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0425321 1 1 MINUTES CITY COMMISSION, SANFORD, FLORIDA, April 25 at 7:30 i932 The City Commission of the City of Sanford, Florida Met in Regular Session at the City Hall in Sanford, Florida, at 7:30 o'Clock P.M. April 25, 1932• Present: Commissioner T.L.Dumas , Mayor. If H.J.Lehman " V.A.Speer If C.A.Byrd. If W.A.Leffler City Attorney Fred R.Wilson City Clerk F.S. Lamson Chief of Police R.G.Williams Meeting called to order by the Chairman. Minutes of Regular Meeting of April 11th, 1932, read and approved. It was brought to the attention of the Commission that a portion of the prop- erty in Sec. 25 TP. 19. S.R. 30 E. acquired from Randall Chase under date of March 15th, 1932, is occupied by G.G.Herring, and the matter was referred to the City Attorney to investigate with a view to protecting the City's rights. Mr. H.M.Papworth next presented two bills totalling $5.93 for expenses incurred for temporary repairs to the grandstand at the Municipal Athletic Field , and on motion of Commissioner Lehman, seconded by Commissioner Speer and carried,same were ordered paid. Commissioner Lehman next moved that the City obtain bids for necessary repairs to the grandstand at the Municipal Athletic Field, the work to be under the supervision of Superintendent Moughton, the price not to exceed $100.00 Seconded by Commissioner Speer and carried. The Commission next proceeded to discuss the advisability of making a.charge for the use of the Municipal Athletic Field for games where admission is charged. Thereupon Commissioner Leffler moved that a charge of $15.00 per game be made until such time as money expended in repairing the grandstand has been refunded. Seconded by Commissioner Lehman and carried over the objections of Commissioner Dumas and Speer. Mr. H.M.Watson next appeared with further reference to his request that the City's property lines around Lake Ada be definitely established. Thereupon, the Special Committee appointed to consider this matter having recommended the acceptance of the lines as prepared by Mr. Watson, Commissioner Byrd moved that the City Attorney be requested to confer with Mr. Watson and his associates and draw up the necessary papers to establish the lines around Lake Ada which will be recognized as the property lines of the City of Sanford, a drawing showing such lines to be made a part of such document. Seconded by Commissioner Speer and carried. Commissioner Speer next presented the following unpaid accounts against the Airplane Hangar at the Municipal Aviation Field: HWimll.�olker Co. mlies B. Hannabery " O.L.Pierson Hill Implement Cc Supplies Hill Hdw. Co. to Chase & Co " Vermont Lbr. Co. Sanford Electric Contracting Co Wiring Hangar Total. x-0.03 X6.00 6.00 15.6o 26.15 437.72 134.93 z and on motion of Commissioner Byrd, seconded by Commissioner Speer and carried, the labor Mll'dUTBS ; CITY COMMISSION, SANFORD, FLORIDA, April 5 at 7:30 P M1 9-3-2 bills were ordered paid, chargeable to the Aviation Field Appropriation. .On motion duly adopted $58.35 was next ordered transferred from the Contingent Fund to the Aviation Field Appropriation. Instructions were next issued that all - property acquired by City under foreclosure of liens be immediately vacated . Communication next read from Karl Lehman, Secretary of the Seminole County Chamber of Commerce advising the Commission of the passage of a motion by the Safety Council asking that an ordinance be passed prohibiting the sale of fire crackexs in Sanford. After discussion of the matter, the City Attorney was instructed to prepare Ordinance prohibiting the firing of fireworks within the fire limits of the City of Sanford. Commissioner Speer next moved that an easement be granted the Western Union Telegraph Co. to erect nine telegraph poles along Mellonville Avenue in the Northeastern section of the Municipal Airport in order that the poles now bordering the Atlantic Coast Line tracks in this section may be moved therefrom.. Seconded by Commissioner Byrd and carried. Commissioner Dumas next presented copy of communication addressed to Mr. Kenneth M. Keefe, Chairman of the Bondholders Protective Committee, concerning efforts to obtain a definite settlement of the City's bonded debt, and upon motion duly adopted, said communication was ordered made a matter of record in the minutes as follows: April 15,1932• Messrs. Kenneth M. Keefe, C.T. Diehl, and Albert C. Mittendorf , as the Bondholders' Protective Committee of Sanford, Florida. 