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0201371 1 1 i MINUTES CITY COMMISSION, SANFORD, FLORIDA, February 1 at 7:30 P M-19-37--- Said Resolution No. 499 being in words and figures as follows, to -wit: RESOLUTION NO. 499 A RESOLUTION BY THE CITY CCUMISSION OF THE CITY OF SANFORD, FLORIDA, AUTHORIZING THE REFUNDING OF SAID CITY'S OUTSTANDING BONDED INDEBTEDNESS AND THE REFUNDING OF JUDGMENTS SECURED THEREON BY THE ISSUANCE OF REFUNDING BONDS. WHEREA P, The CITY OF SANFORD, FLORIDA, has outstanding valid indebtedness hereinafter more particularly described, aggregating the principal amount of FIVE BILLION NINE HUNDRED THOUSAND ( $5,900,OOO.00) upon which unpaid interest has accrued, and additional interest_thereAn will continue to accrue; and WHEREAS, a considerable part of such indebtedness has matured, and the balance thereof and additional accruals of interest thereon will mature in such amounts and at such times as to impose upon said City of Sanford too great a burden for it to meet, and it is in the interest of the City and its creditors that such indebtedness be readjusted and refunded; and, WHEREAS, such indebtedness was incurred prior to January 1, 1933, and the holders thereof, by virtue of the laws in existence at the time of incurring such indebtedness, have the legal right to require that taxes for the payment thereof be levied on all property subject to taxation by said City at the time such indebtedness was incurred, including homesteads exempted from taxation by the amendment ratified November 6, 1934, adding Section 7 to Article 10 of the Constitution of Florida, and to require the collection of such taxes in cash at the time and in the same manner as other taxes levied by the City, and to otherwise enforce their claims and the security therefor independently of any restrictions or limitations upon the enforcement thereof enacted by the State Legislature since January 1, 1933, and while nearly all of such creditors are willing to extend the maturity of their claims and agree to a reduction in interest thereon, nevertheless they are not willing to so readjust and refund their claims unless the refunding obligations issued in exchange therefor have the same security and are entitled to the same remedies and rights of en- forcement as existed prior to January 1, 1933, and now appertain to said outstanding claims; and WHEREAS, in order to permit of a readjustment and refunding that will be acceptable to its creditors, the City deems it advisable and necessary to authorize the issuance of refunding bonds under such terms and conditions as will preserve to the holders thereof the rights, security and remedies now available to them as holders of the City's present outstanding indebtedness: NOW, THEREFORE, BE IT RESOLVED by the City Commission of the City of Sanford, Florida: SECTION 1. It is hereby found and determined that prior to January 1, 1933, the following described obligations of the City of Sanford, Florida, were duly issued for various municipal purposes, and now constitute valid and legally binding 164 MINUTES CITY COMMISSION, SANFORD, FLORIDAFebruary 1, at 7:30 P Y 197 indebtedness, for the payment of which all property within the present territorial limits of the City of Sanford, Florida, excepting only such property as was exempted from, taxation by the Constitution of Florida as it existed immediately prior to November 6, 1934, is subject to taxation without limitation of rate or amount: GENERAL TERN BONDS. DATE of Issue T. i tie of Issue Interest Rate Principal-Amount- January 1, 1928 Series January 1, 1910 Issue of 1910 6% $20,000.00 July 11 1914 Refunding Bond 6% 40,040.00 July 1, 1916 Refunding Bond 596 45,000.00 January 11 1917 Bulkhead Improvement Bond 5% 33,000.00 July 1, 1922 Improvement Bond 50 2092000.00 July 2, 1923 Public,. i Improvement Bond 50 135,000.00 July it 1924 Public Improvement Bond 50 37,000.00 July 1, 1924 Series "D" 50 109000.00 July it 1924 Series "E" 4% 100,000.00 July it 1924 Series "F" 50 1409000 00 July 1, 1924 Series "G" 50 46,000.00 July 1, 1926 Series "EE" 596 75,000.00 July 11 1926 Series "FT" 51% 679000.00 July 19 1926 Series "GG" 4% 84,000.00 July it 1926 Series "HH" 50 70,000.00 July it 1926 Series "JJ" 50 91,o0o.00 July it 1926 Series "KK" 596 461,000.00 July it 1926 Series "LL" 4% 100,000.00 July 1, 1926 Series "00" 50 3379000.00 GENERAL SERIAL BONDS. January 1, 1928 Series "A -1" 6% 265,000.00 January 1, 1928 Series "A -1" 51% 179,000.00 January 1, 1928 Series "A -2" 6% 213,000.00 January 11 1928 Series "A -3" 6% 4059000.00 SPECIAL ASSESSUNT SERIAL BONDS July 2, 1923 Improvement Bond 50 36,000.00 July 2, 1923 Series, "AP 6% 22,000.00 January 1,.1924 Series "B" 51" 320000.00 July 1, 1924 Series "C" 6% 114,000.00 January 1, 1925 Series "H" 5% 1010000.00 July 1, 1925 Series "J" 5 -3/4% 1202000.00 January 1, 1926 Series "AA" 6% 1221000.00 January 11 192C7 Series "RR" 54% 311,000.00 January 1, 1920 Series "ABB" 696 65000.00 January it 1926 Series, "ABBA 6% 