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default under the Indenture. Pursuant to the Intercreditor Agreement,the Depository Bank's interest in any
<br /> funding sources(other than the General Education Funding)or assets of the Charter School is subordinated
<br /> to the interest of the Bondholders. See "SECURITY FOR THE SERIES 2022 BONDS" and
<br /> "APPENDIX A— THE COMPANY, THE CHARTER SCHOOL AND THE SERIES 2022 PROJECT —
<br /> BUDGET; ACCOUNTING; DEBT; FUNDRAISING"in this Official Statement.
<br /> Additional Bonds
<br /> Pursuant to the Indenture,the Issuer or another municipality authorized by the Act(the"Alternate
<br /> Issuer"), at the request of the Company, is authorized to issue Additional Bonds secured and payable on a
<br /> parity basis with the Series 2022 Bonds provided that,prior to the issuance of any such Additional Bonds,
<br /> the following terms and conditions have been met:
<br /> (a) the Trustee has received a copy, duly certified on behalf of the Issuer or the Alternate
<br /> Issuer, of the resolution adopted by the Issuer or the Alternate Issuer authorizing the issuance of such
<br /> Additional Bonds and the execution and delivery of (i) a supplemental indenture, supplementing and
<br /> amending the Indenture, which supplemental indenture will not require the approval of any Registered
<br /> Owner of the Series 2022 Bonds,providing the date,interest rates and maturities of such Additional Bonds,
<br /> options and requirements for redemption prior to maturity with respect to such Additional Bonds, deposit
<br /> of proceeds to the various funds and accounts, and such other terms as may be required by reason of the
<br /> foregoing and which adopts the applicable provisions of the Indenture, (ii) an amendment supplementing
<br /> and amending the Loan Agreement,(iii)an amendment supplementing and amending the Mortgage, (iv) an
<br /> amendment to the Lease and each the Indenture, the Loan Agreement, the Bond Purchase Agreement, the
<br /> Leases, the Mortgage, the Assignment of Lease, the Intercreditor Agreement, the Account Control
<br /> Agreement, the Disbursing Agreement, the Collateral Assignment, the SNDA, the Pledge Agreement, the
<br /> Continuing Disclosure Agreement, and the Tax Certificate, as applicable or a new lease pursuant to which
<br /> the Charter School is obligated to make additional Lease Payments sufficient to pay the principal and
<br /> interest due with respect to such Additional Bonds and any related costs or expenses, and (v) such other
<br /> documents as are necessary or appropriate in connection with the issuance, sale, and delivery of such
<br /> Additional Bonds;
<br /> (b) the Trustee has either (1) received (i) an opinion, report, or certificate of an Independent
<br /> Accountant or Independent Consultant (such as the Charter School's Independent third party business
<br /> manager) selected by the Charter School to the effect that the Charter School's Net Income Available for
<br /> Debt Service for the Fiscal Year immediately preceding the date on which such Additional Bonds are to be
<br /> issued for which audited financial statements are available,totals at least 120%of maximum Principal and
<br /> Interest Requirements on existing Long-Term Indebtedness of the Charter School (excluding such
<br /> requirements for the proposed Additional Bonds,but including such requirements for any Indebtedness of
<br /> the School to be refinanced thereby) payable in any Fiscal Year, and (ii) a certificate of the person
<br /> designated to act on behalf of the Charter School (the "Charter School Representative"), verified by an
<br /> Independent Accountant or Independent Consultant (such as the Charter School's Independent third party
<br /> business manager) selected by the Company, to the effect that Net Income Available for Debt Service for
<br /> the next Fiscal Year beginning after the Fiscal Year in which any improvements being financed by such
<br /> proposed Additional Bonds are to be placed in service, or, if no improvements are to be financed thereby,
<br /> beginning with the first Fiscal Year after the Fiscal Year in which the proposed Additional Bonds are to be
<br /> issued, will be at least 125% of the maximum Principal and Interest Requirements on Long-Term
<br /> Indebtedness of the Charter School (including such requirements for the proposed Additional Bonds, but
<br /> excluding such requirements for any then outstanding Long-Term Indebtedness of the Charter School or
<br /> Bonds to be refinanced by the proposed Additional Bonds) for each Fiscal Year beginning with the second
<br /> Fiscal Year after the Fiscal Year in which any improvements being financed by such proposed Additional
<br /> Bonds are to be placed in service, or, if no improvements are to be financed thereby, beginning with the
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