HomeMy WebLinkAboutCity of Tamarac Resolution R-86-2621
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Introduced bye Temp. Reso. #4242
Revised 7/22/86
CITY OF TAMARAC
RESOLUTION NO. R-86-oe��
RESOLUTION AMENDING AND RESTATING RESOLUTION
NO. R-84-121 AUTHORIZING THE ISSUANCE OF
GENERAL OBLIGATION BONDS OF THE CITY OF
TAMARAC IN AN AGGREGATE PRINCIPAL AMOUNT NOT
TO EXCEED $8,000,000 FOR THE PURPOSE OF.
PROVIDING FUNDS, TOGETHER WITH OTHER
AVAILABLE FUNDS, TO PAY THE COST OF
PLANNING, CONSTRUCTING, FINANCING AND
EQUIPPING A NEW CITY HALL AND POLICE
STATION; PROVIDING THAT SUCH GENERAL
OBLIGATION BONDS SHALL BE PAYABLE FROM AD
VALOREM TAXES AND ANY OTHER LEGALLY
AVAILABLE FUNDS OF THE CITY; AUTHORIZING AND
DIRECTING VALIDATION; AUTHORIZING RELATED
ACTION; PROVIDING SEVERABILITY; AND
PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City of Tamarac (the "City") under the
authority granted by the Constitution and laws of the State of
Florida, including its Home Rule Charter ("Charter"), its Code,
and Chapter 166, Florida Statutes, is authorized to issue
general obligation bonds to provide funds to pay for the cost
of capital improvements;
WHEREAS, the City has determined and does hereby
determine that the planning, constructing, furnishing and
equipping of a City Hall and Police Station (the "Project") are
capital improvements which are necessary to provide the
citizens of Tamarac with more efficient municipal and police
services;
WHEREAS, the City Council authorized the City Clerk in
Resolution No. R-84-24 enacted on January 25, 1984 to place the
issue on the ballot for a vote on the issue by the electorate
of the City of Tamarac as required by the Charter;
WHEREAS, a majority of the qualified electors of the
City voting on the question at a special election held on March
13, 1984 approved the issuance of not exceeding $8,000,000
general obligation bonds for the purpose of providing funds,
together with any other available funds, to pay the cost of
planning, financing, constructing and equipping a new City Hall
and Police Station on a site already owned by the City;
WHEREAS, the City Council adopted Resolution No. R-84-84
on March 20, 1984 certifying the results of election and
directing the City's staff to proceed with the bond issue;
WHEREAS, the City Council adopted Resolution No.
R-84-121 on July 25, 1984 authorizing the issuance of its
general obligation bonds in aggregate principal amount not to
exceed $8,000,000 for the purpose of providing funds, together
with other available funds, to pay the cost of planning,
constructing, financing, and equipping a new City Hall and
Police Station;
WHEREAS, the City Council desires to amend and restate
Resolution No. R-84-121 in order to provide additional
provisions pertaining to certain funds, to provide for the
issuance of one series of bonds at this time for the purpose of
providing funds to pay the cost of constructing and equipping a
1 new City Hall, and to incorporate certain provisions required
as a result of a change in'the law;
2 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
3 THE CITY OF TAMARAC, FLORIDA:
ARTICLE 1
5 DEFINITIONS
Section 1.01. Meaning of Words and Terms. In
7 addition to words and terms elsewhere defined in this
Resolution, the following words and terms as used in this
B Resolution shall have the following meanings, unless some other
meaning is plainly intended:
9 The term, "Amortization Requirements" shall mean, for
10 any Bond Year with respect to Term Bonds, the respective
amounts, which are required to be deposited to the credit of the
11 Redemption Account in each Bond Year for redeeming and paying
at maturity such Term Bonds determined by the Council in a
12 resolution adopted prior to the issuance of such Term Bonds.
13 The Amortization Requirements for the Term Bonds shall
begin in the Bond Year determined by the Council for such
14 Series and shall end not later than the Bond Year immediately
preceding the Bond Year in which such Term Bonds are stated to
15 mature. If during any Bond Year the total principal amount of
Term Bonds retired by purchase or redemption or called for
16 redemption under the provisions of Article III of this
Resolution shall be in excess of the Amortization Requirements
17 for the Term Bonds for such Bond Year, then at the close of
such Bond Year the amount of the Amortization Requirements for
18 the Term Bonds shall be reduced for any subsequent Bond Year in
amounts aggregating the amount of such excess, as shall be
19 determined by the Finance Director.
20 The term "Bond Counsel" shall mean counsel recognized
on the subject of, and qualified to render approving legal
21 opinions on the issuance of, municipal bonds.
22 The word "Bondholder" or "holder" shall mean any
registered owner of any Bond.
Z3 The term "Bond Registrar" shall mean either the
24 Finance Director or any bank or trust company, either within or
without the State of Florida, designated as such by resolution
Z5 of the Council prior to the issuance of the Bonds, which shall
perform such functions required of the Bond Registrar by
26 Article II of this Resolution.
27 The word "Bonds" shall mean the Bonds issued under the
provisions of Article II of this Resolution.
ZB
The term "Bond Year" means the 12—month period
29 designated in a subsequent resolution of the Council.
30 The word "Charter" shall mean the Home Rule Charter
for the City of Tamarac.
31
The word "City" shall mean the City of Tamarac,
32 Florida, a political subdivision of the State of Florida.
33 The term "City Attorney" shall mean the chief legal
counsel to the City under the Charter.
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The term "Code" shall mean the Internal Revenue Code
of 1954, as amended, including the rules and regulations
promulgated thereunder.
The term "Clerk" shall mean the Clerk of the City
Council or any Deputy Clerk of the City Council or his or her
designee or the officer or officers succeeding to his or her
principal functions.
The term "Construction Fund" shall mean the special
fund required to be established and maintained by the City
pursuant to Article IV of this Resolution.
The word "Council" shall mean the City Council of the
City of Tamarac, Florida or the Council or body in which the
general legislative powers of the Town shall, from time to
time, be vested.
The word "Cost" as applied to the Project shall
include the cost of planning, constructing, developing,
including the cost of all labor, materials, machinery and
equipment, the cost of engineering, architectural, financial,
advisory, planning, design and legal services, bond insurance
premiums, fees of rating agencies and all expenses necessary or
incident to determining the feasibility or practicability of
such construction, and such other expenses or costs as may be
necessary or incident to the financing herein authorized in
connection with the Project. Any obligation or expense
heretofore or hereafter incurred by the Council and any amounts
heretofore or hereafter advanced by or to the Council in
connection with any of the foregoing items of cost may be
regarded as a part of such cost and reimbursed out of the
proceeds of Bonds issued under the provisions of this
Resolution.
The term "Daily Newspaper" shall mean an English
language newspaper of general circulation regularly published
in the City on at least five (5) business days in each calendar
week.
The term "Defeasance Obligations" shall mean to the
extent permitted by law:
(i) Direct general obligations of, or
obligations the payment of principal and interest on
which is unconditionally guaranteed by, the United
States of America;
(ii) 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 (a) which are (x) not callable prior to maturity
or (y) as to which irrevocable instructions have been
given to the trustee of such bonds or other
obligations by the obligor to give due notice of
redemption and to call such bonds for redemption on
the date or dates specified or are otherwise rated by
a nationally recognized bond rating agency within its
highest rating category and which are secured as to
principal, redemption premium, if any, and interest by
a fund consisting only of cash or bonds or other
obligations of the character described in clause (i)
heireof 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 (b) to the extent
not insured, as to which the principal of and interest
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on the bonds and obligations of the character
described in clause (i) hereof which have been
deposited in such fund are sufficient to pay principal
of and interest and redemption premium, if any, on the
bonds or other obligations described in this clause
(ii) on the maturity date or dates thereof or on the
redemption date or dates specified in the irrevocable
instructions referred to in subclause (a) of this
clause (ii), as appropriate, and any certificates or
any other evidences of any ownership interest in
obligations or specified portions thereof (which may
consist of specified portions of the interest thereon)
of the character described in this clause (ii).
(iii) Evidences of ownership of proportionate
interests in future interest and principal payments on
specified obligations described in (i) held by a bank
or trust company as custodian, under which the owner
of the investment is the real party in interest and
has the right to proceed directly and individually
against the obligor on the underlying obligations
described in (i), and which underlying obligations are
not available to satisfy any claim of the custodian or
any person claiming through the custodian or to whom
the custodian may be obligated.
The term "Finance Director" or "Director" shall mean
the Director of the City Finance Department or the officer or
officers succeeding to his principal functions.
The term "General Fund" shall mean the General Fund of
the City designated as such by state law and in the annual
budget and the annual audit of the City, required by law, from
which the general operations of the City are funded.
The term "General Revenues" shall mean ad valorem tax
revenues levied and imposed in the City and all other funds
legally available which are eligible to be credited to the
General Fund of the City.
The term "Government Obligations" shall mean direct
obligations of, or obligations the principal of and the
interest on which are guaranteed by, the United States of
America.
The term "H.R. 3838" shall mean pending legislation
approved by the House of Representatives of the United States
on December 17, 1985.
The term "Investment Obligations" shall mean
obligations in which the City invests revenues held in its
General Fund in accordance with the Laws of the State of
Florida affecting municipal investments and the policy of the
City as amended from time to time;
The word "Mayor" shall mean the Mayor of the City of
Tamarac.
The word "Outstanding" shall mean, when used with
respect to the Bonds, all Bonds theretofore delivered except:
(a) Bonds paid or redeemed or delivered to or
acquired by the City or Paying Agent for cancellation;
(b) Bonds deemed to have been paid in accordance
with Article III hereof; and
(c) Bonds in exchange for
other Bonds have been issued,
delivered under this Resolution.
or in lieu of which
authenticated and
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The term "Paying Agent" or "Paying Agents" shall mean
1 the Bond Registrar, the bank or banks or trust company or trust
companies, either within or without the State of Florida, at
2 which the principal of the Bonds shall be payable.
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The term "Principal and Interest Requirements" shall
mean the principal and interest due in each Bond Year as
determined in a subsequent resolution of the Council.
The term "Principal Office" of the Bond Registrar or
any Paying Agent shall mean the office at which, at the time in
question, its corporate trust business is principally conducted.
The term "Project" shall mean the design, plans,
construction, and installation of a new City Hall and a new
Police Station including all equipment, furniture, and other
related items thereto.
The term "Serial Bonds" shall mean the Bonds which
shall be stated to mature in annual installments so designated
in a resolution of the Council adopted prior to the issuance of
such Bonds.
The term "Series" shall mean each and every series of
bonds issued pursuant to a subsequent resolution or resolutions
of the Council.
The term "Term Bonds" shall mean Bonds so designated
in a resolution of the Council adopted prior to the issuance of
such Bonds.
Section 1.02. Construction of Words. Words of the
masculine gender shall be deemed and construed to include
correlative words of the feminine and neuter genders. The
words "Bond," "owner" and "holder" shall include the plural as
well as the singular number unless the context shall otherwise
indicate.
Section 1.03. Findings. It is hereby ascertained,
determined and declared that:
(a) The recitals contained in the clauses
preceding Article I hereof are incorporated herein by
reference as part of this Resolution.
(b) The City has determined and hereby
determines that it is in the best interest of the City
to obtain funds by the issuance of the Bonds, in a
manner provided in this Resolution in order to finance
the Cost of the Project.
(c) The City hereby pledges its full faith,
credit and taxing power for the prompt payment of both
principal of, redemption premium, if any, and interest
on the Bonds as such payments become due.
ARTICLE II
FORM, EXECUTION, DELIVERY AND REGISTRATION OF BONDS
Section 2.01. Issuance of Bonds. For the purpose of
providing funds to pay all or part of the Cost of the Project,
bonds of the City may be issued under and secured by this
Resolution subject to the conditions hereinafter provided in
Section 2.06 of this Article. The principal of, redemption
premium, if any, and the interest on all such Bonds shall be
payable from the General Fund or any other legally available
funds of the City. The City shall levy and collect annually an
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ad valorem tax upon all taxable property in the City, over and
above all other taxes authorized to be levied by the City,
sufficient to pay such principal, redemption premium, if any,
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Section 2.02. Terms, Medium and Place of Payment.
The Bonds issued under the provisions of this Resol
ution shall
be in the denomination of Five Thousand Dollars ($5,000) or
integral multiples thereof, shall bear interest from their date
until their payment in full at a rate or rates not exceeding
the maximum rate then permitted by law, such interest to the
respective maturities of the Bonds being payable semi-anmually
on such dates as shall be determined by resolution of the
Council, shall be dated, shall be stated to mature annually,
and shall be subject to redemption prior to their respective
maturities, all as hereinafter provided or authorized, or as
shall be determined by subsequent resolution of the Council.
The principal of, redemption premium, if any, and the
interest on the Bonds shall be payable in any coin or currency
of the United States of America which, at the respective dates
of payment thereof, is legal tender for the payment of public
and private debts. Payment of the interest on the Bonds to the
maturity thereof shall be made to the person appearing on the
bond registration books of the City hereinafter provided for as
the registered owner thereof fifteen days before the next
interest payment date, such interest to be paid by check or
draft drawn on a Paying Agent mailed to such registered owner
at his address as it appears on such registration books, or
such other methods, place or places as may be designated by
such subsequent resolution of the Council. The principal of
the Bonds shall be payable at the Principal Offices of the
Paying Agents designated for the Bonds.
Section 2.03. Execution and Form of Bonds. All the
Bonds shall be executed on
facsimile signature of the
by the manual or facsimile
Clerk of the Council, and
imprinted thereon.
behalf of the City by the manual or
Mayor or Vice Mayor of the City and
signature of the Clerk or any Deputy
a facsimile of its seal shall be
If any of the officers who shall have signed any of
the Bonds or whose facsimile signature shall be upon the Bonds
shall cease to be such officer of the City before the Bonds so
signed and sealed shall have been actually authenticated by the
Bond Registrar or delivered by the City, such Bonds
nevertheless may be authenticated, issued and delivered with
the same force and effect as though the person or persons who
signed such Bonds or whose facsimile signature shall be upon
the Bonds had not ceased to be such officer or officers of the
City; and also any such Bond may be signed on behalf of the
City by those persons who, at the actual date of the execution
of such Bond, shall be the proper officers of the City,
although at the nominal date of such Bond any such person shall
not have been such officer of the City.
The Bonds shall be issued in fully registered form
only. The Bonds, issued under the provisions of Section 2.06
of this Article, and the statement of validation, the
certificate of authentication and the certificate of transfer
to be endorsed on the Bonds shall be, respectively,
substantially in the form attached hereto as Exhibit I, with
such appropriate variations, omissions and insertions as are
required or permitted by this Resolution or by subsequent
resolution adopted by the Council pursuant to Section 2.06.
Section 2.04. Bond Registrar and Registration;
Exchange. The City shall cause its books for the registration
and for the transfer of Bonds to be kept by the Bond
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Registrar. Any Bond may be transferred only upon an assignment
duly executed by the registered owner or his attorney or legal
representative in such form as shall be satisfactory to the
Bond Registrar, such transfer to be made on such books by the
Bond Registrar. The principal of any Bond shall be payable
only to or upon the order of the registered owner or his legal
representative. Bonds shall not be registered to bearer.
Bonds may be exchanged for a like aggregate principal amount of
Bonds of other authorized denominations of the same series,
interest rate and maturity. The City shall execute and
deliver, and the Bond Registrar shall authenticate, such Bonds
which the registered owner making the exchange is entitled to
receive.
No charge shall be made to any Bondholder for the
privilege of registration, transfer or exchange hereinabove
granted, but any Bondholder requesting any such registration,
transfer or exchange shall pay any tax or other governmental
charge required to be paid with respect thereto. The Bond
Registrar shall not be required to transfer or exchange any
Bond after the mailing of notice calling such Bond or portion
thereof for redemption has been given as provided in this
Resolution during the period of 15 days next preceding the
mailing of such notice of redemption.
Each Bond delivered pursuant to any provision of this
Resolution in exchange or substitution for, or upon the
transfer of the whole or any part of one or more other Bonds,
shall carry all of the rights to interest accrued and unpaid
that were carried by the whole or such part, as the case may
be, of such one or more other Bonds, and, notwithstanding
anything contained in this Resolution, such Bonds shall be so
dated or bear such notation, that neither gain nor loss in
interest shall result from any such exchange, substitution or
transfer.
Section 2.05. Ownership of Bonds; Transfer of Title.
The City, the Paying Agents and the Bond Registrar shall deem
and treat the person in whose name any Bond shall be registered
on the books maintained pursuant to Section 2.04 as the
absolute owner of such Bond, whether such Bond shall be overdue
or not, for the purpose of receiving payment thereof and for
all other purposes whatsoever, and neither the City, the Paying
Agents nor the Bond Registrar shall be affected by any notice
to the contrary. All such payments shall be valid and
effectual to satisfy and discharge the liability upon such Bond
to the extent of the sum or sums so paid.
Section 2.06. Issuance of the Bonds; Award
Resolution; Application of Bond Proceeds. There shall be
issued under and secured by this Resolution at one time or from
time to time, in one or more Series, subject to the conditions
hereinafter provided in this Section, General Obligation Bonds
in an amount not to exceed Eight Million Dollars ($8,000,000),
the initial Series of which will be Series 1986 of the City in
an aggregate principal amount not to exceed Six Million Five
Hundred Thousand Dollars ($6,500,000) (City Hall Project) for
the purpose of providing funds (from the issuance and sale of
the Series 1986 Bonds) to pay the Cost of the Project as it
relates to the City Hall. The Council hereby authorizes and
directs that such funds (from the issuance and sale of the
Series 1986 Bonds) be used for the acquiring, developing,
planning, designing, purchasing, constructing, improving,
financing and equipping of the City Hall portion of the Project.
The Bonds shall be dated as of such date, shall be
numbered and lettered as to each such Series and shall be
stated to mature in the year or years not more than forty (40)
years from the date of the Bonds and in the amounts established
by the Council by resolution prior to the issuance of the
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Bonds. The Bonds shall bear interest, shall have such
redemption provisions and Amortization Requirements, if any,
and shall have such Paying Agents all as shall be determined by
1 the Council in a resolution or resolutions adopted prior to the
issuance of the Bonds.
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Each of the Bonds shall be executed substantially in
the form and manner hereinabove set forth, shall have printed
thereon a statement of validation in the form hereinabove set
forth, and shall be deposited with the Finance Director or the
Bond Registrar for delivery, but prior to or simultaneously
with the delivery of said Bonds or any Series thereof by the
Finance Director, there shall be filed with the Clerk the
following:
(a) a copy, certified by the Clerk, of the
resolution of the Council, awarding said Bonds,
specifying the interest rate or rates of each such
Bond, directing the delivery of said Bonds to or upon
the order of the purchasers therein named upon payment
of the purchase price therein set forth; designating
the Bond Registrar and the Paying Agents, fixing the
Series designation and date, fixing the year and
amounts in which said Bonds will mature, fixing the
Amortization Requirements of any Term Bonds and fixing
the times and prices at which said Bonds are to be
subject to redemption;
(b) a certificate, signed by the Finance
Director, setting forth the Principal and Interest
Requirements for each Bond Year thereafter on account
of the Bonds then requested to be delivered.
(c) an opinion of the City Attorney to the
effect that the issuance of said Bonds has been duly
authorized and that all legal conditions precedent to
the delivery of said Bonds have been fulfilled.
(d) an opinion of Bond Counsel to the effect
that the issuance of said Bonds has been duly
authorized, that all legal conditions precedent to the
delivery of such Bonds have been fulfilled and that
the Bonds are valid and binding obligations of the
City in accordance with their terms.
When the documents mentioned in clauses (a) to (d),
inclusive, of this Section shall have been filed with the Clerk
and when said Bonds or the Series thereof shall have been
executed as required by this Resolution, the Finance Director
shall deliver said Bonds or the Series thereof then to be
issued, at one time, to or upon the order of the purchasers
named in the resolution mentioned in clause (a) of this
Section, but only upon payment to the Finance Director of the
purchase price of said Bonds. The Finance Director shall be
entitled to rely upon such resolution as to the names of the
purchasers, the interest rate of each of said Bonds and the
amount of such purchase price.
Simultaneously with the delivery of the Bonds, the
Finance Director shall apply the net proceeds of the Bonds to
the credit of the Construction Fund to pay the Cost of the
Project. Any accrued interest shall be deposited to the Debt
Service Fund as such fund is defined herein.
Section 2.07. Mutilated, Lost, Stolen or Destroyed
Bonds. In case any Bond secured hereby shall become mutilated
or be destroyed, stolen or lost, the City may cause to be
executed and delivered a new Bond of like date, number and
tenor in exchange and substitution for and upon the cancel-
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lation of such mutilated Bond or in lieu of and in substitution
of such Bond destroyed, stolen or lost, upon the owner paying
the reasonable expenses and charges of the City in connection
therewith and, in the case of a Bond destroyed, stolen or lost,
his filing with the Bond Registrar evidence satisfactory to it
that such Bond was destroyed, stolen or lost, and of his
ownership thereof, and furnishing the City and the Bond
Registrar with indemnity satisfactory to the City and the Bond
Registrar.
Section 2.08. Temporary Bonds. All Bonds issued and
to be issued under this Resolution may be initially issued in
temporary form exchangeable for definitive bonds when ready for
delivery. The temporary bonds shall be of such denomination as
may be determined by the City, and may contain such references
to any of the provisions of this Resolution as may be
appropriate. Every temporary bond shall be executed by the
City upon the same conditions and in substantially the same
manner as the definitive bonds. If the City issues temporary
bonds it will execute and furnish definitive bonds without
delay and thereupon the temporary bonds shall be surrendered
for cancellation in exchange therefor at an office designated
by the City and the City shall deliver in exchange for such
temporary bonds an equal aggregate principal amount of
definitive bonds of authorized denominations. Until so
exchanged, the temporary bonds shall be entitled to the same
benefits under this Resolution as definitive bonds issued and
delivered hereunder.
Section 2.09. Cancellation and Destruction of Bonds.
All Bonds paid, redeemed or purchased, either at or before
maturity, shall be cancelled upon the payment, purchase or
redemption of such Bonds. All such bonds so cancelled shall be
destroyed by the Paying Agent, which shall execute a
certificate of destruction in triplicate describing the Bonds
so destroyed and one executed certificate shall be filed with
each of the City and the Bond Registrar, and one executed
certificate shall be retained by the Paying Agent, which shall
deliver a duplicate thereof to any other Paying Agent then
acting.
ARTICLE III
REDEMPTION OF BONDS
Section 3.01. The Bonds Redeemable. The Bonds shall
be subject to mandatory redemption, and to redemption at the
option of the City, prior to their respective maturities at the
redemption prices and in the manner and on a date or dates to
be.specified in the resolution referred to in Section 2.06(a).
Section 3.02 Notice of Redemption. Any such
redemption shall be made upon not less than thirty (30) days'
or more than sixty (60) days' prior written notice to the
registered owners of the Bonds to be redeemed, in the manner
and under the terms and conditions provided in the resolution
referred to in section 2.06(a).
Section 3.03. Effect of Redemption Call. On' the date
so designated for redemption, notice having been given in the
manner and under the conditions hereinabove provided and moneys
for payment of the redemption price being held by the Paying
Agents in trust for the holders of the Bonds to be redeemed,
all as provided in this Resolution, the Bonds so called for
redemption shall become and be due and payable at the
redemption price provided for redemption of such Bonds on such
date, interest on the Bonds so called for redemption shall
cease to accrue, such Bonds shall cease to be entitled to any
lien, benefit or security under this Resolution, and the
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holders of such Bonds shall have no rights in respect thereof
1 I except to receive payment of the redemption price thereof.
Bonds which have been duly called for redemption under
the provisions of this Article III and for the payment of the
2 redemption price of which and accrued interest to the date
fixed for redemption moneys shall be held by the Paying Agents
3 in trust for the holders of the Bonds to be redeemed, all as
provided in this Resolution, shall not be deemed to be
4 outstanding under the provisions of this Resolution.
5 Section 3.04. Selection of Bonds to be Redeemed. If
less than all of the Bonds of like maturity of any Series shall
6 be called for redemption, the particular Bonds or portions of
Bonds to be redeemed shall be selected as provided for in the
7 resolution referred to in Section 2.06(a).
B
ARTICLE IV
9 CONSTRUCTION FUND
10 Section 4.01. Construction Fund. A special fund is
hereby - created and designated the "Tamarac City Hall
11 Construction Fund" (herein sometimes called the "Construction
Fund"), to the credit of which such deposits shall be made as
12 provided in Section 2.06 of this Resolution.
13 Section 4.02. Payments From Construction Fund. Payment
of the Cost shall be made from the Construction Fund as herein
14 provided. All such payments shall be subject to the provisions
and restrictions set forth in this Article and the City
15 covenants that it will not cause or permit to be paid from the
Construction Fund any sums except in accordance with such
16 provisions and restrictions. Moneys in the Construction Fund
shall be disbursed subject to such controls and procedures as
17 the City may from time to time institute in connection with the
disbursement of City funds for paying the cost of capital
18 projects.
19 Section 4.03. Cost of Project. For the purposes of
this Article, any Cost to be incurred for any part of or all of
20 the Project, shall include, without intending thereby to limit
or to restrict or to extend any proper definition of such Cost
21 under the provisions of this Resolution, the following;
22 (a) obligations incurred for labor and materials
and to contractors, buildings and materialmen in
23 connection with the construction of enlargements,
improvements and extensions, for machinery and
24 equipment, and for the restoration or relocation of
property damaged or destroyed in connection with such
25 construction.
26 (b) interest accruing upon any Bonds prior to
the commencement of and during construction or for any
27 additional period and any amounts required to fund in
whole or part the Reserve Requirement for any Bonds as
28 may be authorized by law and if so provided subject to
any limitation, in the resolution providing for, or
29 authorizing, the issuance of such Bonds.
30 (c) the fees and expenses of the Paying Agents
j for their services under this Article and Article II 31
of this Resolution, including legal expenses and fees,
22 fees and expenses of consultants, financing charges,
cost of preparing and issuing the Bonds, the cost and
33 charges of any letter of credit providers, taxes or
other municipal or governmental charges lawfully
34 levied or assessed during construction upon the City
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Hall or any property acquired therefor, and premiums
on insurance (if any) in connection with any
Additional Improvements during construction;
1
(d) any amounts hereafter advanced by any agency
2 of the State or Federal Government for any of the
foregoing purposes and any obligation or expense
3 heretofore or hereafter incurred by the City for any
of the foregoing purposes, and paid for by the City
4 out of funds other than moneys in the Construction
Fund.
S
Section 4.04. Disposition of Construction Fund
fi Balance. When the construction of any part of or all of the
Project shall have been completed, which fact shall be
7 evidenced to the Finance Director by a certificate stating the
date of such completion, the balance in the Construction Fund
6 not reserved by the City for the payment of any Cost remaining
shall be transferred by the Finance Director to the credit of
9 the Redemption Account.
