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Atta 7.A. - Page 26 <br /> conditions contained in the Installment Purchase Contract are satisfied. See "SECURITY FOR <br /> THE BONDS-Additional Debt." <br /> Rate Covenants <br /> The City is obligated under the Installment Purchase Contract (and the 2007 Installment <br /> Purchase Contract and the 2006 Installment Purchase Contract) to fix, prescribe and collect <br /> rates, fees and charges in connection with the Enterprise so as to yield Gross Revenues at least <br /> sufficient to pay operation and maintenance costs of the Enterprise, all Installment Payments <br /> and all payments of principal of and interest on any Parity Debt as they become due and <br /> payable, all amounts, if any, required to restore the balance in the Reserve Fund to the full <br /> amount of the Reserve Requirement, and all payments required to meet any other obligations of <br /> the City which are charges,liens,encumbrances upon, or which are otherwise payable from, the <br /> Gross Revenues. <br /> In addition, the City is required to fix, prescribe, revise and collect rates, fees and <br /> charges for the services and facilities furnished by the Enterprise during each Fiscal Year which <br /> are sufficient to yield estimated Net Revenues which are at least equal to 120% of the aggregate <br /> amount of the Installment Payments, and principal of and interest on any Parity Obligations <br /> (being all bonds,notes,loan agreements,installment sale agreements,leases or other obligations <br /> of the City, payable from and secured by a pledge of and lien upon any of the Net Revenues <br /> incurred on a parity with the payment of the Installment Payments) issued or incurred after the <br /> issuance of the Bonds, payable from Net Revenues coming due and payable during such Fiscal <br /> Year. <br /> See "SECURITY FOR THE BONDS-Rate Covenants;Collection of Rates and Charges." <br /> Redemption <br /> The Bonds are subject to optional and extraordinary casualty redemption as described <br /> herein. See "THE BONDS—Redemption." <br /> Book-Entry Form <br /> The Bonds will be delivered in fully registered form only and, when issued and <br /> delivered, will be registered in the name of Cede & Co., as nominee of The Depository Trust <br /> Company, New York, New York ("DTC"). DTC will act as securities depository for the Bonds. <br /> Ownership interests in the Bonds may be purchased in denominations of$5,000 or any integral <br /> multiple thereof, in book-entry form only. Principal, premium, if any, and interest are payable <br /> directly to DTC by the Trustee. Upon receipt of payments of principal of, premium, if any, and <br /> interest on the Bonds, DTC is obligated to remit such principal,premium, if any, and interest to <br /> the participants in DTC for subsequent disbursement to the beneficial owners of the Bonds. See <br /> "THE BONDS—Book-Entry Only System" below and APPENDIX G—BOOK-ENTRY ONLY <br /> SYSTEM. <br /> Continuing Disclosure <br /> The City will covenant, pursuant to a continuing disclosure certificate (the "Continuing <br /> Disclosure Certificate") to be executed on the date of delivery of the Bonds, for the benefit of <br /> owners and beneficial owners of the Bonds, to provide certain financial information and <br /> operating data related to the Enterprise by not later than nine months following the end of the <br /> City's Fiscal Year (the "Annual Report"), and to provide notices of the occurrence of certain <br /> enumerated events. The Annual Report and notices of enumerated events will be filed by the <br /> City with the Municipal Securities Rulemaking Board. The specific nature of the information to <br /> -3- <br />