No. 2004 amending resolution No. 1965 a bond resolution of the SBRC authorizing the issuance of taxincrement revenue bonds, series 2003 of the SB redevelopment district

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property acquisition, redevelopment and economic development in or serving the Area. In the event any Parity Bonds are issued pursuant to this Paragraph No. 5(a), the term "Bonds" in this Resolution shall, unless the context otherwise requires, be deemed to refer to the bonds authorized to be issued by this Resolution and such Parity Bonds. The authorization and issuance of Parity Bonds shall be subject to the following conditions precedent: (i) All interest and principal payments with respect to all obligations payable from the Tax Increment shall be current to date with no payment in arrears. (ii) The balance in the Reserve Account shall equal the Debt Service Reserve Requirement. (iii) The Commission shall have received a certificate prepared by an independent certified public accountant or an independent financial consultant ( "Certifier ") certifying that the Tax Increment estimated to be received in each succeeding year, adjusted as provided below, is estimated to be equal to at least 125% of the principal and interest requirements of all obligations of the Commission payable from Tax Increment for each respective year during the term of the bonds with respect to the Bonds and the Parity Bonds. In estimating the Tax Increment to be received in any future year, the Certifier shall base his calculation on assessed valuation actually assessed or to be assessed as of the assessment date immediately preceding the issuance of the Parity Bonds; provided, however, the Certifier shall adjust such assessed values for the current and future reductions of real property tax abatements granted to property owners in the Area. No increase in the Tax Increment to be received in any future year shall be assumed which results from projected inflation in property values. (iv) The principal of said Parity Bonds shall be payable semiannually on February 1 and August 1 and interest on said Parity Bonds shall be payable semiannually on February 1 and August 1 in years in which principal and interest are payable. The Commission shall approve and confirm the findings and estimates set forth in the above - described certificate in any supplemental resolution authorizing the issuance of the Parity Bonds. (b) Except as otherwise provided in this Section, so long as any of the Bonds are outstanding, no additional bonds or other obligations pledging any portion of the Tax Increment shall be authorized, executed or issued by the City acting for and on behalf of the Redevelopment District except such as shall be made subordinate and junior in all respects to the Bonds, unless all of the Bonds are redeemed and retired coincidentally with the delivery of such additional bonds or other obligations, or, as provided in Section 15, funds SBIMANI 158875v2 - 11 -