Rate Covenant. (a) The Authority shall fix, charge and collect such rates, fees, rentals and other charges for the use of and the services furnished by the Systems and shall, from time to time and as often as shall appear necessary, revise such rates, fees and other charges so as to meet the following four independent requirements (which will be calculated annually no later than six (6) months after the end of each Fiscal Year based upon the Operating Revenues and Authority Revenues set forth in the Authority’s most recent audited financial statements):
(i) Operating Revenues shall be sufficient to be at least equal to 250% of Annual Debt Service with respect to the Senior Indebtedness for the current Fiscal Year;
(ii) Operating Revenues shall be sufficient to be at least equal to 200% of Annual Debt Service with respect to the Senior Indebtedness and the Senior Subordinate Indebtedness for the current Fiscal Year;
(iii) Operating Revenues shall be sufficient to be at least equal to 150% of Annual Debt Service with respect to all Bonds and Other System Indebtedness for the current Fiscal Year; and
(iv) Authority Revenues, shall be sufficient to be at least equal to 100% of (A) Annual Debt Service on Indebtedness, (B) Current Expenses, (C) the amounts, if any, necessary to be deposited in any Senior Debt Service Reserve Account, Senior Subordinate Debt Service Reserve Account or Subordinate Debt Service Reserve Account to restore the amount on deposit therein to the amount of the applicable Debt Service Reserve Requirement (provided that such Accounts will be deemed to be funded at the applicable Debt Service Reserve Requirement for so long as the deposits required by Sections 5.02(c)(ii), (iv) and (vi) are being made), (D) the amount, if any, necessary to be deposited in the Operating Reserve Fund to maintain the balance therein at the Operating Reserve Fund Requirement and, (E) the amount, if any, necessary to be deposited in the Capital Improvement Fund and the Rate Stabilization Account of the Surplus Fund in accordance with the Annual Budget for the current Fiscal Year.
(b) The Authority shall immediately retain a Consultant to submit a written report and recommendations with respect to increases in the Authority’s rates, fees and other charges and improvements in the operations of and the services rendered by the Systems and the Authority’s accounting and billing procedures necessary to bring the Authority into compliance with the Rate Covenant if (i) at the end of ...
Rate Covenant. Purchaser will establish, maintain and collect rates and charges for the electric service of its electric system each year so as to provide revenues sufficient, together with any legally available electric system reserves, to enable Purchaser to pay to SCPPA all amounts payable when due under this Agreement and to pay all other amounts payable from, and all lawful charges against or liens on, the revenues of its electric system.
Rate Covenant. The Borrower/Grantee covenants that it will at all times fix, charge and collect such rates and charges as shall be required in order that in each Fiscal Year in which the Loan is outstanding the Gross Revenues shall at least equal the Operation and Maintenance Expenses of the System for the Fiscal year, plus one hundred percent (100%) of the maximum annual principal and interest payments due on all outstanding obligations payable from the Pledged Revenues.
Rate Covenant. The Company shall establish and collect rates, rents, charges, fees and other compensation (collectively "Rates")
(i) for the use or the sale of the output, capacity or service of the System which are reasonably expected to yield Margins for Interest for each fiscal year of the Company, equal to at least 1.10 times Interest Charges for such period, subject to the approval or determination of any regulatory or judicial authority with jurisdiction over Rates, and (ii) that, together with other moneys available to the Company, produce moneys sufficient to enable the Company to comply with its covenants under this Indenture. Promptly upon any material change in the circumstances which were contemplated at the time such Rates were most recently reviewed, but not less frequently than once every twelve (12) months, the Company shall review the Rates so established and shall, subject in the case of the Margins for Interest requirement in clause (i) to any necessary regulatory or judicial approval or determination, promptly establish or revise such Rates as necessary to comply with the foregoing requirements.
Rate Covenant. Following any
Rate Covenant. The City shall, subject to applicable law, at all times establish, fix, prescribe and collect rentals, rates, fees and charges in connection with the services and facilities furnished by the Enterprise so as to yield Net General Airport Revenues sufficient to comply with Section 7.9 hereof.
Rate Covenant. The Governmental Agency shall establish and collect such rates, fees, and charges for the use or the sale of the products and services of the System as, together with other moneys available therefor, are expected to produce Gross Revenue (as defined in Paragraph (3) of Exhibit A to this Loan Agreement) for each calendar year that will be at least sufficient for such calendar year to pay the sum of:
(a) all amounts estimated to be required to pay Operation and Maintenance Expenses (as defined in Paragraph (3) of Exhibit A of this Loan Agreement) during such calendar year;
(b) a sum equal to 110% of the debt service due on the Governmental Agency Bond for such calendar year and debt service coming due during such calendar year on any obligations secured by a lien on the Pledged Property which lien is on a parity with the lien of this Loan Agreement on the Pledged Property, in each case computed as of the beginning of such calendar year;
(c) the amount, if any, to be paid during such calendar year into any debt service reserve account in connection with any obligations secured by a lien on the Pledged Property which lien is on a parity with the lien of this Loan Agreement on the Pledged Property;
(d) a sum equal to the debt service on any obligations secured by a lien on the Pledged Property which lien is subordinate to the lien of this Loan Agreement on the Pledged Property for such calendar year computed as of the beginning of such calendar year; and
(e) amounts necessary to pay and discharge all charges and liens or other indebtedness not described above payable out of the Gross Revenue during such calendar year.
