BOND COUNSEL SERVICES (3)
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AGREEMENT FOR BOND COUNSEL SERVICES
BRYANT, MILLER AND OLIVE, P.A., a professional association
organized under the laws of the State of Florida, the address of
which is 201 South Monroe Street, Suite 500, Tallahassee, Florida
32301 (the "Firm") ,agrees to continue to serve as Bond Counsel and
Disclosure Counsel to the CITY OF CLEARWATER, FLORIDA (the "City"),
a municipal corporation organized under the laws of the State of
Florida.
1. continuation of CUrrent Services. The city currently
intends to issue a Request for Proposals ("RFP") for firms to
provide bond counsel services and/ or disclosure counsel services to
the City, and to select one or more firms to provide such services
as a result of the RFP, which services are to commence upon the
expiration of the current contract between the Firm and the City.
It is expressly understood and agreed by the Firm and the city that
the Firm will continue providing Bond Counsel services and
Disclosure Counsel services to the City on the matters set forth on
Exhibit A attached hereto and herein incorporated by reference, and
on such other matters as may be assigned by the City until a law
firm is selected and approved pursuant to the RFP process, until
the completion of such matters under the terms and conditions of
its existing contract with the city (herein the "continuing
services"), notwithstanding which firm or firms the City selects as
its bond counselor disclosure counsel following the City's RFP
selection process. It is further understood and agreed that in the
event the Firm is selected by the City as its Bond Counsel and/or
Disclosure Counsel, that, at the mutual option of the Firm and the
ci ty , the continuing services may be incorporated into any new
contract following such selection.
2. Services as Bond Counsel. As Bond Counsel will perform
the following services:
a. Review proposed financing programs as to legal
feasibility, compliance with applicable law and pending or
proposed revisions to the law, including U.S. Treasury
regulations.
b. Advise as to structuring procedures, required
approvals and filings, schedule of events for timely issuance,
potential cost-saving techniques and other legal matters
relative to issuance of the debt instrument(s).
c. Attend meetings with City staff and officials, the
City's financial advisor, underwriters, rating agencies and
others as appropriate for development or sale of bonds or
dissemination of information in connection therewith.
d. Prepare bond ordinances or resolutions and any
amendments thereto in order to authorize the issuance of the
bonds.
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e. Prepare any trust indenture; escrow deposit agreement;
registrar or paying agent agreement; and any other agreements
or similar documents necessary, related or incidental to the
financing.
f. Prepare all pleadings (e. g. complaint, notice of
service, proposed answer, memorandum of law, proposed order,
etc.) and, if requested by the city Attorney, assist in or
conduct the validation hearing.
g. Review the transcript of all proceedings in connection
with the foregoing and indicate any necessary corrective
action.
h. If sale is by competitive bid, assist in preparation
of the bid documents, notice of sale, evaluation of bids and
any other documentation or action necessary to conduct a sale
of the bonds in that manner.
i. Review all disclosure documents prepared or authorized
by the city insofar as such documents describe the bonds and
summarize the underlying documents. However, the Firm assumes
no responsibility for the disclosure documents insofar as such
documents describe the financial circumstances of the offering
or any other statistical projections or data and the Firm
assumes no responsibility for preparing "Blue Sky Memorandums",
registering obligations of the City in any State or for
preparing legal investment surveys.
j. Prepare, obtain, deliver and file all closing papers
necessary in connection with the sale and issuance of the
bonds, including, but not limited to, certified copies of all
minutes, ordinances, resolutions and orders; certificates such
as officers, seal, incumbency, signature, no prior pledge,
arbitrage and others; and verifications, consents and opinions
from accountants, engineers, special consultants and attorneys.
k. Review all underwriting proposals, prepare all closing
documents and attend and assist in the closing.
I. Render an opinion in written form at the time the
bonds are delivered, which opinion will cover (a) the legality
of the bonds and the proceedings by which they are issued and
(b) the exclusion from gross income for federal income tax
purposes of the interest paid on the bonds.
3. Disclosure Counsel. As Disclosure Counsel, the Firm will
prepare a Preliminary Official Statement and an Official Statement
(collectively, the "disclosure documents") in connection with a
competitive sale of the City's obligations, and at the City's
request, in connection with a negotiated sale of the city's bonds.
The Firm will coordinate the preparation of the disclosure
documents with the appropriate City personnel and outside
independent advisors, including the City's financial advisor.
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4. Compensation as Bond Counsel and Disclosure Counsel. For
direct obligation City issues, the City agrees that the Firm shall
be compensated for the above services as Bond Counsel at the time
the bonds are delivered according to the following schedule:
Fixed Rate
General
Obligation
Bonds*
Fixed Rate
Revenue
Bonds*
variable Rate
Revenue
Bonds*
FIRST $ 45,000,000
$45,000,000 and above
*per $1,000
For conduit financings, the City agrees that the Firm shall be
compensated for the above services as Bond Counsel at the time
bonds are delivered according to the following schedule:
@ $0.55
@ 0.45
@ $1. 40
@ 0.90
@$ 1.50
@ 1.00
FIRST
SECOND
NEXT
NEXT
IN EXCESS OF
$ 5,000,000
5,000,000
10,000,000
10,000,000
30,000,000
@$5.00 per $1,000
3.00 per $1,000
2.00 per $1,000
1. 70 per $1,000
1. 00 per $1,000
The minimum fee for industrial development bonds
and private activity bonds is $30,000.
Expenses will be capped at $7,500 but subject to
negotiation in unusual cases. The Firm
understands that fees for conduit financings
shall be paid by the obligor and not by the
city.
In addition to the services as Bond Counsel enumerated in
paragraph 2 above, the Firm will prepare proposed legislation and
assist in the passage of general or special laws, if any, necessary
to achieve a particular financing, prepare ruling requests to the
Internal Revenue Service for rulings required in a particular
financing, seek "no action" letters from the Securities and
Exchange Commission, if required, and perform any other services
for which the Firm has a recognized expertise if requested by the
City. The fee for such services would be performed at the rate of
$150.00 per hour.
In the event bond anticipation notes are issued the Bond
Counsel fee for such notes will be $.75 per $1,000 of notes issued
irrespective of the amount of notes issued, plus one-half of the
bond fee for such issue payable upon delivery of the notes.
The City agrees to pay the Firm for services rendered as
Disclosure Counsel a fee of $0.70/Bond per issue, with a minimum
fee per issue of $7,500, together with reimbursement of out-of-
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pocket expenses incurred in conjunction with the preparation of the
disclosure documents.
It is understood and agreed between the parties that the City
will reimburse the Firm for reasonable out-of-pocket expenses,
whether or not bonds are delivered.
5. Term. This Agreement shall be in force and effect for the
period necessary to complete the financings listed on Exhibit A
attached hereto, however, the City shall have the option, at any
time prior to the completion of the financings listed on Exhibit A
attached hereto, and with its sole discretion, to terminate this
Agreement, said termination to be effective upon receipt by the
Firm of written notice at least ninety (90) days prior to any such
termination.
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Dated this .r2.L day of ~('~ , 1994.
ATTEST: "
By:
Mayor-Commissione
Rita Garvey
FLORIDA
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0. ~2. lL,. i;..-_
c'tt; Clerk
Cynthia E. Goudeau
Approved as to
form and legal sUfficiency:
J/:} c~ Attorney
Pamela K. Akin
By: ~ ;;, ~
City M ger
Elizabe M. Deptula
BRYANT, MILLER AND OLIVE, P.A.
By: !)~ ~JD~
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EXHIBIT A
LIST OF CURRENT TRANSACTIONS
1. Not to exceed $8,250,000 city of Clearwater, Florida Gas
System Revenue Bonds, Series 1994A.
2. Not to exceed $26,750,000 City of Clearwater, Florida Gas
System Revenue Bonds, in various series, including validation
proceeding therefor.
3. Not to exceed $12,500,000 City of Clearwater, Florida
Improvement Revenue Bonds, Series 1994 (Municipal
Services/Public Safety and Police Complex Project), including
validation proceeding therefor.
4. Sale of Sun Bank building and related parking facility by the
City of Clearwater, Florida Community Redevelopment Authority
(the "CRA"), and the defeasance of the related CRA bonds.
5. Proposed Western Reserve headquarters financing by the CRA.
6. Proposed land sale transactions between the City and the CRA
in conjunction with the Western Reserve headquarters facility
and the Municipal Services/Public Safety and Police Complex.
7. Sand Key burial of power lines project, and related bond
ordinance and bond validation proceedings.
8. Advice and analysis regarding City's rights concerning the
Oaks of Clearwater (Cove Building and Bluff Building) .
9. Advice regarding defeasance of the City of Clearwater's Public
Service Tax and Bridge Revenue Bonds, Series 1985.
10. Advice regarding defeasance of the $950,000 (original
aggregate amount) City of Clearwater Parking System Revenue
Bonds, Series 1983 ($380,000 now outstanding).
11. Other projects as may be in progress at the time the Request
for Proposal selection process is completed.