HomeMy WebLinkAboutExhibit 2Exhibit "A"
Form of Bond Purchase Agreement
THE CITY OF MIAMI, FLORIDA
Tax -Exempt Variable Rate
Parking System Revenue Refunding Bonds
Series 2008
The City of Miami
City Commissioners
Miami, Florida
Dear Messrs:
Taxable Variable Rate
Parking System Revenue Refunding Bonds
Series 2008
Bond Purchase Agreement
July 2008
The undersigned, SunTrust Robinson Humphrey, Inc. (the "Underwriter"), being
duly authorized, hereby offers to enter into this Bond Purchase Agreement (this "Purchase
Agreement") with the City of Miami (the "City") for the placement by the Underwriter and the
sale by the City of the 2008 Bonds referred to in Section 1 hereof. This offer is made subject to
acceptance by the City of this Purchase Agreement, which acceptance shall be evidenced by the
execution of this Purchase Agreement by a duly authorized officer of the City prior to 5:00 P.M.,
Eastern Time on July 2008. Upon such acceptance, execution and delivery, this Purchase
Agreement shall be in full force and effect in accordance with its terms and shall be binding
upon the City and the Underwriter. Capitalized terms used herein not otherwise defined herein
have the meanings set forth in the Bond Ordinance (as hereinafter defined).
1. Upon the terms and conditions and based on the representations, warranties and
covenants hereinafter set forth, and the City hereby agrees to sell to the Underwriter, all (but not
less than all) of the City's $ aggregate principal amount of The City of
Miami, Tax -Exempt Variable Rate Parking System Revenue Refunding Bonds, Series 2008 (the
"2008 Tax -Exempt Bonds") and $ aggregate principal amount of The City
of Miami, Taxable Variable Rate Parking System Revenue Refunding Bonds, Series 2008 (the
"2008 Taxable Bonds" and, together with the 2008 Tax -Exempt Bonds, the "2008 Bonds"), and
the Underwriter has agreed to purchase all (but not Less than all) of the 2008 Bonds. The
aggregate purchase price for the 2008 Bonds shall be $ ($ original
principal amount, less Underwriter's discount of $ ).
2. The 2008 Bonds are being issued by the City pursuant to the Constitution and laws
of the State of Florida, including Chapter 166, Part II, Florida Statutes, the Charter of the City
(the "Charter"), and other applicable provisions of law (the "Act") and pursuant to Ordinance
No. (the "Series Ordinance"), duly enacted by the City Commission (the "City
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Commission") of the City on , which supplements Ordinance No. 11693,
enacted by the City on August 14, 1998 (as supplemented and amended, and in particular, as
amended by Ordinance No. 11719, enacted by the City on October 27, 1998, collectively, the
"1998 Ordinance"), as further supplemented by Ordinance No. 12778 enacted by the City on
March 9, 2006 (the "2006 Ordinance" and, together with the 1998 Ordinance and the Series
Ordinance, the "Bond Ordinance").
3. The 2008 Bonds will be payable from and secured by a pledge of and lien on the
Net Revenues of the Parking System, the right of the City and the Department to receive Net
Revenues, and money and investment Obligations in the funds and accounts established under the
Bond Ordinance.
The 2008 Bonds are being issued to provide funds, together with any other available
funds, for the purposes of (a) currently refunding and redeeming all of the City's outstanding
Tax -Exempt Variable Rate Parking System Revenue Bonds, Series 2006, and its Taxable
Variable Rate Parking System Revenue Bonds, Series 2006 (collectively, the "Refunded
Bonds"), and (b) paying certain costs of issuance in connection the issuance of the 2008 Bonds.
4. The 2008 Bonds will also be payable from an irrevocable direct -pay Letter of
Credit (the "Credit Facility") to be issued by SunTrust Bank (in such capacity, the "Credit
Provider"). The Credit Facility will be issued pursuant to a Letter of Credit Agreement, dated as
of July 1, 2008 (the "Credit Agreement"), between the City and the Credit Provider. The 2008
Bonds will be dated the date of delivery and shall bear interest initially at a Weekly Rate (as
defined in the Bond Ordinance), determined on the date of issuance and thereafter on a weekly
basis as provided in the Bond Ordinance and shall mature on July 1, 2036. The 2008 Bonds shall
be subject to tender for purchase and to redemption as described in the Bond Ordinance and this
Purchase Agreement.
5. The Underwriter agrees to deliver to the City a certificate, dated the Closing Date,
to the effect that the price for the 2008 Bonds as shown on the cover page of the Official
Statement represents 100% of the principal amount thereof.
6. The City has caused to be prepared an Official Statement, dated July , 2008
(such Official Statement, including the cover page and all appendices thereto, and any
amendments and supplements thereto that may be authorized by the City for use with respect to
the 2008 Bonds being herein called the "Official Statement"), which the City has authorized to
be circulated, and the City consents to the use of the Official Statement by the Underwriter prior
to the date hereof in connection with the offering of the 2008 Bonds. Within seven business days
after the acceptance and execution of this Purchase Agreement by the City, the City shall deliver
to the Underwriter sufficient copies as the Underwriter may reasonably request of the Official
Statement. The City hereby authorizes the use by the Underwriter of (a) the Bond Ordinance, (b)
the Official Statement, (c) the Disclosure Dissemination Agent Agreement, (d) the Remarketing
Agreement, (e) the Tender Agent Agreement, (f) this Purchase Agreement, and (e) any other
pertinent documents in connection with the offering and sale of the 2008 Bonds (collectively, the
"City Agreements"). The Underwriter hereby agrees not to distribute or make use of any official
statement relating to the 2008 Bonds unless such official statement has been approved by and
contains a cover page that sets forth the name of the Underwriter.
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The Underwriter agrees to file the Official Statement with a Nationally
Recognized Municipal Securities Information Repository ("NRMSIR") which has been so
designated by the Securities and Exchange Commission pursuant to Rule 15c2-12 of the
Securities and Exchange Commission (17 CFR §240.15c2-12) under the Securities Exchange
Act of 1934 (the "Rule") and with the MSRB (accompanied by a completed Form G-36) not later
than two (2) business days after the Closing, and will furnish to the City a list of the names and
addresses of each such NRMSIR receiving a copy. The filing of the Official Statement with each
such NRMSIR shall be in accordance with the terms and conditions applicable to such NRMSIR.
In accordance with Section 218.385, Florida Statutes, the Underwriter hereby discloses the
information required by such Section, including a truth -in -bonding statement, all as provided in
Exhibit A attached hereto.
7. The Department of Off -Street Parking of the City of Miami d//b/a the Miami
Parking Authority (the "Department") is an agency and instrumentality of the City. The City and
the Department hereby represent, warrant and covenant to the Underwriter as follows:
(a) As of today and as of the date of Closing (defined herein), the statements
and information contained in the Official Statement (other than the information in the
Official Statement under the headings "DESCRIPTION OF THE 2008 BONDS - Book -
Entry Only System," "BOND CREDIT FACILITY," and "TAX MATTERS," as to
which no representation is made) are and will be true, correct and complete in all material
respects and the Official Statement (other than as aforesaid) does not and will not omit
any statement or information which should be included therein for the purposes for which
the Official Statement is to be used or which is necessary to make the statements or
information contained therein, in light of the circumstances under which they were made,
not misleading.
(b) Except as disclosed in the Official Statement, between the date of this
Purchase Agreement and the time of Closing, the City or the Department will not execute
any bonds, notes or obligations for borrowed money secured by the Net Revenues,
without giving prior written notice thereof to the Underwriter.
(c) The City is, and will be at the date of Closing, duly organized and validly
existing as a body politic and corporate and a public instrumentality of the State of
Florida, with the powers and authority set forth in the Act.
(d) The Department is, and will be at the date of Closing, duly organized and
validly existing as an agency and instrumentality of the City.
(e) The City had, has and will have at the date of Closing (as applicable) full
legal right, power and authority to: (i) enter into the City Agreements, (ii) adopt the Bond
Ordinance, (iii) sell, issue and deliver the 2008 Bonds to the Underwriter as provided
herein, and (iv) carry out and consummate the transactions contemplated by the City
Agreements, the Bond Ordinance and the Official Statement and the City has complied,
and at the Closing will be in compliance, in all respects, with the terms of the Act and
with the obligations on its part contained in the Bond Ordinance, the 2008 Bonds and the
City Agreements.
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(f) By all necessary official action, the City has duly adopted the Bond
Ordinance, has duly authorized and approved the Official Statement and has duly
authorized and approved the execution and delivery of, and the performance by the City,
of the City Agreements and all other obligations on its part in connection with the
issuance of the 2008 Bonds and the consummation by it of all other transactions
contemplated by the City Agreements. On the date of delivery of the 2008 Bonds, the
Bond Ordinance and the City Agreements will each constitute a legal, valid and binding
obligation of the City, enforceable in accordance with its respective terms, subject to
applicable bankruptcy, insolvency and similar laws affecting creditors' rights generally
and subject, as to enforceability, to general principles of equity.
(g) When delivered to and paid for by the Underwriter at the Closing in
accordance with the provisions of this Purchase Agreement, the 2008 Bonds will have
been duly authorized, executed, issued and delivered and will constitute valid and binding
obligations of the City in conformity with the Act.
(h) The adoption of the Bond Ordinance, the authorization, execution and
delivery of the City Agreements and the 2008 Bonds, and compliance with the provisions
hereof and thereof do not and will not conflict with, or constitute a breach of or default
under any law, —administrative- regulation, consent decree, ordinance, resolution or any
agreement or other instrument to which the City was or is subject, as the case may be, nor
does such adoption, execution, delivery, authorization or compliance result in the creation
or imposition of any lien, charge or other security interest or encumbrance of any nature
whatsoever upon the Parking System or any of the other property or assets of the City, or
under the terms of any law, administrative regulation, ordinance, resolution or
instrument, except as expressly provided by the 2008 Bonds.
(i) At the time of Closing, the City will be in compliance in all respects with
the covenants and agreements contained in the Bond Ordinance and the City Agreements
and no event of default and no event which, with the lapse of time or giving of notice, or
both, would constitute - an --event of default under the Bond Ordinance or the City
Agreements will have occurred or be continuing.
(j) Except as provided in the Official Statement, all approvals, consents,
authorizations and orders of any governmental authority or agency having jurisdiction in
any matter which would constitute a condition precedent to the performance by the City
of its obligations under the Bond Ordinance or the City Agreements have been obtained
and are in full force and effect.
(k) The City is lawfully empowered to pledge the Net Revenues of the
Parking System for payment of the principal of, redemption premium, if any, and interest
on the 2008 Bonds.
(1) Except as disclosed in the Official Statement, to the best knowledge of the
City, as of the date hereof, there is no action, suit, proceeding, inquiry or investigation, at
law or in equity, before or by any court, government agency, public board or body,
pending or threatened against the City, affecting or seeking to prohibit, restrain or enjoin
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the collection of the Revenues of the Parking System, the sale, issuance or delivery of the
2008 Bonds, or the pledge of Net Revenues, or contesting or affecting the validity or
enforceability in any respect of the 2008 Bonds, the Bond Ordinance or the City
Agreements, or contesting the completeness or accuracy of the Official Statement or any
supplement or amendment thereto, or contesting the powers of the City, the governing
body of the City, the issuance of the 2008 Bonds, the adoption of the Bond Ordinance or
the execution and delivery by the City of the City Agreements or their performance.
(m) The City will furnish such information, execute such instruments and take
such other action in cooperation with the Underwriter as the Underwriter may reasonably
request in order to (i) qualify the 2008 Bonds for offer and sale under the "blue sky" or
other securities laws and regulations of such states and other jurisdictions of the United
States as the Underwriter may designate, and (ii) determine the eligibility of the 2008
Bonds for investment under the laws of such states and other jurisdictions, and will use
its best efforts to continue such qualifications in effect so long as required for the
distribution of the 2008 Bonds; provided, however, that the City shall 'not be required to
execute a general or special consent to service of process or qualify to do business in
connection with any such qualification or determination in any jurisdiction or expend its
own funds with respect to the foregoing.
(n) The City will not take or omit to take any action which action or omission
will in any way cause the proceeds from the sale of the 2008 Bonds to be applied in a
manner contrary to that provided for in the Bond Ordinance as described in the Official
Statement.
(o) The City neither is, nor has been, in default any time after December 31,
1975, as to payment of principal or interest with respect to an obligation issued or
guaranteed by the City.
(p) If, after the date of this Purchase Agreement and until the earlier of (i) 90
days from the end of the "underwriting period" (as defined in the Rule) or (ii) the time
when the Official Statement is available to any person from a nationally recognized
repository, but in no case less than 25 days following the end of the underwriting period,
any event shall occur which might or would cause the Official Statement, as then
supplemented or amended, to contain any untrue statement of a material fact or to omit to
state a material fact necessary to make the statements therein, in the light of the
circumstances under which they were made, not misleading, the City shall notify the
Underwriter thereof, and, if in the opinion of the Underwriter such event requires the
preparation and publication of a supplement or amendment to the Official Statement, the
City will at its own expense forthwith prepare and furnish to the Underwriter a sufficient
number of copies of an amendment of or supplement to the Official Statement (in form
and substance satisfactory to the Underwriter, Adorno & Yoss LLP, as Counsel to the
Underwriter, and Squire, Sanders & Dempsey, L.L.P., as disclosure counsel to the City)
which will supplement or amend the Official Statement so that it will not contain an
untrue statement of a material fact or omit to state a material fact necessary in order to
make the statements therein, in light of the circumstances existing at such time, not
misleading.
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(q) The City has not been advised by the Commissioner, any District Director
or any other official of the Internal Revenue Service that certifications by the City with
respect to arbitrage may not be relied upon.
(r) The City will not take any action nor omit to take any action which would
adversely affect the exclusion from gross income for federal income tax purposes of
interest on the 2008 Tax -Exempt Bonds under the Code.
(s) The City and the Department are presently in compliance with prior
continuing disclosure undertakings entered into pursuant to the Rule.
(t) To the best knowledge of the City, neither the Securities and Exchange
Commission nor any state securities commission has issued or, to the best of the City's
knowledge, threatened to issue, any order preventing or suspending the use of the Official
Statement.
(u) Any certificate signed by an authorized officer of the City delivered to the
Underwriter shall be deemed a representation and warranty by the City to the
Underwriter as to the statements made therein.
(v) Except as described in the Official Statement, upon the issuance and
delivery of the 2008 Bonds, there will be no other obligations which have a lien on, or are
secured by a pledge of, the Net Revenues of the Parking System, the right of the City and
the Department to receive Net Revenues, and money and Investment Obligations in the
funds and accounts established under the Bond Ordinance.
(w) This Purchase Agreement and the Bond Ordinance are in the form
approved by the City and upon the execution and delivery thereof, each will constitute
the legal, valid and binding obligation of the City, enforceable in accordance with its
terms (subject in each case to principles of equity, regardless of whether proceedings for
enforcement be of a legal or equitable nature, and to any applicable bankruptcy,
reorganization, insolvency, moratorium or other laws affecting the enforcement of
creditors' rights generally from time to time in effect).
(x) The 2008 Bonds will be limited obligations of the City, payable from and
secured by a pledge of and lien on the Net Revenues of the Parking System, the right of
the City and the Department to receive Net Revenues, and money and Investment
Obligations in the funds and accounts established under the Bond Ordinance, and will not
constitute an obligation or debt of the City or the State of Florida, or any political
subdivision thereof, and neither the faith nor credit of the City or the State of Florida, or
any political subdivision thereof, is pledged to the payment of the 2008 Bonds.
(y) Any certificate signed by an authorized officer of the City and delivered to
the Underwriter shall be deemed a representation and warranty by the City to the
Underwriter as to the statements made therein.
8. By no later than 1:00 P.M., Eastern Time, on , 2008 (the "Closing
Date"), the City will deliver, or cause to be delivered, to or upon the order of the Underwriter,
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the 2008 Bonds, in definitive form, duly executed and authenticated, together with the other
documents required in Section 9 hereof, and the Underwriter will accept such delivery and pay
the purchase price of the 2008 Bonds. Payment for the 2008 Bonds shall be made in
immediately available funds by check or by bank wire transfer payable to the order of the
Trustee on behalf of the City.
The closing of the sale of the 2008 Bonds as aforesaid (the "Closing") shall be
held at the offices of Broad and Cassel, Miami, Florida, except that physical delivery of the 2008
Bonds shall be made to the Depository Trust Company for the account of the Underwriter.
Unless otherwise requested by the Underwriter at or prior to the Closing, the 2008 Bonds will be
delivered at the Closing in fully registered form, registered to Cede & Co., and in the form of one
certificate for each maturity of the 2008 Bonds.
9. The obligations of the Underwriter hereunder shall be subject to (i) the
performance by the City and its obligations to be performed hereunder at and prior to the Closing
or such earlier time as may be specified herein; and (ii) the following conditions, including the
delivery by the City of such documents as are contemplated hereby in form and substance
satisfactory to the Underwriter and its counsel:
(a) The representations, warranties and agreements of the City and the
Department contained herein shall be true and correct and complied with as of the date
hereof and as of the date of Closing, as if made on the Closing Date.
(b) At the time of the Closing (i) the Official Statement and the Bond
Ordinance shall be in full force and effect and shall not have been amended, modified or
supplemented, except as may have been agreed to in writing by the Underwriter; (ii) the
City shall have duly adopted and there shall be in full force and effect such resolutions,
including the Bond Ordinance as, in the opinion of Bond Counsel, shall be necessary in
connection with the transactions contemplated hereby;
(c) At the time of Closing, the City Agreements and the 2008 Bonds shall be
in full force and effect in accordance with their respective terms and shall not have been
ameaded, modified or supplemented in any material respect, except in each such case as
may have been agreed to by the Underwriter.
(d) At or prior to the Closing, the Underwriter shall have received the
following documents:
(i) The Bond Ordinance certified by the Clerk of the City under seal
as having been duly adopted by the City and as being in effect, with only such
supplements, modifications or amendments as may have been agreed to by the
Underwriter.
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(ii) Fully executed counterparts of (A) the City Agreements, with any
and all revised schedules and (B) the Official Statement and copies of conformed
Official Statements sufficient to satisfy the requirements of Section 6 hereof
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(iii) Final approving opinion of Broad and Cassel, Orlando, Florida, in
its capacity as Bond Counsel to the City, addressed to the City, dated the date of
the Closing, in substantially the form included in the Official Statement as
Appendix D.
