04-17-61bRESOLUTION PRESCRIBING FOR~I AND AUTHORIZING
EXECUTION OF CONSTRUCTION TRUST FUND
AGREEMENT.
Trust Fund Trustee,
City; and
WHEREAS, by Resolution duly adopted on January 11, 1961,
the CITY OF BOYNTON BEACH authorized the issuance of $1, 370, 000. 00
Water Revenue Bonds Series 1960; and
WHEREAS, said Resolution provides ihat the proceeds received
from the sale of any or all of the bonds pursuant to said Resolution, shall be
deposited by the City with a Trustee to be named by the successful purchaser
of the bonds, with the approval of the City Council, in a Trust Fund to be
known as "THE CONSTRUCTION TRUST FUND" in order to insure the
application of such bond proceeds to the purposes provided in the aforesaid
Resolution; and
WHEREAS, said Resolution further pro-fides that the City and
the Trustee named shall enter into a Construction Trust Fund Agreement
concerning the application of said funds, which agreement shall be in a form
to be determined by Resolution; and
WHEREAS, F. S. SMITHERS & CO., as successful purchaser
of the bonds has heretofore designated ATLANTIC NATIONAL BANK OF
WEST PALM BEACH, WEST PALM BEACH, FLORIDA, as the Construction
which selection has heretofore been approved by the
WHEREAS, the ATLANTIC NATIONAL BANK OF WEST PALM
BEACH, WEST PALM BEACH, FLORIDA, has agreed to act as Trustee of
such Construction Trust Fund;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUN(
OF THE CITY OF BOYNTON BEACH, FLORIDA:
SECTION 1: That pursuant to Resolution heretofore adopted
on January 11, 1961, authorizing the issuance and sale of $1, 370, 000. 00
Water Revenue Bonds Series 1960 of the CITY OF BOYNTON BEACH,
FLORIDA, a Trust Agreement shall be entered into by and between the CITY
OF BOYNTON BEACH, FLORIDA and THE ATLANTIC NATIONAL BANK OF
WEST PALM BEACH, WEST PALM BEACH, FLORIDA, as Trustee.
SECTION 2: That said Trust Agreement shall be executed on
behalf of the City by the Mayor, and the corporate seal of the City shall be
affixed thereto and attested by the City Clerk and said Officers be and they
hereby are authorized to execute and deliver said Trust Agreement without
further authority from this Council.
SECTION 3: That said Trust Agreement shall be executed
prior to the execution and delivery of.any of said $1, 370, 000. 00 Water
Revenue Bonds Series 1960, and said Construction Trust Fund Agreement
shall be in the form and language of the instrument annexed hereto and made
a part hereof, the form of which Agreement is hereby approved.
SECTION 4: That this Resolution shall take effect immediately.
PASSED AND ADOPTED this 17th day of April, A. D. 1961.
il' Mayor
City Clerk ~--' ' ~- '~~~~
<' .~ ] Co~c~
TRUST AGREEMENT
This Indenture, made and entered into this day of
. A. D. 1961, by and between the CITY OF BOYNTON BEACH, a
political subdivision of the State cd Florida, located in Palm Beach County,
Florida, hereinafter called "CITY" and the ATLANTIC NATIONAL BANII OF
WEST PALM BEACH, WEST PALM BEACH, FLORIDA, hereinafter called
"TRUSTEE",
WITNESSETH:
WHEKEAS, the City ham heretofore authorized the issuance of
$1. 3?0, 000. 00 Water Revenue Bonds Series 1960, hereinafter called "BONDS"
by a l~esolution (idly adopted on January 11, 1961, hereinafter called
"RESOLUTION}~' and
WHEREAS, the City by said Re~olution established a "CONSTRUC-
TION TttUST FUND" into which the gl'oss receipts from the sale cd said Bonds
were to be ~ted, and all costs in connection with the sale of said bonds
and with the implementation of the construction and expansion of the municipal
water system were to be made, all in accordance with the terms and provisions
cd said Resolution; and
WHEREAS, the ATLANTIC NATIONAL BANK OF WEST PALM
BEACH, WEST PALM BEACH, FLORIDA, has heretofore been selected as the
Tr~.mtee of said Construction Trust Fund and said Trustee has agreed to accept
ion
the deposit of said Construct/Trust Fund and to honor withdrawals therefrom
in accordance with this At~-eement and the Resolution; and
WHEREAS, a true and correct copy of the above referred to
Resolution is attached hereto and hereby made a part hereof; and
WHEREAS, it is considered advisable and in the best interest of
the City. the Trustee. and the holders of said bonds that the terms of said trust
be reduced to writing;
NOW, THEREFORE, it is agreed by and between the City and
Trustee as follows:
SECTION 1: That there is hereby created a Construction
Trust Fund consisting of all monies received from the sale of any or: _al! of
the bonds issued pursuant to the Resolution of the City dated January 110
1961, as authorized by said Resolution.
SECTION 2: That the ATLANTIC NATIONAL BAI~ OF WEST
PALM BEACH, WEST PALM BEACH, FLORIDA, be and it is hereby appointed
Trustee of said Construction Trust Fund to do and perform all acts required
of said Trustee in said Resolution in accordance with the provisions of said
Resolution and this Agreement.
SECTION 3: That no withdrawals shall be made from the
Construction Trust Fund except for legal and engineering expenses, interest
maturing on the bonds prior to, during, and for six months after the com-
pletion of subject improvements, fees of fiscal or financial agents, and
expenses in connection with the issuance and sale of the bonds authorized by
the Resolution, without the written approval of the Consulting. Engineers and
only upon receipt by the Trustee of a written requisition executed by the
General Manager or other duly authorized official of the City in charge of
the water system, specifying the purpose for which such withdrawi is to be
made o
SECTION 4: The monies in said Construction Trust Fund
shall he aj~plled by the City in strict accordance with the terms and provisions
of the attached Resolution for the purposes of paying the costs of issuing
subject bonds, and for the construction or acquisition of improvements,
expansion and additions to the municipal water system.
