Res 1472-64 RESOLUTION NO. 1472.
A RESOLUTION AUTHORIZING THE EXECUTION
OF AN ESCROW DEPOSIT AGRE~24ENT BETWEEN
THE CITY OF DELRAY BEACH, FLORIDA, AND
THE CHASE MANHATTAN BANK, NEW YORK CITY,
NEW YORK.
WHEREAS, the City of Delray Beach, Florida, has, pursu-
ant to a resolution duly adopted by its City Council, authorized
the issuance of $1,550,000 Water and Sewer Revenue Refunding Bonds
of said City, dated December l, 1963, for the purpose of refunding,
paying and redeeming the outstanding $1,264,000 Water Revenue
Certificates, Series 1957, dated June l, 1957 (hereinafter some-
times called the "Outstanding 1957 Certificates") heretofore issued
by said City; and
WHEREAS, said resolution further provides for the crea-
tion of an Outstanding Certificates Redemption Fund for said Out-
standing 1957 Certificates which fund is to be held under an Escrow
Deposit Agreement with The Chase Manhattan Bank, New York City,
New York; and
WHEREAS, said Outstanding 1957 Certificates are not re-
deemable until June l, 1968, and it is deemed to be in the best
interests of the City to deposit in said Outstanding Certificates
Redemption Fund, from the proceeds of the sale of said $1,550,000
Water and Sewer Revenue Refunding Bonds, dated December l, 1963,
sufficient funds to provide for the payment of the principal of
and interest on said Outstanding 1957 Certificates, as the same
mature and become due to and including June l, 1968, together
with an amount sufficient to pay on June l, 1968, the principal
of and redemption premiums on said Outstanding 1957 Certificates
which mature after June l, 1968; now, therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DELRAY
BEACH, FLORIDA:
Section 1. That pursuant to said resolution, an Escrow
Deposit Agreement shall be entered into by and between the City of
Delray Beach, Florida, and The Chase Manhattan Bank, New York City,
New York.
Section 2. That said Escrow Deposit Agreement shall be
executed in the name of and on behalf of the City of Delray Beach,
by the Mayor of said City, and the corporate seal of the City
shall be impressed thereon and attested thereto by the City Clerk,
and said officials be and they are hereby authorized to execute
and deliver said Escrow Deposit Agreement without further authority
from this City Council.
Section 3. That said Escrow Deposit Agreement shall be
in substantially the following form:
Section 4. The Escrow Agent shall promptly after the
delivery of the $1,550,000 Water and Sewer Revenue Refunding Bonds,
publish a notice in the name of the City calling for redemption of
said Outstanding 1957 Certificates, which mature after June l, 1968,
for prior redemption an~ payment on June l, 1968, an~ shall again
publish such notice at least once not more than sixty (60) days and
not less than thirty (30) days prior to the date of Redemption. Both
of such publications shall be made in a financial newspaper publ~hed
in the City of New York, New York.
Said notice'of prior redemption of all of said Outstanding
1957 Certificates maturing after June l, 1968, shall be in substan-
tially the following form:
NOTICE OF REDEMPTION
CITY OF DELRAY BEACH, FLORIDA
WATER REVENUE CERTIFICATES
DATED JUNE l, 1957
NOTICE IS HEREBY GIVEN that all of the outstanding Water
Revenue Certificates, Series 1957, of the City of Delray Beach,
Florida, dated June l, 1957, which mature after June l, 1968, in the
aggregate principal amount of One Million One Hundred Forty-Four
Thousand Dollars ($1,144,000) and are redeemable on June l, 1968,
the option of the City, at the principal amount thereof, together
with the interest accrued thereon to the date fixed for redemption,
plus a premium of three per centum (3%) of such principal amount if
redeemed on June l, 1968, have been called for prior redemption on
June l, 1968. Said Water Revenue Certificates, Series 1957, are
numbered, mature on June i in the years and amounts and bear
interest at the rates per annum as follows:
Certificate Numbers Principal Interest Rate
(Inclusive) Year Amount Per Annum
235 to 262 1969 $28,000 4 1/26
