71-BBRESOLUTION NO. 71- BB
A RESOLUTION PROVIDING FOR THE ACQUISITION
AND CONSTRUCTION OF A BUILDING TO BE USED
AS A POLICE STATION IN THE CITY OF BOYNTON
BEACH, FLORIDA; PROVIDING FOR THE ISSUANCE
OF NOT EXCEEDING $300,000 POLICE BUILDING
REVENUE BONDS OF SUCH CITY TO PAY THE COST
OF SUCH PROJECT; PROVIDING FOR THE RIGHTS
OF THE HOLDERS OF SUCH BONDS; PROVIDING
FOR THE PAYMENT THEREOF; AND MAKING CERTAIN
OTHER COVENANTS AND AGREEMENTS IN CONNECTION
WITH THE ISSUANCE OF SUCH BONDS.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
BOYNTON BEACH, FLORIDA:
SECTION 1. AUTHORITY OF THIS RESOLUTION.
is adopted pursuant to Chapter 24398, Laws of Florida, Special Acts
of 1947, as amended and supplemented, Chapter 210, Florida Statutes,
and other applicable provisions of law.
SECTION 2. DEFINITIONS. The following terms shall have
the following meanings herein, unless the text otherwise expressly
requires:
A. "Issuer" shall mean the City of Boynton Beach,
Florida.
This Resolution
B. "Act" shall mean Chapter 24398, Laws of Florida,
Special Acts of 1947, as amended and supplemented, and Chapter 210,
Florida Statutes.
C. "Obligations" shall mean the $300,000 Police Building
Revenue~Bonds herein authorized to be issued, together with any
additional parity obligations hereafter issued under the terms,
conditions and limitations contained herein.
D. "Holder of obligations" or "obligation holders" or
any similar term shall mean any person who shall be the bearer or
owner of any o~tstanding obligation or obligations registered to
bearer, or not registered, or the registered owner of any such
obligation or obligations which shall at the time be registered
other than to bearer.
E. "Additional parity obligations" shall mean additional
obligations issued in compliance with the terms, conditions and
limitations contained in subsection 15 J hereof which have an
equal lien on the Cigarette Taxes, as herein defined, and rank
equally in all respects with such obligations initially issued
hereunder.
F. "Cigarette Taxes" shall mean the proceeds derived by
the issuer, pursuant to an ordinance enacted on November 1
19..49, as amended and revised, imposing a tax upon each and every
sale, receipt, purchase, possession, consumption, handling,
distribution and use of cigarettes within the corporate limits of
the issuer under the authority of Chapter 210, Florida Statutes.
G. "Fiscal year" shall mean the period commencing on
October 1 of each year and ending on the succeeding .Septernber 30.
H. Words importing singular number shall include the
plural number in each case and vice versa, and words importing
persons shall include firms and corporations.
SECTION 3. FINDINGS. It is hereby ascertained, deter-
mined and declared that:
A. Pursuant to Chapter 210, Florida Statutes, the issuer
did under date bf November 1 , 19.49, enact Ordinance No. 212
levying~the cigarette taxes.
B. It is necessary and desirable to acquire and construct
a new building, on lands now owned by the issuer, to be used as a
police station, and to equip the same, as provided herein (herein-
after called "project"), in order to preserve and protect the
public health, safety and welfare of the inhabitants of the issuer.
C. The proceeds from the Cigarette Taxes are not now
pledged or encumbered in any manner except to the prior payment of
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the principal of at, interest on a Municipal Improvement Revenue
Certificate, originally issued by the City in the principal amount
of $160,000, dated June 30, 1970.
D. The estimated proceeds of the Cigarotte Taxes will
be sufficient to pay all of the principal of and interest on the
obligations to be issued hereunder, as the same become due, and
to make all required sinking fund, reserve or other payments.
E. The principal of and interest on the obligations
and all required sinking fund, reserve and other payments shall be
payable solely from the proceeds of the Cigarette Taxes, as herein
provided. The issuer shall never be required to levy ad valorem
taxes on any property therein to pay the principal of and interest
on the obligations or to make any of the required sinking fund,
reserve or other payments and such obligations shall not constitute
a lien upon any property of or in ~he issuer.