(iv) Letter of Bond Counsel to the City addressed to the Underwriter,
and dated the date of Closing, to the effect that its final approving opinion
referred to in clause (iii) above may be relied upon by the Underwriter to the same
extent as if such opinions were addressed to the Underwriter.
(v) Supplemental opinion of Bond Counsel to the City addressed to the
City and the Underwriter, and dated the date of Closing, to the effect that, (A) the
information set forth in the Official Statement under the headings
"INTRODUCTION," "PLAN OF FINANCE," "DESCRIPTION OF THE 2008
BONDS" (other than the information under the caption "Book -Entry Only
System"), "SECURITY AND SOURCES OF PAYMENT FOR THE 2008
BONDS," "TAX MATTERS," and APPENDICES C and D thereto (other than
the financial and statistical information included therein as to which no opinion
need be expressed), insofar as such information purports to be descriptions or
summaries_ of the Act the Bond Ordinance, the 2008 Bonds, the City Agreements
and the laws of the State of Florida and the United States, constitute accurate and
fair statements or summaries of the matters set forth or the documents or laws
referred to therein, (B) the City has duly authorized the execution and delivery of
the Official Statement and the use thereof by the Underwriter, (C) the 2008 Bonds
are exempt from registration under the Securities Act of 1933, as amended, and
the Bond Ordinance is exempt from qualification as an indenture under the Trust
Indenture Act of 1939, as amended, and (D) the Refunded Bonds have been
defeased in accordance with the Bond Ordinance and are not longer outstanding
thereunder.
(vi) -- -Opinion-- of the- City_Attomey,addressed to the City and the
Underwriter; and dated the date of the Closing, to the effect that (A) the City is a
body politic and corporate and a public instrumentality of the State of Florida,
duly created and validly existing under the Act and has full legal right, power and
authority to adopt the Bond Ordinance, to operate and financially control the
Parking System and to authorize, execute and deliver and to perform its
obligations under the City Agreements, (B) the City has duly adopted the Bond
Ordinance, has duly authorized, executed and delivered the City Agreements and
the Bond Ordinance and, assuming the due authorization, execution and delivery
of the City Agreements by the other parties thereto, the City Agreements
constitute legal, binding and valid obligations of the City, enforceable in
accordance with their respective terms; provided, however, the enforceability
thereof may be subject to bankruptcy, insolvency, reorganization, moratorium and
other similar laws affecting creditors' rights generally and subject, as to
enforceability, to general principles of equity, (C) the information in the Official
Statement as to legal matters relating to the City, the Net Revenues, the Act, the
2008 Bonds, the Parking System, the City Agreements and the Bond Ordinance is
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correct in all material respects and does not omit any statement, which in their
opinion, should be included or referred to therein, and in addition, with respect to
the information in the Official Statement and based upon their review of the
Official Statement as City Attorney to the City and without having undertaken to
determine independently the accuracy or completeness of the contents of the
Official Statement, they have no reason to believe that the Official Statement
(except for the information under the headings "DESCRIPTION OF THE 2008
BONDS - Book -Entry Only System," "CREDIT FACILITY" and in Appendix
[Fj thereto and the financial and statistical data contained therein as to which no
view need be expressed) contained as of its date, or contains as of the date of
Closing, an untrue statement of a material fact or omits to state a material fact
required to be stated therein or necessary to make the statements made therein, in
light of the circumstances under which they were made, not misleading, (D) the
Official Statement has been duly authorized, executed and delivered by the City,
and the City has consented to the use thereof by the Underwriter, (E) to the best of
their knowledge, the adoption of the Bond Ordinance, the operation and financial
control of the Parking System by the Department, the authorization, execution and
delivery of the City Agreements and the 2008 Bonds, and compliance with the
provisions hereof and thereof do not and will not conflict with, or constitute a
-breach-of-or-default under, - any law, administrative regulation, consent decree,
ordinance, resolution or any agreement or other instrument to which the City was
or is subject, as the case may be, nor does such adoption, execution, delivery,
authorization or compliance result in the creation or imposition of any lien, charge
or other security interest or encumbrance of any nature whatsoever upon any of
the property or assets of the City, or under the terms of any law, administrative
regulation, ordinance, resolution or instrument (F) to the best of their knowledge,
all approvals, consents, authorizations and orders of any governmental authority
or agency having jurisdiction in any matter which would constitute a condition
precedent to the performance by the City of its obligations under the City
Agreements, the 2008 Bonds and the Bond Ordinance have been obtained and are
in full force and effect, (G) the City is "lawfully empowered to pledge and grant,
and pursuant to the Bond Ordinance, has pledged and granted, a lien on the Net
Revenues, for payment of the principal of, redemption premium, if any, and
interest on the 2008 Bonds as the same becomes due and payable, and (H) except
as disclosed in the Official Statement, to the best of their knowledge, as of the
date of such opinion, there is no action, suit, proceeding, inquiry or investigation,
at law or in equity, before or by any court, government agency, public board or
body, pending or threatened against the City, affecting or seeking to prohibit,
restrain or enjoin the operation and financial control of the Parking System by the
City, the collection of Revenues of the Parking System, the sale, issuance or
delivery of the 2008 Bonds, the pledge of and lien on the Net Revenues, or
contesting or affecting as to the City the validity or enforceability in any respect
of the 2008 Bonds, the Bond Ordinance or the City Agreements, or contesting the
completeness or accuracy of the Official Statement or any supplement or
amendment thereto, or contesting the powers of the City, the governing body of
the City, the issuance of the 2008 Bonds, the adoption of the Bond Ordinance, the
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operation and financial control of the Parking System by the Department or the
execution and delivery by the City of the City Agreements or their performance.
(vii) A certificate, dated the date of Closing, signed by the Chairman of
the Department, or such other official satisfactory to the Underwriter, and in form
and substance satisfactory to the Underwriter, to the effect that, to the best of his
knowledge and belief (A) the representations, warranties and covenants of the
Department contained herein are true and correct in all material respects and are
complied with as of the time of Closing, and (B) the Official Statement (other
than the information under the headings "DESCRIPTION OF THE 2008 BONDS
- Book -Entry Only System," "BOND CREDIT FACILITY," "TAX MATTERS"
and in APPENDIX [F] thereto, as to which no view need be expressed) did not as
of its date, and does not as of the date of Closing, contain any untrue statement of
a material fact or omit to state a material fact which should be included therein for
the purposes for which the Official Statement is to be used, or which is necessary
in order to make the statements contained therein, in light of the circumstances in
which they were made, not misleading.
(viii) A certificate, dated the date of Closing, signed by the Mayor of the
City, or such other official satisfactory to the Underwriter, and in form and
substance satisfactory to the Underwriter, to the effect that, to the best of his
knowledge and belief (A) the representations, warranties and covenants of the
City contained herein are true and correct in all material respects and are
complied with as of the time of Closing, and (B) the Official Statement (other
than the information under the headings "DESCRIPTION OF THE 2008 BONDS
- Book -Entry Only System," "BOND CREDIT FACILITY," "TAX MATTERS"
and in APPENDIX [F] thereto, as to which no view need be expressed) did not as
of its date, and does not as of the date of Closing, contain any untrue statement of
a material fact or omit to state a material fact which should be included therein for
the purposes for which the Official Statement is to be used, or which is necessary
in order to make the statements contained therein, in light of the circumstances in
which they were made, not misleading.
(ix) An opinion of Squire Sanders & Dempsey LLP, disclosure counsel
to the City, addressed to the Underwriter, and dated the date of Closing,
substantially to the effect that with respect to the information in the Official
Statement and based upon said firm's participation in the preparation of the
Official Statement as disclosure counsel to the City and without having
undertaken to determine independently the accuracy or completeness of the
contents of the Official Statement, nothing has come to its attention which leads it
to believe that the Official Statement (except for the information under the
headings "DESCRIPTION OF THE 2008 BONDS - Book -Entry Only System,"
"BOND CREDIT FACILITY," and "TAX MATTERS" and in the appendices
thereto and the financial and statistical data contained therein, as to which no view
need be expressed) contains an untrue statement of a material fact or omits to state
a material fact required to be stated therein or necessary to make the statements
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made therein, in light of the circumstances under which they were made, not
misleading.
(x) [An opinion of Adomo & Yoss LLP, Counsel to the Underwriter,
addressed to the Underwriter, and dated the date of Closing, substantially to the
effect that the Disclosure Agreement complies as to form in all material respects
with the applicable requirements of the Rule.]
(xi) A certificate, dated the date of Closing, signed by the Chairman of
the Department, or such other official satisfactory to Bond Counsel, setting forth
the reasonable expectations regarding the use of the proceeds of the 2008 Bonds,
among other matters.
(xii) A certificate, dated the date of Closing, of an authorized
representative of TD Bank, National Association, Jacksonville, Florida, as Bond
Registrar, Paying Agent, Tender Agent and Trustee (the "Fiduciary") to the effect
that (A) the Fiduciary is a banking association duly organized, validly existing
and in good standing under the laws of the United States and is duly authorized to
exercise trust powers in the State of Florida, (B) the Fiduciary has all requisite
authority, power, licenses, permits and franchises, and has full corporate power
arid- legal authority to execute and perform its functions under the Bond
Ordinance, (C) the performance by the Fiduciary of its functions under the Bond
Ordinance will not result in any violation of the Articles of Association or Bylaws
of the Fiduciary, any court order to which the Fiduciary is subject or any
agreement, indenture or other obligation or instrument to which the Fiduciary is a
party or by which the Fiduciary is bound, and no approval or other action by any
governmental authority or agency having supervisory authority over the Fiduciary
is required to be obtained by the Fiduciary in order to perform its functions under
the Bond Ordinance, (D) the Bond Ordinance constitutes a valid and binding
obligation of the Fiduciary in accordance with its terms, subject to applicable
bankruptcy, insolvency, reorganization, moratorium and other similar laws
affecting creditors' rights generally and subject, as to enforceability, to general
principles of equity and (E) to the best of such authorized representative's
knowledge, there is no action, suit, proceeding or investigation at law or in equity
before any court, public board or body pending or, to his or her knowledge,
threatened against or affecting the Fiduciary wherein an unfavorable decision,
ruling or finding on an issue raised by any party thereto is likely to materially and
adversely affect the ability of the Fiduciary to perform its obligations under the
Bond Ordinance.
(xiii) An opinion of Greenberg Traurig, P.A., Counsel to the Fiduciary,
addressed to the City and the Underwriter, and dated the date of Closing, in form
and substance satisfactory to the Underwriter, Counsel to the Underwriter and
Bond Counsel.
11
(xiv) Letter of Moody's Investors Service, Inc_ ("Moody's") to the effect
that the 2008 Bonds have been assigned a rating of "Aa2/VMIG-1" and which
ratings shall be in effect as of the date of Closing.
(xv) A certificate, dated the date of Closing, of an authorized
representative of SunTrust Bank, as Credit Provider, with respect to the Credit
Facility and the information relating thereto contained in the Official Statement,
in form and substance satisfactory to the Underwriter, Counsel to the Underwriter
and Bond Counsel.
(xvi) At Closing, the Underwriter shall receive evidence of compliance
with the requirements of the Bond Ordinance relating to the issuance of
Additional Bonds as required by the Bond Ordinance.
(xvii) A specimen of the 2008 Bonds.
