Loading...
0356 (Water Facilities)ORDINANCE NO. 356 ORDINANCE PROVIDING FOR THE ACQUISITT?i, CONSTRUCTION AND ERECTION OF EXTENS I AND IMPROVEMENTS TO THE WATER DISTRI:- TION FACILITIES OF THE EXISTING MUNICIPAL WATER AND SEWER. SYSTEM; AUTHIORIZING THE ISSUANCE OF NOT EXCEEDING $400,000 WATER AND SEWER REVENUE BONDS TO FINANCE THE COST THEREOF; PLEDGING THE NET REVENUES OF SAID SYSTEM AND THE PROCEEDS OF THE MUNICIPAL CIGARETTE TAX'TO SECURE THE PAYMENT THEREOF; AND PROVIDING FOR THE RIGHTS OF THE HOLDERS.OF SUCH BONDS. BE IT ENACTED BY THE CITY COUNCIL OF THE CITY OF . OKEECHOBEE, FLORIDA, as follows: ARTICLE I GENERAL 1.01 Authority for this Ordinance. This Ordinance is adopted pursuant to the provisions of Chapter 8318, Laws of Florida, Special Acts of 1919, as amended and supplemented, Chapter 159, Florida Statutes, and other applicable provisions of law. 1.02 Findings. It is hereby found and determined that: (A) For the benefit of its inhabitants, the City of Okeechobee (hereinafter sometimes called the "Issuer ") presently owns a water and sewer system (hereinafter sometimes referred to as the "system "); and it is necessary for the continued preserva- tion of the health, welfare, convenience and safety of the Issuer and its inhabitants to ccnstruct extensions and improvements to the water distribution facilities of the system (hereinafter re- ferred to as the "project "), in accordance with certain plans and specifications now on file with the City Clerk of the Issuer (hereinafter sometimes called the "Clerk "). (B) The Issuer has been advised by its consulting engineers that the cost of constructing the project in accord- ance with said plans and specifications is estimated at $400,000 which shall be paid with the proceeds of the sale of the bonds herein authorized and shall be deemed to include all expenses necessary, appurtenant or incidental thereto, including the cost • of any land or interest therein or of any fixtures or equipment, or property necessary or convenient therefor, the cost of labor and materials to complete such construction, engineering and legal expenses, fiscal -expenses, expenses for estimates of costs and revenues, expenses for plans, specifications and interest during construction, if any, administration and all other necessary miscellaneous expenses. (C) Pursuant to Chapter 210, Florida Statutes, the Issuer did, cm March 26 , 19 6$ enact Ordinance No. 327 levying and imposing a tax upon each and every sale, receipt, purchase, possession, consumption, handling, distribution and use of cigarettes within the corporate limits of the Issuer, here- inafter called the "cigarette tax ". The revenues to be derived annually from the rates, rentals, fees and other charges made and collected for the services and facilities of the system are and, together with the proceeds surveys, expenses estimated to be $188,200.00 of the cigarette tax, will be sufficient to pay the principal and interest on the prior lien obligations, hereinafter defined, and the bonds herein authorized as the same become due and the annual cost of operating, repairing and maintaining the system, the aggregate annual amount of which is estimated to be $ 123,100.0.0 It is estimated that the period of usefulness of the system will exceed forty -one years. (D) It is deemed necessary and desirable to pledge the net revenues of the system and the proceeds of the cigarette tax to the payment of the principal of and interest on the bonds herein authorized. No part of such revenues and cigarette taxes will be pledged or hypothecated except with respect to the bonds herein authorized, and except that such revenues have been pledged first to the payment of the principal of and interest upon the Issuer's outstanding Water and Sewer Revenue Bonds, dated July 1, 1958, herein sometimes referred to as the "prior lien obligations ". (E) This ordinance is declared to be and shall con- stitute a contract between the Issuer and the holders of all such bonds; and the covenants and agreements herein set forth -F' to be performed by the Issuer are and shall be for the equal benefit, protection and security of the legal holders of any and all such bonds issued under this ordinance, all of which shall be of equal rank`and without preference, priority or distinction of any of the bonds over any other, except as hereinafter provided. (F) The Issuer is not, under this ordinance, obli- gated to levy any taxes on any real or personal property to pay the principal of or interest on the bonds hereinafter authorized or to pay the cost of maintaining, repairing and op- erating the system. Such bonds issued pursuant to this ordi- nance shall not constitute a lien upon the system or any other property of the Issuer or situated within its corporate limits. 1.03 Definitions. The following terms in this ordinance shall have the following meanings unless the text otherwise expressly requires: (A) "Gross Revenues" derived from the operation of the system shall mean all moneys received from rates, fees, rentals or other charges or income received by the Issuer or accruing to it in the management and operation of the system, all calculated in accordance with sound accounting practice. (B) "Operating Expenses" of the system shall mean all current expenses, paid or accrued, for the operation, maintenance and repair of the system and its facilities, as calculated in accordance with sound accounting practice, and shall include, without limiting the generality of the fore- going, insurance premiums, administrative expenses of the Issuer related solely to the system, labor, cost of materials and supplies used for current operation, and charges for the accumulation of appropriate reserves for current expenses not annually recurrent but which are such as may reasonably be expected to be incurred in accordance with sound accounting practice. "Operating Expenses" shall not include any allow- ance for depreciation or for renewals or replacements of capital assets of the system. -3- (C) "Net Revenues" of the system shall mean the gross revenues thereof, as defined in subsection (A), after deducting therefrom only the operating expenses of the same, as defined in subsection (B). (b) "Fiscal Year" shall mean the period commencing on January 1 of each year and continuing to and including the succeeding December 31 • 1.04 Project Authorized. The Issuer is hereby author- AOti1A try V \SAItt.`t t1e rVOle t AS .ia.".1:'e 1:: .S':tl:^. above. ARTICLE II AUTHORIZATION, TERMS, EXECUTION AND REGISTRATION OF REVENUE BONDS 2.01 Authorization of Revenue Bonds. Subject and pursuant to the provisions of this ordinance, obligations of the Issuer to be known as "City of Okeechobee Water and Sewer Revenue Bonds, Series 1972" (hereinafter sometimes referred to as the "bonds ") are hereby authorized to be issued in an ag- gregate principal amount not exceeding Four Hundred Thousand Dollars ($400,000) for the purpose of providing funds to pay the cost of such project provided for in Section 1.02 hereof. 2.02 Description of Bonds. The bonds issued here- under shall be dated as of the date of their delivery; shall be in the denomination of $1,000.00, or any multiple thereof, not exceeding $10,000 or the amount maturing in each year; shall be numbered consecutively from 1 upward; shall bear in- terest at not exceeding the legal rate per annum, payable on January 1, 1973, and annually thereafter on January 1 of each year; and shall mature serially in numerical order on January 1 of each year in the years and amounts as follow: YEAR AMOUNT 1975 1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 $ 3,000 3,000 4,000, 4,000. 5,000 5,000 5,000 5,000 6,000 6,000 6,000 6,000 7,000 YEAR 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 AMOUNT $ 7,000 7,000 8,000 8,000 9,000 9,000 • 10,000 10,000 11,000 11,000 12,000 12,000 13,000 YEAR AMOUNT 2001 $13,000 2002 14,000 2003 14,000 2004 15,000 2005 15,000 2006 16,000 2007 17,000 2008 18,000 2009 19,000 2010 21,000 2011 22,000 2012 24,000 2.03 Places of Payment. Such bonds shall be issued in coupon form; shall be payable as to both principal and in- terest at such place or places as the Issuer shall hereafter by resolution designate, in lawful money of the United States of America; and shall bear interest from the date of issue, in accordance with and upon surrender of the appurtenant interest coupons as they severally mature, unless registered. 