SECTION 4. AUTHORIZATION OF CONSTRUCTION AND ACQUISITION
OF PROJECT. There is hereby authorized the construction and
acquisition of the project pursuant to the reports and the plans
and specifications of the consulting architect, presently on file
with the issuer. ~The cost of such project, in addition to the
items set forth in the plans and specifications, may include, but
need not be' limited to, the acquisition of any lands or interest
therein'or any other properties deemed necessary or convenient
therefor; engineering, legal, and financing expenses; expenses
for estimates of costs and of revenues; expenses for plans,
specifications and surveys; the fees of fiscal agents, financial
advisors or consultants; administrative expenses relating solely
to the construction and acquisition of the project; and such other
costs and expenses as may be necessary or incidental to the
financing herein authorized and the construction and acquisition
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Of the project and the placing' of same i~ operation.
SECTION 5. RESOLUTION TO CONSTITUTE CONTRACT. In
consideration of the acceptance of the obligations authorized to
be issued hereunder by those who shall hold the same from time to
time, this Resolution shall be deemed to be and shall constitute
a contract between the issuer and such holders. 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
holders of any and all of such obligations and the coupons attached
thereto, all of which shall be of equal rank and without prefer-
ence, priority or distinction of any of the obligations or coupons
over any other thereof, except as expressly provided therein and
herein.
SECTION 6. AUTHORIZATION OF OBLIGATIONS. Subject and
pursuant to the provisions hereof, obligations of the issuer to
be known as "Police Building Revenue Bonds," herein sometimes
referred to as "obligations" are authorized to be issued in the
aggregate principal amount of not exceeding Three Hundred Thousand
Dollars ($300,000.00).
SECTION 7. DESCRIPTION OF OBLIGATIONS. The obligations
shall be dated June 1, 1971; shall be numbered consecutively from
one upward; shall be in the denomination of $5,000 each; shall
bear interest at such rate or rates not exceeding the maximum
rate fixed by the Act or by other applicable law, the actual rate
or rates ~o be determined by the governing body of the issuer upon
the sale of the obligations; such interest to be payable semi-
annually June 1 and December 1 of each year; and shall mature
serially in numerical order, lowest numbers first, on June 1 in
the years and amounts as follows:
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YEAR AMOUNT YEAR AMOUNT
1972 $35,000 1976 $45,000
1973 35,000 1977 50,000
1974 40,000 1978 50,000
1975 45,000
Such obligations shall be issued in coupon form; shall
be payable to bearer unless registered as hereinafter provided;
shall be payable with respect to both principal and interest at
a bank or banks to be subsequently determined by the issuer prior
to the delivery of the obligations; shall be payable in lawful
money of the United States of America; and shall bear interest from
their date, payable in accordance with and upon surrender of the
appurtenant interest coupons'as they severally mature.
SECTION 8. EXECUTION OF OBLIGATIONS AND COUPONS. The
obligations shall be executed in the name of the issuer by the
Mayor and countersigned and attested by the City Clerk, and its
corporate seal or a facsimile thereof shall be affixed thereto or
reproduced thereon and said obligations shall be approved as to
form and correctness by the signature of the City Attorney. The
facsimile signatures of the Mayor, City Clerk and City Attorney
may be imprinted or reproduced on the obligations, provided that
at least one signature required to be placed thereon shall be
manually subscribed. In case any officer whose signature shall
appear 9~ any obligations shall cease ~to be such officer before
the delivery of such obligations, such signature or facsimile
shall nevertheless be valid and sufficient for all purposes the
same as if he had remained in office until such delivery. Any
obligation may be signed and sealed on behalf of the issuer by
such person who at the actual time of the execution of such obli-
gations shall hold the proper office with the issuer, although at
~ the date of such obligations such person may not have held such
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office or may not have been so authorized.
The coupons attached to the obligations shall be authen-
ticated with the facsimile signatures of any present or future
Mayor and City Clerk of the issuer, and the validation certificate
on the obligations shall be executed with the facsimile signature
of the Mayor. The issuer may adopt and use for such purposes
the facsimile signatures of any persons who shall have been such
Mayor and City Clerk at any time on or after the date of the
obligations notwithstanding that they may have ceased to be such
officers at the time such obligations shall be actually delivered.
SECTION 9. NEGOTIABILITY AND REGISTRATION. The
obligations issued hereunder shall be, and shall have all of the
qualities and incidents of negotiable instruments under the law
merchant and the Laws of the State of Florida, and each successive
holder, in accepting any of such obligations or the coupons'
appertaining thereto, shall be conclusively deemed to have agreed
that such obligations shall be and have all of the qualities and
incidents of negotiable instruments under the law merchant and
the Laws of the State of Florida.
