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05-11-2015 EDA Packet
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05-11-2015 EDA Packet
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EDA
EDA Document Type
EDA Packet
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05/11/2015
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City hereunder shall be met, solely from the amount appropriated by the City Council for such purpose in the <br />City’s annual budget and shall constitute a current expense of the City for the Fiscal Year then in effect. It <br />shall not constitute an indebtedness of the City within the meaning of the Constitution and laws of the State <br />of Minnesota. <br /> <br /> The other obligations of the City hereunder shall be met solely from one or more of the following: <br />(a) Net Proceeds of insurance or self-insurance required to be maintained by the City under Article VII <br />hereof; (b) Net Proceeds of any condemnation award with respect to the Site and Facilities; and (c) moneys <br />from time to time appropriated by the City Council for this purpose, provided that the City Council shall have <br />no legal obligation to appropriate moneys for this purpose. <br /> <br /> Section 4.5. City’s Obligations and Remedies. <br /> <br /> (a) Except as provided in Section 5.6 hereof, the City’s obligation to pay Lease Payments due <br />with respect to the Site and the Facilities, and to perform and observe all other covenants and agreements of <br />the City contained herein, shall be absolute and unconditional; and the Lease Payments and Additional Lease <br />Payments due and payable hereunder shall be made without notice or demand and without set-off, <br />counterclaim, abatement, deduction or defense including, without limitation, any failure or delay by the <br />Authority in the performance of any of its obligations hereunder, and irrespective of whether the Facilities <br />shall have been started or completed, or whether the City’s or the Authority’s title thereto or to any part <br />thereof is defective or nonexistent, and notwithstanding any damage to, loss, theft or destruction of the <br />Facilities or any part thereof, any failure of consideration, the taking by eminent domain of title to or of the <br />right of temporary use of all or any part of the Facilities, legal curtailment of the City’s use thereof, the <br />eviction or constructive eviction of the City, any change in the tax or other laws of the United States of <br />America, the State of Minnesota or any political subdivision thereof, any change in the Authority’s legal <br />organization or status, or any default of the Authority hereunder, and regardless of the invalidity of any action <br />of the Authority, and regardless of the invalidity of any portion of this Lease. <br /> <br /> (b) Notwithstanding any provision or covenant contained in this Lease or the Bonds, the City is <br />not obligated to renew the Lease beyond any Fiscal Year from time to time in effect, nor is it obligated to <br />budget or appropriate moneys or to pay Lease Payments or Additional Lease Payments beyond the end of the <br />Fiscal Year in effect at a given time. <br /> <br /> (c) Nothing in this Lease shall be construed to release the Authority from the performance of <br />any agreement on its part herein contained or as a waiver by the City of any rights or claims which the City <br />may have against the Authority under this Lease or otherwise, but any recovery upon such rights and claims <br />shall be had from the Authority separately, it being the intent of this Lease that the City shall be <br />unconditionally and absolutely obligated to perform fully all of its obligations, agreements and covenants <br />under this Lease during the Term of Lease unless sooner terminated in accordance with Section 5.2 hereof <br />(including the obligation to make Lease Payments and Additional Lease Payments) for the benefit of the <br />Owners of the Bonds. The City may, however, at its own cost and expense and in its own name or in the <br />name of the Authority, prosecute or defend any action or proceeding or take any other action involving third <br />persons which the City deems reasonably necessary in order to secure or protect its right of possession, <br />occupancy and use hereunder, and in such event the Authority hereby agrees to cooperate fully with the City <br />and to take all action necessary to effect the substitution of the City for the Authority in any such action or <br />proceeding if the City shall so request. <br /> <br /> Section 4.6. Possession and Enjoyment. The Authority hereby covenants to provide the City during <br />the Term of Lease with quiet use and enjoyment of the Site and Facilities, and the City shall during such <br />Term peaceably and quietly have and hold and enjoy the Site and Facilities, without suit, trouble or hindrance <br />from the Authority, except as expressly set forth in this Lease. At the request of the City and at the City’s <br />460515v1 JAE LN140-112 11
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