Common use of Note Repayment Clause in Contracts

Note Repayment. The Note shall be repayable as follows: a. Upon receipt of Annual Reports for all Years occurring before the Note Interest Date, the City will make a preliminary review based on the cumulative Job Credits claimed. The amount of the cumulative Annual Job Credits earned before the Note Interest Date, adjusted for any adjustments from the preliminary review, shall then be applied against the principal of the Note, effective on the Note Interest Date. b. After applying the cumulative Annual Job Credits earned by the Applicant before the Note Interest Date, the City shall then amortize the amount due on the Note over 10 years, payable with annual payments on July 1 of each Year and accruing interest at the Applicable Federal Mid-Term rate on the Note Interest Date. The first payment shall be due and payable on July 1, 2024. Upon receipt of the Annual Report, all Annual Job Credits earned for the Year before the payment date shall first be applied to the annual amount owed, and the balance shall be paid to the City by the Applicant on or before the following October 1. After some time, it is anticipated that the Applicant may earn Annual Job Credits in excess of the annual payment amount, and any excess may be applied by the Applicant to the principal of the Note; there is not penalty for prepayment. All credits awarded and all amount received shall first be applied to accrued interest, and then to principal of the Note.