1995.05.02_TC_Minutes_Executive Sessione.�
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EXECUTIVE SESSION OF THE TOWN COMMISSION
OF THE TOWN OF HIGHLAND BEACH, FLORIDA
Tuesday, May 2, 1995
3614 South Ocean Boulevard
Highland Beach, Florida
2:19 P.M. - 4:26 P.M.
PRESENT:
ARLIN VORESS, MAYOR
BILL PAUL, VICE -MAYOR
DAVID AUGENSTEIN, COMMISSIONER
ARTHUR EYPEL, COMMISSIONER
JOHN F. RAND, COMMISSIONER
MARY ANN MARIANO, TOWN MANAGER
GEORGE ROBERTS, ESQUIRE
CHARLES SCHOECH, ESQUIRE
BARBARA BOLTON, COURT REPORTER
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MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MAYOR VORESS: It's Tuesday, May
2nd, 1995 and I call to order this Special
Meeting of the Town Commission of the Town of
Highland Beach. Will the Clerk please call the
roll.
THE CLERK: Vice -Mayor Paul.
VICE -MAYOR PAUL: Here.
THE CLERK: Commissioner Eypel.
MR. EYPEL: Here.
THE CLERK: Commissioner Rand.
MR. RAND: Here.
THE CLERK: Commissioner Augenstein.
MR. AUGENSTEIN: Here.
THE CLERK: Mayor Voress.
MAYOR VORESS: Here. And I will ask
Rusty Roberts to call for the executive meeting.
MR. ROBERTS: Your Honor, I request
that an executive session of the Town of Highland
Beach for the purposes of discussion and to
provide guidance as to the proposed settlement in
the matter of Broadview Resolution Trust versus
Town of Highland Beach. And for the purpose of
the record we have here a court reporter retained
by the town to take down accurately everything
that transpires at the meeting. Nothing will be
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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off the record. Please note that myself, Rusty
Roberts, Mary Ann Mariano, Charles Schoech,
attorney for the town, Mr. Rand, Mayor Voress,
Vice -Mayor Paul, Mr. Eypel and Mr. Augenstein
will be those present and speaking. The time of
the start of the meeting is 2:19, and I suspect
that -- and Sam Daniels is also here by
telephone, another attorney for the town, and I
expect the meeting will take about two hours.
MAYOR VORESS: Thank you. I will
now recess the special meeting of the Town
Commission.
The purpose of this meeting is to
review a conversation which Jay Hambric had with
me which was transmitted to the Commission by
Mary Ann Mariano on April 28th, 1995. Subsequent
to that transmission Mary Ann, myself and Rusty
spoke by phone, and Rusty suggested that Mr.
Hambric ought to provide some written language
relative to those items that he has -- the
language of six items. And Mr. Hambric did
indeed transmit those items to the town yesterday
evening, and I think all of you got a copy of
them this morning. Is that correct?
VICE -MAYOR PAUL: Yes.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. EYPEL: Yes.
MAYOR VORESS: So I would suggest
that in taking this part of the meeting that we
just walk down through the various issues that
Mr. Hambric has sent to us. Is that acceptable
to the Commission? And how about you, Rusty?
MR. ROBERTS: That's fine.
MAYOR VORESS: Is that a good way to
get started with them?
MR. ROBERTS: That's fine. The only
thing that I would mention is, which is probably
out of order, but to some extent what you've said
on one page about the property description he
makes the note that there are several typos in
the property description in the copy of the hand-
written corrections attached. I didn't receive
that from you nor did I -- I received a fax at
11:39 this morning from Judith Thomsen which
attached the same notes. And there wasn't
anything attached to that.
MAYOR VORESS: I had no fax of
that. We've got five pages in the fax. I have
the five pages here. I believe we all did. But
in my judgment the sixth page would have been
that which we did not receive.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. ROBERTS: Okay.
MAYOR VORESS: And I intend to ask
for that and just haven't had a chance to do
MR. ROBERTS: Just to follow up on
it! I don't think it's controversial to any
extent, but the rest of it says in that paragraph
we should use a photocopy of a property
description from the land records if possible.
Number one, I don't know that any such document
exists. I've never seen one and this -- you may
recall that this particular document was
generated by me from information that we had
obtained because it has in there specifically
reference to the fact that this property does not
include any property that was covered by the RPUD
that belongs to Hoffman, and I think we were very
consistent about that and I think that this
description has been in the first eight drafts of
this and four of which have gone to them and they
haven't said anything about that. I think that
if there certainly is typographical errors, we
should correct those. I didn't say I carefully
proofread this, but I don't recommend that we go
back to something new and different.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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A
MAYOR VORESS: Let me tell you what
I know about the general issue. In talking with
Mr. Hambric yesterday afternoon maybe around four
o'clock saying in effect to him where is this
piece of paper you're supposed to send us, he
said that Tom Feeney was drafting the paper, not
Judith Thomsen who is the one we have generally
been speaking with, although Tom Feeney has been
involved, and I would suggest that we ask Mr.
Hambric and Feeney where this piece of paper is.
I don't know what they're talking about here. To
me I think it's a non -issue that we've got
everything, where are the typos and we'll fix
them.
MR. ROBERTS: Sure.
MR. RAND: He was asking to
substitute it with another document, wasn't he?
VICE -MAYOR PAUL: Right.
MAYOR VORESS: Right.
MR. RAND: What is that other
document?
MAYOR VORESS: I have no idea what
that other document is. It's a photocopy and
Rusty is saying that he does not believe such
exists. We need to ask him what they're talking
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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about here. I just don't know.
MR. ROBERTS: Right.
MAYOR VORESS: I'm completely in the
dark relative to it.
MR. AUGENSTEIN: It says a property
description from the land records, if possible.
MAYOR VORESS: And Rusty is saying
it probably is not possible, so I think that's
one question we need to pose back to the RTC. We
didn't get that piece and we don't know what
you're talking about. All right?
MR. ROBERTS: Fine.
MAYOR VORESS: Okay. If we could
start then with the first item on that issue
which is page six, paragraph three, sixth line,
and I believe he says it relates to a document of
the 27th. I believe he means the 26th.
Somewhere I read that. But it's your 26th
document. Correct?
MR. ROBERTS: You know -- I think
we're talking about the same document.
MAYOR VORESS: We're talking about
the same document. So it's page six of the
document dated April 26 transmitted by George P.
Roberts to Mary Ann Mariano, titled Resolution
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. ROBERTS: Correct.
MR. RAND: Sam, are you following
us? Do you have a copy of Jay Hambric's --
MR. DANIELS: I read it this
afternoon -- this morning and forgot to bring it
home, but I remember pretty much what it is.
MAYOR VORESS: All right. And, Sam,
just so you're up to date on this change he's
proposing on paragraph three, line six, he's
proposing changing the word order date to the
date January 1, 1996.
MR. DANIELS: I don't have any
problem with that.
MR. RAND: The only problem there is
the word t -h -e after -- before the order date has
to be removed if you're going to put in January
11 1996. So it would read ten years after
January 1, 1996 rather than ten years after the
January 1, 1996.
MR. ROBERTS: I think there's two
things here. One, this essentially allows longer
than a ten-year period, and in my discussion with
the Mayor I think it's something which I
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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recommended that you pick a date rather than
being to a payment date when you don't know when
that date has occurred.
MAYOR VORESS: Right.
MR. ROBERTS: And quite frankly, I
don't think there probably is much resistance to
go into another nine months is essentially what
it is if we settle this week. So I have looked
at that and changed the language to the following
which I think is a better way to put it than what
he said. Which says, A, "From and after the date
of the order (the order date) the property may be
developed at the owner's discretion within the
parameters set forth on Exhibit B attached hereto
and made a part hereof ('the development
parameters') so long as such development 'occurs'
prior to January 1, 2006 ('the cutoff date')."
So I mean that gives him -- and I can't feel that
they would disagree with that because that gives
them from the order date to ten years beyond
January 1, 1996.
MAYOR VORESS: Well, you've just
added ten to 1996 and made it 2006.
MR. ROBERTS: Right.
MAYOR VORESS: I don't see there's
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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any problem either way. So what's the desire of
the Commission?
MR. RAND: So as long as this
development occurs prior to January 1 --
MR. ROBERTS: January 1.
MR. RAND: 2006.
Mr. ROBERTS: Right.
MR. RAND: And then everything else
goes off, the date, the cutoff date and so forth,
that disappears.
MR. ROBERTS: Right, down to
provided however the cutoff date shall be
extended.
MR. RAND: Okay. So after January
11 2006 the next sentence starts with provided.
MR. ROBERTS: Right.
MR. RAND: I don't see any problem
with that.
MR. AUGENSTEIN: The word occurs,
does that mean begin?
MR. ROBERTS: No, the development
occurs, occurs is a term of art in this thing,
and it's later defined as in the document when
something occurs. That's why it's in quotes.
MAYOR VORESS: Okay. Can we move on
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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to the next -- page twelve, paragraph six.
MR. ROBERTS: Down there on the --
further down in that paragraph for the purpose of
determining when such development has occurred so
long as an application has been made for a permit
before the cutoff date. So you've got the 2006,
but if on that date they have an application for
a permit pending for a particular building, they
will then get to build that. Okay? That runs
into the -- that's to try to get away from --
MAYOR VORESS: That's what it's
MR. ROBERTS: That's what it's
always been and that's to try to get around the
bugaboo of, gee, if I'm half finished with that
building on that date, what happens? Do you say
stop, tear it down or whatever so --
MAYOR VORESS: Okay. Are we ready
to go to page twelve, paragraph six? Section A.
And I guess Commissioner Rand has an objection to
this?
MR. RAND: I can't agree to this. I
think the way we had it before is appropriate.
It protected them and protects us. What they're
suggesting is to leave out the Florida League of
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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Cities in effect saying one may acknowledge no
later than ten business days of the date of the
court order approving a certain stipulation. My
concern is that if for any reason we don't get
the one million dollars from the Florida League
of Cities, we have a violation of this agreement
with no remedy, and that bothers me. And I think
what we had in our draft is perfectly plausible,
protects them as well as it protects us, that if
for any reason whatsoever the one million dollars
is not paid within ten days of the court order
from the Florida League, that this money be added
to the three million dollar obligation that we
have under section 6C, so my recommendation would
be to leave it in the way we have it.
The way they propose it it can't be
done for the simple reason we don't have the
million dollars. If we're going to pay the
million and a half dollars under 6B and then
we're liable to pay this one million dollars in
order to avoid a violation, we just don't have
the money to give them. Pure and simple. So
what we're asking is not unreasonable, and my
recommendation would be to insist on leaving it
in.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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VICE -MAYOR PAUL: Comment.
MAYOR VORESS: Yes, comment.
VICE -MAYOR PAUL: Here again is a
case where they're trying to stick us for
something that is not within our control. We
have a commitment from the Florida League of
Cities which we anticipate they are going to live
up to. There may be something -- God forbid,
that is going to happen that we have no control
over.
MR. RAND: That's the final payment,
Bill.
VICE -MAYOR PAUL: And I think that's
what you're trying to say. They're trying to
again which has been the hang-up time and time
again is to make us responsible for things that
are beyond our control.
MR. RAND: And we are conceding the
fact that this is our liability. We're not
denying that. We told them this is an agreement
between us and the town. If for any reason the
payment is not made by the insurance company, we,
the Town of Highland Beach, will agree to absorb
this one million dollars because it is part of
the settlement under our liability. We will add
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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it to the three million dollar liability
mentioned later on thereby making the note
instead of three million, four million, so I
don't see what possible objection they can have
because it's for our protection as well as their
protection.
We can't come up with the one
million dollars within ten days. That's
impossible because we just don't have it, and,
secondly, I don't see any harm that this is doing
to them. It protects them and protects us.
Otherwise if you leave it the way they have it, I
can see what if any reason the money is not
forthcoming we would have a violation of this
agreement, we're back in court again.
MAYOR VORESS: Well, I think we need
the protection is what you're saying.
MR. ROBERTS: Right.
MAYOR VORESS: So we agree we're not
going to take it out.
MR. AUGENSTEIN: I absolutely agree.
That's perfectly right.
MR. RAND: Okay. Then they went to
B, on the 1,500,000. I do not agree with what
they're proposing for the simple reason it's a
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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mistake they're talking of bonds maturing within
180 days which is not the case. Okay? And a
pledge is not going to be satisfactory because
the idea would be to deliver the securities to
them, not to pledge it. That's not going to help
them and help us. So my suggestion for 6B would
be to reword it as follows, and I'll say it
slowly so you can -- and repeat it if necessary.
I would suggest for 6B that we write: $1,500,000
within ninety days of the execution of this
settlement stipulation, with such payment to be
satisfied by delivery to plaintiff in accordance
with their instructions of three U.S. treasury
securities having a total face value of not less
than $1,500,000, it being understood that the
next interest payment due on each security shall
be immediately reimbursed to defendant when
received by plaintiff. Interest thereafter shall
be due to plaintiff but these securities must not
be sold by plaintiff prior to the next interest
payment due on each respective security being
received.
That way we satisfied them -- as a
matter of fact, it's a better deal for them
because we can give them the million and a half
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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in these three securities a lot sooner than
ninety days after we complete all of the legal
requirements that are necessary in order for us
to be able to do this, the public hearing,
amending the budget or whatever procedure may be
necessary, so we could conceivably come up,
that's why I put down within ninety days, not
necessarily after ninety days, within ninety
days, and my feeling would be to give it to them
as soon as we can after we have our public budget
amendment hearing and provided of course that
they understand that we want the interest up
until the next payment date. So that would be my
recommendation for 6B.
