1987-11-09 Regular Meeting - Laserfiche WebLink

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e e ~- that, prior to entering into any contract whereby a person agrees to take, or to take or pay for Water provided to the City under this contract or otherwise agrees to purchase any Water provided to the City under this Contract, the City shall notify the Authority of its intent to enter into such contract. As soon as practicable after receipt of such notice, the Authority shall advise the City as to whether, in the opinion of counsel of recognized standing in the field of law relating to municipal bonds selected by the Authority, the "entering into of such contract would result in a violation of the foregoing covenant. The City agrees not to enter into such contract if the Authority advises the City that such violation will or might result therefrom. section 10.09 Nothing in this Article X shall preclude the City from issuing bonds, notes or other evidences of indebtedness for the purpose of financing necessary and proper repairs, renewals, replacements, additions, extensions and improvements of the City System provided that such bonds, notes and other ev idences of indebtedness shall be payable solely and exclusively from the net revenues of the Ci ty System (after the payment of the operating expenses of the City System) or from revenues derived from ad valorem taxes or both. Article 10.10 The Ci ty covenants to abide by the terms and conditions of the drought contingency plan adopted by the City, attached hereto as Exhibit E, as well as the terms and conditions of the conser- vation plan adopted by the Authority, attached hereto as Exhibit D. ARTICLE XI CHANGES IN ALLOCATION FACTORS Section 11.01 The City (together with the other Pariticipants) -34-