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83-143
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83-143
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8/15/2005 5:38:52 AM
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8/11/2005 11:04:15 AM
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<br />Mortgage, the Security Agreement, the Guarantors' Security Agreement <br />and the Guaranty may contain such revisions as may be approved by the <br />Lender and the other parties bound thereby: provided that in the event <br />of any substantial chanqe in the form of such documents. the City may <br />evidence its approval of such substantial chanqes bv means of a <br />separate approval instrument executed by the same city officers as <br />execute those documents to which the City is a ~artv. <br /> <br />5.) Approval, Execution and Delivery of Note. At the time of <br />closing the transactions authorized by this resolution, the City shall <br />proceed to issue the Note, to be dated the date of delivery, in the <br />principal amount of $940,000, in substantially the form and containing <br />substantially the terms set forth in the form of the Note attached to <br />the Loan Agreement as Exhibit A, which terms are for this purpose <br />incorporated in this resolution and made a part hereof, but with all <br />such changes therein, not inconsistent with the Act or other law, as <br />may be approved by officers executing the same, which approval shall <br />be conclusively evidenced by the execution thereof. The proposal of <br />the Lender to purchase the Note at a price of $940,000, or so much <br />thereof as is advanced under the terms of the Construction Loan <br />Agreement, is hereby found and determined to be reasonable and is <br />hereby accepted. The Mayor, the City Manager and the City Clerk are <br />authorized and directed to cause the preparation of the Note in <br />typewritten form substantially in the form of the Note attached as <br />Exhibit A to the Loan Agreement. The Note shall be executed by the <br />manual signatures of the Mayor and the City Manager and attested by <br />the manual signature of the City Clerk, or other appropriate officers <br />of the City authorized to execute the documents on their behalf, and <br />the official seal of the City shall be affixed thereto. When so <br />prepared and executed, the Note shall be delivered to the Lender at <br />the time of the execution and delivery of the Loan Agreement and all <br />of the related documents. The Note shall contain a recital that it is <br />issued pursuant to the Act, and such recital shall be conclusive <br />evidence of the validity and regularity of the issuance thereof. The <br />Note is not to be payable from or charged upon any funds other than <br />amounts payable by the Borrower pursuant to the Loan Agreement which <br />are pledged to the payment thereof, or moneys received upon <br />disposition of the Mortgaged Property under the Mortgage, or upon <br />disposition of the collateral under the Security Agreement or the <br />Guarantors' Security Aqreement, or as a result of payment under the <br />GuarantY.A No holder of the Note shall ever have the right to compel <br />the exercise of the taxing power of the City to pay the Note or the <br />interest thereon, nor to enforce payment thereof against any property <br />of the City. The'Note shall not constitute a charge, lien or <br />encumbrance, legal or equitable, upon any property of the City other <br />than its interest in the Loan Agreement. The Note shall recite that <br />the Note, including interest thereon, shall neither constitute nor <br />give rise to a pecuniary liability of the City or a charge against its <br />general credit or taxing powers and that the Note does not constitute <br />an indebtedness of the City within the meaning of any constitutional <br />or statutory limitation. <br /> <br />6.) Registration Records. The City Clerk, as Note Registrar, <br />shall keep a Note Register in which the City shall provide for the <br /> <br />4. <br />
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