Agenda - 06-24-1986 - Laserfiche WebLink

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There shall be a security interest in the moneys and investments held by the Depositary in the Project Fund for the benefit of the Holder , upon the terms and conditions provided herein, and this Agreement shall be deemed a security agreement with respect to the security interest so created. The Depositary shall be deemed to be ( 1) the secured party under G.S. 25-9-105 (m) of the Uniform Commercial Code of North Carolina, as amended ( the "UCC" ) , as a representative of the Holder, or ( 2) under G.S. 25-9-305 of the UCC holds collateral for the benefit lof the Holder as a secured party, in either case with an obligation to use moneys in the Project Fund solely as provided herein. Upon the occurrence of any Event of Default under the Loan Agreement, the Holder shall have all the rights and remedies available to a secured party under the UCC with respect to the moneys and investments held in the Project Fund. Any money or other assets remaining in the Project Fund at the Completion Date (as defined in the Loan Agreement) shall be applied by the Depositary, or paid to the Holder for application, on behalf of the Authority, as provided in Section 11 hereof, to the prepayment of installments of principal on the Bond in the inverse order of maturities pursuant to its terms. Section 10 . Investment of Project Fund and Other Mone s. Any moneys held as any part of the Project Fund or as any special trust funds shall, at the written direction of the Representative (as defined in the Loan Agreement ) , or reinvested by the Depositary or the Holder, as the� case lmay sbe,� to the extent permitted by law in ( i) obligations issued or guaranteed by the United States; ( ii ) obligations issued or guaranteed by any person controlled or supervised by and acting as an instrumentality of the United States pursuant to authority granted by the Congress of the United States; agreements issued by commercial banks, including the Depositaryaor issued by a broker, fully secured by by the United States or by an an issued or y supervised by and acting as an instrumentality n ofo the United States pursuant to authority granted by the Congress of the United States; ( iv) time deposits, includin issued by commercial banks, including thet�Depositaryf and osit foreign branches, with capital, surplus and undivided profits in excess of $25, 000,000; (v) a money rate account of the Depositary; (vi) commercial paper rated P-1 or P-2 by Moody ' s Investors Service, Inc. (or an equivalent rating by provided that the aggregate face amounts of allacommerc alopaper of any single entity held by the Depositary or the Holder for investment or reinvestment at any time shall not exceed $2, 000,000; and (vii ) obligations issued by any state or its political subdivisions the interest on which is exempt from Federal income taxes. Any moneys held by the Holder as Payment of 11 .