46,000.00 January it 1926 Series "ABBC 6% 308,000.00 0 1 L, 1 lJ C 1 1 1 1 i MINUTES CITY COMMISSION, SANFORD, FLORIDA, Webru&jy2 ]j,, 1937 19 TEE Title of Issue Interest Rate Principal Amount July 1, 1927 Certificate of Indebtedness 51% 479000.00 UTILITY TERM BONDS WATER UTILITY BONDS January 1, 1924 Public Utility Bonds 4% 360,000.00 July 1, 1926 Improvement Bonds,Series "CC" 50 266,000.00 GAS UTILITY BONDS. July 1, 1924 Public Utility Bond 50 July 1, 1926 Series "DD" 50 BONDS REDUCED TO JUDGMENT. GENERAL TERM BONDS. January 1, 1910 Issue of 1910 6% July 2, 1923 January 1, 1924 July 1, 1924 January 1, 1925 *July 1, 1925 January 1, 1926 January 1, 1927 January 1, 1926 January 1, 1926 PECIAL ASSESSMENT_ SERIAL BONDS. Improvement Bond 50 Series "B" 50 Series "C" 6% Series "H" 5% Series "J" Series "AA" Series "RR" Series "ABB" Series "ABBA" January 1, 1926 Series "ABBC" A July 1, 1927 Certificates of Indebtedness Total of bonds outstanding, except public Utility Bonds dated January 1, 1924, and Improvement bonds, Series CC , dated July 1, 1926 5 -3/4% 6% 5 6% 6% 6% 50 150,000.00 165,000.00 93000.00 29,000.00 10,000.00 8,000.00 21,000.00 13,000.00 13,000.00 80,000.00 11,000.00 15,000.00 95,000.00 52,000.00 $5,274,000,00 Total of Public Utility Bonds dated January 1, 1924, and Improvement Bonds, Series CC , dated July 1, 1926, outstanding 626,000.00_ Total of bonded indebtedness outstanding $5x900,000.00 Section 2. Refunding bonds in the aggregate principal amount of FIVE MILLION NINE HUNDRED THOUSAND DOLLARS ( $5,9009000.00) are hereby authorized for the purpose of refunding the principal of the bonds described in Section 1 hereof, and any judgments heretofore or hereafter recovered thereon. Wherever any such bonds have been or may hereafter be reduced to judgment they shall be refunded hereunder in the same manner and upon the same basis as though they had not been reduced to judgment. The principal of the bonds now outstanding shall be refunded by the issuance in exchange therefor of a like principal amount of said refunding bonds. Said refunding bonds shall be dated as of March 1, 1937, shall mature September 1, 1977, and shall be callable at par on any interest payment date prior to maturity as hereinafter provided. If any of said bonds so called for redemption are not presented for payment on the date fined for redemption they shall cease to bear interest from and after said date. Such Refunding Bonds shall.be divided into two series, designated Series A and Series B. respectively, Refunding Bonds of Series A shall be in the aggregate principal amount of FIVE MILLION TWO HUNDRED SEVENTY- 166 MINUTES CITY COMMISSION, SANFORD, FLORIDA, February 1 at 7:30 P M 19 37 FOUR THOUSAND DOLLARS ( $5,274,000.00) and shall be issued in exchange for principal of all the aforesaid outstanding bonds of said City, except those two certain issues of bonds, above designated " Public Utility Bonds", dated January 1, 1924, and " Improvement Bonds, Series "CC" dated July 1, 1926, which were issued for the purpose of constructing , enlarg- ing and improving the water plant of said City, and are secured by a pledge of the revenues of said plant as well as by the full faith, credit and taxing power of said City. Refunding 40nds of Series B shall be issued in an aggregate principal amount of SIX HUNDRED TWENTY - SIX THOUSAND DOLLARS ( $626,OOO.00) , and shall be issued in exchange for the principal of the aforesaid outstanding bonds of said issues, designated " Public Utility Bonds "', dated January 1, 1924, and " Improvement Bonds,. Series CC ", dated July 1, 19269 Section 3. Said Refunding Bonds of Series A shall bear interest at the following rates during the period set opposite to such rates, to -wit: 1$ per annum from March 1, 1937, through August 31, 1947; lj% per annum from September 1,1947 trhough August 31, 1952; 1j% per annum from September 1, 1952 through August 31, 1957; 1 -3/4% per annum from September 1, 1957 through August 31, 19694 2% per annum from September 1, 1962 through August 31, 1967; 2j% per annum from September 1, 1967 until paid. Said refunding Bonds of Series B shall bear interest at the following rates during the period set opposite said rates, to -wit: 2%,per annum from March 1, 1937 through August 31, 194 ?