(xviii) Such additional legal opinions, certificates, proceedings,
instruments and other documents as counsel for the Underwriter may reasonably
request to evidence compliance by the City with the legal requirements, the truth
and accuracy, as of the time of Closing, of the representations of the City herein
contained and the due performance or satisfaction by the City, at or prior to the
Closing, of all agreements then required to be performed and all conditions then
required to be satisfied by the City at the Closing_
10. The Underwriter shall have the right to cancel its obligations to purchase and
accept delivery of the 2008 Bonds hereunder by notifying the City, in writing or by telegram, of
its election to do so between the date hereof and the Closing if, on or after the date hereof and
prior to the Closing:
(a) between the date hereof and the Closing, an amendment to the
Constitution_ of the ,United States or any legislation shall be (i) enacted or adopted by the
United States, (ii) recommended to the Congress or otherwise endorsed for passage, by
press release, other form of notice or otherwise, by the President of the United States, the
Chairman or ranking minority member of the Committee on Finance of the United States
Senate or the Committee on Ways and Means of the United States House of
Representatives, the Treasury Department of the United States or the Internal Revenue
Service, or (iii) favorably reported out of the appropriate Committee for passage to either
House of the Congress by any full Committee of such House to which such legislation
has been referred for consideration, or any decision of any court of the United States or
any order, rule or regulation (final, temporary or proposed) on behalf of the Treasury
Department of the United States, the Internal Revenue Service or any other authority or
regulatory body of the United States shall be issued, or a release or announcement or
communication shall be issued or sent by the Treasury Department or the Internal
Revenue Service of the United States, or any comparable legislative, judicial or
administrative development shall occur affecting the federal tax status of the City, its
property or income, obligations of the general character of the 2008 Bonds, as
contemplated hereby, or the interest thereon, or any tax exemption, which, in the
(R6079164 2}
12
reasonable judgment of the Underwriter, materially adversely affects the market price of
the 2008 Bonds or causes any information in the Official Statement to be misleading in
any material respect, or
(b) between the date hereof and the Closing, legislation shall be enacted or
any action shall be taken by the Securities and Exchange Commission which, in the
opinion of Counsel for the Underwriter, has the effect of requiring the registration of the
contemplated issuance or distribution of the 2008 Bonds or the Credit Facility under the
1933 Act, or the qualification of the Bond Ordinance under the Trust Indenture Act of
1939, as amended (the "TIA"), or
(c) any event shall have occurred or shall exist that, in the opinion of the
Underwriter, either (i) makes untrue or incorrect in any material respect any statement or
information contained in the Official Statement, or (ii) is not reflected in the Official
Statement and should be reflected therein in order to make the statements and
information contained therein not misleading in any material respect; or
(d) litigation not otherwise described in the Official Statement is instituted
with respect to the City, the Parking System or the 2008 Bonds which, in the reasonable
opinion of the Underwriter, materially adversely affects the marketability of the 2008
Bonds or the market price thereof, or
(e) in the reasonable opinion of the Underwriter, payment for and delivery of
the 2008 Bonds is rendered impracticable or inadvisable because (A) trading in securities
generally shall have been suspended on the New York Stock Exchange, Inc., or (B) a
general banking moratorium shall have been established by Federal, New York or Florida
authorities, or (C) on or after the date hereof, the United States shall become engaged in a
war or other hostilities or in the threat of war or other hostilities, or
(f) an order, decree or injunction of any court of competent jurisdiction, or
any order, ruling, regulation or administrative proceeding by any governmental body or
board, shall have been issued or commenced, or any legislation enacted, with the purpose
or effect of prohibiting the issuance, offering or sale of the 2008 Bonds, or the operation
or financial control of the Parking System by the Department, or prohibiting the adoption
of the Bond Ordinance or the execution and delivery of any of the City Agreements or the
performance thereof, or
(g) between the date hereof and the Closing, the City or the Department has,
without the prior written consent of the Underwriter, offered or issued any bonds, notes
or other obligations for borrowed money, or incurred any material liabilities, direct or
contingent, pledging the Net Revenues of the Parking System other than as described in
the Official Statement, or
(h) between the date hereof and the Closing, the President of the United
States, the Office of Management and Budget, the Department of Treasury, the Internal
Revenue Service or any other governmental body, department, agency or commission of
the United States or the State of Florida shall take or propose to take any action or
{R6079164 2}
13
implement or propose regulations, rules or legislation which, in the reasonable judgment
of the Underwriter, materially adversely affects the market price of the 2008 Bonds or
causes any information in the Official Statement, in light of the circumstances under
which it appears, to be misleading in any material respect, or
(i) between the date hereof and the Closing, any executive order shall be
announced, or any legislation, ordinance, rule or regulation shall be proposed by or
introduced in, or be enacted by any governmental body, department, agency or
commission of the United States or the State of Florida, having jurisdiction over the
subject matter, or a decision by any court of competent jurisdiction within the United
States or within the State of Florida shall be rendered which, in the reasonable judgment
of the Underwriter, materially adversely affects the market price of the 2008 Bonds or
causes any information in the Official Statement to be misleading in any material respect.
11. If the City is unable to satisfy the conditions to the obligations of the Underwriter
contained in this Purchase Agreement, or if the obligations of the Underwriter to purchase and
accept delivery of the 2008 Bonds shall be terminated for any reason permitted by this Purchase
Agreement, this Purchase Agreement shall terminate at the option of the Underwriter and neither
the Underwriter nor the City shall be under further obligation hereunder; except that the
respective obligations to indemnify and pay expenses, as provided in Sections 12 and 15 hereof,
shall continue in full force and effect.
12.
(a) To the fullest extent permitted by applicable law, the City agrees to
indemnify and hold harmless the Underwriter or the other persons described in
subsection (b) below against any and all losses, damages, expenses (including reasonable
legal and other fees and expenses actually incurred), liabilities or claims (or actions in
respect thereof), (i) to which the Underwriter or the other persons described in
subsection (b) below may become subject under any federal or state securities laws or
-other-statutory- law or at common law or otherwise, caused by or arising out of or based
upon any untrue statement or misleading statement or alleged untrue statement or alleged
misleading statement of a material fact related to the City or the Parking System
contained in the Preliminary Official Statement or the Official Statement or in the
information furnished by the City in writing to the Credit Provider in connection with the
issuance of the Credit Facility or caused by any omission or alleged omission related to
the City or the Parking System from the Official Statement or in the information
furnished by the City in writing to the Credit Provider in connection with the issuance of
the Credit Facility of any material fact required to be stated therein or necessary in order
to make the statements made therein, in the light of the circumstances under which they
were made, not misleading, and (ii) to which the parties indemnified hereunder or any of
them may become subject under the 1933 Act, the 1934 Act, the TIA, the rules or
regulations under said Act, insofar as such losses, claims, damages, expenses, actions or
liabilities arise out of or are based upon the failure to register the 2008 Bonds or any
security therefor, including the Credit Facility, under the 1933 Act or to qualify the Bond
Ordinance under the TIA.
