HomeMy WebLinkAboutMinutes Council 102863a
CITY OF PALM BEACH GARDENS
MINUTES OF REGULAR MEETING OF CITY COUNCIL
MONDAY, OCTOBER 287 1963
The regular meeting of the City Council was held at 9076
Keating Drive, Palm Beach Gardens, Florida, on Monday, October 28,
1963, at 10:00 A.M.
QUORUM :
Vice Mayor Horace S. Miller, acting as Chairman, called
the meeting to order and announced that a quorum of the City Council
was present.
MINUTES OF MEETING The City Clerk read in full the minutes of the regular meet -
OF OCTOBER 14,
1963
READ AND APPROVED:ing of the City Council held on Monday, October 14, 1963. Thereafter,
these minutes were, upon motion duly made, seconded and unanimously
adopted, approved without comment or revision.
The Vice Mayor announced that the report on the Palm Beach
Gardens General Hospital, called for by the meeting of October 14,
1963, was not as yet available.
TAX ASSESSMENT
The Vice Mayor announced that, as a result of the meetings
ROLL FOR 1963:
of the Board of Tax Equalization, changes or explanations in the 1963
tax assessment roll were in order in four cases. The City Clerk
advised the Council that it should remove two pieces of property from
the tax assessment roll inasmuch as the same were owned by churches
and were being used as parsonages on January 1, 1963, and so are tax -
exempt. Subject to these modifications, upon motion duly made, seconded
and unanimously adopted, the tax assessment roll for 1963 was ratified
and approved.
i
PROPOSED CHANGE
The Vice Mayor informed the City Council that certain street
OF STREET NAMES
IN PALM BEACH
names in Palm Beach Gardens need correction, inasmuch as they were
GARDENS
misspelled on the original plats that had been approved by the Council.
I
d
\./
He further stated that he had received a recommendation that the word
"Circle" be removed from the names of certain streets in Plat No. 3
and Plat No. 6. He recommended that those attending this meeting
discuss this subject among themselves and give the City Council, at
its next regularly scheduled meeting, a consensus of opinion on
this subject,
APPOINTMENT OF The Vice Mayor advised the Council that the City had
ALDINE L. JOHNSON
AS POLICE OFFICER: recently employed Mr. Aldine L. Johnson as a police officer.
He recommended that this appointment be ratified and affirmed.
Whereupon, the following resolution was duly made, seconded
and unanimously adopted:
BE IT RESOLVED by the CITY OF PALM BEACH GARDENS
that Aldine L. Johnson be, and the same hereby
is, appointed as police officer of the City of
Palm Beach Gardens.
OATH OF OFFICE: The oath of office of Aldine L. Johnson as police officer
is attached hereto.
PALM BEACH GARDENS The following resolution was duly made, seconded and
VOLUNTEER FIRE
DEPARTMENT; unanimously adopted:
APPROVAL OF
CHARTER: BE IT RESOLVED by the City Council of PALM BEACH
GARDENS that the charter of the Palm Beach Gardens
Volunteer Fire Department heretofore submitted to
the City Council for review be, and the same is,
hereby ratified and approved as so submitted, said
ratification and approval to take effect immediately.
PGA TRANSACTION - The Vice Mayor reviewed the golf course transaction with The
RECONVEYANCE TO
BANKERS LIFE Professional Golfers' Association of America from its inception to the
present time, calling particular attention to (1) the conditions under
which the City accepted the conveyance of the lands involved as reflected
in the minutes of the City Council meeting of December 5, 1961, (2) the
agreement between the City and Bankers Life and Casualty Company and
American Airmotive Corporation of February 10, 1962, and the minutes of
the City Council meeting of February 19, 1962, confirming and approving
such agreement, and (3) the agreement between the City, John D. MacArthur,
minimum and quite possibly as much as a year or even more; moreover,
no one could say with absolute certainty that such a judgment would
be favorable.
The Vice Mayor further pointed out that the parties to the agreement
of April 24, 1963, were confronted with a serious situation; that the
golf courses and the clubhouse were nearing completion and the time
was drawing near when the transaction was to be closed in accordance
with the terms of such agreement. He made the observation that fail-
ure to close the transaction on schedule would necessarily have extremely
serious consequences to all concerned. In particular, he pointed out
that in such an eventuality the City would have to bear the burden of
maintenance of such golf course properties during the interim which would
be an impossible financial burden upon the City, and further that, if
Bankers Life and Casualty Company and The Professional Golfers'
Association of America of April 24, 1963, under which the City agreed to
convey good title to the golf course properties to PGA and in which
Bankers Life and Casualty Company guaranteed the performance of said
agreement by the City,
The Vice Mayor stated that, as the Council members were aware, a
technical title situation had arisen since the time the agreement of
April 24, 1963, had been entered into which situation, because of the
peculiar characteristics of municipal powers, involved a question as to
the propriety and validity of a deed executed by the City to PGA, The
Vice Mayor further stated that it had become apparent from discussions
with PGA and the others involved in the transaction that the only way
to satisfy all concerned as to the propriety and validity of a deed
from the City, in view of the title situation which had arisen, woid be
to obtain a final court judgment concerning the matter. He pointed out
that, the considerable expense involved aside, such a judgment would
take a substantial amount of time to get; four or five months at a
minimum and quite possibly as much as a year or even more; moreover,
no one could say with absolute certainty that such a judgment would
be favorable.