The obligations may be registered at the option of the
holder as to principal only at the office of the City Clerk, as
Registrar, or such other Registrar as may be hereafter duly
appointed, such registration to be noted on the back of the
obligations in the space provided therefor. After such registration
as to principal only, no transfer of the obligations shall be valid
unless made at such office by written assignment of the registered
owner, or by his duly authorized attorney in a form satisfactory
to the Registrar, and similarly noted on the obligations, but the
obligations may be discharged from registration by being in like
manner transferred to bearer and thereupon transferability by
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to equal and proportionate benefits and rights as to lien on and
source and security for payment from the funds, as hereinafter
pledged, to the same extent as all other obligations and coupons
issued hereunder.
SECTION 11.
PROVISiONS FOR REDEMPTION. The obligations
of this issue maturing in the years 1972 to 1975, both inclusive,
are not redeemable prior to their respective stated dates of
maturity., The obligations maturing in 1976 and thereafter are
redeemable prior to their respective stated dates of maturity, at
the option of the issuer, in whole or in part, but in inverse
numerical order if less than all, on June 1, 1975, or on any
interest payment date thereafter at par and accrued interest to the
date of redemption, plus the following premiums, expressed in
percentages of the par value thereof, if redeemed in the following
periods:
Period
(Both Dates Inclusive) Premium
June 1, 1975 to May 31, 1976 2-1/4%
June 1, 1976 to May 31, 1977 1~
June 1, 1977 and thereafter
prior to maturity 3/4 of 1%
Notice of such redemption shall be published at least
thirty (30) days prior to the redemption date in a financial
journal published in the Borough of Manhattan, City and State of
New Yor~[ Interest shall cease to accrue on any obligations duly
called for prior redemption on the redemption date, if payment
thereof has been duly provided.
SECTION 12. FORM OF OBLIGATIONS AND COUPONS. The
obligations, the interest coupons to be attached thereto, and the
certificate of validation shall be in substantially the following
form, with such omissions, insertions and variations as may be
necessary and desirable and authorized or permitted by this
Resolution or in any subsequent resolution adopted prior to the
issuance thereof:
--8--
NO.
UNITED STATES OF AMERICA
STATE OF FLORIDA
COUNTY OF PALM BEACH
CITY OF BOYNTON BEACH
POLICE BUILDING REVENUE BOND
$5,000
KNOW ALL MEN BY THESE PRESENTS that the City of Boynton
Beach, Florida (hereinafter called "City"), for value received,
hereby promises to pay to the bearer, or if this Bond be registered,
to the registered holder as herein provided on the first day of
June, 19 , from the special funds hereinafter mentioned, the
principal sum of
FIVE THOUSAND DOLLARS
and to pay solely from such special funds, interest thereon from
the date hereof at the rate of
per centum ( %) per annum until payment of the principal sum,
such interest to the maturity hereof being payable semi-annually
on the first day of June and the first day of December in each year
upon the presentation and surrender of the annexed coupons as they
severally fall due. Both principal of and interest on this Bond
are payable in lawful money of the United States of America at
, or, at the option of
the holder at .
This Bond is one of an authorized issue of Bonds in the
aggregate principal amount of $300,000 of like date, tenor and
effect, except as to number, interest rate and date of maturity,
issued to finance the cost of the construction and acquisition of
a new building to be used as a police station, and the equipping of
said building, in the City of Boynton Beach, under the authority of
and in full compliance with the Constitution and Statutes of the
State of Florida, including particularly Chapter 24398, Laws of
Florida, Special Acts of 1947, as amended and supplemented,
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Chapter 210, Florida Statutes, and other'applicable provisions of
law, and a resolution duly adopted by the City Council of said City
on the day of ._ , 19~, (hereinafter called
"Resolution"), and is subject to all the terms and conditions of
such Resolution.
This Bond, and the coupons appertaining thereto, are
payable solely from and secured by a lien upon and pledge of the
proceeds of Cigarette Taxes received by the City pursuant to
Ordinance No. enacted by the City on ,
19. , levied upon each and every sale, receipt, purchase, possession,
consumption, handling, distribution and use of cigarettes within
the corporate limits of the City under the authority of Section
210.03, Florida Statutes, as defined in the Resolution, in the
manner provided in the Resolution.
