03-26-1971 Supporting DocumentsMINUTES
SPECIAL MEETING No. 725
A Special Meeting of the City Council of the City of Clermont was
held in the Council Chambers on Friday, March 26, 1971, The meeting
was called to order at 7:30 P. M. by Mayor Don E. Smith with the
following members present: Councilwoman Watson and Councilmen VanderMeer,
Cochran dnd Beals. Other officials present were: City Manager Hopkins,
City Controller Fleming, City Clerk Carroll and City Attorney Langley.
Others present were: Mr. Stewart Hartman and Floyd Groo. Representatives
of the local Press were also present.
Mr. Hartman, fiscal agent representative of the city's investment
banker, Leedy, Wheeler & Alleman, Inc., appeared before the Council and
presented to them an offer to purchase $1,700,000 Water and Sewer
Revenue Bonds. A brief resume of the offer as submitted is as follows:
Bonds maturing 1975 to 1984 to bear interest @ 63,%
per annum
Bonds maturing 1985 to 1994 to bear interest @ 6 3/4%
per annum
Bonds maturing 1995 to 2003 to bear interest @ 7% per
annum
thereby their offer is to pay $1,632,000 plus accrued interest from
November 1, 1970 to date of delivery. Following considerable discussion
regarding this offer, Councilman Cochran offered and moved the adoption
of a RESOLUTION awarding the $1,700,000 Water and Sewer Revenue Bonds;
Naming a Paying Agent; and setting forth the provisions of redemption
of the bonds. The motion was seconded by Councilman VanderMeer and
upon roll call vote on passage of the motion, the result was: Ayes:
VanderMeer, Smith, Watson, Cochran and Beals. Total Ayes: Five. Nayes:
None. Absent: None. So the RESOLUTION was adopted and the Number 178
was assigned to it. A copy of the Offer to Purchase as submitted by
Leedy, Wheeler & Alleman, Inc. and which the Mayor and Clerk were
directed to execute is attached hereto and becomes a part of these
minutes.
Mr. Floyd Groo, President of Michaels-Stiggins, Inc., Consulting
Eningeers, advised Council that awarding of bids for the construction of
the Sanitary Sewer System was now in order. Mr. Groo further advised
Council that inasmuch as the bid contract specifications call for
a $200.00 per day liquidated damage clause and inasmuch as this bid award
date be in excess of the 100 day period following bid opening date for
the withdrawing of bids as also allowed in the contract specifications,
that Bumby & Stimpson, Inc. had requested a condition be added to
their Bid wherein they be paid $200.00 per calendar day from March 4, 1971
to the day their contract is awarded, such payment to be accumulated
but not paid until completion of the project. Mr. Groo still further
advised that the customary procedure was to award the contract within
30 to 60 days after bidding. Motion was made by Councilman VanderMeer
and seconded by Councilman Beals that bids on the construction of a
sanitary sewer system be awarded as follows:
To Bumby & Stimpson, Inc. for the construction of the gravity system,
lift stations and force mains as per their Bid submitted, accepted
and tentatively awarded on January 5, 1971 and including the addition
hereof, their bid offer condition as outlined in their letter of March
12, 1971, a copy of which follows these Minutes.
To Chilton Construction Company, Inc. for the construction of the
treatement and disposal facilities as per their Bid submitted, accepted
and tentatively awarded on January 5, 1971.
Aft
MINUTES N9 726
Upon roll call vote on passage of this motion, the result was:
Ayes: VanderMeer, Smith, Cochran, 'Watson and Deals. Total Ayes:
Five. Mayes: None. Absent: None. whereupon the Mayor and City Clerk
were directed to execute the construction contracts.
City Attorney Langley advised that upon meeting with a State Legislative
Committee with regards procedure for establishing a South Lake Airport
Authority, it would be necessary that a sponsor for such an Authority
be proclaimed and submitted. Motion was made by Councilman Deals,
seconded by Councilman Cochran and carried that the City of Clermont
be proclaimed as Sponsor for the establishment of a South Lake Airport
Authority.
The meeting was adjourned by Mayor Smith.
Don E. Smith, Mayor
Dolores w. Carroll, City Clerk
1n .tmont Bmdulrn
M. STEWART HARTMAN CITIZ EN.,N.TIONAL`RANH BUILDING e'
vice rRavou'T prl—do,Florlda 32602
March 25, 1971
Honorable Mayor and
Members of City Council
City of Clermont, Florida
Gentlemen:
In accordance with the terms of the agreement between the City
and Leedy, Wheeler & Alleman, Inc., entered into on March 28, 1966,
wherein Leedy, Wheeler & Alleman, Inc., agrees to serve the City as
investment banker, we are pleased to submit this offer to purchase
$1,700,000 City of Clermont, Florida, Water and Sewer Revenue Bonds,
dated November 1, 1970, and more fully described in the ordinance
adopted on January 12, 1971, authorizing issuance of the bonds.
For all but not less than all of said bonds, bearing interest
at the rate of 61�8 per annum for bonds maturing 1975 to 1984, both
inclusive; 6 3/48 per annum for bonds maturing 1985 to 1994, inclusive;
and 78 per annum for bonds maturing 1995 to 2003, both inclusive; we
agree to pay $1,632,000 plus accrued interest from November 1, 1970,
to date of delivery.
Bonds maturing 1975 through 1984 shall be noncallable prior to
maturity. Bonds maturing 1985 and thereafter shall be callable by
the City for prior payment commencing May 1, 1985, and on any interest
payment date thereafter at a price of par, plus a premium of 3%, in
their inverse numerical order.
The unqualified legal approving opinion of Bryant, Freeman,
Richardson & Watson of Jacksonville, Florida, together with normal
closing certificates; such as, Treasurer's Receipt, Signature Guarantee,
No Litigation Certificate, etc., are to be delivered to us simultane-
ously with our payment for and acceptance of the bonds. We agree to
pay the legal fees of Bryant, Freeman, Richardson & Watson and the
legal fee of the attorney for the City for their respective services
in connection with authorization, issuance, and delivery of these
bonds. We also agree to pay for the printing of the forms of bond
and coupons.
It is agreed that Citizens National Bank of Orlando, Orlando,
Florida, shall be designated as paying agent by the City in connection
with these bonds.
The City agrees to make delivery of said bonds, either in the
City of Clermont, Florida 2•
city of Orlando, Florida, or in the city of New York, New York, at
a time and place to be mutually agreed upon, except that the date
of delivery shall be no later than forty-five (45) days following
the date of this proposal unless this period shall be extended by
mutual written agreement of the City and Leed_v, Wheeler & Alleman,
Inc.
Attached hereto is our good faith check in the amount of
$ 17,000.04 representing full and liquidated damages, to be cashed
by the City only in the event we fail to accept delivery and pay for
said bonds in accordance with this offer. Said check is to be held
uncashed by you pending our acceptance and payment in full for the
bonds, at which time the check shall be returned to Leedy, Wheeler
& Alleman, Inc.
Respectfully submitted,
LEE"WIRIEE ALLEMAN, INC.
1�--
M. Stewart Hartman
MSH:ke
The foregoing offer to purchase $1,700,000 City of Clermont,
Florida, Water and Sewer Revenue Bonds is accepted by resolution
of City Council at a special meeting held
CITY OF CLERMONT, FLORIDA
ATTEST:
Mayor
i -
MICHAELS-STIGGINS, INC. ENGINEERS & ARCHITECTS
U — - � 3025 East South Slued • Orlando, Florida 32803
Telephono 305-425-8691
.'7"'," ° I
' March 23, 1971
Mr. Robert Hopkins, City Manager
City of Clermont
City Hall
Clermont, Florida
Re: WS-Fla-166 (PFL-Fla-124) WPC-Fla-222
Sanitary Sewer System
Clermont, Florida
Dear Bob:
The following is an up-to-date existing and tentative status outlining the progress of
subject project.
