Res 26-67 RESOLUTION NO. 26-67.
The resolution is as follows:
A RESOLUTION authorizing the issuance of
~00,000 Utilities Tax Revenue Certificates,
Series 1967, of the City of Delray Beach,
providing for the payment and sale of such
certificates, entering into certain covenants
and agreements in that connection, and
declaring an emergency.
WHERE. AS it is necessary for the City of Delray Beach
to make the improvements hereinafter mentioned; and
_.WHEREAS it is necessary to borrow the sum of $600,000
for the purpose of paying the cost of said improvements and
said city desires to issue its U~ilities Tax Revenue Certificates,
Series 1967, as hereinafter authorized, to evidence such
borrowing; and
WHEREAS pursuant to proceedings heretofore adopted
said city has been levying a tax on the purchase of certain
utilities services, the proceeds of which tax, upon the issuance
of the certificates herein authorized, will not be pledged or
hypothecated in whole or in part in any manner or for any purpose
other than the payment of such certificates and for the payment
of certain Utilities Tax Revenue Certificates, Series 1962,
originally issued in the amount of $1,100,O00 and now outstanding
in the amount of $_ 1,055,000. ; and
WHEREAS under the provisions of Section 7 of Resolution
Number ~.42~ ... adopted on November 26, 1962, authorizing said
Utilities Tax Revenue Certificates, Series 1962, additional
obligations may be issued on a parity therewith for purposes other
than refunding if certain conditions prescribed in said Section 7
are met, including the condition that the utilities tax proceeds
collected during twenty-four consecutive months of the last thirty
months immediately preceding the issuance of the additional
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certificates have been equal to three times the highest future
annual principal and interest requirement of all certificates then
outstanding and the certificates so proposed to be issued~ and
WHEREAS the utilities tax proceeds collected by the
city during the twenty-four consecutive months ending S,,eptember 30 ·
1967· have been equal to $... ~.~3,81_~.07 ......... and the highest future
annual principal and interest requirement of all outstanding
certificates payable from said utilities tax proceeds and the
certificates herein authorized (assuming that said certificates
herein authorized are issued to bear interest at the rate of4;3/~_ %
per annum) will be $. 110,355. and three times such figure
is $ 331,065. __ _ ~ and all of the other conditions for the issuance
of the certificates herein authorized on a parity with said
certificates of Series 1962 will have been met upon the issuance
of the certificates herein authorized~
~.W, THEREFORE~ Be It Resolved by the City Council
of the City of Delray Beach· Palm Beach County, Florida, as follows:
Section 1. That as used herein the following terms
shall have the following meanings unless the context otherwise
clearly requires:
(a) "City" means the City of Delray Beach.
(b) "Certificates" and "certificates herein
authorized" mean the $600·000 Utilities Tax Revenue Certificates·
Series 1967· authorized by this resolution.
(c) "1962 certificate resolution" means Resolution
Number 1429 adopted by the City Council of the city on
November 26· 1962, authorizing the issuance of $1·100·000 Utilities
Tax Revenue Certificates· Series 1962· of the city.
(d) "1962 certificates" means the U~ilities Tax
Revenue Certificates, Series 1962· authorized by the 1962
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certificate resolution.
(e) "Parity certificates" means obligations issued
on a parity with the certificates herein authorized under the pro-
visions of Section 7 of the 1962 certificate resolution.
(f) "Utilities tax" means the tax imposed by said
city on each and every purchase in said city oF electricity, bottled
gas (natural or manufactured), and local telephone service. Said
term 'shall also apply to all taxes imposed by the city on the purchase
of utility services other than water, 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, either
by amendment to the utilities tax ordinance or otherwise.
