06-04-75SpMtg 1
JUNE 4~. 1975
A special meeting cf the City'~COuncil of the City of Delray
Beach, Florida, was held in the Council Chambers at 12:00 noon,
Wednesday, June 4, 1975, with Mayor-James H. Scheifley presiding,
and City Attorney Roger Saberson, Council members Andrew M. Gent, Grace
S. Krivos, David E. Randolph and Ron I. Sanson, IV, present.
The.Lord's Prayer was repeated in unison.
The Pledge of Allegiance to 'the Flag of the United States of
America was given.
Mayor Scheifley announced the meeting had been called for
the purpose of receiving bids on a $600,000 Streets and Sidewalks
General Obligation Bond Issue which was approved by the Voters of
Delray Beach in December, 1974. The bids were submitted to the City
Clerk. Mr. Stanley Ross, of Reynolds Securities, Inc., Financial
Advisors for tile City of Delray Beach, read the bids as follows:
Barnett Bank Of Delray Beach as agents for
John Nuveen and Company, Inc., New York Amount - $588,000.00
Net Interest Cost - 7.0724
Merrill Lynch, Pier=e, Fenner and Smith, Inc. Amount - $591,000.00
Net Interest Cost - 7.0966
William R. Hough, Company Amount - $588,000.00
Net Interest Cost - 6.8289
Hornblower & Weeks Hemphill~ Noyes, Inc. Amount - $588,000.00
Net Interest Cost - 6.773
Mayor Scheifley declared the meeting recessed at 12:05 P.M.
to allow time for the Finance Committee to prepare computations on the
bids.
Mayor Scheifley reconvened the meeting at 12:40 P.M. Mr.
Stanley Ross was asked for his recommendation. Mr. Ross reported the
Financial Committee had reviewed the four bids and found each of them
to be-in order, confirmed by the City Attorney. Mr. Ross stated the
best bid with the lowest interest cost is Hornblower & Weeks Hemphill,
Noyes, Inc. at an average rate of 6.773 percent, and he recommended
acceptance of said bid. He reported the average of bonds sold in the
market last week was 7.02 percent. The City Attorney reported Resolu-
tion No. 32-75 has been prepared accepting the lowest bid as outlined
by Mr. Ross and Council should move for the passage of said resolution
Mr. Gent moved for the adoption of Resolution No. 32-75 awarding the
contract to the lowest bidder of Hornblower & Weeks Hemphill, Noyes,
Inc. with a low interest rate of 6.773, seconded by Mrs. Krivos. The
motion passed unanimously.
Mayor Scheifley thanked the bidders on behalf of Council
for their interest and participation.
There being no further business, the meeting was adjourned.
at 12:44 P.M.
~~~/~~~ ~/ Ci'ty Clerk
APPROVED: .
MA'YO R
RESOLUTION NO. 32-75.
A RESOLUTION AWARDING $600,000 STREETS AND
SIDEWALKS GENERAL OBLIGATION BONDS OF THE
CITY OF DELRAY BEACH, FLORIDA.
WHEREAS, pursuant to notice heretofore duly published, for the sale of
$600,000 Streets and Sidewalks General Obligation Bonds, dated February 1,
1975 (hereinafter referred to as "Bonds"), the following sealed proposals
have been received:
The proposal of Hornblower & Weeks Hemphill, Noyes, Inc. offering
to pay the sum of Five Hundred and Eighty-eight Thousand Dollars
($588,000.00), together w~th accrued interest from February 1, 1975 to
the date of delivery thereof, for said Bonds bearing interest at the
rate of six and nine-tenths per centum (6.9%) per annum on the Bonds
maturing in the years 1979 to 1984, inclusive, at the rate of six and
one-half per centum (6.5%) per annum on the Bonds~maturing in the years
1985 to 1989, inclusive, at the rate of six and nine-tenths per centum
(6.9%) per annum on the Bonds maturing in the years 1990 to 1997, in-
clusive, at the rate of five and four-tenths per centum (5.4%) per
annum on the Bonds maturing in the year 1998, being a net interest
cost of $602,850.00.
