13-16RESOLUTION NO. 13 -16
A RESOLUTION AUTHORIZING THE NEGOTIATED SALE OF NOT TO
EXCEED $11,605,000 CITY OF CLEARWATER, FLORIDA, STORMWATER
SYSTEM REVENUE REFUNDING BONDS, SERIES 2013; AWARDING THE
SALE THEREOF TO STI INSTITUTIONAL & GOVERNMENT, INC., SUBJECT
TO THE TERMS AND CONDITIONS OF A COMMITMENT LETTER;
APPOINTING AN ESCROW AGENT; APPOINTING AN ESCROW BIDDING
AGENT; APPOINTING A VERIFICATION AGENT; APPOINTING A PAYING
AGENT AND REGISTRAR; APPROVING THE FORM OF ESCROW DEPOSIT
AGREEMENT; PROVIDING CERTAIN OTHER MATTERS IN CONNECTION
WITH THE ISSUANCE AND DELIVERY OF SUCH BONDS; AND PROVIDING
AN EFFECTIVE DATE.
WHEREAS, on April 15, 1999, the City Commission of the City of Clearwater, Florida
(the "City" or the "Issuer ") enacted Ordinance No. 6378 -99 (the "Original Ordinance ") to provide
for the issuance of bonds payable from Net Revenues of the Stormwater System (as defined
therein); and
WHEREAS, on July 18, 2002, the City enacted Ordinance No. 6931 -02 (the "2002
Ordinance ") as amended by Ordinance No. 8419 -13 enacted on June 6, 2013 (the "2013
Ordinance" and, together with the Original Ordinance and the 2002 Ordinance, collectively, the
"Bond Ordinance ") which authorized the issuance of the City of Clearwater, Florida, Stormwater
System Revenue [Refunding] Bonds, Series [to be determined], as Additional Parity Obligations
under the Original Ordinance; and
WHEREAS, the City by this Resolution intends to provide for the issuance of not to
exceed $11,605,000 City of Clearwater, Florida Stormwater System Revenue Refunding Bonds,
Series 2013 (the "Series 2013 Bonds ") as Additional Parity Obligations to refund a portion of the
City's outstanding Stormwater System Revenue Bonds, Series 2004 (the "Refunded Bonds ");
and
WHEREAS, it is in the best interest of the City to provide for the negotiated sale of not to
exceed $11,605,000 of Series 2013 Bonds; and
WHEREAS, the Issuer issued a request for proposals ( "RFP ") to banking and other
institutions on April 16, 2013, and received responses thereto on May 16, 2013; and
WHEREAS, the Issuer now desires to approve the issuance of its Series 2013 Bonds, to
sell its Series 2013 Bonds pursuant to the RFP to STI Institutional & Government, Inc. ( "STI "),
the respondent who provided the most favorable response to the RFP, and to take certain other
actions in connection with the issuance and sale of the Series 2013 Bonds; and
WHEREAS, the Issuer will be provided all applicable disclosure information by STI as
required by Section 218.385, Florida Statutes; and
WHEREAS, this resolution shall constitute a supplemental resolution under the terms of
the Bond Ordinance, and all capitalized undefined terms used herein shall have the meanings
set forth in the Bond Ordinance;
Resolution No. 13 -16
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
CLEARWATER, FLORIDA:
SECTION 1. This Resolution is adopted pursuant to the provisions of Article VIII,
Section 2 of the Constitution of the State of Florida, Chapter 166, Florida Statutes, the Charter
of the City of Clearwater, Florida, the Bond Ordinance and other applicable provisions of law. A
series of the Stormwater System Revenue Refunding Bonds authorized by the Bond Ordinance
is hereby authorized to be issued in a principal amount of not to exceed $11,605,000 pursuant
to this Resolution, with such bonds hereby designated as Series 2013 (the "Series 2013
Bonds "). The Series 2013 Bonds authorized by this Resolution are hereby authorized to be
issued as Additional Parity Obligations under the Bond Ordinance. The issuance of not to
exceed $11,605,000 of the Series 2013 Bonds by the City is hereby approved upon the terms
and conditions set forth in the Bond Ordinance and this Resolution.
The refunding of the City's Stormwater System Revenue Bonds, Series 2004 maturing
on and after November 1, 2015 (the "Refunded Bonds "), with a redemption date of November 1,
2014 is hereby authorized, to be paid in part with the proceeds of the Series 2013 Bonds herein
authorized. The City Manager, or in his absence an Assistant City Manager, and Finance
Director are hereby authorized and directed to provide irrevocable directions to defease and
redeem the Refunded Bonds.
The provisions of the Bond Ordinance shall be fully applicable to the Series 2013 Bonds
and all of the covenants contained in the Bond Ordinance shall be applicable to the Series 2013
Bonds. For purposes hereof, the City acknowledges that the provisions of Section 21 of the
Original Ordinance respecting the rights of a Bond Insurer to exercise the rights of a bondholder
apply only as to the bonds insured by such Bond Insurer and shall not be applicable to the
Series 2013 Bonds as the Series 2013 Bonds are not insured by a Bond Insurer.
SECTION 2. It is in the best interest of the Issuer and the residents and inhabitants
thereof that the Series 2013 Bonds be issued as fully certificated bonds to STI.
SECTION 3. Due to the present instability in the market for revenue obligations, the
critical importance of the timing of the sale of the Bonds and due to the willingness of STI to
purchase the Series 2013 Bonds at rates favorable to the Issuer, it is hereby determined that it
is in the best interest of the public and the Issuer to sell the Series 2013 Bonds at a negotiated
sale. The Issuer has received an offer from STI to purchase the Series 2013 Bonds, subject to
the terms and conditions set forth in STI's Commitment (the "STI Commitment ") dated May 15,
2013, attached hereto as Exhibit A and incorporated herein by reference, which Bank Proposal
is hereby accepted by the City.
