2008-093 Finance- Installment Financing Contract RBC Bank purchase of Solid Waste Equipment

Browse Search

,~ SECTION 1. DEFINITIONS For purposes of this Contract, the following definitions will apply: 1.1. "Equipment" means all of the property described in Exhibit A attached hereto, including any Equipment to be affixed to or attached to real estate as fixtures. 1.2. "Installment Payments" means those payments made by the County to the Bank as described in Section 3 of this Contract and in the Payment Schedule. 1.3. "Loan Amount" means the amount described in Exhibit B hereto which will be advanced by the Bank to enable the County to finance the purchase and construction, installation or repair of the Equipment, under the terms of this Contract. 1.4. "Net Proceeds," when used with respect to any proceeds from policies of insurance required hereunder or proceeds of any condemnation award arising out of the condemnation of all or any portion of the Equipment, means the amount remaining after deducting from the .gross proceeds thereof all expenses (including,. without limitation, attorneys' fees and costs) incurred in the collection of such proceeds. 1.5. "Payment Schedule" means the document labeled "Payment Schedule" attached hereto as Exhibit B and incorporated herein by reference, which describes the County's Installment Payments. 1.6. "Prime Rate" means the .Bank's prime rate, which is one of the Bank's variable rate indices for credit extensions and is set by the Bank at its discretion based on the Bank's perception of market interest rate levels, trends and general economic conditions. It is not tied to any specific index published by any third party and is not represented by the Bank to be the lowest rate at which the Bank extends credit. SECTION 2. ADVANCE OF LOAN AMOUNT The Bank agrees to advance the Loan Amount to the County and the County agrees to borrow the Loan Amount from the Bank to be applied in accordance with the terms and conditions of this Contract. The proceeds of the Loan Amount shall be used to purchase the Equipment andlor to reimburse the County in the amount of the funds it has. advanced for the purchase of the Equipment. The Bank shall deliver the Loan Amount to the County on the date hereof. The County shall deposit the Loan Amount in a separate account of its General Fund in an account with the Bank. The Loan Amount may be invested, in investments that qualify under N.C.G.S. § 159-30, pending disbursement, and shall be disbursed by the Bank for the acquisition of the Equipment upon the Bank's receipt of written request of the County substantially in the form of Schedule A hereto. The County shall pay any additional sums necessary to purchase the Equipment and shall provide evidence of the payment of such additional sums to the Bank upon request. 2