HomeMy WebLinkAboutCity of Tamarac Resolution R-99-178Temp. Reso. #8676
July 1, 1999
Pagel
CITY OF TAMARAC, FLORIDA
RESOLUTION NO. R-99,1 7?
A RESOLUTION OF THE CITY COMMISSION OF THE
CITY OF TAMARAC, FLORIDA, AUTHORIZING THE
REPLACEMENT OF RESOLUTION 98-156
PREVIOUSLY ADOPTED ON MAY 27, 1998, WITH
REVISED RESOLUTION 98-156 IDENTIFIED AS
"ATTACHMENT A" TO CORRECT MIS -NUMBERED
SECTIONS; PROVIDING FOR CONFLICTS;
PROVIDING FOR SEVERABILITY; AND ORIGINAL
EFFECTIVE DATE.
WHEREAS, Resolution 98-156 was adopted on May 27, 1998; and
WHEREAS: Resolution 98-156 contained mis-numbered sections; and
WHEREAS, the City Commission of the City of Tamarac, Florida, deems it
to be in the bas4. interest of the citizens and residents of the City of Tamarac to
approve the substitution of this revised Resolution 98-156 identified as
"Attachment A".
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF
THE CITY OF TAMARAC, FLORIDA:
SECTION 1: The foregoing "WHEREAS" clauses are hereby
ratified and confirmed as being true and correct and is hereby made a specific
part of this Resolution.
SECTION 2: The appropriate City officials are hereby authorized to
substitute Resolution 98-156 (Attachment A) as revised to correct the mis-
i]
I- -
Temp. Reso. #8676
July 1, 1999
Page2
numbered sections, in place of original Resolution 98-156. The original effective
date of May 27, 1998 remains in force.
SECTION 3: All resolutions or parts of resolutions in conflict
herewith are hereby repealed to the extent of such conflict.
SECTION 4: If any clause, section, other part or application of this
Resolution is held by any court of competent jurisdiction to be unconstitutional or
invalid, in part or application, it shall not affect the validity of the remaining
portions or applications of this Resolution.
PASSED, ADOPTED AND APPROVED this
ATTEST:
CAROL GOLD, /AAE
,I-p'�R� BY CERTIFY that I hav
Aa ro ed t�RESMTIODIas to form
/ 'V` day of 1
1999.
RECORD OF COMMISSION
MAYOR SCHREIBER�„r„,,
DIST 1: COMM._PORTN
[MST 2: . V/M MISHKJN
DIST 3: COMM. Su�.T ►N�..,,�
FIST 4: COMM. ROBE
ATTACHMENT A
16
May 21, 1998
Revised May 21, 1998
CITY OF TAMARAC, FLORIDA
RESOLUTION NO. 98-156
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF
TAMARAC, FLORIDA, ENTITLED: "A RESOLUTION AUTHORIZING
THE ISSUANCE OF NOT EXCEEDING $15,000,000 REVENUE BONDS OF
THE CITY OF TAMARAC, FLORIDA, TO FINANCE THE REPAIR AND
RESURFACING OF PUBLIC ROADWAYS, MEDIAN BEAUTIFICATION
AND OTHER IMPROVEMENTS TO SUCH ROADWAYS WITHIN THE
CITY; PROVIDING FOR THE ISSUANCE OF SAID REVENUE BONDS,
AND THE RIGHTS, SECURITY AND REMEDIES OF THE HOLDERS
THEREOF; PROVIDING FOR CONFLICTS; PROVIDING FOR
SEVERABILITY; AND PROVIDING AN EFFECTIVE DATE HEREOF."
WHEREAS, the City Commission of the City of Tamarac (the "City") is a Municipality
within the scope of Florida Chapter 166 (the "Act"), and authorized to adopt this Resolution pursuant
to the Act, and other applicable provisions of law; and
WHEREAS, the Act authorizes the City to issue revenue bonds for the Project (as defined
herein); and
WHEREAS, the City deems it to be in the best financial and economic interests of the City
and the public to fund said Project as set forth in this Resolution; and
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE
CITY OF TAMARAC, FLORIDA, AS FOLLOWS:
OR063891: I
�-76
Temp Reso #mil
May 21, 1998
Revised May 21, 1998
ARTICLE I
DEFINITIONS, AUTHORITY AND FINDINGS;
RESOLUTION CONSTITUTES A CONTRACT
SECTION 1.1 DEFINITIONS. As used in this Resolution, the following terms shall
have the meanings as provided:
"Act" shall mean Chapter 166, Florida Statutes, as amended and supplemented, and other
applicable provisions of law.
"Additional Parity Bonds" shall have the meaning given in Section 3.4(F)(iv) hereof.
"Additional Pledged Revenues" shall mean any revenues, other than those revenues
pledged pursuant to this Resolution, that may hereafter be pledged by the City for the payment of
Bonds by subsequent proceedings of the City, provided, however, that the City shall have received
an opinion of Bond Counsel or the City Attorney to the effect that such source of revenue is legally
available to be pledged as security for the Bonds and the City has full authority to pledge said
revenues.
"Annual Debt Service Requirement" shall mean the amount required to be deposited
during any Fiscal Year into the Interest Account, the Principal Account and the Bond Redemption
Account as provided in this Resolution.
"Bond Counsel" shall mean a nationally recognized firm of attorneys -at -law selected by the
City and experienced in the financing of capital projects for governmental units through the issuance
of tax-exempt revenue bonds under the exemption provided under Section 103(a) of the Code.
"Bonds" shall mean the up to $15 million of Revenue Bonds, Series 1998 ("Series 1998
Revenue Bonds") authorized to be issued pursuant to this Resolution. together with any Additional
Parity Bonds hereafter issued pursuant to this Resolution.
"Bondholder," "Holder," "Holder of Bonds" or "Owner" or anv similar term, shall
mean any person who shall be the registered owner of any Outstanding Bond or Bonds.
"City" shall mean the City of Tamarac, Florida.
"Code" shall mean the Internal Revenue Code of 1986, as amended. Each reference to a
section of the Code herein shall be deemed to include, if applicable, temporary or proposed
regulations, revenue rulings and proclamations issued or amended with respect thereto. and any
OR06389111 2
w• A,
Temp Reso 98-2219
May 21, 1998
Revised May 21, 1998
applicable rules and regulations promulgated under the Internal Revenue Code of 1954, as amended.
by the Treasury Department or Internal Revenue Service of the United States.
"Fiscal Year" shall mean that period commencing on October 1 and continuing to and
including the next succeeding September 30, or such other annual period as may be prescribed by
law.
"Interest Payment Date" shall mean, for each Series of Bonds, such dates of each Fiscal
Year on which interest on such Series of Bonds is payable, as set forth in the proceedings of the City
providing for the issuance of such Series of Bonds.
"Maximum Annual Debt Service" shall mean. at any time, the greatest Annual Debt
Service Requirement in the then current or any succeeding Fiscal Year.
"Moody's" shall mean Moody's Investors Service, a corporation organized and existing
under the laws of the State of Delaware, its successors and assigns, and if such corporation shall be
dissolved or liquidated or shall no longer perform the functions of a securities rating agency.
"Moody's" shall be deemed to refer to any other nationally recognized securities rating agency
designated by the City and approved by each Municipal Bond Insurer.
"Municipal Bond Insurance Policy" shall mean an insurance policy issued for the benefit
of the Holders of any Bonds, pursuant to which the issuer of such insurance policy shall be obligated
to pay when due the principal of and interest on such Bonds to the extent of anv deficiency in the
amounts in the funds and accounts held under this Resolution, in the manner and in accordance with
the terms provided in such Municipal Bond Insurance Policy.
"Municipal Bond Insurer" shall mean the provider of a Municipal Bond Insurance Policy.
"Outstanding" when used with reference to the Bonds, shall mean. as of any date of
determination, all Bonds theretofore authenticated and delivered except:
(1) Bonds theretofore canceled by the Registrar or delivered to the Registrar for
cancellation;
(2) Bonds which are deemed paid and no longer Outstanding as provided herein:
(3) Bonds in lieu of which other Bonds have been issued pursuant to the provisions
hereof relating to Bonds destroyed, stolen or lost, unless evidence satisfactory to the
Registrar has been received that any such Bond is held by a bona fide purchaser; and
OR063891:1 3
Temp Reso
May 21, 1998
Revised May 21, 1998
(4) Bonds to which a Municipal Bond Insurer shall have been subrogated until such
subrogation rights have been extinguished in accordance with law.
"Paying Agent" shall mean any bank or trust company or any successor bank or trust
company appointed by the City to act as Paying Agent hereunder.
"Permitted Investments" shall mean, to the extent permitted by law:
(A) For purposes other than investments in escrow accounts and investing and receiving credit
for accrued and capitalized interest or for purposes of defeasance of any Series of Bonds-
(i) cash (insured at all times by the Federal Deposit Insurance Corporation or otherwise
collateralized with obligations described in paragraph (ii) below);
(ii) direct obligations of (including obligations issued or held in book entry form on the
books of) the Department of the Treasury of the United States of America;
(iii) obligations of any of the following federal agencies which obligations represent the
full faith and credit of the United States of America: Export - Import Bank, Farmers
Home Administration, General Services Administration, U.S. Maritime
Administration, Small Business Administration, Government National Mortgage
Association (GNMA), U.S. Department of Housing & Urban Development (PHA's),
Federal Financing Bank, and Federal Housing Administration;
(iv) bonds, notes or other evidences of indebtedness rated "AAA" by Standard and Poor's
and "Aaa" by Moody's issued by the Federal National Mortgage Association or the
Federal Home Loan Mortgage Corporation with remaining maturities not exceeding
three years;
(v) U.S. dollar denominated deposit accounts, federal funds and banker's acceptances
with domestic commercial banks which have a rating on their short term certificates
of deposit on the date of purchase of "A-1" or "A-1+" by Standard and Poor's and
"P-1" by Moody's and maturing no more than 360 days after the date of purchase.