¢ 2j% per annum from September 1, 1947 through August 31, 19571 2j% per annum from September 1, 1957 through August 31, 1967; 3% per annum from September 1, 1967 until paid. Interest on both Series A and Series B Bonds shall be payable semi - annually on March let. and September let, and evidenced by coupons to be attached thereto. Both principal and interest of Bonds of Series A and Series B shall be payable at Central Hanover Bank and Trust Company, in the City of New York, State of New York. Said Refunding Bonds of Series A shall be inthe denomination of $1,000.00 each, numbered from 1 to 5274, both numbers in- clusive, and said Refunding Bonds, Series B, shall be in the denomination of $1,060.00 each, numbered from 1 to 626, both numbers inclusive. The principal and interest of all of said Bonds shall be payable in lawful money of the United States of America. SECTION 4. The Refunding Bonds herein authorized to be issued shall be signed by the Mayor and countersigned by the City Clerk, and the corporate seal of the City of Sanford, Florida, shall be affixed thereto. The interest coupons thereto attached shall be executed with the facsimile signatures of said Mayor and said City Clerk. The text of said Refunding Bonds, Series A, shall be in substantially the following form: UNITED STATES OF AMERICA STATE OF FLORIDA CITY OF SANFORD REFUNDING BOND , SERIES A ISSUE OF MARCH 1, 1937• No. $1,000.00 The City of Sanford, Florida, is justly indebted and , for value received, hereby promises to pay to bearer, of if this bond be registered, to the registered owner he pn the first day of September , 1977, the principal sum of f 0 1 1 1 11 1 MINUTES CITY COMMISSION, SANFORD, FLORIDA, February 1, at 7:30 p H__19__37_ ONB THOUSAND DOLLARS 1(17 together with interest thereon at the rate of 1% per annum from March 1, 1937, through August 31, 1947, and lJ% per annum from September 1, 1947, through August 31, 1952, and 10 per annum from September 1, 1952, through August 31, 1957, and 1 -3/4% per annum from September 1, 1957, through August 31, 1962, and 2% per annum from September 1, 1962, through August 31, 1967, and thereafter at the rate of 2J% per annuli until paid, said interest being payable semi - annually on the first days of March and September in each year. Both principal and interest hereof are payable in lawful money of the United States of America at Chatral Hanover) Bank and Trust Company, in the City of New YorV, New York, upon presentment and surrender of this bond and the interest coupons hereto attached, as they severally mature. This bond is one of a series of bonds aggregating the principal sum of $5,2749000.00 of like date, tenor and maturity, and is issued under the authority of and is in full com- pliance with the Constitution and Statutes of the State of Florida, including the charter of the City of Sanford, Florida, and pursuant to a resolution passed by the City Commission of the City of Sanford for the purpose of refunding a like amount of valid subsisting bonded debt of said City, for the payment of which the City of Sanford was obligated to levy taxes upon all property within its present territorial limits, which was subject to taxation under the Constitution and Laws of Florida on January 1, 1933. The City of Sanford hereby reserves the right to redeem this bond on any interest payment date upon payment of per and accrued interest, and agrees that it will apply the sinking fund created by the resolution-authorizing the issuance of this bond to the redemption of the bonds of this issue selected by lot by the City at par and accrued interest, whenever such sinking fund amounts to $20,000 or more , and is not required and reserved for prior purchases of bonds of this issue at less than par, in the manner and at the time more per- titularly prescribed by the resolution authorizing the issuance of this bond. In the event th�s bond is so called for redemption, notice thereof shall be published in a financial news- paper published in the City of New York, State of New York, and in a newspaper published in the State of Florida, one time at least thirty ( 30) days prior to the date fixed for redemption. If this bond: shall not be presented for payment on the date so fixed for redemption, it shall cease to bear interest from and after said date. The Sinking fund provided for said bonds may also be used in the purchase thereof in accordance with the provisions of the resolution authorizing their issuance . The City of Sanford covenants with the holder of this bond that for the payment of the principal and interest thereof, it will levy taxes in an amount sufficient to provide therefor upon all property within the present territorial limits of said city., excepting that property which was exempted from municipal taxation by the Constitution of Florida as it was in force and effect on January 1, 1933. The City further covenants that all taxes levied for the payment of the principal and interest hereof, including taxes upon homesteads, will be collected in cash at the same time and in the same manner as operating and governmental ad valorem taxes levied by the City, and the rights and remedies for the enforcement of the indebtedness refunded hereby shall appertain to this bond and the taxes securing the same independently of any restriction or limitation enacted by the Legislature of the State of Florida since January 1, 1933. This bond may be registered as to principal alone and as to both principal and interest in accordance with the provisions endorsed hereon. i6s MINUTES CITY COMMISSION, SANFORD, FLORIDA,February 1, at 7:30 P M 9 37 It is hereby certified and recited that all acts, conditions and things required to happen, exist and be