HomeMy WebLinkAbout532 ORDINANCE NO.... 532
AN ORDINANCE AUTHORIZING THE CONSTRUCTION
OR ACQUISITION OF ADDITIONS, E~TENSIONS
AND IMPROVEMENTS TO THE COMBINED WATER
AND SEWER SYSTEM OF THE CITY OF SANFORD,
FLORIDA, AND AUTHORIZING THE ISSUANCE OF
$1,175,000 WATER AND SEWER REVENUE CERTIF-
ICATES FOR SUCH PURPOSES.
BE IT ENACTED BY THE PEOPLE OF THE CITY OF SANFORD,
ARTICLE I
FLORIDA
STATUTORY AUTHORITY, FINDINGS
AND DEFINITIONS
Section 1.01 AUTHORITY OF THIS ORDINANCE. This ordinance
is adopted pursuant to the Charter of the City of Sanford, Florida,
constituting Chapter 26,210, Laws of Florida, Special Acts of 1959,
amended, and other applicable provisions of law.
Section 1.02. FINDINGS. It is hereby ascertained, deter-
mined and declared that:
A. The City of Sanford, Florida (hereinafter called the
"City,), now owns, operates and maintains a Water System and a Sewer
System which have been combined into one indivisible Water and Sewer
System (hereinafter referred to as "Water and Sewer System") for the
supply and distribution of water within and without said City and the
furnishing of sewer services within said City and derives revenues
from the operation of the Water System of the combined Water and Sewer
System and will derive revenues from the Sewer System of the combined
Water and Sewer System.
B. The net revenues derived or to be derived from said
Water System of the combined Water and Sewer System are pledged in an
amount sufficient for the payment of the interest on the following
outstanding obligations of said City together with an amount equal to
$6,260 per annum for Sinking Fund purposes:
(1) $478,000 Series B Refunding Bonds, dated March 1,
bearing interest at the rate of
per annum until August 31, 1957,
1937,
~WO and one-fourth per centum (2 1/~%)
at the rate of two mhd n.._hol* ~.--
centum (2 1/2%) per annum from September 1, 1957 to August 31, 1967,
and at the rate of three per centum (3%) per annum from September l,
1967 until paid, and all maturing on September l, 1977, being the bonds
now outstanding of an original issue of $626,000 Series B Refunding
Bonds authorized by a resolution of the City Co~naission of said City
adopted on Februar~y 1, 1937, said $478,000 Series B Refunding Bonds,
dated March l, 1937, being hereinafter sometimes referred to as "Out-
standing Bonds of 1937".
That the holders of said Outstanding Bonds of 1937 have a
first lien on the net revenues derived from the operation of the Water
System of said Water and Sewer System, in the amount above stated,
which lien is prior and superior to the lien on such net revenues of
the holders of the Certificates authorized to be issued by this ordi-
C. The revenues of the Water System of said Water and Sewer
System are not pledged or encumbered in any manner, except as described
in subsection 1.02 (B) above and the revenues to be derived from the
Sewer System cf said Water and Sewer System are not pledged or enc~a-
bered in any manner.
D. It is necessary and essential to construct or acquire
additions, extensions and i~uorovements to said Water and Sewer System,
consisting of, but not being limited to, improvements and
additions to the water plant and system, sanitary sewer
rehabilitation and improvements and sanitary sewer extensions
and other purposes necessary, appurtenant or incidental thereto, all
in accordance with the plans and specifications pre?ared by Robert M.
Angas and Associates, Consulting Engineers, Jacksonville~ Florida, and
heretofore filed with and approved by the City Co~muission of the City
of Sanford, which additions, extensions and improvements are hereby
aut~orized.
E. That the estimated cost of the construction or acquisi-
tion of said additions, extensions and improvements to said Water and
Sewer System is the s~u of ~i1,175~000. Such cost, in addition to the
specific items set forth in subsection D above, shall be deemed to in-
clude the acquisition of any lands, or interest therei~ or of any fix-
tures or equipment or properties deemed necessary or convenient there-
for, interest upon Certificates issued pursuant to this orminance
maturing on May 1, 19~4, and November 1, 1954, or until si~ months
after the completion of 'the additions, extensions and improvements to
said Water and Sewer System authorized by 'this ordinance, whichever is
later; engineering and legal expenses; expenses for financial ser-
vices; expenses for estimates of costs and of revenues; expenses for
plans, specifications and surveys; and such other expenses as may be
necessary oz. incidental to the financing authorized by this ordinance
and the construction of the additions, extensions and i~nprovements to
and for said Water and Sewer System authorized by this ordinance and
the placing of same in operation.
F. That the esti~mted revenues to be derived in each year
hereafter from the operation of said Water and Sewer System will be
sufficient to pay all the cost of the operation and maintenance of
said Water and Sewer System, the principal of and interest on the Cer-
tificates to be issued pursuant to this ordinance as the same become
due, and all sinking fund, reserve and other payments provided for in
this ordinance, and required payments for all other obligations payable
from said revenues, as the same become due.
G. That the principal of and interest on the Certificates
to be issued pursuant to this ordinance and all of the sinking fund,
reserve and other payments provided for in this ordinance will be paid
solely from the revenues derived from the operation of said Water and
Sewer System, and shall not const~t~ ~ ~. ~ ~ ....
Section 1.03. O~INAMCE CONSTITUTES CONTraCT. In considera-
tion of the acceptance of the Certificates authorized to lac issued
hereunder by those who shall hold the same from time to time, this
ordinence shall be deex~led to be and shall constitate a contract between
the City of Sanford, Florida, snd such Certificate holders, and the
co~enants and agreements herein set forth to be perfor, aed by said City
shall be for the equal benefit, protection and security of the legal
holders of any and all of such Certificates, and the coupons attached
thereto, all of which shall be o£ equal rank and without preference,
~riority or distinction of any of the Certificates or coupons over
any other thereof except as expressly provided therein and herein.
Section 1.04. DEFINITIONS. That as used in this resolution
the following terms shall have the following meanings:
A. "City" shall mean the City of Sa~ord, Florida.
B. "Act" shall mean the Charter of the City being Chapter
26,210, Laws ~ Florida, Special Acts of 19~9, as amended.
C. "Water and Sewer System" shall mean the complete munici-
pal water and sewer system now owned by said City for the supply' and
distribution of water within and without said City and the furnishing
of sewer services within sa~d City', including the additions, extensions
and improvements to said Water a~ Sewer System authorized by this
ordinance, either within or without said City, toget~ r with. any and
all improvements, extession~ and addi~ons to said Water and Sewer Sys-
tem, or any part thereof, hereafter conat~cted or acquired, and shall
include (without being limited to) all lands or interest therein,
plants, buildings, machinery, franchises~ pipes~ fixtures~ equipment
and all property, real or personal, tangible or intangible, now or
hereafter owned or used in connection with said Water and Sewer System.