For purposes hereof, ratings on holding companies shall not be considered as the
rating of the bank;
(vi) commercial paper which is rated at the time of purchase in the single highest
classification, "A-1+" by Standard and Poor's and "PA" by Moody's and which
matures not more than 270 days after the date of purchase;
OR063891:1 4
367�
Temp Reso #8-2 �
May 21, 1998
Revised May 21, 1998
(vii) investments in a money market fund rated "AAAm" or "AAAm--G" by Standard and
Poor's and rated in the two highest categories by Moody's;
(viii) prefunded municipal obligations defined as follows: any bonds or other obligations
of any state of the United States of America or of any agency, instrumentality or local
governmental unit of any such state which are not callable at the option of the obligor
prior to maturity or as to which irrevocable instructions have been given by the
obligor to call on the date specified in the notice; and
(1) which are rated, based on the escrow, in the highest rating category of
Standard and Poor's and Moody's, or any successors thereto: or
(2) which are fully secured as to principal and interest and redemption premium.
if any, by a fund consisting only of cash or obligations described in paragraph
(ii) above, which fund may be applied only to the payment of such principal
of and interest and redemption premium, if any, on such bonds or other
obligations on the maturity date or dates thereof or the specified redemption
date or dates pursuant to such irrevocable instructions, as appropriate, and
(3) which fund is sufficient, as verified by a nationally recognized independent
certified public accountant, to pay principal of and interest and redemption
premium, if any, on the bonds or other obligations described in this paragraph
on the maturity date or dates thereof or on the redemption date or dates
specified in the irrevocable instructions referred to above. as appropriate_
(ix) investment agreements approved in writing by each Municipal Bond Insurer
(supported by appropriate opinions of counsel) with notice to Standard and Poor* s
and Moody's;
(x) certificates of deposit properly secured at all times by collateral security described in
either or both of paragraphs (1) and (2) of this definition or in the collateral
provisions of Chapter 280, Florida Statutes, as amended, and issued by commercial
banks, savings and loan associations or mutual savings banks chartered by the State
or the United States of America, and bank trust receipts issued by commercial bank
or trust companies chartered by the State or the United States of America upon any
securities described in paragraph (1) of this definition;
(xi) the following investments fully insured by the Federal Deposit Insurance Corporation
or the Federal Savings and Loan Insurance Corporation: (A) certificates of deposit.
OR063891.1
R
Temp Reso 98t#9
May 21, 1998
Revised May 21, 1998
(B) savings accounts, (C) deposit accounts, or (D) depository receipts of a bank,
savings and loan association or mutual savings bank;
(xii) units of participation in the Local Government Surplus Funds Trust Fund established
pursuant to Part IV, Chapter 218, Florida Statutes, as amended, or any similar
common trust fund which is established pursuant to State law as a legal depository
of public moneys;
(xiii) other forms of investments approved in writing by each Municipal Bond Insurer with
notice to Standard and Poor's and Moody's; and
(B) for purposes of defeasance, investments in refunding escrow accounts, and for the purpose
of investing and receiving premium credit for accrued and capitalized interest, only those
investments described in (i) and (ii) above.
"Pledged Revenues", shall mean the Sales Tax Revenues and any Additional Pledged
Revenues.
"Project" shall mean one or more municipal capital projects to be financed or refinanced,
in whole or in part, by a Series of Bonds and identified as such in the resolution authorizing the
issuance of said Bonds. For purposes of this Resolution the Project means the repair and resurfacing
of public roadways within the City; median beautification and other improvements to such roadways,
provided that no such improvements (or contract relating thereto) shall individually involve a cost
to the City in excess of two and one-half percent (2'/z%) of the then current general fund and
enterprise fund budgets of the City; the costs and fees associated with the issuance of the Bonds.
funding a reserve fund and funding capitalized interest with respect thereto.
"Registrar" shall mean a bank or trust company or any successor bank or trust company
appointed by the City to act as Registrar hereunder and any successor thereto.
"Reserve Account insurance Policy" shall mean the insurance policy, surety bond or other
acceptable evidence of insurance, if any, deposited in the Debt Service Reserve Account in lieu of
or in partial substitution for cash or securities on deposit therein. The issuer providing such Reserve
Account Insurance Policy shall be an insurance company, corporation or financial institution
authorized to issue a Reserve Account Insurance Policy whose policy, security or other evidence of
insurance results in the rating of the municipal obligations secured thereby to be rated in one of the
two highest rating categories of both Moody's and Standard & Poor" s.
"Reserve Account Letter of Credit" shall mean the irrevocable, transferable letter of credit.
if any, deposited in the Debt Service Reserve Account in lieu of or in partial substitution for cash or
OR063891:1 6
g(,"7(
Temp Reso #82"
May 21, 1998
Revised May 21. 1998
securities on deposit therein. The issuer providing such letter of credit shall be a banking
association, bank or trust company or branch thereof whose letter of credit results in the rating of
municipal obligations secured by such letter of credit to be rated in one of the two highest rating
categories of both Moody's and Standard & Poor's.
"Reserve Requirement" shall mean the lesser of (i) Maximum Annual Debt Service, or
(ii) 10% of the original principal amount of the Bonds, or (iii) 125% of Average Annual Debt
Service; provided however, that the Reserve Requirement for the Series 1998 Bonds may be initially
funded at a level such that interest earnings on the Debt Service Reserve Account, retained therein,
will result in accrual of monies on deposit equal to the Debt Service Reserve Requirement within
two years from the date of issuance of the Series 1998 Bonds and such funding and accrual of
interest will satisfy the Reserve Requirement for such two-year period.
"Resolution" shall mean this Resolution as the same may from time to time be amended and
supplemented in accordance with the terms hereof.
"Sales Tax Revenues" shall mean the proceeds derived by the City from the local
government half -cent sales tax levied and collected pursuant to Chapter 212, Part I, Florida Statutes,
and distributed to the City pursuant to Chapter 218, Part VI, Florida Statutes, as amended, and to the
extent provided in any supplemental resolution of the City, any additional sales tax revenues
distributed to the City.
"Serial Bonds" shall mean the Bonds of a Series which shall be stated to mature in annual
installments but not including Term Bonds.
"Series" shall mean all of the Bonds authenticated and delivered on original issuance and
pursuant to this Resolution or any supplemental resolution authorizing such Bonds as a separate
Series of Bonds, or any Bonds thereafter authenticated and delivered in lieu of or in substitution for
such Bonds pursuant to Article II hereof, regardless of variations in maturity, interest rate or other
provisions.
"Series 1998 Bonds" shall mean the initial Series of Bonds issued under and pursuant to this
Resolution.
"Standard and Poor's" shall mean Standard and Poor's Ratings Services, a division of the
McGraw-Hill Companies, Inc., its successors and assigns, and if Standard and Poor's shall be
dissolved or liquidated or shall no longer perform the functions of a securities rating agency.
"Standard and Poor's" shall be deemed to refer to any other nationally recognized securities rating
agency designated by the City and approved by each Municipal Bond Insurer.
OR063891:1 7
!mj
Temp Reso 4*921*
May 21, 1998
Revised May 21, 1998
"State" shall mean the State of Florida.
"Term Bonds" shall mean the Bonds of any Series which shall be stated to mature on one
date and for the amortization of which payments are required to be made into the Bond Redemption
Account in the Sinking Fund.
Words importing singular number shall include the plural number in each case and vice
versa, and words importing persons shall include firms and corporations.
SECTION 1.2 AUTHORITY FOR THIS RESOLUTION. This Resolution is adopted
pursuant to the provisions of the Act.
SECTION 1.3 FINDINGS. It is hereby ascertained, determined and declared:
(A) That it is necessary for the health, safety and economic welfare of the City and its inhabitants
that the Bond proceeds be expended for the Project in the manner provided in this Resolution.
(B) That the Pledged Revenues are not pledged and encumbered in any manner; and it is deemed
necessary and advisable to pledge such Pledged Revenues to the payment of the principal of and
interest and premium, if any, on the Bonds authorized herein.
(C) That the estimated Pledged Revenues to be derived in each year hereafter will be sufficient
to pay the principal of and interest and premium, if any, on the Bonds, as the same become due and
payable, and all sinking fund, reserve and other payments provided for in this Resolution.
(D) That the principal of and interest on the Bonds, and all of the reserve, sinking fund and other
payments provided for in this Resolution will be secured equally and ratably by a lien on and pledge
of the Pledged Revenues all as provided herein; and the ad valorem taxing power of the City, or the
taxation of real or personal property in the City or the application of any other funds of the City have
not been authorized to pay the principal of and interest and premium, if any, on the Bonds, or to
make any of the reserve, sinking fund or other payments provided for in this Resolution, and the
Bonds shall not constitute a debt of the City or be a lien upon any other property whatsoever of the
City.
(E) That the cost of the Project shall be deemed to include, but shall not be limited to. the cost
of any lands or real estate, including easements or other interests therein, or any other property, real
or personal, as determined by the City to be necessary therefor; discount on the sale of the Bonds,
if any; capitalized interest on the Bonds for a period to be determined by the City in a manner
provided by law; deposits to be made in the Debt Service Reserve Account for the Bonds or such
other funds or accounts as may be provided herein, if any; administration expenses; bond insurance
OR063891:1
Temp Reso #9
May 21, 1998
Revised May 21, 1998
premiums or surety or letter or credit fees; expenses for engineers; legal expenses; expenses for fiscal
agents or financial services; expenses for estimates of costs and of revenues; expenses for plans,
specifications and surveys; expenses of making rebate calculations; and such other expenses as may
be necessary or incidental to the acquisition and construction of the Project.
