Resolution No. 4624 - Laserfiche WebLink

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(B) The City may execute leases, licenses and easements for reasonable charges in the normal course of operating the Airport, and may permit related leasehold mortgages. Ground leases must comply with the requirements of Section 7.1 (C) The City may dispose of any portion of the Airport that has become unserviceable, inadequate, obsolete, or unfit to be used or no longer necessary for use in the operation of the Airport. (D) Except as permitted by Sections 8.8(A),8.8(B) and 8.8(C), the City will not dispose of any part of the Airport in excess of five percent (5.0%) of the value of the Airport in service unless prior to such disposition either: (1) there has been filed with the City a certificate of a Qualified Consultant stating that such disposition will not impair the ability of the City to comply with the rate covenants contained in Section 4.1 and Section 4.2; or (2) provision is made for the payment, redemption or other defeasance of a principal amount of Bonds equal to the greater of the following amounts: (d) An amount which will be in the same proportion to the net principal amount of Bonds then Outstanding (defined as the total principal amount of Bonds then Outstanding less the amount of cash and investments in the Bond Reserve Account) that the Gross Revenues attributable to the part of the Airport sold or disposed of for the 12 preceding months bears to the total Gross Revenues for such period; or ( e) An amount which will be in the same proportion to the net principal amount of Bonds then Outstanding that the book value of the part of the Airport sold or disposed of bears to the book value of the Airport immediately prior to such sale or disposition. (E) If the Ownership of all or part of the Airport is transferred from the City through the operation oflaw, the City shall to the extent authorized by law, reconstruct or replace such transferred portion using any proceeds of the transfer unless the City Council reasonably determines that such reconstruction or replacement is not in the best interest of the City and the Owners, in which case any proceeds shall be used for the payment, redemption or defeasance of the Bonds. Section 9. Events of Default and Remedies 9.1 Continuous Operation Essential. The City Council of the City hereby finds and determines that the continuous operation of the Airport during reasonable business hours and the collection, deposit and disbursement of the Net Revenues in the manner provided in this Master Resolution and in any Supplemental Resolution are essential to the payment and security of the Bonds, and the failure or refusal of the City to perform the covenants and obligations contained in this Master Resolution or any such Supplemental Resolution will endanger the necessary continuous operation of the Airport and the application of the Net Revenues to the operation of the Airport and the payment of the Bonds. Page 15 - Resolution March 23, 2000