D. "Facilities" shall mean all the facilities of said Water
and. Sewer System~ and all carts th~r_ ~ ...... ~ ~ ~ ....
any parts thereof, by any additionS, bettermentS, exte~SiOnS, imprOVe-
ments theretO, or properGY of any kind. or nature, real or perSonal,
· e b~ercafter constructed or acquired.
tangible or intangmbl ,
· · s" shall mean the ~1,175~000 Certificates
E. .certifmcate
originally' a~thortzed to be issued pursuant to this ordi~aaCe, and the ..... theretO, and also an~ pari paSSU adoi-
interest coUpOnS aP
tional certificateS, and 'th~ int~rest coupons aPpertaining theretO~
hereafter issued pursuant to and ~d~r the termS, restrictions and
' d in this ordinance-
· · s contamne ,,Certificate holder", or
condlt leu · s"
F. .Holder of Certtfmcate or
similar terns, shall ~%ean an~ perSOn who shall be the bearer or owner
of any outstanding certificate or CertificateS registered to bearer
or not registered, or the registered owner of ~Y outstanding Certifi-
cate or CertificateS wh~ch shall at t'he time be registered other than
to bearer, or of an~' coupons representing interest accrued or to ac-
crue on said Certmfmcate · RevenueS" shall ~ean all rateS,
G. .RevenUeS" or "GroSS
fees~ charges or other income received by the City, or accrued to the
City or an~ agenC~ thereof tn control of the management and operation
of said ~ater and Sewer System~ and all ]oartS thereof, from the opera-
tion of said Water and Sewer System, all as calculated in accordance
with so~d accounting praC0mc ·
H. .Operating ExpenSes" shall mean the current expenses
paid or accrued, of operation, maintenance and ordinary current~patrS
of the Water and Sewer System or, when so applicable~ either the Water
System or Sewer System of said Water and Sewer Sys0em and its facili-
ties and shall include, withomt limiting th~ generality of the fore- ' s a~in~.strative expenSes of the City relating
~?tng, insurance premmUm ~
~] ~]w' to said Water and Se~er System or either the Water S~stem or
.... ~nt c~rtifted b~ the Con-
Water and Sewer system or either the Water System or Sewer System of
the Water and Sewer system, and such other reasonable current expenses
as shall be in accordance with sound acCOunting practice. ,operating
Expenses" shall not include any allOWance for depreciation except to
herein provided-
the extent expressly s" shall ~ean the groSS revenUeS, aS defined
I. "Net RevenUe
in subsectiOn G above, remaining after deductiOn only of operating ex-
penses, as defined in subsectiOn E above.
j. ,,utilities Services TaxeS" shall mean taxes levied and
collected on utilities services purSUant to Chapter 22829, publiC Acts
of 19~, as amended- ' '
K. ,'Fiscal Year" shall mean the period beg~nlng with and
including October 1st and ending with and including the next September
M. AngaS and
30th'L. ,,ConstructiOn Engineer" shall mean Robert
Associates, of jacksonville, Florida, or their successOrS.
M. ,Consulting Engineer" shall mean Robert M. AngaS and
Associates, of jacksonville, Florida, or other qualified and recognized
Consulting EngineerS, who shall be hereafter retained as successors to
the said Robert M. Angas and AssOciates.
N. Words importing singular number shall include the plural
number in each case and vice versa, and words importing persOns shall
include firms and corporationS'
ARTICLE II
SectiOn 2.01. AuTHORI~ATI0~ AND TERMS OF cERTIFIcATES' For
the purpose of financing the cost of the additions, extensions and im-
provements to said Water and Sewer system provided for in this ordi-
nance there is hereby authorized the issuanCe of negotiable Water and
.... ~tv of sanford, Florida (herein-
after called ,,Certificates"), in the aggregate principal amount of One
MilliOn One Hundred Seventy- Five Thousand Dollars ($1,175'O00)' which
Certificates shall be dated November l, 1953, in the denomination of
$1,OOO.OO each, numbered consecutively in numerical order from i to 1,175,
both inclusive, shall bear interest at not exceeding five per centum (5%)
per annum, such interest being payable semi-annually on May i and November
able as to both principal and interest at the prin-
i in each year, pay · York New York,in lawful money
cipal office of The Hanover Bank, New , '
of the United States of America; shall not be registerable, and shall
mature serially in numerical order on November 1 in years and amounts
as follOWS:
Ye_~ar ~ ~ea~ Amount
1972 $41,000
42,000
1958 $22,000
1959 23'000 1973
1960 25'000 1974
1961 26,000 1975
1976 48,1)00
1962
27,000 50,
1963 28,000 1977
1964 29'000 1978 52,~00
1979 54~ )00
1965 30'000 57 )00
1966 32,000 1980
33,000 1981 59,000
1967 1982 61,000
1968 34,000 64,O00
36,000 1Q83 67,000
1969 37,000 1984 69,000
1970 1985
1971 39,000
The Certificates of said issue maturing in the years 1958 to
1964, both inclusive, shall not be redeemable, prior to their respec-
tive stated dates of maturitY- The Certificates of said issue maturing
in the years 1965 to 1985, both inclusive, shall be redeemable prior
to their respective stated dates of maturitY, at the option of the
City, on November 1, 1964 or on any interest payment date thereafter,
in whole or in part but in inverse numerical order if less than all~
at the price of par and accrued interest to the date of redemption,
plus the following premiums if redeemed in the following years:
Four per centU~ of the par value thereof if redeemed in the
years 196~ to 1968, both inclusive; Three oer centum of the par value
thereOf if redeemed in the years 1969 to 1973, both inclusive; Two
and one-half per centUm of the par value thereof if redeemed in the
years 197~ to 1978' both inclusive; and Two per centum of the par
value thereof if redeemed thereafter prior to maturitY' shall · n of said Certificates
A notice of the prior redempt~°
· d at least once at least thirty days prior to the date of of NeW york.
be publBShe
redemptiOn in a financial paper published in the City
interest shall cease on the redemption date on any of said
Certificates dul~ called for prior redemption provided paymeht of the · d for,
redemption price thereof has been duly provmde
sectiOn 2.02. ExEC~TI0~ OF cERTIFICATES AND cOUP0~S- said
certificates shall be signed in the name of the City by its Mayor and
the corporate seal of the city shallbe affixed theretO and attested
b~ the City clerk. In case any one or more of the officers who shall
have signed or sealed any ~ the certificates shall cease to be such
officer of the City before the certificates so signed and sealed shall
have been actually sold and~livered' such certificates may neverthe-
leSS be sold and delivered aS herei~ provided and may be issued as if
the perSOn who signed or sealed such certificates had not ceased to
hold such office. Any certificates may be signed and sealed on behalf
of the City by such perSOn aS at the actual time of the exeCUtion of
such certificates shall hold the proper office in the city, although
at the date of such Certificates such perSOn may not have held such
office or may not have been so authorized.
The coupons to be attached to the certificates shall be au-
thenticated with the facsimile signatures of the present or any future
..... ~ City Clerk of said City, and the City ~ay adopt and use for
~ 1 have been
.... ~ r~rSO~ who s~a~
Section 2.03. NEGOTIABILITY. The Certificates shall be,
and have all of the qualities and incidents of, negotiable tnstr~uents
under the law merchant and the Negotiable instruments Law of the State
of Florida, and each successive holder, in accepting any of said Certi-
ficates or the coupons a~pertatntng thereto, shall be conclusively
deemed to have agreed that such Certificates shall be a~ have all of
· s and incidents of negotiable instru~entS under the law
the qualmtie ,
merchant and the Negotiable instruments LaW of the State of Florida
and each successive holder shall further be conclusively deemed to
have agreed that said Certificates shall be incontestable in the hands
of a bona fide holder for value in the manner provided hereinafter in
the form of said CertificateS-
Section 2.04. cERTIFICATES MUTILATED, DESTR0¥ED, STOLEN OR
LOST. In case any Certificate shall become mutilated or be destroyed,
stolen or lost, the City may in its discretion issue and deliver a
new Certificate with all unmatured coupons attached of like tenor as
the Certificate and attached coupon, S, if any, so mutilated, destroyed,
stolen or lost, in exchange and substitution for such ~utilated Certi-
ficate, upon surrender and cancellation of such mutilated Certificate
and attached couponS, if any, or in lieu of and substitutiOn for the
Certificate and attached coupons, if any, destroyed, stolen or lost,
and upOn the holder furnishing the City proof of his ownership thereof
and satisfactory indemnity and complyin~ with such other reasonable
regulations and conditions as the City may prescribe and paying such
expenses as the City may incur. All Certificates and coupons so sur-
rendered shall be cancelled by the Clerk and held for the accoUnt of
the City. Ii' any suCh Certificate or coUpOn shall have matured or be
about to mature, instead of issuing a substituted Certificate or coU-
pon, the City may 9ay the same upon being inde~mified as aforesaid,
...... ~ lost. stolen or destroyed, with-
· s and coupons ~ssued pursuant
· e Certificate
Any such duplmoat
to this section shsll constitute additional oontraotursl obligations
on the psrt of the City, whether or not the lost, stolon or destroyed
CertificateS or coupons be at sn~T time found by anyOne~ and such du-
plicate Certificates and coupOns shall be entitled to eqmal and pro-
portionate benefits and rights as to lien and source an.3 security for
payment from the revenues of the ~ater and Sewer System with all other
Certt£icateS and coupons issued hereunder-
Section 2.0~. FoI~M OF CERTIFICATES A_ND CO'opONS. The text
of the CertificateS and coupOns shall be of substantially the follow-
in~ tenor~ with such omtssiOnS~ insertiOnS amd ~arfationS as ma~ be
· e
necessary and desirable and authorized or permitted by this ordmnano
or any subsequent ordinance adopted prior to the issusnee thereof:
~1~000
1~o. 0~'~ITED STATES OF A/v~ICA
STATE OF FLORIDA
C08~.iTY OF SEMIi~0LE
CITY OF SAi~FOthD
~:~T]~ Ai~D SE's~ RE~EI~JL C~TIFIC~TE.