(F) That the Bonds may be issued at one time or from time to time as determined by the City.
SECTION 1.4 RESOLUTION CONSTITUTES„C=RACT. In consideration of
the acceptance of the Bonds authorized to be issued hereunder by those who shall own the same from
time to time, this Resolution shall be deemed to be and shall constitute a contract between the City
and such Bondholders, and the covenants and agreements herein set forth to be performed by the
City shall be for the equal benefit, protection and security of the owners of any and all of such
Bonds, all of which shall be of equal rank and without preference, priority or distinction of any of
the Bonds over any other thereof except as expressly provided therein and herein.
ARTICLE II
AUTHORIZATION, TERMS, EXECUTION AND
REGISTRATION OF BONDS
SECTION 2.1 AUTHORIZATION OF BONDS. Subject and pursuant to the
provisions of this Resolution, Bonds of the City to be known as "City of Tamarac, Florida Revenue
Bonds, Series 1998", are hereby authorized to be issued in the aggregate principal amount of not
exceeding Fifteen Million Dollars ($15,000,000) for the purpose of financing the repair and
resurfacing of public roadways in the City, and paying the costs of issuance, funding a reserve fund
and funding capitalized interest with respect to the Bonds, which Bonds may be issued all at one time
or from time to time in one or more Series, and if in Series, may be dated, numbered. and designated
as to Series, all as shall be determined by subsequent resolution of the City.
The Bonds may, if and when authorized by the City pursuant to this Resolution. be issued
in one or more Series, with such further appropriate particular designations added to or incorporated
in such title for the Bonds of any particular Series as the City may determine and as may be necessary
to distinguish such Bonds from the Bonds of any other Series. Each Bond shall bear upon its face
the designation so determined for the Series to which it belongs.
The Bonds shall be issued for such purpose or purposes; shall bear interest at such rate or
rates not exceeding the maximum rate permitted by law; and shall be payable in lawful money of the
United States of America on such dates; all as determined by this Resolution or subsequent
Resolution of the City.
OR063891:1 9
Temp Reso
May 21, 1998
Revised May 21, 1998
The Bonds shall be issued in such denominations and such form, whether coupon or
registered; shall be dated such date; shall bear such numbers; shall be payable at such place or places;
shall contain such redemption provisions; shall have such Paying Agents and Registrars; shall mature
in such years and amounts; shall provide that the proceeds thereof be used in such manner; all as
determined by this Resolution or subsequent resolution of the City. The City may issue Bonds which
may be secured by a Municipal Bond Insurance Policy all as shall be determined by this or
subsequent resolution of the City.
SECTION 2.2 DESCRIPTION OF BONDS. Unless otherwise specified by the City
in subsequent proceedings, the Bonds of a Series shall be payable, with respect to interest, principal
and premium, if any, in any coin or currency of the United States of America which at the time of
payment is legal tender for the payment of public and private debts; shall be issued in the form of
fully registered Bonds; shall be dated as determined by subsequent resolution of the City relating to
the issuance of such Series of Bonds; shall bear interest from their date at a rate not exceeding the
legal rate per annum, with interest mailed to the registered Holder thereof by the Paying Agent at the
address shown on the registration books of the City held by the Registrar at the close of business on
the 15th day of the calendar month preceding an Interest Payment Date, provided. however. that if
such 15th day is a Saturday, Sunday or holiday, then to the registered Holder and at the registered
address shown on the registration books of the City at the close of business on the day next preceding
such 15th day of the month which is not a Saturday, Sunday or holiday, shall be lettered and shall
be numbered in such manner as may be prescribed by the Registrar; shall be in the denomination of
$5,000 or any integral multiple thereof, and shall mature on such dates, in such years and in such
amounts, all as provided for by subsequent resolution of the City.
The Bonds issued hereunder may be Serial Bonds or Term Bonds and may be capital
appreciation bonds, capital appreciation and income bonds and option bonds, as determined by
subsequent resolution of the City.
SECTION 2.3 REDEMPTION PROVISIONS. The Bonds of each Series may be
subject to redemption prior to maturity at such times, at such redemption prices and upon such terms
in addition to the terms contained in this Resolution as may be determined by subsequent resolution
of the City.
SECTION 2.4 EXECUTION OF BONDS. Said Bonds shall be signed in the name
of the City by the Mayor of the City and its seal shall be affixed thereto or imprinted or reproduced
thereon and attested by the City Clerk of the City. The signatures of said Mayor and City Clerk on
said Bonds may be manual or facsimile signatures. In case any one or more of the officers who shall
have signed or sealed any of the Bonds shall cease to be such officer of the City before the Bonds
so signed and sealed shall have been actually sold and delivered. such Bonds may nevertheless be
sold and delivered as herein provided and may be issued as if the person who signed and sealed such
OR063891:1 10
Temp Reso #�9�
May 21. 1998
Revised May 21. 1998
Bonds had not ceased to hold such office. Any Bond may be signed and sealed on behalf of the City
by such person as at the actual time of the execution of such Bond shall hold the proper office.
although at the date of such Bonds such person may not have held such office or may not have been
so authorized.
The Bonds of each Series shall bear thereon a certificate of authentication, in the form set
forth in Section 2.9 of this Resolution, executed manually by the Registrar. Only such Bonds as shall
bear thereon such certificate of authentication shall be entitled to any right or benefit under this
Resolution and no Bond shall be valid or obligatory for any purpose until such certificate of
authentication shall have been duly executed by the Registrar. Such certificate of the Registrar upon
any Bond executed on behalf of the City shall be conclusive evidence that the Bond so authenticated
has been duly authenticated and delivered under this Resolution and that the Holder thereof is
entitled to the benefits of this Resolution.
In the event any Series of Bonds are validated, a validation certificate shall be placed on the
back of the Bonds and signed with the manual or facsimile signatures of the Mayor and City Clerk,
and the City may adopt and use for that purpose the facsimile signature of any person who shall have
been such Mayor and City Clerk at any time on or after the date of said Bonds, notwithstanding that
he may have ceased to be such Mayor or City Clerk at the time when said Bonds shall be actually
delivered.
SECTION 2.5 NEGOTIABILITY. REGISTRATION AND CANCELLATION. At
the option of the registered Holder thereof and upon surrender thereof at the principal corporate trust
office of the Registrar with a written instrument of transfer satisfactory to the Registrar duly executed
by the registered Holder or his duly authorized attorney and upon payment by such Holder of any
charges which the Registrar or the City may make as provided in this Section. the Bonds may be
exchanged for Bonds of the same aggregate principal amount of the same Series and maturity of any
other authorized denominations.
The Registrar shall keep books for the registration of Bonds and for the registration of
transfer of Bonds. The Bonds shall be transferable by the Holder thereof in person or by his attorney
duly authorized in writing only upon the books of the City kept by the Registrar and only upon
surrender thereof together with a written instrument of transfer satisfactory to the Registrar duly
executed by the Holder or his duly authorized attorney. Upon the transfer of any such Bonds. the
City shall cause to be issued in the name of the transferee a new Bond.
The City, the Paying Agent and the Registrar may deem and treat the person in whose name
any Bond shall be registered upon the books kept by the Registrar as the absolute Holder of such
Bond, whether such Bond shall be overdue or not, for the purpose of receiving payment of. or on
account of, the principal of, premium, if any, and interest on such Bond as the same become due and
OR063891:1
Temp Reso #424-9,
May 21, 1998
Revised May 21, 1998
for all other purposes. All such payments so made to any such Holder or upon his order shall be
valid and effectual to satisfy and discharged the liability upon such Bond to the extent of the sum or
sums so paid, and neither the City, the Paying Agent nor the Registrar shall be affected by any notice
to the contrary.
In all cases in which the privilege of exchanging Bonds or transferring Bonds is exercised,
the City shall execute and the Registrar shall authenticate and deliver Bonds in accordance with the
provisions of this Resolution. All Bonds surrendered in any such exchanges or transfers shall
forthwith be delivered to the Registrar and cancelled by the Registrar in the manner provided in this
Section. There shall be no charge for any such exchange or transfer of Bonds, but the City or the
Registrar may require the payment of a sum sufficient to pay any tax, fee or other governmental
charge required to be paid with respect to such exchange or transfer. Neither the City nor the
Registrar shall be required (a) to transfer or exchange Bonds of any Series for a period of 15 days
next preceding an Interest Payment Date on such Bonds of such Series or next preceding any
selection of Bonds of such Series to be redeemed or thereafter until after the mailing of any notice
of redemption; or (b) to transfer or exchange any Bonds of any Series called for redemption.
Except as may otherwise be provided with respect to option Bonds in the proceedings of the
City providing for the issuance thereof, all Bonds paid or redeemed, either at or before maturity shall
be delivered to the Paying Agent when such payment or redemption is made, and such Bonds,
together with all Bonds purchased by the City, shall thereupon be promptly cancelled. Bonds so
cancelled may at any time be destroyed by the Paying Agent, who shall execute a certificate of
destruction in duplicate by the signature of one of its authorized officers describing the Bonds so
destroyed, and one executed certificate shall be filed with the City and the other executed certificate
shall be retained by the Paying Agent.
SECTION 2.6 BONDS MUTILATED.j2E=YED. STOLEN OR LOST. In case
any Bonds shall become mutilated, destroyed, stolen or lost, the City may execute and the Registrar
shall authenticate and deliver a new Bond of like Series, date, maturity, denomination and interest
rate as the Bond so mutilated, destroyed, stolen or lost; provided that, in the case of any mutilated
Bond, such mutilated Bond shall first be surrendered to the City and, in the case of any lost. stolen
or destroyed Bond, there shall first be furnished to the City and the Registrar evidence of such loss.
theft, or destruction satisfactory to the City and the Registrar, together with indemnity satisfactory
to them. In the event any such Bond shall be about to mature or have matured or have been called
for redemption, instead of issuing a duplicate Bond, the City may direct the Paying Agent to pay the
same without surrender thereof. The City and the Registrar may charge the Holder of such Bond
their reasonable fees and expenses in connection with this transaction. Any Bond surrendered for
replacement shall be cancelled in the same manner as provided in Section 2.5 of this Resolution.