MAYOR VORESS: Let me add something
to that. When Jay originally called me, which is
the basis of his April 28th letter, he said that
the lawyers in the RTC had said there was a
relief of the one million dollars and for the
three million dollars, but there was nothing said
in the April 26th proposal relating to relief if
we did not pay the million five. And I said,
well, we have three $500,000 government notes
which the town is prepared to give to the RTC in
the payment of this. However, they expire, I
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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believe, in '97, '98, and '99.
MR. RAND: That is correct.
MAYOR VORESS: And that they are
due -- they're semi -quarterly paid securities and
they pay the town in, if I remember, June, July
and August, and the total payment on those are
around $48,000, if I recall, 40 to $50,000. And
I said to Jay the town wants that interest
payment on those, and he said I can understand
that and I don't have any problem with you
getting those. He said when we do get them,
though, we will turn around and sell them on the
market immediately.
MR. RAND: That's their privilege.
MR. AUGENSTEIN: That's their
choice.
MR. RAND: That they can do. But
what they're suggesting, Mayor, is that they want
us to pay the million and a half dollars and
saying such payment is secured by a pledge.
That's not what we're looking for.
MAYOR VORESS: The pledge is no
MR. RAND: We're looking to satisfy
the payment requirement by delivery of the bonds,
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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and that's why I feel my wording is more in
keeping with what our intention is, and I think
it's better for them because they will have these
securities a lot quicker than ninety days because
it's no skin off our back because we're going to
get the interest anyway, and if we sign this
agreement, just for the sake of hypothesis, if we
sign this agreement say tomorrow or next week,
whatever the case may be, ninety days might not
reach the next interest payment due because I
think that the payment date is due on the 15th of
each month if I'm not mistaken or maybe the
28th. I'm not sure of the date. So we could
possibly have a problem that way, the ninety days
from May 15th would be August 15th and if the
interest payment date is August 28th, we
technically would be in violation.
MAYOR VORESS: Right.
MR. RAND: So that's why I wanted to
go this route which I think is beneficial to
them, beneficial to us and eliminates any need
for their being assured of getting this money.
We are in effect saying we have the money, only
it's in the form of treasury bonds. We are
prepared to give it to you as soon as we complete
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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W.,
the requirement of an amended -- amended budget
public hearing.
MAYOR VORESS: I'm not disagreeing
with you. I'm telling you that I think that
would probably be acceptable to them.
MR. RAND: Right.
MAYOR VORESS: I'm just merely
saying that Jay understands that that payment
will be with three notes and that we want the
interest from them. And he has no problem with
that. And I think that's what you're saying. Is
that correct?
MR. RAND: Exactly. I'll repeat it
again if necessary. Do you want me to repeat it?
MR. AUGENSTEIN: No, I understand.
MR. ROBERTS: I'm not going to take
it down. You have it written down?
MAYOR VORESS: All right.
MR. AUGENSTEIN: Let me ask one
question before that. Who is the interest
payment going to be sent to?
MR. RAND: Well, if we deliver the
bonds prior because the interest payment date is
due in June on one $500,000 bond, due in July on
another $500,000 bond and due in August on the
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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other $500,000 bond, so we technically can wait
in the first case until June which is thirty
days, let's say, approximately from the
settlement date. Can you hear me, Sam? Sam?
Hello?
MS. MARIANO: Sam, are you there?
MR. DANIELS: Yes.
MS. MARIANO: Okay.
MR. RAND: Did you hear what I said,
Sam?
MR. DANIELS: I heard some of it but
not all of it, John. I want to ask Rusty a
question.
MR. ROBERTS: All right.
MR. DANIELS: If they have the
injunction remedy for enforcement, why are they
worried about all this?
MR. ROBERTS: I can't answer that.
You're going to have to ask them.
MR. RAND: There's no reason for
them to be concerned especially with the way that
we're proposing now. We are in effect providing
them with certainty or assurance that they're
going to get the money that's required. In the
case of the million dollars from the insurance
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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company what we're saying is we are liable for
the million dollars. We don't deny that. We are
stating and confirming that we're liable for the
million dollars. We're just concerned that the
way you put it if they don't come up with the
million dollars for whatever reason there may be,
okay? You would have a violation of the
agreement with the way they're wording it, and
that's not something that we're prepared to
accept.
MR. DANIELS: I totally agree with
that.
MR. RAND: Okay? And in the second
case for the delivery of these bonds, of the
three bonds, they are in effect obtaining a U.S.
Government obligation. So I don't know what the
hell more assurance they could want than a U.S.
Government commitment which is what we're giving
them.
MR. DANIELS: Who's going to hold
those bonds?
MR. RAND: Well, that's up to them.
We can either -- we have them now in safe keeping
with the Barnett Bank. We could, if they wish,
instruct the Barnett Bank to hold it for their
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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account and for their disposition or we can
instruct the Barnett Bank to deliver it to them
as they requested which is what I had indicated
in there that we would do this in accordance with
their instructions. We would deliver it to them
any way they requested it or let Barnett Bank
hold it for their account as long as they wish,
as long as they don't sell or dispose of these
securities prior to the next payment of interest
which is due us in June, July and August
respectively.
MR. DANIELS: That sounds okay to
me.
MAYOR VORESS: And that's the
payment of who owns -- the record of who owns the
bond.
MR. DANIELS: Rusty, does that sound
okay to you?
MR. ROBERTS: It's over my head.
MR. RAND: What do you mean over
your head?
MR. ROBERTS: I mean on bonds.
MR. AUGENSTEIN: commissioner Rand,
what is the interest on each of those bonds, do
you know?
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. RAND: It's six and three
eighths on two of the bonds and five and one
eighth percent on the other bonds. I hate to
split hairs, but actually this is beneficial to
the Resolution Trust. After all, it is part of
the U.S. Government so in effect we are allowing
the U.S. Government to prepay an obligation which
they can't do on a U.S. Government bond issue.
You cannot prepay a U.S. Government obligation so
in effect we're giving them an opportunity to
prepay an obligation since it is the U.S.
Government that's involved here indirectly, and
in that case they're saving a great deal of
interest, but it also saves us approximately
$100,000 doing it my way as opposed to our being
required to sell these bonds which is what we'd
have to do if we had to come up with the cash.
So my thought was to propose to them
that let us give you the satisfaction by
delivering these bonds to you rather than be
forced to sell them in the open market which
would result in a loss of approximately 40,000
odd dollars. And I don't see any point in our
having to lose that money for no reason at all.
Because it's no skin off their nose. They're
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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getting a million and a half and in addition to
that, they're saving the U.S. Government
approximately two hundred odd thousand bucks.
MAYOR VORESS: And what I'm saying
is Jay said they would sell it to realize the
money.
MR. RAND: If they want to sell it,
that's their prerogative.
MAYOR VORESS: That's their choice.
They can do whatever they choose.
MR. RAND: I just find it strange
that a government agency would sell the bond
rather than to turn it over to the U.S. Treasury.
MAYOR VORESS: Well, they're
compartmentalized.
MR. RAND: You disagree with
anything I say, Charles?
MR. SCHOECH: No, I think you're
absolutely right and I concur that you should
wait until after the interest payment dates.
MAYOR VORESS: And they understand
that. Okay. The third thing is they want to add
a new paragraph E. You want to deal with that?
MR. RAND: Paragraph E?
MAYOR VORESS: If any of the
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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payments provided under subparagraphs A and B are
not paid when due, interest shall accrue on
unpaid balance at the rate of eighteen percent
per annum until such payment is made. I think
that's covered later on! Rusty, in their
remedies, is it not?
MR. RAND: Yes, we have that on
five. Yes, on five on page 13 in the middle of
the page it says that if there is a default and
non-payment upon the due date after extension
interest shall accrue at eighteen percent per
annum. It's already there.
MR. ROBERTS: That's only on the
note.
MAYOR VORESS: I think that's on the
note, yes.
MR. RAND: What else would there
be? If we absorb the million dollars from the
insurance company, what else would there be?
MAYOR VORESS: Well, he's talking
about the three million dollar note.
MR. ROBERTS: I think what he's -- I
think what he's talking about here is that if you
didn't pay the 1.5 million dollars or the one
million dollars in the time due, then those sums
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. ROBERTS: Till they're paid.
MR. RAND: Because in the case of
the note we make specific reference that the
eighteen percent accrues after the extended
period. When will the interest on the one
million and the one million and a half accrue?
Starting when? After ninety days?
MR. ROBERTS: Well, it says if any
of the payments provided under A and B, which is
A is the one million and B is the one and a half
million, are not paid when due and the one
million would be five days after receipt and the
1.5 would be within ninety days so --
MR. RAND: But you can't take that
for the simple reason, as I explained, if the one
million dollars is not forthcoming from the
insurance company -- I mean I don't anticipate
that this is going to happen.
MR. ROBERTS: You have to
understand, I think this is based upon his
acceptance of what he says above. See, he wants
ten dollars within -- one million within ten
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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days.
MR. RAND: And we're saying no.
MR. ROBERTS: And you're saying no,
so if you're saying no to A and B, then I would
say no to E because it doesn't make sense.
MR. RAND: It doesn't mean -- it's
not needed.
MAYOR VORESS: Okay. Can we move on
then to page fourteen, the third line from the
top? Change to read "will be to obtain judgment
specified in paragraph ten therein," and so he
leaves out the ( B ) and ( i i) . Is that correct,
Rusty? Is the change that's here. If you look
on page fourteen, paragraph three.
MR. RAND: What's 10(B)2? What page
is 10(B)2?
MS. MARIANO: 10(B)2 says the date
or dates of the violations.
MR. ROBERTS: It should be 10(E).
MS. MARIANO: Oh, yes, it should be
10 (E) 2.
MAYOR VORESS: 10(B) is notice of
alleged violations.
MR. ROBERTS: These are the sorts of
things when you're asked to do something quickly
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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you don't pick up on. I only have a certain
amount of the screen here.
MAYOR VORESS: What he's suggesting
is that you use the whole paragraph remedies
ten.
MR. ROBERTS: Well, I don't agree
with that because I think that is again trying to
gain more than is intended on their part. I
think that all that needs to be changed is change
10 (B) 2 to 10 (E) 2.
MAYOR VORESS: They're only speaking
about default on the money payments.
MR. ROBERTS: Right.
MAYOR VORESS: And the whole ten
speaks to a variety of other issues. Correct?
MR. ROBERTS: Right.
MAYOR VORESS: So we're suggesting
what we make it 10 --
VICE-MAYOR PAUL: (E)2.
MR. RAND: 10(E)2, right.
MAYOR VORESS: Which has to do with
money.
MR. ROBERTS: Right.
MAYOR VORESS: Does everyone agree
to that? Any problem, Bill?
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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VICE -MAYOR PAUL: You're just
changing it to 10(E)2.
MAYOR VORESS: Yes.
MR. ROBERTS: The plaintiff's sole
recourse for any balance due will be to obtain a
judgment specified in paragraph 10(E)2 herein,
rather than 10(B)2.
MAYOR VORESS: Dave?
MR. AUGENSTEIN: All right. I don't
think we have any plan of not paying.
MAYOR VORESS: The next issue that
he sent us is page fourteen, paragraph seven,
line nine, which is the last line, full line in
seven.
VICE -MAYOR PAUL: I don't understand
that one at all.
MAYOR VORESS: Well, he's taken out
Rusty's last two --
MR. ROBERTS: I really don't have a
problem with that.
MAYOR VORESS: You don't?
MR. ROBERTS: He's probably correct,
constructed and it's not defined, it occurs means
as long as the permit is drawn.
MR. RAND: You're comfortable with
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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that, Rusty.
MR. ROBERTS: Yes.
MAYOR VORESS: Let's leave it alone.
MR. ROBERTS: You're talking about
something that has probably about a one percent
chance of happening that their amenity permit
would be withdrawn so --
MAYOR VORESS: All right. Let's
move on. The next one is pages eighteen and
nineteen, paragraph 10(E). That's in the lower
part of page eighteen. And as you read through
his pieces, I stays the same and he makes a
change in E ii. What is that two, Rusty, ii?
MR. ROBERTS: Double I is fine.
MAYOR VORESS: Double I. Okay.
What he does in this is to take out the last
three -- he begins to modify the thing on the
last three sentences. He takes out of the note,
in which judgment shall be paid in three annual
installments, ad valorem taxes, et cetera. Would
you like to speak to that?
MR. RAND: I'd like to address
that. I refuse to allow that to be deleted for
the simple reason, and again we're going back to
this issue of the validation process about which
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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I will have more to say later on. I've already
discussed the matter with Mr. Schoech. I feel
very strongly that this phrase should remain as
it is. I have no objection to what they suggest
there instead of saying on any proven default of
the note to any proven default on the payments
specified here and that doesn't bother me, but I
think we have to leave in which judgment shall be
paid in three annual installments, ad valorem
taxes of the town raised to cover such judgment,
the reason simply being this. If we cannot get a
validation, okay? And I'll go into that later
on. I don't think it's as great a problem as
we're being led to believe. But that's neither
here nor there. I'm not an attorney. I'm not in
a position to rule on that. But we're not
suggesting doing anything which is illegal or
circumventing the law. If we issue the bond,
presuming that we have an agreement here, we
obviously are going to go the route of a
validation process. Okay? Because it would be
in our best interests to do so.
