02-13-1996 Council Packet - Laserfiche WebLink

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RESOLUTION COVENANTINO AND OBLIGATING THE DISTRICT TO BE BOUND BY AND TO USE THE PROVISIONS OF MINNESOTA STATUTES, SECTION 124.755, TO GUARANTEE THE PAYMENT OF THE PRINCIPAL and interest of the CERTinCATES BE nr RESOLVED by the School Board of independent School District No. 271, State of Minnesota, as follows: 1, r..ia«ntee Program (a) The District hereby covenants and obligates itself to notiQr the Commissioner of Education of a potential default in the payment of principal and inter^ on its Gene^ Obligation Tax Anticipation Certificates of Indebtedness, Series 1995 (the "Certificates ) and to use ^ provisions of Minnesota Statutes, Section 124.755. to guarantee payment of the principal and interest on the Certificaies when due. The District further covenants to deposit with the Registiaf or any »»cc^ paying agent three (3) days prior to the date on which a payment is due an amount suffici^ to make that payment or to notify the Commission of Education that it will be unable to make all w a portkm o^payrnent. T^ Registrar for the Certif cates or any successor paying agent it autborued and oncted to n^ the Commissioner of Educatioo if it becomes aware of a potential deftuh in the payment of pnncipd ^ mter^ on the Certificates or if. on the day two (2) business days prior to the d^ a p^ent Certificates, there are insufficient funds to make that payment on deposit with the Registm. The District understands that as a result of its covenant to be bound by the provisions of Minnesoto Statutes, Section 124.755, the provision of that section shall be binding as long as anyCertificates of this issue remain outstanding. (b) The District further covenants to comply with all procedures now or hereafter established by the Departments of Finance and EducaUon of the Stote of Minnesota pursuant to MiiuKWta Stotutes, Section 124.755, subdivision 2(c) and otherwise to take such actions as necessary to comply with that section. 2. Certificate. If this resolution is adopted, the following language shall be inserted on the reverse of each Certificate. The issuer has covenanted and obligated itself to be bound by the provisions of Minnesota Section 124.755. and 10 use the provision of Ihtl suiutt » goinntee Ihe payment of the principal and interest on the Certificates when due. r