HomeMy WebLinkAboutC.054.93011_0451encumbrance or claim on or with respect to the Project, or the rights of the County and the
Lender therein, except with the prior written consent of the Lender, such consent not to be
unreasonably withheld. Subject to Section 4.5 and Section 4.14 hereof, the County at its own
expense shall promptly and duly discharge any such mortgage, pledge, lien, charge,
encumbrance or claim not excepted above if the same shall arise at any time.
Performance by the Lender of the County's Responsibilities. Any performance required of the
County or any payments required to be made by the County may, if not timely performed or
paid, be performed or paid by the Lender, and, in that event, the Lender shall be immediately
reimbursed by the County for these payments or other performance by the Lender, with interest
thereon at the annual rate of 12%.
Financial Statements. The County shall furnish the Lender and its representatives and agents, (a)
copies of the County's annual audited financial statements, as soon as practicable after the
County's acceptance thereof, but in any event within 270 days of the end of its fiscal year, and
(b) at such reasonable times as the Lender shall request, current financial statements (including,
without limitation, the County's annual budget as submitted), and shall permit the Lender to
inspect the County's books and records and make extracts therefrom at its own expense during
regular business hours and in a manner which will not disrupt the County's normal business
routine. The County shall furnish to the Lender a copy of each annual budget as approved within
thirty (30) days following such approval.
Maintenance, Care and Use. Subject to Section 4.5, Section 5.1, Section 5.2 and Section 4.14
hereof, the County shall not abandon the Project during the Term. The County shall use the
Project in a careful and proper manner, in compliance with all applicable laws and regulations,
and shall take no action to adversely affect the Project, and shall take all reasonable action to
preserve the Project in good condition, repair, appearance and working order for the purposes
intended, ordinary wear and tear expected, including, without limitation, at its sole cost and
expense, to service, repair and maintain the Project, and to replace any part of the Project as may
from time to time become worn out, lost, stolen, destroyed or damaged or unfit for use. Any and
all additions to or replacements of the Project and all parts thereof shall constitute accessions to
the Project and shall be subject to all the terms and conditions of this Agreement.
Inspection. The Lender shall have the right, upon reasonable prior notice to the County, to enter
into and upon the Site to inspect the Project or any part thereof.
Limited Obligation of the County. NO PROVISION OF THIS AGREEMENT SHALL BE
CONSTRUED OR INTERPRETED AS CREATING A PLEDGE OF THE FAITH AND
CREDIT OF THE COUNTY WITHIN THE MEANING OF ANY CONSTITUTIONAL DEBT
LIMITATION. NO PROVISION OF THIS AGREEMENT SHALL BE CONSTRUED OR
INTERPRETED AS CREATING A DELEGATION OF GOVERNMENTAL POWERS NOR
AS A DONATION BY OR A LENDING OF THE CREDIT OF THE COUNTY WITHIN THE
MEANING OF THE CONSTITUTION OF THE STATE OF NORTH CAROLINA. THIS
AGREEMENT SHALL NOT DIRECTLY OR INDIRECTLY OR CONTINGENTLY
OBLIGATE THE COUNTY TO MAKE ANY PAYMENTS BEYOND THOSE
APPROPRIATED IN THE SOLE DISCRETION OF THE COUNTY FOR ANY FISCAL
YEAR IN WHICH THIS AGREEMENT IS IN EFFECT; PROVIDED, HOWEVER, ANY
FAILURE OR REFUSAL BY THE COUNTY TO APPROPRIATE FUNDS, WHICH
RESULTS IN THE FAILURE BY THE COUNTY TO MAKE ANY PAYMENT COMING
DUE HEREUNDER WILL IN NO WAY OBVIATE THE OCCURRENCE OF THE EVENT
OF DEFAULT RESULTING FROM SUCH NONPAYMENT. NO DEFICIENCY
JUDGMENT MAY BE RENDERED AGAINST THE COUNTY IN ANY ACTION FOR
BREACH OF A CONTRACTUAL OBLIGATION UNDER THIS AGREEMENT, AND THE
TAXING POWER OF THE COUNTY IS NOT AND MAY NOT BE PLEDGED DIRECTLY
OR INDIRECTLY OR CONTINGENTLY TO SECURE ANY MONEYS DUE UNDER THIS
AGREEMENT. No provision of this Agreement shall be construed to pledge or to create a lien
on any class or source of the County's moneys, nor shall any provision of this Agreement restrict
the future issuance of any of the County's bonds or obligations payable from any class or source
of the County's moneys. To the extent of any conflict between this Section and any other
provision of this Agreement, this Section shall take priority.
DAMAGE, DESTRUCTION OR CONDEMNATION
14