OR063891:1 12
1
S""J 76
Temp Reso #�9
May 21, 1998
Revised May 21, 1998
Any such duplicate Bonds issued pursuant to this Section shall constitute additional
contractual obligations on the part of the City, whether or not the lost, stolen or destroyed Bonds be
at any time found by anyone, and such duplicate Bonds shall be entitled to equal and proportionate
benefits and rights as to lien on and source and security for payment from the Pledged Revenues with
all other Bonds issued hereunder.
SECTION 2.7 PREPAEADQN QE D FINI Y
The definitive Bonds of each Series shall be lithographed or printed with steel engraved borders
lithographed or printed; provided, however, type written Bonds may be delivered to a registered
securities depository for use in a book -entry system or to a purchaser who has specifically agreed to
such form. Until the definitive Bonds are prepared, the Mayor and the City Clerk of the City may
execute and the Registrar may authenticate, in the same manner as is provided in Section 2.4 hereof,
and deliver, in lieu of definitive Bonds, but subject to the same provisions, limitations and conditions
as the definitive Bonds, one or more printed, lithographed or typewritten temporary fully registered
Bonds, substantially of the tenor of the definitive Bonds in lieu of which such temporary Bonds are
issued, in authorized denominations or any whole multiples thereof, and with such omissions,
insertions and variations as may be appropriate to such temporary Bonds. The City at its own
expense shall prepare and execute and, upon the surrender at the corporate trust office of the
Registrar of such temporary Bonds for which no payment or only partial payment has been provided,
the Registrar shall authenticate and, without charge to the Holder thereof, deliver in exchange
therefore, at the principal corporate trust office of the Registrar, definitive Bonds of the same
aggregate principal amount, Series and maturity as the temporary Bonds surrendered. Until so
exchanged, the temporary Bonds shall in all respects be entitled to the same benefits and security as
definitive Bonds issued pursuant to this Resolution.
SECTION 2.8 BOOK ENTRY. Bonds may be issued in book entry form or
immobilized with a registered depositary or its nominee as may be determined by subsequent
proceedings of the City.
SECTION 2.9 FORM OF BOND. The text of the Bonds shall be of substantially
the following tenor, with such omissions, insertions and variations as may be necessary and desirable
and authorized or permitted by this Resolution:
OR063891:1 13
if •
[FORM OF BOND]
(Face of Bond)
UNITED STATES OF AMERICA
COUNTY OF BROWARD
CITY OF TAMARAC
REVENUE BOND,
SERIES 1998
Date of
Interest Maturity Original
Rate Date Issuance _ CUSIP
Temp Reso 4&11
May 21, 1998
Revised May 21, 1998
KNOW ALL MEN BY THESE PRESENTS that the City of Tamarac, Florida (the "City"),
for value received, hereby promises to pay to , or registered assigns, on the date
specified above, solely from the Pledged Revenues hereinafter mentioned, upon presentation and
surrender hereof at the principal corporate trust office of , as paying agent (said
and/or any bank or trust company to become successor paying agent being herein
called the "Paying Agent"), the principal sum of THOUSAND DOLLARS
with interest thereon at the interest rate per annum specified above payable on the first day of
and of each year. Principal of this Bond is payable at
in lawful money of the United States of America. Interest on this Bond is payable by check or draft
of the Paying Agent made payable to the registered owner and mailed to the address of the registered
owner as such name and address shall appear on the registry books of , as
Registrar (said and any successor Registrar being herein called the "Registrar")
at the close of business on the fifteenth day of the calendar month preceding each interest payment
date or the date on which the principal of a Bond is to paid (the "Record Date"). Such interest shall
be payable from the most recent interest payment date next preceding the date hereof to which
interest has been paid, unless the date hereof is an 1 or 1 to which interest has been
paid, in which case from the date hereof, or unless the date hereof is prior to . 19—. in
which case from , 19 , or unless the date hereof is between a Record Date and the next
succeeding interest payment date, in which case from such interest payment date.
This Bond is one of an authorized issue of Bonds of the City of Tamarac. Florida designated
as its "Revenue Bonds Series 1998" (herein called the "Series 1998 Bonds"), in the aggregate
OR063891; I 14
Temp Reso #$-2-49
May 21. 1998
Revised May 21. 1998
principal amount of not exceeding Dollars ($ ) of like date,
tenor and effect, except as to number, date of maturity and interest rate, issued for the purpose of
financing the cost of the repair and resurfacing of public roadways within the City (the "Project"),
the costs associated with the issuance of the Bonds, funding a reserve fund and funding capitalized
interest, under the authority of and in full compliance with the Constitution and Statutes of the State
of Florida, including particularly Chapter 166, Florida Statutes, as amended and supplemented, and
other applicable provisions of law, and a resolution duly adopted by the City Commission of the City
on 1998 (hereinafter referred to as the "Resolution") and is subject to all the terms
and conditions of the Resolution.
Reference is hereby made to the further provisions of this Bond set forth on the reverse side
hereof and such further provisions shall for all purposes have the same effect as if set forth on the
front side hereof.
It is hereby certified and recited that all acts, conditions and things required to exist, to
happen, and to be performed, precedent to and in the issuance of this Bond exist, have happened and
have been performed in regular and due form and time as required by the Laws and Constitution of
the State of Florida applicable thereto, and that the issuance of this Bond, and of the Series of Bonds
of which this Bond is one, is in full compliance with all constitutional, statutory or charter limitations
or provisions.
IN WITNESS WHEREOF, the City of Tamarac, Florida has caused this Bond to be signed
by its Mayor, either manually or with his facsimile signature, and the seal of the City of Tamarac,
Florida or a facsimile thereof to be affixed hereto or imprinted or reproduced hereon, and attested
by the City Clerk of Tamarac, Florida, either manually or with his facsimile signature, all as of the
first day of , 19
CITY OF TAMARAC, FLORIDA
Joe Schreiber, Mayor
(SEAL)
Attest:
Carol Gold, CMC/AAE, City Clerk
OR063991:1 15
%-76
Temp Reso 0249'
May 21, 1998
Revised May 21, 1998
FORM OF CERTIFICATE OF AUTHENTICATION
This Bond is one of the Bonds delivered pursuant to the within mentioned Resolution.
Date of Authentication:
as Registrar
al
Authorized Officer
[FORM OF VALIDATION CERTIFICATE]
This Bond is one of a Series of Bonds which were validated by judgment of the Circuit Court
of the Seventeenth Judicial Circuit of Florida, in and for Broward County, Florida, rendered on the
day of , 19
Mayor
City Clerk
[FORM OF BOND INSURANCE LEGEND]
[Back of Bond]
This Bond is payable from and secured by a lien on and pledge of the Pledged Revenues
levied and collected by the City (as such capitalized terms are defined in the Resolution), all in the
manner provided in the Resolution. The City is not obligated to pay this Bond or the interest hereon
except from the Pledged Revenues pledged thereto, and the full faith and credit of the City is not
pledged for the payment of this Bond and this Bond does not constitute an indebtedness of the City
within the meaning of any constitutional, statutory or other provision or limitation. and it is expressly
agreed by the Holder of this Bond that such Holder shall never have the right to require or compel
OR063891:1 16
g67(v
Temp Reso #8-249
May 21, 1998
Revised May 21, 1998
the exercise of the ad valorem taxing power of the City, or taxation in any form of any real or
personal property therein, for the payment of the principal of and interest on this Bond, or the making
of any other sinking fund and other payments provided for in the Resolution.
It is further agreed between the City and the Holder of this Bond that this Bond and the
obligation evidenced thereby shall not constitute a lien upon any property of or in the City, but shall
constitute a lien only on the Pledged Revenues pledged thereto, all in the manner provided in the
Resolution.
[Redemption Provisions]
Additional parity Bonds may be issued by the City from time to time upon the conditions and
within the limitations and in the manner provided in the Resolution.
The original registered owner, and each successive registered owner of this Bond shall be
conclusively deemed to have agreed and consented to the following terms and conditions:
a. The Registrar shall keep books for the registration of Bonds and for the registration
of transfers of Bonds as provided in the Resolution. The Bonds shall be transferable by the
registered owner thereof in person or by his attorney duly authorized in writing only upon the books
of the City kept by the Registrar and only upon surrender hereof together with a written instrument
of transfer satisfactory to the Registrar duly executed by the registered owner or his duly authorized
attorney. Upon the transfer of any such Bond, the City shall issue in the name of the transferee a new
Bond.
b. The City, the Paying Agent and the Registrar may deem and treat the person in whose
name any Bond shall be registered upon the books kept by the Registrar as the absolute owner of
such Bond, whether such Bond shall be overdue or not, for the purpose of receiving payment of, or
on account of, the principal of and interest on such Bond as the same becomes due. and for all other
purposes. All such payments so made to any such registered owner or upon his order shall be valid
and effectual to satisfy and discharge the liability upon such Bond to the extent of the sum or sums
so paid, and neither the City, the Paying Agent, nor the Registrar shall be affected by any notice to
the contrary.
C. At the option of the registered owner thereof and upon surrender hereto at the
principal corporate trust office of the Registrar with a written instrument of transfer satisfactory to
the Registrar duly executed by the registered owner or his duly authorized attorney and upon
payment by such registered owner of any charges which the Registrar or the City may make as
provided in the Resolution, the Bonds may be exchanged for Bonds of the same Series and maturity
of any other authorized denominations.