We talked about if we can't get the
validation of the bonds that we're contemplating
under such a scenario, we would then try the
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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certificates of participation route, and I think
there seems to be a difference of opinion between
Mr. Schoech and another attorney that I have a
copy of an opinion on whether or not a validation
process is required for certificates of
participation, and Mr. Schoech himself admitted
to me it could be either way but he's not
absolutely in a position right now to state
categorically whether or not it is subject to
validation.
But the point I'm trying to make is
if for any reason we cannot get a validation of
the bond, okay, we have, in accordance with my
request, a commitment or I should say a
confirmation rather from the Barnett Bank in
which they tell us that they are prepared to lend
us the money, and I'm quoting, I don't know
whether all of you have a copy of this, but it
says, "Per our earlier phone conversation,
Barnett Bank does not require validation of a
bond unless the situation is quite unusual. We
do not feel that this financing would require
validation. Our usual documentation would be
required which would include an opinion letter
from the town's attorney indicating, among other
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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things, that the financing is legal and that the
town has the right to borrow the funds and the
right to budget for the repayment. Also we would
issue a commitment" -- well, that part of it is
superfluous, but it goes back to one of the
earlier executive session meetings that I had in
which I took exception to Attorney Schoech's
letter in which he said that it was legally
required to have a validation of the bonds, and I
think Mr. Schoech agreed that it isn't a legal
requirement but it is something that we should do
for our protection, but it is not per se legally
required, and while you may have some ambiguity
in this memo from Barnett Bank, my feeling is
that we are being unduly concerned about the
validation of whatever instrument we use for
purposes of funding this matter, but we do have
the backup from Barnett Bank but, again, not
wanting to be, how shall I say, foolish, I feel
that we have to have the protection, if for any
reason Barnett Bank says, well, maybe we said
this but we really do need a validation and we
can't fund this thing or sell it in the
marketplace, then the only alternative we have
left is to pay off this obligation through ad
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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valorem taxes. Otherwise we have a default under
this agreement and we're back to square one
again, and I don't think that we should be in a
position to take such a risk.
And I don't know what in hell would
be RTC's objection or concern in our leaving this
in. All we're saying is that if for any reason
we cannot fund it and we're saying we're going to
use every conceivable means to fund this,
including all legal requirements that may be
necessary, but if, God forbid, we can't do it,
then at least allow us to be able to pay off this
obligation in three annual installments and in
which case you're going to get eighteen percent
per annum interest which is not a bad return.
Okay?
So I don't see why they should be so
unreasonable or be so adamant in taking out that
position. It's merely our protection in the
event that we cannot fund the requirements under
the settlement agreement, and I think Mr. Roberts
included this clause to give us that protection
and I feel we should leave it in for the reasons
which I have stated.
MAYOR VORESS: My problem with this
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
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letter from Barnett Bank is there's a weasle word
in this thing which says that financing is
"legal." That's the legal word. And so we have
to get the town attorney or some other lawyer to
say this is legal and if you begin to argue
whether that has to be validated or not, that
could be assumed to be not legal.
MR. RAND: That's why we need the
protection.
That's why we need
MR. RAND: We don't anticipate --
again, I honestly can't conceive in all my years
in banking, I have yet to experience a situation
where the validation process would be as
difficult, but Mr. Schoech is correct in the
remark that he made to me, you don't know what a
particular judge can do. He just might get up on
the wrong side of the bed in the morning and just
say the hell with the Town of Highland Beach and
I'm not going to validate the damn thing, and we
just can't afford to have that risk. So this
gives us the protection. We don't anticipate
having a problem, but I mean we're coming down to
a point where there's got to be some degree of
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
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trust. We have bent over backwards in giving the
RTC every conceivable change that they want even
though in some cases it's not entirely to our
liking so I think it's time for them to bend a
little bit.
MR. AUGENSTEIN: I couldn't agree
MAYOR VORESS: All right. Now, when
I talked to Jay about that, he said that he
really -- he was having trouble with the lawyers
about that. As far as he was concerned they
could be silent on it. And that's what it is, we
were silent on it.
MR. RAND: I think he's inferring
that this is an excuse to drag the thing out
further. It's not an excuse. It is a backup to
protect us because we have no recourse other than
to go through an ad valorem taxation assessment
to pay off the obligation. Otherwise you're
going to have a violation of this agreement and
we're going back to court again and we're trying
to avoid that. Meanwhile they want to build and
so forth and this may take a little time before
we reach this point, so I think it's in their
interest as well that we at least have a fall
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
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back and not say since there's a violation of
this agreement we're going to have to stop
building because we don't have a deal.
MAYOR VORESS: In my opinion we
cannot take the risk of not having any money.
You know, we're down the tube.
MR. AUGENSTEIN: Absolutely.
MR. ROBERTS: Well, plus I think if
you borrowed the money and paid it to them,
you're going to be paying interest on the
borrowing and also paying interest on paying
them, so you're going to be paying maybe thirty
percent on this money. I mean that -- interest
on, the federal funds rate -- interest on
federal court judgments is the federal funds rate
which is seven, eight, nine percent, whatever it
is.
MAYOR VORESS: The default rate if
you do not pay after, what is it, ninety days or
a one hundred and eighty days.
MR. RAND: But they're getting
eighteen percent.
MR. ROBERTS: That's a default in
not paying a judgment, it's just the federal
funds rate.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
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MAYOR VORESS: Right.
MR. RAND: But I think when you
speak to Jay you're just going to have to explain
the logic or the common sense.
MAYOR VORESS: I have no problem
with that. I'm merely saying that we need -- I
think he recognizes the fact that this town does
not want to get into a position where they're
accused of not abiding by this agreement, and
that's what you're saying.
MR. RAND: Well, I think also we
want him to realize that he's not dealing with a
bunch of country hicks here, that we know a
little bit about finance and the contingencies
involved, so we're not asking for anything which
is unreasonable.
MAYOR VORESS: I don't disagree. I
don't disagree.
MR. ROBERTS: And I don't know what
your -- if you want to discuss that point further
I have something further to add about this
remedies provision.
MR. RAND: Go ahead.
MAYOR VORESS: Are you talking about
on two?
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. RAND: Sam, are you still here?
MR. DANIELS: I'm here. I'm
enjoying every word of it.
MAYOR VORESS: Are we finished with
two? You want to say something about two,
Rusty?
MR. ROBERTS: No, if your suggestion
is just to leave it as it is, obviously that
would be the best approach.
MAYOR VORESS: I think that's what
the suggestion is.
VICE -MAYOR PAUL: Substitute the
word payment instead of note.
MR. RAND: On any proven default of
the note we would say on the payments. That I
have no objection.
MR. ROBERTS: Proven default of
the --
MS. MARIANO: The payments.
MR. RAND: Instead of of the note,
it would be on the payments.
MR. ROBERTS: Okay. It says on any
proven default of the note specified or payments
due on paragraphs 6A or B. Okay. Well, and was
one of the suggestions that I have that you may
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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want to do, but I think you really have changed
that around so that's not going to be here so
we'll take that out. So you're saying for any
proven default --
MAYOR VORESS: On the payments
instead of of the note.
MR. ROBERTS: On the payment of the
note.
MAYOR VORESS: Payments, plural,
payments.
MR. RAND: Specified herein.
MR. ROBERTS: Payments of the note
specified herein.
MR. RAND: No, just take off "of the
note" and instead of those three words, "of the
note" the third line from the bottom you
substitute of the note for the words on the
payments.
MR. ROBERTS: On the payments
specified herein?
MR. RAND: Right.
MS. MARIANO: Right.
MR. RAND: So it would be any proven
default on the payments specified herein.
MS. MARIANO: So it could be A, B or
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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C.
MR. ROBERTS: So it could be A. B or
C.
MR. RAND: Right. Exactly.
MR. ROBERTS: That's what I was
going to suggest, that the payments due in
paragraph --
MAYOR VORESS: Okay. Everybody
agree to that?
MR. EYPEL: All right.
MAYOR VORESS: All right. Let's
move on to three. They have basically removed
all of Rusty's words in that area, and, as we
talked about, reasonable attorneys' fees and
costs for one law firm instead of one lawyer,
their reason being that they claim that if you
just have one lawyer you're -- what was it, the
prior version contained no requirements that fees
be reasonable in addition to limiting fees to one
attorney would require having a single attorney
to do work that normally would be done at lesser
rates by more junior attorneys or paralegals, et
cetera. This could result in increased costs.
You know, you'll have to tell us from a law point
of view whether it's one attorney or one law
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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firm. I don't really care.
MR. ROBERTS: Well, I think it is a
substantial difference if you say one attorney or
one law firm because that one law firm of
Dotterer, P.A. and Winthrop, Stimson charged 1.5
million dollars on this case.
MR. RAND: 1.7.
MR. ROBERTS: No, just them alone
1.3. Marge Cooper charged 250,000 and Randee
Schatz 270,000. Okay? So the one law firm had
about six lawyers working on it, and they had
lawyers working on anything and everything that,
you know, had nothing to do with anything.
Okay? So that's why it's one lawyer. That does
not preclude them from hiring any -- from one
attorney. Okay? That doesn't preclude them from
using as many attorneys as they want on the case
that they deem is necessary. But you only have
to pay for one. Okay? That's the point. And
quite frankly, I think that's a way to limit any
potential exposure you have in this case. If
they know that they have a free ride to hire
every attorney in town on this in that law firm,
they'll do that which we've already seen them
do. Okay? And I think you're just opening a
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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door, quite frankly.
MR. DANIELS: Let's take the other
side of that coin, Rusty.
MR. ROBERTS: Yes, sir.
MR. DANIELS: If they just hire one
lawyer, they could hire Dotterer. I don't see
the problem in just saying attorneys' fee of one
law firm.
MAYOR VORESS: I really don't
either. We're going to have to agree with some
of the things they're doing, and I don't think
this is a big deal. It's just if we get hauled
before the magistrate because we're sinning.
MR. RAND: Well, the magistrate has
to approve the fees anyway. Right? That's part
of E, that the parties stipulate and agree that
remedies available shall only include a
magistrate shall only have the power to order so
whether it's one attorney or a law firm, it still
requires the approval of the magistrate, and I
assume that they review these fees as to whether
or not --
you do, John.
MR. DANIELS: Not as truthfully as
MR. RAND: No?
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. ROBERTS: You know, and you
throw the term reasonable in there. That's
exactly what happened in this case. They got
awarded more fees than they actually paid which
is to me just a travesty. These people have paid
and the retort to that is that if you know that
you're only going to get reimbursed if you're
successful, one of them, you're going to be
reasonable. You're going to find a reasonable
attorney and whatever you find reasonable to pay
him that's a good standard and you do away with
having three-day hearings on attorneys' fees
because all they have to do if they're successful
is come in and say here's the bill I paid. And
you say, judge, that's what you've got to award.
You don't have to worry about the judge saying
it's reasonable to have experts and incur all
that cost. Hey, if you win, your attorney gets
paid, and we reimburse you just what you paid
him.
MAYOR VORESS: I think, you know, we
can be picky all the way through this and keep
going back and forth. I don't have any problem
with accepting that. Does anybody have a problem
accepting it?
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. AUGENSTEIN:
attorneys plural?
MAYOR VORESS:
MR. AUGENSTEIN:
with it.
Arthur?
45
What, accepting
One law firm.
I have a problem
MAYOR VORESS: Okay.
MR. AUGENSTEIN: It opens the door.
MAYOR VORESS: How about you,
MR. EYPEL: No, I don't have a
problem with it.
MAYOR VORESS: Bill, how about you?
VICE -MAYOR PAUL: Somewhat. There's
a window there.
MAYOR VORESS: Well, let's for the
moment go ahead and just use their language
here. All right?
MR. ROBERTS: All right.
MAYOR VORESS: Okay?
MR. RAND: Well, have we approved it
by majority or what? Why do we have to come back
to it? You say for the moment.
MAYOR VORESS: Well, we don't have
to come back to it. We're going to move on.
MR. RAND: I mean but do we agree
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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with what --
MAYOR VORESS: We'll agree that
we'll use their language. Correct?
MS. MARIANO: All of their language?
MR. RAND: Reasonable attorneys'
fees and costs incurred and paid by the
prevailing party is what they want, and we agree
to that.
MAYOR VORESS: Okay.
MR. EYPEL: That also means, if I'm
not mistaken, that we have the same rights that
they do.
MAYOR VORESS: Sure.
MR. RAND: It will apply to us as
well.
MAYOR VORESS: Sure. Okay. Four
says -- they have basically taken the bottom part
of Rusty's section four out. They have agreed
with one, two, three, but they've taken starting
and that are proven, that whole section is
removed. Correct, Rusty?
MR. ROBERTS: Right.
MAYOR VORESS: What are the
implications of removing that -- Sam, since you
don't have it, Rusty's statement said any
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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contractual damage proven by the preponderance of
the evidence that had been --
MR. DANIELS: I remember that well,
Arlin, and I'd like to leave it in.
MAYOR VORESS: You would like to
leave it in.
MR. DANIELS: Yes, I think it's a
protection to the town, but I have a question for
Rusty. When we go back to our violation clause,
Rusty, have we taken out that language that says
it will be waived and says that damages won't
accrue?
MR. ROBERTS: That's a point I want
to bring up.
MR. DANIELS: Okay. These two are
directly related.
MR. ROBERTS: Okay.
MR. DANIELS: Rusty's notice
provision says if you don't give notice in ninety
days, you waive the breach. And I think he and I
both agree that that probably is against the
law.
MAYOR VORESS: Right.
