Laserfiche WebLink
<br />16. Prior Bonds: Security. Until retirement of the <br />Prior Bonds, all provisions theretofore made for the security <br />thereof shall be observed by the City and all of its officers and <br />agents. <br /> <br />17. Tax Increments. The City hereby pledges and <br />appropriates the Tax Increments to the Debt Service Account, <br />which pledge and appropriation shall continue until all of the <br />Bonds, and any additional bonds payable from the Debt Service <br />Account, are paid or discharged. The City hereby expressly <br />reserves the right to use the Tax Increments to finance costs set <br />forth in the Plan not financed hereby or to finance costs of <br />other projects to be undertaken from time to time within the <br />Development District in accordance with the Program and the Plan, <br />as may be from time to time amended. <br /> <br />18. Coverage Test. The City hereby finds, declares <br />and determines that the Tax Increments, together with other funds <br />herein pledged for the payment of the Bonds, will, if collected <br />when due, produce at least five percent (5%) in excess of the <br />amount needed to meet when due the principal and interest <br />paYments on the Bonds. <br /> <br />19. Defeasance. When all Bonds have been discharged <br />as provided in this paragraph, all pledges, covenants and other <br />rights granted by this resolution to the registered holders of <br />the Bonds shall, to the extent permitted by law, cease. The City <br />may discharge its obligations with respect to any Bonds which are <br />due on any date by irrevocably depositing with the Bond Registrar <br />on or before that date a sum sufficient for the paYment thereof <br />in full¡ or if any Bond should not be paid when due, it may <br />nevertheless be discharged by depositing with the Bond Registrar <br />a sum sufficient for the payment thereof in full with interest <br />accrued to the date of such deposit. The City may also discharge <br />its obligations with respect to any prepayable Bonds called for <br />redemption on any date when they are prepayable according to <br />their terms, by depositing with the Bond Registrar on or before <br />that date a sum sufficient for the payment thereof in full, <br />provided that notice of redemption thereof has been duly given. <br />The City may also at any time discharge its obligations with <br />respect to any Bonds, subject to the provisions of law now or <br />hereafter authorizing and regulating such action, by depositing <br />irrevocably in escrow, with a suitable banking institution <br />qualified by law as an escrow agent for this purpose, cash or <br />securities described in Minnesota Statutes, Section 475.67, <br />Subdivision 8, bearing interest payable at such times and at such <br />rates and maturing on such dates as shall be required, without <br />regard to sale and/or reinvestment, to pay all amounts to become <br />due thereon to maturity or, if notice of redemption as herein <br /> <br />906107.01 <br /> <br />23 <br />