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a)
<br />
<br />The~ is no Ufilpuio~ pending or, to the b~t of iu knowled~, threatened
<br />against tbe City relating to the Project or m tbe Ikm~, the Loan Agreemem,
<br />the Bond Purchase Agreement or the Trust Indenture or questioning the
<br />organi-.~,ion, powers or authority of ~he City.
<br />
<br />Thc execution, dclivcry and performance of thc City's obligations under the
<br />Bonds, thc Trust Indenture, thc Bond Purchase Agreement and thc Loan
<br />Agrcc~nt do not and will not violate any order of any court or other
<br />agency of government of which thc City is aware or in which thc City is a
<br />party, or any indcnun'c, agrccmcnt or other insu'umcnt to which thc City is a
<br />parry or by which it or any of its property is bound, or bc in conflict with,
<br />result in a breach of, or constimu~ (with due notice or lapse of time or both)
<br />a default under any such indenture, sgteement or other instrument.
<br />
<br />It is desirable that thc Bonds be issued by thc City upon thc terms set forth
<br />in thc Trust Indenture, under thc provisions of which thc City's interest in
<br />thc Loan Agreement will be pledged to thc Trustee as security for thc
<br />payment of principal of, premium, if any, and intercs~ on thc Bonds.
<br />
<br />(g)
<br />
<br />Thc Loan Agreement provides for payments by thc Borrower to thc Tmstcc
<br />for thc account of thc City of such amounts as will be sufficient to pay the
<br />principal of, prcmium, ff any, and intcrcs! on thc Bonds when duc. Thc
<br />Loan Agreement obligates thc Borrowcr to pay for all costs of operation and
<br />maintenance of thc Project l~acilitics, including adequate insurance, taxes
<br />and special assessments. A reasonably required reserve fund has been
<br />deemed necessary to bc established under thc provisions of thc Indenture in
<br />connection with thc issuance of thc Bonds.
<br />
<br />fa)
<br />
<br />Under thc provisions of the Act, and as provided in thc Loan Agreement
<br />and Trust Indenture, the Bonds arc not to be payable from nor charged upon
<br />any funds other than amounts payable pursuant t~ thc Loan Agreement and
<br />moneys in thc funds and accounts held by thc Trustee which arc pledged to
<br />the payment thereof; thc City is not subject to any liability there, om no
<br />holders of thc Bonds shall ever have thc right to compel thc exercise of thc
<br />taxing power of thc City w pay any of thc bonds or thc interest thereon, nor
<br />to enforce payment thereof against any property of thc City;, thc Bonds shall
<br />not constitute a charge, lien or encumbrance, legal or equitable, upon any
<br />properly of thc City; and each Bond issued under thc Trust Indenture shall
<br />recite that thc Bond, including interest thcmon, shall not constitute or give
<br />risc to ~ charge against the gen~ral credit or uodng powers of thc City.
<br />
<br />Approval and Bxecution of Docurncnts: Thc forms of Loan Agreement, Trust Indenture,
<br />Bond Purchase Agreement, Mortgage, Assignment, Lcase Guaranty and Guaranty,
<br />referred w in paralp'aph 2, are approved. The Loan Agreement and Trust Indcnun'e shall be
<br />executed in the name and on behalf of thc City by thc Mayor and the City Clerk, or other
<br />officers of thc City, in substantially the form on file, but with all such changes therein, not
<br />inconsistent with the Act or other law, as may be approved by thc officcrs executing thc
<br />sum¢, which approval shall bc conclusively evidcnced by thc execution there, of, and then
<br />shall be delivered to thc Trustee. Thc Bond Purchase Agreement shall be signed on behalf
<br />of the City as provided therein. Copies of all documents shall be delivered and filed as
<br />prov~ied thcrein.
<br />
<br />Resolution ~g90-06-
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