35 wall Street.. New York City, New York, Gentlemen: In Re: City of Sanford, Florida. Your letters of April 9th and 9th received. The first refers to the two conferences recently had in regard to the bonded indebtedness of the City of SanfOTd in which you state that it will not be practical at this time to effect a settlement of such indebtedness and expressing your willingness in effect to a new arrangement cover tax levies for the year 1932, and intimating that the arrangements may be perfected to cover levies for several years. I note particularly the reference made to differences in percentage of tax collections for state and county purposes as compared with city collections. I am pre- pared to admit that city tax collections have been disappointing but the comparison drawn will not bear out your contention as a check of property piece by piece within the corporate limits will disclose very few payments made to state and county remain- ing delinquent on city books. I wish to call your further attention to the fact that when property is taken over by state and county that such property is no longer assessed for taxes. This fact accounts in a large measure for the disparaging percentage eol- lected by city. Another feature which you cannot lose sight of is the unsettled munici- pal affairs which are responsible for many of our best citizens feeling that eventually their property will have to be sacrificed due to the ever mounting interest accruing a- gainst the municipality in spite of drastic retrenchments in every department of city government. They further feel that the attitude of your Committee in further delaying a �l 1 r L I- F� 1 L 1 1 I MINUTES CITY COMMISSION, SANFORD, FLORIDA, April 25 at 7:30 P M.19__32 �" 4$3 definite settlement indicates a lack of co- eperation and failure on the part of your Committee to properly safeguard the interest of the bondholders and the total disregard of the interest of the tax payers. Knowing, as your Committee must know, that a municipality of 10,000 inhabitants cannot hope to discharge an indebtedness of more than Seven Million Dollars at prevailing rates of interest, therefore, but two avenues are open to the Commissi and your Committee: First: Refinancing at a nominal rate of interest over a period of years as proposed by the Commission under date of April 6,1932. Second: A substantial reduction in principal in order that interest accruals may be discharged currently and some provision made for retiring of at least some part of principal. The Commission feels that the first proposition is preferable, inasmuch as it will insure to the bondholders 100 cents on the dollar of principal, whereas, a reduction in principal amount at a higher interest rate than contained in our offer will nbt prove as satisfactory and will not be as readily accepted by the holders of Sanford bonds. The City Commissioners take the view that they not only represent the City and its tax payers but have a duty to perform to the bondholders, but that the time has come when the Commission is in unanimous agreement that to prolong the uncertainty of our city's financial condition can only result disastrously to our citizens as well as to the holders of our securities and that no valid reason exists for failure to make a definite settlement. Large industrial corporations and other municipalities have in the past effected settlements of their financial difficulties by reduction of principal or interest, hence there is no reason why the City of Sanford should not follow the same course, redounding to the inestimable benefit of its citizens and the holders of Sanford bonds. A continuation for an indefinite period of the uncertain conditions will mean confiscation of the citizens' property and untold loss to the bondholder. The City of Sanford is probably keeping an arrearage in interest of approximately $200,000 per year. This in spite of the fact that we paid to your Committee approximately $275,000 in cash and have received for payment of taxes, special assessments and for gas plant about $614,000 in bonds since July 1, 1929, at which time principal of our indebtedness was $6,955,000 whereas at this time the City's indebtedness approximates $7,250,000 for principal and interest, which indicates clearly that in spite of every retrenchment the accept ance of bonds in payment of obligations and the interest manifested by the City Commission in securing the cooperation of the citizens that we are year by year pyramiding the city's indebtedness. We are bitterly opposed to anything bearing the semblance of repudiation but we maintain that inability to pay is not repudiation. In requesting a lower rate of interest we feel that the holders of Sanford's bonds will suffer a small loss as compared with the losses sustained by millions of people who have invested in stocks and bonds throughout the country, first mortgages have been largely dis- counted and it is evident that the losses in principal or interest must be expected. Our citizens are prepared to accept a heavy burden and I believe that the majority of them