MR. DANIELS: Because it's a cutting
of the statute of limitations, but what we ought
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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to do instead is say that you just can't recover
any damages until you give notice and then that
will tie in with paragraph four we're working on
now.
MAYOR VORESS: Okay. And where is
that?
MR. RAND: That's 19.
MS. MARIANO: It's back on page 17.
MR. RAND: Sam's on 17.
MAYOR VORESS: Sam says we need to
change that.
MS. MARIANO: Right. This is
related to what we're going over on page 19 is
the first -- the first paragraph.
MR. RAND: Where on page 17?
MS. MARIANO: The first paragraph.
MAYOR VORESS: "Notice of alleged
violations must be sent to the alleged violating
parties within ninety days of the occurrence."
Is that what you're saying needs to be changed?
MR. DANIELS: That part of it's
okay. It follows, it says, "or such damages
should be waived," something like that.
MAYOR VORESS: Or it is waived.
"Ninety days of the occurrence of alleged
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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violation or it is waived and no action for
enforcement may be brought thereon." And that's
the one you say there's a problem with?
MR. ROBERTS: Right.
MR. DANIELS: Rusty's got to back me
MR. ROBERTS: Oh, I agree with you.
MAYOR VORESS: What should that be
MR. ROBERTS: Well, again, two
things. One, the principle you agreed upon in
this is that if they didn't go through this
procedure they wouldn't get damages or wouldn't
have a claim. Well, as Sam aptly pointed out,
this is construed in accordance with Florida law
and Florida statute 95.03 dealing with statute of
limitations says it's invalid, any contract which
has a provision which shortens the time provided
for in the statute of limitations, which is five
years, is void. It's against public policy.
Okay? So that provision is in fact in violation
of that statute.
So in essence you cannot hold them
to a position in the remedies that if there's a
breach of the violation, a breach of the
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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agreement, you can't cut it down to ninety days.
Okay? And you can't put an impediment in there
to say that they don't get it. What Sam is
suggesting that if they don't send you notice of
the alleged violation, their damages would not
accrue until they send you the notice.
I've done some research on this and
I give you no assurance that that will accomplish
what you want either. Because I can see a
scenario where they can simply go to court and
say this notice -- they can send you the notice
of violation stuff and say I've sent it to you,
and whether you try to cure it or not, I can
still go for damages. Okay?
MR. DANIELS: It's better than
nothing. It's at least arguable.
MR. ROBERTS: It's better than
MR. DANIELS: Right.
MR. ROBERTS: But it doesn't have
any teeth in it to the effect that they can't sit
there and wait as long as they want on these
violations. And I think it's part and parcel to
the whole scheme here.
MR. DANIELS: I don't agree with you
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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on that part of it, Rusty. We were concerned
about somebody waiting five years and then suing
us for five years damage. Under the clause, as I
amended it, it says you don't get any damages
until you file that notice. And if that's valid
it will block off all those failed claims.
MR. ROBERTS: Well, I guess you and
I will disagree on this because I think that one
could make an argument that if you didn't send
the notice and you filed suit and you came in and
said, well, they never sent me the notice, so
they have no damages, that would be in essence
saying you have no cause of action and I have
prevented you from bringing a cause of action
within five years by virtue of this contractual
provision.
MR. DANIELS: And I would argue back
it's the same thing as a notice of default in a
mortgage. You have to give notice of the
violation to give you a chance to cure.
MAYOR VORESS: We're going to cure
these things and we're going to have some town
policies that tell us when there's any problems
if anybody had anything to do with Hidden Harbor,
and later commissioners are going to see that.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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So I would support using Sam's language to get
rid of what's here that's in violation of Florida
statutes to make those in conformity with the
statutes and say that you don't get any damages
until you file notice with all of the exposures,
Rusty, that we may have here, but that ought to
be changed. And, therefore, how is that -- if we
did that, how would that -- then that -- you're
saying, Sam, we ought to leave that bottom
portion in then. Correct?
MR. DANIELS: I'm saying that we
ought to change the notice portion.
MAYOR VORESS: Right.
MR. DANIELS: The way Rusty read to
you and then leave four in the way it now reads.
MAYOR VORESS: Yes. That's what I
said.
MR. DANIELS: Right. I agree.
MAYOR VORESS: Okay. How about it,
Commission, do you want to agree with Sam?
Dave?
MR. AUGENSTEIN: I'll go with it.
MAYOR VORESS: Arthur?
MR. ROBERTS: Wait a minute. So I
understand it, four as who has put it?
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MAYOR VORESS: As Sam has put it.
VICE -MAYOR PAUL: As it's in the
agreement now.
MAYOR VORESS: Wait a minute. We're
going to change the language that's opposed to
the statute to make the language such as Sam
wrote that the parties don't get any damages
until they file notice.
MR. AUGENSTEIN: Exactly.
MAYOR VORESS: And then with that
change under four we leave the language that you
have in there intact.
MR. ROBERTS: Okay.
MAYOR VORESS: Okay?
MR. ROBERTS: And presuming that you
would do that, I have just changed it as
follows: Any contractual damages -- number four
on --
Rusty?
MR. RAND: What page are you on,
MAYOR VORESS:
MR. ROBERTS:
10(E)iv. All right?
MAYOR VORESS:
MR. ROBERTS:
Nineteen.
Nineteen. Which is
Right.
"Any contractual
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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damages proven by the preponderance of the
evidence to have been proximally caused by a
material breach of the provision of this
settlement stipulation by the town and that are
proven by a preponderance of the evidence to have
accrued or have been suffered by the owner after
the date of an uncured notice of alleged
violation has been sent and has been determined
by a final order of judgment of the magistrate
finding that the town has committed a material
breach of this settlement stipulation."
MAYOR VORESS: Did you hear that,
Sam?
MR. DANIELS: I did. I think that
they will object very strenuously to that for
this reason, that that stops their damages all
the time that it takes to get a magistrate's
ruling, and all I wanted to do was to stop their
damages until they gave us notice of the
violation.
MR. ROBERTS: Okay. So what would
you change?
MR. DANIELS: I'd just change it --
MAYOR VORESS: You'd leave this as
it is. Correct?
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. DANIELS: No, I think four has
Ito be changed.
MAYOR VORESS: All right.
MR. RAND: To what?
MR. DANIELS: It would be changed
that all the damages they incur after they've
given a notice of violation. That's the way I
would make it read.
MR. ROBERTS: Your problem is with
the last clause "and has been determined by a
final order"?
MR.
DANIELS:
Right.
MR.
ROBERTS:
Okay.
MR.
DANIELS:
Because
it might take
them a month to
get a hearing
or
something.
MR.
ROBERTS:
Okay.
Well, I'll just
leave the last part
off then.
MR.
DANIELS:
Okay.
Read it without
the last part.
MR. ROBERTS: "Any contractual
damages proven by a preponderance of the evidence
to have been proximally caused by a material
breach of a provision of this settlement
stipulation by the town and that are proven by
the preponderance of the evidence to have accrued
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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or have been suffered by the owner after the date
of an uncured notice of alleged violation has
been sent."
MR. DANIELS: That's good. That's
exactly the way I'd like it to read.
MR. RAND: Okay. So you're changing
the wording.
MR. DANIELS: That gives them no
damages until they give us notice if there's in
fact damages from the date of the notice if
they're correct, and I think that's fair to both
of us.
MR. RAND: Now, you're changing the
wording, Rusty?
MR. ROBERTS: Yes, sir.
MR. RAND: In other words, from what
you had, in other words, after the date of a
final order of judgment, that's out and instead
you're having after the date of an uncured what?
MR. ROBERTS: An uncured notice of
alleged violation has been sent.
MR. RAND: Notice of uncured --
MR. ROBERTS: Uncured notice of
alleged violation.
MR. RAND: Notice of violation has
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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been sent?
MR. ROBERTS: Notice of alleged
violation.
MR. RAND: Of alleged violation has
been sent.
MS. MARIANO: Period?
MR. ROBERTS: Period.
MAYOR VORESS: Okay. And then we'll
change this other section, Sam, to address the
problem in seven of in violation of the statute.
Right? That Rusty read?
MR. ROBERTS: Right.
MR. DANIELS: Rusty, on the tail end
of four, I'd make the word uncured modified
violation rather than notice.
MR. ROBERTS: I'm sorry?
MR. DANIELS: In four at the tail
end there I'd use the word uncured to modify
violation rather than modifying a notice.
MR. ROBERTS: Okay. So you'd say a
notice of uncured alleged violation? Or notice
of alleged violation that is uncured?
MR. DANIELS: Right. That's it.
MR. RAND: A notice of alleged
violation that has been uncured?
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. EYPEL: That is uncured.
MR. AUGENSTEIN: What does that
break down to in English?
MAYOR VORESS: I'll tell you. What
Sam is saying as Rusty is doing that is if we
make a violation -- if the town violates this
agreement, then if they are successful in
sustaining that, then we owe them damages from
the time they told us that we had done -- that we
had done the wrong thing, that we were in
violation of the agreement. That's what it
says.
MR. AUGENSTEIN: Why is the uncured
in there?
MAYOR VORESS: That we didn't fix
it.
MR. RAND: We didn't fix it up as
directed.
MAYOR VORESS: Like we didn't
approve a building permit or something.
MR. RAND: What does uncovered
notice? What does the word uncovered signify?
What do you mean by uncovered?
MR. ROBERTS: Uncured.
MR. RAND: Uncured. Oh, uncured.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. ROBERTS: Your notice of
violation has a period for you to cure it and if
you go in, for instance, they come in and say you
haven't issued me a building permit, you're
violating the agreement, and you come in and say
here's the building permit, then if they still go
on to court and according to this they have to
attach all that in any response, they go to
court, I think they're going to look silly and
the judge is going to say, hey, they cured it.
MAYOR VORESS: That's right.
MR. ROBERTS: And that will prevent
them from going in and say, well, I didn't like
their cure or whatever and, you know, I just want
the damages.
MR. RAND: Right. Rusty, would you
mind repeating once again how it goes after the
date? Suffered by the owner after the date of an
uncured -- how does it read?
MAYOR VORESS: Notice of alleged
violation.
MR. RAND: Notice of alleged
violation has been sent?
MR. ROBERTS: Suffered by the owner
after the date of an -- of a notice of alleged
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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violation, that is uncured, has been sent.
MR. RAND: That is uncured has been
sent. That's what I want. Okay.
MAYOR VORESS: Okay?
MR. RAND: Fine.
MS. MARIANO: How are we changing
17, page 17?
MAYOR VORESS: We're talking page
17, Sam, where the ninety -day statement is made
in conflict with the statute.
MR. DANIELS: Right.
MR. ROBERTS: And Sam had sent me
the language is that after address furnished by
it to the town. The next and only sentence after
that will read, "The notice of alleged violation
must be sent to the alleged violating party
within ninety days of the occurrence of the
alleged violation or no damages shall accrue for
such alleged violation until the notice of
alleged violation is sent."
MR. RAND: Where is that?
MAYOR VORESS: Right here.
MR. AUGENSTEIN: Top of the page.
MR. RAND: Top of the page?
MR. ROBERTS: That's the change.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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That's not in what you have. That's the change.
MAYOR VORESS: Okay.
MR. RAND: Would you mind reading
now the final version of the last sentence,
please. Notice of alleged violation --
MR. ROBERTS: -- must be sent to the
alleged violating party --
MR. RAND: Right.
MR. ROBERTS: -- within ninety
days --
violation --
violation --
violation.
MR. RAND: Right.
MR. ROBERTS: -- of the occurrence --
MR. RAND: Right.
MR. ROBERTS: -- of the alleged
MR. RAND: Right.
MR. ROBERTS: -- or no damages --
MR. RAND: Or no damages, yes.
MR. ROBERTS: -- shall accrue --
MR. RAND: Shall accrue.
MR. ROBERTS: -- for such alleged
MR. RAND: For such alleged
MR. ROBERTS: -- until the notice of
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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alleged violation --
MAYOR VORESS:
MR. ROBERTS:
or has been sent, Dan?
MR. DANIELS:
be is sent.
sent.
sent. Okay.
that?
62
Has been sent.
-- is sent. Is sent
I would think it would
MAYOR VORESS: Is sent.
MR. ROBERTS: Okay.
MR. RAND: Until the notice of such.
MAYOR VORESS: Alleged violation is
MR. RAND: Alleged violation is
I got it.
MAYOR VORESS:
Everybody agree with
MR. AUGENSTEIN: Sounds all right.
MR. RAND: That's all right with me.
MAYOR VORESS: Then we get to
Exhibit 1 which Rusty I think you talked to
earlier. I'll just call and find out where that
piece is and get it sent to us and say we don't
have any photocopy, you sent us your photocopy,
we got something.
MR. ROBERTS: I'd be happy to make
typewritten corrections.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. DANIELS: Rusty, isn't there a
description attached to one of the Judge's
orders?
MR. ROBERTS: Well, as we discussed
before, Sam, I'm not so sure that -- there are a
bunch of different descriptions that went along
with all this property because it was sold in
phases, and the description that appears from the
two appraisers is in my view a proper description
of what they in fact now own. And it also
excludes the Hoffman property, again, as I said
before, which I think is important to do because
he belonged to the RPUD.
MR. DANIELS: Right.
MR. ROBERTS: And I don't want there
to be any argument that if this is an amended
RPUD that Mr. Hoffman is going to be a part of
this deal.
MR. DANIELS: Right.
MR. RAND: May I, since Rusty
mentioned it, because that's been a cause of
concern to me, let's assume again for the sake of
hypothesis that we come to an agreement with RTC
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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in this connection. What exposure do we have as
far as the Hoffmans on their seven acres? Can
they use this as a precedent or any sort of
opening for them to do something that's not going
to be to our liking? Or are they subject to the
existing zoning regulations and density? Suppose
they want to come in tomorrow and ask for a
permit to build. Are there going to be any
restrictions on the Hoffmans or will it be in
accordance with existing zoning regulations?
MR. ROBERTS: If they filed a
separate suit against the town which they
dismissed --
MR. RAND: Right.
MR. ROBERTS: -- and which the
statute of limitations has long since run on that
to make the same complaints, the concern I had in
this case is they're out except if they can come
back in through the back door somewhere else.
They tried to intervene in this lawsuit and the
judge denied it. And there was no appeal of
that. So that's -- I'm comfortable they're out
as we sit here today. My concern was this
agreement because it -- and the judgment, quite
frankly, too, the agreement says that the RPUD
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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should be reinstated. Okay? And that south
seven acres was always a part of the RPUD.
Okay? And it was my concern that even though
they have been cleaned out by the Court, so to
speak, if they came back and said the RPUD now
exists and it covers the property and the
property includes my property, then I'm back to,
you know, twenty units an acre on this property.
Okay? So I didn't want to breathe vitality so
that's why I think it's so very important. We
went over this already with the language in the
first part of this agreement and what it
includes. And they had the argument, well, he
has some benefit from this because of easements
and all the stuff like that. And that's where we
got rid of the word benefit, but clearly the
property excludes it and that's why that property
description, if you'll see down at the bottom,
says this does not include the south seven acres,
the south three hundred feet. And that's the
Hoffman parcel.
MR. RAND: So by the inclusion of
such phraseology, you feel then that there's no
way that the Hoffmans can use this as an opening
to stick it to us and ask us to permit them to do
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. ROBERTS: Absolutely. And
that's also the other part, too, the fact that
you want this to be an amended RPUD to take the
place of the RPUD, we went through this
discussion, too. They wanted either the RPUD or
this, and, again, that's what my feeling was if
they got the RPUD back they could make this
argument again, but if in fact it's an amendment
to the RPUD solely on these parameters, okay,
that applies only to this property because it
says 427 units. So, you know --
MAYOR VORESS: Well, they say they
have the handwritten corrections. I'll just ask
them to fax them down to us. That's all we need.
MS. MARIANO: Mayor, I just want to
make one comment. I can tell you I talked to the
Hoffmans Friday, as a matter of fact, and I can
tell you exactly what Rusty said, and I have not
talked to him about this, exactly what he said is
their position. If the RPUD breathes life, they
feel that they are entitled to their rights under
the RPUD.
MR. RAND: But that's not going to
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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be the case.
MS. MARIANO: Right. I'm just
saying if it breathes life, that's what their
position is.
MR. RAND: Okay.
MAYOR VORESS: All right. We're now
on Exhibit B, development parameters. Paragraph
2A I think we all agree we just add that language
back on the heighth of the limitations exclusive
of roof top structures such as HVAC.
MR. RAND: That was in there
originally. Right?
MAYOR VORESS: Yes.
MR. RAND: And Mrs. Mariano
mentioned to us that this is quite normal, that
we have that already.
MAYOR VORESS: So you'll add that to
it.
MR. ROBERTS: It's already been
added.
MAYOR VORESS: Okay. Then next we
get down to paragraph 2G which is the major area
and that has to do with floor space. One thing
that Jay said to me was that a developer or an
architect or someone of that ilk had been in and
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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said to him, gee, he wasn't sure they could build
427 units in the allowed buildings if they had to
maintain 1,600 feet for the two bedrooms. He had
no problem with the one bedrooms. As a matter of
fact, they'd even drop it out and they had no
problem with the three bedrooms which are minimum
1,800, if I recall. And he said can you look at
this issue to see if there is some way if we
cannot get -- whoever buys the property and wants
to develop it, if they could have some of the
units of the two bedrooms smaller than that to be
able to build 427. I said, well, gee, I don't
know. And then the town manager reminded me of a
letter that Jay had sent us, specifically a
letter to me faxed down here on March 31st which
in the second paragraph said, and this is when he
had originally talked about it, "In the current
draft I'm proposing increased heighth and
decreasing minimum square footage along with some
minor modifications." No, wait a minute. Excuse
me. Let me add the sentence before that. "I
have been advised that the combination of heighth
limitations and minimum square footage
requirements while technically feasible could
result in a development that is less aesthetic
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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So I said to Jay on the phone, Jay,
you have a note faxed to us here in the town on
the 31st saying that you can get those numbers in
with the minimum square footage. And he said,
well, we're just worried about it. He said
that's what I'm concerned about. He said, I
believe that it is to the developer's advantage
to put as large a units in as possible because
they sell for more money. He said one program he
had seen by an architect had very few one -bedroom
units in, that the two-bedroom units most of them
were 1,600 square feet minimum. There were a few
that were 14 and the three bedrooms were over
18. So he said I'm just asking if you would give
us some degree of freedom here.
So this report that we have that I
think Tom Feeney wrote suggests one bedroom of
1,200, two bedrooms at 14 and three bedrooms at
1,600. So that's the background I have about
this request that's here in this document.
MR. RAND: You're going back to 12,
14 and 16 which is what we turned down.
MR. AUGENSTEIN: That's right.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MS. MARIANO: I'd like to make a
statement with regard to this issue. I've been
relatively quiet on most of the issues, but this
is one that I'd like to address specifically.
The RTC is attempting to get you to
allow the decrease in the size of the units. The
unit sizes have been in place since 1991
negotiations without question. The parameters
were drawn with the help of a developer who once
had a stake in this property, and there is no
valid reason why they can't be built as drawn
Mr. Hambric's undated letter to the
Mayor with a fax dated March 31 admits the
technical feasibility of the unit sizes and
building parameters. Why is the RTC now asking
for smaller units with such specificity when
there is absolutely no technical reason to do
so? I would suspect that they already have a
buyer who they plan to flip the property to who
will build a product which will undermine the
character and integrity of the remaining
properties.
The past planning boards and
commissions of this town have worked hard to
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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achieve the current character of this town and
now we're being asked to take over ten percent of
the housing units in town and allow them to be
built substandard in size to our current code. I
don't think it is fair for the RTC to ask us to
consider that. We have in the past been able to
maintain the high quality of housing available
here because the cost of land assured nothing
less than a quality structure. However, the RTC
can and has, we've all seen it nationwide for
several years, taken substantial losses and has
sold property for ten cents on the dollar and in
their mandate to close up shop the potential is
great that they will do the same here regardless
of what they may tell us and a purchaser who
doesn't have the full value of the land to recoup
will find it very attractive not to be under any
pressure to build a quality product in order to
make a good profit.
In the past several months I have
watched the Commission become amenable to just
about each and every thing the RTC has asked for,
but in this case I urge you to stand firm as this
doesn't relate to money which our residents may
be faced with paying for anywhere from ten to
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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thirty years but relates to the character of the
housing in this town which we may be faced with
forever. The highest financial potential to our
residents on a current agreement is $65.84 a year
at its peak and $50 at its low point for twenty
years per $100,000 of assessible value. The
highest financial potential if we lose this
lawsuit completely, which is certainly a
possibility although may not be a probability, is
$180 a year at peak and $124 at its low point for
thirty years.
You need to weigh the risks of the
difference in those amounts with the potential
risk of having a housing project which may affect
the value of all the remaining properties in town
forever. Maybe the reasons they're being so
adamant on the cooperation and remedy section is
because they know we're about to face a
development which would not be consistent with
what we've been successful in achieving in
Highland Beach.
Due to these reasons I urge you not
to back down on any of the building parameters.
Thank you.
MAYOR VORESS: All right. Now, tell
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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me the basis of these numbers that you have
here.
MS. MARIANO: The basis of the
numbers?
73
MAYOR VORESS: Yes.
MS. MARIANO: You have been provided
with the numbers from Stiffel Nicholas both on
having to come up with seventeen million, based
on our coming up with the first three ourselves,
and they're based on the numbers coming from
Stiffel Nicholas that you have based on the
twenty-year issue that Commissioner Rand and I
got from them.
MAYOR VORESS: And this is for how
many residential units?
MS. MARIANO: This is not based on
residential -- which numbers are you talking
about now?
MAYOR VORESS: You said it was going
to be $180 a year per resident.
MS. MARIANO: That's based on
assessed value. I didn't say that. I said based
on each hundred dollars of assessible value. You
can't relate amounts of money --
MAYOR VORESS: I thought you said
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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per resident, $180 per year per hundred thousand
dollars of assessed value?
MS. MARIANO: Yes, that's at the
highest peak of if we had to bond 17 million. So
that's the -- we're talking a lot of bucks if we
lose.
MAYOR VORESS: Well, twenty million
dollars.
MS. MARIANO: Absolutely.
MAYOR VORESS: Let me ask one other
question. How many of our units in town, two-
bedroom living units in town are less than 1,600
square feet? Do we have 1,400 square foot units
in town?
MS. MARIANO: We have some older
buildings that certainly have smaller units.
What I'm saying is that we're talking about ten
percent of the units, and I think the planning
boards have done a great job in achieving the
characteristics we have today. That's what I'm
saying. The Commission certainly is at liberty
to do whatever they find they feel is in the best
interests of the town. That is my recommendation
as the manager.
MAYOR VORESS: Ten percent of what
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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units? I'm not sure I understand.
MS. MARIANO: We have about 3,250 to
3,300 units total in town. We are talking about
427 units. That's over ten percent of our
housing market. And they're asking for a
reduction in one, two and three bedroom units.
MAYOR VORESS: They're really only
asking for a reduction -- this says three but
they were really -- Jay said they were only
asking for a reduction in the two-bedroom units.
MS. MARIANO: But that memo that we
got today was subsequent to the time he told you
that.
MAYOR VORESS: Yes.
MS. MARIANO: And this is what we
got from them in writing.
MAYOR VORESS: Absolutely.
MS. MARIANO: Again, we get
something different from them verbally than we
get in writing.
MAYOR VORESS: I agree with that.
I'm just trying to understand your numbers.
MS. MARIANO: Okay.
MR. RAND: Mary, I understand what
you're trying to say as far as the reduction of
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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size could have a detrimental effect on the
valuation of adjacent properties and so forth,
but I take exception to what I think you're
saying is that you're prepared to run the risk of
taking a twenty million dollar judgment in order
to maintain our posture as far as the size of the
apartments are concerned. I think that's too big
of a risk to take, and obviously that's something
that we as commissioners have to decide, but I
don't think that that's worth the risk. But I
don't disagree with you as far as the size of the
units being a possible cause of problem for us.
I don't disagree that they more than likely have
a buyer waiting in the wings, and that's probably
why we have all these disagreements as far as the
various conditions of this stipulation agreement,
but I personally don't like the idea of reducing
the square footage. I think judging from the
letters that we received and, as you correctly
pointed out, this has never been a bone of
contention. Now all of a sudden they're coming
up with a request -- this copy I have here talks
about 1,200, 1,400 and 1,600.
MAYOR VORESS: Right.
MR. RAND: As opposed to 14, 16 and
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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18 that we have in our agreement.
MAYOR VORESS: Right.
MR. RAND: Now, are they asking
then -- are they going to eliminate the one -
bedroom apartment? In other words, they're
saying they're going to eliminate the one bedroom
or are they still going to keep the one bedroom?
MS. MARIANO: Well, yesterday's
conversation was different than today's memo.
And yesterday at the request of the Mayor I did
call Mr. Coleman, one of our developers in town,
to talk about just how much someone could build a
building for to look at the cost, and he told me
that in direct costs you could build a building
for $30 a square foot which on a 1,400 unit would
be $42,000 I guess plus whatever costs of the
land. And in our discussion with regard to that,
certainly I had to give him a little information
as to why I needed the information, and I can
tell you now that he's going to be here and
thinks that most of the developers are going to
be very unhappy because of the fact that they
feel their property values will go down if the
town really cuts back from what we currently
have.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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The other issue with the one
bedrooms, and I mentioned this to all of you
individually, is that he and every developer I
talked to feel that to eliminate them really
takes out the flexibility for any other purchaser
to come in because larger one -bedroom units serve
a purpose in a design of a building because
sometimes if you have mechanical structures or
elevator shafts or other things like that the
only thing you can fit is a real nice one -bedroom
apartment and do the best you can. Certainly
they're not up at top priority for resales, but
they serve a purpose in there, and to take that
out I think would be damaging to any future
purchaser because you're limiting their
flexibility.
MR. RAND: Okay. But whether we
have 1,200, 1,400, whatever the size may be, the
fact of the matter is you're talking of 427 units
which means they can build 427 one -bedroom
apartments or 427 two-bedroom apartments or 427
three-bedroom apartments. I don't agree with
them that they wouldn't have sufficient room to
build the apartments with the square footage that
we are maintaining because they could have --
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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they can build out width wise, if you will,
rather than have three separate buildings, they
can have them contiguous to each other in which
case they can go all the way across the 17 acres
and build 427 units very easily as far as I'm
concerned. It may not be aesthetically palatable
to us, but the fact is that they do have the
technical capability of building 427, so I don't
believe that that is an issue. To me the only
issue is that you're talking about 427 units
which means 854 people and 400 automobiles which
will have a tremendous impact on the
infrastructure of this town. I don't disagree
with that.