263 to 291 1970 29,000 4 1/26
292 to 321 1971 30,000 4 1/2~
322 to 352 1972 31,000 4 1/26
353 to 385 1973 33,000 4 1/2~
386 to 419 1974 34,000 4 1/2~
420 to 455 1975 36,000 4 1/2~
456 to 492 1976 37,000 4 1/2%
493 to 531 1977 39,000 4 1/2%
532 to 572 1978 41,000 4 1/2%
573 to 614 1979 42,000 4 1/2%
615 to 658 1980 44,000 4 1/2%
659 to 704 1981 46,000 4 1/2%
705 to 753 1982 49,000 4 1/2%
754 to 804 1983 51,000 4 1/2%
805 to 857 1984 53,000 4 1/2%
858 to 913 1985 56,000 4 1/2%
914 to 971 1986 58,000 4 1/2%
972 to 1032 1987 61,000 4 1/2%
1033 to 1095 1988 63,000 4 1/2%
1096 to ll61 1989 66,000 4.60%
1162 to 1230 1990 69,000 4.60%
1231 to 1302 1991 72,000 4.60%
1303 to 1378 1992 76,000 4.60%
?ayment of the principal amount of said bonds, plus the
redemption premium of three per centum (~$) of such principal amount
will be made on or after said redemption date of June 1, 1968, upon
the presentation of said Certificates, accompanied by all coupons
maturing after said redemption date, at The Chase r~Ianhattsaa Bank,
in the Bo~ough of Manhattan, City and State of New York. Interest
on said Certificates maturing on or prior to said redemption date
will be paid in the usual manner. Interest on said Certificates will
cease to accrue from and after said redemption ~ate.
Dated at Delray Beach, Florida, this day of January,
196~.
CITY OF DELRAY BEACH, FLORIDA
By
City Clerk
ESCROW DEPOSIT AGREEMENT
WHEREAS, the City of Delray Beach, Florida, by resolution
duly adopted, authorized, issued and sold $1,378,000 Water Revenue
Certificates, Series 1957, dated June 1, 1957, of which the principal
sum of $1,264,000 are now outstanding and mature on June 1 in the
years 1964 to 1992, inclusive, (hereinafter called the "Outstanding
1957 Certificates");
WHEREAS, said Outstanding 1957 Certificates, maturing in the
years 1969 to 1992, inclusive, are redeemable prior to maturity on
June 1, 1968, at the redemption price and under the terms and condi-
tions provided in the resolution which authorized their issuance; and
WHEREAS, the City has pursuant to a resolution duly adopted
by its City Council authorized the issuance of $1,550,000 Water and
Sewer Revenue Refunding Bonds, of said City, dated December 1, 1963
(hereinafter called the "Resolution") for the purpose of refunding said
Outstanding 1957 Certificates'and provided for the deposit in escrow
from the proceeds of said $1,550,000 Water and Sewer Revenue Refunding
Bonds sufficient moneys to pay the principal of and interest on said
Outstanding 1957 Certificates as the same mature and become due to and
including June 1, 1968, together with an amount sufficient to pay on
June 1, 1968, the principal of and redemption premiums on said Out-
standing 1957 Certificates which mature after June 1, 1968; now,
therefore,
IT IS HEREBY AGREED, by and between the City of Delray Beach,
Florida, a municipal corporation of the State of Florida (hereinafter
sometimes called the "City"), and The Chase Manhattan Bank, a banking
corporation duly organized and existing under the laws of the State
of New York, having its principal office in the city of New York, State
of New York (herein sometimes called the "Escrow Agent"), as follows:
Section 1. There is hereby created and established a
special, segregated and irrevocable trust fund, to be held by the Escrow
Agent, which fund is hereby designated the "Outstanding Certificates
Redemption Fund." Said fund shall consist of such proceeds of the sale
of said $1,550,000 Water and Sewer Revenue Refunding Bonds, which
will be sufficient to pay the principal of and interest on the Out-
standing 1957 Certificates which will mature and become due to and
including June 1, 1968, and the principal and redemption premiums on
said Outstanding 1957 Certificates which mature after June 1, 1968,
on the redemption thereof on June 1, 1968, as all provided in Section
3.01 (B) of said Resolution. The amount so required is $ ~-~~-~
and shall be applied by the Escrow Agent in accordance with Exhibit A
attached hereto and made a part hereof.
