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R-72-1891 RESOLUTION N0. 189 A RESOLUTION AUTHORIZING THE CITY OF CLERP+iONT, FLORIDA, TO BORROW, AS AN INTERIM LOAN, NOT EXCEEDING $800,000.00 , TO PRO- VIDE FOR PAYMENT OF PART OF THE COSTS OF THE SEWER PROJECT TO BE PERMANENTLY FINANCED WITH THE ISSUANCE OF $800,000 SANITARY SEWERAGE IMPROVEMENT CERTIFICATES; TO ISSUE SAID CITY'S PROMISSORY NOTE EVIDENCING SUCH INDEBTEDNESS; AND TO PROVIDE FOR THE PAYMENT THEREOF. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CLERMONT, Florida, as follows: SECTION 1. This Resolution is adopted pursuant to the provisions of Section 215.431, Florida Statutes, and other appli- cable provisions of law. SECTION 2. It is hereby found, ascertained and deter- mined that the City of Clermont, Florida (hereinafter called the "City"} has heretofore by Resolution No. 147, duly adopted on ,~}xly 15 19X6 authorized the acquisition, construction and erection of a new municipal sewer system in-the City and the is- suance by -the City of not exceeding $800,000 Sanitary Sewerage Im- provement Certificates of the City, hereinafter called "obligations", to finance the cost thereof, and that it is necessary and proper that the funds be made available at this time and prior to the sale and delivery of said obligations for the purpose of paying part of the costs of such project prior to the delivery of the ob- ligations. ~ SECTION 3. The City is hereby authorized to borrow from CITIZENS BANK OF CLERMONT , Florida, up to $ 800,000.00 r to be evidenced by a promissory note or notes not exceeding such amount in the aggregate, be payable on or before July 15 , 1972, and bear interest at the rate of five ~ one-quartpaaz' centum (5 1/4 ~) per annum. Such note or notes shall be executed in the name of the City by its Mayor and countersigned and attested by its City Clerk. The corporate seal of the City shall be impressed there- on. A form for such promissory note or notes is hereto attached and made a part of this Resolution. SECTION 4. Such note or notes, as hereinabove author- ~" ized, shall be payable solely from and secured by a first lien up- ~~ • on the proceeds of the obligations hereinabove described, at such time as the same are delivered to the purchaser thereof, or in the alternative, such promissory note or notes shall be payable solely from and secured by a prior lien upon and pledge of the proceeds derived from the levy and collection of special assess- ments against the property abutting or adjoining the project and specially benefitted by the construction thereof in the manner pro- vided in said resolution. SECTION 5. The City hereby covenants that the proceeds of such promissory note or notes shall be used solely for the con- struction of such project and, until expended for such purpose, shall be secured by the bank in which they are deposited in the manner prescribed by Florida Statutes relating to the securing of public funds. SECTION 6. This Resolution shall take effect immediately upon its passage. DONE AND RESOLVED this 25th day of January, A.D. 1972. ~, CITY OF CLERMONT /~' ATTEST: ,~ / _ BY: ~ w ~~~' (~ ~ S I H, o r Y City Clerk 'I (CORPORATE SEAL) -2- .• • 197 UNITED STATES OF AMERICA STATE OF FLORIDA LAKE COUNTY CITY OF CLERMONT SANITARY SEWERAGE IMPROVEMENT CERTIFICATES ANTICIPATION NOTE FOR VALUE RECEIVED, the City of Clermont, Florida (here- inafter referred to as the "City"), hereby promises to pay to the order of CITIZENS BANK OF CLERMONT at its princi- pal office in the City of Clermont _ , Florida, on or before July 15 1972, solely from the special funds hereinafter mentioned, in lawful money of the United States of America, the principal sum of Dollars ($ ) and to pay solely from such special funds, quarterly after the date hereof, interest on such principal sum at the rate of five $ one-quartepver centum (5 1 4$) per annum. This note is issued pursuant to the Constitution and Laws of the State of Florida, particularly Section 215,431, Florida Statutes, other applicable provisions of law and a reso- lution duly adopted by the City on January 25 , 1972 (herein- after referred to as the "resolution"), in anticipation of the receipt of the proceeds from the sale of certain sanitary sewerage improvement certificates authorized to be issued by the City pur- suant to Resolution No. 147, duly adopted by its City Council on July 15 , 19x6 to pay the cost of the project described in said Resolution. This note and the interest due thereon are payable solely from and secured by a prior lien upon and a pledge of the proceeds to be derived from the sale of such certificates or, in the alternative, solely from and secured by a prior lien upon and pledge of the special assessments against the property abutting or adjoin- ing such project and specially benefitted by the construction there of. This note shall not constitute a general indebtedness of the City, and the holder thereof shall never have the right to require or compel the exercise of the power of the City to levy ad valorem taxes or to tax real estate in the City for the payment of the principal of and interest on this note. -3- ~ • At the option of the City, this note is payable at any time prior to the stated maturity thereof at par and ac- crued interest to the date of such payment. It is hereby certified, recited and declared that all acts, conditions and things required to exist, to happen and to be performed precedent to the passage of the resolution and said Resolution and to the issuance of this note, exist, have happened and have been performed in regular and due form and time as re- quired by the laws and the Constitution of the State of Florida applicable thereto, and that the issuance of this note does not violate any constitutional, statutory or charter limitations or provisions. IN WITNESS WHEREOF, The City of Clermont, Florida, has issued this note and caused the same to be signed by its Mayor and countersigned and attested by its City Clerk, and its cor- porate seal to be hereunto impressed, all as of this day of , 197 . CITY OF CLERMONT. FLORIDA By Mayor COUNTERSIGNED AND ATTESTED: City C er (SEAL) -4-