2.04. Provisions for Rederi`tion. The bonds shall, at the option of the Issuer, be redeemable in whole or in part, in inverse numerical and maturity order, on any interest payment date at par and accrued interest; provided, however, that at least thirty (30) days prior to the redemption date written no- tice of such redemption shall be given to the paying agent named in the bonds and to each of the registered owners at their re- spective addresses as they appear upon the registration books of the Clerk of the Issuer and shall be published at least once in a financial newspaper published in the City of New York, New York. 2.05 Execution of Bonds. The bonds shall be ex- ecuted in the name of the Issuer by its Mayor and the corporate seal of the Issuer shall be impressed thereon, attested by its Clerk. In case any one or more of the officers who shall have signed or sealed any of the bonds shall cease to be such officer of the Issuer before the bonds so signed and sealed have been actually sold and delivered, such bonds may nevertheless be sold and delivered as herein provided and may be issued as if the person who signed or sealed such bonds had not ceased to hold such office. The validation certificate endorsed on the bonds shall be executed by the Mayor. Any bond may be � V signed and sealed on- behalf of the Issuer by such person who at the actual time of the execution of such bond shall hold the proper office of the Issuer, although at the date of such bonds such person may not have held such office or may not have been so authorized. The coupons attached to the bonds shall be authenticated with the facsimile signatures of any present or future Mayor and Clerk of the Issuer. The Issuer may adopt and use for such purposes the facsimile signatures of any such persons who shall have held such offices at any time after the date of the adoption of this ordinance, notwithstanding that either or both shall have ceased to hold such office at the time the bonds shall be actually sold and delivered. 2.06 Negotiability and Registration. The bonds shall be and shall have all the qualities and incidents of negotiable instruments under the law merchant and the Laws of the State of Florida; and each successive holder, in ac- cepting any of the bonds or the coupons appertaining thereto, shall be conclusively deemed to have agreed that the bonds shall be and have all of said qualities and incidents of negotiable instruments. The bonds may be registered, at the option of the holder, as to both principal and interest upon the books kept for the registration and transfer of bonds by the Clerk of the Issuer, as Bond Registrar, and endorsed upon the bonds by the Bond Registrar in the space provided thereon. After such registration, no transfer of the bonds shall be valid unless made at the office of the Bond Registrar by the registered owner or by his duly authorized agent or representative and similarly noted on the bonds, but at the expense of the holder the bonds may be discharged from registration by being in like manner transferred to bearer, and thereupon transferability by delivery shall be restored. At the option and expense of -6- the holder, the bonds may thereafter again from time to time be registered or transferred to bearer as before. The Bond Registrar shall not be required to make any such transfer of bonds during the fifteen 2(15) days next preceding an interest payment date on the bonds or, in the case of any proposed re- demption of bonds, after such bonds have been selected for redemption. The person in whose name any bond shall be registered shall be deemed and regarded as the absolute owner thereof for all purposes, and payment of or on account of the principal of any bond and the interest on any bond shall be made only to or upon the order of the registered owner thereof or his legal representative. All such payments shall be valid and effectual to satisfy and discharge the liability upon such bond including the interest thereon to the extent of the sum or sums so paid. 2.07 Bonds Mutilated, Destro ed, Stolen or Lost. In case any bonds shall become mutilated, or be destroyed, stolen or lost, the Issuer may in its discretion issue and deliver a new bond of like tenor as the bond so mutilated, destroyed, stolen or lost, in exchange and substitution for such mutilated • bond, upon surrender and cancellation of such mutilated bond, or in lieu of and substitution for the bond destroyed, stolen or lost, and upon the owner furnishing the Issuer satisfactory indemnity and complying with such other reasonable regulations and conditions as the Issuer may pre- scribe and paying such expenses as the Issuer may incur. All bonds so surrendered shall be cancelled by the Clerk of the Issuer. If any such bonds shall have matured or be about to mature, instead of issuing a substitute bond the Issuer may pay the same, upon being indemnified as aforesaid, and if such bond be lost, stolen or destroyed, without surrender thereof. Any such duplicate bonds issued pursuant to this section shall constitute original, additional contractual ob- ligations on the part of the Issuer whether or not the lost, stolen or destroyed bonds be at any time found by anyone, and such duplicate bonds shall be entitled to equal and propor- tionate benefits and rights as to lien on and source and security ,for payment from the funds, as hereinafter pledged, to the same extent as all other bonds issued hereunder. 2.08 Form of Bonds. The text of the bonds shall be of substantially the following tenor, with such omissions, insertions and variations as may be necessary and desirable and authorized . or permitted by this ordinance or any subse- quent ordinance adopted prior to the issuance thereof: No. UNITED STATES OF AMERICA STATE OF FLORIDA COUNTY OF OKEECHOBEE CITY OF OKEECHOBEE WATER AND SEWER REVENUE BOND SERIES 1972 KNOW ALL MEN BY THESE PRESENTS, that the City of Okeechobee, a public body created and existing under and by virtue of the Laws of the State of Florida (hereinafter sometimes re- ferred to as the "Issuer "), for value received, hereby promises to pay to the bearer, or if this bond be registered to the registered holder as herein provided, on the first day of January, 19 ,.from the special funds hereinafter mentioned, the principal sum of THOUSAND DOLLARS and to pay interest thereon, from the date of the delivery of this bond to the purchaser thereof, solely from said special funds, at the rate of per centum () per annum, payable on January 1, 1973 and annually thereafter on the first day of January of each year upon the presentation and surrender of the annexed coupons as they severally fall due. Both principal of and interest on this bond are payable at • Florida, in lawful money of the United States of America. This bond is one of an authorized issue of bonds in the aggregate principal amount of $400,000 of like date, tenor and effect, except as to number, date, denomination, interest rate -8- as • (if all bonds do not bear the same rate of interest) and date of maturity, issued to finance the cost of acquiring, erecting and constructing extensions and improvements to the water distribu- tion facilities of the Issuer's combined water and sewer system, hereinafter referred to as the "system ", under the authority of and in full compliance with the Constitution and Statutes of the State of Florida, particularly. Chapter 8318, Laws of Florida, Special Acts of 1919, as amended and supplemented, Chapter 159, Florida Statutes, and an Ordinance auly enacted by the Issuer on 1971. (herein referred to as the "Ordinance "), and is subject to all the terms and conditions of such Ordinance. This bond and the interest thereon are payable solely from and secured by a lien upon and a pledge of the net revenues to be derived from the operation of the system and the proceeds of the