Ail moneys so deposited with the Escrow Agent shall be held
in trust and used and applied only for the payment of the principal of
and interest on the Outstanding 1957 Certificates as the same mature
and become due to and including June 1, 1968 and for the payment of the
principal of and redemption premiums on said Outstanding 1957 Certifi-
cates maturing after June 1, 1968, which are to be redeemed on June 1,
1968.
Section 2. The Outstanding 1957 Certificates to be retired
and redeemed from the moneys on deposit in said "Outstanding Certifi-
cates Redemption Fund", created and established by this Agreement and
held by the Escrow Agent, are further described as follows:
$1,264,000 - WATER REVENUE CERTIFICATES, dated
June 1, 1957, in the denomination
of $1,000 each, numbered, bearing
interest (payable semi-annually on
June 1 and December 1) at the rates
per annum, and maturing on June 1 of
each year, in the years and amounts
as follows:
Certificate Numbers Principal Interest Rate
(Inclusive) Year Amount Per Annum
115 to 136 1964 $22,000 5 1/25
137 to 159 1965 23,000 5 1/25
160 to 183 1966 24,000 5 1/25
184 to 208 1967 25,000 5 1/25
209 to 234 1968 26,000 5 1/25
235 to 262 1969 28,000 4 1/25
263 to 291 1970 29,000 4 1/25
~92 to 321 1971 30,000 4 1/2 5
322 to 352 1972 31,000 4 1/25
353 to 385 197~ 33,000 4 1/25
386 to 419 1974 34,000 4 1/25
420 to 455 1975 36,000 4 1/25
456 to 492 1976 37,000 4 1/25
493 to 531 1977 39,000 4 1/25
532 to 572 1978 41,000 4 1/~
Certificate Numbers Principal Interest Rate
( Inclusive) Yea___E Amount Per Annum
573 to 61~ 1979 $42,000
615 to 65 1980 44,000
659 to 704 1981 46,000 4 1~2~
705 to 753 1982 49,000 4 1~2!
754 to 804 1983 51,000
805 to 857 1984 53,000 4 1~2,
858 to 913 1985 56,0004 1/~
to ,000
to .0o0
1033 to 1095 1988 63,000 1 2~
1096 to 1161 1989 66,000 4.60~
1162 to 1230 1990 69,000 4.60%
1231 to 1302 1991 72,000 4.60~
1303 to 1378 1992 76,000 4.60%
Section 3. Ail of the moneys in the Outstanding Certificates
Redemption Fund shall be invested by the Escrow Agent at the direction
of the City In direct obligations of the Unfted States of America which
shall mature or shall be liquidated by the Escrow Agent not later than
15 days prtor to the dates upon which such moneys will be needed to pay
the principal of and interest on the 0utstandfng 1957 Certificates as
the same mature and become due to and including June 1, 1968 and to pay,
on June 1, 1968, the prinofpal of and redemption premtums on the Out-
standtng 1957 Certificates which mature after June 1, 1968; provided,
however, that any interest income or proffts on said investments realiz-
ed in cash to the extent not required for payment, on the next ensuing
due dates of princlpal, interest, and premiums on the Outstanding 1957
Certificates, shall be transferred by the Escrow Agent to the City for
deposit into the Bond Fund created pursuant to the Resolution, within
ten (10) days of receipt of such interest Income or profits.
Any moneys remainfng in the Outstanding Certificates Redemp-
tion Fund after the final payment of all principal of and interest and
redemption premiums on the 0utstandfng 1957 Certificates on the
maturity or prfor redemption thereof or the reservation In the Out-
standing Certificates Redemption Fund of sufficient funds for such pur-
poses shall be returned by the Trustee to the City for deposit (1) in
the Bond Fund referred to in the Resolutfon, to the extent necessary to
make the sum on deposit therein equal to the maximum amount required to
be on deposit therein and (2) the balance, if any, to the Renewal and
Replacement Fund created pursuant to said Resolution.
Section 4. The Escrow Agent shall promptly after the
delivery of the $1,550,000 Water and Sewer Revenue Refunding Bonds
publish a notice in the name of the City calling said Outstanding
1957 Certificates, which mature after June 1, 1968, for prior
redemption and payment on June 1, 1968, and shall again publish
said notice at least once not more than sixty (60) days and not
less than thirty (30) days prior to such date of redemption. Both
of such publications shall be made in a financial newspaper published
in the City of New York, New York.
