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ARTICLE 9MREE <br />GENERAL COVENANTS <br /> <br />3-1. ~_m_wngnt of Pr!nci__n~] and <br /> <br /> ~he City covenants that it will promptly pay or cause to be paid the <br />principal of and interest on the Note at the place, on the dates, solely from <br />the source and in the manner provided herein and in the Note. The principal <br />and interest are payable solely from and secured by revenues and proceeds <br />derived from the Loan Agreement, the Pledge Agreement, the Mortgage, the <br />Construction Loan Agreenent, the Guaranty, the Assignment of Leases and Rents <br />and the Security Agreement, which revenues and proceeds are hereby specifically <br />pledged to the payment thereof in the manner and to the extent specified in the <br />Note, the Loan Agreement, the Pledge Agreement, the Mortgage, the Construction <br />Loan Agreement, the Guaranty, the Assignment of Leases and Rents and the <br />Security Agreement; and nothing in the Note or in this Resolution shall be <br />considered as assigning, pledging or otherwise encumbering any other funds or <br />assets of the City. <br /> <br />3-2. performanem of and.Authority for Cnu~nants. <br /> <br /> ~he City covenants that it will faithfully perform at all times and all <br />covenants, undertakings, stipulations and provisions contained in this <br />Resolution, in the Note executed, aunthenticated and delivered hereunder and in <br />all proceedings of the City Council pertaining thereto; that it is duly <br />authorized under the Constitution and laws of the State of Minnesota including <br />particularly and without limitation the Act, to issued the Note authorized <br />hereby, pledge the revenues and assing the Loan Agreement in the manner and to <br />the extent set forth in this Resolution, the Note, the Loan Agreement and the <br />Pledge Agreement; that all action on its part for the issuance of the Note and <br />for the execution and delivery thereof has been duly and effectively taken; and <br />that the Note in the hands of the Lender is and will be a valid and enforceable <br />special limited obligation of the City according to the terms thereof. <br /> <br />3-3. Enformmmmnt and_Pmrformancm of Covenants. <br /> <br /> ~he City agrees to enforce all covenants and obligations of the Borrower <br />under the Loan Agreement and Construction Loan Agreement, and to perform all <br />covenants and other provisions pertaining to the City contained in the Note, <br />the Loan Agreement and the Construction Loan Agreement and subject to Section 3- <br />4. <br /> <br />3-4. Nature_of S~euri~. <br /> <br /> Notwithstanding anything contained in the Note, the Mortgage~ the <br />Assignment of Leases and Rents, the Security Agreement, the Loan Agreement, the <br />Pledge Agreement or any other document referred to in Section 2-4 to the <br />contrary, under the provisions of the Act the Note may not be payable from or <br />be a charge upon any funds of the City other than the revenues and proceeds <br />pledged to the payment thereof, nor shall the City be subject to any liability <br />thereon, nor shall the Note otherwise cDntribute or give rise to ta pecuniary <br />liability of the City or, to the extent permitted by law, any of the City's <br /> <br /> <br />