OR063891:1 17
Ll
1
D6 7�
Temp Reso #$ice
May 21, 1998
Revised May 21, 1998
d. In all cases in which the privilege of exchanging Bonds or transferring Bonds is
exercised, the City shall execute and the Registrar shall authenticate and deliver Bonds in accordance
with the provisions of the Resolution. There shall be no charge for any such exchange or transfer
of Bonds, but the City or the Registrar may require payment of a sum sufficient to pay any tax, fee
or other governmental charge required to be paid with respect to such exchange or transfer. Neither
the City nor the Registrar shall be required (i) to transfer or exchange Bonds for a period of 15 days
next preceding an interest payment date on such Bonds or next preceding any selection of Bonds to
be redeemed or thereafter until after the mailing of any notice of redemption; or (ii) to transfer or
exchange any Bonds called for redemption.
e. By purchase and acceptance of a Bond or portion thereof in book -entry form, the
beneficial owner agrees that the City shall have no responsibility for the action or inaction of The
Depositary Trust Company or other registered depositary or any of its participants. nominees or
successors as depositary in connection with the Bonds.
OR063891:1 18
1
g67(
Temp Reso #$��
May 21. 1998
Revised May 21. 1998
WIS1141410ul1lalGONIM ININIST :i
FOR VALUE RECEIVED the undersigned sells, assigns and transfers unto
(please print or typewrite name and address of transferee)
the written bond and all rights thereunder, and hereby irrevocably constitutes and appoints
Attorney to transfer the within bond on the books kept for registration thereof with full power of
substitution in the premises.
Dated:
In the presence of-
OR063891:1 19
g67�,
Temp Reso #8N-9
May 21, 1998
Revised May 21, 1998
ARTICLE III
COVENANTS, FUNDS AND APPLICATION THEREOF
SECTION 3.1 B(_NDS NOT TO BE INDEBTEDNESS OF THE CITY. The Bonds
shall not be and shall not constitute general obligations or indebtedness of the City within the
meaning of any constitutional or statutory provision, but shall be special obligations of the City,
payable solely from and secured by a lien upon and pledge of the Pledged Revenues in accordance
with the terms of this Resolution. No Holder of any Bond or any Municipal Bond Insurer or the
issuer of any Reserve Account Insurance Policy or Reserve Account Letter of Credit shall ever have
the right to compel the exercise of any ad valorem taxing power to pay such Bond, or be entitled to
payment of such Bond from any moneys of the City except from the Pledged Revenues in the manner
provided herein.
SECTION 3.2 SECURITY FOR BANDS. The payment of the principal of and
interest on all of the Bonds issued hereunder and any Additional Parity Bonds hereafter issued, as
provided herein, shall be secured forthwith equally and ratably by a lien on and pledge of the Pledged
Revenues; provided, however, a Series of Bonds may be further secured by a Municipal Bond
Insurance Policy in addition to the security provided herein. The Pledged Revenues in an amount
sufficient to pay the principal of and interest on the Bonds herein authorized and to make the
payments into the Sinking Fund and all other payments provided for in this Resolution. are hereby
irrevocably pledged to the payment of the principal of and interest on the Bonds authorized herein,
and other payments provided for herein, as the same become due and payable.
The Pledged Revenues shall immediately be subject to the lien of this pledge without any
physical delivery thereof or further act, and the lien of this pledge shall be valid and binding as
against all parties having claims of any kind in tort, contract or otherwise against the City.
The City does further hereby covenant and agree that as long as any of the principal of or
interest on any of the Bonds issued pursuant to this Resolution are outstanding and unpaid, or
payment thereof not duly provided for, it will not repeal any of the ordinances or resolutions, if any,
pursuant to which it levies, collects or receives the Pledged Revenues and will not amend or modify
said ordinances or resolutions in any manner so as to impair or adversely affect in any manner the
pledge of Pledged Revenues made herein, or the rights of Holders of Bonds issued pursuant to this
Resolution.
The City further covenants that if, in any Fiscal Year, Pledged Revenues are less than one
hundred twenty-five percent (125%) of the Annual Debt Service Requirement for all Bonds
Outstanding, it shall pledge, to the extent legally available, Additional Pledged Revenues. so that the
Pledged Revenues shall be adequate in the next succeeding Fiscal Year to pay at least one hundred
OR063891:1 20
$-f�7 6
Temp Reso #8�9
May 21, 1998
Revised May 21, 1998
twenty-five percent (125%) of the Annual Debt Service Requirement for all Bonds outstanding, and
that such Pledged Revenues shall be sufficient to make all of the other payments provided herein as
the same become due in such Fiscal Year.
The City does further covenant that it has power to irrevocably pledge said Pledged Revenues
to the payment of principal of and interest on the Bonds issued pursuant to this Resolution and that
the pledge of said Pledged Revenues in the manner provided herein, shall not be subject to repeal,
modification or impairment by any subsequent ordinance or other proceedings of the governing body
of the City, except as provided herein, or by any subsequent act or acts of the Legislature of Florida_
SECTION 3.3 APPLICATION OF BOND PROCFEDS.
(A) All moneys received by the City from the sale of Bonds issued pursuant to this Resolution,
unless otherwise provided by subsequent proceedings of the City, shall be simultaneously disbursed
as follows:
(i) The accrued interest derived from the sale of Bonds together with capitalized interest,
if any, derived from the proceeds of the Bonds shall be deposited in the Interest
Account, hereinafter created and established, and used for the purpose of paying
interest on said Bonds as the same becomes due and payable.
(ii) Proceeds derived from the sale of Bonds shall be deposited, together with other
moneys lawfully available therefor, if any, in the Debt Service Reserve Account,
hereinafter created and established, in an amount equal to the Reserve Requirement.
For purposes of the initial funding of the Reserve Requirement with respect to the
Series 1998 Bonds, the Debt Service Reserve Account may be funded in equal
installments over a period not to exceed twenty-four from the date of issuance of
such Series of Bonds.
(iii) The balance of the proceeds derived from the sale of Bonds issued pursuant to this
Resolution shall be deposited in a Construction Fund which is hereby created and
established and used for the purpose of paying the costs of issuance of the said Bonds
and the costs of the Project. The Construction Fund shall be deposited in a bank or
trust company in the State which is eligible under State laws to receive deposits of
municipal funds.
(B) Withdrawals shall be made from the Construction Fund only upon receipt of a written
requisition executed by a duly authorized official of the City, specifying the purpose for which such
withdrawal is to be made and certifying that such purpose is one of the purposes provided for in this
Resolution; provided, however, that no such written approval shall be required for legal. financial
OR063891:1 21
,0, 7(
Temp Reso #$24,9'
May 21, 1998
Revised May 21, 1998
and engineering expenses and fees and for costs of issuance in connection with such Bonds. If for
any reason the moneys in the Construction Fund, or any part thereof, are not necessary for, or are not
applied to the purposes provided in this Resolution for the Construction Fund, then such unapplied
proceeds, upon certification of the Finance Director of the City that such surplus proceeds are not
needed for the purposes of the Construction Fund, shall be disbursed in the following order:
First, to the Debt Service Reserve Account, hereinafter created and established, to the full
extent necessary to make the amount then on deposit therein equal to the Reserve Requirement.
Second, the balance, if any, to be used for any lawful capital expenditures in connection with
the City's capital improvement plan or, at the option of the City, the redemption or purchase of
Outstanding Bonds, if any.
(C) Any moneys received by the City from the State or from the United States of America or any
agencies thereof for the purpose of financing part of the cost of the acquisition and construction of
the Project, shall be deposited in the Construction Fund and used in the same manner as other Bond
proceeds are used therein; provided, however, that such moneys shall not be so deposited in the event
and to the extent that the City has incurred debt in anticipation of the receipt of such moneys for
payment of such debt and provided further that separate accounts may be established in the
Construction Fund for moneys received pursuant to the provisions of this paragraph whenever
required by Federal or State regulations.
The proceeds of the sale of the Bonds shall be and constitute trust funds for the purposes
hereinabove provided and there is hereby created a lien upon such moneys, until so applied, in favor
of the Holders of said Bonds.
SECTION 3.4 VE N THE Y. The City hereby covenants and agrees
with the Holders of any and all of the Bonds issued pursuant to this Resolution as follows:
(A) Arbitrage Covenant, Rebate Fund. A special fund is hereby created. established and
designated the City of Tamarac Revenue Bond Rebate Fund (the "Rebate Fund"). Amounts on
deposit in the Rebate Fund shall not be a part of the Pledged Revenues and are not pledged to the
payment of the principal of, or interest or premium, if any, on the Bonds.
In order to maintain the exclusion from federal gross income of interest on the Bonds, and
for no other purpose, the City covenants to comply with the Code. In furtherance of the covenant
contained in the preceding sentence, the City agrees to comply with the tax certificate delivered by
the City in connection with the issuance of Bonds, including, but not limited to:
OR063891:1 22
a
e67 ("
Temp Reso #82`419-
May 21, 1998
Revised May 21, 1998
(i) Making a determination in accordance with the Code of the amount required to be
deposited into the Rebate Fund, and making such deposit;
(ii) Paying on the dates and in the manner required by the Code to the United States
Treasury from the Rebate Fund and any other legally available moneys of the City
such amounts as shall be required by the Code to be rebated to the United States
Treasury; and
(iii) Keeping such records of the determinations made pursuant to this Section 3.4(A) as
shall be required by the Code, as well as evidence of the fair market value of any
investments purchased with the proceeds of the Bonds.
The City covenants and agrees with the Holders of the Bonds that the City shall not take any
action or omit to take any action, which action or omission, if reasonably expected on the date of
initial issuance and delivery of the Bonds, would cause any of the Bonds to be "private activity
bonds" or "arbitrage bonds" within the meaning of Sections 141(a) and 148(a), respectively, of the
Code.
