Resolution to the contrary, as
long as necessary in order to maintain the exclusion of interest on the Bonds from gross income
for federal income tax purposes, the covenants contained in this Section shall survive the
payment of the Bonds, including any payment or defeasance thereof pursuant to Section 13.D bf
this Resolution.
B. AD VALOREM TAX. In each year, while any of the Bonds are
outstanding and unpaid, the City covenants that there shall be levied and collected a tax on all the
taxable property within the City sufficient to pay the interest on the Bonds as it becomes due, and
to provide for the payment of the principal of said Bonds and redemption premium, if any, when
due and payable, and the City is, and shall be irrevocably and unconditionally obligated to levy
and collect such ad valorem taxes without limitation as to rate or amount on all the taxable
property within the City, sufficient in amount to pay all principal of and redemption premium, if
any, and interest on said Bonds as the same shall become due and payable.
C. CREATION AND ESTABLISHMENT OF A SINKING FUND AND
VARIOUS ACCOUNTS AND THE DISPOSITION OF MONEYS. There are hereby created
and established the following fund and accounts:
THE "SINKING FUND"
All of the moneys raised by the City from the ad valorem taxes on the taxable property
within the City for the purpose of paying the principal of and redemption premium, if any, and
\[wpb-srv01\SANFORDS\399705v05\l 1/25/02\16787 011000 26 Resolution No. 91-02
interest on the Bonds herein authorized shall be deposited by the City in a special fund to be
known as the "Sinking Fund" which is hereby created and established. The moneys in said
Sinking Fund shall be used solely for the payment of the principal of and redemption premium, if
any, and interest on said Bonds as the same become due and payable and the registered owners
of said Bonds shall have a first lien on all such moneys in the Sinking Fund until paid and
applied in the manner permitted in this Resolution.
There are also hereby created and established two (2) separate accounts in the Sinking
Fund to be known as the "Interest Account" and the "Principal Account."
The moneys at any time on deposit in the Sinking Fund disposed of only in the following
manner:
1.
Moneys shall first be used; to the full extent necessary, for deposit into the
Interest Account in the Sinking Fund to pay interest becoming due on the Bonds 'on the next
semiannual interest payment date; provided, however, that deposits for interest shall not be
required to be made into the Interest Account to the extent that money on deposit therein is
sufficient for such purpose.
2. Moneys shall next be used, to the full extent necessary, for deposit into the
Principal Account in the Sinking Fund to provide for the required principal amount maturing and
becoming due on the next principal payment date; provided, however, that deposits for principal
shall not be required to be made into the Principal Account to the extent that money on deposit
therein is sufficient for such purpose.
The City shall, to the extent of any moneys in any term Bond subaccount within
the Principal Account, be mandatorily obligated to use such moneys for the redemption
\Xwpb-srv01\SANFORDS\399705v05\I 1/25/02\16787 011000 27 Resolution No. 91-02
discharged and extinguished, and the Holders thereof shall be entitled for payment solely out of
the moneys or securities so deposited.
Notwithstanding the foregoing, in the event that the payment or deposit in the mount
and manner provided in this Resolution has been made by the Bond Insurer, if any, under the
terms of a Bond Insurance Policy, the Bond Insurer shall be subrogated to the rights of the
Holders of the Bonds, and the liability of the City, with respect thereto, shall not be discharged or
extinguished.
Notwithstanding any provisions contained in this Section 13.D to the contrary, the City
may, with an opinion of nationally recognized bond counsel, purchase such Bonds that have been
deemed discharged and satisfied within the meaning of this Section 13.D and thereby be
permitted to use such excess moneys, resulting from such purchase, free and clear of any trust,
lien, security interest, pledge or assignment securing said Bonds.
SECTION 14. RULE 15C2-12 UNDERTAKING. That in order to assist the
initial purchasers of the Bonds with respect to compliance with the Rule, the City undertakes and
agrees to provide the information described below to the persons so indicated. The City's
Undertaking set forth in this Section 14 shall be for the benefit of the registered owners and
Beneficial Owners of the Bonds.
A. The City undertakes and agrees to provide to each NRMSIR and to the
State of Florida information depository (herein, the "SID") if and when such a SID is created (i)
the City's general purpose financial statements generally consistent with the financial statements
presented in Appendix B to the official statement relating to the Bonds (herein the "Official
Statement"), and (ii) the information concerning the ad valorem tax collections within the City
generally consistent with the information set forth in the Official Statement under the heading
\\wpb-srv01~SANFORDS\399705v05\! 1/25/02\16787 011000 30 Resolution No. 91-02
"SECURITY FOR THE SERIES 2002 BONDS." The information referred to in clauses (i) and
(ii) is herein collectively referred to as the "Annual Information."
B. The Annual Information described in clause (i) of paragraph A above in
audited form (for as long as the City provides such financial information in audited form) is
expected to be available on or before March 31 of each year for the Fiscal Year ending on the
preceding September 30, commencing March 31, 2003 for the Fiscal Year ending on the
preceding September 30, 2002. The Annual Information referred to in clause (i) of paragraph A
above in unaudited form (if the audited financial statements are not available or if the City no
longer provides such financial information in audited form) will be available on or before
March 31 for the Fiscal Year ending on the preceding September 30. The City also agrees to
provide the Annual Information to each registered owner and Beneficial Owner of the Bonds
who request such information and pays to the City its costs of reproduction and transmission of
such Annual Information. The City agrees to provide to each NRMSIR and the SID, if any,
timely notice of its failure to provide the Annual Information. Such notice shall also indicate the
reason for such failure and when the City reasonably expects such Annual Information will be
available.
C. The Annual Information referred to in clause (i) of paragraph A above and
presented as an appendix to the Official Statement has been prepared in accordance with
governmental accounting standards promulgated by the Government Accounting Standards
Board, as in effect from time to time, as such principles are modified by generally accepted
accounting principles, promulgated by the Financial Accounting Standards Board, as in effect
from time to time, and such other State mandated accounting principles as in effect from time
to time.
\\wpb-srv01\SANFORDS\399705v05\l 1/2S/02\16787 011000 3 1 Resolution No. 91-02
D. If, as authorized by paragraph F below, the City's undertaking with
respect to paragraph C above requires amending, the City undertakes and agrees that the Annual
Information described in clause (i) of paragraph A above for the Fiscal Year in which the
amendment is made will, to the extent possible, present a comparison between the Annual
Information prepared on the basis of the new accounting principles and the Annual Information
prepared on the basis of the accounting principles described in paragraph C above. The City
agrees that such a comparison will, to the extent possible, include a qualitative discussion of the
differences in the accounting principles and the impact of the change on the presentation of the
Annual Information.
E. The City undertakes and agrees to provide, in a timely manner, to each
NRMSIR or to the Municipal Securities Rulemaking Board and to the SID, if any, notice of the
occurrence of any of the following events with respect to the Bonds, if material:
2.
3.
4.
o
o
principal and interest payment delinquencies;
non-payment related defaults;
unscheduled draws on any reserve account reflecting financial difficulties;
unscheduled draws on credit enhancements reflecting financial
difficulties;
substitution of credit or liquidity providers, or their failure to perform;
adverse tax opinions or events affecting the tax-exempt status of the
Bonds;
modifications to rights of Bondholders;
Bond calls (other than scheduled mandatory sinking fund redemptions);
defeasance of the Bonds;
\\wpb-srv01\SANFORDS~399705v05\l 1/25/02\16787 011000 32 Resolution No. 91-02
10. release, substitution, or sale of property securing repayment of the Bonds;
11. rating changes; and
12. any failure to comply with the provisions of this Section 14, which in all
cases, such failure will be deemed material.
Notwithstanding the foregoing, notice of the events described in clauses (8) and (9)
above need not be given any earlier than the time notice is required to be given to the registered
owners of the Bonds.
F. Notwithstanding any other provision of this Resolution or the Bond
Resolution to the contrary regarding amendments or supplements, the City undertakes and agrees
to amend and/or supplement this Section 14 (including the amendments referred to in
paragraph D above) only if:
1. The amendment or supplement is made only in connection with a change
in circumstances existing at the time the Bonds were originally issued that
arises from (i) a change in law, (ii) SEC pronouncements or
interpretations, (iii) a judicial decision affecting the Rule or (iv) a change
in the nature of the City's financial condition.
2. The City's Undertaking, as amended, would have complied with the
requirements of the Rule at the time the Bonds were originally issued after
taking into account any amendments or interpretations of the Rule, as well
as any change in circumstances; and
3. The amendment or supplement does not materially impair the interests of
the registered owners and Beneficial Owners of the Bonds as determined
by Bond Counsel or by a majority of the registered owners of the Bonds.
\\wpb-srv01\SANFORDS~399705v05\l 1/25/02\16787 011000 33 Resolution No. 91-02
In the event of an amendment or supplement under this Section 14, the City shall
describe the same in the next report of Annual Information and shall include, as applicable, a
narrative explanation of the reason for the amendment or supplement and its impact, if any, on
the financial information and operating data being presented in the Annual Information.
G. The City's Undertaking as set forth in this Section 14 shall terminate if
and when the Bonds are paid or deemed paid within the meaning of this Resolution.
H. The City acknowledges that its Undertaking pursuant to the Rule set forth
in this Section 14 is intended to be for the benefit of the registered holders and Beneficial
Owners of the Bonds and shall be enforceable by such holders and Beneficial Owners; provided
that, the holder's and Beneficial Owners' right to enforce the provisions of this Undertaking shall
be limited to a fight to obtain specific enforcement of the City's obligations hereunder, and any
failure by the City to comply with the provisions of this Undertaking shall not be or constitute a
covenant or monetary default with respect to the Bonds under this Resolution.
I. The City reserves the right to satisfy its obligations under this Section 6
through agents; and the City may appoint such agents without the necessity of amending this
Resolution. The City may also appoint one or more employees of the City to monitor and be
responsible for the City's Undertaking hereunder.
SECTION 15. MODIFICATION OR AMENDMENT. Except as otherwise provided
in the second paragraph hereof, no material modification or amendment of this Resolution, or of
any resolution amendatory thereof or supplemental thereto, may be made without the consent in
writing of the Holders of two-thirds or more in principal amount of the Bonds then Outstanding;
provided, however, that no modification or amendment shall permit a change in the maturity of
such Bonds or a reduction in the rate of interest thereon, or affecting the unconditional promise
\\wpb-srvOl\SANFORDS\399705v05\l 1/25/02\16787 011000 34 Resolution No. 91-02
of the City to levy, assess and collect an ad valorem tax without limitation as to rate or mount
upon all taxable property in the City or to pay the interest of and principal on the Bonds, as the
same mature or become due, from said ad valorem tax, or reduce the percentage of Holders of
Bonds required above for such modification or amendments, without the consent of the Holders
of all the Bonds.
This Resolution may be amended, changed, modified and altered without the consent of
the Holders of Bonds, (i) to cure any ambiguity, correct or supplement any provision contained
herein which may be defective or inconsistent with any other provisions contained herein, (ii) to
implement a book-entry system of registration, (iii) to provide other changes which will not
adversely affect the interest of such Holders of Bonds, or (iv) to amended the Undertaking
pursuant to Section 14 hereof.
For purposes of this Section 15, to the extent the Bonds are insured by a Bond Insurance
Policy and such Bonds are then rated in as high a rating category in which such Bonds were rated
at the time of initial issuance and delivery thereof, by both Standard & Poor's and Moody's
Investors Service, Inc., then the consent of the Bond Insurer may constitute the consent of the
Holders of the Bonds, provided such Bond Insurer agrees to give consent under such
circumstances and is not in default under the Bond Insurance Policy.
SECTION 1 6. SEVERABILITY OF INVALID PROVISIONS. If any one or more
of the covenants, agreements or provisions of this Resolution should be held contrary to any
express provision of law or contrary to the policy of express law, though not expressly
prohibited, or against public policy, or shall for any reason whatsoever be held invalid, then such
covenants, agreements or provisions shall be null and void and shall be deemed separate from the
\\wpb-srv01\SANFORDS\399705v05\l 1/25/02\16787 011000 35 Resolution No. 91-02
remaining covenants, agreements or provisions, and shall in no way affect the validity of any of
the other provisions of the Resolution or of the Bonds or coupons issued hereunder.
SECTION 17. SALE OF BONDS. The Bonds shall be issued and sold at one time or
from time to time, in such manner and at such price or prices consistent with the provisions of
the Act and the requirements of the Commission as shall hereafter be determined by subsequent
proceedings.
SECTION 18. REMEDIES. Any Bondholder, to the full extent permitted by the laws
of the State of Florida or the United States of America, may sue to protect and enforce any and
all legal rights; to seek the appointment of a receiver, and to enforce and compel the performance
of all duties required by this Resolution.
SECTION 19. EFFECTIVE DATE. This Resolution shall take effect upon the
passage in the manner provided by law.
Passed and adopted in regular session this 3rd day of December, 2002.
(SEAL)
CITY OF DELRAY BEACH, FLORIDA
ATTEST:
By:
City Clerk
The foregoing Resolution and bond form is
hereby approved by me as to form, language
and execution, this 3rd day of December,
2002.
By:
City Attorney
\\wpb-srv01\SANFORDS\399705v05\l 1/25/02\16787 011000 36 Resolution No. 91-02
NO. 92-02
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF DELRAY
BEACH, FLORIDA, AUTHORIZING THE NEGOTIATED SALE OF CITY OF
DELRAY BEACH, FLORIDA, GENERAL OBLIGATION REFUNDING
BONDS, SERIES 2002 (DECADE OF EXCELLENCE PROGRAM), IN THE
INITIAL AGGREGATE PRINCIPAL AMOUNT OF NOT EXCEEDING
$18,000,000; PROVIDING THE PARAMETERS BY WHICH THE FINAL
TERMS AND OTHER DETAILS OF SUCH 2002 BONDS WILL BE
ESTABLISHED, APPOINTING THE UNDERWRITER OF THE 2002 BONDS;
APPROVING THE FORM OF AND DELEGATING TO THE MAYOR OR VICE
MAYOR THE AUTHORITY TO EXECUTE AND DELIVER A PURCHASE
CONTRACT TO BE USED FOR THE SALE OF THE 2002 BONDS;
APPOINTING A PAYING AGENT AND BOND REGISTRAR; APPOINTING
AN ESCROW AGENT; APPROVING THE FORM OF AND AUTHORIZING
THE EXECUTION AND DELIVERY OF AN ESCROW DEPOSIT
AGREEMENT; AUTHORIZING THE REGISTRATION OF THE 2002 BONDS
UNDER A BOOK-ENTRY SYSTEM; APPROVING THE FORM OF A
PRELIMINARY OFFICIAL STATEMENT AND AUTHORIZING THE
EXECUTION AND DELIVERY OF AN OFFICIAL STATEMENT RELATING
TO THE 2002 BONDS; AUTHORIZING THE USE BY THE UNDERWRITER
OF THE PRELIMINARY OFFICIAL STATEMENT AND OFFICIAL
STATEMENT RELATING TO THE 2002 BONDS; APPROVING THE FORM
OF AND AUTHORIZING THE EXECUTION AND DELIVERY OF A PAYING
AGENT AND REGISTRAR AGREEMENT RELATING TO THE BONDS;
PROVIDING FOR A BOND INSURANCE POLICY FOR THE BONDS
PROVIDED BY FINANCIAL SECURITY ASSURANCE, INC.; AUTHORIZING
THE PROPER OFFICERS OF THE CITY TO DO ALL OTHER THINGS
DEEMED NECESSARY OR ADVISABLE AS TO THE SALE AND DELIVERY
OF THE BONDS; AND PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, the Commission did, on this date, adopt Resolution No. 91-02 (the
"Authorizing Resolution") authorizing the issuance of not exceeding $18,000,000 in initial
aggregate principal amount of General Obligation Refunding Bonds, Series 2002 (Decade of
Excellence Program) (the "Bonds"), for the purpose of paying and refunding the Refunded
Bonds; and
WHEREAS, any term not otherwise defined in this Resolution shall have the meaning
ascribed to such term in the Authorizing Resolution; and
\\wpb-srv01 ~SANFORDS~399665v08\l 1/26/02\16787 011000
Resolution No. 92-02
WHEREAS, the City hereby determines the parameters by which the final terms and
other details of the Bonds are to be established; and
WHEREAS, Bear Steams & Co., Inc. (the "Underwriter"), plans to submit to the City a
proposal within the parameters hereby determined in the form of a Bond Purchase Agreement
(the "Purchase Contract"), attached hereto as Exhibit A, between the Underwriter and the City to
purchase the Bonds, a copy of which is hereby furnished to each of the City Commissioners; and
WHEREAS, there have been also prepared and submitted to the City:
(a) a draft of the Preliminary Official Statement, attached hereto as Exhibit B;
(b) an Escrow Deposit Agreement (the "Escrow Deposit Agreement"),
attached hereto as Exhibit C; and
WHEREAS, the City's financial advisor has recommended the negotiated sale of the
Bonds in a letter attached hereto as Exhibit D; and
WHEREAS, based on the advice of the City's financial advisor, it is in the best interest
of the City to delegate to the Mayor or Vice Mayor the authority to execute and deliver the Bond
Purchase Contract if the final terms and other details of the Bonds are within the parameters set
forth in this Resolution and to award the Bonds to the Underwriter pursuant to a negotiated sale;
and
WHEREAS, the City's financial advisor has recommended in a letter, attached hereto as
Exhibit D, that the principal and interest on the Bonds be insured by a municipal bond insurance
policy (the "Bond Insurance Policy") to be issued by Financial Security Assurance, Inc. (the
"Bond Insurer") pursuant to the terms and provisions of the commitment of such Bond Insurer to
provide the Bond Insurance Policy attached hereto as Exhibit E (herein, the "Commitment"); and
\\wpb-$rv01\SANFORDS~399665v08\I 1/26/02\16787 011000 2 Resolution No. 92-02
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE
CITY OF DELRAY BEACH, FLORIDA, AS FOLLOWS:
SECTION 1. Definitions. That all capitalized terms used in this Resolution not
otherwise defined shall have the meanings ascribed to such terms in the Authorizing Resolutions,
as the case may be, unless the context clearly indicates otherwise.
SECTION 2. Purpose and Bond Designations. That, subject to receipt of a final offer
from the Underwriter within the parameters set forth herein, the City hereby authorizes and
determines at this time (i) to issue its not to exceed $18,000,000 in initial aggregate principal
amount of its Bonds for the purpose of paying and defeasing the Refunded Bonds, (ii) to pay the
costs of issuance of the Bonds, including paying the premium for the Bond Insurance Policy, and
(iii) to designate such Bonds, as its "General Obligation Refunding Bonds, Series 2002 (Decade
of Excellence Program) (herein, the "Bonds").
SECTION 3. DESCRIPTION OF TIlE BONDS. The Bonds shall be dated the first
day of the month the Bonds are issued or such other date, as shall be determined by the City's
financial advisor, to be in the best interest of the City, shall bear interest, payable on February 1,
2003, and semiannually thereafter on August 1 and February 1 of each year, and shall mature on
February 1 of each of the years determined by the Underwriter within the parameters set forth in
this Resolution and in the amounts and at the rates so determined by the Underwriter; provided
that the initial aggregate principal amount of the Bonds does not exceed $18,000,000 and the true
interest cost for the Bonds does not exceed five percent (5%). The Bonds may be either serial
Bonds or term Bonds or a combination thereof, provided that the last maturity of the Bonds is not
later than February 1, 2013.
~\wpb-$rv01~ANFORDS~399665v08\l 1/26/02\16787 011000 3 Resolution No. 92-02
The Bonds maturing on February 1, 2012, and thereafter are redeemable at the option of
the City from any legally available source, in part, in any order of maturity selected by the City,
at its discretion, and by lot within a maturity if less than an entire maturity is to be redeemed, on
February 1, 2011, or at any time thereafter, or as a whole, on February 1, 2011, or at any time
thereafter, in either case, at the redemption prices (expressed as percentages of the principal
amount to be redeemed) set forth below, together with accrued interest to the date fixed for
redemption:
Redemption Period
(Both dates inclusive)
February 1, 2011 to January 31, 2012
February 1, 2012 and thereafter
Redemption Price
101%
100%
Notwithstanding the foregoing, if the City's Underwriter, upon consultation with the
Finance Director of the City, determines that market conditions require different or no optional
redemption provisions for the Bonds or for certain maturities of the Bonds, such different
optional redemption provisions or the exclusion of certain or all maturities of the Bonds from
such optional redemption provisions will be deemed approved by the City upon the execution of
the Purchase Contract so long as the maximum redemption premium does not exceed 2% and the
first optional redemption period is not more than eleven (11) years from the date of issuance of
the Bonds.
That the Bonds which are term Bonds shall also be subject to mandatory sinking fund
redemption prior to maturity by lot, in such manner as the Registrar (as defined herein) may
deem appropriate, on February 1, in such years, at a price of par plus accrued interest to the date
of redemption, in the annual amounts established pursuant to the parameter set forth in Section 6
hereof.
XXW~-,rv0,~S^N~O~S~665,08X,,/:~02~,67*70~,000 4 Resolution No. 92-02
Notice of redemption of the Bonds shall be mailed, postage prepaid, by the Registrar not
less than thirty (30) days before the date fixed for redemption to the registered owners of the
Bonds or portions of Bonds which are to be redeemed, at their addresses as they appear on the
registration books kept by the Registrar fifteen (15) days prior to the date such notice is mailed.
Such notice of redemption shall set forth (i) the date fixed for redemption, (ii) the
redemption price to be paid, (iii) that such Bonds will be redeemed at the designated corporate
trust office of the Paying Agent (as herein defined), and the name, address and telephone number
of a contact person, (iv) if less than all of the Bonds shall be called for redemption, the
distinctive numbers and letters, if any, of such Bonds to be redeemed, and (v) in the case of
Bonds to be redeemed in part only, the portion of the principal amount thereof to be redeemed.
In case any Bond is to be redeemed in part only, the notice of redemption that relates to such
Bond shall state also that on or after the redemption date, upon surrender of such Bond, a new
Bond or Bonds of the same maturity, bearing interest at the same rate and in aggregate principal
amount, equal to the unredeemed portion of such Bond, will be issued. Failure of the registered
owner of any Bonds which are to be redeemed to receive any such notice shall not affect the
validity of the proceedings for the redemption of Bonds for which proper notice has been given.
Interest shall cease to accrue on any of the Bonds duly called for prior redemption if payment of
the redemption price has been duly made or provided for.
The Registrar also shall mail (by certified mail, return receipt requested) a copy of such
notice for receipt not less than the second Business Day prior to the date the notice of redemption
is mailed to the registered Holders of the Bonds to the following (or most current address): The
Depository Trust Company, 711 Stewart Avenue, Garden City, New York 11530, Fax (516) 227-
4039 or such other securities depository designated by the City; provided, however, that such
\\wpb-srv0BSANFORDS~399665v05\l 1/26/02\16787 011000 5 Resolution No. 92-02
mailing shall not be a condition precedent to such redemption and failure to mail any such notice
shall not affect the validity of any proceedings for the redemption of the Bonds. The Registrar
shall also provide notice, at the same time notice of redemption is given to the Bondholders, to
any two (2) informational services; provided, however, that such mailing shall not be a condition
precedent to such redemption and failure to mail any such notice shall not affect the validity of
any proceedings for the redemption of the Bonds.
A second notice of redemption shall be given sixty (60) days after the redemption date in
the manner required above to the registered owners of redeemed Bonds which have not been
presented for payment within thirty (30) days after the redemption date.
SECTION 4. DISCLOSURE STATEMENTS. That delivery of the completed
required disclosures and truth in bonding statements in substantially the form attached to the
Purchase Contract, by the Underwriter pursuant to Section 218.385, Florida Statutes, as amended
and supplemented, shall be a condition precedent to the execution of the Purchase Contract by
the Mayor.
SECTION $. NEGOTIATED SALE. That the Commission hereby adopts the
recommendations of the City's financial advisor, as described in a letter from the City's financial
advisor, dated the date of this Resolution and attached hereto as Exhibit D. The City hereby
finds that, due to the complicated nature of the financing and volatile market conditions, it would
be in the best interest of the City that the Bonds be sold on a negotiated basis.
SECTION 6. UNDERWRITER; PURCHASE CONTRACT; AND
PARAMETERS. That the Underwriter is hereby appointed the exclusive underwriter to sell the
Bonds on behalf of the City. The form of Purchase Contract for the Bonds, between the City and
the Underwriter, as submitted to this meeting by the Underwriter and attached hereto as Exhibit
\\wpb-srv01\SANFORDSX399665v01t\I 1/26/02\16787 011000 6 Resolution No. 92-02
A, be and the same hereby is approved. Subject to the parameters set forth below, the City
hereby delegates to the Mayor or the Vice Mayor, in the absence of the Mayor, the authority to
approve the final terms and details of the Bonds and to execute the Purchase Contract on behalf
of the City if such Purchase Contract accurately reflects such terms and details. Provided,
however, that neither the Mayor nor the Vice Mayor shall take any action pursuant to this
Section 6 unless the Mayor or the Vice Mayor and the City's financial advisor shall have
received from the Underwriter such information as the City Manager and the City's financial
advisor shall deem necessary in order to demonstrate that (i) the initial principal amount of the
Bonds is not in excess of $18,000,000, (ii) the true interest cost rate of the Bonds is not more
than five pement (5%), (iii) the final maturity of the Bonds is not later than February 1, 2013,
(iv) the underwriting discount (exclusive of any original issue discount or original issue
premium) is not greater than $6.00 per $1,000 of the original principal amount of the Bonds,
(v) the completed disclosures required pursuant to Section 218.385, Florida Statutes have been
delivered by the Underwriter and (vi) the net present value savings for paying and defeasing the
Refunded Bonds shall not be less than three percent (3%).
SECTION 7. PRELIMINARY AND OFFICIAL STATEMENT. That the draft
Preliminary Official Statement in substantially the form attached hereto as Exhibit B with such
changes as shall be approved by the Mayor or the City Manager and the City's Bond Counsel, be
and the same is hereby approved, and the City hereby approves the use by the Underwriter of the
Preliminary Official Statement in connection with the marketing of the Bonds. The City hereby
approves the form of an Official Statement which shall be in substantially the same form as the
Preliminary Official Statement but shall contain no permitted omissions. The City hereby
approves the use by the Underwriter of the final printed Official Statement in connection with
\\wpb-srvOl\SANFORDS~399665v08\l 1/26/02\16787 011000 7 Resolution No. 92-02
the offering and sale of the Bonds and the City hereby further approves the use by the
Underwriter of any supplement or amendment to the Official Statement which is necessary so
that the Official Statement does not include any untrue statement of a material fact and does not
omit to state any material fact necessary to make the statements therein not misleading. The
Mayor (or, in his absence, the Vice Mayor) and the City Manager are each hereby authorized and
directed to execute the Official Statement and any amendment or supplement thereto, in the
name and on behalf of the City, and thereupon to cause the Official Statement and any such
amendment or supplement to be delivered to the Underwriter with such approval to be
conclusively evidenced by the execution and delivery thereof by the City.
SECTION 8. BOOK ENTRY 2002 BONDS. That the City hereby determines that the
registration of the Bonds be by the book entry system of registration provided by the Depository
Trust Company.
SECTION 9. ESCROW AGENT. That the City hereby appoints Wells Fargo Bank,
National Association, as escrow agent (the "Escrow Agent") under the Escrow Deposit
Agreement (as herein defined).
SECTION 10. ESCROW DEPOSIT AGREEMENT. That the form, terms and
provisions of the Escrow Deposit Agreement, attached hereto as Exhibit C, between the City and
the Escrow Agent (the "Escrow Deposit Agreement"), as submitted to this meeting, be and the
same are hereby approved and accepted. The Mayor of the City or, in his absence, the Vice
Mayor each is hereby authorized and directed to execute and deliver the Escrow Deposit
Agreement in substantially the form submitted to this meeting, with such changes, insertions and
deletions thereto as are necessary or desirable for carrying out the purposes thereof as may be
approved by the Mayor of the City or the Vice Mayor, upon advice of the City Attorney and
\\wpb-srvOl~SANFOKDS~399665v08\l 1/26/02\16787 011000 8 Resolution No. 92-02
Bond Counsel, the execution of said Escrow Deposit Agreement being conclusive evidence of
such approval. The City Clerk is hereby authorized and directed to affix the seal of the City and
attest to the same, if so required by the terms thereof.
SECTION 11. PAYING AGENT AND REGISTRAR. That Wells Fargo Bank,
National Association, is hereby appointed as paying agent (the "Paying Agent") and registrar
(the "Registrar") for the Bonds.
SECTION 12. BOND INSURANCE POLICY. That, based on the recommendations
of the City's financial advisor, set forth in a letter attached hereto as Exhibit D with respect to the
Bonds, the City Commission finds that obtaining the Bond Insurance Policy provided by the
Bond Insurer is in the best interests of the City, and the City Commission hereby directs that the
premium due on the Bond Insurance Policy be paid in accordance with the terms thereof. To the
extent not reflected in the Authorizing Resolution and this Resolution, the terms and provisions
of the Commitment from Financial Security Assurance, Inc. to provide the Bond Insurance
Policy attached hereto as Exhibit E are accepted and incorporated herein as though such terms
and provisions were set forth herein.
SECTION 13. FURTHER AUTHORIZATIONS; RATIFICATION OF PRIOR
ACTS. That the Mayor, the Vice Mayor, the City Manager, the Finance Director, the Treasurer,
the City Attorney, and any other proper official of the City, be and each of them is hereby
authorized and directed to execute and deliver any and all documents and instruments, including,
but not limited to, any paying agent and registrar agreement, and to do and cause to be done any
and all acts and things necessary or proper for carrying out the transactions contemplated by this
Resolution, including, but not limited to, complying with any conditions to obtain the Bond
Insurance Policy. All actions heretofore taken and documents prepared or executed by or on
\\wpb-srv01\SANFORDSX399665v08\I 1/26/02\16787 011000 9 Resolution No. 92-02
behalf of the City by any of its authorized officers in connection with the transactions
contemplated hereby including, without limitation, the subscription for the purchase of United
States Treasury Obligations - State and Local Government Series ("SLGs") for deposit and
application to effect the payment and defeasance of the Refunded Bonds, are hereby ratified,
confirmed, approved and adopted.
SECTION 14. SEVERABILITY OF INVALID PROVISIONS. If any one or more
of the covenants, agreements or provisions of this Resolution should be held contrary to any
express provision of law or contrary to the policy of express law, though not expressly
prohibited, or against public policy, or shall for any reason whatsoever be held invalid, then such
covenants, agreements or provisions shall be null and void and shall be deemed separate from the
remaining covenants, agreements or provisions, and shall in no way affect the validity of any of
the other provisions of this Resolution or of the Bonds.
SECTION 15. REPEALER. That all resolutions or proceedings, or parts thereof, in
conflict with the provisions of this Resolution are to the extent of such conflict hereby repealed.
SECTION 16. EFFECTIVE DATE. That this Resolution shall take effect immediately
upon its passage.
\\wpl>-srv01kSANFORDSk399665v08\l 1/26/02\16787 011000 10 Resolution No. 92-02
PASSED AND ADOPTED in regular session on this the 3rd day of December, 2002.
CITY OF DELRAY BEACH, FLORIDA
Attest:
By:
Mayor
City Clerk
Date of Adoption:
December 3, 2002
The foregoing Resolution is hereby approved by me
as to form, language and execution this 3rd day of
December, 2002.
By:
City Attorney
\\wpb-srv01\SANFORDSX399665v08\l 1/26/02\16787 011000 11 Resolution No. 92-02
City of Delray Beach, Florida
General Obligation Refunding Bonds, Series 2002
(Decade of Excellence Program)
LIST OF EXHIBITS TO RESOLUTION NO. 92-02
EXHIBIT A
EXHIBIT B
EXHIBIT C
EXHIBIT D
EXHIBIT E
Draft Purchase Contract
Draft Preliminary Official Statement
Draft Escrow Deposit Agreement
Authority's financial advisor's Letter of recommendation of negotiated
sale and Bond Insurance Policy
Commitment for Bond Insurance Policy from Financial Security
Assurance, Inc.
\\wpb-srv01\SANFORDSL399665v08\l 1/26/02\16787 011000 Resolution No. 92-02
Exhibit A
BOND PURCHASE AGREEMENT
December m, 2002
$
City of Delray Beach, Florida
General Obligation Refunding Bonds, Series 2002
(Decade of Excellence Program)
The City Commission of the
City of Delray Beach, Florida
100 N. W. First Avenue
DelrayBeach, Florida 33444
Ladies and Gendemen:
Bear Steams & Co., Inc. (the "Underwriter") offers to enter into the following agreement
(the "Purchase Contract") with the City of Delray Beach, Florida (the "City"), which, upon your
acceptance of this offer, will be binding upon the City and upon the Underwriter. This offer is made
subject to your acceptance on or before 5:00 p.m., Eastern time, on the date hereof and if not so
accepted, will be subject to withdrawal by the Underwriter upon notice to the City at any time prior
to your acceptance hereof.
1. Purchase and Sale. Upon the terms and conditions and upon the basis of the
representations, warranties and agreements set forth herein, the Underwriter hereby agrees to
purchase from the City for offering to the public, and the City hereby agrees to sell and deliver to
the Underwriter for such purpose, all (but not less than all) of the City's $ General
Obligation Refunding Bonds, Series 2002 (Decade of Excellence Program) (the "Bonds"). The
Bonds shall be dated as of December 1, 2002, and shall be issued in such principal amounts and bear
such rates of interest as set forth in Exhibit A attached hereto. Interest on the Bonds shall be
payable on February 1, 2003, and on each August 1 and February 1 thereafter. The aggregate
purchase price of the Bonds is $ (which takes into account a net original issue premium
of $ and an Underwriter's discount of $ ) plus accrued interest from
December 1, 2002 to the Closing Date (as hereinafter defined). The Bonds shall initially be offered
to the public at such prices or yields as indicated on Exhibit A attached hereto. The Bonds are being
issued pursuant to the Constitution and Laws of the State of Florida, particularly, Chapter 166,
Florida Statutes, as amended, the City Charter of Delray Beach, as amended, and other applicable
provisions of law, and Resolution No. 91-02 of the City duly adopted on December 3, 2002
("Resolution 91-02") and Resolution No. 92-02 of the City duly adopted on December 3, 2002
("Resolution 92-02" and together with Resolution No. 91-02, sometimes collectively referred to
herein as the "Resolution"). The Bonds are general obligations of the City for which its full faith,
credit and taxing power have been irrevocably pledged.
The City is proposing to issue the Bonds to finance the cost of (i) refunding, on a
current basis, the City's outstanding General Obligation Bonds, Series 1993A (Decade of Excellence
Program) and the City's outstanding General Obligation Refunding Bonds, Series 1993B (Decade of
Excellence Program) and (ii) paying cost of issuing the Bonds, including payment of the premium
017005 00303/21078414v3
for a municipal bond insurance policy (the "Bond Insurance Policy") to be purchased from Financial
Security Assurance Inc. (the "Insurer").
Concurrently with the execution and delivery of the Bonds, there are to be executed
and delivered, among other things: (a) the Escrow Deposit Agreement dated as of December __,
2002 (the "Escrow Agreement"), between the City and Wells Fargo Bank, National Association, as
registrar and paying agent for the Bonds (the "Registrar and Paying Agent" or the "Escrow Agent"),
(b) the Tax Certificate of the Issuer dated as of December __, 2002 (the "Tax Certificate") and (c)
any other documents related to the transactions contemplated in the Official Statement in
connection with the public offering, sale and distribution of the Bonds. This Purchase Contract, the
Escrow Agreement and the Tax Certificate are sometimes collectively referred to herein as the "City
Document".
2. Good Faith Deposit; Underwfiter's Liability. Delivered to you herewith, as a
good faith deposk, is a corporate check of the Underwriter payable to the order of the City in the
amount of $ (1% of the principal amount of the Bonds) as security for the performance by
the Underwriter of its obligation to accept and pay for the Bonds at Closing in accordance with the
provisions hereof. In the event that you accept this offer, said check will be held uncashed by the
City as a good fakh deposk. At the Closing, the check will be returned to the Underwriter. In the
event you do not accept this offer, the check shall be immediately returned to the Underwriter. If
the Underwriter fails (other than for a reason permitted hereunder) to accept and pay for the Bonds
at the Closing as provided herein, the check may be cashed by the City and the proceeds retained by
the City as full liquidated damages for the failure of the Underwriter to accept and pay for the Bonds
at closing and for any and all defaults hereunder on the part of the Underwriter, and the retention of
such amounts shall constitute a full release and discharge of all chims and damages for such failure
and for any and all such defaults hereunder on the part of the Underwriter, it being understood by
both the City and the Underwriter that actual damages in such circumstances may be difficult or
impossible to compute.
In the event that the City fails to deliver the Bonds at the Closing, or if the City is
unable at or prior to the Closing Date to satisfy or cause to be satisfied the conditions to the
obligations of the Underwriter contained in this Purchase Contact, or if the obligations of the
Underwriter contained herein shall be cancelled or terminated for any reason permitted by this
Purchase Contract, the City shall be obligated to immediately return the check to the Underwriter
and such retum shall constitute a full release and discharge of all claims by the City and the
Underwriter arising out of the transaction contemplated herein except for the respective obligations
of the City and the Underwriter set forth in Section 8 hereof.
3. Offering. The Underwriter agrees to make a public offering of the Bonds at the
initial offering prices set forth in Exhibit A attached hereto; provided, however, the Underwriter
reserves the right to make concessions to dealers and to change such initial offering prices as the
Underwriter shall deem necessary in connection with the marketing of the Bonds.
It shall be a condition of your obligation to sell and deliver the Bonds to the
Underwriter, and the obligation of the Underwriter to purchase and accept delivery of the Bonds,
that the entire initial aggregate principal amount of the Bonds shall be sold and delivered byyou and
accepted and paid for by the Underwriter at the Closing.
2
4. Preliminary Official Statement and Official Statement. The City hereby
confirms that it has heretofore made available to the Underwriter a Preliminary Official Statement of
the City relating to the Bonds dated December 4, 2002 (which, together with the cover page and
appendices contained therein, is herein called the "Preliminary Official Statement"). Within seven
business days of the acceptance hereof by the City, the City shall deliver to the Underwriter, at the
City's expense such reasonable number of conformed copies of the Official Statement (which,
together with the official cover page and appendices contained therein, is herein called the "Official
Statement"), as the Underwriter shall reasonably request, which shall be sufficient in number to
permit the Underwriter to comply with paragraph (b)(4) of Rule 15c2-12 of the Securities and
Exchange Commission ("SEC") under the Securities Exchange Act of 1934 and with Rule G-32 and
all other applicable rules of the Municipal Securities Rulemaking Board. The City, by its acceptance
hereof ratifies and approves the deeming final of the Preliminary Official Statement as of its date
and the distribution thereof by the Underwriter and approves and authorizes the Underwriter to use
the Official Statement and all documents described therein in connection with the public offering
and the sale of the Bonds. The City agrees to make no amendments to the Official Statement
without the prior written consent of the Underwriter, which consent shall not be unreasonably
withheld. In addition, the City will undertake, pursuant to the Resolution, to provide certain annual
financial and operating information and notices of the occurrence of certain events, if material. A
description of this undertaking is set forth in the Preliminary Official Statement and will also be set
forth in the final Official Statement.
In accordance with Section 218.385 (6), Florida Statutes, the Underwriter hereby discloses the
required information as provided in Exhibit B attached hereto. In accordance with 218.385(2) and
(3), Florida Statutes, the Underwriter has &livered to the City the Truth-in-Bonding statement,
which statement is attached hereto as Exhibit C.
5. Representations, Warranties and Agreements. The City hereby represents,
warrants and agrees as follows:
a. As of the date of the Preliminary Official Statement and the date of this
Purchase Contract and at the time of Closing, the statements and information contained in the
Preliminary Official Statement and Official Statement are and will be true, correct and complete in
all material respects and the Preliminary Official Statement and Official Statement will not omit any
statement or information which should be included therein for the purposes for which the
Preliminary Official Statement and Official Statement are to be used or which is necessary to make
the statements or information contained therein, in light of the circumstances under which they
were made, not misleading (provided, however, that no representation or warranty is being provided
with respect to the Bond Insurance Policy or the Depository Trust Company ("DTC") and its book-
entry system).
b. Between the date of this Purchase Contract and the time of Closing, the City
will not execute any bonds, notes or obligations for borrowed money, other than the Bonds, which
pledge the full faith and credit of the City, without giving prior written notice thereof to the
Underwriter.
c. The City is, and will be at the Closing Date, duly organized and validly
existing as a municipal corporation of the State of Florida, with the powers and authority set forth in
the Act (as defined in the Resolution).
d. The City has full legal fight, power and authority to: (~ enter into the City
Documents, (ii) adopt the Resolution, (ih) sell, issue and deliver the Bonds to the Underwriter under
the Act as provided herein and (iv) carry out and consummate the transactions contemplated by the
City Documents, the Resolution and the Official Statement, and the City has complied, and at the
Closing will be in compliance, in all respects, with the terms of the Act and with the obligations on
its part in connection with the issuance of the Bonds contained in the Resolution, the Bonds, the
Paying Agent Agreement, the Tax Certificate and this Purchase Contract.
e. By all necessary official action, the City has (~ duly adopted the Resolution,
(h) duly authorized and approved the Official Statement, and (ih) duly authorized and approved the
execution and delivery of, and the performance by the City of, the Bonds, the City Documents, the
Resolution and all other obligations on its part in connection with the issuance of the Bonds and the
consummation by it of all other transactions contemplated by the City Documents and the Official
Statement in connection with the issuance of the Bonds; and upon delivery of the Bonds at the
Closing, the Resolution and the City Documents will, assuming the due authorization, execution and
delivery of the City Documents by the other parties thereto, constitute legal, valid and binding
obligations of the City, enforceable in accordance with their terms, subject to applicable bankruptcy,
insolvency, and similar laws affecting creditors' rights generally and subject, as to enforceability, to
general principles of equity.
f. When delivered to and paid for by the Underwriter at the Closing in
accordance with the provisions of this Ih~rchase Contract, the Bonds shall be entitled to the benefits
of the Resolution in accordance with the provisions of the Resolution, subject to bankruptcy,
insolvency, reorganization, moratorium and other similar laws affecting credkors' rights generally
and subject, as to enforceability, to general principles of equity.
g. To the best knowledge of the City, the adoption of the Resolution and the
authorization, execution and delivery of the City Documents and the Bonds, and compliance with
the provisions hereof and thereof, will not conflict with, or constitute a material breach of or default
under any law, administrative regulation, consent decree, ordinance, resolution or any agreement or
other instrument to which the City was or is subject, as the case may be, nor will such adoption,
execution, delivery, authorization or compliance result in the creation or imposition of any lien,
charge or other security interest or encumbrance of any nature whatsoever upon any of the property
or assets of the City, or under the terms of any law, administrative regulation, ordinance, resolution
or instrument, except as expressly provided by the Resolution.
h. At the time of Closing, the City will be in compliance in all respects with the
covenants and agreements contained in the Resolution and no event of default and no event which,
with the hpse of time or giving of notice, or both, would constitute an event of default under the
Resolution, will have occurred or be continuing.
i. Except as provided in the Official Statement, all approvals, consents,
authorizations and oMers of any governmental authority or agency having jurisdiction in any matter
which would constitute a condition precedent to the performance by the City of ks obligations
hereunder and its obligations under the Resolution have been obtained and are in full force and
effect, except that no representation is made with respect to compliance with any state blue sky or
other legal investment laws.
4
j. The City is hwfully empowered to pledge its full faith, credk and taxing
power as security for the payment of the principal of and interest on the Bonds.
lc Except as expressly disclosed in the Official Statement, there is no action,
suit, proceeding, inquiry or investigation, at law or in equity, before or by any court, government
agency or public board or body pending or, to the best knowledge of the City, threatened against the
City, affecting or seeking to prohibit, restrain or enjoin the sale, issuance or delivery of the Bonds or
the pledge of the City's full faith, credk and taxing power or contesting or affecting as to the City the
validity or enforceability in any respect of the Bonds, the Resolution, the City Documents, or
contesting the tax-exempt status of interest on the Bonds, or contesting the completeness or
accuracy of the Official Statement or any supplement or amendment thereto, or contesting the
powers of the City or the City Commission (the "Commission") or any authority for the issuance of
the Bonds, the adoption of the Resolution or the execution and delivery by the City of the Bonds,
the City Documents.
1. The City will furnish such information, execute such instruments and take
such other action in cooperation with the Underwriter as the Underwriter may reasonably request in
order to (~ qualify the Bonds for offer and sale under the "blue sky" or other securities laws and
regulations of such states and other jurisdictions of the United States as the Underwriter may
designate and (ii) determine the eligibility of the Bonds for investment under the hws of such states
and other jurisdictions, and will use its best efforts to continue such qualifications in effect so long
as required for the distribution of the Bonds; provided, however, that the City shall not be required
to execute a general or special consent to service of process or qualify to do business or register as a
broker/dealer in connection with any such qualification or determination in any jurisdiction.
~ The City will not take or omit to take any action which action or omission
will in any way cause the proceeds from the sale of the Bonds to be applied in a manner contraryto
that provided for in the Resolution, the Tax Certificate and as described in the Official Statement.
n. The City neither is nor has been in default at any time after December 31,
1975, as to principal or interest with respect to an obligation issued or guaranteed bythe City.
o. As of its date, the Preliminary Official Statement was deemed "final" by the
City for the purposes of SEC Rule 15c2-12(b)(1) except for the omission of certain matters
permitted thereby.
p. If, after the date of this Purchase Contract and until the earlier of (~ ninety
(90) days from the end of the "underwriting period" (as defined in SEC Rule 15c2-12) or (h) the
time when the Official Statement is available to any person from a nationally recognized repository,
but in no case less than twenty-five (25) days following the end of the underwriting period, any
event shall occur which might or would cause the Official Statement, as then supplemented or
amended, to contain any untrue statement of a material fact or to omit to state a material fact
necessary to make the statements therein, in the light of the circumstances under which they were
made, not misleading, the City shall, if it has knowledge of such event, notify the Underwriter
thereof and, if in the opinion of the Underwriter such event requires the preparation and publication
of a supplement or amendment to the Official Statement, the City will at its own expense forthwith
prepare and furnish to the Underwriter a sufficient number of copies of an amendment of or
supplement to the Official Statement (in form and substance satisfactory to the Underwriter) which
will supplement or amend the Official Statement so that it will not contain an untrue statement of a
material fact or omit to state a material fact necessary in order to make the statements therein, in
light of the circumstances existing at such time, not misleading.
q. Any certificate signed by any official of the City and delivered to the
Underwriter shall be deemed a representation and warranty by the City to the Underwriter as to the
truth of the statements therein contained.
r. The City has never failed to comply with any prior continuing disclosure
obligation arising out of SEC Rule 15c2-12.
6. Closing. At noon, local time, on December 19, 2002 (the "Closing Dater), or at
such time on such earlier or later date as shall be agreed upon, the City will, subject to the terms and
conditions hereof deliver to DTC in the City of New York, New York or such other location as
shall be acceptable to the City and DTC, the Bonds in permanent form, duly executed, and will
deliver the other documents herein mentioned at a location mutually agreed upon by the City and
the Underwrite~, and the Underwriter will pay the purchase price of the Bonds as set forth in
Section I hereof plus accrued interest on the Bonds from December 1, 2002 to the Closing Date, by
immediately available funds, payable to the order of the City. This delivery and payment is herein
called the "Closing."
7. Closing Conditions. The Underwriter has entered into this Purchase Contract in
reliance upon the representations and warranties of the City herein contained and the performance
by the City of its obligations hereunder, both as of the date hereof and as of the time of Closing.
