1990-12-17 Resolution 26 - Laserfiche WebLink

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Sec. 5.12. The Authority covenants that it has entered into a valid and binding Lease of the Project to the Commission, and that a full, true and correct copy of said Lease is on file with the Trustee. The Authority covenants further that it will bring suit to mandate the governing board or officials of the Lessee to levy a tax to pay the rental provided in said Lease, or take such other action to enforce the Lease as is reasonably requested by the Trustee, if such rental is more than sixty (60) days in default. The Authority further covenants that, upon the receipt by the Trustee of the proceeds of the Bonds secured hereby, it will forthwith proceed to construct the Project in accordance with such plans and specifications referred to in said Lease, and will complete such construction with all expedition practicable in accordance with the plans and specifications, together with such changes therein as may be authorized by the Authority pursuant to this Section. The Authority further covenants that it will not authorize, approve or permit any changes to be made in such plans and specifications unless all of the following conditions exist: (a) the proposed changes in the plans and specifications are approved in writing by the South Bend Redevelopment Commission, as Lessee, and, if such proposed changes, together with all other changes previously made, will increase the original cost of the Project in an amount exceeding Four Hundred Thousand Dollars ($400,000), then by the original purchaser of the Bonds, or if the • purchaser is more than one investment house, by the manager of such syndicate; (b) the proposed changes in the plans and specifications will not alter the character of the Project nor reduce the value thereof; and (c) the proposed changes in the plans and specifications will not result in an increase in the cost of construction of said Project exceeding the amount of the uncommitted funds. of the Authority on hand which are not required for the completion of the Project in accordance with the plans and specifications adopted prior to the execution of said Lease, interest on the Bonds during the construction period, and the payment of the incidental expenses incurred in connection with said Project. Prior to the completion of the Project in accordance with the provisions of this section, performance of additional construction work or the purchase of equipment not specified in the above-mentioned Lease or incorporated therein by reference to the plans and specifications shall be deemed a change or modification in the plans and specifications subject to the requirements of this Section. . -23-