municipal cigarette tax in the manner described in the Ordinance. It is expressly agreed by the holder of this bond that the full faith and credit of the Issuer are not pledged to the payment of the principal of and interest on this bond and that such holder shall never have the right to require or compel the exercise of any taxing power of the Issuer to the payment of such principal and interest or the cost of maintaining, repairing and operating the system. This bond and the obligation evidenced hereby shall not constitute a lien upon the system or any part thereof or upon any other property of the Issuer or situated within its corporate limits, but shall constitute a lien only on the net revenues derived from the operation of the system and the proceeds of the cigarette tax. The lien of the holders of the bonds of the issue of which this bond is one on the net revenues of the system is junior, subordinate and inferior to the lien on such net revenues in favor of the Issuer's outstanding Water and Sewer Revenue Bonds, dated July 1, 1958. The Issuer in the Ordinance has covenanted and agreed with the holders of the bonds of the issue of which this bond is one that it will not hereafter issue any additional obligations on a parity with the Issuer's said out- standing prior lien obligations described in this paragraph. In and by the Ordinance, the Issuer has covenanted and agreed with the holders of the bonds of this issue that • it will fix, establish, revise from time to time whenever nec- essary, maintain and collect always such fees, rates, rentals and other charges for the use of the product, services and facilities of the system which, together with the proceeds of the cigarette tax, will always produce cash revenues sufficient to pay, and out of such funds pay, as the same shall become due, the principal of and interest on the said outstanding prior lien obligations and the bonds of the issue of which this bond is one, the necessary expenses of operating and maintaining the system and all reserve, Sinking Fund or other payments required by the Ordinance, and that such rates, rentals, fees or other charges will not be reduced so as to be insufficient to provide funds for such purposes, and that it will levy and collect said cigarette tax at such rates, not exceeding the maximum rate permitted by law, as shall be necessary to provide funds which, together with the net revenues of the system, will be sufficient to pay, and out of such funds pay, as the same shall become due, the princi- pal of and interest on the bonds, the necessary expenses of operating and maintaining the system and all reserve, Sinking Fund or other payments required by the Ordinance, and that the rates of such cigarette tax will not be reduced so as to be in- sufficient to provide funds for such purposes. The bonds of this issue are redeemable prior to their respective stated dates of maturity at the option of the Issuer, in whole or in part, in inverse numerical and maturity order if less than all, on any interest payment date, at the principal amount thereof and accrued interest to the date of redemption, provided notice of such redemption shall be given in the manner required by the Ordinance. It is hereby certified and recited that all acts, conditions and things required to exist, to happen and to be performed precedent to and in the issuance of this bond, ex- -10- ist, have happened and have been performed, in regular and due form and time as required by the Laws and Constitution of the State ,of Florida applicable thereto, and that the issuance of this bond, and of the issue of bonds of which this bond is one, does not violate any constitutional, statutory or charter limitations or provisions. This bond and the coupons appertaining thereto are and have all the qualities and incidents of negotiable instru- . ments under the law merchant and the Laws of the State of Florida. This bond may be registered as to both principal and interest in accordance with the provisions endorsed hereon. IN WITNESS WHEREOF, the City of Okeechobee, Florida, has issued this bond and has caused the same to be executed in its name and on its behalf by its Mayor and its corporate seal to be impressed hereon, attested and countersigned by its Clerk, all as of (SEAL) ATTESTED AND COUNTERSIGNED: Clerk , 1972. CITY OF OKEECHOBEE, FLORIDA By Mayor FORM OF COUPON NO. $ On the 1st day of January, 19 , unless the bond to which this coupon is attached is callable and shall have been previously duly called for prior redemption and payment thereof duly made or provided for, the City of Okeechobee, Florida, will pay to the bearer at Florida, from the special funds described in the bond to which this coupon is attached, the amount shown hereon in lawful money of the United States of America, upon presentation and surrender of this coupon, being one year's interest then due on its Water and Sewer Revenue Bond, Series 1972, dated 19 , No. (SEAL) ATTESTED AND COUNTERSIGNED: Clerk CITY OF OKEECHOBEE, FLORIDA By Mayor FORM OF VALIDATION CERTIFICATE This bond is one of a series of bonds which were validated by judgment of the Circuit Court for Okeechobee County, Florida, rendered on , 19_. Mayor PROVISIONS FOR REGISTRATION This bond may be registered as to both principal and interest on the books kept by said Clerk, as Bond Registrar, such registration being noted hereon by the Bond Registrar in the registration blank below, the coupons being surrendered and the interest being payable only to the registered holder, re- mitted by mail, after which registration no transfer shall be valid unless made on said books by the registered holder or his legal representative and similarly noted in the registra- tion blank below, but it may be discharged from registration by being transferred to bearer, after which it shall be trans- ferable by delivery, or it may again be registered as before. Upon reconversion of this bond into a coupon bond, coupons representing the interest to accrue upon the bond to date of maturity shall be attached hereto. Date of Registration Name and Address of Registered Owner Signature of Bond Registrar ARTICLE III COVENANTS, SPECIAL FUNDS AND APPLICATION THEREOF 3.01 Bonds Not To Be Indebtedness Of Issuer. Neither the bonds nor the coupons attached thereto shall be or consti- tute general obligations or indebtedness of the Issuer as "bonds" within the meaning of the Constitution of Florida, but shall be payable solely from and secured by a lien upon and a pledge of said net revenues and cigarette taxes as herein pro- vided. No owner or holder of any bond or coupon issued hereunder shall ever have the right to compel the exercise of any ad valorem taxing power, or taxation in any form, to pay such bond or coupon or the cost of operating and maintaining the system, or be en- titled to payment of such bond or coupon from any funds of the Issuer except from the net revenues derived from the operation of the system and the cigarette taxes in the manner provided herein. 3.02 Bonds Secured b Pled e of Net Revenues and Cigarette Taxes and Special Funds Created Therefrom. The payment of the debt service of all of the bonds issued hereunder shall be secured forthwith equally and ratably by a pledge of and a lien upon the net revenues derived from the operation of the system, as now or hereafter constituted, and the proceeds of the cigarette taxes. The Issuer does hereby irrevocably pledge such funds to the payment of the principal of and interest on the bonds issued pursuant to this ordinance and to the payment into the Sinking Fund at the times provided of the sums required to secure to the holders of the bonds issued hereunder the payment of the principal of and interest thereon at the respective maturities of the bonds -13- and cour;cns so held by them. The lien on and pledge of the net revenues of the system in favor of the bonds is junior, subordinate and inferior to the pledge of and lien on such net revenues in favor of the Issuer's said outstanding prior lien obligations. 