Agenda - Council - 07/12/2022 - Laserfiche WebLink

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SECTION 5.4. Creation and Operation of the 2022 Project Fund. There is hereby created and established with the Trustee a trust fund in the name of the Issuer to be designated the "Charter School Lease Revenue Bonds(PACT Charter School Project), Series 2022 Project Fund." On the Date of Issuance of the Series 2022 Bonds, the Trustee shall deposit to the 2022 Project Fund the amount stated in Section 3.1(d) of the Loan Agreement and in Section 5.1(a)(iv) hereof, and thereafter any money received by the Trustee that is accompanied by written notice that such money is for payment of Project Costs shall be credited to the 2022 Project Fund. Amounts on hand in the 2022 Project Fund shall be held by the Trustee in trust and, subject to the provisions of this section, shall be applied to the payment of Project Costs, and, pending such application, shall be subject to a lien and charge in favor of the Bondholders of the Bonds. All disbursements from the 2022 Project Fund shall be made in accordance with, and subject to the provisions and restrictions set forth in Section 5.6 of the Loan Agreement and the Disbursing Agreement in the form of the 2022 Project Fund Requisition attached as EXHIBIT C to this Indenture. All Company certificates, orders, and requests and other documents received by the Trustee,as required by the Loan Agreement and the Disbursing Agreement as conditions precedent to the payment from the 2022 Project Fund, may be relied upon by the Trustee, and shall be retained by the Trustee, subject at all reasonable times to examination by the Issuer,the Company, and the Trustee (acting at the direction of the Majority Bondholder(s)). When the Trustee has received the materials necessary to establish the Completion Date of the 2022 Project in accordance with Section 5.8 of the Loan Agreement and as evidenced by the Company filing with the Trustee Completion Certificates in the form attached hereto as EXHIBIT F for each of the Elementary School Campus and the Upper School Campus,any money remaining in the 2022 Project Fund shall be disbursed or transferred in accordance with the provisions of Section 5.8(b) of the Loan Agreement, so long as no Event of Default shall have occurred and be continuing. If the Trustee has accelerated the Series 2022 Bonds in accordance with Section 8.2 of this Indenture and has accelerated the Loan Repayments in accordance with the provisions of Section 9.2 of the Loan Agreement, the Trustee may transfer any amounts remaining in the 2022 Project Fund to the Bond Fund to be applied in accordance with the provisions of Article VIII of this Indenture. All income derived from the investment of amounts in the 2022 Project Fund, after payment of any unpaid Trustee's fees and expenses, shall be credited to the 2022 Project Fund until the Completion Date, and thereafter, if any, to the Bond Fund. On the Completion Date, after payment of Project Costs relating thereto and any unpaid Trustee's fees and expenses, any balance remaining in the 2022 Project Fund shall be transferred to the Bond Fund and held in a separate and special subaccount to be used by the Trustee, without the need for direction by the Issuer or the Company, for the redemption of Series 2022 Bonds on the first date on which the Series 2022 Bonds are redeemable in accordance with their terms at par or, to the extent permitted without affecting the exemption of interest on the Series 2022A Bonds, according to an opinion of Bond Counsel, to pay installments of interest or to pay the principal of Bonds at their stated maturity. The Company acknowledges that any amounts so transferred to the Bond Fund are required to be invested at a yield not to exceed the yield on the Tax-Exempt Bonds unless the Company receives an Opinion of Bond Counsel that investment at an unrestricted yield 42 735810810