HomeMy WebLinkAboutCRA-R-14-0051 Exhibit BBOND PURCHASE AGREEMENT
with respect to
[$ 1
SOUTHEAST OVERTOWN/PARK WEST COMMUNITY REDEVELOPMENT AGENCY
Tax Increment Revenue Bonds, Series 2014A
, 2014]
Southeast Overtown/Park West
Community Redevelopment Agency
1490 Northwest 3'd Ave., Suite 105
Miami, FL 33136
Attention: Clarence E. Woods, III, Executive Director
Ladies and Gentlemen:
The undersigned, Wells Fargo Bank, National Association. (the "Underwriter"), offers to enter
into this Bond Purchase Agreement (this "Agreement") with the Southeast Overtown/Park West
Community Redevelopment Agency (the "Agency") which, upon the Agency's written
acceptance of this offer, will be binding upon the Agency and upon the Underwriter. This offer is
made subject to the Agency's written acceptance hereof on or before 11:59 p.m., Eastern time, on
[ , 2014], and, if not so accepted, will be subject to withdrawal by the Underwriter
upon notice delivered to the Agency at any time prior to the acceptance hereof by the Agency.
Terms not otherwise defined in this Agreement shall have the sane meanings set forth in the
Bond Resolution (as defined herein) or in the Limited Offering Memorandum (as defined
herein).
1. Purchase and Sale of the Bonds. Subject to the terms and conditions and in reliance upon
the representations, warranties and agreements set forth herein, the Underwriter hereby
agrees to purchase from the Agency, and the Agency hereby agrees to sell and deliver to
the Underwriter, all, but not less than all, of the Agency's [$ 1 Tax
Increment Revenue Bonds, Series 2014A (the "Bonds"). Inasmuch as this purchase and
sale represents a negotiated transaction, the Agency acknowledges and agrees that: (i) the
transaction contemplated by this Agreement is an arm's length, commercial transaction
between the Agency and the Underwriter in which the Underwriter is acting solely as a
principal and is not acting as a municipal advisor, financial advisor or fiduciary to the
Agency; (ii) the Underwriter has not assumed any advisory or fiduciary responsibility to
the Agency with respect to the transaction contemplated hereby and the discussions,
undertakings and procedures leading thereto (irrespective of whether the Underwriter has
provided other services or is currently providing other services to the Agency on other
matters); (iii) the Underwriter is acting solely in its capacity as underwriter for its own
account and has financial and other interests that differ from those of the Agency; (iv) the
only obligations the Underwriter has to the Agency with respect to the transaction
contemplated hereby expressly are set forth in. this Agreement; and (v) the Agency has
consulted its own legal, accounting, tax, financial and other advisors, as applicable, to the
extent it has deemed appropriate. The Agency acknowledges that the Underwriter has
provided to the Agency prior disclosures regarding its role as Underwriter, and that has
retained a municipal advisor for the transaction contemplated by this Agreernent.
The principal amount of the Bonds to be issued, the dated date therefor, the maturities,
sinking fund and optional redemption provisions and interest rates per annum are set
forth in Schedule I hereto. The Bonds shall be as described in, and shall be issued and
secured under and pursuant to the provisions of Resolution No. CRA-R-12-0061, adopted
by the Agency on September 17, 2012, as amended and supplemented by Resolution No.
CRA-R-13-0025, adopted by the Agency on March 25, 2013, Resolution No. CRA-R-13-
0039, adopted by the Agency on June 24, 2013, and as supplemented by Resolution No.
CRA-R-14-_, adopted by the Agency on [July 28, 2014] (collectively, the "Bond
Resolution ").
The aggregate purchase price fox the Bonds shall be $[ ] (the "Purchase
Price"), which is the sum of $[ ] original aggregate principal arnount of the
Bonds, [plus][less] net original issue [premium][discount] of $[ ] and less
Underwriter's discount of $[ ]. Subject to the terms and conditions of this
Agreernent, the Purchase Price shall be paid by the Underwriter to the Agency at the
Closing as described in Section 5 below.
Upon the Agency's acceptance, execution, and delivery of this Agreernent to the
Underwriter, the Underwriter shall deliver to the Agency, as a good faith deposit, a wire
transfer of funds in the amount of $[ ], representing [ %] of the preliminary
par amount of the Bonds shown on the cover of the Preliminary Limited Offering
Memorandum (the "Good Faith Deposit"). In the event the Agency accepts this offer,
such Good Faith Deposit shall be held by the Agency in a segregated account until the
time of Closing, at which time such Good Faith Deposit shall be returned to the
Underwriter. Should the Agency fail to deliver the Bonds at the Closing, or should the
Agency be unable to satisfy the conditions of the obligations of the Underwriter to
purchase, accept delivery of and pay for the Bonds, as set forth in this Agreement (unless
waived by the Underwriter), or should such obligations of the Underwriter be terminated
for any reason permitted by this Agreement, such Good Faith Deposit shall immediately
be returned to the Underwriter. In the event that the Underwriter fails (other than for a
reason permitted hereunder) to purchase, accept delivery of and pay for the Bonds at the
Closing as herein provided, such Good Faith Deposit shall be retained by the Agency as
and for fully liquidated damages for such failure of the Underwriter, and, except as set
forth in Sections 8 and 10 hereof, no party shall have any further rights against the other
hereunder. The Underwriter and the Agency understand that in such event the Agency's
actual damages may be greater or may be less than such amount of the Good Faith
Deposit. Accordingly, the Underwriter hereby waives any right to claim that the Agency's
actual damages are less than such amount of the Good Faith Deposit, and the Agency's
acceptance of this offer shall constitute a waiver of any right the Agency may have to
additional damages from. the Underwriter.
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The Underwriter shall, upon execution of this Agreement, provide to the Agency the
Disclosure Letter and Truth -In -Bonding Statement required by Section 218.385, Florida
Statutes, attached hereto as Schedule II and made a part hereof.
2. Limited Offering. The Underwriter agrees to make a limited offering of all of the Bonds
at a price not to exceed the offering prices (which may be expressed in terms of yield) set
forth on the inside cover of the Limited Offering Memorandum and in compliance with
the Bond Resolution and may, to the extent permitted by the Bond Resolution,
subsequently change such offering price without any requirement of prior notice. The
Underwriter may offer and sell Bonds to certain dealers (including dealers depositing
Bonds into investment trusts) and others at prices lower than the offering price stated on
the inside cover of the Limited Offering Memorandum. The Underwriter agrees to limit
the initial sale of the Bonds to no more than thirty five (35) investors, all of which must
be (i) Qualified Institutional Buyers as such tern is defined in Rule 144A promulgated
under the Securities Act of 1933, as amended (the "1933 Act') and (ii) Sophisticated
Municipal Market Professionals as defined by the Municipal Securities Rulemaling
Board ("MSRB"). The Underwriter shall cause the initial purchasers of the Bonds to
execute and deliver an Investor Letter substantially in the form attached hereto as
Schedule III.
3. The Limited Offering Memorandum.
(a) At the time of or before acceptance of this Agreement, or at such later time as
shall be agreeable to the Underwriter and the Agency, the Agency shall deliver to
the Underwriter three copies of the Limited Offering Memorandum, dated the
date hereof (which together with the cover page and appendices contained therein,
is herein called the "Limited Offering Memorandum") executed on behalf of the
Agency by its Chairman and Executive Director.
(b) The Preliminary Limited Offering Memorandum has been prepared by the
Agency for use by the Underwriter in connection with the limited offering, sale
and distribution of the Bonds. The Agency hereby represents and warrants that the
Preliminary Limited Offering Memorandum was deemed final by the Agency as
of its date, except for the omission of such information which is dependent upon
the final pricing of the Bonds for completion, all as permitted to be excluded by
Section (b)(1) of Rule 15c2-12 under the Securities Exchange Act of 1934 (the
"Rule").
(c)
The Agency represents that the officials of the Agency have reviewed and
approved the information in the Limited Offering Memorandum and hereby
authorizes the Limited Offering Memorandum to be used by the Underwriter in
connection with the limited offering and the sale of the Bonds. The Agency shall
provide, or cause to be provided, to the Underwriter as soon as practicable after
the date of the Agency's acceptance of this Agreement (but, in any event, not later
thrill within seven business days after the Agency's acceptance of this Agreement
and in sufficient time to accompany any confirmation that requests payment from
any customer) copies of the Limited Offering Memorandum which is complete as
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of the date of its delivery to the Underwriter in such quantity as the Underwriter
shall request and an electronic version of the Limited Offering Memorandum in
searchable PDF format within one day of delivery of the Limited Offering
Memorandum and, in any event, no later than the date of Closing in order for the
Underwriter to comply with Section (b)(4) of the Rule and the rules of the MSRB.
The Agency hereby confirms that it does not object to the distribution of the
Limited Offering Memorandum in "designated electronic format" (as defined in
MSRB Rule G-32).
(d) If, after the date of this Agreement to and including the date the Underwriter is no
longer required to provide a Limited Offering Memorandum to potential
customers who request the same pursuant to the Rule (the earlier of (i) 90 days
from the "end of the underwriting period" (as defined in the Rule) and (ii) the
time when the Limited Offering Memorandum is available to any person from the
MSRB, but in no case less than 25 days after the "end of the underwriting period"
for the Bonds), the Agency becomes aware of any fact or event which night or
would cause the Limited Offering Memorandum, as then supplemented or
amended, to contain any untrue statement of a material fact or to omit to state a
material fact required to be stated therein or necessary to make the statements
therein not misleading, or if it is necessary to amend or supplement the Limited
Offering Memorandum to comply with law, the Agency will notify the
Underwriter (and for the purposes of this clause provide the Underwriter with
such information as it may from time to time request), and if, in the opinion of the
Underwriter, after consultation with Disclosure Counsel, such fact or event
requires preparation and publication of a supplement or amendment to the
Limited Offering Memorandum, the Agency will forthwith prepare and fiunish, at
the Agency's own expense (in a form and manner approved by the Underwriter), a
reasonable number of copies of either amendments or supplements to the Limited
Offering Memorandum so that the statements in the Limited Offering
Memorandum as so amended and supplemented will not contain any untrue
statement of a material fact or omit to state a material fact required to be stated
therein or necessary to make the statements therein not misleading or so that the
Limited Offering Memorandum will comply with law. If such notification shall be
subsequent to the Closing, the Agency shall furnish such legal opinions,
certificates, instruments and other documents as the Underwriter may deem
necessary to evidence the truth and accuracy of such supplement or amendment to
the Limited Offering Memorandum.
(e)
The Underwriter hereby agrees to file the Limited Offering Memorandum with
the MSRB's Electronic Municipal Market Access system ("EMMA")
(accompanied by a complete Form G-32) by the date of Closing. The filing of the
Limited Offering Memorandum with EMMA shall be in accordance with the
terms and conditions applicable to EMMA and the MSRB. Unless otherwise
notified in writing by the Underwriter, the Agency can assume that the "end of the
underwriting period" for purposes of the Rule is the date of the Closing.
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4. Representations, Warranties, and Covenants of the Agency. The Agency hereby
represents and warrants to and covenants with the Underwriter that, as of the date hereof:
(a)
(b)
(c)
The Agency is a public body corporate and politic duly created, organized and
existing pursuant to the Constitution and the laws of the State of Florida (the
"State"), separate, distinct, and independent from the City. The Agency has full
legal right, power and authority under the Constitution and laws of the State,
including without limitation Part III, Chapter 163, Florida Statutes, as amended
(the "Act") and the Bond Resolution and at the date of the Closing will have full
legal right, power and authority under the Act and the Bond Resolution (i) to enter
into, execute, deliver and perform its obligations, as the case may be, under this
Agreement, the Bond Resolution, the Fiscal Agent _Agreement, the Continuing
Disclosure Agreement (as defined in Section 6(h)(4) hereof, the "Undertaking')
and all documents required hereunder and thereunder to be executedand
delivered by the Agency (this Agreement, the Bond Resolution, the Fiscal Agent
Agreement, the Undertaking and the other documents referred to in this clause are
hereinafter referred to as the "Agency Documents"), (ii) to sell, issue and deliver
the Bonds to the Underwriter as provided herein, and (iii) to carry out and
consummate the transactions contemplated by the Agency Documents and the
Limited Offering Memorandum, and the Agency has complied, and will at the
Closing be in compliance in all respects, with the terms of the Act and the Agency
Documents as they pertain to such transactions;
By all necessary official actions of the Agency prior to or concurrently with the
acceptance hereof, the Agency has duly authorized all necessary action to be
taken by it for (i) the adoption of the Bond Resolution and the issuance and sale of
the Bonds, (ii) the approval, execution and delivery of, and the performance by
the Agency of the obligations on its part, contained in the Bonds and the Agency
Documents and (iii) the consummation by it of all other transactions contemplated
by the Limited Offering Memorandum, and the Agency Documents and any and
all such other agreements and documents as may be required to be executed,
delivered and/or received by the Agency in order to carry out, give effect to, and
consummate the transactions contemplated herein and in the Limited Offering
Memorandum;
The Agency Documents constitute legal, valid and binding obligations of the
Agency, enforceable in accordance with their respective terms, subject to
bankruptcy, insolvency, reorganization, moratorium and other similar laws and
principles of equity relating to or affecting the enforcement of creditors' rights;
the Bonds, when issued, delivered and paid for, in accordance with the Bond
Resolution and this Agreement, will constitute legal, valid and binding obligations
of the Agency entitled to the benefits of the Bond Resolution and enforceable in
accordance with their terms, subject to bankruptcy, insolvency, reorganization,
moratorium and other similar laws and principles of equity relating to or affecting
the enforcement of creditors' rights; upon the issuance, authentication and
delivery of the Bonds as aforesaid, the Bond Resolution will provide, for the
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benefit of the holders, from time to time, of the Bonds, the legally valid and
binding pledge of and lien it purports to create as set forth in the Bond Resolution;
(d) The Agency is not in breach of or default in any material respect under any
applicable constitutional provision, law or administrative regulation of the State
or the United States or any applicable judgment or decree or any loan agreement,
indenture, bond, note, resolution, agreement or other instrument to which the
Agency is a party or to which the Agency is or any of its property or assets are
otherwise subject, and no event has occurred and is continuing which constitutes
or with the passage of time or the giving of notice, or both, would constitute a
default or event of default by the Agency under any of the foregoing; and the
execution and delivery of the Bonds, the Agency Documents and the adoption of
the Bond Resolution and compliance with the provisions on the Agency's part
contained therein, will not conflict with or constitute a material breach of or
material default under any constitutional provision, administrative regulation,
judgment, decree, loan agreement, indenture, bond, note, resolution, agreement or
other instrument to which the Agency is a party or to which the Agency is or to
which any of its property or assets are otherwise subject nor will any such
execution, delivery, adoption 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 Agency to be pledged to
secure the Bonds or under the terms of any such law, regulation or instrument,
except as provided by the Bonds and the Bond Resolution;
(e)
All authorizations, approvals, licenses, permits, consents and orders of any
governrnental authority, legislative body, board, agency or commission having
jurisdiction of the matter which are required for the due authorization of, which
would constitute a condition precedent to, or the absence of which would
materially adversely affect the due performance by the Agency of its obligations
under the Agency Documents, and the Bonds have been duly obtained, except for
such approvals, consents and orders as may be required under the Blue Sky or
securities laws of any jurisdiction in connection with the offering and sale of the
Bonds, as to which no representations are made concerning compliance with the
Federal securities or Blue Sky laws of the various states;
The Bonds, the Bond Resolution, the Fiscal Agent Agreement, and the
Undertaking conform in all material respects to the descriptions thereof contained
in the Preliminary Limited Offering Memorandum;
Except as otherwise disclosed in the Preliminary Limited Offering Memorandum
and the Limited Offering Memorandum, there is no legislation, action, suit,
proceeding, inquiry or investigation, at law or in equity, before or by any court,
government agency, public board or body, pending or, to the best knowledge of
the Agency after due inquiry, threatened against the Agency, affecting the
existence of the Agency or the titles of its officers to their respective offices, or
affecting or seeking to prohibit, restrain or enjoin the sale, issuance or delivery of
the Bonds or the lien on and pledge of the Pledged Revenues or in any way
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(h)
(i)
contesting or affecting the validity or enforceability of the Bonds, the Bond
Resolution, or the other Agency Documents, or contesting the exclusion from
gross income of interest on the Bonds for federal income tax purposes, or
contesting in any way the completeness or accuracy of the Preliminary Limited
Offering Memorandum or the Limited Offering Memorandum or any supplement
or amendment thereto, or contesting the powers of the Agency or any authority
for the issuance of the Bonds, the adoption of the Bond Resolution or the
execution and delivery of the Agency Documents, nor, to the best knowledge of
the Agency, is there any basis therefor, wherein an unfavorable decision, ruling or
finding would materially adversely affect the validity or enforceability of the
Bonds or the Agency Documents;
As of the date thereof (including the dates of any supplements thereto), the
Preliminary Limited Offering Memorandum. (other than the information under the
captions "DESCRIPTION OF THE SERIES 2014A BONDS - Book Entry -Only
System" and "UNDERWRITING"), did not contain any untrue statement of a
material fact or omit to state a material fact required to be stated therein or
necessary to make the statements therein, in the light of the circumstances under
which they were made, not misleading;
At the time of the Agency's acceptance hereof and (unless the Limited Offering
Memorandum is amended or supplemented pursuant to paragraph (d) of Section 3
of this Agreement) at all times subsequent thereto during the period up to and
including the date of Closing, the Limited Offering Memorandum (other than the
information under the captions "DESCRIPTION OF THE SERIES 2014A
BONDS - Book Entry -Only System" and "UNDERWRITING") does not and will
not contain any untrue statement of a material fact or omit to state any material
fact required to be stated therein or necessary to make the statements therein, in
light of the circumstances under which they were made, not misleading;
(j) If the Limited Offering Memorandum is supplemented or amended pursuant to
paragraph (d) of Section 3 of this Agreement, at the time of each supplement or
amendment thereto and (unless subsequently again supplemented or amended
pursuant to such paragraph) at all times subsequent thereto during the period up to
and including the date of Closing, the Limited Offering Memorandum as so
supplemented or amended (other than the information under the captions
"DESCRIPTION OF THE SERIES 2014A BONDS - Book Entry -Only System"
and "UNDERWRITING") will not contain any untrue statement of a material fact
or omit to state any material fact required to be stated therein or necessary to
make the statements therein, in light of the circumstances under which made, not
misleading;
(k) The Agency will apply, or cause to be applied, the proceeds from the sale of the
Bonds in accordance with the Bond Resolution and as specified in by the Limited
Offering Memorandum;
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(1) The Agency will furnish such information and execute such instruments and take
such action in cooperation with the Underwriter as the Underwriter may
reasonably request to (A) (y) qualify the Bonds for offer and sale under the Blue
Sky or other securities laws and regulations of such states and other jurisdictions
in the United States as the Underwriter may designate, and (z) determine the
eligibility of the Bonds for investment under the laws of such states and other
jurisdictions, and (B) continue such qualifications in effect so long as required for
the distribution of the Bonds (provided, however, that the Agency will not be
required to qualify as a foreign corporation or to file any general or special
consents to service of process under the laws of any jurisdiction) and will advise
the Underwriter immediately of receipt by the Agency of any notification with
respect to the suspension of the qualification of the Bonds for sale in any
jurisdiction or the initiation or threat of any proceeding for that purpose;
(m)
(n)
The financial statements of and other financial information regarding the Agency
in the Limited Offering Memorandum, including without limitation, the audited
Fiscal Year 2013 financial information, fairly present the financial position and
results of the Agency as of the dates and for the periods therein set forth, Prior to
the Closing, there will be no adverse change of a material nature in such financial
position, results of operations or condition, financial or otherwise, of the Agency,
and there has been no occurrence, circumstance or combination thereof which is
reasonably expected to result in any such materially adverse change. Except as set
forth in the Preliminary Limited Offering Memorandum and the Limited Offering
Memorandum, the Agency is not a party to any litigation or other proceeding
pending or, to its knowledge, threatened which, if decided adversely to the
Agency, would have a materially adverse effect on the financial condition of the
Agency;
Prior to the Closing the Agency will not offer or issue any bonds, notes or other
obligations for borrowed money or incur any material liabilities, direct or
contingent, payable from or secured by any of the revenues or assets which will
secure or otherwise support the payment of the Bonds without the prior approval
of the Underwriter;
(o) Any certificate, signed by any official of the Agency authorized to do so in
connection with the transactions contemplated by this Agreement, shall be
deemed a representation and warranty by the Agency to the Underwriter as to the
statements made therein;
(p)
Other than as described in the Preliminary Limited Offering Memorandum and in
the Limited Offering Memorandum, since December 31, 1975, and at all times
subsequent thereto up to and including the Date of Closing, the Agency has not
been and will not be in default with respect to payment of the principal of, or
interest on, any bonds or other debt obligations that it has issued or will issue or
that it has guaranteed or will guarantee (including bonds or other debt obligations
for which it has served as a conduit issuer);
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The Agency 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 Bonds under the Code; and
Except as described in the Preliminary Limited Offering Memorandum and in the
Limited Offering Memorandum, the Agency is presently in compliance with its
prior continuing disclosure undertakings entered into pursuant to the Rule over
the past five years.
5. Closing.
(a) At 12:00 p.m., Eastern time, on [ , 2014], or at such other time
and date as shall have been mutually agreed upon by the Agency and the
Underwriter (the "Closing"), the Agency will, subject to the terms and conditions
hereof, deliver the Bonds to the Underwriter duly executed and authenticated,
together with the other documents hereinafter mentioned, and the Underwriter
will, subject to the terms and conditions hereof, accept such delivery and pay the
Purchase Price of the Bonds as set forth in Section 1 of this Agreement by a wire
transfer payable in immediately available funds to the order of the Agency.
Payment for the Bonds as aforesaid shall be made at the offices of Bond Counsel,
or such other place as shall have been mutually agreed upon by the Agency and
the Underwriter.
(b) Delivery of the Bonds shall be made to The Depository Trust Company, New
York, New York. The Bonds shall be delivered in definitive fully registered foes',
bearing CUSIP numbers without coupons, with one Bond for each maturity of the
Bonds, registered in the name of Cede & Co., all as provided in the Bond
Resolution, and shall be made available to the Underwriter at least one business
day before the Closing for purposes of inspection.
