1981-142 CRA - Laserfiche WebLink

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. . I . . ARTI CLE II I USE OF PROCEEDS OF NOTE Section 3.01. Application of Pr.oceeds .of Sale .of Note. The pr.oceeds received by the Agency from the sale of the Note shall be deposited as follows: (a) The Agency shall deposit into the N.ote Fund established pursuant to Section 4.02 any accrued interest or premium received .on the sale of the Note. (b) The Agency shall deposit into the Historical Rehabilitation Fund established pursuant to Secti.on 3.02 the remainder of said proceeds. Section 3.02. Historical Rehabilitation Fund. There is hereby created a fund to be designated the "Conununity Redevel.opment Agency of the Agency of Santa Ana Secured Promissory Note (Arcade & Marks) Historical Rehabilitation Fund" (herein referred to as the "Historical Rehabilitation Fund"), which shall be held by the Agency in trust and applied to the payment of the Project Costs. Within the Historical Rehabilitation Fund, there is hereby created two accounts to be designated respectively, the "Project 6A Account" and the "Project 6B Account". Following delivery of the Note and deposit of the proceeds thereof into the Historical Rehabilitation Fund, the Agency shall transfer $350,000 thereof to the Project 6A Acc.ount to be app 1 i ed to the payment of Project Costs in accordance with the terms of the Agreement relating to Project 6A; and shall transfer $320,000 thereof to the Project 6B Account to be applied to the payment .of Project Costs in accordance with the terms of the Agreement relating to Project 6B. With the consent of the Bank, the Agency may transfer monies from one of said Accounts to another of said Accounts, but in no event shall such transfer be made unless and until the applicable areements have been amended and the principal amount of the Loans to the applicable Participating Parties have been appropriately modified. After payment of all Project Costs payable from the Hist.orical Rehabilitation Fund or provision satisfactory to the Agency having been made for payment of Project Costs n.ot yet due or the Agency becomes reasonably certain that all or any portion of amounts in the Historical Rehabilitation Fund wi 11 not be used to make all or any port i on of the Loans, as further referenced in Section 2.03 hereof, the Agency shall transfer- any remaining balance in the Historical Rehabilitation Fund to the Note Fund established pursuant to Section 4.02 to be used for prepayment of the principal of the Note in an amount equal to the amount of such transfer on the fi rst day .of the month next fo 11 owi ng the date .of transfer. 9