The Series 2013 Bonds are hereby sold and awarded to STI in accordance with the STI
Commitment at the price of par, and the Mayor, or in his absence the Vice - Mayor, and the City
Manager, or in his absence an Assistant City Manager, are hereby authorized to execute and
deliver the Series 2013 Bonds substantially in the form attached hereto as Exhibit B attested by
the City Clerk and approved as to form and legal sufficiency by the City Attorney, receive the
purchase price therefor and apply the proceeds thereof to the refunding of the Refunded Bonds
as provided herein, without further authority from this body. The Mayor, or in his absence the
Vice - Mayor, and the City Manager, or in his absence an Assistant City Manager, are authorized
Resolution No. 13 -16
2
to make any and all changes on the form of the Series 2013 Bonds which shall be necessary to
conform the same to the STI Commitment. Execution of the Bond by the Mayor, or in his
absence the Vice - Mayor, and the City Manager, or in his absence an Assistant City Manager,
shall be conclusive evidence of their approval of the form of the Series 2013 Bonds. The Bonds
shall be payable solely as provided herein. Prior to purchase of the Series 2013 Bonds, STI
shall execute a Purchaser's Certificate attached hereto as Exhibit C. The disclosure letter as
required by Chapter 218, Florida Statutes is attached hereto as Exhibit D. In connection with
the transfer of a Series 2013 Bond to a subsequent holder except for an affiliate of STI, such
successor holder shall deliver to the City a Purchaser's Certificate substantially in the form
attached hereto as Exhibit C prior to such Series 2013 Bond being registered in the name of
such successor holder. For purposes of this provision "affiliate" shall mean, as to any person,
any other person that directly, or indirectly through one or more intermediaries, Controls, is
Controlled by, or is under common Control with, such person. For the purposes of this
definition, "Control" shall mean the power, directly or indirectly, either to (i) vote 5% or more of
the securities having ordinary voting power for the election of directors (or persons performing
similar functions) of a person or (ii) direct or cause the direction of the management and policies
of a person, whether through the ability to exercise voting power, by control or otherwise. The
terms "Controlled by" and "under common Control with" have the meanings correlative thereto.
SECTION 4. The Series 2013 Bonds shall be issued in fully registered form; shall be
dated as of their date of initial issuance; shall be numbered; shall be in a single denomination
equal to the principal amount thereof; shall mature on September 1, 2032; shall bear interest at
the rate of 2.98 %, subject to the provision of Section 9 hereof; and such interest to be payable
semi - annually on the first (1st) day of each May and November, commencing on November 1,
2013. Interest shall be calculated on the basis of a 360 day year consisting of twelve 30 day
months. On the date of the issuance of the Bonds, the Issuer shall receive the proceeds thereof
and deposit same in accordance with the Escrow Deposit Agreement.
The Series 2013 Bonds shall be subject to optional redemption in whole but not in part,
upon two Business Days prior written notice, on any date prior to their maturity date
commencing with the sixth (6th) anniversary of the dated date of the Series 2013 Bonds at a
redemption price equal to the principal amount being redeemed together with interest accrued
to the date of redemption.
The Series 2013 Bonds are subject to Amortization Installments in part prior to maturity
at a redemption price equal to 100% of the principal amount thereof, plus accrued interest to the
redemption date beginning on November 1, 2013 and on each November 1 thereafter in the
following principal amounts in the years specified:
Date
2013
2014
2015
2016
2017
2018
2019
2020
Principal Amount
3
Date
2023
2024
2025
2026
2027
2028
2029
2030
Principal Amount
Resolution No. 13 -16
2021 2031
2022 2032
Notwithstanding the foregoing, for so long as the Series 2013 Bonds are owned by STI,
(i) the principal of, redemption price and interest on the Series 2013 Bonds shall be payable to
STI on the respective principal and interest payment dates through ACH direct transfer to STI,
and upon transfer of the Series 2013 Bonds to a subsequent holder, at such address as is
provided by such subsequent holder in writing to the Issuer without presentation of the Series
2013 Bonds, and (ii) in the event of a conflict between the terms of the Series 2013 Bonds or
this Resolution and the STI Commitment, the terms and conditions of the STI Commitment shall
control.
SECTION 5. The Series 2013 Bonds shall be issued under and secured by the Bond
Ordinance and shall be executed and delivered by the Mayor, or in his absence the Vice - Mayor,
the City Manager, or in his absence an Assistant City Manager, and the City Clerk upon the
approval of the City Attorney as to form and legal sufficiency, in substantially the form set forth
in the Bond Ordinance and Exhibit B hereto, with such additional changes and insertions therein
as conform to the provisions of the STI Commitment and such execution and delivery shall be
conclusive evidence of the approval thereof by such officers.
SECTION 6. U.S. Bank, National Association, is hereby designated and authorized to
serve as Escrow Agent for the Series 2013 Bonds. The Escrow Deposit Agreement is to be in
substantially the form set forth in Exhibit E attached hereto, together with such changes as shall
be approved by the Mayor, or in his absence the Vice - Mayor, the City Manager, or in his
absence an Assistant City Manager, such approval to be conclusively evidenced by their
execution thereof. The execution of the Escrow Deposit Agreement is hereby approved, and
the execution of the Escrow Deposit Agreement by the Mayor, or in his absence the Vice -
Mayor, the City Manager, or in his absence an Assistant City Manager, is hereby authorized, to
be attested by the City Clerk, the form of which to be approved by the City Attorney. At the time
of execution of the Escrow Deposit Agreement, the City shall furnish to the Escrow Agent
named therein appropriate documentation to demonstrate that the sums being deposited and
the investments to be made will be sufficient for such purposes.
SECTION 7. GNP Services, CPA, PA, is hereby appointed as the Verification Agent for
the defeasance of the Refunded Bonds.
SECTION 8. The City's Finance Director is hereby appointed to serve as the Paying
Agent and Registrar for the Series 2013 Bonds.
SECTION 9. Causey Demgen & Moore, PC, is hereby appointed as the Escrow Bidding
Agent for the defeasance of the Refunded Bonds.
SECTION 10. The interest payable on the Series 2013 Bonds shall be subject to
adjustment in accordance with the following provisions:
"Default Rate" shall mean a rate per annum equal to the lesser of the maximum rate
permitted by law or 18 %.
Resolution No. 13 -16
4
"Determination of Taxability" means a final decree or judgment of any Federal court or a
final action of the Internal Revenue Service determining that interest paid or payable on the
Series 2013 Bonds is or was includable in the gross income of a Bondholder for Federal income
tax purposes; provided, that no such decree, judgment, or action will be considered final for this
purpose, however, unless the City has been given written notice and, if it is so desired and is
legally allowed, has been afforded the opportunity to contest the same, either directly or in the
name of any Bondholder, and until the conclusion of any appellate review, if sought.
"Interest Rate" shall mean a per annum rate equal to 2.98 %, prior to a Determination of
Taxability or an Event of Default, calculated on the basis of a 360 day year consisting of twelve
30 day months.
"Taxable Period" shall mean the period of time between (a) the date that interest on the
Series 2013 Bonds is deemed to be includable in the gross income of the Holder thereof for
federal income tax purposes as a result of a Determination of Taxability, and (b) the date of the
Determination of Taxability.
"Taxable Rate" shall mean, upon a Determination of Taxability, the interest rate per
annum that shall provide the Holder with the same after tax yield that the Holder would have
otherwise received had the Determination of Taxability not occurred, taking into account the
increased taxable income of the Holder as a result of such Determination of Taxability. The
Holder shall provide the City with a written statement explaining the calculation of the Taxable
Rate, which statement shall, in the absence of manifest error, be conclusive and binding on the
City.
The issuer shall pay interest upon the unpaid principal balance of the Series 2013 Bonds
at the Interest Rate, subject to adjustment as provided herein. Upon a Determination of
Taxability, the Interest Rate shall be the Taxable Rate as hereinafter provided, and upon and
during the continuance of an Event of Default (notwithstanding that a Determination of Taxability
has also occurred) the Interest Rate shall equal the Default Rate.
If the Interest Rate on the Series 2013 Bonds is changed due to a Determination of Taxability,
the Interest Rate shall equal the Taxable Rate for the Taxable Period.
Upon the occurrence of a Determination of Taxability and for as long as the Series 2013
Bonds remains outstanding, the Interest Rate on the Series 2013 Bonds shall be converted to
the Taxable Rate. In addition, upon a Determination of Taxability, the Issuer shall pay to the
Holder (i) an additional amount equal to the difference between (A) the amount of interest
actually paid on the Series 2013 Bonds during the Taxable Period and (B) the amount of
interest that would have been paid during the Taxable Period had the Series 2013 Bonds borne
interest at the Taxable Rate, and (ii) an amount equal to any interest, penalties on overdue
interest and additions to tax (as referred to in Subchapter A of Chapter 68 of the Code) owed by
the Holder as a result of the Determination of Taxability. This adjustment shall survive payment
of the Series 2013 Bonds until such time as the federal statute of limitations under which the
interest on the Series 2013 Bonds could be declared taxable under the Code shall have expired.
SECTION 11. For purposes hereof, the Reserve Requirement (as defined in the Bond
Ordinance) for the Series 2013 Bonds shall be $0.00, and the Series 2013 Bonds shall not be
Resolution No. 13 -16
5
entitled to any security provided by any monies on deposit in the Reserve Account.
SECTION 12. The City agrees with the holder of the Series 2013 Bonds to not change
or amend the covenants set forth in Section 20 of the Original Ordinance in a manner that would
adversely affect the rights and interests of the holder of the Series 2013 Bonds without the
consent of such holder.
SECTION 13. All prior resolutions of the Issuer inconsistent with the provisions of this
resolution are hereby modified, supplemented and amended to conform with the provisions
herein contained and except as otherwise modified, supplemented and amended hereby shall
remain in full force and effect.
SECTION 14. The Mayor, or in his absence the Vice - Mayor, the City Manager, or in his
absence an Assistant City Manager, the Finance Director, the City Attorney and the City Clerk
or any other appropriate officers of the Issuer are hereby authorized and directed to execute any
and all certifications or other instruments or documents required by the Resolution, the STI
Commitment, the Escrow Deposit Agreement or any other document referred to above as a
prerequisite or precondition to the issuance of the Series 2013 Bonds and any such representa-
tion made therein shall be deemed to be made on behalf of the Issuer. In the event both the
Mayor and the Vice -Mayor are unable to execute the documents related to the Series 2013
Bonds, then any other member of the City Council shall be authorized to execute such
documents with the full force and effect as if the Mayor or the Vice -Mayor had executed same.
All action taken to date by the officers of the Issuer in furtherance of the issuance of the Series
2013 Bonds is hereby approved, confirmed and ratified.
SECTION 15. The proceeds received from the delivery of the Series 2013 Bonds,
together with any other monies lawfully available therefor, shall be applied by the City
simultaneously with the delivery of the Series 2013 Bonds to STI, as follows:
(i) to the extent not paid from legally available funds of the City, an amount which
shall pay the costs and expenses associated with the issuance of the Series 2013 Bonds; and
(ii) a sum specified in the Escrow Agreement that shall be sufficient, taking into
account other legally available moneys of the City, if any, to pay the principal of, interest on and
redemption premium, if any, on the Refunded Bonds, shall be deposited into the escrow
account created under the Escrow Agreement (the "Escrow Account ").
Simultaneously with the delivery of the Series 2013 Bonds, the City is authorized to
transfer or cause to be transferred to the Escrow Account, moneys, if any, accumulated in any
sinking and /or reserve funds which were intended to be used to pay debt service on the
Refunded Bonds.
The proceeds of the Series 2013 Bonds shall be and constitute trust funds for the
purposes hereinafter provided and there is hereby created a lien upon such monies, until so
applied, in favor of the Holders of the Series 2013 Bonds.
Resolution No. 13 -16
SECTION 16. The City will submit to STI the City's annual financial statements within
270 days of the end of each fiscal year, together with any other information STI may reasonably
request.
SECTION 17. To the extent permitted by law, the City knowingly, voluntarily, and
intentionally waives any right it may have to a trial by jury, with respect to any litigation or legal
proceedings based on or arising out of this Resolution or the Series 2013 Bonds, including any
course of conduct, course of dealings, verbal or written statement or actions or omissions of any
party which in any way relates to the Series 2013 Bonds or this Resolution.
SECTION 18. The substantive laws of the State of Florida shall govern this Agreement.
The parties hereto submit to the jurisdiction of Florida courts and agree that venue for any suit
concerning this Resolution shall be in Pinellas County, Florida.
SECTION 19. This Resolution shall become effective immediately upon its adoption.
Passed and adopted by the City Council of the City of Clearwater, Florida, this 19th day
of June, 2013.
Approved as to form:
14k
Pamela . Akin
City Attorney
Attest:
CITY OF CLEARWATER, FLORIDA
By:
- el,Uttt A tf.ettoS
George N. Cretekos
Mayor
Rosemarie Call
City Clerk
7
Resolution No. 13 -16
EXHIBIT A
STI COMMITMENT LETTER
Resolution No. 13 -16
A -1
EXHIBIT B
FORM OF SERIES 2013 BOND
EXCEPT AS OTHERWISE PROVIDED IN RESOLUTION NO. 13 -16 (THE "RESOLUTION "),
ANY OWNER SHALL, PRIOR TO BECOMING A HOLDER, EXECUTE A PURCHASER'S
CERTIFICATE IN THE FORM ATTACHED TO THE RESOLUTION CERTIFYING, AMONG
OTHER THINGS, THAT SUCH HOLDER IS AN "ACCREDITED INVESTOR" AS SUCH TERM
IS DEFINED IN THE SECURITIES ACT OF 1933, AS AMENDED, AND REGULATION D
THEREUNDER.
No. R -1 $
UNITED STATES OF AMERICA
STATE OF FLORIDA
COUNTY OF PINELLAS
CITY OF CLEARWATER
STORMWATER SYSTEM REVENUE REFUNDING BOND, SERIES 2013
Interest Rate Maturity Date Dated Date CUSIP
2.98% November 1, 2032 June 28, 2013 N/A
Registered Owner: STI INSTITUTIONAL & GOVERNMENT, INC.
