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HomeMy WebLinkAbout1983-07740 w of J 1 � - t RESOLyt N NO- g 4 - ] 7 _ _ A RESOLUTION AMWPING A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF INDIAN RIVER COUNTY, FLORIDA, ENTITLED:(Res.82-61) "RESOLUTION COMBINING ALL WATER AND/OR SEWER SYSTEMS OF INDIAN RIVER COUNTY, FLORIDA, INTO ONE INTEGRATED SYSTEM; PLEDGING THE GROSS REVENUES OF SUCH COMBINED SYSTEM TO SECURE PAYMENT OF THE PRINCIPAL OF AND INTEREST ON ALL WATER AND/OR SEWER REVENUE OBLIGATIONS OF THE COUNTY; REVISING CERTAIN COVENANTS IN THE RESOLUTIONS AUTHORIZING THE ISSUANCE OF ALL OUTSTANDING WATER AND/ OR SEWER REVENUE OBLIGATIONS OF THE COUNTY; AND PROVIDING FOR THE RIGHTS OF THE HOLDERS OF SUCH OBLIGATIONS." DULY ADOPTED ON JULY 7, 1982, BY INCREASING THE TIME FOR ACCUMULATION OF THE RESERVE ACCOUNT, BY REDUCING THE RENEWAL AND REPLACEMENT FUND REQUIREMENT AND BY REDUCING THE DEBT SERVICE COVERAGE CONTAINED IN THE RATE COVENANT AND THE PARITY TEST: AND PROVIDING AN EFFECTIVE DATE. BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF INDIAN RIVER COUNTY, FLORIDA: SECTION 1. AUTHORITY FOR THIS RESOLUTION. This resolu- tion is adopted pursuant to Chapter 125, Florida Statutes, and other applicable provisions of law. SECTION 2. FINDINGS. It is hereby ascertained, deter- mined and declared that: A. The Board of County Commissioners of Indian River County, Florida (hereinafter called "Board" and "County," respectively), on July 7, 1982, duly adopted a resolution entitled: -1- 40 s "RESOLUTION COMBINING ALL WATER AND/OR SEWER SYSTEMS OF INDIAN RIVER COUNTY, FLORIDA, INTO ONE INTEGRATED SYSTEM; PLEDGING THE GROSS REVENUES OF SUCH COMBINED SYSTEM TO SECURE PAYMENT OF THE PRINCIPAL OF AND INTEREST ON ALL WATER AND/OR SEWER REVENUE OBLIGATIONS OF THE COUNTY; REVISING CERTAIN COVENANTS IN THE RESOLUTIONS AUTHORIZING THE ISSUANCE OF ALL OUTSTANDING WATER AND/ OR SEWER REVENUE OBLIGATIONS OF THE COUNTY; AND PROVIDING FOR THE RIGHTS OF THE HOLDERS OF SUCH OBLIGATIONS." (hereinafter called "Resolution"). B. It is necessary and desirable to amend the Resolution by increasing the time for accumulation of the Reserve Account, by reducing the Renewal and Replacement Fund requirement and by reducing the debt service coverage contained in the rate covenant and the parity test. C. The United States of America, acting through the Farmers Home Administration, U. S. Department of Agriculture (hereinafter called "Government"), is the holder of all the outstanding bonds of the County payable from the Gross Revenues, as defined in the Resolution, and has consented to the changes made by this resolution. D. There are presently outstanding $2,750,000 Water and Sewer Revenue Bonds, Series 1982, Anticipation Notes, dated December 1, 1982, of the County (hereinafter called "Notes") which are secured, in part, by the Gross Revenues. All material changes to the rights of the holders of the Notes, made by this resolution, shall not become effective until the Notes are no longer outstanding. It is expected that the Government will become the holder of the Water and Sewer Revenue Bonds, Series 1982, of the County, when issued. SECTION 3. AMENDMENTS TO RESOLUTION. The Resolution is amended in the following manner. A. Section 3.04(C)(4) of the Resolution is hereby amended to read as follows: "(4) After fulfillment of the requirements of subsec- tions (C)(1), (2) and (3), the Issuer shall transfer on or before -2- 40 C . '. the 15th day of each month from the Revenue Fund and deposit to the credit of a Reserve Account in the Sinking Fund the sum of 1/12 of 10% of the Maximum Bond Service Requirement until such time as the funds and investments therein shall equal the Maximum Bond Service Requirement, and monthly thereafter such amount as may be necessary to maintain in the Reserve Account the Maximum Bond Service Requirement, but not exceeding 1/12 of the Maximum Bond Service Requirement monthly. Money in the Reserve Af7count shall be used only for paying the principal of and interest on and Amortization Installments for the Bonds in the event that the other money in the Sinking Fund shall ever be insufficient to meet such payments." B. Section 3.04(E) of the Resolution is hereby amended to read as follows: "(E) Renewal and Replacement Fund. The Issuer cove- nants and agrees to establish with a depository in the State of Florida, which is a member of the Federal Deposit Insurance Corporation, and which is eligible under the laws of the State of Florida to receive county funds, a special fund to be known as the 'Indian River County Water and Sewer System Renewal and Replacement Fund,' into which shall be deposited from the Revenue Fund, after having made the deposits as provided in