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HomeMy WebLinkAboutCity of Tamarac Resolution R-80-028Introduced by: Councilman Disraelly Temp. 1555 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 CITY OF TAMARAC, FLORIDA RESOLUTION NO. R-80-28 A RESOLUTION PROVIDING FOR THE ISSUANCE BY THE CITY OF TAMARAC, FLORIDA, OF A NOTE IN THE AMOUNT OF EIGHTY SEVEN THOUSAND DOLLARS ($87,000.00) TO THE CENTURY NATIONAL BANK OF BROWARD, TO ADVANCE FUNDS FOR THE COST OF A FIRE ENGINE; CONTAINING OTHER PROVISIONS RELATING TO SUCH NOTE; AND PRO- VIDING AN EFFECTIVE DATE. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF TAMARAC, FLORIDA: SECTION 1: AUTHORITY FOR THIS RESOLUTION. This Resolution is adopted pursuant to the provisions of Chapter 166, Part II, Florida Statutes, and other applicable provision: of law. SECTION 2: FINDINGS. It is hereby found, determined and declared as follows, that: A. The City of Tamarac has received bids for and desires to acquire a fire engine, hereinafter called the "Acquisition". It is necessary and essential, due to the increase, expansion and growth of the City, to acquire the fire engine and the financing of the Acquisition is an essential step in accomplishing such purpose. B. It is contemplated that the City will finance the Acquisition over a five (5) year period. It is necessary, in order to provide for the City's acquisition of the fire engine, that Eighty Seven Thousand Dollars ($87,000.00) be made immediately available for such purpose. ,C. It is therefore, necessary to issue a note to the Century National Bank of Broward (hereinafter sometimes called "Bank"') in the amount of Eighty Seven Thousand Dollars ($87,000.00) in order to provide funds to pay the cost of the Acquisition, and it is nec- essary to pledge all revenues received from American Video Corporation pursuant to its franchise granted by the City of Tamarac in Ordinance No. 73-36, as amended, and a portion of the revenues received from Southern Bell pursuant to its franchise granted by the City of Tamarac in Ordinance No. 70-4. The note herein issued shall not and does not pledge the property, credit, or general tax (ad valorem) revenue of the City, nor shall it constitute a lien or charge upon ad 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 valorem taxes of the City. D. It is estimated that the proceeds of the funds herein pledged for payment of the note will exceed the amounts necessary to pay the principal of and interest on the note when due. SECTION 3: RESOLUTION TO CONSTITUTE CONTRACT In consideration of the acceptance of the note,authorized to be issued hereunder to the Bank, this Resolution shall be deemed to be and shall constitute a contract between the City and the Bank and a pledge of all of the American Video Corporation franchise fees and a portion of the Southern Bell Franchise Fees to be paid to the City to secure the note. The covenants and agreements herein set forth to be performed by the City shall be for the equal benefit, protection and security of the holder of such note, all of which shall be of equal rank and without preference, priority or distinction of over any other thereof, except as expressly provided therein and here] CV0MTnT,T A . TT1MT f-%nYMX7 llT7n TCICITTTTTCTT ll T,/ M— For the purpose of financing the cost of the Acquisition, there is:hereby authorized to be issued a Note of the City in the aggregate amount of Eighty Seven Thousand Dollars ($87,000.00). The Note shall be in fully registered form, be dated as of the date of delivery, shall be payable to Century National Bank of Broward, shall be payable in lawful money of the United States of America, shall be numbered one, shall mature in five (5) years. The payments shall be scheduled as follows: Principal and interest to be paid quarterly commencing on the first day of October, 1980, in equal quarterly installments of for 15 consecutive quarters. The Note shall be issued in the amount of Eighty Seven Thousand Dollars ($87,000.00), shall bear interest at the rate of Sevei and thirty-five hundredths percent (7.350) per annum, and shall be pay- able with respect to both principal and interest at the Bank by check or draft mailed to the Bank at its office at P.O. Box 5100, Fort Lauderdale, Florida 33310, or as otherwise designated in writing by Bank. The City shall have the right and privilege to redeem the Note in full at any time prior to maturity upon payment of the unpaid principal sum plus accrued interest, to the date of redemption and -2- and without penalty and without prior notice to the Bank. 1 SECTION 5: EX.ECiiTION OF ?`TOTE, 2 The Note shall be executed in the name of the City 3 by the Mayor and attested and countersigned by the City Clerk and 4 City Manager and its corporate seal shall be affixed thereto, The 5 Note may be signed and sealed on behalf of the City bvr such person 6 who at the actual time of the execution of such Note shall hold the 7 public office in the City, although at the date of such Note such. 8 person may not have been so authorized,. 