6. Closing Conditions. The Underwriter has entered into this Agreement in reliance upon
the representations, warranties, covenants and agreements of the Agency contained
herein, and in reliance upon the representations, warranties and agreements to be
contained in the documents and instruments to be delivered at the Closing and upon the
performance by the Agency of its obligations hereunder, both as of the date hereof and as
of the date of the Closing. Accordingly, the Underwriter's obligations under this
Agreement to purchase, to accept delivery of and to pay for the Bonds shall be
conditioned upon the performance by the Agency of its obligations to be performed
hereunder and under such documents and instruments at or prior to the Closing, and shall
also be subject to the following additional conditions:
(a) The representations, warranties, covenants and agreements of the Agency
contained herein shall be true, complete and correct on the date hereof and on and
as of the date of the Closing, as if made on the date of the Closing, and a
certificate to that effect shall be delivered to the Underwriter by the Agency at
Closing;
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(b) The Agency shall have performed and complied with all of its obligations
required under or specified in the Bond Resolution, the other Agency Documents
and the Limited Offering Memorandum to be performed at or prior to the Closing;
(c) At the time of the Closing, (i) the Agency Documents and the Bonds shall be in
full force and effect in the form heretofore approved by the Underwriter and shall
not have been amended, modified or supplemented, and the Limited Offering
Memorandum shall not have been supplemented or amended, except in any such
case as may have been agreed to in writing by the Underwriter; all official action
of the Agency relating to the Agency Documents, the Bonds and the Limited
Offering Memorandum, taken as of the date hereof shall be in full force and effect
in accordance with their respective terms and shall not have been amended,
modified or supplemented, except for amendments, modifications or supplements
which have been approved by the Underwriter in writing prior to the Closing; and
(iii) all actions of the Agency required to be taken by the Agency shall be
performed in order for the Agency Attorney, Bond Counsel, Associate Counsel
and Disclosure Counsel to deliver their respective opinions referred to hereafter;
(d) At or prior to the Closing, the Bond Resolution shall have been duly adopted by
the Agency and the Agency shall have duly executed and delivered and the Bond
Registrar shall have duly authenticated the Bonds;
(e) At the time of the Closing, there shall not have occurred any change or any
development involving a prospective change in the condition, financial or
otherwise, or in the revenues or operations of the Agency, from that set forth in
the Limited Offering Memorandum that in the judgment of the Underwriter, is
material and adverse and that makes it, in the judgment of the Underwriter,
impracticable to market the Bonds on the tenus and in the manner contemplated
in the Limited Offering Memorandum;
(f) The Agency shall not have failed to pay when due principal of or interest on any
of its outstanding obligations for borrowed money;
(g) All steps to be taken and all instruments and other documents to be executed, and
all other legal matters in connection with the transactions contemplated by this
Agreement shall be reasonably satisfactory in legal form and effect to the
Underwriter;
(h) At or prior to the Closing, the Underwriter shall have received copies of each of
the following documents:
(1) The Limited Offering Memorandum, and each supplement or amendment
thereto, if any, executed on behalf of the Agency by its Executive
Director, or such other official as may have been agreed to by the
Underwriter, and the reports and audits referred to or appearing in the
Limited Offering Memorandum;
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(2) A certified copy of the Bond Resolution with such supplements or
amendments as may have been agreed to by the Underwriter;
(3) [Certified copies of each of: (A) the Interlocal Cooperation Agreement
dated March 31, 1983, as amended, including without limitation, by
Amendments to Interlocal Cooperation Agreement dated November 15,
1990, as further amended by Amendment to 1983 Interlocal Cooperation
Agreement dated January 22, 2010 between the City, the County and the
Agency (collectively, the "Interlocal Agreement"), (B) the Interlocal
Cooperation Agreement dated March 1, 2000 among the City, the Agency
and the Omni CRA (the "2000 Interlocal Agreement"), (C) the Interlocal
Agreement dated August 6, 2007 among the Children's Trust District, the
Agency, the Omni CRA, and the City (the "Children's Mist Fund
Interlocal Agreement"), (D) the Interlocal Agreement dated December 31,
2007 among the Agency, the City, the County and the Omni CRA (the
"2007 Interlocal Agreement"), (E) the Gran Central Loan Agreement
dated January 20, 1998 between the City and Gran Central Corporation, a
Florida corporation, (F) the Grant Agreement dated March 12, 2009 by
and between the Agency and the City, as supplemented and amended];
(4) Executed copies of the Continuing Disclosure Agreement by and between
the Agency and Digital Assurance Certification, L.L.C. (the
"Undertaking"), the Fiscal Agent Agreement, and this Agreement;
(5) The approving opinion of Bond Counsel with respect to the Bonds, in
substantially the form attached to the Limited Offering Memorandum with
a reliance letter addressed to the Underwriter;
(6) A supplemental opinion of Bond Counsel addressed to the Underwriter,
substantially to the effect that:
(i)
the Bonds are exempted from registration under the 1933 Act and
the Bond Resolution is exempt from qualification under the Trust
Indenture Act of 1939, as amended (the "Trust Indenture Act");
and
(ii) the statements contained in the Limited Offering Memorandum
under the captions "DESCRIPTION OF THE SERIES 2014A
BONDS" (other than the information relating to DTC and its book -
entry only system, as to which no opinion shall be given),
"SECURITY AND SOURCES OF PAYMENT FOR THE
SERIES 2014A BONDS," and in "APPENDIX C Form of the
Resolution" insofar as such statements describe certain provisions
of the Bond Resolution, the Bonds and the Statements under the
caption "TAX MATTERS," are accurate and fairly present the
information purported to be shown therein;
(7)
(8)
The opinion of Disclosure Counsel addressed to the Underwriter,
substantially to the effect that based on the examinations which they have
made as Disclosure Counsel and their participation at conferences at
which the Limited Offering Memorandum was discussed, but without
having undertaken to determine independently the accuracy or
completeness of the statements in the Limited Offering Memorandum,
such counsel has no reason to believe that the Limited Offering
Memorandum as of its date and as of the date hereof contains any untrue
statement of a material fact or omits to state a material fact necessary to
make the statements therein, in light of the circumstances under which
they were made, not misleading (except for any financial, forecast,
technical and statistical data included in the Limited Offering
Memorandum and except for information regarding DTC and its book -
entry system in each case as to which no view need be expressed);
An opinion of the Agency Attorney of the Agency, addressed to the
Underwriter, Bond Counsel and Associate Counsel, to include the
following, unless otherwise agreed to by the Underwriter, Underwriter's
Counsel, Bond Counsel and Associate Counsel:
(i)
The Agency is a public body corporate and politic duly created,
organized and existing pursuant to the Constitution and the laws of
the State, separate, distinct, and independent from the City. The
Agency has full legal right, power and authority under the Act and
the Bond Resolution (A) to enter into, execute and deliver the
Agency Documents and all documents required hereunder and
thereunder to be executed and delivered by the Agency, (B) to sell,
issue and deliver the Bonds to the Underwriter as provided herein,
(C) to pledge the Pledged Revenues and to covenant to budget and
appropriate Pledged Tax Increment Revenues as provided in the
Bond Resolution and (D) to carry out and consummate the
transactions contemplated by the Agency Documents, and the
Limited Offering Memorandum, and the Agency has complied,
and will at the Closing be in compliance in all respects, with the
terms of the Act and the Agency Documents as they pertain to such
transactions;
(ii) By all necessary official legal action of the Agency prior to or
concurrently with the acceptance hereof, the Agency has duly
authorized all necessary action to be taken by it for (A) the
adoption of the Bond Resolution and the issuance and sale of the
Bonds, (B) the approval, execution and delivery of, and the
performance by the Agency of the obligations on its part,
contained in the Bonds, the Bond Resolution and the other Agency
Documents, (C) the pledge of the Pledged Revenues and the
covenant to budget and appropriate Pledged Tax Increment
Revenues as provided in the Bond Resolution and (D) the
consummation by it of all other transactions contemplated by the
Limited Offering Memorandum, the Bond Resolution, the other
Agency Documents and any and all such other agreements and
documents as may be required to be executed, delivered and/or
received by the Agency in order to carry out, give effect to, and
consummate the transactions contemplated herein and in the
Limited Offering Memorandum;
(iii) The Bond Resolution has been duly and validly adopted by the
Agency and is in full force and effect; the Bond Resolution and all
other legal proceedings pertinent to the validity and enforceability
of the Bonds have been duly and validly adopted or undertaken in
compliance with all applicable procedural requirements of the
Agency and in compliance with the Constitution and laws of the
State, including the Act;
(iv) The Agency Documents have been duly authorized, executed and
delivered by the Agency, and constitute legal, valid and binding
obligations of the Agency enforceable against the Agency in
accordance with their respective terms, except to the extent limited
