Laserfiche WebLink
State of Washington Department of Ecology <br />Agreement No: WQC-2022-EverPW-00085 <br />Project Title: Water Quality Treatment at 3rd Avenue SE <br />Recipient Name: City of Everett <br />Page 32 of 44 <br />amount of cash and investments in the bond and loan funds securing such debt) as the Gross Revenue of the funded Utility from <br />the portion of the funded Utility sold or disposed of for the preceding year bears to the total Gross Revenue for that period. <br />4. Expressed written agreement by the ECOLOGY-. <br />The proceeds of any transfer under this paragraph must be used (1) to redeem promptly, or irrevocably set aside for the <br />redemption of, Senior Lien Obligations and to redeem promptly the loan, and (2) to provide for part of the cost of additions to <br />and betterments and extensions of the Utility. <br />R. Sewer -Use Ordinance or Resolution for Funded Wastewater Facility Projects: If not already in existence, the RECIPIENT <br />shall adopt and shall enforce a sewer -use ordinance or resolution. Such ordinance or resolution shall be submitted to <br />ECOLOGY upon request. <br />The sewer use ordinance must include provisions to: <br />1) Prohibit the introduction of toxic or hazardous wastes into the RECIPIENT's sewer system. <br />2) Prohibit inflow of stormwater into separated sewer systems. <br />3) Require that new sewers and connections be properly designed and constructed. <br />S. Termination and Default: <br />Termination and Default Events <br />1. For Insufficient ECOLOGY or RECIPIENT Funds. ECOLOGY may terminate this loan agreement for insufficient <br />ECOLOGY or RECIPIENT funds. <br />2. For Failure to Commence Work. ECOLOGY may terminate this loan agreement for failure of the RECIPIENT to <br />commence project work. <br />3. Past Due Payments. The RECIPIENT shall be in default of its obligations under this loan agreement when any loan <br />repayment becomes 60 days past due. <br />4. Other Cause. The obligation of ECOLOGY to the RECIPIENT is contingent upon satisfactory performance in full by the <br />RECIPIENT of all of its obligations under this loan agreement. The RECIPIENT shall be in default of its obligations under this <br />loan agreement if, in the opinion of ECOLOGY, the RECIPIENT has unjustifiably failed to perform any obligation required of <br />it by this loan agreement. <br />Procedures for Termination. If this loan agreement is terminated prior to project completion, ECOLOGY shall provide to the <br />RECIPIENT a written notice of termination at least five working days prior to the effective date of termination (the <br />"Termination Date"). The written notice of termination by the ECOLOGY shall specify the Termination Date and, when <br />applicable, the date by which the RECIPIENT must repay any outstanding balance of the loan and all accrued interest (the <br />"Termination Payment Date"). <br />Termination and Default Remedies <br />No Further Payments. On and after the Termination Date, or in the event of a default event, ECOLOGY may, at its sole <br />discretion, withdraw the loan and make no further payments under this agreement. <br />Repayment Demand. In response to an ECOLOGY initiated termination event, or in response to a loan default event, <br />ECOLOGY may at its sole discretion demand that the RECIPIENT repay the outstanding balance of the Loan Amount and all <br />accrued interest. <br />Interest after Repayment Demand. From the time that ECOLOGY demands repayment of funds, amounts owed by the <br />RECIPIENT to ECOLOGY shall accrue additional interest at the rate of one percent per month, or fraction thereof. <br />Accelerate Repayments. In the event of a default, ECOLOGY may, in its sole discretion, declare the principal of and interest <br />on the loan immediately due and payable, subject to the prior lien and charge of any outstanding Senior Lien Obligation upon <br />the Net Revenue. That is, the loan is not subject to acceleration so long as any Senior Lien Obligations are outstanding. <br />Repayments not made immediately upon such acceleration will incur Late Charges. <br />Late Charges. All amounts due to ECOLOGY and not paid by the RECIPIENT by the Termination Payment Date or after <br />acceleration following a default event, as applicable, shall incur late charges. <br />Template Version 12/10/2020 <br />