Principal Amount: and No /100 Dollars
KNOW ALL MEN BY THESE PRESENTS that the City of Clearwater Florida (the
"Issuer" or the "City "), for value received, promises to pay to the order of the Registered Owner
identified above or registered assigns, on the Maturity Date identified above, the Principal
Amount shown above solely from the revenues hereinafter mentioned and to pay solely from
such revenues, interest on said sum from the date of this Bond or from the most recent interest
payment date to which interest has been paid, at the Interest Rate per annum set forth above
(as adjusted from time to time as hereinafter provided) until the payment of such Principal
Amount, such interest being payable on November 1, 2013 and semiannually thereafter on May
1 and November 1 of each year. The principal of and premium, if any, on this Bond on the final
amortization date or earlier date of redemption in full are payable upon presentation and
surrender hereof on the date fixed for final maturity or earlier redemption at the principal office of
the Finance Director of the City of Clearwater, Florida (the "Paying Agent ") in Clearwater,
Florida, or at the office designated for such payment of any successor thereof. The principal of
and interest on this Bond when due and payable, shall be paid through ACH direct transfer to
the Registered Owner, and upon transfer of the Series 2013 Bonds to a subsequent holder, by
check or draft mailed to, or through ACH direct transfer to, the person in whose name this Bond
is registered at such address as is provided by such subsequent holder in writing to the City
without presentation (except upon final maturity or earlier redemption in full) of the Series 2013
Bonds as reflected on the books and records of the Bond Registrar, at the close of business on
the 15th day of the month (whether or not a business day) next preceding the interest payment
Resolution No. 13 -16
B -1
date (the "Record Date "), irrespective of any transfer of this Bond subsequent to such Record
Date and prior to such interest payment date, unless the Issuer shall be in default in payment of
interest due on such interest payment date. In the event of any such default, such defaulted
interest shall be payable to the person in whose name such Bond is registered at the close of
business on a special record date for the payment of defaulted interest as established by notice
mailed by the Registrar to the Registered Owner not less than fifteen days preceding such
special record date. Such notice shall be mailed to the person in whose name such Bond is
registered at the close of business on the fifth (5th) day preceding the date of mailing. All
amounts due hereunder shall be payable in any coin or currency of the United States of
America, which is, at the time of payment, legal tender for the payment of public or private
debts.
The interest payable on the Series 2013 Bonds shall be subject to adjustment in
accordance with the following provisions:
"Default Rate" shall mean a rate per annum equal to the lesser of the maximum rate
permitted by law or 18 %.
"Determination of Taxability" means a final decree or judgment of any Federal court or a
final action of the Internal Revenue Service determining that interest paid or payable on the
Series 2013 Bonds is or was includable in the gross income of a Bondholder for Federal income
tax purposes; provided, that no such decree, judgment, or action will be considered final for this
purpose, however, unless the City has been given written notice and, if it is so desired and is
legally allowed, has been afforded the opportunity to contest the same, either directly or in the
name of any Bondholder, and until the conclusion of any appellate review, if sought.
"Interest Rate" shall mean a per annum rate equal to 2.98 %, prior to a Determination of
Taxability or an Event of Default, calculated on the basis of a 360 day year consisting of twelve
30 day months.
"Taxable Period" shall mean the period of time between (a) the date that interest on the
Series 2013 Bonds is deemed to be includable in the gross income of the Holder thereof for
federal income tax purposes as a result of a Determination of Taxability, and (b) the date of the
Determination of Taxability.
"Taxable Rate" shall mean, upon a Determination of Taxability, the interest rate per
annum that shall provide the Holder with the same after tax yield that the Holder would have
otherwise received had the Determination of Taxability not occurred, taking into account the
increased taxable income of the Holder as a result of such Determination of Taxability. The
Holder shall provide the City with a written statement explaining the calculation of the Taxable
Rate, which statement shall, in the absence of manifest error, be conclusive and binding on the
City.
The Issuer shall pay interest upon the unpaid principal balance of the Series 2013 Bonds
at the Interest Rate, subject to adjustment as provided herein. Upon a Determination of
Taxability, the Interest Rate shall be the Taxable Rate as hereinafter provided, and upon and
during the continuance of an Event of Default (notwithstanding that a Determination of Taxability
has also occurred) the Interest Rate shall equal the Default Rate.
Resolution No. 13 -16
B -2
If the Interest Rate on the Series 2013 Bonds is changed due to a Determination of Taxability,
the Interest Rate shall equal the Taxable Rate for the Taxable Period.
Upon the occurrence of a Determination of Taxability and for as long as the Series 2013
Bonds remains outstanding, the Interest Rate on the Series 2013 Bonds shall be converted to
the Taxable Rate. In addition, upon a Determination of Taxability, the Issuer shall pay to the
Holder (i) an additional amount equal to the difference between (A) the amount of interest
actually paid on the Series 2013 Bonds during the Taxable Period and (B) the amount of
interest that would have been paid during the Taxable Period had the Series 2013 Bonds borne
interest at the Taxable Rate, and (ii) an amount equal to any interest, penalties on overdue
interest and additions to tax (as referred to in Subchapter A of Chapter 68 of the Code) owed by
the Holder as a result of the Determination of Taxability. This adjustment shall survive payment .
of the Series 2013 Bonds until such time as the federal statute of limitations under which the
interest on the Series 2013 Bonds could be declared taxable under the Code shall have expired.
This Bond is one of an authorized issue of Bonds in the aggregate principal amount of
$ issued in a single principal amount, to (a) advance refund a portion of the
outstanding principal amount of the City's Stormwater System Revenue Bonds, Series 2004,
and (b) pay a portion of the costs of issuing the Bonds, all in full compliance with the
Constitution and Statutes of the State of Florida, including particularly Chapter 166, Part II,
Florida Statutes, and Ordinance No. 6378 -99, enacted by the City Council of the City on April
15, 1999, as amended and supplemented by Ordinance No. 6931 -02, enacted on July 18, 2002
and Ordinance No. 8419 -13 enacted on June 6, 2013, and as further supplemented by
Resolution No. 13 -16, adopted on June 19, 2013 (collectively, the "Ordinance "), and is subject
to all the terms and conditions of the Ordinance. All capitalized undefined terms used herein
shall have the meanings set forth in the Ordinance.
This Bond is payable solely from and secured by a pledge of the Net Revenues of the
System levied and collected by the City and the moneys in certain funds and accounts created
pursuant to the Ordinance, with the exception of the Rebate Fund (collectively, the "Pledged
Revenues "), in the manner provided in the Ordinance. Reference is made to the Ordinance for
more complete definition and description of the System and the Pledged Revenues. The lien of
the Bonds on the Net Revenues is on a parity with the holders of the unrefunded portion of the
City's outstanding Stormwater System Revenue Bonds, Series 2004, the City's Stormwater
System Revenue Refunding Bonds, Series 2005 and the City's outstanding Stormwater System
Revenue Bonds, Series 2012.
The Series 2013 Bonds shall be subject to optional redemption in whole but not in part,
upon two Business Days prior written notice, on any date prior to their maturity date
commencing with the sixth (6t") anniversary of the dated date of the Series 2013 Bonds at a
redemption price equal to the principal amount being redeemed together with interest accrued
to the date of redemption.
Resolution No. 13 -16
B -3
The Series 2013 Bonds are subject to Amortization Installments in part prior to maturity
at a redemption price equal to 100% of the principal amount thereof, plus accrued interest to the
redemption date beginning on November 1, 2013 and on each November 1 thereafter in the
following principal amounts in the years specified:
Date
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
Principal Amount
Date
2023
2024
2025
2026
2027
2028
2029
2030
2031
2032
Principal Amount
This Bond does not constitute a general indebtedness of the Issuer within the meaning
of any constitutional, statutory or charter provision or limitation, and it is expressly agreed by the
Holder of this Bond that such Bondholder shall never have the right to require or compel the
exercise of the ad valorem taxing power of the Issuer or taxation of any real or personal
property therein for the payment of the principal of and interest on this Bond or the making of
any debt service fund, reserve or other payments provided for in the Ordinance.
It is further agreed between the Issuer and the Holder of this Bond that this Bond and the
indebtedness evidenced thereby shall not constitute a lien upon the System, or any part thereof,
or on any other property of or in the City, but shall constitute a lien only on the Pledged
Revenues all in the manner provided in the Ordinance.
The Issuer has covenanted, in the Ordinance, to fix, establish, revise from time to time
whenever necessary, maintain and collect always such fees, rentals and other charges for the
services of the System which will always provide Gross Revenues in each Fiscal Year sufficient
to pay the Cost of Operation and Maintenance of the System in such Fiscal Year one hundred
fifteen percent (115 %) of the Bond Service Requirement becoming due in such year on the
Outstanding Bonds. Such rates, fees, rentals or other charges shall not be reduced so as to
render them insufficient to provide Gross Revenues for the purposes provided therefore by the
Ordinance. The Issuer has entered into certain further covenants with the Holders of the Bonds
of this issue for the terms of which reference is made to the Ordinance.
It is certified that this Bond is authorized by and is issued in conformity with the
requirements of the Constitution and Statutes of the State of Florida.
If the date for payment of the principal of, premium, if any, or interest on this Bond shall
be a Saturday, Sunday, legal holiday or a day on which banking institutions in the city where the
Paying Agent is located are authorized by law or executive order to close, then the date for such
payment shall be the next succeeding day which is not a Saturday, Sunday, legal holiday or a
day on which such banking institutions are authorized to close, and payment on such date shall
have the same force and effect as if made on the nominal date of payment.
Resolution No. 13 -16
B -4
This Bond is and has all the qualities and incidents of a negotiable instrument under
Article 8 of the Uniform Commercial Code, the State of Florida, Chapter 678, Florida Statutes.
The transfer of this Bond is registerable by the Bondholder hereof in person or by his
attorney or legal representative at the principal corporate trust office of the Registrar but only in
the manner and subject to the conditions provided in the Ordinance and upon surrender and
cancellation of this Bond.
IN WITNESS WHEREOF, the City of Clearwater, Florida, has issued this Bond and has
caused the same to be signed by its Mayor and City Manager or an Assistant City Manager and
countersigned and attested to by its Clerk and approved as to form, sufficiency and correctness
by the City Attorney (the signatures of the Mayor, the City Manager, the City Attorney and the
City Clerk being authorized to be facsimiles of such officers' signatures), and its seal or facsimile
thereof to be affixed, impressed, imprinted, lithographed or reproduced hereon, all as of the
Dated Date.
(SEAL)
ATTESTED AND COUNTERSIGNED:
City Clerk
Approved as to form and legal sufficiency:
City Attorney
CITY OF CLEARWATER, FLORIDA
Mayor
[Assistant] City Manager
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Resolution No. 13 -16
ASSIGNMENT AND TRANSFER
FOR VALUE RECEIVED the undersigned hereby sells, assigns and transfers unto
(Please insert Social Security or other identifying number of
assignee) the attached Bond of the City of Clearwater, Florida, and does hereby
constitute and appoint , attorney, to transfer the said Bond on the books
kept for registration thereof, with full power of substitution in the premises.
Date:
Signature Guaranteed by:
[member firm of the New York Stock Exchange or a commercial bank or a trust company.]
By:
Title:
NOTICE: No transfer will be registered and no new Bonds will be issued in the name of the
Transferee, unless the signature to this assignment corresponds the name as it appears upon
the face of the within Bond in particular, without alteration or enlargement or any change
whatever and the Social Security or Federal Employer Identification Number of the Transferee is
supplied.
Resolution No. 13 -16
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EXHIBIT C
FORM OF PURCHASER CERTIFICATE
Mayor and City Council
City of Clearwater
Clearwater, Florida
Ladies and Gentlemen:
This Certificate is being executed and delivered by the undersigned as purchaser (the
"Purchaser ") to the City of Clearwater, Florida (the "City "), in connection with the issuance, sale
and delivery of the City's Stormwater System Revenue Refunding Bonds, Series 2013 (the
"Bonds ") to the Purchaser, in accordance with the terms of the Purchaser's Commitment Letter
to the City dated May 15, 2013, being issued pursuant to Ordinance No. 6378 -99 (the "Original
Ordinance "), and Ordinance No. 6931 -02 (the "2002 Ordinance ") and Ordinance No. 8419 -13
(the "2013 Ordinance ", and, together with the Original Ordinance and the 2002 Ordinance,
collectively, the "Bond Ordinance ") and Resolution No. 13 -16 (the "Resolution ") for the purpose
of refunding a portion of the City's Stormwater System Revenue Bonds, Series 2004 (the
"Refunded Bonds "). Terms defined in the Resolution are used in this letter with the meanings
assigned to them in the Bond Ordinance and the Resolution.
The undersigned hereby represents, warrants and agrees to and with the City that:
1. The Purchaser is an accredited investor as such term is defined in the Securities
Act of 1933, as amended, and Regulation D issued pursuant thereto, a principal part of whose
business consists of buying securities such as the Bonds.