I[~40W ALL Hm,~ BY ~HEom PRSS~s~TS that the City of oanford~
Seminole County~ ~lorm a~ for value received~ hereby promzses to pay
to the bearer~ on the first day of November~ 19 , from the revenues
hereinafter mentimned~ the principal sum of
ONE TH0~]SAND O0LL~S
with interest thereon at the rate of per centum
per annum~ payable se~-annually on the first day of May and the first
day of lqovember of each year~ upon the presentation a~d surrender of
the annexed coupons as they severally fall due. Both principal of and
interest on this Certificate are payable at the principal office of
The Hanover Bank, l.~ew York~ New York~ in lawful money of the g~ited
States of ~merica.
The Certificates of the issue of which this Certificate is
one maturing in the years 19[$ to 196~, ir~clusive~ are not redeemable
prior to their stated dates of maturity. The Certificates of the issue
of which this Certificate is one maturing in the years 196~ to 1985,
inclusive~ are redeemable prior to their stated dates of maturity, at
the option of the City~ in whole or in part but ia inverse numerical
order if less than all~ on November 1~ 196~ or on any interest payment
date thereafter~ at the price of par and accrued interest to the date
of redemption, plus the following premiums if redeemed in the followi~g
years: Four per centum of the par value thereof if redeemed in the
years 196~ to 196~ 'both inclusive~ Three per centum of the par value
thereof if redeemed ir~ the years 1969 to 1973, both inclusive~ Two
and one-half per centum of the par value thereof if redeemed in the
years 1974 to 1975~ both i~nclusive~ and Two per cer~tum of the par
~r~]ua thereof if redeemed thereafter prior to maturity~ provided, how-
cation of such notice at least Once at least thirty days prior to the
date of redemption in a financial paper published in the City of
New York.
This Certificate is one of an authorized issue of Certif.
icates in the aggregate principal amount of not exceeding $1,175,000,
of like date, tenor and effect, except as to number and date of ma-
turity, (and interest rate), issued to finance the cost of the con-
struction or acquisition of additions, extensions and improvements
to the Water and Sewer System of Said City, under the authority of
and in full compliance with the Constitution and Statutes of the State
of Florida, including Chapter 26,210, Laws of Florida, Special Acts
of 1949, as amended, and other applicable statutes, and an ordinance
duly enacted by the City Commission of said City and is subject to
all the terms and conditions of said ordinance.
This Certificate and the coupons appertaining the~eto are
payable solely from and secured by, a second lien Upon and pledge of
the bet revenues derived from the operation of the Water System of
the Water and Sewer System of the City of Sanford and a first lien
upon and pledge of the gross revenues derived from the operation of
the Sewer System of said Water and Sewer System of the City of San-
ford, in the manner PrOVided in the ordinance authorizing the issue
of C
ertifzcates of which this Certificate is One.
The lien of the holders of the issue of Certificates of
which this Certificate is one on the net revenues derived by the
City from the Water SYstem of said Water and Sewer System is Junior,
inferior and subordinate in all respects to the lien thereon of the
holders of $478,000 Series B Refunding Bonds of the City of Sanford,
dated March l, 1937.
It is further agreed between the City of Sanford and the
holder of this Certificate that this Certificate and the obligation
evidenced thereby shall not constitute a lien upon the City's Water
and Sewer System, or any part thereof, or on any other property of
or in the City of Sanford, but shall constitute a lien only on, the
net revenues derived from the operation of the Water System of said
Water and Sewer System, the gross revenues of the Sewer SyStem of
said Water and Sewer System, all in the manner provided in said
ordinance.
The City in said ordinance has covenanted and agreed with
the holders of the Certificates of this issue to fix and establish and
maintain such rates and collect such fees, rentals or other charges
for the services and facilities of said Water and Sewer System, and to
revise the same from time to time whenever necessary, as will always
provide revenues sufficient to pay, and out of said revenues shall pay,
as the same shall become due, the principal of and interest on the
Certificates of this issue, all reserve or sinking funds or other pay-
ments provided for in said~ordinance, the necessary expenses of operat-
ing and maintaining said Water and Sewer System, and all other obliga-
tions payable out of the revenues of said Water and Sewer System, and
that such rates, fees, rentals or other charges shall not be reduced
so as to be insufficient to provide revenues for such purposes and, ad-
ditionally, that the rates, faes, rentals or other charges for the
services and facilities of the Sewer System of said Water and Sewer
System shall not be reduced so that the gross revenues thereof, based
on the preceding fiscal year's gross collections, will be less than
one hundred thirty per~c~t {1~0%) of the next ensuing year,s require-
ments for the payment of the principal and interest on the Certificates
of this issue and any pari passu additional obligations hereafter
issued, and said City has entered into certain further covenants with
the holders of the Certificates of this 2Ssue for the terms of which
reference is made to said ordinance.
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 Certificate, exist, have happened and
have been oerformed in regular and due form and time as required by
the Laws and Constitution of the State of Florida applicable thereto,
and that the issuance of this Certificate, and of the iSsue of Certi-
ficates of which this Certificate is one, is in full compliance with
all constitutional, statutory or charter limitations or provisions.
This Certificate, and the coupons appertaining thereto, is
and has all the qualities and incidents of, a negotiable instru~ent
under the law merchant and the Negotiable Znstrmuents Law of the State
of Florida, and the original holder and each successive holder of this
Certificate, or of the coupons appertaining thereto, shall be conclu-
sively deemed by this acceptance thereof to imve agreed that this Cer-
tificate and the coupons appertaining thereto Shall be and have all
the qualities and incidents of negotiable inst~ments under the law
merchant and the Negotiable Instrumehts Law of the State of Florida.
T.be original holder and each s ·
Uccesszve holder of this Certificate,
and of the coupons appertaining thereto_
(a) Title to this Certificate, and to the annexed interest
COUpons, may be transferred by delivery in the manner PrOvided for
gotiable instruments payable to bearer in the law merchant and in the
Negotia'
~ ole ~!~struments Law of the State of Florida.
(b) Any Person in possession of this C ·
ertiflcate, of the in-
terest coupons hereunto appertaining, regardless of the manner in
which he shall have acquired PosseSsion, is hereby authorized to
present himself as the absolute Owner hereof, and is hereby granted
power to transfer absolute title hereby by delivery hereof to a bona
fide PUrchaser, that is, to any one who Shall purchase the same for
value (Present or antecedent) without notice of prior defenses or
equities or claims of OWnership enforceable against his
every prior taker or OWner of this Certificate, and of the annexed
interest COUpons, Waives and renounces all of his equities and rights
herein in favo~ of every Such bona fide purchaser and every Such bona
fide PUrchaser shall acquire absolute title hereto and to all rights
represented hereby; and
(c) The City of Sanford, Florida, may treat the bearer of
this C · ·
ertmflCate, or of the interest COUpons hereunto apPertaining, as
the absolute Owner hereof for all purposes without
any notice ss to the Contrary.