(g) "Utilities tax ordinance" and "Fiscal Year" have
the same meanings as provided in Sec~ on i of the 1962 certificate
resolution°
Section 2. That for the purpose of paying the
cost of the construction of works and improvements to prevent
erosion of beaches within said city, the construction of a
municipal building for the municipal court and Jail and other police
administration facilities in said city, including the acquisition
of furniture and equipment therefor, the construction of storm
drainage facilities and the acquisition of rights of way therefor~
the acquisition and improvement of off-street parking lots, and
the acquisition of street rights of way and improvement thereof,
and including the cost of acquisition of any lands or interests
therein, and of any fixtures, equipment or properties, either real
or personal, deemed necessary or desirable therefor~ expenses for
financial and legal services or consultants, expenses for
estimates of costs, ex~enses for plans, specifications and
surveys and paying all expenses properly incident to the foregoing
and properly incident to the authorization and issuance of the
certificates herein authorized, there are hereby autho~.~zed to be
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issued the Utilities Tax Revenue Certificates, Series 1967, of said
city in the aggregate principal amount of $600,000. Said certificates
shall be dated December l, 1967, shall be in the denomination of
$5,000 each, shall be numbered i to 120, inclusive, shall bear
interest from date until paid at the rate of five per cent
( ~ %) per annum or such lesser rate or rates as may be fixed
by resolution after the sale of such certificates as hereinafter
provided, Which interest shall be payable June l, 1968, and semi-
annually thereafter on the first days of June and December of each
year, shall be payable as to both principal and interest in lawful
money of the United States of Americmat.The Chase Manhattan Bank
(N.A.) in the City of New York, New York, and shall mature serially
in numerical order on June i of each of the yea~s as follows:
CERTIFICATE NUMBERS AMOUNT YEAR
-- 1 and 2 -- $--10,000 1968
3 and 4 10,000 1969
5 and 6 10,000 1970
7 and 8 10,000 1971
9 and 10 10,000 1972
11 and 12 10,000 197~
13 and 14 10,000 1974
15 and 16 10,000 197~
17 and 18 10,000 1976
19 to 21 15,000 1977
22 tO 24 15,000 1978
25 to 27 15,000 1979
~8 to 30 15,000 1980
31 to 33 15,000 1981
34 to 36 15,000 1982
37 to 39 15,000 1983
40
to 42 15,000 1984
43 to 46 20,000 198~
47 to 50 20,000 1986
51 to 54 20,000 1987
55 to 58 20,000 1988
59 to 62 20,000 1989
63 to 81 95,000 1990
82 to 100 95,000 1991
101 to 120 100,000 1992
Certificates maturing after June 1, 1978, shall be
callable for redemption prior to maturity at the option of the
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city on that date and on any interest payment date thereafter,
in inverse numerical orderj at the principal amount thereof plus
accrued interest to the date fixed for redemption and a premium
(expressed ~as a percentage of the face amount thereof) of 4% for
each certificate so redeemed on or prior to June l, 1981, 3%
for each certificate so redeemed thereafter and on or prior to
June l, 1985, 2% for each certificate so redeemed thereafter and
on or prior to June l, 1989~ and 1% for each certificate so redeemed
thereafter prior to maturity. Notice of the call of any
certificate for redemption shall be given not less than thirty (30)
days prior to the date fixed for redemption by registered mail to
the bank at which the certificates are payable and by the publication
of an appropriate notice one time in a financial newspaper or Journal
published in the City of New York~ New York, or Chicagoj Illinois.
If any certificate which is called for redemption is at the time of
such call registered as to principal~ thirty days notice of redemption
shall be given by registered mail to the registered holder at the
address shown on the registrar's registration books.~
Secti0~n _~. That said certificates shall be signed
by the Mayor of the city, attested by the City Clerk, and endorsed
by the City Attorney and shall have imprinted thereon a facsimile
of the corporate seal of the City of Delray Beach. The City Council
hereby authorizes the execution of said certificates with the
facsimiles of the official signature of the ~ Cit~ Clerk
and the City Attorney. Interest falling due on said certificates
on and prior to maturity shall be represented by coupons attached
to said certificates signed with the facsimile signatures of said
Mayor and City Clerk, who~ by the execution of the certificates~
shall adopt as and for their own proper signatures their facsimile
signatures appearing on said coupons. Said certificates shall be
registrable as to principal in the manner and with the effect set
forth in the next section hereof.