2. The Purchaser has received copies of the Bond Ordinance and the Resolution
and certain of the other documents or instruments being delivered in connection with the
issuance of the Bonds, and said documents are in form and substance satisfactory to the
Purchaser and its counsel.
3. The Purchaser has conducted its own investigations, to the extent it deems
satisfactory or sufficient into matters relating to the business, properties, management, and
financial position and results of operations of the City.
4. The Purchaser understands that the Bonds are not registered under the
Securities Act of 1933, as amended. The Purchaser is purchasing the Bonds for its own
account for investment and not with a view to, and with no present intention of, distributing or
reselling the Bonds or any portion thereof, providing that the Purchaser reserves the right to
transfer any or all of the Bonds purchased or any interest therein at any time and in our sole
discretion and, in the event that we so transfer Bonds, we assume the responsibility for
complying with any applicable federal and state securities laws.
Resolution No. 13 -16
C -1
The Purchaser understands and agrees that the foregoing representations will be relied
upon by the City in the issuance of the Bonds.
Very truly yours,
STI INSTITUTIONAL & GOVERNMENT, INC.,
as Purchaser
By:
Name:
Title:
Resolution No. 13 -16
C -2
EXHIBIT D
FORM OF DISCLOSURE LETTER
Mayor and City Council
City of Clearwater
Clearwater, Florida
Ladies and Gentlemen:
1. An itemized list setting forth the nature and estimated amounts of expenses to be
incurred by STI Institutional & Government, Inc., as the original purchaser (the "Purchaser") in
connection with the issuance of $ in aggregate principal amount of the City of
Clearwater, Florida Stormwater System Refunding Revenue Bonds, Series 2013 (the "Bonds ")
is attached as Schedule I hereto.
2. No compensation was paid to any finders, as defined in Section 218.386, Florida
Statutes, as amended, in connection with the issuance of the Bonds.
3. Underwriting fees in the amount of $0.00 are expected to be realized in the sale
of the Bonds.
4. The Bonds are being placed with the Purchaser, as the original purchaser
thereof, and no management fee is being charged.
5. No other fee, bonus or other compensation is to be paid by the Purchaser in
connection with the Bond issue to any person not regularly employed or retained by them,
except for compensation of $ to Holland & Knight, in its capacity as counsel to the
Purchaser, which amount is being paid by the City.
6. There were no underwriters involved in the placement of the Bonds to the
Purchaser.
7. (a) The City is proposing to issue $ aggregate principal amount of
debt or obligations for the purpose of refunding the City's Stormwater System Revenue Bonds,
Series 2004. This debt or obligation is expected to be repaid over a period of 19.3 years. At a
forecasted true interest cost rate of 2.98 %, total interest paid over the life of the debt or
obligation will be $
(b) The source of repayment for this issue is the Stormwater System Revenues of the
City. Authorizing this debt will result in approximately $ of such revenues of the
City not being available to finance other services of the City each year for 19.3 years.
Resolution No. 13 -16
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We understand that you do not require any further disclosure from the Purchaser,
pursuant to Section 218.385, Florida Statutes, as amended.
STI INSTITUTIONAL & GOVERNMENT, INC.
By:
Name:
Title:
Resolution No. 13 -16
D -2
SCHEDULE 1
EXPENSES
Resolution No. 13 -16
D -3
EXHIBIT E
FORM OF ESCROW DEPOSIT AGREEMENT
ESCROW DEPOSIT AGREEMENT
This ESCROW DEPOSIT AGREEMENT, dated as of June 28, 2013, by and between
the CITY OF CLEARWATER, FLORIDA, a municipal corporation of the State of Florida (the
"Issuer "), and U.S. Bank National Association., a national banking association organized under
the laws of the United States of America, as Escrow Holder (the "Escrow Holder ");
WITNESSETH:
WHEREAS, the Issuer has previously authorized and issued obligations of the Issuer as
hereinafter set forth defined as the "Refunded Bonds ", as to which the Aggregate Debt Service
(as hereinafter defined) is set forth on Schedule A; and
WHEREAS, the Issuer has determined to provide for payment of the Aggregate Debt
Service of the Refunded Bonds by depositing with the Escrow Holder pursuant to the provisions
hereof, cash and Federal Securities (as defined herein), the principal of and interest on which
will be at least equal to the Aggregate Debt Service; and
WHEREAS, in order to obtain the funds needed for such purpose, the Issuer has
authorized and is, concurrently with the delivery of this Agreement, issuing the Series 2013
Bonds more fully described herein; and
WHEREAS, the Issuer has determined that the amount to be on deposit from time to
time in the Escrow Account, as defined herein, will be sufficient to pay the Aggregate Debt
Service;
NOW THEREFORE, in consideration of the mutual covenants and agreements herein
contained, the Issuer and the Escrow Holder agree as follows (provided however that the
Escrow Holder in agreeing to the foregoing shall not be held or deemed responsible in any
manner whatsoever for the recitals made herein or in the Ordinance, or the adequacy or
sufficiency of the Escrow Requirement):
Section 1. Definitions. As used herein, the following terms mean:
(a) "Aggregate Debt Service" means, as of any date, the sum of all present and
future Annual Debt Service payments then remaining unpaid with respect to the respective
Series of the Refunded Bonds.
(b) "Agreement" means this Escrow Deposit Agreement.
(c) "Annual Debt Service" means, with respect to the redemption date for the
Refunded Bonds, the principal of, premium, and interest on the respective Series of the
Resolution No. 13 -16
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Refunded Bonds coming due on the redemption date as shown on Schedule A attached hereto.
(d) "Bonds" or "Series 2013 Bonds" means the Stormwater System Revenue
Refunding Bonds, Series 2013 of the Issuer, authorized by the Ordinance, as herein defined.
(e) "Call Date" shall have the meaning set forth in the Issuer's Irrevocable Instruction
and Authorization to Redeem Bonds.
(f) "Escrow Account" means the account established and held by the Escrow Holder
pursuant to this Agreement, in which cash and investments will be held for payment of the
Refunded Bonds.
(g) "Escrow Holder" means U.S. Bank National Association, a national banking
association organized under the laws of the United States of America.
(h) "Escrow Requirement" means, as of any date of calculation, the sum of an
amount in cash and principal amount of Federal Securities in the Escrow Account which,
together with the interest due on the Federal Securities, will be sufficient to pay, as the
installments thereof become due, the Aggregate Debt Service.
(1) "Federal Securities" means direct obligations of the United States of America and
obligations the principal of or interest on which are fully guaranteed by the United States of
America, none of which permit redemption prior to maturity at the option of the obligor.
