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1972-06-09 (Water & Sewer Loan)A RESOLUTION AUTHORIZING THE CITY OF OKEECHOBEE, FLORIDA, TO BORROW, AS AN INTERIM LOAN, NOT EXCEEDING $400,000, TO INITIATE THE PROGRAM FOR THE ACQUISITION, CONSTRUCTION AND ERECTION OF EXTENSIONS AND IMPROVEMENTS TO THE WATER DIS- TRIBUTION FACILITIES OF THE CITY'S WATER AND SEWER SYSTEM; TO ISSUE SAID CITY'S PROMISSORY NOTE EVIDENCING SUCH INDEBTEDNESS; AND TO PRO- VIDE FOR THE PAYMENT THEREOF. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OKEECHOBEE, Florida, as follows: SECTION 1. This Resolution is adopted pursuant to the provisions of Section 215.431, Florida Statutes, and other appli- cable provisions of law. SECTION 2. It is hereby found, ascertained and deter- mined that the City of Okeechobee, Florida (hereinafter called the "City") has heretofore by Ordinance No. 356, duly adopted on February 22, 1972, authorized the acquistion, construction and erection of extensions and improvements to the water distribution facilities of the City's water and sewer system and the issuance by the City of not exceeding $400,000 Water and Sewer Revenue Bonds of the City, hereinafter called "obligations:, to finance the cost thereof, and that it is necessary and proper that the funds be made available at this time and prior to the sale and delivery of said obligations for the purpose of initiating said project. SECTION 3. The City is hereby authorized to borrow from Okeechobee County Bank, Okeechobee, Florida, up to $400,000, to be evidenced by a promissory note or notes not exceeding such amount in the aggregate, be payable on or before May 23, 1974, and bear interest at the rate of Five per centum (5/) per annum. Such note or notes shall be executed in the name of the City by its Mayor and countersigned and attested by its City Clerk. The corporate seal of the City shall be impressed thereon. A form for such promissory note or notes is hereto attached and made a part of this Resolution. SECTION 4. Such note or notes, as hereinabove authorized, shall be payable solely from and secured by a first lien upon the proceeds of the obligations hereinabove described, at such time as the same are delivered to the purchaser thereof, or in the alternative, such promissory note or notes shall be payable solely from and secured by a prior lien upon and pledge of the net revenues of the City's water and sewer system and the pro- ceeds of the City's municipal cigarette taxes as described in said Ordinance, in the event that such note or notes shall not be paid on the due date thereof. SECTION 5. The City hereby covenants that it will establish with Okeechobee County Bank, Okeechobee, Florida, a separate account or accounts, to be designated "Water and Sewer System Construction Fund" (hereinafter referred to as the "Con- struction Fund") into which shall be deposited all the proceeds from the promissory note or notes herein authorized. Moneys in the Construction Fund shall be expended only after the expiration of the appeal period applicable to the judicial proceedings to validate the obligations, there having been no appeal of a final judgment validating the obligations, and expended only for the purposes provided in said Ordinance authorizing the issuance of said obligations. Moneys in the Construction Fund shall be secured by the depository bank in the manner prescribed by Florida Statutes relating to the securing of public funds. The City may direct the depository bank to invest such funds in the manner provided in said Ordinance authorizing the issuance of said obligations, until such funds shall be needed to pay project costs. SECTION 6. This Resolution shall take effect immediately upon its passage. DONE, RESOLVED and made effective the 23rd. day of May, 1972, at a regular adjourned meeting of the City Council, City of Okeechobee, Florida. ATTEST: City Clerk V, -2- President—Pro-tempore, City Council City of Okeechobee, Florida CERTIFICATE OF CLERK STATE OF FLORIDA ss. TTY OF OKEECHOBEE I, LORENA SPIVEYt City Clerk of the City of Okeechobee, Florida# do hereby certify that the attached Resolution, beim,: A tn—SOLUTION AUTHORIZING THE CITY OF OKEECHO:BEEt FLORIDA, TO BORROW, AS AN INTERIM LOAN, NOT EXCEEDING $400.000, TO INITIATE THE PROGRAM FOR TIS ACQUISITION, CONSTRUCTION AND ERECTION OF EXTENaelON33 AND IMPROVEMENTS TO THE WATER DIS- TRIBUTION FACILITIES OF THE CITYtS WATER AND SEWER SYSTEMt TO ISSUE SAID CITY'S PROMISSORY NOTE EVIDENCING SUCH INDEBTEDNESS t AND TO PRO- VIDE FOR THE PAYMENT THEREOF. duly passed and adapted by the City Council of the City of Okeechobee, Florida., signed by the President Pro -tempore of the 3ity Council, and duly attested and the sisal of the city affixed thereto by me as Clerk of said city, at a Regular adjourned neeting of said City Council on the 23rd day of May, 1972, by the Following; vote: AYES: Councilmen: Charles L. Breland Mussell V. Domer Edward W, Douglas E. H. Hunt NOES: Councilmen: none ABSENT: Councilman: Donald Lo Burk I do further certify as the City Clerk of the City of Okeechobee, County of Okeechobee, Florida, that the attached copy f the above titled Resolution is a true and correct cope of uch Resolution as the same appears of record in this office. IN FITNESS WHEREOF I have hereunto affixed my signature s City Clerk of the City of Okeechobee, Florida, together with he Seal of the City of Okeechobee impressed hereupon, all this nth day of June, 1972. f- CLERKCITY CITY r OKEECHOBEEvte.