The Bonds of this issue maturing in the years 1972 to
1975, both inclusive, are not redeemable prior to their respective
stated dates of maturity. The Bonds maturing in 1976 and thereafter
are redeemable prior to their respective stated dates of maturity,
at the option of the City in whole or in part, but in inverse
numerical order if less than all, on June 1, 1975; or on any interest
payment date thereafter at par and accrued interest to the date of
redemption, plus the following premiums, expressed in percentages
of the par value thereof, if redeemed in the following periods: ~
Period
(Both Dates'Inclusive)
June 1, 1975 to May 31, 1976
June 1, 1976 to May 31, 1977
June 1, 1977 and thereafter
prior to maturity
Premium
2-1/4%
3/4 of 1%
Notice of such redemption shall be given in the manner
required by the Resolution.
The lien of the holders of the Bonds of the issue of
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which this Bond is one, on the proceeds 5f the Cigarette Taxes
derived by the City, is junior, inferior and subordinate to the
lien thereon of the holder of an outstanding Municipal Improvement
Revenue Certificate, dated June 30, 1970.
This Bond does not constitute an indebtedness of the City
within the meaning of any constitutional, statutory or charter
provision or limitation, and it is expressly agreed by the holder
of this Bond and the coupons appertaining thereto that such holder
shall never have the right to require or compel the exercise of
the ad valorem taxing power of the City for the payment of the
principal of and interest on this Bond or the making of any sinking
fund, reserve or other payments provided for in the Resolution.
It is further agreed between the City and the holder of
this Bond that this Bond and the obligation evidenced thereby shall
not constitute a lien upon any property of or in the City, but
shall constitute a lien only on the Cigarette Taxes in the manner
provided in the Resolution.
The City in such Resolution has further covenanted and
agreed with the holders of the Bonds of this issue to levy and
collect the Cigarette Taxes at such rates, not exceeding the maXimum
rates permitted by law, to the extent necessary to pay, as the
same shall become due, the principal of and interest on the Bonds
of this ~issue, all other obligations payable on a parity therewith
and to make all reserve, sinking fund and other payments provided
for in the Resolution and that the rates of such excise taxes
shall not be reduced so as to be insufficient to provide funds for
such purposes, v~
It is hereby certified and recited that all acts, conditions
and things required to exist, to happen and to be performed
precedent to and in the issuance of this Bond, exist, have happened
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and have been performed in regular and d~e form and time as
required by the Laws and Constitution of the State of Florida
applicable thereto, and that the issuance of the Bonds of this
issue does not violate any constitutional or statutory limitations
or provisions.
This Bond, and the coupons appertaining thereto, are and
have all the qualities and incidents of a negotiable instrument
under the law merchant and the Laws of the State of Florida.
This Bond may be registered as to principal only in
accordanCe with the provisions endorsed hereon.
IN WITNESS WHEREOF, the City of Boynton Beach, Florida, has
issued this Bond and has caused the same to be signed by its Mayor
and attested and countersigned by its City Clerk, either manually
or with their facsimile signatures, and the corporate seal of said
City or a facSimile thereof to be affixed, impressed, imprinted,
lithographed or reproduced hereon and the interest coupons hereto
attached to be executed with the facsimile signatures of such officers
all as of the 1st day of June, 1971.
CITY OF BOYNTON BEACH, FLORIDA
(SEAL)
ATTESTED AND COUNTERSIGNED:
Mayor
City Clerk
The foregoing Bond and attached
coupons have been approved by
me as .to form and correctness.
City. Attorney
NO.
FORM OF COUPON
On the 1st day'of , 19 .... , the ,City of Boynton
Beach, Florida, will pay to the bearer at
, or, at the option of the holder, at
, from the special funds
described in the Bond to which this coupon is attached, the amount
shown hereon in lawful money of the United States of America, upon
presentation and surrender of this coupon, being six months'
interest then due on its Police Building Revenue Bond dated June 1,
1971, No.
(SEAL)
CITY OF BOYNTON BEACH, FLORIDA
Mayor
ATTESTED AND COUNTERSIGNED:
City Clerk
(To be inserted in coupons maturing after callable date)
"Unless the Bond to which this coupon is attached shall
have been .p~eviously duly called for prior redemption and payment
thereof ~uly made or provided for."
VALIDATION CERTIFICATE
This Bond is one of a series of bonds which were
validated and confirmed by judgment of the Circuit Court for Palm
Beach County, Florida rendered on the day of
19. .
