HomeMy WebLinkAboutR-85-54A RESOLUTION PROVIDING FOR THE NEGOTIATED
SALE AND ISSUANCE OF CITY OF SEBASTIAN,
FLORIDA, GOLF COURSE REVENUE BONDS,
SERIES 1985, PURSUANT TO RESOLUTION R-85-
44, FOR THE PURPOSE OF ADVANCE REFUNDING
AND RETIRING THE CITY'S GOLF COURSE
REVENUE BOND ANTICIPATION NOTES, SERIES
1981, FUNDING THE RESERVE ACCOUNT, PAYING
EXPENSES OF ISSUING SUCH BONDS AND PAYING
THE COST OF CAPITAL IMPROVEMENTS TO TF~
MUNICIPAL GOLF COURSE; AUTHORIZING A
PURCHASE CONTRACT FOR THE SALE OF SUCH
BONDS AND AWARDING THE BONDS TO THE
UNDERWRITER; PROVIDING FOR THE TERMS OF
SUCH BONDS; APPOINTING FLORIDA NATIONAL
BANK, AS REGISTRAR, AUTHENTICATING AGENT
AND PAYING AGENT FOR SUCH BONDS;
PROVIDING FOR THE USE OF PROCEEDS OF SUCH
BONDS; AUTHORIZING AN ESCROW DEPOSIT
AGREEMENT FOR THE REFUNDING OF THE
AFORESAID NOTES; MAKING CERTAIN OTHER
COVENANTS AND AGREEMENTS; APPROVING AND
AUTHORIZING THE EXECUTION OF CERTAIN
DOCUMENTS IN CONNECTION THEREWITH; AND
PROVIDING SEVER~ILITY, CONFLICTS AND
EFFECTIVE DATE.
BE IT RESOLVED BY THE CITY COUNCIL OF THE ~CITY OF SEBASTIAN, FLORIDA,
SECTION 1. Recitals.
WHEREAS, on August 7,~ 1985, the City Council of the City of
Sebastian, Florida, duly adopted Resolution R-85-44 (the "Bond Resolution").
WHEREAS, the Bond Resolution authorizes the issuance by the City of
Sebastian (the "Issuer") of the Issuer's City of Sebastian, Florida, Golf
Course Revenue Bonds, Series 1985 ("Series 1985 Bonds") primarily for the
purpose of advancing refunding and retiring the Notes (as that term is defined
on the Bond Resolution) and paying the costs of certain capital improvements
to the Facilities (as that term is defined in the Bond Resolution); and
WI{EREAS, it is now desirable to
the Series 1985 Bonds and to provide for
thereof.
provide for the sale and issuance of
the use of the proceeds of the sale
SECTION 2. Definitions. All capitalized terms used herein, which
are not defined herein, shall have the meanings specified in the Bond
Resolution, unless the context otherwise requires. The terms "Bonds" and
"Series 1985 Bonds' mean the series of the bonds authorized by Section 6.01 of
the Bond Resolution, being the bonds described in Section 5 hereof and i~ the
Purchase Contract, and which are to be sold and issued as herein provided.
SECTION 3. Authority for This Resolution. This Resolution is
adopted pursuant to the provisions of the Bond Resolution and the Act and is a
resolution supplemental to the Bond Resolution.
SECTION 4. Findings.
declared that:
It is hereby ascertained, determined and
The findings contained in Article III of the Bond Resolution are
true and correct as of the date hereof.
The Issuer has heretofore issued the Notes and now desires to
issue the Series 1985 Bonds primarily (a) to advance refund all
Notes in order (i) to terminate the lien on all of the Issuer's
non-ad valorem tax revenues granted to the holders thereof as
security therefor, (ii) to eliminate the covenants of the Issuer
made for the benefit of the Holders of the Notes and (b) to pay
the cost of additional capital improvements to the Facilities.
In order to provide a portion of the funds needed to advance
refund the Notes, to pay the costs of issuing the Series 1985
Bonds, to provide a portion of the moneys needed to fund the
Reserve Account created by the Bond Resolution and to pay costs
of certain capital improvements to the Facilities, it is
necessary, desirable and in the public interest for the Issuer
to issue and sell the Series 1985 Bonds in an aggregate
principal amount of $2,005,000;
Due to the volatility of the municipal bond market and the need
to issue and sell the Series 1985 Bonds at the earliest possible
time, it is necessary and desirable to sell the Series 1985
Bonds in a negotiated sale; the Issuer has entered into
negotiations for the sale of the Series 1985 Bonds to Arch W.
Roberts & Co. (the "Underwriter") which negotiations have
resulted in the preparation and submission by the Underwriter of
the proposed Purchase Contract between the Issuer and the
Underwriter (the "Purchase Contract") presented to this mee~ing
for approval; the terms for the purchase of the Series 1985
Bonds set forth in the Purchase Contract are fair and reasonable
and it is desirable for the Series 1985 Bonds to be awarded and
sold to the Underwriter pursuant to the terms of the Purchase
Contract;
The sale and issuance of
the proceeds thereof as
and municipal purpose.
the Series 1985 Bonds and the use of
herein provided serves a proper public
The Pledged Revenues are expected to be sufficient to pay the
Series 1985 Bonds and Bond Service Charges thereon, as the same
shall be come due and payable.
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SECTION~5. Issuance and Terms of Series 1985 Bonds. The Series 1985
Bonds shall be issued in substantially the form contained in Section 6.18 of
the Bond Resolution, with such insertions, deletions and modifications as
shall be necessary to reflect the provisions of the Series 1985 Bonds as set
forth herein and in the Purchase Contract, all
officials of the Issuer executing the same.
contain the terms described in Section 6.02
supplemented hereby and by the Purchase Contract.
be entitled "City of Sebastian, Florida Golf
1985."
as shall be approved by the
The Series 1985 Bonds shall
of the Bond Resolution as
Each Series 1985 Bond shall
Course Revenue Bond, Series
The Series 1985 Bonds shall be issued in the aggregate principal
amount of $2,005,000, as specified in the Purchase Contract.
The Series 1985 Bonds shall be dated October 1, 1985, shall have the
maturities and shall bear interest at the rates per annum specified in the
Purchase Contract. Interest thereon shall be payable on April 1, 1986 and
semiannually thereafter on October 1 and April 1 of each year by check or
draft of the Paying Agent made out to, and mailed on each interest payment
date to, the persons who were the registered owners thereof, as sho~rn in the
registration books of the City, on the fifteenth day of the month prior to
such interest payment date at the addresses of such persons recorded on such
registration books. Principal of the Series 1985 Bonds will be payable at
maturity or upon redemption at the principal corporate trust office of the
Paying Agent. The Series 1985 Bonds shall be issued in fully registered form.
The Series 1985 Bonds shall be subject to redemption prior to maturity as
provided in the Purchase Contract and shall have such other terms as set forth
in the Purchase Contract and Exhibits thereto. The terms of the Series 1985
Bonds set forth in the Purchase Contract and Exhibits thereto are incorporated
herein by this reference. The principal amount ofany Series 1985 Bonds which
are required to be called in any Fiscal Year for mandatory redemption prior to
their stated maturity date ("Term Bonds") on October I ~of the next Fiscal Year
shall be paid with an annual Amortization Installment the full amount of
which:
(a) shall be equal to the principal amount of Term Bonds to be so
redeemed on such October 1, and
(b)
shall be on deposit for that purpose in the Debt Service Account
not later than the September 30 immediately preceding each such
October I mandatory redemption date. The Issuer shall deposit
such Amortization Installment in the Debt Service Account in
monthly increments as provided in Section 8.05(a)(x) of the Bond
Resolution.
The Series 1985 Bonds are to be issued under and pursuant to the
provisions of the Bond Resolution and this supplemental resolution and shall
be payable from and secured by the Pledged Revenues as provided in the Bond
Resolution. The Series 1985 Bonds are to be insured by a policy of municipal
bond insurance issued by the Municipal Bond Insurance Association ("MBIA").
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The Series 1985 Bonds shall be issued in denominations of $5,000 or
integral multip~s thereof and shall be numbered consecutively from 1, upward.
The Series 1985 Bonds shall not be deemed to constitute a debt or a
pledge of the faith and credit of the Issuer or of the State of Florida or any
political subdivision thereof within the meaning of any constitutional,
legislative or charter provision or limitation and the registered owners of
the Series 1985 Bonds shall never have the right, directly or indirectly, to
require or compel the exercise of the ad valorem taxing power of the Issuer or
any other political subdivision of the State of Florida or taxation in any
form on any real or personal property for the payment of the principal of any
interest on the Series 1985 Bonds or for the payment of any other amounts
provided In the Bond Resolution or this supplemental resolution.
SECTION 6. Execution of Series 1985 Bonds. The Series 1985 Bonds
are hereby authorized to be executed by the manual or facsimile signature of
the Mayor and attested by the manual or facsimile signature of the City Clerk
of the Issuer and authenticated by the manual signature of and authorized
signer for the Authenticating Agent. In case any officer of the Issuer whose
signature (or a facsimile of whose signature) shall appear on any Series 1985
Bond shall cease to be such officer before the issuance of such Series 1985
Bond, that signature or facsimile shall nevertheless be valid and sufficient
for all purposes, the same as if that officer had remained in office until
that time.
SECTION 7. Appointment of Registrar, Authenticating Agent and Payin~
~. Florida National Bank, St. Petersburg, Florida, is hereby appointed as
Registrar, Authenticating Agent and Paying Agent for the Series 1985 Bonds,
and the Mayor is hereby authorized to execute and deliver and the City Clerk
is authorized to attest one or more contracts with Florida National Bank,
employing it to provide services in such capacities and providing for the
payment of its fees and expenses.
SECTION 8. Use of Proceeds of Series 1985 Bonds and Ot.~e~_.M0neys.
At the time of issuance of the Series 1985 Bonds, all moneys held in funds and
accounts pursuant to the Trust Indenture under which the Notes were issued
(the "Indenture") together with the net proceeds received by the Issuer from
the sale of the Series 1985 Bonds shall be applied as follows:
(a)
Amounts on deposit in the
shall be credited to the
Bond Resolution; and
Revenue Fund created by the Indenture
General Revenue Account created by the
(b)
Amounts on deposit in the Operation and Maintenance Fund crea~ed
by the Indenture shall be credited to the Operation and
Maintenance Account created by the Bond Resolution; and
(c)
Amounts on deposit in the
Indenture shall be deposited
the Bond Resolution; and
Reserve Account created by the
in the Reserve Account created by
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(d)
(e)
(f)
Amounts on deposit in the Sinking Fund created under the
"i~enture shall be deposited in the Escrow Fund created by the
Escrow Deposit Agreement authorized'hereby; and
Amounts on deposit in the Renewal and Replacement Fund created
by the Indenture shall be credited to the Renewal and
Replacement Fund created by the Bond Resolution; and
Amounts on deposit in the Operating Reserve Account created by
the Indenture shall be deposited in the Operating and
Maintenance Reserve Subaccount created by the Bond Resolution;
and
(g)
Accrued interest, if any, to be received from the sale of the
Series 1985 Bonds shall be deposited in the Debt Service Account
created by the Bond Resolution; and
(h)
There shall be immediately deposited in the Reserve Account
created by the Bond Resolution an amount of the proceeds of the
Series 1985 Bonds sufficient to cause the amount thereof to be
equal to the Maximum Bond Service Requirement attributable to
the Series 1985 Bonds (after taking into account amounts
deposited therein as above provided); and
(i)
There shall be deposited in an Escrow Account to be held by NCNB
National Bank of Florida, Tampa, Florida, as trustee under the
Indenture and as Escrow Agent under the Escrow Deposit Agreement
referred to in Section 9 hereof, an amount which (after taking
into account amounts deposited therein as above provided) is
necessary to comply with the Refunding Plan (hereinafter
described) for the Notes; and
(j)
The balance of the proceeds of the Series 1985 Bonds shall
immediately be credited to the Construction Account created by
the Bond Resolution and used:
(l)
to pay the premium for
insuring the payment
Series 1985 Bonds;
the municipal bond insurance policy
of principal and interest on the
(ii) to pay expenses of issuing the Series 1985 Bonds; and
(iii)
to the extent of such moneys, to pay the cost of making
capital improvements to the Facilities described in the
Market Study and Financial Feasibility Study prepared by
Charles F. Ankrom, Inc. and other capital improvements
thereto.
SECTION 9. Authorization of Refunding of Existing Obligations.
(a) Refunding Plan for Notes.' Contemporaneously with the issuance
of the Series 1985 Bonds there shall be deposited irrevocably in
the Escrow Account created by the Escrow Deposit Agreement
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between the Issuer and NCNB National Bank of Florida as Escrow
Agent, an amount sufficient to permit such Escrow Agent to
purchase, for the Escrow Account, the Federal Securities and to
provide any additional cash to be held uninvested in the Escrow
Account, as shall be necessary to cause the Notes to be defeased
in the manner required by the Indenture; the amount so deposited
shall be invested, held and used as provided in the Escrow
Deposit Agreement.
