Laserfiche WebLink
<br />ARTICLE FOUR <br /> <br />GENERAL COVENANTS <br /> <br />4-1. Payment of Principal and Interest. <br /> <br />The City covenants that it will promptly payor cause <br />to be paid the principal of and interest on the Note at the <br />place, on the dates, from the source and in the manner provided <br />herein and in the Note. The principal and interest are payable <br />solely from and secured by revenues and proceeds derived from <br />the Loan Agreement, the Pledge Agreement, the Mortgage, the <br />Disbursing Agreement, the Letter of Credit and the Assignment <br />of Rents and Leases, which revenues and proceeds are hereby <br />specifically pledged to the payment thereof in the manner and <br />to the extent specified in the Note, the Loan Agreement, the <br />Pledge Agreement, the Disbursing Agreement, the Letter of <br />Credit, the Mortgage and the Assignment of Rents and Leases; <br />and nothing in the Note or in this Resolution shall be <br />considered as assigning, pledging or otherwise encumbering any <br />other funds or assets of the City. <br /> <br />4-2. Performance of and Authority for Covenants. <br /> <br />The City covenants that it will faithfully perform at <br />all times any and all of its covenants, undertakings, stipula- <br />tions and provisions contained in this Resolution, in the Note <br />executed, authenticated and delivered hereunder and in all <br />proceedings of the City Council pertaining thereto; that it is <br />duly authorized under the Constitution and laws of the State of <br />Minnesota including particularly and without limitation the <br />Act, to issue the Note authorized hereby, pledge the revenues <br />and assign the Loan Agreement in the manner and to the extent <br />set for~l in this Resolution, the Note and the Loan Agreement <br />and the Pledge Agreement: that all action on its part for the <br />issuance of the Note and for the execution and delivery thereof <br />has been duly and effectively taken: and that the Note in the <br />hands of the Lender is and will be a valid and enforceable <br />obligation of the City according to the terms thereof. <br /> <br />4-3. Performance of Covenants. <br /> <br />Th~ City agrees to enforce all covenants and <br />obligations of the Borrower under the Loan Agreement and <br />Construction Loan Agreement, and to perform all covenants and <br />other provisions pertaining to the City contained in the Note, <br />the Loan Agreement and the Disbursing Agreement and subject to <br />Section 4-4. <br /> <br />21 <br />