But I honestly and truthfully feel
very strongly about maintaining a status quo on
this. I agree. But if they're willing to
eliminate the one -bedroom apartments and possibly
compromise on the two bedroom to the extent of
say twenty percent or twenty-five percent can be
1,400 feet and everything else has to be 1,600
feet and stand pat on everything else, that might
be a compromise, although I would prefer frankly
to come back, if all of us agree, and saying that
we're not prepared to change the square footage
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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on the apartments. They have to be to the 14,
16, and 1,800, but depending on what the reaction
would be and rather than have us meet again, I
would like to suggest that possibly for the
two-bedroom apartment we say we'll let you build
two-bedroom apartments to the extent of 25
percent.
MR. AUGENSTEIN: commissioner Rand,
25 percent of what?
MR. EYPEL: 427.
MR. RAND: Of the 427.
MR. AUGENSTEIN: Of the 427?
MAYOR VORESS: No, of the two
bedroom.
MR. RAND: Two-bedroom apartments,
twenty-five percent of whatever two-bedroom
apartments.
MR. AUGENSTEIN: There's no specific
figure you can't have it. They can build more
two bedrooms than we can imagine and make just
the corner units three and get a large number of
two bedrooms.
MR. RAND: No, what I'm saying )Dave,
is as a compromise I'm agreeing with Mary that we
go back and say we want 14, 16, and 1,800.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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1,800. Okay? That's what was in the agreement.
And we maintain the stance. That's what I'm
suggesting. However, as a fallback provision in
the event that there is a problem with that and
it might be a deal breaker, I don't want to lose
the opportunity. We've come this far, I don't
want to lose it because of two hundred square
foot, let's say, on one type of apartment, so I'm
suggesting that maybe a compromise would be that
whatever number of two-bedroom apartments they
want to build, no more than twenty-five percent
of that number would be 1,400 square feet as
I'm suggesting that only as a
fallback. I would prefer, I'd prefer to stick to
these requirements. That's what I'd like to do.
But I'm suggesting that as a fallback in order to
prevent us from meeting again that maybe we would
agree as a compromise only as a backup position
if it becomes a deal breaker that we go for
twenty-five percent of whatever number of two-
bedroom apartments they want to build is only
limited to 1,400.
MR. AUGENSTEIN: You mentioned just
a moment ago that the responsibility is to an
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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adjacent building, and I disagree that it's just
an adjacent building. I think the responsibility
is to everyone who lives in town. Everyone is
going to be affected by the size of these
apartments.
MR. RAND: I didn't say otherwise,
Dave.
MR. AUGENSTEIN: Well, you said
adjacent buildings.
MR. RAND: What do you mean
adjacent? No, I said that they could build
instead of three separate buildings, they could
build one massive building all along the width of
the property. I didn't say it wouldn't affect
the other properties. On the contrary.
MR. AUGENSTEIN: If I recall
correctly when we had that meeting which lasted
into the night --
MR. RAND: Yes.
MR. AUGENSTEIN: -- you yourself
made the stipulation that any deviation from the
14, 16 and 18 would be a deal breaker.
MR. RAND: Yes, I'm saying the same
thing.
MR. AUGENSTEIN: I'm still prepared
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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to go along with that. Okay?
MR. RAND: But I'm saying in the
event it is a deal breaker, would you be willing
to consider as a compromise limiting the number
of two-bedroom apartments to twenty-five percent
up to the number of two-bedroom apartments --
MR. AUGENSTEIN: I'd like to know
how many two bedrooms specifically would be
built.
MR. RAND: Bill I think wants to say
something.
MAYOR VORESS: I'll get to that.
Have you finished this conversation? Let me let
Bill get in.
MR. AUGENSTEIN: Fine.
VICE -MAYOR PAUL: I need to back up
a little bit. Let's go to the first agreement
that this town came to where your motion was that
we would go to the 5.5 and our language.
MR. RAND: Correct.
VICE -MAYOR PAUL: All right. That
language has now been changed and changed so it
is becoming their language. Now, I feel that the
Commission gave in to the 5.5 figure because
those of you in favor of it were scared, felt
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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that it was a deal breaker and you were not
willing to gamble the outcome against a possible
twenty million dollar loss. I can well
appreciate that. We have also used from time
to -- numerous times the term Russian roulette.
I don't think that's quite proper here because
you're figuring on Russian roulette, that gives
us pretty good odds, very good odds. You got one
round in the chamber that gives us eighty percent
in our favor. So that I feel we went on the
money deal because we felt that we were backed up
against the wall and if we did not give in to the
money we had a deal breaker.
Now, we're right here and we looked
at -- in arriving at the money you were looking
at the worst case scenario. All right? Now,
let's look at this building, the units issue.
This, as we have all agreed, the 14, 16 and 18
has been in there without question since 1991 at
which time I believe there was a man who was -- I
can't pull up his name -- anyway that's beside
the point. They've been in there without
question. Now we come down to this point and
they're trying to change it. I feel we have to
look at the worst case scenario here which, as
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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was stated, getting something put up with the
smaller size unit, not in keeping with the trend
that this town has been going to over the years.
You're worried again that you would
get to the point where you're afraid that it's
going to break the deal. Don't we at one point
have to stand our ground, draw a so-called line
in the sand? If we're going to back down on
every little thing because that might be a deal
breaker, we have wasted since 1991. If we bow
down on the square footage which we put in as a
protection, we're dealing here with zoning again
now that we're going to put in place for ten
years or ten years and nine months, whatever it
is this turns out to be, and I just feel we
cannot cave on this. You've got the whole -- the
whole character of the town is involved here.
MR. RAND: All right, Bill. I'm
sorry. Are you finished?
MAYOR VORESS: Wait a minute. Let
Bill have a chance to finish.
VICE -MAYOR PAUL: For the time
being. Again, you looked at the worst case
scenario and you caved in on the money. Now, I
think we've got to look at the worst case
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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scenario on the zoning thing. The money is going
to be gone. Once this is settled that's only
going to come to the front once a year when the
tax bill arrives. Whatever goes on that property
we're going to look at day after day after day,
and since we have -- you talk about a crap shoot
on the possible outcome of the case. We have
nothing to go by under what ideas might go into
that place, so we have to protect ourselves to
the utmost, and one of those protections is
keeping the size, present size of the units at
14, 16 and 18. That's all for right now.
MR. AUGENSTEIN: May I add something
to that?
MAYOR VORESS: No, just a minute.
I'm still chairman. Arthur Eypel hasn't had a
chance to speak.
MR. EYPEL: I would defer to
commissioner Rand because I feel his comments are
appropriate right now and then I'd like to make
my statement.
MAYOR VORESS: All right. Fine.
MR. RAND: I'd like to answer
Vice -Mayor Paul's comments. It is true that a
recommendation was made which was unanimously
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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approved that we would cave in, as you put it, to
the five and a half million dollar monetary
figure. The majority decision, excuse me. And
that it was a condition that it would be based on
the language that we had in the draft proposal at
that time. But we are, as a result of several
meetings and today in particular, we are not
backing down as far as the remedies are
concerned. We're not backing down as far as how
the payments are to be made. So we're not caving
in to everything, Bill, as you are suggesting.
And I'm not saying that we should cave in on
this. I'm saying I agree with Mrs. Mariano's
comments that we should stick to the floor space
requirement. I'm just asking in the event that
this is a deal breaker, would you be willing to
consider limiting the two-bedroom apartments to
twenty-five percent of whatever number they
intend to build to the 1,400 square feet. That's
all I'm suggesting. But I would like to see us
sticking to our guns. I'm just asking whether or
not you would consider a fallback provision. If
the majority of us say it's this or nothing, so
be it. I'm just making a suggestion. That's all
I'm doing.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MAYOR VORESS: Before Arthur gets in
let me add one just piece of information to all
of us. Jay told me, even though it's not
reflected in this, that he is only speaking about
the two-bedroom units. He wants -- he agrees
with the 1,400 and the 1,800. He is only
speaking about the two-bedroom units. So even
though this document does not say that, that is
not consistent with what he told me.
MR. RAND: Okay. Now, the other
point Mary mentioned that she spoke with Phil
Coleman about the cost of construction being $30
a square foot, so conceivably with a 1,400 square
foot unit you're talking of $42,000 and a 1,600
48,000, but that does not include the value of
the land that they would have to pay for which I
understand would be considerably more. However,
noting that the RTC could conceivably in the
interest of getting rid of this deal offer this
property for a ridiculous value, then it doesn't
make a damn bit of difference what the square
footage is, and I don't think that that is a
determining factor. Because if they give away
this property, so to speak, you're still going to
be faced with cheap apartments which are going to
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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undermine the assessed or the market value of all
the residents in the town. Okay? So that's not
a material bearing.
MAYOR VORESS: Okay. Now, back to
Arthur. He had the floor.
MR. EYPEL: Well, I'd just like to
say that quite honestly I feel that the
parameters that they originally set up were there
for a reason. And considering Commissioner
Rand's compromise which would be to allow
twenty-five percent of the proposed two-bedroom
apartments to be of one size, we don't know how
many two-bedroom apartments they would propose to
build, but I personally don't think that if their
intent was to build smaller, less expensive
apartments, I don't feel that by us conceding the
twenty-five percent it will allow them enough
levity to accomplish any less expensive project.
I think they would -- I think that your
concession is well -conceived, Commissioner Rand,
but I'm not sure that it would have a great
effect on standing firm with the 14, 16 and 18.
If we give them twenty-five percent of the units
at a smaller size! I'm not sure we're giving them
much more than a concession in verbiage really.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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M
MR. RAND: They may say it's not
Again, but I'm not suggesting,
MR. EYPEL: No, I understand that.
MR. RAND: -- that we tell them but
if this is not agreeable we're prepared to go
twenty-five percent. No, that would be stupid.
What I'm saying is that this is our position and
judging by the reaction, okay, we sleep on it
overnight and then come back and say, well, how
about twenty-five percent of the two-bedroom
apartments. I'm not suggesting that we give them
any sort of clue that we're prepared to negotiate
this further. On the contrary, I think the
message should be, gentlemen, we've discussed
this at length, this has always been the
condition of our discussions, 14, 16 and 18,
we're not prepared to bend. We're sorry. We've
bowed to every other request that you've made.
It's been sort of a one-sided affair, if you
will, on the monetary aspects and other
consideration remedies and God knows whatever
else, this is something that we want.
MR. EYPEL: I would agree with that,
Commissioner, and I think to repeat some of the
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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91
words that were given to us by one of our counsel
on numerous occasions, I think this is an example
of where we're being asked to make concession
after concession after concession, and, Mayor, I
feel that our original agreement was quite fair,
quite frankly, as far as the size of the units
was concerned.
MAYOR VORESS: I have no problem in
trying to do that. Commissioner Augenstein.
MR. AUGENSTEIN: There is a point
we're all missing. We're giving them the right
to build 427. There's no way -- they can build
less if they want to build bigger apartments.
MAYOR VORESS: Absolutely.
MR. AUGENSTEIN: That's one thing.
Secondly, I don't agree that building smaller
apartments is going to add ambiguity to the town
and the character of the town. Bigger apartments
will bring better people.
MR. RAND: Yeah, but, Dave, if they
decide to build 427 one -bedroom apartments, what
are you going to do then? Do you think that's
not going to have any effect?
MR. AUGENSTEIN: That's building
suicide. To sell 427 single families is a
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. ROBERTS: Just have one thing,
one introspective thought is that -- and it seems
like there's disagreement, but this particular
agreement from its inception in January started
off with there being absolutely no building
controls and 427 units and the payment of money,
and there has been several concerns, I think, on
the part of the RTC about that money being paid
as soon as possible and not wanting it being paid
over a term of years, and I've heard the comments
made both in this room by them and outside the
room that they want all that protection because
they fear of a default by the town.
And I think that it's been somewhat
of a unanimous position of the commissioners here
that we're not going to default, and I guess I
always try to look at agreements and positions of
my opponent as to why, why they're doing that.
And the thought occurs to me that possibly why
they're doing that is because they have a
specific buyer waiting to buy this who is going
to build cheap units and there's going to be such
an uproar in this town that the town is going to
default on the agreement. Okay? And I think
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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that's why they're concerned about payment is
because they're ready to put in here, whatever
you want to classify it, sell it for whatever you
want to and be able to build whatever they want
to. They've got the money that RTC has into it,
the five and a half million. They've paid four
to Paul Hoffman. They have a million and a half
to their lawyers. They're out what they put into
it and now it's just gravy. They can do whatever
they want to.
And if they sell it to some guy for
a million or two million dollars and he comes in
there and writes a note and he wants the
assurance that when he brings in these small
affordable housing units to a town that doesn't
have the infrastructure -- if you remember one of
the original demands was you pay for all the
infrastructure that you don't have and things
like that, and you have to remember, and I think
they're probably harking back to the case of
Wheeler versus Pleasant Grove in the Eleventh
Circuit Court of Appeals starting back in 1981,
and four times it went to the Eleventh Circuit
because exactly what the town of Pleasant Grove
found out that what was actually going to be
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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built was a housing project that they in Northern
Alabama were not too enamored with and so
therefore they jerked around the developer,
changed his zoning and the Eleventh Circuit
eventually said you pay damages for what you've
done in this case, and I think that's part and
parcel to the fact of them wanting money right
away, wanting it assured and guaranteed and also
wanting to have a remedy provision to this guy
down the road so he can go ahead and build this
and say if you people screw around with me in any
effect because I'm building something this town
is in uproar over, I'm going to sue you and I'm
going to have a large law firm of thousands of
lawyers who are going to charge and you're going
to pay it and we're going to go in front of a
federal judge and I'm going to show this, and,
you know, so I get to build what I want and if I
don't and you don't like it you can't screw with
me because I'll hit you with another twenty
million dollars. And nothing in this agreement
will protect you against that happening.
