Project Operating Agmt 02012011 - Laserfiche WebLink

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or User increasing the number of radios in service shall pay an Operating Payment equal to the fee per radio paid by all then existing Users and a Service Payment per radio equal to that paid by each existing User then paying a Service Payment unless such New User selects prepayment of its Service Payment In the event that a User chooses to prepay its Service Payment at the time of its execution of the Operating Agreement the Authority will calculate the appropriate contribution of the User based on the total cost of the Project and will deposit such Service Payment made prior to Bond sizing in the Project Fund Projected User Payments are set forth in Exhibit A In addition to any required Initial Payment on each Due Date beginning in 2013 unless required earlier pursuant to a supplemental agreement the User shall pay to the Authority or its successors or assigns from any source of legally available money its Service Payment if any is due and its Operating Payment The Operating Payment owed by each User shall be in the amount annually determined by the Authority for such Operating Period The payment in any Operating Period by a User of its User Payment shall be for use of the Project by such User during such Operating Period Each Initial Payment and User Payment shall be payable by the User in accordance with the terms hereof and at the times required herein in lawful money of the United States of America In the event the User should fail to make any of the payments required in this Section 301 the payment in default shall continue as an obligation of such User until the amount in default shall have been fully paid and the User agrees to pay the same with interest thereon to the extent permitted under applicable law from the date of default to the date of payment at the highest rate of interest represented by any Outstanding Bond plus one percent 1 Overdue Service Payments if received shall be deposited in the Reserve and Replacement Fund to the extent that the amount on deposit therein is less than the Reserve and Replacement Fund Requirement and then to the Revenue Fund Overdue Operating Payments shall be used by the Authority to pay Operating Costs The User Payment coming due and payable during each Operating Period shall constitute the total payment for service to such User provided by the Project for such Operating Period and shall be paid by each User in each Operating Period for and in consideration of the right of the use and service provided by the Project during each Operating Period The parties hereto have agreed and determined that the total User Payment represents not more than the fair value of the cost of the service provided by the Project In making such determination consideration has been given to the estimated fair market value of the Project the costs of financing servicing and operating the Project other obligations of the User and the Authority under this Operating Agreement the uses and purposes which may be served by the Project and the benefits therefrom which will accrue to the Users and the general public Section 302 Source of Payments Budget and Appropriation The User Payments shall be payable from any source of legally available funds of the Users User covenants to take such action as may be necessary to include all payments owed hereunder in each of its annual budgets during the term of this Operating Agreement and to make the necessary annual appropriations for all such payments The covenants on the part of User 8 Project Operating Agreement 1 1 17 City Attorney Group