Section 5. Upon making payment for any of said Outstand-
ing 1957 Certificates listed above, the Escrow Agent shall cancel
each of such Outstanding 1957 Certificat~ and coupons appertaining
thereto and shall return such cancelled Outstanding 1957 Certificates
and coupons to the City Clerk of said City.
Section 6o The Escrow Agent may construe any of the pro-
visions of this Agreement as they may appear to it to be ambiguous
or inconsistent with any other provisions hereof; and any construc-
tion of any such provision hereof by the Trustee, in good faith,
shall be binding on the parties hereto, q~ae Escrow Agent shall not
be liable for any loss upon any of the investments held by the Escrow
Agent. If in the performance of any action or duty by the Escrow
Agent under this Agreement in good faith without negligence, the
Escrow Agent shall make any expenditures, whether arising as a
result of payments by the Escrow Agent for expenses or costs
incurred hereunder or for claims, demands, losses or litigation
against the Escrow Agent in its capacity as agent hereunder, the
City shall reimburse the Escrow Agent for all such expenditures.
Section 7. The trusts hereby created shall be irrevo-
cable and the holders of said Outstanding 1957 Certificates shall
have an express lien on all moneys in said Outstanding Certificates
Redemption Fund until paid out, used and applied in accordance with
this Agreement.
Section 8. In consideration of the services rendered by
the Escrow Agent under this Agreement, the City agrees to and shall
pay to the Escrow Agent hereunder its proper fees and expenses; but
the Escrow Agent shall have no lien upon any of the moneys in said
Outstanding Certificates Redemption Fund for such proper fees and
expenses.
Section 9. Ail recitals herein, except those relating to
the due organization of the Escrow Agent, are made by the City, and
the Escrow Agent shall have no responsibility or liability whatsoever
for (I) any of the recitals herein, except those relating to its own
due organization, (II) the performance of and/or compliance with any
covenant, condition or provision of said Resolution, and (III) any
undertaking or statement of the City hereunder or under any other
resolution or agreement or instruments.
The Escrow Agent shall act as agent for the City under
this Agreement and shall hold all moneys hereunder in trust for
the benefit of the holders of said Outstanding 1957 Certificates,
as herein provided. In the performance by the Escrow Agent of its
duties as agent hereunder the Escrow Agent shall take and perform
only such actions as are specifically provided to be taken or performed
by the express provisions of this Agreement and the Escrow Agent
shall have no implied actions or duties hereunder.
IN WITNESS WHEREOF, THE CITY OF DELRAY BEACH, FLORIDA, has
caused this Agreement to be executed in its name and behalf by its
Mayor, and the corporate seal of said City to be impressed hereon
and attested by its City Clerk, and The Chase Manhattan Bank has
caused this Agreement to be executed in its name and behalf by its
, and its corporate seal to be impressed
hereon and attested by its , all as of the
day of , 1964.
CITY OF DELRAY BEACH, FLORIDA
(SEAL)
By
Mayor
City' Clerk
(SEAL)
Inte re st Principal Premium
Due Due Due Tot al
Dec. 1964 20~ 576.50 28,576.50
June 1965 20,576.50 27,000 51,576.50
Dec ~06~ o~ 9/4i.~ 00
June 1965 27, 9~i-% .00 ~4-,000 ;;~ o;,L~.O0
Dec. 19~6 27,23~i-.00 2'[,28ZI-.00
sune 1~7 27, 23~ .0o 2~;, o0o 52, e8~ .o0
~ec. !9~7 2~, 596.50 26,596.50
June 19oo ~6,~o.~)0 26,000 5~,596.50
June 1968 t, lA,J4,000 ~4,)20 1, t75,]~20.00
Total Amount required [~1,5L~$.])03 .~]0
Section 5. That this resolution shall take effect
immediately.
Passed and adopted this 2~th d~y o~ January, 1964.
MAYOR
ATTEST:
City C~~-~~~
STATE OF FLORIDA )
)
COUNTY OF PALM BEACH )
I, R. 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 foregoing constitutes
a true and correct copy of the minutes of a meeting of the City
Council of said city held on January 27, 1964, and of a reso-
lution 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 27th day_of January, 1964.
C~t~
(SEAL)