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146 <br /> As security for the 2021 Bonds and any additional bonds issued under the Trust Agreement on a <br /> parity therewith(the"Additional Bonds"and,together with the 2021 Bonds,the"Bonds"),the County will <br /> execute and deliver to a deed of trust trustee(the"Deed of Trust Trustee"),for the benefit of the Trustee, a <br /> Deed of Trust dated as of June 1, 2021 (the "Deed of Trust"), granting a lien of record on the sites of the <br /> County's Whiffed Building located in Hillsborough,North Carolina(the"Whitted Building"),the County's <br /> Blackwood Farm Park located in Hillsborough, North Carolina (the `Blackwood Farm Park"), Culbreth <br /> Middle School located in Chapel Hill, North Carolina ("Culbreth Middle School"), the Orange County <br /> Main Library located in Hillsborough, North Carolina(the "Orange County Library"), and the real estate <br /> improvements thereon and appurtenances thereto, all as more particularly described in the Deed of Trust <br /> (collectively,the"Mortgaged Property"),subject only to Permitted Encumbrances(as defined in Appendix <br /> C hereto). <br /> The Deed of Trust authorizes future obligations evidenced by Additional Bonds as described below, <br /> to be secured by the Modified Deed of Trust,provided that the total amount of present and future obligations <br /> secured by the Modified Deed of Trust at any one time does not exceed $ and such future <br /> obligations are incurred not later than 30 years from June 1,2021. <br /> In addition, the County will grant to the Trustee a lien on and security interest in all moneys held <br /> by the Trustee in the funds and accounts created under the Trust Agreement. <br /> If a default occurs under the Trust Agreement,the Trustee is authorized to direct the Deed of Trust <br /> Trustee to foreclose on the Mortgaged Property and apply the proceeds received as a result of any such <br /> foreclosure to the payment of the amounts due to the owners of the 2021 Bonds, subject to the rights of the <br /> owners of any other Bonds.No assurance can be given that any such proceeds will be sufficient to pay the <br /> principal of and the interest on the Bonds. In addition,no deficiency judgment can be rendered against the <br /> County if the proceeds from any such foreclosure sale (together with other funds that may be held by the <br /> Trustee under the Trust Agreement) are insufficient to pay the Bonds in full. The 2021 Bonds do not <br /> constitute a pledge of the County's faith and credit within the meaning of any constitutional provision. See <br /> the caption"SECURITY AND SOURCES OF PAYMENT OF 2021 BONDS"herein. <br /> THE 2021 BONDS <br /> The 2021 Bonds will be dated as of their date of delivery. Interest is payable on April 1 and October <br /> 1 of each year,beginning October 1,2021,at the rates set forth on the inside front cover page of this Official <br /> Statement. Principal is payable, subject to redemption as described herein, on October 1 in the years and <br /> in the amounts set forth on the inside front cover page of this Official Statement. <br /> ADDITIONAL BONDS <br /> Under the conditions described in the Trust Agreement, without the approval or consent of the <br /> Owners of the then-outstanding Bonds and without notice to such Owners, Additional Bonds may be <br /> delivered and secured on parity with the 2021 Bonds to provide funds(a)to expand or improve the Pledged <br /> Facilities, (b)to construct further improvements to the Pledged Sites, (c)to refund any Outstanding Bonds, <br /> (d)to pay financing costs or establish reserves in connection with the issuance of Additional Bonds,(e) for <br /> any other purpose that may be allowed by law from time to time,including the acquisition and construction <br /> of additional public facilities, whether or not those facilities are related to the Pledged Facilities or the <br /> Pledged Sites, or(f) for any combination of such purposes. <br /> BOOK-ENTRY ONLY <br /> 2 <br />