Mayor
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PROVISION FOR REGISTRATION
This Bond may be registered as to principal only in the
name of the holder on the books to be kept by the City Clerk as
Registrar, or such other Registrar as may be hereafter duly
appointed, such registration being noted hereon by such Registrar
in the registration blank below, after which no transfer shall be
valid unless made by written assignment on said books by the
registered holder or attorney duly authorized and similarly noted
in the registration blank below, but it may be discharged from
registration by being transferred to bearer, after which it shall
be transferable by delivery, but it may be again registered as
before. Such registration shall not restrain the negotiability of
the coupons by delivery.
DATE OF
REGISTRATION
IN WHOSE NA.~E
REGISTERED
SIGNATURE OF
REGISTRAR
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SECTION 13. OBLIGATIONS NOT DEBT OF ISSUER. Neither
the obligations nor coupons shall be or constitute general
obligations or indebtedness of the issuer as "bonds" within the
meaning of the Constitution of Florida, but shall be payable
solely from and secured by a lien upon and a pledge of the
Cigarette Taxes as herein provided. No holder or holders of any
obligations issued hereunder or of any coupons appertaining thereto
shall ever have the right to compel the exercise of the ad valorem
taxing power of the issuer or taxation in any form of any real
property therein to pay such obligations or the interest thereon
or be entitled to payment of such principal and interest from any
other funds of the issuer except from the Cigarette Taxes in the
manner provided herein.
SECTION 14. PLEDGE OF CIGARETTE TAXES. The payment of
the principal of and interest on the obligations shall be secured
forthwith equally and ratably by a pledge of and a lien upon the
proceeds received by the issuer'from the Cigarette Taxes, as
hereinafter provided, and the issuer does hereby irrevocably pledge
such Cigarette Taxes to the payment of the principal of and interest
on the obligations, for reserves therefor and for all other required
payments.
The lien of the holders of the Bonds on the proceeds of
the Cigarette Taxes received by the issuer is junior, inferior
and subordinate to the lien thereon of the holder of the outstanding
Municipal'Improvement Revenue Certificate, dated June 30, 1970.
SECTION 15. COVENANTS OF THE ISSUER. For as long as
any of the principal of and interest on any of the obligations
shall be outstanding and unpaid or until there shall have been
set apart in the Sinking Fund, herein established, including the
Reserve Account therein, a sum sufficient to pay when due the
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entire principal of the obligations remaining unpaid, together
with interest accrued or to accrue thereon, the issuer covenants
with the holders of any and all obligations as follows:
A. CIGARETTE TAXES FUND. All of the proceeds of the
Cigarette Taxes, as defined herein, as soon as the same are collected
by the issuer shall be forthwith deposited into a fund to be known
as the "Cigarette Taxes Fund," hereby created and established.
Such Cigarette Taxes Fund shall constitute a trust fund for the
purposes herein provided.
B. DISPOSITION OF CIGARETTE TAXES. All moneys at any
time remaining on deposit in the Cigarette Taxes Fu~d shall be
disposed of on or before the fifteenth day of each month, commenc-
ing in the month immediately following the delivery of the
obligations only in the following manner and in the following order
of priority:
(1) Moneys in the Cigarette Taxes Fund shall first be
used to make the a~nua! principal and interest payments on the
outstanding Municipal Improvement Revenue Certificate dated
June 30, 1970.
(2) From the moneys in the Cigarette Taxes Fund, the
issuer shall next deposit into a separate fund which is hereby
created and designated "Cigarette Taxes Sinking Fund" (hereinafter
called '~inking Fund"), such sums as will be sufficient to pay
one-sixth (1/6) of all interest becoming due on the obligations
on the neXt semi-annual interest payment date and one-twelfth
(1/12) of all principal maturing on the obligations on the next
maturity date. All such payments, as provided above, shall include
an amount sufficient to pay the fees and charges of the paying
agents.? Such monthly payments shall be increased proportionately
to the extent required to pay principal and interest becoming due
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during the first fiscal year, after making allowance for the amounts
of money which will be deposited in the Sinking Fund out of proceeds
from the sale of the obligations.
(3) Moneys remaining in the cigarette Taxes Fund shall
next be applied by the issuer to maintain a Reserve Account in
the Sinking Fund, which Reserve Account is hereby created and
established. The issuer shall deposit in such Reserve Account the
monthly sum of not less than one-twelfth (1/12) of twenty per
centum (20%) of the maximum amount of principal and interest on
all outstanding obligations becoming due in any one ensuing fiscal
year. Such payments shall continue to be made until there shall be
on deposit in such Reserve Account a sum equal to the maximum
amount of principal and interest on all outstanding obligations
'becoming due in any one ensuing fiscal year. No further payments
shall be required to be made into such Reserve Account as long as
there shall remain on deposit therein a sum equal to the maximum
amount of principal and interest on all outstanding obligations
becoming due in any ensuing fiscal year.