(a) Bids taken November 24, 1970
(b) Resolution of Tentative Awards, January 5, 1971
(c) Approval of Low Bidders - HUD - January 14, 1971; FWPCA - Feb. 1, 1971
(d) End of 100 day period for withdrawing bids, March 4, 1971
(e) Revenue Bonds Validated, February 26, 1971
(f) Revenue Bond 30 day appeal period ends March 26, 1971
(g) Formal Contract Award, March 29, 1971
(h) Pre -construction conference, April 7, 1971
(i) Notice to Proceed - commence work - April 15, 1971
Of course some dates set forth above are predicated on everything proceeding smoothly
without any problems. '
We also received a letter from Mr -John F. Stimpson, dated March 12, 1971, requesting that
we consider payment to Bumby and Stimpson of $200.00 per day in liquidated damages until
the award is issued. The period of time involved would be from March 4, 1971 (the end of
the 100 day period) until approximately March 29, 1971, which would amount to
$5,000.00, with the provision that no payment would be necessary until final completion
of the project.
Of course if Bumby and Stimpson overrun the time of contract, this will cancel out,part
or all of the money. Also, in the course of a project of this magnitude, often a "swap"
of money through minor construction changes can be made to lessen or remove the additional
cost.
Reports — Appraisals — Designs — Supervision
Municipal and Public Works: walor supply —Sewage and Wasto Disposal —Highways — Bridges — Dams and Waterways
Municipal, commercial and Religious Buildings
Mr. Robert Hopkins, Clermont
Re: Bumby and Stimpson Sewer Project
March 23, 1971
-2-
It is customary procedure to award the contract within 30 to 60 days after bidding.
Bumby and Stimpson are as good as any contractor in the State and are low bidder
by about $94,000. Bumby and Stimpson have the right to withdraw their bid at this
time.
It is our feeling that their proposal as per their attached letter be honored. Immediate
approval by the City should be given them in writing.
Very truly yours,
MICHAELS-STIGG INSS,IINC.
,Ifa�'Wes6. Westbrook
JC W/ob
Enclosure
BUMBY STIMPSOH
GENERAL CONTRACTORS
ORLANDO, FLORIDA 32802
March 12, 1971
Michaels - Stiggins, Inc.
3025 East South Street
Orlando, Florida 32803
Attention: Mr. James C. Westbrook
Subject: City of Clermont, Florida - Sanitary Sewer System.
Gentlemen:
We are in receipt of your letter dated March 11, 1971.
Upon reviewing our bid at this time, we feel we can extend our time to
April 15, 1971, or beyond, as necessary,with the following conditions.
Since the additional time will place our contract further into the rainy
season, we anticipate Increased costs to us since much work was planned
to be underway during the spring dry season. Some material prices have
also increased since January 1, 1971.
The contract specifications call for a $200.00 per day liquidated damage
clause. For our firm to continue to honor our bid, we must ask for $200.00
per calendar day to be paid to us from March 4, 1971, to the day our
contract is awarded.
Payment of the total sum accumulated during this period may be postponed
until completion of this project. Thus,should our project time overrun,
subject to conditions for extension of time as per the specifications,
change of project scope, but not less than 365 calendar days in any event,
such overrun may be deducted from the amount accumulated during this time.
If this arrangement is satisfactory to you and the City of Clermont, then
this letter will serve as our notice to you binding our bid until the award
of the contract. x.
We would appreciate your confirmation in writing to us as soon as possible.
Several material suppliers have indicated that there will be price increases
Michaels - Stlggins, Inc. -pg. 2- March 12, 1971
coming along as of June I, 1971.
We urge your immediate action on this matter so we may continue to assure our
suppliers that we will have a contract for this project.
Very truly yours,
BUMBY & STIMPSON, INC.
John F. Stlmpson
V
%President