Res 2005-036 - Laserfiche WebLink

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ARTICLE XN SURETY POLICY Section 14.01. Surety Policy. In order to satisfY in whole or in part the City's obligations with respect to the Reserve Fund provided in this Ordinance, and subject to the provisions of Section 8.05(b) hereof, the City shall purchase from Ambac Assurance Corporation, as Surety, a Surety Policy for such Fund, in an amount equal to the all or a portion ofthe amount of the average annual requirement for the payment of principal and interest with respect to the Bonds, it being found and determined hereby that the substitution of a Surety Policy in lieu of depositing cash to the Reserve Fund is cost effective. ARTICLE XV APPROVAL OF ESCROW AGREEMENT; DEPOSIT TO ESCROW FUND Section 15.01. Approval of Escrow Agreement. The Escrow Agreement and its execution and delivery by the Mayor of the City is hereby authorized and approved. The signature of the Mayor ofthe City shall be attested by the City Clerk of the City. Section 15.02. Deposit to Escrow Fund. Concurrently with the initial delivery of the Bonds to the Purchasers, the City shall deposit an amount from the proceeds from the sale of the Bonds and other available funds of the City, if required, into the Escrow Fund sufficient to provide for the refunding ofthe Refunded Obligations and in accordance with Tex. Gov't Code Ann. ch. 1207. ARTICLE XVI REDEMPTION OF REFUNDED OBLIGA nONS Section 16.01. Redemption of Refunded Obligations. The Refunded Obligations are hereby called for redemption prior to maturity, at a redemption price equal to the principal amount thereof so redeemed plus accrued interest to the date of redemption. Interest on the Refunded Obligations shall cease to accrue on the date of redemption thereof. Section 16.02. Notices of Redemption. Notices of redemption of the Refunded Obligations shall be given in the manner and within the times required by the order authorizing the issuance thereof. The City Clerk of the City is hereby authorized and directed to take all such actions as may be necessary to accomplish the timely giving of such notices of redemption. Section 16.03. Source of Funds for Redemption. The source of funds for payment of the principal of and interest on the bonds called for redemption and to be redeemed in advance of maturity pursuant to this Ordinance shall be from the funds placed in escrow with the Escrow Agent, pursuant to the Escrow Agreement approved in Section 9.01 of this Ordinance. R:\San Marcos\WWWWRfd.05\Docs\Ordinance\Ord Fjnal.wpd 34