The Vice Mayor further pointed out that the parties to the agreement
of April 24, 1963, were confronted with a serious situation; that the
golf courses and the clubhouse were nearing completion and the time
was drawing near when the transaction was to be closed in accordance
with the terms of such agreement. He made the observation that fail-
ure to close the transaction on schedule would necessarily have extremely
serious consequences to all concerned. In particular, he pointed out
that in such an eventuality the City would have to bear the burden of
maintenance of such golf course properties during the interim which would
be an impossible financial burden upon the City, and further that, if
it was found that the transaction with PGA could not be closed, the
City might find itself not only disastrously burdened with the permanent
maintenance and upkeep of such golf course properties but also subject
to claims for damages.
The Vice Mayor also stated that while the City was vitally inter-
ested in the consummation of the PGA transaction and, because of the
municipal benefits to be derived therefrom, had entered into and taken
part in the transaction, that all funds expended by the City in the
development of the golf course properties had been advanced to the City
by Bankers Life and Casualty Company. He called the attention of the
Council to the provisions of the agreement of February 10, 1962, res-
pecting such advances.
The Vice Mayor further stated that from the inception of the PGA
transaction and in all contracts and agreements relating thereto,such
an eventuality as now confronted the City had been provided for; that
as guarantor of the performance of the agreement of April 24, 1963,
Bankers Life and Casualty Company had the right to demand that the
City take such action at this time as would permit the prompt legal
consummation of the agreement without the possibility of dainage to
Bankers Life; that the City had preserved the right to reconvey the golf
course properties to Bankers Life in the event it became impossible or
undesirable for the City to continue holding title to such property;
and that under the agreement of April 24, 1963, Bankers Life, upon
such a reconveyance, would be obligated to consummate the transaction
with PGA and that it was apparent that the time had arrived for the
City to take action in that respect.
The members of the Council discussed the whole matter at length,
and it was the consensus of the Council that the City was in an unten-
antable position in that it affirmatively appeared that the City could,
at the very best, only complete the transaction with FGA after a long
period of time, with great difficulty and after the expenditure of sub-
stantial sums; in addition, there was a risk that the transaction could
never be completed, which might spell financial ruin for the City. All
of the members of the Council agreed, first, that the City should
definitely not undertake such burdens or take such a risk, and, second,
and even more importantly, that the benefits of the transaction to the
City should by all means be preserved. Accordingly, it was agreed that
the City should implement the Agreement of February 10, 1962, and convey
all of the lands, etc., to Bankers Life and Casualty Company, all as
therein provided.
Mr. Lehane observed that the City had already conveyed to Bankers
Life and Casualty Company the lands not required for the PGA transaction
as provided in the Agreement of February 10, 1982. He then stated that
he believed it should be made clear, in view of the decision just reached
u by the Council, that all lands conveyed to the City by anyone, including
such as had already been conveyed by the City to Bankers Life on the
assumption that the City would itself complete the transaction, should
be embraced in an overall conveyance by the City to Bankers Life so as
to confirm that the City was exercising its rights under the Agreement
of February 10, 1962, regarding the impossibility or undesirability of
the transaction as respects all such lands including those already so
conveyed.
Mr. Cargill stated that, while he believed the City should so exer-
cise its rights under the Agreement of February 10, 1962, he also believed
that the City should agree to assist Bankers Life and Casualty Company
in any way the City lawfully could so as to make certain that Bankers Life
and Casualty Company Company could complete the transaction to the end
that the benefits of the transaction to the City would be preserved.
Mr. Cargill pointed out that such benefits would be of inestimable value
to the City and that, indeed, the very pendency of the transaction
had already benefited the City greatly. He said that, while any untoward
11i consequences to the City were certainly to be avoided, he believed that
the Council should primarily focus upon the completion of the transaction
since that would not only avoid such consequences but, most importantly,
would secure to the City the lasting benefits of the transaction. All
of the members of the Council concurred in this view of the matter.
