Agenda - 03-02-2006-8bOS - Laserfiche WebLink

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Deed of Trust The County will execute the Deed of Trust, conveying a lien on the real property comprising a portion of the Mortgaged Property, including the Middle School and the Site (subject to certain encumbrances pel7nitted under the Deed of Trust) to the Deed of Trust Tl-ustee for the Company's benefit, to secure the County's obligations under the Financing Contract. The Deed of Trust will constitute a lien of record on the Mortgaged Property (subject to certain encumbrances permitted under the Deed of Trust). Title to the real property comprising the Mortgaged Property will be insured by a title insurance policy to be issued by [Investors Title Insurance Company]. See "SU1~IA~IARY OF PRINCIPAL LEGAL DOC[1MENTS -The Deed of Trust" in Appendix B hereto. Trust Agreement Under the Trust Agreement, the Company will assign to the Trustee, for the benefit of the Ch~~ners and without recourse against the Company, (1) all of the Company's rights under the Financing Contract and as beneficiary under the Deed of Trust (except its rights to indemnification, the payment of its administrative expenses and the receipt of notices), including all rights to all Installment Payments and Net Proceeds, and {2) all moneys and securities from time to time held by the Trustee under the Trust Agreement. Release of Secuizty UPON COMPLIANCE WITH THE REQUIREMENTS OF THE DEED OF TRUST, THE COUNTY MAY REQUEST AND THE DEED OF TRUST TRUSTEE NIUST RELEASE A PORTION OF (BUT LESS THAN ALL) OF THE MORTGAGED PROPERTY" FROM THE LIEN OF THE DEED OF TRUST. Any release of IVlortgaged Property from the lien of the Deed of Trust «~ill occur only when and if the County provides the Deed of Trust Trustee, the Company and the Trustee (1) either (i) an appraisal prepared by an Appropriate Consultant, or (ii) evidence of listed tax value or insured value, in any case sho«~ing that the appraised value of that portion of the Mortgaged Property that is proposed as the portion that is to remain subject to the lien of the Deed of Trust is not less than 85% of the aggregate principal component of the Installment Payments, (2) a certified copy of the resolution of the County's Board of Commissioners stating the purpose for which the County desires such release, giving an adequate legal description of the portion of the Mortgaged Property to be released and requesting such release, {3) a copy of the proposed instrument of grant or release, {4) a written application signed by a County Representative requesting such instrument and {5) a certificate executed by a County Representative that no Event of Default under the Financing Contract is continuing and that the grant or release will not materially impair the intended use of the Pledged Facilities. In the case of a proposed release of all of the Mortgaged Property, the County must pay to the Trustee an amount that is (1) sufficient to provide for payment in full of all Outstanding Certificates in accordance ~~-~ith the Trust Agreement and (2) required to be used for such payment. C-883836v4 13361.00022 9