performed precedent to and in the issuance of this bond, and the Series of which it forms a part and the indebtedness refunded hereby, have happened, exist and have been performed in due time, form and manner as required by the Constitution and Laws of the State of Florida, that the total indebtedness of said City of Sanford, Florida, including this bond, does not exceed and that the total indebtedness of said City at the creation of the indebtedness refunded hereby, including said indebtedness, did not then exceed any constitutional or statutory limitations thereon , and for the prompt and full payment of this bond and the interest thereon, the full faith and credit of said City is hereby pledged. IN WITNESS WHEREOF said City of Sanford, Florida, has caused this -bond to be signed by its Mayor and countersigned by its City Clerk under its corporate seal, and the interest coupons attached to be executed with the facsimile signaturdes of the Mayor and said City Clerk, all as of the first day of March , 1937. Mayor. COUNTERSIGNED City Clerk. ( VALIDATION CERTIFICATE) Validated and donfirmed by decree of the Circuit Court of the Ninth Judicial Circuit of the State of Florida, in and for Seminole County, Florida, rendered, ( FORM OF COUPON) No. Clerk of said Circuit Court. On the first day of 19,x_ the City of Sanford, Florida will pay to the bearer hereof the sum of Dollars,($ ), in lawful money of the United states of America at Central Hanover Bank and Trust Company, in the City of New York, being six monthP interest then due on its Refunding Bond, Series A, Issue of March 1, 1937, No. City Clerk. The text of said Refunding Bonds of Series B shall be in f ollowing f orm: UNITED STATES Or AMERICA. STATE CF FLCRIIDA CITY Or SANFCRD REFUNDING BOND, SERIES B ISSUE OF MARCH 1 , 1937. Mayor. substantially the No. $1,000.00 The City of Sanford, Florida, is justly indebted and, for value received, hereby promises to pay to bearer or if this bond be registered, to the registered owner, on the first day of September , 1977, the principal sum of ONE THOUSAND DOLLARS together with interest thereon at the rate of 2% per annum from March 1, 1937, through Avreot I'l 1 1 1 1 1 1 1 1 MINUTES CITY COMMISSION, SANFORD, FLORIDA, February 1, at 7:30 P 9_37 August 31, 1947, and 2j% per annum from September 1, 1947, through August 31, 1957, and 2j% per annum from September 1, 1957, through August 31, 1967, and thereafter at the rate of 3% per annum until paid, said interest being payable semi — annually on the first days of March and September in each year. Both principal and interest hereof are payable in lawful money of the United States of America at Central Hanover Bank and Trust Company, in the City of New York, New York, upon presentment and sur- render of this bond and the interest coupons hereto attached, as they severally mature. This bond is one of a series of bonds aggregating the principal sum of $626,000.00 of like date, tenor and maturity, and is issued under the authority of and is in full compt-lance with the Constitution and Statutes of the State of Florida, in- cluding the charter of the City of Sanford, Florida, and pursuant to a resolution passed by the City Commission of the City of 5anfordfor the purpose of refunding a like amount of valid subsisting bonded debt of the City, for the payment of which the City of Sanford was obligated to levy taxes upon all property within its present territorial limits, which was subject to taxation under the Constitution and Laws of Florida, on January 1, 1933. The City of Sanford hereby reserves the right to redeem this bond on any interest payment date upon payment of par and accrued interest, and agrees that it will apply the sinking fund created by the resolution authorizing the issuance of this bond to the redemption of the bonds of this issue selected by lot by the City at par and accrued interest, whenever such sinking fund amounts to $20,000. or more, and is not required'and reserved for prior purchase of bonds of this issue at less than par, in the manner and at the time more particularly prescribed by the resolution authorizing the issuance of this bond, In the event this bond is so called for redemption, notice thereof shall be published in a financial newspaper published in the City of New York, State Of New York, and in a newspaper published in the State of Florida, one time at least thirty (30) days prior to the date fixed for redemption, 'If this bond shall not be presented for payment on the date so fixed for redemption, it shall cease to bear interest from and after said date. The sinking fund provided for said bonds may also be used in the purchase thereof in accordance with the provisions of the resolution authorizing their issuance. The City of Sanford covenants with the holder of this bond that for the payment of 1-49 r) the principal and interest thereof it will levy taxes in an amount sufficient to provide therefor upon all property within the present territorial limits of said