I~ WITNESS t~[{EOF, Said City of Sanford,
Sued this Certificate and h~s caused the Same to be
Mayor, and the corporate Seal of said City to be affixed hereto, at-
tested by its City Clerk, and has caused the interest COUpons hereto
attached to be eXeCuted W~th the facsimile signature of its Mayo~ and
~ity Clerk, all as of the first day of November,
being affected by
Florida, has is-
Signed by its
CITy OF SAN~'ORD, FLORIDA
~'0 o
FORM OF COUPON
On the first day of ~ 19
the City of Sanford~
Florida, will pay to the bearer, at the principal office of The Hanover
Bank, New York, New York, in lawful money of the United States of
America, from the revenues described in the Certificate to which this
coupon is attached~ the sum of
dollars (~
surrender of this coupon, being six months
Water and Sewer Revenue
No.
) upon presentation and
interest then due on its
Certificate~ dated November 1, 1953o
CiTY OF SAkrpORD, FLORIDA
By
Mayor
City Clerk
FORM OF VALIDATION CERTIFICATE
Validated and confirmed by decree of the Circuit Court of
the Ninth Judicial Circuit of Florida, in and for Seminole County,
rendered on the day of , 19
Clerk of the Circuit Court of
Seminole County, Florida.
('20 be inserted in Coupons maturing after callable date on callable
Certificates - "unless the Certificate to which this coupon is at-
tached has been previously duly called for prior redemption and pay-
ment thereof duly provided for".)
ARTICLE III
REVENO~ES A~ AP?LICATION THEREOF
Section 3.01. CERTIFZCATES NOT TO BE INDEBTEDi~ESS OF
CITY OF SAi'~0RDo Neither the Certificates nor coupons appertaining
thereto shall be or constitute an indebtechaess of the City of Sanford
within the meaning of any constitutional, statutory or charter limita-
tion of indebteSaaess, but shall be payable solely from the revenues of
said Water and Sewer System and other special funds~ as herein provided,
No holder or holders of any Certificate issued hereunder, or of any
counon appertaining thereto, shall ever have the right to corapel the
exercise of tile taxing power of the City to pay said Certificates or
the interest thereon, or be entitled to payment of such principal and
interest from any other funds of the City except the revenues of said
Water snd Sewer System and other special funds~ as provided herein°
Section 3.02o CERTIFICATES SECURED BY PLEDGE OF REVE~ES.
The payment of the debt service of all the Certificates issued here-
under shall be secured forthwith equally and ratably by a second lien
on and pledge of the net revenues derived from the operation of the
Water System of the Water and Sewer System of the City of Sanford and
a first lien on and pledge of the gross revenues derived from the
ooeration of the Sewer System of said Water and Sewer System. The
lien on the net revenues of the Water System of said Water and Sewer
System is j~mior, subordinate and inferior to the lien thereon of
~78~000 Series B Refunding Bonds of the City of Sanford, dated March
1, 1937 and said net revenues derived from the Water System of the
Water and Sewer System, subject to the rights of said Outstanding
Bonds of 1937 as aforesaid, and said gross reverlues derived frown Sewer
Systen! of the Water and Sewer Syste.n, in. an amount sufficient to pay
the principal and interest on the Certificates herein authorized, and
to make the payments into
Section 3.03. APPLICATION OF CERTIFICATE PROCEEDS. All
moneys received from the sale of any or all of the $1,1~5~000 Certifi-
cates isaued pursuant to this ordinance shall be deposited by the City
of Sanford in a trust fund to be known as the "Construction Trust
Fund", and shall be used and applied by the City solely to the payment
of the cost of the construction or acquisition of the additions, exten-
sions and improvements to said Water and Sewer System as provided in
this ordinance, and for no other purpose whatsoever, Said fund shall
be maintained by the City in an incorporated bank or trust company in
the State of Florida which has an aggregate capital and surplus of not
less than $260,000, and all moneys at any time in said Construction
Trust Fund shall be continuously secured in the same manner as deposits
of State and municipal funds are required to be secured by the present
laws of the State of Florida. No withdrawals shall be made from said
Construction Trust Fund, except for legal and engineering expenses,
expenses for financial or fiscal services, and expenses in connection
with the authorization and issuance of the Certificates authorized by
this ordinance, except upon the certificate of Robert M. Angas and
Associates, Construction Engineers, of Jacksonville, Florida, or their
successors as Construction Engineers, that sucl~ withdrawals are proper
and are for purposes orovided for in this ordinance. If for any rea-
son such proceeds, or an~ part thereof, are not necessary for, or are
not applied to~ such purposes, then, such unapp!ied ~roceeds shall be
deposited by the C~ty in the ~{eserve Account i~ the Sinking Fund to be
established pursuant to this ordinance and shall be used only for
ourposes provided t~erein. Ail monies in said Construction T~ust Fund
shall constitute a trust fmnd for such purposes and there is hereby
created a lien upon such fund, until so appliem, in favor of th~
holders of the Certificates issued pursuant to this ordinance.
Section 3.0~. COVENANTS OF T~ CIT~. So long as any of the
Certificates shall be outstanding and unpaid, or until there shall
have been set apart in the Sinking Fund~ including the Reserve Account
therein~ herein established a sum sufficient to pay, when due, the en-
tire principal of the Certificates remaining unpaid, together with inte-
rest accrued and to accrue thereon, the City covenants with the holders
Certificates issued pursuant to this ordinance
of any and all of the
as follows:
A. i~TES.
That the City will fix, establish and maintain
such rates and collect such fees, rentals or other charges for the
services and facilities of its Water and Sewer System, and all parts
thereof, and revise the same from time to time whenever necessary, as
will always provide revenues in each fiscal year at least sufficient
to pay the principal of and interest maturing on the Certificates in
such fiscal year, all reserve or sinking funds or other payments re-
quired for such fiscal year by this ordinance, the necessary expensgs
of operating and maintaining such Water and Sewer System during such
fiscal year, and all other obligations and indebtedness payable out of
charges for the services and facilities of the Sewer System of said
Water and Sewer System shall not be reduced so that the gross reven-
ues thereof, based on the preceding fiscal year's gross collections,
will be less than one hundred thirty per cent (130%) of the next
ensuing year's requirements for the payment of the principal of and
interest on the Certificates of this issue and any pari passu addi-
tional obligations hereafter issued.
That the initial schedule of rates, fees, rentals or
other charges for the services and facilities of said Water and
Sewer System shall be as follows:
WATER RATES
For the first 4,0OO gallons of water used,
56 3/4~ per each one thousand gallons.
For the next 6,000 gallons of water used,
35~ per each one thousand gallons or frac-
tion thereof.
For all over 10,O00 gallons of water used
and not exceeding 50,000 gallons, 30¢ per
each one thousand gallons or fraction there-
of.
For all over 50,000 gallons of water used
and not exceeding lO0,OOO gallons, 25~ per
each one thousand gallons or fraction there-
of.
For all over 1OO,OOO gallons of water used
and not exceeding 250,000 gallons, 15~ per
each one thousand gallons or fraction thereof.
For all over 250,000 gallons of water used
and not exceeding 500,000 gallons, l$~ per
each one thousand gallons or fraction thereof.
For all over 500,000 gallons of water used
and not exceeding 1,O00,O00 gallons, 13¢
per each one thousand gallons or fraction
thereof.
