Ord 1992-032 - Laserfiche WebLink

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ARTICLE IX ADDITIONAL OBLIGATIONS Section 9.01. Issuance of Additional Priority Obliqations Prohibited. The City hereby covenants that so long as any principal or interest pertaining to any Parity Revenue Obligations remain outstanding and unpaid, it will not authorize or issue further Priority Obligations (including obligations to refund outstanding Priority Obligations) secured by a lien on or pledge of the net revenues of the System superior to the lien ascribed to the Parity Revenue Obligations. Section 9.02. Issuance of Additional Parity Obliqations Authorized. In addition to the right to issue obligations of inferior lien as authorized by the laws of this State, the City reserves the right to issue Additional Parity Obligations which, when duly authorized and issued in compliance with law and the terms and conditions hereinafter appearing, shall be on a parity with the Bonds herein authorized, payable from and equally and ratably secured by a lien on and pledge of the Net Revenues of the System; and the Bonds and Additional Parity Obligations shall in all respects be of equal dignity. The Additional Parity Obligations may be issued in one or more installments, provided, however, that none shall be issued unless and until the following conditions have been met: (a) The City is not then in default as to any covenant, condition or obligation prescribed in an ordinance authorizing the issuance of the outstanding Priority Obligations or Parity Revenue Obligations. (b) The proposed Additional Parity Obligations shall have been approved by the Attorney General of Texas. (c) Each of the Funds created for the payment, security and benefi t of the Priority Obligations and Parity Revenue Obligations contains the amount of money then required to be on deposit therein. (d) The City has secured from a Certified Public Accountant a certificate or report reflecting that for the fiscal year next preceding the date of the proposed Additional Parity Obligations or a consecutive twelve (12) month period out of the fifteen (15) month period next preceding the month in which the ordinance authorizing the proposed Additional Parity Obligations is adopted, the "net revenues" of the System were equal to at least 1.25 times the combined average annual principal and interest requirements on all Priority Obligations, Series 1984-A Certificates and Parity Revenue 4322f -30-