The obligations of the Underwriter under this Purchase Contract are and shall be subject to each of
the following conditions, and the obligations of the City shall be subject to the City receiving the
items described in conditions (i)(ii), (f)(iv), (f)(vi) through (f)(x):
a. The representations and warranties of the City contained herein shall be true
and correct as of the date hereof and as of the Closing Date, as if made on the Closing Date.
b. The City shall have performed all agreements of the City required to be
performed under the Resolution and this Purchase Agreement prior to or on the Closing Date.
c. At the time of the Closing, the Resolution shall be in full force and effect in
accordance with its terms and shall not have been amended, modified or supplemented, and the
Official Statement shall not have been supplemented or amended, except in any such case as may
have been agreed to by the Underwriter.
d. At the time of the Closing, all official action of the City rehting to the City
Documents, the Resolution, the Official Statement and the Bonds shall be in full force and effect in
accordance with their respective terms and shall not have been amended, modified or supplemented
in any material respect, except in each case as may have been agreed to by the Underwriter.
e. The Underwriter shall have the right to cancel the agreement contained
herein to purchase, to accept delivery of and to pay for the Bonds by notifying you in writing of
their intention to do so if:
i. between the date hereof and the Closing Date, legislation shall have
been enacted by the Congress of the United States ("Congress"), or recommended to the Congress
for passage by the President of the United States, or favorably reported for passage to either House
of Congress by any Committee of such House, or passed by either House of Congress, or a decision
shall have been rendered by a court of the United States or the United States Tax Court, or a ruling
shall have been made or a regulation shall have been proposed or made by the Treasury Department
of the United States or the Internal Revenue Service, with respect to the federal taxation of interest
received on obligations of the general character of the Bonds, which, in the opinion of Counsel for
the Underwriter has, or will have, the effect of making such interest subject to inclusion in gross
income for purposes of federal income taxation, or
ii. between the date hereof and the Closing Date, legislation shall be
enacted or any action shall be taken by the Securities and Exchange Commission which has the
effect of requiring the contemplated issuance or distribution of the Bonds to be registered under the
Securities Act of 1933, as amended, or of requiring the Resolution to be qualified under the Trust
Indenture Act of 1939, as amended, or
iii. an event described in paragraph (p) of Section 5 hereof shall have
occurred which requires an amendment or supplement to the Official Statement and which, in the
reasonable opinion of the Underwriter, adversely affects the marketability of the Bonds or the
market price thereof, or
iv. in the reasonable opinion of the Underwriter, payment for the
delivery of the Bonds is rendered impracticable or inadvisable because (A) trading in securities
generally shall have been suspended on the New York Stock Exchange, Inc., or CB) a general
banking moratorium shall have been established by Federal, New York or Florida authorities, or (C)
a war or terrorist act involving the United States or other national calamity shall have occurred or
been dechred, or
v. an order, decree or injunction of any court of competent jurisdiction,
or any order, ruling, regulation or administrative proceeding by any governmental body or board,
shall have been issued or commenced, or any legislation, enacted, with the purpose or effect of
prohibiting the issuance, offering or sale of the Bonds as contemplated hereby or by the Official
Statement or prohibiting the adoption or performance of the Resolution, or
vi. the City has, without the prior written consent of the Underwriter,
offered or issued any bonds, notes or other obligations for borrowed money, or incurred any
material liabilities, direct or contingent, other than as described in the Official Statement, in either
case secured by the City's full faith, credit and taxing power, or
vii. the President of the United States, the Office of Management and
Budget, the Department of Treasury, the Internal Revenue Service or any other governmental body,
department, agency or commission of the United States or the State of Florida shall take or propose
to take any action or implement or propose regulations, rules or legislation which, in the reasonable
judgment of the Underwriter, materially adversely affects the market price or marketability of the
Bonds or causes any material information in the Official Statement, in light of the circumstances
under which it appears, to be misleading in any material respect, or
7
viii. any executive order shall be announced, or any legislation, oMinance,
rule or regulation shall be proposed by or introduced in, or be enacted by any governmental body,
department, agency or commission of the United States or the State of Florida or the State of New
York, having jurisdiction over the subject matter, or a decision by any court of competent
jurisdiction within the United States or within the State of Florida or the State of New York shall be
rendered which, in the reasonable judgment of the Underwriter, materially adversely affects the
market price or marketability of the Bonds or causes any information in the Official Statement to be
misleading in any material respect, or
ix. prior to Closing, Moody's Investor's Service, Inc. ("Moody's") and
Standard & Poor's Rating Services, a division of The McGraw-Iffdl Companies ("Standard &
Poor's"), shall inform the City or the Underwriter that the Bonds will not be rated at least "Aaa" and
"AAA," respectively, or the Insurer shall inform the City or the Underwriter that k will not deliver
its Bond Insurance Policy on the Closing Date.
fo
At or prior to the Closing Date, the Underwriter shall receive the following
documents:
i. The Resolution certified by the City Clerk of the City under seal as
having been duly adopted by the City and as being in effect, with such supplements, modifications
or amendments as may have been agreed to by the Underwriter.
ii. A final approving opinion of Greenburg Traurig, P.A., Bond
Counsel, addressed to the City, dated the date of the Closing, in substantially the form included in
the Official Statement as Appendix D.
iii. A letter of Bond Counsel addressed to the Underwriter and the
Insurer, and dated the Closing Date, to the effect that their final approving opinion referred to in
Section 7(f)(h) hereof maybe relied upon bythe Underwriter and the Insurer to the same extent as if
such opinion were addressed to the Underwriter and the Insurer.
iv. An opinion of Susan A. Ruby, Esquire, City Attorney, addressed to
the City, the Underwriter and the Insurer, and dated the date of the Closing, substantially to the
effect that:
(1) the City is a municipal corporation duly existing under the
Constitution and hws of the State of Florida and has good right and hwful authority to adopt the
Resolution, execute and deliver the City Documents and issue the Bonds, to secure the Bonds in the
manner provided in the Resolution, to carry out its powers under the Act (as defined in the
Resolution) and to perform all of its obligations under the Resolution, the Bonds and the City
Documents;
(2) the Resolution has been duly adopted by the City and the
Bonds and the City Documents have been duly authorized, executed and delivered by the City, and
the Resolution and the Bonds, when duly authenticated, and the City Documents, when duly
executed by the other parties thereto constitute valid, legal and binding agreements of the City
enforceable in accordance with their respective terms; provided, however, the enforceability thereof
may be subject to bankruptcy, insolvency,
affecting creditors' rights generally;
reorganization,
moratorium and other similar laws
(3) no consent, waiver or any other action by any person, board
or body, public or private, other than the approval of the City which has been duly and validly
obtained, is required as of the date hereof for the City to issue the Bonds or adopt the Resolution, or
to execute and deliver the City Documents, or to perform its obligations under any of the foregoing,
except she need not express any opinion regarding any blue sky or legal investment laws;
(4) to the best of her knowledge, the adoption of the Resolution
and the execution and delivery of the City Documents and the Bonds and compliance with the
provisions of each do not and will not conflict with or constitute a breach of or default under any
applicable law or administrative regulation of the State of Florida, or any applicable judgment or
decree or any trust agreement, loan agreement, bond, note, resolution, ordinance, agreement or
other instrument to which the City is a part or is otherwise subject;
(5) except as otherwise disclosed in the Official Statement, there
is no litigation or proceeding, pending or, to the best of her knowledge, threatened, challenging the
creation, organization or existence of the City or the validity of the Bonds or the City Documents or
seeking to restrain or enjoin any of the transactions referred to therein or contemplated thereby, or
which, in any manner, questions the right of the City to issue the Bonds or to pledge its full faith,
credit and taxing power as security for the rep%~nent of the Bonds;
(6) there is no litigation or proceeding pending to which the City
is a party, the ultimate disposition of which would have a material adverse effect on the finances or
operations of the City or its abilityto meet its obligations with respect to the Bonds;
(7) nothing has come to her attention that would lead her to
believe that the Official Statement as of its date or as of the date hereof contains any untrue
statement of a material fact or omits to state a material fact necessary to make the statements
therein, in the light of the circumstances under which they were made, not misleading;
(8) the Official Statement has been duly authorized, executed and
delivered bythe City, and the City has consented to the ttse thereof bythe Underwriter, and
(9) the City is hwfully empowered to pledge the City's full faith,
credk and taxing power as security for the payment of the principal of and interest on the Bonds.
v. A certificate, which shall be true and correct at the time of Closing,
signed by the City Manager and the Finance Director or such other officials satisfactory to the
Underwriter, and in form and substance satisfactory to the Underwriter, to the effect that, to the
best of their knowledge and belief:
(1) the representations, warranties and covenants of the City
contained herein are true and correct in all material respects as of the Closing Date and that the City
has satisfied all conditions to be performed or satisfied hereunder at or prior to Closing;
(2) the Official Statement did not as of its date, and does not as
of the Closing Date, contain any untrue statement of a material fact or omit to state a material fact
which should be included therein for the purposes for which the Official Statement is to be used, or
which is necessary in order to make the statements contained therein, in light of the circumstances in
which they were made, not misleading (provided, that no opinion need be expressed regarding the
information contained therein relating to the Insurer, the Bond Insurance Policy, DTC and its book-
entry system);
(3) that, except as disclosed in the Official Statement, no
litigation or other proceedings are pending or, to his or her knowledge, threatened against the City in
any court or other tribunal of competent jurisdiction, State or Federal, in any way (~ restraining or
enjoining the issuance, sale or delivery of any of the Bonds, or (h) questioning or affecting the
validity of the City Documents, the Bonds, the Resolution or the pledge by the City to the
Bondholders of ks full faith, credit and taxing power, or (th) questioning or affecting the validity of
any of the proceedings for the authorization, sale, execution, issuance or delivery of the Bonds or
(iv) questioning or affecting the organization or existence of the City or the title to office of the
officers thereof or (v) asserting that the Preliminary Official Statement or the Official Statement
contains any untrue statement of a material fact or omits any material fact necessary to make the
statements therein, in light of the circumstances under which theywere made, not misleading;
(4) that except as disclosed in the Official Statement, the City is
not in default nor has been in default at anytime after December 31, 1975 as to principal or interest
with respect to any obligation issued or guaranteed bythe City;,
(5) that no event affecting the City has occurred since the date of
the Official Statement that should be disclosed in the Official Statement for the purposes for which
it is to be used or that is necessary to be disclosed therein in order to make the statements and
information therein not misleading in any material rexpect; and
(6) that since the date of the financial statements included in the
Official Statement, (~ no material adverse change has occurred in the financial condition of the City
and (h) the City has not incurred any material liabilities other than in the ordinary course of business,
except as set forth in or contemplated by the Official Statement.
vi. An opinion of Greenburg Traurig, P.A., as Bond Counsel, addressed
to the City and the Underwriter, and dated the Closing Date, to the effect that:
(1) with respect to the information in the Official Statement and
based upon said firm's review of the Official Statement, as Bond Counsel: (A) k is of the opinion
that the information in the Offichl Statement under the headings "INTRODUCTION,"
"DESCRIPTION OF THE SERIES 2002 BONDS -- General," "DESCRIPTION OF THE
SERIES 2002 BONDS - Redemption," "SECURITY FOR THE SERIES 2002 BONDS,"
"CONTINUING DISCLOSURE UNDERTAKING," (except for the financial and statistical data
contained in any such headings, as to which no view need be expressed), and "APPENDIX C- The
Resolution" insofar as such information purports to be descriptions or summaries of the
Resolutions, the Bonds or state and federal laws to the extent indicated therein, are accurate and fair
statements or summaries of the matters set forth or the documents referred to therein; and (B) the
statements on the cover page and under the section captioned "TAX EXEMPTION" insofar as
such statements summarize certain provisions of the tax hw, regulations, rulings and notices, are fair
and accurate statements of the provisions so summarized; and
10
(2) the Bonds are exempt from registration under the Securities
Act of 1933, as amended, and the Resolution is exempt from qualification as an indenture under the
Trust Indenture Act of 1939, as amended.
vii. A certificate of an authorized representative of the Registrar, as
Paying Agent to the effect that:
(1) the Registrar and Paying Agent is a national banking
association duly organized, validly existing and in good standing under the laws of the United States
of America and is duly authorized to exercise trust powers,
(2) the Registrar and Paying Agent has all the requisite authority,
power, licenses, permits and franchises, and has full corporate power and legal authority to execute
and perform its functions under the Resolution and any other documents to which k is a party
(herein, the "Bond Documents");
0) the performance by the Registrar and Paying Agent of its
functions under the Resolution and the Bond Documents will not result in any violation of the
Articles of Association or Bylaws of the Registrar and Paying Agent, any court order to which the
Registrar and Paying Agent is subject or any agreement, indenture or other obligation or instrument
to which the Registrar and Paying Agent is a party or by which the Registrar and Paying Agent is
bound, and no approval or other action by any governmental authority or agency having supervisory
authority over the Registrar and Paying Agent is required in order for the Registrar and Paying
Agent to perform its functions under the Resolution and the Bond Documents;
(4) the Bond Documents constitute valid and binding obligations
of the Registrar and Paying Agent in accordance with its terms, subject to applicable bankruptcy,
insolvency, reorganization, moratorium and other similar laws affecting creditors' rights generally
and subject, as to enforceability, to general principles of equity;, and
(5) to the best of such authorized representative's knowledge,
there is no action, suit, proceeding, or investigation at hw or in equity before any court, public board
or body pending or, to his or her knowledge, threatened against or affecting the Registrar and Paying
Agent wherein an unfavorable decision, ruling or finding on an issue raised by any party thereto is
likely to materially and adversely affect the ability of the Registrar to perform its obligations under
the Resolution and the Bond Documents.
viii. Letters of Moody's and Standard & Poor's to the effect that the
Bonds have been assigned a rating no less favorable than "Aaa" and "AAA," respectively, which
ratings shall be in effect as of the Closing Date.
ix. Duly executed copies of the Bond Insurance Policy, the City
Documents and the Bond Documents in form acceptable to the Underwriter and Bond Counsel.
x. An opinion of general counsel to the Insurer and a certificate of an
officer of the Insurer dated the date of the Closing and addressed to the Underwriter and the City,
concerning the Insurer, the Bond Insurance Policy, and the information relating to the Insurer and
the Bond Insurance Policy, contained in the Official Statement, in form and substance satisfactory
to the Underwriter.
11
xi. A certificate executed by the Finance Director dated the Closing
Date, satisfactory to Bond Counsel setting forth the facts, estimates and circumstances which
establish that it is not expected that the proceeds of the Bonds will be used in a manner that would
cause the Bonds to be "arbkrage bonds" within the meaning of the Internal Revenue Code of 1986,
as amended, and to the best of the knowledge and belief of such officer, such expectations are
reasonable.
xii. A letter of representations of the Issuer to DTC.
xiii. Internal Revenue Service Form 8038-G.
xiv. State of Florida Division of Bond Finance Form BF2003/2004-B.
xv. Such additional legal opinions, certificates, instruments and other
documents as the Underwriter may reasonably request.
If the City shall be unable to satisfy the conditions to the obligations of the Underwriter to
purchase, to accept delivery of and to pay for the Bonds contained in this Purchase Contract and the
Underwriter does not waive such inability in writing, or if the obligations of the Underwriter to
purchase, to accept delivery of and to pay for the Bonds shall be terminated for any reason
permitted by this Purchase Contract, this Purchase Contract shall terminate, the good faith deposit
described in Section 2 hereof shall be returned to the Underwriter and neither the Underwriter nor
the City shall be under any further obligation hereunder, except that the respective obligations of the
City and the Underwriter set forth in Section 8 hereof shall continue in full force and effect.
8. Expenses. The Underwriter shall be under no obligation to pay, and the City shall
pay, any expense incidem to the performance of the City's obligations hereunder including, but not
limited to: (a) the cost of preparation, printing and delivery of the Resolution; (b) the cost of
preparation and printing of the Bonds; (c) the fees and expenses of Bond Counsel; (d) the fees and
expenses of Public Financial Management, Inc., the City's financial advisor for the Bonds; (e) the
fees and disbursements of any other experts, consultants or advisors retained by the City;, (f) fees for
bond ratings; (g) the fees and expenses of the Registrar and Paying Agem; and (h) the costs of
preparing, printing and delivering the Preliminary Official Statement and the Official Statement and
any supplements or amendments thereto. The Underwriter shall pa3~ (a) the cost of printing and
delivery of this Purchase Contract; (b) the cost of all "Blue Sky" and legal investment memoranda
and rehted f'ding fees; (c) all advertising expenses; and (d) all other expenses incurred by it in
connection with the public offering of the Bonds including the fees and disbursements of counsel
for the Underwriter. In the event that either party shall have paid obligations of the other as set
forth in this Section 8, adjustment shall be made at the time of the Closing.
9. Notices. Any notice or other communication to be given to you under this Purchase
Contract may be given by mailing the same to the attention of the City Manager, at the address set
forth on the first page hereof, and any such notice or other communication to be given to the
Underwriter may be mailed to Bear Steams, 225 N.E. Mizner Blvd., Boca Raton, Florida 33483,
Attention: J.W. Howard.
10. Parties in Interest. This Purchase Contract is made solely for the benefit of the City
and the Underwriter and ho other party or person shall acquire or have any right hereunder or by
12
virtue hereof. All of the City's representations, warranties and agreements in this Purchase Contract
shall remain operative and in full force and effect and shall survive the delivery of the Bonds.
11. Waiver. Notwithstanding any provision herein to the contrary, the performance of
any and all obligations of the City hereunder and the performance of any and all conditions
contained herein for the benefit of the Underwriter may be waived by the Underwriter and the
approval of the Underwriter when required hereunder or the determination of their satisfaction as to
any document referred to herein shall be evidenced by its purchase of the Bonds.
12. No Liability. Neither the Commission, nor any of the members thereof, nor any
officer, agent or employee thereof shall be charged personally by the Underwriter with any liability,
or held liable to the Underwriter under any term or provision of this Purchase Contract because of
its execution or attempted execution, or because of any breach or attempted or alleged breach
thereof.
13. Governing Law. This Purchase Contract, and the terms and conditions herein, shall
constitute the full and complete agreement between the City and the Underwriter with respect to the
purchase and sale of the Bonds. This Purchase Contract shall be governed by and construed in
accordance with the laws of the State of Florida.
14. Operation of Warranties, Etc. All the representations, warranties, covenants and
agreements of the City in this Purchase Contract shall remain operative and in full force and effect
as if made on the date hereof and the Closing Date, regardless of (i) any investigation made by or on
behalf of the Underwriter or by Counsel to the Underwriter, or (ii) delivery of and any payment for
the Bonds hereunder.
15. Section Headings. Section headings have~ been inserted in this Purchase Contract as
a matter of convenience of reference only, and it is agreed that such section headings are not a part
of this Purchase Contract and will not be used in the interpretation of any provisions of this
Purchase Contract.
16. Sevembility. If any provision of this Purchase Contract shall be held or deemed to
be, or shall in fact be, invalid, inoperative or unenforceable as applied in any particular case in any
jurisdiction or jurisdictions, or in all jurisdicfiom because k conflicts with any provisions of any
constitution, statute, or rule of public policy, or for any other reasons, such circumstances shall not
have the effect of rendering the provision in question invalid, inoperative or unenforceable in any
other case or circumstances, or of rendering any other provision or provisions of this Purchase
Contract invalid, inoperative or unenforceable to any extent whatever.
17. Execution of Counterparts. This Purchase Contract may be executed in any
number of counterparts, all of which taken together shall be one and the same instrument, and any
parties hereto may execute this Purchase Contract by signing any such counterpart. The execution of
this Purchase Contract has been duly authorized bythe Commission.
13
18. Effectiveness. This Purchase Contract shall become effective upon the execution by
the appropriate City officials of the acceptance hereof by the City and shall be valid and enforceable
at the time of such acceptance.
Very truly yours,
BEAR STEARNS & OD., INC.
By.
j. w. Howard, Associate Director
Accepted this __ day of December, 2002
by the City Commission of the City of
Delray Beach, Florida
(Vice) Mayor
14
EXHIBIT A
MATURITIES, AMOUNTS, INTEREST RATES, AND PRICES OR YIELDS
$ SERIAL BONDS
Maturities Imerest
(Feb. 1) Amounts Rates Yield
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
A-1
EXHIBIT B
DISCLOSURE STATEMENT
The City Commission of the
City of Delray Beach, Florida
100 N. W. First Avenue
DelrayBeach, Florida 33444
$ City of Delray Beach, Florida General Obligation
Refunding Bonds, Series 2002 (Decade of Excellence Program)
Ladies and Gentlemen:
In connection with the proposed issuance by the City of Delray Beach, Florida of
$ of its General Obligation Refunding Bonds, Series 2002 (Decade of Excellence
Program) (the "Bonds"), Bear Steams (the "Underwriter") is underwriting a public offering of the
Bonds. The purpose of this letter is to furnish, pursuant to the provisions of Section 218.385(6),
Florida Statutes, certain information in respect of the arrangements comemplated for the
underwriting of the Bonds as follows:
A. The nature and estimated amount of expenses to be incurred by the
Underwriter in connection with the purchase and reoffering of the Bonds are set forth in Schedule I
attached hereto.
B. No person has entered into an understanding with the Underwriter, or to the
knowledge of the Underwriter, with the City, for any paid or promised compensation or valuable
consideration, directly or indirectly, expressly or implied, to act solely as an intermediary between the
City and the Underwriter or to exercise or attempt to exercise any influence to effect any transaction
in the purchase of the Bonds.
C. The underwriting spread, the difference between the price at which the Bonds
will be initially offered to the public by the Underwriter and the price to be paid to the City for the
Bonds, exclusive of accrued interest, will be $ per $1,000 of Bonds issued.
D. As parc of the estimated underwriting spread set forth in Paragraph (c) above,
the Underwriter will charge a managemem fee of $ per $1,000 of Bonds issued.
E. No other fee, bonus or other compensation is estimated to be paid by the
Underwriter in connection with the issuance of the Bonds to any person not regularly employed or
retained by the Underwriter (including any "finder" as defined in Section 218.386(1)(a), Florida
Statutes), except as specifically enumerated as expenses to be incurred by the Underwriter, as set
forth in Paragraph (a) above.
B-1
We understand that you do not require any further disclosure from the
pursuant to Section 218.385 (6), Florida Statutes.
BEAR STEARNS & CO., INC.
225 N.E. Mizner Blvd.
Delray Beach, Florida 33484
Underwriter,
B~
j. w. Howard, Associate Director
B-2
SCHEDULE I
UNDERWRITERS ESTIMATED EXPENSES
MSRB, CUSIP, DTC, PSA
Travel, Closing
Communications/Advertising
Day Loan
Counsel Fees
Miscellaneous
Total Expenses
(per $1,000)
EXHIBIT C
TRUTH-IN BONDING STATEMENT
The following troth-in-bonding statement is prepared pursuant to Section 218.385(2) and
(3), Florida Statutes, and is for informational purposes only. It shall not affect or control the actual
terms and conditions of the debt or obligations.
The City of Delray Beach, Florida (the "City") is proposing to issue $ of
City of Delray Beach, Florida General Obligation Refunding Bonds, Series 2002 (Decade of
Excellence Program) (the "Bonds") for the purpose of providing funds to refund the City's
outstanding General Obligation Bonds, Series 1993A (Decade of Excellence Program) and the City's
outstanding General Obligation Refunding Bonds, Series 1993B (Decade of Excellence Program)
(together, the "Refunded Bonds"), and to pay certain costs and expenses related to the issuance of
the Bonds. The Bonds are expected to be repaid over a period of approximately_ years. At the
interest rotes set forth in Exhibk A of the Purchase Contract, total interest paid over the life of the
Bonds inclusive of accrued interest will be $
The source of repayment and security for the Bonds is the City's full faith, credit and taxing
power. Because the Bonds will refund the Refunded Bonds and will result in a lower debt service
on such bonded indebtedness, authorizing the Bonds will not result in any additional funds of the
City not being available to finance other projects of the City.
Exhibit B
PRELIMINARY OFFICIAL STATEMENT DATED DECEMBER 4, 2002
NEW ISSUE
RATINGS: (See "Ratings" hereto)
In the opmion of Bond Counsel under existmg law, and assumtng comphance ~vith the tax covenant desMbed hereto, interest on the Series 2002
Bonds (as defined be/om) ts excluded from gross income for federal tncome tax proposes, and is not a ypeafic preference item for purposes of the federal
alternattve minimum tax. See homever, 'TAX EXEMPT[ON" heretn for a descnptton of certain other taxes ~mposed on corporatwns. Bond Counsel ts
also of the opimon that tnterest on the Series 2002 Bonds ts exempt from taxation under existing lau, s of the State of Flonda, except as to estate taxes and
taxes imposed by Chapter 220, Florida Statutes, on interest, income orprofits on debt obligations otvned by corporations, banks and sarongs assoctattons.
CITY OF DELRAY BEACH, FLORIDA
$18,000,000'
General Obligation Refunding Bonds, Series 2002
(Decade of Excellence Program)
Dated: December 1, 2002 Due: February 1, as shown on the Inside Cover
The Caty of Delray Beach, Florida General Obhganon Refunchng Bonds, Series 2002 (Decade of Excellence Program) (the
"Series 2002 Bonds") will be ~ssued as fully regqstered bonds w~thout coupons in the pnnc~pal denomination of $5,000 or any
integral muluples thereof. The Series 2002 Bonds unll be regqstered m the name of Cede & Co., as nominee for the Depository
Trust Company, New York, New York ('q2)TC'), and DTC will act as securities deposatory for the Series 2002 Bonds. So long as
Cede & Co. as the registered owner of the Series 2002 Bonds, prmcapal of, premium, af any, and interest on the Series 2002 Bonds
chrectly to Cede & Co., as nominee for DTC by Wells Fargo Bank, Nauonal Assocmuon, having a designated corporate trust office
m Coral Spnngs, Florida, as Paying Agent for the Series 2002 Bonds (the "Paying Agent"). Interest on the Series 2002 Bonds ~s
payable senn-annually, commencing February 1, 2003 and each August 1 and February 1 thereafter.
The Series 2002 Bonds are not subject to optional redempnon and mandatory smktng fund redempuon prior to thmr
stated maturity.
The proceeds of the Series 2002 Bonds will be used by the Caty of Delray Beach, Florida (the "C~ty") to (0 refund, on a
current bas~s, the C~ty's General Obligauon Bonds, Series 1993 A (Decade of Excellence Program) outstanding m the par amount
of $10,050,000 and the C~ty's General Obhgauon Refunding Bonds, Series 1993 B (Decade of Excellence Program) outstanding m
the par amount of $6,905,000, and (h) pay the cost of ~ssumg the Series 2002 Bonds.
The Series 2002 Bonds and the interest on such Series 2002 Bonds are general obligations of the City. In each
year while any of the Series 2002 Bonds are outstanding and unpaid, the City is irrevocably and unconditionally obligated
to levy and collect ad valorem taxes without limitation at the rate or amount on all the taxable property within the City,
sufficient to pay the interest on the Series 2002 Bonds as it becomes due, and to provide for the payment of the principal
of the Series 2002 Bonds at maturity.
The scheduled payment of pnnc~pal of and interest on the Series 2002 Bonds when due will be guaranteed under an
insurance pohcy to be ~ssued concurrently v~th the dehvery of the Series 2002 Bonds by:
FINANCIAL SECURITY ASSURANCE INC
For a dascussaon of the terms and provismns of such policy, including the limatanons, see "BOND INSURANCE," hereto.
Tbas cover page contmns certain informatton for qtuck reference only. It ~s not a summary of the ~ssue. Investors must
read the entire Official Statement to obtain mformanon essential to the making of an anformed investment decision.
The Series 2002 Bonds are offered when, as and ff assued, subject to approval as to legahty by Greenburg Traurig, P.A.,
West Palm Beach, Florida, Bond Counsel to the C~ty, and certain other concht~ons. Certain legal matters will be passed on for the
C~ty by ~ts C~ty Attorney, Susan A Ruby, Esq Certain legal matters will be passed upon for the Underwriter by ars counsel, Blank
Rome Cormsky & McCauley LLP, Boca Raton, Florida and Ptuladelptua, Pennsylvama Pubhc Ftnanoal Management, lnc.
Orlando, Florida, served as fmancml advisor to the C~ty in connecnon w~th the ~ssuance of the Series 2002 Bonds It as expected
that the Series 2002 Bonds m defmauve form will be available for dehvery through the facfliues of DTC m New York, New York,
on or about December 19, 2002
Bear Stearns & Co., Inc.
* Prehmmary, sublect to change.
017005 00303/21071035v5 [
MATURITIES, AMOUNTS, INTEREST RATES,
YIELDS, PRICES AND CUSIP NUMBERS
Mamri~
Principal Interest
Amount Rate Yield Price
CUSIP
NUMBERS
CITY OF DELRAY BEACH, FLORIDA
CITY COMMISSION
David W. Schmidt, Mayor
Jeff Perlman, Vice Mayor
Patricia Langley Archer, Deputy Vice Mayor
Jon tL Levinson, Commissioner
Alberta Perry McCarthy, Commissioner
CITY OFFICIALS
David T. HaMen, City Manager
Joseph M. Safford, Finance Director
Rebecca S. O'connor, Treasurer
Richard C. Hasko, Director of Environmental Services
Randall Krejcarek, City Engineer
Barbara Garito, City Clerk
CITY ATTORNEY
Susan A. Ruby, Esquire
BOND COUNSEL
Greenbevg Traurig, P.K
West Palm Beach, Florida
UNDERWRITER'S COUNSEL
Blank Rome Comisky & McCauley LLP
Boca Raton, Florida and Philadelphia, Pennsylvania
FINANCIAL ADVISOR
Public Financial Managemem, Inc.
Orlando, Florida
No dealer, broker, salesperson or other person has been authorized bythe City or the Underwriter to
give any information or to make any representations with respect to the Series 2002 Bonds other than those
comained in this Official Statement and, ff given or made, such infonmtion or representations must not be
relied upon as having been authorized by any of the foregoing. This Official Statement is not to be con_strued
as a contract with the purchasers of the Series 2002 Bonds. This Official Statement does not constitute an
offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the Series 2002 Bonds by any
person in any jurisdiction in which it is unlawful for such person to make such offer, solicitation or sale.
The iv_formation set forth herein has been obtained from the City, Financial Security Assurance Inc.
("Financial Security"), DTC and other sources which are believed to be reliable but it is not guaranteed as to
accuracy or completeness by, and is not to be construed as a representation of, the Underwriter. The City
makes no representation as to any information from sources other than the information provided by the City.
The information and expressions of opinion herein are subject to change without notice, and, neither the
delivery of this Official Statement nor any sale of Series 2002 Bonds, under any circumstances, create any
implication that there has been no change in any information set forth herein since the date hereof or the date
as of which particular information is given, if earlier. This Official Statement is not to be construed as a
contract or agreement between the City or the Underwriter and the purchasers or owners, from time to time,
of any of the Series 2002 Bonds.
IN CONNECTION WITH THIS OFFERING, THE UNDERWRITER MAY OVERAI.I.OT OR
EFFECT TRANSACTIONS WHICIq STABILIZE OR MAINTAIN THE MARKET PRICE OF THE
SERIES 2002 BONDS AT LEVELS ABOVE THAT WHICH MIGHT OTHERWISE PREVAIL IN THE
OPEN MARKET. SUCH STABILIZING, IF COMMENCED, MAY BE DISCONTINUED AT ANY
The following Official Statement contains a general description of the Series 2002 Bonds and sets
forth certain information about the City. All summaries and descriptions herein of documents, instruments
and agreements, including the Series 2002 Bonds, are qualified in their entirety by reference to the complete,
definitive forms of the Series 2002 Bonds and such documents, instruments and agreements, copies of which
are on file at the office of the Paying Agent.
THE SERIES 2002 BONDS HAVE NOT BEEN REGISTERED WITH THE SECURITIES
AND EXCHANGE COMMISSION UNDER THE SECURITIES ACT OF 1933, AS AMENDED, IN
RELIANCE UPON EXEMPTIONS CONTAINED IN SUCH ACT. THE REGISTRATION OR
QUALIFICATION OF THE SERIES 2002 BONDS IN ACCORDANCE WITH APPLICABLE
PROVISIONS OF THE SECURITIES LAWS OF CERTAIN STATES, IF ANY, IN WHICH THE
SERIES 2002 BONDS HAVE BEEN REGISTERED OR QUALIFIED AND THE EXEMPTION
FROM REGISTRATION OR QUALIFICATION IN CERTAIN OTHER STATES CANNOT BE
REGARDED AS A RECOMMENDATION THEREOF. NEITHER THESE STATES NOR ANY OF
THEIR AGENCIES HAVE PASSED UPON THE MERITS OF THE SERIES 2002 BONDS OR THE
ACCURACY OR COMPLETENESS OF THIS OFFICIAL STATEMENT. ANY REPRESENTATION
TO THE CONTRARY MAY BE A CRIMINAL OFFENSE.
Other than with respect to information concerning Financial Security contained under the caption
"BOND INSURANCE" and Appendix D specimen "Municipal Bond Insurance Policy" herein, none of the
information in this Official Statement has been supplied or verified by Financial Security and Financial
Security makes no representation or warranty, express or implied, as to (i) the accuracy or completeness of
such information; (ii) the validity of the Series 2002 Bonds; or ('fii) the tax-exempt status of the interest on the
Series 2002 Bonds.
TABLE OF CONTENTS
Page
INTRODUCTION ........................................................................................................................................... 1
PURPOSE OF SERIES 2002 BONDS ......................................................................................................... 1
PLAN OF REFUNDING - SERIES 2002 BONDS .................................................................................. 2
SOURCES AND USES OF FUNDS ............................................................................................................ 2
DESCRIPTION OF THE SERIES 2002 BONDS .................................................................................... 3
General .......................................................................................................................................................... 3
Book-Entry Only System ........................................................................................................................... 3
Discontinuance of Book-Entry Only System. ......................................................................................... 6
Redemption .................................................................................................................................................. 7
SECURITY FOR THE SERIES 2002 BONDS .......................................................................................... 7
Pledge of Ad Valorem Taxes ..................................................................................................................... 7
Assessments ................................................................................................................................................. 7
Collections .................................................................................................................................................... 8
Delinquent Taxes ......................................................................................................................................... 8
TAX TABLES .................................................................................................................................................
BOND INSURANCE .................................................................................................................................... 13
Bond Insurance Policy .............................................................................................................................. 13
Financial Security Assurance Inc ............................................................................................................. 13
THE CITY ....................................................................................................................................................... 14
Location and Size ...................................................................................................................................... 14
Brief Description ....................................................................................................................................... 14
Budgeting, Accounting and Auditing ..................................................................................................... 14
Operating Budget for Fiscal Year Ended September 30, 2001 .......................................................... 15
State Assessment Cap ............................................................................................................................... 15
LEGAL DEBT LIMITATIONS .................................................................................................................. 16
The Florida Constitution .......................................................................................................................... 16
DEBT S~Y ......................................................................................................................................... 16
Selected Debt Data .................................................................................................................................... 16
RATINGS ......................................................................................................................................................... 21
LEGALITY ...................................................................................................................................................... 21
TAX EXEMPTION ....................................................................................................................................... 21
UNDERWRITING ........................................................................................................................................ 23
CONTINUING DISCLOSURE UNDERTAKING ............................................................................... 23
ENFORCEABILITY OF REMEDIES ...................................................................................................... 26
LITIGATION ................................................................................................................................................. 26
GENERAL PURPOSE FINANCIAL STATEMENTS .......................................................................... 26
FINANCIAL ADVISOR ............................................................................................................................... 27
VERIFICATION OF MATHEMATICAL COMPUTATIONS ........................................................... 27
MISCELLANEOUS ....................................................................................................................................... 27
AUTHORIZATION OF AND CERTIFICATION CONCERNING OFFICIAL STATEMENT28
APPENDIX A
-GENERAL INFORMATION CONCERNING CITY OF DELRAY BEACH
FLORIDA AND PAI2Vl BEACH COUNTY
APPENDIX B
APPENDIX C
APPENDIX D
- CITY OF DELRAY BEACH, FLORIDA GENERAL PURPOSE FINANCIAL
STATEMENTS AND OTHER INFORMATION FOR THE FISCAL YEAR
ENDED SEPTEMBER 30, 2001
- FORM OF APPROVING OPINION OF BOND COUNSEL
- SPEC[MEN MUNICIPAL BOND INSURANCE POLICY
OFFICIAL STATEMENT
$18,000,000'
The City of Delray Beach, Florida
General Obligation Refunding Bonds, Series 2002
(Decade of Excellence Program)
INTRODUCTION
The purpose of this Official Statement, which includes its cover page and certain enclosed
Appendices, is to furnish information with respect to the issuance by the City of Delray Beach,
Florida (the "City") of its General Obligation Refunding Bonds, Series 2002 (Decade of Excellence
Program) (the "Series 2002 Bonds") in the aggregate principal amount of $ ! 8,000,000'.
The Series 2002 Bonds are being issued under the authority of and in full compliance with
the Constitution and, laws of the State of Florida, including Chapter 166, Florida Statutes, as
amended and supplemented, the City Charter, as amended and supplemented, and other applicable
provisions of law. The Series 2002 Bonds are being issued more specifically pursuant to Resolution
No. 77-89 (the "Referendum Resolution"), adopted by the City Commission of the City (the
"Commission") on October 16, 1989, Resolution No. 91-02, adopted by the Commission on
December 3, 2002 and Resolution No. 92-02, a series resolution adopted by the Commission on
December 3, 2002, which authorized the issuance by the City of up to $18,000,000 in General
Obligation Bonds in one or more series and sets forth the details of the Series 2002 Bonds (the
"Series 2002 Resolution" and together with the Referendum Resolution, the "Resolution"). The
City previously issued its $10,210,000 General Obligation Bonds, Series 1993 A (Decade of
Excellence Program) (the "1993 A Bonds") and its $8,835,000 General Obligation Refunding and
Bonds, Series 1993 B (Decade of Excellence Program (the "1993 B Bonds") of which $10,050,000
and $6,905,000 remain outstanding, respectively (together the "1993 Bonds").
Capitalized terms not otherwise defined in this Official Statement shall have the same
meanings assigned to such terms in the Resolution. The description of the Series 2002 Bonds, the
Resolutions, the description of certain statutory provisions and the information from various reports
and statements contained in this Official Statement are not comprehensive or definitive. All
references to such documents, reports and statements are qualified by the actual content of such
documents, reports and statements, copies of which may be obtained by contacting the Director of
Finance, City of Delray Beach, Florida, 100 NW, First Avenue, Delray Beach, FL 33444, (561) 243-
7115 or during the offering period of the Series 2002 Bonds from Public Financial Management,
Inc., financial advisor to the City, (407) 648-2208.
PURPOSE OF SERIES 2002 BONDS
The Series 2002 Bonds will be issued by the City to (~ pay the cost of refunding, on a
current basis, $10,050,000 aggregate principal amount of the 1993 A Bonds and $6,905,000
aggregate principal amount of the 1993 B Bonds (together, the "Refunded Bonds"); and (h) pay the
costs of issuance of the Series 2002 Bonds.
* Preliminary, subject to change.
PLAN OF REFUNDING - SERIES 2002 BONDS
The current refunding is being undertaken for the purpose of effectuating debt service cost
savings to the City. The monies required to refund the Refunded Bonds will be derived from the
proceeds of the sale of the Series 2002 Bonds and other legally available funds of the City. Such
monies will be irrevocably deposited with Wells Fargo Bank, National Association, as escrow agent
for the Refunded Bonds (the "Escrow Agent") pursuant to an Escrow Deposit Agreement (the
"Escrow Deposit Agreement"), by and between the City and the Escrow Agent. The Escrow
Deposit Agreement requires the Escrow Agent to use certain of the monies held in escrow
thereunder to purchase direct obligations of the United States of America (such direct obligations of
the United States of America are referred to collectively as the "Government Obligations"). The
Government Obligations will mature at such times in such amounts so that sufficient monies will be
available from such maturing principal, together with interest income from the Government
Obligations, and cash balances, if any, to make payments of principal of, redemption premium and
interest on the Refunded Bonds on February 1, 2003. See "VERIFICATION OF
MATHEMATICAL COMPUTATIONS", herein.
The Series 2002 Bonds shall be issued at a lower net average interest cost rate than the net
average interest cost rate of the Refunded Bonds and, as a result of the current refunding of the
Refunded Bonds, the City and its taxpayers will realize economic benefits.
SOURCES AND USES OF FUNDS
The proceeds to be received from the sale of the Series 2002 Bonds are expected to be
applied as follows:
Sources of Funds
Principal Amount of Series 2002 Bonds .........................................................................
Less Original Issue Discount ............................................................................................
Accrued Interest ..................................................................................................................
Other Legally Available Monies .......................................................................................
Total Sources of Funds .........................................................
Uses of Funds
Deposit to Interest Account (1)
Deposk to the Escrow Fund (2) .......................................................................................
Underwriter's Discount ......................................................................................................
Costs of Issuance(3) ...........................................................................................................
Total Sources of Funds .........................................................
(2)
(3)
Represents Accrued Interest.
To be used to purchase Government Obligations.
Includes a portion of the premium for the Municipal Bond Insurance Policy.
DESCRIPTION OF THE SERIES 2002 BONDS
The Series 2002 Bonds will be dated December 1, 2002 and will mature on February 1 of the
years and in the principal amounts set forth on the inside cover page hereof. The Series 2002 Bonds
will be initially issued only in the form of fully registered bonds in denominations of $5,000 or any
integral multiple thereof. Interest on the Series 2002 Bonds is payable semiannually commencing
February 1, 2003, and each August 1 and February 1 thereafter at the rates per annum set forth on
the inside cover page hereof. Wells Fargo Bank, National Association, having a designated
corporate trust office in Coral Springs, Florida, will serve as bond registrar ("Bond Registrar") and
paying agent (the "Paying Agent") for the Series 2002 Bonds. The Series 2002 Bonds will be issued
as fully registered Bonds and, when issued, will be registered in the name of Cede & Co., as nominee
of the Depository Trust Company, New York, New York ("DTC").
So long as the Series 2002 Bonds shall be in book-entry form, the principal of and interest
on such Series 2002 Bonds is payable by check or draft mailed or wire transfer to Cede & CO., as
nominee of DTC and registered owners thereof for redistribution by DTC to the DTC Participants
(as herein defined) and in turn to Beneficial Owners (as herein defined) as described below under
"Book-Entry Only System". If the book-entry system should be discontinued, certificated Series
2002 Bonds will be issued to the Beneficial Owners, who will then become the registered owners
thereof. See "Discontinuance of Book-Entry OnlySystem" below.
Book-Entry Only System
The Depository Trust Company ("DTC"), New York, New York, will act as securities
depository for the Series 2002 Bonds under a book-entry system with no physical distribution of the
Series 2002 Bonds made to the public. The Series 2002 Bonds will initially be issued as fully-
registered securities, registered in the name of Cede & Co. (DTC's partnership nominee), or such
other name as may be requested by an authorized representative of DTC. One fully-registered
Series 2002 Bond certificate will be issued for the aggregate principal amount of each maturity of the
Series 2002 Bonds and will be deposited with DTC~
DTC, the world's largest depository, is a limited-purpose trust company organized under the
New York Banking Law, a "banking organization" within the meaning of the New York Banking
Law, a member of the Federal Reserve System, a "cleating corporation" within the meaning of the
New York Uniform Commercial Code, and a "cleating agency" registered pursuant to the provisions
of Section 17A of the Securities Exchange Act of 1934, as amended. DTC holds and provides asset
servicing for over 2 milh'on issues of U.S. and non-U.S, equity issues, corporate and municipal debt
issues, and money market instruments from over 85 countries that DTC's participants ("Direct
Participants") deposit with DTC. DTC also facilitates the post-trade settlement among Direct
Participants of securities transactions, such as transfers and pledges, in deposited securities through
electronic computerized book-entry changes in Direct Participants' accounts, thereby eliminating the
need for physical movement of securities certificates. Direct Participants include both U.S. and non-
U.S. securities brokers and dealers, banks, trust companies, clearing corporations, and certain other
organizations. DTC is a wholly-owned subsidiary of The Depository Trust & Clearing Corporation
3
("DTCC"). DTCC, in mm, is owned by a number of its Direct Participants and members of the
National Securities Clearing Corporation, Government Securities Clearing Corporation, MBS
Clearing Corporation and Emerging Markets Clearing Corporation (NSC~ GSCC, MBSCC and
EMC~ also subsidiaries of DTCC), as well as bythe New York Stock Exchange, Inc., the American
Stock Exchange, LLC and the National Association of Securities Dealers, Inc. Access to the DTC
system is also available to others such as both U.S. and non-U.S, securities brokers and dealers,
banks and trust companies that clear through or maintain a custodial rehtionship with a Direct
Participant, either directly or indirectly ("Indirect Participants"). The rules applicable to DTC and
its Direct and Indirect Participants are on file with the Securities and Exchange Commission. More
information about DTC can be found at www. dtcc.com.
Purchases of the Series 2002 Bonds under the DTC system must be made by or through
Direct Participants, which will receive a credit for the Series 2002 Bonds on DTC's records. The
ownership interest of each actual purchaser of each Series 2002 Bond ("Beneficial Owner") is in
turn to be recorded on the Direct and Indirect Participants' records. Beneficial Owners will not
receive written confirmation from DTC of their purchase, but Beneficial Owners are expected to
receive written confirmations providing details of the transaction, as well as periodic statements of
their holdings, from the Direct or Indirect Participant through which the Beneficial Owner entered
into the transaction. Transfers of ownership interests in the Series 2002 Bonds are to be
accomplished by entries made on the books of Direct and Indirect Participants acting on behalf of
Beneficial Owners. Beneficial Owners will not receive certificates representing their ownership
interests in the Bonds, except in the event that use of the book-entry system for the Series 2002
Bonds is discontinued.
To facilitate subsequent transfers, all Series 2002 Bonds deposited by Direct Participants
with DTC are registered in the name of DTC's partnership nominee, Cede & Co., or such other
name as may be requested by an authorized representative of DTC The deposk of Series 2002
Bonds with DTC and their registration in the name of Cede & Co., or such other DTC nominee,
does not effect any change in beneficial ownership. DTC has no knowledge of the actual Beneficial
Owners of the Series 2002 Bonds; DTC's records reflect only the identity of the Direct Participants
to whose accounts such Bonds are credited, which may or may not be the Beneficial Owners. The
Direct and Indirect Participants will remain responsible for keeping account of their holdings on
behalf of their customers.
Conveyance of notices and other communications by DTC to Direct Participants, by Direct
Participants to Indirect Participants, and by Direct Participants and Indirect Participants to
Beneficial Owners will be governed by arrangements among them, subject to any statutory or
regulatory requirements as may be in effect from time to time. Beneficial Owners of Series 2002
Bonds may wish to take certain steps to augment transmission to them of notices of significant
events with respect to the Series 2002 Bonds, such as redemptions, tenders, defaults and proposed
amendments to the Series 2002 Bond documents. For example, Beneficial Owners of Series 2002
Bonds may wish to ascertain that the nominee holding the Series 2002 Bonds for their benefit has
agreed to obtain and transmit notices to Beneficial Owners, or in the alternative, Beneficial Owners
may wish to provide their names and addresses to the Paying Agent and request that copies of the
nonces be provided direcdy to them.
4
Redemption notices shall be sero to DTC If less than all of the Series 2002 Bonds within an
issue are being redeemed, DTC's practice is to determine by lot the amount of the interest of each
Direct Participant in such issue to be redeemed.
Neither DTC nor Cede & Co. (nor such other DTC nominee) will consent or vote with
respect to the Series 2002 Bonds unless authorized by a Direct Participant in accordance with DTC's
procedures. Under its usual procedures, DTC mails an Omnibus Proxyto the Paying Agem as soon
as possible after the record date. The Omnibus Proxy assigns Cede & Co.'s consenting or voting
rights to those Direct Participants to whose accounts the Series 2002 Bonds are credited on the
record date (identified in a listing attached to the Omnibus Proxy).
Principal, premium, if any, and interest payments on the Series 2002 Bonds will be made to
Cede & Co., or such other nominee as may be requested by an authorized represemative of DTC,
DTC's practice is to credk Direct Participants' accounts' upon DTC's receipt of funds and
corresponding detail information from the City or Paying Agent, on the payable date in accordance
with their respective holdings shown on DTC's records. Payments by Direct and Indirect
Participants to Beneficial Owners will be governed by standing instructions and customary practices,
as is the case with securities held for the accounts of customers in bearer form or registered in
"street name," and will be the responsibility of such Direct and Indirect Participants and not of
DTC (or ks nominee), the City or the Paying Agent subject to any statutory or regulatory
requirements as may be in effect from time to time. Payment of principal, premium, if any, and
interest to Cede & Co. (or such other nominee as may be requested by an authorized representative
of DTC) is the responsibility of the Paying Agent, disbursement of such payments to Direct
Participants shall be the respomibility of DTC, and disbursement of such payments to the Beneficial
Owners shall be the responsibility of Direct and Indirect Participants.
DTC may discontinue providing its services as securities deposkory with respect to the
Series 2002 Bonds at any time by giving reasonable notice to the City or the Paying Agent. Under
such circumstances, in the event that a successor securities depository is not obtained, Series 2002
Bond certificates are required to be prepared, executed and delivered.
The City may decide to discontinue use of the system of book-emry transfers through DTC
(or a successor securities depository,. In that event, either a successor securities depository will be
selected bythe City or Series 2002 Bond certificates will be prepared, executed and delivered.
In the evem of insolvency of DTC, if DTC has insufficiem securities in its custody (e.g., due
to theft or loss) to satisfy the claims of its Direct Participants with respect to deposited securities
and is unable by application of (i) cash deposits and securities pledged to DTC to protect DTC
against losses and liabilities, (ii) the proceeds of insurance maintained by DTC and/or its Direct
Participants or Indirect Participants or ('fii) other resources, to obtain securities necessary to
eliminate the insufficiency, no assurances can be given that Direct Participants will be able to obtain
all of their deposited securities.
THE CITY, THE BOND REGISTRAR AND THE PAYING AGENT WILL NOT
HAVE ANY RESPONSIBILITY OR OBLIGATION TO DTC PARTICIPANTS,
BENEFICIAL OWNERS OR OTHER NOMINEES OF SUCH BENEFICIAL OWNERS
FOR (A) SENDING TRANSACTION STATEMENTS; (B) MAINTMNING,
SUPERVISING OR REVIEWING THE ACCURACY OF ANY RECORDS
MAINTAINED BY DTC OR ANY DTC PARTICIPANT OR OTHER NOMINEES OF
SUCH BENEFICIAL OWNERS; (C) PAYMENT OR THE TIMELINESS OF
PAYMENT BY DTC TO ANY DTC PARTICIPANT, OR BY ANY DTC PARTICIPANT
OR OTHER NOMINEES OF BENEFICIAL OWNERS TO ANY BENEFICIAL
OWNER, OF ANY AMOUNT DUE IN RESPECT OF THE PRINCIPAL OF OR
REDEMPTION PREMIUM, IF ANY, OR INTEREST ON BOOK-ENTRY SERIES 2002
BONDS; (D) DELIVERY OR TIMELY DELIVERY BY DTC TO ANY DTC
PARTICIPANT, OR BY ANY DTC PARTICIPANT OR OTHER NOMINEES OF
BENEFICIAL OWNERS TO ANY BENEFICIAL OWNERS, OF ANY NOTICE
(INCLUDING NOTICE OF REDEMPTION) OR OTHER COMMUNICATION
WHICH IS REQUIRED OR PERMITTED UNDER THE TERMS OF THE
RESOLUTION TO BE GIVEN TO HOLDERS OR OWNERS OF BOOK-ENTRY
SERIES 2002 BONDS; (E) THE SELECTION OF THE BENEFICIAL OWNERS TO
RECEIVE PAYMENT IN THE EVENT OF ANY PARTIAL REDEMPTION OF BOOK-
ENTRY SERIES 2002 BONDS, OR (F) ANY ACTION TAKEN BY DTC OR ITS
NOMINEE AS THE REGISTERED OWNER OF THE BOOK-ENTRY SERIES 2002
BONDS.
The information in this section concerning DTC and DTC's book-entry system has been
obtained from DTC and other sources that the City believes to be reliable, but the City takes no
responsibility for the accuracy thereof.
Discontinuance of Book-Entry Only System
General. In the event that the book-entry system is discontinued and the Beneficial Owners
become the registered owners of the Series 2002 Bonds, interest on each Series 2002 Bond will be
paid by check or draft of the Paying Agent mailed to the person in whose name the Series 2002
Bond is registered, on the fifteenth (15 TM) day of the month next preceding each interest payment
date (the "Record Date"), provided however, at the request of any holder of at least $1,000,000
aggregate principal amount of a Series 2002 Bond, interest may be payable by wire transfer to the
bank account number on file with the Paying Agent on or before the Record Date. Principal of, and
redemption premium, if any, on the Series 2002 Bonds will be payable upon presentation and
surrender of the Series 2002 Bonds at the designated corporate trust office of the Paying Agent.
Negotiability, Registration and Cancellation. At the option of any registered owner of
the Series 2002 Bonds and upon surrender at the designated corporate trust office of the Bond
Registrar with a written instrument of transfer satisfactory to the Bond Registrar duly executed by
the registered owner or his duly authorized attorney and upon payment by such holder of any
charges which the Bond Registrar or the City must make, the Series 2002 Bonds may be exchanged
for Series 2002 Bonds of the same maturity of any other authorized denominations.
The Bond Registrar shall keep books for the registration of Series 2002 Bonds and
for the registration of transfers of Series 2002 Bonds as provided in the Resolution. The Series 2002
Bonds shall be transferable by the registered owner thereof in person or by his attorney duly
authorized in writing only upon the books of the City kept by the Bond Registrar and only upon
surrender thereof together with a written instrument of transfer satisfactory to the Bond Registrar
duly executed by the registered holder or his authorized attomey. Upon the transfer of any such
Series 2002 Bonds, the City shall issue in the name of the transferee a new Series 2002 Bond or
Series 2002 Bonds.
The City, the Paying Agent and the Bond Registrar shall deem and treat the person
whose name any Series 2002 Bond shall be registered upon the books kept by the Bond Registrar as
the absolute owner of such Series 2002 bond, whether such Series 2002 Bond shall be overdue or
not, for the purpose of receiving payment of, or on account of, the principal of and interest on such
Series 2002 Bond as the same becomes due and for all other purposes. All such payments so made
to any such registered holder or upon his order shall be valid and effectual to satisfy and discharge
the liability upon such Series 2002 Bond to the extent of the sum or sums so paid, and neither the
City, the Paying Agent, nor the Bond Registrar shall be affected by any notice to the contrary.
Transfer and Exchange. In all cases in which the privilege of exchanging Series 2002
Bonds or transferring Series 2002 Bonds is exercised, the City shall execute and the Bond Registrar
shall authenticate and deliver Series 2002 Bonds in accordance with the provision of the Resolution.
All Series 2002 Bonds surrendered in any such exchanges or transfers shall forthwith be delivered to
the Bond Registrar and cancelled by the Bond Registrar in the manner provided by the Resolution.
There shall be no charge for any such exchange or transfer of Series 2002 Bonds, but the City or the
Bond Registrar may require payment of a sum sufficient to pay tax, fee or other governmental
charges required to be paid with respect to such exchange or transfer. Neither the City nor the Bond
Registrar shall be required to transfer or exchange Series 2002 Bonds for a period from the Record
Date to the next ensuing payment date on such Series 2002 Bonds.
Redemption
The Series 2002 Bonds are not subject to optional redemption or mandatory sinking fund
redemption prior to their stated maturity.
SECURITY FOR THE SERIES 2002 BONDS .
Pledge of Ad Valorem Taxes
The Series 2002 Bonds are general obligations of the City for which its full faith, credit and
taxing power have been irrevocably pledged. The Series 2002 Bonds are payable from unlima'ted ad
valorem taxes levied on all taxable property located in the City (excluding homestead exemptions) as
required by applicable law. The taxes assessed, levied and collected for the security and payment of
the Series 2002 Bonds are required, pursuant to the terms of the Resolution, to be assessed, levied
and collected in the same manner and at the same time as other taxes, and the proceeds of said
taxes, except as described above and in the Resolution, are to be applied solelyto the payment of the
principal of, premium, if, any, and interest on the Series 2002 Bonds. All ad valorem taxes collected
for the Series 2002 Bonds shall be deposited in a special fund known as the "Sinking Fund" which
was created and established by the Resolution. Moneys on deposit in the Sinking Fund will be used
solely for the payment of principal of, redemption premium, if any, and interest due on the Series
2002 Bonds.
Assessments
Under Florida law, all taxable real property and personal property must be assessed at fair
market value, with some exceptions. Real and personal property valuations are determined each year
as of January 1 by the Palm Beach County Property Appraiser's office. The assessment roll for real
property is prepared between January and July 1, and each taxpayer is given notice by mail of its
proposed assessed property value.
The property owner has the right to file an appeal with the Value Adjustment Board, which
considers petitions renting to assessments and exemptions. A property owner who objects to a
determination by the Value Adjustment Board may file an appeal in Circuit Court. The Value
Adjustment Board certifies the assessment roll upon completion of the hearing of all appeals, other
than those to the Circuit Court. Millage rates are then computed by the various taxing authorities
and certified to the Property Appraiser, who applies the millage rates to the assessment roll to create
the tax roll. The tax roll is then turned over to the Tax Collector for collection.
The Florida Constitution entitles each real property owner who is a permanent resident of
the State as of January 1 to a $25,000 homestead exemption on his or her primary residential
property. In addition, the following uses of real property are generally exempt from ad valorem
taxation: religious, educational, charitable, scientific, literary and governmental. There are also
special exemptions for widows, aged persons and disabled veterans. The tax on personal property
covers only tangible personal property and exempts, among other things, household goods and
personal effects and inventory.
Collections
All real and personal property taxes are due and payable on November 1 of each year, or as
soon thereafter as the tax roll is certified and delivered to the Tax Collector. A notice is mailed to
each property owner on the tax roll for taxes levied by the County, school board and other taxing
authorities. Taxes may be paid upon receipt of such notice, with discounts at the rate of 4% if paid
in the month of November, 3% if paid in the month of December, 2% if paid in the month of
January; and 1% if paid in the month of February. Taxes paid during the month of March are
without discount. All unpaid real and personal property taxes become delinquent on April 1 of the
year following the following the year in which the taxes are levied.
