AgdaPkt 2003-11-03 - Laserfiche WebLink

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9.6-29 The information and expressions of opinion herein speak only as of the date of this Official Statement and are subject to change without notice. Neither delivery of this Official Statement nor any sale made hereunder nor any future use of this Official Statement shall, under any circumstances, create any implication that there has been no change in thi affairs of the City since the date hereof. All financial and other information presented in this Official Statement has been provided by the City from its records, except for information expressly attributed to other sources. The presentation of information, including table of receipts from tax increment revenues, is intended to show recent historic information and is not intended to indicate future or continuing trends in the financial or other affairs of the City. No representation is made that past experience, as it might be shown by such financial and other information, will necessarily continue or be repeated in the future. The net proceeds of the sale of the Bonds will be used to (i) provide funds to refund the Authority's 1991 Local Agency Revenue Bonds, Series A (the "1991 Bonds "), issued in the original principal amount of $26,715,000, and currently outstanding in the aggregate amount of $6,725,000, (ii) finance the acquisition and construction of certain infrastructure improvements (the "Projects "), (iii) fund a reserve fund for the Bonds, and (iv) pay certain costs incurred in connection with the issuance of the Bonds. In July 1998, the Authority issued its 1998 Lease Refunding Bonds (Capital Facilities Project) (the "1998 Bonds ") to refund, on July 15, 2001, $10,995,000 of the principal amount of the 1991 Bonds, which constituted some, but not all, of the then outstanding 1991 Bonds. The _ 1998 Bonds are secured by lease payments made by the City under a Sub -Lease Agreement dated March 1, 1998, which is a sublease under a lease agreement entered into in 1991 in connection with the issuance of the 1991 Bonds. In connection with the issuance of the Bonds, the City and the Authority are entering into the Subordinate Lease Agreement, which constitutes a sublease under the 1998 Sub -Lease Agreement. See "RISK FACTORS - Priority of Lease Agreement Upon Destruction of Leased Property or Eminent Domain." Refunding ofRemaining 1991 Bonds. Proceeds of the Bonds used to redeem all of the outstanding 1991 Bonds, together with certain funds held in the funds and accounts related to the 1991 Bonds and made available through the defeasance of the 1991 Bonds, will be deposited in an Escrow Fund to be established pursuant to an Escrow Deposit and Trust Agreement, dated as of November 1, 2003 (the "Escrow Agreement "), by and among the City and BNY Western Trust Company, as escrow bank (the "Escrow Bank "). The moneys in the Escrow Fund will be used, in part, to purchase Federal Securities (as defined in the Escrow Agreement) and subsequently applied by the Escrow Bank to the prepayment of the 1991 Bonds on , 2003. Any amounts remaining in the Escrow Fund following the full redemption of the 1991 Bonds shall be transferred by the Escrow Bank to the City. The deposit with the Escrow Bank will result in the defeasance of the 1991 Bonds pursuant to the provisions of the 1991 Indenture, as of the date of the deposit and the 1991 Bonds will be redeemed approximately 30 days after the date of issuance of the Bonds. The escrowed Federal Securities and other moneys held by the Escrow Bank are pledged to the payment of the 1991 Bonds. Neither the principal of the Federal Securities deposited with the Escrow Bank nor the interest thereon shall be available for the payment of principal of and interest evidenced by the Bonds. -3-