RES 94045A - Laserfiche WebLink

Section 8.02. Disqualified Bonds. Bonds owned or held by or for the account of the Authority shall not be deemed outstanding for the purpose of any consent or other action or any calculation of Outstanding Bonds provided in this Article VIII, and shall no[ be entitled to consent to or take any other action provided in this Article VIII, and the Trustee may adopt appropriate regulations to require each Owner, before his consent provided for herein shall be deemed effective, to reveal if the Bonds as to which such consent is given are disqualified as provided in this Section 8.02. ARTICLE IX DEFEASANCE Section 9.01. Defeasance. All Outstanding Bonds shall be paid and discharged N any one or more of the following ways: (a) by paying or causing to be paid [he principal of and interest on all Bonds Outstanding, as and when the same become due and payable; (b) by depositing with [he Trustee, in trust, before maturity, money which, together with the amounts which are then on deposit in the Payment Fund and the Reserve Fund, is fully sufficient to pay all Bonds Outstanding, including all principal and interest; (c) by depositing with the Trustee, in trust, non-callable Federal Securities or pre-refunded non-callable municipal obligations rated "AAA" and "Aaa" by S&P and Moody's, respectively (or any combination thereof) (the "Defeasance Obligations") in such amount as a nationally recognized certified public accountant shall determine will, together with the interest to accrue thereon and moneys then on deposit in the Payment Fund and Reserve Fund together with the interest to accrue thereon, be fully sufficient to pay and discharge all Bonds (including all principal and interest) a[ or before their respective maturity dates; (d) by depositing with the Trustee, under an escrow deposit and trust agreement, cash, or Defeasance Obligations for the payment of Installment Payments as more particulazly described in Section 6.03 of the Installment Purchase Contract, said Defeasance Securities to be held by the Trustee, as agent for City and to be applied. by the Trustee to Installment Payments representing the obligation of the City under the Installment Purchase Contract, as described in Section 6 03 of the Installment Purchase Contract. In the event of an advance refunding as described in paragraphs (c) and (d) above ~) the Authority shall cause to be delivered, on the deposit date and upon any reim~estment of the defi:asance amount, a report of an independent firm of nationally recognized certified public accountants (the "Accountant") verifying the sufficiency of [he escrow established to pay the Bonds in full on the maturity or redemption date (the "Verification"), (ii) the escrow agreement shall provide that no (A) substitution of a Defeasance Obligation shall be permitted except with another Defeasance Obligation and upon delivery of a new Verification and (B) reinvestment of a Defeasance Obligation shall be permitted except as contemplated by the original Verification or upon delivery of a new Verification, and (iii)there shall be delivered an opinion of nationally recognized bond counsel to the effect that the Bonds aze no longer "Outstanding" under the Trust 30 9406r01ZIA1