10
ARTICLE V
11 REVENUES AND FUNDS
12 Section 5.01. Levy of Ad Valorem Tax; Payment and
Pledge. In each year while any Bonds are outstanding, the City
13 covenants to levy and collect a tax, without limitation as to
rate or amount, on all taxable property within the City,
14 sufficient in amount to pay the principal of, premium, if any,
and any interest on the Bonds as the same shall become due.
1S The tax assessed, levied and collected for the security and
payment of the Bonds shall be assessed, levied and collected in
16 the same manner and at the same time as other City taxes are
assessed, levied and collected and the proceeds of said tax,
17 except as herein provided, shall be applied solely to the
payment of the principal of, premium, if any, and interest on
19 the Bonds.
19 1 To the extent the Bonds are payable from tax revenues
of the City as herein provided, the full faith, credit and
20 taxing power of the City are hereby irrevocably pledged to the
payment of the principal of, premium, if any, and interest on.
21 the Bonds.
22 Section 5.02. Creation of Debt Service Account and
Certain Subaccounts. A special account is hereby created and
23 designated "City of Tamarac General Obligation Bonds, Series
19$6 Debt Service Account" (herein called the "Debt Service
24 Fund"). There are hereby created in the Debt Service Fund
three separate subaccounts designated "Bond Interest
25 Subaccount", "Bond Principal Subaccount", and "Bond Redemption
Subaccount" respectively.
26
The moneys in each of said accounts shall be held in
27 trust and applied as hereinafter provided with regard to each
28 such account.
Section 5.03. Withdrawals From General Fund, Excess
29 one s. The Finance Director shall, on or before the 30th day
f the month next succeeding the month in which Bonds are
30 issued under- the provisions of this Resolution and not later
han the 30th day of each month thereafter, withdraw from the
31 eneral Fund an amount sufficient to meet the deposits
32 escribed in clauses (a) to (c), inclusive, below and deposit
uch sum so withdrawn to the credit of the following accounts:
33 (a) to the credit of the Bond Interest
34 Subaccount, such amount as shall be required to pay
the interest on all Bonds then Outstanding which will
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Hall or any property acquired therefor, and premiums
on insurance (if any) in connection with any
Additional Improvements during construction;
1
(d) any amounts hereafter advanced by any agency
2 of the State or Federal Government for any of the
foregoing purposes and any obligation or expense
1 heretofore or hereafter incurred by the City for any
of the foregoing purposes, and paid for by the City
I out of funds other than moneys in the Construction
Fund.
5
Section 4.04. Disposition of Construction Fund
6 Balance. When the construction of any part of or all of the
Project shall have been completed, which fact shall be
7 evidenced to the Finance Director by a certificate stating the
date of such completion, the balance in the Construction Fund
g not reserved by the City for the payment of any Cost remaining
shall be transferred by the Finance Director to the credit of
9 the Redemption Account.
l0
ARTICLE V
11 REVENUES AND FUNDS
12 Section 5.01. Lev of Ad Valorem Tax; Payment and
Pledge. In each year while any Bonds are outstanding, the City
11 covenants to levy and collect a tax, without limitation as to
rate or amount, on all taxable property within the City,
14 sufficient in amount to pay the principal of, premium, if any,
and any interest on the Bonds as the same shall become due.
15 The tax assessed, levied and collected for the security and
payment of the Bonds shall be assessed, levied and collected in
16 the same manner and at the same time as other City taxes are
assessed, levied and collected and the proceeds of said tax,
17 except as herein provided, shall be applied solely to the
payment of the principal of, premium, if any, and interest on
19 the Bonds.
19 To the extent the Bonds are payable from tax revenues
of the City as herein provided, the full faith, credit and
20 taxing power of the City are hereby irrevocably pledged to the
payment of the principal of, premium, if any, and interest on
21 1 the Bonds.
22 Section 5.02. Creation of Debt Service Account and
Certain Subaccounts. A special account is hereby created and
23 designated "City of Tamarac General Obligation Bonds, Series
1198fi Debt Service Account" (herein called the "Debt Service
24 Fund"). There are hereby created in the Debt Service Fund
three separate subaccounts designated "Bond Interest
25 Subaccount", "Bond Principal Subaccount", and "Bond Redemption
Subaccount" respectively.
26
The moneys in each of said accounts shall be held in
27 trust and applied as hereinafter provided with regard to each
such account.
28
Section 5.03. withdrawals From General Fund, Excess
29 one s. The Finance Director shall, on or before the 30th day
f the month next succeeding the month in which Bonds are
30 issued under- the provisions of this Resolution and not later
han the 30th day of each month thereafter, withdraw from the
31 eneral Fund an amount sufficient to meet the deposits
32 escribed in clauses (a) to (c), inclusive, below and deposit
uch sum so withdrawn to the credit of the following accounts:
33 (a) to the credit of the Bond Interest
24 Subaccount, such amount as shall be required to pay
the interest on all Bonds then Outstanding which will
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be or become payable on the next ensuing interest
payment date, taking into account available
Capitalized Interest, if any;
(b) to the credit of the Bond Principal
Subaccount, such amounts as shall be required to pay
the total of the principal on all Serial Bonds then
Outstanding which will be or become payable on the
next ensuing Serial Bond principal payment date;
(c) to the credit of the Bond Redemption
Subaccount such amounts, if any, as shall be equal to
the total of the sinking fund installments on all Term
Bonds then Outstanding which will be or become
callable or payable on the next ensuing sinking fund
payment date pursuant to a resolution or resolutions
mentioned in Section 2.06(a) hereof.
Section 5.04. Withdrawals From Debt Service Account.
There shall be withdrawn by the Finance Director from the Bond
Interest Subaccount and the Bond Principal Subaccount from time
to time, sufficient money for paying the interest on the Bonds
and the principal of the Serial Bonds as the same shall fall
due. Moneys held for the credit of the Bond Redemption Account
shall be held and applied in accordance with a resolution or
resolutions mentioned in Section 2.06(a) hereof.
Section 5.05. Moneys Set Aside Held In Trust;
Unclaimed Moneys. All moneys which shall have been withdrawn
from the Debt Service Account and set aside for the purpose of
paying any of the Bonds hereby secured, either at the maturity
thereof or upon call for redemption, shall be held in trust for
the respective owners of such Bonds. But any moneys which
shall be so set aside or deposited and which shall remain
unclaimed by the owners of such Bonds for a period of four (4)
years after the date on which such Bonds shall have become due
and payable (or such longer period as shall be required by
Florida law) shall be paid to the City or to such officer,
board or body as may then be entitled by law to receive the
same and thereafter the owners of such Bonds shall look only to
the City or to such officer, board or body, as the case may be,
for payment and then only to the extent of the amounts so
received without any interest thereon.
Section
for the credit
hereunder shall,
and reinvested by
ARTICLE VI
INVESTMENT OF ACCOUNTS:
DEPOSITARIES AND SECURITY
6.01.
Investment of Accounts. Moneys held
of any
as nearly
the City,
account or Subaccount established
as may be practicable, be invested
in Investment Obligations.
Moneys held for the credit of the Construction Fund,
shall be invested in Investment Obligations which shall mature
or which shall be subject to redemption by the holder thereof
at the option of such holder not later than the date when the
moneys held for the credit of said Fund shall be required for
the purposes intended.
Section 6.02. Accounts and Subaccounts. For the
purposes of this Resolution, each Account and Subaccount
created hereunder shall be a series of self -balancing accounts
within the book or accounts of the City and shall connote a
segregation of accounts, which will support special purpose
disclosure reports, not to be construed as a separate set of
books of accounts.
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Section 6.03. Arbitrage and Tax Covenants. The City
covenants that it shall not use or permit the use of any
proceeds of Bonds or any other funds of the City from whatever
1
source derived, directly,
or indirectly,
to acquire
any
I
securities or obligations,
and shall not take
or permit to
be
2
taken any other action or
actions, which would
cause any
Bond
to be an "arbitrage bond"
within the meaning of Section 103(c)
3
of the Code, or which would otherwise cause
interest on
the
Bonds to become subject
to federal income
tax. The
City
covenants that it shall at all times do and
perform all
acts
and things permitted by law and which are necessary or
g
desirable in order to assure that interest paid by the City on
the Bonds shall, for the purposes of federal income tax, be
6
exempt from all income taxation under the Internal Revenue Code
of 1954, as amended or any other valid provision of law.
7
In particular, but without limitation, the City
9
further represents, warrants and covenants to comply with the
following restrictions of H.R. 3838 as adopted by the United
9
States House of Representatives on December 17, 1985 unless
such compliance is not necessary in the opinion of Bond
10
Counsel, as follows:
11
(a) Gross proceeds of the Bonds will not be used
in a manner which will cause the Bonds to be
12
considered "nonessential function bonds." The term
"nonessential function bonds" means any obligation
13
issued as part of an issue if (i) 5% or more of the
gross proceeds of such issue are to be used (directly
14
or indirectly) to make or finance loans to persons
other than governmental units, or (ii) 10% or more of
15
the gross proceeds of such issue are to be used
(directly or indirectly) in any trade or business
16
carried on by any person other than a governmental
unit (other than use as a member of the general
17
public).
19
(b) Except as provided in paragraph (c) below,
no gross proceeds of the Bonds are reasonably expected
19
to be used (or will be used other than inadvertently)
directly or indirectly to acquire higher yielding
20
investments or to replace funds which were used
directly or indirectly to acquire higher yield.
21
investments. ("Higher yielding investments" means any
investment property which can reasonably be expected
22
to produce a yield in excess of the yield on the
Bonds). Records of all investments shall be
23
maintained by the City until six years after the
retirement of the last Bonds.
24
(c) The investment earnings on any bona fide
25
debt service fund for the Bonds will be invested
without regard to the yield limitations described in
26
paragraph (b) above. No annual rebate of the
investment earnings on said funds will be made unless
27
the earnings on said funds for the period of time
beginning on October 1 of a given year and ending on
29
September 30 of the immediately subsequent year equals
or exceeds $100,000. If earnings equal such amount,
29
the entire annual earnings on said fund shall be
rebated.
30
(d) The Bonds shall not become directly or
31
indirectly federally guaranteed. Bonds will be
considered to be "federally guaranteed" if the payment
32
of principal or interest with respect to such Bonds is
guaranteed (in whole or in part) by the United States
33
(or any agency or instrumentality thereof) or 5% or
more of the proceeds of these Bonds are used in making
24
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loans the payment of principal or interest with
respect to which are guaranteed or invested (directly
or indirectly) in federally insured deposits or
1 accounts.
2 (e) All proceeds of the Bonds (other than
amounts invested in the Rebate Fund (defined below)
3 and any debt service fund for the Bonds) shall be
expended within three years after the date of issue of
4 the Bonds.
5 (f) The City shall use its best efforts to
submit to the Secretary of the Treasury, not later
6 than November 15, 1986, a statement concerning the
Bonds which contains the name and address of the City,
7 the date of the issue, the amount of net proceeds of
the issue, the stated interest rate, terms, face
B amount of each Bond which is part of the issue, the
costs of issuance, the amount of reserves of the issue
9 and such information as the Secretary of the Treasury
may by regulations require.
10
(g) The City shall establish a trust fund (the
11 "Rebate Fund") pursuant to this Resolution for the
purpose of accepting deposits of rebate amounts which
12 may occur by operation of the limitations described in
paragraphs (b) and (c) above. The City shall provide
13 not later than thirty (30) days after the fifth Bond
Year and every five years thereafter for payment to
14 the United States of 90% of the amounts deposited to
said fund and 100% of the investment earnings on said
15 deposits. Not later than thirty (30) days after the
final retirement of the Bonds, the City shall pay 100%
16 of the remaining balance of said fund to the United
States. Each payment shall be filed with the Internal
17 Revenue Service Center, Philadelphia, Pennsylvania
19255. Each payment shall he accompanied by a
19 statement summarizing the determination of the amounts
19 paid and to be paid to the United States.
20 ARTICLE VII
21 SUPPLEMENTAL RESOLUTIONS
22 Section 7.01. Supplemental Resolution Without
Bondholders' Consent. The Council may, from time to time and
23 at any time, adopt such Resolutions supplemental hereto as
shall not be inconsistent with the terms and provisions hereof
24 (which supplemental resolutions shall thereafter form a part
hereof)
25
(a) to cure any ambiguity, formal defect, or
26 omission or to correct any inconsistent provisions in
this Resolution or in any supplemental resolution, or
27
29 (b) to grant to or confer upon the Bondholders
any additional rights, remedies, powers, authority or
29 security that may lawfully be granted to or conferred
upon the Bondholders, or
30 (c) to add to the conditions, limitations and
31 restrictions on the issuance of Bonds under the
provisions of this Resolution other conditions,
32 limitations and restrictions thereafter to be
observed, or
33
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(d) to add to the covenants and agreements of
the City in this Resolution other covenants and
agreements thereafter to be observed by the City or to
1 surrender any right or power herein reserved to or
conferred upon the City.
2
(e) to provide for the issuance of Bonds in
3 coupon form, including such modifications as are
necessary or desirable to provide herein the customary
4 terms and conditions relating to bonds issued in
coupon form.
5
(f) to comply with the requirements of the
6 Internal Revenue Code as are necessary in the opinion
of Bond Counsel to make the interest on the Bonds
7 exempt from federal income taxes.
8 At least thirty (30) days prior to the adoption of any
supplemental resolution for any of the purposes of this
9 Section, the Clerk shall cause a notice of the proposed
adoption of such supplemental resolution to be mailed, postage
10 prepaid, to all registered owners of Bonds at their addresses
as they appear on the registration books. Such notice shall
11 briefly set forth the nature of the proposed supplemental
resolution and shall state that copies thereof are on file at
12 the office of the Clerk for inspection by all Bondholders. A
failure on the part of the Clerk to mail the notice required by
13 this Section shall not affect the validity of such supplemental
resolution.
14
Section 7.02. _Supplemental Resolution With
15 Bondholders' Consent. Subject to the terms and provisions
contained in this Section, and not otherwise, the Bondholders
16 of not less than two-thirds (2/3) in aggregate principal amount
of the Bonds then Outstanding shall have the right, from time
17 to time, to consent to and approve the adoption of such
resolution or resolutions supplemental hereto as shall be
16 deemed necessary or desirable by the City for the purpose of
modifying, altering, amending, adding to or rescinding, in any
19 particular, any of the terms or provisions contained in this
Resolution or in any supplemental resolution; provided,
20 however, that nothing herein contained shall permit, or be
construed as permitting, (a) an extension of the maturity of
21 the principal of or the interest on any Bond issued hereunder,
or (b) a reduction in the principal amount of any Bond or the
22 redemption premium or the rate of interest thereon, or (c) a
preference or priority of any Bond or Bonds over any other Bond
23 or Bonds, or (d) a reduction in the aggregate principal amount
of, the Bonds required for consent to such supplemental
24 resolution. If at the time of any such amendment any of the
Bonds shall be insured as to payment of principal and interest
25 by an insurance company in the business of insuring such risks,
pursuant to an agreement entered into between the City and such
26 insurer, no such amendment shall be made except with the
consent of such insurer. Nothing herein contained, however,
27 shall be construed as making necessary the approval by
Bondholders of the adoption of any supplemental resolution as
26 authorized in Section 7.01 of this Article.
29 If at any time the City shall determine that it is
necessary or desirable to adopt any supplemental resolution for
30 any of the- purposes of this Section, the Clerk shall cause
notice of the proposed adoption of such supplemental resolution
11 to be mailed by first-class mail, postage prepaid, to all
32 registered owners of Bonds at their addresses as they appear on
the registration books. The City shall not, however, be
subject to any liability to any Bondholder by reason of its
33
failure to cause the notice required by this Section to be
34 mailed and any such failure shall not affect the validity of
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such supplemental resolution when consented to and approved as
provided in this Section. A subsequent resolution of the
Council may provide that the form and manner of providing
notice to Bondholders be in some different form if so
determined by the Council; in particular, if the Council shall
determine, based upon advice of Bond Counsel, that interest on
any series of Bonds will not be subject to federal income
taxation if such Bonds are issued in coupon form, then such
subsequent resolution may provide for the publication of notice
in the form and manner as is customarily applicable with
respect to bonds issued in coupon form.
Whenever, at any time within one year after the date
of the first publication of such notice, the Clerk shall have
received an instrument or instruments in writing purporting to
be. executed the Bondholders of not less than two-thirds (2/3)
in aggregate principal amount of the Bonds then Outstanding,
which instrument or instruments shall refer to the proposed
supplemental resolution described in such notice and shall
specifically consent to and approve the adoption thereof in
substantially the form of the copy thereof referred to in such
notice, thereupon, but not otherwise, the Council may adopt
such supplemental resolution in substantially such form,
without liability or responsibility to any Bondholder, whether
or not such Bondholder consented thereto.
Upon the adoption of any supplemental resolution
pursuant to the provisions of this Section, this Resolution
shall be and be deemed to be modified and amended in accordance
therewith, and the respective rights, duties and obligations
under this Resolution of the City and all Bondholders of Bonds
then Outstanding shall; thereafter be determined, exercised and
enforced in all respects under the provisions of this
Resolution as so modified and amended.
Section 7.03. Supplemental Resolution Part _of
Resolution. Any supplemental resolution adopted inaccordance
with the provisions of this Article shall thereafter form a
part of this Resolution, and all of the terms and conditions
contained in any such supplemental resolution as to any
provision authorized to be contained therein and shall be
deemed to be part of the terms and conditions of this
Resolution for any and all purposes. In case of the adoption
and approval of any supplemental resolution, express reference
may be made thereto in the text of any Bonds issued thereafter,
if deemed necessary or desirable by the City.
ARTICLE VIII
DEFEASANCE
If, when any Series of Bonds secured hereby shall have
become due and payable in accordance with their terms or shall
have been duly called for redemption, the whole amount of the
principal and the interest and premium, if any, so due and
payable upon all of the Bonds of such Series then Outstanding
shall be paid, and provision shall also be made for paying all
other sums payable hereunder by the City, then and in'that case
the right, title and interest of the Bondholders of the Bonds
of such Series secured hereby in the revenues, funds and
accounts relating to such Series of Bonds mentioned in this
Resolution shall thereupon cease, determine and become void on
(that date without further action of the Council, and the
Finance Director may apply any surplus in any account in the
Debt Service Account and all balances remaining in any other
funds or accounts relating to such Series of Bonds, other than
moneys held for the redemption or payment of Bonds, to the
General Fund; otherwise this Resolution shall be, continue and
remain in full force and effect; provided, however, that in the
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event Defeasance Obligations shall be held by the City as
hereinabove provided, the Clerk shall within thirty (30) days
after such Defeasance Obligations shall have been acquired
1 cause a notice signed by the Finance Director to be published
in the City, and in a Daily Newspaper of general circulation or
2 1 a financial journal published in the Borough of Manhattan,
County and State of New York, setting forth (a) the date
3 designated for the redemption of the Bonds or a statement to
the effect that such Bonds are to be paid at their respective
4. maturities or mandatory redemption dates, (b) a description of
the Defeasance Obligations so held by the City, and (c) that
S this Resolution has become void in accordance with the
provisions of this Section.
6
All moneys and obligations held by the City pursuant
7 to. this Section shall be held in trust and the principal and
interest of said obligations when received, and said moneys,
g applied to the payment, when due, of the principal and the
interest and the premium, if any, of the Bonds so called for
9 redemption.
10
ARTICLE IX
11
MISCELLANEOUS PROVISIONS
12
Section 9.01. Execution of Instruments __by_ Bondholders
13 and Proof of Ownership of Bonds. Any request, direction,
consent or other instrument in writing required by this
14 Resolution to be signed or executed by Bondholders may be in
any number of concurrent instruments of similar tenor and may
15 be signed or executed by such Bondholders in person or by agent
appointed by an instrument in writing. Proof of the execution
16 of any such instrument and of the ownership of Bonds shall be
sufficient for any purpose of this Resolution and shall be
17 conclusive in favor of the persons relying thereon with regard
to any action taken by them under such instrument, if made in
18 the following manner:
19 (a) The fact and date of the execution by any
person of any such instrument may be proved by the
20 verification of any officer in any jurisdiction who,
by the laws thereof, has power to take affidavits
21 within such jurisdiction, to the effect that such
instrument was subscribed and sworn to before him, or
22 by an affidavit of a witness to such execution.
23 (b) The ownership of the Bonds shall be proved
by the registration books kept under the provisions of
24 Section 2.04 of this Resolution.
25 Any request or consent of the Bondholder of any Bond
shall bind every future Bondholder of the same Bond in respect
26 of anything done by the City in pursuance of such request or
consent.
27
Section 9.02. Effect of Covenants. All covenants,
26 stipulations, obligations and agreements of the City bontained
in this Resolution shall be deemed to be covenants,
29 stipulations, obligations and agreements of the City and of the
Council and of each department and agency of the City to the
30 full extent- authorized or permitted by law, and all such
covenants, stipulations, obligations and agreements shall bind
31 or inure to the benefit of the successor or successors thereof
from time to time and any officer, board, body or commission to
32 hom or to which any power or duty affecting such covenants,
stipulations, obligations and agreements shall be transferred
33 y or in accordance with law.
34
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Except as otherwise provided in this Resolution, all
rights, powers and privileges conferred and duties and
liabilities imposed upon the City or upon the Council by the
1 provisions of this Resolution shall be exercised or performed
by the Council, or by such other officers, board, body or
2 commission as may be required by law to exercise such powers or
to perform such duties.
3
No covenant, stipulation, obligation or agreement
4 1 herein contained shall be deemed to be a covenant, stipulation,
obligation or agreement of any member, agent or employee of the
S Council in his individual capacity, and neither the members of
the Council nor any official executing the Bonds shall be
6 liable personally on he Bonds or be subject to any personal
liability or accountability by reason of the issuance thereof.
7
Section 9.03. Manner of Giving Notice. Any notice,
6 demand, direction, request or other instrument authorized or
required by this Resolution to be given to or filed with the
9 City or the Council shall be deemed to have been sufficiently
given or filed for all purposes of this Resolution if and when
10 sent by registered mail return receipt requested;
11 to the City and Council, and if addressed to the
Finance Director: City of Tamarac, 5811 Northwest 88th
12 Ave., Tamarac, Florida 33321.
13 Section 9.04. Successorship of PaXin2 A ents. Any
bank or trust company with or into which the Paying Agents, or
14 any of them, may be merged or consolidated, or to which the
assets and business of the Paying Agents, or any of them, may
1S be sold, shall be deemed the successor of such Paying Agents
for the purposes of this Resolution. If the position of the
16 Paying Agents, or any of them, shall become vacant for any
1 reason, the Council shall, within thirty (30) days thereafter,
17 appoint a bank or trust company located in the State of
Florida, if the vacancy is in the position of a Florida Paying
16 Agent or located in the Borough of Manhattan, City and State of
New York if the vacancy is in the position of a New York Paying
19 Agent.
20 1 Section 9.05. Successorship of City Officers. In the
event that the office of the Clerk, Finance Director or City
21 Attorney shall be abolished or any two or more of such offices
shall be merged or consolidated, or in the event of a vacancy
22 in any such office by reason of death, resignation, removal
from office or otherwise, or in the event any such officer
23 shall become incapable of performing the duties of his office
by.reason of sickness, absence from the City or otherwise, all
24 powers conferred and all obligations and duties imposed upon
such officer shall be performed by the officer succeeding to
25 the principal functions thereof or by the officer upon whom
26 such powers, obligations and duties shall be imposed by law.
27 Section 9.06. Substitute Publication. If, because of
the temporary or permanent suspension of publication of any
2B Newspaper or financial journal or for any other reason, the
City shall be unable to publish in a Newspaper or financial
29 journal any notice required to be published by a provision of
this Resolution, the City shall give such notice in such other
30 manner as in its judgment shall most effectively approximate
such publication, and the giving of such notice in such manner
31 shall for all purposes of this Resolution be deemed to be in
compliance with the requirement for the publication thereof.
32 Section 9.07. Effect of Partial Invalidity. In case
any one or more of the provisions of this Resolution tian or of any
Bonds issued hereunder shall for any reason be held to be
34 illegal or invalid, such illegality or invalidity shall not
-18-
1
affect any other provisions of this Resolution or of the Bonds,
but this Resolution and the Bonds shall be construed and
enforced as if such illegal or invalid provision had not been
1 contained therein. The Bonds are issued and this Resolution is
adopted with the intent that the laws of the State of Florida
2 shall govern their construction.
3
S
6
7
8
9
10
11
12
13
14
Section 9.08. Validation of Bonds. The City Attorney
is hereby authorized and directed to take proper proceedings
for the validation of the Bonds authorized by Section 2.06 of
this Resolution.
Section 9.09. Inconsistent Resolutions. All resolutions
and parts thereof which are inconsistent with any of the
provisions of this Resolution are hereby declared to be
inapplicable to the provisions of this Resolution.
Section 9.10. Further Acts. The officers and agents
of the City are hereby authorized and directed to do all the
acts and things required of them by the Bonds and this
Resolution, for the full, punctual and complete performance of
all of the terms, covenants, provisions and agreements
contained in the Bonds and this Resolution.
Section 9.11. Headin
headings preceding the texts
Sections hereof and any table
footnotes appended to copies
convenience or reference, and
this Resolution, nor shall
construction or effect.
3 Not Part of Resolution. Any
of the several Articles and
of contents, marginal notes or
hereof shall be solely for
shall not constitute a part of
they affect its meaning,
15
Section 9.12. City and Bondholders Alone Have Rights
16 Under Resolution. Except as herein otherwise expressly
provided, nothing in this Resolution, expressed or implied, is
17 i.ntended or shall be construed to confer upon any person, firm
or corporation, other than the City and the owners of the Bonds
is issued under and secured by this Resolution, any right, remedy
or claim, legal or equitable, under or by reason of the
19 Resolution or any provision hereof, this Resolution and all its
provisions being intended to be and being for the sole and
20 exclusive benefit of the City and the owners from time to time
of the Bonds issued hereunder.
31
Section 9.13. Resolution Effective. This Resolution
22 shall take effect upon its adoption. /��J
23 PASSED, ADOPTED AND APPROVED this � �14 day of 1986
24 ATTEST: li
25
CITY CLER MAY
26 I HEREBY CERTIFY that I have
27 approved the form and corrections
of this Resq-lUtion
29
29 [CITY
ATTORNEY
30 14591D
072186/3/IDT
31 68687.0003
32
33
34
RECORD OF COUNCii. VOTE
MAYOR: HART
DIET, i.: (,,,/W MASSARO
Di" t. 2: t%M S.T E LZER ...._.� .�.
DIST. 3 C/M GOTTESMAN
DIST. 4: G'/M STUN
-19-
INDEX
1
2
3
4,
S
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
fAcLe
PREAMBLE ............................................ 1
ARTICLE I
DEFINITIONS
Section 1.01 Meaning of Words and. Terms......... 1
Section 1.02 Construction of Words .............. 5
Section 1.03 Findings. .......................... 5
ARTICLE II
FORM, EXECUTION, DELIVERY
AND REGISTRATION OF BONDS
Section
2.01
Issuance of Bonds. ..... ......... 5
Section
2.02
Terms, Medium and Place of Payment. 6
Section
2.03
Execution and Form of Bond......... 6
Section
2.04
Bond Registrar and Registration
Exchange ........................ 6
Section
2.05
Ownership of Bonds; Transfer of
Title ........................ 7
Section
2.06
Issuance of Bonds; Award Resolution;
Application of Bond Proceeds.... 7
Section
2.07
Mutilated, Lost, Stolen, or
Destroyed Bonds ................. 8
Section
2.08
Temporary Bonds ....................
Section
2.09
Cancellation and Destruction of
Bonds ........................... 9
ARTICLE III
REDEMPTION OF BONDS
Section
3.01
The Bonds
Redeemable ...............
9
Section
3.02
Notice of
Redemption ...............
9
Section
3.03
Effect of
Redemption Call..........
9
Section
3.04
Selection
of Bonds to be Redeemed..
10
ARTICLE IV
CONSTRUCTION FUND
Section
4.01
Construction Fund ..................
10
Section
4.02
Payments from Construction Fund....
10
Section
4.03
Cost of Project ....................
10
Section
4.04
Disposition of Construction Fund
Balance ..........................
11
ARTICLE V
REVENUE AND FUNDS
Section
5.01
Levy of Ad Valorem Tax; Payment
and Pledge....... ...... ......
11
Section
5.02
Creation of Debt Service Fund and
Certain Accounts........ ......
11
Section
5.03
Withdrawls from General Fund,
Excess Moneys.. .. ... ........
11
Section
5.04
Withdrawals from Debt Service
Account ... ........ ...........
12
Section
5.05
Moneys Set Aside Held in Trust;
Unclaimed Moneys ................
12
-20-
ARTICLE VI
INVESTMENT OF ACCOUNTS
DEPOSITARIES AND SECURITY
1
2 Section 6.01 Investment of Accounts .............
Section 6.02 Accounts and Subaccounts...........
3 Section 6.04 Arbitrage and Tax Covenants........
4
ARTICLE VII
5 SUPPLEMENTAL RESOLUTIONS
6 Section 7.01 Supplemental Resolution without
Bondholders' Consent............
7 Section 7.02 Supplemental Resolution With
Bondholders' Consent............
6 Section 7.03 Supplemental Resolution
Part of Resolution ..............
9
ARTICLE VIII
10 DEFEASANCE
11
12 ARTICLE IX
MISCELLANEOUS PROVISIONS
13
Section 9.01 Execution of Instruments by
14 Bondholders and Proof of
Ownership of Bonds ..............
15 Section 9.02 Effect of Covenants ................
Section 9.03 Manner of Giving Notice............
16 Section 9.04 Successorship of Paying Agents.....
Section 9.05 Successorship of City Officers.....
17 Section 9.06 Substitute Publication .............
Section 9.07 Effect of Partial Invalidity.......
18 Section 9.08 Validation of Bonds ................
Section 9.09 Inconsistent Resolutions...........
19 Section 9.10 Further Acts....... ...............
Section 9.11 Headings Not Part ofResolution....
20 Section 9.12 City and Bondholders Alone
Have Rights Under Resolution....
21 Section 9.13 Resolution Effective ...............
22
23
24
25
26
27
28
29
30
31
32
33
34
-21-
12
12
13
14
15
16
17
17
18
18
18
18
18
19
19
19
19
19
19
I
i
No.
1
2
3
5
6
7
6
9
10
11
12
13
14
15
16
17
1B
19
20
21
22
23
24
25
26
27
26
29
30
31
32
33
34
INTEREST RATE:
REGISTERED OWNER:
PRINCIPAL AMOUNT:
EXHIBIT I
United States of America
State of Florida
County of Broward
CITY OF TAMARAC
General Obligation Bond
(City Hall Project)
Series 1986
MATURITY DATE: ORIGINAL ISSUE CUSIP NO.
DOLLARS
- The City of Tamarac (the "City"), a municipal
corporation organized and existing under the laws of the State
of Florida, for value received, hereby promises to pay the
registered owner named above, on the maturity date set forth
above, upon presentation and surrender of this Bond 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 "Paying Agent"), the
principal sum set forth above and to pay, interest thereon at
the interest rate per annum set forth above until payment of
such principal sum, such interest to the maturity hereof being
payable initially on October 1, 1986, and semiannually
thereafter on the lst day of April and October of each year;
provided however, that if on the maturity date of this Bond,
moneys are being held by the Paying Agent for the payment
hereof, this Bond shall cease to bear interest. The principal
of, premium, if any, and the interest on this bond are payable
in any coin or currency of the United States of America, which,
on the respective dates of payment thereof, is legal tender for
the payment of public and private debts. This Bond shall bear
interest from the interest payment date next preceding the date
of registration hereof unless this Bond is registered as of an
interest payment date, in which event this Bond shall bear
interest from such date, or unless it is registered prior to
the first interest payment date, in which event this Bond shall
bear interest from its date. Interest on this Bond shall be
paid by check or draft of the Paying Agent mailed to the
registered owner at his address as it appears on the
registration books maintained by
, as Bond Registrar, at
the close of business on the Record Date (as defined herein)
with respect to each interest payment date. The City and the
Bond Registrar are not required to issue and transfer this Bond
during the period beginning on the fifteenth (15th) day
(whether or not a business day) of the month next preceding any
interest payment date (the "Record Date") and ending on the
iinterest payment date.
For• the prompt payment of both principal hereof and
interest hereon as the same shall fall due, the full faith,
credit and taxing power of the City are hereby irrevocably
pledged.
All acts, conditions and things required by the
Constitution and laws of the State of Florida, and the
ordinances and resolutions of the City, to happen, exist and be
performed precedent to and in the "issuance of this bond have
happened, exist and have been performed as so required.
I-1
11
This Bond shall not be valid or become obligatory for
any purpose or be entitled to any security or benefit under the
Resolution (as defined, herein) until the Bond Registrar's
1 Certificate hereon shall have been duly executed by the Bond
Registrar.
2
3
5
[j
7
8
9
10
11
12
13
14
15
16
17
is
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
IN WITNESS WHEREOF, the City of Tamarac has caused
this bond to be signed by or bear the facsimile signature of
its Mayor. and City Manager and the City Clerk and a facsimile
of its official seal, to be imprinted hereon, all as of
the day of , 198 .
[SEAL]
[facsimile]
City Clerk
[facsimile]
Mayor
[facsimile]
City Manager
BOND REGISTRAR'S CERTIFICATE
Date of Registration:
, as Bond
Registrar
By:
Authorized Officer
[FORM ON REVERSE SIDE OF BOND]
STATEMENT OF VALIDATION
This bond is one of a series of bonds which were
validated by judgment of the Seventeenth Judicial Circuit of
Florida in and for the County of Broward, rendered
on , 19 .
This Bond is one of a duly authorized series of bonds
of the City designated as GENERAL OBLIGATION BONDS (City Hall
Project), Series 1986 (the "Bonds"), issued for the purpose of
providing funds to pay the cost of planning, constructing,
installing, equipping and developing a new City Hall, all of
like date and issued or to be issued under and pursuant to
Resolution No. R-84-121, duly adopted on April 25, 1984 by the
City Council of the City as amended and restated by Resolution
No. , duly adopted on , 1986 by the
City Council of the City (collectively the "Resolution"),
reference to which and to a certain resolution adopted pursuant
thereto is hereby made for the provisions, among others, with
respect to the custody and application of the proceeds of the
Bonds, the rights, duties and obligations of the City under the
Resolution and the rights of the owners of the Bonds, and, by
the acceptance of this bond, the owner hereof assents to all
the provisions of the Resolution and such subsequent resolution.
This Bond is issued and the Resolution was adopted
under the authority of the Constitution and laws of the State
of Florida, the City of Tamarac Home Rule Charter, as amended
I-2
(the "Charter") and the Code of the City. The issuance of the
Bonds was duly approved by a majority of the qualified voters
of the City of Tamarac voting thereon at an election duly
1 called and held for that purpose.
2
REDEMPTION PROVISIONS
3
4.
[To be established by resolution duly adopted by the Council]
5
If less than all of the Bonds of like maturity of any
6 series shall be called for redemption, the particular Bonds or
portions of Bonds to be redeemed shall be selected by lot as
7 provided in the Resolution.
8 If any of the Bonds are called for redemption, notice
thereof identifying the Bonds to be redeemed will be given by
9 the Bond Registrar by mailing a copy of such notice by
first-class mail, postage prepaid, not less than thirty (30)
10 days or more than sixty (60) days before such redemption date,
to the -registered owner of any Bond which is to be redeemed at
11 his last address appearing on the registration books. On the
date designated for redemption, notice having been mailed, all
12 as provided in the Resolution, the Bonds so called for
redemption shall become and be due and payable at the
13 redemption price provided for redemption of such Bonds on such
date, interest on such Bonds shall cease to be entitled to any
14 lien, benefit or security under the Resolution, and the
registered owners of such Bonds shall have no rights in respect
15 thereof except to receive payment of the redemption price
thereof.
16
The registered owner of this Bond shall have no right
17 to enforce the provisions of the Resolution, or to institute
action to enforce the covenants therein, or to take any action
18 with respect to any event of default under the Resolution, or
to institute, appear in or defend any suit or other proceeding
19 with respect thereto, except as provided in the Resolution.
20 Modifications or alterations of the Resolution or of
any resolution supplemental thereto may be made only to the
21 extent and in the circumstances permitted by the Resolution.
22 In certain events, on the conditions, in the manner
and with the effect set forth in the Resolution, the principal
23 of all the Bonds then outstanding under the Resolution may
become or may be declared due and payable before the stated
24 maturities thereof, together with interest accrued thereon.
25 This Bond shall be registered as to both principal and
interest and shall not be registered as to "bearer."
26
The person in whose name any Bond shall be registered
27 shall be deemed and regarded as the absolute owner thereof for
all purposes and payment of or on account of the principal of
28 or interest on any such Bond shall be made only to or; upon the
order of the registered owner thereof or his legal
29 representative, but such registration may be changed as herein
provided. All such payments shall be valid and effectual to
30 satisfy and discharge the liability upon such Bond to the
extent of the sum or sums so paid.
31
32 Any registered owner of any Bond is hereby granted
power to transfer absolute title thereto by assignment thereof
to a bona fide purchaser for value (present or antecedent)
33 without notice of prior defenses or equities or claims of
34 ownership enforceable against his assignor or any person in the
I-3
. 1
2
3
4
5
s
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
chain of title and before the maturity of such Band. Every
prior owner of any Bond shall be deemed to have waived and
renounced all of his equities or rights therein in favor of
every such bona fide purchaser, and every such bona fide
purchaser shall acquire absolute title thereof and to all
rights represented thereby.
(Form for Transfer)
FOR VALUE RECEIVED, , the
undersigned, hereby sells, assigns and transfers unto
(Tax Identification or Social Security No.
the within 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:
I-4
�, � 5 0
'R111UMINARY OFFICIAL STAT11 MINT DATIO JULY 46, 49"
In the opinion of Bond Counsel, the interest on the Bonds is. under existing statutes and judicial
decisions, exempt from all present federal income taxes subject, however, to pending
federai tax legislation as more fully described herein under the heading .,Pending Federal
Tax Legislation" and the Bonds and the Income thereon are exempt from taxation
under the laws of the State of Florida, except as to estate taxes and taxes imposed
by Chapter 220, Florida Statutes, on Interest, income or profits on debt obligations
owned by corporations, as defined in said Chapter 220. Florida Statutes.
$69000,000*`�
CITY OF TAMARAC, FLORIDA
General Obligation Bonds
(city Hall Project)
Series �i98b
oa*&- J� 4. 4966 Due: october 1. as shown below
The Bonds are being issued for the purpose of financing the construction of a new City Hall as descnbec
herein.
The Bonds are being issued pursuant to Resolution No. R-84-121, adopted by the City Council of "he
City on April 25, 1984, as supplemented, amended and restated. and the Constitution and laws of the
State of Florida. the City's Home Rule Charter. the City Code. and Chapter 166. Florida Statutes, The Bonds
were duly approved by a majority of the votes cast in an eiectlon held on March 13. 1984, The Bonds were
validated by a Judgment rendered by the Circuit Court in and for Broward County dated July 20. 1984
and tho time for taking an appeal has expired without any such appeal being taken.
The City pledges Its full faith, credit and taxing power for the prompt payment of both principal of.
redemption premium, if any, and Interest on the Bonds as such payments become due.
The principal of, redemption premium. If any, and the interest on all such Bonds shall be payable
from the General Fund or any other legally available funds of the The City shall levy and collet,
annually an ad valorem tax upon all taxable property In the C , ver and above all other taxes
authorized to be levied by the City, sufficient to pay such print! 1fir ptlon premium, if any, anc
Interest as the some become due and payable.
The Bonds shall be Issued only In registered form in the denom on of S5,000 each or any integro
multiple thereof. Interest on the Bonds is payable semiannually on April 1 and October 1, commencinC
October 1,1966, by checks or drafts mailed to the registered owners thereof, drawn on Barnett Banks Trus-
Company. N.A., Jacksonville, Florida (the "Paying AWf1.The principal of the Bonds and the premium, i
any, payable upon redemption, are payable at the principal corporate trust office of the Paying AgenT
The Bonds shall be subject to redemption as set forth herein. The Bonds shall bear interest at the rates anc
shall mature in the amounts and on the dates as sot forth below.
S
Price
tMMclpd Inter" or
DUO AmarM Rafo� YW"
1987
1988�
1989�
1990
1991
Serial Bonds
I""
Mnclpvt ln%KW or
DUO Amount Rafe YIMd
1992
1993
1994
1995
1996
S % Term Bonds due October 1, 2006: Price
(Plus accrued interest from July 1, 1986) /�J
The Bonds are offered hen. as and If issued and received by the Underwrite, subject to the
receipt of the unqual ed aopraval of legality by Fine Jacobson Schwartz Nash Block & England,
Miami. Florida, Bon Counsel. Certain other legal matters will be passed upon for the C'n
by
legal matters will be passed upon by If 91 ksSc orr and Soli Cohen. West Perim a
Beach, Florida, Counsel to the Unde It�r I is a acted that t Bond defini- T-c
tive form will be available for dells ew ork, on or about u 4. 1986. r
L.F. ROTHSCHILD, UNTERBERG, OWBIN, INC
Dated: July . 4986
CITY OF TAMARAC, FLORIDA
MAYOR
Bernard Hart
CITY COUNCIL
Bernard Hart, Mayor
Jack Stelzer, Vice -Mayor
Helen Massaro
Arthur Gottesman
Sydney M. Stein
FINANCE DIRECTOR
Frank M. Etheredge
CITY MANAGER
John Kelly .
CITY CLERK
Marilyn P. Bertholf
CITY ATTORNEY
A. Bryant Applegate
BOND COUNSEL
Fine Jacobson Schwartz Nash Block S England, P.A.
Miami, Florida
CJ
No dealer, broker, salesman or other person has been authorized to give
any information or make any representation, other than in this Official
Statement, and if given or made, such other information or representations
must not be relied upon. This Official Statement does not constitute an offer
to sell or the solicitation of an offer to buy nor shall there be any sale of the
Bonds by any person in any jurisdiction in which it is unlawful for such
person to make such offer, solicitation or sale. The information contained in
this Official Statement has been obtained from public documents, records and
other sources considered to be reliable and, while not guaranteed as to
completeness or accuracy, is believed to be correct. Any statements in this
Official Statement involving estimates, assumptions and matters of opinion,
whether or not so expressly stated, are intended as such and not as
representations of fact, and the City expressly makes no representation that
such estimates, assumptions and opinions will be realized or fulfilled. Any
information, estimates, assumptions and matters of opinion contained in this
Official Statement are subject to change without notice, and neither the
delivery of this Official Statement, nor any sale made hereunder, shall under
any circumstances, create any implication that there has been no change in the
affairs of the City since the date thereof.
IN CONNECTION WITH THE OFFERING OF THE BONDS, THE
UNDERWRITERS MAY OVER -ALLOT OR EFFECT TRANSACTIONS WHICH
STABILIZE OR MAINTAIN THE MARKET PRICE OF SUCH BONDS AT A LEVEL
ABOVE THOSE WHICH MIGHT OTHERWISE PREVAIL IN THE OPEN MARKET.
SUCH STABILIZING, IF COMMENCED, MAY BE DISCONTINUED AT ANY TIME.
TABLE OF CONTENTS
Page
Introduction . . . . . . .
1
The Bonds . . . .
1
2
Redemption Provisions* a
Security for the Bonds . . . . . .
. . • • •
3
.
1
4
Pu rpose . . . . . . . . . .
Application of Bond Proceeds . . . .
. . . .
4
Estimated Sources and Uses of Funds. .
. 9
4
Annual Debt Service Requirements. . .
. . . . . . .
5
The City . . . . . . . . . . .
. . . . . . .
. . . . 6
8
Fiscal Year . . . . . . . . . .
. . . . . . .
8
Ad Valorem Taxation
9
Assessed Value of Taxable Property.
Property Tax Rates
10
11
Property Tax Levies and Collections
Direct and Overlapping Debt . .
12
Budgeting, Accounting and Auditing . .
. . . .
. . . 14
Investment Management . .
14
15
Operating Budget for Fiscal Year Ended 1
5 . . . . . .
. . . .
Operating Budget for Fiscal Year Ende
986 .
15
Pension Fund . . . . .
Underwriting . . . . . . .
15
16
.
16
Legality . . . . . .
16
Tax Exemption . . . . . . . .
. . .
S,41AAwz9
Pending Federal Tax Legislation . . . . . . - . . . . . 16
Litigation . . . . . . . . . . 17
Validation . . . 18
Accounting . . . . . . . 1 Q
Bonds Ratings . . . . . . 19
Authorization Concerning Official Statement . . 19
Appendices
A. General Information with Respect to the City
B. Audited Financial Statements of the City
C. Summary of Certain Provisions of the Resolution
D. Form of Bond -Counsel Opinion
0
0
J/
CITY OF AMAliAC,7 FLORIDA
General Obligation Bonds
(City Hall Project)
Series 1986
INTRODUCTION
This Official Statement of the City of Tam lac, F rida (the "City") is
provided to furnish certain in f mation with r pect the original issuance
and sale of its General Obl i ga ' n ds, ries 6, to be issued in the
aggregate principal amount of $
the onds). The Bonds will be
issued pursuant to the authority of the Cons ' 'tion and laws of the State of
Florida, including specifically Chapter 1 Florida Statutes, the Home Rule
Charter of the City (the "City Charter") esolution No. R-84-121, passed and
adopted by the City Council of the on April 2S, 1984, as amended and
restated by Resolution No. , passed and adopted by the City Council on
July 23, 1986, (said resolutions being collectively referred to as the "Bond
Resolution") and a resolution adopted in furtherance thereof.
The Bonds are being issued for the purpose of providing funds, together
with other available funds of the City, (i) to construct and furnish a City
Hall and (ii) to pay related costs and expenses in connection with the issuance
of the Bonds. The Circuit Court for Broward County, Florida validated the
Bonds on July 20, 1984. The permitted period of thirty (30) days during
which an appeal could have been taken from the validation judgment expired
without any such appeal being taken.
The City has appointed Barnett Banks Trust Company, N.A.,
Jacksonville, Florida, as Bond Registrar and Paying Agent (the "Bond
Registrar" and "Paying Agent") under the Bond Resolution.
THE BONDS
The Bonds will be issued in the aggregate principal amount of
will be dated July 1, 1986, will bear interest at the rates set
orth on the cover page hereof, payable semiannually on April 1 and October 1
of each year commencing October 1, 1986, and will mature on October 1 in the
years and in the principal amounts set forth on the cover page hereof.
Interest on the Bonds shall be paid by check or draft of the Paying
Agent mailed to the registered owner at the owner's address as it appears on
the registration books maintained by the Bond Registrar. The principal on the
Bonds shall be payable upon the presentation and surrender thereof as the
same becomes due at the principal corporate trust office of the Paying Agent.
The Bonds will be issuable in fully registered form in the denomination of
$S,000 or any integral multiple thereof and will be fully registered on the
books of the
ond Registrar.
* Est' ate, subject to change. �..�
- 1 -
The Bonds may be exchanged for a like aggregate principal amount of
bonds of other authorised denominations of the same series, interest rate and
maturity. The Bonds may be transferred only upon an assignment duly
executed by the registered owner or the owner's attorney or legal
representative in such form as shall be satisfactory to the Bond Registrar,
such transfer to be made on such books by the Bond Registrar. No charge
shall be made to any Bondholder requesting such registration, transfer or
exchange granted in the Bond Resolution, but any Bondholder requesting such
registration, transfer or exchange shall pay taxes or other governmental
charges required to be paid with respect thereto. The City and the Bond
Registrar are not required to issue and transfer any Bond during the period
beginning on the fifteenth (15th) day of the month next preceding any interest
payment date. The Bond Registrar shall not be required to transfer or
exchange any Bond after notice calling for such Bond or portion thereof for
redemption has been given as provided In the Bond Resolution or during the
period of fifteen (15) days next preceding such notice of redemption.
REDEMPTION PROVISIONS
Optional Redemption
The Bonds maturing on or after October 1, 1997 are
subject to redemption
prior to their stated maturity dates, at the
option of the
City, on October 1,
1996 or any date thereafter if redeemed in
whole, or on
any i terest payment
date thereafter If redeemed in part, in
inverse order of maturity, such
redemption to be by lot within a maturity if
less than all,
redemption prices
(expressed as percentages of the principal
amount of
being redeemed)
plus accrued interest to the redemption date:
Redemption Date
Redemption
(Both Dates Inclusive)
Price
October 1, 1996 to September 30, 1997
y�
102%
October 1, 1997 to September 30, 1998
'� -
101%
October 1, 1998 and thereafter
r
11,V ��'7
100$
Mandatory Redemption
The Bonds maturing on October 1, 20 (the "Term Bonds") are subject
to mandatory redemption prior to maturity by lot in such manner as the City
may deem appropriate, at a redemption rice of par }plus accrued interest to
the redemption date, on October 1, 19 and on each October 1 thereafter, in
the following principal amounts from Amortization Installments in the years
specified:
E
lam
Year
1997
1998
1999
2000
2001
* Final Maturity
Notice of Redemption
Principal
Amount Year
2002
2003
2004
2005
2006*
Principal
Amount
R
u
At least thirty (30) days, but not more than sixty (60) days, before the
redemption date, whether in whole or in part, notice of redemption shall be
mailed by the City Clerk, by first class mail, postage prepaid, to all
registered owners of the Bonds at their addresses as they appear on the
registration books of the City maintained by the Bond Registrar, but failure to
mail any such notice shall not affect the validity of the proceedings for such
redemption.
SECURITY FOR THE BONDS
The City pledges its full faith, credit and taxing power for the prompt
payment of both principal of, redemption premium, if any, and interest on the
Bonds as such payments become due.
The principal of, redemption premium, if any, and the interest on all
such Bonds shall be payable from the General Fund or any other legally
available funds of the City. The City shall levy and collect annually an ad
valorem tax upon taxable property in the City, over and above all other taxes
authorized to be levied by the City, sufficient to pay principal, redemption
premium, if any, and interest as the same become due and payable.
MMI
PURPOSE
The Bonds are being issued for the municipal purpose of financing the
cost of design, plans, construction and installation of a new City Hall
including all equipment, furniture and other related items thereto (the
"Project" ) .
New City Hall_(2 Story)
46,310 Square Foot Building
Architect and Engineer Fees
Carpet, Furnishings S Equipment
CITY HALL TOTAL
Sitework
13acres
SITEWORK TOTAL
PROJECT TOTAL
$3,742,000
325,000
68. 9000
$ 600,000
APPLICATION OF BOND PROCEEDS
$4,755,000
$ 600,000
$S,35S,000
• After payment of cost of issuance,
underwriter's discount
and the
deposit
to the debt service fund of accrued
interest, the remaining
Bond proceeds
shall be deposited in the Construction
Fund and shall be held
by the
Finance
Director and applied to the payment of
the Cost of the Project
in such
manner
as shall be consistent with the City's
policies respecting the
disbursement
of
moneys in connection with the Project.
Any moneys remaining
in the
Construction Fund when construction
is completed shall be deposited
in the
General Fund of the City.
ESTIMATED SOURCES AND USES OF FUNDS
Sources of Funds
Principal Amount of Bonds
Accrued Interest
TOTAL SOURCES:'
Uses of Funds
Deposit to Construction Fund
Deposit to Bond Service Account(1)
Costs of Issuance
Underwriter's Discount
TOTAL USES:
(1) Accrued Interest
- 4 -
•
0
ANNUAL DEBT SERVICE REQUIREMENTS
Set forth below are the annual debt service requirements for the Bonds
on a fiscal year basis. The City's fiscal year runs from October 1 to
September 30.
Fiscal Year
Ending
,September 30
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
Principal
Payment
- S -
Interest
Payment
Total
Debt
Service
a Lis. I*W,
THE CITY
General
Created in 1963 by the Legislature o
f
The City is located on the semi -tropical coastal ridge between the
Everglades and the Atlantic Ocean. The terrain is generally flat, with
developed land elevations varying from approximately 4 to 22 feet above mean
sea level. The sub -tropical climate provides comfortable living year round.
The City is warmed by the trade winds of the Gulf Stream, thus making
the winters sunny and pleasant with temperature readings averaging 66
degrees, and also cooled by the same trade winds in later months so that the
summers are cool and comfortable with an average temperature reading of about
83 degrees. The average temperature for the year is approximately 74
degrees.
Government
The City is governed largely by the provisions of its Charter as adopted
by the electors of the City on March 9, 1976, as amended from time to time.
Under the Charter, the five -member City Council is the policy -making body of
the City government.
The
City is divided into four
districts, and each Council member is
required
to reside in a
different one
of these districts. The Mayor, who runs
"at large",
may live in
any district.
Electors vote for each Council seat and
not just
for the representative of the
district in which they live. City Council
members
serve for two
years. The
Mayor and the two Council members from
Districts
2 and 4 run
for election in
even -numbered years and two Council
members
from Districts
1 and 3 run In odd -numbered years.
The City has a City Manager form of government. The City Manager is
appointed by the City Council as the Chief Administrative Officer of the City
government. The City Manager directs the functions of the City government
through 11 departments.
Legal services of the City government are provided by. the City Attorney,
who is appointed by the City Council.
9
- 6 -
0
CITY OF TAMARAC
CITY OFFICIALS
Mayor and other Council Members
Bernard Hart Mayor
Jack Stelzer Vice -Mayor
Sydney Stein Councilman
Arthur Gottesman Councilman
Helen Massaro Councilwoman
City Manager and Department Heads
John Kelly
City Manager
A. Bryant Applegate
City Attorney
Marilyn Bertholf
City Clerk
Frank M. Etheredge
Finance Director
Michael Couzzo, Jr.
Public Works Director
Judy Deutsch
Personnel Director
Joseph McIntosh
Police Chief
Bernard Simon
Fire Chief
William Greenwood
Utilities Director
Robert Jahn
Building Official
. Utility System
The City owns and maintains a Water and Sewer System ("the System"),
which supplies retail and commercial water and sewer service to the western
portion of the City. The System's retail service area includes approximately
99% of the current population of the City. The water treatment plant has a
present 12 million gallon per day capacity. The sewerage treatment capacity is
presently 4.9 million gallons per day.
The City Council on January 22, 1986, voted to pursue rejoining the
Broward County 201 Regional Wastewater Treatment System ("Broward County
Utilities"). The City has existing capacity of 2.41 mgd with Broward County
Utilities as stated in an Agreement dated March 13, 1985.
In addition, the City has leased capacity from other municipal large users
for an additional capacity of 4.5 mgd.
A listing of the City's total treatment and transmission capacity and
agreement dates is as follows:
Treatment
Capacity
Agreement
WUJ
Agency
_
(mgd)
Date
Broward
County Utilities
2.41
3/13/85
Pompano
Beach
2.00
5/ 14/ 86
a
Deerfield
Beach
1.00
5/14/86
Broward
County Utilities
1.50
4109/86
W
6.9104
- 7
The City's utilities are presently treating approximately 4.2 mgd and
conveying 1.0 mgd to Broward County Utilities for treatment and disposal.
Broward County Utilities proposed to construct and complete a new
treatment plant expansion of approximately 20 mgd by December, 1990, at
which time all the new treatment and transmission capacity will be reallocated
among the larger users, depending on existing and projected needs.
Operation of the System is supported solely by revenues from customers
served. No funds will be derived from general taxation or any other City tax
or revenue source apart from anticipated system revenues.
Sewer rates are calculated annually to meet anticipated cash needs, net of
other sewer related revenues, for the ensuing fiscal year.
CITY OF TAMARAC
REVENUE BOND COVERAGE
LAST SIX FISCAL YEARS
Net Revenue
Available
Fiscal
Gross
Operating
For
Debt
Year
Revenue (1)
Expenses (2)
Debt Service
Service
Coverage
1985
$5,626,486
$3,991,257
$1,635,229
$1,275,768
1.28
1984
5,609,226
3,594,640
2,014,586
1,276,000
1.58
1983
5,298,S42
3,553,122
1,745,420
1,274,000
1.37
1982
4,907,357
3,055,857
1,851,500
1,276,000
1.45
1981
4,716,779
2,104,553
2,612,226
1,242,000
2.10
1980
3,738,729
1,845,943
1,893,686
756,000
2.50
(1) Includes Water and Sewer Revenue, Meter Installation, Interest Income,
and Grant Income.
(2) Does not include Depreciation, Amortization or Interest Expense.
FISCAL YEAR
The City operates on a fiscal year which commences on October 1 and
ends on September 30.
AD VALOREM TAXATION
Under State law, the assessment of all properties and the collection of all
county, municipal and school board property taxes are consolidated in the
office of the County Property Appraiser and County Tax Collector.
Municipalities are not permitted to levy property taxes at a rate of more than
10 mills for all municipal purposes; however, there is no limitation as to the
rate or amount of ad valorem taxes levied for the purpose of paying debt
service on general obligation bonds. The laws of the State regulating tax
assessment are designed to assure a consistent property valuation method
statewide.
- 8 -
11
0
Property Assessment Procedure
Under Florida law, all taxable real property and tangible personal
property must be assessed at fair market value, with some exceptions. Real
and personal property valuations are determined each year as of January 1 by
the Property Appraiser's office. The assessment roll is prepared between
January 1 and July 1, with each taxpayer given notice of any increase in
assessment.
The property owner has the right to file an appeal with the Property
Appraisal Adjustment Board, which considers petitions relating to assessments
and exemptions. The Property Appraisal Adjustment Board certifies the
assessment roll upon completion of the hearing of all appeals. Millage rates
are then computed by the various taxing authorities and certified to the
Property Appraiser, who applies the millage rates to the assessment roll. This
procedure creates the tax roll, which is then turned over to the Tax Collector
on or about the first Monday in October.
The Florida Constitution entities the taxable permanent residents of the
State to a $25,000 homestead exemption.
CITY OF TAMARAC, FLORIDA
ASSESSED VALUE OF TAXABLE PROPERTY
Fiscal
Tax Roll
Real
Personal
Year
Year
Property.Property
1976
1975
$362,609,589
$31,267,101
1977
1976
388,502,239
37,945,987
1978
1977
400,476,540
47,315,738
1979
1978
406,095,065
47,315,738
1980
1979
419, 149, 660
43, 366, 948
1981
1980
451,656,511
44,850,931
1982
1981
675,855,144
50,689,450
1983
1982
783,782,924
61,819,480
1984
1983
773, 507, 476
61, 170, 673
�985
1984
820,073,350
69,507,244
/ ,1986
1985
73, 118, 090
' L
,s
QeZ
_-7 ,173,yoS
State law requires full valuation.
Assessed values as of January of each year.
Figures submitted by County Tax Assessor.
(1) No longer applicable.
Levv of Ad Valorem Taxes
Adjusted
Taxable
Exempt _(1)
Value
$14,460,670
$407,337,360
16,439,610
442#887,836
20,897,287
468,689,565
20,806,006
474,216,809
23,456,090
485,972,698
27,837,436
524,344,878
2,588,622
729,133,216
n/a
845,602,404
n/a
834,678,149
n/a
889,580,594
n/a
,
i/$ 9A y 3
iT 0, gyS y0`7
All real and tangible personal property taxes are due and payable on
November 1 of each year, or as soon thereafter as the tax roll is certified and
delivered to the Tax Collector. A notice is mailed to each property owner on
the tax roll for taxes levied by the county, school board and other taxing
authorities. Taxes may be paid upon receipt of such notice, with discounts at
the rate of 4% If paid in the month of November; 3% if paid in the month of
- 9 -
December; 2% if paid in the month of January; and 1% if paid In the month of
February. Taxes paid during the month of March are without discount. All
unpaid real and tangible personal property taxes become delinquent on April 1
of the year following the year in which the taxes are levied.
The delinquent real property taxes bear interest at the rate of 18% per
year from April 1 until a certificate is sold at auction, from which time the
interest rate shall be as bid by the buyer of the certificate. Delinquent
tangible personal prope taxes also bear interest at a rate of 18% per year
from April 1 Lint pai - Delinquent personal property taxes must be
advertised with[ forty-five days after delinquency, and after May 1 the
property is sub' ct to levy, seizure and sale.
State w provides that tax liens are superior to all other liens, except
prior Uni d States Internal Revenue Service liens. The Tax Collector
advertise week for four (4) consecutive weeks and sells tax
certifica es on or before Ju Tax certificates not sold
at au on �ecome the property of the cou
CITY OF TAMARAC, FLORIDA
PROPERTY TAX RATES
ALL OVERLAPPING GOVERNMENTS
South
North
Fiscal
City
County
B. oward
Florida
Browrard
Year
Tax
Operating
Operating
County Water Man.
Hospital
Total
Ended
Roll
Mlllage*
Mlllage
Schools
District
District
Millam
1976
1975
3.5352
4.0317
8.6710
0.3750
1.0650
17.6779
1977
1976
3.5596
3.9802
8.8370
0.3650
1.3560
18.0978
.1978
1977
4.6177
4.4010
8.7370
0.3970
1.3560
19.5087
1979
1978
6.0155
4.5495
8.7370
0.3970
1.3462
20.6879
1980
1979
5.6903
4.7999
7.4500
0.4220
1.7346
20.0968
1981
1980
6.4803
6.2687
8.0540
0.4020
1.7601
22.9651
1982
1981
4.7808
5.8988
7.8530
0.3580
1.5567
20.4473
1983
1982
3.7600
5.1024
6.6526
0.3840
1.8995
17.1145
1984
1983
2.2500
5.0514
7.4126
0.3990
1.8911
17.0041
1985
1984
2.4800
4.9000
7.6621
0.4270
1.8312
17.3003
1986
1985
2.7300
5.1340
7.5910
0.4390
1.9490
17.8430
* State law requires all counties to assess at 100% valuation, and limits millage
for operating purposes to ten mills.
V�
- 10-
CITY OF TAMARAC,
FLORIDA
PROPERTY TAX LEVIES
AND
COLLECTIONS
Percentage
Delin-
Percentage Accumu-
Ratio
Current
of Current
quent
Total
Ratio of
lated
Deiln-
Fiscal
Total(l)
Taxes
Taxes
Taxes
Collected
Collected
Delinquent
quent
Year
Tax Levy
Collected
Collected
Collected
This Year
To Levy
Taxes
To Lever
1976
$1,397,733
$1,307,733
100.0%
$13,164
$1,320,897
101.0%
$6,714
0.5
1977
1,418,656
1,418,656
100.0
4,861
1,423,517
100.3
1,853
0.1
1978
1,985,581
1,850,380
93.2
50,949
1,901,329
95.8
86,105
4.3
1979
2,620,034
2,620,034
100.0
31,326
2,651,360
101.2
54,779
2.1
1980
2,548,747
2,501,095
98.1
30,981
2,532,076
99.3
71,450
2.8
1981
(2) 3,295,975
3,051,366
92.6
--
3,051,366
92.6
316,059
9.6
1982
3,169,034
3,078,685
97.1
80,649
3,159,334
99.7
325,759
10.3
1983
2,483,955
2,483,955
100.0
85,512
2,566,467
103.3
243,247
9.8
1984
1,838,325
1,770,970
96.3'
35,603
1,806,573
98.3
274,999
14.9
1985
2,151,705
2,025,092
94.1
22,565
2,047,657
95.2
329,152
15.3
1986
(3) 2,403,230
2,282,176
95.0
28,108
2,310,284
( ----
In, process
--- )
(1) Total levy of discount.
(2), The Br and County Property Appraiser was in a dispute with the State of Florida,
J a directive that all counties reassess properties to fair market values. Such
dispute has been settled and appropriate adjustments have been made.
*Collections are in process for the current fiscal year; amounts shown are collections
for the period ended June 30, 1986.
tL J
CITY OF TAMARAC, FLORIDA
DIRECT AND OVERLAPPING DEBT
As of September 30, 1985
DIRECT DEBT (1)
General Obligation Bonds
Self -Supporting Indebtedness
Water and Sewer Utility
Revenue Bonds
Less: Reserve Fund
Total Direct Debt
I
VERLAPPING DEBT (2)
(05,'000
$12,375,000
2,179,797 10,195,203
Broward County School District $ 26, 815, 000
Applicable to City 2.8%
Broward County Public Improvement
Bonds 235,795,000
Applicable to City 2.8%
Special Obligation Capital
Improvement Refunding Bonds
Series B 44,440,000
Applicable to City 2.8%
Gas Tax Revenue Bonds, Series A 18,015,000
Applicable to City 2.8%
Local Option Gas Tax i
Revenue Bonds Series A 31, 110, 000
Applicable to City 2.8
otal Overlapping Debt
Total Direct and Overlapping Debt
$10,500,203
$ 750,820
6,602,260
1,244,320
504,420
/1 8711080
9,972,900
$ 20,473,103
(1) Does no refle 12, 700, 000 Water and Sewer Utility Revenue Bonds Series
1986 or 6,000,009General Obligation Bonds Series 1986..
(2) All debt listed\as Overlapping Debt is secured by a tax source.
i
Jr < N->o/ 'Y-r'
- 12 Y
-
Ll
LI
E
0
E
CITY OF TAMARAC
SUMMARY OF DIRECT AND OVERLAPPING DEBT
As of September 30, 1985
DIRECT DEBT(1)
General Obligation Bonds $ 305,000
Self -Supporting Indebtedness 10,195,203 �„
TOTAL DIRECT DEBT $10,500,203
TOTAL OVERLAPPING DEBT 9,972,900
TOTAL DIRECT AND OVERLAPPING DEBT $20,473, 103
(I)Does not roflect S12, 700, 000 Water and Sewer Utility Revenue Bonds
Series 1986 o $6,000 000 .Ceneral Obligation Bonds Series 1986.
FINANCIAL PARAMETERS
Population (1985 estimated) 33,343
Total Assessed Valuation - Tamarac $1, 202, 857, 479
Total Taxable Valuation - Tamarac
Total Assessed Valuation - Broward County $38, 230, 216, 122
Total Taxable Valuation - Broward County $31,466,709,375
Source: Broward County Property Appraiser's Office; as of September,
1985
FINANCIAL RATIOS (1)
Percent
Percent
of Total
of Taxable
Per
Assessed
Assessed
Valuation
Valuation
Capita
Tamarac
Tamarac
Tamarac
DIRECT DEBT
General Obligation Debt
0.025$
0.035%
$ 9
Self -Supporting Debt
0.848
1.155
306
TOTAL DIRECT DEBT
0.873
1.190
315
TOTAL OVERLAPPING DEBT
0.829
1.130
299
TOTAL DIRECT AND OVERLAPPING
614
DEBT
1.702
2.320
VALUATION
--
36,075
Total Assessed Valuation
--
Total Taxable Assesse,!
--
--
26, 464
Valuation
(1) As of September 30, 1985. - 13 -
BUDGETING, ACCOUNTING AND AUDITING
The City Manager prepares and submits the annual budget and capital
Improvement program to the Council and executes the budget and capital
improvement program in accordance with appropriations and ordinances adopted
by the Council. The City Manager generally begins the budgetary process in
March by preparing a letter of transmittal with specific instructions on general
budgetary policy for departments. Each department then prepares and submits
its proposed budget and in April internal meetings are held to review the
aggregate budget. After approval by the City Manager, the tentative budget
Is submitted to the Council on or before July 1 of each year together with a
message, which outlines proposed financial policies; describes important
features of the budget; explains any major changes from the current year in
financial policies, expenditures and revenues; summarizes the City's current
and overall financial and debt position; and includes such other material as the
City Manager deems desirable, and as the Council or Charter may require.
The City Council then holds workshops on the budget in which the public is
Invited to participate. Following these workshops, public hearings are held
where again public comment is solicited and considered. The Council then
adopts the budget prior to the end of September. The Council then
determines the millage rate necessary to fund the budget. The General Fund
receives all of the General Revenues of the City not specifically levied or
collected on behalf of its various special funds.
The General Fund budget is presented on a modified accrual basis for
expenditures and revenues, and provides a complete financial plan of all funds
and activities for the ensuing fiscal year, and contains such details and is in
such form as may be required by law, and by the Council. Also, it shows
comparative figures of expenditures and revenues for the current and past
fiscal year detailed to show the increase and decrease in dollars. The total of
estimated expenditures is not to exceed the total of estimated revenue and
appropriated fund balance.
The City may maintain an unappropriated surplus of no more than ten
(10) percent of its total proposed expenditures of the General Fund budget.
No more than five (5) percent of expenditures of the General Fund
budget may be included in the budget for contingencies that may not have
been included or which may have been underestimated in the proposed
expenditures. This figure does not include unappropriated surplus.
The City adopts formal budgets for all other funds when it deems such
budgeting to be consistent with generally accepted accounting principles or
when required by law.
INVESTMENT MANAGEMENT
Prior to investing City Fukcr,
the City Finance diirector m t notify and
obtain the approval of (i) thr, (ii) the investment adufi
y committee
created by the City, (ill) theouncil, and (iv) the Citager. The
City funds may be Invested direct obligations of thted States,
certificates of deposit in an amount less than $100,000 a financial
Institution insured by the Federal Deposit Insurance Corporation or
14 -
JFeder 1 Savings and Loan Insuran a Corporation a d C rtiflcates of Deposit
an mount greater than $10 ,00Q which a ully collateralized by
unencumbered direct obligations o the United S tes.
OPERATING BUDGET FOR FI CAL YEAR NDE SEPT ER 30, 1985
The General Fund bud a fist year nd' ptember 30, 1985
provided total revenues of $80246, 78 an total a of $10,095,495.
The budget was balanc pro ion of 475,95 revious
year-end fund balance 1601 and by n transfers o 72, 760. -
otal revenu sjor the General Fund wer �fir8,697,299 'which was
$77, 754 more favorable than the budgeted amount; ac expenditures
ww,j.o410,420,790, whi was $ 25, 295 less favorable than the budgeted
amount.
� NliOPERATING BUDGETFOR FIS AL R NDED SEPTEMBER 30, 1986
Total budgeted operating revenues for the General Fund - for the fiscal
year ending September 30, 1986 are $10, 489, 669. Budgeted expenditures for
the same period are $10,489,669.
Each month of the current fiscal year, actual revenues and expenditures
of the General Fund are compared with budgeted amounts by line item.
Variations of actual compared to budget which are unfavorable are referred to
the respective department heads for explanations and possible amendment. A
summary report of the status of the budget is submitted to the City Manager
for review and action. At the close of the first nine months of the current
fiscal year, total revenues are 83% of the annual budget amount and total
expenditures are 70% of the annual budget amount, which In each case is
favorable. t�I `5 �,. m6 " f W 7
e City has a single -employer ¢� kt itsutory d-ben
1 covering all full-time employees. �1s of Octobe 1, 198
ost recent actuarial report), there 1 Ir unfund past sery
City's annual contribution$ to service normal costs $185,45
p n u a e pan was U I is,
$1, 504, 82 was vested, assuming a 8% interest rate. I
the plan' n t assets available for benefits were 5.
b
f
• �t z
:fit I retirpfient
ate kes=woe
:e os
1985 itht
o which _
19
T�.k
�0-k
16 1
... 1J 0
UNDERWRITING
The Underwriter has agreed, subject to certain cU.Tfhe
to purchase
the Bonds from the City at an aggregate discount ofom the initial
public offering prices set forth on the cover page ofcial Statement
plus accrued interest to the date of delivery of the Bo Underwriter
is obligated to purchase all the Bonds if any are purchased. The Bonds may
be offered and sold by the Underwriter to certain dealers, dealer banks and
banks acting in the capacity of agents at prices lower than the initial offering
prices, and the public offering prices may be changed from time to time.
LEGALITY
Certain legal matters incident to
the
authorization and issuance of
the
Bonds are subject to the approval of
Fine
Jacobson Schwartz Nash Block
6
England, Miami, Florida, Bond Counsel,
whose approving opinion will
be
furnished to the Underwriter of the Bonds
at the time of their delivery
and
will be printed on the Bonds. Certain
legal
matters will be passed on for
the
City by A. Bryant Applegate, Counsel
to the City. Certain legal ratters
will
be passed on for the Underwriter by
its
counsel, Wolf, Block, Schorr
and
Solis -Cohen, West Palm Beach, Florida.
TAX EXEMPTION
In the opinion of Bond Counsel, the interest on the Bonds is, under
existing statutes and judicial decisions, exempt from all present federal income
taxes subject, however, to pending federal tax legislation as more fully
described herein under the heading "Pending Federal Tax Legislation" and the
Bonds and the income thereon are exempt from taxation under the laws of the
State of Florida, except as to estate taxes and taxes imposed by Chapter 220,
Florida Statutes, on interest, income or profits on debt obligations owned by
corporations, as defined in said Chapter 220, Florida Statutes.
PENDING FEDERAL TAX LEGISLATION
On December 17, 1985, the United States House of Representatives
adopted H.R. 3838 (in the form so adopted, the "Tax Bill"), which includes an
extensive revision of the federal income tax laws affecting tax-exempt
financing. The Tax Bill provides that it is effective with respect to state and
local government obligations, such as the Bonds, issued after December 31,
1985. On March 14, 1986, the Chairman of the House Ways and Means
Committee, the Chairman of the Senate Finance Committee, the Secretary of the
Treasu y and the ranking minority members of said committees issued a joint
state nt endorsing the postponement, until the earlier of September 1, 1986
or a date of enactment of tax reform legislation, of the application of certain
provisions of the
T x Bill to certain types of bonds, including the Bonds. TtZ ect�ve a
the Tax Bill, making compliance with those provisions of the Tax Bill to be
postponed pursuant to the joint statement unnecessary if the postponement
ed in the joint statement is enacted. The City does not intend to
ompl with the provisions of the Tax Bill proposed to be postponed, but does
i tend to comply with the provisions of the Tax Bill which are unaffected
e joint statement. Accordingly, if the Tax Bill were to be enacted in its
J
present form with effective date provisions conforming to the description of
such provisions In the joint statement, interest on the Bonds will continue to
be exempt from federal income taxation.
H.R. 3838 as amended by the United States Senate Finance Committee was
adopted by the SerAte on June 24, 1986 (the "Senate 1311119.
The Senate Bill modifies certain provisions in the Code
er ainin to a tax-exempt status of interest on state and local government
obliga ions rli�i�si. Generally, these modifications would apply only
to obligation issued after the date of enactment of a bill incorporating the
terms of th Senate Bill and, since the City anticipates issuing the Bonds
prior to the date of enactment of the proposed tax reform legislation, the
modifications contained in the Senate Bill would not apply to the Bonds.
In addition, the Senate Bill also includes provisions for a corporate
alternative minimum tax (effective for taxable years beginning after December
31, 1986) which would treat as a preference item 50% of the excess of a
corporation's pre-tax "book income" (i.e., net income as reported for financial
statement purposes with certain adjustments) over its alternative minimum
axabl income (determined without regard to this preference item and prior to
reduction by net operating loss deduction). Tax-exempt interest, including
interest on .the Bonds, would be includable in "book income" for this purpose.
wj �►vt
{, The differences between HR 3838 and the Senate Bill are now the subject
of consideration by a joint conference committee to be composed of
representatives of the Senate Committee on Finance and the Committee on Ways
and MeansVof the House of Representatives. The outcome of the legislative
process w
There can be no assurance as to whether the Tax Bill, the Senate Bill or
any similar legislation will be enacted into law or, if some variation thereof is
enacted, what its provisions, including its effective date, will be.
Accordingly, if the Tax Bill is enacted into law and the effective date of the
provisions contained in the joint statement is not postponed as provided
therein or to some other date subsequent to the issuance of the Bonds, or if
different tax reform egislation is enacted in a form which does -not rovide for
tax exemption wit respect to obligations such as the Bon interest on
Bonds may be Object to federal income taxation retroacti to the date of
Issuance. of th Bonds
The Bonds do not provide for any mandatory
redemption f, or increase in the interest rates on, the Bonds as a result of
taxability
In addition, for taxable years beginning in 1988, the Tax Bill, if it
becomes law, would subject property and casualty insurance companies 'to a
minimum tax determined by including (among other items) interest such as
Interest on the Bonds in the relevant income computation.
0 LITIGATION
There is not now pending any litigation
Issuance or delivery of the Bonds or questionin
the A-nds din s and thority u
J
restraining- or enjoining the
g or aWcting the validity of
nd which they are to be
14 on Y t.. t. Ow+
issued. Neither the creation, organization or existence, nor the title of the
present members, of the City Council or other officers of the City to their
respective offices, is being contested. ✓/
A complaint filed by the Trustee in Bankruptcy n March 4 1986 for
Comark, a California Invited Partnership, alleges that on or about une 8,
1982, four Ginnie Mae Certificates with a total face value of approximately
$1,760,000 were transferred to the City. The securities' maturity dates range
from the years 2004 to 2010. The claim alleges that the transfers were
preferential and fraudulent under the United States Bankruptcy Code. The
attorney for the Trustee in Bankruptcy has represented that a demand to the
City to settle for the sum of 12% of the value of the securities at the date of
transfer will be forthcoming. The collective market value the securities at
the date of the transfer approximates. $650 000. t -t,,, w�`11 �, Y{
I in the opinion of Counsel to, the City, TL4
Wwrait Imm
The City is a party to various other lawsuits. The City is covered by
Insurance for these suits and in the opinion of Counsel to the Ci none of
these claims or suits have a material impact on the City
The City had $7, 000, 000 of its $17, 000, 000 investm rtfolio invested
with E.S.M. Government Securities Inc., ("E.S.M") ceased paying its
creditors in March, 1985 and the Securities and Exch nge Commission placed
E.S.M. In receivership. The City intervened in that action and filed
additional suits against Alexander Grant S Co., Brandford Trust Company and
Bradford Securities Processing Services, Inc. Pursuant to a settlement
agreement effective on July 7, 1986, the City received approximately .
$3,300,000 ih satisfaction of its claims against Alexander Grant S Co.
E M. was also placed in involuntary bankruptcy by several editors.
The lty had filed a claim in that bankruptcy. The City has en (ford
cus mer status In a stockbroker liquidation. The City received
$ ,558,104.71 in an interim distribution pursuant to a Bankruptcy Court Order
of April 8, 1986.
VALIDATION
The Bonds were validated by a judgment rendered by the Circuit Court
In and for Broward County dated July 20, 1984 and the time for taking an
appeal has expired without any such appeal being taken.
ACCOUNTING
The historic financial statements of the City included in Appendix A to
this Official Statement :7avr been examined by Touche Ross and Co., Miami,
Florida, Certified Public Accountants, to the extent and for the period
indicated in their report which appears in Appendix A. Such financial
statements have been included therein in reliance upon the authority of such
firm as experts in accounting and auditing.
Ir f t� h r4.r. 8 0 lJ!
OFFICIAL STATEMENT
BOND RATINGS
StaVrariand Poor's Corporation as 8o i s munic' al bondra gMoody's Investors Service a assign he Bonds a nd rating
a ratings reflect the views the r pective rating a ncies and
a ex a of the significance of such rating may be obtained a ly from tr aav
furnishing thesame. There is no assurance that such rollbenued for any given period of time or that either ill not �r
r d.vised downward or withdrawn entirely by the respective ratin agency
In its judgment, circumstances so warrant. Any such downward revisi ns or
withdrawal of either rating may have an adverse effect on the market price of
the Bonds.
AUTHORIZATION CONCERNING
1
This Official Statement has been authorized and adopted by the City of
the
Tamarac, Florida. Concurrently with the delivery of the Bonds,
undersigned will furnish his certificate to the effect that, to the best of his
knowledge, as of the date of delivery of the Bonds, the Official Statement does
not contain any untrue statement of a material fact or omit to state a material
fact which should be included herein for the purpose for which this Official
Statement is to be used, or which is necessary in order to make the statements
contained herein, in the light of the circumstances in which they were made,
not misleading.
• CITY OF TAMARAC, FLORIDA
/~ h A or
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