Section 4. That the certificates and the coupons
to be thereto attached and the endorsements to appear on the back
thereof shall be in substantially the following form:
(Form of Certificate)
UNITED STATES OF AMERICA
STATE OF FLORIDA
COUNTY OF PALM BEACH
CITY OF DELRAY BEACH
UTILITIES TAX REVENUE CERTIFICATE SERIES 1967
Number $5,000
The City of Delray Beach in Palm Beach County,
Florida, for value received hereby promises to pay to bearer, or if
this certificate is registered as to principal then to the registered
holder hereof, solely from the revenues hereinafter specified, the
sum of Five Thousand Dollars ($5,000) on the first day of June,
19,.. , and to pay, solely from said revenues, interest on said sum
until paid at the rate of per cent
(~%) per annum, payable June l, 1968, and semi-annually there-
after on the first days of June and December of each year, with
interest due on and prior to maturity hereof payable only upon
presentation and surrender of the annexed interest coupons as
they severally beoom~ due. Both principal hereof and interest
hereon are payable in lawful money of the United States of America
at The Chase Manhattan Bank (N.A.) in the City of New York, New
York.
Certificates mf· the issue of which this certificate
is one maturing after June l, 1978, are callable for redemption
prior to maturity at the option of the city on that date and on
any interest payment date thereafter, in inverse numerical order,
at the principal amount thereof plus accrued interest to the date
fixed for redemption and a premium (expressed as a percentage of
the face amount thereof) of 4% for each certificate so redeemed
on or prior to June l, 1981~ S% for each certificate so redeemed
thereafter and on or prior to June l~ 1985, 2% for each certificate
so redeemed thereafter and on or prior to June l, 1989, and 1% for
each certificate so redeemed thereafter prior to maturity. Notice
of the call of any certificate for redemption is to be given not
less than thirty (BO) days prior to the date fixed for redemption
by registered maii to the bank at which the ce~$~cates are payable
and by publication of a appropriate notice one time in a financial
newspaper or Journal published in the City of New York, New York,
or Chicago~ Illinois. If any certificate which is called for
redemption is at the time of such call registered as to principal,
thirty days notice of reden~ption shall be given by registered mail
to the registered holder at the address shown on the registrar's
registration books.
This certificate is one of an issue of $600,000
of like tenor and effect, except as to maturity (interest rates)
and option of redemption, issued pursuant to the Constitution and
Laws of Florida and a resolution adopted by the City Council
of said city on November 26~ 1962~ as supplemented by resolution
adopted on L, 1967, for the purpose of paying the
cost of the construction of works and improvements to prevent erosion
of beaches within said city, the construction of a municipal building
for the municipal court and Jail and other police administration
facilities in said city, including the acquisition of furniture
and eGuipment therefor, the construction of storm drainage
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facilities and the acquisition of rights of way therefor, the acqui-
sition and improvement of off-street parking lots, and the acquisi-
tion of street rights of way and in~rovement thereof, and including
the cost of acquisition of any lands or interests therein, and of
any fixtures, equipment or properties, either real or personal,
deemed necessary or desirable therefor, expenses for financial and
legal services or consultants, expenses for esti~a~$~ of costs,
expenses for plans, specifications and surveys, and paying all
expenses properly incident to the foregoing and properly incident
to the authorization and issuance of the certificates of which this
is one. For the specific provisions governing the issuance of the
certificates of which this is one, including the rights of the
city to issue additional obligations on a parity and to amend said
resolutions with the consent of the holders of seventy-five per
cent of all such certificates and parity obligations, reference is
hereby made to the aforementioned resolutions.
This certificate and the issue of which it is
a part are payable, together with certain outstanding Utilities Tax
Revenue Certificates~ Series 1962, and such obligations as may
in the future be issued on a parity therewith, solely, as to both
principal and interest, from the proceeds of the tax imposed by said
city on the purchase of certain utility services, including
electricity, bottled gas (natural or manufactured), and local
telephone service in said city, and it is provided in said resolu-
tions that, to the extent necesary to pay principal of and interest
on the certificates payable therefrom and to carry out the provisions
of said resolutions, said tax shall be levied and collected in the
largest amount now permitted by law and in such increased amount as
may hereafter become permissible, and that sai~ ta× es it is now
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being levied will not be repealed or decreased while any of such
certificates remain outstanding. This certificate~ including
interest hereon~ is payable solely from the proceeds of said
utilities tax and does not constitute an indebtedness of the City
of Delray Beach within the meaning of any constitutional, statutory
or charter provision or limitation~ however, the City of Delray
Beach has reserved the right to make any payment for the benefit
of the certificates of the issue of which this is one from any other
legally available source. It is expressly agreed by the holder
of this certificate that such holder shall never have the right
to require or compel the exercise of the ad valorem taxing power
of said city for the payment of the principal of or interest on
this certificate or the making of any sinking fund~ reBerve or other
payments provided for in the above deseribed resolution. It is
further agreed between said city and the holder of this certificate
that this certificate and the obligation evidenced thereby shall
not constitute a lien upon any property of or in the City of
Delray Beach but shall constitute a lien only on the reven~ee
hereinabove in this paragraph described.