are anxious to make a reasonable effort to discharge their obligation. They feel that their burdens will be heavy even though a reasonable settl.ementis effected, but they are entirely unwilling to continue to make heavy payments in taxes when such sacrifices result in increases in the city's indebtedness instead of decreases year after year. We freely admit that our over issue of bonds was .a great mistake but we were not alone in this respect. The citizenship of the whole country is responsible for extravagance 484 MINUTES CITY COMMISSION, SANFORD, FLORIDA_ April 25 at 7 :30. P Yg 32 in bond issues. The bond houses who bought and sold bonds must also accept their share of responsibility. No lesser light than Senator Couzens of Michigan is quoted as saying that the general decline in prices justifies a reduction in interest on outstanding indebtedness. In this we think he is eminently correct. Senator Couzens is probably a large bondholder and is no doubt willing to effect a settlement along the lines suggested by the Commission:. In conclusion I wish to state that I feel that the City Commission of Sanford has literally lived up to its agreement with your Committee, has acceded to every reasonable demand and has demonstrated as far as is humanly possible Sanford's ability to discharge its indebtedness, therefore, we feel that to prolong the present agony, will simply mean great losses to our creditors stagnation of our growth and the repudiation of the members of the City Commission who have been entrusted with the adjustment of her financial obli- gations. Sanford's City Commissioners feel that earnest, honest,co- operation between the Commissioners and the representathives of creditors is absolutely necessary for the protect- ion of the citizens and creditors alike. The Commissioners pledge themselves to co- operate to the fullest extent and feel that if your Committee fails to shwa spirit of co- operation in bringing about a permanent adjustment that the loss which will be sustained by the holders of Sanford's bonds, entrusted to the care of your Committee, will rest with the Committee and not with the City Commission of Sanford. I trust therefore that I may have an early reply from you stating definitely your position in regard to a permanent settlement of our financial difficulties in order that we may make our plans for the next fiscal year. Yours very truly, T.L.Dumas Mayor of the City of Sanford Florida, " Commissioner Lehman next introduced Ordinance No. 204 entitled: ORDINANCE NO. 204 AN ORDINANCE PRESCRIBING RATES TO BE CHARGED FOR WATER FURNISHED BY THE CITY OF SANFORD, FLORIDA, AND PROVIDING A PENALTY FOR FAILURE TO PAY SUCH RATES WITHIN THE TIME HEREIN PRESCRIBED, PRESCRIBING SERVICE CHARGES, AND FOR DISCONTINUING SERVICE UPON FAILURE OF USER TO PAY FOR MATER USED. and same was placed on its first reading and read in full by the Clerk. Thereupon Commissioner Lehman moved that the rules be waived and that said Ordinance No. 204 be placed upon its final passage and adoption. Seconded by Commissioner Byrd. Thereupon the question recurred upon the waivure of the rules. The roll was called and the vote stands as follows: Commissioner Dumas Aye " Lehman Aye " Speer Aye " Byrd Aye " Leffler Aye Thereupon said Ordinance No. 204 was placed upon its final passage and adoption, the vote being as follows: Commissioner Du®. s Aye " Lehman Aye " Speer Aye " Byrd Aye " Leffler Aye Thereupon the Chairman announced that the City Commission -of the City of Sanford 11 n 1 1 C I 1 1 MINUTES 48 85 CITY COMMISSION, SANFORD, FLORIDA, Apri i 25 at 700 19-,U Florida, by unanimous vote, had passed and adopted said Ordinance No. 2o4 entitled: AN ORDINANCE PRESCRIBING RATES TO BE CHARGED FOR WATER FURNISHED BY THE CITY OF SANFORD FLORIDA, AND PROVIDING A PENALTY FOR FAILURE TO PAY SUCH BATES WITHIN THE TIME HEREIN PRESCRIBED, PRESCRIBING SERVICE CHARGES, AND FOR DISCONTINUING SERVICE UPON FAILURE OF USER TO PAY FOR WATER USED. On motion duly adopted, it was next ordered that Ordinance No. 204 be POSTED #;n accordance with the terms of the Charter. Commissioner Speer next introduced Resolution No. 430 and moved its passage and adoption. Seconded by Commissioner Leffler and carried by the following vote of the Commissi Commissioner Dumas Aye " Lehman Aye " Speer Aye N Leffler Aye k said reasolution No 430 being in words and figures as follows: RESOLUTION NO. 430. A RESOLUTION PROVIDING FOR THE SALE AND TRANSFER OF CERTAIN PROPERTY ACQUIRED BY THE CITY OF SANFORD IN FORECLOSURE PROCEEDINGS FOR NON- PAYMENT OF TAXES AND /OR PAVING ASSESSMENTS. WHEREAS, the City of Sanford, Florida, did by Special Master's Deed dated March 29th, 1932, and of record in the Public Records of Seminole County, Florida, in deed Book 77, Page 360, acquire title to the lands