Res 02-73 RESOLUTION NO. 2-73
A RESOLUTION FIXING THE PROVISIONS FOR THE
ISSUANCE OF $5,000,000 CITY OF DELRAY BEACH,
FLORIDA WATER AND SEWER REVENUE BONDS, SERIES
1972; 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
September 11, 1972, by Resolution No. 48-72, the City authorized
the issuance of $5,000,000 Water and Sewer Revenue Bonds, Series
1972 (hereinafter called "obligations"), to finance the cost of
construction and acquisition of additions, extensions and improve-
ments to the Water and Sewer System of the City; and,
WHEREAS, the obligations have been validated by judgment
of the Circuit Court for Palm Beach County, Florida, on October
31, 1972; 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 1o The $5,000,000 Water and Sewer Revenue Bonds,
Series 1972, 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 February 14, 1973.
Section 3. The City Clerk is hereby authorized and directed
to publish a notice calling for bids for the purchase of said Bonds.
Such notice shall be published in the Delray Beach News Journal, a
newspaper of general circulation within Palm Beach County one time;
such publication to be not less than ten (10) days prior to the day
of 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
$5,000,OO0
CITY OF DELRAY BEACH, FLORIDA
WATER AND SEWER REVENUE BONDS, SERIES 1972
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 Standard Time,
on
February 14, 1973
at which time and place all bids will be publicly opened
and read for $5,000,000 City of Delray Beach, Florida,
Water and Sewer Revenue Bonds, Series 1972, dated June 1,
1972, (hereinafter called the "Bonds"), bearing interest
at the rate or rates stated in the successful bid not ex-
ceeding seven and one-half per cent (7 1/~) per annum, and
maturing, subject to the right of prior redemption as set
forth below, on June 1 in the years and amounts as follows:
Year Amount Year Amount Year Amount
1974 $50,000 1984 $ 85,000 1993 $160,000
1975 50,000 1985 90,000 1994 165,000
1976 55,000 1986 105,000 1995 175,000
1977 60,000 1987 110,000 1996 190,000
1978 60,000 1988 115,000 1997 195,000
1979 65,000 1989 120,000 1998 205,000
1980 70,000 1990 130,000 1999 510,000
1981 75,000 1991 140,000 2000 540,000
1982 80,000 1992 150,000 2001 570,000
1983 80,000 2002 600,000
The Bonds maturing in the years 1983 to 2002, inclusive, will
be callable for redemption prior to maturity, at the option
of the City, on June 1, 1982, or on any interest payment date
thereafter, in inverse numerical order, at the price of par
and accrued interest to the date of redemption plus a pre-
mium, expressed as a percentage of the par value thereof,
of 3% if redeemed on or prior to June 1, 1989; 2% if redeemed
thereafter on or prior to June 1, 1995; 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 (June 1 and December 1) will be pay-
able at the Chase Manhattan Bank, N.A., New York, New York.
The Bonds will be issued for the purpose of financing the
cost of construction and acquisition of additions, extensions,
and improvements to the Water and Sewer System of the City.
The Bonds, on a parity with $4,780,000 outstanding Water and
Sewer Revenue Bonds, will be payable solely from the net
revenues derived from the operation of the waterworks plant
and system and sewer system of the City of Delray Beach.
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 (1 1/2%) between the highest and
lowest rates of interest named will be considered. A re-
peated 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 con-
taining 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 December 1, 1972, to the various stated
maturities thereof and subtracting therefrom the amount of
-2-
Resolution No. 2-73.
any premium bid or adding thereto the amount of any dis-
count bid. No bid for less than ninety-nine per centum
(9~) of the par value of the Bonds offered for sale plus
accrued interest will be considered.
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 $100,000 drawn upon an incor-
porated 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 imme-
diately 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 certificate
in the customary form dated as of the date of the delivery
of the Bonds.
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 March 14, 1973, 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 successful bidder may with-
draw his bid and receive the return of his good faith
deposit.
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
Hallie E. Yates City Clerk
Section 4. This resolution shall take effect immediately
upon its adoption.
PASSED AND ADOPTED in regular session on the 22nd day of
January, 1973.
ATTEST: ~~~~M~A ~Y 0~~
City Clerk
-3-
Resolution No. 2-73.
OFFICIAL NOTICE OF SALE
$5,000,000
CITY OF DELRAY BEACH, FLORIDA
WA~ER AND SEWER REVENUE BONDS, SERIES 1972
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.Wo 1st Avenue, Delray Beach,
Florida, until 12:00 o'clock noon, Eastern Standard Time,
on
February 14, 1973
at which time and place all bids will' be publicly opened
and read for $5,000,000 City of Delray Beach, Florida,
'Water and Sewer Revenue Bonds, Series 1972, dated June 1,
1972, (hereinafter called the "Bonds"), bearing interest
'at the rate or rates stated in the successful bid not ex-
ceeding seven and one-half per cent (7 1/~) per annum, and
maturing, subject to the right of prior redemption as set
forth below, on June 1 in the years and amounts as follows:
'Year Amount Year Amount Year Amoun~
1974 $50,000 19S4 $ 85,000 1993 $160,000
1975 50,000 1985 90,000 1994 165,000
1976 55,000 1986 105,000 1995 175,000
1977 60,000 1987 110,000 1996 190,000
1978 60,000 1988 115,000 1997 195,000
· 1979. 65,000 1989 120,000 1998 205,000
-1980 70,000 1990 130,000 1999 510,000
~ . ~1981 75,000 ~1991 140,000 2000 540,000
1982 80,000 1992 150,000 2001 570,000
1983 80,000 2002 ~600,000
· he Bonds maturing in the years 1983 to 2002, inclusive, will
be callable for redemption prior to maturity, at the option
of the Ci%y, on June 1, 1982, or on any interest payment date
thereafter, in inverse numerical order, at the price of par
~nd accrued interest to the date of redemption plus a pre-
mium, expressed as a percentage of the par value thereof,
of ~ if redeemed on or prior to June 1, 1989; ~ if redeemed
thereafter on or prior to June 1, 1995; 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 (June 1 and December 1) will be pay-
able at the Chase Manhattan Bank, N.A.', New York, New York.
The Bonds will be issued for the purpose of financing the
cOst of construction and. acquisition of additions, extensions,
and improvements to the Water and Sewer System of the City.
The Bonds, on a parity with $4,780,000 outstanding Water and
Sewer Revenue Bonds, will be payable solely from the net
revenues derived from the operation of the waterworks plant
and system and sewer system of the City of Delray Beach.
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 (1 1/2%) between the highest and
lowest rates of interest named will be considered. A re-
peated 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 con-
taining 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 December 1, 1972, 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-nine per centum
(9~) of the par value of the Bonds offered for sale-plus
accrued interest will be considered.
· 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 $100,000 drawn upon an incor-
porated 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 imme-
diately upon the award of the Bonds. No interest will be
allowed upon the good faith deposit of the sucCessful
~idder.
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 certificate
in the customary form dated as of the date of the delivery
of the Bonds.
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 March 14, 1973, 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 successful bidder may with-
draw his bid and receive the return of his good faith
deposit.
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
Publish: January 25, 1973. Hallie E. Yates
City Clerk