Delinquent Taxes
In the event of a delinquency in the payment of taxes on real property, the County Tax
Collector is required to sell tax certificates on such property to the person who pays the delinquent
taxes and interest and certain costs and charges relating thereto, and who accepts the lowest interest
rate per annum to be borne by the certificates (which shall in no event be more than eighteen
percent (18%) per annum). Delinquent taxes may be paid by a taxpayer prior to the date of sale of a
tax certificate by the payment of such taxes, together with interest and all costs and charges relating
thereto. Tax certificates are sold by public bid, and in case there are no bidders, the certificate is
issued to the County without payment of the delinquent taxes in which the assessed lands are
located. Proceeds from the sale of tax certificates are required to be used to pay taxes, interest, costs
and charges on the hnd described in the certificate.
County-held tax certificates may be purchased, and any tax certificate may be redeemed, in
whole or in part, by any person at any time before a tax deed is issued or the property is phced on
the list of lands available for sale, at a price equal to the face amount of the certificate or portion
thereof, together with all interest, costs, and charges due. The proceeds of such a redemption are
paid to the County Tax Collector who transmits to the holder of the certificate such proceeds less
service charges, and the certificate is cancelled. Any holder, other than the County, of a tax
certificate which has not been redeemed has seven (7) years from the date of issuance of the tax
certificate during which to act against the land that is the subject of the tax certificate.
After an initial period ending two (2) years from April 1 of the year of issuance of a tax
certificate, dttfing which period actions against the land are held in abeyance (except with respect to
Coun~held certificates) to allow for sales and redemptions of tax certificates, the holder of a
certificate may apply for a tax deed to the subject land. The applicant, other than the County, is
required to pay to the County Tax Collector all amounts required to redeem or purchase all
outstanding tax certificates not held by the applicant covering the land, any omitted taxes or
delinquent taxes, current taxes, and interest if due, covering the hnd. If the County holds a tax
certificate and has not succeeded in selling k, the County must apply for a tax deed within two (2)
years after April 1 of the year of issuance. The County pays costs and fees to the County Tax
Collector but not any amount to redeem any other outstanding certificates covering the land.
Thereafter, the property is advertised for public sale.
In any such public sale, the private holder of the tax certificate who is seeking a tax deed for
non-homestead property is deemed to submit a minimum bid equal to the amount required to
redeem the tax certificate, charges for the cost of sale, redemption of other tax certificates on the
hnd, and the amount paid by such holder in applying for the tax deed, plus interest thereon. In the
case of homestead property, the bid is also deemed to include an amount equal to one-half (1/2) of
the latest assessed value of the homestead. If there are no higher bidders, the holder receives fide to
the land and the amounts paid for the certificate and in applying for a tax deed are credited towards
the purchase price. If there are higher bidders, the holder may enter the bidding. The highest bidder
is awarded tide to the land. The portion of the proceeds of such sale needed to redeem the tax
certificate (and all other amounts paid by such holder in applying for a tax deed), plus interest, are
forwarded to the holder thereof or credited to such holder if such holder is the successful bidder.
Excess proceeds are distributed first to satisfy governmental liens against the land and then to the
former tide holder of the property (less service charges), lienholders of record, mortgagees of
record, vendees of recorded contracts for deeds, and other lienholders and any other person to
9
whom the land was assessed on the tax roll for the year in which the land was assessed, all as their
interests may appear.
If there are no bidders at the public sale, the County may at my time within ninety (90) days
from the date of offering for public sale purchase the hnd for a statutorily prescribed minimum bid.
After ninety (90) days have passed, any person, or governmental unit may purchase the hnd by
paying the amount of the minimum bid. Seven (7) years from the date of offering for public sale,
unsold lands escheat to the County.
For a discussion of the constitutional limitation on the annual increase in assessed valuation
of homestead (primary residence) property, see "THE CITY-State Assessment Cap" herein.
TAX TABLES
PRINCIPAL TAXPAYERS
Taxpayer
St. Stephen Limited Partnership
atadon Club
Office Depot, Inc.
Delray Intracoastal
Ocean Property LTD
Palm Beach County Health Facilities
Morse Operations, Inc.
Depot Realty
Arbors Associates, Ltd.
Minto Builders Florida, Inc.
Vinings of DelrayBeach Apartments
2001 Percentage
Taxes of Total
Levied Taxes Levied {1)
$796,979 2.82%
780,016 2.76%
749,562 2.66%
607,053 2.15%
533,173 1.89%
489,052 1.73%
474,603 1.68%
472,209 1.67%
416,173 1.47%
392,555 1.39%
381,570 1.35%
$6.092.94~5 21.57%
Source: Comprehensive Annual Financial Report of the Citydated September 30, 2001.
(1) Total taxes levied for fiscal year 2001 are $28,226,628.
10
CITY OF DELRAY BEACH, FLORIDA
ASSESSED VALUE OF TAXABLE PROPERTY (1)
LAST TEN FISCAL YEARS
Personal
Fiscal Real Property Property Centrally Total
Year Ended Assessed Value Assessed Value Assessed Value Assessed Value
1993 $2,314,958,934 $154,923,605 $ 988,348 $2,470,870,887
1994 2,273,414,571 161,191,710 874,344 2,435,480,625
1995 2,285,093,258 182,359,842 1,080,285 2,468,533,385
1996 2,345,831,009 194,562,246 1,190,016 2,541,583,271
1997 2,415,411,016 214,958,684 1,180,501 2,631,550,201
1998 2,526,205,305 231,129,006 1,602,085 2,758,936,396
1999 2,726,830~16 235,458,142 1,538,111 2,963,826,969
2000 2,908,069,980 260,128,321 1,625,553 3,169,823,854
2001 3,108,896,577 283,054,206 1,622,853 3,393,573,636
2002 3,468,908,654 289,581,133 1,589,665 3,760,079,452
Source: Palm Beach CountyProperty Appraiser's Office.
(1) Not Audited.
CITY OF DELRAY BEACH, FLORIDA
PROPERTY TAX LEVIES AND COLLECTIONS
Fiscal Total Total Outsta~rling
Year Current Percent Delinquent Property Collections Outstanding Delinquent
Ended Net Tax Tax Of Levy Tax Tax as a % of Delinquent Taxes of % of
9/30 Levy (1) Collections Collected Collections Collections Current Levy Taxes Current Le.vy
1993 $17,160,647 $16,935,644 98.69% $80,336 $17,015,980 99.16% $640,208 3.73%
1994 18,888,080 18,712,867 99.07 61,001 18,773,868 99.40 708,344 3.75
1995 18,994,194 18,837,457 99.17 113,520 18,950,977 99.77 727,734 3.83
1996 19,422,203 19,297,375 99.36 76,933 19,374,308 99.75 770,330 3.97
1997 20,004,670 19,910,114 99.53 36,456 19,946,570 99.71 824,842 4.12
1998 20,821,315 20,731,763 99.57 323,954 21,055,717 101.12 590,440 2.83
1999 22,099,064 21,996,762 99.54 35,853 22,032,615 99.70 652,726 2.95
2000 23,465,518 23,345,095 99.49 84,164 23,429,259 99.85 678,916 2.89
2001 26,105,220 25,968,855 99.48 74,076 26,042,931 99.76 729,262 2.79
2002 29,084,111 28,938,206 99.50 73,040 29,011,246 99.75 792,294 2.72
Source: Comprehensive Annual Financial Report of DelrayBeach, September 30, 2001.
Note: All property taxes are assessed and collected by Palm Beach County without charge to the Gty, and
collections are distributed in full as collected.
(1) Tax Levy net of allowable discounts.
11
CITY OF DELRAY BEACH, FLORIDA
PROPERTY TAX RATES OF ALL OVERLAPPING GOVERNMENTS
Last Ten Tax Years
(Per $1,000 of Assessed Value)
Palm South
Fiscal Beach Florida
Year Palm Health Water
Ended General Debt City School Beach Care Management
Sept. 30 Fund Service Total District County District District Total
1994 6.8600 1.1400 8 0000 10.0630 4.5499 1 4750 0.5970 24.6849
1995 6.8800 1.0700 7.9500 10.1850 4.5193 1.4500 0.5970 24.7013
1996 6.8700 1.0300 7.9000 9.8170 4.5191 1.4500 0.6470 24.3331
1997 6.9500 0.9000 7.8500 9.7880 4.5191 1.2000 0.6720 24.0291
1998 6.9500 0.8500 7.8000 9.5570 4.6000 1.1600 0.6970 23.8140
1999 6.9100 0.7900 7.7000 9.6820 4.6000 1.0500 0.6970 23.7290
2000 6.9100 0.7400 7.6500 9.0430 4.6000 0.9750 0.6970 22.9700
2001 7.2600 0.6900 7.9500 8.9180 4.6000 1.0250 0.6970 23.1900
2002 7.3700 0.6300 8.0000 8.9480 4.5500 1.1500 0.6970 23.3450
2003 7.4400 0.5600 8.0000 8.7790 4.8084 1.1300 0.6970 23.4144
Tax rate limits:
Scope of tax rote limit
Taxes due:
Taxes delinquent:
Discount Allowed:
Penalties for delinquency:.
Tax Collector:
Tax Collector's Commission:
Ten mills per Florida Statute 200.081 (one mill is $1 per $1,000 assessed
value).
No municipality shall levy ad valorem taxes for real and tangible personal
property in excess of ten mills of the assessed value, except for special
benefits and debt service on obligations issued with the approval of those
taxpayers subject to ad valorem taxes.
March 31
4% November, 3% December, 2% January, 1% March
3% plus advertising costs after April 1
Palm Beach County
None
Source: Comprehensive Annual Financial Report of DelrayBeach, September 30, 2001, and Finance
Departmem of the City.
12
BOND INSURANCE
Bond Insurance Policy
Concurremly with the issuance of the Series 2002 Bonds, Financial Security Assurance Inc.
("Financial Security") will issue its Municipal Bond Insurance Policy for the Bonds (the "Policy").
The Policy guarantees the scheduled payment of principal of and interest on the Series 2002 Bonds
when due as set forth in the form of the Policy included as in Appendix D to this Official Statement.
The Policy is not covered by any insurance security or guarar~_ty fund established under New
York, California, Connecticut or Florida insurance law.
Financial Security Assurance Inc.
Financial Security is a New York domiciled insurance company and a wholly owned
subsidiary of Financial Security Assurance Holdings Ltd. ("Holdings"). Holdings is an indirect
subsidiary of Dexia, S.2~, a publicly held Belgian corporation. Dexia, S.A., through its bank
subsidiaries, is primarily engaged in the business of public finance in France, Belgium and other
European countries. No shareholder of Holdings or Financial Security is liable for the obligations
of Financial Security.
At September 30, 2002 Financial Security's total policyholders' surplus and contingency
reserves were approximately $1,728,433,000 and its total nneamed prermum reserve was
approximately $972,390,000 in accordance with statutory accounting principles. At September 30,
2002, Financial Security's total shareholder's equity was approximately $1,928,564,000 and its total
net unearned premium reserve was approximately $814,684,000 in accordance with generally
accepted accounting principles.
The financial statements included as exhibits to the annual and quarterly reports filed by
Holdings with the Securities and Exchange Commission are hereby incorporated herein by
reference. Also incorporated herein by reference are any such financial statements so filed from the
date of this Official Statement until the termination of the offering of the Series 2002 Bonds.
Copies of materials incorporated by reference will be provided upon request to Financial Security
Assurance Inc.: 350 Park Avenue, New York, New York 10022, Attention: Communications
Department (telephone (212) 826-0100).
The Policy does not protect investors against changes in market value of the Series 2002
Bonds, which market value may be impaired as a result of changes in prevailing interest rates,
changes in applicable ratings or other causes. Financial Security makes no representation regarding
the Series 2002 Bonds or the advisability of investing in the Series 2002 Bonds. Financial Security
makes no representation regarding this Official Statement, nor has it participated in the preparation
thereof, except that Financial Security has provided to the City the information presented under this
caption for inclusion in this Official Statement.
13
THE CITY
Location and Size
The City, located on Florida's Gold Coast, is the fourth largest city in Palm Beach County
with an estimated population of 61,527 (as of 2002) and sixteen square miles within its municipal
boundaries. Lying 18 miles south of West Palm Beach and 50 miles north of Miami along the
Atlantic Ocean, the City has been able to participate in the growth of South Florida and benefit
from the economic growth of this area in general.
Brief Description
The City is primarily a resort and residential community of well-kept homes and recent
developments of condominium apartments. The City has many recreational facilities including
tennis, golf, boating, fishing, water sports, and lawn bowling. During the winter months, the hotels,
motels, and restaurants fill to capacity with visiting tourists and winter residents. The City's famous
mile-long beach is an attraction for residents and tourists. The Intracoastal Waterway provides boat
dockage, and the Boynton Inlet gives access to the Atlantic Ocean for sak water drift fishing. Lake
Ida, adjacent to the City, also provides fishing and water skiing.
Budgeting, Accounting and Auditing
The City follows these procedures in establishing the budgetary data reflected in its general
purpose financial statements:
1. Prior to September 1, the City Manager submits to the City Commission a proposed
operating budget for the fiscal year commencing the following October 1. The operating budget
includes proposed expenditures and the means of financing them.
2. Public hearings are conducted at City Hall to obtain taxpayer comments.
3. The City advises the County Property Appraiser of the proposed millage rate and the
day, time and place of the public hearing for budget acceptance.
budget.
The public heating is held to obtain final taxpayer input and to adopt the final
ordinance.
The budget and rehted millage rates are legally enacted through passage of an
6. Changes or amendments to the total budgeted expenditures of the City or a
department must be approved by the City Commission; however, changes within a department
which do not affect the total maybe approved at the administrative level. Accordingly, the legal level
of control is at the department level. All encumbered balances lapse at year end.
The reported budgetary data represents the final appropriated budget after amendments
adopted by the City Commission. Appropriated budgets have been legally adopted for the General
Fund, Law Enforcement Fund, Community Development Fund, Beautification Fund, Water and
14
Sewer Fund, Municipal Golf Course Fund, Lakeview Golf Course Fund, City Marina Fund,
Stormwater Fund, Garage Fund and the Insurance Fund. Appropriated budgets have been legally
adopted for these funds on a modified accrual basis except that for budgetary purposes, current year
encumbrances are treated as expenditures.
Non-appropriation budgets, which are not legally adopted or legally required to be adopted
are prepared for the Developer Land Contribution Fund and the General Construction Fund. The
Finance Department monitors the expenditures of these funds through the use of budgets prepared
by management.
Operating Budget for Fiscal Year Ended September 30, 2001
Total budgeted operating revenues and other financing sources for the General Fund for
fiscal year ending September 30, 2001 are $58,028,390, see "Appendix B" City of Delray Beach,
Florida General Purpose Financial Statements and other Information for the Fiscal Year
ended September 30, 2001.
Each month of the current fiscal year, actual revenues and expenditures of the General Fund
are compared with budgeted amounts by line item. Variations of actual revenues and expenditures
compared to budgeted amounts which are unfavorable are referred to the respective department
heads for explanations and possible amendment. A summary report of the status of the budget is
submitted to the City Manager for review and action. At the close of the 2002 fiscal year
(September 30, 2002), total revenues (unaudited) were 101% of the annual budget amount and total
expenditures (unaudited) were 101% of the annual budget amount.
State Assessment Cap
On November 3, 1992, the voters of the State of Florida passed an amendment to Article
VII, Section 4 of the Florida constitution establishing a limitation of the lesser of 3% or the increase
in the Consumer Price Index during the relevant year, on the annual increase in assessed valuation of
homestead (primary residence) property, except in the event of a sale thereof during such year, and
except as to improvements thereto during such year. The amendment did not alter any caps on
millage rates otherwise set forth in the Florida Constitution.
Since the City has authority to increase the millage levy for voter approved general obligation
debt to the amount necessary to satisfy the related debt service requirements, the amendment does
not adversely affect the ability of the City to pay the principal of or interest on the Series 2002
Bonds. However, in periods of high inflation, those municipalities whose operating millage levies
are approaching the constitutional cap and whose tax base consists largely of residential real estate,
may, as a result of the above-described am~endrnent, need to phce greater reliance on non-ad
valorem revenue sources to meet their operating needs.
Further information on the City is contained in Appendix A - "General Information
Concerning the City of Delray Beach, Florida and Palm Beach County".
15
LEGAL DEBT LIMITATIONS
The Florida Constitution
Article VII, Section 12 of the Florida Constitution requires the approval of a majority of all
qualified electors residing within the municipal boundaries of a municipality prior to the issuance by
that municipality of bonds payable from ad valorem taxes assessed bythe municipality and maturing
more than 12 months after the bonds are issued unless such bonds are issued as refunding bonds
which achieve a net interest cost savings between the interest paid on the bonds which are refunded
and the new bonds. Once the bonds, referred to as general obligation bonds, are approved by
referendum, the Florida Constitution does not provide a limit on the amount of ad valorem taxes
the Gty maylevy to pay principal and interest on such bonds.
DEBT SUMMARY
The information under this heading is subject in all respects to the-more detailed financial
information in the audited financial statements of the City. See, Appendix B - "City of Delmy
Beach, Florida General Purpose Financial Statements and other Information for the Fiscal
Year Ended September 30, 2001".
Selected Debt Data
The following tables provide a description of the City's outstanding general obligation
bonds, including their principal and interest requirements, information regarding its direct and
overlapping debt, financial parameters and financial ratios.
16
COMBINED DEBT SERVICE REQUIREMENT
CITY OF DELRAY BEACH, FLORIDA
GENERAL OBLIGATION BONDS
Series 2002 Annual
Outstanding Total Series General
Period General 2002 Obligation
Ending Obligation Principal Interest Debt Service Debt Service
(September 30) Debt Service (1) (1)
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
$ 492,970.00
488,775.00
492,780.00
TOTAL $1,969,165.00
Source: City of DelrayBeach Financial Statements and Finance Departmem.
(1) Excludes debt service on the Series 1993 Bonds which are refunded bythe Series 2002 Bonds.
17
DIRECT DEBT
CITY OF DELRAY BEACH, FLORIDA
DIRECT AND OVERLAPPING DEBT
(Principal Amounts as of September 30, 2002)
General Enterprise
Obligation Special Funds Revenue
Bonds Purpose Bonds Bonds
General Obligation Bonds, Series 1992 (1)
General Obligation Bonds, Series 2002 (2)
$1,750,000
16,955,000
Utilities Tax Revenue Refunding Bonds, Series 2002 (3)
15,595,000
Revenue Bonds, Series 1999
Revenue Bonds, Series 2000
2,505,000
8,405,000
Interim Financing:
Revenue Bonds, Series 2000
Revenue Bonds, Series 2000
19,042,902
5,828,000
Water and Sewer Revenue Bonds, Series 1993
Water and Sewer Revenue Bonds, Series 1997
Water and Sewer Revenue Bonds, Series 1999
21,864,000
15,030,000
2,825,000
SUBTOTAL
18,705,000 51,375,902 39,719,475
Interim Financing Payback in FY03:
Federal, State and Local Grants
Other Contractual Agreements
(3,751,942)
(18,840,000)
TOTAL DIRECT DEBT
$18:705:000 $28,783:960 $39.719.47~5
Source: City of Delray Beach, Florida Financial Records.
(1)
(2)
(3)
The Series 1992 Bonds and a portion of the Series 1993A Bonds and Series 1993B Bonds rem
outstanding after the issuance of the Series 2002 Bonds being offered by this Official Statement.
The Bonds being offered by this Official Statemem, subject to change (Preliminary.
The Utilities Tax Revenue Refunding Bonds, Series 2002, being offered simultaneously with the
Series 2002 Bonds being offered bythis Official Statement. The City supports debt service of the
Utilities Tax Revenue Bonds, Series 2002 from revenues of the DelrayBeach Municipal Golf Comse
Funds, the Water and Sewer Funds and the Utility Tax Fund.
18
The following table reflects the overlapping general obligation debt for the City as of September 30,
2002.
Debt Estimated
September 30, Percent Overlapping
2002 Applicable Debt
Palm Beach CounW:
Environmental Sensitive Land 1994
General Obligation Refunding Bonds,
Series 1994B
General Obligation Refunding Bonds,
Series 1998
General Obligation Bonds, Series 1999A
General Obligation Bonds, Series 1999B
General Obligation Bonds, Series 2001A
$8,790,000 5 $ 439,500
39,980,000 5 1,999,000
42,940,000 5 2,147,000
22,415,000 5 1,120,750
66,705,000 5 3,335,250
73,015,000 5 3,650,750
$253,845,000 $12,692,250
Palm Beach County School district:
General Obligation Bonds
194,475,000 9,723,750
Total Palm Beach County General Obligation Debt $448.320._~000
Total Overlapping Debt
SUMMARY OF DIRECT AND OVERLAPPING DEBT
DIRECT DEBT
General Obligation Debt
Non Self-Supporting Revenue Debt
Self-Supporting Revenue Debt
TOTAL DIRECT DEBT
TOTAL OVERLAPPING DEBT
TOTAL DIRECT AND OVERLAPPING DEBT
$18,705,000
28,783,960
39,719,475
87,208,435
22,416,000
$109.624.43~5
Source: City of Delray Beach, Florida financial records.
19
FINANCIAL PARAMETERS
Population (2002 estimated)
Total Assessed Valuation- DelrayBeach (2002 estimated)
Total Taxable Assessed Valuation- DelrayBeach (2002 estimated)
Total Assessed Valuation - Palm Beach County (2002 estimated)
Total Taxable Assessed Valuation - Palm Beach County (2002 estimated)
61,527
$ 4,527,505,719
$ 4,167,822706
$105,094,513,194
$ 88,366,017,237
Sources: Property Appraiser for Palm Beach County.
FINANCIAL RATIOS
Percent of Taxable
Assessed Valuation
(Delray Beach)
DIRECT DEBT
General Obligation Debt
Non Self-Supporting Revenue Debt
Self Supporting Revenue Debt
0.45%
0.69%
0.95%
TOTAL DIRECTDEBT
2.09%
TOTAL OVERLAPPING DEBT
0.54%
2.63%
TOTAL DIRECT AND OVERLAPPING DEBT
Per Capka
(Delray
Beach)
304.01
467.83
645.56
1,417.40
364.33
1:781.73
20
RATINGS
It is expected that Moody's Investors Service, Inc. ("Moody's") and Standard & Poor's, a
division of McGraw-I-fill Companies ("S&P") will give the Series 2002 Bonds ratings of "Aaa" and
"AAA", respectively on the understanding that the standard policy of municipal bond insurance
insuring the total payment of the principal of an interest on the Series 2002 Bonds will be issued by
Financial Security upon the issuance of the Series 2002 Bonds. Moody's and SRP have assigned the
Series 2002 Bonds underlying ratings of "Al" and "AA-", respectively.
Such ratings reflect the view only of the aforesaid credit rating organizations, and an
explanation of the significance of these ratings may be obtained only from such rating organization.
There is no assurance that such ratings will continue for any given period of time, or that such
ratings may not be lowered or withdrawn entirely by the respective rating agency if, in its judgment
circumstances so warrant. Any such downward change or withdrawal of either or both such ratings
may have an adverse effect on the market price of the Series 2002 Bonds.
LEGALITY
Certain legal matters in connection with the issuance of the Series 2002 Bonds are subject to
the approval of Greenbttrg Tranrig, P.A., West Palm Beach, Florida, Bond Counsel, whose Bond
Counsel opinions will be available at the time of delivery of the Series 2002 Bon&. The proposed
form of such opinion of Bond Counsel is attached hereto as Appendi~ C. Certain legal matters will
be passed upon for the City by its City Attorney, Susan A. Ruby, Esquire, and for the Underwriters
by Blank Rome Comisky & McCauley LLP, Boca Raton, Florida and Philadelphia, Pennsylvania.
TAX EXEMPTION
The Internal Revenue Code of 1986, as amended (the "Code") imposes certain requirements
that must be met subsequent to the issuance and delivery of the Series 2002 Bonds for interest
thereon to be and remain excluded from gross income for federal income tax purposes.
Noncomplhnce with such requirements could cause the interest on the Series 2002 Bonds to be
included in gross income for federal income tax purposes retroactive to the date of issue of the
Series 2002 Bonds. The City has covenanted in the Resolution to comply with each requirement of
the Code necessary to maintain the exclusion of the interest on the Series 2002 from gross income
for federal income tax purposes pursuant to Section 103(a) of the Code.
In the opinion of Bond Counsel, under existing law, and assuming continuing compliance
with the aforementioned covenant, interest on the Series, 2002 Bonds is excluded from gross
income for federal income tax purposes. Bond Counsel is also of the opinion that the Series 2002
Bonds are not "specified private activity bonds" within the meaning of Section 57(a) (5) of the Code
and, therefore, interest on the Series 2002 Bonds will not be treated as a preference item for
purposes of computing the alternative minimum tax imposed by Section 55 of the Code. Interest
on the Series 2002 Bonds owned by corporations will, however, be taken into account in
determining the alternative minimum tax imposed by Section 55 of the Code on seventy-five percent
(75%) of the excess of adjusted current earnings over alternative minimum taxable income
(determined without regard to this adjustment and the alternative tax-net operating-loss deduction).
21
Bond Counsel is also of the opinion that interest on the Series 2002 Bonds is exempt from
taxation under the existing laws of the State of Florida, except as to estate taxes and taxes imposed
by Chapter 220, Florida Statutes, on interest, income and profits on debt obligations owned by
corporations, banks and savings associations.
Bond Counsel is further of the opinion that the difference between the principal amount of
the Series 2002 Bonds maturing on and after ,20__, (the "Discount Bonds") and the
initial offering price to the public (excluding bond houses, brokers, or similar persons or
organizations acting in the capacity of underwriters or wholesalers) at which price a substantial
amount of such DiscountBonds of the same maturity was sold constitutes original issue discount
which is excluded from gross inSome for federal income tax purposes to the same extent as interest
on the Series 2002 Bonds. Further, such original issue discount accrues actuarially on a constant
interest rate basis over the term of each Discount Bond and the basis of each Discount Bond
acquired at such initial offering price by an initial purchaser thereof will be increased of such accrued
original, issue discount. The accrual of original issue discount may be taken into account as an
increase in the amount of tax-exempt income for purposes of determining various other tax
consequences of owning the Discount Bonds, even though there will not be a corresponding cash
payment, Owners of the Discount Bonds are advised that they should consult with their own
advisors with respect to the state and local tax consequences of owning such Discount Bonds.
Bond Counsel has not undertaken to advise in the future whether any events after the date
of issuance of the Series 2002 Bonds may affect the tax status of interest on the Series 2002 Bonds.
No assurance can be given that future legislation, or amendments to the Code, if enacted into law,
will not contain provisions which could directly or indirectly reduce the benefit of the exclusion of
the interest on the Series 2002 Bonds from gross income for federal income tax purposes.
Furthermore, Bond Counsel expresses no opinion as to any federal, State or local tax hw
consequences with respect to the Series 2002 Bonds, or the interest thereon, if any action is taken
with respect to the Series 2002 Bonds or the proceeds thereof upon the advice or approval of bond
counsel other than Bond Counsel.
Although Bond Counsel has rendered an opinion that interest on the Series 2002 Bonds is
excluded from gross income for federal income tax purposes, a Bondholder's federal, State or local
tax liability may otherwise be affected by the ownership or disposition of the Series 2002 Bonds.
The nature and extent of these other tax consequences will depend upon the Bondholder's other
items of income or deduction. Without limiting the generality of the foregoing, prospective
purchasers of the Series 2002 Bonds should be aware that (~3 Section 265 of the Code denies a
deduction for interest on indebtedness incurred or continued to purchase or carry the Series 2002
Bonds or, in the case of a financial institution, that portion of a holder's interest expense allocated to
interest on the, Series 2002 Bonds, (ii) with respect to insurance companies subject to the tax
imposed by Section 831 of the Code, Section 832(b)(5)(B)(O reduces the deduction for loss reserves
by 15 percent (15%) of the sum of certain items, including interest on the Series 2002 Bonds, (ihT
interest on the Series 2002 Bonds earned by certain foreign corporations doing business in the
United States could be subject to a branch profits tax imposed by Section 884 of the Code, (iv)
passive investment income, including interest on the Series 2002 Bonds, may be subject to federal
income taxation under Section 1375, of the Code for Subchapter S corporations that have
Subchapter C earnings and profits at the close of the taxable year if greater than twenty-five percent
22
(25%) of the gross receipts of such Subchapter S corporation is passive investment income, and (v)
Section 86 of the Code requires recipients of certain Sochl Security and certain Railroad Retirement
benefits to take into account, in determining the taxability of such benefits, receipts or accruals of
interest on the Series 2002 Bonds. Bond Counsel has expressed no opinion regarding any such
other tax consequences.
UNDERWRITING
The Series 2002 Bonds are being purchased by the Underwriter, pursuant to a purchase
contract between the City and the Underwriter, as shown on the cover page hereof, from the City at
an aggregate purchase price of $ (the face amount of the Series 2002 Bonds less
underwriter's discount and original issue discount on certain of the Series 2002 Bonds), plus accrued
interest on the Series 2002 Bonds. The Underwriters will be obligated to purchase all the Series
2002 Bonds if any are purchased. Following the initial public offering, the public offering prices
may be changed from time to time by the Underwriters.
The Series 2002 Bonds maybe offered and sold to certain dealers (including underwriters and
other dealers depositing such Bonds into investment trusts) and others at prices lower than the
public offering prices set forth on the cover page hereof.
CONTINUING DISCLOSURE UNDERTAKING
In accordance with the continuing disclosure requirements of Rule 15c2-12 (the "Rule")
promulgated by the Securities and Exchange Commission (the "SEC-"), the City has agreed pursuant
to the terms of the Resolution as follows:
(a) The City undertakes and agrees to provide to each nationally recognized municipal
securities information reposkory (each a "NRMSIR') and to the State of Florida information
depository (the "SID") if and when such a SID is created (~ the City's general purpose financial
statements generally consistent with the financial statements presented in Appendix B to this
Official Statement, and (h) the information concerning the ad valorem tax collection within the City
generally consistent with the infonmtion described under the heading "Security for the Series 2002
Bonds - TAX TABLES".
0a) The Annual Information described in chuse (i) of paragraph (a) above in audited
form (for as long as the City provides such financial information in audited form) is expected to be
available on or before March 31 of each year for the fiscal year ending on the preceding September
30, commencing March 31, 2003 for the fiscal year ending on the preceding September 30, 2002.
The Annual Information referred to in clause 0) of paragraph (a) above in unaudited form (if the
audited financial statements are not available or if the City no longer provides such financial
information in audited form) will be available on or before March 31 for the fiscal year ending on
the preceding September 30. The City also agrees to provide the Annual Information to each
registered owner and Beneficial Owner of the Series 2002 Bonds who request such information and
pays to the City its costs of reproduction and transmission of such Annual Information. The City
agrees to provide to each NRMSIR and the SID, if any, timely notice of its failure to provide the
Annual Information. Such notice shall also indicate the reason for such failure and when the City
reasonably expects such Annual Information will be available.
23
(c) The Annual Information referred to in chuse (i) of paragraph (a) above and
presented in Appendix B to this Official Statement has been prepared in accordance with
governmental accounting standards promulgated by the Government Accounting Standards Board,
as in effect from time to time, as such principles are modified by generally accepted accounting
principles, promulgated bythe Financial Accounting Standards Board, as in effect from time to time,
and such other State of Florida mandated accounting principles as in effect from time to time.
(d) If, as authorized by paragraph (f) below, the City's undertaking with respect to
paragraph (c) above requires amending, the City undertakes and agrees that the Annual Information
described in clause (i) of paragraph (a) above for the fiscal year in which the amendment is made
will, to the extent possible, present a comparison between the Annual Information prepared on the
basis of the new accounting principles and the Annual Information prepared on the basis of the
accounting principles described in paragraph (c) above. The City agrees that such a comparison will,
to the extent possible, include a qualitative discussion of the differences in the accounting principles
and the impact of the change on the presentation of the Annual Information.
(e) The City undertakes and agrees to provide in a timely manner, to each NRlVlSIR or
to the Municipal Securities Rulemaking Board and to the SID, if any, notice of the occurrence of any
of the following events with respect to the Series 2002 Bonds, if material:
(i) Principal and interest payment delinquencies;
Non-payment related defaults;
(ii,) Unscheduled draws on any resen~e account reflecting financial
difficulties;
(iv) Unscheduled draws on credit enhancements reflecting financial
difficulties;
(v) Substitution of credit or liquidity providers; or their failure to
perform;
Adverse tax opinions or events affecting the tax-exempt status of the
Series 2002 Bonds;
(vh) Modifications to rights of Bondholders;
(vih) Bond calls (other than scheduled mandatory sinking fund
redemptions);
(ix) Defeasances of the Series 2002 Bonds;
Release, substitution, or sale of property securing repayment of the
Series 2002 Bonds; and
(xi) Rating changes.
24
Notwithstanding the foregoing, notice of the events described in clauses (8) and (9) above
need not be given any earlier than the time notice is required to be given to the registered owners of
the Series 2002 Bonds.
(f) Notwithstanding any provision of the Resolution to the contrary regarding
amendments or supplements, the City undertakes and agrees to amend and/or supplement the City's
undertaking (including the amendments referred to in paragraph (d) above) only if:
The amendment or supplement is made only in connection with a
change in circumstances existing at the time the Series 2002 Bonds
were originally issued that arises from (i) a change in law, (h) SEC
pronouncements or interpretations, (ih) a judicial decision affecting
the Rule or (iv) a change in the nature of the Gty's financial
condition;
The City's undertaking, as amended, would have complied with the
requirements of the Rule at the time the Series 2002 Bonds were
originally issued after taking into account any amendments or
interpretations of the Rule, as well as any change in circumstances;
and
The amendment or supplement does not materially impair the
interest of the registered owners and Beneficial Owners of the Series
2002 Bonds as determined by Bond Counsel or by a majority of the
registered owners of the Series 2002 Bonds.
In the event of an amendment or supplement under the City's undertaking, the City shall
describe the same in the next report of Annual Information and shall include, as applicable, a
narrative explanation of the reason for the amendment or supplement and its impact, if any, on the
financial information and operating data being presented in the Annual Information.
(g) The City's undertaking as set forth in the Resolution and as described herein shall
terminate if and when the Series 2002 Bonds are paid or deemed paid within the meaning of the
Resolution.
(h) The City acknowledges that its undertaking pursuant to the Rule set forth in the
Resolution and as described herein is intended to be for the benefk of the registered holders and
Beneficial Owners of the Series 2002 Bonds and shall be enforceably by such holders and Beneficial
Owners; provided that, the holder's and Beneficial Owners' right to enforce the provisions of the
City's undertaking shall be limited to a right to obtain specific enforcement of the City's obligations
under the Resolution, and any failure by the City to comply with the provisions of the City's
undertaking shall not be or constitute a covenant or monetary default with respect to the Series 2002
Bonds under the Resolution.
(0 The City reserves the right to satisfy its obligations under the Resolution through
agents; and the City may appoint such agents without the necessity of amending the Resolution.
25
The City may also appoint one or more employees of the City to monitor and be responsible for the
City's undertaking under the Resolution.
(j) "Beneficial Owner" shall mean, for purposes of the City's undertaking, any person
which (i) has the power, directly or indirectly, to vote or consent with respect to, or to dispose of
ownership of, any Series 2002 Bonds (including persons holding Series 2002 Bonds through
nominees, depositories or other intermediaries), or (ii) is treated as the owner of any Series 2002
Bonds for federal income tax purposes.
The City has not failed to comply with any previous undertaking in a written contract or
agreement to provide continuing disclosure pursuant to the Rule.
ENFORCEABILITY OF REMEDIES
The remedies available to the owners of the Series 2002 Bonds under the Resolution and any
policy of municipal bond insurance referred to herein are in many respects depended upon judicial
actions which are often subject to discretion and delay. Under existing constitutional and statutory
law and judicial decisions, including specifically Title ll of the United States Code, the remedies
specified by the Federal Bankruptcy Code, the Resolution, the Series 2002 Bonds and any policy of
municipal bond insurance referred to herein may not be readily available or may be limited. The
various legal opinions to be delivered concurrently with the delivery of the Series 2002 Bonds
(including Bond Counsel's approving opinions) will be qualified as to the enforceability of the
various legal instruments, by limitations imposed by bankruptcy, reorganization, insolvency, or other
similar laws affecting the rights of creditors or by such principles of equity as the court having
jurisdiction may impose with respect to certain remedies which require or may require, enforcement
by a court of equity.
LITIGATION
There is no litigation or controversy of any nature now pending or threatened (i) to restrain,
or enjoin the issuance, sale, execution or delivery of the Series 2002 Bonds or (ii) in any way
questioning or affecting the validity of the Series 2002 Bonds, the Resolution, any proceedings of the
City taken with respect to the authorization, sale or issuance of the Series 2002 Bonds or the pledge
or application of any moneys provided for the payment of the Series 2002 Bonds
The City is a party from time to time to various law suits, incident to its operations. In the
opinion of Susan A~ Ruby, Esquire, City Attorney, there are no pending legal proceedings to which
the City is a party, the ultimate disposition of which would have a material adverse effect on the
finances or operations of the City or its ability to meet its obligations with respect to the Series 2002
Bonds.
GENERAL PURPOSE FINANCIAL STATEMENTS
The General Purpose Financial Statements and other information of the City for the fiscal
year ended September 30, 2001, are included in Appendix B to this Official Statement. Such
excerpts from the City's Comprehensive Annual Financial Report, including the auditor's report
thereon, have been included in this Official Statement as public documents and consent from the
26
auditors was not requested. The auditors have not performed any services relating thereto, and are
therefore not associated with, the issuance of the Series 2002 Bonds.
FINANCIAL ADVISOR
The City has retained Public Financial Management, Inc., Orlando, Florida, as financial
advisor (the "Financial Advisor") to the City in connection with the preparation of the City's plan of
financing and with respect to the authorization and issuance of the Series 2002 Bonds. Although the
Financial Advisor assisted in the preparation of this Official Statement the Financial Advisor has not
undertaken to make an independent verification or to assume responsibility for the accuracy;
completeness or fairness of the information contained in this Official Statement. Public Financial
Management Inc. is a financial advisory consulting organization and is not engaged in the business
of underwriting, marketing or trading of municipal securities or any other negotiable instruments.
VERIFICATION OF MATHEMATICAL COMPUTATIONS
The accuracy of (1) the mathematical computations of the adequacy of maturing principal of
and interest earned on the Government Obligations to be held in the Escrow Fund to pay, when
due or redeemed the principal of, premium, if any, and interest on the Refunded Bonds, and (2) the
mathematical computations supporting the conclusion that the Series 2002 Bonds are not "arbkrage
bonds" under Section 148 of the Code, will be verified for the City by Causey Demgen & Moore,
Inc., independent certified public accountants. Such verification of mathematical computations will
be based upon information supplied by the Underwriter.
MISCELLANEOUS
All information included herein has been provided by the City, except where attributed to
other sources. The summaries of and references to all documents, statutes, reports and other
instruments referred to herein do not purport to be complete, comprehensive or definitive, and each
such reference or summary is qualified in its entirety by reference to each such document, statute,
report or other instrument. Copies of all such documents referred to herein are on file with the City
Clerk of the City at 100 N.W. First Avenue, Delray Beach, Florida 33444. The information herein
al'ts been compiled from official and other sources and, while not guaranteed by the City, is believed
to be correct. As far as any statements made in this Official Statement and the appendices attached
hereto involve mattes of opinion or of estimates, whether or not expressly stated, they are set forth
as such and not as representatives of fact and no representation is made that any of the estimates
will be realized.
27
AUTHORIZATION OF AND CERTIFICATION CONCERNING OFFICIAL
STATEMENT
The delivery of this Official Statement has been authorized by the City Commission.
Concurrently with the delivery of the Series 2002 Bonds, the undersigned will furnish their
certificate to the effect that, to the best of their knowledge, this Official Statement, other than
information provided by DTC and Financial Security did not as of its date, and does not as of the
date of delivery of the Series 2002 Bonds, contain any untrue statemem of a material fact or if to
state a material fact which should be included therein for the purpose for which this Official
Statement is to be used, or which is necessary in order to make the statements contained therein, in
the light of the circumstances in which they were made, not misleading.
CITY OF DELRAY BEACH, FLORIDA
Mayor
City Manager
28
APPENDIX A
General Information Conceming the City of Delray Beach, Florida
and Palm Beach County
GENERAL INFORMATION CONCERNING THE CITY OF DELRAY BEACH
AND PALM BEACH COUNTY
The following ~nformation concerning City of Delray Beach, Florida (the "City"), Palm
Beach County, Florida (the "County"), and the State of Florida is included only for the purposes of
provichng general background information. The information has been compiled by the City and on
behalf of the City, and such compflauon involved oral and written communicauon with various
sources as indicated. The reformation in th~s Appendix A is subject to change.
CITY OF DELRAY BEACH
Introduction
The C~ty, appro,,amately 16 square miles in area, is located in the southeast portion of the
State of Florida, ~n the southeast section of the County. Incorporated ~n 1911, the C~ty has an
esnmated populafon of 61,527 (2002) and an estimated seasonal populatton of 10,694 (2000) based
on projecuons by the C~ty's Planmng and Zoning Department.
Climate
The climate of the C~ty ~s best described as subtropical marine. The average year-round
temperature Is 74.1 degrees with the mean wrater temperature at 65.9 degrees and the summer mean
temperature at 82.3 degrees. Rainfall occurs year-round, but ~s heaviest in the summer; the average
annual rainfall ~s 64.26 roches. The mdd chmate ~s prmaarfly a result of the proxLrmty to the Gulf
Stream and the prevathng ocean breezes.
City Government
The C~ty Commission of the C~ty (the "Commission") xs the principal leg~s~auve and
governing body of thc C~p,:. The Comnuss~on's maihng address is 100 N.W. First Avenue, Delray
Beach, Florida 33444. The C~ty operates under a comnuss~on-manager form of government. The
Mayor, elected every two years, presides over a board of four commission members who are elected
to two-year alternanng terms by the community at large. The Cit3' Comnussion appoints the City
Manager, C~ty Attorney and certain, general advisory boards. Major departments of the City include:
Parks and Recreation, Pubhc Uuhues, Engmeenng, Public Works, C~ty Clerk, Finance, Community
Improvement, Human Resources, Pohce, F~re and Planmng & Zoning.
The City Manager
The chmf admimstrauve officml of the C~ty is the City Manager. Th~s official is directly
responsible to the Comm/ssmn for admimstrauon and operation of various chvislons under the
Comnusslon and for execuuon of all Commtsston porches. The Ctt3, Manager is also responsible to
the Commlssxon for preparauon of the C1u,'s budget and for control of expenditures throughout the
budget year.
A-1
Education
The C~ty is served by four elementary schools, one middle school, and one high school, all
operated by the Palm Beach County School Board. Higher education ts available at Palm Beach
Commumty College (11 miles to the north), Florida Atlanuc Umvers~ty (11 miles to the south), and
South County Technical Center Oust north of the City). Florida Atlanuc Umvers~ty ts a four year and
graduate university, accepting junior college transfers for then: last two years. It has six colleges:
Business and Public Admimstranon, Educauon, Engineering, Humanmes, Natural Science and
Social Science. Masters degrees are offered in all fields.
The Palm Beach County School Board operates 74 elementary' schools, 20 middle schools,
16 semor high schools and 10 special schools.
Transportation
Lying along Florida's Gold Coast between Miami and West Palm Beach, the City has
benefited greatly from well-developed transportauon systems servicing all of Florida's southeast
coast.
There are eight north-south highways which run through Palm Beach County, including U.S.
Hlghxvay 1, Congress Avenue, State Road A1A, the Florida TumpLke and Interstate 95. U.S.
Highway 1 and Congress Avenue are the main arteries through the City runmng north and south.
The Florida Turnpike and Interstate 95 have entrance access at Delray Beach. There are also two
radroads, Florida East Coast Railway and Seaboard Coast Line, and four east-west highways to
accommodate surface transportanon m Palm Beach Count3,. Bus transportation is also available in
the Ctty through the County operated bus system.
The Port of Palm Beach, located within 30 miles of the CttT, operates slup terrmnal facilities
on approxnnately 90 acres of land located in Ravlera Be, :h, Florida and fronung on Lake Worth,
Florida. A 35-foot deep channel to the Lake Worth Inlet pr vtdes access to the port facrhties. Port
Everglades, wxthin 50 redes of the Ctty is a major port for crmse and cargo transportation.
Commercial an: service is provided at Palm Beach Internauonal Arrport ("PBIA") by major
air carriers and commuter airhnes. PBIA ~s fifteen miles to the north of the City. The volume of
passenger traffic at PBIA increased from 5,842,594 in 2000 to 5,934,904 tn 2001. PBIA also serves
general avmUon traffic, and there are five general aviauon an:ports m the Count3,.
The Fort Lauderdale-Hollywood Internauonal Au'port and the MiaIru International Airport
are wlthtn 50 miles to the South of the CitT.
The City is served by Greyhound Bus Lines which provides transportauon to most malor
Florida cities. Amtrak provides passenger rad accommodations and has a stauon stop located in the
C~.
The City ~s also served by the Tri-County Rail System ("Tri-Rail"). Th-Raft, is a highspeed
commuter rail line wl'uch operates regularly scheduled service between Miami and West Palm Beach.
Tri-Rail has a station stop located in the City.
CITY OF DELRAY BEACH
POPULATION ESTIMATES
The following table shows the Cxty populanon and the annual average percentage changes
from 1980 to 1990 and from year to year from 1990 through 2002.
Year
C~ty Annual
Population Percentage Change
1980 34,329
1990 47,181 37.4%
1991 48,206 2.2
1992 48,346 0.3
1993 48,644 0.6
1994 49,298 1.3
1995 50,195 1.8
1996 52,039 3.7
1997 52,920 1.7
1998 53,471 1.0
1999 53,589 0.2
2000 60,020 12.0
2001 60,645 1.0
2002 61,527 1.5
Sources' U.S. Bureau of the Census as of Apnl 1, for the year~ 1980 and 1990 through 2000, Umvers~ty of Florida,
Bureau of Econotmc Bus~ness Research for the years 2001 and 2002, Cxty Planmng and Zomng Department for City
populanon esmnates for all other years
A-3
CITY OF DELRAY BEACH
BUILDING PERMIT ACTIVITY
The number of building permits issued for indusmal, commercial and residential
construction within the City from 1991 through 2002 and the value of such construcuon is shown
below:
Industrial and
Commercial Construction
Residential
Construction
Fiscal Year Ended Number of
September30 Number of Permits Value Units Value
1991 27 $11,767,551 203 $21,348,434
1992 13 8,405,390 403 32,160,179
1993 18 8,193,527 172 20,894,643
1994 8 3,224,875 364 39,818,084
1995 16 5,006,576 242 27,963,390
1996 31 17,796,738 800 52,207,344
1997 34 6,852,230 489 58,382,613
1998 24 9,343,455 291 39,461,414
1999 26 7,850,092 350 39,407,811
2000 42 16,897,724 343 39,410,536
2001 55 27,106,834 536 55,920,946
2002 36 19,886,320 599 59,890,130
Source City of Delray Beach Comprehensive Annual Financial Report for the year ended September 2001 for years
1991 through 2001; Commum%' Improvement Department esumates fc:' 2002
[REMAINDER OF THIS PAGE LEFT BLANK INTENTIONALLY]
A-4
PALM BEACH COUNTY, FLORIDA
General Introduction
Palm Beach County, Florida was founded m 1909 and encompasses an area of 2,023 square
miles. It is located on the south lower east coast of the Florida peninsula, with 46 rmles of Atlanuc
Ocean frontage and 25 miles of frontage on Lake Okeechobee. The County has a semi-tropical
chmate with an average temperature of 74.5F degrees and an average rainfall of 60.77 roches. These
and other natural amemfies, incluchng 88 local, State and Federal recreauonal areas of more than 10
acres and 163 golf courses, have enabled the County to develop a year-around tourist industry.
There are 38 incorporated municipahties within the County, nine of which have a population
in excess of 25,000. West Palm Beach is the County seat and is the largest city m the County, with a
2001 U.S. Census populauon of 1,154,464.
POPULATION GROWTH
Population
In 2001, Palm Beach County was the thtrd largest county, m the State of Florida in terms of
population. Its populauon increased 65.3% in the 1970-1980 decade, 49.7% m the 1980-1990 decade
and 23.1% m the 1990-2000 decade.
Palm Beach County. Florida United States
Year Populations Change Population Change Populauon Change
1994 937,190 2.1% 13,878,905 2.0% 259,718,000 1.0%
1995 962,802 2.7 14,149,317 1.9 262,176,000 .9
1996 981,793 2.0 14,411,563 1.9 266,538,000 1.7
1997 1,003,798 2.2 14,712,365 2 1 267,636,000 .4
1998 1,020,521 1.7 15,475,000 5.2 270,733,000 1.2
1999 1,042,196 2.1 15,322,000 (1.0) 272,190,000 .5
2000(.1 1,131,184 8.5 15,982,378 4.3 275,860,949 1.3
2001 1,154,464 2.1 16,331,739 2.2 285,371,621 3.4
Due to the census, there was an adlustment for the populanon of Palm Beach County.
Source: Umvers;ty of Florida, Bureau of Econom;c and Business Research and the U S Bureau of Census Palm Beach
Counv,' and Florida data ~s as of April 1 Umted States data is as of October 1
A-5
Age Distribution
The age distributton in the County is similar to that of Florida, but chffers significantly with
that of the nation. Both the County and Florida have a considerably larger proportion of persons 65
years and olden than the rest of the nauon.
PALM BEACH COUNTY
POPULATION DISTRIBUTION BY AGE GROUP(i)
Age Group 2000 1999 1998 1997 1996 1995 1994
0-14 18% 18% 18% 18% 18% 18% 18%
15-64 59 59 58 58 58 58 58
65+ 23 23 24 24 24 24 24
0) Totals may not add to 100% because of roundmg
Source Umverslt)~ of Florida, Bureau of Economic and Business Research and the U.S Bureau of Census
Income
The folloxving table shows the per capita personal income reported for Palm Beach County,
the State of Florida and the United States.
PER CAPITA PERSONAL INCOME
Palm Beach Count3' Florida U.S.
Year Dollars ?/o of Fla. % of U.S. Dollars % of U.S. Dollars
1992 $31,028 156.7% 154.3% $19,797 98.5% $20,105
1993 32,230 156.1 1%.0 20,650 99.3 20,800
1994 33,862 155.5 153.6 21,777 98.8 22,044
1995 36,213 156.5 155.0 23,139 99.1 23,359
1996 38,081 157.4 155.8 24,198 99.0 24,436
1997 38,772 156.3 153.3 24,799 98.1 25,288
1998 40,044 149.2 147.2 26,845 98.7 27,203
1999 41,907 150.8 146.8 27,781 97 3 28,546
Source UmverstU' of Florida, Bureau of Economic and Business Research
Note. Data for 2000 and 2001 is not available.
A-6
Employment
Tourism and agriculture, together with the service industries related to these activities, are
the leachng sources of income for the County's residents. Manufacturing, pntnarfly electronics and
other high technology products, also play an important role m the County's economy. The table that
follows shows the County's esttrnated average annual non-farm employment by economic sector.
PALM BEACH COUNTY
ESTIMATED AVERAGE ANNUAL NON-AGRICULTURAL EMPLOYMENT
BY ECONOMIC SECTOR
2000 1999 1998 1997 1996
All Industries 424,501 406,123 396,371 378,679 367,398
Agriculture Forestry
and F:shenes 17,328 18,070 18,590 18,308 17,850
Mming 18 13 14 23 24
Construction 30,415 27,054 26,157 24,789 24,068
Manufacturing 30,715 32,542 30,638 29,926 28,980
Transportation
Commumcations
and Public Uuhues 16,481 15,916 15,692 15,184 15,316
Wholesale Trade 23,044 21,920 21,821 20,375 19,132
Retail Trade 94,608 92,027 92,112 89,028 88,086
Finance Insurance and
Real Estate 33,333 32,312 32,050 29,296 27,830
Services 176,641 164,098 156,819 149,769 143,853
Other 1,918 2,171 2,478 1,982 2,259
Source: Umvers~ty of Florida, Bureau of Economic and Bus:ness Research, based upon data from U S Bureau of the
Census, 1998-2001 Florida Stattsncal Abstracts.
A-7
The data on County unemployment in the following table represents annual averages.
PALM BEACH COUNTY
ANNUAL AVERAGE LABOR FORCE AND UNEMPLOYMENT ESTIMATES
Unemployment Rates
Civilian Palm Beach United
Year Labor Force County. Florida States
1995 454,852 6.2% 5.4% 5.6%
1996 461,526 7.0 5.2 5.4
1997 482,486 6.3 4.8 4.9
1998 507,754 5.5 4.3 4.5
1999 543,006 4.8 4.0 3.8
2000 524,708 4.1 3.6 3.8
2001 541,377 5.9 4.5 4.7
Source' Florida Department of Labor and Employment Secun~, Bureau of Labor Market Unemployment Informatton;
Labor Stausucs Department
Largest Employers
The folloxvmg table shoxvs employment at the ten largest private employers in the County.
