Res 29-75 RESOLUTION NO. 29-75.
A RESOLUTION FIXING THE PROVISIONS OF THE ISSUANCE
OF $600,000 CITY OF DELRAY BEACH, FLORIDA, STREETS
AND SIDEWALKS GENERAL OBLIGATION BONDS; NAMING PAYING
AGENTS; AND AUTHORIZING THE SALE OF SUCH BONDS.
WHEREAS, by resolution adopted by the City Council of the City of
Delray Beach, Florida. (hereinafter called "City"), on December 23, 1974,
by Resolution No. 86-74, the City authorized the issuance of $600,000
Streets and Sidewalks General Obligation Bonds (hereinafter called "obliga-
tions''), to finance the cost of the construction and acquisition of streets
and sidewalks in said City; and,
WHEREAS, the obligations have been validated by judgment of the
Circuit Court for Palm Beach County, Florida, on March 20, 1975; and,
WHEREAS, the City deems it in the best interests of the City to sell
such obligations at public sale,
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
DELRAY BEACH, FLORIDA, THAT:
Section 1. The $600,000 Streets and Sidewalks General Obligation
Bonds of the City shall be subject to prior redemption, as hereinafter
provided in the Notice of Sale.
Section 2. Such obligations shall be offered at public sale on
June 4, 1975.
Section 3. The publication in the Delray Beach News-Journal, a
newspaper of general circulation within Palm Beach County, one time, dated
May 22, 1975, which notice directed calling for bids for the purchase of
said Bonds is hereby authorized, ratified and confirmed. Such publication,
which in accordance with State law, was published more than ten (10) days
prior to said sale, and shall be published one time in the Bond Buyer, a
financial publication in the City of New York, New York. The notice shall
be in substantially the following form:
OFFICIAL NOTICE OF SALE
$600,000
CITY OF DELRAY BEACH, FLORIDA
STREETS AND SIDEWALKS BONDS
(General Obligations)
Notice is hereby given that the City Council of the City of
Delray Beach, Florida, will receive sealed bids, in care of
the undersigned City Clerk in the City Council Chambers,
City Hall, 100 N.W. 1st Avenue, Delray Beach, Florida, until
12:00 o'clock noon, Eastern Daylight Saving Time, on
June 4, 1975
at which time and place all bids will be publicly opened and
read for $600,000 City of Delray Beach, Florida, Streets and
Sidewalks General Obligat~_3n Bonds dated February 1, 1975,
(hereinafter called the "Bonds"), bearing interest at the'
rate or rates stated in the successful bid not exceeding seven and
one-half percent (7%%) per annum, and maturing, subject to
the right of prior redemption as set forth below, on February
1 in the years and amounts as follows:
YEAR AMOUNT YEAR AMOUNT YEAR AMOUNT
1979 $25,000 1986 $25,000 1992 $25,000
1980 25,000 1987' 25,000 1993 25,000
1981 25,000 1988 25,000 1994 25,000
1982 25,000 1989 25,000 1995 50,000
1983 25,000 1990 25,000 1996 50,000
1984 25,000 1991 25,000 1997 50,000
1985 25,000 1998 50,000
The Bonds maturing in the years 1986 to 1998, inclusive, shall be
callable for redemption prior to maturity, at the option of the
City, on February 1, 1985, or on any interest payment date there-
after, in inverse numerical order, at the price of par and accrued
interest to the date of redemption plus a premium, expreSsed as a
percentage of the par value thereof, of 3% if redeemed on or prior
to February 1, 1989; 2% if redeemed thereafter on or prior to
February 1, 1994; and 1% if redeemed thereafter prior to maturity.
The Bonds will be coupon Bonds in the denomination of $5,000 each,
with the privilege of registration as to principal only or as to
both principal and interest. Principal and semi-annual interest
(February 1 and August 1) will be payable at The Chase Manhattan
Bank, N.A., New York, New York.
The Bonds will be general obligations of the City of Delray Beach,
Florida, payable from ad valorem taxes levied against all property
taxable for such purposes in the City, without limitation as to
rate or amount, and the full faith and credit of the City will
be pledged to the payment of principal and interest.
Each bidder may specify not more than three different interest
rates expressed in multiples of one-eighth (1/8) or one-twentieth
(1/20) of one per centum (1%) and all Bonds of the same maturity
shall bear a single rate of interest. No bid stipulating a
difference greater than one and one-half per centum (1½%) between
the highest and lowest rates of interest named will be considered.
A repeated rate of interest shall not be considered a different
rate of interest. Only one coupon will be attached to each Bond
for each installment of interest thereon. A bid Cqntaining a rate
of interest based upon the uSe of split or supplemental interest
coupons will not be considered. The Bonds will be awarded on
the basis of the lowest net interest cost to the City and the
comparison of bids to determine such lowest net interest cost will
be made by taking the aggregate amount of interest at the rate-or
rates specified in the bids computed from February 1, 1975, to the
various stated maturities thereof and subtracting therefrom the
amount of any premium bid or adding thereto the amount of any dis-
count bid. No bid for less than ninety-eight per centum (98%)
of the par value of the Bonds offered for sale plus accrued in-
terest will be considered; net interest cost, however, shall not
exceed (7%%) seven and one-half per cent.
In order to be considered, each bid must be unconditional and
must be submitted on the form furnished by the City and must be
accompanied by a certified, bank cashier's or bank treasurer's
check for $12,000 drawn upon an incorporated bank or trust company,
payable to the order of the City of Delray Beach, Florida. The
amount of said check of the successful bidder will be applied on
the purchase price. All other checks will be returned immediately
upon the award of the Bonds. No interest will be allowed upon
the good faith deposit of the successful bidder.
The Bonds have been validated by judgment of the Circuit Court of
the Fifteenth Judicial Circuit of the State of Florida, in and
for Palm Beach County. The legality of the Bonds will be approved
by Messrs. Mudge Rose Guthrie & Alexander, New York, New York,
whose opinion as to the legality of the Bonds will be delivered to
the purchasers without charge together with a no-litigation certi-
ficate in the customary form dated as of the date of the delivery
of the Bonds.
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The Bonds will be delivered to the successful bidder, at the
expense of the City, in the City of New York, New York. It is
expected that delivery will'be made on or about June 28, 1975,
or within thirty days from the date of sale. However, if the
Bonds are not delivered within sixty days of the date of sale
without fault upon the part of the successful bidder, the suc-
cessful bidder may withdraw his bid and receive the return of
his good faith deposit, or may accept delivery for an additional
thirty days thereafter at his option.
The City reserves the right to reject any and all bids and any
bid not complying with the provisions hereof will be rejected.
Additional information may be obtained from the undersigned.
CITY OF DELRAY BEACH, FLORIDA.
ELIZABETH ARNAU
City Clerk
Section 4. This resolution shall take effect immediately upon
its adoption.
PASSED AND ADOPTED in regular session on the 27th day of May, 1975.
MAYOR
ATTEST:
CityClerk
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Res. No. 29-75.