1994-05-17 Resolution 91 - Laserfiche WebLink

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expense thereof and furnished with means therefor. • Sec. 6.05. The insurance policies required by Section 6.01 and Section 6.02 shall be for the benefit, as their interests shall appear, of the Trustee, the Authority, and other persons having an insurable interest in the insured property. Such policies shall clearly indicate that any proceeds under the policies shall be payable to the Trustee, and the Trustee is hereby authorized to demand, collect and receipt for and recover any and all insurance moneys which may become due and payable under any of said policies of insurance and to prosecute all necessary actions in the courts to recover any such insurance moneys. The Trustee may, however, accept any settlement or adjustment which the officers of the Authority may deem it advisable to make with the insurance companies. Any proceeds of rent or rental value insurance received by the Trustee representing the annual rentals payable under the Lease shall be deposited by it forthwith to the credit of the Sinking Fund. Sec. 6.06. The proceeds of such insurance received by the Trustee shall be applied to the repair, replacement or reconstruction of the damaged or destroyed property, if in the opinion of an independent registered architect, registered engineer, construction manager or contractor, which architect, engineer, construction manager or contractor shall be acceptable to the Trustee (i) the cost of such repair, replacement or • reconstruction shall not exceed the amount of insurance proceeds to be received by reason of such damage or destruction and other amounts available therefor, and (ii) such repair, replacement or reconstruction can be completed within the period covered by the rental value insurance. Such proceeds shall be held and disbursed by the Trustee in the manner and upon the showings provided for in Sec. 3.01 hereof, except that the Trustee may release such proceeds, or a part thereof, upon a showing satisfactory to the Trustee that repairs have been made and paid for. If either or both conditions shall not exist, the proceeds of such insurance received by the Trustee shall be used to redeem Bonds. Sec. 6.07. In the event the Authority shall not commence to repair or replace the portion of the Project so damaged or destroyed within ninety (90) days after any such loss or damage, or the Authority, having commenced such work of repair or replacement, shall abandon or fail diligently to prosecute the same, the Trustee may, in its discretion, make or complete such repairs or replacements, and if it shall elect so to do, may enter upon said premises to any extent necessary for the accomplishment of such purposes, but nothing herein contained shall obligate the Trustee to make or complete any such repairs or replacements unless it shall have been requested to do so by the holders of not less than twenty -five percent (25 %) in aggregate principal amount.of all • -31-