306-Sewer Cleaning Machine (2) S~CURITY AGREEMe~
CITY OF SANFORD, of Seminole County, Florida, hereinafter called
"Borrower", for value received, hereby grants to SUN BANK, N.A. hereinafter
called "Secured Party", a security interest in the following property in
Seminole County, Florida, to-wit:
one 1987 Vac Con V216T Sewer Cleaning Machine,
ID 0987140, together with engine, transmission
and chassis
together with all proceeds, accessories, parts, equipment and accessions now
attached to or used in connection therewith or which may hereafter at any time
be placed in or added to the above-described property, and also any and all
replacements of any such property (all of which is hereinafter called "collat-
eral"), to secure the payment of that certain indebtedness evidenced by a
promissory note or notes executed by Borrower in the amount of $68,000.00, of
even date herewith, and any and all extensions or renewals thereof, and any
and all other liabilities or obligations of the Borrower to the Secured Party,
direct or indirect, absolute or contingent, now existing or hereafter arising,
now due or hereafter to beccxne due (all hereinafter called the "obligations") .
Borrower hereby warrants and agrees that:
1. The collateral is acquired or used primarily for business.
2. Except for the security interest granted hereby, Borrower is the
owner of the collateral free from any adverse lien, security interest or
encumbrance, end Borrower will defend said collateral against all claims of
any nature.
3. Borrower will not sell, transfer or otherwise dispose of the
collateral without the prior written consent of Secured Party.
4. Borzx~er will at all times keep the collateral insured against
loss, damage, theft end such other risks as Secured Party may require in such
arcpunts and cat~anies end under such policies and in such form and for such
periods as shall be satisfactory to Secured Party, end each such policy shall
provide that loss thereunder and proceeds payable thereunder shall be payable
to Secured Party as its interest may appear and Secured Party may apply any
proceeds of such insurance which may be received by Secured Party toward
payment of the obligations, whether or not due, in such order of application
as Secured Party may determine and each such policy shall provide for ten
days' written minimum cancellation notice to Secured Party; and each such
policy shall, if Secured Party so requests, be deposited with Secured Party;
and Secured Party may act as attorney for Borrower in obtaining, settling and
cancelling such insurance and endorsing any drafts.
5. Bo~c~er shall at all times keep the collateral free from any .
adverse lien, security interest or encumbrance and in good order end repair
and will not waste or destroy the collateral or any part thereof; and Borrower
will not use the collateral in violation of any statute or ordinance; and
Secured Party may examine and inspect the collateral at any time, wherever
located.
6. Borrower shall be in default under this agreement upon the
happening of any of the following events or conditions: (a) failure or
cr~ission to pay when due any obligation (or any instalment thereof or interest
thereon), or default in the payment or performance of any obligation, cove-
nant, agreement or liability contained or referred to herein; (b) any
warranty, representation or statement made or furnished to Secured Party by or
on behalf of any Borrower proves to have been false in any material respect
when made or furnished; (c) loss, theft, substantial damage, destruction, sale
or encumbrance to or of any of the collateral, or the making of any levy,
seizure or attachment thereof or thereon; (d) any obligor (which term, as used
herein, shall mean each Borrgwer and each other party primarily or secondarily
or contingently liable on each of the obligations) becc~s insolvent or unable
to pay debts as they mature or makes an assigl~ent for the benefit of
creditors, or any proceeding is instituted by or against any obligor alleging
that such obligor is insolvent or unable to pay debts as they mature; (e)
entry of any judgment against any obligor; (f) death of any ebligor who is a
natural person, or of any partner of any obligor which is a partnership; (g)
dissolution, merger or consolidation, or transfer of a substantial part of the
property of any obligor which is a corporation or a partnership; (h) appoint-
ment of a receiver for the collateral or any thereof or for any property in
which any Borrower has an interest.
7. Upon default, Secured Party shall have all remedies available
under the Uniform Cumercial Code.
8. No waiver of Secured Party of any default shall operate as a
waiver of any other default or of the same. default on a future occasion. No
delay or omission on the part of Secured Party in exercising any right or
remedy shall operate as a waiver thereof, and no single or partial exercise by
Secured Party of any right or renucdy shall preclude any other or further
exercise thereof or the exercise of any other right or remedy. Time is of the
essence of this agreement. The provisions of this agreement are cu~nulative
and in addition to the provisions of any note secured by this agreement, and
Secured Party shall have all the benefits, rights and remedies of and under
any note secured hereby. If more than one party shall execute this agreement,
the term "Borrower" shall mean all parties signing this agreerent and each of
them, and all such parties shall be jointly and severally obligated end liable
hereunder. The singular pronoun, when used herein, shall include the plural.
If this agreement is not dated when executed by Borrower, Secured Party is
authorized, without notice to Borrower, to date this agreement. This agree-
ment shall beccme effective as of the date of this agreement. All rights of
Secured Party hereunder shall inure to the benefit of its successors end
assigns; and all obligations of Borrower shall bind the heirs, executors,
administrators, successors end assigns of each Borrower.
9. This agreement has been delivered in the State of Florida and
shall be construed in accordance with the laws of Florida. Wherever possible,
each provision ,of this agreement shall be interpreted in such manner as to be
effective and valid under applicable law, but if any provision of this agree-
ment shall be prohibited by or invalid under applicable law, such provision
shall be ineffective to the extent of such prohibition or janvalidity, without
invalidating the remainder of such provision or the remairin'g provisions of
this agreement.
Ilq Wi'tNESS WItERECF, this agreement has been duly executed as of the
day of November, 1987.
CITY OF SANFO~D
B~LTItrE D. SMITH, MAYOR
H. N, TAFM, JR., CITY CLERK
the interest on the Note is includable in the gross inccrae for Federal incame
tax purposes of the Note Holder.
"Taxable Rate" shall mean the Prime Rate (as hereinafter defined) plus
one-half of one percent. "Prime Rate" shall mean a rate per annun determined
d~ ty at all times equal to the rate announced f~t~ time to time by Sun Bank,
National Association, at its principal office in Orlando, Florida, or by its
corporate successor, as its prime rate.
"Date of Tawability" shall mean the earliest effective date as of
which the interest payable on the Note is includable in the gross incame of
any holder or fonmer holder of the Note as a result of the occurrence of any
circumstances giving rise to a Determination of Taxability.
"Inclusion Period" shall ra=~n the period beginning on the Date of
Taxability and ena~ng on the date of payment in full of the Note, both dates
inclusive.
This Note is secured by a U. C. C. Financing Statement on equipment.
All interest calculations will be made on the basis of a three hundred
sixty-five day year. The tenn "per annum" as used herein is defined as said
three hundred sixty-five day period. In no event shall interest charged
hereunder exceed the maximum allowable by law.
Bank shall have, but shall not be limited to, the following rights,
each of which may be exercised at any time whether or not this Note is due:
(i) to pledge or transfer this Note and the collateral and Bank shall there-
upon be relieved of all duties and responsibilities hereunder and relieved
fIum any and all liability with respect to any collateral so pledged or
transferred, and any pledgee or transferee shall for all purposes stand in the
place of Bank hereunder and have all the rights of Bank hereunder; (ii) to
transfer the whole or any part of the collateral into the name of itself or
its ncrainee; (iii) to vote the collateral; (iv) to notify the cbligors on any
collateral to make payment to Bank of any amounts due or to beccme due
thereon; (v) to derand, sue for, collect or make anY l cc~prcmise or settlement
it deems desirable with refeeence to the collateral; and (vi) to take control
of any proceeds of collateral.
Upon the occurrence of any default hereunder, Bank shall have the
remedies of a secured party under the Uniform C~mercial Code.
The term "obligor" r~ns any party or other person signing this
instrument, whether as maker, endorser, guarantor or otherwise.
No delay or cmission on the part of Bank in exercising any right
hareunder shall operate as a waiver of such right or any other right under
this Note.
All parties l~able for the payment hereof jointly and severally waive
presentment for payment, demand, notice of non-payment, notice of protest, and'
protest, and consant to any extensions or renewals hereof by the Holder
without notice. (bligors also agree to pay all expenses of collection hereof
incl~d~ng, but not limited to, reasonable attorneys' fees for Holder, said
fees to include attorneys' fees incurred by Holder in the event of appeal of
any litigation involving this p,-u~ssory note to any appellate court.
CITY OF SANFORD
By
Bb'I'IYE D. SMITH, MAYOR
Attest
H. N. TAbIM, JR., CITY CLERK
/° Cin~m83m~s,~ion, Sunford. Ror~da P~rch 2 3, }0 8 7
· ._ _
5. Donald W. McIn=osh Associates, 1no., 1Dvoice No. 5855,
dated March 3, 1987, for surveying services for
was=ewe=st effluent irrigation system ........................ $ 9,400.00
$588,325.61
On motion of Commissioner Mercer, seconded by Co~nissioner Thomas end carried by
, vote of the Commission as follows=
Commissioner Eckstein Yea
Commissioner Mercer Yea
Commissioner Thomas Yea
Coflu~issioner McClenehan Naye
Mayor Smith Yea
.-Year Budget Requests were approved as follows,
(1} Addition of positions as follows~
a. Systems Analyst - Administrative Services Dep~rtment
b. Account Clerk II - Finance Department
c. Clerk Typist - Engineering and Planning Department
d. Secretary I - Administrative Services Department
e. Date Entry Clerk {P/T) - Personnel
f. Four (4) Custodial Workers (P/T Handicapped) - various
(2) Transfer $54,299 from available salary end professional
services accounts in the Engineering and Planning, Public
Works and Fire Departments to cover all costs associated with
the filling of these positions for the remainder of the FY
86/87 Budget year.
(3) 'Freeze' five (5) full-time vacancies co provide en equal
body count trade off for the remainder of the budget year.
The Commission next considered the financing. for purchase of 'heav~ equipment' es
1. vec-Con brand Sewer Cleaning Machine Model V216
total price $132,423.00
down payment (86-87 budget) 45,000.00
amount financed (2 years) $ 87,423.00
2. Elgin brand Street Sweeper
total price $ 83,925.00
down payment (86/87 budget) 20?000.00
amount financed (2 years) 63,925.00
Total tO be financed $151,348.00
Cormnissioner McClenahan moved to authorize the Finance Director to call local
~ki~g institutions for verbal quotes to obtain a fixed rate and variable rate based on the
~me discount rate, to finance the balance of $151·348.00 with two (2) annual payments of '
~,674.00, plus interest· and to authorize the Mayor and City Clerk to execute the proper.
an pe~ere for s~ for the lowest rate offered to the City. Segonded by Co~nissioner
=,, end carried by th, rot, of th, commi,,ion es follo,,,
Commissioner ~cketein
Commissioner Thomas Yea
Co~issioner McClanahen Yea
M~yor Smith Yea
The next item of business was the Consideration of the improvements to Beylet Road
ins Local Option Gns T~x Funds as discussed at the Workshop Session of March 16, 1987.
11 Simmons, Director Of Engineerlog and Planning, reported =he Dep~aftment of
ansporte=ion requirement of a turn-lane for Bevier Road improvements changed the original
timbre of $110,000jto-$115,000 to $115,000-to-$120,000.'
Commissioner Mercer moved Co e~prove from said fund the Bevier Road improvement