3.03 Application of Bond Proceeds. The Issuer hereby covenants that it will establish with the Okeechobee County Bank, Okeechobee , Florida, a separate account or accounts (herein collectively called the "Construction Account ") into which shall be deposited the pro- ceeds from the sale of the bonds herein authorized (except such portion thereof as shall be necessary to pay interest on the bonds during the construction of the project, which shall be de- posited to the Sinking Fund and the additional funds, if any, required to assure payment in full of the cost of the project. Withdrawals from the Construction Account shall be made only for such purposes as shall have been previously specified in the pro- ject cost estimates and as shall be approved by the Issuer's consulting engineers for the project. The Issuer's share of any liquidated damages or other moneys paid by'defaulting contractors or their sureties, and all proceeds of insurance compensating for damages to the project during the period of construction, shall be deposited in the Construction Account to assure completion of the project. Moneys in the Construction Account shall be secured by the depository bank in accordance with U. S. Treasury De- partment Circular 176 and in the manner prescribed by the Laws of the State of Florida relating to the securing of public funds. When the moneys on deposit in the Construction Account exceed the estimated disbursements on account of the project for the next 90 days, the Issuer may direct the depository bank to invest such excess funds in direct obligations of or obligations the principal of and interest on which are guaranteed by the United States of America, which shall be subject to redemption at any time at face value by the holder thereof. The earnings -14- from any such investment shall be deposited in the Construction Account. When, the construction of the project has been com- pleted and all construction costs have been paid in full, all funds remaining in the Construction Account, except any grant funds shall be deposited in the Sinking Fund hereinafter es- tablished, and the Construction Account shall be closed. All moneys deposited in said Construction Account shall be and constitute a trust fund created for the purposes stated, and there is hereby created a lien upon such fund in favor of the holders of the bonds until the moneys thereof shall have been applied in accordance with this ordinance. 3.04 Covenants of the Issuer. So long as any of the principal of or interest on any of the bonds shall be out- standing and unpaid, or,until there shall have been set apart in the Sinking Fund herein established, including the Reserve Account therein, a sum sufficient to pay, when due, the entire principal of the bonds remaining unpaid, together with interest accrued and to accrue thereon, the Issuer covenants with the holders of any and all of the bonds issued pursuant to this ordinance as follows: (A) Annual Budget of Current Expenses. The Issuer covenants and agrees that on or before the date of completion of construction of the project, or the date of delivery of the bonds to the purchasers thereof if the system shall then be revenue producing, it will adopt a budget of Current Expenses for the system for the remainder' of the then current fiscal year and thereafter, on or before the first day of each fiscal year during which any of the bonds are outstanding, it will adopt an Annual Budget of Current Expenses for the ensuing fiscal year, and will mail a copy of such budget or amendments thereto to any requesting bondholder. Current Expenses shall include all reasonable and necessary costs of operating, repairing, maintaining and insuring the system, but shall exclude de- preciation, payments into the Sinking Fund and payments into the Reserve Account. The Issuer covenants that the Current Expenses incurred in any year will not exceed the reasonable and necessary amounts required therefor, and that it will not expend any amount or incur any obligations for operations, maintenance and repair in excess of the amount provided for Current Expenses in the Annual Budget, except upon resolu- tion by its Council that such expenses are necessary to operate and maintain the system. (B) Revenue Fund. The Issuer covenants and agrees that as soon as the bonds shall be delivered to the purchasers thereof, it will establish with a depository in the State of Florida, which is a member of the Federal Deposit Insurance Corporation and which is eligible under the Laws of the State of Florida to receive municipal funds, and maintain so long as any of the bonds are outstanding, .a special fund to be known as the "Okeechobee Water and Sewer System Revenue Fund ", hereinafter called the "Revenue Fund ". The Revenue Fund shall be held by the Issuer separate and apart from all other funds and shall be ex- pended and used only in the manner and order specified in para- graphs (C) , (D) and (E) of this Section. The Issuer further covenants and agrees that whenever, from time to time, at any time deposits from the revenues of the system shall have been made sufficient to comply with the covenants, requirements and provisions of that certain ordinance adopted by the Issuer on July 3, 1958 authorizing issuance of said outstanding prior lien obligations, and such required deposits shall be made monthly, the balance of any and all revenues of the system and /or any balance of moneys on deposit in the "Water and Sewer Revenue Fund" created pursuant to such ordinance which shall be in excess of the requirements of such ordinance shall forthwith, and not less frequently than monthly, be deposited into said Revenue Fund hereby created. Whenever the provisions of said ordinance shall no longer require deposits of revenues for the debt service of said outstanding prior lien obligations, the Issuer shall deposit into the Revenue Fund, promptly as received, -16- all cash income received from the ownership and operation of the system. (C) Bond and Interest Sinking Fund. The Issuer coven:.::. :Id agrees to establish with a depository in the State of Florida, which is a member of the Federal Deposit In- surance Corporation, and which is eligible under the Laws of the State of Florida to receive municipal funds a special fund or funds, collectively called "Okeechobee Water and Sewer System Bond and Interest Sinking Fund ", hereinafter called the "Sinking Fund ", to be used exclusively for the purposes herein- after mentioned. The Issuer shall transfer on or before the 15th day of each month from the Revenue Fund and deposit to the credit of the Sinking Fund the following amounts: (1) A sum equal to 1/12 of the amount of one year's interest on all the bonds then outstanding, together with the amount of any deficiency in prior deposits for interest; and (2) Beginning on January 15, 1974, a sum equal to 1/12 of the principal of the bonds maturing on the next succeeding anniversary date, together with the amount of any deficiency in prior deposits for principal. (3) After fulfillment of the requirements of para- graphs (C) (1) and (2), the Issuer shall transfer on or before the 15th day of each month from the Revenue Fund and deposit to the credit of a special account in the Sinking Fund, herein called the "Reserve Account ", the sum of Three Hundred Ninety Dollars ($390.00) until such time as the funds and investments therein shall equal Twenty-three Thousand Four Hundred Dollars ($23,400.00), and monthly thereafter such amount as may be neces- sary to maintain in the Reserve Account the sum of Twenty- three Thousand Four Hundred Dollars ($23,400.00) but not exceeding Three Hundred Ninety Dollars ($390.00) monthly. Moneys in the Re- serve Account shall be used only for (1) paying the cost of re- pairing or replacing any damage to the system which shall be caused by an unforeseen catastrophe, (2) constructing improvements or extensions to the system which shall increase its net revenues -17 and which shall be approved by said consulting engineers, if the Issuer shall not then be in default under any of the pro- visions of this ordinance, and (3) paying the principal of and interest on the bonds'iri the event that the moneys in the Sinking Fund shall ever be insufficient