(b)
Execution of Escrow Deposi~...~greement. The Mayor of the Issuer
is hereby authorized and directed to execute and deliver and the
City Clerk is hereby authorized and directed to attest the
Escrow Deposit Agreement, in the substantial form presented to
this meeting with such changes as may be required by Squire,
Sanders & Dempsey, as bond counsel to the Issuer, and approved
by the officials of the Issuer executing the same, which
approval shall be evidenced by their execution thereof.
SECTION 10. Award of the Series 1985 Bonds. The Series 1985 Bonds
are hereby awarded and sold to the Underwriter at the price and upon the terms
and conditions set forth in the Purchase Contract. The Purchase Contract is
hereby approved. The Mayor of the Issuer is hereby authorized to execute and
deliver and th~ City Clerk is hereby authorized and directed to attest the
Purchase Contract in substantially the form presented to this meeting.
SECTION 11. Preliminar~ Official Statement and Official Statement.
The distribution and use of the final Official Statement with respect to the
Series 1985 Bonds, in substantially the form of the Preliminary Official
Statement, dated September 20, 1985, presented to this meeting, with such
changes as are necessary to conform to this Resolution and the Purchase
Contract and Exhibits thereto and such other chapges as are approved by the
official executing the same, is hereby authorizsd. The Mayor and Director of
Finance are hereby authorized and directed to execute the final Official
Statement. The use and distribution of the aforesaid Preliminary Official
Statement is hereby approved and ratified.
SECTION 12. Actions of Officers and Officials. Ail actions of
officers and officials of the Issuer taken in conformity with the purposes and
intent of the Bond Resolution and this supplemental resolution and in
furtherance of the issuance and sale of the Series 1985 Bonds are hereby
approved and confirmed. The proper officers and officials of the Issuer are
hereby authorized and directed to take such further actions in conformity with
the purposes and intent of the Bond Resolution and this supplemental
resolution and in furtherance of the issuance and sale of the Series 1985
Bonds as may be necessary or desirable. Such officers and officials of the
Issuer as may be requested by Squire, Sanders & Dempsey, as bond counsel, are
hereby authorized and directed to execute appropriate certificates setting
forth such information relating to the Issuer and the activities and finances
of the Issuer and the Series 1985 Bonds including, but not limited to, the
expected use and lnvestmeat of the proceeds of the Series 1985 Bonds in order
to show that such expected use and investment will not violate the provisions
of Section 103(c) of the Code applicable to "arbitrage bonds.' Such
certificates shall be in such form as may be requested by such bond counsel.
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SECTI(R~13. Compliance with Open Meetiug Law. It is found and
determined that all formal actions of the City Council of the Issuer
concerning and relating to the adoption of the Bond Resolution and this
supplemental resolution were taken in an open meeting of the City Council, and
that all deliberations of the City Council and of any of its committees that
resulted in those formal actions were in meetings open to the public, in
compliance with all legal requirements, including Sections 286.011 and
189.005, Florida Statutes.
SECTION 14. Severable. In case any section or provision of this
resolution, or any covenant, agreement, stipulation, obligation, act or
action, or part thereof, made, assumed, entered into or taken under this
resolution, or any application thereof, is held to be illegal or invalid for
any reason, or is inoperable at any time, that illegality, invalidity or
inoperability shall not affect the re~ainder thereof or any other section or
provision of this resolution all of which shall be construed and enforced at
the time as if the illegal, invalid or inoperable portion were not contained
therein. Any illegality, invalidity or lnoperability shall not affect any
legal, valid and operable section, provision, covenant, agreement,
stipulation, obligation, act, action, part or application, all of which shall
be deemed to be effective, operative, made, assumed, entered into or taken in
the manner and,to the full extent permitted by law from time to time.
SECTION 15. Conflicts. All resolutions or parts thereof in conflict
herewith are to the extent of such conflict superseded and repealed,
SECTION 16. Effective Date. This resolution shall become effective
immediately upon its adoption and enactment.
PASSED ADOPTED by the City Council of the .City of Sebastian, Florida,
this 25th day of September, 1985.
City Clerk Mayor
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