Minutes 05-10-33SPECIAL MEETING OF ~ 10, 1933.
A Special Meeting of the Boar~l of Town Cew~ssioners
of the Tows of Boynton, Florida, was held at the Town Hall
on ~ednesday evening,
May 10, 1933 at 7:00 o'clock P.M.
~esent~
H. D. Stevens, Mayor
V~mMenzel , Vice-Mayor
J. P. B~wen , Town Clerk
The above comstitati~g the entire
icners of the Town of Boynton, Florida.
This Meeting was called for the
Boa~d of Town Commiss-
purpose of considerimg
a RESOLUTION ...........
APPROVING THE PROPOSED FORM OF CONTRACT AND
AGR~ ~%{EWNT BET~SKEN HENRY E. POOR, R. ~. PITKIN
AND W. L. OAEEY AS AND CONSTITUTING TEE CITY
OF BOYNTON, FLORIDA, BONDHOLDERS PROTECTIVE
COMMITTEE, AND PALE BEACH COMPANY AND THE TO~VN
OF BOYNTON RELATIVE TO THE FUNDING OR
REFUNDING OF THE OBLIGATIONS OF SAID TO~N OF
BOYNTON; AND AUTHORIZING AND DIEECTING
TMM MAYOR AND THE TO~N Cr.W.W~K OF AND ON BEHALF
OF THE TOWN TO EXECUTE AND DELIVER SAID CON-
TRACT TO Thee PARTIES OF THE FIRST PART.
BE IT RESOLVED BY THE TO~q~ COMMISSION OFT HE TO~N OF
BOYNTON~ FLORIDA:
1. That the proposed contract and agreement between
Henry E. Poor, H. ~. Pitkin and ~. L. Carey as and consti-
tuting the City of Boynton, Florida Bondholders Protective
Committee, and Palm Beach Company~ parties of the first
part, and Town of Boynton, party of the second part, which
is set forth in full in Section 2 hereof, be and the same
is he~eby~approved as to fo~m and substance.
2~ That the Mayor and Town Clerk of and on behalf
of the Town be, and they a~e hereby authorized md di-
rected to execute and deliver to Henry E. Poor, H. W.
Pitkin, and W. L. Carey, as and constituting the City of
Boynton, Florida, Bondholders Protective Committee, and
Palm Beach Compamy, the contract a~d agreement a~proved
in Section 1 hereof and hereinafter set forth in fo~m,
words and figures as follows:
This contract ~and agreement made and entere~ into
this . day of May, A.D. 1933, ~ry and between
HENRY EA POOR of Cincinnati, Ohio, H. W. PITKIN of Des
Moines, Iowa, and W. L. CAREY of Milwaukee, Wisconsin,
as and constituting the CITY OF BOYNTON, FLORIDA, BOND-
HOLDERS PROTECTIVE CON~ITTEE, a~d PALM BEACH COMPANY, a
Delaware corporation, parties of the first part~
TOWN OF BOYNTON, a municipa~ ~orporation organized under
the laws of the SiS e of Florida, party of the second
pa~t, WITNE8SETH: that~
~E~EREAE, the parties of the first part are the
owners and holders or representatives of, under powers of
attoz~ney, six hundred and eleven (61!) of the cutstandir~E
bonds of the Town of Boynton, Florida, and also of the
Judgement of the ~ite Construction Company against Said
town for the principal sum of $231,295.51, and also of
certificates of indebtedness, the payment of which is
guaranteed by the said Town of Boynton, in the face
value of $46,1V0.~7, and authorized to act in their be-
half, and
WHEREAS, the said To~n of Boynton is desirous of
entering into an arrangement with the parties of the
first part and other creditors of the Town of Boynton
for the refunding of the portion of the obligation a-
bove described, for which the said Town is liable, the
same being fifty (50%) per cent thereof, as provided by
Chapter 15088 of the laws of Florida of 1931, the parties
H~eto have mutually agreed with each other as follows:
Io
That the party ~f the second part hereby accept its
indebtedness as- above set forth to the extent of fifty
(50%) per cent of the principal of each of said obliga-
tions above described, including each of the bonds and
certificates of indebtedness, to the parties of the first
part, and also fifty (50%) per cent of the accrued and
past due interest on each of the bonds, certificates of
indebtedness and judgement above described.
II.
That the psrties of the first part hereby agree
that they will accept refunding bonds of the Town of
Boynton in full settlement and satisfaction of the lia-
bility of the Town of Boynton to them, subject to the
following conditions:
.(a) The total amount of the .refunding bonds to be
del'ivered by the second party to the first parties shall
be the sum of $ , the face value of said bonds.
(b) Said bonds shall be dated July 1, 193~, and shall
mature thirty-five (~5) years f~om date thereof.
(o) The bonds shall bear interest at the follow-
ing rates: ~% a year for the first five years, 4% a
year for the next five years, 6% a year for the next
five years, and ~% a year for the remaining twenty (20)
years; said ~interest shall be payable semi-a~mualty on
the first days of January and July of each and every year~
a~ shall be evidenced by coupons attached to said bonds
in the usual form.