Employees
Apphed Cards (Financial - Crecht Cards)
Florida Power & Light Company (Utihties)
Boca Raton Resort & Club (Hotel)
Office Depot (Retail - Office Supphes)
The Breakers (Hotel)
Siemens Companies (PBX Systems)
Palm Beach Newspapers, Inc. (Newspaper Pubhshing)
Pratt & Whitney Arrcraft (Jet Engines)
Motorola Inc. (Electronic Pagers)
Bell South (Unhues)
2,500
2,300
1,850
1,500
1,500
1,500
1,300
1,300
1,300
1,200
Source' Business Development Board of Palm Beach Count,
A-8
Tourism
Visitors to the Palm Beaches have a significant economic impact on the County. According
to the Florida Department of Business Regulauon, there were 231 licensed hotels and motels in the
County, having a total of over 15,000 rooms. The Tourism Development Council of Palm Beach
County esttmates that over three (3) milhon people visit the County annually and spend
approximately $1.1 bilhon.
Agriculture
Agriculture, together w~th the related service xndustries, is the leachng source of income for
the County's residents. The "Glades" region of the County is one of the nauon's most productive
agricultural areas. Palm Beach County is the largest agricultural county in Florida and the fourth
largest m the United States, w~th annual sales m excess of $2 bilhon.
Banking
The total deposits of banking institutions m the County as of September 30 of each of the
years ~nchcated below xvere as follows:
Total Bank Deposits
On thousands)
Fiscal
Year
Federal Savings and
Commercial Banks Loan Associations
1994 $8,601,035 $7,805,278
1995 9,055,476 7,606,601
1996 9,545,424 6,578,158
1997 9,911,930 5,941,909
1998 10,715,881 6,949,839
1999~ 13,283,898 7,243,923
2000 12,843,897 7,646,519
2001 13,841,347 8,571,953
0) FDIC Webs~te Florida League of F~nancml Instmmons data was not available for 1999.
Source- Florida League of Fmancml InstltuUons.
A-9
Construction
Building permit activity in the County has been reported as follows:
BUILDING PERMIT ACTIVITY
COUNTY OF PALM BEACH, FLORIDA
(DOLLARS IN THOUSANDS)
1996 - 2001
Value of Building Permits Issued
Fiscal Res~denual Commercial Tot~ Permit
Year Umts Value Value Othe~~) Valuation
1996 9,311 $ 932,675 $ 143,940 323,503 1,400,118
1997 6,060 979,247 188,227 451,299 1,618,773
1998 10,677 1,159,302 227,318 752,374 2,138,994
1999 10,242 1,217,582 394,868 776,015 2,388,465
2000 10,026 1,507,878 360,271 918,780 2,786,929
2001 10,091 1,377,870 484,771 798,827 2,661,467
(t) Hotels, motels, mobile home parks, and m~scellaneous.
Source: The Palm Beach County Department of Planning, Zomng and Bmldmg.
Retail Sales
Total retail sales ~n the County for the last seven calendar years have been as follows for the
years mchcated:
Retad Sales
Year
1994
1995
1996
1997
1998
1999
2000
Retail Sales
$21,680,285,125
23,746,717,448
24,818,102,000
27,600,033,550
27,828,417,249
30,213~35,156
34,393,336,408
Source State of Florida, Department of Revenue
A-10
APPENDIX B
City of Delray Beach, Florida General Purpose Financial Statements
and Other Information For the Fiscal Year Ended September 30, 2001
APPENDIX C
Form of Approving Opinion of Bond Counsel
APPENDIX D
Specimen Municipal Bond Imurance Policy
Exhibit C
CITY OF DELRAY BEACH, FLORIDA
and
Wells Fargo Bank, National Association
as Escrow Agent
ESCROW DEPOSIT AGREEMENT
DATED AS OF DECEMBER 1, 2002
\\wpb-srv01 ~SANFORDS\400785v04\ 11/25/02\16787 011000
THIS ESCROW DEPOSIT AGREEMENT, made and entered into as of December 1,
2002, by and between the CITY OF DELRAY BEACH, FLORIDA, a municipal corporation of
the State of Florida, and its successors and assigns (the "City"), and Wells Fargo Bank, National
Association, a national banking association duly organized and existing under the laws of the
United States with a corporate trust office in Coral Springs, Florida, as escrow agent hereunder,
and its successors and assigns (the "Escrow Agent"):
WITNESSETH:
WHEREAS, any term not defined in the following recitals shall have the meaning
ascribed to such term in Article I hereof; and.
WHEREAS, the City Commission of the City of Delray Beach, Florida (the
"Commission") did, on the December 12, 1989, adopt Resolution No. 98-89, as amended and
supplemented (the "Prior Resolution"); and
WHEREAS, the Commission did, on December 3, 2002 adopt Resolution No. 91-02 and
Resolution No. 92-02 (collectively, the "2002 Bond Resolution"), for the purpose of authorizing
a series of Bonds entitled "City of Delray Beach, Florida General Obligation Refunding Bonds,
Series 2002 (Decade of Excellence Program) (the "Series 2002 Bonds"), in the initial aggregate
principal amount of not exceeding $18,000,000; and
WHEREAS, the Commission has determined it to be in its best interest to issue the
Series 2002 Bonds in an initial aggregate principal amount of $ for the purpose of
paying and defeasing the 1993A Bonds and the 1993B Bonds, as such terms are defined in the
2002 Bond Resolution (herein, collectively, the "Refunded Bonds") pursuant to the terms of the
Prior Resolution, the 2002 Bond Resolution and this Agreement; and
WHEREAS, the Prior Resolution provides that, among other things, all Refunded Bonds
shall, prior to the maturity or redemption date thereof, be deemed to have been paid within the
meaning of such resolution if there is deposited moneys or Defeasance Obligations (as such term
is defined in the Original Resolution) which such term includes direct obligations, the payment
of principal and interest on which is fully and unconditionally guaranteed by the United States of
America (the "U.S. Obligations"), the principal of and the interest on which when due will
provide moneys which, together with any other moneys deposited with the Escrow Agent, shall
be sufficient to pay such Refunded Bonds, the interest thereon and the redemption premium, if
any, as the same shall become due on the Refunded Bonds on or prior to the redemption date or
maturity date thereof; and
WHEREAS, the Commission has determined it to be in the best economic interest of the
City to pay and defease the Refunded Bonds as more particularly described on Schedule A
attached hereto, all in accordance with the terms and provisions of the Prior Resolution, the 2002
Bond Resolution and this Agreement; and
WHEREAS, the City has determined to provide for the payment of the Refunded Bonds
by depositing a portion of the proceeds from the Series 2002 Bonds, together with certain other
lawfully available moneys, which shall be used in part to purchase U.S. Obligations, which U.S.
\\wiob-srv0 I~SANFORDS\400785v04\I 1/25/02\16787 01 I000
Obligations and money shall be sufficient, as verified by Causey Demgen & Moore, Inc. in a
letter dated December __, 2002, to pay the interest on the Refunded Bonds, as the same becomes
due and payable from the date of this Agreement, and to pay the outstanding principal amounts
of the then outstanding Refunded Bonds on such dates, together with interest thereon and a
redemption premium of two percent (2%) of the principal amount of the Refunded Bonds, which
are subject to optional redemption pursuant to the Original Resolution and this Agreement; and
WHEREAS, in order to provide for the proper and timely application of the moneys
deposited in the trust created herein, the maturing principal amount of the U.S. Obligations
purchased thereby, and investment income and earnings derived therefrom to the payment of the
Refunded Bonds, it is necessary for the City to enter into this Escrow Deposit Agreement with
the Escrow Agent on behalf of the holders from time to time of the Refunded Bonds.
NOW, THEREFORE, the City, in consideration of the foregoing and the mutual
covenants herein set forth and in order to secure the payment of the principal of, redemption
premium, if any, and interest on all of the Refunded Bonds, according to their tenor and effect,
does by these presents hereby grant, warrant, demise, release, convey, assign, transfer, alienate,
pledge, set over and confirm, unto the Escrow Agent, and to its successors in the trusts hereby
created, and to it and its assigns forever, all and singular the property hereinafter described to
wit:
DIVISION I
All right, title and interest of the City in and to [$ derived from the proceeds
of the sale of the Series 2002 Bonds and $__ derived from the liquidation of certain moneys
currently reserved to pay the Refunded Bonds (the "Transferred Moneys")].
DIVISION II
All right, title and interest of the City in and to all income, earnings and increment
derived from or accruing to the U.S. Obligations purchased from the money (except for certain
uninvested cash balances) described in Division I hereof and more particularly described in
Schedule B attached hereto and made a part hereof.
DIVISION III
Any and all other property of every kind and nature from time to time hereafter, by
delivery or by writing of any kind, conveyed, pledged, assigned or transferred as and for
additional security hereunder by the City or by anyone in its behalf to the Escrow Agent, which
is hereby authorized to receive the same at any time as additional security hereunder.
DIVISION IV
All property which is by the express provisions of this Agreement required to be subject
to the pledge hereof and any additional property that may, from time to time hereafter, by
delivery or by writing of any kind, be subject to the pledge hereof, by the City or by anyone in its
\\wpb-arv01~SANFORDSXA00785v04[11/25/02\16787 011000 2
behalf, and the Escrow Agent is hereby authorized to receive the same at any time as additional
security hereunder.
TO HAVE AND TO HOLD, all and singular, the Trust Estate (as such term is
hereinafter defined), including all additional property which by the terms hereof has or may
become subject to the encumbrances of this Agreement, unto the Escrow Agent, and its
successors and assigns, forever in trust, however, for the benefit and security of the holders from
time to time of the Refunded Bonds; but if the Refunded Bonds shall be fully and promptly paid
when due in accordance with the terms thereof and hereof and all other obligations are
performed hereunder, then this Agreement shall be and become void and of no further force and
effect; otherwise, the same shall remain in full force and effect, and upon the trusts and subject to
the covenants and conditions hereinafter set forth.
ARTICLE I
DEFINITIONS; FINDINGS AND DETERMINATIONS BY THE AUTHORITY
SECTION 1.01 Definitions. In addition to words and terms elsewhere defined in
this Agreement, the following words and terms as used in this Agreement shall have the
following meanings, unless some other meaning is plainly intended.
"Act" shall have the meaning ascribed to such term in the Original Resolution.
"Agreement" shall mean this Escrow Deposit Agreement, dated as of December 1, 2002,
between the City and the Escrow Agent.
"Annual Debt Service" shall mean, as to the Refunded Bonds, principal called,
redemption premium and interest coming due in each year, as shown on Schedule C attached
hereto and hereby made a part hereof.
"Paying Agent for the Refunded Bonds" shall mean the entity identified as such in
Section 3.08 hereof.
"Total Debt Service" shall mean, as of any date during the period from the date of this
Agreement until February 1, 2003, the sum of the Annual Debt Service then remaining unpaid
with respect to the Refunded Bonds, all as shown on Schedule C attached hereto and hereby
made a part hereof.
"Trust Estate," "trust estate" or "pledged property" shall mean 'the property, rights and
interest of the City which are subject to the lien of this Agreement.
"U.S. Obligations" shall mean non-callable, non-prepayable, direct obligations of, or
non-callable, non-prepayable obligations the principal of and interest on which are fully and
unconditionally guaranteed by, the United States of America, constituting part of the Trust
Estate. The initial U.S. Obligations are described in Schedule B attached hereto. U.S. Obligations
shall not include investments in mutual funds or unit investment trusts.
Words of the masculine gender shall be deemed and construed to include correlative
words of the feminine and neuter genders. Words importing the singular number shall include
\\wpb-srv01~ANFORD$',A00785v04\l t/25/02\16787 011000 3
the plural number and vice versa unless the context shall otherwise indicate. The word "person"
shall include corporations, associations, natural persons and public bodies unless the context
shall otherwise indicate. Reference to a person other than a natural person shall include its
successors.
ARTICLE II
ESTABLISHMENT OF TRUST FUND; FLOW OF FUNDS
SECTION 2.01 Creation of Escrow Deposit Trust Fund. There is hereby
created and established with the Escrow Agent a special and irrevocable trust fund designated the
Escrow Deposit Trust Fund (the "Trust Fund"), to be held in the custody of the Escrow Agent
and accounted for separate and apart from other funds of the City or of the Escrow Agent.
SECTION2.02 Deposit of Moneys and Payment of Refunded Bonds.
Concurrently with the execution of this Agreement, the City herewith deposits or causes to be
deposited with the Escrow Agent into the Trust Fund, and the Escrow Agent acknowledges
receipt of $__ derived from a portion of the proceeds of the Series 2002 Bonds [and the
Transferred Moneys], to be used in part to purchase the U.S. Obligations, as described on
Schedule B in the maturing principal amount of $ , and the balance of such deposit in
the amount of $ shall be held as immediately available moneys. The purchase of the
U.S. Obligations and cash being derived from a portion of the proceeds of the Series 2002 Bonds
and the Transferred Moneys deposited into the Trust Fund will, according to the opinion of
Causey Demgen & Moore, Inc., set forth in its letter dated December __, 2002, provide moneys
sufficient to pay the Total Debt Service on the Refunded Bonds. Money representing beginning
cash balances and any other moneys not directed to be invested hereunder shall remain
uninvested until applied in accordance with the terms hereof.
SECTION 2.03 Irrevocable Trust Created. The deposit of the cash and U.S.
Obligations in the Trust Fund shall constitute an irrevocable deposit of said cash and U.S.
Obligations for the benefit of the holders of the Refunded Bonds, except as provided herein with
respect to substitutions permitted under Section 2.05 hereof and amendments permitted under
Section 4.01 hereof. The holders of the Refunded Bonds shall have a lien on the principal of and
earnings on the U.S. Obligations and the cash deposited in the Trust Fund until applied in
accordance with this Agreement and the applicable terms and provisions of the Original
Resolution.
SECTION 2.04 Purchase of U.S. Obligations. The City hereby directs the
Escrow Agent to immediately purchase and the Escrow Agent hereby acknowledges the
purchase of the U.S. Obligations listed on Schedule B from the moneys transferred to the Escrow
Agent from the City in the manner described in Section 2.02 hereof. The Escrow Agent shall
apply the moneys deposited in the Trust Fund and the aforementioned U.S. Obligations, together
with all income or earnings thereon, if any, in accordance with the provisions hereof and the
Original Resolution. The Escrow Agent shall have no power or duty to invest or reinvest any
moneys held hereunder or to make substitutions of the U.S. Obligations held hereunder or to sell,
transfer or otherwise dispose of the U.S. Obligations acquired hereunder except as provided in
this Agreement.
\[wpb-$rv01~SANFORDS\400785v04\l 1/25/02\16787 01 I000 4
SECTION 2.05 Failure to Deliver Initial U.S. Obligations. In the event that the
underwriter for the Series 2002 Bonds (the "Underwriter") shall be unable to deliver any of the
U.S. Obligations, as set forth in Schedule B (the "Initial U.S. Obligations") hereto, at the time of
delivery of the Series 2002 Bonds, the Escrow Agent is hereby authorized to accept other U.S.
Obligations (the "Substitute Securities") and/or cash in substitution for the Initial U.S.
Obligations. Such substitution is subject to receipt by the City and the Escrow Agent of an
independent verification by a nationally recognized certified public accounting firm acceptable
to Greenberg Traurig, P.A. that the Substitute Securities and/or cash, together with any other
U.S. Obligations and cash on deposit with the Escrow Agent, will be sufficient, without
reinvestment, to meet the requirements for payment of the principal of, premium, if any, and
interest on the Refunded Bonds in accordance with the terms of this Agreement. At any time
prior to maturity of the Substitute Securities and/or cash, the City shall have the ability in writing
to direct the Escrow Agent to exchange any of the Substitute Securities and/or cash delivered by
the Underwriter for all or any part of the Initial U.S. Obligations. However, such exchange will
be subject to the receipt by the City and the Escrow Agent of an independent verification by a
nationally recognized independent certified public accounting firm acceptable to Greenberg
Traurig, P.A. to the effect that the substitution of the Substitute Securities and/or cash for the
Initial U.S. Obligations will be sufficient, without reinvestment, to meet the requirements for
payments of principal of, premium, if any, and interest on the Refunded Bonds in accordance
with the terms of this Agreement and the applicable provisions of the Original Resolution.
Further, such independent verification report must indicate that the return of monies (generated
by such Substitute Securities), in excess of the monies that would have been received on the
Initial U.S. Obligations, to the Underwriter for the Series 2002 Bonds are not needed to pay the
principal of, premium, if any, and interest on the Refunded Bonds when due in accordance with
this Agreement and the applicable provisions of the Original Resolution. In addition, such return
of the Substitute Securities and/or cash and any excess monies will not, as evidenced by an
opinion from Greenberg Traurig, P.A. to the effect that, under the statutes, rules and regulations
then in force and applicable to obligations issued on the date of issuance of the Refunded Bonds
and under the Internal Revenue Code of 1986, as amended (the "Code"), cause the interest on the
Series 2002 Bonds or the Refunded Bonds not to be excluded from gross income for federal
income tax purposes and such investment is not inconsistent with the statutes and regulations
applicable to the Series 2002 Bonds or the Refunded Bonds.
SECTION 2.06 Transfers from Trust Fund. As the principal of the U.S.
Obligations listed in Schedule B matures and is paid, and the investment income and earnings
thereon, if any, are paid, the Escrow Agent shall, no later than each interest payment date and
principal payment date for the Refunded Bonds transfer from the Trust Fund, in accordance with
the schedule of payments described in Schedule C attached hereto, to the Paying Agent for the
Refunded Bonds an amount sufficient to pay the principal of, redemption premium and interest
on the Refunded Bonds coming due on such interest payment date or principal payment date.
The Escrow Agent has relied on the opinion of Causey Demgen & Moore, Inc., set forth in its
letter dated ., 2002, that the amount of money and securities on deposit herein and as
reinvested in accordance with the terms hereof will be sufficient to pay Total Debt Service on the
Refunded Bonds, and the Escrow Agent shall have no responsibility for an insufficiency of such
amounts to pay Total Debt Service, provided the Escrow Agent performs in accordance with the
provisions hereof.
\\wpb-srvO 1 ~SANFORDS\400785v04\ 11/25/02\16787 011000 5
SECTION 2.07 Investment of Moneys remaining in Trust Fund. Subject to the
requirements of this Section 2.07, thc Escrow Agent shall, as directed in writing by the City,
invest and reinvest any moneys remaining from time to time in the Trust Fund, until such time as
they are needed. Such moneys shall be reinvested in direct obligations of, or obligations fully
guaranteed by, the United States of America for such periods or at such interest rates or yields
that the Escrow Agent shall be directed in writing to invest by the City, which securities or
periods or interest rates or yields shall be set forth in an opinion to the City from Grcenberg
Traurig, P.A., which opinion shall also be to thc effect that such rcinvestment of such moneys
will not, under the statutes, rules and regulations then in force and applicable to obligations
issued on the dates of issuance of the Refunded Bonds and thc Series 2002 Bonds and under thc
Code, cause thc interest on the Series 2002 Bonds or thc Refunded Bonds not to bc excluded
from gross income for federal income tax purposes and that such investment is not inconsistent
with the statutes and regulations applicable to the Series 2002 Bonds or thc Refunded Bonds.
Such reinvestment of moneys is subject to receipt by thc City of an independent verification by a
nationally recognized independent certified public accounting firm acceptable to Grccnbcrg
Traurig, P.A. Any interest income resulting from rcinvestmcnt of moneys, pursuant to this
Section 2.07 shall bc promptly transferred to the City and used for any purpose permitted under
thc Original Resolution, if such verification report indicates that such interest income is not
needed for the purposes contemplated by this Agreement, provided that the Escrow Agent shall
have no responsibility for the proper usc by the City of money transferred to thc City by the
Escrow Agent.
SECTION 2.08 Trust Fund. The Trust Fund created and established pursuant to
this Agreement shall be and constitute a trust fund for the purposes provided in this Agreement
and shall be kept separate and distinct from all other funds of the City and the Escrow Agent and
used only for the purposes and in the manner provided in this Agreement.
SECTION2.09 Transfer of Funds after all Payments Required by this
Aureement are Made. After all of the transfers by the Escrow Agent to the Paying Agent for
the Refunded Bonds for thc payment of thc Total Debt Service on thc Refunded Bonds have
been made, all remaining moneys and U.S. Obligations, together with any income and interest
thereon, in the Trust Fund shall be transferred to the City by the Escrow Agent; provided,
however, that no such transfer (except transfers made in accordance with Sections 2.07 and 4.01
hereof) to thc City shall be made until the Total Debt Service on thc Refunded Bonds has bccn
paid.
ARTICLE III
CONCERNING THE ESCROW AGENT
SECTION 3.01 Appointment of Escrow Agent. The City hereby appoints Wells
Fargo Bank, National Association, having a corporate trust office in Coral Spring, Florida, as
Escrow Agent under this Agreement.
SECTION 3.02 Acceptance by Escrow Agent. By execution of this Agreement,
the Escrow Agent accepts the duties and obligations as Escrow Agent hereunder. The Escrow
Agent further represents that it has all requisite power, and has taken all corporate actions
necessary, to execute the trust hereby created.
\\wpb-srv01LSAlqFORDS~400785v04\l 1/25/02\16787 011000 6
SECTION 3.03 Liability of Escrow Agent. The Escrow Agent shall not be liable
in connection with the performance of its duties hereunder except for its own negligence or
willful misconduct. The Escrow Agent shall not be liable for any loss resulting from any
investment made pursuant to the terms and provisions of this Agreement. The Escrow Agent
shall have no lien, security interest or right of set-off whatsoever upon any of the moneys or
investments in the Trust Fund for the payment of fees and expenses for services rendered by the
Escrow Agent under this Agreement.
As long as the Escrow Agent applies (by transfer to the Paying Agent for the Refunded
Bonds) any moneys, the U.S. Obligations and the interest earnings, if any, therefrom to pay the
Refunded Bonds, as provided herein, and complies fully with the terms of this Agreement, the
Escrow Agent shall not be liable for any deficiencies in the amounts necessary to pay the
Refunded Bonds. Further, the Escrow Agent shall not be liable for the accuracy of the
calculations as to the sufficiency of moneys and of the principal amount of the U.S. Obligations,
and the earnings, if any, thereon, to pay the Refunded Bonds.
In the event of the Escrow Agent's failure to account for any of the U.S. Obligations or
moneys received by it, said U.S. Obligations or moneys shall be and remain the property of the
City in trust for the holders of the Refunded Bonds, as herein provided, and if for any improper
reason such U.S. Obligations or moneys are not applied as herein provided, the Escrow Agent
shall be liable for the amount thereof until the required application shall be made.
Whenever the Escrow Agent shall deem it necessary or desirable that a matter be proved
or established prior to taking, suffering or omitting any action under this Agreement, such matter
may be deemed to be conclusively established by a certificate signed by an authorized officer of
the City. The Escrow Agent may conclusively rely, as to the correctness of statements,
conclusions and opinions therein, upon any certificate, report, opinion or other document
furnished to the Escrow Agent pursuant to any provision of this Agreement; the Escrow Agent
shall be protected and shall not be liable for acting or proceeding, in good faith, upon such
reliance; and the Escrow Agent shall be under no duty to make any investigation or inquiry as to
any statements contained or matters referred to in any such instrument. The Escrow Agent may
consult with counsel, who may be counsel to the City or independent counsel, with regard to
legal questions, and the opinion of such counsel shall be full and complete authorization and
protection in respect of any action taken or suffered by it hereunder in good faith in accordance
herewith. Prior to retaining such independent counsel, the Escrow Agent shall notify the City of
its intention.
The Escrow Agent and its successors, agents and servants shall not be held to any
personal liability whatsoever, in tort, contract or otherwise, by reason of the execution and
delivery of this Agreement, the establishment of the Trust Fund, the acceptance and disposition
of the various moneys and funds described herein, the purchase, retention or disposition of the
U.S. Obligations or the proceeds thereof, any payment, transfer or other application of funds or
securities by the Escrow Agent in accordance with the provisions of this Agreement, or any
non-negligent act, omission or error of the Escrow Agent made in good faith in the conduct of its
duties. The Escrow Agent shall, however, be liable to the City and to holders of the Refunded
Bonds to the extent of their respective damages for negligent or willful acts, omissions or errors
of the Escrow Agent which violate or fail to comply with the terms of this Agreement. The duties
\\wpb-srv01 \SANFORDS\400785v04\ 11/25/02\16787 011000 7
and obligations of the Escrow Agent shall be determined by the express provisions of this
Agreement.
SECTION 3.04 Permitted Acts. The Escrow Agent and its affiliates may become
the owner of or may deal in the Refunded Bonds as fully and with the same fights as if it were
not the Escrow Agent.
SECTION 3.05 Successor Escrow Agent. The Escrow Agent, at the time acting
hereunder, may at any time resign and be discharged from the trusts hereby created by giving not
less than sixty (60) days' written notice to the City, the Paying Agent for the Refunded Bonds
and any rating agency which is then rating the Refunded Bonds, but no such resignation shall
take effect unless a successor Escrow Agent shall have been appointed by the holders of the
Refunded Bonds or by the City as hereinafter provided and such successor Escrow Agent shall
have accepted such appointment, in which event such resignation shall take effect immediately
upon the appointment and acceptance of a successor Escrow Agent.
The Escrow Agent may be removed at any time by an instrument or concurrent
instruments in writing, delivered to the Escrow Agent, and to the City, and signed by the holders
of a majority in principal amount of each series of the Refunded Bonds then outstanding.
In the event the Escrow Agent hereunder shall resign or be removed, or be dissolved, or
shall be in the course of dissolution or liquidation, or otherwise become incapable of acting
hereunder, or in case the Escrow Agent shall be taken under the control of any public officer or
officers, or of a receiver appointed by a court, a successor may be appointed by the holders of a
majority in principal amount of each series of the Refunded Bonds then outstanding by an
instrument or concurrent instruments in writing, signed by such holders, or by their attorneys in
fact, duly authorized in writing; provided, nevertheless, that in any such event, the City shall
appoint a temporary Escrow Agent to fill such vacancy until a successor Escrow Agent shall be
appointed by the holders of a majority in principal amount of the Refunded Bonds then
outstanding in the manner above provided, and any such temporary Escrow Agent so appointed
by the City shall immediately and without further act be superseded by the Escrow Agent so
appointed by such holders. The City shall promptly notify the Escrow Agent of any change in
the identity of the Paying Agent for the Refunded Bonds.
In the event that no appointment of a successor Escrow Agent or a temporary successor
Escrow Agent shall have been made by such holders or the City pursuant to the foregoing
provisions of this Section within sixty (60) days after written notice of resignation of the Escrow
Agent has been given to the City, the holder of any of the Refunded Bonds or any retiring
Escrow Agent may apply to any court of competent jurisdiction for the appointment of a
successor Escrow Agent and such court may thereupon, after such notice, if any, as it shall deem
proper, appoint such successor Escrow Agent.
No successor Escrow Agent shall be appointed unless such successor Escrow Agent shall
be a corporation with trust powers organized under the banking laws of the United States or any
state, and shall have at the time of appointment capital and surplus of not less than $50,000,000
or is a member of a bank group or bank holding company with aggregate capital and surplus of
not less than $50,000,000.
\\wpb-srv01 ~SANFORDS~400785v04\I 1/25/02\16787 011000 8
Every successor Escrow Agent appointed hereunder shall execute, acknowledge and
deliver to its predecessor, and to the City, an instrument in writing accepting such appointment
hereunder and thereupon such successor Escrow Agent, without any further act, deed or
conveyance, shall become fully vested with all the rights, immunities, powers, trusts, duties and
obligations of its predecessor; but such predecessor shall, nevertheless, on the written request of
such successor Escrow Agent or the City, execute and deliver an instrument transferring to such
successor Escrow Agent all the estates, properties, rights, powers and trusts of such predecessor
hereunder; and every predecessor Escrow Agent shall deliver all securities and moneys held by it
to its successor; provided, however, that before any such delivery is required to be made, all fees,
advances and expenses of the retiring or removed Escrow Agent shall be paid in full. Should any
transfer, assignment or instrument in writing from the City be required by any successor Escrow
Agent for more fully and certainly vesting in such successor Escrow Agent the estates, rights,
powers and duties hereby vested or intended to be vested in the predecessor Escrow Agent, any
such transfer, assignment and instruments in writing shall, on request, be executed,
acknowledged and delivered by the City.
Any corporation into which the Escrow Agent, or any successor to it in the trusts created
by this Agreement, may be merged or converted, or to which substantially all of its corporate
assets have been sold or assigned, or with which it or any successor to it may be consolidated, or
any corporation resulting from any merger, conversion, consolidation or reorganization to which
the Escrow Agent or any successor to it shall be a party, shall be the successor Escrow Agent
under this Agreement without the execution or filing of any paper or any other act on the part of
any of the parties hereto, anything herein to the contrary notwithstanding.
SECTION 3.06 Receipt of Proceedings. Receipt of true and correct copies of the
proceedings authorizing the issuance of the Refunded Bonds, including the Original Resolution,
are hereby acknowledged by the Escrow Agent, and reference herein to or citation herein of any
provision of said documents shall be deemed to incorporate the same as a part hereof in the same
manner and with the same effect as if they were fully set forth herein.
SECTION 3.07 Ci~. Indemnit-v. The City agrees to indemnify and save the
Escrow Agent, its agents and employees, harmless, to the extent allowed by law, against any
liabilities, obligations, losses, damages, penalties, claims, actions, suits, costs, expenses and
disbursements of whatsoever kind or nature which it may incur in the exercise and performance
of its powers and duties hereunder, including legal expenses, and which are not due to its own
negligence or willful misconduct. Indemnification provided under this section shall survive the
termination of this Agreement.
SECTION 3.08 Payment to Escrow Agent and Paying Agent. The City hereby
agrees to provide for the payment, from its own legally available funds, the costs, charges,
services and expenses of the Escrow Agent incurred in connection with its duties under this
Agreement. The Escrow Agent hereby acknowledges that it has agreed to accept, and the City
agrees to pay, on the date of execution of this Agreement, the compensation under this
Agreement, as shown on the attached Exhibit C, plus reasonable expenses. The City hereby
agrees to pay the fees and expenses of the Paying Agent referred to below and any publication
costs borne by such Paying Agent for the Refunded Bonds or by the Escrow Agent from the
City's own legally available moneys.
\\wpb-$rv01\SANFORDS\400785v04\I 1/25/02\16787 011000 9
The paying agent for the Refunded Bonds is Wachovia Bank, National Association,
having a representative office in Miami, Florida.
SECTION 3.09 Notices of Redemption and Defeasance. The City hereby
irrevocably instructs the Escrow Agent to file a copy of the notice of redemption with the Paying
Agent for the Refunded Bonds not less than forty (40) days prior to February 1, 2003 with
respect to the Refunded Bonds, with instructions to such Paying Agent to mail such notice of
optional redemption to the registered owners of such Refunded Bonds not less than thirty (30)
days prior to February 1, 2003. Such notices of redemption, with respect to the Refunded Bonds
shall be in substantially the forms attached hereto as Exhibit A. The cost of mailings shall be
borne by the City.
The City hereby instructs the Escrow Agent to publish the Notice of Defeasance, set forth
on Exhibit B attached hereto, and then file the same with the Paying Agent for the Refunded
Bonds, all in accordance with the instructions set forth thereon. The cost of such filings and
publication shall be borne by the City.
ARTICLE IV
MISCELLANEOUS
SECTION 4.01 Amendments to this Aereement. This Agreement is made for the
benefit of the City and the holders from time to time of the Refunded Bonds and it shall not be
repealed, revoked, altered or amended in whole or in part without the written consent of all
affected holders, the Escrow Agent and the City if such amendment adversely affects its rights;
provided, however, that the City and the Escrow Agent may, without the consent of, or notice to,
such holders, enter into such agreements supplemental to this Agreement as shall not adversely
affect the rights of such holders and as shall not be inconsistent with the terms and provisions of
this Agreement, for any one or more of the following purposes:
(a) to cure any ambiguity or formal defect or omission in this Agreement;
(b) to grant to, or confer upon, the Escrow Agent, for the benefit of the
holders of the Refimded Bonds, any additional rights, remedies, powers or authority that
may lawfully be granted to, or conferred upon, such holders or the Escrow Agent; and
(c) to subject to this Agreement additional funds, securities or properties.
The Escrow Agent shall be entitled to rely exclusively upon an unqualified opinion of
nationally recognized attorneys on the subject of municipal bonds with respect to compliance
with this Section, including the extent, if any, to which any change, modification, addition or
elimination affects the rights of the holders of the Refunded Bonds or that any instrument
executed hereunder complies with the conditions and provisions of this Section.
Notwithstanding the foregoing or any other provision of this Agreement other than
Sections 2.05 and 2.07 hereof at the written request of the City and upon compliance with the
conditions hereinafter stated, the Escrow Agent shall have the power to and shall, in
simultaneous transactions, sell, transfer, otherwise dispose of or request the redemption of the
U.S. Obligations held hereunder and to substitute therefor direct obligations of, or obligations
\\wpb-srv0 I~SANFORDS\400785v04\ 11/25/02\16787 O11000 1 0
fully guaranteed by the United States of America, subject to the conditions that such moneys or
securities held by the Escrow Agent shall be verified to be sufficient, without reinvestment, to
pay Annual Debt Service on the Refunded Bonds, as the same shall become due, until the Total
Debt Service on the Refunded Bonds has been paid in accordance with Schedule C attached
hereto. The City hereby covenants and agrees that it will not request the Escrow Agent to
exercise any of the powers described in the preceding sentence (i) in any manner which will
cause the Series 2002 Bonds or the Refunded Bonds to be "arbitrage bonds" within the meaning
of Section 148 of the Code, and the regulations thereunder in effect on the date of such request
and applicable to obligations issued on the issue date of the Series 2002 Bonds and the Refunded
Bonds, and (ii) without payment of reasonable expenses of the Escrow Agent in connection
therewith. The Escrow Agent shall, as directed in writing by the City, purchase such substituted
securities with the proceeds derived from the maturity, sale, transfer, disposition or redemption
of the U.S. Obligations held hereunder or from other moneys available. The transactions may be
effected only if there shall have been obtained: (1) an independent verification by a nationally
recognized independent certified public accounting firm retained by the City concerning the
adequacy of such substituted securities with respect to principal and the interest thereon and any
other moneys or securities held for such purpose to pay Annual Debt Service on the Refunded
Bonds when due, until the Total Debt Service on the Refunded Bonds has been paid in
accordance with Schedule C attached hereto; and (2) an opinion from Greenberg Traurig, P.A.,
or from any other nationally recognized attorneys on the subject of municipal bonds, to the City
and the Escrow Agent to the effect that the disposition and substitution or purchase of such
securities will not, under the statutes, rules and regulations then in force and applicable to
obligations issued on the date of issuance of the Series 2002 Bonds and Refunded Bonds, cause
the interest on such Series 2002 Bonds or Refunded Bonds not to be excluded from gross income
for Federal income tax purposes and that such disposition and substitution or purchase is not
inconsistent with the statutes and regulations applicable to the Series 2002 Bonds and the
Refunded Bonds. Any surplus moneys, identified as such in the then applicable verification
report, resulting from the sale, transfer, other disposition or redemption of the U.S. Obligations
held hereunder and the substitutions therefor of direct obligations of, or obligations the principal
of and interest on which is fully guaranteed by, the United States of America, shall be released
from the Trust Estate and shall be transferred to the City. The City shall provide written notice of
any such amendment to the rating agencies then rating the Bonds prior to the effective date
thereof.
The City shall give prior written notice to Moody's Investors Service, Inc. (herein,
"Moody's"), together with draft copies, of any proposed amendment, alteration, revocation,
severance or repeal of this Agreement pursuant to this Section. Such notice shall be given in
writing to: Moody's Investors Service, Inc., 99 Church Street, New York, New York 10007,
Attention: Public Finance Ratings Desk - Refunded Bonds.
SECTION 4.02 Severability. If any one or more of the covenants or agreements
provided in this Agreement on the part of the City or the Escrow Agent to be performed should
be determined by a court of competent jurisdiction to be contrary to law, such covenant or
agreement shall be deemed and construed to be severable from the remaining covenants and
agreements herein contained and shall in no way affect the validity of the remaining provisions
of this Agreement. The Escrow Agent shall notify Moody's as soon as practicable if any portion
of this Agreement becomes severable.
\\wpb-srv01~ANFORDS~00785v04\l 1/25/02\16787 011000 1 1
SECTION 4.03 Agreement BindinG. All the covenants, promises and agreements
in this Agreement contained by or on behalf of the City or by or on behalf of thc Escrow Agent
shall bind and inure to the benefit of their respective successors and assigns, whether so
expressed or not.
SECTION 4.04 Termination. This Agreement shall terminate when all transfers
and payments required to be made by the Escrow Agent under the provisions hereof shall have
been made.
SECTION 4.05 Governing Law. This Agreement shall be governed by the
applicable laws of the State of Florida.
SECTION 4.06 Execution by Counterparts. This Agreement may be executed in
several counterparts, all or any of which shall be regarded for all purposes as one original and
shall constitute and be but one and the same instrument.
SECTION 4.07 Notices. Until otherwise directed in writing by any person named
below, all notices, reports, or other communications required or permitted to be given in
accordance with the terms of this Agreement shall be in writing and sent by registered or
certified mail addressed as follows:
(a) As to the City:
Rebecca S. O'Connor
City of Delray Beach
100 N.W. 1st Avenue
Delray Beach, FL 33444
(561) 243-7120
(561) 243-7166 - Fax
(b)
As to the Escrow Agent:
Wells Fargo Bank, National Association
210 North University Drive
Suite 302
Coral Springs, FL 33071
Attention: Corporate Trust Department
(c)
As to the Paying Agent:
Wachovia Bank, national Association
200 South Biscayne Boulevard
14th Floor
Miami, Florida 33131
Attention: Corporate Trust Department
\\wpb-srv01 \SANFORDS\400785v04\ 11/25/02\16787 011000 12
IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to be
executed by its duly authorized officers and its corporate seal to be hereunto affixed and attested
as of the date of execution set forth below.
CITY OF DELRAY BEACH, FLORIDA
By:
(SEAL) Title: Mayor
Date of Execution: December__, 2002
Attest:
City Clerk
Wells Fargo Bank, National Association, as
Escrow Agent
(SEAL) By:
Authorized Officer
Date of Execution: December __, 2002
\\wpb-srv01~SANFORDSX400785v04Xl 1/25/02\16787 011000 13
SCHEDULE A
REFUNDED BONDS
Series 1993A Bonds
Maturity
Date
2/01/03
2/01/04
2/01/05
2/01/06
2/01/07
2/01/08
2/01/09
2/01/10
2/01/13
Principal
Amount
$ 185,000
195,000
200,000
205,000
725,000
755,000
795,000
835,000
6,155,000
$10,050,000
Interest
Rate
4.40%
4.50%
4.60%
4.70%
4.80%
5.00%
5.00%
5.00%
5.10%
Series 1993B Bonds
Maturity
Date
2/01/03
2/01/04
2/01/05
2/01/06
2/01/07
2/01/08
2/01/09
2/01/10
Principal
Amount
$ 725,000
760.000
795.000
835.000
875.000
925.000
970.000
1,020,000
$6,905,000
Interest
Rate
4.40%
4.50%
4.60%
4.70%
4.80%
5.00%
5.00%
5.00%
\\wpb-srv0 I\SANFORDS\400785v04\I 1/25/02\16787 0110(X)
SCHEDULEB
U.S. OBLIGATIONS
Purchased from Proceeds of the
Series 2002 Bonds [and Transferred Moneys]
Maturity Principal Interest
Date Amount Rate
2/01/03
Type
SLGs~
Purchase Price
u.s. Treasury Securities - State and Local Government Series
\\wpb-srv01\SANFORDS\400785v04\l 1/25/02\16787 011000
Interest Payment
Date
2/01/03
SCHEDULE C
Annual Debt Service and Total Debt Service for Refunded Bonds
payable as indicated below
Series 1993A Bonds
Maturing Called Redemption
Principal Principal Premium Interest
$185,000 $9,865,000 $197,300
Total
Series 1993B Bonds
Interest Payment Maturing Called Redemption
Date Principal Principal Premium
2/01/03 $725,000 $6,180,000 $123,600
Interest
Total
\\wpb-srv01\SANFORDS\400785v04~l 1/25/02\16787 O11000
EXHIBIT A-1
NOTICE OF CALL FOR REDEMPTION
$
CITY OF DELRAY BEACH, FLORIDA
General Obligation Bonds, Series 1993 A (Decade of Excellence Program)
Maturing on February 1, 2004 through and including February 1, 2013
NOTICE IS HEREBY GIVEN that, pursuant to Resolution No. 98-89, adopted by the
City of Delray Beach, Florida (the "City"), on December 12, 1989, as amended and
supplemented (collectively, the "Resolution"), the City has irrevocably deposited with Wells
Fargo Bank, National Association, as escrow agent (the "Escrow Agent"), in trust, and
irrevocably set aside for such payment, cash and Defeasance Obligations (as such term is defined
in the Resolution), maturing as to principal and interest in such amounts and at such times as will
ensure the availability of sufficient moneys to pay the principal of and interest thereon to the
redemption date of certain of the outstanding City of Delray Beach, Florida General Obligation
Bonds, Series 1993 A (Decade of Excellence Program) (the "Defeased Bonds"), as described
below, and that the Defeased Bonds are deemed to have been paid in accordance with the terms
and provisions of the Resolution and that the Defeased Bonds, other than the Defeased Bond
maturity on February 1, 2003, are hereby called for optional redemption on February 1, 2003 (the
"Redemption Date"), at a price of 102% of the principal amount thereof plus accrued interest to
the Redemption Date.
The maturities and principal amounts per maturity and CUSIP numbers of the Defeased
Bonds to be redeemed are as follows:
Maturity Principal
Date Amount CUSIP No.
2/01/04 $ 195,000
2/01/05 200,000
2/01/06 205,000
2/01/07 725,000
2/01/08 755,000
2/01/09 795,000
2/01/10 835,000
2/01/13 6,155,000
The Defeased Bonds subject to optional redemption on the Redemption Date shall be
presented for payment at the designated corporate trust office of Wachovia Bank, National
Association, Attention: Corporate Trust Department (the "Paying Agent"). On or after the
Redemption Date, no interest shall accrue on said Defeased Bonds.
\\wpb-srv01 \SANFORDS\400785v04\ 11/25/02\16787 011000 A= 1-1
This notice is given in conformity with the provisions of the Defeased Bonds and the
Resolution providing for their issuance, and the owners of said Defeased Bonds are hereby
notified and requested to present such Defeased Bonds for redemption and payment as provided
above. The Defeased Bonds which have been called for redemption will be paid from funds
irrevocably deposited for this purpose in an Escrow Deposit Trust Fund established with Wells
Fargo Bank, National Association, as Escrow Agent for the Defeased Bonds.
CITY OF DELRAY BEACH, FLORIDA
Wachovia Bank, National Association, as
Paying Agent and Bond Registrar for the
Defeased Bonds.
Dated ,2003
\\wpb-$rv01 \SANFORDS\400785v04~,l 1/25/02\16787 011000 A- 1-2
Withholding of 31% of gross redemption proceeds of any payment made within the
United States is required by the Interest and Dividend Tax Compliance Act of 1983, as amended,
unless the Paying Agent has the correct taxpayer identification number (social security or
employer identification number) or exemption certificate of the payee. Please furnish a properly
completed Form W-9 or exemption certificate or equivalent when presenting your bonds for
payment.
CUSIP numbers have been assigned by Standard & Poor's Corporation and are included
solely for the convenience of the holders. Neither the City nor the Escrow Agent shall be
responsible for the selection or use of the CUSIP numbers nor is any representation made
as to their correctness on the Defeased Bonds or as indicated in any redemption notice.
Instructions to Escrow Agent:
This notice must be filed, by the Escrow Agent, with the Paying Agent, as provided in Section
3.09 of the Escrow Deposit Agreement.
\\wpb-srv01\SANFORDS~00785v04\l 1/25/02~16787 011000 A- 1-3
EXHIBIT A-2
NOTICE OF CALL FOR REDEMPTION
$
CITY OF DELRAY BEACH, FLORIDA
General Obligation Refunding Bonds, Series 1993 B (Decade of Excellence Program)
Maturing on February 1, 2004 through and including February 1, 2010
NOTICE IS HEREBY GIVEN that, pursuant to Resolution No. 98-89, adopted by the
City of Delray Beach, Florida (the "City"), on December 12, 1989, as amended and
supplemented (collectively, the "Resolution"), the City has irrevocably deposited with Wells
Fargo Bank, National Association, as escrow agent (the "Escrow Agent"), in trust, and
irrevocably set aside for such payment, cash and Defeasance Obligations (as such term is defined
in the Resolution), maturing as to principal and interest in such amounts and at such times as will
ensure the availability of sufficient moneys to pay the principal of and interest thereon to the
redemption date of certain of the outstanding City of Delray Beach, General Obligation
Refunding Bonds, Series 1993 B (the "Defeased Bonds"), as described below, and that the
Defeased Bonds are deemed to have been paid in accordance with the terms and provisions of
the Resolution and that the Defeased Bonds, other than the Defeased Bonds maturing on
February 1, 2003, are hereby called for optional redemption on February 1, 2003 (the
"Redemption Date"), at a price of 102% of the principal amount thereof plus accrued interest to
the Redemption Date.
The maturities and principal amounts per maturity and CUSIP numbers of the Defeased
Bonds to be redeemed are as follows:
Maturity Principal
Date Amount CUSIP No.
2/01/04 $ 195,000
2/01/05 200,000
2/01/06 205,000
2/01/07 725,000
2/01/08 755,000
2/01/09 - 795,000
2/01/10 835,000
The Defeased Bonds subject to optional redemption on the Redemption Date shall be
presented for payment at the designated corporate trust office of Wachovia Bank, National
Association, Attention: Corporate Trust Department (the "Paying Agent"). On or after the
Redemption Date, no interest shall accrue on said Defeased Bonds.
\\wpb-srv0 BSANFORDS\400785v0a\I 1/25/02\16787 011000 A-2-1
This notice is given in conformity with the provisions of the Defeased Bonds and the
Resolution providing for their issuance, and the owners of said Defeased Bonds are hereby
notified and requested to present such Defeased Bonds for redemption and payment as provided
above. The Defeased Bonds which have been called for redemption will be paid from funds
irrevocably deposited for this purpose in an Escrow Deposit Trust Fund established with Wells
Fargo Bank, National Association, as Escrow Agent for the Defeased Bonds.
CITY OF DELRAY BEACH, FLORIDA
Wachovia Bank, National Association, as
Paying Agent and Bond Registrar for the
Defeased Bonds.
Dated ,2003
\\wpb-srv01\SANFORDS\400785v04\l 1/25/02\16787 011000 A-2-2
Withholding of 31% of gross redemption proceeds of any payment made within the
United States is required by the Interest and Dividend Tax Compliance Act of 1983, as amended,
unless the Paying Agent has the correct taxpayer identification number (social security or
employer identification number) or exemption certificate of the payee. Please furnish a properly
completed Form W-9 or exemption certificate or equivalent when presenting your bonds for
payment.
CUSIP numbers have been assigned by Standard & Poor's Corporation and are included
solely for the convenience of the holders. Neither the City nor the Escrow Agent shall be
responsible for the selection or use of the CUSIP numbers nor is any representation made
as to their correctness on the Defeased Bonds or as indicated in any redemption notice.
Instructions to Escrow Agent:
This notice must be filed, by the Escrow Agent, with the Paying Agent, as provided in Section
3.09 of the Escrow Deposit Agreement.
\\wpb-srv01\SANFORDS\400785v04\l 1/25/02\16787 011000 A-2-3
EXHIBIT B-1
NOTICE OF DEFEASANCE
CITY OF DELRAY BEACH, FLORIDA
General Obligation Bonds,
Series 1993 A (Decade of Excellence Program)
NOTICE IS HEREBY GIVEN that the City of Delray Beach, Florida (the "City"), has
caused to be deposited with Wells Fargo Bank, National Association, having a designated
corporate trust office in Coral Springs, Florida (the "Escrow Agent"), pursuant to the terms and
provisions of a certain Escrow Deposit Agreement, dated as of December 1, 2002 (the "Escrow
Agreement"), by and between the City and the Escrow Agent, bond proceeds and other legally
available moneys which have been invested (except for a small initial cash balance which will
remain uninvested) in direct obligations of, or obligations the principal of and interest on which
are unconditionally guaranteed by the United States of America (collectively, the "Deposits"), to
pay and defease the City's outstanding General Obligation Bonds, Series 1993 A (Decade of
Excellence Program) (the "Defeased Bonds"), maturing on February 1, 2003 through and
including February 1, 2013.
The Defeased Bonds, other than the Defeased Bonds maturing on February 1, 2003, will
be called for optional redemption on February 1, 2003, at a price of 102% of the principal
amount thereof, plus accrued interest to the redemption date.
In the opinion of Causey Demgen & Moore, Inc., set forth in their report dated December
__, 2002, the Deposits are fully sufficient to pay and refund the Defeased Bonds on their
respective redemption dates.
Pursuant to the defeasance provisions set forth in the resolutions authorizing the issuance
of the Defeased Bonds (the "Bond Resolution"), the Defeased Bonds are deemed paid within the
meaning thereof.
\\wpb-srvO BSANFORDS\400785v04\ 11/25/02\16787 011000 B- 1 - 1
The Paying Agent for the Defeased Bonds shall provide notice of redemption in
accordance with the provisions of the Bond Resolution.
CITY OF DELRAY BEACH, FLORIDA
Dated:
Instructions to Escrow Agent:
This notice must be published once in The Bond Buyer as soon as practicable after
December __, 2002, and filed with the Paying Agent for the Refunded Bonds as soon as
practicable after December __, 2002, with instructions to mail the same to the registered holders
of the Defeased Bonds.
\\wpb-srv01 \SANFORDS\400785v04\ 11/25/02\16787 011000 B- 1-2
EXHIBIT B-2
NOTICE OF DEFEASANCE
CITY OF DELRAY BEACH, FLORIDA
General Obligation Refunding Bonds,
Series 1993 B (Decade of Excellence Program)
NOTICE IS HEREBY GWEN that the City of Delray Beach, Florida (the "City"), has
caused to be deposited with Wells Fargo Bank, National Association, having designated
corporate trust office in Coral Springs, Florida (the "Escrow Agent"), pursuant to the terms and
provisions of a certain Escrow Deposit Agreement, dated as of December 1, 2002 (the "Escrow
Agreement"), by and between the City and the Escrow Agent, bond proceeds and other legally
available moneys which have been invested (except for a small initial cash balance which will
remain uninvested) in direct obligations of, or obligations the principal of and interest on which
are unconditionally guaranteed by the United States of America (collectively, the "Deposits"), to
pay and defease the City's outstanding General Obligation Refunding Bonds, Series 1993 B
(Decade of Excellence Program) (the "Defeased Bonds"), maturing on February 1, 2003 through
and including February 1, 2010.
The Defeased Bonds, other than the Defeased Bonds maturing on February 1, 2003, will
be called for optional redemption on February 1, 2003, at a price of 102% of the principal
amount thereof, plus accrued interest to the redemption date.
In the opinion of Causey Demgen & Moore, Inc., set forth in their report dated December
__, 2002, the Deposits are fully sufficient to pay and refund the Defeased Bonds on their
respective redemption dates.
Pursuant to the defeasance provisions set forth in the resolutions authorizing the issuance
of the Defeased Bonds (the "Bond Resolution"), the Defeased Bonds are deemed paid within the
meaning thereof.
\\wpb-srv01\SANFORDS\400785v04\l 1/25/02\16787 011000 B-2-1
The Paying Agent for the Defeased Bonds shall provide notice of redemption in
accordance with the provisions of the Bond Resolution.
CITY OF DELRAY BEACH, FLORIDA
Dated:
Instructions to Escrow Agent:
This notice must be published once in The Bond Buyer as soon as practicable after
December __, 2002, and filed with the Paying Agent for the Refunded Bonds as soon as
practicable after December __, 2002, with instructions to mail the same to the registered holders
of the Defeased Bonds.
\\wpb-srv01\SANFORDS\400785v04\l 1/25/02\16787 O11000 B=2-2
EXHIBIT C
Acceptance Fee -0-
Escrow Agent Administration Fee
(One time up front due at Closing)
$450.00
Reimbursement of out-of-pocket costs including postage, publication and legal fees, if necessary,
at cost.