For all over 1,OO0,OOO gallons of water
used, 12~ per each one thousand gallons or
fraction thereof.
Provided that the minimum charge for water
furnished shall be $2.27 per month.
All the above rates on usage from 6,000 gal-
~ .^ ~ ~ ~llons Der month, inclusive,
Gallons of water
used per month
4,000 gallons or less
5,000 gallons or a lesser
amount exceeding 4,000
gallons
Sewer Charge
1.77
6,000 gallons or a lesser
amount exceeding 5,000
gallons
2.03
7,000 gallons, or a lesser 2.25
amount exceeding 6,000
gallons
8,000 gallons, or a lesser
amount exceeding 7,000
gallons
2.51
9,000 gallons, or a lesser 2.73
amount exceeding 8,000
gallons
10,000 gallons, or a lesser 2.94
amount exceeding 9,000
gallons
Sewer service charges above shall apply to all
users of the sewer and water systems, or either
of them, the minimum rate per month being $1.65.
Maximum charge to a single residence shall be
$2.94 per month. For every usage other than single
residence when consumption of water is in excess
of lO,O00 gallons per month, the monthly rate shall
be 68% of the water billing for the given month,
subject to such adjustment for particular commer-
cial usages as may be set out in subsequent ordinance
prescribing detailed sewer rates. Special provision
and appropriate sewer charge shall he made in any
case in which a user of the sewer system obtains
water from a source other than the city water sys-
tem.
Charges for water services and facilities, and charges for
sewer services and facilities, shall be rendered to the users of the
system, or either part thereof (except users of the water system to
whom sewer services are not available as hereinafter provided) on one
bill, provided that said charges may be listed separately thereon, and
provided further, that no user of the water services and facilities
Theft the City has adopted and put into effect or will adopt
and put into effect such initial schedule of rates, fees, rentals or
other charges forthwith upon the sdoption of this ordinance.
Thet whenever necessary to comply with the first paragraph
of this subsection (A), and to the full e%tent necessary therefor, the
City will increase the rates, fees, rentals or other charges contained
in said initial schedule, or in any subsequent schedule.
That neither said initial schedule of rates, fees, rentals
or other charges, nor any subsequent schedule of rates, fees, rentals
or other charges shall ever at any time be reduced unless
na nt s
ment s,
fully made
all ot~er ~a~nents
end
(2)
schedule of rates,
(1) The City shall not be in default under any of the cove-
tn .... ordinance, a.~ ~1 of the pay-
and provisions contained in ~ '~ -
incl..~a~.ne~ any deficiencies for any ~rior ~ayments, have been
Consulting Engineer shall certif~ that the reduced
fees, rentals or other charges proposed to be put
iz~to effect will provide revenues in each fiscal year thereafter suf-
ficient to comply fully with the provisions of the first paragraph of
this subsection
Bo WATER AND SEWER REVENUE FUND. That all gross revenues
derived from the operation of the Water and Sewer System or any part
thereof, shall be deposited in a trust fund in a bank or trust companN
in the State of Florida, having sn aggregate capital and sur?lus of at
least ~260,000, which fund is hereby created end desfgnated as the
"Water and Sewer Revenue Fund". Said Water end Sewer Revenue Fund
shall constitute a trust fund for the purposes provided in this ordi-
nance and shall be kept separate and distinct from all other funds of
into the Sinking Fund and the Reserve Account therein, and
required by this ordinance have been fully made;
Co OPERATION A~ ~II~ENANCE. That it will maintain in
good condition said Water and Sewer System and will operate the same
in an efficient and economical manner, making such expenditures for
equipment and for renewal, repair and replacement as may be proper for
the economical operation and maintenance thereof from the Water and
Sewer Revenue Fund in the manner provided herein.
D. DISPOSITION OF REVENGES. That all revenues at any time
remaining on deposit in the Water and Sewer Revenue Fund shall be dis-
posed of only in the following manner and order of priority:
(1) Revenues derived from the operation of the Water System
of the Water and Sewer Syste~n shall first be used for the pa~n~nt of
the cost of the operation and maintenance of the Water System of said
Water and Sewer System.
(2} Revenues derived from the operation of the Water System
of the Water and Sewer System shall next be used ~or the payment of the
inter£~st on, and Sinking Fund requirements for, the ~478,000 S~ries B
Refunding Bonds, dated March 1, 1937 as provided in R~solution No. 499
of the City of Sanford, Florida, adopted on February 1, 1937.
(3~ F~om all the revenues remaining on d~pos~t in the Water
and Sewer Fund the Cit~ shall next, not later than the fifteenth day
of each month, beginning with the fifteenth day of the month i~ediately
following the issuance of any Certificates pursuant to this ordinance,
apportion and set apart out of th~ Water and Sewer Revenue Fund and
deposit in a fund to be ~own as "Water and Sewer Revenue 19~3 Sinking
Fund", which fund is hereby created, such suar~s as will be sufficient
to pay one-sixth of all interest maturing on the Certi£iestes on the
next semi-annual interest payment date, provided, that moneys in the
Construction Trust Fund may be used to pay the interest -maturing on
said C~rtificates on May 1, 19~4 and November 1, 19~4, and beginning
with November 1. lg~7. s~¼ ~m~ ~ ~]1 ~ .... ~g~_~
The City shall also, from the Water and Sewer Revenue Fund,
deposit in a Reserve Account in said 1953 Sinking Fund, the following
amounts at the following times:
$20,000 on or before September 30, 195~;
$20,000 on or before September 30, 1955;
$20,000 on or before September 30, 1956;
$20,000 on or before September 30, 1957.
No further payments shall be required to be made into said
Reserve Account when there shall have been deposited therein, and as
long as there shall remain therein, not less than the aggregate principal
amount of eighty thousand dollars ($80,000).
Moneys in the Reserve Account shall be used only for the
purpose of the payment of maturing principal of or interest on the
Certificates when the other moneys in the 1953 Sinking Fund are insuf-
ficient therefor, and for no other purpose.
In the event any withdrawals are made from said Reserve Ac-
count, such withdrawals shall be restored to said Reserve Account from
the first revenues which are available after all required payments for
the $~78,000 Series B, Refunding Bonds, and for debt service and Re-
serves on the Certificates issued hereunder, have been made.
The City shall not be required to make any further payments
into said 1953 Sinking Fund or into the Reserve Account in said 1953
Sinking Fund when the aggregate amount of funds in both said 1953
Sinking Fund and said Reserve Account are at least equal to the aggre-
gate principal amount of Certificates issued pursuant to this ordinance
then outstanding, plus the amount of interest then due or thereafter
to become due on said Certificates then outstanding.
In the event of the issuance of pari passu additional certifi-
cates, as hereinafter provided, payments into the Reserve Account shall
be increased in the same proportion as the payments set forth above bear
to the original issue of C~rtif~natm~ h.~n :~,~h~N
(5) Thereafter, revenues shall be used to establish and set
up a Renewel and ~eplacement Fund, which is hereby created, and the
City shal~ pay into said fund from the Water and Sewer Revenue Fund,
on the fifteenth day of each month, beginning October 15, 1955, an
five per eentum of
amount which shall be equal to one-twelfth of^the gross water sales
during the preceding fiscal year and one-twelfth of five per centum of
the gross sewer revenues actually received and collected during the
shall be used only for the purpose of paying the cost of extensions,
improvements or ddltlons to, or the replacement of capital assets of
said Water and Sewer System; provided, however, that upon the certi-
ficate of the Oonsultmng E~gineer to the e~ ~o* *~
~ ~o.~ ~ne moneys in
said fund in excess of the sum of ~100,000 are not needed for the
poses stated above, then such moneys may be used for the purchase or
redemption of the Certificates issued pursuant to this ordinance, of
the last maturity then outstanding.