(i) "Irrevocable Instruction and Authorization to Redeem Bonds" means a certificate
executed by the Issuer which provides for redemption of certain of the Refunded Bonds on the
Call Date, irrevocably instructs the Escrow Holder to give notice of such redemption and directs
the paying agent for the Refunded Bonds to pay the Refunded Bonds and the interest thereon
upon surrender thereof at maturity or on their Call Date, whichever is earlier.
(k) "Issuer" means the City of Clearwater, Florida.
(1) "Ordinance" means Ordinance No. 6378 -99 enacted by the Issuer on April 15,
1999, as amended and supplemented in Ordinance 6931 -02, enacted on July 18, 2002, as
amended and supplemented in Ordinance No. 8419 -13, enacted on June 6, 2013.
(m) "Paying Agent" shall mean the U.S. Bank National Association, Orlando, Florida,
Paying Agent for the Refunded Bonds.
(n) "Refunded Bonds" shall mean the Issuer's Stormwater System Revenue Bonds,
Series 2004, maturing on or after November 1, 2015.
Section 2. Deposit of Funds. The Issuer hereby deposits $ with
the Escrow Holder in immediately available funds, to be held in irrevocable escrow by the
Escrow Holder and applied solely as provided in this Agreement. The Issuer represents that:
(a) Such funds are all derived as follows:
Resolution No. 13 -16
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(1) $ from the net proceeds of the Bonds; and
(2) $ transferred from other legally available funds of the
Issuer.
(b) Such funds, when applied pursuant to Section 3 below, will at least equal the
Escrow Requirement as of the date hereof.
Section 3. Use and Investment of Funds. The Escrow Holder acknowledges receipt
of $ and agrees:
(a) to hold the funds in irrevocable escrow during the term of this Agreement,
(b) to deposit the sum of $ of funds from the Debt Service Fund,
$ of funds from the Debt Service Reserve Fund for the Refunded Bonds and
$ from the proceeds of the Bonds, in cash from the amount received by the
Issuer in the Escrow Account, and, hold such funds in cash until the November 1, 2014
redemption date of the outstanding Refunded Bonds unless the Escrow Holder receives the
direction from the Issuer described in clause (c) below.
(c) The Escrow Holder shall invest the moneys held in the Escrow Account upon
written direction of the Issuer accompanied by (1) a list of the Federal Securities to be
purchased, (2) a report of an independent certified accountant verifying the sufficiency of the
receipts from the Federal Securities will be sufficient to redeem the Refunded Bonds on
November 1, 2014, and (3) an opinion of Bond Counsel to the effect that such investment will
not materially adversely affect the exclusion of the interest on the Series 2013 Bonds from
income for purposes of federal income taxation.
Section 4. Payment of Refunded Bonds.
(a) Refunded Bonds. On the redemption date for the Refunded Bonds, the Escrow
Holder shall pay to the Paying Agent for the Refunded Bonds, from the cash on hand in the
Escrow Account, a sum sufficient to pay the Annual Debt Service for the respective series of
Refunded Bonds coming due on such date, as shown on Schedule A and as demonstrated on
Schedule C hereto.
(b) Surplus. On the last redemption date for the Refunded Bonds, after making the
payments from the Escrow Account described in Subsection 4(a), the Escrow Holder shall pay
to the Issuer any remaining cash in the Escrow Account in excess of the Escrow Requirement,
to be used for any lawful purpose of the Issuer.
(c) Priority of Payments. The holders of the Refunded Bonds shall have an express
first lien on the funds in the Escrow Account until such funds are used and applied as provided
in this Agreement. If the cash on hand in the Escrow Account is ever insufficient to make the
payments required under Subsection 4(a), all of the payments required under Subsection 4(a)
shall be made when due before any payments shall be made under Subsections 4(b).
(d) Fees and Expenses of Escrow Holder. On the date hereof, the Escrow Holder
Resolution No. 13 -16
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acknowledges receipt of its fees to serve as Escrow Holder in the amount of $1,000 and agrees
to invoice the Issuer for reimbursement of any out of pocket expenses incurred by the Escrow
Holder in performing its services hereunder, and further acknowledges that the Escrow Holder
does not have a lien on or claim against any funds held hereunder for reimbursement of such
expenses.
Section 5. Reinvestment.
(a) Except as provided in this Section, the Escrow Holder shall have no
power or duty to invest any funds held under this Agreement or to sell, transfer or otherwise
dispose of or make substitutions of the Federal Securities held hereunder.
(b) At the written request of the Issuer and upon compliance with the
conditions hereinafter stated, the Escrow Holder shall sell, transfer, otherwise dispose of or
request the redemption of any of the Federal Securities acquired hereunder and shall either
apply the proceeds thereof to the full discharge and satisfaction of the Refunded Bonds or
substitute other Federal Securities for such Federal Securities. The Issuer will not request the
Escrow Holder to exercise any of the powers described in the preceding sentence in any
manner which would cause any Bonds to be "arbitrage bonds" within the meaning of the Internal
Revenue Code of 1986, as amended, and the Regulations thereunder. The transactions may
be effected only if (i) an independent certified public accountant shall certify to the Escrow
Holder that the cash and principal amount of Federal Securities remaining on hand after the
transactions are completed, together with the interest due thereon, will be not less than the
Escrow Requirement, and (ii) the Escrow Holder shall receive an unqualified opinion from a
nationally recognized bond counsel or tax counsel to the effect that the transactions will not
cause such Bonds to be "arbitrage bonds" within the meaning of the Internal Revenue Code of
1986, as amended, and the regulations thereunder in effect on the date of the transactions and
applicable to transactions undertaken on such date.
Section 6. No Redemption or Acceleration of Maturity. Except as provided in the
Irrevocable Instruction and Authorization to Redeem Bonds, the Issuer will not accelerate the
maturity or due date of the Refunded Bonds.
Section 7. Responsibilities of Escrow Holder. The Escrow Holder and its respective
successors, assigns, agents and servants shall not be held to any personal liability whatsoever,
in tort, contract, or otherwise, in connection with the execution and delivery of this Agreement,
the establishment of the Escrow Account, the acceptance of the funds deposited therein, the
purchase of the Federal Securities, the retention of the Federal Securities or the proceeds
thereof or any payment, transfer or other application of money or securities by the Escrow
Holder in any non - negligent act, non - negligent omission or non - negligent error of the Escrow
Holder made in good faith in the conduct of its duties. The Escrow Holder shall, however, be
liable to the Issuer for its negligent or willful acts, omissions or errors which violate or fail to
comply with the terms of this Agreement. The duties and obligations of the Escrow Holder shall
be determined by the express provisions of this Agreement. The Escrow Holder may consult
with counsel, who may or may not be counsel to the Issuer, and in reliance upon the opinion of
such counsel shall have full and complete authorization and protection in respect of any action
taken, suffered or omitted by it in good faith in accordance therewith. Whenever the Escrow
Holder shall deem it necessary or desirable that a matter be proved or established prior to
Resolution No. 13 -16
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taking, suffering or omitting any action under this Agreement, such matter may be deemed to be
conclusively established by a certificate signed by an authorized officer of the Issuer.