Any withdrawals from the Reserve Account shall be
subsequently restored from the first moneys available in the Excise
Taxes Fund after all required current payments for the Sinking
Fund and Re.serve Account, including all deficiencies for prior
payments, have been made in full.
Moneys in the Reserve Account shall be used only for the
purpose of the payment of maturing principal of or interest on
the obligations when the other moneys in the Sinking Fund are
insufficient therefor, and for no other purpose.
(4) Upon the issuance of any additional parity obliga-
tions under the terms, limitations and conditions as herein
provided, the payments into the several accounts in the Sinking
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Fund shall be increased in such amounts ~s are necessary to make
the payments required above for the principal of and interest on,
and reserves for such additional parity obligations, on the same
basis as hereinabove provided with respect to the outstanding
obligations.
The issuer shall not be required to make.any further
payments into the Sinking Fund or into the Reserve Account in the
Sinking Fund when the aggregate amount of moneys in both the
Sinking Fund and the Reserve Account are at least equal to the
aggregate principal amount of~obligations then outstanding, plus
the amount of interest then due or thereafter to become due on
such obligations then outstanding.
(5) Wheneverby reason of the insufficiency of moneys
on deposit in the Cigarette Taxes Pund, the issuer is not able to
make promptly the current monthly payments hereinabove required
to be made into the Sinking Fund and Reserve Account, the
deficiency shall be made up in the subsequent payments in addition
to the payments which would otherwise be required to be made
therein on the subsequent payment dates.
(6) The balance of any moneys remaining in ~he Cigarette
Taxes Fund after the above required payments have been made may be
used for the purchase and redemption of the obligations or for
any lawful purpose.
(7) The Sinking Fund, the Reserve Account, the Cigarette
Taxes Fund and any other special funds herein established and
created shall constitute trust funds for the purposes provided
herein for such funds. All such funds shall be continuously
secured in the manner by which the deposit of public funds are
authorized to be secured by the Laws of the State of Florida.
Moneys on deposit'in the Sinking Fund (except the Reserve Account
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therein) may be invested and reinvested only in direct obligations
of the United States of America maturing not later than ten (10)
days prior to the date on which the moneys therein will be needed./--
Moneys in the Reserve Account in the Sinking Fund may be invested
and reinvested in direct obligations of the United States of America
or in time deposits in banks or trust companies represented by
certificates of deposits and continuously secured as above
provided, maturing not later than two (2) years from the date of
purchase or must otherwise be maintained in cash. Any and all
income received by the issuer from such investments shall be
deposited into the Sinking Fund. Moneys in the Cigarette Taxes
Fund shall not be invested at any time.
C. LEVY OF CIGARETTE TAXES. The issuer will not repeal
the ordinance now in effect levying the Cigarette Taxes and will
not amend or modify said ordinance in any manner so as to impair
or adversely affect the power and obligation of the issuer to
levy and collect such Cigarette Taxes or impair or adversely
affect in any manner the pledge of such Cigarette Taxes made herein
or the rights of the holders of the obligations. The issuer shall
be unconditionally and irrevocably obligated, so long as any of
the obligations or the interest thereon are outstanding and unpaid,
to levy and collect such Cigarette Taxes, at the maximum rates
permitted by law, to the extent necessary to pay the principal of
and interest on the obligations and to make the other payments
provided for herein. This provision shall not be construed to
prevent reasonable revisions of the rates of such Cigarette Taxes
as long as the proceeds of such Cigarette Taxes to be collected
by the issuer in each year thereafter, will be sufficient to
pay the principal of and interest on ~he obligations as the same
become due and to make all Sinking Fund, Reserve Account and
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other payments herein required in such year.
D. CIGARETTE TAXES NOT SUBJECT TO REPEAL. The issuer
has full power to irrevocably pledge such Cigarette Taxes to the
payment of the principal of and interest on the obligations, and
the pledging of such excise taxes in the manner provided herein
shall not be subject to repeal, modification, or impairment by
any subsequent ordinance, resolution or other proceedings of the
governing body of the issuer or by any subsequent act of the
Legislature of Florida.