[ \\wpb-srv01\SANFORDS\400785v04\l 1/25/02\16787 011000 C- 1
11/25/02 14:52 9407 648 1323 PUBLIC FINANCIAL ~003/003
Public Financial Management
FIn=nc~a} and Investment Advisom
Sulle 720
201 SOu~ Orange Avenue
Orlando. FL
32801 °3470
407 848-2208
407-648-1323 ~u~
w.~.pfm.com
Exhibit D
December 3, 2002
The City Commission of
The City of Defray Beach, Florida
100 N.W. 1' Avenue
Delray Beach, Florida 33444
Dear Ladies and Gendeman:
In serving in our capacity as Financial Advisor to the City of Delray Beach, Florida on the City's
General Obligation Refunding Bonds, Series 2002 (Decade of Excellence Program), Public Financial
Management, Inc. is recommending the use of the negotiated sale process as opposed to the
competitive sale format. We believe that given the current vol~t~V/of the tax-exempt municipal
market, the negotiated sale process is most beneficial to the City.
Additionally, we are of the opinion that the use of bond insurance to insure the principal and
interest payments on the Bonds provides economic benefit to the City, and are therefore
recommending its use.
David Miller
Public Financial Management, Inc.
Senior Managing Consultant
Exhibit E
November 21, 2002
VlA FEDERALEXPRESS
Mr. Joe Safford
City of Delray Beach
100 NW First Avenue
Delray Beach, Florida 33444
Re:
$16,560,000 in aggregate principal amount of City of Delray Beach, Florida General
Obligation Refunding Bonds, Series 2002 (Decade of Excellence Program)
Dear Mr. Safford:
Enclosed please find two signed originals of our commitment letter in respect of the above-referenced issue.
Please have both documents signed, keep one original for your records, and return the other original to me at
the address indicated below. The signed original, executed by an appropriate officer, must be returned to me
prior to any reference to Financial Security Assurance Inc. ("Financial Security") as insurer of the issue being
made in marketing efforts in respect of the issue.
Please note that Financial Security's website may be accessed at www.fsa.com/products/municipaledoc.php.
The logo, statement of insurance, disclosure language, specimen policy, procedures for premium payment,
form of opinion and form of disclosure, no default and tax certificate may be accessed and downloaded as
needed. Financial Security will require, prior to closing, six hard copies of the final official statement.
The bond proof and official statement drafts should be delivered to me w~th reasonable opportunity to submit
any comments prior to final printing of these items. I would also appreciate being notified of a confirmed
closing date as soon as ~t becomes available. Please note my phone number, fax numbers and e-mail address are
as follows: (212) 339-3537, (212) 339-0872 or (212) 339-3588 and LSantana@FSA. com.
We will deliver to Bond Counsel, at the preliminary closing, assuming the requirements of the
commitment letter have been met, an opinion of counsel as to the enforceability of the policy, a
disclosure, no default and tax certificate of Financial Security and the executed policy. Prior to the
closing, Financial Security will obtain rating letters from the rating agencies indicated in the official
statement. Note that any questions with regard to rating agency fees should be directed to the
respective rating agency.
Financial Security requires one original and two copies of the final closing transcript of proceedings and it
may be in the form of either hard copies or three CD-ROMs.
I look forward to working with you.
Sincerely yours,
Lillie Santana
Assistant Vice President
Documentation and Closing Supervisor
Enclosures
CC'
Stephen D. Sanford, Esq.; Greenberg Traurig, LLP
Mr. Jay Glover; Pubhc Financial Management, Inc.
Mr. J.W. Howard, Managing Underwriter; Bear Stearns & Co., Inc.
MUNICIPAL BOND INSURANCE COMMITMENT
FINANCIAL SECURITY ASSURANCE INC. ("Financial Security" or "FSA") hereby commits to issue its Municipal Bond Insurance
Policy (the "Policy") relating to whole maturities of the debt obligations described in Exhibit A attached hereto (the "Bonds"), subject to
the terms and conditions set forth in this Commitment, of which Commitment Exhibit A is an integrated part, or added hereto (the
"Commitment"). To keep th~s Commitment in effect after the Expiration Date set forth in Exhibit A attached hereto, a request for
renewal must be submitted to Financial Security prior to such Expiration Date. Financial Security reserves the right to refuse wholly or
in part to grant a renewal.
THE MUNICIPAL BOND INSURANCE POLICY SHALL BE ISSUED IF THE FOLLOWING CONDITIONS ARE SATISFIED:
1. The documents to be executed and delivered in connection with the issuance and sale of the Bonds shall not contain any
untrue or misleading statement of a material fact and shall not fail to state a material fact necessary in order to make the information
contained therein not misleading.
2 No event shall occur which would permit any underwriter or purchaser of the Bonds, otherwise required, not to be required to
underwrite or purchase the Bonds on the date scheduled for the issuance and delivery thereof ("Closing Date").
3. There shall be no material change in or affecting the Bonds (including, w~thout limitation, the security for the Bonds) or the
financing documents or the Official Statement (or any similar d~sclosure documents) to be executed and delivered in connection with
the issuance and sale of the Bonds from the descriptions or forms thereof approved by Financial Security.
4. The Bonds shall contain no reference to Financial Security, the Policy or the insurance evidenced thereby except as may be
approved by Financial Security. BOND PROOFS SHALL HAVE BEEN APPROVED BY FINANCIAL SECURITY PRIOR TO
PRINTING. The Bonds shall bear a Statement of Insurance in the form provided by Financial Security.
5. Financial Security shall be provided with:
(a) Executed copies of all financing documents, any disclosure document (the "Official Statement") and the various legal
opinions delivered in connection with the issuance and sale of the Bonds (which shall be dated the Closing Date and which, except for
the opinions of counsel relating to the adequacy of disclosure, shall be addressed to Financial Security or accompanied by a letter of
such counsel permitting Financial Security to rely on such opimon as if such opimon were addressed to Financial Security), including,
without limitation, the approving opinion of bond counsel. Each of the foregoing shall be ~n form and substance acceptable to Financial
Security. Copies of all drafts of such documents prepared subsequent to the date of the Commitment (blacklined to reflect all revisions
from previously reviewed drafts) shall be furnished to Financial Security for review and approval. Final drafts of such documents shall
be provided to Financial Security at least three (3) business days prior to the issuance of the Policy, unless Financial Security shall
agree to some shorter period.
(b) Evidence of wire transfer in federal funds of an amount equal to the insurance premium, unless alternative
arrangements for the payment of such amount acceptable to Financial Security have been made prior to the delivery date of the
Bonds.
lc) Standard & Poor's Credit Market Services, Moody's Investors Service Inc. and Fitch IBCA, Inc. will separately
present bills for their respecbve fees relating to the Bonds. Payment of such b~lls should be made directly to such rating agency.
Payment of the rating fee is not a condition to release of the Policy by Financial Secunty.
6. Promptly after the closing of the Bonds, Financial Security shall receive three completed sets of executed documents (one
original and either (i) two photocopies (each unbound) or (~) three compact discs).
7. The Official Statement shall contain the language provided by Financial Secudty and only such other references to Financial
Security or otherwise as Financial Security shall supply or approve. FINANCIAL SECURITY SHALL BE PROVIDED WITH SIX
PRINTED COPIES OF THE OFFICIAL STATEMENT.
EXHIBIT A
TERM SHEET FOR MUNICIPAL BOND INSURANCE COMMITMENT
Issuer: City of Delray Beach, Florida
Principal Amount of Bonds Insured:
Not to Exceed $16,560,000
Name of Bonds Insured: General Obligation Refunding Bonds, Series 2002 (Decade of Excellence Program)
Date of Commitment: November 21, 2002 Expiration Date: Fdday, January 24, 2003
Premium: $35,686.19/.177% of total debt service on the Bonds Insured
Bond Counsel Opinion -- Language Requirements:
The approving opinion of Bond Counsel shall include language to the effect that the Bonds are a full faith and credit
obligation of the Issuer, the payment for which the Issuer is obligated to exercise its ad valorem taxing power,
without hm~t as to rate or amount, upon all taxable property within the Issuer.
Additional Conditions: None.
FINANCIAL SECURITY ASSURANCE INC.
Authorized Officer
*To keep the Commitment in effect to the Expiration Date set forth above, Financial Security must receive a
duplicate of this Exhibit A executed by an appropriate officer by the earlier of the date on which the Official
Statement contaimng disclosure language about Financial Security is circulated and ten days from the Date of
Commitment
The undersigned agrees that if the Bonds are insured by a policy of municipal bond insurance, such insurance shall
be provided by Financial Security in accordance w~th the terms of the Commitment.
CITY OF DELRAY BEACH, FLORIDA
Authorized Officer
C \Documents and Setbngs\wdhamsm GTLAW\Local Settings\Temporary Internet F~Ies\OLK3897~EMAIL 59020_C doc
PROCEDURES FOR PREMIUM PAYMENT TO
FINANCIAL SECURITY ASSURANCE INC.
Financial Security's issuance of its municipal bond insurance policy at bond closing is
contingent upon payment and receipt of the premium. NO POLICY MAY BE RELEASED
UNTIL PAYMENT OF SUCH AMOUNT HAS BEEN CONFIRMED. Set forth below are the
procedures to be followed for confirming the amount of the premium to be paid and for paying
such amount:
Confirmation of
Amount to be Paid:
Upon determination of the final debt service
schedule, fax such schedule to Financial Security
Attention: Juliet Kong, Analyst
Phone No. (212) 893-9659
Fax No. (212) 339-3450
Confirm with the individual in our underwriting department that you are in agreement
with respect to par and premium on the transaction prior to the closing date.
Payment Date:
Date of Delivery of the insured bonds.
Method of Payment:
Wire transfer of Federal Funds.
Wire Transfer Instructions:
Bank:
ABA#:
Acct. Name:
Account No.:
Policy No.:
The Bank of New York
021 000 018
Financial Security Assurance Inc.
8900297263
[To Be Assigned]
CONFIRMATION OF PREMIUM WIRE NUMBER AT CLOSING
Financial Security will accept as confirmation of the premium payment a wire transfer number and the
name of the sending bank, to be communicated on the closing date to Lillie Santana, Assistant Vice
President, Documentation and Closing Supervisor (212) 339-3537.
[IT¥IDEL!RIt¥ BEll[#
AII-AmedcaCity
TO:
1993
2001
FROM:
100 N.W 1st AVENUE DELRAYBEACH, FLORIDA 33444
MF ORANDUI
David T. Harden
City Manager
i~Robert A. Barcinski
Assistant City Manager
DATE:
November 26, 2002
SUBJECT:
Agenda Item City Commission Meeting December 3~ 2002 Consideration
of Bonus Payment to JCD Sports Group
ACTION
City Commission is requested to consider a bonus payment to JCD Sports Group for golf
operations for FY 02 in the amount of $14,700 and for Tennis Operations in the amount of
$2,360. Funding is available in account numbers 445-4711-572-34.90 ($10,000), 446-4711-572-
34.90 ($4,700), and 001-4215-575-34.90 ($2,360).
BA CK GR 0 UND
Attached is a memo received from Mr. Dubin outlining his request for a bonus payment for FY
02 for golf and tennis. Per the terms of the management agreement for golf Mr. Dubin is eligible
for up to 15% of the annual fee of $139,980 and eligible for up to 15% of the annual fee of
$21,000 for tennis.
An analysis of actual accomplishments versus projections is included in Mr. Dubin's memo and
has been verified by staff. Also attached is a copy of the performance measures for FY 02 as
approved by City Commission with actual numbers and staffs point recommendation. I agree
with JCC Sports Group request for the bonus payment for the Tennis Facilities. However, I did
not agree with the points assigned for the golf courses. Based on the Mystery Shopper average
score of 73.5% for Lakeview Golf Course I deducted 10 points from the point total requested.
561/243-7000
RE COMMENDATION
Staff recommends a bonus payment to JCD Sports Group, Inc. for FY 02 for golf operations in
the amount of $13,650 and $2,360 for Tennis Operations. Funding is available as follows in
account numbers 445-4761-572-34.90 ($9,650), 446-4761-572-34.90 ($4,000) and account 001-
4215-575-34.90 ($2,360).
RAB/tas
Ftle u sweeney/agenda
Doc bonus payment to JCD Sports Group2002
THE EFFORT ALWAYS MATTERS
Printecl on Recycled Paper
Goff & Tennis Management, Development& Consultation
A D~vl$1on of
Dubin & Associates
November 19, 2002
City of Delray Beach
100 NW 1 st Avenue
Delray Beach, FL 33444
Attention: Bob Barcinski
Dear Bob,
Attached please find the performance measures for fiscal year end September 30, 2002,
for BJCE, Inc. regarding Delray Beach Golf Club and Lakeview Golf Club and Dubin &
Associates, Inc. regarding the Delray Beach Tennis Center and Delray Swim & Tennis
Club.
This year JCD Sports Group was faced with many challenges.
As you can see from the attached article from the Palm Beach Post, the September 11th
attacks devastated South Florida's tourism and the economy has been slow to rebound.
Deiray Beach Golf Club
Customer satisfaction in all areas has remained extremely high on a consistent basis.
JCD Sports Group understands the need to provide a well-balanced operation that meets
the needs of our residents.
Our restaurant took advantage of local customers that did not travel as extensively as in
the past to boost restaurant sales almost $30,000 over last year. Our restaurant sales were
within $750 of the one million dollar mark.
On a daily basis we balance the needs of our juniors, seniors, golfers, diners, charities,
inner city youth and local schools, just to name a few.
We strive to find the perfect balance between "Profits and Programs."
We are also proud of the fact that we have been able to maintain our level of over 2,000
youth participants in 2002.
1300 Park of Commerce · Suite 272 · Delray Beach, FL 33445 · (561) 265-0255 · Fax (561) 265-2752
In regard to performance measures, we accomplished the following:
Restaurant & Banquet net operating income
Rounds
Youth Participation
Customer Survey
Acceptable Mystery Shopper Report
Permit Holders
2002 2002
Projection Points Actual
$ 25,000 10 $ 26,459
83,000 to 88,000 10 83,604
2,000 10 2,541
3.5 25 4.18
10 completed
300 to 350 10 343
We did not accomplish the following:
Overall Operational Income
Gross Merchandise Sales
TOTAL POINTS
2002 2002
Projection Points Actual
$ 75,000 15 ($ 104,214)
$ 112,000 10 $ 107,717
100
Lakeview Golf Club
Lakeview Golf Club is the best executive golf course in South Florida.
Customer satisfaction is extremely high in all areas from golf course condition to friendly
staff.
Once again we hosted the Annual Special Olympics Golf Tournament.
We are also proud of the fact that we have been able to increase our level of junior rounds
played by over 35% in 2002.
In regard to performance measures, we accomplished the following:
Golf Rounds
Youth Participation
Customer Survey
A~:ceptable Mystery Shopper Report
2002 2002
Projection Points Actual
50,000 to 58,000 15 51,743
1,000 to 1,500 15 2,236
3.5 25 4.13
10 completed
We did not accomplish the following:
Net Income
Merchandise Sales
TOTAL POINTS
2002 2002
Pr~ection Pomts Actual
$ 75,000 20 $ 26,755
$ 18,000 15 $ 16,232
100
By contract, we are entitled to a maximum bonus of 15% of our annual management fee
of $139,980 or $20,997. In year 2001, BJCE, Inc. received a bonus of $17,500.
Based on our overall success and high degree of customer satisfaction, we are requesting
a bonus in the amount of $14,700, which is approximately 70% of the maximum bonus.
Dubin & Associates, Inc.
Delray Beach Tennis Center
In tennis, the two most important factors are court conditions and friendly staff. Without
question, we have made tremendous strides in both of these areas.
Customer satisfaction has improved greatly.
In regard to performance measures, we accomplished the following:
Membership
Increase Daily Play
Increase Program Participation
Customer Survey (Overall Satisfaction)
Acceptable Mystery Shopper Report
2002 2002
Projection Points Actual
400 to 475 15 429
55,000 TO 60,000 15 60,321
5% 10 12%
3.5 25 4 17
10 completed
We did not accomplish the following:
Increase Lesson Revenue
Achieve budgeted deficit
TOTAL POINTS
2002 2002
Proje~ion Points Actual
$ 220,000 15 $ 209,615
($ 267,890) 10 ($ 359,649)
100
Dubin & Associates, Inc. and our staff made great strides in improving customer
satisfaction this year.
A great deal of time and effort was spent on improving court conditions and maintaining
a high degree of customer satisfaction.
By contract, we are entitled to a maximum bonus of 15% of our annual management fee
of $21,000 or $3,150. In year 2001, Dubin & Associates, Inc. received a bonus of $1,980
for the operation of the Delray Beach Tennis Center only.
We are requesting a bonus in the amount of $2,360, which is 75% of the maximum
bonus.
Therefore~ in summary we are requesting a total bonus of:
BJCE, Inc. $ 14,700.00
Dubin & Associates, Inc $ 2,360.00
Total $ 17,060.00
This compares to last year's bonus in the amount of $19,480. As always, we respect your
decision and look forward to a very successful year 2003.
Hoping this is to your satisfaction, we remain.
Yours tmly,
Brahm Dubin
President
CC: Sharon Painter
Cindy Doll
Don't let the fear
factor hurt your
finances, 2F
Nexandm
Terror fallout
dooms kosher
hotel in Boca
On Sept 11. the King D~lfl Hotel & Spa met
its Gollgt&.
But unlake the Old Testament tale, this
David did not emerge from the encotmter vic-
tonom, Within months of the terrorist at-
tacks, the Boca Raton hotel closed.
"There is no more concrete example of
howSept. 11 affected bustness than what
happened to us," said/~al~ Bloom, a partner
m the King David project
· The reason' The King David was created
for Jewish residents in South Florida, which
has the second-largest Jewish population in
the country, after New York. Developers
hoped JewLsh clients would pay to buy a unit
at an upscale hotel that featured kosher food
and special services, including a synagogue
and rabbi. When not in town, owners could
rent out their units.
The King David's developers were rlght
about demand: fi0 of 91 units sold before the
hotel's January opening. And despite the dip
in travel after Sept. 11, the King David's own-
ers remained optimistic the decline was tem-
porary
But increasing violence against Jews soon
spelled trouble for the King David People
teared the hotel could become a target
Bloom said there was concern the terror-
1st network knew South Florida pretty well.
~mce several Sept 11 hijackers lived in Palm
Beach and Broward counties while they
trained in nearby fhght schools
"But the final nail in the coffin was these
continuous bombings m Israel." Bloom smd
The King David even received threaten-
lng phone calls Bloom and h~s partners
boosted hotel secunt.;; but it wash t enough
to erase concerns about the hotel's satety
"Our customer was JewLsh and probably
ehg]ous,' Bloom smd 'And gwen the choice
SEPT. 11: ONE YEAR LATER
Tourism, economy
slow to rebound
Attacks devastated South Florida's winter season
By UNDA RAWL$
P~im Barwn Pa~t ~t~f Wnt~r
Travel deals at luxury hotels. Baggage
inspections ~ at a chddren's xmter p~k
Out. f-state Ucense plates ~om ~-flung
places ~e C~o~la CUl~ ~o~ps ~at
w~t to plea~ ~ur tastes, not the tourist
from Toronto
A ye~ ~er the te~onst a~cks. ~ese
~e ~ong the unexpected effects on tour-
~ m P~ Beach Counw and the Treasure
CoasL
5%s, fo~s ~e he~ened by the fa~ ~at
some tourists ~e coming back ~ p~cul~ly
m the past ~o months But most m the m-
dus~ ~ere a~ee that things may never be
the ~e
Exen belore the -mole ,)t -upi 11
destrucuon of New York, Washington and
Pennsylvania, the aftermath would Mt the
Sunshate State's tourismdependent econo-
my harder than most.
To be sure, Florida's stzzhng housing
market was helping shield the state from
much of the creeping national recession.
But tourism officials now say that the state's
economy already had begun to slow
"We were already m a tourism recession
by Sept. 11.' smd Will Ray, president of the
Palm Beach County Cultural Council, which
makes grants to local arts groups from the
county's 4 percent tax on hotel rooms
The 2 percent drop in grants already
sustained bv the council "eventually ended
up being a 20 oercent cut into grants as a
dire-ct, ( SdR O[ l"e buslP~e';s travel rece%lon
banner 2000-2001 tourist season, the Sept. 11
attacks would come just as counaes m the
southern end of the state, such as Palm
Beach, Martin and St. Lucre, were to berm
then: high tourist season The effects were
devastatmg
Dunng the 10 months following the at-
tacks, for instance, Palm Beach County ho-
tels lost 847 8 mtlhon in gross revenue,
compared with the same period a year ago,
Tourist Development Council figures show
"Florida's economy was swaultaneously
h~t by a preczpitous drop m tourist xasits and
a d~sruptton to international trade -- both
wtat industries in much of the state." eco-
nomm development officials lamented m a
report shortly after the attacks
'The damage done bv the nationwide
Deiray Beach Golf Club
Performance Measures
City's Proposed Points
Obtain a net operating income of $25,000 for restaurant and 10
,banquet operations
ACTUAL $26,485
Achieve a level between 83,000 and 88,000 rounds 10
(rain rounds 83,000 - max rounds 88,000)
ACTUAL 83,604
Achieve a participation level of greater than 2,000 youths 10
under the age of 18 in golf course sponsored programs
;(min 1,500 - max 2,500)
ACTUAL 2,541
Obtain a net overall operational income of $75,000 15
ACTUAL ($104,214) unaudited
ACTUAL 4.18
A. Conduct a mail-in customer satisfaction survey and obtain 25
an overall average rating of 3.5 or better on a 1 to 5 scale.
B. Receive an acceptable mystery shopper review. 10
r No
ACTUAL AVG. 80,590
Maintain a permit-holder base of between 300 and 350 10
(min 300 - max 350 permits)
ACTUAL 343
Achieve gross merchandise sales of over $112,000 10
ACTUAL $107,717
Recommended
10
10
10
25
10
10
100
75
Lakeview Golf Club
Performance Measures
City's Proposed Points
Achieve a level of 55,000 rounds played or better 15
(min 50,000 - max 58,000)
ACTUAL 51,743
Achieve a participation level of 1,200 youth under the 15
age of 18.
(min 1,000 - max 1,500)
ACTUAL 2,236
AcT'uAL 4.13
A. Conduct a mail-in customer satisfaction survey and obtain 25
an overall average rating of 3.5 or better on a 1 to 5 scale.
B. Receive an acceptable mystery shopper review. 10
Yes o~
ACTUAL 73.5%
Obtain a net income of greater than $75,000 20
ACTUAL $26,755
Achieve gross merchandise sales of over $18,000 15
ACTUAL $16,232
ReCommended
15
15
25
100
55
Delray Beach Tennis Center
Delray Swim & Tennis Club
Performance Measures
City's Proposed Points
Achieve a level of 450 memberships 15
(rain 400 - max 475)
ACTUAL 429
Achieve a level of 60,000 daily play counts 15
(min 55,000 - max 60,000)
ACTUAL 60,321
Increase program participation by 5% Programs include: 10
Special Olympics, Parks & Recreation, Patrons, Lessons,
Clinics, Leagues, Juniors, Seniors, and Special Events.
ACTUAL 12% increase
Achieve a gross revenue for lessons of $220,000 15
ACTUAL $209,615
ACTUAL 4.17
A. Conduct a mail-in customer satisfaction survey and obtain 25
an overall average rating of 3.5 or better on a 1 to 5 scale.
B....R.e~ive an acceptable mystery shopper review. 10
e~r No
ACTUAL 83.2%
Achieve budget of ($267,890) 10
ACTUAL ($359,649)
Recommended
15
15
10
25
10
100
75
DELRAY BEACH
AII-AmedcaCity
100 N.W. 1st AVENUE
TQ:993 David T. Harden
2001 City Manager
DELRAY BEACH, FLORIDA 33444 · 561/243-7000
FROM: Ol~obert A. Barcin.ski
JC~ Assistant City Manager
DATE: April l l, 2002
SUBJECT:
AGENDA ITEM CITY COMMISSION MEETING APRIL 16~ 2002
PROPOSED PERFORCE MEASI. TRES FY 01-02 MUNICIPAL
COURSEr LAKEVIEW GOLF COURSE AND TENNIS FAC/LIT/ES
GOLF
Action
Commission is requested to approve the attached proposed performance measures for FY 01-02 for the
Municipal Golf Course, Lakeview Golf Course and Tennis Facilities.
Background
The attached performance measures have been amended per City Commission direction given at the April
9, 2002 workshop meeting. The management company would be eligible for up to a 15% bonus of the base
fee based on the performance measures
Recommendation
Staff recommends approval of the proposed performance measures for FY 01-02 for the Municipal Golf
Course, Lakeview Golf Course and Tennis Facilities as presented.
RAB/tas
File: u: sweeney/agenda
Doc:Performance Measures FY OI-02 Municipal, I, aloevtew. Tennis
Recycled Paper
THE EFFORT ALWAYS MATTERS
TO:
THRU:
FROM:
SUBJECT:
MEETING OF DECEMBER 3, 2002
CONSIDERATION OF A CONDITIONAL USE REQUEST TO ESTABLISH A CHILD CARE
FACILITY FOR ALBATROSS CHILD CARE CENTER TO BE LOCATED AT THE
SOUTHEAST CORNER OF ALBATROSS ROAD AND CURLEW ROAD (280'1 ALBATROSS
ROAD).
The property is currently zoned RM (Multiple Family Residential - Medium Density) which allows child care
centers as a Conditional Use. The conditional use request is to convert the existing 3,122 square foot
residential triplex to a 2,060 square foot child care facility, which will accommodate up to 40 children with ages
ranging from infant to 5 years. The proposal also involves demolition of 1,062 square feet of the existing
structure to accommodate required parking as well as the installation of associated drop-off and play areas.
Additional background and analysis is found in the attached Planning and Zoning Board Staff Report.
At its meeting of September 23, 2002, the Planning and Zoning Board held a public hearing in conjunction with
the request. There were a significant number of people that spoke in opposition to the proposed child care
center. The concern expressed related to the traffic associated with the project and safety concerns
associated with vehicles coming to the child care center from outside of the neighborhood. After reviewing the
staff report and discussing the proposal, the Board voted 4 to 0 (Borchardt abstained; Krall and Pike absent) to
table the request for two months (November 16, 2002) to allow the applicant to prepare a market feasibility
study and meet with the neighborhood.
At its meeting of November 18, 2002, the Planning and Zoning Board held a public hearing in conjunction with
the request. There were a significant amount of persons that spoke against the proposed day care center.
Their concerns primarily related to traffic volumes associated with the child care center, vehicular circulation,
and pedestrian safety. In addition, a petition containing 565 signatures and four letters opposing the proposed
day care center were submitted to the Planning and Zoning Board. The applicant submitted United States
Census Bureau demographic information, which indicated there were 186 children in the immediate area within
the infant to 5-year old range, together with a list of child care facilities within a three mile radius of the subject
property. After reviewing the staff report and discussing the proposal, the Board unanimously voted 6-0 (Jess
Sowards absent) to recommend that the request be denied, based on the failure to make positive findings with
respect to Housing Element Policy A-12.3 of the Comprehensive Plan and Section 2.4.5(E)(5) of the Land
Development Regulations, and that the use would have a significant detrimental effect on the stability of the
neighborhood.
By motion, deny the Conditional Use request to establish a child care facility for Albatross Child Care Center,
based upon a failure to make positive findings with respect to Housing Element Policy A-12.3 of the
Comprehensive Plan and Section 2.4.5(E)(5) (Conditional Use Findings), and that the use would have a
significant detrimental effect on the stability of the neighborhood.
· P&Z Staff Reports and Documentation of September 23, 2002
Agent:
Project Name:
Project Location:
Sergio Catenazzo
Albatross Child Care Center
2801 Albatross Road
The item before the Board is reconsideration of a conditional use request for Albatross Child Care Center
that was tabled by the Planning and Zoning Board at its meeting of September 23, 2002. The action
requested of the Board is to make a recommendation to the City Commission to establish a child care
facility pursuant to LDR Section 2.4.5(E).
The subject property is Lot 261, Tropic Palms. The 0.29 acre property contains a 3,122 square foot
residential triplex that was constructed in 1973.
The property is currently zoned RM (Multiple Family Residential - Medium Density) which allows child care
centers as a Conditional Use. At its meeting of September 23, 2002, the Planning and Zoning Board
considered the request for a child care facility. The Board tabled the conditional use application to a time
certain date of November 18, 2002 to allow the applicant to prepare a market feasibility study and meet with
the neighborhood. The conditional use application to establish a child care facility is now before the Board
for reconsideration.
The applicant has met with Staff to discuss the concerns raised at the Planning and Zoning Board meeting.
The applicant has not submitted a market feasibility study to staff. The applicant has indicated that they will
conduct a market feasibility study and will present their findings at the Board meeting. The applicant has
also indicated that they have not had the opportunity to meet with the neighborhood. For Further analysis of
the proposal refer to the original staff report of September 23, 2002.
Waiver:
Approve the waiver to LDR Section 4.6.16(H)(3)(j), which requires a five-foot wide landscape island to
terminate every row of parking.
Conditional Use:
Recommend approval of the Conditional Use request to establish a child care facility for Albatross Child
Care Center, based upon positive findings with respect to Chapter 3 (Performance Standards) and Section
2.4.5(E)(5) of the Land Development Regulations, and the policies of the Comprehensive Plan subject to
the conditions in the attached staff report dated September 23, 2002.
Attachment:
· Planning and Zoning staff report dated September 23, 2002
Meeting Date: November t8, 2002
Agenda Item: IV.A.
PLANNING AND ZONING BOARD
CITY OF DELRAY BEACH
---STAFF REPORT---
MEETING DATE:
AGENDA ITEM:
ITEM:
September 23, 2002
IV.A.
Conditional Use Request to Allow the Establishment of a Child Care Facility For
Albatross Child Care Center. (Quasi-Judicial Hearing)
GENERAL DATA:
Owner/Applicant ......................... Sergio Catenazzo
Agent .......................................... n/a
Location ...................................... Southeast Corner of
Albatross Road and Curlew
Road.
Property Size .............................. 0.302 Acres
Future Land Use Map ................ MD (Medium Density, 5 - 12
Du/Acre)
Current Zoning ............................ RM (Multiple Family
Residential- Medium
Density)
Adjacent Zoning ................ North: OSR (Open Space &
Recreation)
East: CD (Conservation District)
South: RM (Multiple Family
Residential- Medium
Density)
West: R-l-AA (Multiple Family
Residential)
Existing Land Use ...................... Rental apartments
Proposed Land Use .................... Conditional Use Request to
Allow the Establishment of a
Child Care Facility.
Water Service ............................. Existing on site.
Sewer Service ............................. Existing on site.
DOTTEREL ROAD
BUCK)" DENTS
BASEBALL
LEON
WEEKES
IV.A.
The action before the Board is making a recommendation to the City Commission on a
request for Conditional Use approval to establish a child care facility for Albatross
Child Care Center, pursuant to LDR Section 2.4.5(E).
The subject property is located at the southeast comer of Albatross Road and Curlew
Road (2801 Albatross Road).
The subject property is Lot 261, Tropic Palms. The 0.29 acre property contains a 3,122
square foot residential triplex that was constructed in 1973.
The property is currently zoned RM (Multiple Family Residential- Medium Density)
which allows child care centers as a Conditional Use. Therefore, a conditional use
application to establish a child care facility has been submitted and is now before the
Board for action.
The development proposal includes the following:
· Partial demolition and conversion of a 3,122 square foot residential triplex to a 2,060
square foot child care facility;
· Construction of a driveway for use as a pick-up/drop off area;
· Construction of seven parking spaces;
· Conversion of the rear yard to a 3,302 square foot outdoor play area; and,
· Installation of a dumpster enclosure, bike rack and associated landscaping.
The applicant has submitted the following narrative that describes the operation:
"Establishment will care for newborn babies to children up to 5 years of
age. Maximum capacity 45 children as per the Palm Beach County Rules
and regulations governing child care facilities. The number of employees
will be 4 at maximum capacity. Services such as cleaning, gardening and
general maintenance will be contracted out. There will be vehicles driving
in and out of the property generally in the early morning and late afternoon
hours, as parent's drop-off and pickup their children. Activities will include
Planning and Zoning Board Staff Report
Conditional Use Approval - Albatross Child Care Center
Page 2
child outdoor and indoor recreation as well as rest and nourishment as per
the guidelines of H. R. S."
The applicant has indicated that the hours of operation will be from 7:00 a.m. to 6:00
p.m.
The site plan application includes a waiver request to the following section of the City's
Land Development Regulations:
1. LDR Section 4.6.16(H)(3)0), which requires a five-foot wide landscape island-to
terminate every row of parking.
REQUIRED FINDINGS: (Chapter 3):
Pursuant to Section 3.1.1 (Required Findings), prior to the approval of
development applications, certain findings must be made in a form which is part
of the official record. This may be achieved through information on the
application, the staff report, or minutes. Findings shall be made by the body,
which has the authority to approve or deny the development application. These
findings relate to the following four areas.
FUTURE LAND USE MAP: The use or structures must be allowed in the zone
district and the zoning district must be consistent with the land use designation.
The subject property has a Future Land Use Map designation of MD (Medium Density
Residential 5-12 dwelling units per acre) and is zoned RM (Multiple Family Residential -
Medium Density). The RM zoning district is consistent with the MD Future Land Use
Map designation. Pursuant to LDR Section 4.4.6(D)(3), within the RM zoning district,
child care facilities are allowed as a Conditional Use. Based upon the above, positive
findings can be made with respect to consistency with the Future Land Use Map.
CONCURRENCY: Facilities which are provided by, or through, the City shall be
provided to new development concurrent with issuance of a Certificate of
Occupancy. These facilities shall be provided pursuant to levels of service
established within the Comprehensive Plan.
Water and Sewer:
To date no water and sewer plans have been submitted, however water and sewer
services exist via a service lateral connection to the existing 6" water main and the
existing 8" sewer main within Albatross Road. A fire hydrant exists at the southwest
corner of Albatross Road and Curlew Road. No main extensions or upgrades are
anticipated with this development proposal.
Planning and Zoning Board Staff Report
Conditional Use Approval - Albatross Child Care Center
Page 3
The Comprehensive Plan states that adequate water and sewer treatment capacity
exists to meet the adopted level of service at the City's build-out population based on
the current FLUM. Based on the above, this proposal should have little or no impact
with respect to water and sewer service. Therefore, positive findings with respect to this
level of service standard can be made.
Drainage:
Paving and drainage plans are not required-for the conditional use analysis. It is
anticipated that drainage will be accommodated via sheet flow to pervious areas and/or
the installation of an ex'filtration trench system. However, is noted that there is limited
space that can be utilized for water retention, as the required play area cannot be used
for water retention. If the conditional use request is approved, a paving and drainage
plan must be provided with the site plan.
Streets and Traffic:
Pursuant to LDR Section 2.4.3(E)(2), a traffic statement is required for land use
applications that generate 200 or less ADT (Average Daily Trips). A traffic statement
has been submitted which indicates that the proposed use will generate 156 new
average daily trips. Adequate capacity exists on the surrounding roadway network to
accommodate the traffic generated from the proposed use. Based upon the above, a
positive finding with respect to traffic concurrency can be made.
Parks and Open Space:
Park dedication requirements do not apply for nonresidential uses. Thus, there will be
no impact on this level of service standard.
Solid Waste:
The 2,060 sq. ft. child care facility will generate 3.6 tons of solid waste per year [2,060
sq. ft. x 3.5 lbs./sq, ff./year = 7,210/2000 = 3.6 tons]. The trash generated by this
proposal can be accommodated by existing facilities. Therefore, a positive finding with
respect to this level of service standard can be made.
CONSISTENCY: Compliance with performance standards set forth in Chapter 3
and required findings in Section 2.4.5(E)(5) for the Conditional Use request shall
be the basis upon which a finding of overall consistency is to be made. Other
objectives and policies found in the adopted Comprehensive Plan may be used in
making a finding of overall consistency.
A review of the objectives and policies of the adopted Comprehensive Plan was
conducted and the following applicable policy was found:
Planning and Zoning Board Staff Report
Conditional Use Approval - Albatross Child Care Center
Page 4
Housinq Element Policy A-12.3 - In evaluating proposals for new development or
redevelopment, the City shall consider the effect that the proposal will have on
the stability of nearby neighborhoods. Factors such as noise, odors, dust, traffic
volumes and circulation patterns shall be reviewed in terms of their potential to
negatively impact the safety, habitability and stability of residential areas. If it is
determined that a proposed development will result in a degradation of any
neighborhood, the project shall be modified accordingly or denied.
The proposed use is surrounded by residential properties to the south and west. The
Leon Weekes Nature Preserve is located to the north and east. In order to limit
potential impacts on the adjacent properties, adequate buffers must be provided for the
outdoor play area and vehicular areas. The proposed play areas will be surrounded
with a 6'-high chain link fence. The conceptual plan provides for sparse landscaping
around the play area and vehicular use areas. The conceptual plan indicates the
installation of trees spaced 25' on-center along the south property line. It is noted that'
as part of the subsequent site plan review a formal landscape plan signed and sealed
by a landscape architect will be required. Pursuant to LDR Section 4.6.16(H)(3), a 2'-
high hedge (allowed to grow to 6' high) will be required around the perimeter of the
property in addition to trees along the north, east and west sides of the property. The
trees along the west side of the property will need to be planted 25' on-center.
Furthermore, a tree and ground covers must be planted at the terminal landscape
islands. These items are included as technical items.
The applicant has indicated that the marketing strategy for the day care center will be
towards larger professional offices in the area. There will be a smaller percentage of
customers from the surrounding residential neighborhoods such as Tropic Palms and
Bass Creek. The traffic study indicates that 156 new vehicle trips will be generated by
the proposed use. It is recognized that parents not residing within the neighborhood will
utilize this facility. While the majority of these trips will come from outside of the
neighborhood, this will be off-set local trips from a small number of families that will
patronize this facility that reside within the neighborhood. However, given the number
of trips generated by the proposed use, there should be no degradation on the
neighborhood particularly given its location adjacent to a nature preserve open to the
public. In order to address the concern with the number of trips from outside of the
neighborhood, a condition of approval is attached that requires the acceptance of
children from within the surrounding Tropic Palms and Bass Creek neighborhoods
before non-residents.
SECTION 2.4.5(E) REQUIRED FINDINGS: (Conditional Use)
Pursuant to Section 2.4.5(E)(5) (Findings), in addition to provisions of Chapter 3,
the City Commission must make findings that establishing the conditional use
will not:
A. Have a significantly detrimental effect upon the stability of the
neighborhood within which it will be located;
Planning and Zoning Board Staff Report
Conditional Use Approval - Albatross Child Care Center
Page 5
Bt
Nor that it will hinder development or redevelopment of nearby
properties.
The subject property is bordered on the north and east by the OSR (Open Space and
Recreation) zoning district, on the south by the RM (Multiple Family Residential -
Medium Density) zoning district and the west by R-I-AA (Single Family Residential)
zoning district. The Leon Weekes Nature Preserve is located to the north and east, a
multiple family residence to the south and single family homes to the west.
There are no compatibility concerns with respect to the nature preserve. The nature
preserve will add to the recreation options for the day care center. The peak hours of
the child care center will coincide with the peak hours of the surrounding residential
neighborhood when the parents will drop-off and pick-up their children. There is a
concern with respect to the landscape buffers needed to mitigate any impact on the
adjacent residences (particularly the single family uses to the west). Compliance with
the City's landscape requirements will be reviewed in further detail during the site plan
review process. The applicant has submitted a photometric plan that provides
illumination to the parking areas. The photometric plan will be discussed in further
detail in the Compliance with Land Development Regulations section of this report. It is
noted that a decorative fixture and pole should be used since the property is located
within a residential neighborhood. Given the hours of operation and the location of the
property on the perimeter of the residential neighborhood together with the required
buffers as conditioned by staff, the proposed use will not have a significant detrimental
effect upon the stability of the neighborhood, nor will it hinder development or
redevelopment of nearby properties.
COMPLIANCE WITH LAND DEVELOPMENT REGULATIONS:
In conjunction with the Conditional Use request a sketch plan was submitted,
which has been reviewed by staff. Based upon staff's review of the sketch plan
and site inspections, the following technical comments have been identified.
Parkinq
Pursuant to LDR Section 4.6.9(C)(7)(h), child care facilities must provide 1 parking
space per 300 sq.ft, of total floor area. Further, parking is to be designed to enable
vehicles to enter and exit a site in a forward manner.
The 2,060 square foot facility requires 7 parking spaces and 7 spaces have been
provided within an approved parking area on the north and west sides of the structure.
Thus, the parking requirement has been met.
Planning and Zoning Board Staff Report
Conditional Use Approval - Albatross Child Care Center
Page 6
Terminal Landscape Islands:
Pursuant to LDR Section 4.6.16(H)(3)(j), each row of parking spaces shall be
terminated by landscape islands. The conceptual plan does not provide a terminal
landscape island at the east end of the parking row on the north side of the building.
The applicant has submitted a waiver request to eliminate this landscape island.
Waiver Analysis:
Pursuant to LDR Section 2.4.7(B)(5), prior to granting a waiver, the approving body
shall make a finding that the granting of the waiver:
(a) Shall not adversely affect the neighboring area;
(b) Shall not significantly diminish the provision of public facilities;
(c) Shall not create an unsafe situation; or,
(d)
Does not result in the grant of a special privilege in that the same waiver would
be granted under similar circumstances on other property for another applicant or
owner.
The layout of the parking area is constrained due to the location of the existing building.
In order to provide adequate parking for the property and a drop-off area for the
children, it is problematic to incorporate a terminal landscape island at both ends of this
parking row. The conceptual plan provides the required landscape island along the
west end of the parking row, which will provide a buffer from the public right-of-way.
The waiver will not affect the delivery of public services, and will not create an unsafe
situation with respect to public safety. Similar circumstances on other properties would
lead to the same conclusion. Consequently, a positive finding with respect to LDR
Section 2.4.7(B)(5), Waiver Findings can be made.
LDR 4.3.3(E) - Child Care Facilities
Lot Area:
The minimum lot area required for child care facilities is 7,500 square feet. The total lot
area of the subject property is 12,630 square feet, thus this requirement has been met.
Floor Area:
Child care facilities shall contain a minimum floor area of 35 sq. ft. per child, exclusive of
space devoted to bathrooms, halls, kitchen, offices and storage. The applicant
proposes a maximum of 45 children, which requires a minimum of 1,575 square feet of
floor area. The structure will contain 1,416 square feet of area not devoted to
Planning and Zoning Board Staff Report
Conditional Use Approval - Albatross Child Care Center
Page 7
bathrooms, halls, kitchen, offices, and storage. Therefore, the maximum capacity of the
child care facility cannot exceed 40 children and is attached as a condition of approval.
Outdoor Area:
There shall be a minimum of 75 sq. ft. of outdoor play area per child. The play area
shall be located on the same lot as the principal use and shall not be located in the front
yard setback or adjacent to any outdoor storage area. A 6' high fence or wall shall
surround the play area. The applicant has provided a 3,302 square foot outdoor play
area, allowing a maximum of 44 children, which does not encroach into the- required
front setback areas. A 6'-chain link fence will be provided around the outdoor play area.
However, this enrollment capacity is further limited by the amount of floor area
mentioned above.
Loading Area:
A pick-up and drop-off area for children shall be provided in a convenient area adjacent
to the building and shall provide clear ingress and egress to the building. A one-way
drop-off/drive aisle is proposed on the west side of the structure, which takes access
from Albatross Road and exits into the parking tier on the north side of the building.
Thus this requirement has been met.
Provided the Conditional Use is limited to 40 children the application will comply with
LDR Section 4.3.3(E) relating to Child Care Facilities.
Other Issues:
Dumpster Screening:
Pursuant to LDR Section 4.6.6(C)(1), dumpsters, recycling containers, and similar
service areas must be enclosed on three sides, and have vision obscuring gates on the
fourth side, unless such areas are not visible from any adjacent public right-of-way. The
conceptual plan indicates that a dumpster will be located at the east end of the parking
tier. However, no detail of the enclosure is provided on the plan. Furthermore, there is
no provision for recycling facilities. Therefore, a condition of approval is attached that a
detail of the dumpster enclosure, which includes recycling facilities, is provided as part
of the site plan review.
Lighting:
Pursuant to LDR Section 2.4.3(B)(17), a photometric plan has been submitted with the
conditional use application. The photometric plan indicates that the proposed maximum
foot candle is 7.2. Pursuant to LDR Section 4.6.8(B)(3)(c), the maximum foot candles
for local merchants, neighborhood shopping center, or schools is 2.5 foot candles.
Based on the intensity of the use and its proximity to single family residences, this
category is the most appropriate and is the most restrictive with respect to the
Planning and Zoning Board Staff Report
Conditional Use Approval - Albatross Child Care Center
Page 8
illumination requirements. Since the illumination of the parking areas has an impact on
the harmony of the project with the surrounding neighborhood, a condition of approval is
attached that the photometric plan be revised to reduce the maximum foot candles to
2.5. Furthermore, since the child care facility will be located with a residential
neighborhood, decorative light fixtures and light poles and shielded should be provided
and is attached as a condition of approval.
Technical Items: While the sketch plan has accommodated most of the staff
concerns the following items remain outstanding, and will need be addressed
with the site plan application:
1. That dimension of the handicap accessible parking space be a minimum of 12' by
18' with a 5'-wide ramp and so noted on the site plan.
2. That the curbing is eliminated from the public right-of-way and so noted on the site
plan.
3. That a 5'-wide perimeter landscape area be provided and so noted on the site plan.
That a landscape plan demonstrating compliance with LDR Section 4.6.16 be
submitted with the site plan application together with the City's standard calculation
sheet.
5. That the existing light pole within the proposed driveway is relocated in accordance
with direction by the City Horticulturalist.
6. That building foundation landscaping is provided on the north, south and west sides
of the building in accordance with direction by the City Horticulturalist.
That a 2'-high hedge be installed and allowed to grow to 6'-high around the outdoor
play area and a 2' hedge to be maintained at 3' be provided along the perimeter of
the parking areas.
8. That trees are planted along the west side of the property 25' on-center.
9. That a tree and ground covers are installed at all terminal landscape areas.
The development proposal is not located within a geographical area requiring review by
the Community Redevelopment Agency (CRA) or Downtown Development Authority
(DDA).
Planning and Zoning Board Staff Report
Conditional Use Approval - A~batross Child Care Center
Page 9
Site Plan Review and Appearance Board:
If Conditional Use approval is granted, a revised site plan must be submitted
accommodating the concerns raised through the conditional use petition. Final action
on the site plan submittal will rest with the SPRAB (Site Plan Review and Appearance
Board).
Public Notice:
Formal public notice has been provided to property owners within a 500 foot radius of
the subject property. Letters of objection, if any, will be presented at the Planning and
Zoning Board meeting.
Courtesy Notice:
Courtesy notices have been provided to the following homeowner's associations, which
have requested notice of developments in their areas:
· PROD
· Presidents Council
· Tropic Palms
· Town & Country
· Delray Racquet Club
Letters of objection or support, if any, will be presented at the Planning and Zoning
Board meeting.
The proposed conditional use is for the establishment of a child care facility. The
proposed child care center is to be located within an existing multiple family residence
[ha~ w~ll be converted. Provided the conditions of approval are met there should be no
compatibility issues associated with the proposed development. The proposed use is
consistent with the policies of the Comprehensive Plan and Chapter 3 of the Land
Oewlopment Regulations. Positive findings can be made with respect to Section
2.4.5(E)(5) regarding compatibility of the proposed use with surrounding properties.
Ao Continue with direction.
Bo
Recommend approval of the Conditional Use request to establish a child care
facility for Albatross Child Care Center, based upon positive findings with
respect to Section 2.4.5(E)(5) (Compatibility) and Chapter 3 (Performance
Planning and Zoning Board Staff Report
Conditional Use Approval - Albatross Child Care Center
Page 10
Standards) of the Land Development Regulations, and the policies of the
Comprehensive Plan subject to conditions.
Co
Recommend denial of the Conditional Use request to establish a child care
facility for Albatross Child Care Center, based upon a failure to make positive
findings.
Recommend approval of the Conditional Use request to establish a child care facility for
Albatross Child Care Center, based upon positive findings with respect to Chapter 3
(Performance Standards) and Section 2.4.5(E)(5) of the Land Development
Regulations, and the policies of the Comprehensive Plan subject to the following
conditions:
1. That the maximum enrollment for the child care facility is 40 children;
2. That a detail of the dumpster enclosure, which includes recycling facilities, is
provided as part of the site plan review;
3. That the photometric plan be revised to reduce the maximum foot candles to 2.5 and
that the light fixtures and light poles be decorative and shielded; and,
That a site plan application be submitted and approved by SPRAB, which is in
general conformance to the submitted sketch plan and incorporates the Technical
Items identified under Technical Items with the staff report noted herein.
5. That children from the surrounding Tropic Palms and Bass Creek neighborhoods
shall be accepted for enrollment before non-residents.
Attachments:
El Conceptual Plan
El Location Map
Survey
Report Prepared By: Scott Pape, Senior Planner
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PLANNING & ZONINGDEPARTMENT
ALBATROSS CHILD CARE CENTER
-- DIGn'AL B,4$E M,4P SYSI'EM --- MAP REF Ua 635
, vOL.
MEMORANDUM
TO:
FROM:
SUBJECT:
DATE:
MAYOR AND CITY COMMISSIONERS
CITY MANAGER ,~2~'~
AGENDA ITEM # v~ ~ -REGULAR MEETING OF DECEMBER 3, 2002
PROPOSAL/VI! J.&GE FOUNDATION
NOVEMBER 27, 2002
This is before the Commission to consider approval of a proposal between the City of Dekay Beach
Parks and Recreation Department and the Village Foundation. The proposal provides for a
partnership regarding teen programming at Pompey Park with funding in the mount of $23,000.00.
The program will consist of academic enrichment, cultural activities, sports/recreation activities, and
community involvement activities. The City's Acting Recreation Supervisor IV has met with the
Teen Coordinator of Village Foundation and worked out a schedule for teen programming which
will not impact any of the current programs at Pompey Park.
Funding is avail_able from 115-4101-572-49.90 (Special Projects Fund).
Recommend approval of the proposal with the Village Foundation for teen programming at
Pompey Park.
S:\City Clerk\agenda memos\chevelle folder\Proposal Village Foundatton 12.03 02
[lTV DF DELRflV BEfl[H
AII-AmericaCity
1993
2001
100 N.W. 1st AVENUE DELRAY BEACH, FLORIDA 33444 561/243-7000
MEMORANDUM
TO:
David Marden
City Manager
FROM:
Joe Weldon
Director of Parks and Recreation
SUBJECT: Proposal from Village Foundation
DATE: November 19, 2002
Attached please find a proposal from the Village Foundation for a
partnership with the Parks and Recreation Department for teen programming
at Pompey Park. The program would cover academic enrichment, cultural
activities, sports and recreation activities, and community involvement
activities. As you may recall, Mr. Ridley and I met with you on
September 4, 2002 and I agreed to use $23,000 from our rotary accounts
($21,528 from account #115-0000-334-71.00 - summer lunch program and
$1,472 from account #115-0000-248-15.00 - general miscellaneous) to help
partially fund this program this year. Also attached please find a
letter from Rudy Collom of the Village Foundation showing how the $23,000
will be expended.
Please place this on the December 3, 2002 agenda for City Commission
consideration.
Director of Parks and Recreation
Attachments
cc: Joe Safford
Chuck Ridley
Rudy Collom
Ref:dhvillage
Prlnted on Rec~led P~er
THE EFFORT ALWAYS MATTERS
1993
2001
100 N W. 1st AVENUE DELRAY BEACH, FLORIDA 33444 561/243-7000
MEMORANDUM
TO:
THROUGH:
FROM:
David Harden
City Manager ~
Joe Weldon ~
Director of ~arks
Nathaniel Tucker
Acting Recreation Supervisor IV
and Recreation
SUBJECT: Village Foundation Teen Program Scheduling
DATE:
November 26, 2002
Please be advised that I met with Rhonda Williams-Turner of the Village
Foundation on August 29, 2002. We worked out a schedule for teen
programming at Pompey Park that does not impact any of the current
programs at Pompey Park.
Nathaniel Tucker
Acting Recreation Supervisor IV
cc: Joe Weldon
Director of Parks and Recreation
Rodger Ribeiro
Recreation Supervisor
NT:cp
Ref:teenprog
THE EFFORT ALWAYS MATTERS
Prlnted on Recycled Paper
Board of Directors.
Major Wllham McCollom
R.J. "Rick" Seymour
Executive Vice President
Muzak of Palm Beach
Co-C~atrman
Al Williams, President
I n t e-~n n g~ ~e~rp ri-s~ s
P. Michael Manning
Attorney-At-Law
Dr. Greg Alma
Dean of Education
Flonda Adanuc Umvemty
Leslie K. Bates, Ed D
Dean of Student Affairs
Florida Atlannc Umvertzty
Lula Butler
Director of Commumty Improvement
C~ty o! Delray Beach
Diane Colona
Executive Director
Commumty Redevelopment Agency
Stephame English
Financial Specialist
F,rst Umon Bank
Gale Fulford, Pnncipal
The Vdlage Academy
G~s'ele Gehn
Semor F~nanc~al Analyst
5un-Senunel
Jonathan Klein
Arthur J. Kobacker
Community Volunteer
Captain Leonard M~tchell
Palm Beah County School Board Pohce
Brenda Montague
Coldwell Banker ResMennal Real Estate, Inc.