SECTION 5: The City covenants and agrees that no vouchers
or checks for payment to any contractors or builders will be made or issued
until such contractors or builders shall have delivered to the City a bond or
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bonds executed by a qualified Surety authorized to do business in the State of
Florida, approved by the City and the Consulting Engineers in an amount at
least equal to the amount of such contracts, conditional for the due and faithful
performance of the work and providing, in addition, to all other conditions
that if the contractor or his, or its sub-contractors fail to duly pay for any
labor, or materials, supplied or used by such contractor, or his or its
sub-contractors, in performance of the work contrasted to be done, the Surety
will pay the same and that the Surety shall indemnity and saVe harmless the
City to the extent of any and all payments in connection with carrying out said
contract which the City may be required to make. The City further cove-
nants and agrees that it will not mm or issue any vouchers for payment to
any contractors or builders in excess of ninety (90) per centum of the amount
of such contract unless and until it shall receive a certificate of the Consulting
Engineers that such contracts have been fully and completely performed by
such contractors or builders. Ail vouchers received by the Trustee, as re-
quired hereunder and evidence of all checks paid pursuant hereto shall be
retained by the Trustee0 subject to reasonable inspection by the City, its
authorized agents or representatives.
SECTION 6: When the construction of the improvements,
expansion and additions to the municipal water system herein contemplated
have been fully completed, the Trustee shall be furnished a certificate show-
ing such completion and the date thereof and approved by the Consulting
Engineers. Thereupon any balance or surplus remaining in this Fund,
after ~ayment of all legal expenditures, shall be disbursed in accordance with
the terms and provisions of the Resolution dated January 11, 1961.
SECTION 7: The Trustee shall be pmotected and shall incur
no liability' in acting or proo.~eding in good faith upon any ',oucher, certificate,
check~ resolution, notice, telegram, request, consent, statement, affidavit,
bond, or other paper for which it shall in good faith believe to have been
fur~m~d ~rsu~t to
~t
employees ~ t~ Ci ~ or to 5ave ~en ~re~d
~ ~ p~visio~ of this Aaree~nent, ~,~tl 2~ T~stee ai~all ~ un~r no ~ty to
m~e ~Y inwstilation or inquiry as to any statements contained, or a~a~rs
conclu~ evi~n~ of t~e truth and ac~racy ~ such sta~ntm, and
T~ee $~all ~ relieved of all ~s~sibility with ~ei~ct to payment~
t The Trustee ~all not ~ un~r any
liability ior an)~i~ aris~i ~t of this Asree~nent, exce~ for its o~
{mute, la~ d i~d f~it~ or ~ull ~nim~n~ct.
~ld and ~al in ~y ~ said $1, 3~0, 000. 00 Water ~nue ~ ~ries 1960
ims~d pursuit to ti~ attached ~solut~n ~d may join in an> action w~ch any
~ hol~r m~y ~ entitled to rase wit~ li~e effect ~ If the T~tee were not
a ~, to t~ A~reement. T~e Trustee m~y ;3so engage in or ~ in. rested
~ any ftnanci~ or ot~er tr~nsa~iou w~th the Cit) or hol~r or nol~rm of said
~n~ ~ecured ~reb> or otmer obligations of the City as ireel~ as ~ ~ ~ere
not a party :o this Agreement.
the atiuct~d ilemolution select another ba~ as the ~sitory for the Co~truc-
%ion T~st ~nd ~vi~d for ~aerein, provied the~ is ~li-~red to the
T~st~ ~in, or an) ~uC~ssor ~a, at least ~ixty (60) ~ys notice, ~fo~
~ the r~a~ Co~truct/~ T~st Funs to $om~ other b~ by ll~i {ixt)
(60) ~ys n~i~ ~ ~itin/to tt~e City req~st~g such tr~fer.
is {ua~ for ~e ~fit ~ ~ hol~rs from tim~ to ti~ ~ t~ ~1, 3~0, 000. O0
Wa~r ~m~ B~ ~ries lVB0 issued ~rsu~nt to t~ attac~d ~solution
~d saw~ sh~ ~ e~orci~e by ay of thru hol~ t~re~ m ~ m~r ~o-
rigid l~ said R~soluttotm.
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SECTION 11: In addition to the other payments provided to be
made by said resolution and this a~eement from the Construction Trust
Fund, the Trustee shall be paid a Just compensation for its services
rendered during the term of this agreement, which compensation, it is
agreed by the parties shall be the total sum of $ · payable in
monthly irmtalhnents of $100. 00 each until the entire balance has been paid
in full, with the first of said payments being payable one month fr/~n the
date of the initial deposit hereunder.
SECTION 12: Subject to the lien of the Trustee for its proper
fees and expenses, the holders of said bonds issued Pursuant to the attached
· Resolution shall have a lien on all funds deposited in the Construction Trust
Fund account until paid out and applied in accordance with the terms of this
Agreement and attached Resolution.
IN WITNESS WHEREOF the parties hereto have caused this
Agreement to be executed by their proper corporate officers and their
spective seals affixed hereto the day and year first above written.
Witnesses: CITY OF BOYNTON BEACH, FLORIDA,
By_
ATTEST:
"As to City" ....
Mayor
"CITy"
City Clerk
(CORPOI~A TE SEAL)
As to Trustee"
~--~ AttorneY.
ATLANTIC NATIONAL BANK OF
WEST PALM BEACH
ViC~ident and Tru~
(CORPORATE SEAL)
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