The pledge of the Cigarette Taxes herein made shall be
for the benefit of any additional obligations payable on a
parity with the obligations, herein authorized, from the proceeds
of the Cigarette Taxes to the same extent as if such additional
parity obligations had been originally issued hereunder.
E. BOOKS AND RECORDS. The issuer shall also keep books
and records of the collection of the Cigarette Taxes, which such
books and records shall be kept separate~and apart from all other
books, records and accounts of the issuer and the holders of not
less than ten per centum (10%) of the obligations shall have the
right at all reasonable times to inspect all records, accounts
and data of the issuer relating thereto.
F. ANNUAL AUDIT. The issuer shall also, at least
once a year, within 60 days after the close of its fiscal year,
cause the books, records and accounts relating to the excise taxes
to be properly audited by a recognized independent firm of
certified public accountants. Such audits shall contain a
complete report of the collection and application of all proceeds
of the Cigarette Taxes, a schedule of reserves and investments,
and a certificate by the auditors stating no default on the part
of the issuer of any covenant herein has been disclosed by reason
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of such audit. The auditors selected, shall be changed at any
time by a written request signed by a majority of the holders
of the obligations or their duly authorized representatives. A
copy of such annual audit shall regularly be furnished to any
holder of an obligation who shall have requested in writing that
a copy of such audits be furnished him.
G. ENFORCEMENT OF COLLECTIONS.
enforce and collect the Cigarette Taxes herein pledged; will take
all steps, actions and proceedings for the enforcement and
collection of such Cigarette Taxes as shall become delinquent to
the full extent permitted or authorized by law; and will maintain
accurate records with respect thereof. All such Cigarette Taxes
herein pledged shall, as collected, be held in trust to be applied
as herein provided and not otherwise.
H. REMEDIES. Any holder of obligations or any coupons
appertaining thereto, issued under the provisions hereof or any
trustee acting for the holders ~f s~ch obligations may by suit,
action, mandamus or other Proceedings in any court of competent
jurisdiction, protect and enforce any and all rights, including
the right to the appointment of a receiver, existing under the laws
of the State of Florida, or granted and contained herein, and may
enforce an~ compel the performance of all duties herein required
or by any applicable statutes to be performed by the issuer or by
any officer thereof, including the collection of Cigarette Taxes.
Nothing herein, however, shall be construed to grant
to any holder of such obligations any lien on any real property
of the issuer.
I. ISSUANCE OF OTHER OBLIGATIONS. The issuer will not
issue any other obligations, except under the conditions and in
the manner provided herein, payable from the Cigarette Taxes,
The issuer will diligently
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nor voluntarily create or cause to be created any debt, lien,
pledge, assignment, encumbrance or other charge having priority
to or being on a parity with the lien of the obligations issued
pursuant to this Resolution and the interest thereon, upon said
Cigarette Taxes. Any other obligations issued by the issuer in
addition to the obligations herein authorized or additional parity
obligations provided for in subsection J below, payable from such
Cigarette Taxes, shall contain an express' statement that such
obligations are junior and subordinate in all respects to the
obligations, herein authorized, as to lien on and source and
security for payment from such Cigarette Taxes.
J. ISSUANCE OF ADDITIONAL PARITY OBLIGATIONS. No
additional parity obligations, payable on a parity from the proceeds
of the Cigarette Taxes with the obligations, herein authorized,
shall be issued after the issuance of any obligations, herein
authorized, except upon the conditions and in the manner herein
provided.
(1) There shall have been obtained and filed with the
City Clerk a certificate of an independent certified public
accountant of suitable experience and responsibility: (a) stating
that the books and records of the issuer relating to the collection
and receipt of the proceeds of the Cigarette Taxes have been
audited'by him;' (b) setting forth the amount of proceeds of the
Cigarette Taxes, as defined herein, received by the issuer for the
three fiscal years immediately preceding the date of delivery of
such additional parity obligations with respect to which such
certificate is made; (c) stating that the average annual proceeds
of the Cigarette Taxes for such preceding three years will equal
at least two times the maximum annual principal and interest
requirements on (i) all obligations and all additional parity
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Obligations, if any, then outstanding a~d (ii) the additional
parity obligations with respect to which such certificate is
made.
(2) Each resolution authorizing the issuance of
additional parity obligations will recite that all of the
covenants herein contained will be applicable to such additional
parity obligations.