and premises therein described in a proceeding by said city to foreclose the liens of said city for non - payment of taxes and/or paving assessments and which said lands and premises are described on pages 469 and 470 of Minute Book No. 3 of said city and; WHEREAS, in the opinion of the City Commissioners of said City it will be expedient and for the best interest of said city to sell and dispose of said lands and premises and to accept in payment of the amount due said city thereon bonds of said city at par, not including interest coupons on such bonds: NOW THEREFORE, Be It Resolved by the City Commissioners of the City of Sanford, Florida, that the said city do accept for any of the lands and premises hereinabove referred to except any portion that may have been heretofore sold, bonds of said city at par value not including interest coupons thereto attached for the total amount excepting taxes subsequent to the year 1930, due said city upon said lands and premises, including costs and attorney's fees, and that upon payment by any purchaser of said amount as afore- said together with taxes subsequent to the year 1930 in cash the Mayor and City Clerk be and they are hereby authorized to execute and deliver to such purchaser a Deed of Bargain and Sale, said deed to be furnished without abstract of title to the property and the purchaser to pay for cost of deed and revenue stamps. Be It Further Resolved, that this resolution shall become effective-immediately upon its passage and adoption. Passed and adopted this 25th day of April , 1932. T. L. Dumas C.A.Byrd H.J.Lehman _ V0A.Speer r W.A. Leffler - As the City Commission of the Attest: F,S.Lamson City of Sanford, Florida. City Clerk. ( Seal) Form of agreement between the State Road Department, the Bureau of Public Roads g MINUTES CITY COMMISSION, SANFORD, FLORIDA, _April 25 at ,7,030 P M 19 3 U.S.Department of Agriculture, and the City of Sanford, with reference to the proposed State Highway No. 3 along the South shore of Lake Monroe, was next presented to the Commission for action, and upon motion of Commissioner Speer, seconded by Commissioner Byrd and unanimously carried, the Mayor and Clerk was instructed to execute same in the name of the City of Sanford, �aaid agreement being as follows: THIS AGREEMENT made by and between the STATE ROAD DEPARTMENT OF FLORIDA, he after called the "Department ", and the BUREAU OF PUBLIC ROADS, U.S. DEPARTMENT OF AGRICUL hereinafter called the "Bureau ", and the CITY OF SANFORD, FLORIDA, hereinafter called the AITNESSETH: r WHEREAS, the Department, through the aid and assistance of the Bureau, desires to construct that section of State Road No. 3 between the St. Johns River and Sanford; and WHEREAS, the Bureau has made certain rules and regulations requiring that the City or Department will not permit any encroachments upon the right of way -of said Highway within the city limits, nor will the City pass any laws, rules, regulations or ordinances setting unreasonable speed limits, or make such traffic rules, laws, regulations or ordi- nances which will penalize traffic on said street over and along the streets where said proposed construction work is to be done, and favor the traffic on a cross or abutting street, or will pass any rules, laws, regulations or ordinances which will hinder or make obstructions of any kind to the free movement of traffic and make said movement of traffic secondary to traffic of abutting or cross streets. NOW THEREFORE, in consideration of said Department, with the aid and assistance of the Bureau, constructing and surfacing said section of highway, the City agrees, obli- gates and binds itself to prevent any encroachments within the right of way limits of said Highway; and furthermore, agrees to not pass any laws, rules, regulations or ordinances which would be in conflict with the above prescribed conditions. IT IS FURTHER AGREED, that the contents of this agreement be spread upon the official. minutes of the City Commission of Sanford, Florida, and copies of this contract be filed with the State Road Department of Florida, and a copy be filed with the bureau of Public Roads , U.S.Department of Agriculture. WITNESS our hands this 25th day of April A.D..1932. CITY OF SANFORD, FLORIDA. B. T. L. Dumas Mayor. Attest: F.S.Lamson ._City Clerk. ( Seal) Opinion next rendered, in writing, by the City Attorney, advising as to the assessability of property of the Masonic Lodge, and same was ordered filed. The Clerk next reported receipt of proper satisfactiorB of judgment covering payments made on judgments obtained by Kenneth M. Keefe, C.T.Diehl , et al, also judgment obtained by the United Mutual Life Insurance Company, and same were ordered recorded. The meeting then adjourned. I / i 00 Mayor. Attest: City Clerk. P 1 C III n I I