The Escrow Holder has no duty to determine or inquire into the happening or occurrence
of any event or contingency where the performance or the failure of performance of the Issuer
with respect to arrangements or contracts with others, the Escrow Holder's sole duty and
responsibility hereunder being to safeguard the Escrow Account and dispose of and deliver the
same strictly in accordance with this Agreement.
Section 8. Resignation of Escrow Holder. The Escrow Holder may resign and
thereby become discharged from the duties and obligations hereby created, by notice in writing
given to the Issuer and published once in a newspaper of general circulation published in the
territorial limits of the Issuer, and in a daily newspaper of general circulation or a financial
journal published or circulated in the Borough of Manhattan, City and State of New York, not
less than sixty (60) days before such resignation shall take effect. Such resignation shall take
effect immediately upon the appointment of a successor Escrow Holder hereunder and
payments of all amounts due the resigning Escrow Holder.
Section 9. Removal of Escrow Holder.
(a) The Escrow Holder may be removed at any time by an instrument or concurrent
instruments in writing, executed by the holders of not less than fifty -one per centum (51%) in
aggregate principal amount of each series of Refunded Bonds then outstanding, such
instruments to be filed with the Issuer, and notice in writing given by such holders to all of the
registered holders of each series of the Refunded Bonds and published once in a newspaper of
general circulation published in the territorial limits of the Issuer, and in a daily newspaper of
general circulation or a financial journal published or circulated in the Borough of Manhattan,
City and State of New York, not less than sixty (60) days before such removal is to take effect
as stated in such instrument or instruments. A photographic copy of any instrument filed with
the Issuer under the provisions of this paragraph shall be delivered by the Issuer to the Escrow
Holder.
(b) The Escrow Holder may also be removed at any time for any breach of trust or
for acting or proceeding in violation of, or for failing to act or proceed in accordance with, any
provisions of this Agreement with respect to the duties and obligations of the Escrow Holder, by
the Issuer or by the holders of not less than twenty -five per centum (25 %) in aggregate principal
amount of each series of the Refunded Bonds then outstanding.
(c) No such removal shall take effect until a successor Escrow Holder shall be
appointed hereunder.
Section 10. Successor Escrow Holder.
(a) If at any time hereafter the Escrow Holder shall resign, be removed, be dissolved
or otherwise become incapable of acting, or shall be taken over by any governmental official,
agency, department or board, the position of Escrow Holder shall thereupon become vacant. If
the position of Escrow Holder shall become vacant for any of the foregoing reasons or for any
other reason, the Issuer shall appoint a successor Escrow Holder to fulfill the duties of Escrow
Resolution No. 13 -16
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Holder hereunder. The Issuer shall publish notice of any such appointment once in each week
for four (4) successive weeks in a newspaper of general circulation published in the territorial
limits of the Issuer and in a daily newspaper of general circulation or a financial journal
published or circulated in the Borough of Manhattan, City and State of New York, and, before
the second publication of such notice shall mail a copy thereof to the original purchaser or
purchasers of the Refunded Bonds.
(b) At any time within one year after such vacancy shall have occurred, the holders
of a majority in principal amount of each series of Refunded Bonds then outstanding, by an
instrument or concurrent instruments in writing, executed by all such bondholders and filed with
the governing body of the Issuer, may appoint a successor Escrow Holder, which shall
supersede any Escrow Holder theretofore appointed by the Issuer. Photographic copies of
each such instrument shall be delivered promptly by the Issuer, to the predecessor Escrow
Holder and to the Escrow Holder so appointed by the bondholders.
(c) If no appointment of a successor Escrow Holder shall be made pursuant to the
foregoing provisions of this section, the holder of any Refunded Bonds then outstanding, or any
retiring Escrow Holder may apply to any court of competent jurisdiction to appoint a successor
Escrow Holder. Such court may thereupon, after such notice, if any, as such court may deem
proper and prescribe, appoint a successor Escrow Holder.
Section 11. Term. This Agreement shall commence upon its execution and delivery
and shall terminate when the Refunded Bonds have been paid and discharged in accordance
herewith, and all amounts held by the Escrow Holder hereunder have been applied in
accordance herewith.
Section 12. Severabilitv. If any one or more of the covenants or agreements provided
in this Agreement on the part of the Issuer or the Escrow Holder to be performed should be
determined by a court of competent jurisdiction to be contrary to law, such covenant or
agreements herein contained shall be null and void and shall be severed from the remaining
covenants and agreements and shall in no way affect the validity of the remaining provisions of
this Agreement.
Section 13. Counterparts. This Agreement may be executed in several counterparts,
all or any of which shall be regarded for all purposes as duplicate originals and shall constitute
and be but one and the same instrument.
Section 14. Governing Law. This Agreement shall be construed under the laws of the
State of Florida.
Section 15. Security for Accounts and Funds. All accounts and funds maintained or
held pursuant to this Agreement shall be continuously secured in the same manner as other
deposits of municipal funds are required to be secured by the laws of Florida.
Resolution No. 13 -16
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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed by their duly authorized officers and their official seals to be hereunto affixed as of the
date first above written.
(SEAL)
ATTEST:
Rosemarie Call
City Clerk
Approved as to Form,
Sufficiency and Correctness:
Pamela K. Akin
City Attorney
THE CITY OF CLEARWATER, FLORIDA
George N. Cretekos
Mayor
Rod Irwin
Assistant City Manager
U.S. BANK NATIONAL ASSOCIATION,
as Escrow Holder
By:
Vice President
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Resolution No. 13 -16
Schedule A
(Aggregate Debt Service; Semi - Annual Debt Service;
Annual Debt Service; Description of Refunded Bonds)
Series 2004 Bonds
Payment Date
Principal
Premium
Interest
Total Debt Service
11 -01 -2013
$0.00
$0.00
$239,525.00
$ 239,525.00
05 -01 -2014
0.00
0.00
239,525.00
239,525.00
11 -01 -2014
$10,885,000.00
$0.00
$239,525.00
$11,094,525.00
Resolution No. 13 -16
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Schedule B
(Federal Securities for Investment)
[TO BE PROVIDED]
Resolution No. 13 -16
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Schedule C
Escrow Cash Flow
Date
Principal
Interest
Disbursements
Cash
Balance
06 -28 -2013
$
11 -01 -2013
$
$
$
05 -01 -2014
11 -01 -2014
Resolution No. 13 -16
E -10