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113056I156 MINUTES City Commission, Sanford, Florida, November 30 at 10 19. 56 The City Commission of the City of Sanford, Florida, met in adjourned session at the City Hall in the City of Sanford, Florida, at 10~00 o'clock A. M. November 30, 1956, for purpose of considering a contract of Leedy, Wheeler & Alleman to purchase $400,000.00 revenue certificates proposed to be issued by the City to finance the Capital Improvements Program. Present: Oommissi'oner F. D. Scott, Mayor " 'David M. Gatchel " Earl Higginbotham " John S. Krider, Sr., " 'A. L. Wilson City Attorney W. O. Hutchison, Jr., City Clerk & Dir. of Finance H. N. Bayer City Manager W. E. Knowles Ass't Dir. of Finance H. N. Tams Jr., Meeting called to order by the Chairman. The Commission then proceeded to a further study and discussion of the proposed contract of Leedy, Wheeler & Alleman to purchase the $400,000.00 revenue certificates at price of 96% of par value with callable feature after five years, and at price of 97% of par value with callable feature after ten years, with Interes~ rate at 4~% per annum of the certificates. After careful consideration, it was the opinion of the Commission that all~evenue derived from ~he electric franch~e tax should be used to retire the revenue certificates, and that said-:certificates should be callable after five years in order to retire them as soon as funds are available; and said ~ovisions were embodied in the contract. Commissioner Higginbotham then moved that the City accept the contract of Leedy, Wheeler & A!leman, subject to approval of the City Attorney to purchase the $400,000.00 revenue certificates beari~ an interest rate of 4~ at price of 96% of par value, and ~hat the Mayor and Clerk be authorized to execute same on behalf of the City. Seconded by Corn- missioner Krider and carried. Said contract being in words and figures as follows: November 30, 1956 Honorable Mayor and City Commissioners City of Sanford Sanford, Florida. Gentlemen: For $400,000.00 Sanford, Florida, Public Imorovement Revenue Bonds bearing interest at the rate of ~%, said bonds to be payable from all of the rev- enues of the Florida Power & Light Comoany franchise tax, the revenues from which will be irrevocable pledged to the payment of these bonds so long as any orlncipal or interest shall be outstanding and unpaid, we will pay you a price of 96% of the par value thereof olus accrued interest to the date the bonds are delivered to us. This purchase is subject to the following conditions: (1) The bonds will be dated February 1, 1957, and will mature as per the attached schedule. (2) For refunding purposes, the bonds maturing in the years 1960 to 1972, inclusive, shall be non-callable. Bonds maturing in 1973 through 1982 may be called prior to their stated dates of maturity on February 1, 1972 or any interest payment date thereafter at par and accrued interest to the date of redemotlon, plus a premium of 3% if called in the years 1972 to 1976, inclusive; 2% if called in the years 1977 to 1981, in- clusive; and 1% thereafter. (3) From funds derived from the revenues of the franchise tax only, the bonds may be called after 5 years (a) by numerical order, or (b) ~y lot. In either event, bonds may be called a~ par plus a premium of 3 if called after 5 years, 2% if called after l0 years, and 1% if called after 15 years. Otherwise, bonds maturing in the years 1963 to 1970, inclusive, may be redeemed from said funds only, after 5 years at par and accrued interest plus the following premiums: 3% if called after 5 years, 2% if called after l0 years, and 1% thereafter. Bonds maturing from 1972 through 1981 may be called on February l, 1971 or thereafter at par plus a premium of 1%. MINUTES City Commission, Sanford, Florida, November ~0 at 10 A..M. 19 56 157 proceedings, expenses to the City of Sanford being only clerk's fees, bond printing, delivery charges, and fees of the City Attorney, if any. (5) No pari passu additional bonds may be issued unless the actual revenues from the franchise tax for ~he preceding year shall have been at least 150% of the largest amount of principal and interest whic h will become due in any year thereafter on these bonds plus the pari passu additional bonds proposed to be .issued plus any pari passu bonds thereto- fore issued and then outstanding, .and any funds derived from any such issue shall be usad for capital improvement. (6) Arrm~gements will be made .for the establishment ~ a sinking fund into which will be deposited all revenues paid under the Franchise Agreement, upon receipt thereof. .In no event will the funds deposited therein be less than enough to mee~ the m xt maturing principal and the next two semi-annual interest payments. At no time will the moneys be drawn from the sinking fund for any purpose other than to meet current principal and interest requirements, except that, in the event there should at any time therein be moneys sufficient to meet current debt ser- vice requirements, in addition to two years maximum principal and interest, and surplus moneys in the sinking fund must be used to call any bonds which are redeemable. (7) To the extent that it is legally possible, the bond resolution shall state that real, personal and occupational taxes will not be raised to the point where such deductions from the revenues of the franchise tax will place the payment of interest and principal in Jeopardy. (8) These bonds will be delivered to us on or before February 1, 1957, or thereafter a~ our option. The above proposal is for immediate acceptance. Respectfully submitted, LEEDY, WHEELER & ALLEMAN, INC. By: Loomis C. Leedy, Jr., The above proposal is accepted by proper resolution, duly adopted this 30th day of November, 1956. s,! F. D. Scott, Mayor s/ H. N. Sayer, City Clerk of Sanford, Florida. YEAR AMOUNT 1960 $10,000.00 1961 il,000.00 1962 il,000.00 1963 12,000.00 1964 12,000.00 1965 13,000.00 1966 13,000.00 1967 14,000.00 1968 15,000.o0 1969 15,000.00 1970 16,000.00 1971 17,000.00 1972 17,000.00 1973 18,000.00 1974 19,000.00 1975 20,000.00 1976 21,000.00 1977 22,000.00 1978 23,000.00 1979 24,000.00 1980 25,000.00 1981 26,000.00 1982 26,000.00 TOTAL $~00,000. O0 Commissioner Higginbotham next moved tha~ the City Attorney be authorized to prepar~ the bond ordinance for adoption. Seconded by Commissioner Krlder and carried. There being no further businesa the meeting adjourned. ATTEST: