2003-03-26 CC Packet - Laserfiche WebLink

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~, bonds issued to refund and refinance the Bonds, or any portion thereof Refunding Bonds shall not count against the $2,500,000 limit except to the extent that the amount of the reftmding Bonds exceeds the amount of the Bonds being refunded thereby, but that limit shall not apply to any issue of refunding Bonds which produces an overall savings in debt service cost. As provided in Minn. Stat. ~ 471.59, subd. 11, the Bonds shall be obligations of the Commission which are issued on behalf of the Members, and shall be issued subject to the conditions and limitations set forth in Minn. Stat. ~ 471.59, subd. 11. The Bonds shall be payable solely from the Member's franchise fees, as hereinafter provided. The Commission may not pledge to the payment of the Bonds the full faith and credit or taxing power of 'the Members. No bonds, obligations or other forms of indebtedness other than the Bonds may be issued by the Commission without the' prior consent of the Members. 4. That Article VIII, Section 13 of the Agreement shall be renumbered as Section 17. s. That Article XI, Section 3 of the Agreement shall be amended to read as follows: The financial contributions of the Members in -support of tile Commission shall be of two types: (1) each Member shall be responsible for its share of the debt service payments on the Commission's Bonds (but only from the Member's franchise fees), which share shall be in the same proportion as the Member's franchise fees for the immediately pr~ing calendar year were to the total franchise fees receivable by the Commission for that calendar year (the "Debt Service Share"); and (2) each member shall be responsible for its share of the operating and capital costs of the Commission (not including any Part of the debt service on the Commission's Bonds), which share shall be in 'direct proportion to the percent of 3-nnlJal subscriber revenues of each Member to the total annual revenues of the system multiplied by the Commission's Slf.nual budget (the "Operating Cost Share"). The ~nual budget shall establish the contribution of ' each Member for its Operating Cost Share for the ensuing year. Each Member ~ cause its franchise fees to be paid directly to the Commission, and the Commission shall deduct from each Member's quarterly payment of franchise fees, before application to any other purpose, one-fourth of the Member's Debt Service Share for that calendar year. If any Member's quarterly payment of franchise fees is not sufficient to pay its qua,rterly Debt SeJ:Vice Share, the deficiency will continue to be an obligation of the Member and will be deducted from the next payment or payments of the Member's franchise fees until the deficiency has been restored. After provision is made for payment of the Debt Service Share, the remai"ing franchise fees shall be applied as a credit against each Member's Operating Cost Share owed the Commission, with any excess being remitted to the Member by the Commission and any shorttiill being payable to the Commission by the Member. The rem8inder of any :franchise fee remitted back: to the Member by the Commission shall be used for cable-related expenses. Each Member acknowledges that its Debt Service Share of the :franchise fee collections will be irrevocably pledged by the Commission as security for the Commission's Bonds. ' 3