Laserfiche WebLink
38. if the City has existing revenue obligations with the same pledge of security as the <br />proposed Obligations that will remain outstanding after any loan(s) made by the TWDB <br />pursuant to this commitment, the lien or liens securing the Obligations issued to the <br />TWDB shall be at least on a parity with lien or, liens securing such outstanding <br />obligations; <br />39. the Obligations must contain a provision providing that additional revenue obligations <br />may only be incurred if: <br />(a) the City is not then in default as to any covenant, condition, or obligation prescribed <br />in an ordinance authorizing the issuance of outstanding parity obligations; <br />(b) the proposed additional revenue obligations have been approved by the Texas <br />Attorney General; <br />(c) each of the respective funds created and dedicated to the payment, security, and <br />benefit of the additional revenue obligations contains the amount of money then <br />required to be on deposit therein; <br />(d) the City has secured from a Certified Public Accountant a certificate or report <br />reflecting that for the fiscal year next preceding the date of the proposed additional <br />revenue obligations, or a consecutive twelve (12) month period out of the fifteen (15) <br />month period next preceding the month in which the ordinance authorizing the <br />proposed additional revenue obligations is adopted, the "net revenues" of the System <br />(after operations and maintenance is considered, but not deducting depreciation or <br />expenditures, which under standard accounting practices are classed as capital <br />expenditures) are equal to at least 1.20 times the combined average annual principal <br />and interest requirements on all outstanding revenue obligations to be outstanding <br />after the issuance of the proposed parity revenue obligations. An authorized <br />representative of the City must provide the calculations, identifying reasonable <br />assumptions, in a manner and format that is acceptable to the Executive <br />Administrator. In making a determination of such net revenues, the CPA may take <br />into consideration a change in the rates and charges for services and facilities <br />afforded by the City's systems that became effective at least sixty (60) days prior the <br />last day of the period for which such net revenues are determined and, for purposes of <br />satisfying such net revenues text, make a pro forma determination of such net <br />revenues for the period of time covered by the certificate or report based upon such <br />change in rates and charges as be in in effect for the entire period covered by the <br />certificate or report, and; <br />(e) the additional revenue obligations are made to mature on February 15 or August 15, <br />either or both, of each year in which they are scheduled to mature. WMM <br />PROVIDED, however, the commitment is subject to the following special conditions: <br />TWDB Commitment No. L1000600 <br />Exhibit A, Page 9 of 10 <br />