City, excepting that property which was exempted from municipal taxation by the Constitution of Florida as it was in force and effect on January 1, 1933. The City further covenants that all taxes levied for the payment of the principal and interest hereof, including taxes 4pon homesteads, will be collected in cash at the same time and in the same manner as operating and govern- mental ad valorem taxes levied by the City, and the rights and remedies for the enforcement of the indebtedness refunded hereby shall appertain to this bond and the taxes securing the same independently of any restrietionor limitation enacted by the Legislature of the State of Florida since January 1, 1933. In addition to the foregoing pledge of taxes for the payment of said bonds, sufficient of the net earnings of the water plant of the City to pay interest on said bonds is hereby pledged to that purpose, and in addition thereto an amount of said net earnings equal to one percent ( 1%) of the present amount of bonds to be refunded with Refunding Bonds, Series B. now outstanding, shall annually be 170 MINUTES CITY COMMISSION, SANFORD, FLORIDA, February 1, at 7:30 P _19 37 deposited in a sinking fund and employed only for the purchase or call of said Series B bonds in the manner provided in the resolution authorizing said bonds. In the event the net earning of the water plant of the City shall exceed the amount required for said purposes, such surplus shall be deposited in the sinking fund for said Series B bonds, provided, howeler that upon the amendment of the City's charter, so as to authorize such city to use such surplus as part of the (pity's operating fund, said surplus may be so used. jt is hereby certified and recited that all acts, conditions and things required to happen, exist and oe performed precedent to and in the issuance of this bond, and the Series of which it forms a part and the indebtedness refunded hereby, have happened, exist and-have been performed in due time, form and manner as required by the Constitution and Laws of the State of Florida; that the to *al indebtedness of said City of Sanford, Florida, inoluding this bond, does not exceed and that the total indebtedness of said City at the creation of the indebtedness refunded hereby, including said indebtedness, did not then exceed any constitutional or statutory limitations thereon, and for the prompt and full payment of this bond and the interest thereon the full faith and credit of said City is hereby pledged. IN WITNESS WHEREOF said City of Sanford, Florida, has caused this bond to be signed by its Mayor and countersigned by its City Clerk under its corporate seal, and the interest coupons attached to be executed with the facsimile signatures of the Mayor and said City Clerk, all at of the first day of March 1937• Mayor. COUNTERSIGNED City Clerk. (VALIDATION CERTIFICATE ) Validated and confirmed by decree of the Circuit Court of the Ninth Judicial Circuit of the State of Florida, in and for Seminole County Florida, rendered Clerk of said Circuit Court. (FORK OF C OUP ON ) No. On the first day of 19, , the City of Sanford, Florida will pay to the bearer hereof the sum of Dollars,($ ), in lawful money of the United States of America at Central Hanover Bank and Trust Company, in the City of New York, being six months' interest then due on its Refunding Bond, Series B. Issue of March 10 1937, No.' City Clerk. Mayor. The following provision for registration shall be printed upon the back of the said bonds of both Series A and Series B; - (PROVISION ItOR REGISTRATION) This bond may be registered in the name of the holder on books to be kept by the City Clerk as Registrar, as to principal only, such registration being noted hereon by such Registrar in the registration blank below, after which no transfer shall be valid unless made on said books by the registered holder or attorney duly authorized and MINUTES CITY COMMISSION, SANFORD, FLORIDA, February 1, at 7:30 P M -19 37 171 at such price in the order in which the tenders were received; provided however, that the 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. The registration of this bond as to principal shall not restrain the negotiability of the eoupoks� by delivery merely but the coupons may be surrendered and the interest made payable only to the registered holder, in which event the Registrar shall note in the registration blank below that the bond is registered as to I interest as well as principal and the interest payable to the registered owner shall be paid by check drawn upon the place of payment namedherein. With the consent of the holder and of the City of Sanford, this bond when converted into a bond registered as to both principal and interest may be reconverted into coupon bond and again converted into a bond registered as to both principal and interest as hereinabove provided. Upon reconversion of this bond when registered as to principal and interest into a coupon bond, coupons representing the interest