62-FRESOLUTION No. 62-~
A RESOLUTION FURTHER AMENDING A RESOLUTION
ENTITLED:
"A RESOLUTION AUTHORIZING THE CONSTRUCTION
AND ACQUISITION OF ADDITIONS, EXTENSIONS
AND IMPROVEMENTS TO THE WATER SYSTEM OF THE
CITY OF BOYNTON BEACH, FLORIDA: AUTHORIZING
THE ISSUANCE OF $1, 370, 000. 00 WATER REVENUE
BONDS° SERIES 1960, TO FINANCE THE COST OF
SUCH ADDITIONS, EXTENSIONS AND IMPROVEMENTS~
PLEDGING THE REVENUES OF SAID WATER SYSTEM
TO THE PAYMENT OF SUCH WATER REVENUE BONDS,
SERIES 1960, AND PROVIDING FOR THE RIGHTS AND
REMEDIES OF THE HOLDERS THEREOF," AS AMENDED.
WHEREAS, by resolution heretofore duly adopted on the llth
day of January, 1961, and entitled:
"A RESOLUTION AUTHORIZING THE CONSTRUCTIONS
AND ACQUISITION OF ADDITIONS, EXTENSIONS AND
IMPROVEMENTS TO THE WATER SYSTEM OF THE CITY
OF BOYNTON BEACH, FLORIDA: AUTHORIZING THE
ISSUANCE OF $1, 370, 000. 00 WATER REVENUE BONDS,
SERIES 1960, TO FINANCE THE COST OF SUCH ADDITIONS,
EXTENSIONS AND IMPROVEMENTS: PLEDGING THE
REVENUES OF SAID WATER SYSTEM TO THE PAYMENT
OF SUCH WATER REVENUE BONDS, SERIES 1960, AND
PROVIDING FOR THE RIGHTS AND REMEDIES OF THE
HOLDERS THEREOF!',
as amended
/ by resolution adopted on February 6, 1961 and May 15, 1961 (hereinafter
collectively referred to as "Resolution"), the City Council authorized the
issuance of $1, 370, 000. 00 Water Revenue Bonds, Series 1960, dated Decemb~
1, 1960, (hereinafter sometimes called the "Bonds"); and
WHEREAS, said bonds have been heretofore validated and sold
and are now outstanding; and
WHEREAS, it is deemed advisable and in the best interest of
the City of Boynton Beach, and the inhabitants thereof, to amend the Resolu-
tion with respect to the issuance of additional parity bonds; and
WHEREAS, it will be necessary~ obtain the consent in writing
of the holders of two-thirds or more in principal amount of said outstanding
bonds in order to amend said resolution;
NOW, THEREFORE, be it resolved by the City Council of
the CITY OF BOYNTON BEACH, FLORIDA:
SECTION. 1. That sub-section "(L)" of Section 3.04 of the
Resolution as amended, entitled:
'% RESOLUTION AUTHORIZING THE CONSTRUCTION AND
ACQUISITION OF ADDITIONS, EXTENSIONS AND IMPROVEMENTS
TO THE WATER SYSTEM OF THE CITY OF BOYNTON BEACH,
FLORIDA: AUTHORIZING THE ISSUANCE OF $1, 370, 000. 00
WATER REVENUE BONDS, SERIES 1960, TO FINANCE THE COST
OF SUCH ADDITIONS, EXTENSIONS AND IMPROVEMENTS: PLEDGING
THE REVENUES OF SAID WATER SYSTEM TO THE PAYMENT OF
SUCH WATER REVENUE. BONDS, SERIES 1960, AND PROVIDING
FOR THE RIGHTS AND REMEDIES OF THE HOLDERS THEREOF"
be, and the same is hereby amended to read:
(L) ISSUANCE OF PARI PASSU ADDITIONAL BONDS. That
no part passu additional bonds, as in this subsection defined, payable part
passu with Bonds issued pursuant to this resolution out of the revenues of
the Water System shall be issued after the issuance of any Bonds pursuant to
this resolution, except upon the conditions and in the manner herein provided.
Part passu additional Bonds payable from the net revenues of
the Water System may be issued by the City for the purpose of financing the
construction and acquisition of additions, extensions and improvements of the
City's Water System, or for the construction and acquisition of a sewage dis-
posal system or additions, extensions and improvements thereto, only if the
average annual net revenues of the Water System during the immediately
preceding twenty-four (24) complete calendar months, or the net revenues of
the Water System during the immediately preceding twelve (12) complete cal~
months, whichever is the lesser, as certified by the Consulting Engineers,
be equal to not less than one hundred forty per centrum (140%) of the largest
amount of principal and interest which will mature and become due in any
succeeding year thereafter on: (1) the Bonds theretofore issued pursuant to
resolution, including any part passu additional bonds theretofore issued;
outstanding; (2) the part passu additional Bonds proposed to be issued;
.nd (3) any obligations then outstanding payable from and having a prior and
~enior lien on the net revenues of the Water System,
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including the Outstanding Bonds and Outstanding Contractors Refunding
Agreements.
