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<br />NOW THEREFORE, for good and valuable consideration the parties hereto <br />hereby agree as follows: <br /> <br />SECTION 1 <br />TERM <br /> <br />This Agreement shall be effective as of the date set forth above, and shall terminate on <br />the earlier of January 1, 2026, or the final maturity date of the Bonds. In the event the <br />Bonds are redeemed prior to the final maturity date, this Agreement shall still remain in <br />effect until January 1, 2026. <br /> <br />SECTION 2 <br />GUARANTEE OBLIGATION <br /> <br />2.1 Centennial Cities. The Centennial Cities (the cities of Centerville, Circle <br />Pines and Lino Lakes) agree to guarantee for each year during the term of this Agreement, <br />rental income to the Facility at the Hourly Rate for the one thousand three hundred forty <br />(1340) Priority Hours only if annual gross rink revenues are insufficient to pay annual <br />bond & operating costs. This guarantee obligation shall be allocated to each member city <br />as follows: Lino Lakes (72%), Centerville (16%), and Circle Pines (12%). It is <br />acknowledged that CYHA has entered into an Ice Sheet Rental Agreement with NSCF to <br />guarantee 860 of these 1340 hours. <br /> <br />2.2 Such guarantee of rental income shall not be required after the initial bond <br />debt, which finances the facility, is paid in full. <br /> <br />SECTION 3 <br />NOTIFICATION <br /> <br />3.1 Notification. On or before June 1 of each year, NSCF shall provide to the <br />City of Centerville a written notification ("Notice") if any portion of the 1360 ice sheet <br />hours have not been committed to in the manner provided for by the joint board. <br /> <br />3.2 Right to call for Joint Board Meeting. The City of Centerville shall have <br />thirty (30) days from the date of the Deficiency Notice to request in writing that the NSCF <br />call a meeting of the Joint Board for the sole purpose of exploring any available <br />opportunities for the sale of all or any portion of the Uncommitted Hours. Upon receipt <br />of such written request for a meeting of the Joint Board, NSCF shall schedule a meeting as <br />soon as practical and notify the City of Centerville of the date of such meeting. <br /> <br />3.3 Payment of Deficiency. As soon as practical after March 31 of each year, <br />NSCF shall provide to the City of Centerville written notification of the number of <br />Uncommitted Hours that remained unsold as of March 31 and the dollar amount due <br />("Deficiency Assessment") NSCF based on the Regular Hourly Rate. Payment by the City <br /> <br />Draft 02/22/2006 <br /> <br />2 <br />