Res 2018-173/amending and restating the Trace Public Improvement District Acquisition and Reimbursement Agreement

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and secured by the Special Assessment Revenues; or(iii) a combination of items (i), and (ii). The Repayment Amount is authorized by the Act, was approved by the City Council, and represents the total costs to be assessed against the Assessed Property within the District for the Public Improvements which, upon completion, will be dedicated in fee or by easement and accepted by the City. The unpaid Repayment Amount shall bear simple interest per annum commencing upon the completion of the Public Improvements at the rate of(x)6.00%for years one through five and(y) 5.5% for years six through the Maturity Date or until Major Improvement PID Bonds are sold. If any portion of the Repayment Amount remains unpaid after the City issues its Initial Major Improvement PID Bonds,the interest rate paid to the Owner shall be the same as the interest rate on the Major Improvement PID Bonds; provided, however, that such rate shall not exceed 5.5%. The interest rate has been approved by the City Council and complies with the Act. 4. Unpaid Balance. The Repayment Amount, plus interest as described above (collectively, the "Unpaid Balance"), is payable to the Owner and secured under this Reimbursement Agreement solely as described herein. No other City funds, revenue, taxes, income,or property shall be used even if the Unpaid Balance is not paid in full at the Maturity Date. The City acknowledges and agrees that until the Unpaid Balance is paid in full,subject to the Repayment Amount authorized in Section 3,the obligation of the City to use the Project Fund to pay the Unpaid Balance to the Owner is absolute and unconditional and the City does not have,and will not assert,any defenses to such obligation. 5. City Collection Efforts. The City will use all reasonable efforts to receive and collect, or cause to be received and collected, Special Assessment Revenues (including the foreclosure of liens resulting from the nonpayment of the Special Assessments created by the Major Improvement PID Bonds, the Special Assessments or other charges due and owing under the SAP), and upon receipt and collection, immediately deposit the same into the Project Fund. Notwithstanding its collection efforts, if the City fails to receive all or any part of the Special Assessments, such failure and inability shall not constitute default by the City under this Reimbursement Agreement. This Reimbursement Agreement and/or the Major Improvement PID Bonds shall never give rise to or create: a. a charge against the general credit or taxing powers of the City or any other taxing unit; or b. a debt or other obligation of the City payable from any source of revenue,taxes, income, or properties of the City other than from the Special Assessments or from the net proceeds of the Major Improvement PID Bonds. 6. Process for Payment of the Repayment Amount.The Owner may submit(but not more frequently than monthly) to the City a written request for payment from the Project