subsections (C) and (D) above, an amount equal to 1/12 of 5% of the Gross Revenues of the System (excluding Impact Fees) for the preceding Fiscal Year. Such fund shall be used only for the purpose of paying the cost of extensions, enlargements, improvements or additions to or the replacement of capital assets of the System, and for emergency repairs thereto. Impact Fees on deposit in the Renewal and Replacement Fund shall only be used to pay the cost of extensions, enlargements, improvements or additions to the System made necessary by the inclusion of new customers of the System." C. After the Notes are no longer outstanding, Section 3.04(1) of the Resolution shall be amended to read as follows: "(I) Rates and Charges. The Issuer covenants and agrees that it will fix, establish, revise from time to time whenever necessary and maintain always, such schedule of rates, fees, rentals and charges for the services and facilities of the System which will produce revenues which shall be sufficient to provide 100% of the current Bond Service Requirement and all other payments required by this Instrument; and that such rates, fees, rentals or other charges will not be reduced so as to be insufficient to provide funds for such purposes. The Issuer covenants and agrees that at the same time and in like manner -3- that the Issuer prepares its Annual Budget of Operating Expenses, the Issuer shall annually prepare an estimate of Gross Revenues for the ensuing Fiscal Year, and to the extent that Gross Revenues are insufficient to pay 100% of such Bond Service Requirement during such ensuing year, build up and maintain the required reserves for the Bonds, pay Operating Expenses and pay the current required deposit into the Renewal and Replacement Fund, the Issuer shall revise the fees and rates charged for the use of the services and facilities of the System sufficiently to provide the funds required." . D. After the Notes are no longer outstanding, Sections 3.04(J)(3)(c) and (d) of the Resolution shall be amended to read as follows: "(c) The annual Net Revenues for the Fiscal Year next preceding the issuance of additional parity Bonds are certified by an independent certified public accountant not regularly employed by the Issuer, to have been equal to at least 1.20 times the average Bond Service Requirement. (d) The estimated average annual Net Revenues of the facility or facilities to be constructed and acquired with the proceeds of such additional Bonds (and any other funds pledged and set aside for such purpose), when added to the estimated future average annual Net Revenues of the then existing System, shall be at least 1.20 times the average Bond Service Requirement for all outstanding Bonds and the additional Bonds proposed to be issued. Estimates of future revenues and Operating Expenses shall be furnished by recognized independent consulting engineers and approved by the Board and by the Chairman thereof, and shall be forecast over a period of not exceeding 10 years from the date of the additional Bonds proposed to be issued. Provided, however, the conditions in this paragraph and in the next pre- ceding paragraph (c) may be waived or modified by the written consent of the holders of 75% of the Bonds then outstanding." SECTION 4. SEVERABILITY OF INVALID PROVISIONS. If any one or more of the provisions herein contained shall be held contrary to any express provision of law or contrary to the policy of express law, though not expressly prohibited, or against public policy, or shall for any reason whatsoever be held invalid, then such provisions shall be null and void and shall be deemed separable from the remaining provisions and shall in no way affect the validity of any of the other provisions hereof. SECTION 5. REPEALING CLAUSE•'. All resolutions or parts thereof of the Board in conflict with the provisions herein con- -4- 4b s tained are, to the extent of such conflict, hereby superseded and repealed. SECTION 6. EFFECTIVE DATE. This resolution shall take effect immediately upon its adoption. The foregoing resolution was offered by Commissioner Lyons who moved its adoption. The motion was seconded by Commissioner Wodtke and, upon being the vote was as follows: P 9 Put to a vote, Chairman Richard N. Bird - Temporarily Absent Vice -Chairman Don C. Scurlock, Jr. - Aye Commissioner William C. Wodtke, Jr. - Aye Commissioner Patrick B. Lyons - Aye Commissioner Margaret C. Bowman - Aye The Chairman thereupon declared the resolution duly passed and adopted this 215tday of September 1 1983. BOARD OF COUNTY COMMISSIONERS OF INDIAN RIVER COUNTY, FLORIDA By c sr G� Li RI HARD N. BIRD Chairman Attest:.—/ FREDA W�,Cl'� APPROVED AS TO FORM AND LEGAL SUF CIEN Y By R B NDEN URG ` ounty Atto -5-