RES 87418 - Laserfiche WebLink

trust and will be the recipient of the rentals payable by the City for the Project. The Trustee will also act as paying agent for the purpose of disbursing payments of interest and principal with respect to the Certificates. The Trustee will act as certificate registrar and will. execute all Certificates. Security for the Certificates General. Each Certificate represents a fractional undivided interest in Rental Payments to be made by the City to the Lessor under the Lease. The Lessor, pursuant to the Assignment Agreement and the Trust Agreement, has assigned all its rights to receive Rental Payments under the Lease To the Trustee for the benefit of the Owners of the Certificates. Additionally, under the Trust Agreement, the Rental Payments are irrevocably pledged to the payment of the principal and interest represented by the Certificates. Rental Payments are subject to complete or partial abatement, however, in the event of loss or substantial interference in the use and possession of all or any portion of the Projects by the City caused by damage, destruction or condemnation of the Project. In the case of damage or destruction, the amount of abatemenE will be proportional to the initial cost of that portion of the Project rendered unusable bears to the initial cost of the entire project. Such abatement shall continue for the period commencing with the date of such damage or destruction and ending with the substantial completion of the work of repair or reconstruction of the Project. If the entire Project or so much thereof as to render the remainder unusable for the purposes for which it was used by the City is taken under the power of eminent domain, the proceeds therefrom will be used to prepay the Certificates. If less than the entire Project is taken under the power of eminent domain and the remainder is usable for the purposes for which it was used by the City at the time of such taking, then Rental Payments will be subject to a partial abatement in an amount equivalent to the amount by which the annual payments of principal and interest represented by Certificates then outstanding (as such term is defined in the Trust Agreement) will be reduced by the application of the award in eminent domain to the prepayment of outstanding Certificates. Additional rental payments due from the City to the Trustee include amounts sufficient to pay certain taxes and assessments charged with respect to the Project and administrative costs of the Lessor. The City is also responsible for repair and maintenance of the Project during the term of the Lease. THE CITY HAS COVENANTED IN THE LEASE TO TAKE SUCH ACTION AS MAY BE NECESSARY TO INCLUDE ALL SUCH RENTAL PAYMENTS IN ITS ANNUAL BUDGETS AND TO MAKE THE NECESSARY ANNUAL APPROPRIATIONS