2007/05/16 Council Agenda Packet

8 EVERETT 06-96300-010 Loan Security Please indicate which option will be used for securing repayment of your loan and return this with your completed Scope of Work. 1. General Obligation: The loan will be secured by general obligation of the BORROWER. OR 2. _X Revenue Obligation: The loan will be secured by utility revenue payable solely from the utility system indicated below. Payments shall be made from the net revenue of the utility after the payment of the principal and interest on any revenue bonds, notes, warrants or other obligations of the utility having a lien on that net revenue. As used here, "net revenue" means gross revenue minus expenses of maintenance and operations. The BOARD grants the BORROWER the right to issue future bonds and notes that constitute a lien and charge on net revenue superior to the lien and charge of this loan agreement. Please choose one of the following utility systems: Water Sanitary Sewer(Wastewater) Stormwater _X_Water/Sanitary Sewer Stormwater/Sanitary Sewer Solid Waste NOTE: This option may be used only if the entire project is a domestic water, sanitary sewer, storm sewer or solid waste utility project. BORROWERS performing a storm sewer project that have not created a storm sewer utility or a combined sanitary sewer/storm sewer utility may not use this option. Projects providing for a mixture of bridge, road, domestic water, sanitary sewer, and storm sewer activities may not use this option. OR 3. Local Improvement District: Pursuant to RCW 35.51.050, the BORROWER pledges to repay this loan from assessments collected from a Local Improvement District, Local Utility District or other similar special assessment district in which the improvements financed by this loan are located. The name of the special assessment district is 1I Ci