HomeMy Public PortalAboutRES 77/01RESOLUTION NO, 77_1
A RESOLUTION PROVIDING FOR THE ISSUANCE BY THE
TOWN OF GULFSTREAM, FLORIDA, OF A TAX ANTICIPATION
NOTE IN THE AMOUNT OF $180,000.00 DUE AND PAYABLE
TO ADVANCE FUNDS FOR THE COST OF
LAYING WATER LINES AND TO MAKE CERTAIN OTHER
IMPROVEMENTS NECESSARY TO EXTEND AND IMPROVE THE
WATER WORKS SYSTEM OF THE TOWN; CONTAINING OTHER
PROVISIONS RELATING TO SUCH NOTE; AND PROVIDING
AN EFFECTIVE DATE.
BE IT RESOLVED BY THE TOWN COUNCIL OF THE TOWN OF
GULFSTREAM, FLORIDA:
Section 1. AUTHORITY FOR THIS RESOLUTION. This
Resolution is adopted pursuant to the provisions of the Charter of
the Town of Gulfstream and other applicable provisions of law.
Section 2. FINDINGS. It is hereby found,determined
and declared as follows, that:
a. The Town of Gulfstream, (the "Issuer") is obligated
to extend and improve its water system and to lay water lines
and make certain other improvements incidental thereto.
b. Although it is contemplated that the cost of the
project will be financed on a long-term basis by other methods,
i.e., by the issuance of water revenue bonds, which may be pursuant
to the existing Charter of the Issuer or pursuant to other lawful
authority, it is immediately necessary, in order to accommodate
the present plans and schedules of the Issuer, that the $180,000.00
be made immediately available for such purpose.
C. It is, therefore, necessary to issue a short term
note in the amount of $180,000.00 in order to immediately receive
funds in anticipation of the receipt of the proceeds of such long-
term financing, and it is necessary to pledge the taxing power of
the Issuer for the fiscal year 1977-78 and other revenue sources
described herein as security for said Note.
Section 3. RESOLUTION TO CONSTITUTE CONTRACT. In
consideration of the acceptance of the Note authorized to be
issued hereunder by the Barnett Bank of Delray Beach, the holder,
this Resolution shall be deemed to be and shall constitute a cont
between the Issuer and the holder. The covenants and agreements
herein set forth to be performed by the Issuer shall be for the
equal benefit, protection and security of the legal holder of such
Note.
Section 4. AUTHORITY OF ISSUANCE OF SHORT TERM NOTES.
For the purpose of financing the cost of the Project there is
hereby authorized to be issued a Tax Anticipation Note of the
Issuer in the aggregate principal amount of not exceeding One
Hundred Eighty Thousand Dollars ($180,000.00). The Note shall be
dated as of its date of delivery, but not earlier than May
1977, shall be payable to bearer, shall be payable in lawful
money of the United States of America, shall mature on May
and shall bear interest from date payable at maturity. The Note
shall be issued in the amount of $180,000.00, shall bear interest
at such rate or rates, not exceeding the maximum rate permitted
by law, as is hereinafter specified and shall be payable with
respect to both principal and interest at the Barnett Bank of
Delray Beach.
Section 5. SALE OF NOTE. The Note is hereby sold and
awarded to Barnett Bank of Delray Beach, at the price of $180,000.
and shall bear interest at the rate of 4.51% per annum.
Section 6. EXECUTION OF NOTES. The Notes shall be
executed in the name of the Issuer by the Mayor and countersigned
and attested by the Town Clerk and the corporate seal of the Issuer
shall be affixed thereto. The Notes may be signed and sealed on
behalf of the Issuer by such person who at the actual time of the
execution of such Notes shall hold the proper office in the
Issuer.
Section 7. FORM OF NOTE. The text of the Note shall be
in substantially the following form and tenor, with such variations
omissions and insertions as may be necessary, desirable and
authorized or permitted by this Resolution or any subsequent
resolution adopted prior to the issuance thereof:
Section 8. PLEDGE OF FUNDS
For the prompt payment of
the principal of and interest on the Note, the ad valorem taxing
power of the Issuer for the fiscal year 1977-78, to be levied and
assessed, at an annual rate not to exceed ten (10) mills on the
dollar of assessed value, is irrevocably pledged. The principal
of and interest on the Note are additionally secured by and payable
from a lien on and pledge of the proceeds of the franchise taxes
and the utilities services taxes levied and collected in the Town.
Section 9. LEVY OF AD VALOREM TAX; COVENANT TO BUDGET
EXCISE TAXES.
(a) There shall be levied and collected a tax during
the fiscal year 1977-78, to be levied and assessed at an annual
rate not to exceed ten (10) mills on the dollar of assessed value,
on all property subject to taxation by the Town, to the extent
necessary to pay the principal of and interest on such Notes as the
same shall become due, after deducting therefrom any other funds
which may be available for such principal and interest payments
and which may be so applied.
(b) The Town, in preparing, approving and adopting its
budget controlling or providing for the expenditure of its funds
for the fiscal year 1977-78, will appropriate, allot and approve,
from the proceeds of the Excise Taxes, amounts sufficient, as
necessary, to pay the principal of and interest on the Notes as
the same shall become due, after deducting therefrom any other
funds which may be available for such payments and which may be so
applied.
PROCEEDS.
Section 10. NOTEHOLDERS NOT AFFECTED BY USE OF NOTE
The holders of the Note issued hereunder shall have no
responsibility for the use of the proceeds of said Note, and the
use of such Note proceeds by the Town shall in no way affect
the rights of such Noteholder.
Section 11. MODIFICATION OR AMENDMENT. No material
modification or amendment of this Resolution or of any resolution
amendatory hereof or supplemental hereto, may be made without the
consent in writing of the noteholder.
Section 12. SEVERABILITY OF INVALID PROVISIONS. If any
one or more of the covenants, agreements or provisions of this
Resolution should be held contrary to any express provision of
law or contrary to the policy of express law, though not expressly
prohibited, or against public policy, or shall for any reason
whatsoever be held invalid then such covenants, agreements or
provisions shall be null and void and shall be deemed separate
from the remaining covenants, agreements or provisions, and in no
way affect the validity of all the other provisions of this
Resolution or of the Note issued thereunder.
Section 13. PRIOR RESOLUTIONS REPEALED. All prior
resolutions inconsistent with this Resolution, are repealed.
Section 14. EFFECTIVE DATE. This Resolution shall take
effect immediately upon its adoption.
PASSED AND ADOPTED ON 1st READING THIS 13th DAY
OF MAY , A.D., 1977.
ATTEST: