Agenda - Economic Development Authority - 05/10/2012

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Escrow Agent to disburse $3,297.14 in Refunding Bond proceeds received on Bond Closing and any other residual funds in the Escrow Account to the City for deposit in the Debt Service Account. 2. Acknowledgment of Deposit. Receipt of the Escrow Deposit and Refunding Bond proceeds to pay Issuance Expenses shall be acknowledged on behalf of the Escrow Agent at the Bond Closing by execution of an Acknowledgment in the form attached hereto as Exhibit C by a duly authorized officer of the Escrow Agent. 3. Compensation; Waiver of Lien. The Escrow Agent hereby acknowledges receipt of the sum of $1,350.00 as and for its full compensation for services to be performed by it as agent under this Agreement. There will be no future billings for services rendered by the Escrow Agent. The Escrow Agent expressly waives any lien upon or claim against the moneys and investments in the Escrow Account. 4. Collection and Remittance; Payment of Interest, Principal and Premium, if any, on Refunded Bonds; Substitute Securities. The Escrow Agent will collect all remittances of interest on the Escrowed Obligations in the Escrow Account as and when such interest becomes due and payable. The Escrow Agent will cause such Escrowed Obligations to be presented for payment and converted into cash on their respective maturity or due dates in accordance with the schedule of cash payments included in the Accountant's Report, and will remit from the Escrow Account to the paying agent for the Refunded Bonds, the funds required from time to time for the payment when due, on each interest and principal payment date for the interest, principal and premium, if any, on the Refunded Bonds, If the delivery of any Escrowed Obligations is secured at the Bond Closing by Substitute Securities and/or a cashier's check as hereinabove provided and delivery of the Initial Escrowed Obligations is not made within thirty days after the Bond Closing, the Escrow Agent shall in accordance with the terms of such security arrangement substitute the Substitute Securities and/or cashier's check for the Initial Escrowed Obligations to assure that such schedule of cash payments can be complied with. 5. Sufficiency of Escrow Deposit; Further Deposits. In reliance upon the Accountant's Report, the City represents, and the Escrow Agent acknowledges, that the Escrow Deposit, if the principal of and interest on the Initial Escrowed Obligations are paid in accordance with their terms, is sufficient to produce cash in such amounts to enable the Escrow Agent to make full and timely payments as provided in paragraph 4. If at any time it shall appear to the Escrow Agent that the money in the Escrow Account allocable for such use hereunder will not be sufficient to make any payment due to the holders of any of the Refunded Bonds, the Escrow Agent shall immediately notify the City. The City thereupon shall immediately deposit in the Escrow Account from funds on hand and legally available such additional funds as may be required to meet fully the amount to become due and payable and, if necessary, levy for such purpose an ad valorem property tax on all real property in the City subject to taxation without limitation as to rate or amount. Included in the Accountant's Report is a statement that such cash and Escrowed Obligations are sufficient to comply with the requirements set forth in paragraph 4. 6. No Repeal of Refunding Resolution. The City will not repeal, revoke or amend the resolution calling the Noncallable Prior Bonds for payment on December 15, 2012,