to accrue upon the bond to date of maturity shall be attached hereto by the Registrar, and the Registrar shall note in the registration blank below whether the bond is registered as to principal only or payable to bearer. Date of Registration: In whose name Registered : Manner of Registration: Signature of Regis - I trar: E SECTION 5 ( a): 'The City may apply any moneys in the sinking funds hereinafter required to be established for such refunding bonds to the purchase, at private sale (except when there is a total amount of so much as Five Thousand ( $5,000,1 or more in either of the said sinking funds) of such refunding bonds, provided that the price at which I such bonds are purchased shall be less than the par value and accrued interest, and that ' the persons from whom purchased at private sale and the terms and prices at which purchased are made matters of public record. (b) The City covenants that in the event there is in either of said sinking funds at any time an amount of Five 'Thousand Dollars ( $5000) or more, the City will apply such of said moneys as are held in such sinking fund to the purchase of either the Refunding Bonds, Series A, or the Refunding Bonds, Series B, depending on which sinking fund contains $5,000 or more, by calling for and accepting such bonds at the lowest prices at which tendered not exceeding par and accrued interest. In such event thirty ( 30) days prior to the receipt of tenders, the City will cause to be published in a financial paper published in the City of New York, State of New York, and in a newspaper published in the State of Florida, a notice requesting tenders of refunding bonds and fixing the time and place at which such tenders will be received. All tenders will be required to be contained in plaimsea.led envelopes marked " Tender of City of Sanford Refunding Bonds ", and will i be opened in public on the day and at the place fixed in the notice calling for such tenders. All moneys on hand in the respective sinking funds on the date fixed for the receipt of such tenders will be applied immediately to the purchase of refunding bonds of the respective issues tendered at the lowest prices submitted. However, the City may, in its discretion, reject any and all.tenders. If tenders of refunding bonds of either issue offering to sell at the same price as that at which other bonds of said issue are offered are re- ceived, and the total of such tenders is larger than the amount of moneys available in the sinking fund for the purchase thereof, the City will purchase the refunding bonds tendered at such price in the order in which the tenders were received; provided however, that the 172 MINUTES CITY COMMISSION, SANFORD, FLORIDA, February 1 at 7:30 P 11-19_37 City shall have first purchased all other refunding bonds of such issue which may have been tendered at a lower price, if any. In the event there are insufficient moneys in the sink- ing fund for either issue to purchase all of the refunding bonds offered by any tender otherwise acceptable, the City may accept any part of such refunding bonds so tendered, The City, at its option, may require all tenders of refunding bonds to be accompanied by a cei tified check of not exceeding one Percent ( 1 %)of the amount of refunding bonds so tendered, to evidence the good faith of the tender. The City will not use any moneys in the sinking funds for the purchase of refunding bonds if and while it may be in default in the payment of interest on any refunding bonds authorized by this resolution, unless tenders thereof shall have been accepted prior to such default, and then it may purchase only the bonds covered by such tenders. amount (e) In the event the total /of moneys in either of said sinking funds shall aocu- mulate to the amount of Twenty Thousand Dollars ( $20,000) or more and remain on hand fOlm more than six months , notwithstanding the fact that the City has made all calls for tenders of refunding bonds as required hereunder, the City covenants that such moneys shall be appliec to the redemption of refunding bonds at par and accrued interest, such bonds to be selected by lot by the City in an amount sufficient to exhaust such moneys in said sinking fund, upon the first interest payment date thereafter oceurting, provided that if such interest payment date should occur within a period of time, less than that for which notice of redemption must be given, plus fifteen ( lj) days, such moneys will be held as special funds to be applied solely to the redemption of refunding bonds upon the next succeeding interest payment date. Notice of redemption setting forth the numbers of the particular bonds to be redeemed and the date fixed for redemption, shall be published in a financial newspaper published in the City of New York, State of New York, and in a newspaper pub- lished in the State of Florida, one time at least thirty ( 30) days prior to the date fixed for redemption. (d) Any and all redemptions that may be made as required by this