Resolution No. 4624 - Laserfiche WebLink

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those amounts shall be determined using generally accepted accounting principles which apply to enterprises such as the Airport, such as accrual basis accounting. 8.3 No Superior Liens. That it will not issue Bonds or other obligations having a claim superior to the claim of the Bonds upon the Net Revenues. 8.4 Payment of Taxes and Discharge of Liens. The City shall pay, or cause to be paid, any ad valorem taxes and other charges which may become a lien on the Airport, prior to the foreclosure of any such lien. This provision shall not prevent the City or any user of the Airport from reasonably contesting the amount or applicability of any taxes or other charges. 8.5 Deposits. That it will promptly deposit into all funds and accounts all sums required to be so deposited. 8.6 Operation of the Airport. That it will operate the Airport as a revenue producing enterprise, in a sound and efficient manner, and shall maintain the Airport in good repair, working order and condition, in conformity with the standards customarily followed in the aviation industry for airports of similar size and character to the Airport. 8.7 Insurance. That it will: (A) to the extent that such insurance is available on reasonable terms and at a reasonable cost, maintain in full force and effect a property insurance policy with an A + rated insurance company. This policy will provide "All Risk" insurance coverage including earthquake and flood insurance on all buildings and personal property owned by the City of Eugene. This property insurance shall be written on a replacement costs basis. (B) If the insurance described in Section 8.8(A) is not available on reasonable terms and at a reasonable cost, the City will at all times maintain with responsible insurers such insurance on the Airport as is customarily maintained with respect to works and properties of like character against accident to, loss of or damage to such works or properties. Insurance described in this Section 8.7(B) shall be in the form of policies or contracts for insurance with insurers of good standing and shall be payable to the City, or in the form of self-insurance by the City. The City shall establish such fund or funds or reserves which it deems are necessary to provide for its share of any such self-insurance. (C) The net proceeds of insurance against accident to or destruction of the Airport shall be used to repair, rebuild, improve or expand the Airport, and to the extent not so applied, will be applied to the payment or redemption of the Bonds on a pro rata basis. 8.8 Sale or Transfer of Airport Property. The City will not, nor will it permit others to, sell, mortgage, lease or otherwise dispose of or encumber all or any portion of the Airport except: (A) The City may dispose of all or substantially all of the Airport, only if the City pays all Bonds or defeases them pursuant to Section 11. Page 14 - Resolution March 23, 2000