to meet such payments. (D) Operation and Maintenance Fund. Whenever pro- vision for the payment of Operating Expenses from the "Operation and Maintenance Fund" created pursuant to the provisions of said ordinance authorizing issuance of said outstanding prior obligations shall expire or ordinance, or for any other lied cease by reason of the terms of such reason, the Issuer covenants and agrees to establish with a depository in the State of Florida, which is a member of the Federal Deposit Insurance Corporation, and which is eligible under the Laws of the State of Florida to receive municipal funds, a special fund to be known as the "Okeechobee Water and Sewer System Operation and Maintenance Fund ", which shall be used exclusively for the purpose of re- ceiving funds to be transferred monthly by the Issuer from the Revenue Fund, and for paying, as they accrue, the Current Expenses of the system pursuant to the Annual Budget. After having made the deposits to the Sinking Fund as provided in paragraph (C) above, the Issuer shall transfer on or before the fifteenth day of each month from the Revenue Fund and deposit to the credit of the Operation and Maintenance Fund a sum sufficient to pay the Current Expenses of the system for the current month, all in accordance with the Annual Budget. Any balance remaining in the Operation and Maintenance Fund at the end of the fiscal year and not required to pay costs incurred during said fiscal year shall be deposited promptly into the Revenue Fund. (E) Transfer of Excess Funds. Subject to the pro- visions for the disposition of revenues in paragraphs (C) and (D), which are cumulative, the Issuer shall transfer on or be- fore the 15th day of each month the balance of excess funds in the Revenue Fund to the Reserve Account in the Sinking Fund -18- for prompt use in redeeming bonds in inverse numerical and maturity order or acquiring outstanding bonds for retirement at not to, exceed the price of par and accrued interest, to the extent'funds.and investments therein exceed the amount of Twenty - three Thousand Four Hundred Dollars ($23,400.00). (F) Cigarette Tax Fund. The issuer covenants and agrees to establish with a depository in the State of Florida, which is a member of the Federal Deposit Insurance Corporation, and which is eligible under the Laws of the State of Florida to receive municipal funds, a special fund to be known as the "Okeechobee Cigarette Tax Fund ", hereinafter called the "Cigarette Tax Fund ", which shall be used exclusively for the purpose of receiving all of the proceeds of the cigarette tax as soon as the same are collected by the Issuer. Whenever by reason of the insufficiency of moneys on deposit in the Revenue Fund, the Issuer is not able to make promptly the current monthly payments required to be made pursuant to the provisions of paragraph (C) above, there shall be paid into the Revenue Fund from the moneys on deposit in the Cigarette Tax Fund whatever sums are necessary to cure such existing deficit. After the 15th day of each month, if all of the above - required current payments have been made from the Revenue Fund, and from the Cigarette Tax Fund to the extent necessary, the balance of any moneys on deposit in the Cigarette Tax Fund may be withdrawn and used by the Issuer for any lawful municipal purpose. (G) Trust Funds. The funds and accounts created and established by this ordinance shall constitute trust funds for the purpose provided herein for such funds. Al]. of such funds, except as hereinafter provided, shall be continuously secured in the same manner as municipal deposits of funds are required to be secured by the Laws of the State of Florida. Moneys on deposit to the credit of the Reserve Account shall be invested by the depository bank, upon request by the Issuer, in direct obligations of, or obligations the principal of and interest on which are guaranteed by, the United States of America • and which shall be subject to redemption at face value at any time by the ho_ .!,,c thereof at the option of such holder; and the moneys on dv_aosit to the credit of the Sinking Fund may be so invested in such obligations which shall mature not later than fifteen (15) days prior to the date on which such moneys shall be needed to pay the principal of and interest on the bonds in the manner herein provided, but moneys cn =y ~':sit to the credit of the Revenue Fund, the Operation and Nil::. ;.. _nance Fund and Cigarette Tax Fund shall not be invested at any time. The securities so purchased as an investment of funds shall be deemed at all times to be a part of the account from which the said investment was withdrawn, and the interest accruing thereon and any profit realized therefrom shall be credited to such ac- count and any loss resulting from such investment shall likewise be charged to said account. (H) Rates and Charges. The Issuer covenants and agrees to maintain and collect, so long as any of the bonds are outstanding, such schedule of water and sewer rates and charges which, together with the proceeds of the cigarette tax, will produce revenues which shall be sufficient to provide for current debt service and reserve requirements for said outstand- ing prior lien obligations and for the bonds herein authorized and pay the reasonable expenses of opera- tion and maintenance of the system; and the Issuer covenants and agrees that so long as any of the bonds are outstanding and unpaid, at the same time and in like manner that the Issuer prepares its Annual Budget of the. Current Expenses, the Issuer shall annually prepare an estimate of gross revenues to be derived from the operation of the system for the ensuing fiscal year, and to the extent that said gross revenues are insuffi- cient to pay debt service requirements during such ensuing year on all outstanding bonds payable from the revenues of the system, build up and maintain the required reserves for all such out- standing bonds and pay Current Expenses, the Issuer shall revise the fees and rates charged for the use of the services and fa- cilities of the system sufficiently to provide the funds re- quired. (I) Levy of Cigarette Taxes. The Issuer covenants and agrees that it will riot repeal the ordinance now in effect levying the cigarette tax and will not amend or modify said ordinance in any manner so as to impair or adversely affect the power and obligation of the Issuer to levy and collect such cigarette tax or impair or adversely affect in any manner the pledge of the proceeds of such cigarette tax made herein or the rights of the holders of the bonds. The Issuer shall be uncon- ditionally and irrevocably obligated, so long as any of the bonds or the interest thereon are outstanding and unpaid, to levy and collect the cigarette tax at such rates, not exceeding the maxi- mum rates permitted by law, as shall be necessary to provide funds which, together with the net revenues of the system re- maining after payment of the principal, interest and reserve re- . quirements for said outstanding prior lien obligations, shall be sufficient to pay, as the same shall become due, the principal of and interest on the bonds and to make the other payments pro- vided for herein. This provision shall not be construed to pre- vent reasonable revisions of the rates of the cigarette tax so long as the proceeds of the cigarette tax to be collected by the Issuer each year thereafter, together with the net revenues of the system remaining after payment of the principal, interest and re- serve requirements for said outstanding prior lien obligations, will be sufficient to pay the principal of and interest on the bonds as the same become due and to make the other payments herein required in such year. (J) Issuance of other Obligations. (1) The Issuer covenants and agrees that in the event the cast of construction or completion of the project shall exceed the dollar amount of bonds herein authorized, it shall deposit into the Construction Account the amount of such excess out of funds available to it for such purpose, and the Issuer may provide such excess, and only such excess, through the issuance of parity bonds