In determining the amount of net revenues for the purpose of
the above paragraph, the Consulting engineers may adjust net revenues by
adding thereto the following:
(1) The net revenues (computed for such facility on the
same basis as net revenues are computed for the Water System) of any ware
or sewer utility which the City might have constructed or ~cquired previous
to the issuance of such part passu additional Bonds or which the City shall be
acquiring from proceeds of such part passu additional Bonds, and which,
in the case of lhe acquisition thereof, has been operating for a part of the
same base period or periods;
(2) In the event a change has been made in the rate schedules
for services from the Water System prior lo the issuance of the proposed
part passu additional Bonds for a part of the same base period or periods
and such change has resulted in an increase in net revenues, seventy-five
per cent (75%) of an estimate made by such Consulting Engineers of such
additional net revenues for the same base period or periods.
(3) In the event the City shall have combined or authorized
the combination of a sewer utility with the Water System and shall have
established sewer rates or charges to be charged and collecied from users
of such sewer utility when service is rendered, sevenly-five per cent (75%)
of the net revenues estimated by the Consulting Engineers to be derived
during the first twelve (12) months of operation after completion of the con-
struction or acquisition of said sewer utility, or additions, extensions and
improvements thereto, from the proposed users of the sewer utility or
part thereof to be financed by part passu additional Bonds together with other
funds on hand or lawfully obtained for such purpose and deposited in a
Construction Trust Fund to be established for such purpose, which are then
actual customers of the Water System of the City.
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If the City shall have constructed or acquired a sewage dis-
posal system or part thereof and shall have combined, or shall authorize
the combination of the same with its Water S.ystem, and shall pledge the
net revenues from such sewage disposal system or part thereof to the pay-
ment of said part passu additional Bonds proposed to be issued, then the
term "Water System" shall be deemed to include such sewage disposal
system or part thereof so constructed or acquired and the revenues derived
by the City from the operation of the same shall be deemed to be included in
the revenues of said Water System.
For the purpose of computing "the largest amount of principal
and interest maturing and becoming due in any succeeding year", the
amounts provided to be deposited in the Bond Redemption Account, in each
year, pursuant to the provisions of this resolution or any resolution amenda-
tory hereof or supplemental hereto for the purpose of paying the principal
of term Bonds prior to maturity and for which no serial maturities have
been provided shall be deemed to be serial maturities, and the amount of
principal maturing in the year 1993 or any other year for such term Bonds
shall not be computed.
For the purpose of this subsection (L), the phrase "bondst
theretofore issued pursuant to this resolution", shall be deemed to include
the $1, 370, 000 Bonds originally authorized to be issued pursuant to this
resolution, and also any additional part passu Bonds theretofore issued under
the conditions and in the manner provided in this subsection (L).
The term, "part passu additional Bonds", as used in this
subsection (L), shall be deemed to mean additional obligations evidenced
by Bonds issued under the provisions and within the limitations of this sub-
section payable from net revenues of the Water System, as hereinbefore
authorized, part passu with Bonds originally authorized and issued pursuant
to this resolution. Such Bonds shall be deemed to have been issued
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pursuant to this resolution the same as the Bonds originally authorized
and issued pursuant to this resolution, and all of the covenants and other pro-
visions of this resolution (except as to details of such Bonds evidencing such
part passu additional obligations inconsistent therewith), shall be for the equal
benefit, protection and security of the holders of any Bonds originally author-
ized and issued pursuant to this resolution and holders of any Bonds evidencin
additional obligations subsequently issued within the limitations of and in
compliance with this subsection. All of such Bonds regardless of the time or
times of their issuance shall rank equally with respect to their lien on and
source and security for payment from the net revenues of such Water System
without preference of any Bonds or coupons over any other.
The term, "part passu additional bonds", as used in this
subsection (L), shall not be deemed to include bonds, notes, certificates
or other obligations subsequently issued, the lien of which on the revenues
of the Water System is subject to the prior and superior lien on such revenues
of Bonds issued pursuant to this resolution, and the City shall not issue any
obligations whatsoever payable from the revenues of the Water System which
rank equally as to lien on and source and security for payment from such
revenues with Bonds issued pursuant to this resolution, except in the manner
and under the conditions provided in this subsection (L).
No part passu additional Bonds, as in this subsection (L) defined
shall be issued at any time, however, unless all of the payments into the
funds provided for in this resolution on Bonds then outstanding,
and all other sinking fund, reserve or other payments provided for in this
'.on shall have been made in full to the date of issuance of said part
~assu additional Bonds, and the City shall have fully complied with all the
agreements and terms of this resolution.
SECTION 2: This Resolution shall become effective
~ly upon its being consented to by the holders of two-thirds (2/3) or
in principal amount of the outstanding Water Revenue Bonds, Series 1960,
ed by the Resolution to which this resolution is arnendatory.
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PASSED and ADOPTED this
A. D. 1962 .
CITY OF BOYNTON BF~CH, FLORIDA,
(CORPORATE SEAL)
)lVI~y o r
Vice M~yor//
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