~6) If on any payment date the revenues are insufficient to
place the equlred amounts in any of the funds as n reznbefore pro-
r
vided, the deficiency shall be made up on the subsequent payments in
addition to the ?ayments which would otherwise be required to be made
into the Funds on the subsequent payment dates.
(7) Thereafter, the b~lance of any revenues remaining after
all other required payments into the lands provided above and required
by the prow[sions of said resolution No. 499, adopted February l, 1937
have been made, s[ball be used by the City to finance the cost of re-
habilitating, reconstructing or improving the Water and Sewer System,
or the acquiring and installing of quzpment or apparatus or of acquir-
ing any property, rights in land and easements deemed by the City to
be necessary, useful or convenient for the purposes of this ordinance.
Thereafter, funds in an amc,or =~a ...... ~ .... :..~
Any revenues remaining in the Water and Sewer Revenue Fund
and not required for any of the above mentioned purposes shall be used
for purchase or redemption of outstanding Certificates, or if there he
such revenues remaining at any time prior to November l, 1965, same shall
be used for purchase and cancellation of Certificates or deposited in the
Reserve Account until Certificates hereunder are available for redemption.
(8) The Water and Sewer Revenue Fund, the 1953 Sinking Fund
and the Reserve Account therein, the Renewal and Replacement Fund, and
all other funds set up and created by this ordinance shall constitute
trust funds for the purposes provided herein for such funds. All of
such funds shall he continuously secured in the same manner as state
and municipal deposits of funds are required to be secured by the Laws
of the State of Florida.
Said 1953 Sinking Fund, and the Reserve Account therein, and
said Renewal and Replacement Fund shall be continuously maintained
with a hank or trust company which has a combined capital and surplus
aggregating at least $260,000.
E. SALE OF T~E WATER AND S~ER SYSTEM. That the Water and
Sewer System may be sold, mortgaged, leased or otherwise disposed of
only as a whole or substantially as a whole, and only if the net pro-
ceeds to be realized shall be sufficient fully to retire all of the
Certificates issued pursuant to this ordinance and all interest thereon
to their respective date of maturity or prior redemption and all other
obligations payable from the revenues of said Water and Sewer System,
or any part thereof. The proceeds from such sale, mortgage, lease or
other disposition of such Water and Sewer System shall immediately be
deposited in the 1953 Sinking Fund and shall be used only for the pur-
pose of paying the principal of and interest on the Certificates is-
sued pursuant to this ordinance as the same shall become due, and all
other obligations payable from the revenues of said Water and Sewer
System, or the prior redemption of such Certificat~ ~ ~.~ ^~
The foregoing provisio~i notwithstanding, the City s~all have
end hereby reserves the right to sell, lease or otherwise dispose of
any of the N}roperty comprising a Part of said Water and Sewer System
hereafter determined to be no longer necessary., useful or profitable
in the operatioh thereof° The proceeds from anp such sale or other
disposition, shall be deposited in this Renewal and [~eplacement Fund
and used only as erovided herein for such fund.
P. ISSUANCE OF OT~R OBLIGATIONS PAYABLe OUT OF ~SV~lfUES.
That the City will not issue any other obligations, except under the
conditions and in the manner provided herein, payable from the revenues
derived from the operation of said Water and Sewer System, nor volun-
tarily create or cause to be created any' debt~ lien, pledge, assign-
ment, encumbrance or any other charge, having priority to or being on
a parity with the lien of the Certificates issued pursuant to this
ordinance and the interest thereon, mpon any of the income and revenues
of said Water and Sewer System pledged as security therefor in this
ordinance. Any other obligations issued by the City in addition to the
Certificates authorized by this ordinance and !~ari passu additional
Certificates authorized by this ordinance, shall contain an express
state,sent that such obligations are junior and subordinate, as to lien
end source and security for payment from the revem~es of the Water
and Sewer System, and in all other respects, to Certificates issued
pursuant to this ordinance, and !:~ari passu additional Certificates,
issued under the terms, restrictions and conditions contained in this
ordinanc~
G. INSU[~NCE. That the City will carry such insurance, and
in such amounts, as is ordinarily carried by private Corporations own-
ing and operating similar utilities as the utility co~rising the City's
Water and Sewer System, with a reputable insurance carrier or carriers
against loss or damage by fire. e×m~ ~ .... ~.
against loss or damage by the risks and hazards of War. The City
shall also carry adequate liability insurance for damages or injuries
to persons or property.
H. BOOKS AND ~CORDS. That the City will keep Separate
books and records of the Water System of the Water and Sewer System and
of the Sewer System of the Water and Sewer System, which shall be
Separate and apart from all other books, records and accounts of the
City, in which complete and correct entries shall be made of all trans-
actions relating to each of said systems of the Water and Sewer System,
and any holder of a Certificate or Certificates issued pursuant to
this ordinance shall hsve the right at all reasonable times to inspect
the Water and Sewer System and all p~'ts thereof and all records, ac-
counts and data of the City relating thereto, and will at least once
every six months mail a ~'eport of transactions rela~ing to said Water
and Sewer System to any holders of Certificates requesting the same,
and file co~ies thereof with the original purchasers of the Certifi-
cates, and the Paying Agent of the Certificates.
The City shall, at least once a year, cause the books,
cords and accounts of the Water Sy~tem and Sewer System of said Water
and Sewer Syste~l to be properly audited by a qualified and recognized
firm of certified public accountants, and shall mail, upon request,
and make available generally, the report of said qualified and recog-
nized firm of certified public accountants at all reasonable times to
any holder or holders of Certificates iSSued pu~s~ant to this ordi-
nance, and shall file such reports with the original purchasers of the
Certificates, and the Paying Agent of the Certificates. Each such
Audit, in addition to w~atever matters may be deemed P~oper by the ac-
countant to be incl~ded therein, shall include the following:
(1) A statement in detail of the income a~d expenditures of
the Water System and the Sewer Svsb~m ~e
tion of the Water and Sewer System;
(~) A list of the insurance policies in force at the end of
the fiscal year, setting out as to each policy the amount thereof, the
risks covered, the name of the insurer and the expiration date of the
policy;
(5) The number of metered water customers, the number of
unmetered water customers and the number of properties and customers
connected with the sewer system at the end of such fiscal year.
I. ~4AI~TE~ANCE OF WATER AND SEWER SYSTE~. That the City
will complete the construction and acquisition of the additions, ex-
tensions and improvements to said Water and Sewer System provided for
in this ordinance in an economical and efficient manner with all prac-
ticable dispatch, and thereafter will maintain said Water and Sewer
System in good condition and continuously operate the same in an effi-
cient manner and at a reasonable cost.