by bankruptcy, insolvency, reorganization, moratorium or other
similar laws and equitable principles of general application relating
to or affecting the enforcement of creditors' rights; and the Bonds,
when issued, delivered and paid for, in accordance with the Bond
Resolution and this Agreement, will constitute legal, valid and
binding obligations of the Agency entitled to the benefits of the
Bond Resolution and enforceable in accordance with their terms,
subject to bankruptcy, insolvency, reorganization, moratorium and
other similar laws and principles of equity relating to or affecting
the enforcement of creditors' rights; upon the issuance,
authentication and delivery of the Bonds as aforesaid, the Bond
Resolution will provide, for the benefit of the holders, from time to
time, of the Bonds, the legally valid and binding pledge of and lien
on the Pledged Revenues and the covenant to budget and
appropriate Pledged Tax Increment Revenues it purports to create
as set forth in the Bond Resolution;
(v) The distribution of the Preliminary Limited Offering Memorandum
and the Limited Offering Memorandum has been duly authorized
by the Agency;
(vi) All authorizations, approvals, licenses, permits, consents and
orders of any governmental authority, legislative body, board,
agency or commission having jurisdiction of the matter which are
required for the due authorization of, which would constitute a
condition precedent to, or the absence of which would materially
adversely affect the due performance by the Agency of its legal
obligations under the Agency Documents and the Bonds have been
obtained;
(vii) There is no legislation, action, suit, proceeding, inquiry or
investigation, at law or in equity, before or by any court,
government agency, public board or body, pending or, to the best
knowledge of the Agency, after due inquiry threatened against the
Agency, affecting the corporate existence of the Agency or the
titles of its officers to their respective offices, or affecting or
seeking to prohibit, restrain or enjoin the sale, issuance or delivery
of the Bonds or the lien on an pledge of the Pledged Revenues and
the covenant to budget and appropriate Pledged Tax Increment
Revenues pursuant to the Bond Resolution or in any way
contesting or affecting the validity or enforceability of the Bonds,
the Bond Resolution, or the other Agency Documents, or
contesting the exclusion from gross income of interest on the
Bonds for federal income tax purposes, or contesting in any way
the completeness or accuracy of the Preliminary Limited Offering
Memorandum or the Limited Offering Memorandum or any
supplement or amendment thereto, or contesting the powers of the
Agency or any authority for the issuance of the Bonds, the
adoption of the Bond Resolution or the execution and delivery of
the Agency Documents, nor, to the best knowledge of the Agency,
is there any basis therefor, wherein an unfavorable decision, ruling
or finding would materially adversely affect the validity or
enforceability of the Bonds, or the Agency Documents;
(viii) The adoption of the Bond Resolution and the execution and
delivery of the other Agency Documents by the Agency and
compliance by the Agency with the provisions hereof and thereof,
under the circumstances contemplated herein and therein, will not
conflict with or constitute on the part of the Agency a material
breach of or a default under any agreement or instrument to which
the Agency is a party, or violate any existing law, administrative
regulation, court order, or consent decree to which the Agency is
subj ect;
(ix) Based on the examination which such counsel has caused to be
made and its participation at conferences at which the content of
the Preliminary Limited Offering Memorandum and the Limited
Offering Memorandum were discussed and without having
undertaken to determine independently the accuracy or
completeness of the contents of the Preliminary Limited Offering
Memorandum and the Limited Offering Memorandum, such
counsel has no reason to believe that the Preliminary Limited
Offering Memorandum as of its date and the Limited Offering
Memorandums as of the date hereof contains any untrue statement
(9)
of a material fact or omits to state a material fact relating to legal
matters affecting the Agency necessary to make the statements
therein, in light of the circumstances under which they were made,
not misleading in any material respect (except for any financial
forecast, technical and statistical data included in the Preliminary
Limited Offering Memorandum and the Limited Offering
Memorandum and except for information regarding DTC and its
book -entry system as to which no view need be expressed); and
(x) opinion that the Agency is not subject to the SEC investigation of
the City, nor are the Pledged Revenues subject to being applied by
the City to satisfy obligations, if any, arising fromsuch
investigation.
Such opinions shall be limited to the applicable laws of the State of
Florida and may contain such exceptions and limitations as are consistent
with municipal finance transactions in the State of Florida.
An opinion of the City Attorney for the City of Miami, Florida relating to
litigation and related matters, addressed to such parties and in such form
as shall be agreed upon by the Underwriters, Underwriter's Counsel, Bond
Counsel and Associate Counsel.
(10) A certificate, dated the date of Closing, of the Agency to the effect that (i)
the representations, warranties, covenants and agreements of the Agency
contained herein are true and correct in all material respects on and as of
the date of Closing as if made on the date of Closing; (ii) except as
described in the Limited Offering Memorandum, no litigation or
proceeding against it is pending or, to its knowledge, threatened in any
court or administrative body nor is there a basis for litigation which would
(a) affect or seek to prohibit, restrain or enjoin the sale, issuance or
delivery of the Bonds, (b) in any way contest or affect any authority for
the issuance of the Bonds or the validity, due authorization and execution
of the Bonds or the Agency Documents, (c) in any way contest the right of
the members or officials of the Agency to hold and exercise their
respective positions, (d) in any way contest the creation, existence or
powers of the Agency or the validity of the Act or any provision thereof or
the application of the proceeds of the Bonds, (e) attempt to limit, enjoin or
otherwise restrict or prevent the Agency from functioning or from
collecting revenues, including payments on the Bonds, pursuant to the
Bond Resolution, and other income, or (f) if adversely determined, could
materially adversely affect the financial position or operating condition of
the Agency or the transactions contemplated by the Limited Offering
Memorandum or the Agency Documents; (iii) the Bonds, the Bond
Resolution and the other Agency Documents have been duly authorized
and executed and are in full force and effect; (iv) to the best of its
knowledge, no event affecting the Agency has occurred since the date of
the Limited Offering Memorandum which should be disclosed in the
Limited Offering Memorandum (other than the information under the
captions "DESCRIPTION OF THE SERIES 2014A BONDS - Book
Entry -Only System" and "UNDERWRITING") for the purpose for which
it is to be used or which it is necessary to disclose therein in order to make
the statements and information therein, in light of the circumstances under
which made, not misleading in any respect as of the time of Closing, and
the information contained in the Limited Offering Memorandum (other
than the information under the captions "DESCRIPTION OF THE
SERIES 2014A BONDS - Book Entry -Only System" and
"UNDERWRITING") is correct in all material respects and, as of the date
of the Limited Offering Memorandum did not, and as of the date of the
Closing does not, contain any untrue statement of a material fact or omit to
state a material fact required to be stated therein or necessary to make the
statements made therein, in the light of the circumstances under which
they were made, not misleading; (v) since September 30, 2012, no
material and adverse change has occurred in the financial position or
results of operations or condition, financial or otherwise, of the Agency,
except as set forth in or contemplated by the Limited Offering
Memorandum; and (vi) except as disclosed in the Preliminary Limited
Offering Memorandum, the Agency has not, since September 30, 2012
incurred any material liabilities payable from or secured by any of the
revenues or assets which will secure or otherwise support the payment of
the Bonds other than in the ordinary course of business;
(11) A certificate of the Agency in form and substance satisfactory to Bond
Counsel and counsel to the Underwriter (a) setting forth the facts,
estimates and circumstances in existence on the date of the Closing, which
establish that it is not expected that the proceeds of the Bonds will be used
in a manner that would cause the Bonds to be "arbitrage bonds" within the
meaning of Section 148 of the Internal Revenue Code of 1986, as
amended (the "Code"), and any applicable regulations (whether final,
temporary or proposed), issued pursuant to the Code, and (b) certifying
that to the best of the knowledge and belief of the Agency there are no
other facts, estimates or circumstances that would materially adversely
change the conclusions, representations and expectations contained in
such certificate;
(12) Any other certificates and opinions required by the Bond Resolution for
the issuance thereunder of the Bonds;
(13) Evidence satisfactory to the Underwriter that the Bonds have been rated
"BBB+" by Standard and Poor's Rating Services; and
(14) Such additional legal opinions, certificates, instruments and other
documents as the Underwriter or counsel to the Underwriter may
reasonably request to evidence the truth and accuracy, as of the date
hereof and as of the date of the Closing, of the Agency's representations
and warranties contained herein and of the statements and information
contained in the Limited Offering Memorandum and the due performance
or satisfaction by the Agency on or prior to the date of the Closing of all
the respective agreements then to be performed and conditions then to be
satisfied by the Agency.
