Ordinance 2003-1426 - Laserfiche WebLink

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credit, payable out of its general funds or out of any funds derived from ad valorem property taxation. The payment of the Bonds, the Policy Costs, and all amounts due to the Bond Insurer are not secured by an encumbrance, mortgage or other pledge of any property, except the Pledged Revenues which are to be deposited in the Capital Improvement Fund, the Bond Account or the Reserve Account thereof as provided herein. (b) The City hereby irrevocably pledges the Capital Improvement Fund and the Pledged Revenues which are to be deposited therein, on the terms provided herein, for the payment of the principal of and interest on the Bonds, all amounts due the Bond Insurer, and all amounts due under the Reserve Account Guaranty Agreement. Such pledge shall create an irrevocable and first lien (but not an exclusive first lien) on the Capital Improvement Fund and the Pledged Revenues for the payment of the principal of and interest on the Bonds and a subordinate lien for the payment of all amounts due to the Bond Insurer. (c) The covenants and agreements herein set forth to be performed on behalf of the City shall be for the equal benefit, protection and security of the Owners of any and all of the Outstanding Bonds and, on a subordinate basis, the Bond Insurer. The Bonds, regardless of the time or times of their issuance or maturity, shall be of equal rank without preference, priority or distinction, except as otherwise expressly provided in or pursuant to this Ordinance. (d) The issuance of the Bonds by the City shall constitute a warranty by and on behalf of the City for the benefit of each and every Owner of any of the Bonds that the Bonds have been issued for valuable consideration in full conformity with law. Subject to the registration provisions hereof and the provisions of Section 9 hereof, the Bonds hereby authorized shall be fully negotiable and shall have all the qualities of negotiable paper, and the Owners thereof shall possess all rights enjoyed by the holders of negotiable instruments under the provisions of the Colorado Uniform Commercial Code. The principal of and interest on the Bonds shall be paid, and the Bonds shall be transferable, free from and without regard to any equities between the City and the original or any intermediate Owner of any Bonds or any setoffs or cross-claims. Section 5. Bond Details. (a) Subject to the provisions of Section 9 hereof, the Bonds shall be issued only as fully registered Bonds without coupons in denominations of $5,000 each or integral multiples thereof (provided that no Bond may be in a denomination which exceeds the principal