9 SECTION 6: NOTE MUTILA E:D, DE'STROYED, STOLEN OP, LOST 10 In case the 17ote shall be mutilated f or 'be des- 11 troved, stolen or lost, the City stay at its discretion issue and de- 12 liver a new Note of like tenor as the Note so 71,utilated, destroyed, 13 stolen or lost, in exchange and substitution for such muti.latedLLNote, 14 upon surrender and cancellation of such mutilated Note, if any, or 15 in lieu of or substitution for the Note, if any, destroyed, stolen, 16 or lost, and uaon the ::older :.urnishing the City proof of its o*,-ner 17 ship thereof and satisfactory inde inity and cor?pl?ring with such other $ reasonable regulations and cone Lions as the City may prescribe 19 and paying such expenses as t e City ---,ay incur. ;'lie Notes SO sur- 20 rendered shall be cancelled by the City Mana7er and Clerk,. If the 21 Note shall l-ave matured or be about to iature, instead of issuing 22 a substitute Note, the City may ray the sane, upon being indemnified 23 as aforesaid, and if such Note be lost, stolen or destroyed without 24 surrender thereof. 25 Any such duplicate Note issued pursuant to this 26 section shall constitute original, additional contractual obliga-- 27 tions on the part of the City whether or not the lost, stolen or 28 destroyed Note be at any time found by an.yorne, and such duplicate Note 29 shall be entitled to equal and proportionate benefits and r-i.ts 30 as to lien on and source and security :or pavrent from the funds, as 31 hereinafter pledged, to the sar.,e extent as t'ie other Note issued 32 �,ereunder. 33 S.ECTIOT o : FORM OF NOTE 34 The text of the Note shall be in substantially the 35 following form and tenor, with such variations, omissions and in- 36 sertions as may be necessary, desirable and aut=1orized or permitted -3- 1 by this Resolution or any subsequent Resolution adopted prior to the 2 issuance thereof; 3 1 UNITED STATES OF AMERICA 4 STATE OF FLORIDA 5 COUNTY OF BR OWARD 6 CITY OF TAMARAC 7 PROMI S'SORY MOTE 8 No.. 1 1980 9 $87,000.00 10 FOR VALUE RECEIVED, the Undersigned, promise to pay to the order of 11 CENTURY NATIONAL BANK OF BROWARD, at Post Office Box 5100, Fort 12 Lauderdale, Florida 33310, or such other place as the holder of 13 this Note may designate in writing, the principal sum of EIGHTY 14 SEVEN THOUSAND AND N0/100 DOLLARS ($87,000.00) in legal tender of 15 the United States of Amercia, with interest on such of the principal 16 amount as may be advanced and outstanding from time to time, at the 17 rate of 7.35 percentage. Principal and interest are to be paid ' 18 quarterly, without notice, on the first day of each quarter commencing 19 on the first day of October, 1980, in equal monthly installments 20 df 21 for 15 consecutive quarters. 22 Nothing herein will entitle the holder hereof to receive a rate of 23 return on the money loaned or advanced from tire to time which is in 24 excess of the rate allowed by Chapter 687, Florida Statutes, as it 25 may be amended from time to time., In the event any term hereof 26 would require payment of a sum which could render the rate of re- 27 turn usurious as defined in said statutes, then the amount thereof 281 will be forthwith credited toward the principal. 29 30 31 32 33 34 35 36 Time is of the essence of each payment required hereunder, and if anyl payment is not made promptly when due, then the holder may, at is op- tion, accelerate the due date and declare the entire principal amount immediately due, payable and collectible without prior notice. Failure to exercise this option in the event of any default will not constitute a waiver of the right to exercise this option in event of future default. Furthermore, any delay or forebearance in the event of -4- 1 2 3` 4 5 6 7'. 8 9 10 i 11 12 " 13 14 15 16 17 A 19 20 21 22 23 24 25 26 27 ,I 28 'll 29 30 31 32, 33, 34 35' 36 default will not, in the absence of written agreement to the contrary, be deemed a waiver of the option to accelerate on account of that default. The Maker, its successors, and assigns, reserve the right to prepay the principal amount in whole or in part, at any time and from time to time, before due, with liability for interest on any sums so prepaid to extend only to the date of prepayment. Should it be necessary to incur costs and attorneys' fees in collecting or enforcing this Note, the Undersigned and all other parties liable hereunder agree to pay all costs for collection or enforcement, in- cluding reasonable attorneys' fees which may be incurred prior to suit and for instituting and prosecuting any suit in the trial court of any appellate court. All parties of this Note waive presentment, protest, notice of protest and notice of dishonor as well as all other defenses which might be available to them under the Uniform Commercial Code and the laws of suretyship and guaranty as parties secondarily liable. The principal of and interest on this Note are payable from a pledge of all revenues received from American Video Corporation pursuant to its franchise granted by the City of Tamarac in Ordinance No. 73-36, as amended, and by a pledge of certain revenues received from Southern Bell pursuant