conforming to the requirements of paragraph (3) of this subsection; but except to complete the project, it will not issue any other obligations payable from or secured by the revenues of the system, the proceeds of the cigarette tax or any other security pledged to secure pay- ment of the bonds herein authorized, unless the conditions hereinafter set forth shall be met, or unless the lien of such obligations is junior and subordinate in all respects to the lien of these bonds. The Issuer covenants and agrees that it will not issue any additional obligations payable from the revenues of the system on a parity with said outstanding prior lien obligations. (2) The Issuer shall have the right to add new water or sewer facilities and related auxiliary facilities, by the issuance of one or more additional series of bonds to be se- cured by a parity lien on and rateably payable from the revenues of the system, the proceeds of the cigarette tax and any other security pledged to these bonds, provided in each instance that: (a) The facility or facilities to be built from the proceeds of the additional parity bonds is or are made a part of the system and its or their revenues are pledged as additional security for the additional parity bonds and the outstanding bonds. (b) The Issuer is in compliance with all covenants and undertakings in connection with all of its bonds then out- standing and payable from the revenues of the system or any part thereof and has not been in default as to any payments required to be made under this ordinance for a period of at least the next preceding 24 months, or if at such time the bonds shall not have been outstanding for 24 months then for the period that the bonds shall have been outstanding. (c) The annual net revenues (plus the proceeds'of the cigarette tax, if it shall be pledged as security for the outstanding bonds and the additional parity bonds) for the -22-- fiscal year next preceding the issuance of additional parity bonds are certified by an independent public accountant employed by the Issuer, to have been equal to at least one and twenty- hundredths (1.20) times :the average annual requirements for principal and interest on all the bonds then outstanding and payable from such pledged revenues. (d) The estimated average annual net revenues of the facility or facilities to be constructed and acquired with the proceeds of such additional bonds (and any other funds pledged as security), when added to the estimated future aver- age annual net revenues of the then existing system (plus the proceeds of the cigarette tax, if it shall be pledged as security for the outstanding bonds and the additional parity bonds) shall be at least one and twenty- hundredths (1.20) times the average annual debt service requirements for principal and interest on all outstanding bonds payable from the revenues of the system and on the additional bonds proposed to be issued. Estimates of future revenues and operating expenses shall be furnished by recognized independent consulting engineers and approved by the Council of the Issuer and by the Mayor thereof, and shall be forecast over a period of not exceeding ten years from the date of the additional bonds proposed to be issued. Provided, however, the conditions provided by this paragraph and by the next preceding paragraph (c) may be waived or modified by the written consent of (75 %) of the bonds (3) The the holders of seventy -five per centum then outstanding. Issuer hereby covenants and agrees that in the event additional series of parity bonds are issued, it will provide that they and all system shall approximates and interest into and the said parity bonds shall mature in such years that other bonds payable from the revenues of the mature according to a schedule which most closely equal annual installments of combined principal payments; it will adjust the required deposits maximum amount to be maintained in the Sinking Fund, including the Reserve Account therein, on the same basis -23- as hereinabove prescribed, to reflect the average annual debt service on the additional bonds; and it will make such addi- tional bonds payable as to principal on January 1 of each year in which principal - falls due and the coupons attached thereto payable on January 1 of each year. If in any subse- quently issued series of bonds secured by a parity lien on the revenues of the system it is provided that excess revenues shall be used to redeem bonds in advance of scheduled maturity, or if the Issuer at its option undertakes to redeem outstand- ' ing bonds in advance of scheduled maturity, the Issuer cove- nants that calls of bonds will be applied to each series of bonds on an equal pro rata basis (reflecting the proportion of the original amount of each series of bonds outstanding at the time of such call) to the extent that this may be accom- plished in accordance with the call provisions of the respec- tive bond series, but the Issuer shall have the right to call any or all outstanding bonds which may be called at par prior to calling any bonds that are callable at a premium. (K) Disposal of Facilities. The Issuer covenants and agrees that, so long as any of the bonds are outstanding, it will maintain its corporate identity and existence and will . not sell or otherwise dispose of any of the system facilities or any part thereof, and, except as provided for above, it will not create or permit to be created any charge or lien on the revenues thereof ranking equal or prior to the charge or lien of these bonds. Notwithstanding the foregoing, the Issuer may at any time permanently abandon the use of, or sell at fair market value, any of its system facilities, provided that: (a) It is in compliance with all covenants and undertakings in connection with all of its bonds then outstand- ing and payable from the revenues of the system, and the debt service reserve for such bonds has been fully established; (b) It will, in the event of sale, apply the pro- ceeds to either (1) redemption of outstanding bonds in accord- -24- ance with the provisions governing repayment of bonds in advance of maturity, or (2) replacement of the facility so disposed of by another facility the revenues of which shall be incorporated into the system as hereinbefore provided; (c) It certified, prior to any abandonment of use, that the facility to be abandoned is no longer economically feasible of producing net revenues; and (d) It certified that the estimated net revenues of the remaining system facilities for the next succeeding fiscal ' year, plus the estimated net revenues of the facility, if any, to be added to the system, satisfy the earnings test herein - before provided in this subsection governing issuance of ad- ditional parity bonds. (L) Insurance on System. While any of the bonds shall remain outstanding, the Issuer shall carry at least the following insurance coverage: (1) Fire and extended coverage insurance on the in- surable portions of the system, in amounts sufficient to pro- vide for not less than full recovery whenever a loss from perils insured against does not exceed eighty per centum (80 %) of the full insurable value of the damaged facility. In the event of any damage to or destruction of any facility or facilities of the system, the Issuer shall deposit the insurance proceeds in the Reserve Account and promptly arrange for the application thereof to the repair or recon- struction of the damaged or destroyed portion thereof. (2) Public liability insurance relating to the op- eration of the system, with limits of not less than $100,000 for one person and $300,000 for more than one person involved in one accident, to protect the Issuer from claims for bodily injury and /or death; and not less than $10,000 from claims for damage to property of others which may arise from the Issuer's operation of the system. (3) If the Issuer owns or operates a vehicle in the operation of the system, vehicular public liability insurance with limits of not less than $100,000 for one person and -25- $300,000 for more than one person involved in one accident to protect the Issuer from claims for bodily