Laserfiche WebLink
date of deposit, and any amount received from investment of money held in the Bond Fund will <br /> • be spent within a one-year period beginning on the date of receipt. <br /> (b) There shall be established and maintained in the Bond Fund a Debt <br /> Service Reserve Account in an amount equal to one-half of the maximum annual principal and <br /> interest requirements on the bonds (the "required level"). Moneys in the Debt Service Reserve <br /> Account shall be used to make the payments described in clauses (2) and (3) of (a) above if <br /> moneys in the Debt Service Account in the Bond Fund are not otherwise sufficient for that <br /> purpose. Moneys in the Debt Service Reserve Account over and above the required level shall <br /> be immediately transferred from the Debt Service Reserve Account into the Debt Service <br /> Account in the Bond Fund. The Trustee shall compute on each interest payment date for the <br /> bonds the required level for the Debt Service Reserve Account. Moneys in the Debt Service <br /> Reserve Account shall be used to make the final payment of principal and interest on the bonds, <br /> whether at maturity or at redemption prior to maturity. <br /> (c) When the moneys in the Bond Fund shall be and remain sufficient to pay <br /> (1) the principal of all the bonds then outstanding, (2) interest on the bonds until the next interest <br /> payment date, (3) the Trustee's fees and expenses and other administrative charges and (4) all <br /> arbitrage rebate payments due the United States under Section 148(f) of the Code, there shall be <br /> no obligation to make any further payments into the Bond Fund and any Pledged Revenues <br /> remaining in the Bond Fund after the principal of, premium, if any and interest on the bonds <br /> have been paid may be used by the City for any lawful purpose. <br /> • (d) All moneys in the Bond Fund shall be used solely for the purpose of <br /> paying the principal of and interest on the bonds, any arbitrage rebate due under Section 148(f) <br /> of the Code and Trustee's fees and expenses and other administrative charges, as the same <br /> become due. <br /> (e) The Trustee is authorized and directed to withdraw moneys from the Bond <br /> Fund from time to time as necessary for paying principal of and interest on the bonds when due <br /> at maturity or at redemption prior to maturity and for making other authorized Bond Fund <br /> expenditures. <br /> (f) The bonds shall be specifically secured by a pledge of the Pledged <br /> Revenues, which pledge in favor of the bonds is hereby irrevocably made according to the terms <br /> of this Ordinance, and the City, and the officers and employees of the City, shall execute, <br /> perform and carry out the terms thereof in strict conformity with the provisions of this <br /> Ordinance. <br /> (g) Anything herein to the contrary notwithstanding, moneys in the <br /> Redemption Account derived from deposits made pursuant to clause (6) of Section 7(b) hereof <br /> and interest earnings thereon(1) shall be used from time to time to make up shortfalls in the Debt <br /> Service Account, rather than redeeming bonds prior to maturity, and (2) shall not be used to <br /> redeem bonds more often than annually (rather than on each interest payment date) if the Trustee <br /> reasonably determines that such amounts available for redemption may be needed to make <br /> • scheduled debt service payments. <br /> 14 <br />