The City shall make any and all payments required to be made to the United States
Department of the Treasury in connection with the Bonds pursuant to Section 148(f) of the Code
from amounts on deposit in the funds and accounts established under this Resolution and available
therefor.
Notwithstanding any other provision of this Resolution to the contrary. as long as necessary
in order to maintain the exclusion from federal gross income of interest on the Bonds, the covenants
contained in this section shall survive the payment of the Bonds and the interest thereon, including
any payment or discharge thereof pursuant to Article III of this Resolution.
(B) Pledged Revenue Fund. That the Pledged Revenues shall be deposited in a special fund in
a bank or trust company which is eligible under the laws of the State of Florida to receive deposits
of municipal funds, which fund is hereby created, established and designated as the "Pledged
Revenue Fund" (hereinafter referred to as the "Revenue Fund"). Said Revenue Fund shall constitute
a trust fund for the purposes provided in this Resolution, and shall for the purposes of an accounting
be kept separate and distinct from all other funds of the City and used only for the purposes and in
the manner provided for in this Resolution.
(C) Disposition of Pledged Revenues. There are hereby created and established the following
funds and accounts:
OR063891;1 23
$'676
Temp Reso #8124171
May 21, 1998
Revised May 21, 1998
The "Pledged Revenue Sinking Fund" (herein referred to as the "Sinking Fund"); and within
this Sinking Fund there are also hereby created four (4) separate accounts to be known as the
"Interest Account," the "Principal Account," the "Bond Redemption Account" and the "Debt Service
Reserve Account."
The Sinking Fund and the four (4) separate accounts therein shall be deposited in a bank or
trust company in the State which is eligible under State laws to receive deposits of municipal funds.
All revenues at any time on deposit in the Revenue Fund shall be disposed of only in the
following manner:
(i) Revenues shall first be used, to the full extent necessary, for deposit into the Interest
Account in the Sinking Fund, on the fifteenth (15th) day of each month, beginning
with the fifteenth (15th) day of the first full calendar month following the date on
which any or all of the Bonds are delivered to the purchasers thereof, such sums as
shall be sufficient to pay one -sixth of the interest becoming due on the Bonds on the
next semi-annual Interest Payment Date, provided, however, that such monthly
deposits for interest shall not be required to be made into the Interest Account to the
extent that money on deposit therein is sufficient for such purpose.
In the event that the period to elapse between Interest Payment Dates will be other
than six (6) months, then such monthly payments shall be increased or decreased as
appropriate, in sufficient amounts to provide for the payment of all interest due on
the next Interest Payment Date. Any monthly payment from the Revenue Fund to be
deposited as set forth above, for the purpose of meeting interest payments for any
Series of Bonds, shall be adjusted, as appropriate, to reflect the frequency of Interest
Payment Dates applicable to such Series.
(ii) (1) Revenues shall next be used, to the full extent necessary for deposit in the
Principal Account on the fifteenth (15th) day of each month in each year, one -twelfth
(1/12th) of the principal amount of the Serial Bonds which will mature and become
due on such annual maturity dates, beginning on such dates at least one year prior to
such maturity dates, as shall hereafter be determined by subsequent proceedings of
the City; provided, however, that such monthly deposits for principal shall not be
required to be made into the Principal Account to the extent that money on deposit
therein is sufficient for such purpose.
In the event the period to elapse between the date of delivery of the Bonds and the
next principal payment date will be other than twelve (12) months, then such monthly
payments shall be increased or decreased, as appropriate, in sufficient amounts to
OR063891:1 24
�s�76
Temp Reso #8g49-
May 21, 1998
Revised May 21, 1998
provide the required principal amount maturing on the next principal payment date.
Any monthly payment from the Revenue Fund to be deposited as set forth above for
the purpose of meeting payments of principal of the Bonds, shall be adjusted, as
appropriate, to reflect the frequency of principal payments applicable to such Series.
(2) Revenues shall next be used, to the full extent necessary, for deposit into the
Bond Redemption Account on the fifteenth (15th) day of each month in each year,
one -twelfth (1 / 12th) of the principal amount of the installment coming due in the
next sinking fund payment date, beginning at least one year prior to the first such
sinking fund payment date, in such amount and in each year as may be required for
the payment of the principal amount of Term Bonds payable from the Bond
Redemption Account, as shall hereafter be determined by subsequent proceedings of
the City.
The moneys in the Bond Redemption Account shall be used solely for the purchase
or redemption of the Term Bonds payable therefrom. The City may at any time
purchase any of said Term Bonds at prices not greater than the then redemption price
of said Term Bonds. If the Term Bonds are not then redeemable prior to maturity,
the City may purchase said Term Bonds at prices not greater than the redemption
price of such Term Bonds on the next ensuing redemption date. The City shall be
mandatorily obligated to use any moneys in the Bond Redemption Account for the
redemption prior to maturity of such Term Bonds in such manner and at such times
as shall be determined by subsequent proceedings of the City; provided, that the City
shall not be obligated to redeem such Term Bonds prior to maturity unless and until
there are sufficient moneys on deposit in the Bond Redemption Account to provide
for the redemption of at least Twenty -Five Thousand Dollars ($25,000) principal
amount of Term Bonds at any one time. If, by the application of moneys in the Bond
Redemption Account, the City shall purchase or call for redemption in any year Term
Bonds in excess of the installment requirement for such year, such excess of Term
Bonds so purchased or redeemed shall be credited in such manner and at such times
as the Finance Director of the City shall determine over the remaining installment
payment dates.
No distinction or preference shall exist in the use of the moneys on deposit in the
Revenue Fund for payment into the Interest Account, the Principal Account and the
Bond Redemption Account, such accounts being on a parity with each other as to
payment from the Revenue Fund.
(iii) Revenues shall next be used, to the full extent necessary, for deposits into the Debt
Service Reserve Account on the fifteenth (15th) day of each month in each year.
OR063891:1 25
g6 7(o
Temp Reso ##82"
May 21, 1998
Revised May 21, 1998
beginning with the fifteenth (I 5th) day of the first full calendar month following the
date on which any or all of the Bonds issued hereunder are delivered to the
purchasers thereof, such sums as shall be at least sufficient to pay an amount equal
to one -twelfth (1/12th) of the difference between the amount on deposit in the Debt
Service Reserve Account and the Reserve Requirement; provided, further, that no
payments shall be required to be made into the Debt Service Reserve Account
whenever and as long as the amount deposited therein (including any Reserve
Account Insurance Policy or Reserve Account Letter of Credit) shall be equal to the
Reserve Requirement.
Notwithstanding the foregoing provisions, in lieu of the required deposits of
Revenues into the Debt Service Reserve Account, the City may cause to be deposited
into the Debt Service Reserve Account a Reserve Account Insurance Policy or a
Reserve Account Letter of Credit for the benefit of the Bondholders in an amount
equal to the difference between the Reserve Requirement and the sums then on
deposit in the Debt Service Reserve Account, if any, which Reserve Account
Insurance Policy or Reserve Account Letter of Credit shall be payable or available
to be drawn upon, as the case may be, upon the giving of notice as required
thereunder) on any Interest Payment Date on which a deficiency exists which cannot
be cured by moneys in any other fund or account held pursuant to this Resolution and
available for such purpose. If a disbursement is made under the Reserve Account
Insurance Policy or the Reserve Account Letter of Credit, the City shall be obligated
to either reinstate the maximum limits of such Reserve Account Insurance Policy or
Reserve Account Letter of Credit immediately following such disbursement so that
amounts on deposit therein equal the Reserve Requirement, or to deposit into the
Debt Service Reserve Account from the Revenues, as herein provided, funds in the
amount of the disbursement made under such Reserve Account Insurance Policy or
Reserve Account Letter of Credit, in twelve (12) equal monthly installments as
provided in the first paragraph of this Section 3.4(C)(111).
In the event that any moneys shall be withdrawn from the Debt Service Reserve
Account for payments into the Interest Account, Principal Account and Bond
Redemption Account, such withdrawals shall be subsequently restored from the
Pledged Revenues available after all required payments have been made into the
Interest Account, Principal Account and Bond Redemption Account, including any
deficiencies for prior payments unless restored by the reinstatement of the maximum
limits of a Reserve Account Insurance Policy or Reserve Account Letter of Credit.
OR063891:1 26
Temp Reso #824-9
May 21, 1998
Revised May 21, 1998
Moneys in the Debt Service Reserve Account shall be used only for the purpose of
making payments into the Interest Account, Principal Account and Bond Redemption
Account when the moneys in the Revenue Fund are insufficient therefor.
Any moneys in the Debt Service Reserve Account in excess of the Reserve
Requirement for the Bonds and any Additional Parity Bonds hereafter issued shall
be transferred to the Construction Fund during construction of a Project and
thereafter to the Revenue Funds.
The Debt Service Reserve Account shall be valued at least once in each Fiscal Year.
(iv) Revenues shall next be used for the payment of any subordinated obligations
hereafter issued by the City in accordance with Section 3.4(E) of this Resolution,
which subordinate obligations shall have such lien on the Pledged Revenues as the
City shall determine in the proceedings authorizing the issuance of such subordinated
obligations.
(v) After the fifteenth (15th) day of each month, any moneys remaining in the Revenue
Fund, after all required current payments into the Interest Account, the Principal
Account, the Bond Redemption Account, and the Debt Service Reserve Account,
including any deficiencies for prior payments, have been made in full, as provided
in this Resolution, shall be withdrawn from the Revenue Fund, transferred to the
general fund of the City and used by the City for any lawful purpose. but no moneys
in the Revenue Fund shall ever be used for any such purpose until all such required
current payments into the Interest Account, the Principal Account. the Bond
Redemption Account, and the Debt Service Reserve Account, including any
deficiencies for prior required payments, have been made in full, and the City shall
have complied fully with all the covenants and provisions of this Resolution.
