Common use of Escrow Securities Clause in Contracts

Escrow Securities. (a) The Taxing Authority has heretofore found and determined that the investments in the Escrow Securities are advantageous and, based on the Verification Report referred to in Section 7, proper in yield and payment dates, in order to make available the necessary money to provide, from the proceeds of the Escrow Fund Deposits, for the payment when due of the corresponding Accruing Debt Charges on the Refunded Bonds, and to meet the applicable requirements of Section 148 of the Code. (b) The cash receipts derived from the Escrow Securities shall be credited to the applicable Escrow Fund. If at any time any money in an Escrow Fund is not invested, the Escrow Trustee shall hold that money in cash without liability for interest or, at the written direction of the Fiscal Officer, shall invest that money in Government Obligations that shall both (i) mature on or prior to the date on which that money, together with the proceeds of other Escrow Fund Deposits will be needed, as evidenced by a Verification Report to be delivered to the Escrow Trustee, to pay Accruing Debt Charges on the scheduled dates as shown on Exhibit A for those payments, and (ii) bear interest or other investment income at such rate or rates as, in the opinion of nationally recognized bond counsel, will not cause the interest on the applicable Refunded Bonds, or the Tax-Exempt Refunding Bonds to become included in gross income for federal income tax purposes, if applicable.

Escrow Securities. (a) The Taxing Authority has heretofore found and determined that the investments in the Escrow Securities are advantageous and, based on the Verification Report referred to in Section 7, proper in yield and payment dates, in order to make available the necessary money to provide, from the proceeds of the Escrow Fund Deposits, for the payment when due of the corresponding applicable Accruing Debt Charges on the Refunded Bonds, and to meet the applicable requirements of Section 148 of the Code. (b) The cash receipts derived from the Escrow Securities shall be credited to the applicable Escrow Fund. If at any time any money in an the Escrow Fund is not invested, the Escrow Trustee shall hold that money in cash without liability for interest or, at the written direction of the Fiscal Officer, shall invest that money in Government Obligations that shall both (i) mature on or prior to the date on which that money, together with the proceeds of other Escrow Fund Deposits will be needed, as evidenced by a Verification Report to be delivered to the Escrow Trustee, to pay Accruing Debt Charges on the scheduled dates as shown on Exhibit EXHIBIT A for those payments, and and (ii) bear interest or other investment income at such rate or rates as, in the opinion of nationally recognized bond counsel, will not cause the interest on the applicable Refunded Bonds, or the Tax-Exempt Refunding Bonds to become included in gross income for federal income tax purposes, if applicable.