Operation of Water System. Terracotta shall operate and maintain the water system serving the Prairiefire Subdivision until such time as the water system is acquired by the City or it is otherwise agreed. Terracotta warrants, covenants, and agrees that operation of its water system shall include the following:
Operation of Water System. The City covenants and agrees to operate or cause to be operated the Water System in an efficient and economical manner and to operate, maintain and preserve or caused to be operated, maintained and preserved the Water System in good repair and working order. The City covenants that, in order to fully preserve and protect the priority and security of the Bonds, the City shall pay from the Gross Revenues and discharge all lawful claims for labor, materials and supplies furnished for or in connection with the Water System which, if unpaid, may become a lien or charge upon the Gross Revenues or the Net Revenues prior or superior to the lien granted hereunder, or which may otherwise impair the ability of the City to pay the Installment Payments in accordance herewith.
Operation of Water System
