Agenda - Council - 03/24/2015 - Laserfiche WebLink

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the year in which the City issues the Certificate of Completion and due in payable in the following year; provided, however, the amount of the TIF Note shall not be less than the lesser of $2,000,000.00 or the sum of all Eligible Costs Developer actually paid and incurred. Section 6.3 Interest. As set forth in the TIF Note, the unpaid principal amount of the TIF Note shall bear simple, non -compounding interest from the date of issuance of the TIF Note at 6.25% per annum. Interest shall be computed on the basis of a 360 day year consisting of twelve (12) 30 -day months. Section 6.4 Payments. The principal amount of the TIF Note and the interest thereon shall be payable solely from Tax Increments the City receives in 2015 and thereafter. On each TIF Note Payment Date and subject to the provisions of this Section 6.4 and the TIF Note, the City shall pay, against the principal and interest outstanding on the TIF Note, the Tax Increments the City actually received since January 1, 2015, in the case of the first TIF Note Payment Date and since the immediately preceding TIF Note Payment Date in the case of subsequent TIF Note Payment Dates. All such payments shall be applied first to pay accrued, unpaid interest and then to reduce the principal of the TIF Note. Section 6.5 TIF Note Shall Be a Limited Obligation of the City. The TIF Note shall be a special and limited obligation of the City and not a general obligation of the City, and only Tax Increments the City receives on or after June 1, 2015 shall be used to pay the principal of and interest accruing on the TIF Note. Section 6.6 Conditions Subsequent. The City's obligation to make payments on the TIF Note on any TIF Note Payment Date or any date thereafter is conditioned upon the requirements that (i) there shall not be, at the time payment is due, any Event of Default that has occurred and is continuing; and (ii) the City shall not have canceled and rescinded the TIF Note pursuant to Section 13.2(d). Section 6.7 Terms of the TIF Note. The TIF Note shall be governed by and payable pursuant to the additional terms thereof, as set forth in Exhibit B. In the event of any conflict between the terms of the TIF Note and the terms of this Article VI, the terms of the TIF Note shall govern. The issuance of the TIF Note pursuant and subject to the terms of this Agreement, and the taking by the City of such additional actions as bond counsel for the TIF Note may require in connection therewith, are hereby authorized and approved by the City. Section 6.8 Borrower's Prepayment of Loan No. 2. If Borrower prepays Loan No. 2 in full, the City will, prior to the issuance of the TIF Note, revise the TIF Note so that the first TIF Note Payment Date is the first February 1 or August 1 following Borrower's prepayment of Note No. 2 in full and to make the TIF Note payable from Tax Increments the City receives on or after the date Borrower has repaid Loan No. 2 in full. 12 2695614v16