Nothing.
VICE -MAYOR PAUL: Other than the
size of the units. Right?
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. ROBERTS: Absolutely. The size
of the units, but I mean that whole agreement is
structured to allow something like this to
MAYOR VORESS: Time out. Time out.
Sam, do you have any comments to make to us?
MR. DANIELS: Well, I feel that this
is largely a political decision. It's really not
a lawyer's job. But I feel very strongly like
Mary Ann does and also John in his original
remarks and Arthur, I think you're losing the
character of the town and you could build a
building that you'll look at for fifty years to
remind you of this lawsuit. I'd rather you build
under the parameters that are applicable to
everyone. It just makes a lot of sense to me.
MAYOR VORESS: Okay. Bill.
VICE -MAYOR PAUL: Going back, other
than Arthur, I am the senior resident of this
town sitting here. I can still see today the
lady who sold us our unit pointing out the
Ambassador South two buildings and saying to me
those are the last two highrises that can be
built here. When I sat on my porch at first I
couldn't see Aberdeen Arms, it was hidden by the
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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trees. We can see the red light at the top of
Admiral's Walk. And that was the extent around
US. And as you know, I was on this commission
since 1983 at which time things were turning up
and there was some building going on in town
which I was -- that commission was accused of
permitting this. This was stuff that was allowed
by agreements by the Boca High RPUD, things like
that, before I came along. And I don't want to
put us in a position now, that's why I'm so -- I
have to be so firm that we need to protect the
integrity of this town and about the only way
we've got to do it with this is with the square
footage of the units.
I can stand up -- as you know, I
voted against the amount of money given, and so
in effect you're saying I'm gambling five to
twenty million. I feel that personally I can
stand up and face my position to the citizens of
this town much more easily than I can if I have
to explain to them why I allowed or went along
with trying to lower the quality of the buildings
in this town.
I go a little farther than Rusty
does, in fact, what could be, we're speculating,
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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I also have thought that RTC is trying to protect
themselves against these terrible people in
Highland Beach who are not going to pay them
because they feel they're going to have to
finance the guy that buys the land and when he
finds out he can't do it they're speculative and
they're going to come back to us again.
MAYOR VORESS: I think we're
straying from the point we're trying to deal with
MR. RAND: Let's take a vote.
MAYOR VORESS: I think we have two
issues here. One, should we stick with the 14,
16 and 18 or should we stick with the 14, 16 and
18 and if they turn it off then are we prepared
without a meeting to give them, if they give us a
denial, to give us a reduction of twenty-five
percent. Is that --
MR. RAND: I think you have to do it
separately. I think in all fairness, I think you
have to have a vote on whether you want to stick
to this building parameter, 14, 16 and 18, and
depending on what that decision is, then a second
motion whether you are willing to consider a
compromise.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MAYOR VORESS: All right. I'm
just saying those are the two issues that are on
the --
MR. RAND: But they should be dealt
with or voted upon separately.
MAYOR VORESS: Well, then let's get
a reading of the Commission relative to staying
with the 14, 16 and 18.
MR. RAND: I make a motion that we
stick to the parameters indicated since the
beginning.
MAYOR VORESS: 14, 16 and 18.
Somebody want to second that?
VICE -MAYOR PAUL: I'll second it.
MAYOR VORESS: Okay. Let's have a
vote. I think we've had enough discussion.
MR. AUGENSTEIN: I'm for it. Aye.
MAYOR VORESS: Arthur?
MR. EYPEL: Aye.
VICE -MAYOR PAUL: Aye.
MAYOR VORESS: Aye.
MR. RAND: Aye.
MAYOR VORESS: Now, do you want to
address an alternative?
VICE -MAYOR PAUL: May I comment
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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f irst?
MAYOR VORESS: Sure.
VICE -MAYOR PAUL: If we go into
alternatives now, we're giving our -- we're
showing our weakness right then and there that
we're not willing to -- we made a decision just
now to stick to this and in the next breath we'll
turn around and we're going to say, well, if they
don't it -- it shows I mean --
MAYOR VORESS: We can always have
another executive meeting. I have no problem
with that.
MR. RAND: Then let's forget the
second motion.
MAYOR VORESS: Okay. So that gets
us through the list of issues that we have from
the RTC.
MR. RAND: Correct.
MAYOR VORESS: I have a couple of
questions then, Rusty. One, how long will it
take you to get these modifications made in the
documents consistent with these discussions that
the Town Commission has had?
MR. ROBERTS: Probably about twenty
minutes.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd. Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MAYOR VORESS: All right.
MR. RAND: That long?
MR. ROBERTS: Well, I got to read
your chicken scratch, John. And I got to make
sure that it's in perfect legal form that my
colleague over here is well -versed in.
MAYOR VORESS: I'm trying to
understand the --
MR. ROBERTS: You know, and I don't
have the typos but I presume that you -- you want
me to send it out without the typos or you want
to wait for the typos?
MAYOR VORESS: I would -- it's four
o'clock. I can call and get that sent here, but
I would think that we ought to send it back
without. Does everybody agree with that?
MR. AUGENSTEIN: That's okay with
me.
MR. RAND: That's all right with me.
MAYOR VORESS: We're going to fix
the typos up whatever they are.
MR. ROBERTS: Well, I mean I think
we can certainly just address and say if you have
typographical errors we'd be happy to --
MAYOR VORESS: We will fix them.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. RAND: Show us where it is.
MR. ROBERTS: But as to changing the
legal description, we're sticking with ours.
MAYOR VORESS: We'll fix them.
MR. RAND: I think that Rusty
suggests if you send it up to them with the
revisions that we've made that as far as the
other exhibit is concerned if you show us where
the typographical errors are, we'd be willing to
consider changing them but not the essence of the
exhibit.
MR. ROBERTS: Sure.
MAYOR VORESS: A typographical error
to me in essence it's just a mistake. So we will
agree, Rusty, that you can send -- I don't think
you have to send the whole document up, do you,
just those --
go that way.
sense.
MR. ROBERTS: I would prefer that it
MAYOR VORESS: As a whole document?
MR. ROBERTS: Yes, sir.
MAYOR VORESS: Okay.
MR. RAND: I think that makes more
MR. AUGENSTEIN: May I say
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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102
something?
MAYOR VORESS: Sure.
MR. AUGENSTEIN: I think the
repercussions of giving away the smaller units
will have a more lasting effect on this town than
losing the case. I would much rather see us lose
the case and keep the town the way it is than to
have the sense of this town just lambasting this
commission for what we've done.
MR. RAND: We've already agreed on
that.
MR. AUGENSTEIN: I just wanted --
MR. RAND: I'd like to ask a
question with the attorneys here and with Mrs.
Mariano. Assuming that they agree to this, what
are the next steps? What do we have to do in
order to bring this about to realization?
MS. MARIANO: You want me to answer
that?
MR. ROBERTS: Sure.
MS. MARIANO: Under the code under
Section 14.1, just like in the Milani issue, we
need to prepare and it has already been prepared
because the town attorney prepared it back in
January, so you need a resolution authorizing the
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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103
settlement, you need an addendum to the
resolution that states what can be built on that
property currently. You know, it's like the same
thing we had with Miss Milani. All the paperwork
is ready to go. We need to advertise in the
paper and I think the town attorney feels it
appropriate that we advertise at least two to
three days in advance of a meeting, so we need to
advertise the meeting and just have a meeting and
adopt a resolution.
MR. RAND: Okay. Well, what about
now the amendment to the budget? Doesn't that
also have to come into play?
MS. MARIANO: Well, we can't start
that process until we have something that they
sign.
MR. RAND: I know. I understand
that. But assuming that it's signed and we have
the public hearing and so forth, then what's the
next step after that? And what is the time
frame?
MS. MARIANO: Mr. Schoech has those
answers right now.
MR. SCHOECH: This morning I
researched the issue of the budget amendment,
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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104
and, as I had previously indicated to you, the
statute does provide that -- let me just read you
the subsection, the one sentence, it's very
short. "It is unlawful for any officer of a
municipal government to draw money from the
treasury except in pursuance of appropriation
made by law." And that's subsection three of
Chapter 166.241. What that states is that prior
to making any payments you must have budgeted
those moneys. Right now, as I understand it,
those moneys are in a reserve or a contingency
fund so you have to by a resolution approve a
budget amendment --
MS. MARIANO: By an ordinance.
MR. SCHOECH: By ordinance by your
charter?
MS. MARIANO: Yes.
MR. SCHOECH: By ordinance approve
an amendment to your budget to bring them from
the contingency to a line item for the settlement
payment. Now, because it's an ordinance,
ordinances require two readings.
MR. RAND: Three readings.
MAYOR VORESS: Three readings.
Three.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. SCHOECH: Is this the town
charter?
105
MS. MARIANO: No, two readings.
It's only been two readings for years.
MR. SCHOECH: The state law is two
readings.
MS. MARIANO: Two readings. It used
to be three years ago. We only have two
readings.
MR. SCHOECH: State law is two
unless your charter speaks differently.
MAYOR VORESS: When we had the
ordinance, we had the first reading of an
ordinance, we addressed it at the workshop
meeting the next time and then we had the second
reading.
MS. MARIANO: Workshop is not
considered a reading.
MAYOR VORESS: Okay. But it takes
two meetings after you initially read it.
MR. SCHOECH: Okay. But there's
only two readings. That may be the case if you
have a workshop in between.
MAYOR VORESS: Yes, there's a
workshop reading.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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106
MS. MARIANO: Yes, but that's not
required. We do that because we have a
workshop. We can do this quicker than that. We
can do this quicker because what our charter
says -- what you have to do is you have to
advertise it under our charter fourteen days
before it's passed.
MR. SCHOECH: That's correct.
MS. MARIANO: So you can read it
once and then you need to advertise it and then
you can read it again within about fifteen to
twenty days, I guess, depending on when your ad
is, and adopt it. There's no legal requirement
to have a third meeting or a workshop.
MAYOR VORESS: All right. So you're
saying we can do it in three weeks.
MR. RAND: That's the point I was
making.
MR. SCHOECH: That's correct.
MS. MARIANO: Based on the public
hearing issue. If we need to have one --
MR. SCHOECH: There is no public
hearing requirement.
MS. MARIANO: Then we can do it in
three weeks.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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107
MR. SCHOECH: There is a public --
and this is what is confusing, and you may have
heard that there was a need for a public
hearing. In the section dealing with counties
under certain limited circumstances they must
have a public hearing, but there is no public
hearing requirement for municipalities. If it is
by ordinance, it's simply first reading,
advertising, second reading.
MS. MARIANO: Okay.
MR. SCHOECH: So you're talking two
meetings then necessary. If it's your policy to
hold a workshop, that's a decision that you have
to make.
MR. RAND: Now, Charlie, I would
like to ask you and Mrs. Mariano a question
solely to satisfy my own personal curiosity and
information. You make reference to the fact that
before you can disburse any funds you have to
budget it. Is that correct?
MR. SCHOECH: That's correct.
MR. RAND: Okay. Then will Mrs.
Mariano please explain to me since we have
excesses over our budget as I have seen as of
March 31, do you have any hearings to account for
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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108
MS. MARIANO: No, because those
aren't excesses, they're individualized in
departments, but the overall budget of the town
has not been overspent.
MR. RAND: But you have spent more
money than you have revenues or budgeted for, so
doesn't the same reasoning apply?
MS. MARIANO: No, not in the
department. That's why we have budgetary
transfers at one of the last meetings of every
year because we transfer money from one
department to another to cover expenditures.
MR. RAND: You're over now on the
fire engine that hasn't been budgeted this year
so you're showing a deficit of $540,000. Is that
correct? And yet you've had no public hearing,
you've had no budget or amended budget
proceeding. You've exceeded the budget that was
set up for legal fees. You've had no hearing for
that. So why does this then become a requirement
as far as disbursing of reserves which do not
form part of the budget? That's what I do not
understand.
MS. MARIANO: Because it's not
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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109
within the approved budget. In legal fees, if
you look at that, there are four line items. We
have overspent on litigation, we have overspent
on other legal, but there's a fourth line item
that says 367 or whatever it is contingency.
That's within your overall budget. You have to
talk about the entire 3.5 million dollars. You
have to over expend over the 3.5 before you --
MR. RAND: Well, according to the
March report, you're over that budget by
$238,000.
MS. MARIANO: We haven't over expent
our whole year's budget, Commissioner. I mean
from what you're saying that means we have expent
all the extra tax money that we put in for the
contingency.
MR. SCHOECH: Are you referring to
the projection if you carry out the expenses to
date to the end of the year that you would be
over?
MR. RAND: Yes. Yes.
MR. SCHOECH: Okay. Then in reality
as of today you are not over, but if you continue
your spending at the same rate, you will be. So
until you actually are over, you don't have a
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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problem.
MAYOR VORESS: We've only spent
about a quarter or two and a half of the budget
whatever that is.
MS. MARIANO: And I can't imagine
with that contingency of three hundred that we're
ever going to be over the budget because there
will be no other expenditure for that fire truck
out of this year's budget.
MR. RAND: But you would have to
amend the budget to allow you to charge that
special reserve to cover those deficiencies,
would you not?
MS. MARIANO: No, because we can
charge it to other --
MR. RAND: You can't automatically
apply it, Mary. How can you do that?
