JAMES E. ROACH
v.
CITY OF TAMPA; R. E. L. CHANCEY, AS MAYOR, ET AL.

Fla. | 1936-07-27
Ellis, P. J., and Terrell and Buford, J. J., concur., Whitfield, C. J., and'Brown and Davis, J. J., concur in the opinion and judgment.
125 Fla. 62 Florida Supreme Court (1936) Positive Treatment
Also reported at: 169 So. 627
Cited by 51 cases

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Synopsis

The Florida Supreme Court affirmed a trial court's dismissal of a bill of complaint challenging a municipality's authority to issue Hospital Revenue Certificates to finance hospital improvements. The court held that revenue certificates payable solely from net hospital revenues do not constitute bonds requiring voter approval under the Florida Constitution.


Holding

The court held that Hospital Revenue Certificates payable solely from net revenues of an existing hospital do not constitute bonds within the meaning of the Florida Constitution and do not require voter approval. Such certificates do not pledge the municipality's taxing power or impose an obligation to exercise taxation, and their issuance does not violate charter limitations on general obligation bonds.


Key Quotes

“It appears that each of the questions presented was answered correctly by the Chancellor and in line with the most-recent decisions of this Court.”

The court affirmed the trial court's reasoning and analysis on all issues raised.

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Facts & Procedural History

The City of Tampa sought to issue Hospital Revenue Certificates payable solely from net revenues of its municipal hospital to finance additions and be…

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Opinion of the Court
Per Curiam.

*63Per Curiam.

— The appeal brings for review a final decree dismissing a bill of complaint in suit instituted to enjoin the appellees from issuing Hospital Revenue Certificates, payable solely out of the net revenues to be earned by a municipal hospital, for the purpose of procuring revenue with which to construct additions and betterments to the hospital now owned and operated by the municipality.

The questions presented for our determination are stated as follows:

“First Question: Does a Municipality Have Statutory Authority to Construct Additions and Improvements to an Existing Hospital, Which It Has Owned and Operated for Several Years (the Construction of Which Was Financed by ti-ie Sale of General Obligation Bonds Authorized by a Vote of the Freeholders), Under Its General Charter Powers to Establish and Maintain Hospitals and Operate Same According to the Standards of Recognized Medical or Hospital Associations and Finance the Construction of Such Additions and Improvements by the Issuance of Hospital Revenue Certificates, Payable Solely Out of the Net Revenues of Such Hospital?”

“Second Question : Do Such Hospital Revenue Certificates (as Mentioned in First Question) Constitute Bonds Within the Meaning of Section No. 6, Article IX, of the Constitution of Florida, as Amended, and, Therefore, Cannot Be Issued Without First Obtaining the Approval of the Majority of Freeholders of ti-ie Municipality in an Election Held for Such Purposes?”

“Third Question: Where the Charter of a Municipality Provides That the City Shall Have the Right to Issue and Sell Bonds for Municipal Improve*64ments Not to Exceed the Amount of Fifteen Per Centum (15%) of the Assessed Value of the Taxable Property of the City, Would the Issuance of Hospital Revenue Certificates (as Described in the First Question), Violate Suci-i Statutory Prohibition, If Bonds of the City Are Already Outstanding to the Extent of Suci-i Limit?”

“Fourth Question: Would the Issuance of the Revenue Certificates (Mentioned in First Question), Payable Solely Out of the Net Revenues of an Existing, Continuously Operated Hospital With the Condition That the City Would Charge Such Rates and So Operate ti-ie Hospital as to Produce Revenues Sufficient at All Times to Pay the Cost of Operation and the Principal and Interest of Said Certificates as the Same Fall Due, Create a Pledge of the Taxing Power of the Municipality, or Impose an Obligation Coercive Upon the Municipality to Exercise the Powers of Taxation as to Require a Vote of the Freeholders as Provided by Section No. 6, Article IX, of the Constitution of Florida, Before the Same Could Be Issued?”

It appears that each of the questions presented was answered correctly by the Chancellor and in line with the most-recent decisions of this Court.

Identical questions were involved in the case of E. H. Boykin v. Town of River Junction, in which opinion was filed here on the 17th day of July, 1936 (not yet reported) and were determined advex-sely to the contentions of appellant.

The difference between the River Junction case and this case is that in the River Junction case additions to a light plant were involved, while in this case additions to a mu*65nicipal hospital are involved, and the amounts and maturities of payments are not identical, but the legal principles governing in one case are equally applicable in the other, and, therefore, there is no good purpose to be served by repeating here what was fully and clearly stated in that opinion. So it is, the decree appealed from should be affirmed on authority of the opinion and judgment in the case of Boykin v. Town of River Junction, supra.

It is so ordered.

Affirmed.

Ellis, P. J., and Terrell and Buford, J. J., concur.

Whitfield, C. J., and'Brown and Davis, J. J., concur in the opinion and judgment.


Cases With Similar Vibessemantic neighbors from the corpus


Citator

Cited By (15 total)

  • Williams v. The Town of Dunnellon, 125 Fla. 114 (Fla. 1936)
    …545; State v. City of Clearwater, 124 Fla. 354, 168 So. 546; State v. City of Punta Gorda, 124 Fla. 512, 168 So. 835; Leon County v. State, 122 Fla. 505, 165 So. 666; Tapers v. Pichard, 124 Fla. 549, 169 So. 39; Roach v. City of Tampa, 125 Fla. 62, 169 So. 627; Boykin v. Town of River Junction, 124 Fla. 827, 169 So. 492; State, ex rel. City of Vero Beach, v. MacConnell, Number 1, 125 Fla. 130, 169 So. 628. But if funds are to be borrowed for the acquisition of a new municipal project, utility or facility…
  • Marvin v. Hous. Auth. of Jacksonville, 133 Fla. 590 (Fla. 1938)
    …545; State v. City of Clearwater, 124 Fla. 354, 168 So. 546; State v. City of Punta Gorda, 124 Fla. 512; 169 So. 835; Leon County v. State, 122 Fla. 505, 165 So. 666; Tapers v. Pichard, 124 Fla. 549, 169 So. 39; Roach v. City of Tampa, 125 Fla. 62, 169 So. 627; Boyking v. Town of River Junction, 124 Fla. 827, 169 So. 492; State, ex rel. City of Vero Beach, v. MacConnell, Number 1, 125 Fla. 130, 169 So. 628. The record shows that The Housing Authority of Jacksonville, Florida, pursuant to Chapter 17981, '…
  • State v. City of Tampa, 137 Fla. 29 (Fla. 1939)
    …. 545; State v. City of Clearwater, 124 Fla. 354, 168 So. 546; State v. City of Punta Gorda, 124 Fla. 152, 168 So. 835; Leon County v. State, 122 Fla. 505, 165 So. 666; Tapers v. Pichard, 124 Fla. 549, 169 So. 39; Roach v. CLy of Tampa, 125 Fla. 62, 169 So. 627; Boykin v. Town of River Junction, 124 Fla. 827, 837, 169 So. 492; State, ex rel. City of Vero Beach, v. MacConnell, No. 1, 125 Fla. 130, 169 So. 628; Sharp v. City of Bradenton, 135 Fla. 604, 185 So. 346; State v. City of Clearwater, 135 Fla. 112,…

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