Under the provisions of Section 1~5 of the charter of
said city, this certificate shall constitute a negotiable instru-
ment~ however~ this certificate may be registered as to principal
in accordance with the provisions endorsed hereon.
It is hereby certified and recited that all acts~
conditions and things required by the Constitution and Laws of
Florida and the charter of said city to happen~ exist~ and be
performed precedent to and in the issuance of this certificate
have happened, exist and have been performed as so required.
This certificate is one of an issue of certificates
which were validated by judgment of the Circuit Court of the
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Fifteenth Judicial Circuit of the State of Florida in and for
Palm Beach County rendered on · 1967.
IN WITNESS WHERF~ said City of Delray Beach has caused
this certificate to be signed by the Mayor of said city· attested
by its Clerk and approved by its City Attorney (the signatures of
said and City Attorney being by facsimile)·
and a facsimile of the corporate seal of said city to be imprinted
hereon, and has caused the interest coupons hereto attached to be
executed with the facsimile signatures of said Mayor and City Clerk,
all as of the first day of December, 1967.
Attest:
City Clerk
Approved as to form, language and execution.
(Form of Coupon)
Number .... $
On the first day of , 19
unless the hereinafter mentioned certificate is then subject to
redemption and has been called for redemption and provision for
the redemption thereof duly made, the City of Delray Beach,
Florida, will pay to bearer at The Chase Manhattan Bank (N.~.)
in the City of New York, New York· the amount shown hereon solely
from the special fund referred to in and for interest then due upon
its Utilities Tax Revenue Certificate, Series 1967, dated
December 1, 1967, and numbered
Mayor
Attest:
Clerk
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(Form of Registration Certificate)
The within certificate may be registered as to
principal on books kept by the City Clerk of the City of Delray
Beach, as Registrar~ upon presentation to such Registrar~ who shall
make notation of such registration in the registration blank below,
and this certificate may thereafter be transferred only upon
written assignment of the registered owner or his attorney thereunto
duly authorized or proved, such transfer to be made on such books
and endorsed thereon by the Registrar. If so registered, this
certificate may thereafter be transferred to bearer and thereby
transferability by delivery shall be restored but this certificate
shall ag&i~.~.be subject to successive registrations and transfers
as before. The principal of this certificate if registered,
unless registered to bearer, shall be payable only to the registered
owner or his legal representatives. Notwithstanding the registra-
tion of this certificate as to principal the coupons shall remain
payable to bearer and shall continue to be transferable by delivery.
Date of Signature of
Regist~ati~on___ Name of Re~istered ,O.wner Regis_trar~
$ '.
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Section 5. That from and after the issuance of
any of the certificates, and contin~m~ until the payment of all
certificates herein authorized as to principal and interest the
proceeds of the utilities tax shall continue to be pledged for the
prompt payment of principal of and interest on said certificates.
The certificates herein authorized shall be payable as to principal
and interest from the City of Delray Beach Utilities Tax
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Certificates Principal and Interest Redemption Fund (hereinafter
sometimes called the "Certificate Fund")~ established by the 1962
certificate resolution. Said fund shall continue to be kept and
maintained as provided in said 196R certificate resolution so long
as any of the certificates herein authorized remains outstanding.
Payments into the Reserve Fund created by said 1962
certificate resolution on account of the certificates herein
authorized shall be made monthly at the rate of 9600 per month
or such higher rate as may be necessary until the amount in said
fund shall equal $109,680 or, if greater, the highest furze annual
principal and interest requirement of all 1962 certificates and
certificates herein authorized then outstanding, w~e~ever~a
deficiency in such payments shall occur or whenever the amount
in the Reserve Fund falls below the amount then required to be in
said fund, such deficiency shall be made up from all money in the
Utilities Tax Revenue Fund which is not required for payments
into the Certificate Fund.
