Res 1996-052 - Laserfiche WebLink

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4Jff¡:: In cxder 10 satistY the City's obligatiœs with:respect 10 the R.ese:rve Fund ¡rovided in Sectioo 8.03(a) of this Onfinanœ, the City has pm:basc:d fiœ1 a Surety a Surety Policy far such F'IJIXi, in an BItIiOUDi: equal to the amount of the a v eœge ammal n:qujœment far the pa}IDCDÌ of ¡;rincipaland interest with :respect to the Bœds. T.be City Cooncil hereby finds and detemrines that the suMritn1iN1 of a Surety Policy in lieu of depositing cash to the Re:9c::rve Fund is cost effi:ctive. In cxder to obtaù1 a Surety Policy to satisiY the City's obligatioos with respect 10 the Rcsc:ve Fund after the issuance of the Bœds, the City is authorized to enter Ïnío an agœement with MBIA Insuxanœ CapŒatiœ. whiclJ. shall be 5l1Mt>mtiAlly in the £am attached hereto as Exhibit A, the 1:em1s and JXOvÏSÏI.:ms of whiclJ. are bereby ap{XOved, subject to such inse:rtioos, additiœs, and modificatiœs as shall be necessary to cany out the intents and purposes of this O!:dinance and to ccmply with applicable laws and œgulatiœs; the Maycc of the City is hereby authŒized and directed to execute and deliver such agœement en behalf of the City in multiple =terparts; and the City Secretmy of the City is hereby authcrized and directed to attest and affix the City's seal thereto; provided, however, that any interest due en any repa}1IJeDt ob~ of the City under my such agree:ment ¡roviding Surety, by reascn of payIDClts made under any Surety Policy O£ Policies, may not exœed the highest lawful rate of interest whicl1 may be paid by the City at the time of the delivery of such Surety Policies. In COIJSÏdt:miœ of the issuance ~- of the Surety Policy, the City covenants and agrees with the Surety as follows: : (a) T.be City shall withdœw any cash that may be en deposit in the R=ve Fund to be applied 1XO rata to the payment of amounts then cœring due en all outCltsmÆng Parity ~ Obligatiœs ¡ria to any demand foe pa}IDCDÌ under a Surety Policy foe the Reserve Fund. (b) In the evc:¡t that Surety Policies have been issued by mae than ooe Surety to satisfy the rec¡uin:mems of Sectiœ. 8.03(.11.). the City shall draw ¡ro rata en each of such Surety Policies to the e:xt.enì required to make payments of amounts then caning due en olltqtRIViing Parity Revenue Obligations. (c) T.be Directcr of Finance of the City or other appropriate City official shall deliver any draw foe payment in the fann required under a Surety Policy to the Surety at least three days prior to the date œ which such fimds are 10 be required by the City. (d) T.be City shall pay fi:om available Net Revenues any repayment obligatioos (including interest) i:ocurred by the City to a Surety that has issued a Surety Policy, the payment of which 'Will result in the IciUCltRtPmPT'lt of such Surety Policy, prier to maJcing any cash deposits that may be required to be made to the R.ese:rve Fund pursuant to the provisioos of Sectiœ 8.03(.11.). in ~ to restore the balance in the such Fund to the 8IIlOI.UJ.t then required 10 be en deposit ~ (e) T.be Directcr of Finance of the City or other 8plX1J{Xiate City official shall maintain adequate records, verified with each Surety issuing a Surety Policy, as to the amount available to be drawn at any given time under such Surety Policy and as to the repayment obligatiœ paid and owing to such Surety. (1) T.be City may not discharge the ¡rovisioos of this Ordinanœ tmtil all repayment obligatioos (including interest) owed to any Surety have been paid or ¡rovisiœ has been made fer such payme:nt. (g) The City shall not ca1l any QlrtCltmvimg Parity Revenue Obligatioos foe optiœal redempticn pursuant to this Ordinance tmtil all æpayment obligatiœs to any Surety that has issued a Surety Policy far the Reserve Fund have been paid. ¡ (h) The covenants and agreements NYltA;"""'¡ in paœgœpòs (a) through (g) of this Sectien 14.01 may not be ~ I or 'Wmved without the ¡ria written cœsent of the Surety. t * * * " 24