Rate Covenant. Subject to any necessary regulatory approval or determination of RUS, if required, the Borrower shall establish and collect rates, rents, charges, fees and other compensation (the “Rates”) for the use or the sale of output, capacity or service of the System that, together with other revenues available to the Borrower, are reasonably expected to yield Margins for Interest for each fiscal year of the Borrower equal to at least 1.10 times Interest Charges for such period. Promptly upon any material change in the circumstances which were contemplated at such time Rates were most recently reviewed, but not less frequently than once every twelve (12) months, the Borrower shall review the Rates so established and shall promptly establish or revise such Rates, as necessary to comply with the foregoing requirements; provided, however, that if (i) upon any such review of Rates based on a material change in circumstances, the Borrower determines that Rates are required to be established or revised in order for the Borrower to comply with this Section 6.13 and (ii) there are less than six (6) calendar months remaining in the current fiscal year, it will be sufficient for purposes of complying with this Section 6.13 if the Borrower establishes or revises its Rates for the next fiscal year so as to reasonably expect to meet the covenant for such next fiscal year, subject in the case of the foregoing Margins for Interest requirement to any necessary regulatory approval or determination, including, as and to the extent required, that of RUS. The Borrower will not furnish or supply or cause to be furnished or supplied any use, output, capacity or service of the System with respect to which a charge is regularly or customarily made, free of charge to any Person, and the Borrower will use commercially reasonable efforts to enforce the payment of any and all accounts owing to the Borrower with respect to the use, output, capacity or service of the System. Capitalized terms used in this Section 6.13 without definition shall have the meanings provided in the First Mortgage Indenture (as in effect as of the date hereof).
Rate Covenant. Rates and charges for natural gas and all other services or facilities furnished or supplied by IGU shall be set to generate annual net revenues sufficient to maintain a Debt Service Coverage Ratio of not less than 1.0 to 1.0 for Investment Grade municipal utility financing on the Bonds and the Other Bonds, plus the amount, if any, required to be deposited in any operating, debt service, capital, or other reserves.
Rate Covenant. (a) The Authority covenants, subject to all applicable requirements and restrictions imposed by law, that at all times it will prescribe, charge, revise from time to time when necessary, maintain, collect, and remit to the Trustee, as assignee of the Authority, a CFC in accordance with the CFC Resolution and the Concessionaire Agreements that will, together with any Concessionaire Deficiency Payments and any amounts the Authority determines to transfer from the CFC Surplus Fund to the CFC Revenue Fund, produce monies sufficient in amount to pay in each Fiscal Year, in accordance with the provisions of this CFC Master Trust Agreement, the greater of:
(i) One hundred percent (100%) of the amounts required to be deposited into the CFC Debt Service Fund, the CFC Debt Service Reserve Fund, the CFC Debt Service Coverage Fund, the CFC Administrative Costs Fund and the CFC Renewal and Replacement Fund, in such Fiscal Year as contemplated in Section 5.03; or
(ii) One hundred twenty-five percent (125%) of the amount required to be paid as Debt Service Charges for such Fiscal Year. Notwithstanding the actual amount which the Authority determines to transfer from the CFC Surplus Fund to the CFC Revenue Fund in any Fiscal Year, the amount of such transfer which may be included in the preceding computations shall be limited to the lesser of (A) the actual amount transferred or (B) twenty-five percent (25%) of the Debt Service Charges payable in the Fiscal Year in which the computation is determined.
(b) The Authority further covenants that if in any Fiscal Year the CFC Revenues shall be less than the amount required under Section 4.02(a), it will employ a Consultant, within 30 days following receipt by the Authority of its annual financial statements, but in any event no later than June 30 of the immediately following Year, to make recommendations within 45 days as to a revision of the CFC that will result in producing the amount so required in the Fiscal Year next succeeding its receipt of those recommendations. The Authority shall give written notice to the Trustee of any such employment of a Consultant and provide to the Trustee a copy of the Consultant’s recommendations. The Authority covenants and agrees that it will, promptly upon its receipt of such recommendations, revise the CFC, and take such other action as shall be in conformity with such recommendations to the extent the Authority feasibly may do so. The Trustee has no duty or obligation to monitor the Auth...