All of the opinions, letters, certificates, instruments and other documents mentioned
above or elsewhere in this Agreement shall be deemed to be in compliance with the
provisions hereof if, but only if, they are in the form specified herein or otherwise in the
form and substance satisfactory to the Underwriter.
If the Agency shall be unable to satisfy the conditions to the obligations of the
Underwriter to purchase, to accept delivery of and to pay for the Bonds contained in this
Agreement, or if the obligations of the Underwriter to purchase, to accept delivery of and
to pay for the Bonds shall be terminated for any reason permitted by this Agreement, this
Agreement shall terminate and neither the Underwriter nor the Agency shall be under any
further obligation hereunder, except that the respective obligations of the Agency and the
Underwriter set forth in Sections 3, 8(c) and 10 hereof shall continue in full force and
effect.
7. Termination. The Underwriter shall have the right to cancel its obligation to purchase the
Bonds if, between the date of this Agreement and the Closing, the market price or
marketability of the Bonds shall be materially adversely affected, in the sole judgment of
the Underwriter, by the occurrence of any of the following:
(a) legislation shall be enacted by or introduced in the Congress of the United States
or recommended to the Congress for passage by the President of the United
States, or the Treasury Department of the United States or the Internal Revenue
Service or any member of the Congress or the state legislature or favorably
reported for passage to either House of the Congress by any committee of such
House to which such legislation has been referred for consideration, a decision by
a court of the United States or of the State or the United States Tax Court shall be
rendered, or an order, ruling, regulation (final, temporary or proposed), press
release, statement or other form of notice by or on behalf of the Treasury
Department of the United States, the Internal Revenue Service or other
governmental agency shall be made or proposed, the effect of any or all of which
would be to impose, directly or indirectly, federal income taxation or state income
taxation upon interest received on obligations of the general character of the
Bonds, or other action or events shall have transpired which may have the purpose
or effect, directly or indirectly, of changing the federal income tax consequences
or state income tax consequences of any of the transactions contemplated herein;
(b) legislation is introduced in or enacted (or resolution passed) by the Congress or an
order, decree, or injunction is issued by any court of competent jurisdiction, or an
order, ruling, regulation (final, temporary, or proposed), press release or other
form of notice is issued or made by or on behalf of the SEC, or any other
17
(e)
governmental agency having jurisdiction of the subject matter, to the effect that
obligations of the general character of the Bonds, including any or all underlying
arrangements, are not exempt from registration under or other requirements of the
1933 Act, or that the Bond Resolution is not exempt from qualification under or
other requirements of the Trust Indenture Act, or that the issuance, offering, or
sale of obligations of the general character of the Bonds, including any or all
underlying arrangements, as contemplated hereby or by the Limited Offering
Memorandum or otherwise, is or would be in violation of the federal securities
law as amended and then in effect;
any state Blue Sky or securities commission or other governmental agency or
body shall have withheld registration, exemption or clearance of the offering of
the Bonds as described herein, or issued a stop order or similar ruling relating
thereto;
(d) a general suspension of trading in securities on the New York Stock Exchange or
the Americsn Stock Exchange is imposed, minimum prices on either such
exchange are established, material restrictions (not in force as of the date hereof)
upon trading securities generally by any governmental authority or any national
securities exchange are established, or a general banking moratorium is declared
by federal, State of New York, or State officials authorized to do so;
the New York Stock Exchange or other national securities exchange or any
governmental authority, shall impose, as to the Bonds or as to obligations of the
general character of the Bonds, any material restrictions not now in force, or
increase materially those now in force, with respect to the extension of credit by,
or the charge to the net capital requirements of, Underwriter;
any amendment is made to the federal or state Constitution or action by any
federal or state court, legislative body, regulatory body, or other legal authority is
taken which materially adversely affects the tax status of the Agency, its property,
income or securities (or interest thereon);
any event occurring, or information becoming known which, in the judgment of
the Underwriter, makes untrue in any material respect any statement or
information contained in the Limited Offering Memorandum, or has the effect
that the Limited Offering Memorandum contains any untrue statement of material
fact or omits to state a material fact required to be stated therein or necessary to
make the statements therein, in the light of the circumstances under which they
were made, not misleading, unless the Limited Offering Memorandum can be
amended and supplemented to correct such statement, information or omission
and suchamendment or supplement does not have a material adverse affect on the
market price or marketability of the Bonds;
(h) there shall have occurred any materially adverse change in the affairs or financial
condition of the Agency, except for changes which the Limited Offering
Memorandum discloses are expected to occur;
(e)
(f)
(g)
18
the United States shall have become engaged in hostilities which have resulted in
a declaration of war or a national emergency or there shall have occurred any
other outbreak or escalation of hostilities or a national or international calamity or
crisis, financial or otherwise;
(j} any material adverse fact or material adverse event shall exist or have existed that,
in the Underwriter's judgment, requires or has required an amendment of or
supplement to the Limited Offering Memorandum and the Agency refuses to do
so or if such fact or event that causes the need to amend or supplement the
Limited Offering Memorandum is such that, when described in the amendment or
supplement to the Limited Offering Memorandum, will likely result in a material
adverse effect on the market price or marketability of the Bonds;
(k) there shall have occurred or any notice shall have been given of any intended
review, downgrading, suspension, withdrawal, or negative change in credit watch
status by any national rating service to any of the Agency's obligations, which in
the reasonable judgment of the Underwriter, will have a material adverse effect on
the market price or marketability of the Bonds;
(1) the purchase of and payment for the Bonds by the Underwriter, or the resale of the
Bonds by the Underwriter, on the terms and conditions herein provided shall be
prohibited by any applicable law, governmental authority, board, agency or
commission;
(i)
(m)
(n)
the discovery by the Underwriter after the date hereof of any fact, notice or
information relating to, or arising from, the SEC's investigation of the City and
the surrounding facts and circumstances which are the subject of the SEC's
investigation, which, in the reasonable judgment of the Underwriter, could
materially and adversely affect the market price or the marketability of the Bonds
or the ability of the Underwriter to enforce contracts for the sale of the Bonds;
there shall have occurred, after the signing hereof, either a financial crisis or a
default with respect to the debt obligations of the Agency or proceedings under
the federal or State of Florida bankruptcy laws shall have been instituted by the
Agency, in either case the effectof which, in the reasonable judgment of the
Underwriter, is such as to materially and adversely affect the market price or the
marketability of the Bonds or the ability of the Underwriter to enforce contracts
for the sale of the Bonds; or
(o) legal or regulatory action shall have been filed against the Agency wherein an
adverse ruling would materially adversely affect the transactions contemplated
hereby or by the Limited Offering Memorandum or the validity of the Bonds, the
Bond Resolution, or this Bond Purchase Agreement.