resolution, will be made in accordance with the terms and provisions set forth in the refunding bonds, and in this resolution, whereby the City reserves the right to redeem the refunding bonds prior to their maturity. All refunding bonds purchased or redeemed by the City will be cancelled immediately upon their surrender to the City. SECTION 6: Upon the delivery of the refunding bonds in exchange for outstanding bonds, all past due coupons, if any, shall be detached from the refunding bonds and canceled by the City and all unmatured coupons shall be attached thereto, SECTION 7: The refunding bonds of both Series A and Series B to be issued hereunder shall constitute general obligations of the City of Sanford, Florida, for the payment of which its full faith and credit is pledged, and for the payment of the principal and int- erest of which, when due, the City shall be obligated to levy valid and unlimited taxes on all property within its present territorial limits, which was subject to taxation for the payment of the bonds to be refunded on January 1, 1933, including homesteads, and all of such properties shallbe subject to the specific tax levies herein provided for. All tax levies to be made for the payment of principal and interest of the refunding bonds shall con- stitute special i6vies for the particular purposes for which they are imposed, such tax special levies, while constituting /levies, will be collected in cash at the same time and in the same manner as other taxes which may be levied by the City, and , upon collection, will be immediately segregated and credited to the proper funds as herein provided. 1 C� 1 LJ 1 1 C 1 MINUTES CITY COMMISSION, SANFORD, FLORIDA, February 1, at 7:30 P M 1 g (a) To insure the prompt and full payment of interest on the Refunding Bonds, Series A. aid to provide a sinking fund.for the payment or redemption thereof, a tax shall be levied for each year beginning with the year in which the Refunding Bonds, Series A. are issued, in an amount sufficient to raise a sum at least equal to the interest which will fall due in the ensuing year, if fifty percent ( 50%) of the levy is collected in the ensuing fiscal year, If, however, at the time the levy is made for any year, the percentage of collections for the immediately preceding fiscal year, is less than fifty percent ( 50) of the levy, the tax levy for the year for which the levy is to be made, shall be sufficient, assuming a rate of collection no higher than the preceding year, to produce in cash the amount required for interest on said refunding bonds. The proceeds of such taxes shall be paid into a special fund and used solely-for the payment of interest on said refunding bonds, except that all moneys in such fund in excess of the interest requirements of the refunding bonds for the fiscal year for which the taxes were levied, shall be paid into a sinking fund. Moneys so paid into the sinking fund shall be applied exclusively to the retirement of Refunding Bonds, Series A, by purchase, call or payment in the manner herein provided. For the fiscal year in which the rufunding Bonds , Series A. shall mature, the City shall levy a tax in such an amount as shall be sufficient, together with any sinking funds then in hand, to pay such bonds at their maturity. Notwithstanding any of the other provisions of this resolution, the City, so long as it_is not in default in the payment of the principal of or interest on said Refunding Bonds, Series A, shall not be required to levy for debt service on said bonds during the fiscal years 1937 -1939, 1939 -1939, 1939 -1940 and 1940 -1941, a sum in excess of $97,500.00. Beginning with the fiscal year 1941 -1942, taxes shall be levied for debt service in accordance with the terms of this resolution, it being the intention of this resolution that the tax levy for debt service 1el when 100% collected, will provide for the payment of interest on the Refunding Bonds, Series A together with at least an equal amount for ptincipal retirement, subject, however, to the foregoing provisions with regard to percentage of collectibility. (b) In addition to the pledge of unlimited ad valorem taxes for the payment of Refunding Bonds, Series B, as set forth above, sufficient of the net earnings of the water plant of the City to pay interest on said bonds is hereby pledged to that purpose, and in addition thereto an amount of said net earnings equal to one percent (1 %) of the present amount of bonds to be refunded with Refunding Bonds, Series B, now outstanding, shall annually be deposited in a. sinking fund and employed only for the purchase or call of said Series B bonds in the manner provided in sub - sections (a), (b) and (e) of Section5 hereof. In the event the net earning of the water plant of the City shall exceed the amount required in and by this sub- paragraph, such surpbus shall be deposited in the sinking fund for said Series B Bonds, provided, however, that upon the amendment of the City's charter, so as to authorize