J. SERVICES RENDERED TO THE CITY OF SANFORD. That the City
of Sanford will not render or cause to be rendered any free services
of any nature by its Water and Sewer System, or any part thereof, nor
will any preferential rates be established for users of the same class;
and in the event the City of Sanford or any department, agency, instru-
mentality, officer or employee thereof, shall avail itself of the
facilities or services provided by said Water and Sewer System, or any
part thereof, the same rates,, fees or charges applicable to other cus-
tomers receiving like services under similar circumstances shall be
charged the City, and any such department, agency, instrumentality,
officer or employee. Such charges shall be paid as they accrue, and
the City shall transfer from its general funds sufficient sums to pay
such charges. The revenues so received shall be deemed to be revenues
derived from the operation of the Water and Sewer System, and shall be
deposited and accounted for in the same manner as other revenues derived
K. ANNI~L BUDGETS. That the City shall annually, at least
forty-five days preceding each of its fiscal years, prepare and adopt
by resolution of its governing body a detailed budget of the estimated
expenditures for operation and maintenance of the Water and Sewer Sys-
tem during such succeeding fiscal year, which budgeb shall nob be so
adopted until approved by the Consulting Engineer. No expenditures
for the operation and maintenance of the Water and Sewer System shall
be made in shy fiscal year in excess of the amounts provided therefor
Jn such budget without a written finding and recommendation by the
general manager of such Water and Sewer System or other duly authorized
officer in charge thereof, which finding and recommendation shall
state in detail the purpose of and necessity for such increased expen-
ditures for the operation and raaintenance of the Water and Sewer System,
and no such increased expenditures shall be made until the governing
body of said City shall have approve~ such finding, and recommendation
by a resolution duly adopteD. No increased expendibures in excess of
ten per cent~m of the amounts provided for in such budget shall be
made without the further certificate of the Consulting Engineer thab
such increased expenditures are necessary for thc continued operation
and maintenance of said Water and Sewer System. The City shall raail
copies of such annual budget and ell resolutions authorizing increased
expenditures for operation and maintenance to any holder or holders of
Certificates who shall file his or their address with the City and
quest in writing that copies of all such budgets and resolutions be
furnished him or them, and shall make available such budgets ahd all
resolutions authorizing increased expenditures for operation and main-
tenance of the Water and Sewer System at all reasonable times to any
holder or holders of Certificates issmed Oursuant to this ordinance,
and shall file copies of same with the original purchasers of the Cer-
tificates, and the Payin~ A~ent ~ a~ ~
L. ISSUANCE OF PARI PASSU ADDITIONAL CERTIFICATES. That
no pari passu additional Certificates, as in this sub-section defined,
payable out of the Water and Sewer Revenue Fund, shall be created
after the issuance of any Certificates pursuant %o this ordinance ex-
cept under the conditions and in the manner herein provided.
No such pari passu additional Certificates shall be issued
unless the average of the annual net revenues derived from the Water
System of the Water and Sewer System and gross revenues of the Sewer
System of the Water and Sewer System, together with the amount of utili-
ties services taxes received by the City and pledged to the Certifi-
cates, if any such pledge of utilities services taxes shall have been
theretofore legally made for outstanding Certificates and is legally
available to pledge to the pari passu additional Certificates ~hen pro-
posed to be issued, during the two complete, preceding fiscal years,
shall have been not less ~han 150% of the largest aggregate amount of
principal and interest which will mature and become due in any succeed-
ing year on the Certificates then outstanding any pari passu Certifi-
cates theretofore issued and then outstanding, and the pari passu Cer-
tificates then proposed to be issued; provided, however, that should
the City deem it essential to issue pari passu additional Certificates
at any time during the period ending December l, 1955, then upon cer-
tification of the Consulting Engineer stating the necessity therefore
and estimate of anticipated sewer revenues, pari passu additional Cer-
tificates may be issued on a parity with the certificates in amount
of $1,175,000 herein authorized at any time during such period end-
ing December l, 1955, in which case the Certificates herein author-
ized, any pari passu additional Certificates theretofore issued and
then outstanding, and the pari passu additional Certificates then
proposed to be issued, shall all be addi%ionally secured by a pledge
of utilities services taxes received by ~he City and then legally avail-
able for such pledge in an amount sufficient ~ ~o+ ~_ ~_
with any pari passu additional Certificates theretofore issued and
then outstanding, and the Certificates then proposed to be issued, be-
c°ming due in any succeeding year, will be Covered two and one-half
(2 1/2) times.
The term "pa~passu additional Certificates,,, as Used in
this sub-section, shall be deemed to meah additional Certificates is-
SUed under the Provisions and within the limitations of this sub-sec_
tion, payable from the Water and Sewer Revenue Fund pari passu With
CertiFicates Originally authorized and issued pursuant to this ordinance,
and all of the covenants and other provisions of this ordinance lex-
cept as to details of such pari passu additional CertifiCates inconsls.
tent therewith) Shall be for the equal benefit, protection and security
of the holders of any Certificates Originally authorized and iSSued
Pursuant to this ordinance and the holders of any pari passu additional
CertiFicates subsequently Created within the limitations of and in
Compliance with this subsection. All of such Certificates, regardless
of the time or times of their issuance, Shall rank equally with respect
to their lien on the revenues of said Water and Sewer System, and
their sOUrce and Security For payment from said revenues, Without pre-
ference of any Certificate, or COupon, over any Other. The City Shall
comply Fully With all the increased payments into the various funds
Created in this ordinance required for such pari passu additional
Certificates, in addition to the payment ~equired for CertiFicates
Originally issued pUrsuant to this ordinance.
All pari passu additional CertifiCates iSSued PUrsuant to
this subsection shall be dated May I or NOVember l~nall all mature on
November 1 of each year oF maturity, and the semi-annual interest on
any oF said pari passu additional Certificates Shall be payable on May
I and NOVember 1 of each year.
The term "pari passu additional Certificates,,, as used in
this SUBsection, Shall not Be deemed to include bonds, notes, certifi_
cares or other obligations SUbsequently iSSued, the lien of which on
the revenues of the Water and Sewer Syste~, or any part thereof, is
subject to the Prior and SUperior lien on SUch revenues of Certifi.
cates issued pursuant to this ordinance, and the City Shall not issue
any obligations whatsoever payable from the revenues of the Water and
Sewer Syste~, or any pa~t thereof, which rank equally as to lien and
source and security for payment from Such revenues With Certificates
issued PUrSuant to this ordinance, except in the manner and Under the
Conditions provided in this Subsection.
No Pari passu additional CertifiCates, as in this subsection
defined shall Be Created at any time, however, unless all of the pay-
ments into the respective Funds Provided for in this ordinance on
CertifiCates then outstanding, and all other reserve or sinking funds,
or other payments PrOvided for in this ordinance and said resolution
adopted February l, 1937, shall have been made in full in the amounts
required to the date of issuance of SUch pari passu additional Certi-
fiCates, and the City Shall have fully complied With all the cove.
nants, agreements and terms of this ordinance and said resolution
adopted February l, 1937.
appertaining thereto, issued under the provisions
or any Trustee acting for such Certificate olders
inafter provided, may, either at law or in equity,
m~ndamus or t~er proceeding in any court of co~apetent -~ · .
J~rlsdictlon,
protect and enforce any and all rights under the laws of the State of
Florida, or granted and contained in this ordinance, and may enforce
and COmpel the Performance of all duties required by this ordinance or
by any applicable statutes to be perfo~ued by the City or by any offi-
cer thereof, including the fixing, charging and collecting of rates,
fees, and charges for the services and facilities of sa~d Wate~ and
Sewer System. ~
RE~ED~S. Any holder of Certificates, or of any COUpons
of this ordinance,
in the manner here-
by suit, action,
Zn the event that default shall be made in the payment of
the principal of or interest on any of the Certificates issued PUrSuant
to this ordinance as the same shall become due, or ~n the ~aking of
the payments into any reserve or sinking fund, or any other payments
required to be made by this ordinance, or in the e~ent that the City
or any officer, agent or employee thereof Shall fail or refuse to Com-
ply with the provisions of this ordinance, or shall default in any
covenant made hemein, and in the further event that any Such default
shall continue for a period of thirty days, any holder of such Certi-
ficates, or any TrUStee appointed '4o mepresent ~. .
~ertifzcate holders as
hereinafter provided, shall be entitled as of right to the appointment
of a receiver of the Water and Sewer S~stem, in any Court of competent
Jurisdicti ~
s · ~ ~o~o Said receiver Shall have no power to sell or mortgage
aim Water and Sewer System, but shall operate the sa;~ie under the
JU~lsdzctzon of the court ia the name of the City and for the joint
benefit and protection of the City and the Certificate holders. Such
receiver Shall apply the revenues of the Water and Sewer S~stem in the
manner provided in this ordi~ence. ~,~
The holder, or holders of Certificates in an aggregate prin-
cipal amotuat of not less than twenty-five per centttm of Certificates
issued pu~susnt to this ordinance then outstanding may by a duly eke-
Outed certificate in writing appoint a trustee for botders of Certifi-
cates issued pursuant to this ordinance, with authority to represent
such Certificate holders in any legal proceedings for the enforcement
and protection of the rights of Certificate holders. Such Certificate
shall be executed by such Certificate holders or their duly' authorized
attorneys or representatives, end shall be filed in the office of the
City C_erk.
