1989-042 - Laserfiche WebLink

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insurance policy. The material tinder said caption and in Appendix C has been furnished by Financial Guaranty. Rate Covenant The County covenants in the Resolution to establish and maintain such Uniform Charges and, as applicable, such Surcharges, Impact Fees, Special Assessments, Franchise Fees, Fees in lieu of Franchise Fees and such other receipts and revenues in connection with the System, so as to always provide either of the following: (1) Uniform Charges less Operating Expenses sufficient to pay (a) one hundred percent (100%) of all required deposits into the Reserve Account, and (b) one hundred twenty percent (120%) of the amount of principal and interest becoming due in such Fiscal Year on the Bonds outstanding, or (2) When the Revenues include receipts and revenues in addition to Uniform Charges, Net Revenues in each Fiscal Year sufficient to pay (a) one hundred percent (100%) of all required deposits into the Reserve Account, and (b) one hundred twenty percent (120%) of the amount of principal and interest becoming due in such Fiscal Year on the Bonds outstanding; provided, however, that Uniform Charges less Operating Expenses are sufficient to pay (a) one hundred percent (100%) of all required deposits into the Reserve Account, and (b) one hundred percent (100%) of the amount of principal and interest becoming due in such Fiscal Year on the Bonds outstanding. For purposes of the foregoing rate covenant, Senior Lien Bonds Debt Service, Required Renewal Fund Payments and Senior Lien Bonds Reserve Account Payments shall be treated as Operating Expenses. In addition, any amounts owed by the County to the issuer of a Reserve Account Credit Instrument (hereinafter defined) as a result of a draw thereon, as appropriate, shall be added to the principal and interest payable on the Bonds to determine compliance with this rate covenant. See "FUTURE FINANCING PLANS - Prior Pledge to and Lien for Series 1986 Bonds." Flow of Funds for Series 1989 Bonds Under the Resolution, the County has covenanted that all Revenues shall upon receipt thereof be deposited in the "Water and Sewer Revenue Fund" (the "Revenue Fund"). The Revenues are subject to the prior pledge and lien granted with respect to the Senior Lien Bonds, when issued, under the Senior Lien Bond Resolution. Subject to the prior pledge and lien granted with respect to the Senior Lien Bonds and the flow of funds with respect thereto (See "SECURITY AND SOURCES OF PAYMENT - Flow of Funds under Senior Lien Bond Resolution"), all Revenues on deposit in the Revenue Fund for the Series 1989 Bonds shall be disposed of by the County subject to the following order of priority: