Ord 1985-120 - Laserfiche WebLink

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the City Council of the City of San Marcos on December 3, 1984, by Ordinance Number 1984-107, ("Utility District Ordinance"). The terms and conditions of the Utility District Ordinance are made a part of this Agreement for all purposes to the extent permitted by law. B. Anything herein and in the Utility District Ordinance to the contrary notwithstanding, the City has granted the District an exception to the Utility District Ordinance, granting the District the bonding authority percentages allowed by the rules and regulations of the Texas Water Commission. ARTICLE II ISSUANCE OF BONDS BY THE DISTRICT A. The District agrees that it shall only issue bonds and notes, including bond anticipation notes, for the purposes and in the manner provided by the rules and requirements of the Texas Water Commission. All bonds and notes and provisions thereof proposed to be issued by the District shall be subject to review and approval by the City Council of the City prior to the issuance thereof, except as set forth below in this paragraph, which approval shall not be unreasonably withheld; provided however, that any authorization which may be granted hereunder by the City of a principal amount of District bonds proposed to be issued by the District shall be deemed to include the approval of bond anticipation notes in a principal amount not to exceed the amount of principal of the District bonds so authorized. Without the prior written consent of the City Council of the City, the City will not be bound upon annexation of the District to the City by any debts or obligations incurred by the District other than those arising by the issuance of bonds or notes authorized or approved by the City and open accounts incurred in good faith by the District. Notwithstanding anything to the contrary herein, the City hereby specifically consents to the issuance of bonds by the District necessary to finance the construction of -2-