R03-030RESOLUTION NO. R03-
A RESOLUTION OF THE CITY COMMISSION OF THE
CITY OF BOYNTON BEACH, FLORIDA, APPROVING
AND ACCEPTING A LETTER OF CREDIT SUBMITTED
FOR THE PROJECT KNOWN AS DAHLGREN P.U.D.,
AND ISSUED BY BANK OF AMERICA (LETTER OF
CREDIT NO. 3053264) IN THE AMOUNT OF $549,093.05;
AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City Commission of the City of Boynton Beach, upon
recommendation of staff, does hereby accept the above referenced Letter of Credit in the
amount of $549,093.05 as surety for the installation of water and sewer improvements for the
project known as Dahlgren P.U.D.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF
THE CITY OF BOYNTON BEACH, FLORIDA, THAT:
Section 1. The City Commission of the City of Boynton Beach, Florida hereby
approves and accepts a Letter of Credit in the amount of $549,093.05 as surety for the
installation of water and sewer improvements for the project known as Dahlgren P.U.D.
Section 2. That this Resolution shall become effective immediately upon passage.
PASSED AND ADOPTED this 18 day of February, 2003.
ATTEST:
Letter of Credit - Dahlgren PUD.doc
n Ii' of America
DATE: JANUARY 22, 2003
IRREVOCABLE STANDBY LETTER OF CREDIT NUMBER: 3053264
PAGE: 1
BENEFICIARY
CITY OF BOYNTON BEACH
UTILITIES DEPT.
124 E. WOOLBRIGHT RD.
BOYNTON BEACH, FL 33435
ATTENTION: PETER MAZZELLE
UTILITIES DEPT.
APPLICANT
D.R. HORTON, INC.
SOUTH FLORIDA
ATTN: KARL ALBERTSON
1192 EAST NEWPORT CENTER DRIVE
SUITE 150
DEERSFIELD BEACH, FL 33442
AMOUNT
USD 549,093.05
FIVE HUNDRED FORTY NINE THOUSAND
NINETY THREE AND 05/100'S US DOLLARS
EXPIRATION
JANUARY 21, 2004 AT BANK OF
AMERICA, HIALEAH, FL
GENTLEMEN:
WE HEREBY ESTABLISH OUR IRREVOCABLE STANDBY LETTER OF CREDIT NO.
3053264 IN YOUR FAVOR, AS BENEFICIARY, BY ORDER AND FOR ACCOUNT OF
D.R. HORTON, INC., SOUTH FLORIDA, ATTN: KARL ALBERTSON, 1192 EAST
NEWPORT CENTER DRIVE, SUITE 150, DEERSFIELD BEACH, FL 33442 UP TO THE
AGGREGATE SUM OF FIVE HUNDRED FORTY NINE THOUSAND NINETY THREE AND
05/100 U.S. DOLLARS (U.S.$549,093.05) EXPIRING ON JANTJARY 21, 2004,
AT THE COUNTERS OF BANK OF AMERICA, N.A., 5875 NW 163RD STREET, MAIL
CODE: FL7-405-02-06, HIALEAH, FL 33014, AVAILABLE BY PAYMENT AGAINST
YOUR DRAFT(S) ON US AT SIGHT ACCOMPANIED BY:
1. A STATEMENT PURPORTEDLY SIGNED BY AN AUTHORIZED OFFICIAL OF THE
CITY OF BOYNTON BEACH UTILITIES DEPARTMENT, SWORN TO BEFORE A NOTARY
PUBLIC, STATING THAT: "THE FUNDS DRAWN UNDER LETTER OF CREDIT NO.
3053264 ISSUED BY BANK OF AMERICA, N.A. ARE DUE BY REASON OF D.R.
HORTON, INC. - SOUTH FLORIDA'S FAILURE TO COMPLETE THE INSTALLATION
OF WATER AND SANITARY SEWER SYSTEMS FOR THE PROJECT KNOWN AS DAHLGREN
P.U.D., AS SHOWN ON PLANS PREPARED BY SCHNARS ENGINEERING
CORPORATION. THE WORK TO BE COMPLETED IS AS FOLLOWS: (LIST THE WORK
D.R. HORTON, INC. - SOUTH FLORIDA FAILED TO COMPLETE.)"
2. THE ORIGINAL OF THIS LETTER OF CREDIT.
3. COPY OF BENEFICIARY'S LETTER TO DEVELOPER DATED AT LEAST 10 DAYS
PRIOR TO DRAWING, NOTIFYING THEIR INTENT TO DRAW ON THIS LETTER OF
CREDIT.
PARTIAL DRAWINGS ARE ACCEPTABLE.
THIS LETTER OF CREDIT IS ENFORCEABLE IN A COURT OF COMPETENT
JURISDICTION IN PALM BEACH COUNTY, FLORIDA, AND IS TO BE INTERPRETED
BY FLORIDA LAW.
ANY DRAFT DRAWN UNDER THIS LETTER OF CREDIT MUST BE MARKED "DRAWN
UNDER IRREVOCABLE LETTER OF CREDIT NO. 3053264 ISSUED BY BANK OF
AMERICA, N.A."
IT IS A CONDITION OF THIS LETTER OF CREDIT THAT IT SHALL BE DEEMED
AUTOMATICALLY EXTENDED WITHOUT AMENDMENT FOR ONE (1) YEAR FROM THE
PRESENT OR ANY FUTURE EXPIRATION DATE UNLESS AT LEAST NINETY (90)
ORIGINAL
Sank of America
PAGE: 2
THIS IS AN INTEGRAL PART OF LETTER OF CREDIT NUMBER: 3053264
DAYS PRIOR TO SUCH EXPIRATION DATE YOU ARE NOTIFIED BY REGISTERED
LETTER OR OVERNIGHT COURIER SERVICE THAT WE ELECT NOT TO CONSIDER
THIS LETTER OF CREDIT RENEWED FOR ~Y SUCH PERIOD.
WE HEREBY ENGAGE WITH YOU THAT ANY DRAFT(S) DRAWN UNDER AND IN
COMPLIANCE WITH THE TERMS OF THIS LETTER OF CREDIT WILL BE DULY
HONORED UPON PRESENTATION TO BANK OF AMERICA, N.A., 5875 NW 163RD
STREET, MAIL CODE: FL7-405-02-06, HIALEAH, FL 33014, AS SPECIFIED
HEREIN.
UNLESS OTHERWISE EXPRESSLY STATED HEREIN, THIS LETTER OF CREDIT IS
SUBJECT TO THE UNIFORM CUSTOMS AND PRACTICE FOR DOCUMENTARY CREDITS
(1993 REVISION), INTERNATIONAL CHAMBER OF COMMERCE PUBLICATION NO.
500.
IF YOU REQUIRE ANY ASSISTANCE OR HAVE ANY QUESTIONS REGARDING THIS
TRANSACTION, PLEASE CALL 213-345-0132.
i~OSE 'l't AGIJSTIN
A~THORIZED SIGNATURE
ORIGINAL