Laserfiche WebLink
funds pledged therein. The Bonds are not to be payable from nor charged upon any funds of the <br />City other than the revenues pledged to their payment, nor is the City subject to any liability <br />thereon; no holders of the Bonds shall ever have the right to compel any exercise of the taxing <br />power of the City to pay any of the principal of, premium, if any, or interest on the Bonds; the Bonds <br />shall not constitute a charge, lien or encumbrance, legal or equitable, upon any property of the City, <br />and each Bond shall recite that the Bonds, including interest thereon, are payable solely from the <br />revenues pledged to the payment thereof and that no Bond shall constitute a debt of the City within <br />the meaning of any constitutional or statutory limitation. The Bonds shall contain a recital that they <br />are issued pursuant to the Act and such recital shall be conclusive evidence of the validity and <br />regularity of the issuance thereof. <br />2. Bond Structure. Pursuant to a Loan Agreement, to be dated as of or after July 1, <br />2013, the City will loan the proceeds of the Bonds to the Borrower to finance a portion of the Project <br />(the “Loan Agreement”). The payments to be made by the Borrower under the Loan Agreement <br />are fixed so as to produce revenue sufficient to pay the principal of, premium, if any, and interest on <br />the Bonds when due. When executed, the right, title and interest of the City in, to and under, <br />among other things, the Loan Agreement (except as therein provided) will be assigned to the <br />Trustee pursuant to the Indenture. It is proposed that the Borrower will execute a Mortgage, <br />Security Agreement, Assignment of Leases and Rents and Fixture Financing Statement (the <br />“Mortgage”) as security for payment of the Health Care Facility Revenue Bond (Apple Tree Dental <br />Project), Series 2013A (the “Series 2013A Bond”). It is further proposed that the Borrower will <br />execute a Security Agreement (the “Security Agreement”) as security for payment of the Health <br />Care Facility Revenue Bond (Apple Tree Dental Project), Series 2013B (the “Series 2013B Bond”). <br /> Pursuant to a Continuing Covenant Agreement between the Lender and the Borrower (the <br />“Continuing Covenant Agreement”), the Borrower has agreed to comply with certain covenants for <br />the benefit of the Lender required in connection with the purchase of the Bonds. The Bonds shall <br />be in such principal amounts, shall bear interest at the rates, shall be numbered, shall be dated, <br />shall mature, shall be subject to redemption prior to maturity, and shall be in such form and have <br />such other details and provisions as may be prescribed in the Indenture as executed in accordance <br />with Sections 5 and 6. <br />3. Forms of Documents Submitted. Forms of the following documents have been <br />submitted to the City Council for approval: <br />(a) the Continuing Covenant Agreement; <br />(b) the Loan Agreement; <br />(c) the Mortgage; <br />(d) the Security Agreement; and <br />(e) the Indenture. <br />4. Findings. It is hereby found, determined and declared that: <br />(a) the Project furthers the policies of the Act; <br />(b) the Project promotes the public welfare by providing necessary health care <br />facilities, so that adequate health care facilities are available to residents of the City at a <br />reasonable cost;