8. Expenses.
(a) The Underwriter shall be under no obligation to pay, and the Agency shall pay all
expenses incident to the perfoiiiiance of the Agency's obligations hereunder,
19
(b)
(c)
including, but not limited to (i) the cost of preparation and printing of the Bonds,
Preliminary Limited Offering Memorandum, Limited Offering Memorandum and
any amendment or supplement thereto, (ii) the fees and disbursements of Bond
Counsel and Associate Counsel, counsel to the Agency, and Disclosure Counsel,
if any; (iii) the fees and disbursements of the Financial Advisor to the Agency;
(iv) the fees and disbursements of the Fiscal Agent and any other bond registrar,
paying agent or engineers, accountants, and other experts, consultants or advisers
retained by the Agency; (v) the cost of preparation and printing of this Agreement
and the Bond transcripts, (vi) all fees and expenses in connection with obtaining
bond ratings and credit enhancement fees or premiums, and (vii) all other
expenses incurred by the Underwriter in connection with the limited offering of
the Bonds, including without limitation the fees and disbursements of counsel
retained by the Underwriter. The Agency shall also pay for any reasonable
expenses (included in the expense component of the Underwriter's discount)
incurred by the Underwriter which are incidental to implementing this Agreement
and the issuance of the Bonds, including, but not limited to, reasonable meals,
transportation and lodging, if any, and any other miscellaneous closing costs.
The Underwriter shall pay all advertising expenses in connection with the limited
offering of the Bonds.
If this Agreement shall be terminated by the Underwriter because of any failure or
refusal on the part of the Agency to comply with the terms or to fulfill any of the
conditions of this Agreement, or if for any reason the Agency shall be unable to
perform its obligations under this Agreement, the Agency will reimburse the
Underwriter for all reasonable out-of-pocket expenses (including the reasonable
fees and disbursements of counsel to the Underwriter) reasonably incurred by the
Underwriter in connection with this Agreement or the offering contemplated
hereunder.
(d) The Agency acknowledges that it has had an opportunity, in consultation with
such advisors as it inay deem appropriate, if any, to evaluate and consider the fees
and expenses being incurred as part of the issuance of the Bonds.
9. Notices. Any notice or other communication to be given to the Agency under this
Agreement may be given by delivering the same in writing at Southeast Overtown/Park
West Community Redevelopment Agency, 1490 Northwest 3rd Avenue, Suite 105,
Miami, FL 33136, Attention: Executive Director, and any notice or other communication
to be given to the Underwriter under this Agreement may be given by delivering the same
in writing to the Underwriter at Wells Fargo Securities, 2363 Gulf -to -Bay Boulevard,
Suite 200, Clearwater, Florida 33765, Attention: John Generalli, Managing Director.
10. Parties in Interest; No Third Party Beneficiaries. This Agreement as heretofore specified
shall constitute the entire agreement between us, supersedes all prior agreements and
understandings between us, and is made solely for the benefit of the Agency and the
Underwriter (including successors or assigns of the Underwriter) and no other person
shall acquire or have any right hereunder or by virtue hereof. This Agreement may not be
20
assigned by the Agency, All of the Agency's representations, warranties and agreements
contained in this Agreement shall remain operative and in fall force and effect, regardless
of (i) any investigations made by or on behalf of the Underwriter; (ii) delivery of and
payment for the Bonds pursuant to this Agreement; and (iii) any termination of this
Agreement.
11. Effectiveness. This Agreement shall become effective upon the acceptance hereof by the
Agency and shall be valid and enforceable at the time of such acceptance.
12. Choice of Law. The validity, interpretation and performance of this Agreement shall be
governed by the laws of the State of Florida without regard to conflict of laws principles.
13. Severability. If any provision of this Agreement shall be held or deemed to be or shall, in
fact, be invalid, inoperative or unenforceable as applied in any particular case in any
jurisdiction or jurisdictions, or in all jurisdictions because it conflicts with any provisions
of any Constitution, statute, rule of public policy, or any other reason, such circumstances
shall not have the effect of rendering the provision in question invalid, inoperative or
unenforceable in any other case or circumstance, or of rendering any other provision or
provisions of this Agreement invalid, inoperative or unenforceable to any extent
whatever.
14. Business Day. For purposes of this Agreement, "business day" means any day on which
the New York Stock Exchange is open for trading,
15. Section Headings. Section headings have been inserted in this Agreement as a matter of
convenience of reference only, and it is agreed that such section headings are not a part of
this Agreement and will not be used in the interpretation of any provisions of this
Agreement.
16. Counterparts. This Agreement may be executed in several counterparts each of which
shall be regarded as an original (with the same effect as if the signatures thereto and
hereto were upon the same document) and all of which shall constitute one and the same
document.
21
[Signature Page to Bond Purchase Agreement for Series 2014A Bonds]
If you agree with the foregoing, please sign the enclosed counterpart of this Agreement
and return it to the Underwriter. This Agreement shall become a binding agreement between you
and the Underwriter when at least the counterpart of this letter shall have been signed by or on
behalf of each of the parties hereto.
Respectfully submitted,
WELLS FARGO BANK, NATIONAL ASSOCIATION
By
Name: John Generalli
Title: Managing Director
Date: [ , 2014]
22
[Signature Page to Bond Purchase Agreement for Series 2014A Bonds]
ACCEPTANCE
ACCEPTED at .m, Eastern time, this day of [ , 2014]
By
Name: [ ]
Title: Executive Director
Seal/Attest:
By
Name:
Title:
Approved as to Form and Correctness:
By
Name:
Title:
SCHEDULE I
MATURITIES, PRINCIPAL AMOUNTS, INTEREST RATES,
YIELDS AND PRICES
[$ 1
Southeast Overtown/Park West Community Redevelopment Agency
Tax. Increment Revenue Bonds, Series 2014A
SCHEDULE II
DISCLOSURE LETTER AND TRUTH -IN -BONDING STATEMENT
[ , 2014]
Southeast Overtown/Park West
Community Redevelopment Agency
[1490 Northwest 3"d Ave,, Suite 105]
[Miami, FL 33136]
Attention: [ ], Executive Director
RE: [$ ] Southeast Overtown/Park West Community Redevelopment
Agency Tax Increment Revenue Bonds, Series 2014A
Ladies and Gentlemen:
In connection with the proposed issuance by the Southeast OvertownlPark West
Community Redevelopment Agency (the "Agency") of its [$ aggregate principal
amount of Southeast Overtown/Park West Community Redevelopment Agency Tax Increment
Revenue Bonds, Series 2014A (the "Series 2014A Bonds"), Wells Fargo Bank, National
Association (the "Underwriter") is underwriting a limited offering of the Series 2014A Bonds in
accordance with the Bond Purchase Agreement dated as of [ , 2014] (the "Purchase
Agreement"). All capitalized terms used but not otherwise defined herein shall have the
meanings ascribed to them in the Purchase Agreement,
The purpose of the following paragraphs of this letter is to furnish, pursuant to the
provisions of Section 218.385, Florida Statutes, certain information in respect of the
arrangements contemplated for the purchase and sale of the Series 2014A Bonds, as follows:
1. The nature and estimated amount of expenses to be incurred by the Underwriter in
connection with the purchase and offering of the Series 2014A Bonds are set forth in Schedule A
attached hereto.
2. There are no "finders," as defined in Section 218.386, Florida Statutes, connected
with the sale and purchase of the Series 2014A Bonds.
3. The underwriting spread, the difference between the price at which the Series
2014A Bonds will be initially offered by the Underwriter and the price to be paid to the Agency
for the Series 2014A Bonds, exclusive of accrued interest, will be approximately [$
] per $1,000 of Series 2014A Bonds issued.
4. As part of the estimated underwriting spread set forth in paragraph (3) above, the
Underwriter will charge a management fee of $[ ] per $1,000 of Series 2014A Bonds issued.
5, No other fee, bonus or other compensation is estimated to be paid by the
Underwriter in connection with the issuance of the Series 2014A Bonds to any person not
regularly employed or retained by the Underwriter (including any "finder" as defined in Section
218.386, Florida Statutes), except as specifically enumerated as expenses to be incurred by the
Underwriter, as set forth in paragraph (1) above.
