Laserfiche WebLink
<br /> Section 7.04. Initial Deposits. <br /> <br /> On the Closing Date, the City shall cause the proceeds from <br /> the sale of the Bonds to be deposited as follows: <br /> (i) first, all accrued interest on the Bonds from <br /> the Original Issue Date until the Closing Date and premium, if <br /> any, shall be deposited to the credit of the Waterworks and <br /> Sewer System Junior Lien Bond Fund; <br /> (ii) second, the remaining balance shall be deposited <br /> to the credit of a construction fund or funds; <br /> ARTICLE VIII <br /> ADDITIONAL BONDS <br /> Section 8.01. Additional Bonds. The City reserves the right <br /> to issue, in one or more installments, additional bonds or <br /> obligations ("Additional Bonds") payable from or secured by a first <br /> lien on and pledge of the revenues of the System, and such <br /> Additional Bonds, when issued in compliance with law and the terms <br /> and conditions hereinafter appearing, shall be equally and ratably <br /> secured by and payable from a lien on and pledge of the net revenues <br /> of the System, and shall be in all respects on a parity and of equal <br /> dignity with the Bonds. The right to issue Additional Bonds at any <br /> time is subject to the following limitations, restrictions, and <br /> conditions: <br /> (a) The Additional Bonds are authorized and issued in <br /> conformity with the Constitution and applicable Statutes of the <br /> State of Texas; <br /> (b) The City certifies that no default exists in connection <br /> with any of the covenants or requirements of the ordinance or <br /> ordinances authorizing the issuance of all then outstanding bonds <br /> payable from the net revenues of the System; <br /> (c) The City certifies that the Interest and Sinking Fund <br /> contains the amount then required to be on deposit therein; <br /> (d) The net revenues of the System for the fiscal year <br /> immediately preceding the issuance and sale of said Additional Bonds <br /> are equal to at least one and five-tenths (1.5) times the average <br /> annual debt service requirements of the then Outstanding Bonds, as <br /> certified by a Certified Public Accountant; and <br /> (e) The annual net revenues of the System will be equal to <br /> at least one and five-tenths (1.5) times the average annual amount <br /> required for payment of principal of and interest on all outstanding <br /> 4172f <br /> -25- <br />