Priority of Distribution of Funds Received by SBWMA Sample Clauses
The 'Priority of Distribution of Funds Received by SBWMA' clause defines the order in which the South Bayside Waste Management Authority (SBWMA) must allocate and distribute any funds it receives. Typically, this clause outlines a hierarchy, such as first covering operational expenses, then debt service, and finally distributing any remaining funds to member agencies or other stakeholders. By establishing a clear sequence for fund allocation, the clause ensures that essential obligations are met before surplus funds are distributed, thereby reducing disputes and providing financial clarity for all parties involved.
Priority of Distribution of Funds Received by SBWMA. Monthly, the SBWMA shall receive funds from the Contractor of the Facilities under Section 6.04 of the Agreement for the Operation of the South Bayside Waste Management Authority’s Transfer Station and Recyclery. The SBWMA shall distribute the funds received in accordance with the following priority:
a. Debt Service Payments.
b. Contributions to Reserves.