11-25-1991 HRA Meeting - Laserfiche WebLink

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rJv’n.h' ■ii '' Ip- it .‘,; V- [i TL^ I: A.' fi L-' ■^,- ARTICLE X OPTION TO PREPAY PURCHASE PRICE; DEFEASANCE Section 10.1. when Available. City shall have the option to prepay the Purchase Price or any portion thereof (in integral multiples of $5,000), without penalty, on any date on or after February 1, 2001, but only if City is not in default under this Lease, and only in the manner provided in this Article. Any prepayment in part shall be applied against Principal in inverse order of Payment Dates, and Authority and City shall prepare and execute a revised Exhibit B reflecting such prepayment. Any such prepayment shall be applied by Authority to redeem Bonds pursuant to Section 3.01 of the Trust Indenture. Section 10.2. Exerelae of Option. City shall give notice to Authority and Trustee of its intention to exercise its option under Section 10.1 not less than sixty (60) days prior to “he Payment Date on which the option is to be exercised, and shall ueposit with Trustee on the date of exercise an amount equal to the portion of the Purchase Price being prepaid. Section 10.3. Defeasance. City may at any time prior discharge its liability hereunder in its entirety with reference to all Leaser-Purchase Payments not yet due hereunder, subject to the provisions of law now or hereafter authorizing and regulating such action, by depositing irrevocably in escrow, with a bank qualified by law as an escrow agent for this purpose, cash or securities which are authorized by law and under Section 10.01 of the Trust Indenture to be so deposited, bearing interest payable at such times and at such rates and maturing on such dates as shall be required without reinvestment to provide funds sufficient to pay (i) all Lease^Purchase Payments to become due on their respective Payment Dates or (ii) all Lease-Purchase Payments to become due on or before a date designated by City (on or after February 1, 2001) and the remaining Purchase Price then due on such designated date. If this Lease is defeased pursuant to (ii) above. Authority and City shall make the necessary arrangements with the Trustee for redemption of all outstanding Bonds on the designated date. When the liability of City hereunder has been so discharged as provided in this Section 10.3, and all other fees and expenses payable by City hereunder have been paid or arrangements made for payment, all pledges, covenants and other rigb ' granted by this Lease to Authority shall cease. 10-1