CCRes_83-32a - Laserfiche WebLink

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~: ~ ~- • 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 increments or special assessments herein covenanted to be levied; and provided further that if upon completion of the improvements there shall remain any unexpended balance in the Construction Account, the balance (other than any special assessments) may be transferred by the Council to the fund of any other improvement instituted pursuant to Minnesota Statutes, Chapter 429; and provided further that any special assessments credited to the Construction Account are hereby pledged and shall be used only to pay principal and interest due on the bonds. There is hereby pledged and there shall be credited to the Debt Service Account (a) all collections of special assessments herein covenanted to be levied and either initially credited to the Construction Account and required to pay any principal and interest due on the bonds or collected subsequent to the completion of the public improvements and payment of the costs thereof; (b) all accrued interest received upon delivery of the bonds; (c) all funds paid for the bonds in excess of $514,706; (d) capitalized interest in the amount of $ 18,437.50 (subject to such adjustments as are appropriate to provide sufficient funds to pay interest due on the bonds on or before July 1, 1984); (e) tax increments derived from the • economic development district established pursuant to the Plan as a tax increment financing district (the "Tax Increment Financing District") in an amount sufficient, together with the other sums herein pledged to the payment of the bonds (excluding (f) hereof), to pay 105$ of the principal and interest on the bonds when due; (f) any collections of all taxes hereafter levied in the event that the tax increments are insufficient for the payment of the principal and interest on the bonds, and (g) all funds remaining in the Construction Account after completion of the Project and payment of the costs thereof. 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 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) in excess of amounts which under the applicable federal arbitrage regulations may be invested without regard as to yield shall not''be invested at a yield in excess of the applicable yield restrictions imposed by said arbitrage regulations on such investments.