2002.02.19 RESO 2002-0003 - Laserfiche WebLink

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payable in any coin or currency of the United States of America which, on the Payment Date, is legal tender for the payment of public and private debts. 2. Interest. Interest at the rate stated herein shall accrue on the unpaid principal, commencing on the Date of Original Issue, set forth above, until the Purchase Date (defined below) when this Note is tendered by the Registered Owner. Interest shall be computed on the basis of a year of 360 days and charged for actual days principal is unpaid. On the Purchase Date, the interest rate on this Note shall be adjusted to an interest rate per annum which, in the Remarketing Agent's judgment, having due regard for prevailing secondary market conditions and the yields at which comparable securities are then being sold, is the interest rate appropriate to enable theRemarketing Agent to arrange remarketing of the required aggregate principal amount of the Note at par in accordance with the terms of the Remarketing Agreement, dated as of February 1, 2002 (the "Remarketing Agreement"), between, the City, the Developer, and Miller Johnson Steichen Kinnard, Inc. (the "Remarketing Agent" and the "Tender Agent"). 3. Available Tax Increment. Payments on this Note are payable on each Payment Date solely from Available Tax Increment (defined below) together with a portion of proceeds of the Note deposited in the Debt Service Fund as capitalized interest in an amount which will be sufficient to pay interest due from the original date of issue through the August 1, 2004 Payment Date. As defined in the Amended and Restated Development Agreement, dated as of February 2002 (the "Agreement'), between the City and Hugo Land Development, LLC a Minnesota limited liability company (the "Developer"), the term "Available Tax Increment" means, on each Payment Date, the lesser of Fifty -Two Thousand Seventy -Four Dollars ($52,074.00) or 80% of the Tax Increment derived from the Development Property (as defined in the Agreement and hereinafter referred to as "Tax Increment"), and received by the City in the six months preceding the Payment Date. Notwithstanding the foregoing, Available Tax Increment shall not include any Tax Increment after the aggregate Payments of Tax Increment made hereunder equal $ . In the case of an Event of Default under Section 10.1 of the Agreement, the City may suspend or terminate its obligation to pay Available Tax Increment in accordance with Section 10.2 of the Agreement, which is incorporated herein by reference. The City shall have no obligation to pay principal of and interest on this Note on each Payment Date from any source other than Available Tax Increment or capitalized interest and the failure of the City to pay all or any portion of principal or interest on this Note on any Payment Date shall not constitute a default hereunder as long as the City pays principal and interest hereon to the extent of Available Tax Increment and capitalized interest. If on any Payment Date the balance of funds in the Debt Service Fund created under the Resolution (defined below) is insufficient to make the Payment due on that date, the deficiency will be deferred and paid, without interest thereon, to the extent possible on any subsequent Payment Date on which the City has available funds in the Debt Service Fund in excess of the Payment due on such date. The City shall have no obligation to pay unpaid balance of principal or accrued interest that may remain after the Maturity Date. The City makes no warranty or representation that Available Tax Increment will be sufficient to pay all or any portion of the principal or interest on this Note. 4