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<br />13 <br />SECURITY FOR THE 2018 BONDS <br />The principal of and interest on the 2018 Bonds are not a debt of the Authority (except to <br />the limited extent described in this Official Statement) or the City, nor a legal or equitable <br />pledge, charge, lien or encumbrance, upon any of their respective property, or upon any of their income, receipts, or revenues except the Revenues and other funds and accounts pledged <br />under the Indenture. <br />This section provides summaries of the security for the 2018 Bonds and certain provisions of the Indenture and the Lease. See “APPENDIX B – SUMMARY OF PRINCIPAL <br />LEGAL DOCUMENTS” for a more complete summary of the Indenture and the Lease. <br />Capitalized terms used but not defined in this section have the meanings given in APPENDIX B. <br />Revenues; Pledge of Revenues <br />Under the Indenture, subject only to the provisions of the Indenture permitting the application thereof for the purposes and on the terms and conditions set forth therein, all of the Revenues and all amounts (including proceeds of the sale of the Bonds) held in any fund or <br />account established under the Indenture are pledged to secure the payment of the principal of and interest and premium (if any) on the Bonds in accordance with their terms and the provisions of the Indenture. Said pledge constitutes a lien on and security interest in the <br />Revenues and such amounts and shall attach, be perfected and be valid and binding from and after the Closing Date, without the need for any physical delivery thereof or further act <br />The term “Revenues” is defined in the Indenture to mean: <br />• all amounts received by the Authority or the Trustee under or with respect to the Lease, including, without limiting the generality of the foregoing, all of the Lease <br />Payments (including both timely and delinquent payments, any late charges, and whether paid from any source), but excluding (i) any amounts described in the <br />provisions of the Lease relating to permitted amendments that provide for <br />additional rental to be pledged or assigned for the payment of bonds issued to finance or refinance projects for which the City is authorized to expend its funds, <br />and (ii) any “Additional Rental Payments” (consisting of certain administrative <br />costs due to the Authority and the Trustee under the Lease), and <br />• all interest, profits or other income derived from the investment of amounts in any fund or account established under the Indenture. <br /> <br />Pursuant to the Assignment Agreement, the Authority has assigned to the Trustee for the benefit of the Owners of the 2016 Bond and the 2018 Bonds, certain of its rights under the <br />Lease, including its right to receive Lease Payments for the purpose of securing the payment of <br />debt service on the 2016 Bonds and the 2018 Bonds and the right to pursue remedies in the event the City defaults under the Lease. <br />The 2018 Bonds are special obligations of the Authority payable solely from and secured <br />by a pledge of Revenues and certain funds and accounts held under the Indenture on a parity with the 2016 Bonds. The 2018 Bonds are not secured by a pledge of the taxing power of the <br />City. The Authority has no taxing power. None of the 2018 Bonds, nor the obligation of the <br />authority to pay principal of or interest on the 2018 Bonds, nor the obligation of the city to make the lease payments, constitutes a debt or a liability of the Authority, the City, the state or any of