Laserfiche WebLink
Association, in Minneapolis, Minnesota(the"Escrow Agent"), a banking institution whose <br /> deposits are insured by the Federal Deposit Insurance Corporation and whose combined capital <br /> and surplus is not less than $500,000, and shall invest the funds so deposited in securities <br /> authorized for such purpose by Minnesota Statutes, Section 475.67, subdivision 8, maturing on <br /> such dates and bearing interest at such rates as are required to provide funds sufficient, with cash <br /> retained in the escrow account, to make the above-described payments. The Mayor and City <br /> Manager are hereby authorized to enter into an Escrow Agreement with the Escrow Agent for <br /> the Refunded Bonds establishing the terms and conditions for the escrow account in accordance <br /> with Minnesota Statutes, Section 475.67. <br /> Section 4.02. 2003 Taxable General Obligation Tax Increment Refunding Bond <br /> Fund. So long as any of the Bonds are outstanding and any principal of or interest thereon <br /> unpaid, the Finance Director shall maintain a separate and special bookkeeping fund designated <br /> "2003 Taxable General Obligation Tax Increment Refunding Bond Fund" (hereinafter referred to <br /> as the "Bond Fund") to be used for no purpose other than the payment of the principal of and <br /> interest on the Bonds and on such other improvement bonds of the City as have been or may be <br /> directed to be paid therefrom. The City irrevocably appropriates to the Bond Fund (a)the <br /> amounts appropriated in Section 4.01 to pay interest on the Bonds, (b) all amounts on deposit in <br /> the debt service fund maintained for the payment of the Refunded Bonds upon the retirement of <br /> the Refunded Bonds and all future collections of all taxes levied and all other money which may <br /> at any time be received for or appropriated to the payment of the principal of or interest on the <br /> Refunded Bonds, including the tax increments from the Districts herein pledged and <br /> appropriated to the Bond Fund and all collections of any ad valorem taxes levied for the payment <br /> • of the Bonds; (c) any taxes levied in accordance with this resolution, (d) all income derived from <br /> the investment of amounts on hand in the Bond Fund, and (e) all such other moneys as shall be <br /> received and appropriated to the Bond Fund from time to time. If the balance in the Bond Fund <br /> is at any time insufficient to pay all interest and principal then due on all bonds payable <br /> therefrom, the payment shall be made from any fund of the City which is available for that <br /> purpose, subject to reimbursement from the Bond Fund when the balance therein is sufficient, <br /> and the Council covenants and agrees that it will each year levy a sufficient amount to take care <br /> of any accumulated or anticipated deficiency, which levy is not subject to any constitutional or <br /> statutory tax limitation. <br /> 4.03. Pledge of Tax Increment. Tax increment derived from the Districts is <br /> hereby irrevocably pledged to the payment of the principal of and interest on the Bonds. Such <br /> pledge of tax increment shall be on a parity with the pledge of such revenues to pay any other <br /> bonds of the City, including the Taxable General Obligation Tax Increment Bonds, Series 1996A <br /> of the City. <br /> 4.04. Full Faith and Credit Pledged. The full faith and credit of the City are <br /> irrevocably pledged for the prompt and full payment of the principal of and the interest on the <br /> Bonds, and the Bonds shall be payable from the Bond Fund in accordance with the provisions <br /> and covenants contained in this resolution. It is estimated that the tax increments from the <br /> Districts pledged to the payment of the Bonds, and the amounts appropriated by Section 4.01 to <br /> pay interest on the Bonds will be collected in amounts not less than five percent(5%) in excess <br /> • of the annual principal and interest requirements of the Bonds. If the money on hand in the Bond <br /> Fund should at any time be insufficient for the payment of principal and interest then due, this <br /> 10 <br />