MS. MARIANO: You transfer it from
where you have underspent.
MR. RAND: But with the permission
of the Town Commission. It's not automatic.
MS. MARIANO: It goes from the FAV
and comes to the Commission for budget transfers.
MR. RAND: And subject to their
approval.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MS. MARIANO: Absolutely.
MR. RAND: That's the point I'm
trying to make.
MR. SCHOECH: The other thing that
your auditor should be requiring, and I assume
you're doing this at the end of the year, where
you have a specific line item that is over and
one that is under, you will then balance those
two so that you do not have --
MR. RAND: That's what we do.
MS. MARIANO: That's what we do.
MR. RAND: Just again I realize that
there are legal ramifications involved. It just
seems totally inconceivable to me that we are
sitting with over two million dollars in
reserves, okay, and we have to amend the budget
to provide for payment out of reserves, and I
find it difficult to understand from a layman's
point of view and from my prior experience as a
banker why you can't dispose of these reserves if
the Town Commission so ordains. That's what I
don't understand.
MS. MARIANO: If they ordain through
the process and --
MR. SCHOECH: Then you can.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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112
MS. MARIANO: -- I can say it in
laymen's terms, I guess, it is because over the
past years the way we have two million dollars in
reserves has been from the tax money that we have
collected from all the residents of the town.
That is like their -- we'll say that's their
savings account and every year we have a public
hearing that says we are taking in a million
dollars and here's where we're spending a million
dollars, so you can't arbitrarily go in and say,
but, you know, we can just arbitrarily go in and
spend the rest of your savings account and not
tell you how we are spending it. That's what the
budget process is all about, so people know what
you're taking in and what's going out in any
given year. So if you have an accumulation of
money that has been gathered through the tax
coffers over the years, you can't just go in and
say, okay, we can spend this without going
through the process and amending it so the people
can say, okay, residents, we are taking 1.5
million out of your savings account and we are
putting it into a revenue and then we're going to
put it in an expenditure because we find it in
the best interests of the residents to expend
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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this money in order to solve the lawsuit. So you
have a whole process of notification.
MR. RAND: Are you now saying,
Charlie, that we do not need a public hearing for
this purpose?
MR. SCHOECH: You do not need a
public hearing. That's correct.
MR. RAND: To me it would be a moot
point because we could have a public hearing and
we know we're going to pay -- whether they like
it or not we're still going to do it.
MR. SCHOECH: The only time you
would need a public hearing is if you were
dealing with your ad valorem tax base and they're
not doing that here. You're talking about
contingencies. There's another provision in the
statute, it happens to be in Chapter 129, but I
think it fits your question, and let me just tell
you what that says. It talks about
appropriations from reserves for contingencies
may be made to increase the appropriation for any
particular expense in the same fund or to create
an appropriation in a fund for any lawful
purpose, but expenditures may not be charged
directly to the reserve for contingencies. And
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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right now ours is in a reserve or a contingency
fund. We can't charge directly against that.
We've got to put it in an appropriate budget line
item. Once we do that then we can charge to that
line item.
MS. MARIANO: It's a three-week
process so it's better than you expected.
MR. RAND: So it's three weeks
without a public hearing.
MAYOR VORESS: Rusty, I need to ask
a different type of question.
MR. RAND: I need the opinion that I
gave you back, by the way.
MR. SCHOECH: I got it.
MAYOR VORESS: Once we send these --
let's talk about a scenario. Once we send these
documents up and the RTC says okay, we buy them,
it seems to me that at that point in time then we
have a package of papers, documents, exhibits,
stipulations, whatever, a total package of
things. Jay Hambric has said he is willing to
come to the Town of Highland Beach and sign those
in a manner similar to if somebody is selling a
piece of property. I've got a piece of property
A and I'll sell it to you for such and I sign my
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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name on it. Then the Town of Highland Beach has
the right to accept that offer or not. In our
parlance then we go through, as Mary Ann says, a
procedure whereby we advertise this, have a
public hearing and then the Commission votes it
up and down. Would it be helpful in the timing
of what we're doing since the clock of the RTC --
of the Circuit Court is running, once we hear
from the RTC that they have agreed that we ask
him to come down and that we have a total set of
documents so he can sign it so when we advertise
it, that document's come in, we can't make any
changes in because that's the offer that we
advertise it and three days later we have the
public meeting, the Commission -- we have the
input, the Commission has then the ability to
vote it up or down. Assuming they vote it up or
down, then as far as the two parties are
concerned it's a done deal, and then the lawyers
take over and take it to the -- and file it in
the appropriate court system right or wrong. Am
I correct in this statement or not? Would it be
appropriate to have Jay come down here?
MR. ROBERTS: Let me just say this,
Sam, and maybe it will obviate the necessity.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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There's a specific approval procedure in here
which was pointed out by you previously that
there was some variance to it. I would suggest
if they want to expedite it that they simply say
this is okay with us, we advertise it and then
they show up at that meeting, and once it's
approved in the resolution, they can sign it
right there. And that will just be as quick as
any other procedure that you suggest.
MAYOR VORESS: All right. I was
only suggesting they could come down and early
sign it. They wouldn't have to come to the
meeting.
MR. ROBERTS: Well, I understand
that, but I think that if you did that, if you
wanted to change the procedure, you're going to
have to change the document. Because I don't
want anybody to contest the procedure that was
set forth here was not followed.
MAYOR VORESS: All right. So the
procedure in this document sets forth that they
sign it after we do it. Is that correct?
MR. ROBERTS: Right. And if they're
worried about the clock ticking, have them show
up at the advertised meeting.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MAYOR VORESS: All right.
MR. ROBERTS: As soon as it's passed
by the town they can sign it, give it to me and
have their lawyer there and we'll sign it and
send it off.
MAYOR VORESS: Sam, did you have a
question?
MR. DANIELS: I have a different
question.
MAYOR VORESS: All right.
MR. DANIELS: Rusty, in our going to
the court now does it now provide that we go to
the appellate court first?
MR. ROBERTS: Right.
MR. DANIELS: Thanks.
MR. ROBERTS: Yeah, we go to --
MR. DANIELS: From the appellate
court you get permission to let the trial court
approve the settlement.
MR. ROBERTS: Upon receipt
defendants shall execute fully executed joint
motion for relinquishment of jurisdiction.
MR. DANIELS: That's it. Okay.
MAYOR VORESS: Bill Paul.
VICE -MAYOR PAUL: I may have missed
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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a point here, but you're trying to expedite the
settlement if this is agreed, we're required
under ordinance 280 to hold a public hearing on
this.
MAYOR VORESS: Right.
VICE -MAYOR PAUL: If we present them
with a cut and dried thing that's been signed by
a party and we're saying in effect to them this
is what we've got, take it or leave it,
regardless of what your input may be to us at
that time.
MAYOR VORESS: I'm not talking about
that. I'm just talking about what would be the
fastest to expedite.
VICE -MAYOR PAUL: I know but in
doing that we're having -- we're going to have
this public hearing so this is going to be --
those people are going to walk in here and it's
going to be their first look at this.
MR. RAND: Maybe we can say it's
their offer, Bill. We can say it's their offer
which we haven't considered.
VICE -MAYOR PAUL: I know but you
said something now about not being able to change
anything.
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MR. AUGENSTEIN: He's right.
VICE -MAYOR PAUL: The people can
talk to us all they want and we say sorry, we
can't change anything.
MAYOR VORESS: All right. So you're
saying that's not a good idea. That's all you're
saying.
MR. RAND: Assuming they agree
tonight or tomorrow, what's the earliest we can
have this public hearing? Mary.
MR. ROBERTS: Just what she said as
far as advertising.
MS. MARIANO: Well, if they agree
tonight, which I think they'd want to see the
language but if -- well, now it's too late.
MR. RAND: Let's say tomorrow.
MS. MARIANO: I think the earliest
we can have the hearing is Monday.
MAYOR VORESS: Next Monday.
MS. MARIANO: We're running into
Commissioner Eypel is not going to be available
at all next week so we're talking to have a full
commission at least a week from Monday.
MR. RAND: Does Commissioner Eypel
have to be here? Do we have a quorum?
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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MS. MARIANO: I would suggest that
we need a full commission on this one.
VICE -MAYOR PAUL: Full commission on
something like this.
MR. EYPEL: If somebody could get
back to me, I can adjust my plans Monday. I'm
supposed to go to Atlanta on Tuesday, but I'm
supposed to be on the west coast of Florida on
Monday. If somebody could get back to me I can
modify those plans --
MR. RAND: Oh, good.
MR. EYPEL: -- to meet whatever
needs we have here. But I need to know as
quickly as possibly.
MS. MARIANO: Well, I think it's
going to be up to them to get back to us first.
As soon as they get back to us and it's a go,
then we -- that's all we can do is work from
there.
MR. AUGENSTEIN: Let me ask a
question on this. We are sending them a copy of
what we discuss.
MR. ROBERTS: Right.
MR. AUGENSTEIN: Let's say they
accept it. Those are not going to be the papers
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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they sign. Those are going to be fax papers.
Right? They'll probably want an original copy.
And when they get the original they're going to
want to read it all over again.
MR. ROBERTS: No, I send them -- I
don't send them by fax. I send them by
overnight.
MR. AUGENSTEIN: You don't send them
an original.
MR. ROBERTS: It's a printed copy.
I suspect that, you know, we'll have one on fine
bond paper when it comes down to signing, but,
you know, it will be the same document.
MR. RAND: Arthur, can I ask you a
question? If we can't do this Monday, I know
Monday you have some degree of flexibility, but
if it's later in the week, could you come back
from wherever you are at our expense to sign or
to attend the meeting? Would that be a
possibility?
MR. EYPEL: I'm of course at the
disposal of the Commission and I will do whatever
I have to do to make this work. I'm schedule to
be in Memphis -- Nashville, excuse me, on
Thursday, but, you know, this is so important
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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that I will be in touch with Mary Ann on a daily
basis, and if I had to I will make whatever
arrangements are necessary.
MR. RAND: Then we'll ask you to
MR. EYPEL: Whatever is necessary.
MAYOR VORESS: Okay. So it is then
agreed that Rusty will get this out tonight or
tomorrow, Rusty?
MR. ROBERTS: You know, I can fax it
to them in the morning I think would probably be
a better thing to do. I want to take it and
print it out and look it over and make sure
there's no typographical errors. See, because
every time you change something or change back,
it may have some impact on another section, and I
want to make sure that that's not the case.
MAYOR VORESS: Okay. And that will
include a statement that or I can call them and
tell them to provide this --
MR. ROBERTS: That would be helpful
if they could provide that to us.
MAYOR VORESS: I will call tonight
and get ahold of them and tell them to send this
document that they're talking about that the
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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property description has got some typos in that
we know nothing about.
MR. DANIELS: Rusty, let me make a
suggestion to you about that.
MR. ROBERTS: What's that?
MR. DANIELS: In the portion where
you're talking about the legal description --
MR. ROBERTS: Right.
MR. DANIELS: -- just put a sentence
in that the parties agree to correct any
typographical errors in the description.
MR. ROBERTS: Right.
MR. DANIELS: Then you've got a done
deal without going back and forth.
MR. AUGENSTEIN: Good idea.
MAYOR VORESS: That's a good idea.
MR. DANIELS: We don't have to wait
for their typos.
MAYOR VORESS: That's a good idea,
Sam.
MR. DANIELS: Just both agree to
correct them when you get them.
MR. ROBERTS: Okay.
MR. DANIELS: And that way we've got
a deal and they accept it. There's no more back
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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and forth.
MAYOR VORESS: Agreed? Okay. So it
will go tomorrow with that modification and we'll
wait to hear.
MR. RAND: You fax it and then send
an original up by UPS? Is that the way you
normally do it, Rusty?
MR. ROBERTS: Well, I can do it that
way. I've just been sending it by UPS, not by
fax.
MAYOR VORESS: Is there anything
else to come before the Commission? The
Executive Session. Sam, we thank you for being
with us and taking your good time.
MR. DANIELS: Well, I was very
comfortable while I listened.
MAYOR VORESS: All right. Great.
appreciate your joining us, Sam.
MR. DANIELS: Thank you.
MS. MARIANO: I'm going to
disconnect you now. Okay? He's gone.
MAYOR VORESS: So we will adjourn
the executive session.
MR. ROBERTS: And it's 4:26.
I
MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S.E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955
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CERTI FI CATE
THE STATE OF FLORIDA, )
COUNTY OF PALM BEACH. )
I, Barbara Bolton, Registered
Professional Reporter, certify that I was
authorized to and did stenographically report the
foregoing proceedings and that the transcript is
a true record.
Dated this 8th day of May, 1995.
BARBARA BOLTON, RPR
STATE OF FLORIDA )
COUNTY OF PALM BEACH )
The foregoing certificate was
acknowledged before me this 8th day of May, 1995.
-----------------------------
Notary Public - State of Florida
My commission expires:
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MUDRICK, WITT, LEVY & CONSOR REPORTING AGENCY, INC.
5th Floor • Comeau Building Suite 1515, 1 Financial Plaza International Place Suite 205
319 Clematis Street NationsBank 100 S. E. 2nd Street • 23rd Floor 2499 Glades Road
West Palm Beach, Florida 33401 Ft. Lauderdale, Florida 33394 Miami, Florida 33131 Boca Raton, Florida 33431
Area Code (407) 659-4155 Area Code (305) 525-6723 Area Code (305) 371-2713 Area Code (407) 338-0955