011328CITY COMMISSION, SANFORD. FLORIDA,.
MINUTES
January 13th
at 2:30 P N 19 28
The City Commission of the City of Sanford, Florida met at the City Hall in
Adjourned Sess~ on Friday, January 13th 1928 at 2.~O P M.
Present: Commissioner E Fo Housholder, Mayor
" S. O Chase
~ F L. Miller
City Manager W.B. Williams
City Attorney Geo. A. DeCottes
City Clerk L.R. Philips
Commissioner F. L. Miller offered Resolution ~365 and moved its adoption, motion was
seconded by Commissioner S. O. Chase and the roll being called Resolution ~365 was unanim-
ously adopted by the following vote:
Commissioner $. 0. Chase Aye
Commissioner F. L. Miller Aye
Commissioner E F. Housholder Aye.
in words and figures as follows:
RESOLUTION ~365
WHEREAS, there is now pending a controversy between the City of Sanford, Florida and
The Chase National Bank of the City of New York, by reason whereof it is most likely that
it will be shortly necessary for the City to file in the District Court of the United
States in and for the Southern District of New York a bill of complaint in the name of the
City against The Chase National Bank of the City of New York, praying, among other things,
for a temporary injunction, restraining said defendant Bank from selling or attempting to
sell or otherwise dispose of said unsold bonds of the City now in the hands of said
defendant Bank to the amount of $?40,000.00, or the interest coupons appurtenant thereto,
and,
WHEREAS, the City expects, should said bill be filed, to make application for and
obtain a temporary restraining order without notice, restraining said defendant Bank from
doing all or any of the acts aforesaid until application can be heard upon due notice for a
temporary restraining order, and,
~HEREAS, in order to obtain such temporary stay order, it will be necessary for the
City to tender and file in said Court a good and sufficient surety bond in an amount to
be fixed by the Court, conditioned upon the payment of such costs and damages as may be
insurred or suffered by the defendant Bank, should it afterward transpire that said
defendant Bank, by said stay order, had been wrongfully enjoined and restrained from dis-
posing of said securities, and,
WHEREAS, it is impossible at this time to determine the amount of any bond that the
City may be required to give as a condition precedent to said stay order becoming operative,
or to definitely ascertain the name at this time of a surety company ~o become surety on
any such bond, and,
~VHERE~S, counsel for the City
with the application for temporary
sum of $25,000.00, and, ~
';~EREAS, the City of ~anford,
deem it advisable to tender to said Court in connection
stay order a bond conditioned, as above in.the penal
Florida has heretofore had negotiations with Various
CITY COMMISSION, SANFORD, FLORIDA,
MINUTES
January l~th
_19_2~
!VHEREAS, all surety companies to whom the City has made application have
signified their willingness to execute said hond as surety provided they are collaterally
secured and fully indemni£ied by the City from any pecuniary loss by becoming a surety on any
bond required to be executed by the City, and,
~EREAS, it has become necessary for the City in this connection to provide some
liquid collateral security for the purpose of the protection and indemnification of any
surety company becoming a surety on any bond required to be given.
THEREFORE, BE IT RESOLVED That a proper voucher or warrant be drawn for the sum
of $25,000.00 payable out of the current funds of the City of Sanford, Florida now on hand
~nd on deposit in any designated depository or depositories of the City of Sanford, ?lorida,
said voucher or warrant to be made payable to the San£ord Atlantic National Bsnk, and that
said voucher or warrant be delivered to the Sanford Atlantic National Bank with direction
to issue therefor and in lieu thereof a certificate of deposit in the amount of $25,000.00,
said certificate of deposit when so issued by the Sanford Atlantic National Bank to be
properly endorsed in the name of
of the City of Sanford, Florida,
of the City of Sanford, Florida,
the City of Sanford, Florida by E F Housholder, Nayor
and attested by the signature of L. R. Philips, City Clerk
and thereupon, that said certificate of deposit be left with
the Sanford Atlantic National Bank with instructions to the Sanford Atlantic National Bank
to hold said certificate of deposit for the collateral security and the full indemnification
of any surety company authorized to write judicial surety bonds in the State of New York or
any other state that becomes surety upon any judicial bond required to be ~iven by the
City of Sanford, Florida in connection with the application for and securement of said tem-
porary stay order, and,
BE IT FURTHER RESOLVED, that the Sanford Atlantic National Bank shall, with
regard to said certificate of deposit, act as the agent and representative of both the
City of Sanford, Florida and any surety company becoming a surety on said bond, and the
Sanford Atlantic National Bank is hereby fully authorized, empowered and directed that in
event any liability is incurred by the City of Sanford, Florida under the conditions of said
bond, which is not duly paid and discharged by the City of Sanford, Florida, to convert said
certificate of deposit into cash and to pay over to any surety company becoming surety on
any such bond the full amount of any and all liability incurred by said surety company upon
any such bond, as aforesaid, and to take from said surety company company the proper receipt
therefor, provided, however,that the Sanford Atlantic ilational Bank, before making any
such payment to any surety company, shall give due notice to the City of intention so to do
and of the amount in cash to be paid over by the Sanford Atlantic National Bank unto said
surety company in payment and discharge of liabilities incurred by said surety company on
any such bond, and,
BE IT FURTHER RESOLVED that any and all unexpended balance of the proceeds of
said certificate of deposit then remaining in the hands of the Sanford Atlantic National
Bank shall thereupon be deposited to the credit of the City of Sanford, Florida, and,
BE IT FURTHER RESOLVED that the Sanford Atlantic National Bank be and it is hereby
requested, when said certificate of deposit has been issued and delivered to the Sanford
At~antic National Bank, as aforesaid, to write and sign a letter directed to whom it may
CITY COMMISSION, SANFORD, FLORIDA,
MINUTES
J~muary
or such cart thereof as may be necessary to pay and discharge any and all liability that
may be incurred by the surety company under the conditions of any judicial bond upon which
any surety company becomes surety in connection with the contemplated litigation in the United
Stated District Court in and for the Southern District of New York, in the case of the City
of Sanford, Florida against The Chase National Bank of the City of New York, attaching to
said letter a certified copy of this resolution.
