Ordinance 818-81 - Laserfiche WebLink

• In the event there shall be a deficiency in the Debt Service Account to meet maturing installments of either interest on or principal of and interest on the outstanding bonds payable out of such Account, such deficiency shall be made up from the Reserve Account by the withdrawal of monies therefrom. Any deficiency created in the Reserve Account by reason of any such withdrawal shall then be made up out of Revenue of the System or Assessments after making necessary provision for the payments required to be made by subparagraphs First, Second, Third, Fourth and Fifth of Section 5 hereof. D. Priority of Lien of Payments into Revenue Bond Fund. The amounts so pledged to be paid into the Debt Service Account and the Reserve Account from the Revenue Fund are hereby declared to be a prior lien and charge upon the Revenue of the System superior to all other charges of any kind or nature whatsoever except the Costs of Maintenance and Operation of the System and the lien and charge of the Refunded Bonds ( full provision for the payment of which has irrevocably been made) , and except that the amounts so pledged are of equal lien to the charges upon such Revenue for the payment of the principal of and interest on any future Parity Bonds. E. Payment into 2007 Sinking Fund Account. The City further covenants and agrees that it shall apply the amounts deposited in or accruing to the 2007 Sinking Fund Account pursuant to the schedule of payments set forth in paragraph B of Section 6 of this ordinance to the payment of the principal of the 2007 Term Bonds. F. Application and Investment of Monies in Revenue Bond Fund. Money in the Debt Service Account and Reserve Account may be invested as permitted by law. Investments in the Debt Service Account shall mature prior to the date on which such money shall -15-