Bill & Chris Oberlmk
Commumty Volunteers
Commissioner Jeff Pedman
Delray Beach C:ty Comm,ssJon
Sergeant Javaro S~ms
Delray Beach Pohce Department
Rabbi Merle Singer
Temple Beth El
Reverend William H. "Chip" Stokes
St. Paul's Epncopal Church
Raymond Zimmerman
Community Volunteer
Charles Ridley
Chief Executive Officer
E I) II C A I I O lq C O MMUSITY
October 28, 2002
Joe Weldon
Deh'ay Beach Parks & Recreation
50 NW 1 st Avenue
Delray Beach, FL 33444
Dear Joe:
This letter is a follow-up to our meeting on October 2, 2002 in which we
discussed the continued partnership of Delray Beach Parks & Recreation
and the Village Foundation. During the meeting we agreed that Parks &
Recreation would provide the Village Foundation with a $23,000 check to
be used for teen programming during the 2002-03 fiscal year. The money
that will be received from Parks & Recreation will be used for paying
personnel and supply costs associated with providing academic,
recreation, and social development activities for teenage youth at Pompey
Park.
Attached is a spreadsheet that outlines that the proposed use of the
resources. Upon the completion of the 2002-03 fiscal year, Village
Foundation will provide Parks & Recreation with all of the necessary
documentation that supports the expenditures that occur. The
documentation will include copies of payroll checks, time sheets, and
receipts. Village Foundation will also provide Parks & Recreation with an
annual report that summarizes the expenditures and also details the
activities of the Teen Program for the 2002-03 fiscal year.
Joe, the partnership between Delray Beach Parks & Recreation and the
Village Foundation is flourishing and we are beginning to profoundly
impact the lives of the teenage youth. Please contact me if you have any
questions or concems.
Sincerely,
Rudy Collum
Director of Educational Services
Administrative Office · 141S.W. 12thAvenue · DelrayBeach, FL33444 ° Phone: (561)276-6755 · Fax: (561)279-7606
Budget Category
Budgeted Amount
Personnel
3 Activit7 Leaders x 20 hrs x $11.50 x 28 weeks $ 19,320.00
Total Personnel $ 19,320,00
Fringe Benefits
$
Variable Benefits ~.. 14.65% x $19,320
Total Fringe Benefits
2,830.00
$ 2,830.00
Supplies
Program Supplies (Office & Academic supplies & materials) $ 850.00
Total Supplies
$ 850.00
BUDGET TOTAL $ 23,000.00
10129/2002
1
l~oar& oi Directors:
Mljor William McCollom
CMn'man
ILI, '~ck" Seymo~
~emtive ~ce Pre,dent
M~k o[ P~ Bea~
~er~t
P. ~ael Man~g
~orney-At-~w
Dr. Gre~ Moix
D~ o{ Eduction
~slle ~ Bz~es, Ed.D.
De~ o{ S~em
FIo~ Ad~uc U~v~rs~
Lula Buder
Dkec~or o{ Community Improvemen~
O~ o{ Del~y Beach
Bob Ca~
Commum~ Vo[ume~
Diane Domin~uez
~e~dve Dkecmr
Commu~ ~developmem Agen~
Steph~e
F~ancla[ Spec~st
Fizz Union
Gale F~lford,
~e Village A~demy
G~d~ Ge~
Ma~ur Foun~fion
Jonath~ ~
O~taa {or Commum~ Ke~ves~m~
Arthur J. Kob~cker
Commum~ Volunteer
C~?tnin ~o~lrd Mhch~
Palm Be~ Coun~ School B~rd Police
A~da KealW
B~ ~ Chin Ober~
Commumty Vol~teers
Comsloner Jeff Per'an
Dd~y Be~ Ci~ Core.stun
5erge~t Ja~ro
Deln7 Bea~ Ponce Depamen~
~bbi Merle
Temple B~ ~
Reverend W~ H 'CMp" Stokes
St Paul's Eptscop~
~ond Z~e~
Co~u~ V olumeer
Charles
~eff ~e~e O~cer
VILLAGE F_ UNDATION
B R Ii x K I N G T H E ~~ CYCLE OF POVERTY
t o
July 22, 2002 ~
Joe Weldon
Dekay Beach Parks & Recreation
Dekay Beach, FL 33444
Dear Joe:
It was a pleasure discussing the proposed partnership between Delray
Beach Parks & Recreation and the Village Foundation'on July 15,
2002. We believe that creating this partnership has the capability to
promote a very profound and positive impact on the lives of Dekay
Beach youth and the community at large. In addition, it will allow for
your department to demonstrate to the community that positive teen
programming is occurring at Pompey Park.
As we discussed at the conclusion of the meeting, a written proposal
that outlines the specifics of the proposed partnership is attached. The
proposal includes a detailed description of the academic and
recreational activities that the Village Foundation is proposing to
provide. Please review the enclosed proposal to determine if it meets
your needs and programmatic expectations.
Once you have had time to review and discuss the proposal with your
staff, please contact us to set up a follow-up meeting to discuss the
next phase in which we can discuss the various resources each party
can provide. Collectively, the two agencies will create a positive
atmosphere with the goal of increasing academic achievement and
positive social behavior while providing a recreational outlet for
leisure and physical activities.
We look forward to heating from your soon. -- .
Director of Educational Services /¥illagezCenter Director
MACAiKTHUla. P~lm B~'
Administrative Office * 141 S.W. 12ttxAvenue * Delray Beach, FL 33444 · Phone: (561) 276-6755 · Fax: (561) 279-7606
PARTNERSHIP PROPOSAL FOR TEEN PROGRAMMING
DELRA ¥ BEACH DEPARTMENT OF
PARKS & RECREATiON
AND
THE VILLAGE FOUNDATION, INC.
July 22, 2002
Partnership ProposaI-V~ltage Foundation & Delray Beach Parks & Rec
Introduction
A population that is o~en under-funded by educational and social agencies for
afterschool prevention and intervention programs are teenage youth in the middle and
high school grades. Middle school youth generally have rates of participation within
afterschool programs but as they enter their early teenage years and enroll in high school,
participation in afterschool programs tends to decrease. Various reasons account for this
decrease in participation including school-sponsored sports teams, the employment
opportunities, and the desire to become more socially involved with peers outside of
school-related activities. However, within the West Atlantic Corridor community there is
a tremendous need for positive and structured afterschool activities for teenage youth as
the lure of drugs, crime, and social disorder is very present within the community. All of
the middle school age students and many of the high school age students are bused out of
the community to attend schools. When they remm to the care of the community, it is
late in the afternoon and they are in need of a positive environment in which to have
access to academic support, recreational, and social activities.
Since 1995, the Village Foundation (formerly known as MAD DADS) has provided
positive teen programming to middle and high school aged youth in the Delray Beach
community. In the few year, the Teen Program has expanded its programming to provide
a wide variety of activities to a constantly growing population of youth. As a result of the
growth of the Program and the number of youth being served, there is now a tremendous
need to collaborate with a partnering agency that has a similar mission and can provide
facility space, staff supervision, and financial resources to further expand the program to
offer even more diversified programming. Currently the Village Foundation Teen
Program consists of three major components: 1) Academic Enrichment activities, 2)
Cultural activities, and 3) Recreational and Sports activities. Collectively, these three
components offer youth intervention and prevention activities ~at assist in their
transition from adolescence to adulthood.
Program Objectives
Obiective 1: 75% of the enrolled participants will attend the program on a daily basis, at
least 75% of the time, through May 31, 2003
Objective 2: 50% of the participants will demonstrate a 3% improvement of math skills
as evidenced by a comparison of 2002 and 2003 standardized achievement test scores
through May 3i, 2003.
Objective 3: 50% of the participants will demonstrate a 3% improvement of reading
skills as evidenced by a comparison of 2002 and 2003 standardized achievement test
scores through _May 31, 2003.
Objective 4: 75% of the participants who have received discipline referrals will show a
decrease in referrals by May 31, 2003.
3
Partnership Proposal-V'dlage Foundation & Delray Beach Parks & Rec
Proposed Activities
It is proposed that the Village Foundation partner with Dekay Beach Parks & Recreation
to provide academic, recreational, and cultural programming for teenage youth during the
2002-03 academic school year. The majority of the proposed programming would occur
at the Pompey Park Recreation Center, which is located in the heart of the West Atlantic
Corridor neighborhood. This facility is within walking distance for most neighborhood
students and is open well into the evening which can accommodate students once they
remm to the community. The proposed parmership is projected to serve an average of 60
teens per day, providing a plethora of academic, cultural, and recreational activities with
the goals of improving academic achievement and deterring negative and delinquent
behaviors.
Academic Enrichment Activities
Academic enrichment activities provide the students with the opportunity to complete
their homework and obtain academic assistance from certified middle and high school
teachers through a variety of activities. The Village Foundation proposes that the
following academic enrichment services to be conducted at the Pompey Park Recreation
Center through the 2002-03 school year:
Homework center/tutorial sessions
Teen Rap (life skills/social development classes)
· SAT & CLAST Preparation classes
· College preparation classes (teaching the college entrance basics)
· Computer software instruction (teaching to use various software)
· Computer technician classes (vocational education)
Table 1 outlines the specific times, dates, participants, and location of the proposed
academic enrichment activities.
Table 1: Academic Enrichment Activities Schedule
Activity Time ' DaY Age of # of Where
Participants Participants
Tutoring/Homework 5:00 - 7:00 p.m. M-TH Middle/High 30 Pompey Park
Center Auditorium
College Prep Classes 5:00 - 7:00 p.m. T & TH High 20 Pompey Park
Auditorium
SAT & FCAT Prep 5:0'~) - 7:00 p.m. M & W Middle/High 20 Pompey Park
Classes Auditorium
Computer Classes 7:00 - 9:00 p.m. T & TH Middle [ 15 Pompey Park
_ Computer Lab
4
Partnership Proposal-Village Foundation & Delray Beach Parks & Rec
Cultural Activities
Cultural activities provide students with the opportunity to participate in activities that
aim to broaden their exposure and assist in developing various life experiences. The
Village Foundation proposes that the following cultural activities be conducted at the
Pompey Park Recreation Center during the 2002-03 school year:
Urban Dance (competitive drill team/urban dance)
Drama classes (introduction to acting)
Etiquette classes (introduction to multi-culturally accepted behaviors)
· Modeling (teaching how to become models)
Teen Rap (life skills/social development classes)
· Talent Shows (opportunity to display personal and team talents)
Table 2 outlines the specific times, dates, participants, and location of the proposed
cultural activities.
Table 2: Cultural Activities
Activity Time Day Age of # of Where
Participants Participants
Teen Rap/Life 7:00 - 9:00 p.m. T & TH Middle/High 40 Pompey Park
Skills Auditorium
Urban Dance 6:00 - 8:00 p.m. M & W High 20 Pompey Park Gym
Urban Dance 6:00 - 8:00 p.m. T & TH Middle 40 Pompey Park Gym
Etiquette 7:00 - 8:00 p.m. W Middle/High 20 Pompey Park
Auditorium
Modeling 8:00 - 9:00 p.m. M MiddlefHigh 20 Pompey Park
Pmditorium
Drama 7:00 - 9:00 p.m. W Middle/High 20 Pompey Park
Auditorium
Talent Show 7:00 - 10:00 p.m.3m F of Middle/High 150 Pompey Park Gym
the month
Partnership Proposal-Ifdlage Foundation & Delray Beach Parks & Rea
Sports and Recreational Activities
Sports and Recreational activities provide students with the opportunity to participate in
competitive sporting events that challenge their physical and mental capacities. Within
these activities, students have the oppommity to participate in local and out-of-town
leagues, travel throughout the state to compete in tournaments, and become exposed to
other sports and recreational activities typically not emphasized in urban neighborhoods.
The Village Foundation proposes that the following sports and recreational activities be
conducted at the Pompey Park Recreation Center during the 2002-03 school year:
· Boys Basketball (practices, league games, and tournaments)
· Girls Basketball (practices, league games, and tournaments)
· Girls Volleyball (practices and league games)
Basketball camps (elementary and middleflxigh)
· Tennis (middle/high)
· Swimming/Life guard training (elementary and middlefhigh)
Table 3 outlines the specific times, dates, participants, and location of the proposed sports
and recreational activities.
Table 3: Sports and Recreational Activities
Activity Time Day Age of # of Where
Participants Participants
Boys 5:00 - 7:00 p.m. M & W Middle (12 & under) 15 Pompey Park Gym
Basketball
Boys 5:00 - 7:00 p.m. T & TH Middle (14 & under) 15 Pompey Park Gym
Basketball
Boys 7:00 - 9:30 p.m. M & W High (16 & under) 15 Pompey Park Gym
Basketball
Boys 7:00-9:30p.m. T &TH High(18 &under) 15 Pompey Park Gym
Basketball
Girls 5:00 - 7:00 p.m. M Middle (15 & under) 15 Pompey Park Gym
Basketball 9:00 - 11:00 a.m. Sat
Volleyball 7,,:30 - 9:00 p.m. W Middle/High 20 Pompey Park Gym
3:00 - 6:00 p.m. Sat
Swimming 12:00- 3:00 p.m. Sat Middle/High 20 Pompey Park Pool
Tennis 3:00 - 6:00 p.m. Sat Middle/High t 15 Pompey Park Courts
6
Partnership Proposal-V'dlage Foundation & Delray Beach Parks & Rec
Community. Involvement Activities
Community Involvement activities provides youth and the community at large to come
together and participate in a variety of activities that includes everyone from elementary
aged children to young adults. Tournaments, step shows, and adult basketball leagues
allow individuals of all ages to showcase their talents in events that increase community
involvement and also provide fundraising opportunities for the Teen Program. The
Village Foundation proposes the following community involvement activities to be
conducted at the Pompey Park Recreation Center during the 2002-03 school year:
· Midnight Basketball League (practices, league games, and tournaments)
· Vocational Education Sessions (education and life skills for young adults)
· Step Shows (competitive performances from local schools/groups)
· Basketball Tournaments (elementary, middle, high, and adults)
Table 4 outlines the activities that aim to increase community involvement and harmony
by bringing them together in talent shows, tournaments, and community banquets.
Table 4: Community Involvement Activities
Activity Time # of Date Age of Where
Participants Participants
Midnight"' 10:00 - 1:00 a.m. 60 W,F, Sat 19-25 Pompey Park
Basketball League January- Gymnasium
June 2003
Vocational 9:00 - 10:00 p.m. 60 W, F, Sat 19-25 ' pompey Park
Education Sessions January- Auditorium
June 2003
Step Show 5:00 - 10:00 p.m. 200 November Elementary- Pompey Park
2002 High Gynmasium
Holiday Basketball 8:00 - 5:00 p.m. 100 December Adult Pompey Park
Tournament 2002 Fri-Sun Gymnasium
Basketball 8:00 - 5:00'p.m. 150 January Elementary Pompey Park
Tournament 2002 Fri-Sun Gymnasium
Basketball 8:00 - 5:00 p.m. 150 February Middle Pompey Park
Tournament 2002 Fri-Sun Gymnasium
Basketball 8:00 '- 5:00 p.m. 150 March 2002/ High Pompey Park
,. Tournament Fri-SunI Gymnasi~
7
£1TY (IF I)ELA;lY BE;ICH
CiTY ATTORNEY'S OFFICE
1993 TO:
FROM:
SUBJECT:
200 NW 1st AVENUE · DELRAY BEACH, FLORIDA 33444
TELEPHONE 561/243-7090 · FACSIMILE 561/278-4755
Wdter's Direct Line: 5611243-7091
MEMORANDUM
November 14, 2002
City Commission
Susan A. Ruby, City Attorney
Resolution 94-02
The City owns Lots 7 and 13 and acquired the north 16 feet of Lots 7 and 13 by
right-of-way deed in 1936. Blocks 7 and 13, including the North 16 feet thereof, is
to be conveyed to the CRA which, upon closing, will then be conveyed to Block 77
for the Worthing Place development.
The City needs to acquire the property by eminent domain for the purpose of
having absolute right to the property to use as a City parking lot and in the
alternative in order to convey legal title for the Worthing Place redevelopment
project and in order to receive increased substitute parking under the City's
agreement with Block 77.
The right-of-way deed contains a reverter clause that states that if the north 16
feet is discontinued or abandoned as a public street, the title will revert to the
Grantor or his or her assigns. The City has used the north 16 feet for parking
purposes for more than 21 years. Dharma has purchased whatever rights the
Seller's heirs have in the north 16 feet of the property on Lots 7 and 13.
Our office recommends that the resolution authorizing eminent domain be
approved in order to secure the land for its current parking purposes or in the
alternative to further the redevelopment and receive increased parking to the City
under our agreements.
Please place this Resolution 94-02 on the November 19, 2003 City Commission
SAR.?ssmk --
Attachment
cc: David T. Harden, City Manager
Barbara Garito, City Clerk
RESOLUTION NO. 94-02
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF
DELRAY BEACH, FLORIDA, AUTHORIZING AND DIRECTING THE
ACQUISITION OF FEE SIMPLE TITLE TO CERTAIN REAL
PROPERTY HEREAFTER DESCRIBED FOR THE PUBLIC PURPOSE
OF CLEARING TITLE TO THE SUBJECT PROPERTY, FOR
PROVIDING PUBLIC PARKING IN DOWNTOWN DELRAY BEACH
AND FOR STIMULATING ECONOMIC DEVELOPMENT IN THE
DOWNTOWN AREA OF THE CITY OF DELRAY BEACH;
DECLARING THAT THE ACQUISITION OF THE PROPERTY IS
NECESSARY FOR SAID PUBLIC PURPOSE; AUTHORIZING THE
HIRING OF LEGAL COUNSEL, APPRAISERS, AND EXPERTS IN
OTHER DISCIPLINES AND THE FILING OF EMINENT DOMAIN
PROCEEDINGS PURSUANT TO CHAPTERS 73 AND 74, FLORIDA
STATUTES; PROVIDING AN EFFECTIVE DATE; AND FOR OTHER
PURPOSES.
WHEREAS, on or about September 14, 1936, the City of Delray Beach was grantee on a certain
Right-of-Way Deed recorded at Deed Book 533, page 103 concerning certain lands more particularly
legally described on attached Exhibit "A";
WHEREAS, said Right-of-Way Deed contains a provision stating that the lands conveyed therein
be used for public street purposes "with the express understanding and condition that should the same ever
be discontinued or abandoned as a public street, the title to the same shall thereupon revert to and revest in
the parties of the first part, or assigns"; and
WHEREAS, since the date of said Right-of-Way Deed, the City of Delray Beach has continuously
utilized the subject lands for public purposes. However, for in excess of twenty-one (21) years, the lands
have not been utilized as a public street but rather have been used for public parking; and
WHEREAS, the City of Delray Beach is currently a party to asa Agreement with Block 77
Development Group, L.C. dated January 4, 2000; and
WHEREAS, pursuant to said Agreement, the City of Delray Beach is obligated to convey certain
lands, including those lands described in attached Exhibit "A" to the Delray Beach Community
Redevelopment Agency in furtherance of a mixed use, redevelopment project on Blocks 77 and 69, TOWN
OF LINTON; and
WHEREAS, said redevelopment project will increase public parking in downtown Delray Beach
and provide for improvements to Worthing Park, a City park; and
WHEREAS, said redevelopment project will include the construction of approximately 219
residential apartment units and approximately 18,000 SF of commercial and/or retail space in the
downtown area of the City of Delray Beach; and
WHEREAS, said redevelopment project will provide economic stimulation and investment in the
Central Business District and will increase night-time activity in the downtown area; and
WHEREAS, it is necessary for the City of Delray Beach to remove or eliminate the deed
restriction/reverter set forth in the above conveyance so that the City may continue to use the subject
property for public parking or, in the alternative, so that the City has clear title to said lands in order to
convey the same to the Delray Beach Community Redevelopment Agency for redevelopment purposes;
and
WHEREAS, the clearing of the title to the subject lands in order to permit its continued use for
parking or as a component of a redevelopment project serves the public purpose of redevelopment and
stimulating economic development pursuant to Section 166.021(9), Fla. Stat. in the downtown area of the
City of Delray Beach.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF
DELRAY BEACH, FLORIDA THAT:
Section 1: The City Commission adopts and ratifies those matters set forth in the foregoing recitals.
Section 2: The City Commission hereby finds that it is necessary to acquire the lands described on
attached Exhibit "A" for the public purpose of clearing title to the subject property, for providing public
parking and for redevelopment and stimulating economic development in the downtown area of the City of
Delray Beach.
Section 3: The City Attorney or her designee, is hereby authorized and directed to proceed to take
all necessary steps, including the hiring of Vance, Doney & MacGibbon, P.A. and other legal counsel,
appraisers, and experts in other disciplines, as necessary, for the City of Delray Beach to acquire said
property and the City Attorney, or her designee, shall prepare in the name of the City of Dekay Beach all
papers, pleadings and other instruments required for the purpose, and to see that all eminent domain
proceedings are prosecuted to judgment pursuant to Chapter 73 and 74, Florida Statutes.
Section 4: The City attorney and the City Manager are hereby authorized and directed to take such
other further actions as are reasonably required to fully accomplish the purposes hereinabove directed.
Section 5: This Resolution shall take effect immediately upon passage.
2
RES. NO. 94-02
PASSED AND ADOPTED this
day of
,2002.
CITY OF DELRAY BEACH, FLORIDA
Attest:
MAYOR
City Clerk
3 RES. NO. 94-02
The North Sixteen (16.0) feet of Lot 7, Block 77,
TOWN OF LINTON (now Delray Beach), according to
the Plat thereof recorded in Plat Book 1, page 3 of the
Public Records of Palm Beach County, Florida
AND
The North Sixteen (16.0) feet of Lot 13, Block 77,
TOWN OF LINTON (now Delray Beach), according to
the Plat thereof recorded m Plat Book 1, page 3 of the
Public Records of Palm Beach County, Florida.
" j S.Z. 1ST AVENUE
~-~ ~ ~a~ ~ ,o.~°
~ ~ ~ '~- e L 5~ 75' ~
I / "'-
I ~
'P ~ 'm I
~ ,.~u,z,.., ~s2{ S.E. 2ND AVENUE
~AVIHOM ~A~8OGIATEB, INO. 8GALE l' - mO' ~VI~ION~ DATE aY
~URV~YIN~ ~ MA~PIN~ OATE ll/04/~O0~ N~
aD a,w. ~ AVENU~ aU~E ~0~ BY N.L DE~AY BEACH, F~MERLY TO~ OF UNTON
BOCA RAT~. FLORIDA 33432
2~ *~ · ~ms ~ ~ ~ ,~o ~ ~ (P.S. 1. PG. 3, P.B.C.R.)
,om a[ ~0~ ~ C~ ~r ~N ~ JOB N0.721~ D~AY
[ITY OF DELAflY BEACH
CiTY ATTORNEY'S OFFICE
200 NW 1st AVENUE · DELRAY BEACH, FLORIDA 33444
TELEPHONE 561/243-7090 · FACSIMILE 561/278-4755
Writer's Direct Line: 561/243-7091
1993
DATE:
MEMORANDUM
November 25, 2002
TO:
City Commission
David T. Harden, City Manager
FROM:
Susan A. Ruby, City Attorney
SUBJECT: Treehouse
The City Commission did not have three affirmative votes to approve the appeal
regarding the treehouse as required by the Charter and thus the appeal was not
approved.
However, the vote was phrased in the negative i.e. to deny the treehouse, which
received a two to two vote.
While there were insufficient votes to support the appeal, in order to clarify the
record I would suggest that the prevailing motion be rescinded/reconsidered for
the purposes of clarification and a new motion be made in the positive.
Plea~his matter on the December 3, 2002 regular agenda.
SAR:smk
cc: Barbara Garito, City Clerk
MEMORANDUM
TO:
FROM:
SUBJECT:
MAYOR AND CITY COMMISSIONERS
AGENDA ITEM '~)- REG~ MEETING OF DECEMBER 3, 2002
APPOINTMENTS TO THE PEDESTRIAN AND BICYCI,E TASK TEAM
DATE:
NOVEMBER 27, 2002
On November 5, 2002 Resolution No. 88-02 was approved, establishing a Pedestrian and Bicycle
Task Team for the purpose of identifying the needs of bicyclists and pedestrians within the city and
recommending the implementation of a bicycle and pedestrian system consistent with the City's
Comprehensive Plan within the City of Delray Beach.
The Pedestrian and Bicycle Task Team shall consist of seven (7) members to prepare an assessment
and report, identifying the needs of bicyclists and pedestrians within the Delray Beach City limits.
The Task Team shall immediately pursue its assigned task with a target date of accomplishment by
May 31, 2003 meeting once per month or as required.
To qualify for appointment, a person shall either be a resident of or own property, own a business
or be an officer, director or manager of a business located within the city. The term is for six (6)
months, ending May 31, 2003. To the extent possible, the team should include a representative of
the Police Department, a representative of the Parks and Recreation Depamment, one or more
bicycle enthusiasts and members from the commtmity at large.
The following have submitted applications for consideration:
(See Exhibk A)
A check to confirm that all are registered voters was completed. A check for code viohtions
and/or municipal liens was conducted. None were found with the exception of Richwagen's
Delray Bike which has an outstanding invoice of $75.00 for false alarms.
Based on the rotation system, the appointments will be made by Commissioner Perlman (Seat # 1),
Commissioner Archer (Seat # 2), Commissioner Levinson (Seat # 3), Commissioner McCarthy (Seat
# 4), Mayor Schrnidt (Seat # 5), Commissioner Perlman (Seat # 1) and Commissioner Archer (Seat
# 2). The Task Team shall elect a chairperson.
Recommend appointment of seven (7) members to the Pedestrian and Bicycle Task Team for a
term ending May 31, 2003.
Exhibk A
Vicki Bandel
Stephen Blum
Richard Connell
Stefanie Gapinski
Gerald Gomes
Bob Griek
Vivian I-fill
Horenburger, Leslie
Jayne King
David Kraker
Eileen Marks
Jean Matthews
Albert Richwagen
Donna Russo
Barbara Scherz
Kenneth Schoenberg
James Smith
Alvin Weinstein
Beatrice West
Carolyn Zimmerman
West
Beach
West
Southwest
Northeast
Downtown (Delray Sea£ood)
Beach
North (Swinton)
Northwest
West
Southwest
West
Downtown
Southeast
West
Beach
Beach
Beach
Northwest
Southwest
Community at hrge
Bicycle enthusiast
Parks & Recreation
Community at large
Community at large
Bicycle enthusiast
Community at large
Community at large
Bicycle enthusiast
Bicycle enthusiast
Community at hrge
Parks & Recreation-PB County
Bicycle enthusiast
Community at large
DelrayPolice Department
Bicycle enthusiast
Community at large
Bicycle enthusiast
Bicycle enthusiast (WP Bicycle Club)
Community at hrge
To: Karen Schell
From: Jim Smith
Date: October 31, 2002
Subject: Applications for Bike/Ped Task Force
Attached are four applications for the Bike/Ped Task Force:
Jim Smith
Jean Matthews
Albert Richwagen
Dave Kraker
Jayne King and Carolyn Zimmerman will be contacting you directly about becoming
board members.
I've also talked with Jeff Messer and Bob Griek (Delray Seafood).
a member - unless he is prohibited because he is a City employee.
Jeff is eligible or not. Bob Griek is out of town until next week.
will talk with Bob again early next week.
Jeff wants to become
Please let me know if
If Jeff cannot serve, I
Here's a geographic recap that may be helpful:
Jim Smith, Beach
Jean Matthews, West
Albert Richwagen, Downtown
David Kraker, West
Jayne King, Northwest
Carolyn Zimmerman, Southwest
JeffMesser, Downtown
Bob Griek, Downtown
Jimtgmith
FR'OH : DRIll,EL FAX !i0. : 561 E)~ 8~21 I!o,,. 15 2002 DD:O5PI,I Pi
ll.'l.~,l)Z J'l~l 09'42 F%I 56l 243 3774 L'IT't.r CZ. ERg [~B0J
f~A.,od~C? CITY OF DELRAY BEACH
~llL BO&RD MEMBER ~PLIC~TION
1993
~Pleue ~e ox print the follc~ information:
~. P~.dp~ Bus~s _~ess: .......
~--/
~ s~tc .
Zip Cocl. c
/ 'oo s. , i
~. a~ y~ a r~s~ voter; If so, wh~ a~ ~u ~s't~c~~ '
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t~. I.~s~ .,my re~ed px,~fess;~.rtal r~,ff, fic.adon5 ~nd license~ which -~ou hold:
..,~. £.
s~ It x~ Be ~c appEc~s r~po~l)~W to ~ ~ a ~r a~ca~on i~ ~ ~e.
RECEIVED
NOV
CITY CLERK
CITY OF DELRAY BEACH
BOARD MEMBER APPLICATION
Please rs1:~ o." print the following m£orn'muon:
Pri, wipal Ru.4nrss Address:
none: i Bus'ness Phone.
6 Are vnu a ~cgistered voter?
C~ty
City
St~t~
,~tatc
Code
Zip Co, ]e
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~. ! :.~, ~n¥ :el:ted pro/¢.~d,-,n.4 CCtti~Cat, iO~l$ 9.11d 'tiCCl'l~,rc', W}~JC}t you
your pre.~ept, o[mo.~r rece~ empJoyer, and l~oslfion~ ,
1
No;c: T~us appLicauon will remm'~ on hie in thc C:ry Clerk's Office for a pefio,-I of 2 years from the date ~t was
sub.,'mttcd ~t wfi] be the applJcant~s mspons:bd,tT to ensuxe t~.at a cut.rtl appficafion :s on ~c.
RECE!VED
CITY CLERK
~-d L~80-E~-IgS ouT'npe wnlq es e~s:60 EO ~I non
PE, tr. av. B,ea?.
~.~.~.c? CITY OF DELRAY BEACH
llt
BOARD MEMBER APPLICATION
199..3
2001
Please type or print the following information:
2. Home Add~ess: Ci~ S~te Zip Code
3. ~g~ Residence: Ci~ State Zip Code
4. Pfindp~ Business Address: Ci~ State Zip Code
5. Home Phone: Business Phone: E-M~ Address:i .Ce~ Phone: F~:
'6. a~yo~a,~st~d,ot~. ~ Ifso. wherea~eyoure~stered?~
7. ~akBoard(s) are you inte~sted ~ sew~g? Please ~st
8. Hst a~ Ci~, Boards on w~ch you are currently se~g or have pre~ously se~ed: ~lease include dates)"
9. Educafion~ quahficafions:
10. Hst any related prokssion~ ce~ficafions and ~censes w~ch you hold:
11. Give your present, or most recent employe~, and position:
12. Describe experiences, s~s or ~owledge wMch qu~ y~u to Se~e
I hereby cc~0 ~at ~ ~e ab~ statements arc ~c, and I ~ee and ~dcrs~d ~at my ~ssmtemcnt ofmatefi~ facts
con~ed ~ ~s apP~ca~y cause forfdmre upon my Part of ~y aPpo~ent I may receive.
SIGNA~ DA~
Note: Th/s application will remain on file in the City Clerk's Officl~lf~~ars from the date it was
submitted. It will be the applicant's responsibil/ty to ensur~ flffi a cuFrkrit ~-pp]ication is on file.
s~:rrvct~o^~mCAnON
NOV ? 6 2002
CITY CLERK
CITY OF DELRAY BEACH
;11; BOARD MEMBER APPLICATION
1993
Please type or print the followini~ information:
1. Las~ iqam~: " Name M.I.
Gapinski ~#d~ t,~e Stefanie
fgO Lav~ ~ lray Beach FL 3344~
3. ~g~ Resident: ~ ~ ~ Stye Zip ~e
g'. 'H0~e Phone: BusNess Phone: ~ Phone: E-M~ AddresS: F~:
561-276-4152 561-291-0035/ 561-302-0595 gaptnskt~fau, edu 561-297-2058
6~ ~e you a Re~u'ered' Voter? .~ ~ ~ ~ so, wh~e ~e you r~uer~?
yes
7. ~ ~d(s) ~e you ~t~ed ~ se~g? . .
Affordable ~oustng Advisory Oo~ittee, Co,unity Redevelopment ~gency,
8. ~u ~ GW Bo~& on WNch you ~e ~en~ se~g or ~ve previ~ se~e& ~le~e ~d~ ~tes)
9. Edu~fion~ q~dons:
$,~c, - St, Bonaventure University~ ~ -!969
i 0." ~U my related profession~ Ce~fions 'md gcenses wN& you hol&
Florfda Dept. of Insurance: gealth; Life and Variable Annuity license
il. Giveyo~Fe~ormour~mtmpl~,mdposifion: Coordinator of Public Functions,
- 12." De~ ~efim~s, ~ ~ ~edge ~ ~~ to se~e on ~s b~& ~le~e ~ a b~efre~e)
~t.~e livin~ ia C~,~da, I se~ed as a member of the Board of Direetom of the Independen
Living Resource Centre and a member
tha ~t. ~ontfaee GeBaral ~os:ital Research Foundation.
Note. This application w~l remain on file in the City Clerk's Office for a period of 2 years from the date it was
submittect It w~l be the applicant's~e that a current application is on ~le.
a-'c/-- o /
S~ClTYCLF_RK'~,BOARD'~,~PLIC ATIOH
STEFANIE GAPINSKI
SUMMARY OF QUALIFICATIONS
· A specialist in public relations, marketing and communications, with experience in marketing story' :deas
to the news media as well as leadership development programs to universities.
EDUCATION
St. Bonaventure University
B.$c.
PROFESSIONAL EXPERIENCE
St. Bonaventure, NY
1998 - present Florida Atlantic University Boca Raton, FL
Coordinator of Public Functions, Dorothy F. oCchraidt College of Arts/Letters
· Responsible for the visiting scholar program, Ph.D. program administration, fundraising.
1992 - 1998 University of Manitoba V, rmnipeg, MB
Assistant Director, Centre for Higher Education Research and Development
· Responsible for the organization, marketing, and management of leadership development programs for
university administrators from around the world; as well as for the overall management and operauon of
the Centre.
1992 University of Manitoba Winnipeg, MB
Assistant to the Executive Director, Universi(y Relations Division
· Seconded to handle special projects as assigned by the P::esident of the University of Manitoba.
1984 - 1992 University of Manitoba
lnformatton, Comrauni(y and Media Relations Officer
Winnipeg, MB
INTERESTS AND ACTIVITIES
Volunteer work in the Dominican Republic through Orphanage Outreach; fitness; challenging my physical
and mental abilities by bungee jumping and white water rafting; stain-glass artistry; cooking and entertaining.
ACHIEVEMENTS
Recipient of a University of Manitoba Outreach Award for contributions to the community-at-large and for
efforts to increase contacts between the university and the general public.
Appointment as the Province of Manitoba media liaison for the Canadian Governor General's 1992
Centennial Celebrations.
Fellowship recipient from the Coundl for the Advancement and Support of Education District V, the only
representative from Canada out of 10 recipients awarded the fellowship that year.
Member, Marketing and Public Communications Committee of the St. Boniface General Hospital Research
Foundation, Winnipeg.
Member, Board of Directors, Independent Living Resource Centre, Winnipeg.
Recipient of a $2,500 grant to continue volunteer work in Dominican Republic orphanages in 2000.
$90 LAVERS CIRCLE #255 · DELRAY BEACH, FL 33444
PHOHE $61.297.0035 · FAX $61.297.2058 · E-MAlL GAPINSKI{~FAU.EDU
Stefanie Gapinski
Stefanie Gapinski is the Coordinator of Public Functions in the Dorothy F. Schmidt College of Arts and
Letters at Florida Atlantic University, where she administers the Ph.D. in Comparative Studies Pubhc
Intellectuals program, oversees the visiting scholar program, and is involved with fundraismg for the Ph.D.
program.
A specialist in public relations, marketing and communications, Stefanie received her Bachelor of Science
from St. Bonaventure University. After receiving her degree, she moved to Canada where she worked over
20 years at the University of Manitoba, holding positions such as the Information, Community and Media
Relations Officer; Assistant to the Executive Director, University Relations Division; and the Assistant
Director, Centre for Higher Education Research and Development.
Throughout her career, Stefanie has received many distinctions. She was the redpient of a University of
Manitoba Outreach Awaxd for hex contributions to the community-at-large and for her efforts to increase
contacts between the university and the general public. She also received a fellowship from the Council for
the Advancement and Support of Education District V, the only representative from Canada out of 10
recipients awarded the fellowship that year. In 1992, she was appointed as the Province of Mamtoba media
liaison for the Canadian Governor General's Centennial Celebrations.
Stefanie believes in the importance of giving back to one's community, and so she has volunteered her time
for organizations such as the Boy Scouts of Canada, a hospital cancer research foundation, a food bank, and
the independent living movement for persons with disabilities.
Lately, her volunteer efforts have focused on under-privileged children in developing countries. Since 1999,
she has worked at two orphanages in the Dominican Republic: The Hope of a Child Orphanage in
Montecristi and The Good Samaritan Orphanage in Esperanza. In January 2000, she received a grant to
continue her volunteer work in Dominican Republic orphanages.
Stefanie's strengths lie in many areas: organizational ability, interpersonal communications, marketing and
pubhc relauons, and financial aptitude. She is a person with an "I make it happen" attitude who has the
ability 'to get things done."
DELRAY BEACH
.~,,,.c? CITY OF DELRAY BEACH
lilt
BOARD MEMBER APPLICATION
1993
2001
Please type or print the following information:
2. Home Address: City State Zip Code
'/06 Al ff' ..c--_~ ~.r-. ,~_ ~,z~r. /'?.~ /~L
3. ~ Residence: ~ S~te ~p Code
4. P~dp~ Business Address: ~ S~te Zip Code
5. Home Phone: Bus, ess Phone: E-M~ Address: C~ Phone: F~:
6. ~e you a re~stered voter? If so, where are you re~stered?
7. ~at Board(s) are you interested ~ se~g? Please ~st ~ order of preference:
' ~. ~St h Ci'~, Boards on w~ch you a~e cunenfly se~g o~ have pre~ously se~ed: ~lease include date0
10. ~st any rehtcd profession~ ce~ficafions and Ucenses W~ch you hold: ....
11. Give your present, or most recent employer, and position:
12. Des~be ~pefimces, ~s o~ ~owlefl~ w~ch q~ you to se~e on ~s bo~d: &lease ~ch ~ brief
I hereby c~ ~at ~ ~e a~ve Statements ~ ~e, ~d I ~ce ~d ~d~d ~at ~y ~ssutcmcnt ofmatcd~ facts
cont~~~~~ u~n my p~ of ~y appoM~ent I may ~eceive.
S~G~~ D~
Note:
This application will remain on file in the City Clerk's Office for a ~crigd 9f 2 years from the date it was
submitted. It will be the applicant's responsibility to ensure that a i[~h~_~[i~l't~ on file.
~ClTYCI~.,R~OARI~d~ U~ATIOI4
NOV 1 5 ~002
CiTY CLERK
~L~ot~¥B~CH
BOARD MEMBER APPLICATION
1993
2001
Please .type or print the following information:
2,' Home _Addre~: '
3. 'Legal Residence: City State ~ ~_i_°~e~.
4. Principal Busines_s Ad. ss: Sate Zip ode
5. Home Phone: Business Phone:' E-Mail Address: Cell Phone: Fax:
67 ~re you a regaled voter? If so, where are you registered?
7. What Board(s) are you interested in serving? Please list in order of preference:
8. List all City Boards on wkich you are currendy serving or have previously served: (Please include dates)
9. Educational qualifications:
10.' List any related professional certifications and licenses which you hol&
'i 1. Give your present, or most recent employer, and position:
12. Describe exlx'tiences, sldll~ or lmowledge whidkqualifi~vou to serve on this board: (Please attach a bt/el resume)
SIG~ATUR~' "~ pr ~.~ DATE
Note: This application will remain on file in the City Clerk's Office for a period of 2 years from the date it was
submitted. It will be the applicant's responsibility to ensure that a current atmlic, axian_is.a~file.
NOV - 7 2002
CITY CLERK
DELI~Y BEACH
CITY OF DELRAY BEACH
BOARD MEMBER APPLICATION
1993
2001
Please type or print the following information:
2. Home Address: C~t>l] r?~,~ S Zip Col:lc
3. N~ Residence:C~'~' State ~p Code
4. Pfincip~ Bus, ess Address: Ciw ~ S~te Zip Code
5. Home Phone: Business' Phone: E-M~ Address: Ce] Phone: Fax:
If so, where ~e you re~stered?
6. Are youare~steredvoter? ~ e~. ~;~
7. ~at Board(s) are ~ou ~tereste se~g? Pieas~st m order of preference:
8. Nst ~ Ci~ Boards on w~ch ~ou are cure.fly se~dng or have pre~iously se~d: ~lease Ncluae dates)
9. ~ucaOon~ q~fica~ons:
10. ~st any related profession~ ce~ficadons ~d Nce~ses wNch you hold:
11. Give your present, or most recent employer, and position:
12. Describe experiences, s~s or ~owled~ w~ch q~ you to se~e on ~s board: ~lease amch a brief resme)
I hereby ce~ ~at ~ ~e a~ve smt~en~ are ~e, md I a~ee and ~dersmd ~at my ~ssmtement of matefi~ hcts
con ' ed ~ ~s apphcafion may cause forfeiture upon my p~ of my appo~ent ~ may recdve.
SIGNA~ D
Note: This application will remain on file in the City Clerk's Office for a period of 2 years from the date it was
submitted. It will be the applicant's responsibility to ensure that a current aor~licationJs on file.
NOV - 8 ?nfl?
CITY CLERK
Vivian K. Hill
Vivian has been a beach property owner since 1981 and a Florida resident since 1999
when she and her husband Roger moved from New Jersey. She has served on the
Chatham Township New Jersey Township Committee for 7 years and was Deputy Mayor
for 5 years. She also served as a legislative aide to New Jersey State Senator Leeana
Brown. She was a member of the Morristown Junior League and a graduate of the
College of William and Mary. The Hills are members of the First Presbyterian Church of
Delray Beach and the Delray Beach Club.
03/08/02 FRI UI~:ZZ J~.~.~ ~Ul :'4;~ ~7/4 CITY CLERK
® BOARD MEMBER APPLICATION
1993
2001
Please type orpzmt the followin~ infozmation:
5. Home P~o~e: ~usmess Phone. E_~ ~d~ess: C~ Pbo~c:
-8. '~st ~ C,~'Bo~d, on wh,ch you arc c~en~· s~ng or
12. 'DescnBe expefimc~/s~s m ~owledge ~ch~ua~ yea t~s~e onj~ bo~: ~lcase attach a baeftesume}~
! hezeby c~ ~t ~ ~ ~ stat~cn~ ~e ~e, md I a~ee an~unde~nd ~at any ~smte~nt ofm~[~ fac~
coat~~~fio~ ~nse f~f~ upon my ~n of any appom~t 1 may~ecezv~
Note: This apphcation will remain on t'ge m the City Clerk's Office fox a period of 2 yeats from the date it was
submitted. It will be the applicant's responsibility to en~me that a curxent applicaaon is on file.
S'~IT y CLEMX~OA RDtAPPL~' ATIO~,
RECEIVED
HAR - R 200?.
CITY CLERK
LESLIE BRUGH HORENBURGER
510 North Swinton Avenue
Delra¥ Beach, Florida 33444
(561)278-6389
EDUCATIONAL BACKGROUND
1971
Spalding University
Louisville, Kentucky
B.A. - Mathematics
Cum Laude
EMPLOYMENT HISTORY
1988 - Present
MIG Realty Advisors, Inc.
West Palm Beach, Florida
Senior Portfolio Manager
Asset Management Responsibilities
Equity Investments - Supervised on-site management of nine
commercial properties located nationally with 500,000 sf of retail
space including two outlet malls and 100,000 sf of office space;
responsible for annual budget and business plan, preparation, review
and approval and monthly/quarterly financial performance review and
reporting. From 1989 through January 1998 responsible for asset
management for limited partner (LP) of portfolio of 11 self storage
facilities located nationally; negotiated for LP during securitization of
debt ($15.0M) to be included in $63.0M secured portfolio (1992);
responsible for review of reporting for compliance with loan
documents; negotiated and consummated $33.75M sale of 10
facilities (1996) and ultimate disposition of entire partnership portfolio
including one parcel of vacant land (1998); acted as LP's liason to
resolve distribution dispute requiring legal action and ultimate
settlement. Responsible for the sale of other assets valued at over
$28.0M.
Participating and Traditional Debt Investments - Since 1994 have
been responsible for loan compliance for over $280.0M in loans on 30
properties; negotiated loan workouts on $25.0M in debt; underwrote,
structured, negotiated terms and supervised construction draw
process for $24.22M constructfon/permanent loan; coordinated the
refinanc'mg of approximately $30.0M in bond debt through the re-
issuance of new bonds to finance a 300 unit apartment complex and
currently working on a $13.0M refinancing for a 387 unit apartment
high rise; responsible for annual business plans for participating debts;
completed foreclosure of two assets.
1988 - Present
(Cont'd)
Portfolio Responsibilities
Responsible for preparation of quarterly and annual reporting for six
portfolios-with a total of 32 investments (both residential and
commercial; current value over 750.0M) for pension fund clients.
Designated Employee of the Month by Senior Management -
February 1995; August 1996, August 1997
1987-1988
Condovest, Inc.
Miami Beach, Florida
Senior Property Manager
Supen~i~ management/rental of ninety-unit condominium, thirty-unit
apartment complex and 100,000 sf shopping center for FADA
contractor; prepared FADA reports.
1985-1987
Sun OP Management, Inc.
Boynton Beach, Florida
Property Manager
Managed foreclosed property for insolvent savings and loan including
500,000 sf of retail space located in Florida and supervised
management of 92 rental units in condominium.
1984-1985
Laver's International Tennis Resort, Delray Beach, Florida
Brentwood Properties, Inc., Boca Raton, Florida
Leasing Agent
Leased apartments; seasonal and annual.
1983-1984
Boca Polnte Country Club (P.M.A. Realty, Inc.)
Boca Raton, Florida
Sales Associate
1972-1984
Prior to 1984 professional experience included the management of a
50 unit luxury condominium, commercial leasing for a Boca Raton
developer (Knight Enterprises, Inc.), purchasing agent for a Denver
based construction company in Vail, Co., office manager for an
Aspen, Co. single family home/commercial builder and merchandising
manager for two single family home builders in South Florida,
Leadership Homes and General Development Corporation.
PROFESSIONAL DESIGNATIONS:
Licensed Flodda Real Estate Broker
Ucensed Florida Mortgage Broker
CClM (Certified Commercial Investment Member- Commercial Investment Real Estate
Insitute)
Till II '3. I.-L~. ~01 243 3??4 ¢l'J*~. (~iaElll( ,':. ~o,,'
CITY OF DEI,.ILA~Y BEACH
BOARD MEMBE~II APPLICATION
'1993
2.00 I
/ ~ ~s'denc~' __ f ~i~ ~ ~ '- ' I ..... '
5. Hr, me Phone: ~ hone. ~-M~ Address:..I [ [ C~ Phone' ~ ~x;
. · ~ ~.
7. ~ar ~nar~(sl arc .,,., mccrcstc~ sc~g? ~leue ~sr ~ order of~ferenc~: (
,L~Z ~_~~ ~~~ .......
~!1 ~,,y ~...r~ ,-,,~ ,, },ich you n=c ~ur~cnd~- sc~g or h~ pz~us]y ,c~: ~i~c include ~ac;~)- ' ' ~ "'
- ............
I ,o ~,..,,?" ,:,..=~ n.4~,,., .-~,,~=~,i,.~. ~,d U==n,~,~h~u ho]dj · ~ ~'~--~
.
,ubmi~ed h ~,'~ he tl~e app~c~t's zespon~bd,~ ~o ensur~at a current aDphcafion ,~ nn ~e.
l
t
DEtRAY lEACH
CITY OF DELRAY B~I,¢H
BOARD MEMBER APPLICATION
1993
2001
Ple-4s, e type or p.rint the following information:
mB
2. Home Address: , / City ~
/ gqo /
3. ~ Residmce: Ci~ / Sram ~p C~e
4. P~cipM Bus~ess'~&ess': Ci~ Sram Zip ~e
5. Ho~e Phone: Bu~ess Ph~e: ~M~ Address: C~ Phone: F~
' re~siere~ vote~ ~ ~
6. Are you a If so, where are F~ re~ster~ ~
7. ~t Bo~d(0 ~e~og~j~d ~ ~e~ Ple~e~t ~ o~ 0~f~e:
8." L~t ~ Ci~'Bo~ on ~c~ you ~ ~enfly~e~ or ~r~ly se~ ~)e.~c~e ~s)~
10. L~st ~y rehted pmfessio~ ce~ficafions ~d ~censes w~ch Fou hol&
11. O~e your presen~ o~,most recmt ~ployer, ~posi~on: ./ .........
/
I ~eby ce~ ~ ~e a~ye s~n~ ~e ~, ~ I ~ee ~d ~d~ ~t ~ ~s~t~ent of ~ ~
co~d & ~ ~a~n ~y ~e ~ff~e won my pa~ 0f my ~~t I ~y ~c~e.
Note: This a~plicafion will remain on file in the City Clerk's Office for a period of 2 years from the date it was
submitted. It will be the applicant's responsibility to ensure that a current application is on file.
DELKAY BEACH
~ CITY OF DELRAY BEACH
11111 ,O~ MEMBER APPLICATION
1993
2001
/~~q'~ , ,, , ,
2. H~e Ad.ess:
,
4. P~d Bu~ss Ad~s: ~ S~ ~ C~e
S. Ho~ Phon~: B~ess Phone: ~ A~: ~ Phone: F~:
9. ~u~d qu~~:
10. ~st ~y ~ted professio~ c~~s ~d ~cens. wh~ you hold:
1~ ~ ~=c~, ~ ~ ~I~ ~ q~ you m
Note~ This application will remain on file in the City Ci=k's Of6ce fo~c~ ~f~:~ ~ from the chte it was
submitted. It will be the applicant's ze~pons~ ~ ensure thaU~ ~"tu~cn~--- --Vlq¥~..~on is on file.
Nov - 7
CITY CLERK
CITY OF DELRAY BEACH
BOARD MEMBER APPLICATION
1993
2001
Please type or print the following information:
2. Home Address:
~. ~ R~sid~ce: Ci~ S~te Z~p Code
4. P~ncip~ Business Address: Ci~ S~te Zip Code
5. Home Phone: Bu~ess Phone: ' E-M~ Address: CeB Phone: F~:
~. ~e you ~ registered ~o~ ,z If so, ~here ~re yo~ re~ste~d~ .
7. ~t ~(s) ~e yo~ ~te~d ~ s~ Pl~ fist ~ o=de~ ofp~fe~ce:
l
fl. nst ~ ~ Bo~ds ~ ~ch Xou ~e ~enfly se~ ~ ~ve pt~o~ly se~ed: ~hase include ~te4
, * -. I ~ .
9. ~o~ ~fi~o~: , ,
~0. ~st an~rdated profess~n~ qe~fim~ons md ~enses which you hol~:
I ' /
11. Give your pres~g or most recent e~yer, and pgsid~ ~ .
~ I
If Des~ ~ences, s~iih or ~owl~ ~ch ~ you to s~e on [s ~: ~l~e a~ch a brief
I hereby ce~ ~t ~ &e ~ve sut~ ~e ~, ~d I ~e ma ~&rsma ~t my ~mt~ent of ~t~
con~ ~ a~fi~fion ~y m~ foffd~e u~n my p~ of my ap~h~ent I ~y recdve.
SlG~A~ '- - D~ / /
Note: This application will remain on file in the City Clerk's Office for a period of 2 years from the date it was
submitted. It will be the applicant's responsibility to ensure that a current application is on file.
~ ITY CLE ~K ~ 0AI~D~a~L W..ATI0N
DELRA¥ BEACH
~""""d"l~ CITY OF DELRAY BEACH
1993
2001
Please type or print the following information:
3. Legal Residence: City State Zip Code
4. Principal BusinessAddxess: Ci~ State.--,,~C~q
5. Home Phone: Business Phone: :~-Mail Address: Cell Phone: Fax:
$ qtl q33 g95Lgg93
6. Areyouaregisteredvoter~ Ifs°'wherearey°uregistered?~//l~ ~/1~ ~.
7. What Board(s) are you interested in serving? Please list in o~ler of preference:
8. List all City Boards on which you are currently serving or have previously served: (Please include dates)
£ _.~
10.-List any related prSfessional certifications'and licenses whicfi you hbld: ' ' -
:i. Give your present, or most recent employer, and position:
12. l::Jes~'e:'perienCes, s ' - o} ~o:)l~ge which q~fy yo:: to serve oalt~s l,oani: O'i~e amd: a l~ief res::me)
I hereby certify)~t ali the ~ove statement~ we true, and I ~gtee md understaml that any misstatement of material facts
Note: This application will remain on file in the City Clerk's Office for a period of 2 years from the date it was
submitted. It will be the applicant's responsibility to ensure that a current application is on file.
~Cf'fYCLERK~ OARD'~'PUCATION
DELRAY BEACH
~lI.Amerlea C~
® BOARD MEMBER APPLICATION
993
Please type or print the following information:
1 L~tN~e:: ~
4. Principal Business Address: Ci~
5. Home Phone: ~ Bminess Phone:
6. What Board(s) are you interested in se~ing?.. .
7. ~ist all City ~o~ras on hich you are currently se~ing °r h~epr~iously s~ed: (Please incl~s)
8, Educational qualificatio3s:
9. List any re~ted professional ce~ifications ~d licenses which you hold~
i i. Describe expe~iences, skills or knowledge which quali~ you to se~e on this board: (Please a~ch a brief resume)
I hereby ce~i~ that ali the above statements are true, and I agree and understand that any
misstatement of material fa~s contained In this application may cause fo~eiture upon my pa~
of any appointment I may receive.
Note:
This application will remain on ~, Clerk s Office for a period of 2 years from the date it was
submitted. It will be the applicant's responsibility to ensure that a current application is on file.
S\CITYCLERK~BOARD~&PPLICATION
Donna Jean Russo
680 Audubon Boulevard
D~lray Beach, Florida 33444
561-330-7701
Personal Information:
Single
United States Citizen
Born June 30, 1944
Social Security Number 263-80-8776
Employee Number 105394
Education:
December 1975
B.A. College of Education
Florida Atlantic University
December 1980
Master of Scienoe Human Resources
Biscayne College
Area of Certification:
Specific Learning Disabilities K-12
Expires June, 2005
Employment:
22 years with the Miami-Dade County Public Schools
as a Specific Learning Disabilities Teacher:
1999-2000
Sabbatical £eave
1987-1999
Village Green Elementary School
1987-1983
Mae Walters Elementary School
1983-1981
Lake Stevens Middle School
1981-19B0
Bunche Park Elementary School
1980-1977
Hibiscus Elementary
1977-1975
Caribbean Elementary
-2-
Honors:
Teacher of the Year - 1998
Village Green Elementary School
Teacher of the Year - 1982
Hibiscus Elementary School
Past/Present Leadership Roles:
United Teachers Union Alternate
UTD Member - 20 years
President PTA - Hibiscus Elementary School -
1984 and 1985
Vice President PTA - Hibiscus Elementary School - 1983
Past/Present Committee Participation:
Safety and Recycle Team - Past ten years
References:
Mrs. M. L. Chappotin
Principal, Village Green Elementary
305-226-0441
Mrs. Piedad Bucholtz
Former Principal, Village Green Elementary
305-279-3920
Mrs. Valerie Carrier
Principal, Riviera Middle
305-226-4286
E Mail: carrierv@rms.dade. K12.FL. US
DELR&Y BEACH
NI-America City
BOARD MEMBER APPLICATION
1993
2001
Please type or print the following information:
3. ~g~ Residence: Ci~ State ~p Code
4. P~dP~ Bu~e~s Address:' Ci~ State ~p Code
5. Home Phone: Business Phone: E-M~ Address: C~ Phone: F~:
6. Are you a re~stered voter? ~ ¢ S If, so, ~here¢~z~ ~f you~re~red?
7. ~at Boar~(s) are ~ interested ~ se~g? Plea~ ~st ~ order of~ference:
8. ~st ~ ~' Boards on w~ch you are cu~endy sen~g o~ have p~e~ously se~ed: '~lease include da~es)
9. Educafionfl au~ficadons:
10. ~st any ~elated professionfl certifications ~d ~censes WMch you hold:
1. Giw ~our ~'re~t, or most recgnt em~lo~;e~d bosifion: ....
2. Describe ~pefiences, s~¢ or ~oWlefl~ wMch qu~ you to ~e~e on ~s ~d: &lease amch ~ef ~s~¢ _ ,
hereby ce~ ~t ~ ~e above s~ements are ~e, ~d I a~ee ~d ~ders~d ~at
SIGNA~ / ¢ DA~
Note: This application will :emain on file in the City Clerk's Office for al~eri°d_ of 2,~y,e, ar, s_,~t~Kn the date it was
submitted. It will be the applicant's responsibility to ensure that a c[:~g~--aF~~ Pon file.
N0¥ ? I 002
CITY CLERK
DELRAY BEACH
BOARD 'MEMBER-APPLICATION
1993
2001
Please type or print the follo~x, inl~ information:
1. Last Name: Name ~! ]
SCHOENBERG KENNETH A
Home Ad&ess: City Sure Zip Code
. ,,1050 BROOKS LANE , DELRAY BEACH FL 33483
3. Leg~] Residence: Cit3, Sure Z~p Code
1050 BROOKS LANE DELRAY BEACH FL 33483
4. Ptin~pal Business Adclzess: City State Z~p Code
1050 BROOKS LANE DELRAY BEACH FL 33483
5. Home Phone: Business Phone: E-Mail Ad&ess: Ceil Phone: Fax:
56!,274-7428. ,561-350-5423, K,ENO SEAUCEMANOR,COM 561-350-5423 561-274-9728
6. Are you a registered voter? ]f so, where ~re you zcgistered?
YES DELRAY BEACH, FLORIDA
7. \X'hat Board(s) are you interested in seremg? Please list in order of preference:
Bic)/cle-Pedestrian Ta~k Force ,
· L~s~ all Gq' Bo~ds on ,~'hich you are cu~:enti)' ser~-ing or h~ve p~cviously served: (Please include dates)
NONE
' 9. Educauonat'qu~bfic~.t~ons:
, B.A. JOURNALISM & PUBLIC RELATIONS FROM DREW UNIVERSITY IN 1981, J.D. RUTGERS UNIVERSITY LAW
'i0. L~st an)' related professions! ce~fications and licenses which you hold:
MEMBE,R PENNSYLVANIA BAR 1#54891)~ APPLYING FOR MEMBERSHIP TO FLORIDA BAR (EXAM 2/03)
11. Give your present, or most recem employer, and position:
Business and Technology Consultant (Self Employed)
.~ '
1,- Describe experiences, skills or know'ledge which q~li~3' you to serve on this bo~d: (Please attach a brief resume)
PLEASE SEE ATTACHED SHEET ........
I hcteb~g.ccttif'y that all the above statements ~e tree, and I agree and tmdetstand that any misstatement of m~tenal fact.<
co?~~lication may cause foz'feimre upon my part of any appointment I may receive.
Note: ~ ~on ~ remain on file in the CitT Clerk's Office for a period of 2 years from the chte ~t was
sub~'i~ed. It will be the applicant's responsibility to ensure that a cu~ent application is on file.
Copy of FormTyper Application.max
KENNETH A. SCHOENBERG
November 14, 2002
Ms. Karen Schell
Advisory Board Liaison
City Clerk's Department
100 NW 1st Avenue
Delray Beach, FL 3~.~.~,
Dear Ms. Schell:
Please accept my application for a position on Delray Beach's new Bicycle-Pedestrian Task Force. I am an
avid cyclist who rides close to 100 miles a week. I have had the pleasure of living in some great bicycling
areas like Nor~ern Virginia/Washington DC and Martha's Vineyard, MA. I have been an active member of
groups like the Potomac Pedalers, Princeton FreeWheelers, and the League of American Bicyclists.
Bicycle and Pedestrian friendly areas can help to reduce traffic and parking problems. It doesn't take long
to count a hundred bicyclists riding down A1A on any given day. With better access to the rest of Delray
our merchants could benefit from increased business without the need for additional parking lots.
I have lived in Delray Beach for four years and plan on staying for many years to come. I would be
delighted to lend my time and efforts to bettering the community.
Please feel free to call me if you have any further questions.
1050 BROOKS LANE, DELRAY BEACH, FLORIDA 33483
KEN~SEALICF--'vL~UNOR. COM - 561.274.7428 (FAX) 561.274.9728
RECEIVED
NOV 1 2002
CITY CLERK
1050 Brooks Lane
Delray Beach, FL 33483
www.sealicemanor, com
KENNETH A. $CHOENBERG
(561) 274-7428 (Home)
(561) 350-5423 (Mobile)
ken@sealicemanor, com
Experience:
Consultant, Various Clients, (2001-Present); Delray Beach, FL
Provide clients with legal and business guidance and advice.
· Review of legal and business terms of complex financing transaction
· Consultation on merger and takeover strategies
· Design and draft independent sales representative program
· Analysis of business models to improve productivity and profitability
· Design and review of commercial websites
· Site selection and lease negotiations for retail business
· Assist corporate 1T departments with software licensing and anti-piracy programs
· Design and development of two websites (delraybeachonline.com & sportsthoughts.com)
President, CEO & General Counsel, SpecialtyMarts, LLC (1998 - 2001); Delray Beach, FL
Launched sister company to Softmart, Inc. specializing in the creation of internet-based businesses and the
development of electronic commerce technology. Promoted to CEO and President in March I999.
· Handled all legal issues in creation and operation of new corporation
· Negotiated and completed favorable agreements with vendors
· Directed complete build-out of facility in Florida
· Recruited and hired top IT and operational professionals
· Oversaw and guided implementation of all internal and external IT systems
· Expanded operation to include three operating commercial websites
· Negotiated marketing agreements with AOL, Yahoo and many smaller internet sites
· Drafted and presented business plan for venture capital financing
General Counsel & VP Electronic Services and New Business Development, Softmart, Inc. (1991 - 1998);
Downingtown, PA
Selected by one of the worM's largest software and hardware resellers to establish and lead an in-house legal
department and later as the chief officer in charge of all computing, networking and electronic commerce services.
Developed ~trategic initiatives with the CEO including the launch of four corporate affiliates.
· Drafted, negotiated and reviewed agreements with Company's vendors and customers
· Negotiated and licensed intellectual property fights including cross-licensing, joint development and related
transactions
· Oversaw several outside law firms resulting in improved work product and substantial cost savings
· Effected state, federal and foreign filings, including trademark prosecutions, copyright registrations, and
incorporations
· Review and negotiated of bank, merger, real estate and venture capital financing deals
· Served as primary company contact between Softmart and Microsoft Corporation
· Coordinated Company initiative in the software industry's first electronic licensing and automated distribution
program
· Product Management of the software industry's first electronic pumhasing system (ACCESS), including, design,
development and distribution. Processed over $82 million per year in sales (36% of gross sales)
· Oversaw and directed development of Internet-based (World Wide Web) software purchasing system
· Managed group of 50 professionals and a budget of approximately $10 million
· Planned, directed and successfully completed the move of the company and 400 employees to new location
including complete fiber-optic network implementation and NOS conversion from Netware to Windows NT with
zero down time. Move was completed over a weekend with a team of only six people
KENNETH A. $CHOENBERG
1050 Brooks Lane
Delray Beach, FL 33483
www.sealicemanor.com
(561) 274-7428 (Home)
(561) 350-5423 (Mobile)
ken @ sealicemanor.com
Corporate Counsel and Secretary, America Online, Inc. (1988 - 1991); Vienna, VA
Assisted the Chief Financial Officer in the establishment of an in-house legal department. Record of achievement led
to appointment as a corporate officer, promotion, and receipt of America Online's first performance bonus (December
1990).
Other
· Extensive contract drafting, negotiation, and management
· Experience in computer, intellectual property, investment, software development and licensing, employment, and
corporate legal issues
· Litigation team management
· Extensive experience with Venture and Institutional Capital Financings
· Publication and advertisement review
· Reduced outside legal fees by 75%
President & CEO, The Grandstand Sports Services, Inc. (1985 - 1996)
Founded and operated a nationwide interactive sports forum (website) utilizing a computer networking and online
system in conjunction with America Online, Inc. and the internet. Negotiated and executed the multimillion-
dollar merger of the Company with America Online in January of 1996. At the time of the merger, The
Grandstand was larger than all other online sports services (ESPN, CBS Sportsline, FoxSports, etc.) combined
and employed over 100 people across the US. The Grandstand received the AOL Member Choice awards every
year they were given by AOL and was voted the Best Community Site on America Online.
Sports Writer, The Sports Network (1984 - 1985); Huntington Valley, PA
Provided game stories, news stories, statistica! reports, pre and post game analysis, feature stories and
instantaneous score updates to the print and electronic media through a computer and satellite link.
Manager, Alchemist & Barrister Restaurant (1981 - 1984); Princeton, NJ
Position involved ordering and receiving, customer relations, inventory control, and personnel management and
scheduling. Assisted in the setup of a computerized inventory analysis and ordering program.
Assistant to Director of Public Relations, New Jersey Nets of the National Basketball Association (1980 -
1981}; East Rutherford, NJ
Started as a public relations intern to the team during the fall 1980 semester. Created articles and features for
game programs, media guides, and publicity releases. Provided assistance to media representatives, interviewed
players, coaches, and league and team officials.
Education:
Computer
Experience:
Juris Doctor (1988) - Rutgers University School of Law; Camden, NJ
Bachelor of Arts, Public Relations and Journalism (1981) - Drew University; Madison, NJ
Windows 3.x, 9x, NT, 2000, Netware, HP3000, Ecometry, Macintosh, Stratus, and most major software
applications and network operating systems.
Professional
Affiliation:
Pennsylvania Bar Member #54891
D~LRA¥ BEACH
BOARD MEMBER APPLICATION
1993
2001
Please type or print the following information:
5. ~ Residence: Ci~ State Zip Code
4. P~dp~ Bus.ess Address: Ci~ S~te Zip Code
5. Home Phone: Bus. ess Phone: E-M~ Address: Ce~ Phone: F~:
~rc you a tc~ster~ voter?
If so,
7. ~c ~o~rd(s~ ~e you ~c~ ~ se~? Please ~s~ ~ order or,reference:
8. ~st ~ GW ~ ~ w~ch you ~e mn~ ~ or have pr~om~ se~ed: ~se include ~tes)
9. ~u~fionfl q~ficafio~:
10. hst any rehted profession~ ce~ficafions md ~censes which you hold:
11. Give vour Dreseng or most recent em~lover, and ~osifion: .
1Z Des~ e~d~es, s~ or ~owle~e ~ch q~ yofft9 Se~e on ~s ~a~: ~i~e amch a brief rest)
I he.by ce~ ~at ~ ~e able smt~m ge ~, and I ~c ~d ~dc~d ~at ~y ~Ssmt~e~of ~t~fl fa~s
SIG~ DA~
Note: This application will remain on file in the City Clerk's Office for a period of 2 years from the date it was
submitted. It will be the applicant's responsibility to ensure that a current application is on file.
S'CITTCLERK~OAiiD~'LICATION
NOV-J3-2002 0]:45 PU RICHMOND-HEINSTEIN 56] 330 9745 P, 02
11/1~/o~ WE~D 11:19 FAX B~ll 245 &?'/'4
1993
2001
RAY BEAI
R APPLIG
I~TION
~00£
8. List ~11 City Bo~zds on ,which ~ s.te currend7 serem& o~ h~ve pn
9. ~dt~.ndc~tl
you hol~
11. '~G~vc yo~ present, o: most zcc~z employer, ~d po~don:
/
/
/
- CITY CLERK
i'tUV-13-zUU(- ut .u~o rll KI~,MIIUI~U-HEIN~IEIN ~)O! 33U ~lq3 r. v~
Mvln $. We/n
S Linco/n Street~'E" /~°~'~
(207) 725-2//I
Education
J.D. (1983), Franklin Pierce Law Center, Concord
Ph.D. Mechatdcal Engineering (19.85), Carnegie If
M.S. MechamcaI Engineesing (1953), Carnegie Ins
B.S. Mechanical Engineering (1951), Uaiversity of
Positions
1985 - l~nt
Principal, Weinstein Associates
Legal and ,technical consultant to industry o
design, user communications, and safety as.,
o Coo_suiting engineer to industry, insttrcrs, m~ lc
o Emeritus Professor of Mechanical Engineering
University
1985 - 1990 Adjunct Prot'essor or' Law, Fraaklin Pie
qH
attue of Technology, Piusburgh PA
:itut¢ of Technology
Michigan
~ products liability prevention. Advise on
arance progra~ns.
gal profession
Public Policy, Carnegie-Mellon
e Law Cemer
1972 - 1985 Professor of Engineering & Public Poliq[, Carnegie-Mellon Univemity
1970 Visiting Professor, University of BristolqEagland
1965 - 1985 Professor of Mechanical Engineering, C~negie-Mellon University
1965 Senior Reseaxch Associa~, Max Plank :~stitute for Metal Forming, Dusseldorf,
Ovrmany
1961 - 1965 Associate Ptofes, so~ of Mechanical £ngi~ eering, Carnegie-Mellon Univexsity
1955 - 1961 Assistant Professor of Mechanical l~ngir~g, Ca/negie-Mellon University
Memberships
· Pennsylvania Bar
American Society of Mechanical Engineers (ASi 4E), Committee Chairman: Design.
Engineering and the Law (1980 - 1990)
· ASME. Committee Member: Metalworking Um er Pressure and Materials hx~c~ssing
Committees
· American Society of Testing and Materials, Exe :uflve Conmxittee on Product Liability
· Brookings Institute Panel on Product Liability, 989 - 1990
Office of Technology Assessment. Advisory Pa'~ el fcg Composite Materials.
1985-1987
· Evaluation Panel for the Center for Consumer Ih oclucn Technology of the National Bureau
of Standards (Chairman. 1980 - 1982)
DELRAY BEACH
CITY OF DELRAY BEACH
1993
2001
Please type or print the followin~ information:
2.
"' Sta~ Zip Code
3. Legal Residence: City State Zip Code
4. PrindPal Business Address: City State Zip Code
5. Home Phone: Business Phone: E-Mail Address: Cell Phone: Fax:
6. Arc you a registered voter? If so, where arc you registered?
7. What Bsgard(s) are you interesl~l ir3 servif~g? Please list '.m order of ~.~.ference: 1[
8. List alJ Cit'), Boards on which you are currently serving or have prex4ously served: (Please include dates)
9. Educational q. U cations: 4 ,ot
10. List any related professional certificat/ons and licenses which you hold:
11. Give your present, or most" recent employer, and position:
12. Des~be expeaences, -~ki~s o~ knowledge which qu~ify you to serve On this board: (Please attach a baef resume)
I hereby cetk. ify that all the above statements are tru~and ! agree and understand that any ;flisstatcmcnt of material facts
contained in this application may cause forfeiture upon my part of any appointment I may receive.
Note: This application will remain on file in the City Clerk's Office for a period of 2 years from the date it xvas
submitted. It will be the applicant's responsibility to ensure that ~::~r~t~l~c~is on file.
g'CTrYCI.,ERK~,~OAI~}kM~ 1.1CATiON
e,.~'r¥ gLERK
DRRAY BEACH
CITY OF DELRAY BEACH
lilt
BOARD MEMBER APPLICATION
1993
2001
Please type or print the following information:
Zimmerman Carolyn E.
2. Home Address: City State Zip Code
212 SW 2nd Ave Delrav Beach F1 33444
3. Legal Residence: City State Zip Code
same
4. Pxindpal Business Address: City State Zip Code
5. Home Phone: Business Phone: E-Mail Address: Cell Phone: Fax:
276-1715
6. Are you a registered voter? If so, where are you registered?
yes Delray Beach
7. What Board(s) are you interested in serving? Please list in order of preference:
Bicycle Task Force
8. List all City Boards on which you are currently serving or have pre~4ously served: (Please include dates)
Elder Task Force
9. Educafionfl quahficauons:
10. List any related professional certifications and licenses which you hold:
11. Give your present, or most recent employer, and position:
12. Describe experiences, skills or knowledge which qualify you to serve on this board: (Please attach a brief resume)
I have spent my free time for the last seventeen years trying to
help the Citizens of Delray Beach improve their lifestyle...
I hereby certify that all the above statements are true, and ! agree and understand that any misstatement of material facts
contained in this application may cause forfeiture upon my part of any appointment I may receive.
Note:
This application will remain on file in the City Clerk's Office for a period of 2 years from the date it was
submitted. It will be the applicant's responsibil/ty to ensure that a current application is on file.
I
TO:
THRU:
FROM:
SUBJECT:
CITY COMMISSION DOCUMENTATION
PAUL DORLING, DIRECTOR OF PLANNinG AND ~2~ING
ADOPTION OF COMPREHENSIVE PLAN AMENDMENT 02-2
BACKGROUND
Comprehensive Plan Amendment 02-2 was transmitted to the Florida Department of
Community Affairs (DCA) for review following a public hearing held by the City
Commission on October 1, 2002. This meeting was also the first reading of the
Adoption Ordinance (No. 47-02). DCA staff reviewed the amendment and declined to
issue an Objections, Recommendations, and Comments (ORC) Report on November 4,
2002.
Amendment 02-2 includes one (1) Privately-initiated Future Land Use Map amendment
and five (5) City-initiated text changes. No items have been added, deleted , or
otherwise modified since the Transmittal Public Hearing.
PLANNING AND ZONING BOARD CONSIDERATION
The Planning and Zoning Board considered Amendment 02-2 at a public hearing on
September 23, 2002, and recommended approval of the transmittal of the amendment
to the Florida Department of Community Affairs. As DCA declined to issue an ORC
report regarding Amendment 02-2, it was not necessary for the amendment to be
brought before the Planning & Zoning Board again, and is consequently proceeding
directly to City Commission for adoption.
RECOMMENDED ACTION
By motion, approve on second and final reading Comprehensive Plan Amendment 02-2
(Ordinance 47-02).
Attachments:
· Ordinance 47-02
· Comprehensive Plan Amendment 02-2
S:lLongRangelComp~Arnend 02-2102-2 CC-Adoption doc
ORDINANCE NO. 47-02
AN ORDINANCE OF THE CITY COMMISSION OF THE
CITY OF DELRAY BEACH, FLORIDA, ADOPTING
COMPREHENSIVE PLAN AMENDMENT 2002-2
PURSUANT TO THE PROVISIONS OF THE "LOCAL
GOVERNMENT COMPREHENSWE PLANNING AND
LAND DEVELOPMENT REGULATION ACT", FLORIDA
STATUTES SECTIONS 163.3161 THROUGH 163.3243,
INCLUSIVE; ALL AS MORE PARTICULARLY DESCRIBED
IN EXHIBIT "A" ENTITLED "COMPREHENSIVE PLAN
AMENDMENT 2002-2" AND INCORPORATED HEREIN
BY REFERENCE; PROVIDING A SAVING CLAUSE, A
GENERAL REPEALER CLAUSE, AND AN EFFECTIVE
DATE.
WHEREAS, the City of Delray Beach exercised the authority granted pursuant to the
provisions of Florida Statutes Sections 163.3161 through 163.3243, inclusive, known as the "Local
Government Comprehensive Planning and Land Development Regulation Act"; and
WHEREAS, via Ordinance No. 82-89, the City Commission adopted the document entitled
"Comprehensive Plan - Delray Beach, Florida"; and
WHEREAS, the Planning and Zoning Board, as Local Planning Agency, did prepare an
amendment to the Comprehensive Plan entitled "Comprehensive Plan Amendment 2002-2; and,
WHEREAS, the Planning and Zoning Board, as Local Planning Agency, following due
public notice, held a public heating on September 23,2002 in accordance with the requirements of
the "Local Government Comprehensive Planning and Land Development Regulation Act"; and
WHEREAS, after the above referenced public hearing, the Phnning and Zoning Board, as
Local Planning Agency, recommended to the City Commission that the proposed Comprehensive
Plan Amendment 2002-2 be transmitted; and
WHEREAS, proposed Comprehensive Plan Amendment 2002-2 was submitted to and
reviewed by the City Commission; and
WHEREAS, following due public notice, the first of two required public hearings on
Comprehensive Plan Amendment 2002-2 was held by the City Commission on October 1, 2002, at
which time it was authorized to be transmitted to the Department of Community Affairs for
required review; and
WHEREAS, Comprehensive Plan Amendment 2002-2 was found to be in compliance by
the Florida Department of Community Affairs and no ORC (Objections, Recommendations &
Comments) Report was issued; and
WHEREAS, following due public notice, the second of two required public hearings on
Comprehensive Plan Amendment 2002-2 was held on December 3, 2002, in accordance with
statutory requirements.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE
CITY OF DELRAY BEACH, FLORIDA, AS FOI.I.OWS:
Section 1. That the City Commission of the City of Delray Beach, Florida, hereby declares
its intent to exercise the authority granted pursuant to the provisions of Florida Statutes Sections
163.3161 through 163.3243, inclusive, known as the "Local Govemment Planning and Land
Development Regulation Act".
Section 2. That in implementation of its declared intent as set forth in Section 1 of this
ordinance, there is hereby adopted the document enfided "Comprehensive Plan Amendment 2002-
2", which is attached hereto as Exhibit "A" and incorporated herein by reference.
Section 3. That the document entitled "Comprehensive Plan - Delray Beach, Florida" is
hereby amended pursuant to the document entitled "Comprehensive Plan Amendment 2002-2.
Section 4. That should any section or provision of this ordinance or any portion thereof, any
paragraph, sentence, or word be declared by a court of competent jurisdiction to be invalid, such
decision shall not affect the validity of the remainder hereof as a whole or part thereof other than
the part declared to be invalid.
Section 5. That all ordinances or parts of ordinances in conflict herewith be, and the same
are hereby repealed.
Section 6. That this ordinance shall become effective upon the date a final order is issued by
the Depa~xient of Community Affairs finding the amendment in compliance in accordance with
Chapter 163.3184, F.S.; or the date a final order is issued by the Administration Commission finding
the amendment to be in compliance in accordance with Chapter 163.3184, F.S.
2 ORD. NO. 47-02
PASSED AND ADOPTED in regular session on second and final reading on this the
day of ., 2002.
AT'rEST
MAYOR
City Clerk
First Reading
Second Reading
3 ORD. NO. 47-02
CITY OF DELRAY BEACH, FLORIDA
COMPREHENSIVE
PLAN
AMENDMENT
2002
Planning & Zoning Board
Transmittal Public Hearing
September 23, 2002
City Commission
Transmittal Pub#c Hearing
October 1, 2002
City Commission
Adoption Public Hearing
December 3, 2002
COMPREHENSIVE PLAN AMENDMENT
CITY OF DELRAY BEACH, FLORIDA
02-2
~ TABLE OF CONTENTS ~
Pa~e
AMENDMENTS TO THE FUTURE LAND USE MAP
Meridian Parcel
TEXT CHANGES - (CITY INITIATED)
Definitions Section, Public Schools Facilities Element
4
Policy B-2.1, Future Land Use Element
(Concurrency w/respect to public schools)
4
Policy A-2.4, Future Land Use Element
(Location of auto dealerships)
6
Inventory and Analysis, Coastal Management Element
(Completion of the recent beach renourishment project)
6
Introduction and Summary of Major Features (Planning Area subsection),
Objective B-3, Policy B-3.1 & Policy B-3.2, Future Land Use Element,
(regarding the provision of services to land within the Planning Area)
COMPREHENSIVE PLAN AMENDMENT
CITY OF DELRAY BEACH, FLORIDA
02-2
AMENDMENTS TO THE FUTURE LAND USE MAP
PRIVATELY INITIATED FUTURE LAND USE MAP AMENDMENT:
Meridian Parcel
Privately initiated Future Land Use Map amendment for a 16' x 70' parcel of land
associated with the Meridian Townhouse Development, from LD (Low Density, 0-5
du/acre) to CC (Commercial Core), and rezoning from R-l-AA (Single-family
Residential) to CBD (Central Business District). The parcel is approximately 0.02
TH
acres in s~ze and is located on the north side of S.E. 4 Street, approximately 120
east of S.E. 6TM Avenue (Federal Hwy. - Northbound).
See Support Document #1 (Meridian Parcel Future Land Use Map Amendment staff
report)
CITY INITIA TED TEXT CHANGES
1) Location: Pg. PS-22, Definitions Section, Public Facilities Element
CONSISTENCY - The condition of not being in conflict with and in furtherance of
the goals, objectives and policies of the Comprehensive Plan Elements and the
Interlocal Agreement.
CONCURRENCY SERVICE AREA LEVEL OF SERVICE STANDARDS - The
maximum acceptable percentage of school utilization as ~dentified in the
Interlocal Agreement determined by dividing the total number of students for all
schools of each type of school in each CSA by the total number of permanent
student stations for that type of school in each CSA.
DEVELOPMENT ORDER -As defined in Section 163.3164(7) Florida Statutes.
EDUCATIONAL FACILITIES - The buildings and equipment, structures, and
special educational use areas that are built, installed, or established to serve
educational purposes only.
FINANCIALLY FEASIBLE FACILITIES PLAN - A plan which demonstrates the
ability to finance capital improvements from existing revenue sources and
funding mechanisms to correct deficiencies and meet future needs based on
achieving and maintaining the adopted level of service for each year of the five
(5) year planning period for all schools of each type in each CSA, and each
individual school, and for the long range planning period.
INTERLOCAL AGREEMENT - Agreement between the Palm Beach County
Board of County Commissioners, the Municipalities of Palm Beach County, and
the Palm Beach County School Board effective January 25, 2001.
LEVEL OF SERVICE (LOS) - The measure of the utilization, expressed as a
percentage, which is the result of comparing the number of students enrolled in
any school with the satisfactory student stations (FISH capacity) at a given
location or within a designated area (i.e., a CSA), e.g., a facility with 1000
students and a FISH capacity of 970, has a LOS of 103%. Also referred to as the
utilization of a facility.
MAXIMUM UTILIZATION OF CAPACITY - Utilization of facilities to ensure the
ADOPTED LOS for all schools of each type in each CSA and each individual
school is not exceeded.
MUNICIPALITIES - All municipalities in Palm Beach County, except those that
are exempt from participating in the school concurrency program, pursuant to
Section 163.3180, Florida Statutes.
PERMANENT STUDENT STATION - The floor area in a public school facility
required to house a student in an instructional program
PROPOSED NEW RESIDENTIAL DEVELOPMENT - Any application for
residential development or amendment to a previously approved residential
development that increases the number of housing units. This shall include any
request for any approval of the type that establishes a density of development
and which approves a site specific development order on a specific parcel of
property.
RESIDENTIAL DEVELOPMENT - Any development that is comprised in whole,
or part, of dwelling units, for permanent human habitation.
SCHOOL BOARD - The governing body of the SCHOOL DISTRICT, a body
corporate pursuant to Section 230.21 Florida Statutes.
SCHOOL DISTRICT - The district for Palm Beach County created and existing
pursuant to Section 4, Article IX of the State Constitution.
(2)
SCHOOL DISTRICT'S FIVE YEAR CAPITAL FACILITIES PLAN The
SCHOOL DISTRICT of Palm Beach County Five Year Work Plan and Capital
Budget as authonzed by Section 235.185 Florida Statutes.
SCHOOL DISTRICT'S SIX YEAR CAPITAL IMPROVEMENT SCHEDULE - A
Table of expenditures and revenues detailing how the SCHOOL DISTRICT shall
achieve and maintain the LOS for public school facilities.
SITE SPECIFIC DEVELOPMENT ORDER - A development order issued by a
Local Government which establishes the density, or maximum density, and which
approves a specific plan of Development on a lot or lots pursuant to an
application by or on behalf of an OWNER or CONTRACT PURCHASER,
including applications initiated by a Local Government. It may apply to a lot or
lots under single ownership or a group of lots under separate ownership. It shall
apply to all parcels or lots in their entirety taken together of any subdivision. It
includes site specific rezonings, special exceptions, conditional uses, special
permits, master plan approvals, site plan approvals, plat approvals, BUILDING
PERMITS and any Development of Regional Impact as defined in Section
380.06, F S. It may or may not authorize the actual commencement of
development. Two (2) or more development orders which indiwdually do not
constitute a site specific development order shall be considered a site specific
development order if when taken together they meet the definition of a site
specific development order.
STUDENT GENERATION MULTIPLIER - As published by the SCHOOL
DISTRICT of Palm Beach County, the number of students per household
determined by type and size of residential unit.
STUDENT STATION - The net square footage requirements per student based
upon the instructional program to be housed as defined by FISH.
TYPE OF SCHOOL Schools in the same categories of education, i.e.
elementary, middle or high school.
VALID DEVELOPMENT ORDER -A DEVELOPMENT ORDER which: was
issued by a LOCAL GOVERNMENT:
(1) in accordance with proper procedure and in compliance with state law, and
the land development regulations and codes, administrative rules and
procedures, and general policies of local governments, and the requirements of
all other agencies; (2) not by mistake; and (3) which has not expired, lapsed, or
been abandoned, revoked, or canceled, by operation of law, or by the local
government or pursuant to the local government land development or pursuant to
the local government land development regulations or codes, rules, or policies.
Change: ADDITION
Comment: These definitions are being added to provide a more comprehensive
definition section for this element. All definitions included were taken directly from
Palm Beach County's School Concurrency Implementing Ordinance. Some
(3)
definitions were modified slightly to be specific to the City of Delray Beach, as
opposed to the more general references of "Palm Beach County" and "local
governments".
2) Location: Pg. FL-26, Policy B-2.1, Future Land Use Element
(Concurrency - Requirement of Provision of Facilities)
Policy B-2.1 Services and facilities shall be provided pursuant to the levels of
service as established elsewhere in this Plan, concurrent with occupancy. For
water facilities, concurrency shall mean that direct connection to a functioning
municipal system is made. For sewer facilities, concurrency shall mean that
direct connection to a functioning municipal system is made; or, where such
facilities are not reasonably accessible (as defined in the Land Development
Regulations), connection to a septic system that meets the requirements of the
County Health Department. For public schools concurrency shall be defined as
the improvement is in place or construction appropriations are specified within
the first three years of the most recently approved School District of Palm Beach
County Six Year Capital Improvement Schedule, as reflected in Table SD-CIP of
the Capital Facilibes Element. For streets, drainage, and other facilities
concurrency shall be determined by the following:
the improvement is in place prior to issuance of the occupancy permit;
the improvement is bonded, as a part of the subdivision ~mprovements
agreement or simdar instrument, and there is a schedule of completion in
the bonding agreement;
the improvement is a part of a governmental capital improvement budget;
it has been designed; and a contract for installation has been solicited
Change: MODIFICATION
Comment: This policy is being modified to add a specific reference to Public
Schools Concurrency.
3) Location: Pg. FL-24, Policy A-2.4, Future Land Use Element
(Location of Auto Dealerships)
Policy A-2.4 Automobile uses are a significant land use within the City and as
such they have presented unique concerns. In order to properly control these
uses and guide them to locations which best suit the community's future
development, the following shall apply:
1)
Auto related uses other than gasoline stations, wash establishments, and
auto parts sales, shall not be permitted in the area encompassed by the
CBD zone district.
(4)
2)
Automobile dealerships shall not locate and/or expand in the following
areas:
[] Within the CBD zone district;
[] West side of Southbound Federal Highway between George Bush
Boulevard and S.E. 10th Street;
East side of Federal Highway, between George Bush Boulevard and the
north property line of the Delray Swap Shop/Flea Market Property;
[] On properties fronting George Bush Boulevard, east of Federal Highway.
However, on the east side of Federal Highway, south of N.E. 6th Street, an
existing dealership may expand onto adjacent property which has an auto sales
use and which is zoned AC.
3) Rezoning to AC (Automotive Commercial) to accommodate auto
dealerships shall not be permitted west of 1-95.
4) Automobile dealerships shall be directed to the following areas:
[] North of George Bush Boulevard, between Federal and Dixie Highways;
East side of Federal Highway north of the north property line of the Delray
Swap Shop/Flea Market;
[] South of Linton Boulevard, between Federal and Dixie Highways;
Between the one-way pairs (Federal Highway), from S.E. 3rd__4th Street to
S.E. 10th Street; and from N.E. 5th Street to George Bush Boulevard;
[] On the north side of Linton Boulevard, between 1-95 and S.W. 10th
Avenue, and along Wallace Drive.
5)
Auto related uses which involve the servicing and repair of vehicles, other
than as part of a full service dealership, shall be directed to
industrial/commerce areas.
Change: MODIFICATION
Comment: At its meeting of December 5, 2000, the City Commission approved
Ordinance 33-00, which rezoned Block 112 (between the Federal Highway pairs,
from SE 3rd Street to SE 4th Street) from AC (Automobve Commercial) to CBD
(Central Business District). As a result of this rezoning, the 4th bullet of the 4th
subsection of the above policy (which directs automotive uses to the area from S.E.
3rd Street to S.E. 10th Street, between the Federal Pairs), became in conflict with
the 1st subsection (which states no auto related uses are permitted in the CBD zone
district). In order to prowde internal consistency for this Policy, the 4th subsection is
being modified to reflect the rezoning to CBD.
(5)
Block 112 has subsequently received site plan approval for an 84-unit townhouse
development, known as Mallory Square. This project is currently under construction.
4) Location: Pg. CM-5, Inventory & Analysis, Coastal Management Element
(Management of Natural Resources subsection, 3rd paragraph)
The City has one of the premier beach erosion control and nounshment programs in
the State. In 1973, the City constructed an initial beach restoration, placing 1.6
million cubic yards of sand in a 2.7 mde project area by hydraulic dredging from an
offshore borrow area. Maintenance nourishment projects were constructed in 1978,
1984, a¢~ 1992, and 2002. Beach restoration and maintenance is an on-going
project, with periodic maintenance nourishments. The next required nourishment is
projected for the year 2000 2010. The beach nourishment project has successfully
provided storm protection for upland property Since 1973, there has been no
damage to upland property due to erosion or storm damage.
Change: MODIFICATION
Comment: This section is being modified to reflect the mopst recent beach
renourishment project, completed earlier this year.
5) A. Location: Pg. INo3, Introduction and Summary of Major Features
THE PLANNING AREA
The Planning Area is that area which is projected to be the ultimate incorporated
area for the City of Delray Beach,._ The City may provide a full or limited ranqe of
municipal services to the unincorporated portion of the Planninq Area, before
annexation .,,,,4 ,,::: ho,,,~ ,+o ~,,:: ~,..,~ ~ ,-,,,,,,i,.i,,o: o,~,,,:,.,,o ,,,,-,,,~,~,~ :-,,, th,:, r'~,,,
The actual limits of the Planning Area are shown in Map 1, and the Planning
Area itself is d~scussed in greater detail in the Land Use and Population Data
section of the Future Land Use Element.
Change: MODIFICATION
Location:
Pg. FL-28
Pg. FL-28
Pg. FL-28
Objective B-3, Future Land Use Element
Policy B-3.1, Future Land Use Element
Policy B-3.2, Future Land Use Element
Objective B-3
The City of Delray Beach ~ may provide facilities and limited services for that
area w~thin its planning boundaries which is not yet annexed. The City shall
annex such properties in a timely manner.
(6)
Policy B-3.1 Services shall be provided to unincorporated areas upon
annexation and they shall be at a level which exists for land uses elsewhere in
the City under the same or simdar conditions. In circumstances where it not
feasible or appropriate to accomplish annexation, individual services (e.g. fire
protection, code enforcement), may be provided to unincorporated parcels within
the Planning Area, through an interlocal agreement. Th~s paragraph shall not
apply to water and sewer services, in areas which received these services from
Palm Beach County, prior to annexation.
Policy B-3.2 Water and sewer facilities shall may be provided to unincorporated
areas by the City, upon demand, in a manner consistent with policies of the City.
The provision of water facilities shall be accompanied by an agreement to
voluntarily annex upon eligibility unless the property is already eligible in which
case, annexation shall precede the provision of services.
Comment: The above listed changes are intended to modify the Comprehensive
Plan in order to allow certain unincorporated portions of the Planning Area, the
ability to obtain water and/or sewer service from Palm Beach County, while not
giving up the ability to annex them at some future date.
As the Comprehensive Plan is currently written, the City must provide all municipal
services upon annexation. In certain situations, it maybe more cost-effective to have
Palm Beach County provide some hard infrastructure costs, such as water and
sewer services, prior to or even after annexation. The only way to achieve this
currently is to remove the subject parcels from the Planning Area, which negates the
ability to annex them in the future.
S \LongRange\Comp~,mend 02-2\02-2amendment doc
(7)
COMPREHENSIVE PLAN AMENDMENT 02-2
CITY OF DELRAY BEACH, FLORIDA
SUPPORT
DOCUMENT #1
Meridian Parcel FLUM Amendment Staff Report
SD #t
PLANNING AND ZONING BOARD
CITY OF DELRAY BEACH ---STAFF REPORT---
MEETING DATE:
AGENDA ITEM:
ITEM:
September 23, 2002
IV. E. '
Future Land Use Amendment From LD (Low Density Residential 0-5 dtuac) To CC
(Commercial Core) and Rezoning From R-l-AA (Single Family Residen~t) To CBD
(Central Business District) For a Parcel of Land Associated With the Meddian
Mixed-Use Development.
GENERAL DATA:
Owner/Applicant .......................... Mallory II, LLC
Agent .......................................... Ironwood Properties, Inc.
Location ...................................... North Side of SE 4"~ Street,
Approximately 127 Feet East
of SE 6~
(Northbound Federal
Highway)
Property Size .............................. 0.025 Acres
Future Land Use Map ................ LD (Low Density Residential 0-5
Du/Acre)
Proposed FLUM ........................ CC (Commercial Core)
Current Zoning ............................ R-l-AA (Single Family
Residential)
Proposed Zoning ........................ CBD (Central Business
District)
Adjacent Zoning ................ North: CBD (Central Business
East:
South:
West:
Existing Land Use ................. : ....
Proposed Land Use ....................
Water Service .............................
Sewer Service .............................
District)
R-l-AA (Single Family
Residential)
GC (General Commercial) &
R-l-AA (Single Family
Residential)
CBD (Central Business
District)
Single Family Residence
Parking associated with the
construction of mixed use
development that consists of
22 townhouses and 23,228
square feet of office space.
Existing on site.
Existing on site.
J I ' ~ r J liJ )
ATLANTIC
I I I
AV=NU£
BANK
tST
S F- 2ND
S E. 41~
~ , CD
CONDOS
.
IV.E.
The action before the Board is that of making a recommendation to the City
Commission on a privately sponsored Future Land Use Map (FLUM) Amendment from
LD (Low Density Residential/0-5 dwelling units per acre) to CC (Commercial Core) and
rezoning from R-l-AA (Single Family Residential - Medium Density) to CBD (Central
Business District!thfo~r property located on the north side of SE 4"~ Street, approximately
110' east of SE 6 Avenue (Federal Highway).
Pursuant to Section 2.2.2(E) of the Land Development Regulations, the Planning and
Zoning Board shall review and make a recommendation to the City Commission with
respect to FLUM and Rezoning Amendments for any property within the City.
The property is the west 16' of Lot 28, Block 120 of the Town of Delray subdivision and
contains 0.025 acres. The remainder of Lot 28 contains a single family residence and
is zoned R-l-AA. The western 16', which is the subject of the FLUM and Rezoning
applications, is not located in the Marina Historic District. This portion of the property
contains a driveway and canopy that is attached to the adjacent single family home to
the east. The house on the balance of the property was built in 1934 and is located in
the Marina Historic District overlay and is considered a contributing structure.
At its meeting of December 5, 2000, the City Commission approved a:~'FLUM and
Zoning Map change to the western portion of Block 120 of the Town of Delray
subdivision. These actions change the FLUM designation from GC (General
Commercial) to CC (Commercial Core) and the zoning designation from GC (General
Commercial) to CBD (Central Business District). At its meeting of August 28, 2002 the
Site Plan Review and Appearance Board approved a site plan for a mixed use
development consisting of 22 townhouses and 20 offices known as The Meridian. The
applicant proposes to incorporate the western 16' of the subject property into this
development to be used for parking and landscape area.
This Future Land Use Map Amendment is being processed pursuant to the twice a year
statutory limits for consideration of plan amendments (F.S. 163.3187) as part of
Comprehensive Plan Amendment-2002-02.
L. DR (Chapter 3) PERFORMANCE STANDARDS:
Pursuant to Section 3.1.1 (Required Findings), p~ior to approval of Land Use
applications, certain findings must be made in a form which is part of the official
record. This may be achieved through information on the application, written
materials submitted by the applicant, the staff report, or minutes. Findings shall
be made by the body which has the authority to approve or deny the development
application. These findings relate to the Future Land Use Map, Concurrency,
Planning and Zoning Board Sta .... eport
The Meridian - FLUM Amendment and Rezoning
Page 2
Comprehensive Plan Consistency, and Compliance with the Land Development
Regulations.
Future Land Use Map: The resulting use of land or structures must be allowed in
the zoning district within which the land is situated and said zoning must be
consistent with the applicable land use designation as shown on the Future Land
Use Map.
The proposed parking and landscape area is allowed as an accessory use to the
approved mixed use development known as The Meridian in the CBD (Central
Business District) zoning district. The CBD zoning district is consistent with the
proposed Commercial Core Future Land Use Map designation.
The remaining required findings of LDR Section 3.1.1, Concurrency, Comprehensive
Plan Consistency and Compliance with the Land Development Regulations are
discussed below.
Future Land Use Element Policy A-1.7: Amendments to the Future Land Use Map
(FLUM) must be based upon the findings listed below, and must be supported by
data and analysis that demonstrate compliance with these findings:
El Demonstrated Need -- That there is a need for the requested land use. The
need must be based upon circumstances such as shifts in demographic
trends, changes in the availability of land, changes in the existing character
and FLUM designations of the surrounding area, fulfillment of a
comprehensive plan objective or policy, annexation into the municipal
boundaries, or similar circumstances. The need must be supported by data
and analysis verifying the changing demographics or other circumstances.
This requirement shall not apply to requests for the FLUM designations of
Conservation or Recreation and Open Space; nor shall it apply to FLUM
changes associated with annexations when the City's advisory FLUM
designation is being applied, or when the requested designation is of a similar
intensity to the advisory designation. However, the findings described in the
remainder of this policy must be addressed with all FLUM amendments.
As noted in the Background section of this report, the FLUM designations of the
properties to the west were recently changed to Commercial Core and rezoned to
CBD. These actions were taken in order to extend the downtown area as it was
deemed more appropriate than the existing uses, which were primarily automotive
related. The mixed use project known as The Meridian was approved to the west of
the subject property. The eastern boundary of this project is generally uniform
except for the subject 16' at the southern end. It has been the developer's intention
to incorporate this 16'-wide parcel for additional parking. This action will provide a
uniform boundary along the east side of The Meddian development.
The proposed FLUM amendment will fulfill Future Land Use Element Policy C-4.2,
stated as follows:
Planning and Zoning Board Sta,. ,<eport
The Meridian - FLUM Amendment and Rezoning
Page 3
Future Land Use Element Po#cy C-4.2: A special CBD plan shall be developed
jointly by the CRA and the City. It shall address the maximum development which
can be accommodated in a competitive market while still retaining the 'Village like,
community by-the-sea" character of the CBD. It shaft further identify ~he
infrastructure requirements, including parking, which will be needed to
accommodate such an intensity of development. Such a plan shall be formally
processed as an amendment to the Comprehensive Plan. The plan shall be
instituted under the lead of the Community Redevelopment Agency but conducted
through close participation with the City's Planning and Zoning Department.
The CBD plan has been adopted and is now known as the Downtown Delray Beach
Master Plan (adopted March 19, 2002). The Master Plan indicates that "Increasing
residential density is absolutely crucial to ensure a healthy and lasting life to the
District that will contribute to the vitality of the area." The Master Plan also
encourages the establishment of shared parking in the downtown core area. The
Meridian development participated in the City's shared parking program. However,
despite the shared parking provisions the development is required to contribute six
parking spaces ($72,000) towards the City's in-lieu program. Inclusion of the
subject property will allow the developer to include additional parking spaces on-site
rather than full contribution to the in-lieu program. Therefore, it is appropriate that
the proposed FLUM and Zoning Map designations be applied to the property as they
are consistent with the Master Plan with respect to parking needs in the downtown
area.
Since this Comprehensive Plan policy is furthered by the proposed FLUM
amendment, a positive finding can be made with respect to fulfilling a demonstrated
need.
[3
· Consistency - The requested designation is consistent with the goals,
objectives and policies of the most recently adopted Comprehensive Plan.
The proposal is consistent with the policy mentioned above as well as other goals,
objectives and policies of the City's Comprehensive Plan. The FLUM amendment
will also address the following Comprehensive Plan Policy:
Future Land Use Element Policy A.1.2 - Zoning changes which would result in
strip commercial development shall be avoided. Where strip commercial
developments or zoning currently exists along an arterial street, consideration
should be given to increasing the depth of the commercial zoning in order to provide
for better project design.
It is recognized that the proposed FLUM and Rezoning will not significantly increase
the depth of The Meridian property. However, it will be sufficient to increase the
amount of on-site parking and reduce the amount of spaces that will be contributed
via the in-lieu fee program.
Concurrency - Development at the highest intensity possible under the
requested designation can meet the adopted concurrency standards.
Planning and Zoning Board Sta,.. <eport
The Meridian - FLUM Amendment and Rezoning
Page 4
The proposal involves the FLUM amendment on a 0.025 acre parcel from LD to CC
and a rezoning from R-l-AA to CBD. With the current FLUM and Zoning Map
designations, the property could not be redeveloped, as it does not meet the
minimum lot size, lot width, lot depth, and lot frontage in the R-l-AA zoning district.
Given the size of the subject property, redevelopment to a use other than the
proposed accessory parking area is unlikely.
El Compatibility - The requested designation will be compatible with the existing
and future land uses of the surrounding area.
Based on the finding by the Planning and Zoning Board and City Commission for
the FLUM and Rezoning for the balance of The Meridian property, the designation
change for the subject property would be compatible with the adjacent single family
neighborhood to the east. The existing surrounding land uses are vacant to the
north, single family residential to the south and east, and mixed use office and
residential (The Meridian) to the west. The FLUM designations of the surrounding
uses are CC (Commercial Core) to the north and west, LD (Low Density Residential
0-5 dwelling units per acre) to the east, and GC (General Commercial) to the south.
The proposed designation change will "square-off" the district boundaries, which are
Commercial Core along the west side of Block 120 and residential along the east
side. Based on the above, a positive finding with respect to compatibility can be
made.
El Compliance'-- Development under the requested designation will comply with
the provisions and requirements of the Land Development Regulations.
Future 'redevelopment of the 0.025 acre parcel of land will occur in accordance with
the City's Land Development Regulations during the site plan review process.
Future redevelopment will be directed by the Master Plan, which will comply with the
City's Land Development Regulations. It is noted that the conveyance of the 16'-
wide parcel will create a nonconformity with respect to the rear setback of the single
family residence to the east. The required setback in the R-l-AA zoning district is
10' from the property line. When the property is conveyed to The Meridian, the rear
setback would be approximately 5'. In order to compensate for this nonconformity,
the property owner of the single family residence must apply and be granted a
variance from the Historical Preservation Board. Since the conveyance of the
property will eliminate the driveway and carport of the single family residence, an
alternative parking design must be provided. A condition of the FLUM amendment
is that a variance must be submitted and granted for the rear yard setback and that
alternative parking be provided. Given the above, a positive finding with respect to
compliance with the Land Development Regulations can be made.
Section 3.2.2 (Standards for Rezonin.q Actions): Standards B and E are not
applicable. The applicable performance standards of Section 3.2.2 are as
follows:
Planning and Zoning Board Sts,..<eport
The Meridian - FLUM Amendment and Rezoning
Page 5
(A)
The most restrictive residential zoning district that is applicable given
existing development patterns and typical lot sizes shall be applied to
those areas identified as "stable" and "stabilization" on the Residential
Neighborhood Categorization Map. Requests for rezonings to a different
zoning designation, other than Community Facilities, Open Space, Open
Space and Recreation, or Conservation shall be denied.
The property is located within the area identified as stable on the Residential
Neighborhood Categorization Map. The development pattern along SE 6th
Avenue (northbound Federal Highway) is such that the western halves of the
blocks on the east side of the road have been developed as commercial. The
subject property is the only instance where the residential zoning has
encroached onto the western half of the block. The CBD zoning district is the
established zoning classification along the western half of these blocks.
Therefore, residential zoning for this parcel is not appropriate. Therefore, this
policy should not be applicable given the existing development pattern.
(c)
Zoning changes that would result in strip commercial development shall be
avoided. Where strip commercial zoning developments or zoning currently
exists along an arterial street, consideration should be given to increasing
the depth of the commercial zoning in order to provide for better project
design.
The proposed rezoning would designate the 0.025 piece of land as CBD and
thereby slightly increasing the depth of The Meridian property along SE 6~
Avenue (Federal Highway) which is also zoned CBD. The proposed rezoning will
allow The Meridian mixed use development to construct additional parking
spaces thereby reducing the need for in-lieu parking spaces making for a better
office and residential development.
(D)
That the rezoning shall result in allowing land uses which are deemed
compatible with adjacent and nearby land use both existing and proposed;
or that if an incompatibility may occur, that sufficient regulations exist to
properly mitigate adverse impacts from the new use.
