Ordinance 2208-97 - Laserfiche WebLink

transferred to the Reserve Account, and such Reserve Accounts shall be closed. Notwithstanding anything in Section 8E hereof to the contrary, money in the Reserve Account may be used to pay any arbitrage rebate, if any, to the extent the rebate is attributable to earnings on money in the Reserve Account. Except as hereafter provided in this subsection C(2), the City hereby further covenants and agrees that in the event it issues any future Parity Bonds it will provide in the ordinance authorizing the issuance of the same for payment into the Reserve Account out of proceeds of such future Parity Bonds, Revenue of the System or Assessments (or, at the option of the City, out of any other funds on hand and legally available therefor) approximately equal additional annual installments so that by five years from the date of issuance of such future Parity Bonds there will have been paid into the Reserve Account an amount that, together with the money already on deposit therein, will be at least equal to the Common Reserve Requirement. Such annual payments into a Reserve Account shall be made not later than December 20 of each year. Notwithstanding anything in this Section 8 to the contrary, the City may fund the Common Reserve Requirement through a surety bond issued by a Qualified Insurer. The amount payable by the Qualified Insurer under such surety bond shall be credited against the amounts otherwise required to be accumulated and maintained in the Reserve Account. The City further covenants and agrees that when the required deposits have been made into the Reserve Account, it will at all times maintain therein an amount at least equal to the Common Reserve Requirement, 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 the Reserve Account may be used to pay the principal of, premium, if any, and interest on the Parity Bonds secured thereby. Money in the Reserve Account may also be withdrawn to redeem and retire, and to pay the premium, if any, and interest due to such date of redemption, on the outstanding Parity Bonds, as long as the money remaining on deposit in the Reserve Account is at least equal to the Common Reserve Requirement determined with respect to the Parity Bonds then outstanding. -20- FWWOBU DOC 97/03/04