such city to use such surplus as part of the City's operating fund, said surplus may be so used. In the event the net earnings of said water plant in any year after the fiscal year 1936 -1937, are less than $17,750.00, the City shall levy a tax in the succeeding year to cover such deficiency, assuming a rate of collection ho higher than in the preceding year. Such levy shall be in addition to and over and above the tax levy for debt service, provided for in sub - paragraph (a) of this section. SECTION S. The City oovenants that it will actively and diligently enforce the collection of all taxes and special assessments heretofore and hereafter levied, 174 MINUTES CITY COMMISSION, SANFORD, FLORIDA, February 1, at 7:30 P M -19 37 and that it will require all such taxes to be paid in cash* provided, however, that the City may accept bonds outstanding or refunding bonds of said City in payment of special assessments heretofore imposed by said City and of taxes levied for the year 1929 and prior years, at par, but in the case of such taxes, only upon the condition:: that current taxes are paid in cash simultaneously with or prior to the payment of such delinquent taxes. SECTION 9. The term " bonds "as used in this Resolution shall mean bonds and certificates of indebtedness of the City of Sanford, Florida, of the existing issues hereinbefore described, now outstanding and unpaid, including the principal amount of such bonds and certificates of indebtedness heretofore or hereafter reduced to judgment. SECTION 10. The City hereby covenants that notwithstanding section 7, Article X of the Constitution of the State of Florida, added thereto by amendment ratified November 6, 1934, and any legislation enacted pursuant thereto, it will levy taxes upon all homesteads embraced within the present territorial limits of the City for the payment of the refunding obligations authorized hereby to the same extent as other property in the City may be liable to taxation therefor. SECTION 11. Anticipated collections of delinquent taxes and special assess- mente will not be considered as revenues available for the payment of the principal or interest of the refunding bonds in preparing the budget of the City or in fixing the tax levy for debt service for any fiscal year, but the City will pay all moneys re- ceived by it through the collection of delinquent taxes and special assessments to the purposes for which they were levied. SECTION 12. The City hereby covenants that so long as any of the refunding obli tions authorized hereby may be outstanding, it will not avail itself of the provisions of Chapter 16965, Laws of Florida 1935, of any other legislation which may be hereafter enacted by the Legislature of the State of Florida in any way impairing or modifying the obligationaof the City on the refunding obligations authorized hereby or the'covenants of the City contained herein. SECTION 13. The proceeds of all debt service taxes heretofore levied and im- posed by the City and of all special assessments heretofore imposed by the City shall be paid into the sinking fund herein provided for the Series A Refunding Bonds, and shall be used exclusively for the payment of the principal of and interest on said Refunding Bonds Series A and for the payment,apurchase or redemption of said Refunding Bonds, as herein provided. SECTION 14. That Fred R.Wilson, as City Attorney is hereby instructed and directed to institute the proper proceedings for the pumpose of having adjUdtcated the validity of the Refunding Bonds authorized hereby, and the validity and effectiveness each and every covenant and provision contained herein. SECTION 15. The Refunding Bonds authorized hereby, when executed, shall be delivered to the holders of the outstanding bonds to be refunded thereby and /or the holders of judgments thereon in exchange for and upon surrender of an amount of such bonds and / or the satisfaction of any judgment obtained upon a principal amount of such bonds equal to the face amount of the Refunding Bonds exchanged therefor. BE IT FURTHER RESOLVED that this resolution shall become effective immediately upon its passage and adoption. C L' MINUTES CITY COMMISSION, SANFORD,' FLORIDA, February I at 7:30 p YI 9J7 175, Passed and adopted this 1st day of February 1937. Edward Higgins W.A.Leffler _. P.N.Whitehurst M.J.Lodge. Attest: As the City commission of F S Lamson: the City of Sanford, Florida. _ As City Clerk. ( Seal) Mr. Charles S. Henning and Mr F W Bender, applicants for employment to contact the owners of bonds not deposited with the City of Sanford Bondholders Protective Committee with a view to effecting the exchange of such bonds for refunding bonds, next submitted their propositions in writing and same were taken under consideration. Commissioner Whitehurst next moved that the Clerk be authorized to purchase a new City Seal. Seconded by Commissioner Lodge and carried. There being no further business the meeting then adjourned. ay or. Attest:a City Clerk. 175,