Ordinance 2607-02 - Laserfiche WebLink

Bonds on or before the maturity date thereof or to purchase Government Obligations sufficient to accomplish such amortization. (c) Payments into Reserve Account. The City hereby agrees that a special account to be known as the "City of Everett Water and Sewer Revenue Bond Reserve Account" (the "common Reserve Account") shall be maintained in the Revenue Bond Fund for the purpose of securing the payment of the principal of and interest (i) on all Parity Bonds remaining outstanding when the 1993 Bonds are no longer outstanding under the ordinance authorizing their issuance, (ii)the Bonds and (iii) any future Parity Bonds. The City hereby covenants that the Reserve Account Requirement (and the Common Reserve Requirement) for the Bonds will be fully funded as of the date of issuance of the Bonds. The Reserve Account Requirement (and the Common Reserve Requirement) shall be funded in part with the Reserve Surety Bond. Any money on hand in the 1992 Reserve Account shall be transferred to the common Reserve Account and shall be available to satisfy the Reserve Account Requirement and the Common Reserve Requirement. (1) Provisions Applicable While 1993 Bonds Remain Outstanding. The City covenants and agrees that when the required deposits have been made into 1993 Reserve Account and the 1997 Reserve Account, it will at all times maintain therein an amount at least equal to the Reserve Account Requirement for the 1993 Bonds and the 1997 Bonds, respectively, as predetermined in each calendar year. Whenever there is a sufficient amount in the Revenue Bond Fund, including all accounts therein, to pay the principal of, premium, if any, and interest on all outstanding Parity Bonds, the money in each Reserve Account may be used to pay the principal of, premium, if any, and interest on the Parity Bonds secured thereby. Money in a Reserve Account may also be withdrawn to redeem and retire, and to pay the premium, if -21- P\CMW\CMW5BE 02/05/21