(vi) If on any payment date the Pledged Revenues are insufficient to place the required
amount in any of the funds or accounts or for any of the purposes provided above, the
deficiency shall be made up on the subsequent payment dates.
(vii) All moneys levied and collected by the City as Pledged Revenues shall be deposited
into the Revenue Fund within twenty-four (24) hours after the receipt thereof to the
extent practicable.
(D) Investment of Funds. The Interest Account, Principal Account, Bond Redemption Account,
Debt Service Reserve Account, Construction Fund, Revenue Fund and all other special funds created
OR06389111 27
67la
Temp Reso #
May 21. 1998
Revised May 21. 1998
and established by this Resolution, but not including the Rebate Account, shall constitute trust funds
and shall be invested at the direction of the City as provided herein.
Moneys on deposit in the Revenue Fund, Interest Account, Principal Account and the Bond
Redemption Account may be invested in Permitted Investments maturing not later than the dates on
which such moneys will be needed for the purposes of such fund or account.
Moneys on deposit in the Debt Service Reserve Account may be invested (i) in direct
obligations of the United States of America, or (ii) in obligations fully guaranteed by the United
States of America, maturing not later than the dates on which such moneys will be needed for the
purposes of such fund or account.
All income and earnings received from the investment and reinvestment of moneys on
deposit in the Interest Account, Principal Account, and Bond Redemption Account shall be
transferred on the next business day following their receipt to the Revenue Fund and used in the
same manner and order of priority as other moneys on deposit therein.
All income and earnings received from the investment and reinvestment of moneys on
deposit in the Debt Service Reserve Account shall be transferred on the next business day following
their receipt to the Interest Account and used in the same manner as moneys on deposit therein as
provided in Section 3.4(C)(i) of this Resolution, provided that the amount on deposit in the Debt
Service Reserve Account equals Reserve Requirement on the Bonds and any parity obligations
(taking into account any Reserve Account Insurance Policy or Reserve Account Letter of Credit).
In the event that the amount on deposit in the Debt Service Reserve Account is less than the Reserve
Requirement, all income and earnings received from the investment and reinvestment of moneys on
deposit therein shall be retained therein. Notwithstanding the foregoing, any moneys in the Debt
Service Reserve Account in excess of the Reserve Requirement for the Bonds shall be transferred
to the Construction Fund during construction of a Project.
Moneys on deposit in the Construction Fund may be invested and reinvested to the
fullest extent practicable in Permitted Investments maturing not later than such date or dates on
which such moneys will be needed for the purposes of the Construction Fund. The earnings and
investment income derived from the moneys and investments on deposit in the Construction Fund
shall be deposited and maintained in the Construction Fund and used for the purposes thereof.
For the purpose of investing or reinvesting, the City may commingle moneys in the funds and
accounts created and established hereunder in order to achieve greater investment income. provided
that the City shall separately account for the amounts so commingled. The amounts required to be
accounted for in each of the funds and accounts designated herein other than the Rebate Fund may
be deposited in a single bank account provided that adequate accounting procedures are maintained
OR063891;1 28
M,
Temp Reso #8'247
May 21, 1998
Revised May 21, 1998
to reflect and control the restricted allocation of the amounts on deposit therein for the various
purposes of such funds and accounts as herein provided. The designation and establishment of funds
and accounts in and by this Resolution shall not be construed to require the establishment of any
completely independent funds and accounts but rather is intended solely to constitute an allocation
of Pledged Revenues and assets held under this Resolution for certain purposes and to establish such
certain priorities for application of certain revenues and assets as herein provided.
The value of investments shall be determined as follows:
(i) as to investments the bid and asked prices of which are published on a regular
basis in The Wall Street Journal (or, if not there, then in The New York
Times): the average of the bid and asked prices for such investment so
published on or most recently prior to such time of determination;
(ii) as to investments the bid and asked prices of which are not published on a
regular basis in The Wall Street Journal or The New York Times: the average
bid price at such time of determination for such investments by any such time
of determination for such investments by any two nationally recognized
government securities dealers (selected by the City in its absolute discretion)
at the time making a market in such investments or the bid price published
by a nationally recognized pricing service;
(iii) as to certificates of deposit and bankers acceptances: the face amount thereof.
plus accrued interest; and
(iv) as to any investment not specified above: the value thereof established by
prior agreement between the City and each Municipal Bond Insurer.
(E) Issuance of Other Obligations Payable Out of RevenUes. That the City will not issue any
other obligations, except upon the conditions and in the manner provided herein, payable from the
Pledged Revenues nor voluntarily create or cause to be created any debt, lien, pledge, assignment.
encumbrance or any other charge issued pursuant to this Resolution and the interest thereon, upon
any of the Pledged Revenues. Any other obligations issued by the City in addition to the Bonds
authorized by this Resolution or Additional Parity Bonds issued under the terms, restrictions and
conditions contained in this Resolution, shall contain an express statement that such obligations are
junior, inferior and subordinate in all respects to the Bonds issued pursuant to this Resolution as to
a lien on and source and security for payment from the Pledged Revenues and in all other respects.
(F) Issuance of Additional Paddy Bonds. That no Additional Parity Bonds, as in this subsection
defined, payable on a parity with Bonds issued pursuant to this Resolution out of Pledged Revenues
OR063 891:1 29
Temp Reso *249
May 21, 1998
Revised May 21, 1998
shall be issued after the issuance of any Bonds pursuant to this Resolution except upon the
conditions and in the manner herein provided.
No such Additional Parity Bonds shall be issued unless the following, among other
conditions, are complied with:
(i) The City must be current in all deposits into the various funds and accounts and all
payments theretofore required to have been deposited or made by it under the
provisions of this Resolution and the City must be currently in compliance with the
covenants and provisions of this Resolution and any supplemental resolution
hereafter adopted for the issuance of Additional Parity Bonds; unless upon the
issuance of such Additional Parity Bonds the City will be in compliance with all such
covenants and provisions.
(ii) The amount of the Pledged Revenues during the immediate preceding Fiscal Year or
any twelve (12) consecutive months selected by the City of the twenty-four (24)
months immediately preceding the issuance of said Additional Parity Bonds, adjusted
as hereinafter provided, as certified by the City's Finance Director, will be equal to
one hundred twenty-five percent (125%) of the Maximum Annual Debt Service on
(1) the Bonds originally issued pursuant to this Resolution then Outstanding; (2) any
Additional Parity Bonds theretofore issued and then Outstanding, and (3) the
Additional Parity Bonds then proposed to be issued; provided that for the purpose of
determining the Maximum Annual Debt Service under this Section, the interest rate
on variable rate Bonds shall be the maximum interest rate provided therefor in the
proceedings authorizing such Bonds.
(iii) The Pledged Revenues calculated pursuant to the foregoing subparagraph (ii) may be
adjusted, at the option of the City, as follows:
(1) If the City, prior to the issuance of the proposed Additional Parity Bonds,
shall have increased any rates, fees or charges which constitute a portion of
the Pledged Revenues, the Pledged Revenues for the twelve (12) consecutive
months immediately preceding the issuance of said Additional Parity Bonds.
shall be adjusted to show the Pledged Revenues which would have been
derived in such twelve (12) consecutive months as if such increased Pledged
Revenues had been in effect during all of such twelve (12) consecutive
months.
(iv) The term "Additional Parity Bonds" as used in this Resolution shall be deemed to
mean additional obligations evidenced by Bonds issued under the provisions and
OR06389111 30
1
$�676
Temp Reso *241-
May 21, 1998
Revised May 21, 1998
within the limitations of this subsection payable from the Pledged Revenues on a
parity with Bonds originally authorized and issued pursuant to this Resolution. Such
Bonds shall be deemed to have been issued pursuant to this Resolution the same as
the Bonds originally authorized and issued pursuant to this Resolution and all of the
covenants and other provisions of this Resolution (except as to details of such Bonds
evidencing such additional parity obligations inconsistent therewith), shall be for the
equal benefit, protection and security of the Holders of any Bonds originally
authorized and issued pursuant to this Resolution and the Holders of any Bonds
evidencing additional obligations subsequently issued within the limitations of and
in compliance with this subsection. All of such Bonds, regardless of the time of their
issuance shall rank equally with respect to their lien on the Pledged Revenues and
their sources and security for payment therefrom without preference of any Bonds
over any other.
The term "Additional Parity Bonds" as used in this Resolution shall not be deemed
to include bonds, notes, certificates or other obligations subsequently issued under
the terms of this Resolution, the lien of which on the Pledged Revenues is subject to
the prior and superior lien on the Pledged Revenues of Bonds issued pursuant to this
Resolution, as provided in Section 3.4(E) of this Resolution, and the City shall not
issue any obligations whatsoever payable from the Pledged Revenues, which rank
equally as to lien and source and security for their payment from such Pledged
Revenues with Bonds issued pursuant to this Resolution except in the manner and
under the conditions provided in this subsection.
(G) -fkpks and Records. That the City will keep books and records of the funds and accounts
established hereby, which shall be separate and apart from all other books, records and accounts of
the City, in which complete and correct entries shall be made in accordance with generally accepted
accounting principles of all transaction relating to the funds and account established hereby, and any
Holder of a Bond issued pursuant to this Resolution and each Municipal Bond Insurer, shall have
the right at all reasonable times to inspect funds and accounts established hereby, and all records.
accounts and data of the City relating thereto.
The City shall promptly after the close of each Fiscal Year cause the books, records and
accounts of funds and accounts established under this Resolution, for such Fiscal Year, to be audited
by a qualified, recognized and nationally known independent firm of certified public accountants and
shall file the report of Finance Director of the City, and shall mail upon request, and make available
generally, said report, or a reasonable summary thereof, to any Holder or Holders of Bonds issued
pursuant to this Resolution.
