ERMU RES 16-7 - Laserfiche WebLink

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Expenses then due and payable and to become due and payable during such calendar month, plus (ii) the Operating Reserve Requirement, shall constitute Net Revenues and shall be credited to other accounts in the Electric Fund as provided in Sections 9.03, 9.04 and 9.05. 9.03. Debt Service Account. Upon delivery of the Series 2016B Bonds, the Commission shall credit to the Debt Service Account, from the proceeds of the Series 2016B Bonds, the accrued interest, if any, received from the Purchaser of the Series 2016B Bonds. As of the first day of each month there shall be credited to the Debt Service Account out of the Net Revenues on hand in the Operating Account an amount equal to not less than 1/6 of the interest due within the next six months on all Outstanding Bonds and 1/12 of the principal due within the next 12 months on all Outstanding Bonds; provided that the Commission shall be entitled to reduce a monthly apportionment by the amount of any surplus previously credited and then on hand in the Debt Service Account. Money on hand in the Debt Service Account shall be disbursed only to pay principal of and interest on the Outstanding Bonds when due;provided that on any date when the amount then on hand in the Debt Service Account plus the amount in the Reserve Account allocable to a series of Bonds, is sufficient with other money available for the purpose to pay or discharge all Bonds of that series and the interest accrued thereon in full, it may be used for that purpose. If any payment of principal of or interest on the Outstanding Bonds becomes due when money in the Debt Service Account is temporarily insufficient therefor, an amount equal to such deficiency shall be transferred thereto from the Reserve Account or the Repair and Replacement Account, in that order. 9.04. Reserve Account. Upon delivery of the Series 2016B Bonds the Commission shall credit to the Reserve Account from funds transferred from the Reserve Account for the Refunded Bonds, the sum of$137,000. If the balance in the Reserve Account is ever less than the applicable Reserve Requirement, as of the first day of each month all Net Revenues in the Operating Account remaining after the required credit to the Debt Service Account shall be credited to the Reserve Account until the balance therein equals the Reserve Requirement. If the balance in the Reserve Account has not been restored to the Reserve Requirement from transfers of Net Revenues within six months of the deficiency, the Commission shall transfer to the Reserve Account from the Repair and Replacement Account, an amount sufficient to restore the balance therein to the Reserve Requirement. If, on any date on which principal or interest is due on the Outstanding Bonds, the balance then on hand in the Debt Service Account is not sufficient to pay such principal and interest in full,the Commission shall immediately transfer from the Reserve Account to the Debt Service Account an amount equal to such deficiency. If any Additional Bonds are issued, the Commission shall, upon issuance of the Additional Bonds, increase the balance in the Reserve Fund to the Reserve Requirement, calculated after giving effect to the issuance of such Additional Bonds. Money held in the Reserve Account shall be used only to pay maturing principal and interest when money in the Debt Service Account is insufficient therefor. If at any time the balance in the Reserve Account exceeds the Reserve Requirement, the Commission shall transfer such excess to the Debt Service Account. If an entire issue of Bonds 12 479283v3 JSB EL185-42