San Jose Municipal Code Part 5 San José-Santa Clara Clean Water Financing Authority Payment Fund

This part is intended to establish and create a special payment fund hereby entitled the San José-Santa Clara clean water financing authority payment fund (hereinafter referred to as "payment fund"). San José, Santa Clara and the outside users of the San José-Santa Clara water pollution control plant will deposit moneys in the payment fund to be used to pay base payments and additional payments to the clean water financing authority, or the trustee.

(Ord. 21013.)

A. Improvement Agreement. For purposes of this chapter, "improvement agreement" shall mean the agreement to be entered into by and among San José, Santa Clara, and the authority, dated as of July 1, 1982, to provide for San José and Santa Clara to make payments to the authority in amounts sufficient to provide for the payment of the debt service on the revenue bonds.

B. Authority. For the purposes of this chapter, "authority" shall mean the San José-Santa Clara clean water financing authority created on March 1, 1981.

C. Supplemental Agreements. For the purposes of this chapter, "supplemental agreements" are those agreements to be entered into between San José and Santa Clara and all or certain of the outside users to provide for the payment by such outside users to San José and Santa Clara of such outside users' share of the cost of the capital improvement project to be financed from the proceeds of the revenue bonds.

D. Outside Users. For the purposes of this chapter, "outside users" shall mean those tributary agencies that use the San José-Santa Clara water pollution control plant.

E. Base Payments. For the purposes of this chapter, "base payments" shall mean those amounts required to be paid pursuant to the provisions of the improvement agreement.

F. Additional Payments. For the purposes of this chapter, "additional payments" shall mean those amounts required to be paid pursuant to the provisions of the improvement agreement.

(Ord. 21013.)

Not less than five days before the date on which any base payment or additional payment is due to the authority or to trustee, San José will deposit in the payment fund its portion of such payment pursuant to the improvement agreement between the authority and the City of San José and the City of Santa Clara.

(Ord. 21013.)

San José will deposit in the payment fund all amounts received from outside users pursuant to the supplemental agreement.

(Ord. 21013.)

Not less than five days before the date on which any base payment or additional payment is due to the authority or to the trustee, San José will deposit in the payment fund any and all moneys received from Santa Clara for its adoption of such payment.

(Ord. 21013.)

All moneys in the payment fund shall be used by San José solely for the purpose of paying base payments and additional payments to the authority or the trustee, as such become due and payable pursuant to the improvement agreement.

(Ord. 21013.)

Interest, if any, earned on the payment fund shall be allocated to the outside users and the cities of San José and Santa Clara in proportion to their relative contributions to the payment fund to be used in accordance with Section 15.16.1230.

(Ord. 21013.)