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1989-042
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1989-042
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Last modified
6/25/2021 1:27:48 PM
Creation date
2/4/2021 9:51:33 AM
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Resolutions
Resolution Number
1989-042
Approved Date
04/27/1989
Subject
Water & Sewer Revenue Refunding Bonds, Series 1989 - $6,510,000 aggregate
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amount of principal and interest on all outstanding Bonds <br />becoming due in any ensuing Fiscal Year. The value of the <br />Reserve Account, including investments on deposit in the Reserve <br />Account, shall be determined annually on the first day of the <br />Fiscal Year by an independent firm of certified public <br />accountants, who may be the accountants for the County, in <br />accordance with generally accepted accounting principles. <br />Notwithstanding the foregoing, in lieu of, in whole or in part, <br />the required deposits into the Reserve Account, the County may <br />cause to be deposited into the Reserve Account any of the <br />following (each a "Reserve Account Credit Instrument"): <br />(a) A surety bond or insurance policy issued to the <br />Paying Agent, as agent of the Bondholders, by a company <br />licensed to issue an insurance policy guaranteeing the <br />timely payment of debt service on the Bonds (a "municipal <br />bond insurer"), if the claims paying ability of the issuer <br />thereof shall be rated "AAA" or "Aaa" by Standard & Poor's <br />Corporation ("S&P") or Moody's Investors Service <br />("Moody's"), respectively; <br />(b) A surety bond or insurance policy issued to the <br />Paying Agent, as agent of the Bondholders, by an entity <br />other than a municipal bond insurer, if the form and <br />substance of such instrument and the issuer thereof shall <br />be approved by the Bond Insurer; or <br />(c) An unconditional irrevocable letter of credit <br />issued to the Paying Agent, as agent of the Bondholders, by <br />a bank, if such bank is rated at least "AA" by S&P. <br />Any such Reserve Account Credit Instrument shall meet the <br />further terms and conditions described in Section 16, subsection <br />Z of the Resolution and shall be payable or available to be <br />drawn upon, as the case may be (upon the giving of notice as <br />required thereunder), by the Paying Agent on any interest <br />payment date on which a deficiency exists which cannot be cured <br />by money in any other fund or account held pursuant hereto and <br />available for such purpose. It shall be the duty of the Paying <br />Agent to, and the Paying Agent shall, without further <br />authorization or direction from the County, ascertain the <br />necessity for a claim or draw upon any Reserve Account Credit <br />Instrument and provide notice to the issuer of the Reserve <br />Account Credit Instrument in accordance with its terms not later <br />than three days (or such appropriate time period as will, when <br />combined with the timing of required payment under the Reserve <br />Account Credit Instrument, ensure payment under the Reserve <br />Account Credit Instrument on or before the interest payment <br />date) prior to each interest payment date. If a disbursement is <br />made under any such Reserve Account Credit Instrument, the <br />County may reinstate the maximum limits of such Reserve Account <br />Credit Instrument immediately following such disbursement, <br />otherwise the amount of credit toward the Reserve Account <br />10 <br />
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