The following zoning designations and uses border the property:
Direction Zoning Uses
North CBD
West CBD
South GC
East R-1-A
Atlantic Center Shoppes
Mallory Square townhouses
Single family residences
Single family residences
The proposed rezoning is compatible with the adjacent land uses and consistent
with the development pattern along Federal Highway. As noted, in the
background section of this report, the Planning and Zoning Board and City
Commission made a finding that the CBD zoning district is compatible with the
Planning and Zoning Board Sta.. ?,eport
The Meridian - FLUM Amendment and Rezoning
Page 6
surrounding properties when the properties to the north and west were rezoned
on December 5, 2000.
Section 2.4.5(D}(5} (Rezoninq Findin_clS):
Pursuant to Section 2.4.5(D)(5) (Findings), in addition to provisions of Chapter
Three, the City Commission must make a finding that the rezoning fulfills one of
the reasons for which the rezoning change is being sought. These reasons
include the following:
That the zoning had previously been changed, or was originally
established, in error;
That there has been a change in circumstances which make the current
zoning inappropriate;
That the requested zoning is of similar intensity as allowed under the
Future Land Use Map and that it is more al~13rol3riate for the property based
upon circumstances particular to the site and/or neighborhood.
As noted previously, development pattern along SE 6~ Avenue has been established
such that the western half of the blocks have developed as commercial where the
eastern half has been developed as residential. The proposed rezoning to CBD is the
correct zoning designation for the proposed Commercial Core FLUM designation. The
proposed rezoning will "square-off" the zoning boundaries consistent with the remainder
of the block. Therefore, a finding can be made the rezoning fulfills Subsections "b" and
The property is not in an area that requires review by the DDA (Downtown Development
Authority).
Community Redevelopment A_clency (CRA):
The CRA reviewed the FLUM amendment and Zoning Map change at its meeting of
September 12, 2002 and recommended approval.
Public Notice:
Formal public notice has been provided to property owners within a 500' radius of the
subject property. Letters of support or objection, if any, will be presented at the
Planning and Zoning Board meeting.
Courtesy Notices:
Special courtesy notices were provided to the following homeowners and civic
associations:
Planning and Zoning Board Sta...<eport
The Meridian - FLUM Amendment and Rezoning
Page 7
· Beach Property Owners
· Via Marina
· PROD
· Presidents Council
The proposed amendments will provide a consistent boundary between the west
(commercial) half of the block and the east (residential) half. It is noted that the
conveyance of the 16'-wide parcel will create a nonconformity with respect to the rear
setback of the house. A condition of the FLUM amendment is that a vadance
application is submitted and a variance is granted for the rear setback by the Historic
Preservation Board and that the parking is relocated elsewhere on the property.
Furthermore, the proposed designation changes are consistent with the Downtown
Delray Beach Master Plan. Positive findings can be made with respect to Future Land
Use Element Policy A-1.7 of the Comprehensive Plan (FLUM Amendment Findings),
LDR Section 3.1.1 (Required Findings), and the Goals, Objectives, and Policies of the
Comprehensive Plan. Positive findings can be made with respect to LDR Section
2.4.5(D)(5) (Rezoning Findings). Therefore, the proposed FLUM amendment and
Rezoning can be recommended for approval based on the findings outlined in this
report.
A. Continue with direction.
Recommend to the City Commission approval of the FLUM Amendment and
Rezoning for the subject property, based on consistency with the Downtown
Delray Beach Master Plan and positive findings with respect to Future Land Use
Element Policy A-1.7 of the Comprehensive Plan (FLUM Amendment Findings),
LDR Section 2.4.5.(D)(5) (Rezoning Findings), LDR Section 3.1.1 (Required
Findings), and the Goals, Objectives, and Policies of the Comprehensive Plan; or
Recommend denial of the FLUM Amendment and Rezoning based on a failure
to make positive findings with Future Land Use Element Policy A-1.7 of the
Comprehensive Plan (FLUM Amendment Findings), LDR Section 2.4.5(D)(5)
(Rezoning Findings) and Section 3.1.1 (Required Findings) of the Land
Development Regulations, with the basis stated.
Recommend to the City Commission approval of the proposed FLUM Amendment from
LD (Low Density Residential 0-5 dwelling units per acre) to CC (Commercial Core),
subject to the condition that a variance application is submitted and granted for the
reduction of the rear yard setback, replacement of parking elsewhere on the property,
and approval of the Rezoning from R-l-AA (Single Family Residential) to CBD (Central
Business District) based on consistency with the Downtown Delray Beach Master Plan
and positive findings with respect to Future Land Use Element Policy A-1.7 of the
Planning and Zoning Board St~.. ,<eport
The Meridian - FLUM Amendment and Rezoning
Page 8
Comprehensive Plan (FLUM Amendment Findings), LDR Section 3.1.1 (Required
Findings), LDR Section 2.4.5(D)(5) (Rezoning Findings) and the Goals, Objectives, and
Policies of the Comprehensive Plan
Report prepared by: Scott Pape, Senior Planner
Attachments:
· Proposed Future Land Use Map
· Zoning Map
· Survey
SEA GA TE
MANOR
EA CH
CLUB o ~
~.o..~ THE MERIDIAN
~ o~ ~o~ FROM: R-I-~ (SINGLE F~ILY RESIDe)
~ TO: CBD (CENT~L BUSINESS
SKETCH OF SPE,.;I'FIC PURPOSE SURVEY
A PORTION OF BLOCK 12.0
TOWN OF LINTON (NOW DELRAY BEACH) "
"' (PB 1, PG 3, PBCR) -~ ~/-
~.. ~. ~-~ s~[anc Pu~.os~ or TH~ su~v~r
I
~ ~G~--~-WAY UNE OF NO.BOUND U~ .....
~g N52', S122', W143", BLOCK 120
~ ~ LESS THE WS' /
S7O', W127', BLOCK ~20
0 (PB 1 PG 3, PBCR)
, . ST
~ND D~CRI~ON:
A POTION OF BLOCK 120, ~'N OF ~ON (NOW
D~Y B~CH). ACCORDING ~ ~E P~T ~EOF
RECORDED IN P~T BOOK 1. ~E 3 OF ~E PUBUC
RECORDS OF P~M B~CH ~, ~RID~ MORE -
P~TICU~RLY D~CRIBED ~ ~WS: FOR
SO~ 70.00 ~ OF ~ ~ ~ DF ~ID BLOCK
MIC~ D. ROSE
~D ~DS L~NG IN ~E ~ DF D~Y B~H, P~M PRO~IO~ SU~CR
B~CH COUP. ~DRID~ CDN--~NING 1120 SO.RE ~, ~RI~ REGI~ON NO. 5995
MORE OR ~A.
PRDJE~ NO: 01-0557~0~ SH~ 1 OF 1 SH~
R~ NAME: X:~C~XSU~DS~k,,SK~3H~16SU~ . IN~ORMA~O~ PUR~ ONLY ~g ~ N~
S.E. 2ND ST.
- SEA~A TE
S.E. 4~ ~ ST. I ~ ~ MANOR
,z : DELRAY
~ CLUB
0
~ I .... -- FUTURE ~ND USE M~ AMENDM~-
AR~ ¢ ~O0*~T~ON FROM: LD (LOW DENSI~ RESIDe)
ow OF 0~A~ B~A~, ~ ~ TO: CC (COMMERCI~ CORE)
S.F.
2ND
ST.
S.E.
3RD ST
4TH ST.
WOMEN'S~-r'
SEA GA TE
MANOR
CiTY OF DELRAY BEACH,
PLANNING ,~ ZONING DE:PAR~T
-FLUM AND R~ZONING -.
FLUM ASSOCIATED WITH THE MERIDIAN REZONING
FROM' LD (LOW DENSITY RESIDENTIAL) FROM: R-I-AA (SINGLE FAMILY PJESlDENTIAL)J
TO: CC (COMMERCIAL CORE) TO: CBD (CENTRAL BUSINESS DISTRICT)
MEMORANDUM
TO:
FROM:
SUBJECT:
DATE:
MAYOR AND CITY COMMISSIONERS
CITY MANAGER ~'
AGENDA ITEM # / ~ ~- REGULAR MEETING OF DE(~EMBER $, 2002
ORDINANCE NO, 52-02 (PRIVATELY INITIATED REZONING)
NOVEMBER 27, 2002
This ordinance is before Commission for second reading and a quadjudidal heating, for rezoning from
R-l-AA (Single Family Residential) to CBD (Central Business District) for property located on the
north side of S.E. 4m Street, approximately 110' east of S.E. 6m Avenue (northbound Federal
Highway).
The subject property consists of the west 16' of Lot 28, Block 120 of the Town of Delray Subdivision
and contains 0.025 acres. The remainder of Lot 28 has a single family residence built in 1934 with a
zoning of R-l-AA and is located in the Marina Historic District. The western 16' contains a driveway
and a canopy attached to the adjacent single family home to the east. The applicant proposes to
incorporate this portion into the Meridian Mixed-Use Development located along the east side of S.E.
6~' Avenue, between S.E. 3~d and 4m Streets for parking and landscape areas.
The Plarm/ng and ZonLqg Board held a public heating in conjunction with the request. After
discussing this proposal, the Board voted 5-0 to recommend that the request be approved, based on
consistency with the Downtown Delray Beach Master Plan and positive findings with respect to
Future Land Use Element Policy A-1.7 of the Comprehensive Plan (FLUM Amendment Findings),
Land Development Regulations (LDR) Section 3.1.1 (Required Findings), LDR Section 2.4.5 (13)(5)
(Rezoning Findings), and the goals, objectives, and policies of the Comprehensive Plan; subject to the
condition that a variance application is submitted and granted for the reduction of the rear yard
setback and replacement of parking elsewhere on the property.
At the first reading on October 1, 2002, the City Commission passed the Ordinance No. 52-02
unanimously.
Recommend approval of Ordinance No. 52-02 on second and final reading.
S:\City Clerk\chevelle folder\agenda memos\Ord. SZOZl2.03 02 Rezonmg
TO:
THRU:
FROM:
SUBJECT:
SCOTT D. PAPE, SENIOR PLANNER''/~/~'/"~
MEETING OF OCTOBER 1, 2002
PRIVATELY INITIATED REZONING FROM R-l-AA (SINGLE FAMILY RESIDENTIAL) TO
CBD (CENTRAL BUSINESS DISTRICT) FOR PROPERTY LOCATED ON THE NORTH
SIDE OF SE 4TM STREET~ APPROXIMATELY 110' EAST OF SE 6TM AVENUE
(NORTHBOUND FEDERAL HIGHWAY).
The property consists of the west 16' of Lot 28, Block 120 of the Town of Delray subdivision and contains
0.025 acres. The remainder of Lot 28 contains a historically contributing single family residence (built
1934), which is zoned R-l-AA and located in the Marina Historic District The western 16' contains a
driveway and canopy that is attached to the adjacent single family home to the east. The applicant
proposes to incorporate the western 16' of the subject property into the previously approved mixed use
development known as The Meridian located along the east side of SE 6th Avenue (northbound Federal
Highway), between SE 3~d and 4th Streets, for parking and landscape areas.
This rezoning is being processed concurrently with a Future Land Use Map amendment from LD (Low
Density Residential 0-5 units per acre) to CC (Commercial Core), which is part of the City's Comprehensive
Plan Amendment 2002-02. The Comprehensive Plan Amendment Transmittal Hearing is also scheduled
for the October Ist City Commission meeting. Second reading of the rezoning ordinance will occur in
conjunction with adoption of the Comprehensive Plan Amendment anticipated in December.
It is noted that the conveyance of the 16'-wide parcel will create a nonconformity with respect to the rear
setback of the house. A condition of the Rezoning and FLUM amendment is that a variance application is
submitted and approval granted (by the Historic Preservation Board) to reduce the rear setback and that the
parking associated with the residence is relocated elsewhere on the property. Additional background and
an analysis of the FLUM amendment and rezoning are provided in the attached Planning and Zoning Board
staff report.
At its meeting of September 23, 2002, the Planning and Zoning Board held a public hearing in conjunction
with the Rezoning and FLUM amendment requests. After reviewing the staff report and discussing the
proposal, the Board unanimously voted 5-0 (Krall and Pike absent) to recommend that the requests be
approved, based on consistency with the Downtown Delray Beach Master Plan and positive findings with
respect to Future Land Use Element Policy A-1.7 of the Comprehensive Plan (FLUM Amendment Findings),
LDR Section 3.1.1 (Required Findings), LDR Section 2.4.5(D)(5) (Rezoning Findings) and the Goals,
Objectives, and Policies of the Comprehensive Plan, subject to the condition that a variance application is
submitted and granted for the reduction of the rear yard setback and replacement of parking elsewhere on
the property.
By motion, approve on first reading the ordinance for the proposed Rezoning from R-l-AA (Single Family
Residential) to CBD (Central Business District) based on the findings and recommendations by the Planning
and Zoning Board. /~_~
Attachments: P & Z Staff Report of September 23, 2002 & Ordinance by Others
ORDINANCE NO. 52-02
AN ORDINANCE OF THE CITY COMMISSION OF THE
CITY OF DELRAY BEACH, FLORIDA, REZONING LAND
PRESENTLY ZONED R-l-AA (SINGLE FAMILY
RESIDENTIAL) DISTRICT TO CBD (CENTRAL BUSINESS)
DISTRICT; SAID LAND BEING A PARCFJ. LOCATED ON
THE NORTH SIDE OF SE 4TH STREET,
APPROXIMATELY 127 FEET EAST OF SE 6TH AVENUE
(NORTHBOUND FEDERAL HIGHWAY), AS MORE
PARTICULARLY DESCRIBED HEREIN; AMENDING
"ZONING MAP OF DFJJKAY BEACH, FLORIDA, 2002";
PROVIDING A GENERAL REPEALER CLAUSE, A
SAVING CLAUSE, AND AN EFFECTIVE DATE.
WHEREAS, the property hereinafter described is shown on the Zoning District Map of the
City of Delray Beach, Florida, dated February, 2002, as being zoned R-I-AA (Single Family
Residential) District; and
WHEREAS, at its meeting of September 23, 2002, the Planning and Zoning Board for the
City of Delray Beach, as Local Planning Agency, considered this item at a public hearing and voted
5 to 0 to recommend that the property hereinafter described be rezoned, based upon positive
findings; and
WHERF. AS, it is appropriate that the Zoning District Map of the City of Delray Beach,
Florida, be amended to reflect the revised zoning classification.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE
CITY OF DF.I.RAY BEACH, FLORIDA, AS FOLLOWS:
Section 1. That the Zoning District Map of the City of Delray Beach, Florida, be, and the
same is hereby amended to reflect a zoning classification of CBD (Central Business District) District
for the following described property:
A portion of Block 120, Town of Linton (now Delray Beach), according to the Plat
thereof recorded in Plat Book 1, Page 3 of the Public Records of Palm Beach
County, Florida, more particularly described as follows:
The East 16.00 feet of the West 143.00 feet of the South 70.00 feet of the South half
of said Block 120.
Section 2. That the Planning and Zoning Director of the said City shall, upon the effective
date of this ordinance, amend the Zoning Map of the City of Dekay Beach, Florida, to conform
with the provisions of Section 1 hereofi
Section 3. That all ordinances or parts of ordinances in conflict herewith be, and the same
are hereby repealed.
Section 4. That should any section or provision of this ordinance or any portion thereof,
any paragraph, sentence, or word be declared by a court of competent jurisdiction to be invalid, such
decision shall not affect the validity of the remainder hereof as a whole or part thereof other than
the part declared to be invalid.
Section 5. That this ordinance shall become effective immediately upon passage on second
and final reading.
PASSED AND ADOPTED in regular session on second and final reading on this the
day of ~ 2002.
ATTEST
MAYOR
City Clerk
First Reading
Second Reading
2 ORD NO. 52-02
PLANNING AND ZONING BOARD
CITY OF DELRAY BEACH ---STAFF REPORT---
MEETING DATE:
AGENDA ITEM:
ITEM:
September 23, 2002
IV. E.'
Future Land Use Amendment From LD (Low Density Residential 0-5 du/ac) To CC
(Commercial Core) and Rezoning From R-l-AA (Single Family Residential) To CBD
(Central Business District) For a Parcel of Land Associated With the Meridian
Mixed-Use Development.
GENERAL DATA:
Owner/Applicant .......................... Mallory II, LLC
Agent .......................................... Ironwood Properties, Inc.
Location ...................................... North Side of SE 4th Street,
Approximately 127 Feet East
of SE 6th Avenue
(Northbound Federal
Highway)
Property Size .............................. 0.025 Acres
Future Land Use Map ................ LD (Low Density Residential 0-5
Du/Acre)
Proposed FLUM ........................ CC (Commercial Core)
Current Zoning ............................ R-l-AA (Single Family
Residential)
Proposed Zoning ........................ CBD (Central Business
District)
Adjacent Zoning ................ North: CBD (Central Business
District)
East: R-l-AA (Single Family
Residential)
South: GC (General Commercial) &
R-l-AA (Single Family
Residential)
West: CBD (Central Business
District)
Existing Land Use ...................... Single Family Residence
Proposed Land Use .................... Parking associated with the
construction of mixed use
development that consists of
22 townhouses and 23,228
square feet of office space.
Water Service ............................. Existing on site.
Sewer Service ............................. Existing on site.
ATLANTIC AVENU
£
2ND
nDELITY
FED£RAL
ST
IV.E.
The action before the Board is that of making a recommendation to the City
Commission on a privately sponsored Future Land Use Map (FLUM) Amendment from
LD (Low Density Residential/0-5 dwelling units per acre) to CC (Commercial Core) and
rezoning from R-l-AA (Single Family Residential - Medium Density) to CBD (Central
Business District) for property located on the north side of SE 4th Street, approximately
110' east of SE 6th Avenue (Federal Highway).
Pursuant to Section 2.2.2(E) of the Land Development Regulations, the Planning and
Zoning Board shall review and make a recommendation to the City Commission with
respect to FLUM and Rezoning Amendments for any property within the City.
The property is the west 16' of Lot 28, Block 120 of the Town of Delray subdivision and
contains 0.025 acres. The remainder of Lot 28 contains a single family residence and
is zoned R-l-AA. The western 16', which is the subject of the FLUM and Rezoning
applications, is not located in the Marina Historic District. This portion of the property
contains a driveway and canopy that is attached to the adjacent single family home to
the east. The house on the balance of the property was built in 1934 and is located in
the Marina Historic District overlay and is considered a contributing structure.
At its meeting of December 5, 2000, the City Commission approved a FLUM and
Zoning Map change to the western portion of Block 120 of the Town of Delray
subdivision. These actions change the FLUM designation from GC (General
Commercial) to CC (Commercial Core) and the zoning designation from GC (General
Commercial) to CBD (Central Business District). At its meeting of August 28, 2002 the
Site Plan Review and Appearance Board approved a site plan for a mixed use
development consisting of 22 townhouses and 20 offices known as The Meridian. The
applicant proposes to incorporate the western 16' of the subject property into this
development to be used for parking and landscape area.
This Future Land Use Map Amendment is being processed pursuant to the twice a year
statutory limits for consideration of plan amendments (F.S. 163.3187) as part of
Comprehensive Plan Amendment 2002-02.
LDR (Chapter 3) PERFORMANCE STANDARDS:
Pursuant to Section 3.1.1 (Required Findings), prior to approval of Land Use
applications, certain findings must be made in a form which is part of the official
record. This may be achieved through information on the application, written
materials submitted by the applicant, the staff report, or minutes. Findings shall
be made by the body which has the authority to approve or deny the development
application. These findings relate to the Future Land Use Map, Concurrency,
Planning and Zoning Board Sta .... eport
The Meridian - FLUM Amendment and Rezoning
Page 2
Comprehensive Plan Consistency, and Compliance with the Land Development
Regulations.
Future Land Use Map: The resulting use of land or structures must be allowed in
the zoning district within which the land is situated and said zoning must be
consistent with the applicable land use designation as shown on the Future Land
Use Map.
The proposed parking and landscape area is allowed as an accessory use to the
approved mixed use development known as The Meridian in the CBD (Centra, I
Business District) zoning district. The CBD zoning district is consistent with the
proposed Commercial Core Future Land Use Map designation.
The remaining required findings of LDR Section 3.1.1, Concurrency, Comprehensive
Plan Consistency and Compliance with the Land Development Regulations are
discussed below.
Future Land Use Element Policy A-1.7: Amendments to the Future Land Use Map
(FLUM) must be based upon the findings listed below, and must be supported by
data and analysis that demonstrate compliance with these findings:
Demonstrated Need -- That there is a need for the requested land use. The
need must be based upon circumstances such as shifts in demographic
trends, changes in the availability of land, changes in the existing character
and FLUM designations of the surrounding area, fulfillment of a
comprehensive plan objective or policy, annexation into the municipal
boundaries, or similar circumstances. The need must be supported by data
and analysis verifying the changing demographics or other circumstances.
This requirement shall not apply to requests for the FLUM designations of
Conservation or Recreation and Open Space; nor shall it apply to FLUM
changes associated with annexations when the City's advisory FLUM
designation is being applied, or when the requested designation is of a similar
intensity to the advisory designation. However, the findings described in the
remainder of this policy must be addressed with all FLUM amendments.
As noted in the Background section of this report, the FLUM designations of the
properties to the west were recently changed to Commercial Core and rezoned to
CBD. These actions were taken in order to extend the downtown area as it was
deemed more appropriate than the existing uses, which were primarily automotive
related. The mixed use project known as The Meridian was approved to the west of
the subject property. The eastern boundary of this project is generally uniform
except for the subject 16' at the southern end. It has been the developer's intention
to incorporate this 16'-wide parcel for additional parking. This action will provide a
uniform boundary along the east side of The Meridian development.
The proposed FLUM amendment will fulfill Future Land Use Element Policy C-4.2,
stated as follows:
Planning and Zoning Board Sta,, .<aport
The Meridian - FLUM Amendment and Rezoning
Page 3
Future Land Use Element Po#cy C-4.2: A special CBD plan shall be developed
jointly by the CRA and the City. It shall address the maximum development which
can be accommodated in a competitive market while still retaining the "village like,
community by-the-sea" character of the CBD. it shall further identify the
infrastructure requirements, including parking, which will be needed to
accommodate such an intensity of development. Such a plan shall be formally
processed as an amendment to the Comprehensive Plan. The plan shall be
instituted under the lead of the Community Redevelopment Agency but conducted
through close participation with the City's Planning and Zoning Department.
The CBD plan has been adopted and is now known as the Downtown Delray Beach
Master Plan (~idopted March 19, 2002). The Master Plan indicates that "Increasing
residential density is absolutely crucial to ensure a healthy and lasting life to the
District that will contribute to the vitality of the area." The Master Plan also
encourages the establishment of shared parking in the downtown core area. The
Meridian development participated in the City's shared parking program. However,
despite the shared parking provisions the development is required to contribute six
parking spaces ($72,000) towards the City's in-lieu program. Inclusion of the
subject property will allow the developer to include additional parking spaces on-site
rather than full contribution to the in-lieu program. Therefore, it is appropriate that
the proposed FLUM and Zoning Map designations be applied to the property as they
are consistent with the Master Plan with respect to parking needs in the downtown
area.
Since this Comprehensive Plan policy is furthered by the proposed FLUM
amendment, a positive finding can be made with respect to fulfilling a demonstrated
need.
Consistency -- The requested designation is consistent with the goals,
objectives and policies of the most recently adopted Comprehensive Plan.
The proposal is consistent with the policy mentioned above as well as other goals,
objectives and policies of the City's Comprehensive Plan. The FLUM amendment
will also address the following Comprehensive Plan Policy:
Future Land Use Element Policy A-1.2- Zoning changes which would result in
strip commercial development shall be avoided. Where strip commercial
developments or zoning currently exists along an arterial street, consideration
should be given to increasing the depth of the commercial zoning in order to provide
for better project design.
It is recognized that the proposed FLUM and Rezoning will not significantly increase
the depth of The Meridian property. However, it will be sufficient to increase the
amount of on-site parking and reduce the amount of spaces that will be contributed
via the in-lieu fee program.
Concurrency -- Development at the highest intensity possible under the
requested designation can meet the adopted concurrency standards.
Planning and Zoning Board Sta,.. <eport
The Meridian - FLUM Amendment and Rezoning
Page 4
The proposal involves the FLUM amendment on a 0.025 acre parcel from LD to CC
and a rezoning from R-l-AA to CBD. With the current FLUM and Zoning Map
designations, the property could not be redeveloped, as it does not meet the
minimum lot size, lot width, lot depth, and lot frontage in the R-l-AA zoning district.
Given the size of the subject property, redevelopment to a use other than the
proposed accessory parking area is unlikely.
[] Compatibility -- The requested designation will be compatible with the existing
and future land uses of the surrounding area.
Based on the finding by the Planning and Zoning Board and City Commission for
the FLUM and Rezoning for the balance of The Meridian property, the designation
change for the subject property would be compatible with the adjacent single family
neighborhood to the east. The existing surrounding land uses are vacant to the
north, single family residential to the south and east, and mixed use office and
residential (The Meridian) to the west. The FLUM designations of the surrounding
uses are CC (Commercial Core) to the north and west, LD (Low Density Residential
0-5 dwelling units per acre) to the east, and GC (General Commercial) to the south.
The proposed designation change will "square-off" the district boundaries, which are
Commercial Core along the west side of Block 120 and residential along the east
side. Based on the above, a positive finding with respect to compatibility can be
made.
Compliance -- Development under the requested designation will comply with
the provisions and requirements of the Land Development Regulations.
Future redevelopment of the 0.025 acre parcel of land will occur in accordance with
the City's Land Development Regulations during the site plan review process.
Future redevelopment will be directed by the Master Plan, which will comply with the
City's Land Development Regulations. It is noted that the conveyance of the 16'-
wide parcel will create a nonconformity with respect to the rear setback of the single
family residence to the east. The required setback in the R-l-AA zoning district is
10' from the property line. When the property is conveyed to The Meridian, the rear
setback would be approximately 5'. In order to compensate for this nonconformity,
the property owner of the single family residence must apply and be granted a
variance from the Historical Preservation Board. Since the conveyance of the
property will eliminate the driveway and carport of the single family residence, an
alternative parking design must be provided. A condition of the FLUM amendment
is that a variance must be submitted and granted for the rear yard setback and that
alternative parking be provided. Given the above, a positive finding with respect to
compliance with the Land Development Regulations can be made.
Section 3.2.2 (Standards for Rezoninq Actions): Standards B and E are not
applicable. The applicable performance standards of Section 3.2.2 are as
follows:
Planning and Zoning Board Sta,. ?,eport
The Meridian - FLUM Amendment and Rezoning
Page 5
(A)
The most restrictive residential zoning district that is applicable given
existing development patterns and typical lot sizes shall be applied to
those areas identified as "stable" and "stabilization" on the Residential
Neighborhood Categorization Map. Requests for rezonings to a different
zoning designation, other than Community Facilities, Open Space, Open
Space and Recreation, or Conservation shall be denied.
The property is located within the area identified as stable on the Residential
Neighborhood Categorization Map. The development pattern along SE 6th
Avenue (northbound Federal Highway) is such that the western halves of the
blocks on the east side of the road have been developed as commercial. The
subject property is the only instance where the residential zoning has
encroached onto the western half of the block. The CBD zoning district is the
established zoning classification along the western half of these blocks.
Therefore, residential zoning for this parcel is not appropriate. Therefore, this
policy should not be applicable given the existing development pattern.
(c)
Zoning changes that would result in strip commercial development shall be
avoided. Where strip commercial zoning developments or zoning currently
exists along an arterial street, consideration should be given to increasing
the depth of the commercial zoning in order to provide for better project
design.
The proposed rezoning would designate the 0.025 piece of land as CBD and
thereby slightly increasing the depth of The Meridian property along SE 6th
Avenue (Federal Highway) which is also zoned CBD. The proposed rezoning will
allow The Meddian mixed use development to construct additional parking
spaces thereby reducing the need for in-lieu parking spaces making for a better
office and residential development.
(D)
That the rezoning shall result in allowing land uses which are deemed
compatible with adjacent and nearby land use both existing and proposed;
or that if an incompatibility may occur, that sufficient regulations exist to
properly mitigate adverse impacts from the new use.
The following zoning designations and uses border the property:
Direction Zoninq Uses
North CBD
West CBD
South GC
East R-I-A
Atlantic Center Shoppes
Mallory Square townhouses
Single family residences
Single family residences
The proposed rezoning is compatible with the adjacent land uses and consistent
with the development pattern along Federal Highway. As noted, in the
background section of this report, the Planning and Zoning Board and City
Commission made a finding that the CBD zoning district is compatible with the
Planning and Zoning Board Sra.. ,<eport
The Meridian - FLUM Amendment and Rezoning
Page 6
surrounding properties when the properties to the north and west were rezoned
on December 5, 2000.
Section 2.4.5{D){5) {Rezonin_q Findings):
Pursuant to Section 2.4.5(D)(5) (Findings), in addition to provisions of Chapter
Three, the City Commission must make a finding that the rezoning fulfills one of
the reasons for which the rezoning change is being sought. These reasons
include the following:
That the zoning had previously been changed, or was originally
established, in error;
That there has been a change in circumstances which make the current
zoning inappropriate;
C=
That the requested zoning is of similar intensity as allowed under the
Future Land Use Map and that it is more appropriate for the property based
upon circumstances particular to the site and/or neighborhood.
As noted previously, development pattern along SE 6th Avenue has been established
such that the western half of the blocks have developed as commercial where the
eastern half has been developed as residential. The proposed rezoning to CBD is the
correct zoning designation for the proposed Commercial Core FLUM designation. The
proposed rezoning will "square-off" the zoning boundaries consistent with the remainder
of the block. Therefore, a finding can be made the rezoning fulfills subsections "b" and
The property is not in an area that requires review by the DDA (Downtown Development
Authority).
Community Redevelopment Agency (CRA):
The CRA reviewed the FLUM amendment and Zoning Map change at its meeting of
September 12, 2002 and recommended approval.
Public Notice:
Formal public notice has been provided to property owners within a 500' radius of the
subject property. Letters of support or objection, if any, will be presented at the
Planning and Zoning Board meeting.
Courtesy Notices:
Special courtesy notices were provided to the following homeowners and civic
associations:
Planning and Zoning Board Sta,. ,<eport
The Meridian - FLUM Amendment and Rezoning
Page 7
· Beach Property Owners
· Via Marina
· PROD
· Presidents Council
The proposed amendments will provide a consistent boundary between the west
(commercial) half of the block and the east (residential) half. It is noted that the
conveyance of the 16'-wide parcel will create a nonconformity with respect to the rear
setback of the house. A condition of the. FLUM amendment is that a variance
application is submitted and a variance is granted for the rear setback by the Historic
Preservation Board and that the parking is relocated elsewhere on the property.
Furthermore, the proposed designation changes are consistent with the Downtown
Delray Beach Master Plan. Positive findings can be made with respect to Future Land
Use Element Policy A-1.7 of the Comprehensive Plan (FLUM Amendment Findings),
LDR Section 3.1.1 (Required Findings), and the Goals, Objectives, and Policies of the
Comprehensive Plan. Positive findings can be made with respect to LDR Section
2.4.5(D)(5) (Rezoning Findings). Therefore, the proposed FLUM amendment and
Rezoning can be recommended for approval based on the findings outlined in this
report.
A. Continue with direction.
Recommend to the City Commission approval of the FLUM Amendment and
Rezoning for the subject property, based on consistency with the Downtown
Delray Beach Master Plan and positive findings with respect to Future Land Use
Element Policy A-1.7 of the Comprehensive Plan (FLUM Amendment Findings),
LDR Section 2.4.5.(D)(5) (Rezoning Findings), LDR Section 3.1.1 (Required
Findings), and the Goals, Objectives, and Policies of the Comprehensive Plan; or
Co
Recommend denial of the FLUM Amendment and Rezoning based on a failure
to make positive findings with Future Land Use Element Policy A-1.7 of the
Comprehensive Plan (FLUM Amendment Findings), LDR Section 2.4.5(D)(5)
(Rezoning Findings) and Section 3.1.1 (Required Findings) of the Land
Development Regulations, with the basis stated.
Recommend to the City Commission approval of the proposed FLUM Amendment from
LD (Low Density Residential 0-5 dwelling units per acre) to CC (Commercial Core),
subject to the condition that a variance application is submitted and granted for the
reduction of the rear yard setback, replacement of parking elsewhere on the property,
and approval of the Rezoning from R-l-AA (Single Family Residential) to CBD (Central
Business District) based on consistency with the Downtown Delray Beach Master Plan
and positive findings with respect to Future Land Use Element Policy A-1.7 of the
Planning and Zoning Board St~.. ,;~eport
The Meridian - FLUM Amendment and Rezoning
Page 8
Comprehensive Plan (FLUM Amendment Findings), LDR Section 3.1.1 (Required
Findings), LDR Section 2.4.5(D)(5) (Rezoning Findings) and the Goals, Objectives, and
Policies of the Comprehensive Plan
Report prepared by: Scott Pape, Senior Planner
Attachments:
· Proposed Future Land Use Map
· Zoning Map
· Survey/
s.~-. I
_ .~ II
I ~SEA GA TE
S.E. I ¢ 4TH x ~l I ~ B MANOR
-
AREA OF PROPER~
N ~ THE MERIDIAN
~ -- REZONING--
AREA OF MODIFICATION FROM: Rd-~ (SINGLE FAMILY RESIDENTIAL)
CI~ OF DE~AY BEACH,
~ TO: CBD (CENT~L BUSINESS DISTRICT)
PL~NING ~ ZONING DEPAR~ENT
--- ~I~Z ~ ~ ~ ---- ~ R~F' ~ 640
:SKETCH OF SPECIFIC PURPOSE SURVEY
A PORTION OF BLOCK i?_.0
TOWN OF LINTON (NOW DELRAY BEACH)
"" SCALE: '1"=30'
"" (PB 1, PG 3, PBCR)
~,. 1. mE SPECIFIC PURPOSE OF mis SURVEY IS TO SHOW
I
~ R~gHT--DF--WAY UNE OF NORTHBOUND U.S. ~
'~ ".J o -- ~-~, OWNERSHIP DR OTHER INSTRUI,4EN'TS DF ~ I--
I
u N52', $122', W143'. BLOCK 120 'T'
gm LESS THE W5' / ~ m ""
SBB' 4-6 '-~. I
".00' .
570', W127', BLOCK 120 -~" L~ ,,,
30.00' t ~_F'SS ORB 430, PG 418 (R/W) ~,~ 0 _.j
L~
~ -- -- __ J
~' I ' "
"' SOUTU U~ ,Z o~. t %~_~"=~ ~.00' I"
Z'.E.. 4TH
LAND DESCRIPTION: ("
A PORTION OF BLOCK 120, ~-G'~'N DF' UNTON (NOW
/
D.--1 RAY BEACH), ACCORDING TC 'THE PLAT THEREOF
RECORDED IN PLAT BOOK 1, ,:=A2E 3 OF THE PUBLIC
RECORDS OF PALM BEACH COUP-Pt', FI.DRIDA. MORE
PARTICULARLY DESCRIBED A.~ F"~'?LLDWS: FOR TH-- ~R~,o BY:
SOUTH 70.00 FEET OF THE S"J~'T;H HALF DF SAID BLOCK ' ~' /
120.
MICt-I~-.EJ- D. ROSE
.?~JD LANDS LYING IN THE CiTY OF D-:D_RAY B-2ACH, PALM PRO~IONAL SUFT,./EYCR AND MAPPER
BEACH COUNTY. FLORIDA, CON--~NING 1120 SQUARE FEET, FLDRIL3A REGIS"fP. ATION NO. 3995
MORE OR LESS.
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£1T¥ OF DELRflV BEflI:H
CiTY ATTORNEY'S OFFICE
200 NW 1st AVENUE · DELRAY BEACH, FLORIDA 33444
TELEPHONE 561/243-?090 · FACSIMILE 561/278-4755
Wnter's D~rect L~ne 561/243-7091
1993 DATE:
MEMORANDUM
November 20, 2002
TO:
FROM:
City Commission
Brian Shutt, Assistant City Attorney
SUBJECT: In-Lieu Parkinq Fee Ordinance
Ordinance No 4-99 was enacted by the Commission on February 2, 1999. This
ordinance provided for certain fees and payment plans regarding in-lieu parking
spaces. This ordinance also contained a sunset provision. The sunset provision
was included as it was felt that this ordinance should be reevaluated at a future
time to determine if the in-lieu fee option would still be needed as a redevelopment
incentive. Although redevelopment has occurred, City staff still feels that the in-
lieu fee option is still needed.
Ordinance No. 53-02 is exactly the same as Ordinance No. 4-99, but, does not
include a sunset provision.
By copy of this memo to David Harden, our office is requesting that this item be
placed on the December 3, 2002 City Commission agenda. Please call if you
have any questions.
Attachment
CC;
David Harden, City Manager
Barbara Garito, City Clerk
Paul Dorling, Director of Planning & Zoning
ORDINANCE NO. 53-02
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF
DELRAY BEACH, FLORIDA, AMENDING SECTION 4.6.9,
"OFF-STREET PARKING REGULATIONS", SUBSECTION 4.6.9(E),
"LOCATION OF PARKING SPACES", OF THE LAND
DEVELOPMENT REGULATIONS OF THE CITY OF DELRAY
BEACH, TO PROVIDE FOR REVISED IN LIEU OF PARKING
REGULATIONS; PROVIDING A GENERAL REPEALER CLAUSE,
A SAVING CLAUSE, AND AN EFFECTIVE DATE.
WHEREAS, the City Commission has determined that in lieu of fees serve the
public interest by contributing toward relieving the parking problem in the City's CBD, CBD-RC,
OSSHAD and GC (West Atlantic Avenue Overlay) zoning districts;
WHEREAS, the City Commission has determined that the amount of in lieu of fees
paid for a particular property should be based upon the location of the property for which in lieu of
fees are sought; and
WHEREAS, the City Commission has determined that funds from the in lieu of fees
shall be used for parking purposes.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE
CITY OF DELRAY BEACH, FLORIDA, AS FOLLOWS:
Section 1. That Chapter Four, "Zoning Regulations", Article 4.6, "Supplemental
District Regulations", Section 4.6.9, "Off-Street Parking Regulations", Subsection 4.6.9(E),
"Location of Parking Spaces", of the Land Development Regulations of the City of Delray Beach,
Florida, be, and the same is hereby amended to read as follows:
(E) Location of Parking Spaces:
(1) Street parking, parking located in the public right-of-way, or parking
located in public parking facilities shall not be used to satisfy on-site parking requirements. The
terms "on-site parking" and "off-street parking" are synonymous. However, pursuant to the
requirements of Section 4.6.9(E)(3)(e), the cost of construction of additional on-street public
parking may be used to offset the total dollar amount due under an ~n-lieu fee aqreement with the
City.
(2) Required off-street parking shall be provided on the same lot or parcel as the
building and uses for which it is required, except as provided for within this Subsection (E).
1 ORD. NO 53-02
(3) In-Lieu Fee: If it is impossible or inappropriate to provide the required number of
on-site or off-site .parking spaces, the City Commission may approve the payment of a fee in lieu
of providing such required parking, pursuant to the following provisions:
(a)
The in-lieu fee is authorized only in the CBD, CBD-RC, OSSHAD and
GC (West Atlantic Avenue Overlay District) zoning districts in
compliance with the supplemental district regulations provisions
therein.
(b)
-rh~_. ,~,~,,. io h,~,-,~h .... t.hlioh~,,..I ~ ¢~ nnn ........ Arrangements for
payment shall be approved by the City Commission at the time of the
approval of the in-lieu fee. The fee amount shall be based upon the
location of the property for which in-lieu fees are beinq sought. Area
descriptions and corresponding fee amounts are hereby established
as follows:
(1) Area 1: Parcels located east of the Intracoastal Waterway which
are zoned CBD - $14,000 per space.
(2)
Area 2: Parcels located west of the Intracoastal Waterway
which are zoned CBD or CBD-RC and which are not included
within the Pineapple Grove Main Street area - $12,000 per
space.
(3) Area 3: Parcels located within the OSSHAD zoninq district and
parcels located within the Pineapple Grove Main Street area
which are zoned CBD or CBD-RC - $6,000 per space.
(4)
Parcels located within the West Atlantic Avenue Overlay District
which are zoned GC - $4,000 per space.
(c) All proceeds from such a fee shall be used for parking purposes.
(d)
For those parcels located in Area 1 or Area 2, the in-lieu fee shall be
paid in full at the time of submission of a buildinq permit application.
For those parcels located in Area 3 or Area 4, the in-lieu fee may be
paid in full at the time of submission of a buildinq permit application or
in installments. Applicants for an in-lieu fee which is not paid in full at
time of permit, must enter into an In-Lieu of Parkinq Fee Agreement
2 ORD. NO 53-02
with the City. Such agreement shall be recorded with the Public
Records Office of Palm Beach County, Florida. The obligations
imposed by such an In-Lieu of Parkinq Fee Aqreement constitute a
restrictive covenant upon a property, and shall bind successors, heirs
and assiqns. The restrictive covenant shall be released upon full
payment of the in-lieu parking fees including attorneys' fees and costs.
In-Lieu of Parkinq Fee Agreements shall only be made between the
City and the Owner(s) of the subject property. If an In-Lieu of Parking
Fee Aqreement is entered into, installment payments shall be made
over a three-year time period in three installments. The first
installment shall be 50% of the total fee and is to be paid upon signing
the agreement. The second installment shall be 25% of the total fee
and is due on the second anniversary date of the siqnin.q of the
a,qreement. The third and final payment of 25% of the total fee is due
on the third anniversary date of the signing of the aqreement. There
shall be no interest due under this payment schedule. ~
t'~,"~x: hn n,~irl ,,'JJe nr~n 4-imex r~r in in*t',~llmnnt'e In~',~llmnnt' ~N~:tme~n4't1
he, m,',,-I ...... 8 ni .......... i,-,,-I in *SR ....... $o Thc ~::'** nm,m,-,-*
[~ I I .~ VlVl , .,1 .~ ]~, ~l I~ Il , . I ~[~, I l~l I[~. ,11 VI ~[~, ''~l '[
...... i,.l ~,e, ,~ ......... i,-,ni.,,~ ,~,~, ;,.o*,.llm,~n+ a~,"99,,meBt The
· a .... ,:~ ~l,... ,,,~. ,,,,...,.. \~! y...,al~. .-....~l,,l .... ~ In i,.,,a, v, :,,..,
..... ~ ............... p~[
(e)
In addition to in-lieu fees due, where adequate right-of-way exists
adjacent to a proposed project for which an in-lieu parking fee has
been approved, the applicant must construct additional on-street
parking, not to exceed the total amount of spaces subiect to in-lieu
fees unless authorized by the City Commission. The total in-lieu fee
due shall be reduced by an amount equal to the actual construction
costs, but in no event to exceed total in-lieu fees for these on-street
spaces includinq street lighting. Additional credit, not to exceed 10%
of the total fee, may be taken for the actual construction costs of
approved streetscape beautification elements in the public
right-of-way. Beautification improvements may include: but are not
limited to, paverbrick walkways, street furniture and landscaping.
Credit may not be taken for those streetscape elements listed in
Section 4.4.13 (I) (2) (f) which are required to meet the performance
standards for new developments in the CBD which exceed 30 dwellin.q
units per acre. Neither credit for construction of on-street spaces, nor
3 ORD. NO 53-02
credit for construction of beautification elements shall be reimbursed
until such construction has been fully completed.
Section 2. That all ordinances or parts of ordinances in conflict herewith be, and
the same are hereby repealed.
Section 3. That should any section or provision of this ordinance or any portion
thereof, any paragraph, sentence, or word be declared by a court of competent jurisdiction to be
invalid, such decision shall not affect the validity of the remainder hereof as a whole or part
thereof other than the part declared to be invalid.
Section 4. That this ordinance shall become effective immediately upon its
passage on second and final reading.
Section 5. That this ordinance shall apply to all in-lieu parking fee agreements
entered into prior to the effective date of this ordinance and all in-lieu fees owing to the City under
those agreements shall be paid as set forth in this ordinance and in the in-lieu parking fee
agreements.
PASSED AND ADOPTED in regular session on second and final reading on this the
day of
MAYOR
ATTEST:
City Clerk
First Reading
Second Reading
4 ORD. NO 53-02
[ITY OF DELRI:I¥ BErI£H
CITY ATTORNEY'S OFFICE
200 NW 1st AVENUE · DELRAY BEACH, FLORIDA 33444
TELEPHONE 561/243-7090 · FACSIMILE 561/278-4755
Writer's Direct L~ne 561/243-7091
1993
DATE:
MEMORANDUM
November20,2002
TO:
FROM:
City CommiS~..~,~
Brian Shutt, Assistant City Attorney
SUBJECT: Ordinance No. 54-02 Revisinq Ordinance No. 51-02
After the adoption of Ordinance No. 51-02 a question was raised regarding
whether or not Lot 3 of Block 2 and Lot 3 of Block 3 of the Silver Terrace
Subdivision was included in Ordinance No. 51-02 as the changes made by
Ordinance No. 51-02 referred to "Lots 2-4". In order to clarify that Lot 3 of Block 2
and Lot 3 of Block 3 are also included in Ordinance No. 51-02 this Ordinance is
proposed to clarify that issue by changing "Lots 2-4" to "Lots 2, 3 and 4".
By copy of this memo to David Harden, our office requests that this item be placed
on the December 3, 2002 City Commission agenda. Please call if you have any
questions.
Attachment
CC:
David Harden, City Manager
Barbara Garito, City Clerk
Paul Dorling, Planning & Zoning Director
ORDINANCE NO. 54-02
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF
DELRAY BEACH, FLORIDA, AMENDING ORDINANCE NO. 51-02
BY AMENDING SECTION 1 CLARIFYING THAT THE LOTS
REFERRED TO IN PARAGRAPH 5(a) INCLUDE LOT 3; PROVIDING
A GENERAL REPEALER CLAUSE, A SAVING CLAUSE, AND AN
EFFECTIVE DATE.
WHEREAS, Ordinance No. 51-02 was passed and adopted in regular session on second and
final reading on October 15, 2002; and
WHEREAS, this Ordinance clarifies Ordinance No. 51-02 to provide that Lot 3 of Blocks 2
and 3 of the Silver Terrace Subdivision are also included in Ordinance No. 51-02.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY
OF DELRAY BEACH, FLORIDA, AS FOLLOWS:
Section 1. That Section 1 of Ordinance No. 51-02 amending Section 3, Paragraph (5) of Ordinance
No. 39-96, be, and the same is hereby amended to read as follows:
(5) Residential development shall be pursuant to the density limitations and
development standards of the RM (Medium Density Residential) zoning district, except as modified
below:
(a)
Except for single family detached dwellings on Lots 2 [, 3 and 4; of Blocks 2
and 3, residential structures shall take access from the local streets in the
subdivision. No new driveway connections to Dixie Highway are permitted.
The driveways on Lots 2 ~ ,3 and 47 of Blocks 2 and 37 must be designed to
enable vehicles to enter and exit the site in a forward manner.
(b)
Multiple family residential structures shall be in the form of townhouses on
platted fee-simple lots or a residential condominium.
(c)
Multiple family developments shall have a minimum development area of
one (1) acre.
(d)
Tandem parking may be counted toward minimum parking requirements for
townhouse units with garages.
(e) Rear setbacks, and setbacks along the perimeter of the SAD, shall be 15 feet.
Section 2. That all ordinances or parts of ordinances in express conflict herewith be, and the
same are hereby repealed, provided, however, all other terms and provisions of Ordinance No. 51-
02 shall remain in full force and effect.
Section 3. That should any section or provision of this ordinance or any portion thereof, any
paragraph, sentence, or word be declared by a court of competent jurisdiction to be invalid, such
decision shall not affect the validity of the remainder hereof as a whole or part thereof other than the
part declared to be invalid.
Section 4. That this ordinance shall become effective immediately upon passage on second
and final reading.
PASSED AND ADOPTED in regular session on second and final reading on this the __
day of ,200__.
ATTEST M A Y O R
City Clerk
First Reading
Second Reading.
2 ORD NO. 28-02
[lTV OF DELRI:IV BEACH
CITY IITORNEY'S OFFICE ~oo ~w ~ ^ws~.. ~^~ ~^~., ~o~^ ~.~
TELEPHONE 561/243-7090 · FACSIMILE 561/278-4755
1993
DATE:
TO:
FROM:
SUBJECT:
MEMORANDUM
November 20, 2002
David T. Harden, City Manager
Terrill Pyburn, Assistant City Attorney
Proposed Ordinance on Handbills
Wdter's Direct Line: 561/243-7090
Please find attached hereto a proposed updated ordinance regarding handbills.
Please review the attached proposed ordinance and let me know if you would like
for me to place it on the next City Commission agenda.
Thank you. Also, please do not hesitate to contact me if you have any questions.
TCP:smk
Attachment
(B) Exemptions, The provisions of this section shall not
apply to tho distribution of mail by tho United States/ nor to
newspapers except that newspapers shall be placed on prive~o
deposited by the elements upon any street, lidewalk or other
publio place or upon private property.
('80 Cod%, Sec. 12-51)(Ord. No. 34-83, passed
Penalty,.see Sec. 111.99
Section
.DEPOSITING.HANDBILLS ON UNINHABITED .OR VACANT
NO person' shall throw or ~eposit any commercial or
noncommercial handbill in or upon any uninhabited or vacan~
property.
('80 Code, Sec. 12-49) (Ord. No. 34-83, palled 5/20/83)
Penalty, see Sec. 111.99 '
§ec=ton !11..18 DISTRIBUTING COMMERCIAL
HANDBILLS IN PUBLIC PLACES.
AND
No person shall throw or ~eposit any commercial or
noncommercial handbill in or upon any sidewalk, street, shopping
center parking lot or other public place within the City, nor
shall any person hand out or distribute or sell any commercial
handbill in any public place, without first securing a permit
from the Building Department-Occupational License Department.
However, it shall be lawful on any sidewalk, street or other
public place within ~he City for any person to hand out or
distribute, without charge to the receiver thereof, any
commercial or noncommercial handbill to any person willing to
accept i~. Local businesses licenses under the provisions of
Chapter 110 are exempt from this section.
('80 Code, Sec. 12-47) (Ora. No. 34-83, passed 5/20/83)
Penalty, see Sec. 111.99
Zree publications, see Sections 111.30 through 111.32
XI.38
OP. mNANCE NO. 5e> -0Z
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY
OF DELRAY BEACH, FLORIDA, AMENDING TITLE XI,
"BUSINESS REGULATIONS", OF THE CODE OF ORDINANCES
OF THE CITY OF DELRAY BEACH BY AMENDING CHAPTER
111, "ADVERTISING", BY REPEALING SECTION 111.18,
"DISTRIBUTING COMMERCIAL AND NON-COMMERCIAL
HANDBILLS IN PUBLIC PLACES" IN ITS ENTIRETY IN ORDER
TO PROVIDE AN UPDATED ORDINANCE REGARDING SAME
BY ENACTING A NEW SECTION 111.18, "DISTRIBUTING
COMMERCIAL AND NON-COMMERCIAL HANDBILLS IN
PUBLIC PLACES"; PROVIDING A SAVING CLAUSE, A
GENERAL REPEALER CLAUSE, AND AN EFFECTIVE DATE.
WHEREAS, the City Commission of the City of Delray Beach, Florida, desires to protect its
citizens against the health and safety menace and the expense incident to the littering of the streets and
public places by the uncontrolled distribution of advertising matter and commercial and non-commercial
handbills; and
WHEREAS, the City Commission of the City of Delray Beach, Florida, desires to preserve the
people's constitutional right to receive and disseminate information in a safe and healthy manner.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF
DELRAY BEACH, FLORIDA AS FOLLOWS:
Section 1. That Title XI, "Business Regulations", Chapter 111, "Advertising", Section 111.18,
"Distributing Commercial and Non-Commercial Handbills in Public Places", of the Code of Ordinances of
the City of Delray Beach, be repealed in its entirety and a new Section 111.18, "Distributing Commercial
and Non-Commercial Handbills in Public Places", be, and the same is hereby enacted to read as follows:
Section 111.18 DISTRIBUTING COMMERCIAL AND NON-COMMERCIAL HANDBILLS
IN PUBLIC PLACES.
It shall be unlawful for any person to deposit, place, throw, scatter or cast any commercial or
non-commercial handbill in or upon any public place within the City. Provided, however, that it
shall not be unlawful for any person to hand out or distribute, without charge to the receiver thereof,
any commercial or non-commercial handbill in any public place to any person willing to accept
such handbill.
Section 2. That should any section or provision of this ordinance or any portion thereof, any
paragraph, sentence, clause or word be declared by a court of competent jurisdiction to be invahd, such
decision shall not affect the validity of the remainder hereof as a whole or part hereof other than the pan
declared invalid.
Section 3.
hereby repealed.
That all ordinances or parts of ordinances in conflict herewith be, and the same are
Section 4.
reading.
That this ordinance shall become effective upon its passage on second and final
PASSED AND ADOPTED in regular session on second and final reading on this the
day of ,2002.
ATTEST:
MAYOR
City Clerk
First Reading
Second Reading
2 ORD NO.