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01-15-88SpMtg368 JANUARY 15, 1988 A Special Meeting of the City Commission of the City of Delray Beach, Florida, was called to order by Mayor Doak S. Campbell in the Commission Chambers at City Hall at 5:30 P.M., Friday, January 15, 1988. Roll call showed: Present - Commissioner Marie Horenburger Commissioner Mary McCarty Commissioner Jimmy Weatherspoon Mayor Doak S. Campbell Absent - Commissioner Richard J. Dougherty ~ Also present were - Acting City Manager Robert A. Barcinski and Assistant City Attorney Jeffrey Kurtz. Mayor Campbell called the meeting to order and announced that this meeting has been called for the purpose of (1) Considering Resolu- tion No. 5-88 amending Resolution No. 46-87, authorizing the filing of an application for an Urban Development Action Grant to encumber City surplus funds in the amount of $1,100,000 in lieu of crediting the City for the sale price of land. 1. The caption of Resolution No. 5-88 is as follows: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DELRAY BEACH, FLORIDA, AMENDING SECTION 4 OF RESOLUTION NO. 46-87 WHICH AUTHORIZED THE FILING OF AN APPLICATION TO THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT FOR AN URBAN DEVELOPMENT ACTION GRANT; PROVIDING FOR UP TO $1,100,000 FROM THE UNENCUMBERED FUND BALANCE AS MATCHING FUNDS FOR THE URBAN DEVELOPMENT ACTION GRANT; PROVIDING AN EFFECTIVE DATE. (Copy of Resolution No. 5-88 is on file in the official Resolu- tion Book) Mrs. Horenburger moved for the adoption of Resolution No. 5-88, seconded by Mrs. McCarty. Upon roll call the Commission voted as follows: Mrs. Horenburger - Yes; Mrs. McCarty - Yes; Mr. Weatherspoon - Yes; Mayor Campbell - Yes. Said motion passed with a 4 to 0 vote. Before roll call the following discussion was had: Ken Simback, Director of the CRA, reported that this afternoon they were notified they needed to revise their letter of commitment with regard to the 20 percent local match with the UDAG. They have prepared a resolution for Commission approval which appropriates $1,100,000 from the unexpended fund balance; they will indicate to HUD that this honey is available. Concurrently, they are asking the Commission to authcrize the Acting City Manager to convey this resolution to HUD, along with a letter stating the City will offer to the developer a purchase ~Dney mortgage in the amount of $1,100,000 for a term of no less than five years, an amortization schedule to be determined. Upon question by Mrs. McCarty as to restrictions on the amcrti- zation, the Assistant City Attorney stated there certainly are restric- tions as to the five year time period; whether there are further re- strictions, they are not sure at the present time. However, the entire $1,100,000 must be financed. Upon question by Mayor Campbell, Mr. Simback advised this should result in absolutely no change in the City's cash position or the amount of the commitment toward this project or the amount of money that the City will receive from the developer as a result of entering into this agreement. 369 The Assistant City Attorney stated that Mr. Procacci will give us a letter to the effect that he will negotiate the purchase money mortgage in the amount of $1,100,000 with us and will agree to amend the contract that we now have with him pursuant to the letter and the purchase money mortgage. Mayor Campbell commented that this is still in the application process; if any of the facts or circumstances should change and some- thing adverse comes to light, we still have a chance to relook at this in the future. The Assistant City Attorney noted that Commissioner Dougherty would have been here but for the fact that he is under subpoena and is being deposed in West Palm Beach at the present time. At this point the roll was called to the motion. Mayor Campbell declared the meeting adjourned at 5:35 P.M. ATTEST: MAYOR The undersigned is the City Clerk of the City of Delray Beach and that the information provided herein is the minutes of the meeting of said City Commission of January 15, 1988, which minutes were formally approved and adopted by the City Commission on ~.~. ~ /~. NOTE TO READER: If the minutes that you have received are not completed as indicated above, then this means that these are not the official minutes of City Commission. They will become the official minutes only after they have been reviewed and approved which may involve some amendments, additions, or deletions to the minutes as set forth above. -2- 1/15/88