injury and death, and not less than $10,000 against claims for damage to property ' 1 V of others which may arise from the Issuer's operation of vehicles. (4) All such insurance shall be carried for the benefit of the holders of the bonds. All moneys received for losses under any of such insurance, except public liability, are hereby pledged by the Issuer as security for the bonds here- in authorized, until and unless such proceeds are used to remedy the loss or damage for which such proceeds are received, either by repairing the property damaged or replacing the property de- stroyed within ninety (90) days from the receipt of such proceeds. (M) Maintenance of System. The Issuer will complete the construction of the project as provided for in this ordi- nance in an economical and efficient manner with all practi- cable dispatch, and thereafter will maintain the system in good condition and continuously operate the same in an efficient manner and at a reasonable cost. (N) No Free Services. The Issuer will not render or cause to be rendered any free services of any nature by its system, nor will any preferential rates be established for users of the same class; and if the Issuer shall avail itself of the facilities or services provided by the system, or any part thereof, then the same rates, fees or charges applicable to other customers receiving like service under similar cir- cumstances shall be charged to the. Issuer. Such charges shall be paid as they accrue, and the Issuer shall transfer from its general funds sufficient sums to pay such charges. The reve- nues so received shall be deemed to be revenues derived from the operation of the system, and shall be deposited and accounted for in the same manner as other revenues derived from such operation of the system. (0) Failure of User to Pa for Services. Upon failure of any user to pay for services rendered within sixty -26- 160) days, the Issuer shall shut off the connection of such user and shall not furnish him or permit him to receive from the system further service until all obligations owed by him to the Issuer on account of services shall have been paid in full. This covenant shall not, however, p=° went the Issuer from causing any system connection to be 1. off sooner. (P) Enforcement of Collections. The Issuer will diligently enforce and collect the rates, fees and other charges for the services and facilities of the system; and will take all steps, actions and proceedings for the enforcement and collection of such rates, charges and fees as shall become de- linquent to the full extent permitted or authorized by law; and will maintain accurate records with respect thereof. All such fees, rates, charges and revenues herein pledged shall, as collected, be held in trust to.he applied as provided in this ordinance and not otherwise. (Q) Sufficiency of Rates. The Issuer covenants and agrees that it will fix, establish, revise from time to time whenever necessary and maintain always such fees, rates, rentals and other charges for the use of the product, services and facilities of the system which, together with the proceeds of the cigarette tax, will always produce cash revenues sufficient to pay, and out of such funds pay, as the same shall become due, the principal of and interest on the said outstanding prior lien obligations and the bonds, the necessary expenses of operating and maintaining the system and all reserve, Sinking Fund or other payments required by this ordinance, and that such rates, fees, rentals or other charges will not be reduced so as to be insuffi- cient to provide funds for such purposes. (R) Compliance with Laws and Regulations. The Is- suer covenants and agrees to perform and comply with, in every respect, the Loan and Grant Agreements which it might have with the United States of America, acting by and through the Farmers Home Administration, U. S. Department of Agriculture (hereinafter called the "Government "), or with any other -27- 1 • • governmental agency and all applicable State Laws and regula- tions and to continually operate and maintain the system in good condition. '(S) Remedies,' Any holder of the bonds or any cou- pons appertaining thereto issued under the provisions of this ordinance, or any trustee acting for the holders of such bonds and coupons, may either at law or in equity, by suit, action, mandamus or other proceedings in any court of competent juris- diction, protect and enforce any and all rights, including the ' right to the appointment of a receiver, existing under the Laws of the State of Florida, or granted and contained in this ordinance, and may enforce and compel the performance of all duties required by this ordinance or by any applicable State or Federal statutes to be performed by the Issuer or by any officer thereof. Nothing herein, however, shall be construed to grant to any holder of such bonds or coupons any lien on any real property of the Issuer. (T) Records and Audits. The Issuer shall keep books and records of the revenues of the system and of the proceeds of the cigarette tax, which such books and records shall be kept separate and apart from all other books, records and accounts of the Issuer, and any holder of a bond or bonds or the coupons applicable thereto issued pursuant to this ordinance shall have the right to, at all reasonable times, inspect all records, accounts and data of the Issuer relating thereto. So long as any of the,bonds shall be outstanding, the Issuer will furnish on or before ninety (90) days after the close of each fiscal year, to any bondholder who shall request the same in writing, copies of an annual audit report prepared by an independent public accountant or an auditing official of the State of Florida, covering for the preceding fiscal year, in reasonable detail, the financial condition and record of operation of the system and any other facilities the revenues of which are pledged to the payment of the bonds. - 28- (U) Connection with System. The Issuer will, to the full extent permitted by law, require all lands, buildings, residences and structures within its corporate limits which can use the facilities and services of the system to connect there- with and use the facilities and services thereof, and to cease the use of all other facilities. The Issuer will not grant a franchise for the operation of any competing water or sewer system until all bonds issued hereunder, together with in- terest thereon, shall have been paid in full. {V) Fidelity Bond. The Issuer will require each employee who may have possession of money derived from the op- erasion of the system to be covered by a fidelity bond written by a responsible indemnity company in an amount fully adequate to protect the Issuer from loss. (W) Government Approval of Extensions and Financing. -Anything herein to the contrary notwithstanding, if the Govern- ment is the purchaser of any of the bonds, the Issuer will not borrow any money from any source or enter into any contract or agreement or incur any other liability in connection with making extensions or improvements other than normal maintenance of the system, or make any extensions or enlargements of the system, or permit others to do so, without obtaining the prior written consent of the Government, while the Government con- tinues to hold any of the bonds. (X) Reimbursement of Advances and Interest Thereon. While the Government shall be the holder of any of the bonds, the Government shall have the right to make advances for the payment of insurance premiums and /or other advances which, in the opinion of the Government, may be required to protect the Government's security interest. In the event of any such ad- vances, the Issuer covenants and agrees to repay the same, together with interest thereon at the same rate per annum as specified in the bonds, upon demand made at any time after any such expenditure by the Government. Any such amounts due the Government shall take priority over any other payments from the Reserve Account. -29- • 44 (Y) Release of Cigarette Taxes. At such time as the Issuer may be able to obtain and file in the minutes of its City Council