CCRes_85-23 - Laserfiche WebLink

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the Capital Account, from which there shall be paid all costs and expenses of the Project, including the cost of any . construction contracts heretofore let anc~ all other costs incurred and to be incurred of the kind authorized in Minnesota Statutes, Section 475.65; and the moneys in said account shall be used for no other purpose except as otherwise provided by law; provided that the Bond proceeds may also be used to the extent necessary to pay interest on the Bonds due prior to the anticipated date of commencement of the collection of taxes herein levied or covenanted to be levied and the receipt of tax increments. There is hereby pledged and there shall be credited to the Debt Service Account (a) all accrued interest received upon delivery of the Bonds; (b) all funds paid for the Bonds in excess of $1,280,500; (c) capitalized interest in the amount of $ 286,823 (together with interest earnings thereon and subject to such other adjustments as are appropriate to provide sufficient funds to pay interest due on the Bonds on or before March 1, 1987); (d) collection of all of the tax increments the "Tax Increments") to be received from the Tax Increment District for the payment of the principal of and the interest on the Bonds, subject to the right of the City, to pledge or apply the Tax Increments to the payment of any other public costs of redevelopment of the Development District, as may be from time to time modified, including debt service on any obligations issued or otherwise incurred with respect to such costs, whether or not such pledge or application is made prior to, on a parity with or subordinate to the pledge and • application of the Tax Increments to the payment of debt service on the Bonds; (e) any guaranty payments or letter of credit proceeds paid pursuant to the Development Agreement dated June 10, 1985 between the City and Coffman Housing Partnership (the "Development Agreement"), but only to the extent such payments do not exceed 25$ of the debt service on the Bonds in any calendar year; (f) any collections of all taxes which may hereafter be levied in the event that the tax increments herein pledged to the payment of the principal and interest on the Bonds are insufficient therefore; (g) all funds remaining in the Capital Account after completion of the Project and payment of the costs thereof; and (h) all investment earnings on funds held in the nebt Service Account. The Debt Service Account herein created shall be used solely to pay the principal and interest and any premiums for redemption of the Bonds issued hereunder and any other general obligation tax increment bonds of the City hereafter issued by the City and made payable from said account as provided by law. Any sums from time to time held in the Debt Service Account (or any other City account which will be used to pay principal or interest to become due on the bonds payable therefrom) in 16 •