6. The name and address of the Underwriter is:
Wells Fargo Bank, National Association
375 Park Avenue, 2nd Floor MAC J0127-060
New York, New York 10152
Attention: Municipal Syndicate Desk
7, Based on representations of the Agency, it is our understanding that the Agency is
proposing to issue [$ ] in aggregate principal amount of the Series 2014A Bonds
for the purposes of financing certain grants to be used for the construction or rehabilitation of
affordable housing and financing the construction of other capital improvements in the
Redevelopment Area, as described in the Bond Resolution, and paying certain costs and
expenses relating to the issuance of the Series 2014A Bonds, The Series 2014A Bonds are
expected to be repaid over a period of approximately [ ] years. At a True Interest Cost of
approximately [ ]%, total interest paid over the life of the Series 2014A Bonds will be [$_
]•
8. Based on representations of the City, it is our understanding that the Series 2014A
Bonds will be payable from the • Pledged Revenues in the manner provided in the Bond
Resolution. The Series 2014A Bonds carry an average annual debt service of approximately $[
]. Assuming the Agency pays debt service on the Series 2014A Bonds from the Pledged
Tax Increment Revenues, such funds equal to an average of $[ ] will not be available
to finance the other services of the Agency each year that the Series 2014A Bonds will be
outstanding, which is approximately [ ] years. Notwithstanding the foregoing, we
are not accountants or actuaries, nor are we engaged in the practice of law. Accordingly, while
we believe the above -described calculations to be correct, we do not warrant them to be so.
Yours very truly,
WELLS FARGO BANK, NATIONAL
ASSOCIATION, as Underwriter
By:
Managing Director
SCHEDULE A
UNDERWRITER'S ESTIMATED EXPENSES
SCHEDULE III
INVESTOR LETTER
[
Southeast Overtown/Park West
Community Redevelopment Agency
Miami, Florida
Wells Fargo Bank, National Association
Clearwater, Florida
, 2014]
[$
Southeast OvertownlPark West Community Redevelopment Agency
Tax Increment Revenue Bonds, Series 2014A
Ladies and Gentlemen:
This letter is being delivered in connection with the limited offering and sale by Wells
Fargo Bank, National Association (the "Underwriter") of the above -referenced bonds (the
"Bonds") issued by the Southeast Overtown/Park West Community Redevelopment Agency (the
"Agency") pursuant to that certain Resolution No. CRA-R-12-0061, adopted by the Agency on
September 17, 2012, as amended and supplemented by Resolution No. CRA-R-13-0025, adopted
by the Agency on March 25, 2013 and Resolution No. CRA-R-13-0039, adopted by the Agency
on June 24, 2013, as amended and supplemented from time to time, and as particularly
supplemented by Resolution No. CRA-R-14- , adopted by the Agency on [July 30, 2014]
(collectively, the "Bond Resolution) to the undersigned purchaser (the "Purchaser"). All
capitalized terms used herein, but not defined herein, shall have the respective meanings set forth
in the Bond Resolution. The undersigned, an authorized representative of the Purchaser, hereby
represents to the Underwriter and the Agency that:
1. The Purchaser has sufficient knowledge and experience in financial and business
matters, including purchase and ownership of municipal and other tax-exempt obligations, to be
able to evaluate the risks and merits of the investment represented by the purchase of the Bonds.
The Purchaser is aware that:
(a) investment in the Bonds involves various risks and may result in a
complete and total loss of investment for the Purchaser;
(b) the Bonds are not general obligations of the Agency; and
(c) the payment of principal or premium, if any, and interest on the Bonds is
payable solely from the Pledged Revenues as described in the Bond Resolution and the
Limited Offering Memorandum.
2. The Purchaser has authority to purchase the Bonds and to execute this letter and
any other instruments and documents required to be executed by the Purchaser in connection
with the purchase of the Bonds.
3. The undersigned is a duly appointed, qualified and acting representative of the
Purchaser and is authorized to cause the Purchaser to make the certifications, representations and
warranties contained herein by execution of this letter on behalf of the Purchaser.
4. The Purchaser is a "qualified institutional buyer" as defined in Rule 144A
promulgated under the Securities Act of 1933, as amended (the "1933 Act"). The Purchaser is
able to hold the Bonds for an indefinite period of time and bear the economic risks of such
investment without material injury, which risks may include a total and complete loss of such
investment.
5. The Purchaser is a "sophisticated municipal market professional" as defined in the
rules of the Mirnicipal Securities Rulemaking Board, and attests to the following in connection
with any transaction in municipal securities with the Underwriter:
(a) as of the date of this letter, Purchaser owns, or manages for the account(s)
of others, municipal securities (as defined in Section 3(a)(29) of the Securities Exchange
Act of 1934, as amended) in excess of $100 million in par value;
(b) Purchaser is capable of evaluating investment risks and market value
independently, both in general and with regard to all transactions and investment
strategies involving a municipal security or securities; and
(c) Purchaser has exercised, and will exercise, independent judgment in
evaluating the recommendations of the Underwriter or its associated persons, unless it
has otherwise notified the Underwriter in writing.
6. The Purchaser acknowledges that it has been furnished with or has been given
access to the underlying documents in connection with this transaction, the Bonds and the
Agency, as well as such other information that a reasonable, prudent, and knowledgeable
investor would desire in evaluating the purchase of the Bonds, including a review of the Limited
Offering Memorandum of the Agency dated [ , 20141 relating to the Bonds.
The Purchaser acknowledges that the Agency and the Underwriter have made available to it and
its representatives the opportunity to obtain any additional information that it may desire and the
opportunity to ask any questions it may desire of and receive satisfactory answers from the
Agency concerning the security and the source of payment of the Bonds. The Purchaser has
based its decision to invest in the Bonds solely on its own investigation, examination, and.
evaluation of the Agency, the Bonds and other relevant matters, and the Purchaser has not relied
upon the Underwriter or Underwriter's counsel for any advice.
7. The Purchaser understands that the Bonds (i) are not registered under the 1933
Act and are not registered or otherwise qualified for sale under the "Blue Sky" laws and
regulations of any state, and (ii) are not listed on any stock or other securities exchange.
Additionally, the Purchaser understands that the Bond Resolution is not being qualified under the
Trust Indenture Act of 1939, as amended (the "1939 Act"), and that the Agency shall have no
obligations to effect any such registration or qualification.
8. The Purchaser is not acting as a bond house, broker, or other intermediary, and is
purchasing the Bonds as an investment for its own account and not with a present view to resell
or to make other distribution to the public. The Agency and Underwriter may rely on this
representation in their certificates regarding federal tax matters. Although the Purchaser retains
the right to transfer the Bonds in the future, the Purchaser agrees to do so only in strict
compliance with the transfer restrictions contained in the Bond Resolution. The Purchaser
understands that the Bonds may not be readily tradable. The Bonds are being acquired by the
Purchaser for investment for its own account and not with a present view toward resale or
distribution; provided, however, that the Purchaser reserves the right to sell, transfer or
redistribute the Bonds in strict compliance with the transfer restrictions contained in the Bond
Resolution, Any such sale, transfer or distribution of a Bond by the Purchaser shall be made in
such manner that any resulting Bond continued to be held by the Purchaser and any Bond
transferred to the transferee shall be in Authorized Denominations, and such transferee shall be a
Person:
(a) that is an affiliate of the Purchaser;
(b) that is a trust or other custodial arrangement established by the Purchaser
or one of its affiliates, the owners of any beneficial interest in which are limited to
qualified institutional buyers; or
(c) that either: (i) the Purchaser reasonably believes to be a qualified
institutional buyer as defined in Rule 144A promulgated under the 1933 Act; or (ii)
executes an investor letter substantially in the form of this letter.
Dated as of the day of , 2014.
By
Name
Title