IT IS FURTHER RESOLVED that this resolution shall become effective immediately
from and after its passage and adoption.
ADOPTED this 13th day of January, A. D. 1928.
E F Housholder
S O. ChaSe
ATTEST:
Frank L. Miller
As the City 0ommission of
0ity of Sanford ,Florida.
the
L. R. Philips.
Uity Olerk.
Commissioner E. F Housholder submitted a receipt from th~ Sanford Atlantic
National Bank Executed Bonds of an issue of $510,0OO.O0 City of Sanford, Florida 5~% and
6% Refunding Bonds, said receipt dated January l~th 1928 which was ordered filed in the
Bond Trustees file in City safe.
On motion duly adopted a check was ordered to be drawn and delivered to the
City Attorney, Geo~ A. DeOottes in the sum of $450.00 on account of traveling and other
expenses necessary to be incurred by the City Attorney and associate counsel, L. B. Boggs
who are hereby directed to proceed at once to New York and to confer with and assist
Hornblower, Miller & Garrison with contemplated litigation.
On motion duly adopted Mr. F. S. Lamson was appointed as City Clerk and Assessor
to serve at the pleasure of the City Commission. Said appointment to take effect February
1st, 1928.
There being no further business the meeting adjourned to meet January l?th 1928.
Attest:
~ ~Maybr.
City Clerk.
CITY COMMISSION, SANFORD, FLORIDA,
MINUTES
January I
19 28
BOND TRUSTEES MINUTES
Mr.
City of Sanford Bond Trustees met at
Present: Mr. E F. Housholder
Mr. S. O. Chase
Mr. F. L. Miller
Clerk of the Board of Bond
There being no
the City Hall Friday January 13th, 1928.
Mr. S. 0. Chase nominated Mr. E. F. Housholder for chairman of the Board and
F. L. Miller seconded the motion which prevailed.
On motion duly adopted it was determined that the City Clerk should act as the
Trustees.
further business the meeting adjourned.
Attest:
City Clerk.
Mayor
BOND TRUSTEES MINUTES JANUARY Z6, 1928
The Bond Trustees of the City of Sanford, Florida met at the City Hall, Monday Januar~
16, 1928 at 3:30 P M.
Present: E F Housholder, Chairman ; S O Ohase and Frank L Miller, also present, L R Phil-
ips, City Clerk.
The Chairman submitted a communication from City Attorney George A De0ottes, which was
read, and on motion by $ 0 Chase, seconded by Frank L Miller, was approved and ordered
spread on the minutes in words and figures as follows:
Sanford Atlantic National Bank
Sanford Florida.
Re: Delivery of $510,~00.OO City of
Bonds. Our File 2910
"January 14, 1928
Sanford, Florida 5½% and ~% Refunding
Sirs:
This letter will be your authority to vary the instructions as to remittance of proceeds
derived from the sale of the above bonds in the following respects, to-wit:
The Atlantic National Bank of Jacksonville, may retain out of the proceeds received by
it from the purchasers of said bonds the following ~mounts, to-wit:
I Interest on Certificate of ~.ndebtedness fSr $161,000.00 dated July l, 19~?.d~e July 1
· 1929, amounting to-i-~---C=. - ....................................... $%,%27.50
2 Principal payments on general and special assessment bonds of the City of Sanford, Flo-
rida, as shown in detail in schedule l0 of the partial refinancing program of the City
of Sanford, Official Document A-l, aggregating ........................ ?8,000.00
3 Interest on General bonds, as shown in Schedule ll of said Official Document A-1 ,
to the amount of .................................................... $103,065.00
~ Interest on Special Assessment bonds, as shown in Schedule 12 of said Official Douu-
merit A-1 , to the amount ................................... 61,102.50
Total.- .... $2~6,595.00
The amount to be paid by the purchasers of said bonds is the s..um of $~84,500.00, plus
accrued interest. From this purchase p~ice authorize the Atlantic ~ational Bank of Jackson-
ville to deduct and retain the sum of $2~6,595 O0 and credit said sum to the account of the
Bond Trustees of the City of Sanford , Florida, said credit and deposit to the account of
the Bond Trustees of the City of Sanford, Florida to be secured to the amount of 100 per
cent collateral security therefor to be evidenced by Custodian's Receipts of the American
Trust Company, Jacksonville, or Custodian's Receipts for Federal Reserve Receipts deposited
with the American Trust Company, Jacksonville.
This letter will be authority for the Atlantic National Bank of Jacksonville from time
to time to use the funds as above deposited to the credit of the Bond Trustees of the City
The above and foregoing authority for a change and modification in the directions as to
the handling of the proceeds derived from the sale of $510,000.O0 City of Sanfor~ ~
5~ and 6~ Refun~t~ ~= ~ ........ ~