a certificate of an independent certified V public accountant stating that for the immediately preceding fiscal year the net revenues derived from the operation of the system equaled at least one hundred forty per centum (140 %) of the combined maximum principal and interest maturing in any one ensuing fiscal year on all outstanding obligations payable from the revenues of the system, then upon a declaration by resolu- tion of the City Council the lien hereby impressed upon the cigarette tax as security for the payment of the bonds shall be permanently released, and thereafter the payment of the bonds shall be solely secured by lien upon and pledge of the net revenues to be derived from the operation of the system; pro- vided, however, the cigarette taxes shall not be released unless all payments required by this ordinance to have been made to the several funds herein specified shall have been made in full, and the Reserve Account shall have on deposit therein at least the sum of Twenty -three Thousand Four Hundred Dollars $23,400.00). ARTICLE IV MISCELLANEOUS PROVISIONS 4.01 Modification or Amendment. No material modifi- cation or amendment of this ordinance or of any ordinance amend- atory hereof or supplemental hereto, may be made without the consent in writing Of the holders of two - thirds or more in principal amount of the bonds then outstanding; provided, how- ever, that no modification or amendment shall permit a change in the maturity of such bonds or a reduction in the rate of interest thereon, or in the amount of the principal obligation, or affect the unconditional promise of the Issuer to charge and collect such rates, fees and charges for the use of the services and facilities of the system, or reduce the number of such bonds the written consent of the holders of which are re- quired by this Section for such modifications or amendments, without the consent of the holders of all such bonds. Y 4 4.02 Creation of Superior Liens. The Issuer cove- nants that it will not issue any other bonds, certificates or obligations of any kind or nature or create or cause or permit to be created any debt, lien, pledge, assignment or en- cumbrance or charge payable from or enjoying a lien upon the revenues of the system or the cigarette taxes ranking prior and superior to the lien created by this ordinance for the benefit of the bonds herein authorized. 4.03 Severability of Invalid Provisions. If any one or more of the covenants, agreements or provisions of this ordinance should be held contrary to any express provision of law or contrary to the policy of express law, though not ex- pressly prohibited, or against public policy, or shall for any reason whatsoever be held invalid, then such covenants, agreements or provisions shall be null and void and shall be deemed separate from the remaining covenants, agreements or provisions of this ordinance or of the bonds issued hereunder. 4.04 Validation Authorized. The Issuer's Attorney is hereby authorized and directed to institute appropriate proceedings in the Circuit Court of the Nineteenth Judicial Circuit of Florida, in and for Okeechobee County, Florida, for the validation of said bonds and the proper officers of the Issuer are hereby authorized to verify on behalf of the Issuer any pleadings in such proceedings. 4.05. Sale of Bonds. If the bonds shall be purchased by the Government, they may, if'required by the Government, be delivered to the Government in lots as and according to the amount of bond proceeds needed by the Issuer to cover expenditures for the cost of the project which will be necessary within the next thirty -day period following the respective deliveries of such lots. The bonds will be dated (and interest will begin to run) as of the respective dates of delivery. 4.06. Conflicts Repealed. All ordinances or parts of -31 ordinances in conflict herewith are hereby repealed. 4.07. Effective Date. This ordinance shall take ef- fect immediately upon its passage. PASSED AND ADOPTED in Regular Adjourned Session of the City Council of the City of Okeechobee, Florida, this 22nd day of February, 1972, , ATTEST: CLERK 42-4----"1 APPROVED: MA /d(11/1"-' OR PRESIDENT F THE CITY COUNCIL EXTRACTS FROM THE MINUTES OF A REGULAR ADJOURNED MEETING OF THE CITY COUNCIL OF THE CITY OF OKEECHOBEE, FLORIDA, HELD QN THE 22ND DAY OF FEBRUARY, 1972. The City Council of the City of Okeechobee, Florida, met in ,regular adjourned meeting at City Hall in the City of Okeechobee, Florida, at 7:00 P.M. on the 22nd day of February, 1972, the place, hour, and date duly established for the holding of such meeting. The President of the Council called the meeting to order and Hon roll call the following answered present: DONALD L. BURK E. H. HUNT CHARLES L. BRELAND and the following were absent: RUSSELL V. DOMER EDWARD W. DOUGLAS NONE The President of the Council declared a quorum present. An Ordinance entitled: ORDINANCE PROVIDING FOR THE ACQUISITION, CONSTRUCTION AND ERECTION OF EXTENSIONS AND IMPROVEMENTS TO THE WATER DISTRIBU- TION FACILITIES OF THE EXISTING MUNICIPAL WATER AND SEWER SYSTEM; AUTHORIZING THE ISSUANCE OF NOT EXCEEDING $400,000 .WATER AND .SEWER REVENUE BONDS TO FINANCE THE COST THEREOF; PLEDGING THE NET REVENUES OF SAID SYSTEM AND THE PROCEEDS OF THE MUNICIPAL CIGARETTE TAX TO SECURE THE PAYMENT THEREOF; AND PROVIDING FOR THE RIGHTS OF THE HOLDERS OF SUCH BONDS. was introduced by Mr. Donald L. Burk. Said Ordinance was then read in full and discussed and ,considered. Mr. Russell V. Domer then moved the adoption of the Ordinance; as introduced and read. Mr. Charles L. Breland seconded the motion and, on roll call, the following voted "Aye ": Donald L. Burk, E. H. Hunt, Charles L. Breland, Russell V. Domer, and Edward W. Douglas; and the following voted "Nay ": None. The President of the Council thereupon declared the motion carried and the Ordinance adopted as introduced and read. There being no further business to come before the meeting, upon motion duly made and seconded, the meeting was adjourned. w r. 4 -.1 ff • • V • CITY »Or OKEECHOBEE, FLORIDA CERTIFICATE OF RECORDING OFFICER CITY CLERK The undersigned HEREBY CERTIFIES that: 1. She is the duly appointed, qualified, andaactingrein Secretary to the City Council of the City of Okeechobee called the City Council), and keeper of the records thereof, including the minutes of its proceedings; 2. The annexed copy of extracts from the minutes of the held on the 22nd Regular Adjourned meeting of the City Cotncand compared copy 22nd of day of February,. 1972, is a true, e the whole of the original minutes of saidthmeetingaonef ileeandd of record insofar as the same relate to in said extracts and to the other matters referred to there- in; Said meeting was duly convened in conformity with 3, g resent through all applicable requirements; -a proper quorum was p out said meeting and the Ordinance hereinafter mentioned was duly proposed, considered, and adopted in conformity with roceed -' applicable requirements; and all other requirements and proceed- ings incident to the proper adoption ofisa said d Orddinance have been dug and otherwise duly fulfilled, carried out, } 1 and 4. She is duly authorized to execute this Certificate; 5. The copy of the Ordinance annexed hereto entitled: ORDINANCE PROVIDING FOR THE CONSTRUCTION AND ERECTION AND IMPROVEMENTS TO THE WATER DISTRIBU- TION FACILITIES OF THE EXISTING MUNICIPAL WATER AND SEWER SYSTEM; AUTHORIZING THE ISSUANCE OF NOT EXCEEDING $400,000 WATER AND SEWER REVENUE BONDS TO FINANCE THE COST THEREOF; PLEDGING THE NET REVENUES OF SAID SYSTEM AND THE PROCEEDS OF THE MUNICIPAL CIGARETTE TAX TO SECURE THE PAYMENT THEREOF; AND PROVIDING FOR THE RIGHTS OF THE HOLDERS OF SUCH BONDS. is a true, correct, and compared copy of the original ordinance:. referred to in said extracts ands finaly adopteddeattsaiduly meeting and, to the extent required signed or approved by the proper officer or officers of the City of Okeechobee, which ordinance: is on file and of record. ITNESS my hand and the seal of the City of Okeechobee, ,`. day of April, 1972. this CITY OF OKEECHOBEE Secretary to Cit! Counc City Clerk