{R6079164 21
14
(b) The indemnity provided under this Section 12 shall extend upon the same
terms and conditions to each officer, director, employee, agent or attorney of the
Underwriter and each person, if any, who controls the Underwriter within the meaning of
Section 15 of the 1933 Act or Section 20 of the 1934 Act. Such indemnity shall also
extend, without limitation, to any and all expenses whatsoever reasonably incurred by
any indemnified party in connection with investigating, preparing for or defending
against, or providing evidence, producing documents or taking any other reasonable
action in respect of any such loss, damage, expense, liability or claim (or action in respect
thereof), whether or not resulting in any liability, and shall include any loss to the extent
of the aggregate amount paid in settlement of any litigation, commenced or threatened, or
of any claim whatsoever as set forth herein if such settlement is effected with the written
consent of the City.
(c) Within a reasonable time after an indemnified party under paragraphs
(a) and (b) of this Section 12 shall have been served with the summons or other first legal
process or shall have received written notice of the threat of a claim in respect of which
an indemnity may be claimed, such indemnified party shall, if a claim for indemnity in
respect thereof is to be made against the City under this Section 12, notify the City in
writing of the commencement thereof; but the omission to so notify the City shall not
relieve the City from any liability that it may have to any indemnified party other than
pursuant to paragraphs (a) and (b) of this Section 12. The City shall be entitled to
participate at its own expense in the defense, and if the City so elects within a reasonable
time after receipt of such notice, or all indemnified parties seeking indemnification in
such notice so direct, the City shall assume the defense of any suit brought to enforce any
such claim, and in either such case, such defense shall be conducted by counsel chosen
promptly by the City and reasonably satisfactory to the indemnified party; provided
however, that, if the defendants in any such action include such an indemnified party and
the City, or include more than one indemnified party and any such indemnified party
shall have been advised by its counsel that there may be legal defenses available to such
indemnified party that are different from or additional to those available to the City or
anotherdefendant indemnified party, and that in the -reasonable opinion of such counsel
are sufficient to make it undesirable for the same counsel to represent such indemnified
party and the City, or another defendant indemnified party, such indemnified party shall
have the right to employ separate counsel in such action, and in such event the reasonable
fees and expenses of such counsel shall be borne by the City. Nothing contained in this
paragraph (c) shall preclude any indemnified party, at its own expense, from retaining
additional counsel to represent such party in any action with respect to which indemnity
may be sought from the City hereunder.
13. The indemnity and contribution provided by Section 12 hereof shall be in
addition to any other liability that the City may otherwise have hereunder, at common law or
otherwise, and is provided solely for the benefit of the Underwriter and each director, officer,
employee, agent, attorney and controlling person referred to therein, and their respective
successors, assigns and legal representatives, and no other person acquire or have any right under
or by virtue of such provisions of this Purchase Agreement. The indemnity and contribution
provided by Section 12 hereof shall survive the termination or performance of this Purchase
Agreement.
(R6079164 2)
15
14. All representations, warranties and agreements of the City set forth in or
made pursuant to this Purchase Agreement shall remain operative and in full force and effect,
regardless of any investigations made by or on behalf of the Underwriter and shall survive the
delivery of and payment for the 2008 Bonds.
15. If the 2008 Bonds are sold to the Underwriter by the City, the City shall
pay, out of the proceeds of the 2008 Bonds or from its own funds, any expenses incident to the
performance of its obligations hereunder, including but not limited to: (i) the cost of the
preparation, reproduction, printing, distribution, mailing, execution, delivery, filing and
recording, as the case may be, of this Purchase Agreement, the Bond Ordinance, this Purchase
Agreement, the Credit Agreement, the Official Statement, Blue Sky Memoranda and all other
agreements and documents required in connection with the consummation of the transactions
contemplated hereby; (ii) the cost of the preparation, engraving, printing, execution and delivery
of the definitive 2008 Bonds; (iii) the fees and disbursements of Bond Counsel, disclosure
counsel for the City, counsel for the Credit Provider, counsel for the City, counsel for the
Trustee, counsel for the Underwriter and any other experts retained by the City; (iv) the initial or
acceptance fee of the Trustee; (v) any fees charged by the rating agencies for the rating of the
2008 Bonds; (vi) the cost of transportation and lodging for officials and representatives of the
City in connection with attending meetings and the Closing; (vii) the cost of qualifying the 2008
Bonds under the laws of such jurisdictions as the Underwriter may designate, including filing
fees and fees and disbursements of counsel for the Underwriter in connection with such
qualification and the preparation of Blue Sky Memoranda, and (viii) the cost of obtaining the
Credit Facility.
The City shall also pay any expenses incident to the performance of its
obligations hereunder and, if the 2008 Bonds are not sold by the City to the Underwriter, the City
shall pay all expenses incident to the performance of the City's obligations hereunder as
provided above.
The Underwriter shall pay (i) the cost of preparing and publishing all
advertisements approved by them relating to the 2008 Bonds upon commencement of the
offering of the 2008 Bonds; (ii) the cost of the transportation and lodging for officials and
representatives of the Underwriter to attend meetings and the Closing; (iii) any fees of the
Municipal Securities Rulemaking Board in connection with the issuance of the 2008 Bonds; and
(iv) the cost of obtaining a CUSIP number assignment for the 2008 Bonds.
16. This Purchase Agreement shall inure to the benefit of and be binding upon
the City and the Underwriter and their respective successors and assigns. Nothing in this
Purchase Agreement is intended or shall be construed to give any person, firm or corporation,
other than the parties hereto and their respective successors and assigns, and the persons entitled
to indemnity and contribution under Section 12 hereof, and their respective successors, assigns
and legal representatives, any legal or equitable right, remedy or claim under or in respect of this
Purchase Agreement or any provision herein contained. This Purchase Agreement and all
conditions and provisions hereof are intended to be for the sole and exclusive benefit of the
parties hereto and their respective successors and assigns, and the persons entitled to indemnity
and contribution under Section 12 hereof, and their respective successors, assigns and legal
representatives, and for the benefit of no other person, firm or corporation. No purchaser who
{R6079164_2}
16
purchases the 2008 Bonds from the Underwriter or other person or entity shall be deemed to be a
successor merely by reason of such purchase.