After further discussion, and upon motion duly made and seconded,
the following recitals and resolutions were unanimously adopted:
WHEREAS, the City has heretofore entered into a certain trans-
action with the Professional Golfers' Association of America,
(the "PGA") as now embodied in that certain Agreement dated
April 24, 1963, (the "PGA Agreement ") between the City, PGA,
Bankers Life and Casualty Company ( "Bankers Life ") and ,john
D. MacArthur, and
WHEREAS, certain lands hereinafter identified were conveyed
to the City for the purpose of holding title thereto and
U completing such transaction, and the City thereafter, with
funds advanced by Bankers Life, made certain improvements
to such lands in connection with such transaction, and
WHEREAS, on February 10, 1962, the City, Bankers Life and
American Airmotive Corporation entered into a certain Agree-
ment (the "Feblruary Agreement ") which provided, among other
things, that the City had the right and option to reconvey
such Lands and improvements, and to assign the City's rights
in respect of the PGA transaction, to Bankers Life if for any
reason it appeared that the PGA transaction could not be
completed or the City deemed it undesirable to do so, and
WHEREAS, the City, pursuant to the February Agreement, here-
tofore has conveyed to Bankers Life certain of such lands
which were not necessary for the PGA transaction and which
were so conveyed on the assumption that the City would com-
plete such transaction, and
WHEREAS, as of this time, the PGA transaction affirmatively
appears, for the reasons set forth in the minutes of this
meeting: (1) as a practical matter impossible of completion,
and (2) in any case undesirable of completion by the City,
as such, and
WHEREAS, it is, accordingly, desirable and in the best inter-
-/ ests of the City that the City exercise its such right and
option under the February Agreement to the end that the City
(1) relieve itself of responsibility and Liability for
the transaction, and (2) in all events, and most impor-
tantly, make it possible for the transaction to be com-
pleted and the benefits thereof to the City be preserved.
NOW,THEREFORE BE IT RESOLVED that the City exercise its
right and option under Paragraph 5 of the February
Agreement by: (1) reconveying to Bankers Life all of
the lands conveyed to the City under deeds recorded in
Official Records Book 716, Pages 136, 137 and 138, and
Book 740, Page 81, and Book 892, Page 217 of the Public
Records of Palm Beach County, Florida, for purposes of
the transaction with PGA (together with all improvements
thereto), including, without limitation, such land as
has previously been conveyed by the City to Bankers Life
under the proviisions of Paragraph 3 of the February
Agreement, and (2) assign to Bankers Life all of the
City's rights respecting such transaction, including,
without limitation, those under the PGA Agreement plus
those under any other agreement entered into by the
City respecting the transaction; and
RESOLVED FURTHER that, in accordance with the February
Agreement, the Mayor of the City is hereby authorized
and directed to give Bankers Life written notice of the
exercise by the City of such right and option, and
RESOLVED FURT14ER that the Mayor and Clerk of the City are
hereby authorized to convey all of such lands (and improve -
ments) to Bankers Life by virtue of such deed or deeds (or
other instruments of conveyance) as they, in their sole
judgment, shall deem proper in the circumstances, and
RESOLVED FURTHER that the Moor and Clerk of the City are
hereby authorized to assign all of such rights to Bankers
Life by virtue of such instruments of assignment as they,
in their sole judgment, shall deem proper in the circum-
stances, and
RESOLVED FURTHER that the Mayor and Clerk of the City
are hereby authorized to enter into a supplementary agree-
ment (of a form and substance approved by them) with
Bankers Life concerning any and all matters which may be
necessary or desirable to carry out the purpose of the
foregoing conveyance and assignment and to more specif-
ically provide for the discharge by Bankers Life of its
obligations under the February Agreement, and
RESOLVED FURTHER that, without limiting the generality of
the foregoing, the City agree in such supplementary agree-
ment to assist Bankers Life in carrying out the provisions
of the FGA Agreement with PGA and otherwise as respects
completing the PGA transaction to the extent that the
City may lawfully do so, and
tiJ RESOLVED FURTHER that the Mayor and Clerk of the City are
hereby authorized, on behalf of the City and to the extent
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ADJOURNMENT
ATTESTED:
they may lawfully do so, to fully cooperate with Bankers
Life, PGA and all others to the end that the transaction
be completed and the benefits thereof to the City be
preserved, and
RESOLVED FURTHER that the Mayor and Clerk of the City are
hereby authorized to execute and deliver, in the name and
on behalf of the City, all such deeds, assignments, instru-
ments of conveyance, agreements, certificates and other
documents or instruments as they, in their sole judgment,
shall deem proper to fully carry out the intent and purpose
of these recitals and resolutions.
There being no further business to come before the meeting, upon
motion duly made, seconded and unanimously adopted, it was duly
adjourned.
WILLIAM L. CARGILL, T LERk-
APPROVED:
MAYOR
NORMAN ROWLAND
WILLIAM L. CARGiII
PAUL D. DOOLEN
HO PCE/MILLERk___
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L. J. LEHA E