N. E~ORCEMENT OF COLLECTZOM. That the City will diligently
e~orce and collect all fees, rates or othe~ charges for the services
and facilities of the Water and Sewer S~ste~n, and take all steps~ ac-
tions and Proceedings for the enforce~uent and collection of such fees~
rates and other char~es which shell become delinquent to the extent
permfftted or authorized by the charter of the said City and the appli-
cable laws of the State of Florida.
~he City specifically COvenants
able regulations to be hereafter adopted,
that it will, unde~ reason-
discontinue and shut off the
sup!~lying of all Water and sewer Services and facilities, to any users
of said Water and Sewer System, or any ot~rt thereof, who shall fail to
pay the fees, rentals or other charges for water or Sewer Services,
within a period of thirty days from the due dates thereof; and that
in the event of the shutting off of water and Sewer services and faci-
lities for the non payment of such charges, it will net restore or
Sume the supplying of Water and sewer services and facilities to such
delinquent users until ell chsrges then due shell have been fully paid,
including reasonable penalties and interest and other nroper charges
in com~ection with such delinquencies, and .orooer chsrges for restor-
ation of the sup01ying of weha~ ~
O. CONSULTING ENGINEER. That Robert M. Angas and Associ-
ates, consulting engineers, of Jacksonville, Florida, or other quali-
fied and recognized consulting engineers shall be retained on a reason-
able basis by the City, after the completion of the construction and ac-
quisition of the additions, extensions and improvements authorized by
this ordinance, on an annual basis, to generally supervise the opera-
tion, maintenance and renewal and replacement of said Water and Sewer
System, to make an annual, practical inspection of said Water and Sew-
er System, to approve all annual budgets, and generally to make recommend-
ations concerning said Water and Sewer System, and the rates for water
and sewer services and facilities. Such consulting engineers shall make
an annual report concerning the conditions of said Water and Sewer Sys-
tem, which report shall be mailed to any holder of Certificates re-
questing the same, to the original purchaser of the Certificates, and the
paying agent of the Certificates.
P. NO COMPETING SYSTEM. That the City will not grant any
franchise, license or permit, or cause or permit the granting of any
franchise, license or permit, to any firm, corporation, agency or
body, public or private, or any person whatsoever, for the supplying
of water or sewer services and facilities within the corporate limits
of the City.
Q. INVESTMENT OF FUNDS. Monies in the Water and Sewer
Revenue Fund and in the 1953 Sinking Fund {except the Reserve Account
therein} shall not be invested at any time. Monies in the Construc-
tion Trust Fund may be invested in direct obligations of the United
States maturing not later than 12 months after their purchase. Mon-
ies in the Renewal and Replacement Fund may be invested in direct
obligations of the United States maturing not later than 36 months
after their purchase. Monies in the Reserve Account in the Sinking
Fund may be invested in direct obligations of the United States matur-
R. P~FUi{DIMG CEitT!PICATES. If prior to the payment of the
Certificates herein authorized it shall be found desirable to refund
said CertifJcates~ then said Certificates herein authorized, or any
part thereof, may be refunded with the consent of the holders thereof
(unless the Certificates so refunded have matured or are callable for
redemntion and have been properly called for redemption in which case
such consent shall not be necessary}, and the refunding Certificates
so issued shall enjoy comolete equality of lien with the portion, if
sny, of the Certificates issued ~ereunder which is not ref~lded; pro-
v~ded, however, that if only a portion of the Certificates issued here-
under is so refunded sad if such Certificates are refunded in such
manner that the interest rate of the refunded Certificates is incPeased
or if the refunding Certificates luature at different dates than the
maturity dates of the Certificates being refunded {unless all the re-
funding Certificates mature after the maturity date of any Certificates
not reftanded}, then such Certificates may not be refunded without the
consent of the holders of the Unrefunded portion of the Certificates
issued hereunder.
S. CONX~C~'IONS WZT~ S~EI~ SYSTJ~.M. The City of Sanford w~ll,
to the e~tent pen~itted by the laws of the State of Florida, requiee,
and take all steps, actions and oroceedings necessary to enforce, the
Connection with the Sewer System of sa:id Water and Sewer System of all
occupied premises located within 200 feet of a sanitary Sewe~
A~T I CLE IV
i~ESC~LLANEOUS
Section ~.~.01. iI~DIPICAII0~ OR A~DiE~!T. No mater~at modi-
fication or amend~ent of tnzo ondin~uce or of ~ny ordznance ....
~ene. a~ or~>
hereof op suppleu~ental NePeto~,~
~y be made without the h~ent in writ-
in~6 of the holders of two-thfrds or ~ore in the ori~lcinal o.~iou t of
amount of the princ~ a
-P 1 obligat.
· J zen thereof or ~
af~ ec ~lng the
tlonal promise of the City to ?ay the Principal of and ~nterest on the
Certl ·
fmcates as the Same Shall COme dee from the ?eVenues of the Wate~
and Se~em S~stes~, or Peduce the Percentage of Certificate holders
quired to COnsent to any material modification or amendment of this
oz'dinance, Without the COnsent of the holder or holders of Such Certi.
ficates.
SeCtion [~-.02. SE~Ei~BILiTy OF I}~ALZD Pi~OVZSIO[~,f. If any One
or more of the COvenants, agree~nents oz- provisions of this ordinance
ab.all be held contrary to any eXoress provision oP law or contrapy to
the POlicy of express law, though not expressly PPohibiSed, or against
Public policy-, or Shall for any reason whatsoever be held imva~id~
then Such COVenants, agreements om Pro~islons shall be null and Void
and Shall be deemed Separable f~om the remaining covena~ts, agreem.::nts
or Provisions, and Shall in no way affect the validity of any of the
Other e .
-,rovmsions of this oz, d~nance or of the Certificates or COupons
issued hereunder.
SeCtion ~.03' VALi[DATI0~ ~:.~ .,
A. Edwin Sbinholser ~°~iz~s. That
, ]~sqUire, Attorney for ~he City of
Sanford, be and he is hereby authorized and directed to Pr'ePare and
file ~rOCeedings to validate the Certificates a~thorized by this
nance in the manner P~OVided by law.
Section ~.0~. TI[~ OF T ' ~
AKI~ EFFECT. That it is necessary
for the i~mediate P~esePvation of Property, health and Safet~ of the
City of SSnford, and its inhabitants, that the COnstruCtioi,
- or acqul_
sition of the additions, extensions and improvements to Said ~atem and
Sewer System herein PrOVided for be made With the least o -',
P SS~ole delay
end this orm~.nance is hereby declared to be an emergency measuPe and
Shall take effect i~m~ediatety Upon its enactme~t.
19~3.
PASSED AND ADOPTED this~14~
_day of__~_~~,
ATTEST:
· ~_~,~, ....
I, H. N. Sayer, C~ty Clerk of the C~ty of Sanford,
Florida, hereby cert~'fy that a true and correct copy of
the fore~!fo~ng Orddnance No. 532 of the C~ty of Sanford,
Flor~ ~a, passed amd adopted by ~he C~ty COmm~ss2on of the
C.'ty of Sanford, Florida, on the 14th d~y of December,
1753, was POSTED at the front door of the C.'ty Hall ~n the
C;ty of Sanford, Flor.!da, on the 22nd day of December, 1753'
I~ ~,~ITNESS ~,~HF~'~OF, I have hereunto set my hsmd and
the off-~c~_al seal of the C~ty of Samford, Flor_~da, this
22nd day of December, 1953.
- ~f_~ ~n~'ord, Flor, da