(3) The issuer shall not be in default in performing
any of the covenants and obligations assumed hereunder, and all
payments herein required to have been made ~nto the accounts and
funds, as provided hereunder, shall have been made to the full
extent required.
(4) The additional parity obligations shall be dated
June 1 or December 1 of the year of issuance thereof, shall bear
interest payable semi-annually on June 1 and December 1 of each
year, and shall mature on June 1 of the year of maturity thereof.
SECTION 16. APPLICATION OF PROCEEDS OF OBLIGATIONS.
All moneys received from the sale of the obligations shall be
deposited by the issuer in a special account in a bank or trust
company and applied by the issuer as follows:
A. All accrued interest on the obligations shall be
deposited in the Sinking Fund.
"' B. The issuer shall next use the moneys in said special
account to pay all architectural fees, legal fees, fees of financial
advisors,'cost of the issuance of the obligations, and all other
similar costs incurred in connection with the acquisition and
construction of the project and the issuance of the obligations
to finance the cost thereof.
C. A special fund is hereby created, established and
designated as the "Police Building Construction Fund" (herein
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called the "Construction Fund"). There shall be paid into the
Construction ~und the balance of the mQneys remaining after making
all the deposits and payments provided for in paragraphs A and B,
above.
Such fund shall be kept separate and apart from all other
accounts of the issuer, and the moneys on deposit therein shall be
withdrawn, used and applied by the issuer solely to the payment of
the cost of the project and purposes incidental thereto, as
hereinabove described and set forth. If for any reason such
proceeds or any part thereof are not necessary for or ar~ not applied
to the payment of such cost, then the unapplied proceeds shall be
deposited by the issuer in the Reserve Account in the Sinking Fund.
All such proceeds shall be and constitute trust funds for such
purposes, and there is hereby created a lien upon such moneys until
so applied in favor of the holders of the obligations.
Any funds on deposit in the Construction Fund which, in
the opinion of the issuer, acting upon the recommendation of the
consulting architect, are not immediately necessary for expenditure,
as hereinabove provided, may be invested in direct obligations of
the United States of America maturing in a period of 180 days or
less. Al! such securities shall be held by the depository bank,
and all income derived therefrom shall be deposited in the Sinking
Fund. ~,
All expenditures or disbursements from the Constructicn
Fund shall be made only after such expenditures or disbursements
shall have been approved in writing by the consulting architects.
The date of completion of the project shall be determined by the
consulting architects, who will certify such facts in writing to
the governing body of the issuer.
SECTION 17. MODIFICATION OR AMENDMENT. No material
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modification or amendment of this Resolution or of any resolution
or ordinance amendatory hereof or supplemental hereto may be
made without the consent in writing of the holders of two-thirds
or more in the principal amount of the obligations then outstand-
ing; provided, however, that no modification or amendment shall
permit a change in the maturity of such obligations or a reduction
in the rate of interest thereon or in the amount of the principal
obligation thereof or affecting the promise of the issuer to pay
the principal of and interest on the obligations as the same shall
come due from the proceeds of the Cigarette Taxes or reduce the
Percentage of the holders of the obligations required to consent
to any material modification or amendment hereof without the
consent of the holder or holders of all such obligations.
SECTION 18. SEVERABILITY OF INVALID PROVISIONS. If
any one or more of the covenants, agreements or provisions herein
contained shall 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 separable
from the remaining covenants, agreements or provisions and shall
in no way affect the validity of any of the other provisions hereof
or of the obligations or coupons issued hereunder.
SECTION 19. SALE OF OBLIGATIONS. The obligations shall
be issued and sold in such manner and at such price or prices
consistent with the Act, all at one time or in installments from
time to time~ as shall be hereafter determined by the governing
body of the issuer.
SECTION 20. VALIDATION AUTHORIZED. The attorney for
the issuer is authorized and directed to prepare and file
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proceedings to validate the obligations in the manner provided
by law.
SECTION 21.
thereof of the issuer in conflict with the provisions herein
contained are, to the extent of such conflict, her'eby superseded
REPEALINC CLAUSE. Ail resolutions or parts
EFFECTIVE DATE.
This Resolution shall take
and repealed.
SECTION 22.
effect in the manner provided by law.
PASSED AND ADOPTED this 17th day of August, A.D., 1971.
ATTEST:
~City Clerk
CITY OF BOYNTON BEACH, FLORIDA
Mayor
· ~ ~ Councilman
~ // CoUnCilman
~Y ~~m~cilman · ~- ,~
CORP. SEAL
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