Laserfiche WebLink
• 4.06. 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 special assessments and ad <br /> valorem taxes levied and to be levied for the payment of the Improvements will be collected in <br /> amounts not less than five percent(5%) in excess of the annual principal and interest <br /> requirements of the Bonds. If the money on hand in the Bond Fund should at any time be <br /> insufficient for the payment of principal and interest then due, this City shall pay the principal <br /> and interest out of any fund of the City, and such other fund or funds shall be reimbursed <br /> therefor when sufficient money is available to the Bond Fund. If on October 1 in any year the <br /> sum of the balance in the Bond Fund plus the amount of taxes and special assessments <br /> theretofore levied for the Improvements and collectible through the end of the following calendar <br /> year is not sufficient to pay when due all principal and interest become due on all Bonds payable <br /> therefrom in said following calendar year, or the Bond Fund has incurred a deficiency in the <br /> manner provided in this Section 4.06, a direct, irrepealable, ad valorem tax shall be levied on all <br /> taxable property within the corporate limits of the City for the purpose of restoring such <br /> accumulated or anticipated deficiency in accordance with the provisions of this resolution. <br /> Section 5. Defeasance. When any Bond has been discharged as provided in this <br /> Section 5, all pledges, covenants and other rights granted by this resolution to the holders of such <br /> Bonds shall cease, and such Bonds shall no longer be deemed outstanding under this Resolution. <br /> The City may discharge its obligations with respect to any Bond which is due on any date by <br /> irrevocably depositing with the Registrar on or before that date a sum sufficient for the payment <br /> thereof in full; or, if any Bond should not be paid when due, the City may nevertheless discharge <br /> its obligations with respect thereto by depositing with the Registrar a sum sufficient for the <br /> payment thereof in full with interest accrued to the date of such deposit. The City may also <br /> discharge its obligations with respect to any prepayable Bond called for redemption on any date <br /> when it is prepayable according to their terms, by depositing with the Registrar on or before that <br /> date a sum sufficient for the payment thereof in full; provided that notice of the redemption <br /> thereof has been duly given as provided in Section 3.05. The City may also at any time <br /> discharge its obligations with respect to any Bonds, subject to the provisions of law now or <br /> hereafter authorizing and regulating such action, by depositing irrevocably in escrow, with a <br /> bank qualified by law as an escrow agent for this purpose, cash or securities which are <br /> authorized by law to be so deposited, bearing interest payable at such times and at such rates and <br /> maturing on such dates as shall be required, without reinvestment, to pay all principal and <br /> interest to become due thereon to maturity or, if notice of redemption as herein required has been <br /> duly provided for, to such earlier redemption date. <br /> Section 6. County Auditor Registration, Certification of Proceedings Investment <br /> of Money, Arbitrage and Official Statement. <br /> 6.01. County Auditor Registration. The City Clerk is hereby authorized and <br /> directed to file a certified copy of this Resolution with the County Auditors of Hennepin and <br /> Ramsey Counties, together with such other information as the County Auditors shall require, and <br /> • <br /> -14- <br />