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

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SECTION 5.10. Creation and Operation of the Capital Repair and Replacement 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 Capital Repair and Replacement Fund." All Monthly Deposits received by the Trustee from the Company and all amounts set forth as provided in Section 5.2 hereof shall be credited to the Capital Repair and Replacement Fund. Amounts deposited in the Capital Repair and Replacement Fund shall be applied by the Trustee, not more than once each month and so long as no Event of Default shall have occurred and be continuing hereunder, as requested in a written request of the Company for the payment or reimbursement of items of repair, improvement, additions to, betterment of and replacement with respect to the School Facilities which constitute capital expenditures under Generally Accepted Accounting Principles or which otherwise constitute major periodic repair, capital improvement to or maintenance of the School Facilities (including the acquisition of land and payment of architects, engineers, and other professionals), such as annual painting or re-carpeting of a section of the School Facilities (as opposed to incidental repairs such as touch-up painting, replacement of individual carpet tiles, etc.). The Company request shall identify the expenditures to be made by nature and amount, shall identify the contractor or other party making the repairs, improvements, and replacements, and shall certify that the expenditures are proper expenditures to be made or reimbursed from the Capital Repair and Replacement Fund. Investment earnings on amounts held in the Capital Repair and Replacement Fund shall remain in, and be credited as received to, the Capital Repair and Replacement Fund. The Trustee may conclusively rely on requests submitted in accordance with this Section as complete authorization for the disbursements made pursuant thereto and shall not be responsible for any representations or certifications made thereon or for any use of funds disbursed in accordance with this Section. Amounts on hand in the Capital Repair and Replacement Fund, if any, may be transferred by the Trustee to the Bond Fund, as needed if, on any Interest Payment Date, the amount then on hand in the Bond Fund, after application of any available amounts in the Reserve Fund, is not sufficient to pay the principal and interest then due on the Bonds, whether at maturity or upon redemption or by acceleration. The Capital Repair and Replacement Fund shall be in the custody of the Trustee,but in the name of the Issuer, and the Issuer hereby authorizes and directs the Trustee to withdraw funds from the Capital Repair and Replacement Fund for the purposes set forth in this Section 5.10, which authorization and direction the Trustee hereby accepts. Amounts, if any,remaining in the Capital Repair and Replacement Fund upon the payment in full of all Bonds, or the provision for payment therefor in accordance with the terms of this Indenture, shall be transferred to the Company. SECTION 5.11. Creation and Operation of the Expense 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 Expense Fund." 47 735810810