(d) The face value of said bonds shall be in de-
nominations of ONE THOUSAND ($1,000) DOLLARS, F~E HUN-
DEED ($600) DOr,r.&RS a~d ONE HUNDRED ($100) DOT~ARS, and
the number of bonds of each denomination to be hereafter
determined.
(e) S~ach bonds shall be general
Town of Boynton as now constituted and
obligations of the
the full faith and
credit of saidTown shall be pledged for the ps~ment there-
of. They aball bear the usual recitals that the same are
issued in accordance with the constitution and statutes
of the State,.of Florida, and be executed by the proper
officials of said Town under the seal of the s~me.
(f) The Town of Boynton shall, prior to the is-
suance of said bonds, adopt a resoluti6n agree~ug to levy
taxes from year to year, as may'be necessary, to pay the
interest on said bonds as the same mature, and in. addition
thereto, shall levy each year, beginning with the second
year, a sum of not less than one (1%) per cent of the face
value of the outstanding indebtedness for the purpose of
creating a sinking fund for the p~yment of said bonds;
such sinking fund may be utilized by the Town from time
to time for the purchase and retirement of the outstsr~d-
lng bonds, such bonds to be callable at any time three
(~) years after date of issue upon the payment of princi-
pal and accrued interest; such sinking fund may also be
~sed to purchase bonds of such issue ak ~y price less
than par, at the option of the town officimls; but, if
such Ik~uds are not sc used, they shall be held intact
and preserved for the ultimate retirement of such bonds.
The Town of Boynton shall also agree to pay into such
sinking f~md all moneys collected by it from taxes here-
tofore levied by it upon property now within its bound-
ary, and also all sums col!e cted from special assessments
heretofore 1.evied by the Said Town upon property now with-
in the boundaries of said Town, and any sums received
from the resale of property, title to which~may be ac-
quired by the Town of Boy-ton' under tax sales or sales re-
sulting from the foreclosure of special assessments and
used for the purposes hereinabove set forth; provided,
however, that the Town may pay the costs and expenses of
any proceeding instituted for the foreclosure of any
tax certificate~ qr lien of any special assessment, sub-
ject to control by the parties of the first paste
(g) Such bonds are to be validated by the Town of
Boynton in the Circuit Court of Palm Beach County, in
~ccordance with the ~aws in such cases made and provided,
and the Town shall furnish, prior to the delivery of
such bonds, an opinion by an~ attorney who~ is recognized
as an authority upon municipal bonds, and whose .opinion
is generally acceptable upon such subjects, duly approv-
lng the validity of the preeeedinga leadi~g up to
culminating in the issue and delivery cf such bends.
(h) The carries of the first part agree to pay
one-third' (1/~) of the expense necessary to obtain the
approving opinion above referred to.
(l) ~hen the new bonds are ready for delivery and
have been validated and approved, as above set forth, the
T~ will deposit the same. duly executed, with the Cen-
tral Trust Company of C~ncinnati, or some other agency
which may be designated by the parties of the first part~
for delivery to the parties of the first part and to any
other holders of bonds ara other security to be refunded,
to be exchanged for a corresponding release of the out-
standing obligations of said Town held by theme
That the parties of the first part agree, that when
the Town shall have delivered the bonds in the sm.~nts
specified, to Central Trust Company of Cincinnati, or
other agency as above set forth, duly executed, issued,
validated and .approved, they will deliver to the said
Central Trust Company or other agency the securities and
obligations of the Town Held or represented by them for
such emchange, or will deliver to the TOwn any
necessary releases or discharge of the same from its
thor liability to the parties of the first part for the
other portion of the debt so held by the parties of the
first part, and will look to the Town of Boynton Beach for
the payment of the balance owing to them, in accordance
with the ~harter of said Town and the statutes relating
thereto.
IN WITNESS V~EREOF, the parties hereto have hereunto
set their hands
mentioned.
Signed,sealed and de-
livered in the presence
off
Finch
and seals, the day and year first above
CITY OF BOYNTON, ~LORID~BO~i0LDERS
PROTECTi~'E COMMITTEE
(Signed)
(Signed~
Henry E. poor-Chairman
H. W. Pitkin
PALM BF~CH COMPANY
(Signed) George...~. Clark
(Parties of the first part)
~m. p. Somerville
As to parties '~' first~ part
TOV~NOF BOYNTON
(Signed) H. ~.~ STEVENS
Mayor
~A~TEST:
(Signed) J.. P. Bowen
City Clerk
(P~ties of second parts
V~m. Menzel
,A,. V. Peterson
Co~mnissioner Etevens moved the adoption of the
above and foregoing Resolution. This motion ~sI second-
ed by Commissioner Menzet and upon being put to a vote the
following vote was had thereon:
Commissioner Stevens "Ave"
Commissioner Menzel "~'~Aye"
Commissioner Bowen "Aye"
There being no f~t~ther
business the meeting adjourned.
Vice May~
TeWn Clerk