05-13-2020 Council Packet - Laserfiche WebLink

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12316306v3 -26- ARTICLE IV BOND PROCEEDS; PROJECT FUND Section 4.01 Deposit of Series 2020 Bond Proceeds; Transfer of Prior Note Proceeds. (a)The Issuer shall deposit, or shall direct the Original Purchaser of the Series 2020 Bonds to deposit, with the Trustee all of the net proceeds of the sale of the Series 2020 Bonds, and the Trustee out of such proceeds shall: (i)Transfer from the proceeds of the Series 2018 Bonds to the sole holder of the Prior Note an amount equal to $____________; and (ii)Deposit from proceeds of the Series 2020 Bonds to the credit of the Bond Fund an amount constituting funded interest in the amount of $__________; and (iii)Deposit from proceeds of the Series 2020 Bonds to the credit of the Reserve Fund an amount equal to the Reserve Requirement; and (iv)Deposit to the credit of the 2020 Project Account of the Project Fund the balance of the proceeds of the Series 2020 Bonds. (b)Upon receipt of the transfer of proceeds of the Prior Note, the Trustee shall deposit the full amount thereof to the credit of the 2018 Project Account of the Project Fund. Section 4.02 Establishment of Project Fund. There is hereby established a separate fund to be maintained by the Trustee hereunder, and there shall be deposited with the Trustee to the credit of such fund (herein called the "Project Fund"), the proceeds of the Series 2020 Bonds, except as otherwise provided herein. The Issuer has no obligation hereunder or under the Act to deposit any moneys in the Project Fund or apply moneys to Project Costs except proceeds of Bonds or funds made available therefor by the Borrower. Within the Project Fund, the Trustee shall establish three separate accounts, the 2018 Project Account, the 2020 Project Account, and the Cost of Issuance Account. On the Closing Date, proceeds of the Series 2020 Bonds in the amount of $____________ shall be deposited by the Trustee into the 2020 Project Account. Such proceeds shall be applied to the payment or reimbursement of Project Costs with respect to the 2020 Project, as further provided in Section 4.04 hereof. On the Closing Date, proceeds of the Series 2020 Bonds in the amount of $____________ shall be deposited by the Trustee into the Cost of Issuance Account. [In addition, the Trustee shall also deposit moneys transmitted by the Borrower not constituting proceeds of the Series 2020 Bonds, in the amount of $___________, into the Cost of Issuance Account.] All funds held in the Cost of Issuance Account shall be applied to the payment or reimbursement of costs of issuance of the Series 2020 Bonds, as further provided in Section 4.05 hereof.