Section 6. That all covenants contained in Sections 5~
6 and 7 of the 196~ certificate resolution shall apply with like
force and effect for the benefit of the holders of the certificates
herein authorized, which shall in all respects be deemed to carry
all of the rights and privileges granted to the holders of the
Utilities Tax Revenue Certificates, Series 1962.
The certificates herein authorized may be refunded
in the manner provided in paragraph number i of said Section 7
of the 1962 certificate resolution and subject to the restrictions
therein contained.
Additional parity certificates may be issued in
accordance with paragraph number 2 of said Section 7 of said
1962 certificate resolution.
Section 7. That the provisions of this resolution and
the 1962 certificate resolution shall constitute a contract between
the city and the holder or holders of the certificates from time
to time, which shall not be subject to change, variation or
alteration and which may be enforced by any holder of the certifi-
cates or any part thereof by appropriate action in any court of
competent Jurisdiction, except that the 1962 certificate resolution
may be amended with the consent of the holders of seventy-five per
cent (75%) in principal amount of the 1962 certificates,
the certificates herein authorized and any future parity certificates
as p~ovided in Section 8 of said 1962 certificate resolution, and
this resolution may be amended with the consent of the holders of
seventy-five per cent (75%) in principal amount of the certificates
herein authorized (such consent to be evidenced as provided in
said Section 8 of the 1962 certificate resolution).
Section 8. That the certificates herein authorized
shall be sold at one time or in blocks from time to time, pursuant
to resolution to be hereafter adopted by the City Council. So much
of the proceeds of sale as represents accrued interest and premium
if any shall at the time of the delivery of the certificates to the
purchaser be paid into the Certificate Fund. So much of the
remainder of the proceeds of sale as is not required for the payment
of incidental fiscal, legal and engineering expenses which are due
and owing at the time of the issuance of the certificates shall
be deposited in a special trust account in a bank or banks in the
City of Delray Beach, Florida. Said bank or bar~s shall hold and
dispose of said proceeds in accordance with the terms of a letter
which shall be directed to said bank or banks and executed by the
Mayor and City Clerk of the City of Delray Beach.
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Section 9. That John Ross Adams, as attorney for the
city, is hereby authorized and directed to take appropriate pro-
ceedings in the Circuit Court of the Fifteenth Judicial Circuit
of Florida, in and for Palm Beach County, for the validation of
said certificates, and the Mayor and City Clerk are autho~ized to
sign any pleadings in such proceedings for and in behalf of the
City Council of the City of Delray Beach.
Section 10. That if any section, paragraph, clause
or provision of this resolution or the application of any of the
pledged revenue to the payment of principal of and interest on the
certificates shall be held to be invalid or ~forceable for any
reason, the invalidity or ~orceability of such section,
paragraph, clause or provision or of the application of such
pledged revenue to the payment of such principal and interest,
shall not affect any of the remaining provisions of this resolution,
or the application of the remainder of such pledged revenue to the
payment of such principal and interest.
Section ll. That all resolutions and orders, or parts
thereof, in conflict herewith ~re, to the extent of such conflict,
hereby repealed, and this resolution shall take immediate effect.
Adopted and aopproved ~0ctober 30th , 1967.
~ MayOr
Atte~~ / ~ ~
C y~ Cl r" ~
The foregoing resolution and the forms of certificate
and interest coupon therein contained are hereby approved by me
as to form, language and execution this 30--~day of ~~ ,
(Other business not pertinent to the above appears
in the minutes of the meeting.)~
Pursuant to motion duly made and carried the City
Council adJ cultured.
STATE OF FLORIDA
COUNTY OF PALM BEACH
I, Robert D. Worthing , do hereby certify
that I am the duly qualified and acting City Clerk of the City
of Delray Beach, Palm Beach County, Florida.
I further certify that the above and forgoing
constitutes a true and correct copy of the minutes of a meeting
Of the City Council of said city held on 0c.tober 30th~
1967, and of a resolution adopted at said meeting, as said minutes
and resolution are officially of record in my possession.
IN WITNESS WHEREOF, I have hereunto subscribed my
official signature and impressed hereon the official seal of the
City of Delray Beach this 31st day of October 1967.
MWM:bls
10/13/67 -16-