to its franchise granted by the City of Tamarac in its Ordinance No. 70-4. This Note shall not and does not pledge the property, credit, or general tax revenue of the City, nor shall it constitute a lien or charge upon the ad valorem taxes of the City. This Note does not constitute an indebtedness of the City within the meaning of any constitutional or statutory provision or limitation and it is expressly agreed by the holder of this Note and the interest appertaining there- to that such holder shall never have the right to require or compel th exercise of the ad valorem taxing power of the City for the payment of the principal of and interest on this Note. t It is further agreed between the City and the holder of this Note that this Note and the obligations evidenced thereby shall not constitute a lien upon the Acquisition, or any part thereof, or on any property of or in the City. THE CITY OF TAMARAC represents that it has the legal authority to execute and deliver this Promissory Note; that the City Charter, 5. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 s_7 1.8 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 Ordinances, laws of the State of Florida, and any applicable Federal laws, do not prohibit the execution and delivery to this Promissory Note. These representations shall survive the execution and delivery of this Promissory Note. IN WITNESS WHEREOF, the CITY OF TAMARAC has caused this Note to be signed by its Mayor, attested and countersigned by the City Manager and City Clerk, and its corporate seal to be affixed thereto, all as of the day of Attested and Countersigned City Manager City Clerk ,1980. THE CITY OF TAMARAC By MAYOR SECTION 8: PLEDGE OF NON AD VALOREM FUNDS The principal of and interest on the Note are secured by and payable from a pledge of all of the American Video Corporation Franchise Fees paid to the City and legally available therefor. The principal of and interest on the Note are also secured by and payable from a pledge of a portion of the Southern Bell Franchise Fees pay- able to the City and legally available therefor. The pledge of Southern Bell Franchise Fees is subordinate and junior to that pledge of these fees to the Sun Bank of Broward County in Resolution 79-116, dated June 13, 1979. The Note shall not and does not pledge the property, credit, or general tax revenue of the City. No holder of the Note issued hereunder shall ever have the right to compel the exercise of the ad valorem taxing power of the City or taxation in any form of any real property therein to pay such Note or the interest thereon or be entitled to payment of such principal and interest from any other funds of the City except from the special funds in the manner provided herein. SECTION 9: CITY BUDGET The City, in preparing, approving and adopting its budget controlling or providing for the expenditures of its funds so long as any principal of or interest on the Note is outstanding and unpaid, will appropriate, allot and approve, from funds of the City derived from sources other than ad valorem taxes and legally available M 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 '0 31 32 33 34 35 36 therefor, the amounts sufficient to pay the principal of and interest on the Note as the same shall become due, after deducting therefrom any other funds which may be available for such payments and which may be so applied. SECTION 10: NOTEHOLDER NOT AFFECTED BY USE OF NOTE PROCEED4. The holder of the Note issued hereunder shall have no responsibility for the use of the proceeds of said Note, and the use of such Note proceeds by the City shall in no way affect the rights of such Noteholder. SECTION 11: MODIFICATION OR AMENDMENT. No material modification or amendment of this Resolution or of any Resolution amendatory hereof or supplemental hereto, may be made without the consent in writing, of the holder of said Note. SECTION 12: SEVERABILITY OF INVALID PROVISIONS. If any one or more of the covenants, agreements or provisions of this Resolution should be held contrary to any express provisions of law or contrary to the policy of 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 in no way affect the validity of all the other provisions of this Resolution or of the Note issued thereunder. SECTION 13: AUTHORITY TO EXECUTE. Specific authority is hereby granted for the appropriate City officials to execute all documents and pay all fees including, without limitation, the bank's attorney's fees and any recording fees, necessary to close on the loan. Bank will execute this document to signify its acceptance of the contract provisions and pledge. SECTION 14: EFFECTIVE DATE. This Resolution shall take effect immediately upon its -7- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 31 32 33 34 35 36 final passage. PASSED, APPROVED AND ADOPTED this' day of ATTEST: I HEREBY CERTIFY that I have approved the form and correctness of this RESOLUTION G� CITY ATTORNEY m ,1980. CENTURY NATIONAL BANK OF BROWARD JAMES S. HAGEDOM SENIOR VICE PRESIDENT MAYOR: DISTRICT DIvT,cICT DISTRICT D!STRICT RECORD OF COUNCIL VOTE