The proposal of William R. Hough, Company offering to pay the
sum of Five Hundred and Eighty-eight Thousand Dollars ($588,000.00),
together with accrued interest from February 1, 1975 to the date of
delivery thereof, for ~aid Bonds bearing interest at the rate of six
ighty · o~ ~ ann.~m on .h~ ~d~
and e -fiv~ i~undredths per centum
maturing in the years 1979 to 1986, inclusive, at the rate of six and
three-quarters per centum (6.75%) per annum on the Bonds maturing in
the years 1987 to 1995, inclusive, at the rate of six and eighty-five
hundredths per centum (6.85%) per annum on the Bonds maturing in the
years 1996 to 1997, inclusive, and at the rate of six per centum
(6.00%) per annum on the Bonds maturing in the year 1998, being a net
interest.cost of $607,775.00.
The proposal of John Nuveen and Co., Inc. offering to pay the
sum of Five Hundred and Eighty-eight Thousand Dollars ($588,000.00),
together with acCrued interest from February 1, 1975 to the date of
delivery thereof, for said Bonds bearing interest, at the rate of seven
per centum (7.00%) per annum on the Bonds maturing in the years 1979
to 1986, inclusive, at the rate of six and six-tenths per centum (6.6%)
per annum on the Bonds maturing in the years 1987 to 1989, inclusive,
at the rate of six and nine-tenths per centum (6.9%) per annum on the
Bonds maturing in the years 1990 to 1993, inclusive, at the rate of
seven per. centum (7.00%) per annum on the Bonds maturing in the years
1994 to 1998, inclusive, being a net interest cost of $629,450.00.
The proposal of Merrill Lynch, Pierce, Fenner and Smith, Inc.
offering to pay the sum of Five Hundred and Ninety-one Thousand
Dollars ($591,000.00), together with accrued interest from February 1,
1975 to the date of delivery thereof, for said Bon~s bearing interest
at the rate of six and one-half per centum (6.5%) per annum on the
Bonds matur~n~ in the years 1979 to 1987, inclusive, at the rate of
seven pe~ centum (7.~00~ per annum on the B~n~s maturing in the years~
l~-? to 1994, inclusive, at tile rate of seven and two-tenths per centum
(7.2%) per annum on the Bonds maturing'in the years 1995 to.1998, in-
clesive, being a net inter~s2 cost of $631,600.00; and,
WHEREAS, in the proposal of Hornblower & Weeks Hemphill, Noyes,
Inc. referred to in the prea ~mbles hereof, is the highest and most advanta-
geous bid for said Bonds and in all other respects complies with said notice
of sale,
' 7
· ? '"' 102A
THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
BEACH, FLORIDA:
Section 1. That the proposal of Hornblower & Weeks Hamphill, Noyes,
referred to in the preambles hereof, be and the same is hereby
the following described Bonds of the City of Delray Beach be
hereby awarded and sold to said purchaser referred to in the
hereof at the price and in accordance with the proposal, of said
$600,000 - STREETS AND SIDEWALKS GENERAL OBLIGATION BONDS
dated February 1, 1975, in the denomination of $5,000
each, bearing interest at the rates per annum (payable
February 1 and August 1 of each year) and maturing on
February 1 in the years and amounts as follows:
Year Amount Rate.
1979 $25,000 6.90%
1980 25,000 6.90%
1981 25,000 6.90%
1982 25,000 6~90%
1983 25,000 6.90%
1984 25,000 6.90%
1985 25,000 6.50%
1986 25,000 6.50%
1987 25,000 6.50%
1988 25,000 6.50%
1989 25,000 6.50%
1990 · 25,000 6.90%
~0~
1992 25,000 6.~ ~'
1993 25,000 6.90%
1994 25,000 6.90%
1995 50,000 6.90%
1996 50,000 6.90%
1997 50,000 6.90%
1998 50,000 5.40%
Section 2. That the proper officers of the City be and they are
authorized and directed to execute said Bonds when prepared and to
same to said purchaser upon payment of the purchase price in
with the conditions stated in said notice of sale, without
authority from this City Council.
Section 3. That the City Clerk be and she is hereby authorized and
return forthwith the good faith checks of all unsuccessful
Section 4. That the publication of said notice of sale of said
Bond Buyer, New York, New York, and in the Delray Beach News
Delray Beach, Florida, be and the same are hereby ratified,
confirmed.
Section 5. That the principal of and interest on said Bonds shall be
the principal office of The Chase Manhattan Bank, N.A., New
York.
Section 6. This resolution shall take effect immediately.
AND ADOPTED in special session on this 4th ~ay of June, 1975.
City Clerk
-2- Res. No. 32-75.