OR063891.1 31
1
Y<67&
Temp Reso #-
May 21. 1998
Revised May 21. 1998
(H) Remedies.
(i) Any Holder of Bonds issued under the provisions of this Resolution or any trustee
acting for such Bondholders in the manner hereinafter provided, may either at law or
in equity, by suit, action, mandamus or other proceedings in any court of competent
jurisdiction, protect and enforce any and all rights under the laws of the State, or
granted and contained in this Resolution, and may enforce and compel the
performance of all duties required by this Resolution or by any applicable statutes to
be performed by the City or by any officer thereof, including the collection of
Pledged Revenues.
(ii) The Holder or Holders of Bonds in an aggregate principal amount of not less than
twenty-five per centum (25%) of Bonds issued under this Resolution then
Outstanding may by a duly executed certificate in writing appoint a trustee for
Holders of Bonds issued pursuant to this Resolution with authority to represent such
Bondholders in any legal proceedings for the enforcement and protection of the rights
of such Bondholders. Such certificate shall be executed by such Bondholders or their
duly authorized attorneys or representatives, and shall be filed in the office of the
City Clerk of the City.
(iii) Anything in this Resolution to the contrary notwithstanding, upon the occurrence and
continuance of a breach of covenant or an event of default in the payment of principal
or interest on a Series of Bonds, the related Municipal Bond Insurer. if any, shall be
entitled to control and direct the enforcement of all rights and remedies granted to the
Bondholders insured by the related Municipal Bond Insurance Policy for the benefit
of the Holders of such Bonds under this Resolution.
(1) Enforcement of Co1leeti,Qns. That the City will diligently collect all Pledged Revenues. and
take all steps, action and proceedings for the collection of such Pledged Revenues which shall
become delinquent to the full extent permitted or authorized by applicable laws and regulations.
(J) Discharge and Satisf gtjQn of Bonds. The covenants, liens and pledges entered into. created
or imposed pursuant to this Resolution may be fully discharged and satisfied with respect to the
Bonds in any one or more of the following ways:
(i) by paying the principal of and interest on Bonds when the same shall become due and
payable; and
OR063891;1 32
Temp Reso #929
May 21, 1998
Revised May 21, 1998
by depositing in the Interest Account, the Principal Account and the Bond
Redemption Account and/or in such other accounts which are irrevocably pledged
to the payment of Bonds as the City may hereafter create and establish by resolution,
certain moneys which together with other moneys lawfully available therefor, if any,
shall be sufficient at the time of such deposit to pay when due the principal,
redemption premium, if any, and interest due and to become due on said Bonds on
or prior to the redemption date or maturity date thereof, or
(iii) by depositing in the Interest Account, the Principal Account and the Bond
Redemption Account and/or such other accounts which are irrevocably pledged to
the payment of Bonds as the City may hereafter create and establish by resolution,
moneys which together with other moneys lawfully available therefore when invested
in such Permitted Investments as are described in clause (ii) of the definition of
"Permitted Investments" in Section 1.1 of this Resolution which shall not be subject
to redemption prior to their maturity other than at the option of the Holder thereof,
will provide moneys which shall be sufficient to pay when due the principal,
redemption premium, if any, and interest due and to become due on said Bonds on
or prior to the redemption date or maturity date thereof.
(iv) Upon such payment or deposit in the amount and manner provided in this
Section 3.4(J) of this Resolution. Bonds shall be deemed to be paid and shall no
longer be deemed to be Outstanding for the purposes of this Resolution and all
liability of the City with respect to said Bonds shall cease, terminate and be
completely discharged and extinguished, and the Holders thereof shall be entitled for
payment solely out of the moneys or securities so deposited.
(v) Notwithstanding the foregoing all references to the discharge and satisfaction of
Bonds shall include the discharge and satisfaction of any Series of Bonds.. any portion
of a Series of Bonds, any maturity or maturities of a Series of Bonds, any portion of
a maturity of a Series of Bonds or any combination thereof.
(vi) If any portion of the moneys deposited for the payment of the principal of and
redemption premium, if any, and interest on any portion of Bonds is not required for
such purpose, the City may use the amount of such excess free and clear of any trust,
lien, security interest, pledge or assignment securing said Bonds or otherwise existing
under this Resolution.
(vii) Notwithstanding anything to the contrary in this Resolution, in the event that the
principal and/or interest due on Bonds shall be paid by a Municipal Bond Insurer
pursuant to a Municipal Bond Insurance Policy, such Bonds shall remain Outstanding
OR063 891: 1 33
Temp Reso #$2144
May 21, 1998
Revised May 21, 1998
for all purposes. not be defeased or otherwise satisfied and not be considered paid by
the City, and the assignment and pledge of the Pledged Revenues and all covenants,
agreements and other obligations of the City to the Holders shall continue to exist
and shall run to the benefit of the Municipal Bond Insurer, and the Municipal Bond
Insurer shall be subrogated to the rights of such Holders.
(K) Concern Reserve Accounj jnsU=ge Policy and/or the Reserve Account L
Credit. md the Municipal Bond Iau=ce Policy. As long as the City shall have a Reserve Account
Insurance Policy and/or a Reserve Account Letter of Credit on deposit in the Debt Service Reserve
Account, the City covenants that it will comply with the provisions of the Reserve Account
Insurance Policy and/or the reimbursement or similar agreement with respect to the Reserve Account
Letter of Credit.
As long as any Series of Bonds of the City are insured by a Municipal Bond Insurance Policy
the City covenants to comply with the requirements and conditions imposed on the City by the issuer
of the Municipal Bond Insurance Policy.
ARTICLE IV
MISCELLANEOUS PROVISIONS
SECTION 4.1 MODIFICATION OR AMENDMENT. Except as otherwise provided
in the second paragraph hereof. no material modification of amendment of this Resolution. or of any
resolution amendatory hereof or supplemental hereto, may be made without the consent in writing
of (1) the Holders of fifty-one percent of more in principal amount of the Bonds then Outstanding
or (2) in case less than all of the Bonds then Outstanding are affected by the modification or
amendment, the Holder of fifty-one percent or more in principal amount of the Bonds of each Series
so affected and Outstanding at the time such consent is given; provided, however, that no
modification or amendment shall permit a change in the maturity of such Bonds or a reduction in the
rate of interest thereon, or affecting the unconditional promise of the City to collect Pledged
Revenues, or to pay the principal of and interest on the Bonds, as the same mature or become due.
from the Pledged Revenues, or reduce the percentage of Holders of Bonds required above for such
modification or amendments, without the consent of the Holders of all the Bonds.
For purposes of this Resolution, to the extent any Series of Bonds is insured by a Municipal
Bond Insurance Policy and such Series of Bonds is then rated in as high a rating category as the
rating category in which such Series of Bonds was rated at the time of initial issuance and delivery
thereof, by either Standard & Poor's or Moody's, then the consent of the issuer of such Municipal
Bond Insurance Policy shall constitute the consent of the Holders of such Series.
OR063891;1 34
F
9676
Temp Reso #829
May 21, 1998
Revised May 21, 1998
This Resolution may be amended, changed, modified and altered without the consent of the
Holders of Bonds to (a) cure any ambiguity, correct or supplement any provision contained herein
which may be defective or inconsistent with any other provisions contained herein, (b) such changes
as may be necessary in order to adjust the terms hereof so as to facilitate the issuance of capital
appreciation Bonds, option Bonds and capital appreciation and income Bonds which changes will
not adversely affect the interest of such Holder of Bonds, and (c) provide for the issuance of Bonds
in coupon form if, in the opinion of Bond Counsel, such issuance will not affect the exclusion from
gross income of interest on the Bonds for federal income tax purposes.
With respect to a Series of Bonds insured by a Municipal Bond Insurance Policy, the related
Municipal Bond Insurer's consent shall be required in addition to Bondholder consent, when
required, for the following purposes: (i) execution and delivery of any supplemental resolution or
ordinance relating to the Series of Bonds so insured, (ii) removal of the Paying Agent and selection
and appointment of any successor paying agent, and (iii) initiation or approval of any action not
described in (a) or (b) above which requires Bondholder consent.
SECTION 4.2 SEVERABILITY OF INVALID PROVISION. If any one or more
of the covenants, agreements or provisions of this Resolution should be held contrary to any express
provision of law or contrary to the policy or express law, though not expressly prohibited, or against
public policy, or shall for any reason whatsoever be held invalid, then such covenants. agreements
or provisions shall be null and void and shall be deemed separate from the remaining covenants,
agreements or provisions, and shall in no way affect the validity of any of the other provisions of this
Resolution or of the Bonds issued hereunder.
SECTION 4.3 SALE OF BONDS. The Bonds shall be issued and sold at one time
or from time to time and at such price or prices consistent with the provisions of the Act and the
requirements of this Resolution as the City shall hereafter determine by resolution.
SECTION 4.4 CONELICTS. If any clause, section, other part or application of this
Resolution is held by any court of competent jurisdiction to be unconstitutional or invalid, in part
or application, it shall not affect the validity of the remaining portions or applications of this
Resolution.
OR063891: 1 35
Sr67G
Temp Reso #9249
May 21, 1998
Revised May 21, 1998
SECTION 4.5 TTII F, OF TAKING EFFECT. This Resolution shall take effect upon
its passage in the manner provided by law.
PASSED and ADOPTED this 27th day of May, 1998.
Joe Schreiber, Mayor
Carol Gold, CMC/AAE
City Clerk
I HEREBY CERTIFY that I have
approved this RESOLUTION as to form.
Mitchell S. Kraft
City Attorney
RECORD OF COMMISSION VOTE:
MAYOR SCHREIBER
DIST 1:, COMM. McKAYE
DIST 2: V/M MISHKIN
DIST 3: COMM; SULT,ANOF
DIST 4:_CQMM. ROBERTS
OR063891:1 36