17. Any notice or other communication to be given to the City or the Underwriter
may be mailed to the following addresses:
City of Miami
Miami Parking Authority
190 N.E. Third Street
Miami, Florida 33132
Attention: Executive Director
SunTrust Robinson Humphrey, Inc.
200 South Orange Avenue
Mail Code 0-1102 / Tower 10
Orlando, Florida 32801
Attention: Public Finance
together with a copy to:
Adorno & Yoss LLP
2525 Ponce de Leon Boulevard, 400
Miami, Florida 33134
Attn: Jeffrey DeCarlo
18. No recourse under or upon any obligation, indemnity, covenant or agreement
contained in this Purchase Agreement or under any judgment obtained against the City, or by the
enforcement of any assessment or by Iegal or equitable proceedings by virtue of any constitution
or statute or otherwise or any under circumstances, under or independent of this Purchase
Agreement, shall be had against any trustee, director, member, commissioner, officer, employee
or agent, as such, past, present or -future, of the City, either directly or through the City, or
otherwise, for the payment for or to the City or any receiver thereof, or to the Underwriter or
otherwise of any amount that may become owed by the City hereunder. Any and all personal
liability of every nature, whether at common law or in equity, or by statute or constitution or
otherwise, of any trustee, director, member, commissioner, officer, employee or agent, as such,
to respond by reason of any act or omission on his part or otherwise, for the payment for or to the
City or any receiver thereof, the Underwriter or otherwise, of any amount that may become owed
by the City hereunder is hereby expressly waived and released as a condition of and in
consideration for the execution of this Purchase Agreement.
19. This Purchase Agreement shall be governed by and construed in accordance with
the laws of the State of Florida.
20. This Purchase Agreement shall become effective upon the acceptance hereof by
the City.
{R6079164 2}
17
21. This Purchase Agreement may be signed in any number of counterparts, each of
which shall which shall be an original, but all of which shall constitute but one and the
same instrument.
(R6079164 2)
[BALANCE OF PAGE INTENTIONALLY LEFT BLANK]
18
(R6079164 2)
Very truly yours,
SUNTRUST ROBINSON HUMPRHEY, INC.,
as Underwriter
By:
Leif G. Chase, Vice President
(Signature Page to Bond Purchase Agreement)
19
Accepted and agreed to as
of the date first above written:
THE CITY OF MIAMI
By:
Pedro G. Hernandez, City Manager
[SEAL]
Attest:
By:
Priscilla Thompson, City Clerk
DEPARTMENT OF OFF-STREET
PARKING OF THE CITY OF MIAMI
By:
Arthur Noriega, V., Executive Director
[SEAL]
Attest:
By:
Secretary
(R6079164 2)
(Signature Page to Bond Purchase Agreement)
20
Disclosure and Truth -in -Bonding Statement
July 2008
THE CITY OF MIAMI, FLORIDA
Tax -Exempt Variable Rate
Parking System Revenue Refunding
Bonds
Series 2008
The City of Miami
City Commissioners
Miami, Florida
Ladies and Gentlemen:
$
Taxable Variable Rate
Parking System Revenue Refunding
Bonds
Series 2008
In connection with the proposed execution and delivery of the above captioned
bonds (the "2008 Bonds"), SunTrust Robinson Humphrey, Inc. (the "Underwriter") has
agreed to purchase the 2008 Bonds. Arrangements for the purchase of the 2008 Bonds
pursuant to such offering will include a Bond Purchase Agreement dated July _, 2008
between the City of Miami (the "City") and the Underwriter which will embody the
negotiations in respect thereof (the "Purchase Agreement").
The purpose of this letter is to furnish, pursuant to the provisions of Section
218.385, Florida Statutes, as amended, certain information in respect of the arrangements
contemplated for the purchase of the 2008 Bonds as follows:
(1) The estimated expenses to be incurred by the Underwriter in connection
with the purchase and reoffering of the 2008 Bonds are approximately $
including $ for CUSIP, $ for DTC, $ for
Underwriter's counsel fees and $ for travel and out-of-pocket cost.
(2) No person has entered into an understanding with the Underwriter or, to
the knowledge of the Underwriter, with the City, for any paid or promised
compensation or valuable consideration, directly or indirectly, expressly or
implied, to act solely as an intermediary between the City and the Underwriter or
to exercise or attempt to exercise any influence to effect any transaction in
connection with the purchase of the 2008 Bonds by the Underwriter.
(3) The management fee is $ ($ /$1,000).
(4) No other fee, bonus or other compensation has been or will be paid by the
Underwriter in connection with the issuance of the 2008 Bonds to any person not
(R6079164 2)
21
regularly employed or retained by the Underwriter, including any "finder" as
defined in Section 218.3 86(1)(a), Florida Statutes, as amended.
(5)
The name and address of the Underwriter is:
SunTrust Robinson Humphrey, Inc.
200 South Orange Avenue
Mail Code 0-1102 / Tower 10
Orlando, Florida 32801
Attention: Public Finance
(6) The City is proposing to issue $ of 2008 Bonds
which will be used to refund outstanding bonds of the City, as described in the
Official Statement July ,, 2008 relating to the 2008 Bonds (the "Official
Statement"). This debt evidenced by the 2008 Bonds is expected to be repaid
over a period of approximately 28 years. The total interest paid over the life of
the 2008 Bonds is $
(7) The anticipated source of repayment or security for the 2008 Bonds are
Net Revenues pursuant to Ordinance No. (the "Series Ordinance"),
duly enacted by the City Commission (the "City Commission") of the City on
, which supplements Ordinance No. 11693, enacted by the
City on August 14, 1998 (as supplemented and amended, and in particular, as
amended by Ordinance No. 11719, enacted by the City on October 27, 1998,
collectively, the "1998 Ordinance"), as further supplemented by adopted
Ordinance No. (the "Series Ordinance") enacted by the City on
, 2008. Authorizing the 2008 Bonds will not result in approximately
$ of Net Revenues not being available to finance other services of the
City through the stated maturity date of the 2008 Bonds.
{R6079164 2}
Very truly yours,
SUNTRUST ROBINSON HUMPRHEY, INC.,
as Underwriter
By:
Leif G. Chase, Vice President
[Signature Page — Truth in Bonding Statement]
22