Approving Issuance of Bonds of the South Bend Redevelopment District

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(d) Funding of Reserve Fund with Credit Facility. (i) As an alternative to holding cash funds in the Reserve Fund, the President of the Commission, with the advice of the Commission's financial advisor and nationally recognized bond counsel, may satisfy all or any part of its obligation to maintain any amount in the Reserve Fund by depositing therein a Credit Facility (as defined herein) pursuant to a reimbursement agreement or similar instrument (the "Credit Facility Agreement ") between or among the Credit Provider (as defined herein) and the City, the Commission and /or the District, provided that such deposit does not adversely affect any then existing rating on the 2014 Bonds. (ii) "Credit Facility" means as any letter of credit, revolving credit agreement, surety bond, insurance policy or other agreement or instrument issued by a Credit Provider (as defined herein). (iii) "Credit Provider" means the issuer of any Credit Facility and its successor in such capacity and their assigns. To qualify under this Resolution, the Credit Provider providing such Credit Facility shall be either: (1) an insurer whose long -term debt obligations are rated (at the time of issuance of such Credit Facility) in one of the three highest Rating Categories by the Rating Agency or Rating Agencies rating the 2014 Bonds; or (2) a bank or trust company whose long -term debt obligations are rated (at the time of issuance of such Credit Facility) in one of the three highest Rating Categories by the Rating Agency or Rating Agencies rating the 2014 Bonds. (iv) "Rating Agency" or "Rating Agencies" means Standard & Poor's Corporation, Moody's Investors Service or Fitch Ratings, according to which of such rating agencies then rates a Bond; and provided that, if none of such rating agencies then rates a Bond, the term "Rating Agency" or "Rating Agencies" shall refer to any national rating agency (if any) that provides such rating. (v) "Rating Category" means one of the generic rating categories of the applicable Rating Agency, without regard to any refinements or gradations of such generic rating category by numerical or other modifier. (vi) In the event a draw is made against the Credit Facility in the Reserve Fund, the District shall repay the amount of the draw and related expenses incurred by the Credit Provider, together with 1 13