21 ATTACHMENT 3 - Laserfiche WebLink

24 (B) an allowance for Member Net Revenues of a Member from any additions or improvements to or extensions of the Sewer System of such Member which, during all or any part of the most recent completed Fiscal Year for which audited financial statements are available or for any more recent 12-month period selected by a Member, were not in service, all in an amount equal to 75% of the estimated additional average annual Member Net Revenues of such Member to be derived from such additions, improvements and extensions for the first 36- month period in which each addition, improvement or extension is respectively to be in operation, all as shown by the certificate or opinion of a qualified independent engineer employed by such Member; and (C) Regional Capacity Reserve Fees collected by the Regional Members, in an amount equal to the greater of: (1) Regional Capacity Reserve Fees collected by the Regional Members in the prior 12 months; or (2) the average annual amount of Regional Capacity Reserve Fees collected by the Regional Members during the prior 36 months. (iv) For purposes of the calculations made under the Parity Bonds test described above: (A) Member Net Revenues of the Regional Members will not include any draws made by DSRSD from the Rate Stabilization Fund to pay Debt Service on the Bonds; and (B) in the event the Parity Bonds are to be issued solely for the purpose of refunding and retiring any Bonds then Outstanding, interest and principal payments on the Bonds to be so refunded and retired from the proceeds of such Parity Bonds being issued will be excluded from the computation of Annual Debt Service. (c) The Parity Bonds Instrument providing for the issuance of such Parity Bonds must provide that the proceeds of such Parity Bonds will be applied to the acquisition, construction, improvement, financing or refinancing of additional facilities, improvements or extensions of existing facilities within the LAVWMA Enterprise, or otherwise for facilities, improvements or property which LAVWMA determines are of benefit to the Enterprise, or for the purpose of refunding any Bonds in whole or in part, including all costs (including costs of issuing such Parity Bonds and including capitalized interest on such Parity Bonds during any period which LAVWMA deems necessary or advisable) relating thereto; (d) The Sewer Service Contract will be amended or supplemented, if needed, to provide that one or more of the Members is obligated to pay Debt Service on the Parity Bonds. Insurance Under the Indenture, LAVWMA covenants that it will maintain insurance on the LAVWMA Enterprise as is customarily maintained with respect to works and properties of like character against accident to, loss of or damage to such works or properties. If any useful part of the LAVWMA Enterprise is damaged or destroyed, such part is required to be restored to use. The Net Proceeds of insurance against accident to or destruction of the physical LAVWMA Enterprise will be used for repairing or rebuilding the damaged or destroyed portions of the LAVWMA Enterprise.